Daniel Marcos outlines business scalability guidelines.


According to Daniel Marcos, CEO of the Growth Institute, there are numerous opportunities for business growth, regardless of size. However, there are also numerous cases where a company can stagnate or, in the worst case, regress until it goes bankrupt.

As stated by the business scalability expert, only one percent of Mexican companies will scale. “In fact, 75% of them will fail before their second year”, he said.

Daniel Marcos explained that this 1% experiences scaling because their income grows faster than their expenses; additionally, because they recognize their strengths and weaknesses, they manage themselves better and focus on the scaling plan.

He also emphasized that in order for a business to be scalable, the leader must keep his team and himself constantly learning, otherwise -he claims- it will be difficult to make better decisions as a group. 

In terms of the work team, Daniel Marcos stated that no leader has ever accomplished anything on their own, therefore, having a team of people in the right positions and doing the right tasks is a strength for the organization. Furthermore, having a network of mentors and belonging to a community of leaders keeps the leader focused and motivated to guide their team towards their goals and achieve the desired scalability.

In addition, it is necessary to implement strategic plans that can be defined and carried out.

“This is answered by asking the following questions: Where are you going? What do you hope to accomplish? What are your priorities? What are the short, medium, and long-term goals? Are there indicators (KPIs), meters, and those responsible by function? That’s right, all of this on a single page”, he said.

He emphasized that in order to scale, leaders must prioritize an objective and ensure that the entire team is on board with it. This is the BHAG goal, which stands for Big, Hairy, Audacious, Goal. It’s basically a big, bold, hairy goal; in the long run, it’s very ambitious, but it helps you get clarity and alignment on where you want to go.

“If you want to scale, consider how you can eliminate errors in your sales, delivery, production, and collection cycles, as well as how you can shorten the return times of your capital. Also, avoid cash leaks and maintain tight control over how money moves within your organization”, Daniel Marcos advised.