Profit First Nation: Recent Episodes
Profit First Nation
Join us on Profit First Nation podcast as we explore playful leadership with Profit First author Mike Michalowicz. Learn how incorporating play into your leadership style can strengthen team bonds, boost morale, and increase productivity. Discover daily huddle secrets and key strategies to create an unstoppable team.
Listen now for actionable insights and transform your business dynamics!
Welcome to this episode of Profit First Nation Podcast, where we dive deep into maximizing your business's profitability through effective payroll management. Discover the secret to tripling the function of your roles without getting hung up on titles.
Learn how to make strategic hiring decisions, use job titles effectively, and set clear success metrics that ensure every dollar you invest in your team works three times harder for your bottom line.
Tune in for invaluable insights on building an unstoppable team that drives your business forward!
“When in doubt, add an account.” Profit First Professional’s Chief Profit Guide, Billy Ann Grigg, discusses the concept of adding additional bank accounts to the Profit First system when necessary.
They highlight the importance of setting up accounts for specific purposes, such as a drip account for managing seasonal income, a payroll account to ensure you never miss paying your employees, and an account for large annual expenses like insurance or subscriptions.
They stress the need to track the return on marketing expenses and allocate funds for education and travel. The episode emphasizes the importance of allocating funds to different accounts to ensure financial stability and clarity in business operations.
TIMESTAMPS:
- [00:45] Importance of additional accounts in the Profit First system
- [01:47] The role of a drip account in stabilizing cash flow, managing retainers and allocation from the drip account
- [08:09] Setting up a payroll account to ensure timely employee payments. Identifying payroll bloat and making staffing adjustments
- [11:16] Tracking ROI on marketing expenses and setting up a marketing account
- [16:38] Avoiding credit card expenses by having the money ready for large expenses
- [21:24] Allocating for education and memberships
- [22:53] Travel accounts for business trips and in-person events
KEY TAKEAWAYS:
- Establishing dedicated bank accounts for specific purposes within the Profit First system helps maintain financial stability and clarity in business operations.
- Accounts like the drip account, payroll account, and marketing account are essential for managing seasonal income, ensuring timely employee payments, and tracking the return on marketing expenses.
- Allocating funds for large annual expenses, education, and travel helps businesses plan and budget effectively, reducing financial stress and improving overall profitability.
In this episode of Profit First Nation Podcast, we dive into the world of Profit First and uncover the top 8 mistakes that entrepreneurs often make when implementing this revolutionary financial system. From neglecting to set realistic profit targets to failing to prioritize profit allocations, these missteps can hinder your business's financial growth.
Join us as we discuss practical strategies to avoid these pitfalls and ensure that you're maximizing your profitability. Whether you're a seasoned business owner or just starting out, this episode is packed with valuable insights to help you take control of your finances and increase your bottom line.
Tune in now and discover how to make Profit First work for you!
If you ever have the slightest intention to sell your business, understanding its value is crucial. Strategic pre-planning for the sale can enhance your value builder score so you sell at a premium multiple of earnings.
In today's discussion, Danielle delves into one of the eight key drivers to improve profitability: monopoly control. Following that, she will explain ten distinct strategies to attain monopoly control.
Whether you are contemplating an exit from your business now or eons from now, this episode is a must for every entrepreneur
IN THIS EPISODE:
- [01:21] What is the value of my business, how do I raise profitability, and what is monopoly control
- [06:24] Danielle shares ten ideas and strategies that will raise your profitability; however, be advised that you won’t serve everyone when you are a monopoly of one
- [10:25] Rule One: Does your technology set you apart
- [14:27] Rule Two: Customization and personalization
- [16:07] Rule Three: Providing exceptional customer service
- [17:16] Rule Four: Package what you offer so that it cannot be price-shopped
- [20:18] Rule Five: Develop brand identity
- [21:46] Rule Six: Create a user experience
- [23:02] Rule Seven: Connecting with other partnerships and collaborations
- [25:02] Rule Eight: Position your business as the industry authority
- [27:56] Rule Nine: Use innovative marketing and selling strategies
- [29:03] Rule Ten: Trial periods and guarantees
KEY TAKEAWAYS:
- Always be conscious of driving the value of your business, especially when considering exiting the business. “Monopoly Control Strategies” such as education and knowledge sharing, innovative marketing and selling, and "done for you" services can significantly impact the valuation of a business.
- Achieving “Monopoly Control” is crucial for maximizing the price and margin in your business. Strategies such as branding, storytelling, and offering trial periods and guarantees can help businesses stand out in the market and dictate pricing.
- Connecting with customers through storytelling, sharing educational content, and offering personalized services. Building a strong brand identity and aligning with customer values can differentiate a business in the market.
Pre-Order ALL IN: How Great Leaders Build Unstoppable Teams https://www.amazon.com/All-Great-Leaders-Build-Unstoppable/dp/0593544501/ref=sr_1_1?keywords=all+in+mike+michalowicz&qid=1700164489&sr=8-1
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
In this episode of Profit First Nation, Danielle discusses the importance of relishing your ownership and maintaining a balance between personal and business finances.
She emphasizes the need to take ownership of key areas in your business to ensure long-term success.
These key areas include owning your day, owning your numbers, owning Profit First, owning leadership, and owning your role in the community.
IN THIS EPISODE:
- [00:20] Danielle introduces the topic of "Relish Your Ownership" and the importance of enjoying business ownership while maintaining financial responsibility.
- [00:46] Personal Piggy Bank: Danielle warns against treating your business like a personal piggy bank, emphasizing the need for financial responsibility.
- [01:12] Five Key Areas of Ownership: Danielle outlines the five key areas of ownership: owning your day, owning your numbers, owning Profit First, owning leadership, and owning your role in the community.
- [03:07] Own Your Day: Danielle discusses the importance of starting your day with intention, following the Miracle Morning routine, and prioritizing tasks.
- [05:48] Own Your Numbers: Danielle stresses the significance of owning your sales numbers, forecasting, pipeline, accounts receivable, and accounts payable.
- [10:53] Own Your Financials: Danielle emphasizes the importance of reviewing income statements, balance sheets, and financial reports regularly.
- [12:21] Taxes and Payroll: Danielle highlights the need to own your business taxes and payroll, and the responsibility of the business owner to ensure accuracy.
- [18:15] Pricing: Danielle discusses the importance of owning your pricing strategy, regularly increasing prices, and focusing on profitability.
- [19:42] Profit First: Danielle advises business owners to own their Profit First allocation percentages and to take an active role in the allocation process.
- [22:17] Be a Leader: Danielle explains the role of business owners in leading clients, vendors, and employees with positivity and encouragement.
- [24:31] Community Involvement: Danielle suggests being cautious about community involvement when it might interfere with running your business effectively.
KEY TAKEAWAYS:
- Start each day with intention by following a morning routine that includes silence, affirmations, visualization, exercise, reading, and journaling. This sets the tone for a productive day and helps you prioritize important tasks.
- Own your sales numbers, forecasting, pipeline, accounts receivable, accounts payable, taxes, and payroll. Regularly review financial reports and ensure accuracy, as the business owner is ultimately responsible for these aspects.
- While it's essential to be a leader in your business, be cautious about overcommitting to community involvement, as it can consume valuable time and resources. Focus on activities that provide a significant return on investment for your business.
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website https://www.daniellemulvey.com/
Danielle Mulvey - Linkedin http://linkedin.com/in/danielle-mulvey-66a315
The All In Company - Website http://theallincompany.com
Profit First Nation - Website http://profitfirstnation.com
Mike Michalowicz - Website http://mikemichalowicz.com
Mike Michalowicz - Linkedin http://linkedin.com/in/mikemichalowicz
Mike Michalowicz - Twitter http://mikemichalowicz
Episodes ending in 0 are Q & A sessions designed to help entrepreneurs operating their businesses in the zone of permanent profitability continue to thrive.
Danielle is excited to host a quiz edition to test your Profit First IQ.
There are no scores today, but the correct answers to these questions determine your prowess to do Profit First right to make your business permanently profitable. Don’t miss it!
IN THIS EPISODE:
- [00:57] Danielle has ten quiz questions today. Question one is: What is real revenue
- [3:07] Do owners who take a salary need a business compensation account
- [4:25] How do you pay as little as possible in taxes
- [7:57] Which account should you pay your taxes from
- [10:45] What do you do with money in your existing bank account when you open a business
- [12:15] Do we address debt by paying off the loans with the highest interest rate or use the snowball effect
- [14:31] Can the owner’s compensation and tax account be combined into one account
- [16:53] How do you calculate target allocation percentages
- [21:45] Do business owners need separate profit and owner’s compensation accounts
- [23:29] At what point in time should I start Profit First for my business
KEY TAKEAWAYS:
- Real revenue in Profit First is determined by subtracting materials and subcontractor costs from total revenue. Allocations and financial decisions are based on this real revenue number.
- Even if business owners take compensation as draws or distributions, Profit First recommends maintaining separate accounts for owner's compensation (acts like regular payroll) and profit (acts like a bonus). This separation ensures clarity and prevents the business from becoming a personal piggy bank.
- Profit First can be implemented in businesses at any stage, even if they are not yet profitable. Starting early helps establish good financial habits, and the system can be adjusted as the business grows and becomes more profitable over time.
Pre-Order ALL IN: How Great Leaders Build Unstoppable Teams https://www.amazon.com/All-Great-Leaders-Build-Unstoppable/dp/0593544501/ref=sr_1_1?keywords=all+in+mike+michalowicz&qid=1700164489&sr=8-1
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
In this ALL IN edition of Profit First Nation, Danielle welcomes Kelly Sullivan Ruta, a clinical psychotherapist turned coach, focused on building an unstoppable team by cultivating emotional agility.
Kelly shares insights into the concept of the Ultimate Inner Operating System, emphasizing the importance of skills like emotional agility and emotional intelligence in scaling a business via power skills.
If you want to learn how to enhance your own emotional intelligence and empower your teams for success, this episode is for you.
TIMESTAMPS:
- [00:19] Introduction to the episode and guest, Kelly Sullivan Ruda.
- [03:31] Discussion on the importance of emotional agility when scaling a business and building a strong team.
- [04:50] Highlighting the impact of emotional agility on talent retention, stress reduction, and avoiding burnout.
- [06:47] Example of a company overcoming challenges through the development of emotional agility.
- [09:19] The significance of incorporating learning and development into an organization for employee satisfaction and business success.
- [14:13] Reframing soft skills as power skills and their measurable impact on business outcomes.
- [16:50] Distinguishing between emotional agility and emotional intelligence.
- [19:06] Connecting emotional intelligence to effective communication, problem-solving, and creating a positive workplace culture.
- [22:27] Emphasizing the importance of aligning team values and the positive outcomes it produces.
Key Takeaways:
- Developing emotional agility is a powerful tool for leaders and teams to navigate challenges, maintain resilience, and create a positive work environment.
- Reframe the terminology from "soft skills" to "power skills" to acknowledge the measurable impact these skills have on business outcomes, team performance, and overall success.
- Emotional intelligence is essential for leaders to connect on a deeper level with their teams, fostering a positive workplace culture, reducing turnover, and increasing employee satisfaction.
Kelly Sullivan Ruta is a clinical psychotherapist of two decades who made a leap into the coaching world to help entrepreneurs create an ultimate inner operating system for scaling without breakdown.
Kelly believes entrepreneurs are perfectly positioned to create a massive positive impact on the planet. But she also knows that no strategy, plan, or tactic will ever outperform one’s mindset, limiting beliefs, conditioned programs, or habits. She is obsessed with helping entrepreneurs do deep inner work while they scale and grow.
Resources:
https://www.linkedin.com/in/kellyruta/
https://www.facebook.com/KellyRutaMentor
https://www.instagram.com/kellysruta/
https://kellyruta.com/
https://kellyruta.com/op/psw-audio-series/
Pre-Order ALL IN: How Great Leaders Build Unstoppable Teams https://www.amazon.com/All-Great-Leaders-Build-Unstoppable/dp/0593544501/ref=sr_1_1?keywords=all+in+mike+michalowicz&qid=1700164489&sr=8-1
ABOUT THE HOST:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $50 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website https://www.daniellemulvey.com/
Danielle Mulvey - Linkedin http://linkedin.com/in/danielle-mulvey-66a315
The All In Company - Website http://theallincompany.com
Profit First Nation - Website http://profitfirstnation.com
Mike Michalowicz - Website http://mikemichalowicz.com
Mike Michalowicz - Linkedin http://linkedin.com/in/mikemichalowicz
Mike Michalowicz - Twitter http://mikemichalowicz
Profit First Professionals - Website http://profitfirstprofessionals.com
Mike Michalowicz - Books http://mikemichalowicz.com/books/
In this episode, Danielle is joined by Mike Michalowicz, the author of Profit First, as they tackle questions from Mike's email inbox regarding doing your Instant Assessment.
In addition to highlighting the importance of adhering to established profit percentages as a business grows, they provide additional guidance to another business owner to use the Profit First Target Allocation Percentages Chart for financial clarity, and help yet another entrepreneur on how to simplify income and expense categorization.
BONUS: Danielle provides additional valuable insights, emphasizing the significance of sales and providing practical pricing strategies for service-based businesses.
