Thinking about what you’re going to do when you graduate from college can feel overwhelming.  I get it.  For the first time in your life no one can tell you what to do.  When the choices aren’t clear it can be hard to know where to start.  If this is you, allow me to (humbly) offer some suggestions.

Option #1: Party (I’m serious)

When I was in my early 20’s I could party all night, wake up the next day and be ready to go.  Now that I’m in my mid 40’s neither are possible without pills and pain.  If having a good time is your thing, I say take advantage of your youth and do it.  Practically speaking, this is what it looks like:

1) Move to a fun city.
2) Find a job.  Ideally one you like, but tolerate at worst.  If a desk job isn’t your thing then let me suggest restaurant work. A good restaurant gig is not only a way to make decent money but a great way to meet people.
3) Party.

I realize sharing this option with the responsible adults in your life won’t be well received so let me offer some language that should smooth things over when they inevitably ask.

“I’m moving to L.A. to explore a career in __________”

“I’m moving to NYC and taking some time to figure out my next move.”

“I’m moving to Chicago with friends and researching a few industries that interest me.”

When my wife graduated from college she moved to NYC to officially “gain experience in the professional art world”.  Unofficially, she partied hard all the time.  She did this for a few years, before moving on to another phase of life, but the stories are….legendary!  Big picture, she had a ton of fun and zero regrets.  Don’t poo poo this option.

Option #2: Bet on yourself 

This one hits close to home because it’s what I did.  In my case, I started a business, but this can also mean launching a career as an artist, a writer or even an athlete.  There’s no better time to take a big professional risk than in your 20’s.  There’s little to lose and time is on your side.  I realize student debt can make doing your own thing challenging.  But if this option speaks to you, send me an email and perhaps I can help.

Fortunately, choosing this option worked out for me.  Twenty years later the business is still going strong and has allowed me to have a pretty great life.  But it’s not been without sacrifice.   Yeah, starting a business is exciting, but it’s also hella stressful.  And for the first five years I worked ALL THE TIME.  Still, I have no regrets.  Since I was a little kid I always knew I wanted to start my own business.  As it turned out, choosing to do it early in life when I was single was one of the best decisions I’ve ever made.  By the time I did have a family, the business was more established, I was less stressed and had more money.  Win/win.

Option #3: Travel Overseas

If you really have no idea what you want to do, I suggest you hit the road. Travelling is the best way to have crazy awesome experiences, meet people and test the boundaries of your comfort zone.  Sometimes you have to lose yourself to find yourself.  No money? No problem. Opportunities to live and work abroad are much easier to find today than they used to be.

A friend of mine spent a year in Australia right after she graduated college.  In between taking surf lessons and hanging out with her Aussie friends she started a career in corporate recruiting which continues to this day.

A vision for Ian’s Pizza 

In 2008 a group of managers and staff met to create a ten year vision for Ian’s Pizza. The goal was to define a picture of a future we believed was worthwhile pursuing. Over the course of two days we explored different scenarios. The conversations were fun, engaging, and creative, although at times they were also difficult and uncomfortable. All of it was honest and necessary. It forced us to answer important questions we rarely think about.  

Why do we come to work? What do we want to accomplish? 

In early June of 2009 we finalized our 2020 vision and launched it.  

Since then we’ve slowly worked to make the vision reality. It hasn’t always been pretty, or as process-driven, as I would like. But the size, structure, and principles we operate by today are consistent with what we envisioned in 2008.  

Four years ago we realized 2020 was rapidly approaching.  It was time to start creating a new vision for the next ten years! 

The process of writing our new vision has meant taking stock of our collective identity and figuring out what will inspire us going forward. It’s also required owning up to areas where we’ve fallen short in the past.  

Out of multiple group and individual discussions two central themes emerged which are the core of our 2030 vision.   

Taking care of our staff and improving their experience is who we are.  

Strengthening our connections and leveraging our human capital will make us a better company. 

