Last week we talked about a change to the format of the podcast.

The first week of every month is going to talk about risk management or insurance.

And then the second week of every month we're going to talk about a business owner topic.

So if you're a business owner, this one's going to be for you.

And if you're not a business owner, I think you'll still find it interesting and make sure that you share it with all of your business owner friends.

Let's jump into this week's episode.

We're talking mostly to the business owners.

There may be some managers of businesses

where this would be appropriate, but I

always say your biggest asset is your business and your greatest builder of wealth is your business.

So yes, I'm a financial advisor and yes, I work within the financial planning process to help my clients in all areas of their financial life, but I don't neglect the value of their biggest asset, which is their business.

So today we're talking about one of the ways that you can increase the value of your business and make your business more profitable, and that is through delegating.

And before we get into how to delegate effectively, let's start with a quick summary of why delegation is a critical skill for any business owner.

Being able to delegate well means your company can thrive without you personally overseeing the details.

Now, I own a business and there have been times in my career where my hand was in everything.

And number one, that's a very stressful place for the business owner to be.

Number two, I can imagine it's very frustrating for the team when they feel like they're not empowered.

And number three, it makes it hard for the owner to take a vacation, to have a day off, or even just to feel like, hey, I can get sick and stay home.

So the freedom of not having to be involved with almost everything allows your company to grow without you as a bottleneck while the quality of your work life improves as you no longer have to spend your time fighting fires and answering mundane questions.

Best of all, your company is worth more.

Now, we're going to talk about it later on in the show, but we offer something called the Value Builder Questionnaire and it takes you 10 to 12 to 13 minutes and it gives you some results on what are some of the things and what are some of the areas that can make your company more valuable?

And one of the major areas is like, how well does the business owner delegate, how needed is the business owner to the day to day operations of the business?

And if the business owner like, really can never take a day off, or if the business owner just knows how to do a lot of things that the rest of the team doesn't know how to do, well, then that is a stifling way to run a business.

And again, it causes a lot of stress for the team.

Now, as a business owner, just like

you, I'm going to be totally transparent.

And delegation is hard, okay?

So I've spent a lot of my career and even now I still suffer where it's hard to give things up.

Sometimes it's easier to say, you know what?

This is just something that'll take a minute.

I'm just going to do it myself and it'll be done.

It's hard to give up control.

Sometimes we think that we are the only person that is capable of handling a task, or sometimes we just don't know how to delegate or how to set up standard operating procedures.

So let me give you an example.

I have a client coming in today and there are four packets of paper that this client will need to sign.

Either some agreements, some applications, things like that.

Now, am I too good to press the print button, walk to the printer, get.

Get some paper clips, package them up nicely, put the little stickers where they need to sign and have that already?

Am I too good to do that?

Of course not.

I'm not above that.

But would somebody else be better off taking that 2, 3, 5 or 10 minutes to get all of the new business paperwork ready for me so that I can do what I do, and that's talk to the client and confirm that we're meeting their needs and get the information needed to generate their plan and everything else.

So my executive assistant, Ash, she is much better at paperwork and details and things like that.

So that is something that I am delegating to her.

And I really think that a lot of business owners and a lot of managers, there's like this weird, I can't delegate this small thing because it will, it'll make me appear that I'm just too good to do the small things or it won't get done correctly.

But we got to get past that really important.

Now here's what I suggest.

That you as a owner, as a leader, as a manager, do so make a word document or even just keep a good old fashioned piece of paper out for a week and write down everything that you do.

That's everything from did you walk out to the mailbox and get the mail, did you pay a bill, did you have a client meeting, did you update your CRM, did you make the schedule, process, payroll, whatever, all of these things.

What did you do?

And then look at a couple of them and say, is this something that's done like every day, every Tuesday, every month, anything like that?

And do they need, what level of discretion do they need?

Now, if it's something that does not need a whole lot of discretion and it's done very often, why not just put a standard operating procedure in place for somebody else to handle it?

Okay.

There was a time in my life, and I'm even embarrassed to admit it, that I just had a pile of receipts just piling up on my desk and I knew they needed to get scanned in, but it's not that important.

So they get, they don't get dealt with.

