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Trimming The Fat In Order to Stay Alive

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Yesterday Seth Godin wrote an amazing post, The Illusion of Scale.

He highlighted how it can be dangerous sometimes when we chase scale in a business.

And then today, the idea was cemented in my head when I listened to a Tim Ferriss Podcast with Michael Dell.

Dell talked about how at some point they were doing $800-$900 million to balloon to $2.1 billion in revenue in one year.

That rapid growth almost killed them because they didn’t have the capital to finance the growth, the right team to run an operation of that size, and the proper structures.

Every entrepreneur wants to see his company scale but sometimes, if you grow too fast and too wide, that rapid growth and scale could be what kills you.

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