#4: How to Build a Business Like You’re Going to Sell It (Even If You Don’t Plan to Sell It)

Hey friend—real talk: what if you built your business like you were going to sell it, even if you have zero plans to do that? This mindset shift changed everything for me. It forced me to lead differently, protect my time and profit more intentionally, and set the business up to run without me being in every corner of it.

In this episode, I’m sharing six powerful strategies I use to make sure the businesses I run could function without me—and maybe even sell for a high ticket if I ever wanted to.

What I’m covering in today’s episode:

• Why every role (including yours!) needs to be replaceable
• What it really means to systematize for others, not just your own brain
• How to prioritize profit margins over flashy revenue goals
• The key to creating a repeatable client experience that doesn’t depend on you
• How to empower your team to truly own their work and make decisions
• The valuation triggers that determine what your business is actually worth

I also open up about what it was like to go through a real valuation process for my company Magnetic Profits—and how much I wish I’d done things differently when I sold my first business years ago.

If you’ve ever said, “But I’m not planning to sell,” this episode is still for you. Because building a business that can thrive without you doesn’t just give you options—it gives you peace, flexibility, and long-term sustainability.

Resources mentioned in this episode:

📚 Built to Sell by John Warrillow

⚙️ Google Drive ⚙️ Notion 👥 Worttth (Business valuation company, run by Matt Budden and Matt Smith)

☎️ Schedule a consult call to see how our firm can support your business

Thanks for listening. If this episode inspired you in some way, take a screenshot of you listening on your device and post it to your Instagram stories and tag me, @magneticprofits.

For more information about The Magnetic Millionaire Podcast or interest in our services or offers visit our resources below:

Visit our website: magneticprofits.com

Check out our courses: magneticprofits.com/services

Check out our podcast page: magneticprofits.com/podcast

Connect on LinkedIn: linkedin.com/in/alyssa-lang-mb

Connect on Instagram: instagram.com/magneticprofits

Connect on Facebook: facebook.com/magneticbookkeeping

Transcript

004 - How to Build a Business Like You’re Going to Sell It (Even If You Don’t Plan to Sell It)

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[00:00:00] What if I told you that the most powerful way to build your business that you love running is to build it as if you were going to sell it, even if you'd ever planned to exit. This one little mindset shift can really completely change. The way that you lead, the way you delegate, the way you protect your time, your profit, and even your peace.

So let's talk about building a business that runs without you and why that's the most freeing move that you can actually make within your business. I'm so excited to dive in today's episode because I'm gonna go real deep and real fun with all the different strategies, the different things that you should be doing to get really serious about building that business.

As if you were gonna sell it, even if you may not actually want to. So it's so funny that when, if nine years ago you would've asked me if I would be recording this type of episode, one, I would've never known it was possible that I'd actually even have a podcast. First of all, two, if you would've told me that I'd have a million dollars, I'd be like, you're freaking crazy.

And three, I probably would be like, there's just no way it would take me years to do this and do that. And. It [00:01:00] just, the idea of selling a company in my mind at that time, so many years ago, was this idea that you had to be this like multi rich, like crazy like billionaire person that sells businesses and that businesses that are sold are usually like really large ones like Amazon.

And I have known now since then that that is actually not true. There are a lot of people out there who sell their businesses even when they're quite small. And I think a lot of people think that there's this like. Magic number that says once you hit this number, you can therefore sell your business.

And that's really not the case. There's a lot of reasons why someone might want to sell their business, and like I said, that's not the intention of the podcast, is to break down. Whether you wanna sell or not, but I think it's a really important part of this process of us going through this on today's episode is sometimes you might not want that.

And for me, I didn't want to sell. And that was something that I was so, so adamant about. I was also very adamant about never, you know, growing the team, it was always gonna be me. I was gonna wear this badge of honor that like I could do everything myself. And now I can never imagine my. My entrepreneurship journey is like any of our companies [00:02:00] as something where I have to do all the work.

Like I don't know what I would do without my team. Like now it's like so crazy to think about the way I used to think then and now how I'm operating now. And so even if you've never planned to sell it, just like me, I think at the end of the day it's just taking a step back and saying, what do I really want from these companies?

And this is when you have to get really clear with yourself. And this is looking at things like. If everything worked out in my favor and gave me exactly what I needed, what would I want from this company? Since then, since the many years of doing this, and since three different companies, yes, I will sell a company and I've done an untraditional sell of one of my companies, my very first one, and I did like a portion of my client list.

