We've all been in a spot in our business where we're trying to work out how to get from A to B or how to get to the next level. But what is the next level? How many levels are there?
Luke Fatooros from Ideas Into Business shares with us the 7 steps to building a smart business engine to give you time, money, and freedom.
Play and listen to the podcast below or scroll down below to learn how you can optimise your mindset, the seventh step to having a smart business engine.
7. Optimise Your Business Value
Luke: My partner, Gary, and I would go to work, work our butts off, and kill ourselves to make profit. The biggest lesson I learned was that's the wrong way to do it. You don't get rich by trying to make profits. What you got to do is learn to create wealth in your business. There's a difference between working for profits today versus creating wealth for your future.
If you take into consideration the first six steps and implement it in your business, you will be moving from being a self-employed to being a business owner.
When you're working on building your business, think of it as a valuable asset you're creating for life. You're not doing it just to make profits, pay the bills and get through the day.
You don't want to come off to three, four or five years and have nothing of value because you have built your business the wrong way.
Josh: It's a very strong message because most people that start in business don't have the structures in place that ultimately results in them employing people that have the same passion but not necessarily having great leadership roles or strategic elements within their business to support their overall vision.
Grow your business! Learn how you can turn IT into a utility.
What's worse is as soon as they leave, they don't have a saleable asset. The business is them. They've got a job. They don't have an unlimited cap on what they're earning. There are many people who work and have a known cap. If you are a business owner and if you're doing it right, you will have an unlimited cap. You can set up your business to do whatever you want to do and be able to be whatever you want to be.
Ultimately, you should be looking at it as an investment. People buy an investment property and won't touch it for 12 months. Your business should be like that. It should be like McDonald's. The person who owns the McDonald's franchise isn't flipping hamburgers.
If someone is interested in changing their model or doing a review of how their business is working (sometimes you think it's working really well, but sometimes you don't know what you don't know until you know it, you know) how can you help them?
Luke: I look at people's businesses, and I take them through these seven steps. It doesn't matter if you've been going for 15 years or 6 months.
If you are struggling in your business for growth or you're killing yourself for time, cash flow, or profit, that's a structural problem and we have to start at the beginning. My team and I will work with you through the process step by step, and we don't move to the next step until we fix the current step. It's not a "get rich" scheme. This is pragmatic stuff. That's how I've got significant results for my businesses and for my clients.
Everything has to line up before your life changes—your business starts to work for you. Most people go to business to have a lifestyle of their choice, but how many business owners can say that? Some are working until midnight, weekends, holidays, while missing their kid's birthdays for trying desperately to make the business work.
Look at your business structure, put the pieces together, and you'll see the magic happens.