Cash is the Ultimate King

Cash-Is-King

Successful businesses do two things #1 they make money and #2 they generate cash.

You can make a profit and still go out of business because you have a negative cash flow.

Remember this statement: Cash is King and in the context of the following discussion, this means positive cash flow – taking in more cash then you are spending.

Positive cash flow will keep the doors open, long after profitability will. [Amazon is a good example – 20 years of no profit???]

Making money is about your profitability and cash is about the wealth-generation of your business.

You can’t spend profit; you can only spend cash.

Positive cash flow gives you the financial cushion – and confidence – to implement changes AND make your BIZ more attractive to future potential buyers because they won’t have to commit funds to working capital.

Let’s define cash flow before we discuss how to improve it.

Cash Flow is the total amount of money coming in & going out of your business.

We know that the majority of small businesses fail within the first five years. U.S. Bank conducted a study and discovered the following reasons for this. They found that 82% of the time, poor cash flow management or poor understanding of cash flow contributes to the failure of a small business. (from Jessie Hagen of U.S. Bank, cited on the SCORE/Counselors to America’s Small Business website http://www.score.org )

  • 82% – Poor cash flow management skills/poor understanding of cash flow
  • 79% – Starting out with too little working capital [cash or line-of-credit]
  • 78% – Lack of well-developed business plan, including insufficient research on the business before starting it
  • 77% – Not pricing properly or failure to include all necessary items when setting prices
  • 73% – Being overly optimistic about achievable sales, money required, and about what needs to be done to be successful
  • 70% – Not recognizing or ignoring what they don’t do well and not seeking help from those who do

How do you know if you have a cash flow problem?

To state the obvious: You know you have a cash flow problem If your expenses exceed your cash…then you have a cash flow problem.

If you take in $400 today and spend $500 you have a cash flow of $900 but a negative cash flow of $100

Too many small BIZ owners think that the answer to cash flow problems is to sell more and increase revenue and far too often that only exacerbates the problem.

When you chase growth based on Revenue too often it causes you to make bad decisions because you are operating from the notion that everyone is your market and every product or service you sell and inventory should be sold – there is nothing further from the truth.

When revenue is your end-game and everyone or everything -is your-market is your mind-set, you spend money foolishly on things that don’t matter for customers that don’t matter.

When you take an 80/20 view to cash-is-king, you will discover that you have expenses and inventory for the 80% that are generating little to no profit.

There are several factors to consider before leaping to the “sell, sell, sell!” mindset to reverse a cash flow problem.

  1. Track & Categorize your spending. Make this categorization your first step. You need to know exactly what you’re spending and where you’re spending it.

 

  1. Benchmark Best Practices. You need to know how other businesses within your industry and market are spending their money and use those benchmarks to spend similarly. You don’t want to spend more cash than you have, so regardless of the benchmarks you’ve discovered from other companies, adjust accordingly depending on your available cash.

 

  1. Manage Your Spending. “It takes money to make money,” is a common belief and can cause business owners to fall prey to overspending, especially in the early stages of their business. While it’s true it does take money to make money, not all expenses are created equal. Stay aware that every dollar you spend is subtracting from your profit margin, so be especially diligent during the early stages of your business, it is important to consider the cost Vs benefit of every single expense.

 

10 Ways to Improve Cash Flow

  1. Reduce your Delivery & Invoicing Turnaround Time

Once you sell something, expedite the turn-around time for delivery & invoicing. The faster the delivery & invoicing, the faster you will receive your cash.

Amazon is a great example of perfecting the Cash-Is-King model. Not only does faster delivery ensure a delightful customer experience but also improves their cash flow.

  1. Improve Your Inventory Model – stock & sell only what your TOP clients [the 20%] are buying 

Inventory only what your TOP clients buy and turns quickly.

Think of it this way – and keep in mind, this is an extremely abbreviated way to explain this principle. In real life, you may experiment and track over a bit longer period of time, but this will give you the gist of the principle:

You own a bunch of soda vending machines with 10 rows of different flavors in each row and you fill them every week.

At the end of week one, rows 1 & 2 are completely sold out. Rows 4, 5, 6, 7 & 8 are partially full and rows 9 and 10 are still full – they had no sales.

Replace rows 9 & 10 with one of the flavors in rows 1 and 2.

The next week you discover rows 1, 2, 9 & 10 are now also completely sold out.

You continue with this tracking and sequence until all the rows sell out completely every week.

It will mean you may only be selling 2 or at most 3 flavors, but think about the positive effect on your profit and cash flow.

 

  1. Have a CYA Cash Reserve

You should maintain some cash reserves to tackle business downturns like economic depression, sudden fall in sales or natural calamity (like the current COVID-19] etc.

As a thumb rule, you should never have less than 90 days cash reserve and as you build your BIZ, shoot for 10-12 months.

Example: If your business’s monthly operational expense equals $10,000 then you should go for a CYA cash reserve of $30,000 as a minimum and $100,000 to $120,000 optimally.

 

  1. Tweak the Payment Process

Instead of collecting the sale amount after delivery, can you make the customer pay in advance. One way might be to simply offer them an attractive discount for pre-payment.

