The Free to Grow CFO Podcast

Episode SummaryIn this episode of the Free to Grow CFO podcast, Jon Blair and Chris Lang discuss the importance of holistic health for entrepreneurs. They explore the five F's: Faith, Family, Focus, Fitness, and Finances, emphasizing how each aspect contributes to a balanced and successful life. Chris shares his journey in entrepreneurship, the significance of maintaining focus, the role of fitness and nutrition, and the necessity of financial education. The conversation also touches on the importance of setting boundaries between work and personal life to achieve long-term success.Key Takeaways:-Faith is Foundational: Why understanding your "why" and living with intention impacts everything from decision-making to resilience.-Focus Wins the Day: Learn how eliminating distractions and playing to your strengths drives long-term success.-Finances for the Long Game: Insights on cash flow management and staying financially viable in a world of distractions.Episode Links:Jon Blair - https://www.linkedin.com/in/jonathon-albert-blair/Chris Lang- https://www.linkedin.com/in/chrislangsocial/Free to Grow CFO - https://freetogrowcfo.com/Move FWD - https://www.movefwd.co/Meet Chris LangChris Lang is a creative entrepreneur from Las Cruces, New Mexico. His focus on brand development and business strategy has helped launch multiple Shopify brands across the apparel, food, and wine industries, generating over 8 figures. Fresh Chile is now in the top 10% of all Shopify stores. He is working on donating over 1,000,000 meals to his community (currently 500,000).~~~00:00 Introduction 02:32 The Birth of Move FWD04:50 The Five F's of Life09:30 The Role of Faith11:54 Family Dynamics in Business14:46 The Importance of Focus22:02 Fitness and Mental Clarity26:21 The Impact of Processed Foods on Health28:38 The Importance of Nutrition and Sleep30:29 Long-Term Success in Business30:45 Understanding Finances in Business35:35 Learning from Financial Mistakes42:54 Setting Boundaries Between Work and Personal Life48:27 Closing Thoughts

Episode SummaryIn this episode of The Free to Grow CFO Podcast, Jon Blair sits down with AJ Stockwell, founder of Climb CFO and e-commerce accounting expert, to tackle one of the biggest challenges DTC brand founders face: keeping clean, accurate financials. Together, they dive into the essentials of bookkeeping for e-commerce brands, from spotting red flags to optimizing margins and ensuring financial clarity. Jon and AJ highlight a critical yet often overlooked mistake—misclassifying sales tax as revenue or expenses on the P&L statement. As AJ explains, sales tax is actually a liability, and including it on the P&L can seriously distort your brand’s financial health, impacting decisions around pricing, ad spend, and growth strategy. This episode is packed with insights to help founders maintain accurate records that drive smarter decisions.Topics Covered in Episode:-Biggest Red Flags in DTC Financials: Common errors in e-commerce bookkeeping that signal trouble.-Holiday Cash Flow Management: Why December’s slower sales and post-holiday tax liabilities require extra planning.-Landed Cost Accounting: Why it’s challenging for DTC brands and how to stay ahead with smart tracking of freight, duties, and fees.Episode Links:Jon Blair - https://www.linkedin.com/in/jonathon-albert-blair/AJ Stockwell- https://www.linkedin.com/in/ajstockwell/Free to Grow CFO - https://freetogrowcfo.com/Meet AJ StockwellAJ Stockwell spent a decade as the CFO and Controller of numerous e-commerce brands, both in-house and on a fractional basis through his firm Climb CFO. More recently, he has shifted his firm's focus to accounting education and helping businesses clean up their books rather than providing ongoing CFO support.~~~00:00 Introduction 03:50 AJ Stockwell’s background05:51 The Importance of Accurate Bookkeeping12:01 Red Flags in Financial Statements30:22 Navigating Financial Complexity in E-Commerce36:43 The Importance of Accurate Costing Methods39:45 The Challenges of Landed Cost Accounting45:27 The Significance of Contribution Margin in Profitability50:21 Closing Thoughts

Episode SummaryIn this mini-episode of The Free to Grow CFO Podcast, Jon Blair discusses the critical importance of specialized bookkeeping for e-commerce brands, particularly those generating close to $10 million in revenue. He emphasizes the inadequacies of using a general CPA for bookkeeping, highlighting the need for expertise in e-commerce consumer goods. The short discussion covers the differences between cash and accrual accounting, the necessity for timely financial data, and the challenges posed by tax deadlines that can hinder bookkeeping efficiency.Key Takeaways:-E-commerce bookkeeping is complex and requires specialized knowledge.-Accrual accounting provides better visibility into cash flow management.-You need timely and accurate financial data for decision making.Episode LinksJon Blair - https://www.linkedin.com/in/jonathon-albert-blair/Free to Grow CFO - https://freetogrowcfo.com/

