Dave Ramsey's Entree Leadership Podcast
The Entree Leadership Podcast is hosted by Dave Ramsey, who has over 30 years of experience in business and leadership. The podcast offers a call-in format for leaders to ask questions about business and leadership. Listeners can call 844-944-1070 or leave a note at entreeleadership.com/ask to be part of the show.
Caller #1: Christina from Nashville
Christina from Nashville calls in with a residential cleaning company called Your Happy House Cleaner. She started the business eight years ago to work around her children's school hours. The business grew from just her to several teams and an office manager by 2021. In 2020, the gross revenue was $128,000, and she visited the studio for a debt-free screen with her children. After a divorce three years ago, she scaled back her business and paid off the last $20,000 of her debt this year. Last year, she brought home 21% of the gross revenue, and this year it's 46% due to cutting expenses and focusing on debt repayment. She's now working on her personal emergency fund and asks for advice on when to start hiring again and how much to save for the business.
Dave advises setting aside a percentage of profits for training and development, coaching, and mentorship. He suggests creating a profit and loss statement with allocated percentages for personal growth, business investment, and profit distribution. Dave emphasizes the need for a sustainable model that allows the business to run independently of the owner's efforts.
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Caller #2: Peter from Salt Lake City
Peter from Salt Lake City calls in with a low voltage electrical company that has seen rapid growth from $20,000 in top-line revenue in its first month to over $220,000 year-to-date. The company focuses on commercial projects (95%) but also does subcontract work for residential settings. Peter shares that his company's success is due to personalized customer care compared to larger competitors.
Dave commends Peter's success and shares a personal anecdote about holding employees accountable in his call center business.
Business Strategy Advice #2: Employee Accountability
Dave shares an anecdote about holding employees accountable in his call center business.
Caller #3: Mark (Location not specified)
Mark seeks advice on handling employee performance issues at his restaurant job. Mark expresses frustration with his superiors' reluctance to let go of underperforming employees due to concerns about unemployment costs affecting payroll expenses.
Dave advises Mark to have a conversation with his superiors about their decision-making process regarding employee performance issues and terminations. He stresses the importance of maintaining team morale by holding everyone accountable to set standards.
Caller #4: Charles from Orlando
Charles from Orlando calls in with an e-commerce business that has experienced rapid growth from $1 million in revenue last year to an expected $2.3 million this year. Charles explains that managing cash flow while expanding the business is challenging due to the need to keep up with current demands as well as future expansion plans.
Dave suggests raising prices if inventory demand is outpacing cash flow as a way to slow down sales velocity while increasing profits per unit sold.
The episode features four callers seeking advice on various aspects of their businesses, including financial management, employee accountability, and cash flow during periods of rapid growth. Dave provides practical insights and actionable strategies tailored to each caller's unique situation.