And if I would've known what I know now of what I could have. Actually sold my firm for, I would go back in time and do it all over again. However, now I just have the opportunity to actually go forward and the next one sell it. I actually recently went through a valuation process for my firm here at Magnetic Profits, and I did it in December of 2024 with the company.

They're, I'm definitely gonna bring 'em on the [00:03:00] podcast. Our name's our Matt and Matt and they own a company called Wirth with three T's and they're so incredible, just so awesome and, 'cause I went through a moment where I was like, do I even want this? What do I want to do? And. It just was this like weird time of my life and I went through the valuation process and you'd be really surprised guys, what your company could sell for.

And I have a really good friend of mine who also went through the process of going through the valuation, who's currently waiting for an offer to sell her firm. And I'm so proud of her. Um, I'm excited for her to celebrate that when it happens for her. So anyways, the reason I wanted to bring this up to you guys is the fact that.

I thought a long time ago, and your mind can change and that you could think that one way is is gonna be how you're gonna end your journey. And now I know the power of actually building the business, like you're gonna sell it because when you do go to sell it, there's a lot of different factors that come into play.

And like I said, I'll bring Matt and Matt onto the podcast. Because they're gonna do a way better job of nailing what that actually might look like. But I'm gonna be sharing, sharing it with you from the standpoint of like more on the financial side, [00:04:00] plus also more from the operation side and the different angles at which that maybe you are just very, I.

Inside the business all the time. That's something that if your business is dependent on you, then that's just not gonna put you in a good position. When you actually do go to sell. It doesn't mean that you can't sell it, it just means that you might not have a better higher price tag when you go to sale.

And so I wanna deep dive into some of those strategies, some of the things that you guys might want to consider. And like I said, even if you don't wanna sell, just shifting your mindset to say like. If I were to sell this, the way that I'm operating, the way I'm doing things, the way I'm delegating the hi, the team I'm hiring, the way that I'm still involved with this, sell for a high ticket that will help you to start making a better decision.

And then if in the case you do wanna sell or you guys, I've heard, I've heard it all, literally, I've heard people be like, my husband died and I, I just can't do this anymore and now I actually need to sell the company. And I really regret not putting in the time that I needed to and the effort to actually make it be built the way it needed to be.

And also. As someone who's a multi-passionate entrepreneur. [00:05:00] This is not my last company. I know that three is never gonna be done for me. And I know myself way too well, that there's gonna be way more opportunities and like I already even know, like the house that I bought, I'm not gonna live here for 30 years.

Like hell no. That's like the old way of thinking. If you guys realize, like our parents and our, the generations before us were convinced that they had to stay in the same position at the same company doing the same thing for 30, 40 years. And even with their homes as well. That's changed. A lot of people don't want that consistency, and if you do, that's totally fine.

But for me, I like my life consistently changing, and so I know that there's gonna be more opportunities. I know that there's gonna be more things, and the more that I can remove myself as the founder and the owner of the company, but still lead and still make the impact that I want, the more I can actually serve.

And create more impact and do bigger, better things and things that challenge me as an individual. So let's dive into all the fun things. So even if you're not interested in selling your business, learning how to actually build it like you wanna walk away from it, or if you want to walk away tomorrow, [00:06:00] you have to think through the ways that it would help you change the decisions.

Leading your team, the structure of your offers, the energy, everything that needs to go into it. So a couple things that I really wanna deep dive is six different steps for you guys. And feel free to take what you need and leave what you don't. That's a huge thing for me. I will tell you guys that it was such a mind fuck for me.

It the very first time I ever heard of the concept of building your business like you wanted to sell it was actually a book. I really wish I could remember the name of the author. Um, I think it's John something. I'm gonna have to remember it. Maybe I'll put it in the show notes for you guys. But. It was so pivotal to me 'cause I was like, I don't wanna sell.

I was just very much like, I don't wanna sell. It's never gonna happen. And realizing that like I have an asset that I'm truly sitting on in the case that I wanted to be like, you know what? Fuck it. I don't wanna do it anymore. I'm done. I can literally start the process. Doesn't mean you'll sell tomorrow, but it does mean that you have something that is sellable and it's not just something that all your blood, sweat, and tears.

Imagine it just being like, okay, let's say you have a million dollar company and [00:07:00] you know, you go to sell. And they're like, yep, we we're only gonna give you like, you know, two, I'm just making shit up. But like, we're only gonna give you 300 K for this company. Wouldn't you be like. What the hell, like I worked so many years and I can't believe you're gonna do this because they're gonna come back to you in that situation where they're gonna buy you, they're gonna rip apart the business and see what areas are lacking.

