😬 Avoid these 3 critical mistakes that sank a thriving agency

We recently helped a client add $500,000/year in revenue in just 5 months.

But after he stopped working with us…

He lost it all.

Here are 3 common mistakes he made that you NEED to avoid to not sink your business…

Emotions Don't Scale

This founder is a heart-driven CEO, who wants to help as many people as possible.

The downside of this is he wanted to spread the wealth as soon as he started scaling.

Instead of making calculated promotions of his talent, he made emotional promotions…

And began promoting talent too soon, overpaying his team, until he was overspending on talent by $30k/mo!

The lesson here?

Don’t promote and overpay talent until your business (and talent) is ready.

Attention to Detail

This guy is a sales/marketing-driven founder, and doesn’t like paying attention to details.

He over-delegated and over-trusted his team, which led to:

• Overspending because he wasn’t auditing finances.

• Failing to catch team members who were leaking company information because he didn’t audit comms.

• Couldn’t see that his head of sales was doing an awful job because he never audited any of his sales calls.

If you don’t build a habit of auditing every part of your business, you’ll be stuck putting out fires later.

The best solution for this is implementing an end of day report for all data points and all project management statuses.

Scaling Too Fast

His final nail in the coffin?

Scaling too fast.

The second you hop on the agency prison flywheel, it’s very hard to hop off.

Here’s how scaling too fast can negatively compound:

1. Sales come in quickly and you say yes without fully assessing operational capabilities.

2. You begin to hire more, pay more, and staff up in anticipation of continuous growth.

3. Quality begins to drop because ops, training, management processes aren’t built well enough.

4. Fires begin popping up in several places inside your business.

5. Clients begin to churn.

6. You keep selling to avoid losing revenue, and the cycle continues.

At a certain point, you stop proactively building your business, and begin reactively solving the fires that come up.

When this starts, it’s almost impossible to catch up to, and can take 12-24 months to be able to slow down to start solving things correctly again.

How to Avoid These Issues

1. Cap Monthly Sales

Pick a conservative number that you can comfortably grow with.

It will be less net new monthly revenue than you desire, but it will create a sustainable process to build as you grow.

Meaning, if Agency A has the ability to sell 10-15 retainers per month, they cap out at 5.

2. Build Everything

Everything needs to have a process.

• Operations

• Fulfillment

• Customer Success

• Training

• Management

• Client calls

• Souring

• Hiring

• Interviewing

• Succession planning

• Data attribution

• Capacity planning

• And more

If you don’t have defined processes that are followed, sustained and continually improved, you aren’t ready for sustainable growth.

3. Hold Weekly and Monthly Business Reviews

Encourage your team to learn how to make the business better and drive improvements via these business reviews.

If you don’t know how to run these meetings, keep following my content so you can learn when I publish how!

Is Your Agency's Growth Sustainable, or a Ticking Time Bomb?

Today's cautionary tale shows how rapid growth without proper systems can lead to devastating consequences.

If you're struggling to balance growth with operational stability, or finding it challenging to maintain quality as you scale, you're not alone.

Many agency owners face these exact challenges as they grow.

At 8 Figure Agency, we specialize in helping agency owners like you build sustainable, scalable businesses.

Our approach ensures you avoid common pitfalls like:

• Emotional decision-making in hiring

• Lack of attention to crucial operational details

• Scaling too fast without proper systems in place

While helping you build:

• A clear roadmap for sustainable growth

• Systems to maintain quality as you scale

• Processes for effective auditing and continuous improvement

Our team of experts can work with you to set up your business for long-term, sustainable growth and scale.

If you’d like to see how we can make this happen for you…

👉 Book a call with our team here 👈

And let’s get to work on setting you up for the success you deserve!