IN THIS EPISODE:
- [00:36] Introduction to Episode - Q&A about instant assessments
- [00:47] Question 1 - Real revenue calculation for a fitness equipment distributor
- [04:10] Question 2 - Owner's comp and adjusting allocation percentages as the business grows
- [07:40]Question 3 - Challenges in understanding real revenue for a telehealth business
- [15:36] Question 4 - Calculating materials and subs for a plumbing business
- [21:27] Question 5 - Allocating expenses for an Airbnb management business
KEY TAKEAWAYS:
- For businesses with significant material costs, especially those exceeding 10% of gross revenue, it's crucial to make a real revenue adjustment. Subtracting these costs gives a more accurate picture of the service-based real revenue generated.
- As a business grows or experiences changes, adhere to the Target Allocation Percentages Chart, but be open to dynamic adjustments. Working with a Profit First professional helps in recalibrating allocations based on the current business status.
- Keep expense categorization simple. Break down costs transparently for customers when necessary, allowing for better communication and potentially higher acceptance of fees. If managing multiple entities, maintain clarity by treating each business separately.
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Hiring System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
In this episode of Profit First Nation, Danielle discusses the importance of the "Switzerland Structure" in your business.
The Switzerland Structure is about avoiding over-dependence on a single customer, employee, or vendor to ensure the long-term success and profitability of your business.
Danielle emphasizes the need for diversification, customer value analysis, employee cross-training, and vendor audits.
IN THIS EPISODE:
- [00:27] Introduction to the podcast and the topic of the "Switzerland Structure."
- [02:38] Explanation of why it's crucial not to be overly dependent on one customer, employee, or vendor.
- [08:14] The Pareto Principle applied to customer diversification.
- [12:04] Avoiding over-dependence on a single employee by cross-training and ensuring no one is a linchpin.
- [17:57] Conducting a vendor audit to prevent over-reliance on one supplier and keeping incentives in check.
- [21:54] Encouragement to submit questions and information on how to connect with certified Profit First professionals.
KEY TAKEAWAYS:
- Don't rely too heavily on one customer. Diversify your customer base to ensure steady income and reduce risk.
- Prevent over-dependence on a single employee by cross-training your team, ensuring others can cover their responsibilities.
- Regularly review your vendor relationships and consider incentives carefully to maintain a healthy balance between quality and cost.
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website https://www.daniellemulvey.com/
Danielle Mulvey - Linkedin http://linkedin.com/in/danielle-mulvey-66a315
The All In Company - Website http://theallincompany.com
Profit First Nation - Website http://profitfirstnation.com
Mike Michalowicz - Website http://mikemichalowicz.com
Mike Michalowicz - Linkedin http://linkedin.com/in/mikemichalowicz
Mike Michalowicz - Twitter http://mikemichalowicz
Profit First Professionals - Website http://profitfirstprofessionals.com
Mike Michalowicz - Books http://mikemichalowicz.com/books/
In this episode of Profit First Nation, host Danielle Mulvey reveals her seven key principles that she consistently applies to her business operations. She shares personal anecdotes and practical examples to illustrate her modus operandi.
Danielle underscores the value of these principles in her own journey as an entrepreneur and how they have contributed to her success, providing valuable insights for entrepreneurs seeking sustained profitability.
IN THIS EPISODE:
- [00:53] Introduction to Danielle's six modus operandi.
- [01:31] Modus Operandi 1: All of us are smarter than one of us.
- [03:19] Modus Operandi 2: Why don't airplanes fall out of the sky?
- [09:13] Modus Operandi 3: One teaspoon at a time.
- [11:10] Modus Operandi 4: 50 times - Who says it the most wins?
- [16:41] Modus Operandi 5: Care and feed your employees like they are your children.
- [19:24] Modus Operandi 6: Freedom and flexibility for all.
- [23:37] Modus Operandi 7: "Seize the day and your daily huddle.
KEY TAKEAWAYS:
- "All of us are smarter than one of us." Danielle emphasizes the importance of collaboration and surrounding yourself with smart people both within your team and in your network. Working together and seeking diverse perspectives can lead to better outcomes in business.
- Danielle highlights the significance of using checklists in your business operations. Drawing inspiration from the aviation industry, where pilots follow checklists to ensure safety and consistency, she encourages business owners to adopt checklists to enhance efficiency, consistency, and reduce errors.
- Treat your employees with the same level of care and support as you would your own children. By providing a sense of safety and appreciation, your employees can thrive, which in turn leads to a better work environment and greater success.
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
We welcome back the ever-popular Billie Anne Grigg, Profit First Professional’s Chief Profit Guide. Together, Danielle and Billie Anne dive into the intriguing world of "above the line" expenses within the Profit First framework.
The episode covers above-the-line expenses, such as materials, subcontractor costs, pass-through expenses, franchise fees, and more.
They also emphasize the importance of understanding your financial numbers and owning allocation day to achieve permanent profitability.
IN THIS EPISODE:
- [00:55] - Explanation of "above the line" expenses and real revenue.
- [01:47] - Common mistakes made with above-the-line expenses.
- [03:27] - Handling W-2 employees and commissions.
- [06:16] - The importance of pass-through expenses.
- [06:56] - Managing franchise fees.
- [07:50] - The role of a deposit account in organizing expenses.
- [09:00] - Simplifying allocation day using a spreadsheet.
- [12:19] - The freedom and clarity Profit First brings to managing finances.
- [14:02] - Success stories of large businesses implementing Profit First.
KEY TAKEAWAYS:
- Above-the-line expenses should be items directly tied to revenue, such as materials, subcontractor costs, pass-through expenses, and franchise fees. These should be deducted from total revenue before determining real revenue.
- Profit First simplifies financial management by reducing the need for complex budgets and allowing you to focus on one key number – the total amount available for allocation.
- Profit First is not just for small businesses; it's essential for large businesses, especially due to the complexities involved in managing cash flow and expenses. The principles of Profit First can benefit businesses of all sizes.
GUEST BIOGRAPHY: Billie Anne Grigg
Billie Anne has been a bookkeeper since before the turn of the century. She is a QuickBooks Online ProAdvisor, LivePlan Expert Advisor, FreshBooks Certified Partner and a Mastery Level Certified Profit First Professional. She is also a guide for the Profit First Professionals organization. In 2012, she started Pocket Protector Bookkeeping, a virtual bookkeeping and managerial accounting service for small businesses.
Billie Anne Grigg - Linkedin
Pocket Protector Bookkeeping - Website
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
How often have you hired someone only to discover they were a “Mis-Hire.”
Today’s episode of Profit First Nation is about hiring mistakes that could have been avoided. Danielle gives examples of failed hirings and the points the interviewer overlooked on the candidate’s resume or in the interview.
Don’t miss these red flags when you conduct your next job interview. They will save you time and money.
IN THIS EPISODE:
- [00:20] Danielle explains how to go “all-in” on building a stable of five-star employees
- [03:30] Danielle offers a resource form on their website profitfirstnation.com/144 to be completed to analyze mis-hires from the past
- [07:02] Example of an individual who had multiple jobs and had to drive 40 miles to work
- [14:27] Example of an employee who only wanted to work remotely
- [18:23] Example of an employee let go because of poor work and the potential that a supervisor may be chasing away employees
- [23:27] An Example of an employee who leaves a prominent company for a company that is not well-known and making sure the employee is qualified to do the job
- [28:32] In some industries, the skills need to be current with current apps and programs
KEY TAKEAWAYS:
- Payroll is most likely your business' biggest expenses if you have seven or more employees.
- Most businesses have a 75% mis-hire rate versus only a 10% rate if you use the ALL IN Hiring System.
- A study of your mis-hires will prevent you from making the same mistakes.
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
Join Danielle in this episode as she unlocks the secrets of pricing for business success!
From pricing's impact to the pitfalls of arbitrary pricing, this episode is your golden ticket to wealth-building, with the five principles for pricing triumph.
Ensure you seize the opportunity to connect with Profit First Nation for continuous support, as your business success is the ultimate gem on this journey!
TIMESTAMPS:
- [05:26] Discussion on the impact of pricing on business success and profitability.
- [12:10] The role of pricing in customer acquisition, experience, and retention.
- [15:00] Importance of building wealth through profitability and business resilience.
- [20:02] Warning against arbitrary pricing, starting at the bottom, and real-life examples of failures.
- [25:20] Five principles for effective pricing, ROI justification, and recap of optimization steps.
- [28:16] Closing thoughts on getting pricing right for long-term business success.
- [29:00] Invitation to connect with Profit First Nation for support and questions.
KEY TAKEAWAYS:
- Pricing controls everything in the marketplace, affecting profit, power, customer acquisition, customer experience, customer retention, and overall business wealth.
- Businesses should avoid the pitfalls of low pricing strategies, which can lead to extinction in the market.
- Pricing strategy should align with business goals and customer value rather than aiming to be the lowest price leader.
- The five principles for effective pricing include understanding true costs, eliminating unprofitable offerings, pricing at a premium, packaging minimally viable products, and demonstrating ROI.
- Demonstrating ROI is a crucial step to justifying premium pricing, showcasing the value customers receive in exchange for their investment.
- Real-life examples illustrate the impact of pricing on business success and failure.
- Connecting with Profit First Nation provides a resource for entrepreneurs to optimize their pricing strategies and achieve permanent profitability.
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
How can you significantly increase your business’ value? In the latest Profit First Nation episode, Danielle shines a spotlight on the pivotal strategy of steering clear of the central hub role.
Exploring the adverse effects on business valuation when entrepreneurs find themselves at the epicenter for their employees, customers, and suppliers.
Danielle encourages entrepreneurs to proactively declare a future four-week vacation, setting the wheels in motion to diminish dependency on their presence.
It's a journey toward permanent profitability and max valuation by breaking free from the hub and spoke model.
IN THIS EPISODE:
- [01:00] : Discussion on business valuation and the average multiples.
- [02:48]: Exploring the concept of "hub and spoke" and the negative impact of being the central hub.
- [10:00]: Strategies for removing oneself from being the hub, focusing on employees.
- [13:16]: Tips on documenting standard operating procedures (SOPs) and delegation.
- [14:09]: Impact of owner involvement in customer relationships on business valuation.
- [15:30]: Valuation statistics based on knowing customers by their first name.
- [17:57]: Prioritizing steps to disconnect from being the hub for employees, suppliers, and customers.
- [22:01]: The importance of finding the right people and a Mike Michalowicz upcoming book "All In: How Great Leaders Build Unstoppable Teams"
KEY TAKEAWAYS:
- Entrepreneurs are encouraged to declare a future four-week vacation and use it as a catalyst to make their businesses less dependent on them. This involves strategic planning to disconnect from being the central hub.
- The importance of prioritizing disconnection from being the hub for employees. Delegating tasks and responsibilities while ensuring employees take ownership can contribute to business value.
- Knowing customers by their first name may negatively impact business valuation. Encouraging strong employee-customer relationships and minimizing personal involvement can lead to a higher valuation.
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
A well-structured schedule is essential to achieve permanent profitability in your business.
In this episode, Danielle gives a picture-perfect, ideal schedule of successfully managing her time across her multiple companies, and her team members.
Once you have mastered the ideal schedule, she unveils eight sure-fire tips to enhance the Vitamin SEE within your organization. If you are still trying to figure out what Vitamin SEE entails, this podcast will help you seas the day and keeping your business on course to permanent profitability.
SHOW NOTES:
- [00:21] Being a proactive, profitable entrepreneur and avoiding operating in reactive, it’s too late, mode
- [03:52] Creating the ideal schedule for your week, Danielle shows a sample schedule that works for her
- [13:53] Danielle describes Vitamin SEE and how it has helped the business of All In and how this is for 5-star employees
- [18:14] Rapid fire: Eight tips for solidifying the Vitamin SEE in your organization – a non-negotiable
- [23:43] Danielle encourages listeners to follow the eight tips outlined in this episode
KEY TAKEAWAYS:
- A business owner will be more successful if they work intentionally from a schedule so one doesn’t waste time.
- You should always tell employees you appreciate their accomplishments when they accomplish their goals.
- Don’t allow anything or anyone to hijack your schedule. Your schedule is that critical.
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
Danielle delves into dissecting 10 misconceptions or fallacies surrounding Profit First.
This cash management strategy isn't intended to function autonomously; instead, it's meant to be applied meticulously, adhering to its principles.
Fragmented utilization is not its intended approach.
In this episode, Danielle outlines ten instances of business owners misapplying or misconstruing Profit First. Be sure to revisit this episode for a great “how-to” reference.
IN THIS EPISODE:
- [00:17] Danielle outlines the ten myths or misunderstandings about Profit First. #1 What is the purpose of Profit First
- [03:34] #2 Slashing expenses to the bone
- [08:16] #3 Adjusting your allocations over time
- [11:33] #4 Treating Profit First as a one-size-fits-all system
- [14:12] #5 Neglecting taxes
- [16:37] #6 Misinterpreting the no-budget concept
- [18:09] #7 Don’t rely totally on percentages
- [19:58] #8 Profit First is not a quick fix
- [22:44] #9 Confusing your accounts
- [25:13] #10 Ignoring behavioral change
KEY TAKEAWAYS:
- A business without profit will not last. Profit First is a cash management system that keeps your cashflow on track.
- Profit First is not a set it and forget it system. You need to adjust your allocations at the start of each quarter and adjust as your real revenue increases to the next level of target allocations
- If you don’t follow Profit First to the letter, you aren’t doing Profit First right.
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
Danielle may hit a nerve or two in this episode when she highlights the RED FLAGS you cannot ignore when it comes to making 5-Star Employee Hires.