As of this writing we find ourselves in crazy pandemic-stricken times. One of the goals of having a 2030 vision is to take us beyond the present moment and to channel our efforts towards achieving a meaningful, positive outcome. We remain hopeful. 

Thanks for reading our 2030 vision and being a part of our journey.  

Ian

March 2021

Ian’s Pizza 2031

Today is December 31st 2031. Ian’s Pizza is a federation of businesses located throughout the U.S. with a combined revenue of $35 million. We are united by a shared set of values and a people centric mission.  Diversity in who we are and how we operate has made us a stronger business. Today, 30% of our management team are from historically underrepresented groups. Half of our locations operate in residential neighborhoods and we are now selling more non-pizza products than ever before.  

Structurally, we have achieved a long sought-after goal: All of our owners support and benefit from the growth of the federation. The growth of our business is driven by the growth of our people. Our managers have documented career goals which are reviewed regularly. A robust slate of classes, along with a mentoring program, has strengthened the fabric of our company and helped staff thrive. Today there are multiple, clearly-defined career opportunities within Ian’s Pizza.  This includes a streamlined path to ownership and assistance with financing.  Since 2020 we have doubled the number of employees who also hold ownership stakes. 

Cross-company communication and leveraging our collective resources has improved dramatically. In 2021 we created an Operations Group composed of staff dedicated to solving problems and improving operations. On a few occasions ideas that have sprung from the group have led to product development. Regular staff exchanges occur across the business and when a location needs assistance company support is made available.  

 Over the past decade we’ve improved our efficiency and our profitability. Revenue Per Employee (RPE) is at an all time high and profit margins range from 12-20%.  Strong financials allow us to pay industry leading wages and fuel our popular profit sharing program.  The gains are not just financial.   Technological efficiency has created more space for us to personalize our customer service.  We take pride in the human connection we have with our customers and the memorable outcomes we create on a daily basis. 

We are stewards of our planet’s natural resources. During the past 10 years we have focused on reducing food waste to help address food insecurity, preserve the environment, and save money.  We’ve also partnered with environmental organizations and university programs to support their work.  This includes support for students working to create a sustainable future. 

The quality of our food improves with each passing year. A culture of excellent execution is our norm. Today, all of our vegan ‘meat’ products are made in-house from whole foods. The success of these products has led us to sell them to the public. Using ethnic flavors as a source of inspiration, we’ve developed several cult forming sauces and spice blends.  

Since 2023 employee happiness has been part of our bottom line. We have shaped our culture to promote hope and manufacture positivity. It sounds cheesy, but it works.  Mental health is recognized as vitally important to well-being and work performance.  Working with outside partners, we make resources available for staff who need support.  Lastly, we have improved our ability to balance the scheduling requirements of the business with our staff’s lifestyle scheduling needs. The impact of these changes has yielded enormous benefits. We are a company people seek out. Today, the majority of our staff report working for Ian’s Pizza as a career move.

These are screwed up times.  For everyone. A few monhts ago my small business was on pace to have a record sales year.  Today, I’m happy we still have a business.

Here is what I’m thinking to get through this.  

1. This is going to take longer that any of us want

When state lockdowns first started rolling out, I assumed the disruption would last a few weeks.  Then a few months.  Then through the summer.  Now my planning is based on “normal-ish” starting July 2021.  My hope is that we can develop a vaccine.  Or treatments so CoVid becomes something that is manageable but not a death sentence.  Either way we need something to change everyone’s risk calculation.  

2. Start Developing an Opportunity Mindset

Here is the number one piece of advice I’m sharing with other small business owners: 

If you ran a good business before Covid (BCV), you need to find a way to survive this.  If business wasn’t great BCV then consider cutting the cord.  

Anger and fear are everywhere right now.  Rightly so.  For a few weeks I was angry.  Many of us were closing businesses, firing staff and applying for loans.  There’s no joy to be found in any of that. 

