Why I Love Small Business...

... Especially Process & Systems.

Its a story of people, underdogs, belief, and the industrial machine that has crushed it.
People are the ultimate reason.

They have needs - and thus we develop and sell.

They need to participate economically - and thus we employ and use.

They have social desires - and thus we build and facilitate community

But most of all - they have a self-image.
One of the best self-image turnarounds is when someone, anyone gets a job that

1. Gives them confidence they can do
2. Money so they can buy and participate
3. Team so they are part of something bigger than themselves
4. Challenges to learn and grow
Small businesses are one of the best employers of the everyday person.

- The young man who wasn't able to finish high school
- The recently single mom who never had to think about economics before
- The you woman who wasn't given the same opportunities as her male counterparts
These individuals will find themselves employed, more often than not, in small businesses.

Small Businesses have the opportunity to

- create culture
- provide economically
- develop personally

To heal the brokenness that is inside many damaged self-images.
So where do processes and systems fit in?

Either due to confidence, education, knowledge, or self-destructive self-images...

... many of the people who need the work the most for a turnaround, are not capable - as is - of doing it.
A well-defined process allows anyone to mimic and execute on well thought out strategy.

A system allows them to easily integrate with others above and below them without issue.

Processes turn the underdog into a hero.
One of my core beliefs is this:

Your labor force is the most untapped source of
- creativity,
- innovation,
- differentiation, and
- raw power
One of the best first steps in helping tap that is to give your people a sense of

- participating
- executing
- success

Systems allow this regardless of someone's background
Think of systems as a turning point, a trajectory shift.

Confidence breeds more confidence.

Mimicking well thought out processes enables them to think differently

Participating raises a belief that they can contribute
Nothing touches my heart more than seeing someone who thought they would never amount to much, be able to

execute

and thus contribute

and thus earn more in wages and knowledge

and thus provide for a life for themselves and those around them, they never thought possible.
The industrial machine has turned systems into ceilings.

It has turned processes into bosses.

But, a system can be a floor, a ladder, a way to enable not inhibit.

This is why I love small businesses & systems...

... because I love people & humanity.

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More from @joshuamschultz

16 May
This will shock NO ONE on twitter... but IRL - people think I'm crazy.

I actually have a specifically timed Avocado System.

This is 100% true.
When you go to the store, the ripe ones are picked first.

I will not change when I shop (read: my wife refuses to go shop) based on first dibs for avocado.

So I created a system - conveyor belt supply chain of sorts...
1. Avocados ripen fast.

Ripe Avocados are the first to go.

Even if you get them, they overrippen quickly and often lead to waste.

You are fighting both availability and time.

We need to start in a different place.
Read 10 tweets
16 May
Common, but no so obvious reasons, small businesses have a hard time growing
1. Holding on to shovels

Lots of companies lose track of the digging.

They get distracted (or have analysis paralysis) on simply executing.

They deliberate on:
- New Hires
- Which Tools
- Sales Tactics
- How to incentivize

Grab a shovel and dig!
2. No Trust

This isnt about trusting your coworkers with your wallet.

If you don't trust the work, the data, the spreadsheets prepared by others - you redo yourself.

So many companies redoing the same thing across the organization... because they don't trust other's versions.
Read 5 tweets
6 May
Scaling B2B (especially in industrial) is hard.

Cold Email/Call was my best sales method.

However, my second best, and far more powerful, is what I am going to show you below.

I have set this up for a few companies (not my own) and they have brought in 2-10mil in new business!
1. The premise: The current corporate buyer / decision-maker is increasingly from an internet / digital background.

Hence: The like to learn and research online BEFORE talking to anyone.

By the time they talk to you, they know what they want.
2. The need: The current enterprise/seller needs to have data-backed approaches to dealing with buyers, and this need will increase year to year.

Generic conversations will have lower and lower conversion rates.
Read 32 tweets
5 May
Some companies/people treat suppliers like crap.

I can tell you that this is a losing proposition in the long run.

How do I know? I was a supplier and customer for years.

Here is what this causes, and how to deal sternly with a supplier without causing an issue...
When customers demand, push, and threaten a supplier, a supplier sees that customer as a risk and hassle, and builds more margin in.

They also know extra efforts won't garner respect, so none are given.

As improvements, or cost reductions become available, they won't be shared.
On the other hand, when a customer is a relationship more than a sale ticket, you feel vested in their success.

A supplier will pass on alternative methods, ideas, and cost saving opportunities.

They will work with the customer to develop better products and services.
Read 11 tweets
4 May
Building a company that grows AND survives is only possible through experimentation.

Here is how to do this with your small business...
The environment is always changing, so your business needs to be always changing.

Not day to day, but year to year and definitely decade to decade.

This is the only way to survive long term.
Experimentation is a mindset. Doing things over and over, that are working and paying off, and yet still, always looking for better ways.

Try
- adding
- subtracting
- adjusting the allocation while keeping components the same

What happens? why?

Approach everything this way.
Read 7 tweets
3 May
Wealth building isn't really a gradual process, it happens in step-wise functions.

Because of this (and the way people are wired), modern portfolio theory is just that... a theory.

The strategy that will actually help you build wealth is a barbell approach.
Helping 10 people manage / invest 10mil+ right now and its the best for all of them.

People have a tendency towards risk, gambling, the large payoff.

Rather than constantly trying to educate and remove that innate tendency... use it as part of the investing strategy
Creating a safe portfolio, that always trends up over the long term, and has a small chance of declining, enables a riskier approach with the remaining funds.

This riskier approach should include asymmetric bets that will enable step-wise growth in wealth.
Read 15 tweets

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