Julia Aquino Pt. 2: Know Your Numbers to Grow Your Numbers
Welcome to business scale. Insights with Kimberly. Marie bonner. Listen for commentary interviews and information on how to grow your business for all the details. Contact business scale insights network dot com. So empire builders are you ready? Here's Kimberly Marie Bonner. Hello, empire builders and welcome back to another episode of business scale insights, and I have the honor of interviewing Julia Aquino Serano, who has spent twenty years in finance strategy and operations. You don't look at day over eighteen girlfriend. She has her bachelor's degree in finance and an MBA with a specialization in accounting. She also understands how to simplify the complexity of finance so we can utilize the power of our financial information and reports to both manage and build our businesses. I've brought Julia onto the show. I consider her a friend, but I also wanted her to share her expertise with the listening audience because I think financial industry is just a big area for business owners. That's just missing. I, I see it over and over again. It's gonna like groundhog day when I deal with the new client lake their basic pieces of their financial life of their businesses. Financial life that they don't understand. And I don't have an accounting background like you. And so I many times point them to their CPA, but unfortunately, there CPA's not like Julie. I wish I could clone you. So I'm trying to do that through this show. Many CPA's do not know how to teach these concepts or they don't care to teach these concepts. And hopefully you know this show for those who are listening, listen to part one because Julia goes over so many wonderful concepts financial concepts. And then also you can visit our website business Gill insights network dot com for a replay of the show. But before I go any further if people want to take a course from you, if they want to learn from you, they wanna follow you and be just become like, you know, just a follower devoted of Julia. How can they contact you? So I have a few Email addresses. Start with the main, too. So my consulting company all systems grow dot CO gives you formation about the consulting side. And then she defined dot com is my work workshops, retreats and coaching for women in on she defined calm. We actually have a really cool workshop going on right now called the zen of finance in. So if you go to she defined com type in zen, the workshop will come up, and you can take a look and see if it's something that you would enjoy. I highly highly highly encourage anyone who's listening to this broadcast to sign up for that. Although if you're a guy can you sign up for the him? Absolutely. Same everybody same concepts. I have to ask, because I know some guy was a kid, I'd do it to of course. But really I again I love my CPA's out there. But unfortunately, I have. I've not come across that many CPA's that teach their clients. So you're giving an invaluable service to everyone out there. And so, before we started recording, we were talking about this concept and you've talked about it with me. Many times of paying yourself. I if you're an entrepreneur of you're starting your own business paying yourself first. What's that? What's that all about? And why do you believe that so so passionately that that's very important? Sure. So I'm sure many listeners have or may have heard of the lean startup all kinds of books about bootstrapping, and, and we all start, you know, I have three companies we all start with really tight budgets and making sure that we can get the company off the ground. And I totally respect that in bleed that's necessary in an entrepreneurial environment. However, what happens with many entrepreneurs is if they have any money in the. Bank or any ability in the Bank to pay themselves to keep their their life running at some level, they won't pay themselves at all. And so what happens is everyone around them gets a paycheck, and they don't until such time as they quote can. But what happens is they keep hiring and keeping others. Never pay themselves to three years in their burnt out, and they're resentful in their done, or worse. They don't have any money in the Bank, but they can't pay themselves, and they're just so busy, keeping their head above water that they're throwing money out there to do everything that everyone's telling them to do instead of really looking at what paying themselves something even if it's small to begin with, and then utilizing the money that's coming in to obviously move the company forward. But if you don't pay yourself, something at some level, first of all, there's IRS implications. At some point. And you know, but really getting to the point that you value, what you're doing. You're working sixty. Seventy eighty hours a week. It's, it's very, very difficult. If you not get your company to a point that you can pay yourself something. Now, you can grow that something to the point that it makes sense. You don't have to take every penny out of the company, you need to reinvest, but really getting clear on not only what you wanna pay yourself. But then creating your sales plan to make sure that you can pay those around you and yourself create the sales goal from that place. It's so funny because in my experience, I've seen two types of business owners kind of like bipolar business owners on the one hand. They're the people