Episode SummaryIn this episode of the Free to Grow CFO podcast, Jon Blair and Jeff Lowenstein discuss the critical role of bookkeeping in scaling direct-to-consumer (DTC) brands. They highlight three warning signs that indicate poor bookkeeping practices, including the misclassification of sales tax, the absence of sales tax in financial statements, and the erratic swings in profit margins. Throughout the episode, Jon and Jeff stress the importance of having a clear understanding of your financial metrics and how they inform your decision-making process. They share real-world examples from their experiences with clients, illustrating the potential pitfalls of poor bookkeeping and the value of having a dedicated team that understands the nuances of e-commerce accounting.Key Takeaways:-Contribution margin is your real top-line revenue. Understanding it is key to profitability.-When you run your books on cash basis, you miss out on the true financial picture of your business.-Erroneous bookkeeping can lead to poor financial decisions.Episode LinksJon Blair - https://www.linkedin.com/in/jonathon-albert-blair/Jeff Lowenstein- https://www.linkedin.com/in/freetogrow-jeff/Free to Grow CFO - https://freetogrowcfo.com/Meet Jeff LowensteinJeff was previously leading M&A efforts at ecommerce aggregator Boosted Commerce where he was the 5th employee. He built processes across M&A, finance and operations to support rapid growth from 0 to 30 brands under management in 2.5 years.He previously co-founded and exited an app for Shopify merchants and spent time in the Strategic Finance departments of Etsy and Caesars Entertainment. Jeff holds a BA from the University of Pennsylvania and an MBA from Harvard Business School.He’s worked with hundreds of brands over his career and founded Free To Grow because of his passion for supporting entrepreneurs and helping them succeed. The analytical and financial tools he has developed over the years are specifically crafted for the modern consumer brand.Timestamps00:00 Introduction 01:09 The Importance of Solid Bookkeeping Beyond $10 Million02:15 Warning Sign #1: Sales Tax on Your P&L08:34 The Impact of Poor Bookkeeping on Decision Making14:12 Warning Sign #2: Missing Sales Tax in Financials18:12 The Importance of Accrual Accounting in E-commerce22:40 Warning Sign #3: Wild Margin Swings Month Over Month33:04 The Role of Intentional Bookkeeping in E-commerce39:12 Closing Thoughts

Episode SummaryThis week on The Free to Grow CFO Podcast, Jon Blair is joined by Doug Schneider, COO of Heart & Soil, to discuss the challenges and strategies involved in scaling a direct-to-consumer (DTC) brand, particularly focusing on operational constraints, supply chain management, and the importance of leadership. Doug shares his journey from a biochemistry background to becoming the COO of Heart & Soil, emphasizing the significance of purpose-driven business and the need for strong relationships in supply chain operations. The conversation also touches on demand planning, inventory management, and the role of leadership in navigating hypergrowth.Key Takeaways:-Effective demand planning is essential for managing inventory.-Data-driven decision making helps reduce decision fatigue.-Strong relationships with suppliers can provide a competitive advantage.Episode LinksJon Blair - https://www.linkedin.com/in/jonathon-albert-blair/Doug Schneider- https://x.com/DTCDougFree to Grow CFO - https://freetogrowcfo.com/Heart & Soil - https://heartandsoil.co/Meet Doug SchneiderDoug Schneider is the COO of Heart & Soil Supplements. As a founding manager, he played a pivotal role in scaling the brand from $0 to $50M in just three years.Timestamps00:00 Introduction 02:36 Doug's Background and Journey to Heart & Soil10:12 The Importance of Purpose in Building a Brand14:41 The Role of Communication in Supply Chain Management23:11 Leadership and Its Impact on Business Growth35:14 Demand Planning Challenges During Rapid Growth50:12 Closing Thoughts

Episode SummaryIn this episode of the Free to Grow CFO podcast, Jon Blair and Jeff Lowenstein discuss the common mistakes DTC brands make while scaling from one to ten million in revenue. They emphasize the importance of inventory management, the impact of marketing agency fees, and the necessity of regular financial reviews. This conversation provides valuable insights for founders looking to navigate the complexities of scaling their businesses effectively.Key Takeaways:-It's better to risk stocking out than to overstock.-Monthly financial reviews are essential for tracking progress.-Understanding contribution margin is key to evaluating agency performance.Episode LinksJon Blair - https://www.linkedin.com/in/jonathon-albert-blair/Jeff Lowenstein- https://www.linkedin.com/in/freetogrow-jeff/Free to Grow CFO - https://freetogrowcfo.com/Meet Jeff LowensteinJeff was previously leading M&A efforts at ecommerce aggregator Boosted Commerce where he was the 5th employee. He built processes across M&A, finance and operations to support rapid growth from 0 to 30 brands under management in 2.5 years.He previously co-founded and exited an app for Shopify merchants and spent time in the Strategic Finance departments of Etsy and Caesars Entertainment. Jeff holds a BA from the University of Pennsylvania and an MBA from Harvard Business School.He’s worked with hundreds of brands over his career and founded Free To Grow because of his passion for supporting entrepreneurs and helping them succeed. The analytical and financial tools he has developed over the years are specifically crafted for the modern consumer brand.Timestamps00:00 Introduction to Scaling DTC Brands01:21 The Badlands of Scaling: Key Mistakes02:50 Inventory Management: The Fear of Stockouts22:07 Marketing Agency Fees: Finding the Right Fit32:14 The Importance of Monthly Financial Reviews

