Episode 61 - Talking Cash, Setting Up a Bonus Plan & Scrum Management with Josh Patrick

HIGHLIGHTSYou can grow yourself out of businessEntrepreneurs need to understand cash flow Take the complicated and make it simpleSuccessful business owners manage risk wellWith great price should come great service Using scrum in subcontract workHow to structure a good compensation program in the trades Start hiring for values first, trade skills second QUOTESJonathan: "All this underscores the need for entrepreneurs to have some financial literacy. There's not enough financial literacy. It doesn't have to be complicated. It doesn't mean you need to take an accounting class but you need to understand what your people are doing so you can understand maybe where they're messing up. You need to be able to understand a balance sheet, a cash flow, a P&L statement. Maybe read them, interpret them, and make some informed decisions or predictions around the future based on what's happening to your margins." Josh: "Those who stay in business for a really long time are not risk-takers. They are actually risk-averse and manage risk really well. And if I have a business doing half a million dollars and I take a 125,000 dollar job on, that's taking a big risk. I would tell that owner you should probably pass on that job. Or, if you really want to do that job, make sure you bid it for hours and materials not project cost."Josh: "If you're going to be premium-priced, you better be premium service to go along with it." Josh: "I don't think our employees care what others make. They care what they make and they look at what they make to see if they believe it's fair. Once they believe it's fair, they really don't care all that much what other folks make, including the owner. " To connect with Josh, check out the links below: Linkedin: https://www.linkedin.com/in/askjoshpatrick/Website: https://www.stage2planning.com/                            https://www.sustainablebusiness.co/If you enjoyed today’s episode, please subscribe, review and share with a friend who would benefit from the message. If you’re interested in picking up a copy of Jonathan Goldhill’s book, Disruptive Successor, go to the website at www.DisruptiveSuccessor.com. Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.