About Sustained Growth
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What is Sustained Growth?
Sustained growth is more than steady progress—it's powerful, long-term performance that transforms companies and regions alike. Defined as businesses that increase their capacity (e.g., full-time employment) in at least two out of five consecutive years, sustained growth companies are rare—but their impact is enormous.
From 2018 to 2023, sustained growers made up just 0.5% of all surviving businesses, yet they were responsible for 72% of net new job creation in the U.S. economy. (See our White Paper for more data.) These high-performing firms consistently outpace competitors by making better growth decisions, grounded in strategic clarity, operational discipline, and a long-term mindset.
Sustained Growth Companies Perform Differently
Sustained growth companies don't just grow more—they grow smarter. Across all industries and regions, they are better at:
- Introducing new high-margin offerings
- Attracting and retaining highly profitable customers
- Sustaining strong margins on existing offerings
- Using value-based pricing strategies
- Generating superior free cash flow
- Building motivated and aligned teams
- Expanding into new geographic markets
- Self-funding growth through retained earnings
- Growing while staying rooted in their home communities
These firms make better coordinated decisions—and it shows in both their top-line and bottom-line performance.
This is the focus of our executive leadership training which we provide directly to companies and via sponsoring economic development agencies.
Why it Matters
Each year that a business grows it significantly increases the odds it will grow again. In fact, a single year of growth raises the odds of business survival over the next five year by 50% while raising the odds of future sustained growth by 156%.
But the benefits extend well beyond the company itself. Sustained growth firms play a transformational role in regional economic development. Compared to other firms, they are more likely to:
- Boost household income growth in their communities
- Create demand for skilled workers and managerial talent
- Provide generous employee benefits
- Invest in diversity as a competitive advantage
- Support philanthropy and local causes
- Choose to stay and expand in their home region
These are the companies that build resilient economies and strong communities.
The #1 Barrier to Sustained Growth
Why don’t more companies achieve sustained growth?
It’s not lack of capital. It’s not poor technology, tough markets, or workforce shortages.
The biggest barrier is uncertainty in decision-making. In the chaos of day-to-day operations, most managers simply don’t know which decisions to prioritize for long-term growth. When executives have a clear roadmap and decision-making framework, most other challenges—like efficiency, retention, and profitability—become far easier to solve.
The 50 Growth Decisions That Matter Most
Through partnerships with Inc. Magazine, multiple U.S. states, and the National Center for the Middle Market, we conducted the most comprehensive studies ever on what drives sustained growth. Out of more than 500 leadership decisions tested, only 50 decisions were found to significantly increase the odds of long-term business growth.
These decisions are not isolated—they are part of an interdependent system. When aligned properly, they create compounding advantages that unlock increasing returns and lasting performance.
These 50 growth decisions form the Core Curriculum of our Sustained Growth Training programs. Training is delivered directly to executive leaders through our Executive Education, or training can be sponsored by Economic Development in partnership with policy entrepreneurs. Please visit those tabs to learn more.