Latest / Founder Talk with Alex Sheridan / Why Slowing Down Is the Secret to Growth With Brian Smith
Transcript
- 0:00Do you think you can scale or grow to seven figures as a
- 0:03founder without W2 employees? Oh, that's yes.
- 0:07You guys recently made the 2025 Inc 5000 list fastest growing
- 0:12company. What are you guys doing that
- 0:13other companies or founders are not doing that allowed you to
- 0:16make that list? We don't sit back and get
- 0:19comfortable where we're at a. Lot of founders say do never
- 0:21charge by. The they do, and I don't know,
- 0:25I'll tell you, I've built a 30 year consultancy and we charge
- 0:29by the hour. We use all of that data to help
- 0:32build our learning models, our consulting models.
- 0:35We also feed that data into our AI to help our AI learn from
- 0:39what our teams are doing because we record in our time.
- 0:43They do a narrative of what they've done like a doctor does.
- 0:45You don't think companies are going to go?
- 0:47We don't need a consultant, we'll just use AI.
- 0:49Oh yeah, they will. Yeah, yeah, they do it to us
- 0:51now. And how does that work?
- 0:52They come back. Exactly, yes.
- 0:54What would you say to a founder that's maybe 354045 years old
- 0:57sitting across from you and you're able to kind of give them
- 1:00one piece of advice as they move forward, not really knowing
- 1:03anything about them, but you know that they're a founder,
- 1:05they're a business owner and they want to grow their
- 1:07business. Have a great.
- 1:08Life. My answer is always the same.
- 1:10Slow down. Slow down and listen to the
- 1:13environment you're in. When you look back at the last
- 1:1630 years, was it all worth it? Ryan Smith with IA Business
- 1:24Advisors, Correct? That's right.
- 1:27Yeah, I saw you did a post on LinkedIn that caught my
- 1:31attention as I was doing some research on you and it said that
- 1:33you guys recently made the 2025 Inc 5000 list fastest growing
- 1:39companies. That's right.
- 1:40Is that right? Yes.
- 1:41OK. He looked at me like, wait, no,
- 1:43no, that's right. My research was off.
- 1:44No, my first question is just what are you guys doing that
- 1:48other companies or founders are not doing that allowed you to
- 1:51make that list 'cause I in my mind that's pretty impressive.
- 1:54I think the number one thing is, is we don't sit back and get
- 1:59comfortable where we're at, which is very easy to do.
- 2:02When you start a company and get to your first plateau, it gets
- 2:06so comfortable. When you start making, you've,
- 2:08you've come over the top, you've started making money, you found
- 2:12this balance and then you just sit back and you just let it go.
- 2:15And for us, because we work with founders and we think about our
- 2:19influence more intentionally than most people do, we're
- 2:24always looking for ways to improve what we do and increase
- 2:29the number of people that we have influence with.
- 2:31So that includes not only as our clients, but also the people
- 2:34that join us and who we help reach their goals from a career
- 2:38perspective. Right.
- 2:39Was this the first time that you guys made a list?
- 2:40It is nice. Congrats man.
- 2:42That's awesome. That's a really good
- 2:43accomplishment. What what would you say to other
- 2:45founders listening? What are some maybe some
- 2:47tactical things that you guys, if you had to sit down with
- 2:49another founder over coffee and say, hey, if you want to get to
- 2:52the Inc 5000 fastest growing companies, this is some things.
- 2:56These are some things that you might want to do.
- 2:58Yeah. The first thing is, Are you
- 2:59ready? There's so much noise out there
- 3:02today about you got to scale, you got to scale, you got to
- 3:05scale. And I have a lot of appreciation
- 3:08for people who peddle that that mindset.
- 3:11But scaling comes after growth. And people confuse growth and
- 3:17scaling and what they don't and they don't really understand
- 3:20what scaling means except this exponential, you know, hockey
- 3:24stick growth model. But what they really need to
- 3:26understand is get your house in order.
- 3:29You know, first make the determination that you want the
- 3:31responsibility of growth because the responsibility is amazingly
- 3:36rewarding, but it's also such a responsibility.
- 3:41It could be amazingly difficult. Can.
- 3:43You explain the difference between growth and scaling I.
- 3:45Can so when you are growing, you are adding revenue, but you're
- 3:50also adding the resources and the foundation to it, which
- 3:53means you're still spending money as a percentage of that
- 3:57revenue growth. When you're scaling your revenue
- 3:59growth outpaces that increase in expenditures.
- 4:04So for example, if you are selling products and you need
- 4:11five people to sell that product or selling a certain number of
- 4:15products, soon you're going to get to a point where those that
- 4:18foundation, let's say it's 10 people.
- 4:21Let's say the five people, you were selling 100 products.
- 4:25But now with 10 people because of technology, business
- 4:28efficiencies, business processes, you can sell 10,000
- 4:32products. That's when you've hit scaling
- 4:34mode. You stopped adding similar
- 4:38percentage of cost expenses to your growth revenue increases
- 4:42and scaling comes, you know, 2X3X4X.
- 4:46We've heard it 10X, which is ridiculous.
- 4:50It's a great thing to think about and it sounds good as a
- 4:53sound bite. But 10X growth, if you add that
- 4:56to most people's businesses, they'll go bankrupt.
- 4:59They'll go bankrupt emotionally, they'll go bankrupt financially.
- 5:04It is a very tall order for most people to get to.
- 5:09Well, I've never heard anyone breakdown the difference between
- 5:12growing and scaling in a business.
- 5:13I think that was really good. I always thought just like kind
- 5:16of they go hand in hand. It's like you're growing, you're
- 5:17scaling is kind of like synonyms, you know, But they're
- 5:19not. Really.
- 5:20No, not at all. How would you go bankrupt from
- 5:22scaling your business or growing 10X?
- 5:24Oh, that's, you know, that's a great question because we see it
- 5:28unfortunately too much. We actually had a client who
- 5:32leaned into a 10X mindset and went bankrupt.
- 5:37So what happens is they start growing so fast without having
- 5:40their, their business foundation in order that they can't keep up
- 5:45with the cost of, of that growth or actually they can't keep up
- 5:50with the cost of scaling. They didn't understand they had
- 5:52to grow first. So what happens is they run out
- 5:55of money. You know, they get, this was a
- 5:57construction company and they went from 0 to $4 million, which
- 6:03in constructions isn't hard. You can get one project and it
- 6:07could be a $4 million project. This company went from 4 million
- 6:12to 50 million, which is 10X, but they ran out of money funding
- 6:18the projects and they started having to take from future
- 6:22disbursements of projects to fund their what was really
- 6:26growth and pay for the additional people needed to do
- 6:29the $50 million in projects. And they ran out of money and
- 6:32they ended up going out of business.
- 6:34And that happens a lot. You can apply that to a plumber.
- 6:38Let's say you know a plumber wants to grow too fast, so he
- 6:41goes out and he buys 3 trucks and then he has to buy 3 people
- 6:46and he's trying to service his market with these new people.
- 6:50Let's say he loses one. Well, the market demand is still
- 6:53there because he grew into it when he had three trucks.
- 6:56Now he only has two people with three trucks.
