By Scott Arnot December 2025
Setting the foundations of a business matters more than you think. It would be fair to say I’ve been through many ups and downs in business, and through these challenges I came to realise setting the foundations of your business is so important. Here are some steps I believe you should take right now to prepare yourself for growing a business.
When I went into business for the first time in 2007, life was simpler and decisions were made in a reactive way… To get trading – we had to set up a company, an investor needed a business plan – so we produced one, the business required staff – so we hired some. Don’t get me wrong, there was a lot of forethought that went into how thing would operate, but in terms of laying foundations, it just wasn’t a priority… This would come back to bite me in a big way.
Post exiting the business, I now have the privilege and responsibility of advising others as they prepare for growth. In this role, I run the East Renfrewshire Accelerator (ERA) programme and see firsthand how newly established founders/business owners are full of the drive, passion and ideas required to grow. But growth without structure is like building a house on sand, it might look good for a while, but eventually, it sinks.
So what do strong foundations look like?
- Clear and structured shareholders agreements and articles of association
- Clarity on margins. Don’t just chase sales, look at the profit of your sales.
- Scalable systems. Whether finance or operations, your systems need to grow with you.
- Focus on what matters. It’s easy to get distracted by shiny opportunities. Know your value proposition and double down on it with a solid plan.
It is vital to create a business plan for any growth phase of your company. There are some people who can successfully grow a business without a clearly defined plan, but in my experience, they are few and far between. Usually, it’s the planning that makes the difference, ideally driven by effective market research and with clearly defined steps that will help accelerate growth and keep you accountable.
The reality is that when you’re in the growth phase of a business, sometimes getting away from operations to concentrate on where you’re going can be extremely difficult. However, if you’ve set up the foundations in a structured way, you’re more likely to succeed, therefore its crucial that you do take this step.
If you’d like to grow your business and want some advice on how to go about it, please get in touch via scott.arnot@cjmlumina.co.uk