Today we were joined on the show by business owner and former MVP business coaching client Terry Walkerly. Terry is the owner of Filta Environmental NEO, a leading provider of cooking oil micro filtration services to restaurants and other food establishments. Over his career Terry has owned several business including ones he’s both started as well as purchased. Although he barely made it through high school, Terry describes himself as a lifelong learner who has read just about every business book out there. Combining that with the school of hard knocks and Terry has a lot of wisdom and insights to share.
Most business owners can relate to what it feels like to have debt in your business. Unfortunately, not too many owners are aware of how to get all that debt paid off. In fact, it seems too many business owners have come to the conclusion that it’s just the way things are when it comes to having debt. Well, it doesn’t have to be that way.
Did you ever wonder why most people look forward to tax day in the U.S. while business owners rarely look forward to April 15th? Most folks pine for tax day because they are going to get a refund on that day. It’s like a shot of dopamine to get you all excited with that extra “paycheck” or two. For business owners, they are usually writing a check on April 15th. But this should be viewed as a positive.
People have always had side hustles. For instance, can you name a plumber, electrician, or mason who doesn’t do some sort of side jobs for friends and family? How about that person doing “the books” for several small business owners on nights and weekends or that salesperson also contracting with a start up to help get their sales off the ground?
Cash is one of those things that whether you have it or not it’s usually top of mind. If you don’t have cash you’re thinking about how you’re going to get it. If you have cash you might be worrying if it’s enough or if you will run out. Either way, chances are you’re going to be aware of it and thinking about it.
A phrase that can often strike fear in the hearts of even the bravest of business owners is, “Your banker is on the phone and would like to speak with you.” Oh no, you think, what could she possibly want? Does she know about my key employee who is threatening to leave? Did that upset customer call her to complain? Will she be pulling our line of credit?
Business owners can be a worrisome bunch. Oftentimes owners aren’t even sure what to worry about. One of the top worries for business owners, no matter what stage they’re in, is cash. More specifically, will I run out of cash? So how do you keep track of all your money?
One of the annual traditions of business ownership is making some tax planning decisions, usually late in the year. It includes things like buying equipment or vehicles to take advantage of accelerated depreciation through a Section 179 tax deduction or some other accounting jargon. But those aren’t really the surprises we’re talking about. We’re talking about those surprise tax bills you get from your CPA where you have less than a couple of weeks to come up with significant cash to pay your bill.
Some days it’s easier to stay positive than others. For instance, those days when you land a big new customer or finally bring on board that key new hire. But there are other days when it’s really tough to keep that positive outlook. Simply flip the scenarios mentioned before where instead of landing a big new customer you instead lose a customer that makes up 25% of your business. Or that key employee gives you two weeks notice.