The earlier the payment, the stronger will be the cash flow.

 

  1. Negotiate for More Favorable Credit Terms

Ask for longer payment and terms (example: lower interest rate, extend out payment times, etc) on your payables (those you owe money to) and shorter terms on your receivables (those who owe you money).

Implementing Win-Win negotiation skills become crucial in this strategy.

 

  1. Stay on Top of Receivables – know what the probability of non-collection rate is for your business or industry.

As receivables age, the probability of collection diminishes.

There comes a point where, for cash flow forecasting purposes, you should no longer consider a receivable as collectible. For my dealership that was 120 days.

Here’s an example from a local small business:

Cash_is_King_Receivable_matrix
Someone in your organization needs to be responsible for and held accountable for consistent follow-up with your customers to help in faster payment of receivables.

You can use multiple communication channels like phone, email or post.

Remember that you need to follow up regularly & frequently. 

For smooth execution of this strategy, I recommend using a spreadsheet for tracking the due dates, payment date, 1st follow-up date, 2nd follow-up date & so on.

Also, the follow-up personnel needs to be in direct contact with the owner for daily or at a minimum, weekly updating of this sheet – I call it the Cash-Is-King meeting.

  1. Consider Leasing of Assets

Leasing requires little to cash up front and means taking possession of an asset in return for periodic installments. This ensures that there is no immediate cash outflow burden.

You can lease things like:

  • Real Estate – Office, warehouse, plant
  • Production machinery
  • Computers
  • IT Equipment
  • Autos

You will need to factor the cost difference (outright purchase is generally cheaper in long-term) before committing to improve cash flow via this strategy.

  1. Take on Only Expenses that Generate Revenue

Most businesses or startups get carried away with unnecessary expenses like:

Fancy/prestigious office space or office furniture

Over-marketing: Marketing to an audience that doesn’t care. Implement 80/20 Sales & Marketing.

Over-Marketing example: Marketing to an audience that doesn’t care. A restaurant where 80% of their customers come from within a ten-mile radius but they advertise on regional tv or radio stations with a 100 mile radius.

Over-hiring: If you have to let someone go or they quit, before re-hiring, ask:

  • Are there parts of the job that someone else on our current team would like to do?
  • Do we even need to hire for this position? Is there anyone or a team of people already with us that could do this job?

How do you know if an expense is really worth it? Simple. If the expense helps your business to generate revenue keep it; If it doesn’t, consider getting rid of it.

Maintaining control of your expenses is critical to not only sustaining profit but also positive cash flow.

When you take an 80/20 view to cash-is-king, you will discover that you have expenses and inventory for the 80% that are generating little to no profit.

 Track & Categorize your Expenses.  You need to know exactly what you’re spending and where you’re spending it.

For each expense ask the following questions:

  • Does my business absolutely need this product or service?
  • If the answer to question 1 is NO, then eliminate it.
  • If the answer to question 1 is YES, then ask:
  1. Do I currently have the least expensive plan, delivery system or item that covers my current needs? If the answer is “no” then change your plan, item or delivery system. (For example, instead of paying an assistant to schedule your appointment, you might use an online scheduling program).
  2. Can I renegotiate my contract? This is always worth trying.
  3. Is there another, less expensive provider that can give me the same result? If so, then switch.
  1. Increase Income Through 80/20 Marketing & Selling Tactics
  • Determine who your Ideal Top Customers are – the 20% that generate 80% of your revenue, profits & cash flow.
    • Fire the deadwood
  • Identify your Unique Offering
  • Create your one-line Unique Selling Message which answers these questions:
    • What does your product or service do that your competitors does not?
    • Why should I buy from you instead of someone else?
    • What guarantee can you make that no one else can?
  • Nurture and protect your Ideal Top Customers
    • Do you have an email list? Are you using effectively? Are you sending out emails at least weekly with offers?
  • Build a referral system from your Ideal Top Customers
  1. Bring in a Guide

Last but not the least, you may deem it prudent to hire a guide to help implement Cash-Is-King strategies and tactics.

It could be a CPA or some other type of Guide. [Is this where we might collaborate w/Tony Busch?]

Such professionals can help you to understand your cash flow problems in more detail, and guide you through implementing solutions.

Conclusion

So, we have covered possible practical ways to improve your cash flow, prune expenses and prune inventory. All are equally important & powerful.

You may decide to use or not to use any one of them depending on your particular case.

No matter what business problems you face, positive cash flow gives you the financial cushion, the time and confidence to implement changes for growth.

Without cash, you are down & out.

And as I stated earlier,

Never forget this: Cash is the Ultimate King. The more cash you have, the better chance for your business to grow fast and sustainably.

 

 

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Raising Responsible Adult Citizens

Raising Responsible AdultsRaising responsible, mature adults should be the desired end result of all parents.

Three Characteristics of Maturity:

  • Self-control – not ruled by emotions and passion
  • Wisdom – rational
  • Responsible – 1st Habit of Private Victory of Highly Effective People

Liberalism is the natural characteristic of the human heart. It is the natural result of our fallen nature.

From birth, we are driven by emotion and passion.

We want what we want when we want it and we refuse things we do not want.