Maybe do not have the right contracts and the not like right legal support on the backend. Is it very dependent on you? Do you not have management in place? There's so many different factors that really funnel into the decision of how much you can sell your company for. And so at the end of the day, wouldn't it be really nice to be able to do three, four.

Five times the amount of which you bring in as revenue. Imagine selling for 5 million, right? So like, just take a step back and just remember that while you might not want that decision now. You want to build the business like you're gonna sell it and like you wanna sell it for high ticket. 'cause a higher ticket you want it for means that you're most likely more removed.

You've got a lot of things locked in place. So number one is treat every role on your team as replaceable, including yourself. [00:08:00] I know people are like, what the hell does that mean? And why is this a thing? How many times have you heard? Maybe this is you, if, if I'm calling you out, it's okay if this is coming from a place of compassion.

How many times have we hired someone and they're like your right hand person. We say it on our Instagram, we're like, oh my God, my right hand person. They're so incredible. Well, I love right hand people and I think they have like, they do such a great job and they make really great impact. At the end of the day, every egg is in that basket for that team member and therefore you put yourself at risk.

And so in the case that you were to sell the company, they are going to, um, look at all the different risks. They're gonna assess it and see. Is it risky that they have this one person who literally executes on everything and then everything else is on the owner over here, and who's it dependent on? At the end of the day, you don't wanna put all your eggs in one basket, and it's okay if that's the situation that you're currently faced with right now, but that is where we're looking at the beautiful journey in the plan along building the business like you're gonna sell it is by saying, I'm gonna currently look at how I'm running my [00:09:00] business now in ways that I can operate in a way that.

I am replaceable that the team is replaceable in that case. So this is where you guys are gonna be documenting every repeatable task or decision. This is so huge and a very, very crucial step because you are gonna sell for a higher ticket if you have sexier SOPs, systems, processes in place that someone knows that if I buy this company, I do not have to worry that this business is gonna fall.

And crumble because there's no systems in place, right? Build these SOPs, build the systems guys before it is urgent. This is huge. I see this all the time where people are like I, they don't start implementing SOPs or systems. This is actually what we do at my Workflow Queen company, but we specifically work with the accounting industry and at Workflow Queen, we see it all the time of other accounting firms who are like, I am finally maxed out.

I cannot serve any more clients unless I create systems and hire. I'm like, and why did you wait until you had that headache to finally start doing it? And then they're in this like phase where like they're just putting in so much work trying to document SOPs. They're getting burnt out, they can't hire a [00:10:00] team 'cause they don't have time.

They can't slow down. So why not try to create those systems and those SOPs a little bit sooner? And sometimes that's by hiring the right people to be able to implement those things, or even hiring team members. And guys, at the end of the day, I hear this all the time. I have to be the one to document the SOPs and I'm the only one who knows how to do it.

Like that's such bullshit. Like you do not, you're not the only one in this world who knows how to do something. It's just all about hiring the right person that you trust that can actually go in and document those things for you. And I want you guys to think about giving team access to specific knowledge, not just instructions.

So when we're talking about replaceable, especially when we're talking about you, we tend to gate keep as like the founder, like. They don't wanna learn this or this is just so many years of experience. I go through this a lot with our advisors here at Magnetic Profits, where essentially I'm trying to give information and knowledge over to them rather than just telling them what to do because I need them to have autonomy.

If you missed the episode, I think it was in part two, part two, about, um, how I would rebuild the business if I did it all over again. Listen to that one about my 80 20 rule, [00:11:00] because you wanna give more autonomy to the team and help them gain their own knowledge. Let them fail. Let them fall on their face, like let them, let them soar high.

Let them have to have an uncomfortable conversation because they drop the ball on this uncertain client's project, like let these things happen because we wanna be able to know that we can teach them rather than just instructing them. Ask yourself this. Could someone step in and do this? If I stepped out for a month?

So just sit with that with yourself. If you can immediately answer that right now and say, there's no way that I could step away from the company and someone else step in and I could be gone for a month, then that means that you are not replaceable. That means that you're at risk. That if in the case, something were to happen to you or even a team member.

