Thomas, Technician, Frank Nash discussed on The Common Cents Show
I used to build their businesses single member organizations to over multi millions in revenue and Multi Unit operation he here you just show up at eight o'clock all dirty and stuff so you know I definitely get that so I think that's smart yeah this is a good point so like Johnson I had to do it all over again I would do differently so I had an investor who gave me alone that a business loan to start and I spent way more money than I should have looking back on it I would have spent a fracture one of the money that is spent to open up now I say that say that I'm very proud of the facility that we put together but if I had to do it all again I would start small I would not take on so much debt right away and then build up as one of my former guests said I would grow at the rate of cash so as I got more clients in more business in my monthly eft amount went up a monthly revenue went up then I would grow the business at that rate but as it as it was I had investor and he had deep pockets and I use them not knowing any better I thought more was better in I'm here to tell you that's not the case I'm not drowning in debt but if I had my chance I hate debt in if I had my chance on my chance to it over again I would not do it so I took out a hundred thousand dollar loan and did the build out in the equipment and all that good stuff so at the investor and so it was at one of your clients or family friends that you were working with a client of mine that actually it's part of the Bush family so he he was a good client known I help them out quite a bit he was in pretty bad shape when he came to me and we got him back to where he could do some things that really enjoy like travel and gone some fishing trips and things like that without any fear of him getting hurt while he was doing these things so he was very grateful and he showed his gratitude by helping me start my own business so his question so a lot of it people who borrow money have fears how are you able to get over your fears of barring the money given that you'd never bothered that much money before the past what were you able to do in terms of organizing yourself to spend that much money yet again it's a it's a learning curve I was a trainer starting a business and I didn't know I hadn't started the climb that learning curve to it that skill set of being a business owner instead of a trainer so when I started my business I was looking at it through the Lens of a trainer not a business owner again which is where a lot of the mistakes came from if I again if I had to do it all over again I would change it a lot mostly with the debt and growing at the rate of cash those are the two biggest things start small and growth rate of cash. That's what I would recommend to anybody but for me getting back to your original point I made local mistakes of bought all this equipment I overspent on equipment I under spent on marketing in ahead full confidence in my business plan which blew up the minute I walk open the doors and had to make changes right away I could tell by your laughter that you guys can relate to that Oh yeah you know you have to you have to make some real world pivots on the fly which I did in there are some I won't lie there was some lane times man times on thinking am I gonNa have enough to you know make payroll things like that and but I I just stuck with it and I stuck with advice the biggest thing for me was getting mastermind group and finding business coach in get off the phone with Thomas in he we identify the problems he giving some projects to work on some homework and I do it so the one of the first things we identifies that I had a marketing problem as Thomas said you have to feed that pig so we jumped on it and we started marketing and we established the marketing budget schedule Strategy Tactics targets you know as far as how many people that we how many leads we will wanted to generate of those leads how many people we need to get on trials each month and out of those trials what percentage we need to convert that to break even and then to make profits so those are the same numbers that we use today to grow the business is that we look at marketing what's working what's not what's our return on investment on our marketing efforts we've got away from a lot of the social media stuff and we do a lot of a lot more community stuff because expe- moving the needle more these days for us and then we stick to the same you know as far as Leeds trials in new memberships it's interesting because one of the things that you didn't say I didn't hear you say at lease was about the work of the technician and I know in the you book. It's one of the things that Garbo talks which is fatal assumption that just because you know just because you know the technical work of the job doesn't necessarily mean that you you know how to run a business you don't even Jonathan Yeah Yeah Yeah now those that's like a completely different skill set but I did actually want to ask a question so I know that you ended up moving But I assume before you had like quite a large clientele base were you able to use that to tap into to to help you get started with your new studio it's funny that you say that and I had a conversation with Frank Nash about this on my pod cash podcast is yeah I did have a had a tremendously loyal following I had clients that I've been training for twenty yes years which is you know nowadays unheard of So I had a loyal following and when I was renting space in the studio I had twenty five thirty clients Just all on my own and but I was doing sessions and then when I opened up the business and I started doing eft you and I started bringing on other trainers and I started the systemized the training sessions and things like that and then so as I sorted install those systems in the business and my clients starting to see more and more of my staff and less and less of me on the training for they let so as as my training as my training model grew and I and I structured it to ski AOL so it's not just me it's not limited by my time in my ability but but by the system and the model that I was running when I started to do that I noticed that the type of clients that I was attracting change so it evolved as my business model evolved started to grow so did my clients. Yeah that's like that's so powerful I can definitely relate you know it's funny yeah because today like for myself like you know been in business eight years now obviously over time you're going to grow but I'll still have people who are like my very first clients that'll be like you know I don't want anybody else but Jonathan to come here and it's like you know it doesn't quite work like that anymore make you know like or if I do it's GonNa charge it for me right yeah because as you start to run the business your time becomes more valuable because it you know you look at the bigger picture of things the whole business the whole model and trying to scale it in you want it you need to get away from doing those technical things as much as you love them you know it's an and the irony in you know as a technician that starts their own business they get into it because they love it right they love being a technician I love being a trainer but when you start a training business to one thing you do the least of is train train client you know if you're really growing yeah right exactly like you really become a marketer right like emmy you're not just a trainer in now a marketer like into like what you said I like I like what you said about you have to feed the big I don't even yeah yeah while you become a marketer you become a manager managing employees managing systems manager gene KPI's Things like that that give you a sense of how the business is doing and where you need to put your efforts let's talk about the second business plan that you wrote like I know you wrote the initial plan and then you had met with Tom Plummer but events pleased that you blew the plan up and then you created something the second time around the actually work for you so what is it that you created the second time around and that actually worked for you as opposed to the first one after you you know kind of blue that That I plan up while I was trying to do too many things so I had to had to whittle down when I first started up I had like these peleton bikes we still have the peleton bikes AH wanted to be a one stop shop and we were doing classes we're on class pass and we were doing small group and we just did in have enough space to do all of that and we didn't do it all well we sucked at large group oh we stopped doing it and we just focused on small group and growing that so that was the probably the first in the the most the biggest pivot that we may right off the bat was getting away from what we didn't do well in concentrating on what we did do well in trying to grow that yeah no this as far as like some of the the conversations we had I feel like this one is the most powerful because you talking about the business plan and you know sometimes you know especially as entrepreneurs that's kind of why we are entrepreneurs because we have the ability to like look out Afar and see something that is in the future and we're able to put it down on paper and so you get these business plans that are super super detailed with all these finite details and get really granular but at some point to you also asked why I liked what you said like that honesty with yourself where I if there's one takeaway our listeners can take here is don't be afraid to make changes to your plan like yes half a plan it's awesome you know go forward but also we'll be open minded and flexible because things might come up you know I would say a good word for it be like half a dynamic plan but I love that you know like some people might come into it and like you know what we're going to cater to every single person's gonNA walk the door we're going to do small group sessions and large group sessions and middle sized group sessions but you know you said you say hey you know what we're not really great at the large group sessions let's let's bring it down to the small group and there's a lot of power in that so that's a really good takeaway like we had episode was stay in your lane yeah yeah and that's really goes back into that it's like there's so much more value and ability to even charge more really and you looked you looked at Moore's an expert in that area when you just stay in Elena really focus on that niche part of Your Business Yeah absolutely and in we're where we are in Saint Louis it's it's an affluent area in a market is saturated in everybody you know.