Marcus Lemonis breaks down business into three parts: people need the right incentives, product must drive repeat sales, and process means knowing your cash flow. Carmichael connects this to having a personal principle that helps you make faster decisions and stay true to your values.
Good morning, Believe Nation! Today's message is: Have a Structure. Over to you, Marcus Lemonis.
So anytime I meet a business owner, small, medium, or large business owner, I really want them to focus on 3 things: people, process, and product. And you know, we just talked about people for a minute. People are the most important part of any business. That's the one part of the capital structure that you need to have right. You need to have them incentivized with the right pay plan. They need to understand they're important. And quite frankly, you need to hire people that are smarter than you. When you move on to the product side of things, you want to make sure that you have a product that's relevant— product or service— that's relevant, that's priced properly, that people actually want to come back for. And then last, and maybe most importantly from a cash perspective, is you want to have the right process in place. Too often I'm finding people that don't know their numbers and they don't manage their cash and they don't manage their expenses. And so when I look at how one of the reasons why businesses fail is they don't have a good grasp on their numbers, they don't have a good grasp on how much cash they have and how much cash it takes to run a business.
So the structure that Marcus uses is people, process, product, and that's what he looks at every time he goes into a new business. Do they have the people? Do they have the process? Do they have a product? That's the lens that he looks at the world through. For me, it's Believe, right? I make videos that are about Believe. I attract clients who like the message of Believe. I bring on teams and suppliers who work with me who are about Believe. That's the lens through which I see the world. What you want to do is find that structure for yourself. What is it that you stand for? What's really important? How do you evaluate opportunities? And be consistent. And that allows you to be true to yourself. What it lets you do is, one, lets you make decisions more easily. Faster and better decisions, right? If something— for Marcus, if it has a bad product or bad people or bad process, he's not going to invest. For me, if it's working with someone who doesn't believe in believe, I'm not going to work with them. It makes decision-making so much easier. It also helps keep you motivated in that you know you're doing something important. You know you have a system that works and it can help keep you on track. And so I really encourage you guys to have a structure, a lens through which you see the world, because it'll make things so much easier for your business. So the question of the day for you today is: what's the structure for you? What's the lens through which you see the world? I'm really curious to find out. Leave it in the comments below, and I'm gonna join in the discussion. Thank you so much for watching. Have an amazing day. Continue to believe, and I'll see you again tomorrow morning for another shot of venti espresso.