For most businesses, PAYROLL is your biggest expense and can be a significant drain on your profitability when you make a hiring mistake.
When your payroll is full of average, ho-hum, or worse employees – you need more labor at more expense to do the work that just one 5-Star Employee can accomplish.
Remember: If 5-Star Employees represent the top 15% of available talent – then statistically speaking, you will need to filter out 6 out of every 7 candidates to get that top 15% candidate.
You have to raise your RED FLAG alert level to max as you take candidates through your hiring gauntlet.
In this episode, Danielle lists multiple warning signs that HR professionals and business owners engaged in the hiring process should embrace.
Take notes to seeing and eliminating candidates based on critical candidate "RED FLAGS.”
IN THIS EPISODE:
- [00:21] Danielle goes all in on hiring employees today
- [04:03] Red Flags- Working less than one year at multiple recent employers and exaggeration of duties and responsibilities
- [05:38] Red Flags- If their formal education is in an unrelated field from what you are looking for and their resume suggests a double employment history
- [07:05] Red Flags- Grammar and punctuation errors and specific fields and industries Danielle would never hire from
- [10:05] Fields and industries we want to hire from
- [13:21] Danielle shares case histories
- [20:19] Danielle compares part-time employees to children and gives more examples of red flags
- [24:08] Danielle gives a fast overview of today's episode
KEY TAKEAWAYS:
- In today’s market, working long-term in a company can be defined as working two years or more in the same company.
- There are industries you should avoid when looking to fill a position because they represent fields where there isn’t urgency involved in their job.
- If a person can’t correct errors in their resume, they are not the type of person you want to hire.
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
Mike Michalowicz shares the microphone with Danielle and responds to questions from listeners just like yourself. Listen in to understand his innovative, time-tested approaches to successfully managing a business in the zone of permanent profitability.
Furthermore, Mike delves into the importance of enlisting a Profit First-Certified Accountant, Bookkeeper or Coach.. Stay tuned until the end of this episode for an exciting announcement Mike will share.
IN THIS EPISODE:
- [00:39] Question One. Should I add a retirement account to my hidden account, and how to set up a retirement account
- [05:40] Question Two. Can I make an exemption to Profit First
- [07:35] Question Three. What is the owner's pay? Is it the CEO's salary, and why is the allocation 50%
- [10:07] Question Four. Do shareholders of a business all get compensated the same
- [12:05] Question Five. Can you skip the profit and tax accounts at your primary bank and transfer from income to profit hold and tax hold at my inconvenient bank
- [15:06] Wild card questions for Mike regarding working with a Profit First Bookkeeper
- [20:49] Mike celebrates that Profit First is in 28 languages now
KEY TAKEAWAYS:
- Over 50% of businesses don’t last five years.
- Profit First Accountants and Coaches are in different towns than the client because they are industry-based, not location-based.
- To effectively implement the Profit First System, adhering to each step is crucial. If you find yourself making exceptions, you are not following the Profit First principles.
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into twenty-eight languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
Danielle delves into a comprehensive process comprising eight steps for transforming your service or product into a marketable offering.
These steps are universally applicable to a wide array of services or products. By implementing these steps in your business, you'll gain clarity and direction and, most importantly, establish a fresh source of revenue.
Through illustrative examples and explanations, she presents the information in an easily understandable way. Get ready to take notes, as this episode is a must-watch to ensure your business grows as it could.
IN THIS EPISODE:
- [00:20] Danielle explains Productization and the eight steps to create a new revenue stream
- [03:49] Step One: Niche down by focusing on a specific audience in 5 different ways
- [09:20] Step Two: Find your TVR
- [11:31] Step Three: Defining your quarter-inch hole
- [12:20] Step Four: Branding is important
- [13:35] Step Five: List your ingredients
- [14:51] Step Six: Pre-empt objections
- [17:14] Step Seven: Pricing Danielle gives examples of pricing
- [23:15 Step Eight: Manufacture scarcity
KEY TAKEAWAYS:
- Don’t just pick a price out of the air for your service or product. Do research to explore what it is worth.
- Speed can be a factor in increasing your pricing. Pricing can also be done on a sliding scale.
- Don’t be afraid to raise your prices. Creating excitement and scarcity creates profits.
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
In this episode, we dive into Renee Moore's Profit First journey at Canine Craze Performance Center. Discover how she revamped her business by restructuring classes, introducing a membership model, and doubling consulting fees.
Renee's story highlights the power of embracing change, pushing boundaries, and committing to Profit First principles for remarkable improvements in profitability and efficiency. Join us for an inspiring journey of transformation and growth.
IN THIS EPISODE:
- [00:40] Introduction to Renee Moore, owner of Canine Craze Performance Center in Urbandale, Iowa, and creator of Dog Perfect and Puppy Perfect online training programs
- [01:42] -Renee shares her motivation for implementing Profit First, highlighting her struggles with managing cash flow in her business
- [06:38] - Transition to a credit union and how she optimized her automatic payments, saving money
- [11:17] - Positive effects of the Second Half Strong program, including increased productivity and strategic focus
- [18:22 ]- Results and Transformations; retooling her business model, offering memberships, and providing accelerated learning opportunities for clients
- [25:38 ]- Accelerated Learning: Renee emphasized the concept of accelerated learning, benefiting clients and improving profitability
KEY TAKEAWAYS:
- Commitment to Change: Implementing Profit First requires a mindset shift and a commitment to breaking old financial habits. It's not just a technical change; it's a mental one.
- Streamline Expenses: Review and cut unnecessary expenses to improve profitability. Analyzing and reducing operational costs can have a significant impact on your bottom line.
- Embrace Change for Growth: Embrace change in your business model and offerings. Be open to exploring new ideas and pushing boundaries to foster growth and profitability.
RESOURCES:
Danielle Mulvey - Website https://www.daniellemulvey.com/
Danielle Mulvey - Linkedin http://linkedin.com/in/danielle-mulvey-66a315
The All In Company - Website http://theallincompany.com
Profit First Nation - Website http://profitfirstnation.com
ABOUT THE GUEST:
Renee Moore has been professionally training dogs since graduating from Animal Behavior College in 2006. Since then she has exprience competing in obedience, training service dogs, handling and directing dogs that were filmed for PSA's (Public Service Announcements), leading group and private lessons, as well as, creating successful training programs, including Canine Craze's Train & Play "Private School Program" for dogs and her interactive “Dog Perfect” + “Puppy Perfect” online training programs.
Renee’s mission is to help people understand how to teach their dogs how to think and have fun during the learning process. A true innovator, Renees is always looking for new ways to help owners have the best relationship with their pets.
Linkedin: linkedin.com/in/renee-moore-2b212921
Website : caninecraze.com
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Billie Anne Grigg, the Chief Strategic Guide for Profit First Professionals and Danielle delve into cash flow and explore the role of AI in the context of bookkeeping.. Lastly, they shift their focus to the concept of a "piece of the pie." This seemingly unrelated notion is profoundly relevant to businesses. The discussion underscores how companies often diversify beyond their core focus when they should engage complementary business professionals to serve the client. Metaphorically, the pie can and should be shared by all.
IN THIS EPISODE:
- [01:06] Why do we focus on cashflow projections with Profit First, and what is baseline selling
- [09:04] Working off the “process” of the Profit First plan
- [11:54] Ai can be beneficial but will not replace bookkeepers and accountants
- [20:17] Doing what you do best and collaborating with business owners who can provide complementary services to yours
- [24:28] How to access resources on the Profit First Nation website
KEY TAKEAWAYS:
- You need to know your cash flow projection, but you also need Profit First. It’s not an either-or; it’s both.
- There is truth in the saying, “garbage in, garbage out.” So if you are using Ai, it must be set up correctly. However, Ai does not eliminate the need for an accountant or bookkeeper who can assess the financial situation.
- Trying to do every service for a client is a mistake. Stay with what you do well and find complementary businesses you can co-op with so everyone gets a piece of the pie.
GUEST BIOGRAPHY: Billie Anne Grigg
Billie Anne has been a bookkeeper since before the turn of the century. She is a QuickBooks Online ProAdvisor, LivePlan Expert Advisor, FreshBooks Certified Partner and a Mastery Level Certified Profit First Professional. She is also a guide for the Profit First Professionals organization. In 2012, she started Pocket Protector Bookkeeping, a virtual bookkeeping and managerial accounting service for small businesses.
Billie Anne Grigg - Linkedin
Pocket Protector Bookkeeping - Website
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Host Danielle Mulvey shares critical information on your bottom line! How do we increase profitability?
In one or both of two ways because the only two ways are to increase margin and / or decrease expenses.
Payroll often represents the largest expense in many businesses. Your average, ho-hum or worse employees who are collecting a paycheck and doing little to nothing to earn that paycheck are killing your profitability!!!
In this episode, Danielle outlines four reasons why some employees simply need to be shown the door. Furthermore, she streamlines your task by offering guidance on how to engaging with such staff when it is time to let them go..
Ensure you catch this content-rich episode for invaluable knowledge.
IN THIS EPISODE:
- [01:20] Danielle reminds listeners payroll might be their largest line item
- [01:48] Danielle outlines the four reasons to let someone go
- [07:31] What is a “working at-will state,” and do you need to document reasons for firing
- [11:47] How do you let someone go
- [14:30] Do you pay severance and you must know the requirements of your state
- [15:56] Performing the post-mortem
- [24:33] Statistics regarding hiring decisions and news about pre-ordering Mike's new book from Amazon
KEY TAKEAWAYS:
- If several failed hires come from the same background, that is a red flag toward that school or set of circumstances.
- Always stand and have the employee stand when you let them go to expedite the departure.
- Practice makes perfect when it comes to interviewing and making a final selection
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $50 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
Danielle and Cyndi Thomason, an expert certified in Profit First at the mastery level and the author of Profit First for E-commerce Sellers, explore the critical role of inventory in determining the success of your business. Cyndi shares valuable techniques for managing inventory levels and emphasizes the importance of maintaining distinct accounts. They will also investigate the advertising budget, highlighting the recommended percentage allocation for this aspect. This episode offers valuable insights and practical advice for ensuring the profitability of your business.
IN THIS EPISODE:
- [01:27] Cyndi talks about why inventory can be a serious pitfall for a business, why you need an inventory account
- [08:51] Looking at each product you sell to determine how to price
- [11:39] Cyndi shares the importance of inventory days and getting creative to move stale inventory
- [15:39] She explains why inventory cash flow is different from your operating expenses and the part advertising can play if not managed well
- [19:27] Pay attention to the return on their advertising spend and how to figure the percentage you should spend
- [26:45] Cyndi shares the downfall of integrating your accounting system with your inventory
KEY TAKEAWAYS:
- The key to operating a business where inventory is involved is to allocate funds so you don’t have to borrow money to buy stock.
- Sales are lost when you run out of inventory. Good record-keeping through accounts prevents that from happening.
- Be very careful of how much you spend on advertising. It is an expense that can quickly get out of hand.
GUEST BIOGRAPHY:
Cyndi Thomason, author of Profit First for Ecommerce Sellers, is a Certified Master Profit First Professional, and the founder and president of bookskeep, a virtual company that provides bookkeeping and Profit First consulting services to ecommerce clients all over the world. Cyndi devotes much of her time speaking at various events such as ASD Market Week, ProfitCon, Marketplace Brand Accelerator Training, the Ecommerce Business School and other webinars, teaching ecommerce businesses how to implement the Profit First method. She has contributed to publications such as Skip McGrath s Online Seller s Resource and is a regular contributor to The Private Label Insider and the Inventory Lab newsletter. Honors and awards include Profit First Member of the Year 2016, Profit First Go-Giver 2017, and one of the Top 50 Women in Accounting Award 2018, presented by Practice Ignition. Cyndi is a master gardener and enjoys being surrounded by nature, spending time with family, friends and a menagerie of fur babies.
Bookskeep -Website https://www.bookskeep.com/
Cyndi Thomason - Website https://www.bookskeep.com/about/cyndi-thomason/
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website https://www.daniellemulvey.com/
Danielle Mulvey - Linkedin http://linkedin.com/in/danielle-mulvey-66a315
The All In Company - Website http://theallincompany.com
Profit First Nation - Website http://profitfirstnation.com
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
Danielle and Cyndi Thomason, an expert certified in Profit First at the mastery level and the author of Profit First for E-commerce Sellers, explore the critical role of inventory in determining the success of your business. Cyndi shares valuable techniques for managing inventory levels and emphasizes the importance of maintaining distinct accounts. They will also investigate the advertising budget, highlighting the recommended percentage allocation for this aspect. This episode offers valuable insights and practical advice for ensuring the profitability of your business.
IN THIS EPISODE:
- [01:27] Cyndi talks about why inventory can be a serious pitfall for a business, why you need an inventory account
- [08:51] Looking at each product you sell to determine how to price
- [11:39] Cyndi shares the importance of inventory days and getting creative to move stale inventory
- [15:39] She explains why inventory cash flow is different from your operating expenses and the part advertising can play if not managed well
- [19:27] Pay attention to the return on their advertising spend and how to figure the percentage you should spend
- [26:45] Cyndi shares the downfall of integrating your accounting system with your inventory
KEY TAKEAWAYS:
- The key to operating a business where inventory is involved is to allocate funds so you don’t have to borrow money to buy stock.
- Sales are lost when you run out of inventory. Good record-keeping through accounts prevents that from happening.
- Be very careful of how much you spend on advertising. It is an expense that can quickly get out of hand.
