I'm approaching $2M now and I'm starting to feel it too. I think $2M is the new $1M. Something changes at that milestone where your company turns into a different animal from the ordinary mom and pop small business. It's simply too complex to micromanage at that point, so you're forced to either delegate or fall apart. I've really learned the power of delegating in recent months, and it feels like having a superpower. We can get so much done simultaneously by giving different people on my team tasks that I would ordinarily do myself. My role has shifted from the guy who does the hard stuff, to the guy who helps my team do the hard stuff.
Same. We're at $2M and it's just my husband and I, his parents, and one part time 65 year old tech. We're heading more towards the "falling apart" stage. We're struggling to find good talent and everything is on the two of us. We're both working 14 hour days, six days a week, going into work and desperately praying we can survive ten years and retire. I hope we can turn it around and get some help.
I need more information. But when I listen to this first thing that comes to mind is are you paying your guys well? Odds are if you are they will sell the company to their friends or circle of reach that your staffing issue will improve. Like paying them slightly above market, providing lunch let’s say once a week, giving them some bonuses on good quarters regardless off if they are just laborers. Odds are the good ones will take some stress of your plate… just my two cents. It’s not always about expanding, work work work or keeping the lionshare for yourself. This is is how most labor operators think.
I learned something from from a older guy once upon a time. He told me the best foreman is the guy that doesn't want it. He told he that after I was a foreman. I never wanted that position. I got into the business for a total different reason. I do get some part of what I wanted but I can also can teach and convey my position not doing what I wanted. It sucks some days but other make it well worth.
Happy to be geting in front of these "problems" with the motion into making this an automated process that doesnt need me front and center except for larger decisions. I can not be part of the business equity, and I have to build myself out if it. This is creating a "fun" learning for me.
90% of people that start a business really just want a job where they don’t have to answer to anybody. This guy is in the same position. If you’re nervous about taking a hit from 250 grand down to 125 while you’re growing into a new phase of business, then you got into business so you could have a job without a boss.
Dave, you missed two important things here. First, the people he has have worked to get him to his level. They took a chance on a new business with hope to grow. Second, I doubt he hired all donkeys. No matter who he hires or how much he pays them, until he learns to delegate to others, no one will be successful. There is only one reason why nothing gets done when he is gone. One, and that his him. He leaves, and then when he returns and someone has taken any initiative, I will bet he berates them because that is not how HE would have done it, or worse, it wasn't HIS idea so it can't be right. Not that what the employee did was wrong and didn't solve the problem. I've seen that happen many times in small businesses.
This is so true. I'd scaled down my operation in the cabinet business (age related) and worked at other shops. Dear Lord! It's almost inconceivable how poorly other businesses are run and managed. Even though I what I'd consider fundamental (Arrive early, keep shop clean, offer different methods of building and operating) SOOOO many places are so dysfunctional and toxic in management styles (lots of anger, belittling, crazy unrealistic deadlines) that working there was pure hell. So I would bet this gentleman may not know how to delegate or properly train and cross train people to do the tasks and operations necessary.
Its possible the employees arent proactive and require someone to micro manage tham. I have seen many people in small/big businesses that wont do anything unless they are told what to do. The worst type are those who will get instructions they know are wrong and still do it no questions asked.
@@webfreakz I worked for two family owned businesses, never again. This is why, when it comes time to recognize the employee's contribution the owner suddenly seems confused about how much all that struggle those employees suffered through to help make the business solid. I've heard owners claim their salary is the lowest of the staff. What they mean is the amount they "pay themself" on a regular basis. They never consider any draws they might make or the profit the business earned and they got 100%.
@@USMC6976 oh I know the tricks... working for a company that was small but is now purchased by Private Equity investors and we're in multiple countries now company value is nearing $1B. I never got my overtime hours paid, never got an ESOP or stocks..
I would love to work for this guy remotely and help him build his business and give him a break .As a former business owner I totally understand where he's coming from . I wonder how he's incentivezing his employees? What is his marketing strategy?
