Author: Martín Di Lorenzo - mb&l consultores

Stagnation is not failure: it’s a natural stage of growth

In our experience working with SMEs across various industries, there’s a scene that plays out more often than most realize. A company launches, grows, finds its market, hires people, builds a position. And then… things flatten out.

Sales stop rising, internal energy fades, results level off (or drop), and what once flowed now feels stuck. That feeling has a name: the plateau.

And no, it’s not a sign of failure. It’s part of the journey.

A story from my childhood: my uncles had a farm in the western part of the country. I used to visit during school holidays. One year, I watched as a large company pulled young onion sprouts out of the soil, packed them into boxes, and shipped them to my uncles, who then replanted them. Months later, they were harvesting onions… I didn’t understand the logic until someone explained it: when you remove seedlings from their native soil—when it looks like they might die—they actually strengthen and grow faster.

Why do SMEs hit a plateau?

Because growth brings complexity. And often, the design on which the company was originally built can’t support the new scale.

In general, we find some common causes:

• A strategy that hasn’t been revisited: mission, vision, and goals defined years ago continue to guide decisions, even though the market, competitors, and customers have evolved.
• Processes that didn’t scale: what was once handled with effort and goodwill now needs structure, tools, and clearly defined roles.
• Inadequate technology: teams rely on patchwork solutions, custom-built tools, or basic systems that no longer suffice.
• Lack of change management: as people, departments, and services are added, there’s no unifying narrative or cohesive culture to align the team.

The most common symptom: doing more of the same

Often, when companies hit a plateau, the instinct is to “accelerate”: more meetings, more pressure, more campaigns. But if the issue lies in the design, no amount of effort will fix it. It’s like rowing harder in a boat that’s lost its rudder.

So what now?

What we propose at MB&L is not to start over—but to review things methodically. Reassess strategy, processes, technology, and change management. Focus on the root cause, not just the symptom.

Because you don’t overcome a plateau by rushing. You overcome it by redesigning.

And stagnation, if properly understood, can be the prelude to a new leap forward.

If you have questions or would like to discuss this natural “plateau phase,” feel free to reach out. We’d be happy to explore this and other business topics with you.

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