Webinar Recap: The Expansion Trap with Jon Ryan & Homepros

The strategies that drive growth and bring in new leads are usually the toughest to sustain as your business scales. And home service businesses often get stuck at a particular point of growth—or even start to decline—for this very reason. 

Hatch calls this the expansion trap, and that’s what we tackled in this webinar with Alec Stevanovski of Homepros and Jon Ryan of Genz-Ryan.

Watch the full webinar here.

Top takeaways

1. As your business grows, success depends on how well you nurture and follow up on every lead. You can't assume the phone will ring on its own; you must actively engage, provide clear next steps for each customer, and ensure no opportunity is left behind.
2. Start building "big business" processes now as a small business. Plant the seeds early, but it's crucial that the systems you create are realistic, obtainable, and designed for growth.
3. Consistent follow-up is key to success, and tracking your data will show the importance of nurturing leads and acting quickly. If you're serious about growth or sustainability, you can't succeed without a platform that supports this system.
4. You've already invested in acquiring leads, so don’t let them slip away. Nurture them, follow up, and be consistent. With automation tools like Hatch, you don’t have to worry about getting hung up—let the system handle the follow-up for you.
5. AI CSRs are the future. AI empowers your team to focus on high-level, strategic thinking by handling routine tasks and level 1 interactions. It won't replace your staff but will allow them to concentrate on what drives revenue.

Webinar recap

Introduction

• Panelist introductions:
  • Alec Stevanovski: Founder of Homepros, a digital media company covering the HVAC industry, delivering news and trends to the industry.
  • Chris Bache: Co-founder and CEO of Hatch, an AI platform for CSRs that supports home improvement and home services businesses.
  • Jon Ryan: Owner and President of Gens Ryan Heating, Air Conditioning, Plumbing, and Electrical, a second-generation family business.
• The goal: The webinar will explore challenges and strategies to scale while avoiding common traps companies face at different revenue stages.

The expansion trap: companies get stuck at a certain stage

• Jon describes common revenue “milestones” where companies tend to hit operational limits (e.g., $10M, $15M, $20M).
• Challenges post-COVID: Many businesses grew rapidly but struggled with management layers and processes that weren’t built to handle the growth.
• "The people that got you here, may not be the ones to get you to the next stage." Growth requires different systems, processes, and talent.
• Hiring the right management is tough; finding industry-experienced supervisors is critical but challenging.
• Small companies can pivot easily, but larger businesses require systems and processes that slow down their ability to change quickly.

Traditional solutions and their limitations

• Jon points out that many strategies (e.g., "just spend more on PPC") are no longer sufficient for growth at scale.
• Many companies still rely on promoting internal staff to management roles, but this doesn’t always work when specialized skills are needed.
• Field supervision becomes harder as the company scales, as management layers create disconnects from frontline workers.
• Financial oversight becomes critical as companies grow, requiring a stronger financial controller to manage the complexities.
• Companies hit a “growth plateau” where they don’t make more money despite more revenue, because resources are stretched too thin.

AI & automation

• Chris highlights the role of AI in automating processes like lead generation and customer follow-up, allowing businesses to grow without needing to constantly add staff.
• AI-driven systems like Hatch allow companies to nurture leads, track progress, and ensure that every customer interaction is optimized without over-reliance on human resources.
• Jon adds that using AI helps businesses handle growing call volumes and maintain quality service while reducing human error and overhead.
• Example: Gens Ryan ran a successful AI-driven “tune-up campaign,” booking 700 appointments using automated systems with little human intervention.
• Small businesses can invest in scalable tech early to avoid later inefficiencies, emphasizing the importance of starting nurturing processes and lead follow-up from the beginning.

AI in the next 6-12 months

• Chris predicts that AI will soon be able to handle "level one" customer service tasks, enabling businesses to handle lead qualification and other routine tasks more efficiently.
• Jon echoes this, emphasizing how AI will allow teams to focus on higher-level thinking while automating routine customer service work.
• AI and automation will increasingly help companies manage call volume and customer requests more efficiently, handling common tasks like scheduling, follow-ups, and lead nurturing.
• AI won’t replace humans, enabling businesses to grow without continually adding to their headcount, making scaling more sustainable.

Closing remarks

• Key takeaway: Growth is hard and never an overnight success, but with the right technology and processes, it’s possible to scale effectively without falling into the expansion trap.
• Both Chris and Jon emphasize the need for persistence, learning from mistakes, and using tools like AI to stay ahead of the curve.
• Jon offers to connect with attendees via LinkedIn for further questions, signaling the session's close.
• A closing poll pops up for attendees to express interest in further content from the panelists.

Watch the full webinar here.