This thing has been his baby since day 1 and he loves the security of getting a great result by being involved in every facet of the business. But now, the business is getting so large it's starting to overwhelm him and he's gotta learn to let go of that certainty of outcome and trust others to take on key responsibilities. Not an easy thing to do.
That's the issue I have. We are in very specialized trade and I'm reluctant to let somebody else "handle" the customers. Next thing you know they quit and either become your competition or go to work for your competition and take your customers with them.
The team also isn’t worried about the bottom line as much as you and thus sometimes makes better decisions…it cost more money…and you may or may not have spent those additional monies simply because at the end of the day…it’s your decision..!!
Nope. He said he just finished paying off his debts. That tells me he doesn't have another couple million lying around. His business is valued at 2-4x SDE, which is what he's bringing home as an owner/operator. Based on what he said, his business might be worth about $1 mil. He probably needs to grind for a couple more years. If he can find the right person to run his operations, he can sell the business for more because he would just need an investor, not an owner/operator to buy it.
"Hard work and planning lead to prosperity, but hasty shortcuts lead to poverty" "The hands of the dilligent lead to prosperity as surely as slack hands lead to poverty" - Also Proverbs
@@ProCoach2373 Proverbs 10:4 - "Lazy hands make for poverty, but diligent hands bring wealth." Explicitly says "wealth" here so you can't play semantic games. Deut 30:9-10 " Then the Lord your God will make you most prosperous in all the work of your hands and in the fruit of your womb, the young of your livestock and the crops of your land. The Lord will again delight in you and make you prosperous, just as he delighted in your ancestors, 10 if you obey the Lord your God and keep his commands and decrees that are written in this Book of the Law and turn to the Lord your God with all your heart and with all your soul." Prosperity here refers to work, children, livestock and crops (symbols of wealth back then).
@@wittenberg5 How about we approach this with openness as fellow believers vs. trying to be right? But what is the real reason he will allow us to prosper? I believe it's because we put Him first, move closer to Him, and love people FIRST. I've personally struggled with the love of money. It's easy to say we don't love money, until God challenges us to trust Him and leave our old identities and priorities behind. He's still humbling me.... Wealth simply means we have more than we need of anything. By modern definition, you could say it's money, but it could be a variety of things. Here's what I know personally, at the point in my life when I was making the most money, it was a time in my life when I was unfulfilled and to a large degree, unhappy. God was urging me to move on and serve a higher purpose for Him. It's been challenging, but an unbelievable journey where I feel like I'm honoring my God given gifts to make a real difference.
@@ProCoach2373 Thanks for sharing that. I completely agree with you that God has to be first and that we can't allow money to capture our heart or fall into the trap of putting God's blessings above God himself. However, I don't think that money itself is evil or ungodly, and I have heard many Christians say or imply that money is unspiritual and inappropriate for a Christian to have. The overwhelming theme of Proverbs is that if we acquire wisdom and live in a way that aligns with what God wants for us: integrity, hardwork, planning, wise choices that will lead to peace, a deeper relationship with God, better relationships with those around us and material wealth. I don't think that as Christians we should shun money or shame those who are good at acquiring it. If money becomes an idol or if God is calling you to do something that doesn't earn as much money I agree you should step back. If you are looking at money as a source of fulfillment or validation I agree you will be empty and I have experienced that as well. But if you see money as a tool and a resource, and you see yourself as the temporary manager of it I think you can have God first, a successful business and a good life and not be outside of God's plan or will for your life.
You will hire the wrong people that will cost you money bit its a process. So that you will learn who to hire and what to look for based on that business you running. Once you are good with whag you do, you will no longer do that yourself because you will be managing other to do these task for you. Sime will be bad hire, some will be great hire but they will leave and start their own business knce they learn the trick. Its ok. The key is knowing all you need just a few good guys like yourself to do the most essential. Its not possible all 1000 in daves building care. Thats just not possible. Its same as all other companies, most of them just there for pay check thats why these just low level guys then they are the essential ones only a few.
As recession fears mount on Wall Street and inflation remains well above the Fed's 2% target, some of the top commentators in markets, business, and economists have been sounding off on just how bad they think the next downturn might be - and how far stocks may have to fall. I need ideas and advice on what investments to make to set myself up for retirement, my goal is to have a portfolio of at least $850k at the age of 60.
