5 Lessons from Design Icon Nate Berkus on Building Lasting Companies

On the surface, Nate Berkus and a software consultant couldn’t operate more differently. One designs multimillion-dollar homes for the wealthy and famous. The other implements CRM and AI systems for small business owners. Yet after a candid conversation, both realized they’d learned nearly identical lessons about scaling companies, keeping clients satisfied, and building teams that endure.

Berkus founded Nate Berkus Associates over 30 years ago, a luxury interior design firm that has become legendary. He’s appeared constantly on The Oprah Winfrey Show, hosted shows on HGTV, and earned countless industry awards. His company now employs about 50 people. The consultant, with roughly 10 employees, has spent three decades writing, speaking, and advising. Their paths diverge completely, yet their wisdom converges.

Delegation Is Not Optional

Before his father passed away in 2005, the consultant was a solo operation with one family member. After that loss, he hired staff, built teams, and delegated work. That’s when revenue actually increased.

Berkus learned the same hard truth: “Entrepreneurs eventually have to let talented people represent their brand,” he explained. “The founder’s job shifts from doing the work to creating systems and hiring people who can deliver the same quality.”

This isn’t about abandoning your creation. Clients still want Berkus involved, just as they wanted the consultant on their projects initially. But involvement doesn’t mean doing everything yourself. The owner can remain involved from a distance, maintaining quality control while freeing up bandwidth.

“The client knows that I’ve always looked at it before it goes out the door,” Berkus said. “If somebody that represents me is suggesting something, it’s because I’m suggesting it as well.”

Stay Connected to Your Core

The consultant maintains one long-term client: a 150-person paper and film manufacturing company in Bucks County, Pennsylvania. He visits for a few hours almost every week. Those visits keep him grounded in real business challenges, even as his firm has grown to over 600 clients.

Berkus does the same. Despite a demanding media schedule that pulls him in countless directions, he stays deeply involved in the day-to-day design work.

“I was a designer first and will always be a designer,” he emphasized. “I didn’t feel like I’d have the credibility that I wanted unless I was still very much involved in the day-to-day design process with my firm and clients.”

The reputation that built your company should continue informing everything else you do. Neglect this, and you risk becoming a figurehead disconnected from the work that made you relevant.

Know What You Know, and Say No

Both men have learned that expertise matters. After decades implementing technology and advising on finances, the consultant grew confident in his knowledge. Berkus evolved similarly. They both understand something their clients often don’t, regardless of how much the clients believe they do.

That confidence translates to boundary-setting. Both men are adamant about saying no to clients when they disagree with an approach.

“Of course, we don’t just say no without a reason,” Berkus clarified. “But over the years, we’ve built a foundation of principles, and we require our clients to respect our process.”

Clients hire experts precisely because they can’t do it themselves. They’re paying for expertise and experience. Undermining that dynamic serves no one.

Own Your Mistakes

As a young accountant, the consultant made a spreadsheet error. When the client noticed, he deflected, avoided calls, and made excuses. He still regrets it.

Grown-ups own up to mistakes. Berkus agrees that accountability usually solves more problems than excuses ever will.

“I like accountability,” he said. “I found myself as a customer being diffused almost instantly when somebody says, ‘You’re right, and here are my ideas to navigate it.’”

Clients can accept problems. They rarely accept defensiveness.

Hire People Smarter Than You

Despite speaking and writing about AI, the consultant doesn’t believe automation replaces human talent. His firm relies more on people than ever. He now prefers hiring people smarter than himself, though he only recently became comfortable with this approach.

Berkus understood this principle much earlier: “Strong entrepreneurs know what they aren’t good at and let others handle it.”

Berkus recognizes employee loyalty generously, offering flexibility, job recognition, gold watches, and Chanel bags at work anniversaries. It’s not sentiment. It’s strategy. Both men are business owners with decades of experience, marked by mistakes but guided by genuine care for their teams and clients.

The results speak for themselves.

Source: Entrepreneur