Building a business from the ground up is an exhilarating ride—fast decisions, scrappy solutions, and a tight-knit team working towards a common goal. But as your company grows, those once-efficient, off-the-cuff approaches can start to cause real headaches. Suddenly, you’re dealing with salary disputes, promotion inconsistencies, and a hiring strategy that feels more like a last-minute scramble than a structured plan. Sound familiar?

If so, you’re not alone. Many businesses hit the same growing pains on their journey from start-up to fully functioning mid-sized company. The good news? There are practical HR and Talent Acquisition (TA) strategies that can help smooth the transition. Here’s what you might be facing—and how to fix it.

1. Salary Chaos: Inconsistency Comes Back to Bite

In the early days, salary discussions were likely ad hoc—based on gut feel, candidate negotiations, or just what you could afford at the time. Now? Employees are talking, and the inconsistencies are glaring. Some are being paid significantly more than others for similar roles, and it’s causing tension.

The Fix:

• Establish clear salary bands and appraisal structures.
• Conduct a compensation audit to address disparities before they escalate.
• Be transparent about how pay decisions are made to build trust.

2. Promotion Problems: Unclear Criteria = Unhappy Teams

Your first internal promotions probably went to the people who had been there the longest or had performed well in their current role. But now, employees are wondering why some get promoted while others are left behind. Without clear promotion criteria, resentment builds, and you risk losing top talent.

The Fix:

• Define clear, measurable promotion criteria for each role.
• Implement structured performance reviews to assess readiness.
• Communicate career pathways so employees know what it takes to progress.

3. Reactive Hiring: Always Playing Catch-Up

When growth accelerates, hiring is often reactive—filling gaps when someone leaves or when workload becomes unbearable. The result? You’re always one step behind, struggling to scale effectively.

The Fix:

• Implement workforce planning to anticipate future hiring needs.
• Build talent pipelines so you have pre-qualified candidates ready when needed.
• Align hiring with business goals to ensure long-term sustainability.

4. Ignoring Peaks & Troughs: The Hidden Hiring Trap

You didn’t plan for bonus season attrition, a major new client win, or seasonal hiring spikes—and now you’re scrambling to fill positions at the worst possible time.

The Fix:

• Map out key hiring cycles based on business and industry trends.
• Prepare a contingency plan for high turnover periods.
• Consider contract or project-based hiring solutions for temporary demand surges.

5. Overpaying for Recruitment: The Agency Dependence Problem

When hiring needs spike and you lack internal TA capability, recruitment agencies become your go-to. While they provide quick solutions, the costs add up fast. If agency fees are eating into your budget, it’s time to rethink your approach.

The Fix:

• Invest in an internal recruiter or TA team to reduce agency reliance.
• Build a strong employer brand to attract candidates organically.
• Use referral programs and direct sourcing to cut costs while maintaining quality.

Final Thoughts: Scaling Without the Growing Pains

Growing from a start-up to a mid-sized business is a huge achievement, but it comes with challenges. The key is shifting from reactive decision-making to proactive HR and TA strategies. Address salary inconsistencies, set clear promotion criteria, plan hiring strategically, and optimise your recruitment spend.

By tackling these growing pains head-on, you can build a sustainable, thriving business—one that’s ready for the next stage of success.

Does any of this sound like your business? If so, it might be time to reassess your HR and TA strategies before the pain points turn into major roadblocks.