‘Not only are they profit centres they are cross-selling opportunities’ 

In the second part of this 2-part series, Gavin and Roland continue to explore how to scale and grow businesses. They discuss in detail with pertinent examples of how to identify the areas for change and the strategies and questions to ask to enable transformation. Listen in to hear how you can make effective changes in your business and convert your cost centres into profit centres. 

  

Sign Up Here: https://bit.ly/biz-pod

 

KEY TAKEAWAYS 
The 1kx matrix identifies valuation, revenue and profits as areas that should be carefully reviewed. The process begins by looking at revenue and the sources (see the previous episode) followed by the profits and valuation.  
Profits 

E2P for profit involves looking at your biggest cost centres and asking – how can I convert these into profit centres? Your stock could be wholesale to someone else and identifying how you can convert your cost centres into profit centres is key. 
How can people following the E2P strategy avoid it being a distraction? 

You have to have a champion; you have to make it a subsidiary business of the core business with a dedicated general manager who is its champion. 
Valuation 

People should look at monthly recurring revenue, If you have monthly recurring revenue then the risk of you having to go out and find new customers is much less increasing the valuation. Ask the question – How can we turn static income into monthly recurring revenue (MRR) or (ARR) annual recurring revenue. 
First principles reasoning, tell me about that? 

‘We need to take all of our assumptions about something and re-examine them from the ground up’ It’s about going back to the core.   

Inversion thinking is about looking at all the things we don’t want to happen so we can be sure we don’t get to that place. 

The combination of the first principles thinking and the inversion thinking brings a complete approach to any situation or challenge. 
‘Sell the eggs and keep the geese’ 

If you can sell profit centres that don’t sacrifice your momentum you can have an unlimited amount of exits because you have an exit building machine, you figurately have a goose that is laying golden eggs, so why lose the momentum have multiple companies and continue to move forward successfully. 

 

BEST MOMENTS 

‘Looking at one time sales and focusing on how to make them into recurring revenue increases the valuation’ 

‘If they can do it with those completely non-recurring  type businesses then you can do it for your business’ 

‘Not only are they profit centres they are cross-selling opportunities’ 

‘Your inventory could be wholesale to someone else’ 

  

VALUABLE RESOURCES 

The Business Mastermind Podcast 
https://www.rolandfrasier.com/ 
Roland Frasier LinkedIn 
Business Lunch Podcast   
War Room Mastermind 
Digital Marketer 
Traffic and Conversion 
Summit 

  

ABOUT THE HOST 

Gavin Preston 

Gavin is an inspirational Speaker, Business Strategist, Business Growth Mentor, Trainer and high-performance Coach. He works with Business Owners and Entrepreneurs and has a strong track record in creating creative strategies to accelerate the growth of their business. He has helped hundreds of SME business owners and leaders improve their performance and that of their business and a comparable number of executives and employees in blue-chip corporates over the last 20 years. 

Gavin’s energetic, insightful and yet down to earth and practical talks, workshops and coaching is in demand with high growth business between £250,000 and £30 million revenue and with multi-national organisations at all levels from Board to frontline 

Managers. He is an expert in Business Growth Strategies, Peak Performance Mindset, Persuasion & Engagement, Marketing, Productivity, Leadership Development, Team 

Development & Motivation, Leading Change, Stakeholder Management, Personal Effectiveness and Behavioural Change. 

  

CONTACT METHOD 

Gavin Preston Website 
Gavin Preston LinkedIn 
Gavin Preston YouTube 
Gavin Preston Facebook 
Gavin Preston Twitter 