- 6:59And now the chinks start to happen because he didn't prepare
- 7:02for that growth first. And there's a point where you
- 7:07get to your break even points, you understand what your cost
- 7:10models are, and then you can manage growth in an amazingly
- 7:13effective way. Do you think that's more you're
- 7:16more susceptible to having these type of issues if you have a
- 7:20business where you have invoices that go out in 3060 ninety net
- 7:2590 things like that because you're getting the business, but
- 7:28you're not getting paid till later.
- 7:29So think about coaching, consulting sometimes in a lot of
- 7:32cases you're getting paid upfront.
- 7:33And that's why at first I was like, how do you go?
- 7:34How do you grow? How do you scale 10X and then go
- 7:36bankrupt because you're getting the money in?
- 7:38Doesn't that money be able to, you know, fund the?
- 7:40Business not always money though, right?
- 7:42Like sometimes it's the people, right?
- 7:44You know, you build up so much business and then you lose one
- 7:47or two people because because your culture is being damaged by
- 7:50the growth. You're that's a great point.
- 7:51And then what happens is, is you degrade your ability to service
- 7:55the market. So you don't go maybe
- 7:57financially bankrupt, but you go service quality bankrupt.
- 8:02You go your ability to react to your clients and provide the
- 8:05service that you've promised. Yeah.
- 8:08And then you start to damage your reputation and you go
- 8:11bankrupt in a different way. Yeah, because then you maybe you
- 8:14stop winning business because your brand takes a dip.
- 8:16And then the people that you had there, now you don't have enough
- 8:19work to fulfill those orders with them.
- 8:21So you got to layoff people and pretty soon you're in a
- 8:23situation where your business is in the trash.
- 8:25Exactly. So it's not always about money
- 8:29per SE. It can be about a lot of
- 8:30different factors and it's why the growth phase is so
- 8:34important. And you for us, our clients, we
- 8:36take them through a growth scaling phases.
- 8:40We call it smart velocity, and it is a way for us to measure
- 8:44through growth into scaling. But you know, all scaling at
- 8:48some point reverts to growth again because you hit these
- 8:51plateaus where you need more foundation to keep stepping up.
- 8:54So we're constantly pivoting between growth and scaling for
- 8:57our clients. OK, so back to the original
- 8:59question, I love that we went down, we're going to go down
- 9:01some rabbit holes and this is good, this is good.
- 9:03This is what the viewers want, by the way, to depth.
- 9:06You said that one of the things I asked was how do you become a
- 9:08a type of company that can become on the inked 5000 fastest
- 9:12growing companies. You said the first thing was
- 9:14make sure you're ready, right. We talked a little bit about
- 9:16that growing versus scaling. What is maybe another thing or
- 9:19two that would get you to that point?
- 9:21Yeah, hire, hire better people around you to do the things that
- 9:26you're not good at. For example, those things that
- 9:30support your foundation, HR, accounting, marketing.
- 9:36We don't have a sales team yet. We grew 228% last year.
- 9:41We've never had a sales team 2. 128% but we as a as a mature
- 9:46business too, it's not like you guys are in year two or three,
- 9:48yeah, like that's. 28 years old when we started that wow growth
- 9:52curve. Something must, something big
- 9:54must have happened. It did.
- 9:56We changed our mindset. Yeah, yeah.
- 9:58We changed our mindset to where we wanted to be.
- 10:00We branded our methodologies, we've always had a methodology,
- 10:05but we never really pushed it as a brand.
- 10:07I know exactly what you mean. Own the drive the own the
- 10:10language. Drive the language.
- 10:11Yes, what they say. Yeah.
- 10:12So we've really leaned into who we are.
- 10:15Some of it is our publishing work.
- 10:18We've written books that have gotten us a lot more exposure,
- 10:21right. I get to speak and get, now I
- 10:24get paid to speak, which adds revenue to that number.
- 10:27It's, it's not a huge part of our business.
- 10:29It's less than 10%, but it does add to our consulting business.
- 10:33Right, 'cause you win clients from the speaking engagement.
- 10:35Exactly. So.
- 10:36And it what it does for us is it lowers our cost of sales because
- 10:41we're getting our our opportunities from not having to
- 10:45pay sales. That's right, yes.
- 10:48So build that. Build that foundation around you
- 10:51as a founder. You can't do it all.
- 10:53Read the E myth. If you could read a book that
- 10:57would help you the most as a founder, read the E myth.
- 11:02It really puts into perspective what you need to prepare
- 11:05yourself from a foundational founder's viewpoint to take you
- 11:11to the next level, even take you to a next level of growth
- 11:15opportunity. You mentioned when I was on your
- 11:17podcast, you mentioned the E myth and how important it was.
- 11:20It's it's a huge part of I, I was fortunate to have a mentor
- 11:27refer it to me and recommend it to me when I was young.
- 11:30And my wife and I read it before I started the company.
- 11:34And we've made it part of the fabric of how we teach as
- 11:38advisors and consultants. Can I go back to the branded
- 11:40part, you said you you had a lot of systems and proprietary type
- 11:44things that you guys did, but it wasn't necessarily branded,
- 11:46correct. How did the branding of those
- 11:48things, which I think is important and we started doing
- 11:50that recently too. How is that shifted into revenue
- 11:54for the business? Well, for one, we license some
- 11:58of our work now. So we have over 200 independent
- 12:03contractors globally that work with us really.
- 12:06And those contractors lean into us for a lot of our policies, a
- 12:11lot of our procedures, a lot of our processes and we're
- 12:15expanding that at a very rapid pace that that's for us.
- 12:19Our scaling plan is using contractors and and using
- 12:23technology to support contractors in business instead
- 12:26of humans. So that's the number one.
- 12:30Contractors instead of humans. Well, no contractors.
- 12:35Instead of W2. Employees instead of W.
- 12:37Two employees. I got you.
- 12:37That's what I thought you. I just wanted to do.
- 12:40You never know what AI now you know it could go a totally
- 12:42different route. Yeah, and and we're not looking
- 12:44for AI to replace humans. Yes.
- 12:46We're you looking to AI to supplement the human process?
- 12:50Right. I think that's kind of the
- 12:51blueprint to grow in the consulting coaching business,
- 12:53isn't it? I think so 10. 99 you know, is
- 12:56that what McKenzie, Do you know anything about them?
- 12:58Is that what they did? Except, like, they're a huge
- 12:59consulting company. Yeah, they're using a lot of
- 13:01contractors, but so is Deloitte. All the big guys are using a lot
- 13:04of contractors now, which benefits us, but we don't play
- 13:08in that market. So we do not compete with them,
- 13:10right. But we do feed off of their
- 13:13culture and their culture is a churn and burn culture for their
- 13:17consultants. And it's because they're so busy
- 13:21and they are powerful and they're actually really good at
- 13:23what they do For us, we get to pick up some of the people who
- 13:28can't keep the pace and our pace is more intentional and a lot
- 13:32slower. And our tools allow for that to
- 13:36happen. And the client size, I mean our,
- 13:38our average client is five employees to 250 employees.
- 13:44You know, and and revenue can swing based on business, but
- 13:47basically a million to, you know, 50 million.