who don't want to touch anything. They don't wanna give Alary. They're just petrified of that for whatever reason, and then the other people who are, greedy, is out. They don't care about really reinvesting in other than themselves and a car, and, you know, have you seen that kind I see it all the time on. Fortunately, and so, you know, you've talked to the, the business owner who doesn't want to take salary. One out of the people who are just like me me me. Me me. Offering. They're pilfering your own company. So neither business owner is going to be probably, I agree. And so you need to sort of meet in the middle. And I think in, in the first show we did talk about people that take everything to all the profit out, right? And that's dangerous. You have to reinvest in the company, so really it's understanding what you wanna get paid within reason what others around you need to get paid to do their jobs. Right. We need to operate the business and scale it. And then really start to decide what that looks like from a budget perspective and build your company that way. Absolutely absolutely. Well, and these issues also go to two concepts that you talk about in your courses being bankable, or is it lendable Lennon's, I'm sorry, Linda ble, and my Mansell. What are those concepts all about? Well, this is this is actually. A great conversation to be. And I'm sure you've run across this where entrepreneurs start making money and they start didn't have a positive bottom line, and then they're like, what I gotta pay taxes. So, so then they're like, well, I don't wanna be types. And so I'm gonna run some more stuff through here. So I don't show a profit. No, no. I I made a profit night. I made some money over here. But I'm gonna show that I didn't make a profit and so I didn't have to pay taxes. Well, guess what? They start growing two three years down the line. They go to a Bank to get financing in the banks. Like, will you never made any money then? No, I did. I did I made money. But I took it all. Now that doesn't work. It doesn't work. So you, you have to really your bottom line, your net income is so important to being lendable or financial and also cash flow. So again, remember, we talked about that net income of one hundred thousand dollars on your profit and loss from on the first show. But yet, you don't have any money in the Bank rate, your cash flows negative, because you're spending it on the balance sheet side, you have to pay attention to that as well, because the Bank doesn't just look at whether or not you have a positive net income rate, I made money, they also want to know that you have cash flow to cover the debt payments, and so you have to pay attention to how, and where you're spending your money and you have to strive to pay taxes. You have to strive to be profitable. So true. So true. Well, people think that they're getting away with it, and I can understand particularly in the early early early stages of a company, you don't want to people want avoid writing big checks. However, you know I've dealt with companies at been have been in existence for ten fifteen years. And, you know, I asked immediately to see I always no, it's not gonna go. Well, when I asked to see the PNL and the if if the business has been in existence for over ten years, and it takes it. I get well. Let me talk to this EPA, and I'm like, oh, it's just so funny, because they come to me, and they wanna they wanna let say franchise, their business. And all I see is. For lack of a better word, you know, accounting jujitsu. That makes them look legacy. Are not profitable, but it's clear that they are profitable. Right. But it's just all over the place. And it just looks like they're not profitable, and I say to them, honestly, you're not going to get any one who's really saying investing in this business because at some point someone is going to ask about profit. Yep. And the financials. Yeah. Some- somebody somebody and I, if and if you're not prepared to I like to use the word open the KOMO, no. And get some somewhat naked with people, then there is you might get your cousin, get you might get, you know, member, the, and it's not a bad thing. You know, they're BFF from college or whatever like that. That, that might be your first few franchisees. But beyond that, you're not gonna get a really talented savvy. Franchise invest. Or because they're just not. It just doesn't add up not saying that they're gonna use the same calculus as a Bank. But the there are the are going to be looking at the kind of the basics, the financial basics of your enterprise, and they're going to ask you questions. They're going to ask you pointed questions and any franchise developer that tells you. Oh, well, you know, you should hide that none of the in my opinion. That's very short sighted. I try to disclose kind of financial information in the financial of the, the, the franchise disclosure document. And I just basically say, let's, let's put as much information out there in that item, nineteen as possible, if it's good, right? Yeah. If it's not good. Maybe you shouldn't be right now. And, you know, a sitting it out a few years until that gets kind of cleaned up. Not everybody believes, like I do, but to me, one of the greatest ways to get buy in from any. Anybody not just a Bank. But however you wanna angels these sees franchisees is to really not to have to have to have a financial kind of. Statements