May 27, 2025 • Articles / Resources, Scale Community

Why Scaling Companies Starts with Scaling People

ScaleCreation Series, Part 1: Scaling Companies Starts with Scaling People

At ScaleCo, we believe that successful businesses are not built by products, processes, or technology alone. They’re built by people. That’s why the People component of our Codex is at the center of everything we do. It shapes how we evaluate, invest in, and grow companies across the lower middle market.

Operational Excellence Starts with EOS®

Across ScaleCo and our portfolio companies, we use the Entrepreneurial Operating System® (EOS) — a proven framework designed to help organizations clarify their vision, gain traction, and build repeatable processes.

At the heart of EOS is its People component, which ensures we have the Right People in the Right Seats — a principle that drives much of our investment and operational approaches.

To learn more about the People Component, check out the book: People – Dare to Build an Intentional Culture.

Right People. Right Seats.

The “Right People” are individuals who embody a company’s core values — the nonnegotiable traits that define its culture and mission. The “Right Seats” are roles in which these individuals are naturally positioned to succeed, thrive, and contribute at a high level.

To support this alignment, we use EOS tools like the Accountability Chart and the GWC framework (Get It, Want It, Capacity To Do It). These help us clarify responsibilities and ensure each team member fits both the company culture and the role’s requirements.

A People-First Playbook

Whether we’re backing a first-time CEO or partnering with an established leadership team, our approach begins with people. Here’s how we support talent development from day one:

  • Clarify roles and responsibilities through the Accountability Chart
  • Define and reinforce core values that drive hiring and team culture
  • Identify leadership gaps and proactively coach or recruit to fill them
  • Build a culture of accountability, where clear expectations drive performance

We’ve learned that attempting to scale without the right leadership in place leads to misalignment, inefficiencies, and missed opportunities. But when people are aligned with vision, culture, and structure — that’s when companies thrive.

Scaling Companies by Scaling People

At ScaleCo, we believe that the path to sustainable growth runs through strong, aligned leadership. Investing in people isn’t a side initiative — it’s the foundation of everything we do.

Because in the end, scaling a business means scaling the people behind it.

Want to learn more about our Team Alignment process? Reach out to Holli Roberts, Director of Scale Creation, for more information.

 

Don’t miss the next installment in our five-part series, where we break down each of the key focus areas from our Codex that drive value and minimize risk during rapid growth.

About ScaleCo

ScaleCo Capital is a Cleveland-based control investor in companies with less than $5 million of EBITDA headquartered in the Great Lakes region. ScaleCo has made over 22 platform investments and 25 add-on investments. ScaleCo collaborates with companies in the fields of business services, tech-enabled services, value-added distribution and assembly, and training and compliance, providing operational expertise and strategic resources to enhance their growth potential and develop long-term value. To learn more, visit scaleco.com.

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