Growing While Losing $250,000 a Year [Episode 230]

Revenue growth can make a company look stronger while the real economics get worse. More clients, more employees, and more activity can still produce weaker margins, lower profit quality, and mounting EBITDA pressure when pricing, delivery, and client fit are off. What feels like momentum can actually be expensive growth hiding inside the model. By the time leadership fully sees the damage, it is usually already buried in labor cost, underpriced agreements, churn, and the declining value of the business. The real risk is not slower growth. The real risk is building a larger company on economics that were already starting to fail.