Montag, 04 August 2025 12:56

Scaling a Startup: What to Expect When Growth Gets Real

Illustration of people working on an airplane mid-flight, assembling it while flying — a metaphor for scaling a business while still building core systems and processes.

The Reality of Scaling Up a Company (Especially for First-Time Founders) 

Scaling a company is never as straightforward as the books or podcasts make it sound. Most founders know the theory, they studied business, read startup blogs, maybe even worked in high-growth companies before. But nothing truly prepares you for when you're the one sailing the boat. And even for experienced founders, the biggest constraint is often time. Time is always short, demands multiply fast: suddenly, you’re hiring 10 people within weeks, building processes on the fly, and realizing that what worked for five people breaks at 15, then again at 50 until the next inflection point.

Even with strong traction, the scale-up phase brings unfamiliar challenges. How do you grow your team without losing your early culture? How do you build internal structures without losing agility? How do you manage cashflow during rapid growth, where costs often rise faster than revenue?

These are not abstract concepts anymore. They are urgent, operational decisions with consequences.

VCs and advisors can offer valuable input, but when it comes to the day-to-day reality of scaling, it is rarely enough on its own. More often than not, founders find themselves navigating these challenges with limited support, learning by doing, under real pressure.

Scaling for the first time? It feels a lot like building a plane while flying it. And it can feel...lonely. 

In this article, I will unpack the most common pitfalls founders face when scaling, with a special focus on the unique realities of scaling in Germany. I will also share practical tips and concrete steps to help you scale your business more sustainably.

Scaling Gets Messy: It Is Not Just a Matter of Experience, It Is a Time Issue Too 

Why is scaling harder than it looks on paper? One of the biggest hurdles isn’t a lack of knowledge: it’s the constant time pressure combined with applied experience gaps.

Here are a few examples founders know all too well:

    • You quickly discover that hiring eats up entire days. Half your “perfect candidates” ghost you. Your current team is too stretched to assist with interviews. Every hour spent recruiting is an hour not spent improving the product or serving customers. Finding quality candidates without overspending or getting buried in irrelevant resumes is another real challenge.
    • You might know how organizational charts work, but building one while your company grows from 3 to 15 and beyond, is a completely different story. At that stage, it's no longer realistic for one person to manage everyone directly. Suddenly, you need reporting lines, managers, compensation structures, and a leadership style that enables others to lead.
    • You know structured processes matter, documentation is important, maybe you even got a 1 (this is the top in Germany) in Operational Excellence back at university. But in the daily chaos of a growing business, there’s barely time to write down standard operating procedures (SOPs) or establish structure. And every new hire amplifies the chaos unless processes evolve.

These issues pile up fast. And while corporates follow established playbooks, scaleups often find themselves building structure as they go.

What Founders Wish They Had Known Before Scaling: 5 lessons 

Here are the five themes we hear most often from founders reflecting on their journey:

1. Growth feels like a surprise, no matter what

You plan for scale, but when it happens, it still catches you off guard. Suddenly you have more customers, more hires, and more complexity, all at once. Don’t underestimate how fast things break when growth kicks in.

 2. You need processes, even if you hate them 

Most founders resist the idea of becoming "too corporate" and they want to do things differently. For good reason: you want to stay lean, flexible, and avoid the bureaucracy that slows big companies down. But without basic processes, scaling falls apart. 
You need simple things like onboarding, hiring steps, and decision rules. 
Skipping this early means misalignment, frustration, and lost time.

3. Hiring defines the next stage

Your early hires shape your company. 
The people you bring in at 15, 20, or 30 employees set the tone for the next phase. 
If you rush this or skip clear expectations, you pay for it later with turnover and culture problems.

4. What worked at 5 people breaks at 15, and again at 30

Small team habits don’t scale. Processes that felt natural stop working. Communication turns chaotic.  Many founders look back and wish they had built structure sooner.

5. Your role will change, whether you like it or not

At first, you build. Later, you manage others who build. 
You can’t be involved in every decision. If you try, you become the bottleneck. 
Shifting from “doer” to “leader/enabler” is tough, and most founders underestimate how hard that feels.

Deep-dive: Common Challenges of Scaling Up in Germany 

Germany offers a strong startup ecosystem, but scaling here brings its own complexities: some common across Europe, others unique to the German context. Here are some examples:

1. Bureaucracy and Long Timelines

    • Scaling in Germany is not easy: the system moves slow. 
    • Compared to countries like the UK, Estonia, the Netherlands, or the US, Germany's lengthy timelines create additional friction for fast-growing companies.
    • On top of that, scaleups face fragmentation and a relatively heavy compliance burden. Regulations such as the Lieferkettengesetz (Supply Chain Act), CSRD (Corporate Sustainability Reporting Directive), and ongoing VAT reforms add complexity and increase costs. 

