Is the “Get Big Fast” Mentality Hurting Your Small Business?

In a recent episode of The Small Business Radio, I spoke with Dave Wharton, a former venture capitalist at Kleiner Perkins and author of “Another Way: Building Companies That Last and Last and Last”. Our discussion provided a refreshing perspective on how small businesses can succeed by rejecting the dominant “get big fast” narrative in favor of building evergreen companies—businesses designed for long-term sustainability, profitability, and purpose.

Wharton began by addressing the dangers inherent in the current obsession with rapid scaling, billion-dollar valuations, and aggressive fundraising. He described how the startup world often glamorizes so-called unicorns, but the reality is starkly different: very few companies ever reach that status, and most fail or become stagnant. This high-stakes approach frequently leads to unsound business practices such as poor unit economics, high customer churn, and a lack of profitability—all of which make a business vulnerable during economic downturns. Wharton urged small business owners to reconsider whether chasing venture capital and scale is the best or only path forward. Instead, he advised assessing your business model based on its ability to stand independently, generate sustainable profits, and deliver real value to customers.

Looking back at the evolution of venture capital, Wharton noted that prior to the late 1990s, companies were expected to be profitable and stable before going public. But the Netscape IPO in 1995 shifted investor expectations, ushering in an era where speed and growth took precedence over fundamentals. Today, venture capital funding is more abundant but also less disciplined, creating an uneven playing field for small businesses. Wharton recommended that entrepreneurs study how enduring companies like Microsoft and Amazon were initially built—on modest capital and solid fundamentals—and advised being highly selective with any outside investment, ensuring that it aligns with the company’s mission and long-term goals.

At the heart of the conversation was Wharton’s advocacy for the evergreen company model. Evergreen businesses aren’t designed to sell quickly or chase market hype. They are built to endure, focusing on real profitability, treating employees well, and contributing positively to their communities. These companies are less reliant on continuous fundraising and more capable of weathering market turbulence. Wharton emphasized the cultural advantages of this model, where strong internal values foster loyalty, motivation, and long-term thinking.

One of the central principles of evergreen companies is prioritizing profitability over unbridled growth. Borrowing a phrase from business thinker Clayton Christensen, Wharton encouraged entrepreneurs to be “impatient for profits and patient for growth.” Establishing profitability early allows businesses to maintain control, reinvest strategically, and scale responsibly—without being overly dependent on external capital or investor pressure. This profit-first mentality also creates a more stable foundation and better customer experiences, which are critical for lasting success.

Wharton also championed the use of low-cost experiments to reduce risk and promote learning. In contrast to the dot-com era’s high-stakes gambles, today’s smart businesses take a leaner approach: testing ideas through pilots or minimum viable products (MVPs) to gather feedback and iterate. This process allows for rapid pivots and smarter resource allocation. Small experiments not only limit downside risk but also create a culture of adaptability and continuous improvement.

Innovation, Wharton argued, should be pragmatic and intentional—not driven by hype, but by a desire to serve customers better and grow sustainably. He advised business owners to engage in what he calls “learning journeys”: connecting regularly with peers, seeking mentorship, attending industry events, and staying intellectually curious. Importantly, he urged companies to document lessons learned and foster an environment where experimentation is both encouraged and systematically reviewed.

Finally, Wharton emphasized the role of purpose as a guiding force for resilient businesses. A clearly defined mission helps align teams, improves decision-making, and becomes a critical source of strength during challenges. Too often, accepting venture funding shifts a company’s focus to maximizing investor returns, which can dilute or even contradict the founder’s original mission. A purpose-driven company, by contrast, maintains strategic coherence and attracts employees who are motivated by more than just financial incentives.

In sum, Wharton’s message is clear: long-term, sustainable success doesn’t come from chasing growth for its own sake. It comes from building a company grounded in solid fundamentals, committed to profitability, and anchored by a meaningful purpose. For small business owners navigating today’s volatile landscape, the evergreen model offers not just a strategic alternative—but a more human, resilient, and fulfilling way to build a company that truly lasts.

Listen to the entire interview on The Small Business Radio Show.

This article, "Is the “Get Big Fast” Mentality Hurting Your Small Business?" was first published on Small Business Trends