Cyndi Thomason, author of Profit First for Ecommerce Sellers, is a Certified Master Profit First Professional, and the founder and president of bookskeep, a virtual company that provides bookkeeping and Profit First consulting services to ecommerce clients all over the world. Cyndi devotes much of her time speaking at various events such as ASD Market Week, ProfitCon, Marketplace Brand Accelerator Training, the Ecommerce Business School and other webinars, teaching ecommerce businesses how to implement the Profit First method. She has contributed to publications such as Skip McGrath s Online Seller s Resource and is a regular contributor to The Private Label Insider and the Inventory Lab newsletter. Honors and awards include Profit First Member of the Year 2016, Profit First Go-Giver 2017, and one of the Top 50 Women in Accounting Award 2018, presented by Practice Ignition. Cyndi is a master gardener and enjoys being surrounded by nature, spending time with family, friends and a menagerie of fur babies.
Bookskeep -Website
Cyndi Thomason - Website
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
Danielle presents a significant subject today, which holds importance regardless of the duration of your business. How can you increase the value of your business, ensuring a premium price/offer upon its sale? Business owners typically exit their business for one of three reasons. Begin strategizing for your exit today so your motivations align with your intended plans. In this episode, Danielle will outline four strategies that will amplify your business's profitability.
IN THIS EPISODE:
- [00:00] Danielle will talk about exiting your business, and the first question to answer regarding leaving your business
- [06:23] How do you value your business
- [09:35] The three motivators to selling a business; personal motivation; personal crisis, or the owner believes the business has peaked
- [14:32] Make a plan now for personal motivation and determine what you want to sell your business for
- [19:20] Determine what you will do with your time; if you will stay involved in the business; how you will reward your employees, and the impact of shareholders on the value of the business
- [26:10] A review of the four areas that can lead to a 30% in the value of the business
KEY TAKEAWAYS:
- It’s never too soon to begin an exit plan for your business to maximize the sale price.
- The reason for selling the business does have an impact on the value of your business.
- Personal crisis is the least favorable motivator to selling a business leaving you with the least profit.
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
What does intentional growth mean? We're not referring to the physical size of your premises or the number of employees you have.
We're focusing on profitability scaling your business!
In this episode, Danielle leads us through six steps for intentional growth. If you want deliberate expansion and increased profitability, you need to be purposeful in following these six steps.!
IN THIS EPISODE:
- [00:00] The topic of the day is intentional profitability growth
- [00:49] No. 1. Committing to growing intentionally starts with the owner's salary. Opt into the resource page on the website to participate in learning about what an owner should be paid. July 12th, 2023, 11:00 AM Pacific Time,
- [05:45] No. 2. You need to commit to being intentional about making your business public.
- [08:11] No. 3. Identify the areas where you'd like to grow your business.
- [12:46] No. 4. Invest one hour a day in assessing your areas of growth
- [17:25] No. 5. Invest one hour weekly in reflection and writing down your learning
- [25:50] No. 6. Become intentional about the growth of your business and share with someone
KEY TAKEAWAYS:
- When money comes into your business, and it's gone in a flash, you must be more profitable. That's letting your business happen to you.
- Sometimes reducing the size of your audience is best because you can concentrate on what you are doing and do it well.
- Investing in Profit First is an investment in your business.
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
In today's episode, Danielle Mulvey guides us through the fundamental process of allocating funds in the Profit First system. Additionally, she highlights the contrast between Profit First and Advanced Profit First. Danielle provides an extensive overview of the three phases and the twelve steps that lead to financial success. It's important to note that Profit First is not a "set-it-and-forget-it" approach. The podcast also includes answers to viewers' questions. Make sure to have a pen and paper handy, as valuable tips are shared in today's episode.
IN THIS EPISODE:
- [02:42] Danielle explains why you should do your allocations twice a month
- [04:48] There are five common Profit First accounts, and it’s essential these accounts are opened.
- [07:48] Danielle answers a viewer's question about the necessity of having a financial accounting system to go along with the banking accounts.
- [09:31] What is the difference between Profit First and Advanced Profit First, and what other accounts are required
- [14:25] Danielle answers the viewer’s questions about how to add a reserves account to purchase inventory, and she explains the difference between the cost of goods and operating expenses
- [20:09] Danielle explains how to implement Profit First step by step
KEY TAKEAWAYS:
- If you don’t open the five bank accounts suggested by Profit First, you don’t have a business. You have a hobby.
- Advanced Profit First is strongly advised when you pay sales tax or when you have the cost of goods.
- Don’t overspend on marketing. Only spend what is allocated in the marketing account.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
Today, Danielle explores a significant cost for your business: payroll. Making the right hiring decisions can benefit your financial results or lead to major errors. Where can you locate 5-Star employees? Danielle provides statistics on where you will find candidates. She also provides a comprehensive overview of the Indeed Job Posts website, offering valuable insights on effectively recruiting through this job posts platform.
IN THIS EPISODE:
- [00:00] Payroll is one of your business's most significant expenses, and you need a 3 X return. Danielle shares her own experience of having 5-star employees
- [04:30] Using the Indeed Job Posts platform as a hiring tool
- [07:37] Danielle outlines the percentages of applicants coming from various sources and the benefits of casting a wide net
- [10:33] How do make Indeed more effective and the three tips to make the algorithm and scoring favorable to a job posting
- [16:53] Danielle gives some quick tips on selecting a job title when posting on Indeed
- [21:21] Tips on getting your posting past the trust and safety team and examples of how Danielle recruits on Indeed
- [26:42] Danielle discusses the All In Company and how they can assist you in your recruitment, hiring and retention of 5-star employees
KEY TAKEAWAYS:
- Employees should produce a three X return on their salary.
- Carefully consider the job title you post on Indeed so you can attract the candidates you are seeking.
- Indeed gives the best experience to applicants of all job posts platforms.
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz, the author of Profit First, addresses inquiries from the audience. He will delve into the initial expenses for budding enterprises and emphasize the importance of achieving profitability right from the beginning. He cautions against squandering funds on trivial items during the early stages of business establishment. Danielle invites you to a workshop on July 12th on Reverse Engineering, enabling you to ascertain your financial figures. This episode holds valuable information for individuals involved in any aspect of a business.
IN THIS EPISODE:
- [01:10] Mike gives his views on startup costs for a new business when sufficient cash is not available
- [05:53] Mike tells why you should institute Profit First immediately when starting a business
- [08:19] Danielle invites you to a reverse engineering workshop to be held on July 12th to learn what your actual numbers are and stresses the need for going after new business
- [11:31] Mike warns about focusing on the wrong things in the early stage of your business
- [13:38] Do I combine my businesses on Profit First or split them up? Mike is emphatic about his answer
KEY TAKEAWAYS:
- As a new startup, learning on a smaller scale is better. The risk is less substantial, and you learn as you operate your new venture.
- A new business should start to become profitable from day one.
- If you have more than one business, you should ALWAYS have separate Profit First accounts for all your businesses.
ABOUT THE HOSTS:
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
Kasey Anton, the author of Profit First for Restaurants and founder of Spark Business Consulting, shares her thoughts with Mike shedding light on why some restaurants fail. Kasey has valuable advice on transforming your restaurant into a lucrative venture. Kasey will discuss the cost of a menu item, labor costs and the vital role culture plays in business success. Her book is available now, and the workbook is coming out shortly. Get a copy and see how profitable your restaurant can be.
IN THIS EPISODE:
- [00:35] Kasey explains why she wrote the book Profit First for Restaurants
- [02:19] Can restaurant partnerships be profitable
- [03:38] What accounts did Kasey create to make the system more suited to restaurants
- [06:00] Controlling food costs
- [08:47] How does a restaurant typically implement the Profit First strategy
- [09:49] Kasey tells her “Five Guys” story and why providing extra fries still makes the business profitable
- [12:28] Kasey shares what type of restaurant might profit the most from her book, and she explains what the workbook to go along with the book will be like
KEY TAKEAWAYS:
- Many restaurant owners need to account for the cost of plated food properly. You will lose money if you don’t calculate the add on’s.
- Many restaurants lost money during Covid simply because they needed to add the container costs, boxes, stickers, etc.
- Culture is just as crucial to a restaurant as its menu selection.
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
Kasey Anton - Website
Spark Business Consulting - Website
Profit First for Restaurants - The Book
GUEST BIOGRAPHY:
Kasey Anton is a former Restaurateur turned Bookkeeper.
After living the high-end (and low-end) restaurateur lifestyle and experiencing the BEST and WORST that the world has to offer, Kasey decided to take her knowledge and true-life experiences and turn it into a business that can help others navigate some of the pitfalls of entrepreneurship.
One of the biggest lessons learned on her journey? NUMBERS DON’T LIE. But we sometimes lie to ourselves – especially about business. So, knowing your numbers, the true, accurate, real, down and dirty, no-holds-barred NUMBERS of your business is KEY to the success of your business. And Kasey knows her numbers, and she’ll make sure you know yours too.
Along her journey, she came across a real game-changer known as “Profit First” – a simple yet ridiculously effective cash management tool that EVERY business should be using (and I mean EVERY). Once discovered, Kasey became a Profit First Professional Mastery Member, one of less than 50 in the world, and now works with businesses all across the US to help “eradicate entrepreneurial poverty.”
Kasey’s sole mission, and she and her Team have chosen to accept it, is to help business owners take control of their businesses, control their numbers, drive the business toward its truest vision, and be rewarded for that valiant effort.
Fun Fact? Kasey is a ridiculously obsessed NFL fan (GO PATRIOTS!) and has flown on the Team Jet to a game in Buffalo and watched the game from the sideline, standing near all the players.
ABOUT HOST:
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
Kasey Anton, the author of Profit First for Restaurants and founder of Spark Business Consulting, shares her thoughts with Danielle about analyzing your business's profitability. Her bottom line is to return to the basics. Reviewing your original business plan or bank statements can be an eye-opener on why your business thrives or is in trouble. Kasey will talk about her book, which is out today, and she also has some ingenious marketing ideas you won’t want to miss.
IN THIS EPISODE:
- [01:59] Kasey says she directs her clients to get back to the basics and eliminate the fluff in their business
- [04:38] How do you know if you have a solid business model
- [07:14] How do you work with the numbers in your business when you are anxious about numbers
- [18:08] How an influx of money, either by grants or government funds, can create a problem on your bottom line
- [23:13] Kasey talks about her book focusing on a marketing tactic that was successful in her restaurant
KEY TAKEAWAYS:
- You can cultivate a base of loyal consumers by demonstrating small gestures of recognition toward your customers. It is a fundamental desire to be acknowledged.
- It is necessary to look at your business numbers periodically, no matter the age of your business, to get back to basics. Take away the fluff and see what you are spending and earning.
- It doesn’t matter if your business is doing well or not. Business owners need to know their numbers and make corrections if necessary.
Kasey Anton - Website
Spark Business Consulting - Website
Profit First for Restaurants - The Book
GUEST BIOGRAPHY:
Kasey Anton is a former Restaurateur turned Bookkeeper.
After living the high-end (and low-end) restaurateur lifestyle and experiencing the BEST and WORST that the world has to offer, Kasey decided to take her knowledge and true-life experiences and turn it into a business that can help others navigate some of the pitfalls of entrepreneurship.
One of the biggest lessons learned on her journey? NUMBERS DON’T LIE. But we sometimes lie to ourselves – especially about business. So, knowing your numbers, the true, accurate, real, down and dirty, no-holds-barred NUMBERS of your business is KEY to the success of your business. And Kasey knows her numbers, and she’ll make sure you know yours too.
Along her journey, she came across a real game-changer known as “Profit First” – a simple yet ridiculously effective cash management tool that EVERY business should be using (and I mean EVERY). Once discovered, Kasey became a Profit First Professional Mastery Member, one of less than 50 in the world, and now works with businesses all across the US to help “eradicate entrepreneurial poverty”
Kasey’s sole mission, and she and her Team have chosen to accept it, is to help business owners take control of their business, control their numbers, drive the business toward its truest vision, and be rewarded for that valiant effort.
Fun Fact? Kasey is a ridiculously obsessed NFL fan (GO PATRIOTS!) and has flown on the Team Jet to a game in Buffalo and watched the game from the sideline, standing near all the players.
Danielle reveals her brilliant insight that has the potential to enhance your bottom line. Many clients desire a comprehensive project solution. Have you considered expanding your services to simplify the process for your client? Try integrating "Done For You Services" into your offerings. Clients are willing to pay more for a job fully complete. Danielle gives you an example of just how easy this can be.
IN THIS EPISODE:
- [00:25] Danielle talks about designing the programming around the next book Mike Malowitz is writing
- [03:51] Done for you services are incorporated into the revamped program, and the weeks-long program is now five days.
- [11:00] How do you assume the burden for your client
- [12:50] How can you incorporate convenience and speed to deliver results to your client
- [15:15] How can you provide direction and clarity and also tap into their feelings about your service and the final product
- [18:55] Upleveling your service and charging accordingly
- [21:00] This podcast is now on YouTube, and consider working with a certified Profit First Professional Accountant
KEY TAKEAWAYS:
- By adding services to your existing package, you can attract customers who want entire projects completed, not just one of the services that may be a part of the whole project.
- Don’t be afraid to charge for extra services. Many clients are willing to pay for a quality service that completes the entire project. Build your profit by charging premium rates for premium services.
