As entrepreneurs we made "the shift" in 2014 and it changed everything.

In 2013 did about $350k a yr in revenue and it was a STRESSFEST. Putting out fires everywhere 24/7. Understaffed. Not very profitable.

A thread on how we took it to a $2MM a yr biz with 1/5 the stress:
We pointed fingers at everything around us.

The real estate market was too hot. We couldn't find affordable space.

The labor market was too tough. Good employees were hard to find.

The customer service got too overwhelming when we got busy. Impossible to staff around.
"The Shift" was the moment we decided to take ownership of these "problems" as OUR OWN problems. Our own shortcomings. And things we COULD solve.

It was the same for everyone... How were some of our competitors able to scale while we were running around like chickens w/o heads?
So we worked harder at finding warehouse space. We used google maps to find the abandoned buildings, searched the tax records, and cold called.

We tied it up and made it happen.
We started marketing to employees like we marketed to customers.

We simplified the job of our drivers so they didn't need to be competent at warehousing, customer service, scheduling.

We focused their job to 5 core competencies and had other specialized employees do the rest.
It turned out while it made sense to us it was terribly unclear on how our service worked for a potential customer.

We took the top 10 questions customers had and put more information in the response emails and on our sign-up form. Also answered them in the call-waiting message.
The next year we blew up.

We secured affordable warehouse space.

Our employees were more reliable and performed better.

Our call volume per customer was cut by 50%.

And we scaled.

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More from @sweatystartup

28 Oct
If I could invest in a series of small businesses under the following structure I’d be PUMPED and would start doing a lot of it:

Founders: tell me if this is one-sided

Investors: tell me if this is stupid

Thinking out loud...

Here goes:
I (the fund) put up 90% of the cash needed to buy a service biz.

Owner co-invests 10%.

Owner PGs loan.

Owner is put on market salary ($50-100k).
Owner gets 20% of net profit.

I get 80% of net profit until I’ve returned 2x original invested capital.

50/50 on all profit after that.

New invested capital gets put on same terms.
Read 7 tweets
26 Oct
Time for a BOOK LIST.

I've read over 250 self-help and business books..

Heres a list of the ones that have had the largest influence on my life and career.

A thread:
Never Split the Difference - @VossNegotiation

It outlines and reinforces the fact that business, negotiation and any human interaction is inherently very emotional. Mirroring, tactical empathy, starting with no and labeling are all phenomenal.
The E-Myth Revisited - @MichaelEGerber

The first stop for any beginner. This is a great book about the importance of creating a business that can thrive without you. Preaches a lot of my favorite business principles like working on the things that are important but not urgent.
Read 19 tweets
24 Oct
It’s not about how much money you make. It’s about how much money you get to keep.

There are two types of CPAs:

1. Those who act like they work for the IRS.

2. Those work and fight for their clients.

I’ve fired number 1s and I pay good money for number 2s.

What I’ve learned:
You want a tax planner who gets aggressive, develops strategies for you to emplement, and is prepared to take on the IRS.

You pay them good money for this.

You pay them to WORK FOR YOU.

But let’s think about the motivating factors:
Taking this approach is more work for the CPA. Bad CPAs don’t like doing work.

I had arguments with my first CPA about depreciation. He said getting aggressive was a bad idea because recapture taxes are significant.

He didn’t want to do the extra work.

I fired that CPA.
Read 11 tweets
24 Oct
Twitter is insane because it’s a look right into the mind of brilliant thinkers.

If you curate your feed with successful folks with differing views and opinions in different spaces...

AND have the courage to interact with them...

You can learn A LOT really fast.
It’s amazing the quality of people who hang out here.

Is it because they also see it for what it is?

The greatest self-help tool and win-win networking tool on the planet?
I’ve been thinking a lot about this platform, and being new here, how it’s changing the way I think about a lot of stuff.

It can be a double edged sword from this perspective:
Read 5 tweets
23 Oct
How I get insane value out of twitter:

Spend an hour of focused work 3x a week to schedule threads / tweets.

Avoid tweets that make you think for 2 seconds and continue scrolling.

I want you to think about it 2 hrs later.

This is work for me and it’s paying huge dividends.
I take notes all day in my tweet “draft” section.

Before I tweet them I roll them around a bit. Think about the different angles. The blind spots. Spend a little time with the thought.

I love to tweet about things I don’t fully understand. You can learn a TON very fast.
Humility is key and you better be willing to change your mind.

Everybody hates Dunning-Kruger assholes with closed minds.

Give and you shall receive. Challenge folks to get better and think thought the hard stuff and they’ll do the same for you.
Read 4 tweets
22 Oct
A thread on how to turn $100 into a lot more:

People are spending a lot of money on their homes right now. Its time to go get some of that money and help out some of these people.

Sound silly? Good.

It really is this simple sometimes.

Lets go 👇
Get on your computer and buy a web domain.

Get a freelancer (upwork or fiverr) to make you a logo/flyer and get $45 worth of flyers printed at your local print shop.

Buy a box of sidewalk chalk if you really want to grind and get gritty.
Go downtown with the sidewalk chalk and write “pressure washing and home cleaning 888-555-1234” as many times as you can in high traffic areas.

Go to a middle class or high end neighborhood and hand out flyers on porches and wherever else.
Read 15 tweets

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