- 13:50So what's the working relationship like between your
- 13:53business and the consultant? So if they're AW2 consultant
- 13:57it's pretty traditional. But with the contractors, yeah,
- 14:02it is very similar to W2, except a lot of them are independent
- 14:07C-Suite consultants, you know, fractional CFO, fractional COO,
- 14:12who have gone out to hang their shingle but found that it's
- 14:15feast or famine. You get a project, the project's
- 14:18over, and what they find themselves chasing is the next
- 14:21long term gig. What we provide for them is an
- 14:25opportunity to have maybe multiple 456 different gigs, and
- 14:33what they get from that is security that if we lose one of
- 14:36those, we'll fill it with another one.
- 14:38And you pay them based on the engagements that they do.
- 14:40We pay them by the hour. Yeah, we pay them by the hour
- 14:44and we pay them a high percentage of what we collect.
- 14:48So we like it that way. We provide two things to them.
- 14:53We provide the foundational support.
- 14:55So if they're on a project and they need to lean into, let's
- 14:58say, an HR problem or an operations problem, if they were
- 15:01ACFO, they know they can pivot back to our team and pull
- 15:04somebody off the bench and help them through that problem.
- 15:07We win by the extra revenue generated.
- 15:10They win because they look like they're operating as a team, not
- 15:14just as sole practitioner. Two, we give them tools that
- 15:18they can use. We give them the tools of our
- 15:20library of 3 to 4000 policy and procedure documents, supporting
- 15:25documents that have been tested over the last 30 years.
- 15:29They also get over line protection like their liability
- 15:34insurance because the contracts are in our name.
- 15:36We carry all of the insurances that they might need and they
- 15:39don't have to go and buy all of that also.
- 15:42And then finally we win because they often times just bring the
- 15:45gig to us. So we'll hold the paper on the
- 15:48gig. It's still their client and
- 15:50they're free to leave. And often times they leave and
- 15:53take the client, but just as often they don't take the client
- 15:58and we replace them with a different contractor or AW2
- 16:01employee. A lot of these these companies
- 16:04mature and they move from having a fractional C-Suite person to a
- 16:08permanent C-Suite person. We often times get to be
- 16:12involved in choosing that permanent 1.
- 16:15So we use partners for that, which means that our
- 16:17relationship with our recruiting partners, our CPA firms, our law
- 16:21firms, all of our partnerships around the world are
- 16:25strengthened every time a fractional contractor joins us
- 16:29and allows us to be part of their delivery.
- 16:32Do you think you can scale or grow to seven figures as a
- 16:35founder without W2 employees? Oh, that's yes, I do.
- 16:40Yeah, I very much so. What makes you say that?
- 16:42Yeah. Well, because there's so many
- 16:46individual people right now that I think of Fiverr and some of
- 16:50the services that are out there to go and get fractional people.
- 16:54And you, if you're, you have a good onboarding process and you
- 16:59give yourself the opportunity to slow down when you bring on new
- 17:02talent contractors to support you.
- 17:05And you actually don't just grab the first person that's there.
- 17:09You can surround yourself with people that are like minded.
- 17:13And by like minded, I mean buy into whatever culture you're
- 17:16trying to build, have similar mission for their success and
- 17:20provide the technical skills needed for you to deliver
- 17:23whatever it is you're doing. And I think we're a perfect
- 17:27example. We have grown in 30 years using
- 17:32contractors. We started with contractors.
- 17:35How many W2 employees do you guys have?
- 17:3748 that's a lot, but we have 200 contractors. 42 W 2 employees
- 17:42yes and if you're not an entrepreneur, you might be like
- 17:44that's not a huge company, but go start your own business and
- 17:47then you realize how much 42 employees W2 are wow that's
- 17:52incredible and then you have how many contractors?
- 17:54Over 200. Over 200.
- 17:56Yeah, that's right. Yeah.
- 17:56Wow, wow. It's a good sized business.
- 17:58What would you say to someone that's like they're doing
- 18:01coaching, consulting work and they're struggling because if
- 18:04they bring someone new on, they don't know what they know,
- 18:07right. And sure, and they you build
- 18:09Sops and processes and systems, but then you're on a call with a
- 18:11client and this contractor now who maybe has some experience in
- 18:14the area, which is why you brought them on, but they're not
- 18:17you. And they can't walk through and
- 18:19solve a problem quite the same way you would.
- 18:21Or maybe the client bought into the program because they thought
- 18:23they were getting you as the coach, as the consultant.
- 18:27That's a really difficult transition point for the
- 18:30founder, first of all, because having trust in new people when
- 18:34you've been the focal point of a relationship is amazingly
- 18:38difficult. And I've learned that lesson
- 18:41over and over and over and over again.
- 18:44And funny enough, I was having this conversation on my way here
- 18:46today with a team member talking about dealing with individual
- 18:51failure. And individual failure is what
- 18:53you're talking about. That contractor coming into an
- 18:55environment and stepping on his toes, saying the wrong thing,
- 19:01giving them the confidence to say, I don't know.
- 19:04Also preparing your client for that type of interaction and
- 19:07saying, look, we're growing. I've added this new person.
- 19:11This new person is on AX whatever time frame you've
- 19:15chosen learning curve, Please be patient with them.
- 19:19Always know that I am behind them supporting them and
- 19:22whatever happens, we will do it the right way.
- 19:27And if they misspeak, please lean into that as part of the
- 19:30learning process. And our clients are partners
- 19:32with us. That's really good.
- 19:33We on board them that way. We we sell our services that
- 19:38way. We aren't just a consultant.
- 19:40We're actually part of their foundation going forward and we
- 19:44have clients who we like to say take us off the shelf and put us
- 19:47back on the shelf all the time. We have clients that disappear
- 19:50for a year and all of a sudden they'll show up one day, pull us
- 19:54off the shelf, use us, and then put us back on the shelf.
- 19:57It's because of that transparency.
- 19:59It's because of that partnership that we have these types of
- 20:01relationships and that's how you build your team around you is be
- 20:05transparent about what you're doing with your clients.
- 20:08That way there's no surprises. That's so good, Brian.
- 20:12I'll be transparent and say right now I have a new person.
- 20:14Well, not new. She's been with us a year and
- 20:16I'm trying to instill my experience and wisdom and
- 20:19knowledge into her. And she's doing a really good
- 20:21job on calls. But there's an experience gap
- 20:23still, right? And we're trying to kind of
- 20:24close as much as we can, be patient with her as she grows.
- 20:28I never once thought to tell the client, hey, lean into this.
- 20:32If she does misspeak or something doesn't go the right
- 20:34way in a meeting, I want you to lean in.
- 20:36I want you to ask questions. I'm going to be involved in
- 20:38everything. I'm backing her 100%.
- 20:40I'm there for most of the calls, to be honest, there for the
- 20:43strategy for what we do with them.
- 20:45But but making sure that you tell the client that and have
- 20:48them say, OK, cool. Well, she says something kind of
- 20:50weird or it takes it down a direction that we didn't want to
- 20:53go. I'm going to call it out and
- 20:55just say it so she can grow. And then we can also get the
- 20:57best service possible too. Yeah.
