Haley McClain Hill experienced rapid growth in her business, TORCH Warriorwear, which specializes in bodysuits tailored for military women. The U.S. Air Force veteran recalls, “I wanted to travel to conferences and do pop-ups, but I couldn’t because I was shipping everything out of my bedroom.” What started as a response to ill-fitting standard military uniforms soon escalated into a full-fledged business, leaving Haley at a crucial crossroads common to many entrepreneurs: how to scale operations when personal capacity reaches its limits.
Many small business owners may find themselves in similar situations as they transition from side hustles to more established ventures. According to a recent Shopify survey, 64% of businesses in the U.S. start as side hustles or hobbies rather than fully funded startups. In fact, only 27% of U.S. businesses begin as full-time ventures from the outset, highlighting an American approach that favors organic growth through testing and iteration.
Haley’s story is mirrored by Wilglory Tanjong, founder of Anima Iris. Wilglory transitioned from her stable job as an operations manager to document young African entrepreneurs via YouTube. Her passion turned into a thriving luxury handbag brand showcasing African craftsmanship after she invested $5,000 and identified a gap in the market. Anima Iris’ growth skyrocketed, particularly following a high-profile endorsement from Beyoncé, leading to $2.5 million in revenue over five years.
Entrepreneurs like Haley and Wilglory recognize key signs that it’s time to scale. The Shopify survey highlights that 39% of founders perceive a need to set ambitious goals beyond personal capabilities, and another 38% point to consistent revenue growth as a strong indicator. For Haley, increasing inventory demands became impossible to fulfill from her small apartment, revealing that scaling was urgently required.
However, scaling presents both opportunities and challenges for small business owners. For instance, financing can often be a significant hurdle. Traditional banks may not always be reliable partners during critical growth periods. Wilglory encountered rejection from a large U.S. bank despite her growing revenue, illustrating a prevalent issue among Black entrepreneurs. “Working with outdated financial institutions truly hinders the growth of small companies that are doing well,” she shared.
Both entrepreneurs discovered Shopify Capital as a viable alternative for financing. Unlike traditional loans, which require fixed monthly repayments, Shopify Capital allows repayments to flex according to sales revenue. Haley described her experience with the platform saying, “I saw that I could get up to $50,000. It was a no-brainer. My business is growing, so those terms worked for me.” With this financial flexibility, she expanded her inventory and engaged a third-party logistics partner, alleviating operational pressures.
Wilglory also received multiple loans through Shopify Capital, enabling her to concentrate on delivering quality products rather than juggling rigid payment schedules. “Focusing on the things that really mattered allowed me to make those payments and that’s what true small business support looks like,” she noted.
Both Haley and Wilglory emphasize that scaling isn’t solely about financial resources. It also involves recognizing when a business’s demands start to impede growth. "There’s no other option but to figure it out," Haley asserts, echoing a sentiment that could resonate with many in similar shoes.
For small business owners on the brink of scaling, both women suggest listening to the signals their operations send. Unopened customer emails, missed opportunities, or simply the overwhelming nature of current responsibilities all serve as indicators that growth strategies must be reevaluated. Additionally, understanding that flexible financing can facilitate growth—and reduce pressure—will allow entrepreneurs to make decisions from a position of strength rather than scarcity.
Today, Haley is running her business from various locations around the globe, currently in Hawaii and planning for fashion school in Italy, with a growing community of over 1,000 military women ambassadors. Wilglory’s brand now reaches international markets, even selling in high-profile retail stores like Saks Fifth Avenue and Nordstrom.
As entrepreneurs navigate scaling their operations, they must consider not only the practical applications of funding and infrastructure but also the broader implications of their growth journey. For more insights, you can read the original press release on Shopify’s website. Shopify News.
Image Via BizSugar