that are readable and past the past the I'm not be Essen test. And then people are like, okay, this is this is a sound business because how else can anyone really tell if it's a sound business, right? Why think too, that it's really comes down to whether or not you wanna lifestyle business or a scalable biz agree. I agree. And people say they want scalable. Big not behave they're like a lifestyle business. You know, if you want a scalable business, you have to treat it with care and do the right thing, no matter what. And that includes pay taxes. It is so absolutely absolutely important. But I don't know you know, but this EPA's go kind of go along for the ride with that. What's up with that? So I think a lot of times, and I can't speak for other. I know. But I do think that a lot of times, they will follow the lead of their client. They won't do anything illegal, but they will help them to maybe manage their taxes. Right. But to your point, and this is again, why I have you on the program. CPA's and I love all you CPA is out there. I'm not beating you up. I'm just telling you sharing my own personal story. You gotta do more than just what the client is saying, when, you know, long-term, if they share with you, I have a vision or scaling the business, you gotta sit there and say, you know, if this is what you wanna do on term, and it's not a lifestyle to your point business. You know, we gotta pay some taxes at some point, but you also know that CPA's face the same stuff you and I face, which is the give him the opinion. And then then by the person goes they want to do. So that's the other side of this. I know. All right. Well, we will be right back after this break. If you already have a proven business model, but have concerns about the best way to grow and scale, then you should contact the experts at new day consulting systems. New day uses innovative techniques to ten times the impact of your business. Your local business can become a regional national or international enterprise. New day consulting systems will show you how for more information and to get started with new day. Visit the website at new day consulting systems dot com. One one new day consulting systems dot com to get your business off the ground and into orphaned, contact new day to day Kimberly Marie Bonner helps millions make millions. I'm business scale insights, Thursdays, at twelve thirty pm on WSB business scale insights, helps your business move from startup to scale and his sponsor by new day consulting systems. New day consulting systems can help turn your business. Into a franchise and scale globally interested don't their website, new day consulting systems got calm and don't forget, the tune in Thursdays at twelve thirty for business Gail insights with Kimberly. Marie bonner. And we're back. Thank you guys for coming back. I am interviewing Julia Aquino Serano, and we're talking about financial literacy for business owners. And so hopefully, you have been you've stayed tuned. We're in the final stretches at this episode. And I wanted to talk to Julia about issues related to women business owners because she's done a lot of work in that space, and we kind of scratched the surface, a little bit when you talked about women in numbers and kind of being a little paranoid about it. And so share with the listening audience your work experience. I know your past presidents of Nabo, and you'll explain that acronym, and just is there a difference between the genders when it comes to business owners and how they approach finances. Thank you. Sure is so I am past president of novel Broward, Palm Beach, which is the national association of women business owners. It's. Forty five year old organization based in Advocacy's for women business owners, so work. They've done is amazing. And I've been in on multiple stages. Speaking about women in business, and fear, and all those things that makes us unique, and I'm really really knowledgeable because I happen to be a woman. And so as much as I may seem like I got it all together. I haven't plenty of moments. I get it. And so what I find really working with, and why I really have moved into a niche of working with women. Business owners is we do things differently. We sell differently think differently. We allow things to stop us, that may be your male. Counterpart may not and we have different fears and a lotta times we allow them to hold us back. We're all sit in front of a room of two hundred women and say, how many of you have a big vision or a dream in less than half? The hands will go up, well less than half. You gotta be kidding. No. And I literally stand on the stage, heartbroken in the moment. And then, but my job on that stage is really to get them to embrace the fact that they get to have a vision. They get to have a dream. And so in the business world, what I see is women. A lot of times, you know, valid or not will. Will start their business so that they can have a lifestyle business. So they cancel or pick up the kids from school, but they still want to do something really amazing in the world. So kudos to them in you build your business based on that knowledge. And then I have women who have their feet in two different boats. They're building lifestyle business, but they talk about scaling, and so really helping them to move into the scaling side, actually requires them to walk through some fear stuff because in the lifestyle