- 20:59Wow, that's really good. So with all these W2 employees
- 21:02and you've got you know, 200 plus contractors, it seems to me
- 21:05like you would have to have some type of client acquisition
- 21:09machine for the business. What is the client acquisition
- 21:12machine for you guys? Yeah.
- 21:14So it's, it's a multi point client acquisition machine.
- 21:17One of the things that we require and have through every
- 21:22firm that we've ever owned or been involved in is that we have
- 21:26community involvement. So what that means is is that
- 21:29our practice leads or myself join Chambers of Commerce, you
- 21:34know, BN is, you know, different community organizations, you
- 21:39know, Rotary, it doesn't matter. You can choose one to many
- 21:42depending on what your area of influence is in our
- 21:44organization. And we use those engagements as
- 21:50client generators. It doesn't always happen
- 21:53overnight. And if you're going to join, you
- 21:56have to be involved. You can't just join and then
- 21:58hopefully it'll just be something so many business
- 22:01owners join. These community based business
- 22:04organizations, lead organization, but they don't
- 22:06engage. You know, they show up
- 22:08sometimes, but they sit there. Just wanting business, right?
- 22:11Come to me, baby, come to me. Yeah, like they're a magnet.
- 22:14The other one is, is so we look for you know what B and I calls
- 22:19power partners. We look for partners who will
- 22:23give synergistic relationships that have parity.
- 22:27And what I mean by parity is there is as much give as there
- 22:30is take. And we as we just talked about
- 22:34earlier, we make that very transparent.
- 22:37If we're going to have a partnership, it's going to have
- 22:39to be a two way St. And if at any point it ever
- 22:42stops being a two way, two way St. if we take advantage of you,
- 22:47not intentionally, but it just happens sometimes or vice versa,
- 22:51that partnership could be at risk.
- 22:53And thankfully we lose very few of our of our partners.
- 23:01Our basket of partnerships has grown fairly steadily for almost
- 23:0730 years. Wow, this is an episode I'm
- 23:10going to go back and listen to again after this because I feel
- 23:13like you're just dropping so much knowledge and wisdom from
- 23:16being a business for 30 years and growing your company to what
- 23:18it is today. There's only so much you can
- 23:21absorb when you're the host trying to ask questions and keep
- 23:23it going. You know, I want to go back and
- 23:25I encourage you guys to go back and listen to these episodes,
- 23:27take notes if you're if you're listening right now.
- 23:29So you've been in business for 30 years or almost 30 years at
- 23:33least, right? You mentioned in a LinkedIn post
- 23:36that you were visiting a client, I think it was in New York, that
- 23:39had been with you guys for 10 years.
- 23:41That's right. What is the key to client
- 23:42retention? Well, the first is transparency.
- 23:46Always about everything that has to do with that client.
- 23:49It doesn't matter what it is. I can tell you guys live that
- 23:52that's like a core value for your company if I had to guess.
- 23:54It is, yeah. You can get in so much trouble
- 23:58if you try to fix problems, you know, under the sheets, under
- 24:03the rug, and it doesn't quite work out.
- 24:06And then you have to go and tell them later what you were doing.
- 24:11What I have always found is that clients are more upset that you
- 24:15tried to fix it without their knowledge than had you just told
- 24:18them what the problem was originally and that you were
- 24:20going to fix it. So it's like that, I think, in
- 24:24life as humans. But it's a great business
- 24:26lesson. But the other one is, is we
- 24:28listen to our clients. We never sell them anything.
- 24:32We actually listen to what their goals are.
- 24:34We listen to what their objectives are.
- 24:37We lean into that. That particular client started
- 24:40as a succession client, which means the father was
- 24:44transitioning ownership to the son.
- 24:47We got that done. We had a competitor at the time
- 24:51they were an EOS company. So they they subscribe to EOS,
- 24:55which is a great business operating tool.
- 25:02I feel like our operating tools are better actually.
- 25:05They don't replace EOS, they just fill in the gaps.
- 25:09So we did the transition the, the son hated EOS.
- 25:12He just didn't like it because he doesn't like structure.
- 25:15As soon as we got the transition done, he fired us.
- 25:18So this was in 2018 when he fired us.
- 25:21We had laid out what the the six month to 60 month trajectory was
- 25:28going to look like for him. And we thought this will never
- 25:30happen when he fired us because he was very erratic and it
- 25:35wasn't erratic because he's an erratic person.
- 25:37He just had a lot of goals and he's just one of those people
- 25:40who was like a bull in a China shop.
- 25:43Well, he was successful, but he was successful in a way that it
- 25:47became just more erratic. And a year later he called me
- 25:51and said I need you to come back.
- 25:53And he does not prescribe to all of the organization that we
- 25:56would like our clients to to follow, but he does what works
- 26:03holistically and organically for his organization.
- 26:07And they are a perfect example of when you lean into what the
- 26:09client wants and what the client's talents are and what
- 26:12the client's capabilities are and you allow them to mold what
- 26:18you're bringing them into their area of influence that they'll
- 26:21succeed. And when they feel that trust,
- 26:23they just keep you around. And so they bring us off the
- 26:26shelf about every three months on high level issues.
- 26:31And then we manage their marketing relationship with one
- 26:35of our marketing partners every day.
- 26:37So we're involved with them all the time.
- 26:41And yeah, that's a fairly typical succession client for
- 26:47us, yeah. What's the typical engagement
- 26:49just if you were to start with the client today, is it 12
- 26:52months, six months? 24 mile foot is a typical
- 26:54engagement. I mean for us it's almost
- 26:58perpetual, OK, most of our charge monthly.
- 27:01Retainer. We don't.
- 27:02We always charge by the hour, which I have debates with my
- 27:06peers. A lot of people, a lot of
- 27:07founders say, do never charge by the.
- 27:09Hour they do and I don't know, I'll tell you I've built a 30
- 27:14year consultancy and we charge by the hour.
- 27:17Now we do have flat rate things. For example, our biz vision
- 27:20process is a flat rate, OK. But everything that happens
- 27:24after the biz vision process is by the hour.
- 27:27Now that doesn't mean that we don't give budget dollars as we
- 27:31do. We're very transparent.
- 27:33We call them not greater than contracts.
- 27:35Every piece of work we do comes with a not greater than clause.
- 27:39So for example, you call them retainers, we call them not
- 27:42greater than clauses. If we do monthly accounting for
- 27:46a company, we'll say we will do all of your fractional C-Suite
- 27:51and your monthly bookkeeping for a fee, not to exceed 8000 a
- 27:55month. Got it.
- 27:56OK. Or not to exceed 3000 a month.
- 27:59Isn't that a lot of hours to track?
- 28:00Sure it is, but the amount of information we get about
- 28:04ourselves from our time tracking tools is more valuable than the
- 28:09effort to put into it. I know as a founder and as
- 28:14somebody who's seen our organization grow from, you
- 28:17know, hundreds of hours of week of consulting to thousands of
- 28:21hours a week of consulting, there was no way as a founder I
- 28:24could keep track of that and it would drive a lot of people
- 28:27insane. We have time tracking tools
- 28:29where I get summaries from my team about what our teams are
- 28:33doing, how efficient they are, what our utilization numbers
- 28:36are, how much clients are spending, how much it takes to
- 28:39solve problems, how much it takes each person to solve
- 28:42different problems. So for example, we might have a
- 28:45seasoned person who tackles, let's say, a bank wreck for a
- 28:49client and it takes them an hour.