- You may need to collaborate with other businesses to offer a complete package for a client. If a service is outside your expertise, collaborate with an expert.
ABOUT THE HOST:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
In today's episode, Billie Anne Grigg, a distinguished Chief Profit First Profession Guide, joins Danielle as they address listeners' questions about Profit First. Together, they delve into properly categorizing expenses and ensuring they are allocated to the appropriate accounts. Additionally, they tackle the often daunting prospect of raising prices. While this may seem intimidating for small business owners, they emphasize that it presents a unique opportunity to emulate the strategies employed by larger vendors. Furthermore, Billie Anne and Danielle discuss inflation and provide insights on how entrepreneurs should proactively prepare for its impact. Tune in to gain valuable knowledge and guidance on these essential aspects of Profit First.
IN THIS EPISODE:
- [02:32] Billie Anne answers the question of how you disperse a real estate agents commission
- [04:15] How do you classify the cost of goods on the instant assessment when you don’t have control over the cogs
- [07:57] What should expenses be for an online boutique, i.e., salaries, rent, shipping and advertising
- [11:54] Billie Anne recommends Profit First for E-Commerce Seller’s book.
- [13:52] Should you raise prices during this inflationary period
- [18:51] Make a plan and prepare for inflation or a recession so you’ll be a step ahead of those who don’t prepare
KEY TAKEAWAYS:
- Prices are being raised all over the board. Therefore, a prudent business person should also raise their prices.
- Now is a great time to negotiate rental space because there are many vacant spaces.
- Marketing expenses must produce a six to ten times return on that expense. Otherwise, you need to try another marketing strategy
GUEST BIOGRAPHY: Billie Anne Grigg
Billie Anne has been a bookkeeper since before the turn of the century. She is a QuickBooks Online ProAdvisor, LivePlan Expert Advisor, FreshBooks Certified Partner and a Mastery Level Certified Profit First Professional. She is also a guide for the Profit First Professionals organization. In 2012, she started Pocket Protector Bookkeeping, a virtual bookkeeping and managerial accounting service for small businesses.
Billie Anne Grigg - Linkedin
Pocket Protector Bookkeeping - Website
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
Danielle will be presenting an episode on the effective recruitment of five-star employees. Managing payroll is a significant expenditure, making it crucial to avoid errors in this vital aspect of your business. Hiring the right employee doesn't have to be a guessing game. There are established structures and principles that can assist you in selecting the ideal candidate for any position. Additionally, Danielle offers a complimentary download for a brief four-minute exercise that serves as a litmus test for assessing the eleven qualities of a five-star employee.
IN THIS EPISODE:
- [00:17] How do you hire five-star employees? Danielle gives an example of a learning experience in hiring a one-star employee
- [05:14] Hire based on a structured foundation of identifying and understanding all the factors and requirements of the position
- [07:11] What is the five-star rating system
- [10:57] What are the 11 universal qualities that give you another hiring criteria
- [14:08] What is a return on payroll
- [16:30] Danielle gives an overview of how to hire a five-star employee and provides a free download of an Employers Guide of Hiring
KEY TAKEAWAYS:
- Payroll is one of the most significant expenses any business can have.
- Five-star employees represent 15% of the available talent in the marketplace.
- There is a no-fail framework for hiring five-star employees. There is no reason not to use these tips; never settle for anything less.
Text Neversettle to 411-321 for a free download of Employers Guide to Hiring
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
Join us as we hear from Jeff Wickersham, an accomplished author, coach, and podcast host, who generously shares his firsthand encounter with the Profit First system. Jeff enthusiastically describes it as a "Game Changer" for his businesses, highlighting a surprising realization that a venture he believed profitable was experiencing financial losses. Additionally, Jeff introduces us to his podcast, the Morning Fire for Entrepreneurs, where he dives into the power of mindset and the transformative potential it holds, even with just ten minutes a day. This episode of Profit First is genuinely uplifting and inspiring.
IN THIS EPISODE:
- [01:43] Jeff explains how he learned about Profit First and how he implemented this game changer process into his business plans
- [03:55] Jeff shares what his finances were like before Profit First and how they improved when he opened the required accounts
- [06:27] Cutting expenses quarterly and how Jeff raised his prices without losing customers
- [11:00] Jeff talks about after he closed his gym, he still walked away with knowledge about nutrition and the physical, which assists him as a coach
- [12:27] What lessons were learned from the pandemic regarding sticking to the fundamentals
- [15:07] Jeff discusses personal struggles and how they framed his podcast. He also talks about how to change your life in 10 minutes a day
- [22:18] Jeff shares the key to happiness through a gratitude journal and how vital a mental attitude is
KEY TAKEAWAYS:
- There is only one way to increase your profitability. That is to decrease expenses and increase margin.
- To change your life, you need to change your habits. Changing your habits starts at night before you go to bed. Set yourself up for success.
- Being grateful every week will raise your happiness level by 25% at the end of ten weeks.
GUEST BIOGRAPHY: Jeff Wickersham
Jeff is a sought-after mental toughness and peak performance coach who specializes in helping clients intentionally step into the best version of themselves personally and professionally. Jeff guides his clients to install habits and systems that set them up for success. Jeff's consistency and authenticity are what clients call out most when working with him.
Jeff will meet you exactly where you are at. He will support, guide, and cheer you on in your journey working side by side with you.
Jeff never puts his clients through what he hasn't already tested on himself. He's a practitioner of what he teaches, and clients get amazing results.
Jeff hosts Morning Fire for Entrepreneurs and is the number one bestselling author of Rise Fight, love, Repeat, Ignite Your Morning Fire.
Jeff Wickersham - Linkedin
The Morning Fire - Website
How To Ignite Your Morning Fire - Audible
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
In today's discussion, our primary focus is on the Business Hierarchy of Needs, specifically highlighting the Impact Level. Previous podcasts have already explored the Sales Level, Profit Level, and Order Level, all of which are accessible for you to listen to. Now, we focus on the Impact Level, where Danielle will delve into five distinct sub-topics within this domain. These areas are essential and directly influence your business, employees, and the community. Don’t overlook this crucial aspect of the Business Hierarchy of Needs.
IN THIS EPISODE:
- [01:19] Fix this Next: Business Hierarchy of Needs. Danielle dives into the first level: Transformation Orientation
- [05:49] What is Mission Motivation
- [06:44] What is Dream Alignment
- [09:51] What is Feedback Integrity
- [13:36] What is a Complimentary Network
- [16:40] Danielle refers the listener to OC.FixThisNext.com for a complimentary assessment
KEY TAKEAWAYS:
- Companies should have a mission statement that employees know and can support. Does your mission statement inspire anyone?
- Don’t be afraid of communicating with your competition. You can learn from each other.
- Take advantage of the complimentary products that OC.FixThisNext.com to complete the assessment.
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
Fix This Next - Website
In today's episode, Danielle is joined by Jake A. Carlson, who shares his journey with Profit First and provides information about his Modern Leadership podcast. Jake delves into the practical implementation of the Profit First account system in his businesses, even going beyond the standard required accounts. He presents fascinating examples of the system for profitability and cautions against common pitfalls. Additionally, Jake reveals his five leadership superpowers and offers a complimentary download on his website. Through Jake's valuable insights, discover more about the reliable and proven Profit First methodology.
IN THIS EPISODE:
- [01:43] Jake explains how he learned about Profit First and how he implemented the process into his business plans
- [05:31] To get started with Profit First, Jake implemented the plan page by page
- [07:44] Jake shares how they have added two accounts to the original five and how those operate within his business
- [11:07] Jakes explains how he keeps a three-month reserve in each of his accounts, which enabled him to keep operating during the first two months of Covid when there was no income
- [16:44] Jakes insists the clients he coaches listen to Mike on audible, and if they aren’t willing to listen, he doesn’t coach them
- [21:19] Jake outlines why he started the Modern Leadership Podcast, and he discusses what the Leadership Power Assessment is
KEY TAKEAWAYS:
- First Profit can help your business succeed if you follow it wholeheartedly.
- Accounts should maintain at least a three-month reserve to provide peace of mind.
- A true leader is a person who not only supports the employees but listens to them.
GUEST BIOGRAPHY: Jake A. Carlson
An attorney, recognized business leader, inspiring presenter, and popular podcast host. A natural storyteller who loves listening to your story and exploring what matters most to you. I earned my law degree (JD) from California Western School of Law concurrently with a business degree (MBA) from San Diego State University, attending on a Creative Problem-Solving Scholarship and receiving the 2005 Outstanding Case Award for best MBA consulting project—a licensed member of the State Bar of Arizona. I began my career in the nonprofit sector as Associate Regional Director and then as National Major Gifts Counsel, an in-house tax counsel position with the Boy Scouts of America National Foundation. In these positions, I was first introduced to the idea of leaving not just your valuables but your values to the people you love most. Working with hundreds of families on tax estate strategies, I developed the Values-Based Estate Planning strategy used by LifePlan Legal today. I have personally presented to over 200 groups in 27 states on estate planning and protecting your legacy and authored over 100 leadership articles on influence, legacy, family vision, and the Values-Based Estate Planning process. As host of the Modern Leadership Podcast and Family Before Fortune Podcast since 2014, I have had the privilege of interviewing hundreds of recognized executives.
Jake A. Carlson - Linkedin
Family Before Fortune - Website
Jake A. Carlson - Website
LifePlan Legal AZ - Website Jake A Carlson - Twitter
Jack Carlson 408 - Twitter
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
Today is a dedicated episode for questions and answers, where Danielle addresses the most commonly asked questions in depth. Profit First's guiding principle is "When in doubt, add an account." Therefore, we will discuss essential accounts that every business should have and additional accounts for specific scenarios. We will also tackle inquiries related to actual revenue, compensation for owners, distributions, and how to allocate these funds. Moreover, you will gain insights into evaluating a business you might be interested in acquiring. This episode is filled with valuable information for entrepreneurs, so don’t miss it.
IN THIS EPISODE:
- [01:18] What does real revenue mean
- [06:32] How many accounts should I have if I operate with goods or subcontractors, et cetera
- [08:38] What if I receive a paycheck? Does it still go through the owner’s pay account
- [09:34] Do I only do allocations on the 10th and the 25th
- [12:06] Do you need a profit account and a separate owner’s pay account if you take your pay in distributions
- [13:28] Can I use Profit First to identify which business to buy? Danielle gives an example of what not to do
- [17:30] Is it ever a good idea to run a profit assessment on a large business representing many services, or how should it be done
- [21:38] Submit any questions you have to profitfirstnation.com
KEY TAKEAWAYS:
- Never purchase a business without first looking at the owner’s taxes.
- There are five accounts a business needs; an income, a profit, the owner's pay, a tax account and the operating expense account.
- Self-employed people who receive their income irregularly should make allocations based on when they receive income.
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
In the latest episode of Profit First Nation, Danielle unveils the Five-Star Retention Strategy and emphasizes the importance of wholeheartedly adopting this approach for any thriving entrepreneur. Throughout the episode, she will provide a comprehensive breakdown of each strategy, revealing the top three desires of employees. As a business owner who has effectively established your company, it is crucial to shift your attention towards nurturing your workforce. Get ready with a pen and be prepared to jot down valuable insights, as this installment of Profit First Nation promises to become a personal favorite.
IN THIS EPISODE:
- [00:22] Danielle talks about going all in on your business and having a five-star retention rating strategy
- [04:18] Danielle goes through the five-star retention strategies beginning with star number one of psychological ownership
- [07:57] Star number two is supporting employee wants and needs
- [14:43] Star number three is to stay connected with your five-star employees
- [21:04] Star number four is maximizing employee qualities, aptitudes and skills
- [23:07] The final star, number five, is to lift up your employees
- [26:48] Danielle states that you succeed or fail because of your people. Put them first, and she directs you to the “Resources” for more information about Profit First Nation
KEY TAKEAWAYS:
- Entrepreneurs should offer their top performers the same paid time off (PTO) they enjoy to retain exceptional employees.
- Employees want three things—stability, comfort and purpose.
- Once entrepreneurs have the business rolling and successful, they should focus on their five-star employees who keep it running.
ABOUT THE HOSTS:
Danielle Mulvey is a former flight attendant-turned-entrepreneur and owns multiple businesses doing $50 million in annual revenue. She is one of the exclusive, select group of Mastery-Certified Profit First Professionals worldwide and the go-to “HOW TO IMPLEMENT” workshop facilitator for Profit First and WSJ Journal best-selling author Mike Michalowicz following his keynote speeches. Danielle is currently running multiple businesses, from start-ups to mature businesses with 10-year plus track records and revenues ranging from $1M to $40 million in annual revenues and is a certified numbers geek about Profit First, leveraging the DIY cash management system for small business to achieve maximum profitability. She can personally guide business owners to achieve maximum profitability based on her 25 years of experience as an entrepreneur who has been there and done that.
Additionally, Danielle authored the book The Rapid Read™ Guide to The 5-Star Employee Rating System™ and is currently collaborating with Wall Street Journal best-selling author Mike Michalowicz on his new book, to be released in Q1 2024, titled ALL IN: How Great Leaders Build Unstoppable Teams.
Mike Michalowicz is an entrepreneur and New York Times and Wall Street Journal best-selling author of Profit First, The Pumpkin Plan, SURGE, Toilet Paper Entrepreneur, Clockwork, Fix This Next and Get Different. BusinessWeek called Toilet Paper Entrepreneur, a business cult classic. His books have been translated into ten languages, and Mike has had the privilege to speak on stages worldwide because of his passion for connecting with entrepreneurs.
