Business Owners & Entrepreneurs Podcast with Peter Boolkah | Business Coach | The Transition Guy®
Why Profit Per X Is CRUCIAL Early In Your Business W/ Shannon Susko - 183
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Getting clear on what Jim Collins calls your Profit per X - that is, the economic engine that drives your business - is going to help you achieve your 3HAG and BHAG goals down the line. However, many entrepreneurs put off this critical planning until quite late in their development process. For Shannon Susko, planning out your Profit per X right away has enormous benefits.
First of all, Profit per X comes from the Hedgehog Concept of Jim Collins. The Hedgehog Concept, which allows your business to transform from 'Good to Great', comes about from answering these 3 key questions:
1) What are you deeply passionate about? (Knowing your Business Purpose)
2) What can you be the best in the world at? (Knowing your Core Business)
3) Can you make money doing it? (Knowing your economic engine or Profit per X)
Putting the answers side-by-side with the Key Function Flow Map of your business will allow you and your team to get a clear idea of the non-fiscal elements of your business, and how they contribute to your overall profitability. This sets the team at the same level of understanding about your business.
According to Shannon Susko, what's good about establishing the Profit per X early on is that it gives everyone confidence that the BHAG is something that's achievable. It allows everyone to see how they're going to sustain and make money with the company.
Your BHAG and 3HAG statements then don't appear too far off, knowing that your Profit per X, otherwise known as the economic engine of your business, will propel you to reach those goals. By using these concepts from Jim Collins as tools to gain clarity on your business, your team will be able to move forward CONFIDENTLY together.
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ABOUT PETER BOOLKAH
Peter Boolkah (AKA The Transition Guy) is the World’s #1 Business Transition Coach whose main passion in life is to work with talented and high performing business owners who are in the process of creating exciting, high growth businesses.
Peter helps you to navigate and transition through the crucial growth pains that all growing businesses experience making it as painless and exciting as possible.
It is important to remember that businesses do not just grow and develop on their own, it is up to us and our teams to make this happen by making every day purposeful.
As businesses grow some parts of the journey will be easier than others and most owners do not have all the answers. Starting a business is one of the most exciting things we get to do and we all have aspirations of achieving great things. In fact Peter is yet to meet someone who started a business with the intention of failing.
Peter’s ultimate life goal is to inspire and empower over 100,000 Entrepreneurs to create long term thriving businesses resulting in the creation of 1,000,000 jobs.
So if you are scaling up your business, you’re in a business transition period, and want to know more then connect with Peter at Boolkah.com
THE TRANSITION GUY
Peter Boolkah is the World's #1 Business Transition Coach and also known as ‘The Transition Guy’. This YouTube channel and his podcast is where he shares his unique and direct approach to taking back control of your business (and your life) while growing and transitioning your business from one level to the next.