Children start off with the will to be gratified; we need to be taught self-control, wisdom, and responsibility.

“The emotional intelligence of parents today is depriving children the opportunity to learn through adversity. Most adolescents from affluent families have all the useful accessories – cell phones, credit cards, computers, and cars – but they have few of the responsibilities that build character…indulged children become susceptible to self-absorption, depression, anxiety and lack of self-control.” – Ed Shipman

Ten principles for shaping our children’s character and grooming them with self-control, wisdom, and responsibility:

1. Children must be helped, through proper training, to rein in their passions.

Children start off life with the will to be gratified. If that will is allowed to go unchecked, a child will grow up to be ruled by his passions rather than reason. A person ruled by his or her passions will then make decisions based on what gratifies them rather than on wisdom or responsibility. Such a person will not be governed by objective logic or personal integrity, but by what is merely expedient.

To prevent that from happening, the primary goal of parental training must be to help children learn self-control.

The military learned long ago that the best followers make the best leaders – group consensus destroys effectiveness.

Children, because of their innate desire for gratification, do not need to exercise leadership, but to follow strong leadership. This is why, for the first few years of their lives, we must offer strong leadership, giving them little say in the decisions we make for them.

Children raised to think they should have a say in all decisions that affect them grow up self-centered, demanding, impatient and ungrateful.

Parents who encourage their child to always speak his mind may never have to second-guess his opinions but they inadvertently feed his contempt for authority.

As our children head into adolescence it certainly may be wise to solicit thoughts and opinions from them. After all, we love them and they are people who deserve the respect of having their thoughts and feelings heard but, the family is not a democracy.

Childhood is a season of learning to accept leadership with grace and humility.

2.  Children’s happiness must not be the driving force of the home.

Watching children laugh and play is a tremendous joy, even for the biggest curmudgeon however, we must not live to gratify our children’s every desire and make our decisions based on their responses.

The happiest children seem to be those who are secure in their parents’ LOVING authority.

They obey the first time they are spoken to and know they will be rewarded with the trust of their parents and be held accountable with disciplinary consequences if they obey.

They are happy because they have found safety within the boundaries established and enforced. They are at peace because they do not have to carry the load of helping their parents run the home.

3. Children must not be indulged.

Indulging our children with everything for which they cry, beg or pout does NOT satisfy their will-to-be-gratified – it actually does just the opposite.

Indulging them includes things like buying them every new fashion-wear, video game or getting them a cell phone with unlimited minutes.

We indulge them when we offer freedom to do whatever they want, whenever they want, with minimal accountability or when we permit them to talk back and voice their opinions about every instruction they receive. And we inflate their sense of self-importance when we make family decisions based not on what we think is wisest or best, but on their moods and reactions. An indulged child ultimately runs the roost. Constantly gratifying our child’s desire for pleasure creates in them a sense of entitlement and a general lack of appreciation.

The truth is that life does not give us everything we want and we better instill that early in our child’s training.

4. Children must not be rescued from every hardship.

When our children are infants we listen for their cries to know when they are suffering some discomfort and need our attention.

The problem is that too many parents never distinguish the difference between their will-to-survive and their will-to-be-gratified as they get older. They continue to rescue them every time they pout, cry or grumble.

Examples of rescuing are when we permit them to complain ungratefully about what they have been served for dinner, or worse, mom goes back to the stove to cook them something different. Or, jumping in to provide entertainment in response to the complaint of being bored.

Whenever their feelings are hurt, we do them no favor by rushing to their defense by attacking the offender.

However, we DO harm them ourselves if we do not teach them how to endure offenses and handle the inevitable “difficult people” in life. We must model for them that other people’s words or opinions of us need not determine how we react. If we are not careful, we will raise our children to be thin-skinned social wimps who blame others for their own inability to handle offenses.

Learning to face and overcome life’s hardships is a key part of developing maturity.

5. Children must be allowed to suffer the consequences of their actions.

When we continually rescue them from having to suffer the consequences of their actions, we keep them from developing a proper sense of responsibility.

Responsible people are not only reliable to their duties but do not depend upon others to clean up their messes or pay for their own obligations.

Restoration and restitution are key expressions of responsibility.

If we do not hold our children accountable for themselves but rescue them from the consequences of their actions, they grow up to believe that the pursuit of pleasure without consequences is their supreme right. They develop a “victim” mentality, thinking they are not responsible for the circumstances they have brought upon themselves.

Parents also teach irresponsibility by issuing too many warnings or reinforcing bad behavior. When a child is caught sneaking dessert before dinner, parents encourage bad behavior by merely admonishing him not to do it again and allowing him to finish eating what he took. This is no different than what is happening in many of our public educations schools today of the teacher permitting students to turn in assignments past the due date without any penalty.

Consistently allowing children to behave irresponsibly without consequence encourages future misconduct.

6. Children must be required to obey the first time they are spoken to.

An important key to remember is that parents must give directives just once.

Parental directives must be spoken calmly and only once, with an appropriate disciplinary consequence for disobedience.

When an authority figure habitually repeats directives or gives multiple warnings, it produces several negative side effects in our children.

