E295 - You don’t need to be an accountant to understand the numbers of your business, choose to work smart | with Cesar Hasselman
Episode 295 •
23rd December 2022 • The One Big Tip Podcast with Jeff Mendelson • Everyone has that One Big Tip!
Cesar Hasselman is the Founder and CEO of AMH Consulting. He specializes in helping clients enjoy their greatest success. Cesar has provided support, financial mentoring, and business planning to impact small businesses, his experience and expertise lie in identifying opportunities where they might seem impossible and delivering creative solutions and results across numerous industries. Cesar’s passion is helping entrepreneurs not just have a job but to have a business that works for them, not the other way around.
Cesar is originally from Brazil, but now living in Brisbane, Australia. He's been working with several companies, both in Brazil, and now more recently in Australia, and he's breaking out to expand across borders. What's interesting about the type of work he does is that it allows him to get in and help educate business owners on what they need to do to grow their businesses. What’s most interesting about his type of work is that it gives him an excellent window into dysfunctional companies, and what needs to happen to turn them around.
No coaching or mentoring can happen for a new business or person without knowing the nitty-gritty information about them. Understand why business owners do what they do, and why they wake up every morning to go to work. Leading them through those things and developing a long-term relationship. Understanding the company’s numbers, the history, what the business owner thinks about the team, or what the team thinks about the company or the business owner. Perceptions are not always the reality of your day-to-day needs or thoughts.
Every business has a cycle and if you don't understand the cycle of your business, it’s hard for you to measure in which season you are and what to expect back in return from your services or products. Understanding your cycle makes it easier to grow your business and understanding your numbers will help you make better decisions without so much pressure. Your day-to-day needs are based on your results, volume of sales, the volume of costs, fixed costs, or variable costs. So if you have the key numbers that can measure that without you needing to analyze your P&L all the time, you'll be able to make decisions faster.
Having a vision of your numbers and your business cycle is just the starting point. You need to understand the culture, and how much you are truly focused on developing people and not micromanaging your business. Usually, business owners are afraid that nobody can do business as best as they can. And without being aware of it they tend to cut the wings of people that are supposed to help them. They stop investing in people's development and spending time teaching people because they're afraid of competitors. If you find the right people that can add value to your business and see a long-term relationship with them, then you can have more quality time not just for your business, but for your personal life too.
In this episode:
[03:20] Cesar expresses his sweet spot in his workload and the type of clients he attracts.
Businesses that are hungry to grow or want to have a succession plan in place have no idea where to start.
Situations that are complicated and costly.
[05:22] What is necessary to coach or mentor a new business or person?
Starting with a 360-degree X-ray of the company and the person's life to understand why they wake up every morning to go to work.
Understanding the culture, numbers, history, and relationship between the team and the owner
[08:45] Every business has a cycle, know yours.
How to determine what to expect in return from your services or products.
Understand your cycle, know your numbers, and make decisions without pressure.
[12:31] Main numbers that companies should be looking at to grow, trim, or keep on maintaining the course.
An example of creating a KPI for Real Estate
When the pressure of fixed costs and operational day-to-day needs start to kick in
Analyze your income stream, your gross profit, your net profit, and how much savings you need to keep for tax.
[16:20] Have a vision of your numbers and your business cycle
Understand the culture, how much you develop people, and not micromanage your business
Create solid opportunities for key people to develop your business