To Scale A Business

To scale a business means to create a system that can generate more money through some resource that isn’t only time. 

Scale is typically used in Digital world specially in computer science. One has a website that can support 100 people. How can he scale it to support 100,000 people?

Scale is a concept that is meant to infinite growth. When starting a business, we want to find ways to apply our time and money that are scalable and to shift our focus from things with a hard maximum return to things that have the potential to be infinitely scalable.

Hiring your 100th employee is a lot different than hiring first. Can the company still execute well as the team grows? Do the things that made you initially successful start holding you back?

But more importantly, are you becoming more efficient? Do you make more money from the 400th sale than the 10th? Or does it require just as much time and effort to find the next dollar worth of revenue?

Business models and revenue models need to be changed from time to time and place to place. Businesses would've different models based on number of customers they have, number of employees, revenues, future revenues, upcoming technologies, political scenarios and a lot more.

Scalability means making the system adaptable when any of the things grow. Business scalability is a very intangible aspects, and very hard to describe without understanding the business.

For example, a car company has a capacity of 100,000 cars manufacturing capacity. They want to go up to 200,000 cars. So, they will scale it up to be able to manufacture 200,000 cars per year.

It simply means growing your business.

In terms of a computer application or software application, it is the ability of the Application to meet the increasing traffic in the future. For example, if Amazon e-commerce Application is able to handle 100,000 transactions a day, the same App should be able to handle 10,00,000 transactions in the future.