That you're at some sort of risk. So treat every role as replaceable, including your own. Number two is build your systems like someone else will use them. So this is really, really big. So don't just organize your own brain, organize your future CEO. And so this happens a lot where I see people like entrepreneurs 'cause we're all very A type and we all, you know like our ways of [00:12:00] things that like need to be in certain orders.

And I totally get it. I am much more of like a strategy organization, systems person than I am more visionary. But I definitely will say that I'm probably like. 75% systems brained and then 25% vision. So I'm grateful that I kind of have both. But I will say that a lot of the times in the mistakes that I see a lot of our entrepreneur clients making, when they're coming to work with us, having conversations, and we're looking at the different leaks in their profit, and we're looking at the behind the scenes and consulting with them, we're finding that a lot of times they have so much control over.

It needs to be this software. It needs to be an organized in this way because it makes sense for my brain and I get it. People like that has been me for so long. But I will tell you that you have to let that go. Why does it matter how you want it to look? If your team is asking you to have it look a different way, this is the thing that will hinder your growth and will get in your way forever.

If you don't just let go. You gotta just let it go. Centralize everything. Ops, deliverables, assets, processes, anything that you possibly [00:13:00] can. This is really big because in the case that you do wanna sell the company, if everything's in like Google Drive and then Notion and then cheer and it's there and it's like in 50 places, it's like where is everything?

You wanna be really clear, not only if in the case you were to sell, but also in the case that you are currently operating. You wanna make sure that it's really easy for the team to be able to access everything that they need because at the end of the day, if you got pulled outta the company tomorrow and you had to leave for a month and you could not have access to a phone, would your team know where to access everything?

If that's a no, we've got an issue. Let's fix that. Let's build that. Um, I want you to also look at, um, protecting yourself from burnout. 'cause at the end of the day, like burnout from not just you, but I'm talking with your team, this is something a lot of people kind of tend to forget about because as entrepreneurs I.

We're taking on most of this stress and we don't realize that the team is also taking on stress as well. Maybe it's from your energy. Maybe it's from all the like projects that you're putting on their plate, or you put all your eggs in one basket and just hired one person and they can't be replaced, and [00:14:00] you're just throwing things at people.

It is really overwhelming for them, and it could create a lot of turnover on your team. Lack of systems. Lack of organization, lack of leadership can be a really big reason that people quit your company. And so we're really looking at these from a different angle and a different mindset saying. If I were someone that wanted to sell this company, would it sell for a higher amount?

Because I don't have a lot of turnover because my team members are lawyer. Loyal. Loyal, because I don't overwhelm them. Right? So number three is get really serious about your profit margin. So this is something that as someone with a financial background, I'm gonna heavily lean into this conversation because this is something that a lot of people are so driven by revenue.

You could literally scroll on Instagram right now and you'd probably have like in a couple of scrolls, you'd probably see like three or four people claiming I make a hundred k, I make 10 KA month, and I do like 3 million and in a one quarter, or you know, all these numbers that people are throwing out there.

But at the end of the day, have you ever really stopped to hear anybody talk [00:15:00] about their profit though? I could give two shits about your top line revenue. I care more about that bottom line. That bottom line is after all the expenses and all your costs, how much are you actually taking home? That to me is more important.

We have actually worked with clients who've come in to work with us. Who started with us and they were literally making 3 million a year to then come in and say, oh yeah, we wanna like, you know, do better and do this. And they're only profiting 500 k. You guys, they make 3 million and profiting only 500 K.

They are spending $2.5 million a year when originally coming with us. And then we have conversations with them, we start consulting them and advising them, and then we have 'em take a step back and say like. Let's clean up your profit margins. Let's clean up. Clean up that bottom line. Let's clean up the way that your team is operating so that way we could create more efficiency.

Let's cut out contractors that are no longer working for you. Let's start tracking KPIs to make sure that the team is actually executing and get rid of team members that aren't serving you anymore. [00:16:00] Let's look at the way that you're spending cash, that different ads that you're running on the backend.

We do so many things to review our clients, to be able to see from a different angle to say. How are these profit margins? And then what we did with that particular client is now they're up to 1.5 million in profit, which is insane if you actually think about it. And the reason I say this is because everyone's out there flexing that front top line number.

If you guys haven't already, I highly recommend that you listen to episode number one. It's all about my 446. K launch? Well, yes, that's what we brought in top line. I do actually share our profit and everything from how much we spent, the expenses, how much we spent on ads, our team, everything that you guys need.