- 28:51A new person might take two hours.
- 28:53Well, how do you factor the learning curve into your fee
- 28:56structure to get them from 2:00 to 1:00?
- 28:58Because there is a learning curve that gets them the
- 29:01experience they need and face the challenges that come from
- 29:05that. We use all of that data to help
- 29:08build our learning models, our consulting models.
- 29:11We also feed that data into our AI to help our AI learn from
- 29:15what our teams are doing. Because we're record in our
- 29:18time. They do a narrative of what
- 29:20they've done like a doctor does. When you go to a doctor, he's
- 29:24he's transcribing what he's doing for you.
- 29:26We do the same thing and we upload that into our AI models.
- 29:30What do you say to the business owner or founder that says
- 29:35retainers? Monthly retainers are the way to
- 29:36go? Charging by the hour is
- 29:38ridiculous. That's for them so.
- 29:41That's an argument to be made for the monthly retainers.
- 29:43Sure what? Do you think's wrong with that
- 29:44model? I mean, obviously you mentioned
- 29:46the tracking and things like. That I think that's the, I think
- 29:48that's, I think they're missing the data that's really important
- 29:52to understanding what your people are doing and how your
- 29:55people are impacting and influencing themselves and the
- 29:58client. And I think not having that data
- 30:01long term is a detriment to your future.
- 30:06Now I don't know what that means because each business is
- 30:10different. Will they overcome that?
- 30:12Sure. Will they be profitable still?
- 30:14Sure. We have lots of partners and
- 30:17lots of clients in professional services who flat fee they're
- 30:22amazingly successful. But the founders can't tell me
- 30:26what their teams do and they can't tell me the disparity in
- 30:29learning or the disparity in in increase in onboarding different
- 30:35types of clients or engagements. They they can barely tell me
- 30:39what their utilization numbers are.
- 30:41And that's an interesting perspective.
- 30:43If I was sitting here with the Brian of 30 years ago, just
- 30:47starting the business, new to entrepreneurship, what would
- 30:50that Brian look like? Yeah, So unfortunately, I wasn't
- 30:53new to entrepreneurship, which actually was a detriment because
- 30:57getting too much knowledge, and I'm under the table doing quotes
- 31:02because the knowledge you get isn't always the right
- 31:05knowledge. When you're younger, your
- 31:07perceptions are different, your arrogance is different, your ego
- 31:11is different. And so the difference is, is
- 31:14that I've learned that ego's important when you understand it
- 31:20and you can appreciate what it's there for, but it doesn't guide
- 31:24you and drive you. It supports you and gives you
- 31:28the confidence that you need to get through difficult
- 31:30situations. Explain that a little bit more.
- 31:33Well, ego is solely human, you know.
- 31:36There's no other mammal on earth that has an ego.
- 31:39And it can be dangerous. When we think we're too good, we
- 31:44don't listen as much. We go faster, we don't, We're
- 31:48less intentional, and we are also less intentional for others
- 31:52and more intentional for self, which is very dangerous,
- 31:55especially in the consulting world, but in any world it's
- 31:59dangerous. So those got in the way early
- 32:03on. I write about this in our first
- 32:05book about my journey from being this immature, experienced but
- 32:12very immature business person to this learning curve I had to go
- 32:17through as a human and as a professional.
- 32:20That really started in the mid 90s when I started the company
- 32:25and has never stopped now. But I really realized it the
- 32:30latter part of the 90s, early part of the 2000's.
- 32:35The other thing is, is going fast isn't good.
- 32:40You know, you don't need to go fast to be efficient.
- 32:44You don't need to go fast to be successful.
- 32:46You need to be intentional. And if intentional means you're
- 32:49ultra slow, there's a reason for it.
- 32:51Let yourself learn at a pace that supports less mistakes.
- 32:58Now, that doesn't mean you're going to make, I didn't say
- 33:00mistake, no mistakes, but less mistakes so that when you make
- 33:03those mistakes, you can actually look at them more intentionally
- 33:06instead of justifying them, ignoring them because they they
- 33:12stop becoming mistakes when you do them over and over again.
- 33:15And they just turn into stupidity, quite frankly.
- 33:17Yeah, making the same mistake over and over.
- 33:19Again. And you do insanity and when
- 33:21you. But you do that, yeah, When you
- 33:23go too fast, yes. And you smooth them over and you
- 33:26justify them. Yeah.
- 33:27And you get lost in the justification.
- 33:29What drives justification, I believe, is your ego.
- 33:33Yeah, that's so true. 2004 was a crossroads year for you.
- 33:37What happened? It was huge.
- 33:39So I was travelling a lot. So IA while consulting, I'm
- 33:43sorry, doing consulting yes and I had taken on a Denver is our
- 33:49base or was our base, I should say.
- 33:51And I don't know why this is the case, but we always seem to add
- 33:56clients outside of where we're at.
- 33:59It it a lot easier if they're just locally.
- 34:01You know, it would be easier and you know, historically it's been
- 34:05even today it's this way. We had twice as three times as
- 34:08many clients out of Illinois than we do here.
- 34:10And our and our biggest team is here.
- 34:13However, I was travelling a lot. I had three children at the
- 34:18time. My youngest was 4.
- 34:21And, you know, my son, who is my youngest was asking, you know,
- 34:29the carpet cleaner literally to play with him because his dad
- 34:33wasn't around. And my wife told me that story.
- 34:37And it, you know, it really hit me why it didn't hit me with my
- 34:43daughters. I don't know.
- 34:44My daughters would say, you know, maybe well, you know,
- 34:47Henry's your son, so he's more important.
- 34:48But that wasn't it. I think it was the accumulation
- 34:51of so much travel and so much disconnection.
- 34:55On top of that. We were in ego phase.
- 34:57We had built this big home on a golf course.
- 34:59We had the cars we were leaning into.
- 35:02We were making a lot of money and we were spending it like we
- 35:05were making a lot of money. And the pressure was phenomenal
- 35:10to bring that money in for our organization.
- 35:13Anyhow, we had an opportunity to disconnect, if you will, from
- 35:20that pace, not disconnect from the company, but from the pace
- 35:24and we moved our family to Oregon.
- 35:28And it is my first lesson in intentionality and really being
- 35:32intentional about certain things, one family and to our
- 35:36company. Where was our company going to
- 35:38go when I took myself out of our headquarters, moved my family to
- 35:42Oregon, but left the entire organization back in Denver?
- 35:46Did you feel like you had to move to get away from it?
- 35:48I did, I, I not to get away from it, I had to move to get
- 35:52intentional with my family and I took on a long term contract
- 35:56that I knew was going to take up 70% of my time with a client
- 36:01that we had a family client that owned.