As the founder of Profit First Professionals, he empowers accountants, bookkeepers, and business coaches with the tools and techniques to maximize client profitability, allowing them to uplevel from being one of the 83% of small businesses operating check-to-check and struggling to be profitable to becoming one of the 17% of thriving and highly valuable businesses with cash in the bank to correlate to profitability. Mike also co-founded the business growth consultancy Provendus Group and has successfully founded, built, and sold two technology service-based companies. He is passionate about sharing his experiences and advice with entrepreneurs and sits on formal and informal advisory boards while maintaining relationships with angel and early-stage investors.
RESOURCES:
Danielle Mulvey - Website
Danielle Mulvey - Linkedin
The All In Company - Website
Profit First Nation - Website
Mike Michalowicz - Website
Mike Michalowicz - Linkedin
Mike Michalowicz - Twitter
Profit First Professionals - Website
Mike Michalowicz - Books
Mike Michalowicz is back because it’s an episode ending in “8.” We talk getting comfortable with the uncomfortable when it comes to making a transformation like moving from one business bank account to five. We also talk about how to apply the Pareto Principle to your customer roster and how your customers impact your profitability. Additionally, we provide recommendations on what and how much to keep in your vault account for OpEx. Don’t forget that we have your back on where and how to open your five core accounts at https://www.profitfirstnation.com/step-1/
With a mindset of abundance there is peace and infinite opportunity. We break down a checklist and discuss how to get the right framework in place to maximize your profitability. SPECIAL BONUS RESOURCE: Reverse Engineer Calculator Based on Owner’s Pay available at www.ReverseEngineerCalculator.com
Joe Wellbourn of Carbon Marine shares his authentic Profit First Journey, from a false start, driving blindly and by the seat of his pants to a permanently profitable business owner who is no longer a slave to the grind, and has cold, hard cash in the bank to correlate to his profitability.
Yes, Virginia, you can leverage credit with Profit First to earn points and rewards! Join Danielle Mulvey and Chief Profit First Professional Guide, Billie Anne Grigg, to learn how to responsibly leverage credit while avoiding the pitfalls of going credit crazy. P.S. Check out www.SecondHalfStrong.com for exclusive live programming to make the next six months your most profitable with 1:1 Coaching, Strategic Advisory Sessions, Sprints, and Weekly Live Q&A.
With a solid employee and candidate talent evaluation system, like The 5-Star Employee Rating System(TM), you can start to consistently and repeatedly build your dream team with a 90% hiring success rate. The four other secrets are key to attracting and retaining 5-Star Employees and are super simple once you apply some basic intention around them.
From radiology tech to luxury portrait photographer charging over $6,000 per client in five years, Felicia Reed, shares her money making moves and her Profit First journey that has led her to purchasing her first commercial building. Bonus to whoever can count how many times we mention Felicia’s AMAZING Mastery-Certified Profit First Professional, VENUS MICHAEL, in this episode!
The power of a single plan is is mighty, but when you layer the plans for your life, your family, your business, you week, and your day the intentions you are setting become your results and reality. It’s time to get planning to make your second half of 2022 STRONG.
Cue the confetti!!!! FINALLY, a bank that embraces Profit First!!!! NorthOne’s co-founder and CEO, Eytan Bensoussan, walks us through how to automate your allocations using their sub-account envelopes. With NorthOne you can open your account from your comfy couch in no time at all! BONUS: Profit First Nation listeners get a $50 BONUS when they open their NorthOne account using the link: https://apply.northone.com/profitfirst
CHECK OUT our visual recap that walks you through how easy it is to get NorthOne set-up as your primary bank or your inconvenient bank to save you time by automating your allocation calculations and transfers.
Today we dive into the finer details of Advance Profit First applications - including how to calculate Real Revenue when COGS (Materials) and/or Subcontractor costs account for 25% or more of your total sales. Additionally, we remind you and include as a BONUS RESOURCE to complete the Reverse Engineer Calculator based on Owner’s Pay to get your business on an accelerated path to profitability while also answering more of your questions.
Visit www.ProfitFirstNation.com/contact in order to submit your questions — we love hearing from you!
Get more candidates by going ALL IN on your recruitment to attract 5-Star Candidates while repelling 1, 2, and 3-Star Duds. From tweaking the title in your job posting to wooing candidates we cover six game-changing strategies to improve your candidate pool. REMEMBER: 1, 2, and 3-Star Employees KILL your profitability so never settle for less than 5-Star Employees.
Another GREAT episode ending in the number eight, so Mike Michalowicz is in the studio to share emails from his inbox. Nothing beats hearing from entrepreneurs who have gone from poor, struggling, and not paying themselves to quite well-to-do with more presence and peace.
Wendi Hall, CPA and Mastery-Certified Profit First Professional, joins us to share some of her signature “Wendisms” for practical and thoughtful principles around money and mindset.
If the area of biggest need to FIX in your business is in the ORDER level - then this is the episode for you. We walk through the five ORDER fixes from Minimum Wasted Effort to Role Alignment to Linchpin Redundancy and more. Plus, we challenge you with 17 very specific opportunities to get your ORDER level dialed in just right so you can ideally move up to the next level in the Business Hierarchy of Needs.
Billie Anne Grigg, Profit First Professional’s CHIEF PROFIT GUIDE, joins us to talk ADVANCED PROFIT FIRST STRATEGIES, covering credit cards, QuickBooks, and why you may need to do “Both + And” when it comes to adjusting allocations during this period of insane inflation.
How does one go from being an accountant to adding a side gig as a part-time mermaid??? Mastery Certified Profit First Professional, Tracy Jepson maps out how she went from solo-preneuer to building her dream team who go ALL IN on their roles so she gained the freedom to open a scuba shop, Flying Fish, in Topeka, Kansas.
How does one go from being an accountant to adding a side gig as a part-time mermaid??? Mastery Certified Profit First Professional, Tracy Jepson maps out how she went from solo-preneuer to building her dream team who go ALL IN on their roles so she gained the freedom to open a scuba shop, Flying Fish, in Topeka, Kansas.
Mark Coudray, the 2019 Profit First Professional of the Year, is back with some more of his brilliance and insight. This time we talk about leveraging AI to determine what makes your business competitively unique and what impact having an “Irresistible Offer” can make on your growth, profitability, and cash flow.
They acquired a laundromat thinking they were fulfilling Hastin’s childhood dream of owning a laundromat, but the struggle was more the tale of a nightmare. They were bleeding cash, and expenses just seemed to increase month over month. After reading Fix This Next and Profit First, Taylor and Hastin took the Fix This Next Assessment and connected with Danielle. Taylor attributes their turnaround in less than a year to MAGIC, but it really was just their commitment to doing Profit First RIGHT.
Of course it is never one thing, but the sum of all things that drives your success. On this episode we review the five stages that drive profit and cover the strategies that can increase your leverage and effectiveness in each of these critical stages.
Another episode ending in “0” means it is time to answer your questions, so we are serving up an “FAQ Buffet” covering topics ranging from handling “reservation deposits” to paying personal liabilities like child support, getting a partner onboard with Profit First, podcasts that tie into Mike Michalowicz’s other books, pricing strategy, and more! Our 100th episode serves up a feast for all entrepreneurs including a special invite to a LIVE WEBINAR event on Thursday, March 24th @ 1pm PT / 4pm ET.
Employees will ultimately make or break you and your business. Why settle for average, ho-hum, or worse employees. When you go ALL IN on recruiting, hiring and retaining 5-Star Employees you can build your Dream Team. We’ll get you started on building your Dream Team of 5-Star Employees by walking you through exactly “How to Avoid the Seven Most Common Hiring Mistakes.”
Another episode ending in “8” means Mike Michalowicz is joining us to share his inbox. Yes, Mike Michalowicz reads your emails because we are here to support you on your Profit First journey! On today’s episode, we cover your Tax Account from a few angles and how Profit First works for non-profits. Plus, we cover how and why it’s important to treat a “hobby business” like a real business. (Hint: Stop calling it a “hobby business.“)
Mastery-certified Profit First Professional Coach, Mark Coudray, has positively impacted thousands of businesses with his no nonsense and direct brilliance when it comes to profitably growing one’s business. In addition to sharing his business multiplier theory, aptly titled Coudray’s Law, Mark jam-packs this episode with practical opportunities to improve the efficiency and profitability of our businesses.
Don't be fooled or mislead by naysayers and those who have failed to implement Profit First right. We set the record straight so that you can progress efficiently down the path to permanent profitability by doing Profit First “RIGHT.”
It’s an episode ending in “-5” so Billie Anne Grigg, our Chief Profit Guide at Profit First Professionals HQ is back and we are talking about how Profit First is even more critical for larger businesses and the expenses grow and become much larger chunks that could adversely affect your profitability.
It’s time to revisit the PROFIT Level fixes from Mike’s book, “Fix This Next.” We knock out five topics including Debt Eradication, Margin Health, Profitable Leverage, and more with 17 very specific fixes you can apply to effectively fix your businesses’ biggest need on the Profit Level.
If the “B” word makes you cringe or want to throw up then “Budgets” are not for you! Mastery-certified Profit First Professional and CPA, Wendy Barlin, talks us through the radically brilliant notion of Never Budgeting Again and the amazing impact it can actually have on your business and your savings.
Just over one year ago, Steve provided an answer on our resource page opt-in’s optional question, “How can your Profit First Guide, Danielle Mulvey, better serve you?” His reply was, “Use this program to come back from the edge of the abyss of debt, no profit and no owner’s comp.” SPOILER ALERT: He is a Profit First ROCK STAR and he is on the episode to share his journey back from the abyss.
Sometimes the best of intentions lead us down the right path. It’s all too easy to get “stymied” in our business - especially when it comes to our financials and doing Profit First “right.” Profit First Professional’s “Wonder Woman,” Kasey Anton, from SPARK Business Consulting, walks us through the six common stymies to stop doing and how to fix them STAT. <> Complete Kasey’s FIX THIS NEXT Assessment Tool @ https://spark.fixthisnext.com/
Answers to your burning banking questions plus how to handle allocation day with variable employee pay such as commissions and percentage-based compensation.
Of course the end-game is profitability — but you cannot get there without sales — and to get sales you need to market your products and / or services effectively and ideally better than your competition. Justin Wise, Mike Michalowicz’ business partner in The Different Company, joins us to discuss the power of “Different” and how to apply the D.A.D. framework to get better results out of your marketing efforts. BONUS: Justin shares an incredibly valuable “Spark Plug” tactic that you can implement ASAP to ignite your marketing literally overnight.
Mike and Danielle are together again, to bring you another great episode ending in “8” as we read our way through Mike’s email inbox.
Angie Noll from ReconciledSolutions.net walks Mental Health Group Practice Owners through 5 key dashboard metrics that will bring greater clarity to your numbers and accelerate you down the path to permanent profitability. **For the dashboard resource, visit: https://mailchi.mp/reconciledsolutions/mental-health-practice-metrics
Angie Noll, a Mastery-Certified Profit First Professional and principal of Reconciled Solutions joins us to countdown the 5 Steps to Getting Your Financial Game Together. Some great reminders and a few a-ha’s in this episode will really help you get your financial game together so that you can relieve any stress or burden around accounting, bookkeeping, money, etc.
COVID struck one of our offices taking three of us down for the count - including myself and my husband. Thankfully, we were well prepared for owner and key employee “unplanned absences.” Before COVID or something unexpected or tragic befalls your business we cover six best practices to ensure your operations continue swimmingly regardless of the circumstances. (Of course, success without you requires you recruiting, hiring and retaining 5-Star Employees to help you weather a storm.)
Profit First Professional’s CHIEF GUIDE, Bille Anne Grigg is back because it’s an episode ending in “-5.” On this episode we address some of the common sticking points that business owners grapple with when implementing Profit First. Across the hundreds of thousands of businesses that have successfully implemented Profit First — there has not been any business that was the “true exception” jacking the prescribed implementation. While there are some situational circumstances such as a new business vs. existing business when implementing Profit First we’ll guide you through covering all of your bases.
Let’s keep the sales train going down the track to another profitable year with lots of angles to come at when it comes to being strategic with your sales without getting overcomplicated. With over 25 SIMPLE strategies pick one and then another and another and another and you will delight more customers with your amazing product or service.
Let’s get those sales engines revving by posturing you into the proper SALES STATE. How you feel about sales will dictate your results. On this episode we go deep and long about how to leverage and maximize your state because you are not a sales person. You are a STATE INDUCER. All performance is state related. You’re not selling a product. You’re selling a state. It’s time to get focused so you can concentrate you ultimate power to drive sales that solve your customer’s pain.
How quickly can you open your Profit First accounts in person at the bank after a Profit First workshop? Well, the record of 38-minutes was set by our guest, Brittany Milan, owner of Eleve Performing Arts Center. A dancer by training and a studio owner for 10 years, Brittany, like 83% of small business owners always struggled with her profitability and cash flow. When an upcoming Profit First Workshop was scheduled in her Gold Alliance Studio Owner Community, Brittany cleared her day to take the information from the workshop while it was fresh and get to implementing Profit First RIGHT AWAY! Brittany shares her Profit First journey that started in March 2020 and talks about how she is so more more “relaxed” now that she knows money is not going to be spect because it is in the wrong spot or that she won’t have enough money to pay her amazing teachers because Brittany is now a 17%-er business owner with cash in the bank to correlate to her profitability.