And you have a messy desk.

Now again, Ash, all the receipts from business expenses, they get put on a certain place on her desk and then she scans them in and I never have to worry about it.

So number one, that helps us keep good books.

Number two, it helps me to keep a neat desk.

And number three, it frees me up both mentally and actually in order to do the things that only I can do, which are go out and get clients and make clients happy.

So go through your list and classify tasks of I like doing this, I hate doing this, or it's in control.

And then classify these as they need my, as a leader or an owner, they need my decision making ability each time.

Or this is something that, hey, we can just, we can give some instructions on, this is the expected outcome we would like and somebody else can handle it, unless maybe there's a weird situation coming through it or some sort of discrepancy.

And then think about how your life will get simpler and about how your stress level will decrease.

Okay, so delegation, hugely important in so many ways to your net worth.

Now again, when was the last time you heard a financial advisor talk about you can increase your net worth by increasing your ability to delegate?

Most financial advisors are saying you can increase your net worth if you use my investment process or if you buy this stock or this bond.

And don't get me wrong, we do invest money for our clients, but in a very holistic manner.

We help our clients to increase the value of what's probably their biggest asset, and that is their business.

And one of the ways that you can increase the value of your biggest asset and make it more profitable is

to learn the proper skills of delegation.

So I definitely try to keep my own advice.

And I have a business coach, and my business coach says an owner or Leader's need for certainty stifles growth.

So let me say that again.

An owner or a leader's need for certainty and control will stifle growth.

So you as the owner, you need to get things off your plate, but they also need to be done properly.

So proper delegation can be a life changing improvement for your business.

All right, let me say that one more time.

Let's let this dig in.

An owner or a leader's need for certainty can stifle growth.

Don't let your growth be stifled by your need to be in control of too much.

In your business, you can't know everything that's going on, but you can know that you've put good processes and procedures in place and you can also have periodic audits.

There's nothing wrong with pulling some client files monthly on a surprise basis and making sure that the right signatures have been received or anything like that.

I don't know what your business requires,

but you certainly can have some controls

in place that will allow you to delegate and also have some peace of mind.

Here's my offer to you.

Go to www.weeklywealthpodcast.com delegation that's www.WeeklineWealthPodcast.com delegation.

Download the free ebook the Four Degrees of Delegation and put some of these practices in place in your business and then let me know.

Email me davidarallelfinancial.com Let me know.

Is your profitability going up?

Is your productivity going up?

Is your team's morale going up?

Because I could guess at points in my career my my team would have felt like they're always waiting on me for something.

And once you let these things go, they're no longer waiting on you.

They can handle things themselves and then ultimately.

Welcome to the Weekly Wealth Podcast.

I am certified financial planner David Chudick.

I spend most of my days talking with business owners, the mass affluent and the high net worth about their money.

We talk about their financial dreams, we talk about their financial worries, and we talk about the decisions that they know they need to make.

That is what this show is about.

Profitability's up, culture's up.

Systems are up.

The value of your business will be up.

Let me know how this works.

David parallelfinancial.com

so if you're a business owner and if you listen to the podcast every week, you've heard me mention the Value Builder Score.

So whether you're selling your business soon or thinking about it years down the line, building your company's value is a key to your financial success.

By Learning your value Builder score, you can identify hidden problems holding your company back from achieving greater value.

And remember, more than likely, your business is your biggest asset, or at least it should be.

You can establish your company strengths that deserve greater attention to provide greater successes.

You can understand how an acquirer would evaluate your business to better invest your resources.

And you can ensure that you are properly prepared for your next step.

Whether it's selling, whether it's retiring, or even if you are just going to keep the business, you have to remember that a sellable business is a more profitable business and an easier business to run.

So your typical business owner, here's how they look at their business.

They say, I prioritize just growing revenue.

Business owners will also use proximity as their competitive advantage.

Hey, we're the local provider.

They'll sell a lot of things to a few customers.

They'll find themselves in the weeds of all the business operations, which means that their business is too dependent on them.

Which is what the whole first half of the podcast was about, right?

Not delegating properly.

They strive for satisfied customers.

They use a transactional business model.

Now here's a big one.