business, they're able to their thriving their surviving. They're making enough in their having time with their family, but now they're like, oh, I might actually wanna build and scale this, but you have to move that other foot that steady foot into the rocky boat of scaling and growth in that is very scary. So really working with women to get through to that big dream. Why is it so scary for women in particular? I think the failure. Actor, you know, when, when we're building a quote lifestyle business, we don't have to prove anything, anyone only, we know for making money or not only, we know if, if this is successful or not when we actually get to the point that we wanna grow in scale you've really stepping into a big big big role, many times, you're really taking a leap and responsibility and responsibility. And then when you start hiring now you're responsible for other people's salary, and you're responsible for making sure they have the work and women, and I include myself and almost every woman, I know there's a perfectionism and you can't be a functioning entrepreneur business. You, you will die. Missile die. You'll die you'll ever nervous breakdown talk about that, because that's, that's massive it. I. I'm going to use. I was dealing with a. A person. And she had this issue related to possibly taking a leap of faith, and scaling that, and it was related to not having all the is dotted and the. And I was I and I tried I tried very hard to explain to her, that this is normal in the business world as long as the people that you were doing the scaling with appreciate everyone is disclosed. These are the risks involved, and we do this, and there is obviously Orissa this is gonna take. Right. We've done all part both parties of dumb their due-diligence. But if we shirk back. There is there's, there's possibly a greater risk that you're going to be left behind in the market. So can you talk about that whole perfectionism thing when it comes to scaling because to scale you just you're gonna break a lot of stuff you're gonna make a ton of mistakes? You're gonna miss fire, you're gonna miss higher. You're gonna it's gonna be. It's like, oh my God. It's not it's not pretty when you're growing. Well, so Kim really think about what perfectionism really is. Okay. Fear of making a mistake. Yeah apps. Here of people seeing you as less than perfect fear of, you know, messing something up fear of the world not being successful. And I was one of those I was one of those chicks, I really was, we all were we all were because in perfectionism we get to stay stock. You have to step out of perfectionism and be willing to fail to succeed, and that's here. And that's why we get stuck in. Oh, when I have a hundred thousand dollars when this happens when that happens now I can tell you from living life for all these years, the win is never gonna come in exactly the package. We think it should. So we will never have that perfect moment to do the thing, we say, we need to do, so you need to let go of it. You need to literally let go and be okay with failure with falling with making mistakes within not turning out, exactly as you envisioned because what how it does show up in the lessons. We learn along the way in our ability to grow in scale comes from learning to fall. How do you learn to fall by falling? All right. Philosopher. Financial philosophy by. Well, I mean but falling is just not cute. It's not pretty. I know as girls were taught to be sugary might hand. And we did it cat us. We know. Oh, my word tot serves us at some level until it doesn't. Yes. And if you're gonna sit in your little box in your little perfect life in your little perfect house in risk. Nothing it will serve you. But if you want something greater, and bigger, you have to risk you have to fall, you have to fail. You have to be okay with getting back up and trying again. Wow. Did you guys hear that? Did you ladies here? That, that's a lot that's a lot. So if, if people wanna hear more of the philosophies. Again where can they see you? I know you're doing so many different things you're active in Nabo. You've got all of your workshops, you've got your clients, you're also doing a lot of philanthropic work so pick one and plug it hard to the audience. Okay. So, well, I'm gonna go philanthropic. Okay. So I was just named event chair for American Cancer society's making strides against breast cancer for southern Palm Beach county and I am a breast cancer survivor. I am six years cancer free. And so the walk is going to be an October. And I would love to see everyone there. But if they want to learn more about me, she defined dot com, also grow dot co. Follow me on Instagram Facebook Twitter. Look, up my name, I'm there and love to talk to anyone that has questions. Definitely reach out to Julia. It'll be more than worth. It will change your life. Not only your business life, but your life trust me. She's done that for me. Read the book she strategy. She strategy book. Yes. Thank you. All right. Will that is up. Our time is, is over and come back next week on business skill insights, thank you Bye-bye. You have been listened to business scale insights with Kimberly Marie Bonner to get her personal attention to use in your go-to business scale insights, network dot com. That's business scale insights network dot com and tune in again next week or more from Kimberley Reid bond with business scale insights.