Knowing when bigger isn't better
More people doesn't automatically mean more profit. Some shops are most profitable at five.
Measure profit per head, not just total
Net profit divided by total team count tells you whether growth is helping. If it's falling as you add people, growth isn't paying for itself.
Some trades have natural team-size sweet spots
Most owner-operated trades have a profit cliff around 8 to 12 people, where the next layer of management is required but not yet affordable. Plan for it or hold smaller.
Smaller and tighter is a valid strategy
A five-person shop with strong systems and high margins is a great business. Don't let outside pressure to 'grow' override what's actually working.
Take your version of this question further
This is one operator-tested angle on the question. Your shop, your size, your trade, and your team change the answer. Ask your specific version inside Ask a Shop Owner to get a response grounded in how owners like you actually handled it.