&lsquo;Not only are they profit&nbsp;centres they are cross-selling opportunities&rsquo;&nbsp;
In the second part of this 2-part series, Gavin and Roland continue to explore how to scale and grow businesses. They discuss in detail with pertinent examples of how to identify the areas for change and the strategies and questions to ask to enable transformation. Listen in to hear how you can make effective changes in your business and convert your cost centres into profit centres.&nbsp;
&nbsp;&nbsp;
<hr>
Sign Up Here: <a href="https://bit.ly/biz-pod">https://bit.ly/biz-pod</a>
<hr>
&nbsp;
KEY TAKEAWAYS&nbsp;
<ul>
<li data-leveltext="" data-font="Symbol" data-listid="1" aria-setsize="-1" data-aria-posinset="1" data-aria-level="1">The 1kx matrix identifies valuation, revenue and profits as areas that should be carefully reviewed. The process begins by looking at revenue and the sources (see the previous episode) followed by the profits and valuation.&nbsp;&nbsp;</li>
<li data-leveltext="" data-font="Symbol" data-listid="1" aria-setsize="-1" data-aria-posinset="2" data-aria-level="1">Profits&nbsp;</li>
</ul>
E2P for profit involves looking at your biggest cost centres and asking &ndash; how can I convert these into profit centres? Your stock could be wholesale to someone else and identifying how you can convert your cost centres into profit centres is key.&nbsp;
<ul>
<li data-leveltext="" data-font="Symbol" data-listid="1" aria-setsize="-1" data-aria-posinset="1" data-aria-level="1">How can people following the E2P strategy avoid it being a distraction?&nbsp;</li>
</ul>
You have to have a&nbsp;champion;&nbsp;you have to make it a subsidiary business of the core business with a dedicated general manager who is its champion.&nbsp;
<ul>
<li data-leveltext="" data-font="Symbol" data-listid="1" aria-setsize="-1" data-aria-posinset="2" data-aria-level="1">Valuation&nbsp;</li>
</ul>
People should look at monthly recurring revenue, If you have monthly recurring revenue then the risk of you having to go out and find new customers is much less increasing the valuation. Ask the question &ndash; How can we turn static income into monthly recurring revenue (MRR) or (ARR) annual recurring revenue.&nbsp;
<ul>
<li data-leveltext="" data-font="Symbol" data-listid="1" aria-setsize="-1" data-aria-posinset="3" data-aria-level="1">First principles reasoning, tell me about that?&nbsp;</li>
</ul>
&lsquo;We need to take all of our assumptions about something and re-examine them from the ground up&rsquo; It&rsquo;s about going back to the core.  &nbsp;
Inversion thinking is about looking at all the things we don&rsquo;t want to happen so we can be sure we don&rsquo;t get to that place.&nbsp;
The combination of the first principles thinking and the inversion thinking brings a complete approach to any situation or challenge.&nbsp;
<ul>
<li data-leveltext="" data-font="Symbol" data-listid="1" aria-setsize="-1" data-aria-posinset="1" data-aria-level="1">&lsquo;Sell the eggs and keep the geese&rsquo;&nbsp;</li>
</ul>
If you can sell profit centres that don&rsquo;t sacrifice your momentum you can have an unlimited amount of exits because you have an exit building machine, you figurately have a goose that is laying golden eggs, so why lose the momentum have multiple companies and continue to move forward successfully.&nbsp;
&nbsp;
BEST MOMENTS&nbsp;
&lsquo;Looking at one time sales and focusing on how to make them into recurring revenue increases the valuation&rsquo;&nbsp;
&lsquo;If they can do it with those completely non-recurring  type businesses then you can do it for your business&rsquo;&nbsp;
&lsquo;Not only are they profit centres they are cross-selling opportunities&rsquo;&nbsp;
&lsquo;Your inventory could be wholesale to someone else&rsquo;&nbsp;
&nbsp;&nbsp;
VALUABLE RESOURCES&nbsp;
<a href="https://podcasts.apple.com/kn/podcast/business-mastermind-podcast/id1462414516">The Business Mastermind</a>&nbsp;<a href="https://podcasts.apple.com/kn/podcast/business-mastermind-podcast/id1462414516">Podcast</a>&nbsp; <a href="https://www.rolandfrasier.com/">https://www.rolandfrasier.com/</a>&nbsp; <a href="https://www.linkedin.com/in/rolandfrasier/">Roland Frasier LinkedIn</a>&nbsp; <a href="https://businesslunchpodcast.com/">Business Lunch Podcast</a>&nbsp; &nbsp; <a href="https://www.warroommastermind.com/">War Room Mastermind</a>&nbsp; <a href="https://www.digitalmarketer.com/lp/lab-plus-trial/?gclid=Cj0KCQjwxYLoBRCxARIsAEf16-sPnE0xA7OFGA6SgsulpK6loj1BIhodnvas7EbOJZOvhXDG383NedgaAsmgEALw_wcB">Digital Marketer</a>&nbsp; <a href="https://www.trafficandconversionsummit.com/">Traffic and Conversion</a>&nbsp; <a href="https://www.trafficandconversionsummit.com/">Summit</a>&nbsp;
&nbsp;&nbsp;
ABOUT THE HOST&nbsp;
Gavin Preston&nbsp;
Gavin is an inspirational&nbsp;Speaker, Business Strategist, Business Growth Mentor, Trainer and&nbsp;high-performance Coach. He works with Business Owners and Entrepreneurs and has a strong track record in creating creative strategies to accelerate the growth of their business. He has helped hundreds of SME business owners and leaders improve their performance and that of their business and a comparable number of executives and employees in blue-chip corporates over the last 20 years.&nbsp;
Gavin&rsquo;s energetic,&nbsp;insightful and yet down to earth and practical talks, workshops and coaching is&nbsp;in demand with high growth business between &pound;250,000 and &pound;30 million revenue&nbsp;and with multi-national organisations at all levels from Board to frontline&nbsp;
Managers. He is an expert in Business Growth Strategies, Peak Performance Mindset, Persuasion &amp; Engagement, Marketing, Productivity, Leadership Development, Team&nbsp;
Development &amp; Motivation, Leading Change, Stakeholder&nbsp;Management, Personal&nbsp;Effectiveness and Behavioural Change.&nbsp;
&nbsp;&nbsp;
CONTACT METHOD&nbsp;
<a href="https://www.gavinpreston.com/">Gavin Preston Website</a>&nbsp; <a href="http://linkedin.com/in/gavinpreston/">Gavin Preston LinkedIn</a>&nbsp; <a href="https://www.youtube.com/user/gavinpreston1">Gavin Preston YouTube</a>&nbsp; <a href="https://www.facebook.com/GavinPrestonGrowthStrategies/">Gavin Preston Facebook</a>&nbsp; <a href="https://twitter.com/gavinpreston?lang=en">Gavin Preston Twitter</a>&nbsp;

The Business Mastermind Podcast is for business owners and leaders in small to medium-sized businesses.  

If you are running a business with revenue between £100,000 and £20 million, and are looking for inspiration, insights, lessons learnt, resources and growth strategies from down to earth, relatable business people then this podcast is for you. 

It is a meeting of minds between everyday business people and specialists on their journey to master business growth. You will find these discussions both engaging and relatable, covering topics such as marketing, leadership, systems, strategy, scaling, culture, resiliency and mindset.  

Your host Gavin Preston, a student of what works, facilitates a flowing conversation that uncovers the gems of his guests' success strategies, insights and hacks.  

There is richness in the variety of the guest’s expertise, sector and their own story.  These conversations are interspersed by episodes from Gavin as he shares the growth strategies and insights from working with clients across numerous sectors.  Insight, strategy and action points that will help you Survive and Thrive in business and life as you scale your business and achieve a bigger impact for your customers, colleagues and communities.

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