The professionals presently control the market since they not only have the essential business strategy but also have access to inside information that the general public is not aware of.
A lot of folks downplay the role of advisors until being burnt by their own emotions. I remember couple summers back, after my lengthy divorce, I needed a good boost to help my business stay afloat, hence I researched for licensed advisors and came across someone of utmost qualifications. She's helped grow my reserve notwithstanding inflation, from $275k to $850k.
@@MartinBibeau I just googled her and I'm really impressed by her credentials; I reached out to her since I need all the assistance I can get. I just scheduled a caII.
He got success on the backs of other people. While paying the workers chump change. Share your profits with your workers instead of accumulating greed. More houses, more cars, more everything. This isn't success, this is torture.
![The Wall Song ร้องข้ามกำแพง | EP.215 | พาเวล นเรศ - พูห์ กฤติน | 17 ต.ค. 67 [1/5]](http://i.ytimg.com/vi/IUzrjuf60P4/mqdefault.jpg)
I'm approaching $2M now and I'm starting to feel it too. I think $2M is the new $1M. Something changes at that milestone where your company turns into a different animal from the ordinary mom and pop small business. It's simply too complex to micromanage at that point, so you're forced to either delegate or fall apart. I've really learned the power of delegating in recent months, and it feels like having a superpower. We can get so much done simultaneously by giving different people on my team tasks that I would ordinarily do myself. My role has shifted from the guy who does the hard stuff, to the guy who helps my team do the hard stuff.
One of the most informative comments I have ever seen under a DR video. Well said! If you started a podcast or a channel I bet people would listen in!
Thank you for sharing!
Same. We're at $2M and it's just my husband and I, his parents, and one part time 65 year old tech. We're heading more towards the "falling apart" stage. We're struggling to find good talent and everything is on the two of us. We're both working 14 hour days, six days a week, going into work and desperately praying we can survive ten years and retire. I hope we can turn it around and get some help.
$2M Is the new $1M once the government gets their hands on their share 😅
@@sabrinaa4872same. I'm at 5m per year and last months worked the fewest hours. Just lots of thinking.
Then there are those of us who cared and the owner didn't.
To quote DJ Khaled, he's suffering from success.
My employer lost enthusiasm about paying me overtime as agreed. I lost my enthusiasm about caring!
Sell the landscape business!! Focus on dumpster rental business! Much better margins and less to manage
The most brilliant advice ever!!! Thank you!!!
I need more information. But when I listen to this first thing that comes to mind is are you paying your guys well? Odds are if you are they will sell the company to their friends or circle of reach that your staffing issue will improve. Like paying them slightly above market, providing lunch let’s say once a week, giving them some bonuses on good quarters regardless off if they are just laborers. Odds are the good ones will take some stress of your plate… just my two cents. It’s not always about expanding, work work work or keeping the lionshare for yourself. This is is how most labor operators think.
I learned something from from a older guy once upon a time. He told me the best foreman is the guy that doesn't want it. He told he that after I was a foreman. I never wanted that position. I got into the business for a total different reason. I do get some part of what I wanted but I can also can teach and convey my position not doing what I wanted. It sucks some days but other make it well worth.
Happy to be geting in front of these "problems" with the motion into making this an automated process that doesnt need me front and center except for larger decisions.
I can not be part of the business equity, and I have to build myself out if it.
This is creating a "fun" learning for me.
90% of people that start a business really just want a job where they don’t have to answer to anybody. This guy is in the same position. If you’re nervous about taking a hit from 250 grand down to 125 while you’re growing into a new phase of business, then you got into business so you could have a job without a boss.
That's a lie though, even owning a business you have plenty of bosses (customers) that you have to answer to.
Dave, you missed two important things here. First, the people he has have worked to get him to his level. They took a chance on a new business with hope to grow. Second, I doubt he hired all donkeys. No matter who he hires or how much he pays them, until he learns to delegate to others, no one will be successful. There is only one reason why nothing gets done when he is gone. One, and that his him. He leaves, and then when he returns and someone has taken any initiative, I will bet he berates them because that is not how HE would have done it, or worse, it wasn't HIS idea so it can't be right. Not that what the employee did was wrong and didn't solve the problem. I've seen that happen many times in small businesses.