They treat their business like a piggy bank.

So as the business has a little bit more money in the bank, they automatically take it out.

And they share equity way too liberally.

Now, business owners who use some of the value builder philosophies, they emphasize growing the value of their business because they know that at a point they're going to sell their business.

And if you build a business that's sellable, that's attractive to buyers, that's really what matters the most.

They offer a product or service with a durable competitive advantage.

They sell a few things to lots of customers.

They build companies that can thrive without them.

Can you say delegation?

They strive for customers who will refer and purchase again and again.

They focus on creating recurring revenue streams.

They obsess over how their company creates cash, and they protect their equity.

Now, when you get your Value Builder score, you'll learn where you rank in each of the eight drivers of business value.

Now these include financial performance.

They include how much growth potential there is in your company and in your industry.

They include your Switzerland structure.

So how dependent are you on any one thing, any one person, any one platform, anything like that?

It includes the valuation teeter totter.

It includes how much of your revenue is recurring.

That.

Now remember, there's a big difference between reoccurring revenue and recurring revenue.

It'll look out how is your monopoly of control in your area do you do things?

Do you sell products or services that nobody else can?

It'll talk about your customer service.

Do you have fans?

You have neutral customers.

And also, and maybe more importantly, we will look at how involved is the business owner with most active aspects of the business and the business's operations.

And then you can spend some time improving each area.

Right?

How we build each of these areas will affect the value of your business and it will affect how much a buyer is willing to pay for your business.

Let's step away from the podcast for just a moment.

One of the services that I offer to my clients is helping planning to exit their business.

So as business owners, you're familiar with the challenges and complexities that come with steering your company day to day.

But have you considered the transformative power of picturing your end game?

So imagine having a destination so clear in your mind that every decision you make naturally aligns with it.

To download our free ebook called the End Game, go to my website, www.weeklywealthpoint podcast.com endgame.

That's www.weeklywealthpodcast.com endgame.

And okay, now let's get back to the podcast.

So by getting your value builder assessment and remember, it takes 10 to 15 minutes to take the questionnaire, you can learn a lot about business.

And isn't it true that if your business is your biggest asset and your biggest wealth building tool, that we should all spend more time becoming better business owners?

We're all pretty good at our trades or else we wouldn't have been in the business.

But we all probably can learn how to be better business owners.

And I think that building your business so that it can be sold is a great strategy.

Not that you have to sell it, but that you would be able to sell it.

All right everybody.

So that is going to bring this week's episode to a close.

Remember, I am here for you if you have any questions.

And if you want to spend just a few minutes with me, go to www.weeklywealthpodcast.com vision.

That's www.weeklywealthpodcast.com Vision.

We can spend 10 or 15 minutes talking about an issue that is concerning to you and we can do our best to point you in the right direction so there's no fluff, there's no pressure.

But your vision really does deserve 10 minutes, doesn't it?

And if you're interested, take the value builder assessment, go to www.weeklywealthpodcast.com valuebuilderscore.

So www.weeklywealthpodcast.com ValueBuilderscore.

You'll be glad that you did all right, everybody.

Until next episode.

I wish everybody a blessed week.

Thanks everybody.

The information contained herein included but not limited to research.

Market valuations, calculations, estimates and other materials obtained from Parallel Financial and other sources are believed to be reliable.

However, Parallel Financial does not warrant its accuracy or completeness.

These materials are provided for informational purposes only and should not be used for or construed as an offer to sell or a solicitation of an offer to buy any security.

Past performance.

Performance is not indicative of any future

results and here is your bonus content for this week's episode of the weekly Wealth Podcast.

So ask yourself this question.

Knowing everything that you know about your business, know how much time that you work, how much stress you have, how much money you make, and all of those things, how much would you be willing to pay for your business?

Like, seriously, how much would you pay for your business?

Would you pay a premium for it?

Or would you really argue for a discount because maybe your business is a train wreck or a dumpster fire?

I can say this because I know that for part of my career, my business was maybe a train wreck or a dumpster fire.

But we all need to become better business owners and that will give us businesses that are valued at a higher rate.

So just some food for thought there.

How much would you pay for your business?

All right, we'll see you next week.