But I also know that I don’t make very good decisions when I’m emotional. 

The business landscape is changing and new opportunities are developing.   Stay pissed and you will miss those opportunities.  

So, I’ve been trying to develop an opportunity mindset.   One that helps me choose to work on positive activities.  

If you ran a good business BCV you should be able to do it post Covid.  In fact, now might be a great time to plan expansion.  

For those who were barely making it before this, now may be a good time to close.  I realize this is not an easy decision.  Seven years ago, I closed a business and lost a lot of money.  For months afterwards, the decision bothered me.  But it was the right call because it allowed me to focus on other opportunities which were successful. The sooner you can move on from a situation that isn’t working the sooner you can start working on one that will. 

3. Profits matter

When the pandemic hit and we could see that this was going to have a major impact on our businesses, my wife asked me how stressed I was.  On a scale of 1 to 10 I felt a relatively low 3.  The reason was simple.  Both personally and professionally we saved money.  

Financially speaking, the past several years have been good for our businesses.   Profits reached all time highs.   This helped us pay for a big remodel, reward our staff with awesome bonuses AND we saved money.    This nest egg, is buying me peace of mind and will help us survive.  We are very fortunate.

My hope is that Covid teaches us to develop a new narrative around business profits.  And how we manage them.  All too often I hear people talk about profits in the context of greed.  Or, if you’re in the restaurant industry, resigned defeat.  

“It’s the restaurant business, you don’t make money.” 

Just a few weeks before Covid hit I was in a meeting discussing the 2019 financials for one of our locations.  Sales were great, but the profit margin was barely 4%, which is awful considering how hard we work.   “We pay our people really well” was the rationale I was told.   That’s great! But we still need to make a healthy profit if we want to run a healthy business.   As one of my heroes, Maggie Bayless (co-Managing Partner of Zigtrain) told me many years ago, “Profits are the lifeblood of a business.”

When Covid ends, one of my goals is to help all of our locations to achieve greater financial success.  Not at the expense of our people or by sacrificing quality, but by running a better business.  If you are getting your business back on its feet or starting completely over, I encourage you to do the same.  Because profits matter. 

Four things to consider before closing your doors for good.

Recently, a friend of mine, let’s call him Mike, had one of his worst fears come true.  His business had run out of money.

This was strange.

Mike owned a deli with a cult following.  Every week customers waited in long lines to buy one of his sandwiches.  Anyone familiar with Mike’s deli assumed he was “killing it.”

Instead he was broke.  How could this be?

Was someone stealing money? Were his books being “cooked”?

Nobody knew.  So, Mike started to investigate.

It didn’t take long to figure out what was wrong.

The first problem was bookkeeping.  Yes, he had professional looking financial statements.  But they didn’t match reality.  Invoices were missing.  Statements weren’t reconciled.  Deposits were off.

Not only did Mike lack a strong grasp of his business’ finances, he was making decisions based on numbers that didn’t exist.  It was a recipe for disaster.

The second problem was debt.  Six months earlier Mike borrowed money to expand his business.  But he didn’t borrow enough.  His bookkeeper should have sounded alarm bells.  Instead she played “whack-a-mole” with outstanding bills.  Whichever vendor complained the most got paid with the limited cash on hand.  Bills kept piling up until the finances were swamped.

Lastly, payroll was bloated.  Some of this was intentional.  Mike was training additional staff to further expand his business.  This was a good idea, but you need to have spare cash to do it.  It was a luxury he couldn’t afford.

Once Mike knew the causes of his problems, he felt overwhelmed.  He asked me a simple question.  “Am I done?”

The answer was clear to me.   “Absolutely, not”

Here’s why:

1. Sales are half the battle.

Mike had done an awesome job of building sales.   This is hard to do.  If your business has no sales, it’s a legit reason to close.  But this wasn’t his case.   The problem was bad financial management.  For the past several years Mike was so focused on operations he had taken his eye off of the numbers.  This was on him and he knew it.  Although the situation wasn’t good, its easier to fix a bookkeeping problem than building sales.

