The 5 Key Building Blocks to Build a Business, Not a Job

I was recently asked to write an in-depth article for a major business

website on the topic of my choice, and I chose to write about the five building

blocks that you as a business owner need to work with in order to fashion and

build your Level Three business.

Here are the building blocks:

Building Block #1: The Business Owner’s Mindset

It all starts with you the business owner. You’ve got to make the mental

shift from running your business as a self-employed job to building a business

you can one day sell, scale, or own passively.

This means consistently reminding yourself that you are just a temporary

producer, and that your business must eventually replace you from its

day-to-day operations.

Here is the mantra I want you to repeat to yourself: “The more I do, the

more I have to keep doing. The more I get my business to do, the more I can

step back and focus on growing and developing my business.”

Building Block #2: Systems

Systems are the reliable processes and

procedures that empower your business to consistently produce an excellent

result for your clients.

They’re documented best practices that increase

your company’s efficiency and reduce costly mistakes; the checklists your

shipping clerks follow to ensure that all orders are shipped correctly; the

orientation process for all new clients when you begin working together; and

the standardized contracts you use with all your new hires and vendors.

On the webinar I’m going to lay out a brand new

insight I recently had after teaching at a workshop we several weeks ago. I’ll

actually lay out a real world, 4-phase game plan for you to build out your

business systems.

I’ll share with you several case studies of

clients who are at various stages of systematizing their businesses so that you

leave the training with a TANGIBLE and concrete understanding of exactly what

it means to systematize your business.

Building Block #3: Team

Every business needs talented people to help

make it successful. My insistence that your business’s success be independent

of any one person does not mean your team is unimportant.

On the contrary, the only way to build a Level

Three business is to have great team members who consistently perform for your

company.

It’s critical, however, to ensure that it

doesn’t rely on the presence of any one individual. Instead, capture critical

knowhow in your systems.

On the webinar I’m going to lay out our own

proprietary system for interviewing and hiring great team members. (And I’ll

share with you 3 of the most common hiring mistakes that too many business

owners make.) This is very timely for us because we are in the process of

making two key hires for our business as we speak.

Building Block #4: Intelligent Business

Controls

Controls are the intelligent processes,

procedures, and safeguards that protect your company from uninformed or

inappropriate decisions or actions by any team member. They also are your

business’s way of making sure that key work is getting down on time and the

right way.

There are three main types of business controls:

Checklists/Visual Process Controls; Scorecards/Metrics; and “Embedded

Controls”. I’ll be covering all three on the webinar. In fact, I’ll share with

you 5 specific controls that we use inside of our business and how you can

apply the concepts in your business.

Building Block #5: Scalable Solutions

Have you ever watched the television show This

Old House? Imagine you’re on it, working on a 75-year-old house with its

original electrical wiring and plumbing. What would happen if you plugged in a

full complement of modern electrical appliances? You’d blow your fuses, not to

mention create the potential for an electrical fire to break out.

And what would happen to your plumbing if you

went from a well-water system to tapping into the higher pressure of city

water? (Can you say rain gear?!)

Likewise, too much growth that makes increasing

demands on old, outdated systems is what causes most growing businesses to

fail. The systems that worked for a $500,000-a-year business are no longer

sufficient to cope with a $5 million business, and not even close to being

adequate

for a $50 million business.

At first, the additional sales will cause a few

“leaks,” but before long, your business will have burst pipes and water

everywhere! That’s why the final building block of a Level Three business is

scalable solutions.

Scaling your business requires building it in

such a way that your business model and systems can be rolled out and

replicated on a much bigger playing field. This also means when you’re solving

a business challenge, you look for solutions that can be scaled.

In essence, building with scalable solutions

mean that the systems, controls, and team solutions you choose are ones that

can handle multiples more volume.

For example, this could be outsourcing your

shipping to a third party fulfillment company. Or this could mean choosing your

database solution based on your future needs and not just on today’s costs. Or

it could mean tweaking your business model so that your service is more

scalable and not so dependent on one or two key people.

Free

Business Bestseller!

Build a Business, Not a Job:

How to Build Your Business to Sell, Scale, or Own Passively

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your copy of this 176-page classic from Wall Street Journal Best Selling

author David Finkel. Or for more information on growing your business visit David on the web at: www.MauiMastermind.com