7 Costly Mistakes Companies Make Without a Fractional COO
- Priyanka Kedia
- Oct 3
- 2 min read
Scaling from $5M to $100M isn’t just about selling more—it’s about managing complexity. Many founders don’t realize how small gaps in operations quickly snowball into expensive mistakes. Here are the most common pitfalls we see when companies try to scale without senior operational leadership:
1. Ignoring Cash Flow Until It’s Too Late
Revenue looks great, but liquidity vanishes. Without tight cash flow planning and inventory forecasting, companies find themselves overstocked or underfunded.
2. Operating Without Clear KPIs
If you can’t measure it, you can’t manage it. Teams chase goals without accountability, and founders are left guessing if execution matches strategy.
3. Delaying Technology Investments
ERP, IMS, and demand planning tools often get pushed off “until later.” That delay becomes costly when growth outpaces manual processes.
4. Overpaying on Logistics and Manufacturing
Without cost benchmarking and global sourcing strategies, companies overspend on freight, warehousing, and production—cutting deep into margins.
5. Expanding Retail Without Operational Readiness
Entering retail requires strong cash flow analysis, distributor management, and compliance. Skipping these steps creates deductions, chargebacks, and lost shelf space.
6. Burning Out the Team
“Just get it done” only works so long. Without structured processes (EOS, OKRs, S&OP), the team becomes stretched, reactive, and inconsistent.
7. Waiting Too Long to Bring in Leadership
Many founders assume they’ll bring on a COO “later.” But by then, messy operations have already slowed growth and scared off investors.
The Fix: Fractional COO Support
The right fractional COO embeds into your business, solves these problems before they snowball, and scales processes to support growth. Flexible leadership, proven systems, and actionable execution—without the full-time overhead.
👉 At Kedia Consultants, we specialize in guiding companies through this stage with proven systems for finance, operations, and expansion.



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