Why you should hire a personal driver
Small business is where the money is, and everybody knows — just ask the staggering 62% of Americans who wish to be their own boss (that’s an astonishing 205.2 million people). In other words, 3 in 5 Americans want to start a small business.
So why doesn’t everyone go out and do it? That’s a discussion for another day. But today, I’ll be addressing the lucky few — if you can count 30.7 million small businesses as such — who already own small businesses. We’ll be taking a look at just 5 of the many unexpected ways to squeeze more profits out of your small business.
1) Hire a personal driver.
Driving is a time-thief for most business owners.
Having a driver means you can keep working on-the-go. You can call customers, respond to emails, write advertising copy for your business, reach out to new customers, or do any of the other 1000 things that actually move your business forward. Every minute spent driving instead of doing these things is an utter waste.
Think you can’t afford one? Think again! If your time is worth $40 per hour and hiring a driver costs $25/h, you make $15 for every hour someone else drives. Conversely, you lose $40 for every hour you spend driving yourself.
As a small business owner, having a driver is a necessity, not a luxury.
2) You may own the business, but you are not the boss.
You may own the business, and everyone may think you are the boss, but you are not. You have many bosses.
You work for the customer; so, if they want weekly updates delivered by messenger birds, that’s what they’ll get.
You work for your employees. You eliminate frustrations that prevent them from doing a good job, you train them, and overall, you make their workplace and lives richer.
You work for your lenders, investors, and the taxman; try defaulting on an obligation or failing to meet a contract to find out what I mean.
But most of all, you work for yourself; and you owe it to you to make the most of your opportunities.
3) Your customer may be the boss, but cash is king.
Never run out of cash.
I’ll repeat that: never run out of cash.
Your business is a living, breathing entity, and cash is its lifeblood (that’s why it’s called cash flow). And what happens when a living organism runs out of blood?
Exactly.
A company may have cash and no profits and keep going (Hi there, Silicon Valley). Having cash available allows a company to take advantage of unexpected opportunities without having to borrow or sell its soul.
It used to be enough to have the equivalent of 3 months of company expenses in your cash accounts, but COVID-19 has shattered that logic. With cash, more is generally better.
Gold is a treasure, and cash is gold.
4) Avoid boards and committees — they only serve to drain your time.
You run a successful small business. Naturally, people will perceive you as a smart and financially successful person. As such, they will invite you to join various boards and committees. But boards and committees are a huge time-drain.
Instead of giving your time, give your money, which is what most of them want anyway. Hoard your time and only spend it on your family or on moving your business forward, where the returns are real.
Coaching your kids’ baseball team is fine. But it is only okay to join a board or committee if you are passionate about the organization or cause.
Or if the organization is critical to the well-being of your community and your membership is crucial.
Or if membership will help your business.
Otherwise, stay off boards and committees.
No boards or committees means more time to make more money.
5) Never say no to profitable business.
Always get the order first and then figure out how to deliver later. Never let lack of capacity stand in the way of getting new business. It’s too hard to get new business already; why say no to the few opportunities that come your way?
So, if you own a small tailor’s shop and get an order for 50 suits, accept the order and start looking for tailors right away. If you are a software developer and get an order for a large project, take the business and start hacking together a team.
Don’t lie, don’t cheat, and don’t lose money (those are bad for business in the long run, anyway), but never turn down business. If you can make money on the job, always take the order.
Remember: an opportunity lost today is usually an opportunity lost forever.