2. Talent Challenges

    • 60% of German scale-ups say finding the right people is their biggest problem.
    • You compete not only with other startups but also with Germany’s big industrial companies that offer steady jobs and good benefits.
    • Many younger employees, especially Gen Z, want flexibility, purpose, and time for themselves. That can be hard to deliver when your company is growing fast and under pressure.
    • Additionally,81 % of founders report that securing non-EU talent is very difficult due to visa delays, German legal processes, and housing challenges 

3. Risk Aversion in the Culture and Investor Community

    • Germany's business culture is more cautious, with founders and investors often scaling more conservatively compared to markets like the US or UK.  
    • Late-stage funding is tough to secure, which means fewer bold moves, slower growth, and less international expansion.
    • Scaling takes capital and a higher appetite for risk. But many investors here still hesitate, and that holds companies back.

4. Challenges for Foreign Founders

    • If you are not from Germany, it gets harder. The language, the culture, and the legal system all add barriers. As one founder put it: 

“It feels like there is a constant stream of fairly complicated things that are, of course, in German, which you need to be dealing with.” - Sifted

    • Other countries like France, Italy, or Spain have similar challenges. But compared to the UK, the US, the Netherlands, Estonia,... Germany feels much tougher.
    • Without a German co-founder, local partner, or trusted advisor, navigating it all quickly becomes harder than expected.

5 Tips to Scale-up your Business Effectively and Sustainably 

Here is what we recommend to scale up your business and manage the high growth grow and complexity that comes with it.

1. Take Care of Your Processes Early

 As Matteo Berlucchi said at the ESI 2024 conference: “Taking care of company culture and internal processes often comes too late.” Don’t wait. Build simple processes and document as much as po from day one. LINK

Ask yourself: “Will this process still work in 12 months?” If the answer is no, fix it now before it breaks later. 

2. Build a Flexible Organizational Structure

Teams grow and change fast. Roles will shift and multiply. Be prepared to change your org structure when you pass major inflection points (e.g. from 3 to 10, from 10 to 30, from 30 to 50+,...). Clarity of roles and responsibilities beats fancy titles every time.

3. Do NOT Underestimate Cultural Fit

Skills are important. But culture fit is just as critical.

Hiring fast without checking fit leads to expensive turnover and bad vibes. Slow down, be intentional, and look for people who match your team’s spirit.

4. Adopt a Growth Management Mindset

Growth isn’t just sales or hiring more people. It’s also about building internal structure : processes, teams, and organization that can grow with you.

Treat growth management like a core business skill. Companies that do this well scale faster and smoother.

5. Seek External Support if needed

No founder knows everything. The right advisors can save you time and mistakes. If you’re scaling in Germany as a foreign founder, a local partner who knows the language and market is a huge advantage. 

How Iceventure Supports Scale-Ups 

We offer a range of services, from market research to business plan support, pitch deck reviews, go-to-market strategy, and tailored support for scaling. 

For scaleups specifically we offer: 

    • Growth Management Workshop - "Wachstum managen" by Iceventure 
      This entry-level, academically-backed training is designed specifically for founders, CEOs, and leadership teams of companies experiencing or preparing for rapid growth. Unlike typical sales-focused scale-up programs, this workshop addresses the strategic, organizational, and cultural challenges that arise as companies transition from small, flexible teams to larger, more complex organizations. 
    • Scale-Up Services: Our services for scale-ups focus on highly practical organizational development, specifically designed to support fast-growing companies.
    • Experience with the German market: Our managing director is a native German speaker, and we have extensive experience working with German companies as well as international clients.

Most founders face their first scaling challenges with limited experience. Structured support accelerates your learning curve and helps you avoid costly mistakes.

Conclusion: High Growth Needs to be Managed 

The scaling phase is very often unpredictable. You will face challenges, mistakes, and growing pains. But you do not have to navigate them alone.If you are ready to scale with less stress and fewer mistakes, Iceventure can help.

Contact us for tailored advice.

Have a "first time" story from your scaling journey? We would love to hear it.

About Iceventure 

Iceventure, now headquartered in Rome as of 2024, is a niche entrepreneurial consultancy specializing in strategy consulting, business development, innovation, and business intelligence. Our team advises clients across Germany, Italy, the EU, and globally, employing a networked consulting approach critical for the 21st century. This approach integrates detailed sector analysis, global market insights, and an understanding of value creation, supported by our team's extensive experience across finance, innovation, startups, and various industries.

Gelesen 223 mal Letzte Änderung am Montag, 04 August 2025 13:38
Back to top
Wir benutzen Cookies

Wir nutzen Cookies auf unserer Website. Einige von ihnen sind essenziell für den Betrieb der Seite, während andere uns helfen, diese Website und die Nutzererfahrung zu verbessern (Tracking Cookies). Sie können selbst entscheiden, ob Sie die Cookies zulassen möchten. Bitte beachten Sie, dass bei einer Ablehnung womöglich nicht mehr alle Funktionalitäten der Seite zur Verfügung stehen.