Episode SummaryIn this episode of the Free to Grow CFO Podcast, Jon Blair sits down with Tim Clark, founder of The Retail RX, to chat about scaling D2C brands with a profit-focused mindset, particularly in the realm of Amazon growth strategy. Tim shares his entrepreneurial journey, insights on transitioning from Vendor Central to Seller Central, and the importance of leveraging tech tools and networking to drive growth. The conversation emphasizes the need for brands to adapt to the evolving e-commerce landscape and highlights the role of RetailRx in helping brands optimize their operations and profitability.Key Takeaways:-Leveraging tech tools can save time and improve efficiency.-Networking is crucial for staying updated in the e-commerce space.-Building relationships can lead to valuable business opportunities.-Businesses exist to turn a profit or else they're just hobbies.Episode LinksJon Blair - https://www.linkedin.com/in/jonathon-albert-blair/Tim Clark - https://www.linkedin.com/in/theretailrx/Free to Grow CFO - https://freetogrowcfo.com/Meet Tim ClarkTim has 25 years of experience selling products online across digital platforms including 15 years selling on Amazon. He has worked at startups helping them fuel profitable growth and has helped enterprise brands implement tech solutions to scale while streamlining efficiencies. Outside of revenue generation, Tim loves networking with good people and seeing young professionals grow in their careers.Timestamps00:00 Introduction to Profit-Focused Growth02:11 Tim Clark's Entrepreneurial Journey05:57 Transitioning to Amazon Growth Strategy09:59 Scaling Vendor Central Business12:35 The Shift to Seller Central19:37 Navigating Amazon's Complex Structure25:54 Leveraging Tech Tools for Efficiency34:41 The Importance of Networking45:36 RetailRx: Helping Brands Thrive55:37 Final Thoughts

Episode SummaryThis week on the Free to Grow CFO Podcast, Jon Blair chats with Dylan Byers, to discuss the speed of scale versus profitability for DTC brands. As DTC businesses strive to scale, many founders find themselves caught between driving rapid customer acquisition and keeping their bottom line healthy. Dylan, co-founder of Aplo Group, brings his extensive experience in growth marketing and financial modeling to explain how brands can navigate this complex landscape. He explains how financial modeling, growth marketing, and a deep understanding of margins can make all the difference in staying profitable as you grow. Listen in as Jon and Dylan dive deep into the strategies that help brands grow fast without sacrificing profitability. With clear, actionable advice, this episode offers a roadmap for DTC brands aiming to achieve both aggressive growth and financial health. Key Takeaways:-Understanding the economics of acquiring new customers versus driving repeat purchase is key to achieving profitability.-Financial modeling and forecasting can help optimize growth marketing strategies.-High operating leverage and gross margin can enable faster growth and more efficient cash flow.-High velocity of lifetime value and repeat purchase can subsidize the acquisition of less profitable new customers.Meet Dylan ByersDylan has worked with dozens of e-commerce brands ranging from 6 to 9 figures in revenue, bringing a strong background in consulting, media buying, and email/SMS strategy. Dylan thrives on the challenge of unlocking growth opportunities for clients.At Aplo Group, Dylan's main role involves collaborating with the growth team to design and implement scaling strategies based on each client’s unique revenue and profit targets.Episode LinksJon Blair - https://www.linkedin.com/in/jonathon-albert-blair/Dylan Byers - https://www.linkedin.com/in/dylan-byers-046010149/Free to Grow CFO - https://freetogrowcfo.com/Aplo Group - https://www.aplogroup.com/Transcript ~~~00:00 - Introduction and Overview08:00 - Can a DTC Brand Have Its Cake and Eat It Too?13:09 - The Importance of Financials and Balance Sheet18:12 - The Role of Gross Margin and Operating Leverage24:37 - The Benefits of LTV-Based Businesses26:27 - Fundamental Laws of CPM Costs and Diminishing Returns28:21 - Building a Brand and Finding a Competitive Advantage33:29 - The Limited Impact of Facebook Ads on LTV40:36 - Simplicity and High-Leverage Tasks in Email and SMS46:39 - Final Thoughts

