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Why It’s Critical to Build Your Business on a Solid Foundation

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Because If You Don’t…It’s Likely to Come Crashing Down Around You

If you own or operate a business, I’m sure you’ve experienced the feeling of your world crashing down around you. There are a variety of different reasons this happens. A few of them may be due to things out of your control. But, more often than not…it’s because of bad decisions we made.

Most of us that are self-employed started out learning our trade as an apprentice working for someone else. This is how I got started. The problem with this is that while I learned how to build a building, I wasn’t taught how to build a business. This is a critical part of why so many businesses don’t survive.

It doesn’t have to be this way if the business is built on a good foundation.

The foundation of a building is made up of two parts, the footing and the foundation. The footing creates an attachment point between the foundation and the soil. The role of a footing is to support a building and help prevent settling.

The foundation is the base of any building structure. The foundation transfers the load from the structure to the footing and also provides resistance from loads exerted on it. If the foundation of a building is inadequate or not maintained, the building will collapse.

The foundation of a good business is the same. If your business isn’t built on a solid foundation, it will likely collapse.

The footing for your business is who you are. It consists of your purpose, core values and mission. These are the non-negotiables. The things that, when faced with decisions, will be rock solid.

Your foundation is three piers supported by the footing while supporting the business. This is the business systems and operations. These piers are sales/marketing, production/operations and administration/finance. 

  • Sales/Marketing – Searching for and finding customers that you can help by providing your service and/or product through word of mouth, advertising and awareness. Meeting with potential customers, determining what they want/need and preparation of estimates, proposals and contracts.
  • Production/Operation – Organizing, scheduling and maintaining the project or product. Determining who the right people are to preform specific tasks. Knowing the parts that are needed and making sure they fit. Maintaining communication between all parties involved. Upkeep and maintaining facilities and equipment.
  • Administration/Finance – The preparation of documents needed to communicate, track and record all aspects of the business. The filling out and filing of income, expense, banking and tax papers. This leg is one of the easiest for ‘trades-people’ to neglect and one of the most important.

For a business to be successful for the long term it is critical to have these three piers in place and to maintain them.

If one or two of these piers get neglected when doing the busy day to day work…the business begins to lean and if not corrected in time, it will collapse.

These three piers are made up of several different pieces. I plan to break these pieces down and explain how they fit together and serve their part in supporting a successful business.

I will start with the Administration/Finance pier, because it is the most often neglected by ‘trades-people’.

It’s up to us as business owners and entrepreneurs to build and maintain our business. If we do this well…everyone benefits.

The Difficulties of Doing Things You Don’t Know How To

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What to Do When Faced with Something You’ve Never Been Taught

When faced with things that we aren’t proficient in, there’s really only three options.

  • Attempt to do it ourselves
  • Hire a professional
  • Close our eyes and pretend like it’s not happening

There are variations of these, but ultimately these are the three choices.

We all have our own areas of expertise and skill. I don’t know about you, but mine isn’t marketing. Marketing is defined as “the activity and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large”. The term developed from the original meaning which referred literally to going to market with goods for sale.

As entrepreneurs we tend to be of the mindset that we can figure “it” out whatever “it” is.

I know this is certainly my default approach to obstacles. An “I’ve got this” attitude can be an asset…it can also be a liability. It’s great to learn new things and I like knowing how things work. This learning comes at a cost.

In my forty plus years of doing construction I’ve learned a lot about building, both physical construction and how to operate a successful business. One of the things that I’ve never needed to know much about is marketing. When doing quality work and taking care of customers, word of mouth is marketing enough.

Whether it’s time or money, there’s a cost.

Now that we’re expanding our business to include business coaching, systems and training as well as customer consulting and educating, we need some marketing.

For several years I’ve been working on this. Trying to learn how while not spending any money. Then I spent a little money here and there on programs that I thought might be the trick with still no traction.

After years of very little forward progress, earlier this year I decided that I had “closed my eyes and pretended like it’s wasn’t important” for long enough.

At that point I began investing in myself and my idea. I started by joining Kingdom Builders Mastermind. It’s not cheap. In that mastermind I met Bryan Switalski who is a digital marketer using the Story Brand system which I had already been working to learn. I’ve hired him to help me with a lead generator and some sales funnel work. Through Bryan and Becky Warner another mastermind member. I found out they along with Dean Kaneshiro were getting ready to start a 90-Day Launch course. Designed to get a product to market in 90 days.  

This is a substantial investment of time and money, but

What has it cost me in the time over the last 6-7 years and I haven’t sold anything yet?

I realized as I was going through this process to improve my marketing, that the same reasons that I hadn’t moved forward sooner, are the same reasons construction companies don’t do accurate and consistent proposals.

They never learned how.

They’ve either came up with a “guess-timation” way of giving customers prices or they’ve “closed their eyes and pretended it’s not important”. Either way the outcome isn’t very good.

This is precisely why I designed the Blueprint for Building a Better Proposal system. The peace of mind and lack of stress alone is worth the investment of time and money.