  • Children permitted to continually disregard instructions grow up with their will-to-be-gratified strengthened.
  • Children consistently permitted to disregard their parent’s voices will lack the capacity to obey quickly at the threat of danger.
  • Those that have authority but are reluctant to exercise it, foster disrespect in those they lead. Parents who lose their children’s respect can often trace it back to this.
  • When parents repeat themselves, their anger may build until they are driven by rage to bring punishment. Raging parents can be tempted toward abusive parenting.

7. Children must be taught to obey without always knowing the reason why.

If parents establish firm behavioral boundaries for their toddlers, without offering a reason why they should obey, and limiting their personal choices, by the time their child is four years old will have learned self-denial and will be well on the path to self-control.

If children are offered reasons to obey before they have learned to obey without them, they will not learn the self-denial that is the foundation of self-control.

To grow in wisdom, children must be taught the reasoning behind parents’ commands but the time in childhood to begin making them wise is only after they have demonstrated they can consistently obey without needing to know why.

Children must learn that they are to obey first and then return for a full reason why.

Sassy and argumentative children who think their parents owe them convincing explanations usually get their way because parents justify all their instructions.

Children raised in such homes tend to grow up insubordinate toward teachers, law enforcement, employers and others in positions of authority.

8. Children must be required to treat parents and other adults with respect.

Respect for all authority, whether for people or rules, is learned in the home. Being required to obey parents and communicate respectfully teaches self-restraint and emphasizes that not everything one feels or thinks needs to be expressed. It reinforces the self-control inherent to maturity and helps children grow up to be good citizens.

9. Children need oversight of their moral diet.

By virtue of their years and life experience, parents have a greater understanding of cause and effect than their children. They know the wisdom behind the statements such as, “Eat your spinach,” You need your sleep,” and “Stay out of the street.” All a child knows is that he craves junk food, likes to stay up late, and the street seems a fun place to play. Because the average child has little life experience and his thinking is clouded by his “will-to-be-gratified,” he is the last person to know what is good for him. Parents must realize that they do not need their children’s permission to be parents – they already have that role. They must simply act on that authority, without apology. Children will not protect themselves from their appetites, so parents must take charge and protect them physically, mentally and morally.

Studies overwhelmingly show that children who saturate themselves with entertainment marked by senseless violence will be more tolerant or prone to violence; those who watch movies or music videos containing sensuality will increasingly express themselves sexually; children or adults with a diet of entertainment involving illicit relationships will treat marriage and wedding vows with less honor.

A child’s character is formed primarily by what good goes into him, and not only by what is kept from him.

And no one is in a better position to sow into his like Mom and Dad.

Unlimited use of computers, video games, television, etc. has become standard diversion tactics for too many parents.

Parents must decide that their children are worth a daily investment of time in teaching them character and a Biblical Worldview.

10. Children must be loved.

Parental love means doing what is best for children no matter how they might respond. One very poor reason modern parents are so soft on their children is because they crave their acceptance.

America has raised a crop of insecure parents who fear their children’s rejection.

Parents more than fifty years ago knew that life was hard and took the responsibility of preparing their children for the coming life very seriously. Today’s parents are afraid to let the kids cry. Afraid to make them mad and dread the thought that their children may hate them.

When we give to get affection back, we ARE NOT loving them – we are using them to elicit good feelings about ourselves.

When our children are young and vulnerable, they dearly need our leadership if they are to grow up to become mature, responsible adults.

There are some parents who may be congratulating themselves right now thinking they are really good parents because the negative consequences we’ve discussed don’t apply to them or their children. Let me caution you, however.

There are some who intimidate their children into subjection but fail to win their hearts. Their children may submit to discipline and control, and listen respectfully when parents speak, but their hearts will be far away. A parent who does not have their child’s heart will eventually discover that all compliance and respect was simply an expression of self-preservation. Such a child may patronize his parents and outwardly honor them during his early teen years, but flee their authoritarian rule the first chance they get.

Parents who are able to maintain influence over their children’s hearts, which is crucial in the first 12 years of their lives, are those who have cultivated rich, loving relationships with their children.

A character formed in childhood is a key element to true maturity.

Influencing behavior is not the same as influencing hearts.

Parents who give supremacy to their child’s happiness tend NOT to raise happy children.

Here’s how we can help our children and grandchildren to develop an informed and thoughtful Biblical Worldview (BWV):

1. Talk about Worldview early and often.
2. Explain non-Christian worldviews.
3. Strongly encourage your kids to read good books. Books by design are sequential and linear. The internet is not. A book takes you from pg 1 to page 2, then 3 and so on. On the other hand, start on page “Google” and you go wherever Google determines.
4. Discuss ideas whenever possible.
5. Ask good questions [Smart Questions (SQs)]

Sources: Born Liberal Raised Right by Reb Bradley, A Practical Guide to Culture and Tactics by Greg Koukl

 

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We Are Born Liberal and Need to Be Raised Moral, Mature, Wise and Responsible

We are all born liberal. We need to be raised Right in order to be moral, mature, wise and responsible.

The average 15-year-old in 19th century America and earlier was engaged in what we consider adult responsibilities.

