Mike Andes and others break down why a small business owner's lack of financial tracking is crippling. No P&L, no balance sheet, just a Google Doc. Cash on hand is $14,000 but monthly burn is $50-60k, creating immediate payroll problems.
Our guys have never.
Missed a paycheck, ever. We're the ones who miss the paychecks. That's why we want the profit, because, like, we have bills too. He has a house, I have a truck payment. I'm getting ready to get married in the summer. So it's like when.
You have really, like a P and L that doesn't hardly exist. A balance sheet that's typed up on Google Docs in two paragraphs, you are flying blinds, like, literally being dropped into a car in the middle of the prairies and be like, where do you think you are? You have no idea.
For me coming in. I can't. I can't really do much because I don't know, like, what is your labor efficiency? You know, how much are you spending on admin versus out in the field labor? Like, there's no numbers and so you don't even know where to attack.
Yeah, have.
Them on a spreadsheet so someone else can look at them and then help you. Because, like, I can't help this business.
Like, right now. How much is in the bank?
14,000.
Okay, so it's not like, crazy bad, but squeaky going into, like, probably a 50, $60,000 a month.
There's a couple of weeks where it's like, payrolls coming. It's like, who has a credit card on file? Hit them.
So we'd have to switch the routes up by, like, if they're on a Thursday and we were already behind a little bit, we'd like, oh, let's move them back to a Tuesday. That way, you know.
Hey, come Thursday, everything's in the account so we can.
Give them their checks on Friday. So that's.
The rough part that we're like, we don't want to do that.