- 36:04It's a billion dollar family who owned hundreds of companies and
- 36:09they owned these companies in Southern Oregon and they made us
- 36:13an offer we couldn't refuse, which included a guaranteed 3
- 36:15year contract in equity. So we moved to Southern Oregon.
- 36:21I moved offices literally into the second floor of a bowling
- 36:25alley and started running IA remotely from there.
- 36:32And you know what we like to say is the rest is history because
- 36:37that was the pivot point not only for us as a family, but
- 36:40also for IA. It's when IA actually got it's
- 36:43it's traction. Interesting.
- 36:45Yeah, when you actually more more intentional about the time
- 36:49you spent with your family, yes, you got the business grew even
- 36:53more. Yeah, I got out of people's way.
- 36:54So at the time we owned also an MSP and.
- 37:00Managed service provider for those that don't, yeah.
- 37:03And I sold that company to our employees and I just walked away
- 37:06from it. I just, they took 15 years to
- 37:09pay us, but I just walked away. I had nothing to do with it,
- 37:13which that company had been in our family really since 92.
- 37:19So for me to walk away from that was a big deal.
- 37:23But I just turned it off completely.
- 37:25I turned it over to people who had been with us since the early
- 37:2890s and they bought it from us and they ran it and they made it
- 37:32amazingly successful. And I leaned into our
- 37:35consulting. I leaned into our investment in
- 37:39Southern Oregon, but I also also leaned into what we were doing
- 37:42externally with our teams and really started to focus on
- 37:45developing our tool set, our our biz vision process, how we were
- 37:51going to approach clients. And I got very intentional about
- 37:55who we were as a consulting organization.
- 37:58And when I did that, I started to shed feeling like I had to be
- 38:02involved in everything. And I started becoming, I still
- 38:06did tactical work because I enjoy it, but I was also able to
- 38:09slow down and let it grow at its own pace.
- 38:12And it took four years of that before we had a good foundation.
- 38:17And how did the relationship with your kids and life change
- 38:20from all this? Yeah, it was amazing.
- 38:22I mean, I saw them every day instead of, you know, every two
- 38:28weeks. Is that hard at first though
- 38:30making the adjustment? It was, yeah.
- 38:32And I still had to travel. I still, we joke, Renee and I,
- 38:39I've been with my wife now 35 years, and we joke that we've
- 38:43been together 35 years because I travel so much.
- 38:46And, you know, that's funny, but it's somewhat true.
- 38:51Our relationship is renewed every time I travel and she
- 38:54travels with me now because we're empty nesters.
- 38:57But it really, it really did change the way that we thought
- 39:03about our time together. There was resentment on both
- 39:07sides, I think when I traveled all the time when we lived in
- 39:10Colorado, you know, But it became our life became more
- 39:16intentional, not just our personal life, but our business
- 39:18life. She got involved in our business
- 39:21more. The kids got involved in our
- 39:24business more. We tried to spend where we lived
- 39:27in Southern Oregon. You had to drive everywhere,
- 39:30hundreds of miles. So I bought a Suburban and we
- 39:32spent a lot of time in the car together, you know, things like
- 39:35that. And we were forced to be this
- 39:39family in the time that we were together.
- 39:42And it's paid dividends. I mean, my kids were just here
- 39:47over the weekend because they went to a festival together and
- 39:49they're all grown adults and live all over the country.
- 39:52But they came here first, came together and then went.
- 39:55So we are we are more of a family than we ever would have
- 39:59been had we just stayed on the trajectory we were post or pre
- 40:05move to Oregon. It's such an important story
- 40:08because I think a lot of founders, all of us at some
- 40:11point in time, especially like maybe early on, but I know some
- 40:14people in their 50s, sixties that are still that way where
- 40:16it's just grow the business, grow the business, grow the
- 40:18business. And we we sort of lose sight of
- 40:21what are we even doing it for? Why, you know, is it to support
- 40:24a lifestyle and is it to support our family and the things that
- 40:27we want to do in our life? Or is it just growing to to get
- 40:30to the next milestone? Because those the next milestone
- 40:33just gets pushed out to the next one and the next one and the
- 40:36next one. And then pretty soon you look
- 40:37back and you go, damn, I missed out on this and this and the
- 40:39kids and the one right. I mean, it's just a kind of a,
- 40:44it's an easy trap to fall into, I feel like.
- 40:46It is. Especially when you're very
- 40:49motivated and you're driven, you're an entrepreneur type that
- 40:51you know, you're just go. Yeah.
- 40:53I think being transparent about that is what's most important, I
- 40:56think. What happens is your family
- 40:59starts to think that the business is more important
- 41:03because they don't understand what drives that entrepreneur.
- 41:06They're not transparent with the family about what actually makes
- 41:10them happy as an individual. And each of us is different.
- 41:13And I think the more you can share with those that are close
- 41:17to you about what drives you, there might have to be
- 41:20sacrifices, there might not. You might find out they have the
- 41:23same drive and they just want to be more involved.
- 41:25I know families who we've supported through succession,
- 41:29who you know, the wife and the kids are just as driven about
- 41:33the business as the entrepreneurs.
- 41:35And they find once they they open that transparency and have
- 41:40that clarity with each other, they start moving forward again.
- 41:44But what they find was they were battling each other and they
- 41:47didn't even realize they were battling over the same
- 41:50objectives. So transparency solves a lot of
- 41:53things that bring so much clarity.
- 41:56And you can apply that anywhere. So it's not that it's bad to
- 41:59have these tendencies and, and these urges and, and these
- 42:03goals. What's bad is, is when you don't
- 42:05really define it clearly in your area of influence, whatever that
- 42:09is, that includes your wife, your kids, even your teams.
- 42:13If your teams don't know where you're going, everything you do
- 42:17is chaos, and that's dangerous. Yeah.
- 42:21You mentioned 2008 being a tough time in the business and then
- 42:24COVID. Which one was tougher and what
- 42:27was the lowest point in the business and how did you get out
- 42:29of it? Wow.
- 42:32So I think the lowest part of our business wasn't really 2000
- 42:37and 2008 was tough. 2008 was tough for a different reason.
- 42:42We actually took a huge hit in utilization in 2008 when the
- 42:47when the economic crash happened and we had to find a way to
- 42:50bring utilization numbers up. What do you mean by that?
- 42:52So as I talked about, we have a lot of contractors.
- 42:57So for us, utilization for 70%, utilization for a consultant is
- 43:04an important number at 70%, we are running, you know, 5 by 5.
- 43:09I mean we are just clicking and 70% is 70% of full time.
- 43:15So if you can think of a person who works 1000 hours, if we can
- 43:19get 700 hours billable out of them, then we're doing really
- 43:23good. Well, those numbers dip below 50
- 43:27because as the financial impact of the 2008 crashes hit small
- 43:31business, they immediately started to retract their spend.
- 43:36They were transitioning a lot of what they needed done to
- 43:41themselves because we have a small business base.
- 43:44I mean, we don't have layers and layers in the companies that we
- 43:48advise. So we had to come up with a way
- 43:50to increase utilization and do it in a way that touched all of
- 43:55our consultants. So we addressed that, but it was
- 44:00a learning curve for us. We had some big losses and I had
- 44:07to also deal with what that was doing to our local business.
