How Startups Grow Their Revenue Beyond Their Resources

Are you turning a little into a lot? And is that showing up in your bottom line?

Question: What does peak success look like with the resources you have today?

In other words, if everything went your way — with the talent, the money, and the traction you currently have — would that result in a break-even return to your bottom line? Could that return be double? Triple?

And is that enough?

At some point, every good company reaches resource perfection, when all the company assets — money, equipment, talent, and so on — converge to produce a state of harmony in perpetual execution at a steady burn rate.

Good leaders know that this is the sign of a problem in the making.

The return needs to be more than the sum of the parts

When you’re a startup or a young company, you need a larger-than-normal multiplier of revenue return on your resources.

In other words, if your company has 10 people who each put in $10 worth of something — money, time, equipment, outside services — the return on that input can’t be $100 in revenue. It has to be $200, preferably $1,000.