Every business has a story - and yours is probably somewhere in the middle of being written. Whether you're bootstrapping from your kitchen table, celebrating your first big hiring spree, or wondering why growth suddenly feels harder than it used to, your company is moving through predictable stages that every successful business experiences.
Most businesses follow a similar arc: the scrappy launch phase, the exciting (and exhausting) growth phase, and eventually the more stable maturity phase. But here's what's interesting - understanding exactly where you are in this journey isn't just helpful, it's crucial. Each stage has its own playbook, its own pitfalls, and its own opportunities. Miss the signs, and you might find yourself trying growth strategies when you should be focusing on stability, or playing it safe when it's time to take calculated risks.
Launch
Let's be honest - the launch phase is a rollercoaster you never quite feel ready for. Whether it takes you six months or two years to get off the ground, you'll probably spend most of that time wondering if you're doing everything wrong. (Spoiler alert: everyone feels this way.)
The statistics don't sugarcoat it either – according to the U.S. Bureau of Labor Statistics, one in five businesses won't make it past their second birthday. Why? Because launching is essentially an expensive experiment where you're paying to learn. You're hemorrhaging money on everything from your first hires to figuring out what customers want, all while bringing in barely enough revenue to keep the lights on.
If you're the founder, congratulations - you just became the CEO, head of sales, customer service rep, and probably the person who fixes the printer when it jams. The weight of every decision lands squarely on your shoulders.
Now, here's where things get interesting. Should you implement a formal business operating system (BOS) right out of the gate? Most scrappy startups skip this entirely - and honestly, that's often fine. When it's just you and a couple of teammates, you can pivot on a dime and make decisions over coffee.
But if you've got funding burning a hole in your pocket, consider this: putting some basic structure in place early isn't about slowing you down - it's about not having to rebuild the airplane while you're flying it later. Think simple systems that grow with you, not corporate bureaucracy that suffocates your startup energy. And whatever you do, don't try to DIY this part. When you consider what disorganization is costing you - missed opportunities, talented people getting frustrated, your own time being pulled in too many directions - most businesses find that hiring a BOS expert pays for itself pretty quickly. Besides, there are enough things to figure out on your own without adding “BOS expert” to your already impossible job description.
Growth
Congratulations - you survived the launch phase! Now welcome to growth, where success creates a whole new set of problems you never saw coming.
If you're in tech, this phase might hit you like a freight train within your first couple of years. If you're in manufacturing or another traditional industry, you might have a more leisurely 3-5 year runway to get here. But here's the thing - even making it this far puts you ahead of nearly half of all businesses, since 45% don't survive their first five years according to the U.S. Bureau of Labor Statistics.
When growth kicks in, it's intoxicating. Sales are climbing, customers are multiplying, and you're finally seeing real revenue and profits. You might even start believing you've figured this whole business thing out. Then reality hits: rapid growth is expensive. You're hiring faster than you planned, your cash flow looks like a roller coaster, and you're scrambling to keep up with demand you prayed for just months ago.
And just when you think you've got it handled? The growth engine starts to sputter. Markets get saturated, competitors notice your success, and suddenly those beautiful growth curves start to flatten. Welcome to the shake-out phase - it's not personal, it's just business math.
Here's what most founders do wrong: they wait until they're drowning in chaos to implement real systems. Picture this - you can't find important documents, can’t locate information in that fancy CRM you implemented, your team doesn't know who's responsible for what, conversations feel productive in the moment but somehow leaves everyone more confused than when it started, and your brilliant strategic plans die somewhere between conception and execution. Sound familiar?
The smart move is to build your operating system while things are still manageable, not after everything's on fire. Think of it as installing guardrails before the mountain road gets dangerous, not after you've already gone over the cliff.
And here's something else that might surprise you: the visionary leadership style that got you here might not be what gets you to the next level. Growth requires someone who loves the nuts and bolts - the person who brings order from chaos and gets excited about processes, structure, and making sure things actually get done. If that's not you (and it often isn't for founders), it might be time to find your operational counterpart. And I'm talking about a real COO here, not an assistant or Operations Manager you've given a fancy title. You need a heavy hitter who can build the infrastructure and get you humming. But here's the thing – very few COOs have the skill set to design and implement these systems from scratch, many are better at managing operations that are already in place. If your COO falls into that second category, you'll need a BOS expert to help build the infrastructure first, then hand it off to your operational team to run.
Maturity
So you made it to maturity - welcome to the elite 30% club! Only three out of ten businesses survive their first decade according to the U.S. Bureau of Labor Statistics. If you're reading this from your established company, take a moment to appreciate what you've accomplished. Seriously, you've beaten some tough odds.
But here's where things get interesting (and a little scary): maturity isn't a destination where you get to coast. As Bette Davis said, “getting old is not for sissies”. It's actually a crossroads where you'll face one of three paths.
Path #1: Sustained Momentum (Business Transformation = Growth)
These are the companies that figured out how to stay hungry even when they're well-fed. They've built a BOS that actually works - not just fancy org charts, vague policy manuals, and ineffective processes for performance tracking, but real operating systems that help them adapt, innovate, and stay ahead of the curve. Here's what's beautiful about these businesses: the founder can finally focus on big-picture strategy while their COO handles the day-to-day execution. It's like having a well-oiled machine that runs itself while you're designing the next version.
Path #2: Stagnation (Business Misalignment = Slow or flat growth)
This is where a lot of good businesses slowly die. Everything feels fine on the surface - you're profitable, customers are happy enough, employees show up. But underneath, things aren't quite clicking. People are in roles that don't fit, your systems are held together with duct tape and good intentions, and innovation happens about as often as leap years.
The good news? Stagnation isn't a life sentence. Some owners are perfectly happy running a lifestyle business that pays the bills and doesn't demand 60-hour weeks. But if you want more and you're stuck, it's usually because your internal systems haven't evolved with your business. The same scrappy approach that got you here won't get you there.
Interestingly, stagnant businesses can be goldmines for the right buyer - someone who sees the potential you've stopped pursuing.
Path #3: Fail to Recover (Refuse to Change = Decline)
These are the businesses that refuse to acknowledge that the world changed while they weren't looking. They keep doing what worked five years ago, even when it clearly doesn't work today. Market share shrinks, top talent leaves, and eventually, they're either closing doors or selling for whatever they can get.
The tragedy? Most of these declines are preventable with the right systems and leadership adjustments.
The bottom line: maturity is when your BOS matters most. It's the difference between thriving for another decade and becoming a cautionary tale.
Ready to figure out which path you're on? Let's talk - email me at gail@gailworonick.com for a free consultation where we can assess where your business stands and what your next move should be.