Episode SummaryIn this episode of The Free to Grow CFO Podcast, host Jon Blair sits down with Lio Pinchevski, founder and CEO of Finaloop, to dive deep into the challenges of managing inventory and bookkeeping for e-commerce brands. They discuss the importance of accurate and timely financial reporting, the difference between cash and accrual accounting, and the complexities of inventory management in the e-commerce world. With a unique background as both an accountant and an e-commerce founder, Lio shares insights on the complexities of managing finances for consumer brands and introduces the innovative solutions Finaloop offers. Tune in to gain valuable insights on optimizing your financial infrastructure for growth in the e-commerce space.Key Takeaways:-Discover the financial blind spots DTC brands often face and the risks of using outdated accounting methods.-Learn how automated accounting solutions can provide real-time financial data to improve decision-making.-Understand why accurate inventory tracking and cost management are crucial for avoiding costly stockouts or overstocking.-Gain clarity on the different roles of accountants and CFOs, and when to bring in specialized financial expertise.Meet Lioran PinchevskiLioran Pinchevski is the Founder and CEO of Finaloop, the leading ecommerce accounting and inventory solution that combines software and expert services to deliver real-time financial data and insights for multi-channel DTC brands. And if you wonder how he ended up starting an accounting startup for DTC, it might be helpful to know that he is a tax lawyer and CPA who also founded his own DTC brand before—speaking of putting your hands together... A former lecturer at Tel Aviv University, Lioran, who acquired degrees in Accounting and Law from the universities of TLV and Michigan with top honors, left his position as Partner at PwC to start Finaloop. You can't make this shit up.Episode LinksJon Blair - https://www.linkedin.com/in/jonathon-albert-blair/Lioran Pinchevski - https://www.linkedin.com/in/lioran-pinchevski-78807529/Free to Grow CFO - https://freetogrowcfo.com/Finaloop - https://www.finaloop.com/Transcript ~~~00:00:00 - Introduction and Background of Lioran Pinchevski00:03:03 - The Importance of Solid Bookkeeping00:08:56 - Developing Financial IQ and Vertical Expertise00:23:47 - Accrual Accounting for Measuring Margins00:30:35 - Separating Tax Accounting from Financial and Managerial Accounting00:32:26 - Accrual Accounting and Tax Books00:41:32 - Challenges of Sales Reconciliation 00:25:22 - Navigating Inventory Accounting00:38:06 - The Difference Between an Accountant and a CFO00:57:29 - Final Thoughts

Episode SummaryIn this week’s episode of the Free to Grow CFO Podcast, host Jon Blair dives deep into conversations with Tana Cofer, founder of RosieRai an Amazon growth agency. They discuss the challenges and strategies for scaling a D2C brand on marketplaces like Amazon, Walmart, and Target. Tana shares her expertise on launching products on Amazon, including the importance of strategic product selection, review generation, and understanding the costs associated with marketplace expansion. They also touch on the sequencing of channel expansion and the nuances of cross-channel marketing spend attribution. Overall, this episode is packed with actionable advice for brand founders looking to optimize their operations and achieve sustainable growth. Key Highlights:-Balancing Growth and Profitability: Tana outlines the dangers of pursuing growth at the expense of profitability and shares tactics for achieving both.-Leveraging Financial Data: Understanding your numbers is key. Tana breaks down how to use financial data to inform strategic decisions.-Customer Data Utilization: Learn how to harness customer data to improve retention rates and drive more repeat purchases.-Challenges of Scaling: Explore the operational and financial challenges DTC brands encounter during the scaling phase and how to overcome them.Meet Tana CoferTana Cofer is the founder and CEO of RosieRai, an e-commerce growth agency focused on helping small to medium size businesses launch and scale profitably on any online Marketplace. With a passion for driving online business success, Tana leads her team in creating innovative strategies that deliver remarkable results for their clients. She is also a wife and mother of 3 children and enjoys spending her weekends in her jeep out in the Utah mountains. Episode LinksJon Blair - https://www.linkedin.com/in/jonathon-albert-blair/Free to Grow CFO - https://freetogrowcfo.com/Tana Cofer - https://www.linkedin.com/in/tanacofer/RosieRai - https://rosierai.com/Glitter Faced - https://www.glitter-faced.com/Transcript ~~~00:00:00 - Introduction 00:05:30 - Tana's background and experience in e-commerce00:10:45 - Importance of sequencing in strategy00:18:05 - Strategies for getting initial reviews on Amazon00:25:28 - Discussion on different agency pricing models00:31:25 - The significance of sequencing in strategy00:36:47 - Common mistakes and misconceptions when launching on a marketplace00:41:43 - Considerations for upfront costs when launching on Amazon00:44:02 - Cross-channel marketing spend attribution and challenges00:50:47 - Final Thoughts