5 Barriers to Scaling Up a Business (and How to Overcome Them)

“The man at the top of the mountain didn’t fall there.”Vince Lombardi

Australia consistently ranks among the top 10 countries in the world for startups.
But when it comes to scaling — that’s where many founders stall.

Scaling up your business is like climbing a mountain: every step higher brings thinner air, greater risk, and tougher conditions.

The higher you go, the more the rules change.

At first, growth feels simple. You add customers, hire a few more people, and momentum builds. Then suddenly, what worked before stops working.

Communication gets messy. Systems break. Culture stretches thin.

You’ve entered the growth paradox — the stage where scaling should make life easier, but instead, it feels harder.

Here are the five biggest barriers that hold growing businesses back — and what to do about them.

 

1. Leadership — Prediction, Delegation, and Repetition

Growth amplifies leadership gaps.

The leaders who helped start your business may not be the ones to scale it.
That’s why leadership capacity is the #1 scaling bottleneck.

Great leaders do three things exceptionally well:

  • Predict — they see problems before they happen by staying close to customers and data.
  • Delegate — they trust their people and spend their time on the highest-value work.
  • Repeat — they reinforce vision and values through constant communication and consistency.

“Repetition doesn’t bore great leaders; it builds culture.”

If your business is growing but your leaders aren’t, you’ve found your first barrier.

(For a deeper dive, read David Marquet’s Turn the Ship Around on empowerment through clarity and repetition.)

 

2. Structure — Who’s Accountable for What?

As your company scales, clarity becomes your greatest weapon.

Structure isn’t bureaucracy — it’s the backbone of growth.
It defines roles, reporting lines, and accountability.

Without it, decision-making slows, meetings multiply, and your best people burn out.

Start with a simple question:

“If we doubled in size tomorrow, would our current structure still work?”

If the answer is no, redesign it now.

 

3. Strategy — Stand Out or Fall Behind

A scaling company needs a clear, coherent strategy — one that makes you preferentially different.

Ask yourself:

  • Do we have a clear long-term direction anchored in purpose and values?
  • Can every leader articulate our strategy in one sentence?
  • Are we relentlessly focused on delivering customer value?

Strategy isn’t a document. It’s a daily decision filter — what to say yes to, and more importantly, what to say no to.

 

4. Systems — From People-Dependent to Process-Driven

If your business depends on heroic effort, it won’t scale.

Systems determine how the work gets done — how you plan, communicate, solve problems, and measure success.

Your goal: a systems-dependent business, not a people-dependent one.

Because only systems create relentless repeatability.

And as you grow, every system must evolve — what worked at 10 people won’t work at 100.

 

5. Marketing & Lead Generation — Keep Filling the Pipeline

You can’t scale without demand.

Marketing is how you attract not just customers, but talent and investors.

As your business grows, so does the competition.
You need to sharpen your message, build relationships with influencers, and stay visible in the right markets.

Remember Philip Kotler’s timeless 4 Ps: Product, Price, Place, and Promotion — but today, add a fifth: Purpose.

Companies with a clear, authentic purpose attract loyalty that advertising can’t buy.

 

The Scaling Up Method

The Scaling Up methodology (from Verne Harnish) provides simple but powerful one-page tools to navigate these barriers — including the One Page Strategic Plan and the Rockefeller Habits Checklist.

Together, they help leaders master the four critical decisions that drive scale:
People, Strategy, Execution, and Cash.

If you’re hitting growth pains, it’s time to step back and work on your business, not just in it.

 

Final Thought

Scaling up isn’t easy — but neither is staying stuck.

The best companies grow because their leaders stay curious, disciplined, and brave enough to face the friction that growth brings.

So, what’s holding your business back — Leadership, Structure, Strategy, Systems, or Marketing?

Want help in overcoming the Barriers to Growth?.

Contact me at tedb@strategyandexecution.com.au to schedule a free 30-minute discovery meeting.

To Scale Up your business! Take our Scaling Up/Four Decisions Needs Assessment to discover how your business measures against other Scaled Up companies. We’ll contact you.

TED BONEL, SCALING UP PRACTITIONER – STRATEGY & EXECUTION BUSINESS ADVISORS

Are you looking to scale your business and execute strategy with clarity and impact? I help CEOs and founders turn big ideas into real-world results, guiding small to mid-market companies through tailored strategic insights that drive growth.

My expertise lies in simplifying complexity – bridging high-level strategic frameworks with the practical realities of running a business. Unlike many consultants who focus solely on theory or execution, I specialise in both—translating strategy into actionable, transformative steps that deliver lasting results.

Take our Scaling Up / Four Decisions Needs Assessment to see how your company measures up against other high-growth businesses.

Contact me at tedb@strategyandexecution.com.au to schedule a free 30-minute discovery meeting.

 

ABOUT STRATEGY & EXECUTION

For over 20 years, Strategy & Execution has supported leaders and organisations in developing and executing winning strategies. We provide expert facilitation, executive education, and hands-on consulting to help businesses refine their strategic direction and implement it effectively.

Using proven methodologies like Scaling Up, E-Myth Mastery, Outthinker, and more, we challenge conventional thinking and equip organisations with the tools to accelerate growth. Our approach is dynamic—combining deep business experience with practical execution. We don’t just advise; we roll up our sleeves and work alongside you to make strategy happen.

If you’re preparing for a strategy development or execution challenge and are committed to creating real value, we’d love to hear from you. Learn more about our work or upcoming workshops