Why Growing Your Business Is Simpler Than You Think
Jan 29, 2024
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Learn how a seasonal business can adapt its model, setting up a leadership program, giving away 50% of profits, the risks of franchising, and the power of generosity and faith in business decisions.
41:17
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Quick takeaways
Diversifying services and adding secondary streams of income can help a seasonal business retain employees and generate consistent revenue throughout the year.
Implementing a robust personal development program that aligns with organizational values and provides opportunities for growth can contribute to employee satisfaction and retention.
Deep dives
Expanding the Pest Control Business and Incentivizing Employees
Joel, the owner of a niche pest control company in Portland, Oregon, seeks advice on keeping good employees year-round and incentivizing them. The company makes 60% of its annual income over four months and the remaining 40% over the rest of the year. Dave suggests adding more services to diversify the business, expanding the offering beyond moles and gophers. Additionally, he recommends adding products to the website to generate a secondary stream of income. With regards to employee incentives, Dave suggests profit-sharing during the high-income months and considering part-time or contract employees during slower periods.
Developing Employees through Personal Development
Courtney, a vice president of a family-owned bank, seeks insight into providing personal development for employees. Expressing the desire to be a place where employees can learn and grow even if they eventually leave, Courtney mentions implementing a mentorship program and emphasizes the importance of ongoing education with books and training. Dave advises being clear about specific goals and measurable outcomes for the program. He highlights the need to align personal development with the values and skills required for roles in the organization. Dave suggests creating a track for leadership development and another for the rest of the team that includes books, classes, and discussions to achieve desired outcomes.
Considering Expansion and Franchising for a Tutoring Business
Maggie, the owner of a private tutoring company, shares her desire to expand and considers franchising as an option. Dave provides insights into franchising, emphasizing the need for a unique set of processes, systems, and a nationally recognized brand to attract franchisees. However, he points out that current profit levels may not be sufficient to offer a franchise with significant profit potential—a critical factor in attracting investors. Dave suggests focusing on increasing profitability by adjusting pricing to reflect the value provided. He also encourages systematizing the business further, finding leaders who align with Maggie's values, and scaling through branch offices with mini versions of Maggie at the helm.
The Importance of Being a Courageous Leader
Dave concludes the episode by emphasizing the importance of being a courageous leader and encourages listeners to embrace leadership and lead with excellence. He applauds small business owners for their hard work and the impact they make in their communities. Dave shares a call from Kevin, who shares an impressive success story of building a prosperous health coaching practice. Kevin highlights their commitment to tithing and staying focused on prosperity with a purpose. Dave commends Kevin's generosity, stressing the positive impact of giving, both personally and in business. The episode closes with Dave sharing his admiration for business owners and their heroic efforts to make a difference.
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