They say understanding the problem means winning half the war!
From our correspondence with John and Josh, we’ve identified critical factors that
entrepreneurs need to pay attention to. These factors are important in gauging whether
your business is on a trajectory towards the moon or it’s headed for a bad crash landing.
In Josh’s experience, there are multiple things to be wary off but one factor that stands out
is CASHFLOW. Josh tells us that, “it’s rare for a business owner to be unable to deliver good
service. Typically, people get into business because they want to deliver good service. They
enjoy that!”, however, “the thing that kills a business, especially smalls businesses and
startups, is cashflow and financial management”.
In order to stay ahead of the problem, “we focus so heavily on mapping out [financial
expectations] in the first year for our entrepreneurs. We don't want them over buying
equipment, resources, staffing. We'll tell you when it's time to expand. We'll tell you when
it's time to buy the additional equipment, the vehicles, etc.”.
On this topic, John chimes in with, “I think ultimately, it does boil down to cashflow, but I
think [problems are] overarching”, in the sense that, “I was working all these different
hours”, recalling how he used to wear all the hats in his business. “It's because I didn't have
those systems in place. It's really easy to take your eye off of cashflow, right?”, John adds.
It can be really challenging to manage a business when you have to wear all the hats in the
business. At a single moment, you can be thinking of income and expenses, supplies, hiring
and firing, expansion opportunities; in that moment, it’s easy to lose track of key indicators
like cashflow.
It’s a very common scenario for a lot of business owners but this shouldn’t hold you back
from starting your path as an entrepreneur. There’s actually a brilliant workaround that you
can employ!
John puts it this way, “It's hard to do when you're one person. But the thing that's nice about
franchising is when you have a system, when you have a support network...Neighborly has
over 5,000 franchise. [That means] 5,000 of your closest friends are going through the exact same thing.
We have franchise business coaches. We have local marketing specialists. We
have 130 people in our marketing department alone. All these different people were there to
support our owners to take some of those hats off of them so that they can focus on what
they really need to focus on –growing a significant, substantial business”.
That’s a lot of resources you can tap into as a franchisee! Each one will enable you to focus
your energy on what you’re good at without sacrificing other aspects of the business.
And that’s just the tip of the iceberg! We know you’re really excited to get into the good
stuff like:
“What else is in store for me when I join The Grounds Guys?”
“You mentioned multiple revenue streams?”
“How much do I need to shell out, and more importantly, how much do I stand to make?”