This is so true. I'd scaled down my operation in the cabinet business (age related) and worked at other shops. Dear Lord! It's almost inconceivable how poorly other businesses are run and managed. Even though I what I'd consider fundamental (Arrive early, keep shop clean, offer different methods of building and operating) SOOOO many places are so dysfunctional and toxic in management styles (lots of anger, belittling, crazy unrealistic deadlines) that working there was pure hell. So I would bet this gentleman may not know how to delegate or properly train and cross train people to
do the tasks and operations necessary.
Its possible the employees arent proactive and require someone to micro manage tham. I have seen many people in small/big businesses that wont do anything unless they are told what to do. The worst type are those who will get instructions they know are wrong and still do it no questions asked.
we didn't hear if he actually tried to delegate things, Dave has immediately jumped to the fire 'em all and rehire better ones!
@@webfreakz I worked for two family owned businesses, never again. This is why, when it comes time to recognize the employee's contribution the owner suddenly seems confused about how much all that struggle those employees suffered through to help make the business solid.
I've heard owners claim their salary is the lowest of the staff. What they mean is the amount they "pay themself" on a regular basis. They never consider any draws they might make or the profit the business earned and they got 100%.
@@USMC6976 oh I know the tricks... working for a company that was small but is now purchased by Private Equity investors and we're in multiple countries now company value is nearing $1B. I never got my overtime hours paid, never got an ESOP or stocks..
I would love to work for this guy remotely and help him build his business and give him a break .As a former business owner I totally understand where he's coming from . I wonder how he's incentivezing his employees? What is his marketing strategy?
A lot of us in ththe 1-3 mil range treadmillin!
This thing has been his baby since day 1 and he loves the security of getting a great result by being involved in every facet of the business. But now, the business is getting so large it's starting to overwhelm him and he's gotta learn to let go of that certainty of outcome and trust others to take on key responsibilities. Not an easy thing to do.
Pay for performance
He seems reluctant to delegate as the staff might be potentially future competitors
💯
That's the issue I have. We are in very specialized trade and I'm reluctant to let somebody else "handle" the customers. Next thing you know they quit and either become your competition or go to work for your competition and take your customers with them.
Meanwhile 5 grand would change my life
The team also isn’t worried about the bottom line as much as you and thus sometimes makes better decisions…it cost more money…and you may or may not have spent those additional monies simply because at the end of the day…it’s your decision..!!
They can be. Give the crew leader a % of his crew's gross profit. I promise he will be thinking about salaries, crew count, margin, etc.
Pay for education to your employers or/and hire in employers with the right skills and educations
with 500k you paid to yourself, more than half of that goes to taxes. On behalf of uncle Sam, thank you.
Yep😊
Seem like he is getting what he is paying for.
Well luckily he can stop whenever he wants now
Probably not actually. People usually let their expenses rise to whatever level their income is.
Nope. He said he just finished paying off his debts. That tells me he doesn't have another couple million lying around. His business is valued at 2-4x SDE, which is what he's bringing home as an owner/operator. Based on what he said, his business might be worth about $1 mil. He probably needs to grind for a couple more years. If he can find the right person to run his operations, he can sell the business for more because he would just need an investor, not an owner/operator to buy it.
Hire an operator and remove yourself from the day to day.
Solid
Enough of a carrot and almost any competent donkey can become a race horse.
Incentive incentive incentive! Hands completely off. If you need to manage - your approach is wrong.
Not even close😂😂
Don't wear yourself out to get rich. -Proverbs
"Hard work and planning lead to prosperity, but hasty shortcuts lead to poverty"
"The hands of the dilligent lead to prosperity as surely as slack hands lead to poverty"
- Also Proverbs
@@wittenberg5 How do you define prosperity?
@@ProCoach2373 Proverbs 10:4 - "Lazy hands make for poverty, but diligent hands bring wealth." Explicitly says "wealth" here so you can't play semantic games.