- 44:10We had just built a hotel in Southern Oregon.
- 44:13Worst time to buy a hotel or build a hotel?
- 44:16We build it from scratch. Oh my goodness.
- 44:18We had an entertainment center that we had equity in, which is
- 44:21bowling and and arcades and you know, people didn't have
- 44:25discretionary in terms of spend. So that just kind of layered it
- 44:28for us. Now, in those moments, what's
- 44:32your mindset? Are you doubting things?
- 44:34Are you that you know kind of going back to the foundation or
- 44:37you just saying I've been here before done this will weather it
- 44:41or fine. Yes.
- 44:42So I don't really doubt much. Was that the case early on or is
- 44:48that something you learned? No, that's something I learned,
- 44:50yeah. And, and going through the
- 44:51experiences, you kind of, you know, you have the scars.
- 44:54Yes, every failure to me now isn't really.
- 44:58I don't really like that word. You know, every issue that we
- 45:02face is just a learning opportunity.
- 45:04Yeah, that's right. And I actually counsel A-Team
- 45:06member at least once a week, sometimes multiple times,
- 45:10multiple team members when they beat themselves up over this.
- 45:14Don't doubt yourself. Learn, learn from whatever it is
- 45:17that's that's initiating the doubt and use that as a way to
- 45:21to improve. Period.
- 45:22We don't like the word change. We, we replace that with
- 45:26improve. If, if you're changing to
- 45:28change, you're doing it the wrong way.
- 45:29If you're, if you're changing to improve, you're on the right
- 45:32mindset. So for me, it was I was fearful
- 45:40for what was going to happen to the people that I was
- 45:43responsible for, which not only included our IA team, but also
- 45:48included in this small community where we lived, the 80 people
- 45:53that worked for us between a hotel and an entertainment
- 45:56center. And then roughly 100 to 120
- 46:02contractors and employees at IA and watching them suffer because
- 46:07we couldn't keep the pace. Our clients just didn't have the
- 46:10work for us. And coming up with solutions was
- 46:13very stressful. But we were always, at this
- 46:17point, we were very transparent with everybody about what we
- 46:22were going to be doing. Everybody always knew the hotel.
- 46:25I don't care if you are one of the room cleaners in our hotel,
- 46:30if you were the snack bar worker at the entertainment center or
- 46:35if you were a consultant, you knew what we were doing to
- 46:38overcome the challenges we had from a business perspective.
- 46:42And we were shoulder to shoulder with you.
- 46:44For example, I plowed. I bought a plow and put it on
- 46:48the front of our vehicle that we picked up people from the
- 46:53airport for our hotel. And we saved, you know, $2000 a
- 46:57month plowing our three acres of parking lot at our entertainment
- 47:01center, our hotel, by putting a plow on the front of our pickup
- 47:05truck. And I did it, you know, and
- 47:08that's. Where you have to push the ego
- 47:10aside your point earlier and be humble and say this is what's
- 47:12required to get us out of this. Yes, you know, I worked behind
- 47:16the bar on Tuesday nights to save a shift and give people
- 47:20some time off, and it was the slowest night, so I wasn't
- 47:23taking a lot away from our team and their ability to collect
- 47:27tips and build those tip relationships you need in those
- 47:30environments. So it was little things like
- 47:32that that add up and Renee and I stopped taking that.
- 47:38I would be paid the same hourly rate.
- 47:42So everybody in our company is paid hourly.
- 47:44It's a very unique model that we have.
- 47:48I determined that I would be paid the same rate as the lowest
- 47:50paid employee in the company during that time.
- 47:54So the lowest paid person at an entertainment center is about,
- 47:57you know, $0.10 over minimum wage.
- 48:00That's what I got paid. And I, I kept it that way
- 48:03actually up until about two years ago when we brought on our
- 48:08first partner. But I've always had that mindset
- 48:12that compensation for me as a business owner comes in profit,
- 48:18not in a salary. That's right when you look back.
- 48:22At the last 30 years, was it all worth it?
- 48:25Yes, I wouldn't. Change anything.
- 48:28If I changed, you know, I did this Ted talk and I talked about
- 48:33the the butterfly effect. If I changed anything in the
- 48:37past, everything we might not even be sitting here.
- 48:41Probably wouldn't be. Yeah, so.
- 48:44I look. If I look back at the past, it's
- 48:46for one reason. Can I, can I learn something
- 48:49from it? Or can I look at it and think,
- 48:53wow, that was just amazing. Those are both positive
- 48:56statements. Even the negatives.
- 48:59If I look at something that was negative in my past, I'm not
- 49:01looking at it to beat myself up. I'm looking at it and either I
- 49:04overcame it, which is a positive, or is there anything
- 49:08else I can learn from that experience?
- 49:09Today, it's the only two two. Reasons why I look.
- 49:14At past negative issues, AI is like the big talking.
- 49:18Point right now, obviously. Everyone's talking about it,
- 49:20it's got all the hype and the buzz.
- 49:22How do you think AI impacts service based businesses like
- 49:25consulting firms and coaching companies over the next five
- 49:29years? Well, I think it will.
- 49:32Influence a lot of us in a bad way I think a lot of people are
- 49:36leaning into it to do their jobs and I think that's dangerous Me
- 49:39too the reason is a crutch in a lot of ways where it's like I.
- 49:43Just see people going right to AI the first thing without
- 49:45thinking, without putting their insights.
- 49:48And I think it's it's not a good crutch if you're using it that
- 49:50way. And I think it takes away from
- 49:51your own intellectual thought process, your creativity.
- 49:55But certainly it could be used as an assistant, as a creative
- 49:57assistant is what I like to say. Yes, yeah.
- 50:00And and we would agree, 100. Percent.
- 50:02In fact, we have policies on AI usage in our organization that
- 50:09tie directly to what you just said.
- 50:11You cannot use it to do your work.
- 50:14You can use it to review your work.
- 50:17You can use it to edit your English, but you can't use it to
- 50:22answer the question. Interesting.
- 50:24I love that so and. In our work, that's really.
- 50:27Important for one is that if you allow AI to.
- 50:32Answer a client. 'S problem and AI answers it
- 50:35wrong we've now inherited A liability from something that we
- 50:38have very little control over so we posed it that way to our team
- 50:43first and like you know do you want to be the person who tells
- 50:47your client that you didn't do the work AI did the work and
- 50:50you're sorry it's wrong do you actually want to have that
- 50:54because. I'm not having that.
- 50:55Conversation. I don't.
- 50:56I don't. That's a tough conversation,
- 50:58honestly, and I don't. Have those conversations for.
- 51:01Our team, if our team makes a mistake, it's our team's
- 51:04responsibility to be accountable to the client.
- 51:07That's right, period. And that's how we teach
- 51:09accountability also because it you're going to make mistakes,
- 51:13so you might as well learn how to do it early.
- 51:16So on the good side is it is a great tool for checking
- 51:25yourself, your English, you know, adding context or asking
- 51:31if you have enough context or don't have enough context.
- 51:36Are there any differing opinions that you can do research on?