  • John Quincy Adams started his political career at age eleven traveling as a diplomatic assistant in Europe; he then served as an ambassador assistant in Russia at the age of fourteen.
  • David Farragut, the famed 19th-century maritime officer, started his naval career at the age of nine and was given command of a captured British vessel at twelve.
  • Laura Engels Wilder was a public school teacher at age fifteen.

The maturity that earned these three adult responsibilities was not unique among young people but was typical of most teens throughout world history.

At some point, parents confused maturity with “independence” and granted their immature children autonomy early in life without having taught them the three elements of maturity: Self-control, Wisdom & Responsibility

Today’s kids may learn “survival” skills and increase in sophistication, but they do not grow up as mature, responsible, wise adults.

A self-controlled person has all the normal passions but is not ruled by them.

Wisdom is not the same as being smart; A wise person learns from mistakes, makes sound decisions and handles stressful problems with reason and a level head. People with wisdom are rational because passion does not cloud their thinking.

Responsibility means accepting personal accountability for your own actions.

We have a moral problem today for one simple reason, a lack of self-control. The inability to say NO to every whim and passion.

[Source: Born Liberal, Raised Right by Reb Bradley]

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Is this the new argument for the Pro-Choice crowd?

what is your worldview

I have a son who is on a ventilator and requires 24/7 nurse care.

Tim came to Christ over a decade ago and of course is Pro-Life.

Yesterday, one of his nurses made this comment: “If they abolish abortion, they might very well take away your right to your vent because it would mean we no longer have the right to our own bodies. It takes a mature mind to understand this.”

Is this the new argument for the Pro-Choice crowd?
Side Note: Child Abuse

Why have children been abused far more since abortion was legalized?

BECAUSE abortion changed the way we think about children. 😒

In 1973, the year abortion was legalized, there were 167,000 cases of child abuse in America.

In 2001, according to the U.S. Department of Health and Human Services, there were approximately 903,000 cases – child abuse increased by 5x’s!!!!!!

The point is: Pro-choice is the result of a worldview that does not cherish ALL life; that does not see “man” as a created being in the image of God our Creator so life is essentially meaningless.

Whenever we hear “pro-choice” ask:

What choice are you talking about? If the choice is abortion…

Do you think people should have the right to choose to kill children?

(By opposing abortion, we are not opposing choice in general, we are opposing child-killing)

Popular pro-choice question is: “If you don’t trust me with a choice, how can you trust me with a child?”

Replace choice with abortion and the smart question (SQ):

If you don’t trust me to kill a child, how can you trust me to raise a child?

Slave owners (who were by the way predominately southern Democrats) were pro-choice.

They said, “You do not have to own slaves, but don’t tell us we can’t choose to.”

Those who wanted slave-holding to be illegal were accused of being anti-choice and anti-freedom, and of imposing their morality on others.

Every movement of oppression and exploitation – from slavery to prostitution, to drug-dealing, to abortion – has labeled itself pro-choice. And those opposing these movements have been labeled as “anti-choice”.

The pro-choice position always overlooks the victims right to choose.

Blacks didn’t choose slavery.

Jews didn’t choose the ovens.

Women don’t choose rape.

And babies don’t choose abortion.

“I’m not pro-abortion, but I’m pro-choice.” I hear this a lot. What a crock of hooey!

But how would you respond to someone who said, “I’m not pro-rape, I’m just pro-choice about rape?”

To be pro-choice about rape IS to be pro-rape PERIOD!

Just like being pro-choice about abortion is to be pro-abortion.

Some people imagine that being personally opposed to abortion, while believing others have the right to choose it, is some sort of honorable compromise.

The only good reason to oppose abortion is because it is CHILD KILLING!!

Being personally against abortion but favoring another’s right to kill their child is self-contradictory and delusional.

It’s like saying, “I’m personally against child abuse, but I defend my neighbors’ right to abuse his children if that’s his choice.” OR “I’m personally against slave-owning, but if others want to own salves that’s none of my business.” OR “I’m personally not in favor of wife-beating, but I don’t want to impose my morality on others, so I’m pro-choice about wife-beating.”

Choose a side folks.

You are either for killing unborn children who have NO say in the choice or you’re not.

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Why a Biblical Worldview Matters

WorldviewWhen your worldview is wrong, every decision you make is wrong.

Cartoon Networks animated Children’s show “The Amazing World of Gumball (a twelve-year-old car) looks up at the sky and asks, “Tell me universe, what is the meaning of life?”

In response, the planets sing a catchy tune. And it’s completely atheistic.

When you think you’ve got a problem and your life is full of doubt Remember in the scheme of things your puny, little, tiny, weeny, meager, futile, worthless…Gloomy, bleak, and pitiful Life just does not count!”

And we wonder why our kids are killing kids?