2. Popularity contest.

When my bakery first opened our sales were terrible.  On our six month anniversary the business was barely surviving financially.  What our bank statements didn’t show was how much our customers loved us.  We just didn’t have enough of them.  We soldiered on, word spread and sales grew.  Two years later, things were going so well, we moved to a larger location.

Mike’s business has a cult like following.   Some of his customers buy from his multiple times per week.  Its easy to assume if sales are strong your customers love you.  Not true.  My local Walgreens is always busy.   When was the last time you heard someone say they love Walgreens?

A customer base that loves your business is a big asset.  Their loyalty can be the foundation of long term success.  This is something that shouldn’t be disregarded.

3. Cash poor, asset rich.

Mike was broke but he wasn’t poor.  His business had a great brand and sales were strong.  He also owned 100% of his company.

If you’re in Mike’s shoes and you need cash, there’s two options:  Borrow money or sell equity in your business.

Because Mike’s financial problems are fixable he shouldn’t have a hard time getting capital.  Even if a bank isn’t willing to lend him money, I bet he could find an investor in his community.  Best of all he doesn’t need to sell a huge stake of equity to solve his financial problems.  In other words, he could still be the majority owner.

4. Do you want to keep going?

When things are tough, you have to make a simple decision:  Keep going or go home.

Mike didn’t want to give up.  He loved running his deli.  But he didn’t want to make his situation worse.  Once he understood how to overcome his challenges he was excited to get to work.

That was a few months ago.  Today things are getting better.  In a few years I’m sure he will be doing great.

Have you closed a business? Are you struggling to keep on going? Send me an email with you experiences.

How to avoid burn out, make more money and be a better spouse

Today, I’m going to share with you one of the secrets of my success.  Its deceptively simple.

My goal is to be 80% busy.

Don’t worry, this post isn’t a slacker manifesto.

In later posts I’ll explain the nitty gritty of how this works.   First, let me explain how I got here.

For many years I worked all the time. When I first started my business this was necessary.  But once things settled down, I continued to do it anyways.  Who works hardest, wins.  Right?

Maybe.

After three years of going at – let’s call it 110% – I burnt out.

Initially, I refused to accept it.  I kept pushing.

Until I couldn’t.

There’s a cost to being stupid busy.  Relationships suffer.  And so does your health.   For some crazy reason this didn’t bother me.

But then I noticed my work began to suffer too. I was making more mistakes and also missing opportunities.

After one especially bad week –  I lost a great customer, had a star employee quit and my girlfriend dumped me – I knew I had to make a change.

The good news about burn out is that recovery is easy.   Two weeks on a beach somewhere can make you feel almost new again.  The hard part is breaking the cycle that got you there in the first place.

This took me awhile to figure out.

The answer was to structure my life so I always had spare capacity.  By spare capacity I mean extra time and energy to be with my family.  To take on new opportunities.  To put out fires.  To think!

“80% busy” became my new mantra.

Some people will hear this and think “80% lazy”.

This couldn’t be farther from the truth.

Since 80% busy became my goal, I’ve invested in four new businesses, purchased half a dozen real estate investments and continued to grow both of my core businesses.  I’ve also gotten married, had two kids and travelled around the world.

I’m getting shit done.  And I’m still sane.

Of course, no week is exactly the same.  Sometimes I’m operating at 100% busy.  Sometimes I’m at 60%.  But my goal is to always bring it back to 80%.  Its what works for me.  Its my Optimal Functioning Capability (OFC).  Less and I start to get bored.  A lot more and I can feel burn out creeping in.

In my next post I’ll detail the specific things I did to get here.

For now I’m curious to find out how busy you are.  What is your OFC?

Send me an email.  Lets talk.