- 51:39Provide me the research and the reference material that goes
- 51:42with the research. One of the things I think people
- 51:45don't do is they trust AI, whereas if you ask AI, it'll
- 51:49actually give you the data that it used to give you an answer,
- 51:53and you can actually look at that yourself.
- 51:55And I think humans get lazy with AI, totally.
- 51:59And I think that's the biggest danger.
- 52:01I agree we'll get intellectually lazy.
- 52:03We take the path of least resistance in those.
- 52:05Cases and AI gives us that path and it's an easy out and
- 52:08sometimes we don't want the path.
- 52:10We want the path that is the best path for us to take to get
- 52:12to where we want to go. Often times that's a little bit
- 52:15more of a challenging path, right.
- 52:17So you don't think AI is going to, you don't think companies
- 52:20are going to go? We don't need a consultant,
- 52:21we'll just use AI. Yeah, they will.
- 52:23Yeah, yeah, they do it to us now.
- 52:25And how does that work? They come back exactly?
- 52:27Yes, and it will happen. Change in five to. 10 years when
- 52:30it's a. Lot better.
- 52:32I think it's going to change contextually.
- 52:35What I mean by this is, is I think what we will see is a lot
- 52:38of initial AI responses. So here's my problem.
- 52:42Let's say I have, I have a turnover problem at, at my
- 52:47office. And the turnover problem is
- 52:51probably something to do with the lack of understanding of
- 52:54what the position is. So people come into the
- 52:56organization, they either don't understand the position they
- 52:59were hired for or they didn't understand the culture they were
- 53:02being hired into. So AI will tell them that, you
- 53:05know, hey, you have, you know, you have a communication
- 53:08problem. You're not setting your, your,
- 53:10your candidates up for success. AI can't be the human that
- 53:16teaches the, that does the onboarding of a human and
- 53:19transitions them from a new person in an organization to an
- 53:23integrated person in an organization.
- 53:26So what's going to happen is, is people will start to self
- 53:29identify some of the issues they're having through AI, but
- 53:33AI will not be able to do the work that's needed to fix the
- 53:39issue because these are plumbing companies and construction
- 53:42companies and and they're small, OK, most businesses are small to
- 53:48do that work, to develop a position guide, to teach it to
- 53:53onboard it to, to do everything that's involved in that requires
- 53:57a human and it requires a human that isn't in construction.
- 54:00Well, they're in the construction business.
- 54:02And every time that they try to stop doing construction to do
- 54:06onboarding or accounting or anything else, they're taking
- 54:08away from their core value. So what's going to happen is, is
- 54:11you have people that lean into AI for problem identification.
- 54:18But I believe that consultants will then transition more into
- 54:22actually the the task based on, you know, remediation work that
- 54:29needs to be done. And we'll be supported by that
- 54:31also. Yeah, yeah.
- 54:34Last question for you. What?
- 54:35Would you say to a founder that's.
- 54:36Maybe 354045 years old sitting across from you and you're able
- 54:40to kind of give them one piece of advice as they move forward,
- 54:43not really knowing anything about them, but you know that
- 54:45they're a founder, they're a business owner, and they want to
- 54:48grow their business, have a great life.
- 54:49Yeah, that's a great question. And my answer is always.
- 54:52The same Slow down. Slow down and listen to the
- 54:56environment you're in and make sure that you understand what
- 55:01you're doing, why you're doing it, who you're doing it for, and
- 55:05you understand the people who are supporting you.
- 55:07But you have to slow down and listen.
- 55:09And if you do that, the issues will.
- 55:14Come to the top faster. The solutions to those issues
- 55:17will also come to the top faster, and you will also
- 55:22respect the people that are around you more because you're
- 55:25starting to listen to them. And not everything they say has
- 55:29the value you need. But everything they say is still
- 55:32important because it pertains to somebody in your area of
- 55:35influence. So if they're wrong, you have an
- 55:37opportunity to help them be better.
- 55:40If they're right, you have an opportunity to improve yourself.
- 55:43Either way, you're going to improve your overall area of
- 55:47influence in your environment. Like the more I learn about
- 55:50business. The more I realize I don't.
- 55:52Know about business, you know, it's like one of those things
- 55:55where the more you learn about it, the more you realize you
- 55:57don't know. But man, this has been a great
- 55:59conversation. Brian, I really appreciate you
- 56:01doing this. I this is going to be this is
- 56:04one of the top episodes for me. I'm going to go back and listen
- 56:06to this again. Thank you.
- 56:07I really appreciate everything that you shared a lot of wisdom.
- 56:09Appreciate that. Thank you.
- 56:10Where can. People find you, connect with
- 56:12you. Learn more about what.
- 56:12You guys do? Yeah.
- 56:13So our website is. IA Business advisors.com so you
- 56:19can go there, learn all about who we are, where we've come
- 56:22from our our team. Also the I am team series, which
- 56:27is a website that's all about our culture and behavioral
- 56:32development work that we do within organizations and
- 56:34individually for through leaders.
- 56:36And then I'm on LinkedIn. Yeah, so connect with me on
- 56:40LinkedIn. We share a lot.
- 56:43Everything we talked about today we share through our social.
- 56:47So I almost forgot rapid. We'll do this rapid.
- 56:50Fire, since we don't have a lot of time, I got 3 questions from
- 56:53the Founder Talk Club, which is our community around the podcast
- 56:56where people can ask questions for upcoming guests.
- 56:58So we'll kind of rapid fire these as much as we can.
- 57:00The first one is what's the biggest mindset shift small
- 57:02business owners need to make in order to go from survival mode
- 57:05to scaling mode? Yeah, well, you know to.
- 57:08Risk of being a broken record. Slow down and listen to your
- 57:11market and understand where you're at and get yourself
- 57:15through growth to scaling. Love it.
- 57:17What advice? I feel like we did answer some
- 57:19of these. In the show.
- 57:20So what advice do you have for founders who feel stuck between
- 57:22wanting to grow their business and also being burnt out?
- 57:25That's a great 1 so. Understand why you're burnt out.
- 57:29So which takes the slow down moment?
- 57:32Can you improve that objectively?
- 57:35It's a deep thought process and if you can't start looking at
- 57:39succession. The last one was are there?
- 57:42Risk of scaling your business too fast?
- 57:44But we covered that and absolutely there are.
- 57:46Yes, my takeaways were slow down, listen, be intentional and
- 57:53be transparent with your team, with your clients, with your
- 57:55family. So, Brian, thank you again for
- 57:57being on the Founder Talk podcast.
- 57:59And maybe at some point we could do around too.
- 58:01Yeah. Thank you, Al, Appreciate you.
- 58:02Yeah, thank you. Oh.
- 58:04Man, that was what do you think, man?
- 58:05That was fun. God, that was.
- 58:10I love doing podcast. Alex, you're really.
- 58:12Good in this setting too cuz seeing you from a.
- 58:14Host is one thing, but from a guest it's a totally different
- 58:17cuz now you really get to open up and we get to hear from you
- 58:20versus when you're a host it's more about the guest, right?
- 58:23Wow, yeah, I really enjoy. Turn these off real.
- 58:26Quick.