It’s easy to be seduced by numbers. For many, they see the total addressable market (TAM) and multiply that by the price of their product or service—it's HUGE!! And it’s not reality. The TAM is simply intended to show the potential for the size of the market—which includes you, your competitors, and similar solutions to the problem that you’re solving. It’s not the size of your business.

This is also contrary to how search engines and social media algorithms work. Bigger is not better, anymore. Small is the new big. This smaller audience is called the total relevant market (TRM). Its focus is on the client that is most relevant for the product or service you have in the market for you today—or to put it in simple terms, the focused audience that is most likely to buy from you today, your client avatar. 

In this stage, marketing and sales align and start working toward the same goals with the same numbers and metrics. You'll be targeting and selling to your relevant markets who are most likely to buy from you. You'll attract clients that are a better fit and offer a higher contract value.

This is where the rubber meets the road and businesses often love to remain in theory mode. Yes, that is a contradiction. It’s easy for a business to SAY we do this, offer that, we are this, and so on. It’s another thing to actually deliver. Remember, just because you say it doesn’t mean it’s true, even if you believe it to your core.

Operations are the how-to and the technology you use to effectively execute on marketing, sales, and managing the client experience. It’s a logical and direct link between all the activities in the business and the business strategy—you could say it’s the brain of this methodology. Operations need to be streamlined, monitored, and adjusted as needed. What works for a business in startup mode, won’t work when it scales and, just because it is “working” doesn’t mean it is efficient or providing the best brand experience for your prospects or clients. Your operations help you compete in the market.

In this stage, operations are focused on doing things more efficiently. You're tech stack will probably change or be refined. You'll be focused on establishing systems so your entire client-facing team can have a single source of reliable data and a common language around it.

This is the million-dollar question. And the universal answer is “it depends”. One thing to keep in mind is that revenue is not the indicator of when to scale. The focus here is on how to produce success more effectively and consistently. It’s about scaling what you have first before you introduce anyone or anything new. 

If organic growth finances can’t sustain your growth model, you may need to explore professional funding. Some companies get to this stage and never leave. But staying can expose your business to the risk of being disrupted or commoditized.

This is all about taking everything you’ve learned, implemented, and built and determining your next best opportunity because no company wants to stop growing. Whether you increase your sales, target a new vertical, or increase your offerings, each can be done on your own or through a merger or acquisition.

Once you have an offering that clients believe in, are willing to pay for, and renew their service with you, you’re ready for the next stage. Transitioning to a new stage doesn’t mean you abandon everything that came before, instead we’ll build upon it.