Actions you can take to protect and teach your kids:

  1. Become aware of what entertainment your kids are exposing themselves to.
  2. Teach your kids how to actively engage entertainment rather than passively absorb it. Don’t allow the culture to think for them. Use this list of questions to guide the conversation: What is the main story or overarching theme? How are the characters portrayed? Who are the good guys? The villains? How are the visuals used to illustrate and accentuate the storyline? What’s the central conflict? Whom does it involve? Is it resolved and how? What values are promoted directly and indirectly? What is the good life according to the movie? Are there any religious references? If so, what is said and how is religion portrayed? What worldviews are explored in the movie? How are they portrayed? Are there any historical references? Are they accurate or inaccurate? How do messages match up with Scripture? Do this not only with movies and tv but with song lyrics and books. Help your kids to not only see the truth from lies but also how media can manipulate the narrative. (See Framing by PragerU). The goal isn’t to get them to stop exposing themselves to junk; it’s to get them to understand why it’s junk and they can stop themselves from becoming a sheeple.
  3. Replace toxic screen time with better screen time. Replace Netflix and Disney Channel with Phil Vischer’s, “What’s in the Bible”. Substitute the mindless media with thoughtful entertainment.
  4. Create alternatives to entertainment consumption.
  5. Get your kids outside.
  6. For younger kids, do t let the screen become the babysitter.
  7. Help them develop the READING habit.
  8. Practice what you preach.

Remember that as followers of Jesus, we are to be in the world, but not of it.

(Source: “A Practical Guide to Culture by John Stonestreet and Brett Kunkle)

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Let me tell you what motivates me to help you build a BIZ to sell

Build itWhether exiting or selling your business is even on your mind is not really the question. Plainly, every owner eventually transitions their business. The significant question is: Have you created a business that is attractive and valuable enough that someone else even wants to buy it much less pay you big bucks for it?

Business value doesn’t come from just selling more or increasing revenue, it comes from being able to find, hire and keep the right employees who make decisions as good or better than you would make, it’s about knowing who your ideal target customers are so you can create a marketing strategy and messaging that resonates, stands above the “noise” of the marketplace and gets heard and understood because it is clear, easy to understand, memorable and repeatable.  It’s about having systems that allow your business to run on auto-pilot whether you are there or not. And it’s about Cash-Is-King – having positive cash flow.

Here are some sobering thoughts: [source: Exit Planning Institute]

One: 70-80% of all small businesses are not saleable for the terms and/or timeline the owner wants because it won’t pass the due diligence test. One of those tests is whether the business is dependent upon a single person or a small group of people – lack of systematization. No sophisticated buyer is going to even want to purchase a business like that.

Two: 80 to 90% of an owner’s financial wealth is locked-up in their businesses.

Three: 63% of the business owners indicated they needed the income from the business to support their lifestyle.

Four: 56% of the business owners indicated they needed to harvest the value of their business to support their lifestyle post-transition.

Let me tell you what motivates me to help you build a BIZ to sell.             

I’ve owned and operated a small business for over 35 years and I’ve sold two multi-million-dollar businesses that were sold on timelines and terms I didn’t want.

In 2003 I was diagnosed with stage 4 cancer and treated at Mayo for 5 years.

During these 5 years, I learned that my cancer was likely caused by my exposure to petrochemicals – a product extremely prevalent in my auto dealership.

I had two young teenage children at the time and I had to make a choice, keep my dealership and risk a reoccurrence of my cancer or sell and live to see my kids graduate and maybe even marry.

I sold it in 2008.  Not the peak economic time to sell.

Then three years ago, my brother got terminal cancer. Before he died, he asked for my help selling his office equipment business.  His dream was to sell for $5.5 million when he decided to sell at retirement.

The problem: He thought he had plenty of time to build his business to thrive without him, after all, he was still in his 50’s.

We ended up selling for a far cry from his desired amount.

Those two lessons motivated me to work with small business owners to build their business to thrive as well without them as with them.

Small to medium-sized businesses are the heart and soul of America.

When I sold my new car/truck dealership, I employed 82 people.

Like you, I never missed a payroll.

And like you, we provided access to great health care for them and their spouse and kids.

Our employees purchased homes, autos, recreational vehicles, groceries, took vacations, and their kids got to go to better schools all because we sold products and services that people wanted and needed.

When businesses like yours succeed (and eventually successfully transition to a new owner) the world becomes a much better place. Not just because of the money, we put back into circulation, but when we run a principle-centered BIZ, we affect the community as a whole.

Together, it’s businesses like yours that build the middle class.

It’s because of what you do, children get to go home tonight to a warm meal and sleep in a warm bed.  And tomorrow they get to wake up and go to a good school.

We don’t want to help you grow your business just because of you alone. We know what you do with your money. We know the legacy you are leaving matters to a whole community by creating jobs that matter and communities of co-workers that are truly meaningful.

Here’s to the success of your marketing and selling messaging, the systems that help your business run on auto-pilot and the empowered workforce that all allows you to focus on the real success of your business and the legacy you leave.

God Bless you and all you do.

If the owner IS the business, it’s worth nothing.
If the owner runs the business, it may be worth something.
If the business is totally independent of the owner and he or she can take 4-week vacations whenever they want, THEN it is worth money
.

P.S. After the execution of our program, you may not want to sell because it will be running so smoothly on virtual auto-pilot generating more cash then you thought possible.

P.S.S. Even if you’re not planning on selling, building your company to Sell It is building a company that is built to own.

