On the Mats: Bugger, I Have a Vertical Business
So! A bit of a bugger… You’ve built a vertical business…What do you do now?!
Hi there, Nathan McDonald here for another episode of ‘On the Mats’, and today is an interesting topic! We’re talking about a vertical business. And you’re going to be asking yourself.. What is a vertical business? Let me go on and explain.
So, what do I mean when I say a ‘vertical business’? Imagine this POLE is your business. Right? Now, if I wanted to stand the pole upright to plant the business down and the base is my foundations. Effectively, I’ve got to keep holding this. No matter which way, if I wanted to take a holiday or anything like that and I let go…. Guess what happens? All of a sudden, pole keeps falling down (i.e. you’re not around for the business). And you always, as a business owner, you’ve got to hold on to that business. You can’t walk away from it; it’s always there.
What we want do is build foundations. And that’s the most important thing we want to build. Because reality is, you can go and build a fairly good team around you. But if you don’t have the basic foundations in place, you can’t grow your business.
And this is what we teach in martial arts. We want to have some good foundations. Someone will not turn up and start straight into doing jump spinning hook kicks or 360 turning kicks. What they do, is they all come in and learn the basic foot work to get started.
So, imagine you’ve got a piece of marketing. Right! Implement that fully. And now, we start building the foundation. As you can see here, (well, on video) just because you put marketing in place, does that mean that the business is still cranking? Well, no, because it’s still going to fall over.
But, let’s say we had some sales behind it. We’ve got some really good sales processes. Well, now we’re starting to build some foundations. So if I let it go. Well, it is not too bad, but it’s still a bit shaky.
So, what happens if we throw some customer service into that? You know what? All of a sudden we’re starting to get better. But then again, it’s still a bit shaky!
And now, we start throwing, let’s say, some good finance and administration processes. All of a sudden, we start building some good foundations for your business. It is still shaky. Yes! You know what, you may be able to walk away for a week, 2 weeks or 3 weeks. Come back and you’re business will still be doing ok.
But, imagine all of a sudden, you start adding some more really good solid foundations. You go and add some more marketing in place. And then, all of a sudden, you start growing a fairly good team. What do you think would happen as you start building that? Well, your business starts having those foundations. And, you’re really starting to work.
You can see from that analogy that we’ve just done, that a vertical business really needs to have those foundations. You’ve got to start building those foundations out. Most people when they’ve started their businesses, they built it on their skills. They built it on their knowledge. And, they don’t have those really good fundamental business skills, such as putting things like finance and administration in. Some decent marketing. Some good customer service. Some really good time management skills as well, as a business owner – which is all needed.
So, how do we get rid of that vertical business? How do we start building some solid foundations. Well of course, the first part is, get some help to do it. If you don’t know about business or if you don’t have those business skills. You don’t know how to calculate your break-evens. Ask your accountant. If you don’t know how to put some decent marketing in. Get someone to actually help you with that. And that’s probably the most important thing that we want to look at that. And I know the people that go through their path to business mastery course, which is all about building foundations, within 12 months they’ve got some really good solid foundations in their business that they can grow on.
All of a sudden, they’re taking 2 weeks leave, 3 weeks leave. They’ve got some cash savings there. So, one thing you want to do is go and get help to remove that vertical business. And to be able to build those good foundations in place.
So guys, if you enjoy today, make sure you put your comments down below. Add your comments. If you’ve got any questions, please add them now. I’m always monitoring it. Making sure we got the right information to you guys. And, if you did enjoy it, please share this video around. Its quite an interesting topic, ‘Vertical Business: Do You Have One?’. And if you do, now is the time to build those foundations.
My name is Nathan McDonald, I’m an Aussie, my message is global, my passion is business.