Losing Your Ambition? Hold On.
An under-discussed reason why eight-figure brands stall? Founders lose their ambition. Cash flow is stable and ample. The salary is very nice now. Why rock the boat with risky bets on acceleration?
Nah. Just reinvest those profits into owner payouts, not growth.
I get it. There is probably no Board to pressure further growth. Even measured growth.
It’s your business. You built it, so this is a valid business choice in a free market and open society.
I see that many people who get here are caving to a new set of fears they didn’t imagine when they started. Just make sure you’ve stepped back from each of the following common fears:
- Fear of Losing it All – I’ve run the data on this, and the odds of 8-figure brands declining, let alone disappearing, are low. The primary unknown is whether you will grow and how fast. To succeed, however, you must reinvest your profits into the business. If you like your salary, there is no reason NOT to run a break-even P&L as a private, growth company. EBIT is for those hellbent on selling. Otherwise, you are just feeding the tax coffers at the expense of your own growth.
- Fear of Running a Larger Operation – You can learn this. Get professional coaching. Excellent people are available—even folks like myself who have worked with many companies at all stages of development.
- Fear of Raising Outside Capital – You now have the leverage to get preferred terms from more ethical investment outfits. The good faith actors are ethical because they are successful. They don’t go anywhere near companies less than $10-15M ARR for a reason – they can’t make the numbers work and do NOT like bullying owners into crazy behavior to get a rushed exit. It’s sloppy and amateurish.
Don’t give up on growth out of these fears. Remember all those who would cut off their limbs to get where you are. It’s a privilege worth taking to the next level to have a really big impact on society.