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Build Your BIZ to Sell It

Guiding_Principles_safe_image
Even if you’re not planning on selling, building your company to Sell It is building a company that is built to own.

Build your business from the inside out to run independently of you AND in the process, make it valuable enough that someone would be willing to pay you big bucks for it and allow you to sell on a timeline & terms of YOUR choosing. We do this by helping you to identify, focus on and execute the very few Critically important goals that will give you 5, 10, 20 or even 100X’s ROI.

Business owners are SWAMPED, caught in the Whirlwind of the Urgent of their day-to-day activities; always putting out fires, taking on more responsibilities but not having the time, systems, people, or cash flow to handle them. They are so overwhelmed that they no longer have the confidence to know what to say “Yes” to and what to say “No” to. All because they have no True North Compass to guide them.

You are not only risking your business but your emotional well-being, physical health, family, marriage, personal savings, and possibly even your retirement – but you don’t have to. Our “Build Your BIZ from the Inside Out” product will give you back control of your time, your business and ultimately, your life.

You will no longer be confused about what to focus on and fix next, what to say ‘Yes’ to and what to say ‘No’ to. You will learn to identify and execute on the One Thing, that if you do it, everything else is either easier or unnecessary. 

In short, your business will now be working for you instead of you working for it.

A good ROT to remember:

If the owner IS the business, it’s worth nothing.
If the owner runs the business, it may be worth something.
If the business is totally independent of the owner and he or she can take 4-week vacations whenever they want, THEN it is worth money.

Here are some sobering thoughts: [source: Exit Planning Institute].  70-80% of all small businesses are not saleable for the terms and/or timeline the owner wants because it won’t pass the due diligence test.

To pass this test, focus all of your energy, time and resources in 6 Key Areas:

Connect Mission & Guiding Principles:  Most companies have mission statements that no one understands, is confusing and not at all memorable. Because of this, your marketing messaging gets caught up in the noise of the marketplace.

Your systems, your meetings and most critically, your employees are confused about your company’s purpose and this then spills into everything else.  And, if your employees are confused, imagine how your customers must feel.

Fix this confusion and suddenly your marketing is clear, your meetings are more effective, employees are aligned & unified and everyone is in the same boat, rowing in the same direction executing at the highest levels of excellence.

Create Consistent Positive Cash Flow: Positive cash flow gives you the financial cushion – and confidence – to implement changes AND make your BIZ more attractive to future potential buyers because they won’t have to commit funds to working capital.

80/20 Selling & Marketing – through targeting the right audience, isolating your unique offering and helping you clarify your messaging so it is clear, easy to understand and make people want to follow you – your marketing and selling message will stand out amongst the noise of the marketplace and attract the highest quality customers – the 20% that will generate 80% of your results.

Systematization of Key Functions – Identify & isolate your core functions that have the highest impact on your BIZ

Build Your Team: Recruit & Retain Super Star Employees & Managers – the 20% that generates 80%.

  • Build a website recruiting page that recruits the right people 24/7
  • Rewrite job descriptions & job ads

Execute – You will no longer be confused about what to focus on and fix next, what to say ‘Yes’ to and what to say ‘No’ to.  You will learn to identify and execute the One Thing, that if you do it, everything else is either easier or unnecessary.

Most people do too much. Their lives are cluttered with unnecessary stuff and a confusing, burdensome array of choices. They waste themselves responding to the urgent while ignoring the important. They’re busy, but not all that effective. They’re burning calories they don’t need to.

In contrast, highly effective people think differently and are focused and calm. They concentrate on only the most important, and on the one thing that really matters.

So, instead of throwing more effort at whatever situation or problem you face, consider first, what you can discontinue.

The key to getting more with less is more about stopping than starting, it’s about knowing what to quit doing, what to say no to.

Create white space in your schedule, in your mind and in your life as a whole. It’s about emptying your days of those things that don’t justify your time and effort because the return on investment is so poor.

Imagine taking some of this new white space you’ve created by uncluttering your life and investing it in those things that really matter and count the most, work best, and bring the greatest rewards getting you 5,10, 15, 20 or even 100 times improvements.

5 Principles of Execution:

  1. Connect & Communicate Mission & Guiding Principles Execution begins with clear, concise, easy to understand communication. When the message is clear, stakeholders will listen which is the first step to commitment and engagement. When we confuse ‘em, we lose ‘em.
  2. Put First Things First – Focus on the Critically Important First Things – the 5% that generates 95%. Eliminate everything else – create white space.
  3. Act on Lead Measure Activities. Define and Act on the Leveraged action that will enable you to achieve your Critical Goal
  • Predictive:  measures something leading to the goal
  • Influenceable:  something that can be changed
  1. Create a compelling way to measure and track – you cannot manage what you do not measure & track
  2. Create a rhythm of accountability – weekly 20-minute accountability meeting
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What It Takes to Say “No”

Most people do too much. Their lives are cluttered with unnecessary stuff and a confusing, burdensome array of choices. They waste themselves responding to the urgent while ignoring the important. They’re busy, but not all that effective. They’re burning calories they don’t need to.

In contrast, highly effective people think differently and are focused and calm. They concentrate on only the most important, and on the one thing that really matters.

