In the news release, New Study Identifies "Scaling Gap" as Primary Reason Businesses Stall After Early Growth, issued 29-Apr-2026 by Scaling.com over PR Newswire, we are advised by the company that the URL for the full report that was not originally included has been added. The complete, corrected release follows:

New Study Identifies "Scaling Gap" as Primary Reason Businesses Stall After Early Growth

59% of business leaders say they've mistaken being busy for making progress, revealing a hidden barrier to scaling

SALT LAKE CITY, April 29, 2026 /PRNewswire/ -- Most businesses don't fail because of lack of demand—they stall because they reach a critical but largely misunderstood phase where their current growth strategies no longer work. In fact, 59% of business leaders admit they've mistaken being busy for making progress, highlighting how easily companies plateau despite continued effort.

A new national study from Scaling.com—co-founded by the authors of The Science of Scaling—defines this phase as the "Scaling Gap"—the point where companies with early traction struggle to transition into sustained, exponential growth. Based on a survey of 1,000 U.S. business leaders at companies generating $1 million or more in annual revenue, the research finds the biggest barriers to scaling are internal—not external.

"Many leaders assume growth will continue if they just work harder or invest more," said Benjamin Hardy, PhD, co-founder of Scaling.com. "What this study shows is that scaling is a fundamentally different phase—one that requires new systems, new thinking, and often difficult structural changes."

Business owners cite resource limitations (58%), economic conditions (54%), and internal operational constraints (48%) as the top drivers of stagnation. At the same time, nearly half point to financial risk (49%) and operational strain (44%) as the biggest reasons they hesitate to pursue aggressive growth.

Additional key findings include:

• Internal structure is the primary constraint.
  Resource limitations (58%), economic conditions (54%), and operational inefficiencies (48%) are the top drivers of stagnation.
• Scaling requires reinvention, not optimization.
  78% say achieving 10X growth would require major changes to sales and marketing, and 75% to business strategy.
• Leaders themselves are often the bottleneck.
  61% say they are a bottleneck in sales and marketing, 54% in strategic focus, and 53% in operations.
• Talent and focus drive disproportionate outcomes.
  67% report having at least one employee limiting growth, while only 50% believe their current team can support 10X growth.

The research also reveals a key contradiction: while many leaders see themselves as the primary driver of growth, they are often the individuals limiting it—through decision-making bottlenecks, lack of delegation and structural inertia.

"Scaling isn't about adding more—it's about removing what no longer works," added Blake Erickson, co-founder of Scaling.com. "The businesses that break through are the ones willing to fundamentally change how they operate—not just optimize what they've already built."

Unlike traditional growth reports that focus on a single stage, the Scaling.com study examines how mindset, strategy, and organizational design must evolve across revenue tiers—from $1M to $100M+—to sustain momentum.

To download the full report, click here.

About Scaling.com
Scaling.com is a research-driven platform focused on helping business leaders break through growth plateaus and build companies that scale sustainably. Through proprietary research, strategic insights, and practical frameworks, Scaling.com equips founders, executives, and leadership teams with the tools needed to move from early traction to long-term, exponential growth.

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SOURCE Scaling.com