50% of small businesses fail in their first five years…83% of businesses never achieve profitability…Most businesses are stuck on the proverbial hamster wheel and get stuck spinning their wheels in a never-ending “Survival Trap.” On this episode we dive into why and how businesses that struggle with cash flow are in reality struggling with sales. We also cover more than 20 opportunities to remove yourself from the “Survival Trap” to get your sales foundation on solid ground so that you can profitably build and grow your business.
It’s an episode ending in “0” so it’s Q&A time. We field a few questions on the topics of Cost of Goods Sold (COGS), as well as debt-servicing, how do apply Profit First to your personal finances, and getting going with your Profit First implementation. Remember: YOU’VE GOT THIS!
Probability gives you runway which gives you the ability to be efficient. If you are not profitable, that’s okay, you can fix that. What happened in the past should stay in the past. Your future profitability starts with the actions you take now. If you have adjusted the rules or ignored principles, start over. Don’t jack a proven system - you won’t win. Let the system prove itself and spend your brainpower on differentiating yourself from your competition.
Profitability gives you runway which gives you the ability to be efficient. If you are not profitable, that’s okay, you can fix that. What happened in the past should stay in the past. Your future profitability starts with the actions you take now. If you have adjusted the rules or ignored principles, start over. Don’t jack a proven system - you won’t win. Let the system prove itself and spend your brainpower on differentiating yourself from your competition.
Profitability gives you runway which gives you the ability to be efficient. If you are not profitable, that’s okay, you can fix that. What happened in the past should stay in the past. Your future profitability starts with the actions you take now. If you have adjusted the rules or ignored principles, start over. Don’t jack a proven system - you won’t win. Let the system prove itself and spend your brainpower on differentiating yourself from your competition.
Profitability gives you runway which gives you the ability to be efficient. If you are not profitable, that’s okay, you can fix that. What happened in the past should stay in the past. Your future profitability starts with the actions you take now. If you have adjusted the rules or ignored principles, start over. Don’t jack a proven system - you won’t win. Let the system prove itself and spend your brainpower on differentiating yourself from your competition.
Profitability gives you runway which gives you the ability to be efficient. If you are not profitable, that’s okay, you can fix that. What happened in the past should stay in the past. Your future profitability starts with the actions you take now. If you have adjusted the rules or ignored principles, start over. Don’t jack a proven system - you won’t win. Let the system prove itself and spend your brainpower on differentiating yourself from your competition.
Profitability gives you runway which gives you the ability to be efficient. If you are not profitable, that’s okay, you can fix that. What happened in the past should stay in the past. Your future profitability starts with the actions you take now. If you have adjusted the rules or ignored principles, start over. Don’t jack a proven system - you won’t win. Let the system prove itself and spend your brainpower on differentiating yourself from your competition.
Success is quantifiable and measurable when you define what success looks like with numbers. In order to profitably scale and grow you business, it is super critical to watch your biggest expense, PAYROLL. When you settle for average or ho-hum employees vs. 5-star employees — you payroll costs balloon to two or three times higher than they need or should be. At 10 or more employees and $1M and more in real revenue your secret to maximizing your profitability is in your “Return on Payroll.”
Are you really, truly operating your business in your sweet spot???? We talk Pumpkin Plan Your Biz with Donna Leyens and how it pairs perfectly with Profit First to profitably scale your business to genuinely outdistance yourself from your competition. BONUS: The 15 questions to ask your TOP CLIENTS what they need and want from you to really help you hone in on your FANTASTIC and WILDLY PROFITABLE & SCALABLE SWEET SPOT!
Certified Profit First Professional and CPA, Denise Grove, joins us to provide a harrowing tale of how someone hired as a receptionist embezzled money over a period of 18 months that led to a business owner being faced with foreclosure on his residence and a rental property. It’s true, most business owners do not love accounting and bookkeeping tasks, and it is okay to delegate these functions as long as you do not abdicate. Denise runs through five low tech, EZ to implement tips to thwart the embezzlement that happens in 30% of small businesses.
What?!??! Sometimes terminology has different meanings?!??! Unfortunately, many readers of Profit First get hung up at Ch. 3 over terminology. Thankfully, BillieAnne Grigg joins us to guide you through understanding the jargon of profit, owner’s pay and more from both a traditional accounting/bookkeeping perspective, as well as, from the Profit First cash management perspective. Note: For more on these subtopics, please refer back to Ep. 55 “Cash Management vs. Accounting.”
SPECIAL OPPORTUNITY: Opt-In Today for our Sept 20th Bootcamp where we walk you through how to OBJECTIVELY rate employees and candidates on a five star system. If payroll is your biggest expense, you cannot afford to miss the bootcamp experience with Mike Michalowicz, Danielle Mulvey and more! Great people are in the market - you should never settle for average or ho-hum employees. Opt in today: www.theallincompany.com/sept
Your profitability is a function of your margin and pricing impacts your margin so it is imperative to MAXIMIZE your pricing so that it doesn’t kill you and that it correlates to the level of service. Premium service dictates premium pricing. Remember: you cannot serve everyone with your products or services — it is OK to experience resistance and balking on premium pricing — it is the filter or litmus test to let you know who are NOT your ideal customers.
The title of this episode is so on point that you just have to listen to it to get all of the deets on working with a consultant of any kind and variety.
Leveraging Danielle’s expertise and certification as a Fix This Next Advisor in the Mike Michalowicz Universe (aka Michaloverse), we dive into the second level, or PROFIT LEVEL, in the Hierarchy of Business Needs. On this episode we cover 22 assessment questions over five topics covering: Debt Eradication; Margin Health; Transaction Frequency; Profitable Leverage; and Cash Reserves. If Profit is the level you need to fix next, this episode will ensure you cover all of your bases.
Your burning questions re: Owner’s Pay vs. Profit and multiple accounts for multiple entities are answered in detail on this episode. Really mastering Profit First is in taking small steps and more importantly doing Profit First RIGHT! Once you grasp the basics we peel back more layers that give you even greater clarity. Our tradition of answering your questions on episodes ending in “ZEROs” is are great resources. If you have a question we would be honored to answer it, so please email it to: hello@profitfirstnation.com
Because I just can’t have all of my eggs in one basket…Oops, I did it again, I have launched a new entity with Mike Michalowicz, The ALL IN Company. Check it out at www.TheALLINCompany.com - our free community application deadline is Wednesday, August 11, 2021. On this episode I walk your through Steps “A” through “H” on the checklist I follow when adding another hen to my henhouse.
When you publicly declare your commitment to doing Profit First right, we’ve got your back. It’s time to intercept your usual behavioral paths that are not serving you well. It’s time to stop acting cool and do the “uncool” to truly achieve financial freedom. It’s also time to banish the colloquialisms that are hogwash. Mike, Danielle and our fellow certified Profit First Professionals are here to guide and support you on your path to permanent profitability.
Kenny Rogers succeeded in the chicken business, then failed, but came back and still exists with hundreds of locations in Southeast Asia. Today we talk about the very thin line between success and failure as a small business owner. A serious, MUST LISTEN TO episode for all small business owners. Your failure may be outside of your control — and you cannot and should not take it personally….we all can come back stronger and wiser.
Another take on reverse engineering based on owner’s pay, but then we go deeper at how moving the levers on number of sales transactions, price, and items per transaction can make a bigger impact. It’s not one thing that makes the difference, it’s the aggregate of many things that produce the biggest results. Check out the Notching Up Your Levers resource/calculator under RESOURCES at www.ProfitFirstNation.com
Billie Anne Grigg is back sharing as Profit First Professional’s Chief Guide and we dive into how to leverage DRIP accounts from two perspectives. The first perspective is for retainer-based businesses that need to manage “unearned revenue” from a cash perspective. The other perspective is how businesses with seasonality to their income over the course of the year can leverage a DRIP account to help them cover expenses during those leaner, lower revenue as expected months. BONUS: We pull back the curtains on the Profit First Professionals organization covering everything from certification to the benefits of being a Profit First Professional and being part of a wonderful tribe of bookkeepers, accountants and coaches who share the same passion to serve their clients with the heart of a teacher when it comes to helping business owners own their financials.
Danielle shares the behind-the-scenes of a pilot she is filming for a show called, “Business Overhaul.” This business overall is really a journey of transformation with an owner burying her head in the sand when it came to the “numbers” to a ROCKSTAR owner who’s new mantra is “I LOVE NUMBERS - AND NUMBERS LOVE ME!!!” Get the scoop on the “starting challenges,” what was “overhauled” from a financial perspective in the process, and the 30-day results of this exciting television pilot featuring Charisma Boutique on Coronado Island in San Diego, California.
Aimee LaLiberte a certified life and money coach + Profit First Professional walks us through a great model to help us profitably grow a healthier money mindset. Let’s flip the script on the thoughts, feelings and actions (or inaction we are taking) to own the financials of the business you own. #moneymindset #entrepreneur #freelancer
On today’s episode we are joined by entrepreneur Brian Sly who shares not only his Profit First journey, but also his big EUREKA moment of realizing profit is not a “dirty” word, profit is a misunderstood word. Additionally, we chat about marketing and levering video and LinkedIn to keep your company top of mind which in turn keeps your pipeline full.
The path to PERMANENT Profitability means staying on the straight and narrow path of doing Profit First RIGHT vs. “-ish.” In this episode we cover seven of the most common “-ish” temptations that will derail your progress on the path to permanent profitability. Best part, we guide you down the straight and narrow path with the seven keys to doing Profit First RIGHT.
As with all episodes ending in “0” we are answering your questions. Today’s topics include: 1. )What to do with “forgiven” PPP loan proceeds; 2.) How to handle Owner’s Comp when there is more than one equity owner; and 3.) What to do with existing cash on hand when implementing Profit First.
The rules of engagement are not always easy to navigate for business owners — so we have recorded a special episode on the topic of Employee Retention Tax Credits — these credits are up to $7,000 per employee per quarter in 2021 AND you may be eligible even if you took PPP money. Additionally, if you are a business that started AFTER Feb 15, 2020 - you may be eligible for up to $50,000 in tax credits per quarter. LISTEN NOW and check out the visual recap here:
Profit First starts with opening five foundational accounts as Step #1 to implementation. After you get in the rhythm of allocating to your accounts, you will likely want to see even more clarity with the cash in your business. “When in doubt, add an account,” is the phrase that gives you ownership of taking Profit First to advanced levels. In this episode we cover more than 10 additional accounts that may be useful to add at your bank so that you are able to better isolate certain saving or spending categories for maximizing profitability.
It’s an episode ending in “-8" and another opportunity to dive into Mike’s inbox. We answer emails on the topics of business debt, why owner’s comp is important to defining your lifestyle, what to do with your existing primary checking account when you start Profit First, and why you should consider getting coached by a CERTIFIED Profit First Professional to train you to be “fiscally fit,” like you would hire a certified trainer to get you physically fit.
Once you have implemented Profit First it is critical to not get “too comfortable.” On this episode we do a refresher on the four core principles of Profit First and the affect of Parkinson’s Law when it comes to time and money in your business. REMEMBER: THE SECRET TO FINANCIAL FREEDOM IS THE ACCUMULATION OF CASH. It’s always about doing more with less — and following the five rules for a “Locked In Lifestyle.”
Greg Crabtree, the author of Simple Numbers joins the podcast to talk about his two books and how they allow entrepreneurs to slice and dice their accounting into meaningful metrics that then allow them to bump those numbers against proven benchmarks. As a CPA, Greg is truly in a class of his own because he has mastered the art of explaining the simple numbers with straight talk that leads to BIG PROFITS!
Fan favorite and Profit First Professional’s Chief Profit Guide, Billie Anne Grigg, is back because it is an episode ending in “5!” Today, we guide you through the differences of utilizing Profit First as a “Cash Management System” vs. “Accounting Systems” like Quickbooks — including how they work together, but more importantly understanding how and why the terminology may sound the same, but have different meanings. This episode is a must for entrepreneurs and small business owners who want to be in the top 17% of their peers because they have cash in the bank to correlate to their profitability and more importantly embrace OWNING THE FINANCIALS of the business they own. BONUS: We guide you through Income Statements (aka P&L’s), Balance Sheets, Statements of Cash Flow, and more!
The quarterly expense review is a MUST to maximize your profitability. Spending 90 minutes each quarter will prove to be a worthwhile investment of your time. It becomes even more important as you start to build cushion into your allocation accounts. Your very own Profit First Guide, Danielle Mulvey, just uncovered over $16,000 in over billing by one of their vendors when she completed her Q1 Expense Review. Make sure to DOWNLOAD the Checklist associated with this episode at www.profitfirstnation.com/resources OR better yet, opt-in to have the resource for each new episode texted to you by providing your cell number when downloading your first resource. CHEERS TO ANOTHER PROFITABLE DAY!
Working as a Financial Advisor and Investment Advisor Representative at Wealth Strategies Financial Group, Michelle Campbell is passionate about helping individuals obtain success through investing for their unique individual situation. Hear how she got started on her Profit First journey and some of her ups and downs along the way on this week's episode!
Lucky you…not only is your guide a mastery certified Profit First Professional, Danielle is also a certified Ramsey Financial coach! On this episode we walk through how to build wealth and allocate money in your personal finances and EXACTLY HOW Profit First and Dave Ramsey’s Baby Steps really help you maximize your FINANCIAL FREEDOM.
