April 14th, 2012 David Finkel (Taxloopholes.com Advisor)
I hope you are having a great weekend with your family. Heather and I just hung out at home with Matthew and Adam earlier today.
In this eLetter want to focus on something that really made a difference on a recent coaching call I did with a dozen of our consulting clients – the idea that control is a trap.
Let’s face it, in your business, the more “control” you have, the more you have to personally be there to exercise that control.
Now I can already hear some of you saying, “But David, if I don’t keep a close eye on them, how can I make sure that the right things are actually getting done?”
This is where “CONTROLS” with an “S” come into play…
What Are Controls?
Controls are the intelligent processes, procedures, and safeguards that protect your business from uninformed or poor decisions or behaviors.
There are essentially three kinds of controls:
1. Visual controls. These include checklists, dash boards, scorecards, budgets, etc. They let you SEE that the right things are happening, of if not, they raise a flag that lets you make sure to focus on fixing the situation.
2. Procedural controls. These include things like having 2 unrelated parties internally check/be involved in the flow of money (person A makes deposit; person B reconciles the account… Person A writes the check; Person B verifies and signs the check). This can also include a standard way you do something like the job application process your business has, etc.
3. Embedded controls. These are the controls that work without someone having to remember to do something out of the way to use them. For example, standardized contracts are a form of embedded control.
The bottom line is that controls help you let go of directly managing a process and still be able to KNOW that the business is being well cared for.
Take the example of Brian, one of our Consulting Program Clients. Brian got started in our program 24 months ago as essentially a one man shop.
His big fear about bringing in help was that he didn’t think anyone else would do as good of a job as he could.
But he was a great client, and took the advice that to grow his business he had to let go of parts of the business (for him he needed more time in sales and less time in operations.)
In just 7 months he got out of over 90% of the operations of his business, and one of the BIG things that helped him do it was the fulfillment checklist we coached him on created (a form of a visual control) so that he felt confident that his new hire (at that time) Diane was doing things the right way.
Fast forward 18 more months…
Brian’s business has more than doubled, and he’s on pace to continue to grow!
What About Your Business?
How much is it costing your business because you don’t have strong controls in place?
What about the emotional cost?
What can you do in the next 90 days to implement at least 1 or 2 key controls in your business?
I hope these questions really spark you to get into action making your business more stable and secure.
Would You Like Our Help You Get to Level Three?
For years now we’ve helped hundreds of business owners like Brian to build a business not just a job.
If you want our help taking your business to Level Three, contact our office about applying for our Consulting Program. If after talking it through we have a solid mutual fit you’ll get our direct participation in growing your business.
Just call our office at 1-866-214-6619 or email us at [email protected].
Or you want to read more about the program online (including seeing over 20 candid client video reviews of their experience with the program) just go to our website.
Taxloopholes.com Advisor and
CEO of Maui Mastermind®