Design your business to work with our without you.

Well, hello, and welcome to today's episode, my name is Tom Rolley of System IO.

Starting off with some difficult news, like literally as I jumped on to do this live video with you a live podcast with you, I just got the news, that friend has died, He had renal failure, and was young.

So Young man, you know, 4045 46 years old.

In my opinion, that's young, I'm 44.

So I'm still like, Hey, that's a bit close for dying.

And it just really brings into sharp contrast how important it is to actually live.

And part of that, if you're an entrepreneur, if you're a business owner is to actually get your business working to make it profitable to make it perform for you.

And that is the topic for today how to design a business, design your business so that it works with you or without you.

And I get that a lot of entrepreneurs, you want to work in your business, you want to work on your business, you want to be in the business.

It's not necessarily about heading off for two years to Italy, even if you could, or taking four weeks and going to the beach and doing nothing.

But if that was an option, it'd be nice rather than being handcuffed to the business.

So depending on what you want, whether you want a designer to work with you or without you, are you interested in that because it is possible, I want to let you know that is possible.

It's just a game that is a little bit more challenging than the initial zero to wherever you get to before stuff starts to break.

And we've looked at that over the last six episodes.

So if you haven't gone through those yet, go back, watch those videos, as I outlined the challenges that you may be recognizing.

But what does a business that's designed to work with, with you or without you look like well to meet, it's got to have documentation of how to do things, how to do all the things in your business, how to do the work of the business, how you make sales, how you feel, how you hire, how you do your accounting, all these aspects of the business.

And it's likely that up until this point, either it's been a hodgepodge of, of checklists and processes that don't really get used.

And or people are just operating from what's in their head, what they've been trained to do, unfortunately, that leads to inconsistencies.

And the possibilities that arise when you have the documentation done those suddenly, your work doesn't become about putting out fires, rather, it's working on those systems, improving them, making sure that they're operational, is there any efficiencies that could be done, you're going through and actually going, Okay, well, is there an improvement that can be made a system level to find another two or 3%, which goes straight to your bottom line straight to your profitability.

And so as you get this done, it opens up some cool opportunities.

Number one, you could go on a holiday for weeks, which would be epic, it'd be helpful.

Secondly, you could potentially leave the business and just go, You know what, I'm just going to keep taking the profits.

That's your reward for having done this work.

Another option is to sell you say, you know, what, this is it, this business is in the growth stage that documentations did our financials around on point because you're systematic in the way that you do your accounting.

And you go to a business broker, and boom, you know, they're like, Well, this is worth X, and you take a payout.

And I actually learned another strategy that you might be interested in, that if you want to keep working in your business, then you could do a majority sell where you sell 70% You take a payday now, but you continue to work in that business, and it grows with the buying company.

And you sell a second time at a higher multiple.

So let's say the first time it was five or 6 million, and you get 70% of that, but then you stay on as the 30% equity holder, and then it sells again at 54 million and you get a second payday, which is pretty cool.

So if you're into working on your business and working in your business and remaining part of it, then it allows you to have a payday and then have a second payday, which is pretty sweet.

I was like wow, that's a cool setup.

So that's an option for you.

But if you don't have any of your documentation then not so much.

And look, the, I want you to realize that the first time that you do this will be the hardest.

But once you have this, once you have systems and processes in place, going again, or running multiple businesses suddenly becomes an option for you why? Because you're not doing all the work.

Your systems are your processes are and your people that use those processes and systems are doing the work.

So you are now freed from the constraints of not having enough time, you’ve actually got an opportunity to create a life that is phenomenal, really phenomenal as thinking about the comparison between the capacity to take a business from say, five or $10,000 investment, maybe 20, or 50,000, through to millions of dollars, compared to say flipping houses.

Yes, you might do it.

But at least here in Australia, you're up for a lot of risks, a lot of capital, and potentially maybe a 10% return versus a business, let's say even, let's say make it easy, put 100,000 in and you pulled out a million dollars, which probably pretty conservative, but you're still at a 10x multiplier in somewhere between one to three years.

So the opportunity for you to do this again.

And again.

And guess what next time, you might get a $3 million payout, you might get a $9 million payout because your skill sets as an entrepreneur have risen.

So this is the exciting opportunity that awaits you that really is faster, quicker, better with the instructions.

If your business has the instructions, then boom, you are off to the races.

If you do not, you will cap out at a certain level where it suddenly starts to stagnate.

And you will be the buyout target for someone who knows how to systemize and run businesses without themselves spending all of their time in that business.

Alright, whichever one you're up for, whether you want to go on holidays, whether you just want to maintain the business and keep taking the cash flow, whether you want to just sell out and take the single sell out or you're looking at a majority sellout.

And then taking a second payday, all of these await you when you can get your systems and processes on point.

If that's a conversation that you're interested in having head over to systemio.dev, go and put in your name and email.

Go take the training there.

Thanks so much for tuning in.

I look forward to continuing this conversation we start to break out the benefits of systems and processes.

I hope you'll join me then.

I look forward to seeing you next time.