Deut 30:9-10 " Then the Lord your God will make you most prosperous in all the work of your hands and in the fruit of your womb, the young of your livestock and the crops of your land. The Lord will again delight in you and make you prosperous, just as he delighted in your ancestors, 10 if you obey the Lord your God and keep his commands and decrees that are written in this Book of the Law and turn to the Lord your God with all your heart and with all your soul."
Prosperity here refers to work, children, livestock and crops (symbols of wealth back then).
@@wittenberg5 How about we approach this with openness as fellow believers vs. trying to be right? But what is the real reason he will allow us to prosper? I believe it's because we put Him first, move closer to Him, and love people FIRST. I've personally struggled with the love of money. It's easy to say we don't love money, until God challenges us to trust Him and leave our old identities and priorities behind. He's still humbling me.... Wealth simply means we have more than we need of anything. By modern definition, you could say it's money, but it could be a variety of things. Here's what I know personally, at the point in my life when I was making the most money, it was a time in my life when I was unfulfilled and to a large degree, unhappy. God was urging me to move on and serve a higher purpose for Him. It's been challenging, but an unbelievable journey where I feel like I'm honoring my God given gifts to make a real difference.
@@ProCoach2373 Thanks for sharing that. I completely agree with you that God has to be first and that we can't allow money to capture our heart or fall into the trap of putting God's blessings above God himself. However, I don't think that money itself is evil or ungodly, and I have heard many Christians say or imply that money is unspiritual and inappropriate for a Christian to have. The overwhelming theme of Proverbs is that if we acquire wisdom and live in a way that aligns with what God wants for us: integrity, hardwork, planning, wise choices that will lead to peace, a deeper relationship with God, better relationships with those around us and material wealth. I don't think that as Christians we should shun money or shame those who are good at acquiring it. If money becomes an idol or if God is calling you to do something that doesn't earn as much money I agree you should step back. If you are looking at money as a source of fulfillment or validation I agree you will be empty and I have experienced that as well. But if you see money as a tool and a resource, and you see yourself as the temporary manager of it I think you can have God first, a successful business and a good life and not be outside of God's plan or will for your life.
"It's so hard to get people to make money for me." Boo hoo every business owner ever.
It's called risk😂😂🎉
You will hire the wrong people that will cost you money bit its a process. So that you will learn who to hire and what to look for based on that business you running. Once you are good with whag you do, you will no longer do that yourself because you will be managing other to do these task for you. Sime will be bad hire, some will be great hire but they will leave and start their own business knce they learn the trick. Its ok. The key is knowing all you need just a few good guys like yourself to do the most essential. Its not possible all 1000 in daves building care. Thats just not possible. Its same as all other companies, most of them just there for pay check thats why these just low level guys then they are the essential ones only a few.
It isn’t hard to hear the “hee haw”….
As recession fears mount on Wall Street and inflation remains well above the Fed's 2% target, some of the top commentators in markets, business, and economists have been sounding off on just how bad they think the next downturn might be - and how far stocks may have to fall. I need ideas and advice on what investments to make to set myself up for retirement, my goal is to have a portfolio of at least $850k at the age of 60.
The professionals presently control the market since they not only have the essential business strategy but also have access to inside information that the general public is not aware of.
A lot of folks downplay the role of advisors until being burnt by their own emotions. I remember couple summers back, after my lengthy divorce, I needed a good boost to help my business stay afloat, hence I researched for licensed advisors and came across someone of utmost qualifications. She's helped grow my reserve notwithstanding inflation, from $275k to $850k.
@@MartinBibeau Please can you leave the info of your lnvestment advsor here? I’m in dire need for one
@@MartinBibeau I just googled her and I'm really impressed by her credentials; I reached out to her since I need all the assistance I can get. I just scheduled a caII.
Hire some damn help.
And pay them!
He got success on the backs of other people. While paying the workers chump change. Share your profits with your workers instead of accumulating greed. More houses, more cars, more everything. This isn't success, this is torture.
Go start your own business. The workers risk NOTHING the owner risks EVERYTHING. This is something communists and losers don't understand😂😂🎉