Sometimes two heads plus a Profit First Professional are better than one! Hear about business partners’ Jess and Margy’s Profit First journey. Like typical entrepreneurs they were working harder and growing the business - successfully hitting their increasing revenue milestones…but they actually took home less pay during their biggest revenue year; they never took profit distributions, and they struggled to keep a solid cash cushion of savings in their OpEx account. Seven months later they have successfully implemented Profit First with the guidance of mastery-certified Profit First Professional John Briggs from Incite Tax, Jess & Margy have one word to describe their results: “MAGIC!” Tune in to get all of the details and more!
We answer three great listener questions re: 1.) Profit Distributions; 2.) Tax Distributions; and 3.) How to Reverse Engineer to make sure your Total Revenue Target aligns with your Real Revenue to deliver your ideal Quarterly Profit Distributions and Owner’s Pay. In addition to the “Visual Recap,” make sure to also download the BONUS RESOURCE: the “Reverse Engineer Calculator.”
Let’s get real and set intention to work ON your business each week. Use the “Revenue Pipeline Generating Formula” to produce results that will profitably grow your business so you confidently hit your Total and Real Revenue goals because you are taking intentional, proactive action to produce results with your most precious gift: TIME. Don’t waste your time; Don’t get hijacked with your time; And for goodness sake, please do not spend more than three hours per week consuming new content at work. (Of course, podcast consumption while driving, doing laundry, working out is Profit First Nation-approved!) Let’s get a great return on your time working ON your business and you will achieve the ultimate entrepreneurial dream: Financial Freedom.
Mike Michalowicz provides lots of Mike-isms on this episode. Loaded with simple, but profound a-ha’s that will give you more confidence, more security and more cash in the bank to correlate to your profitability will not only provide more runway, but will also make you rich and give you financial freedom…and it starts by changing one word in your vernacular. Stop focusing on the “make” because what matters most is the “TAKE.”
Adam McKee of Contemporary Woods shares his authentic and transparent journey from struggling business owner to profitable entrepreneur by running towards the problem head-on like a buffalo. On this episode, Adam recounts the specific actions he took to increase his profitability. Bonus: Adam is now also able to spend a healthy amount of his week working ON his business and shares his tips on how he has grown his “knowledge network.”
Today we count down Dan Miller’s 10 Rich Characteristics and do a bit of brainstorming on how to develop and further strengthen these ingredients to success in life and in business.
We welcome back fan favorite and Profit First Professional’s Chief Guide, Bille Anne Grigg, back to the podcast to dive deeper into Advanced Profit First Strategies including how you manage the Owner’s Pay Allocation/Account when using a Payroll Service, as well as, handling Profit Distributions and leveraging a Vault Account.
Before you make your next A-player hire, go the extra mile and show them that you are serious about recruiting, hiring and retaining the best A-players for your organization. Do what every other employer is too “lazy” to do. Follow these “Four WOWs” to get the 4X return on your new A-player hire as you build a team of A-players that will run circles around your competitors.
We continue on the topic of Topgrading and how to rate a candidate on the RED key competencies — those competencies that are almost impossible to change. Check out the resource section on ProfitFirstNation.com to download the editable RED Key Competency Questions so that you are ready to hire your next more profitable A-player versus hiring a profit-sucking B, or worse, C-player.
Once you have three or more employees, chances are your biggest expense is payroll and so you cannot let B and C players suck your profits dry. We talk Topgrading and the four pillars to recruiting and hiring A-players who represent the top 10% of available talent.
Let’s stack the deck in your favor to hit your 2021 sales goals by leveraging Dave Kurlan’s Baseline Selling. It’s a great visual pipeline and what I have been using for about 15 years to hit our numbers. Of course, the real secret is REVERSE ENGINEERING so you are keeping your bases loaded (Pun intended, of course!).
A super episode meant to prime you to make 2021 your most profitable year ever! We talk about how Jabba the Hutt is eating your profitability in the form of operating expenses and we cover the core points of Profit First to make sure you are on the path to permanent profitability. This is a perfect episode to share with your entrepreneurial friends who have no clue about how to leverage Profit First as a do-it-yourself cash management system for their businesses.
To get the biggest Return on YOU, make every morning of 2021 a Miracle Morning and then spend one hour sprinting ON your business to make 2021 your BEST YEAR EVER!!!! When you start your day right, you get your week right. When you get your weeks right, you get your year right -- so let's take control of our destiny in 2021 by starting each day off right so you get the biggest Return on YOU. You work too hard and risk too much being an entrepreneur to let others hijack your time and energy. Get your copy of The Miracle Morning: https://www.amazon.com/Miracle-Morning-Not-So-Obvious-Guaranteed-Transform/dp/0979019710 and check out the recently released documentary: https://miraclemorning.com/movie/ (Danielle's twist on SAVERS is the last "S" is SPRINT ON YOUR BUSINESS vs. Scribe)
Let’s “Fix This Sh!t NOW,” my entrepreneurial friends. It’s commitment vs want and the secret is you have to commit to it if you expect to achieve it. Let’s heighten your level of commitment and accountability. Are you an entrepreneur who is, A) Frustrated? B) Stressed? C) Uncertain? D) Disappointed? E) Burned Out? F) Overwhelmed G) All of the Above? Well, then let’s “Fix This Sh!t Now!” BONUS: We dive into Mike’s emails from committed readers of Profit First to reveal what it takes to be successful when it comes to using Profit First as your cash management system.
Congratulations with this episode you should be done with your Profit First implementation. That was easy and now your are well down the path of permanent profitability!
It’s Step #10 in your Profit First Implementation and a key iterative process that will forever and always impact your profitability. Learn how to make it easy and fun to cut your expenses to increase your profitability. Check out our episode resource with the checklist at https://www.profitfirstnation.com/sign-up
Margin is where the value comes to life. Most businesses undervalue themselves and leaving margin on the table. Set your prices to correlate to the value of what you offer by leveraging Mike’s “Double-Double-Half” formula. Or be the Ferrari in the Ford versus Ferrari scenario and really maximize your margin. And take a lesson from Starbuck’s playbook, too, by regularly increasing your prices even when gross margin is up and COGS are down.
Tragically, most people use the terms mark-up and margin interchangeably – like they are one in the same?!?!? We will explain the difference and the values in these two critical metrics. Cliff’s Note Summary: Increasing margin is one of only two ways to improve your profitability. (FYI: Mark-up uses cost as it’s divisor and margin leverages price as it’s divisor.)
Since it is episode number 30 and an episode that ends in “ZERO,” we will stick to our tradition of answering questions on episodes that end in zero. Your Profit First Guide, Danielle Mulvey, also gets the tables turned on her when a husband and wife team came uber-prepared for a call and asked some really insightful questions that Danielle answers with her candor.
My favorite days are Allocation Days! Oh what fun and how easy it is to plug your income account balance into the Allocation Calculator and watch money go to Profit –first! Allocation days also give you cash clarity regarding your company’s fiscal health. So let’s get to allocating!
If you ever wondered how you go from your current allocation percentages to your target allocation percentages – this is the episode you have been waiting for! Based on your Profit First Instant Assessment completed in Episode 27 we are going to figure out how many quarters it will take to reach your target allocation percentages and we will map-out you allocation adjustments for each of the subsequent quarters to reach your target allocation percentages (aka TAPs). THE TRUE SECRET: Go slow with modest adjustments.
Let’s make sure your business is reversed engineer to finally pay you, your company’s most valuable employee, what you need to make to take care of you and your family. We walk you through step-by-step (5 EASY STEPS) on how to use our free Reverse Engineering Calculator to easily calculate what your real revenue needs to be, what your gross sales need to be, and how much you need to sell in a year, in a month, in a week and per day to hit your target owner’s pay salary. BONUS: We have a video at www.ProfitFirstNation.com/resources that walks you through the calculator, as well!
It’s time for step #5 of implementing Profit First – completing your “Instant Assessment.” The good news is we walk you through it step-by-step and make it super simple when you use the Instant Assessment Calculator at www.ProfitFirstNation.com/resources. You just need to understand 5th grade math to complete it – so let’s gett-er done in an instant! (WARNING: This episode contains some “salty” language.)
We finish the START PHASE of implementation with Step #4 of your Profit First Implementation – determining your allocation rhythm and schedule your first allocation day as you continue to build your profit habit. Additionally, we have a Profit First Nation Inspiration interview with Rob Hughes of Hughes Integrated.
The Inconvenient Bank is Step #3 in implementing Profit First “right!” Remove the temptation of plowing money back into your business by making it inconvenient. Do not skip this critical step to transform your business from a cash eating monster to a money making machine.
Step #2 is to start allocating 1% to your profit account with every deposit. You can easily “afford” to run your business on the 99% you have been running it on – no sweat. Step #2 is where you start to build your Profit First habit and develop the muscle to make your business FISCALLY FIT!
On today’s episode we begin to go down the START Phase to implementing Profit First -- including guiding you through Step #1 of implementing Profit First – Getting Your Butt to the Bank! Plus we talk about the “right time” for Profit First.
Join the kick off to our Profit First 101 series as we discuss the “The Journey of Transformation” model. Additionally, we review Profit First’s three phases of implementation and corresponding 12 steps. If you have yet to start implementing Profit First, or you are stuck at a certain step, or you have already implemented Profit First – no matter where you are on your “Profit First Journey of Transformation” we have best practices to keep you on the path to permanent profitability!
More of your Frequently Asked Questions (FAQs) addressed and answered covering a lot of ground to support you in doing Profit First “right” and keeping you on the path to permanent profitability.
We are going to go deep and low on the topics of entrepreneurial trauma and debunk some common myths of entrepreneurship. Today’s episode ends on a high note with a Profit First Nation Inspiration featuring entrepreneur and author, Krystel Stacey talking about her Profit First journey.
Please do not be naïve to think your company cannot be the victim of embezzlement. Yes, this is an uncomfortable and seemingly unfathomable topic. To be ahead of the curve let’s walk through how and why you must proactively safeguard the integrity of your accounting practices.
On this episode we talk why and how not to totally abdicate the bookkeeping and financials of the business you own when you have a bookkeeper and/or accountant doing your books.
Join us on this special bonus episode with fellow Mastery-Certified Profit First Professional Ean Price Murphy the founder of Moxie Bookkeeping Mentoring and Consulting. In this special companion bonus to Episode 16, we dive deeper into the topic of bookkeeping — including red flags, in-house vs. outsourcing, and more. with Ean.
Be wary of wolves in sheep’s clothing – individuals who call themselves “bookkeepers,” but lack the training and qualifications. Learn how to hire A-player bookkeepers and ditch the B and C-player ones.
Best practices on how you can stay on the win-win side when it comes to using Profit First as your cash management system with credit credits, but without becoming insidious.
Dive into the how and why you can achieve predicable cash in your income account. We explore the Borrower – Lender Matrix coupled with the fact that 90% of our money actions are emotionally-driven, while only 10% are logically-driven. The episode concludes with best practices on how to leverage your emotions to minimize your accounts receivables aging.
Doing Profit First “right” is remarkably easy. Once you start allocating to profit you are on the path to permanent profitability. In this episode we prime you for doing Profit First “right” from the start of implementing it. Additionally, we cover how to easily avoid missteps when implementing Profit First in your business. EPISODE SPOILER: Don’t be aggressive.
There are five stages when faced with a business crisis. Thanks to COVID every business – large and small – has been dumped into crisis-mode. What stage are you in? And how can you take deliberate action now to surge and burst past your competition. The businesses that are starting to surge and burst are taking this opportunity to serve their customers better. On this episode, we will start to dive into ideas, concepts and exercises you can do now as we all start to figure out this new present reality and what Mike Michalowicz has coined “Recession Response.”
On this episode, we will start to dive into ideas, concepts and exercises you can do now as we all start to figure out this new present reality and what Mike Michalowicz has coined “Recession Response.”
We draw the line in the sand and you decide if you are a top 17-percenter entrepreneur, or are you an 83-percenter? Additionally, we answer seven of the most frequently asked questions related to getting started with Profit First.
We wrap up the Expense Challenge here in Week 4 with one final set of exercises that turn operating expenses into profit opportunities. Additionally, we recap some very impressive results when it comes to nailing the Expense Challenge.
Week three of the Expense Challenge peels back another layer presenting more “profit opportunities.” Let’s apply a great benchmark to ensure you are getting at least the minimum ROI on you marketing dollars. Additionally, we award our first Profit First Nation ROCK STAR Award to Aaron Hendon a realtor to with a great tip to share.
We continue the next layer of the Expense Challenge with Profit Opportunities you can apply right now in your business so that you can meet the challenge of converting 10% of your current operating expenses to profit. We also feature a Profit First Nation Inspiration with Rob Hughes from Hughes Integrated.
This episode marks the first in a series based on the challenge of cutting 10% of your operating expenses? Why cut your operating expenses??? Because what you cut becomes your increase in profitability!!! Additionally, John Briggs, the author of Profit First for Micogyms joins us for a quick convo.
Join us as we dive into Profit First for Microgyms with with the book’s author, John Briggs, CPA. CEO of the accounting firm Incite Tax and an owner of a microgym in Utah, John shares his real life experiences and perspective this special bonus episode.
On today’s episode we discuss alternatives to the 10th / 25th rhythm prescribed in the book, as well as, the value of sticking to your rhythm. Additionally, we feature a “Profit First Nation Inspiration” with Dr. Leslie Cisar, a naturopathic doctor and a big fan of Profit First.
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