So, instead of throwing more effort at whatever situation or problem you face, consider first, what you can discontinue.

The key to getting more with less is more about stopping than starting, it’s about knowing what to quit doing, what to say no to.

Create white space in your schedule, in your mind and in your life as a whole. It’s about emptying your days of those things that don’t justify your time and effort because the return on investment is so poor.

Imagine taking some of this new white space you’ve created by uncluttering your life and investing it in those things that really matter and count the most, work best, and bring the greatest rewards getting you 5,10, 15, 20 or even 100 times improvements.

The first thing you need to do is create white space in your life. Eliminate the deadwood.

The only place to get the time to create this white space, in the beginning, is from your Quadrant III and Quadrant IV activities.

To work in Quadrant II requires you to be proactive because Quadrants I and III work on you. To say “yes” to the important Quadrant II priorities, you have to learn to say “no” to other things.

Most people would say that the reason they are not as effective as they should or could be is a lack of discipline. On the surface, this sounds reasonable but if you give it deeper thought, the real problem is that their priorities have not become deeply ingrained in their hearts and minds. They haven’t internalized Habit 2 – Begin With The End In Mind.

A lot of people recognize the value of Quadrant II activities, whether they identify them as such or not. And they attempt to give priority to those activities and integrate them into their daily lives through self-discipline but without a principle center and personal mission statement and guiding principles, they don’t have the necessary foundation to sustain their efforts.

A Quadrant II focus is a worldview that grows out of being principle-centered.

It’s almost impossible to say “No” to the unnecessary urgency of the whirlwind, the popularity of the Quadrant III or the pleasure of escape of the Quadrant IV if you don’t have a bigger “yes” burning inside.

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7 Habits of Highly Effective People

7 Habits of Highly Effective People are broken down into two categories and are sequential.

Private Victories which always precedes Public Victories.

Private Victory Habits:

  1. Be Proactive – the Principle of Self-Awareness, Personal Vision, and Responsibility.    Being proactive is more than just taking initiative. It is recognizing that you are responsible for your own choices and have the freedom to choose based on principles and values rather than moods and conditions.

2. Begin with the End in Mind – the Principle of Leadership, Vision, Purpose, and Mission. We first create a mental VISION for the finished project. We always have a clear PURPOSE in mind. Identify and commit to the principles, relationships, and purposes that matter most.

3. Put 1st Things 1st – the Principle of Managing Time and Priorities Around Roles and Goals. This habit is about organizing and executing around our most important priorities not by the urgent agendas and forces surrounding us.  This teaches you how and what to FOCUS on and Fix Next. You will KNOW what to say ‘Yes’ to and what to say ‘No’ to with confidence.

Public Victory Habits:

4. Think Win-Win (or No Deal) – the Principle of Seeking Mutual Benefit. Thinking win-win is a frame of mind and heart that seeks mutual benefit and mutual respect in all interactions. It’s thinking in terms of abundance and opportunity rather than scarcity and adversarial competition.  SERVITUDE HEART

5. Seek First to Understand then to Be Understood – the Principle of Empathetic Communication. When we listen with the intent to understand, rather than simply to reply, we begin true communication and relationship building.   Opportunities to speak openly and be understood come much more naturally and easily. Seeking to understand takes consideration; seeking to be understood takes courage. Effectiveness lies in the balancing or blending of the two.

6. Synergize – the Principle of Creative Cooperation. This is the 3rd Alternative – not my way, not your way, but a third way that is better than either of us would come up with on our own. It’s the fruit of respecting, valuing and even celebrating the differences. It’s the creative cooperation of 1 + 1 = 3, 11, 111…

7. Sharpen the Saw – the Principle of Continuous Improvement. Sharpening the saw is about constantly renewing ourselves in the four basic areas of life: physical, social/emotional, mental and spiritual.

The first three Habits can be summarized in a very simple four-word expression: Make and keep promises. (Note: it isn’t just about honoring a commitment, it’s also about having the courage of character to make a commitment because you know you’ll honor it). 

The next three habits can be summarized: Involve people in the problem and work out the solution together. 

You will never master these habits, but by simply working on them on a daily basis, you will set yourself up for the success highly effective people enjoy.

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Climate Change Predicted in Revelation:

Revelation 6 through 8 predicts the destruction of the earth’s ecology during the Tribulation.

The first four trumpets (Rev 8:1 – 9:21) announce the divine destruction of the earth’s ecology.

So, in a sense, these leftist climate change mongers are correct.  Earth’s ecology is going to be destroyed, which WILL facilitate the destruction of billions of lives; what they get wrong, is that there is nothing we can do about it.

Yes, as commanded by God in Genesis, man is to be responsible overseers of and protectors of the ecology, and there are actually some good ideas by these climate change mongers, but the full agenda they advocate is not Gods will, but rather likely Satan’s.

You can even see the anger, deceit, and hatred (all characteristics of the father of lies) these people espouse that borders on insanity.

It comes back to world 🌎 view again.

In the final analysis, there are really only two worldviews.

God’s, the Creator of the universe – which is called a Biblical Worldview (BWV) and all others, which we can call Satan’s.

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