And that way you could see what that actually looks like. So I always say like, let's get really serious about the profit margins because one big thing that when you go through the process of actually wanting to get evaluated and potentially sell, they will rip apart your p and l. So first of all, if you do not have a team, a financial team, doing the backend numbers, at least by our minimum doing the bookkeeping.[00:17:00] 

Heavily recommend that you literally reach out to my team, like we will help you guys. This is what we do all day, every day. Um, you can email support@magneticprofits.com or you can go to our website, magnetic profits.com, book a call with us or just come on ig. If you guys need some support, I'm happy to.

I. Um, tell you and introduce you to someone or if it's us, whatever that might look like, the reason why this is so important, and the other core piece of your profit margins, and be able to track it if you are doing your own bookkeeping or if you have an assistant who does it for you, or you have your VA company do it, or your operations manager.

Run. And I'm not just saying that because that's what we offer. I'm genuinely telling you this because I see this often from a lot I guys, I'm, I've seen multimillionaire, women still doing their own bookkeeping, still bringing in an assistant, some people still on spreadsheets, not actually using a proper accounting system, operating off tens of millions of dollars.

And just winging at the end of the year to produce things for taxes and give away paperwork to their tax repair. You guys, the [00:18:00] taxpayer doesn't care. They're not gonna double check your work. If you tell the taxpayer you spent X dollar amount and you brought in X amount, they're just gonna trust you. At the end of the day, you will have to defend yourself to the IRS.

When you bring on someone like a bookkeeping team to come in, you can have way clearer profits. You're not asking an assistant who doesn't know shit about shit when it comes to bookkeeping, and no offense to your assistant. I just see this so often, and this is really coming from a place of compassion.

Because guys, I can't tell you how many times our team has cleaned up bookkeeping from people who have done it themselves and thought like, well, it's not that hard. I'm gonna tell you right now, it's not that hard and not rocket science. Two categories, a transaction. That's the easy part. I will say all the backend reconciliations, all the backend moving parts of your assets, of the management of the backend stuff on your balance sheet, that stuff matters.

I can't tell you how many people I know that are understating all their income. And so the reason I'm talking about this is if you want to sell the business, they're gonna rip apart the books to ask. Where are you spending money? Why are you spending this here? Another big thing too is cutting back any [00:19:00] bloat by knowing your numbers so you don't know what you can budget and fix and, and cut back on If you are like, don't even have the numbers or if you're relying on your assistant.

I remember this one client came to us and I actually met her in one of my masterminds. Um, and we were having a conversation one day and she said, yeah, I hired this company from the Philippines. They do it for like $25 an hour. They do our bookkeeping. And I'm like, great, I'm so happy that served you for so long.

I'm like, do you mind if you just gimme access to your QuickBooks online system? Or at the time they were using Xero. And um, she gave us access to it. And literally within me just scrolling through a couple of parts of their transactions, I said, this $30,000. Um, transaction right here for this particular group coaching program they put as entertainment.

Did you know that that actually like, gets dismissed by the I-R-S-A-K-A? You would've missed out on, um, the deduction that comes from a $30,000 expense when that actually needs to be coaching. And I was like, just that alone would've covered the cost of my team doing it for you. And so I say this all the time, that like your VA and you doing it, you're probably [00:20:00] missing things that you don't realize are so important.

And then also when you don't do want to sell. You wanna make sure that you're looking at how much money are you spending on things that are kind of what they call add backs. Add backs essentially are when we're looking at the finances. Let's just say that you are, I don't know, let's just say that this month you're traveling to Costa Rica for a quote unquote business retreat.

At Wing, wink, quote unquote business retreat, right? You're gonna wanna take those out when you're actually going through the selling process, which usually whoever is helping you with the valuation, which like I said, I'll have Matt and Matt on the people who've done my valuation and have done it for a lot of our clients here as well, is I will.

Um, they will go in there and they will say, well, how many of these, you know, transactions? How much money do you think you're spending on things that aren't really necessary for the business, but can still be somehow deducted? So you wanna make sure that you understand that much stuff because especially if you do wanna sell, you wanna start tightening it up, tightening that up, and even in the meantime, tighten up your spending.

People start building offers that don't rely on you. To actually deliver them is a really another important key. [00:21:00] The next thing is number four. We've got a couple more here guys, and we will end it off and yeah, let me know if you guys have any questions along the way. By the way, I just love answering any of these cues.

It's one of my favorite topics is building a business like you're gonna sell it. Number four, clean up your client experience. This is. So huge because at the end of the day, in the case that you were to sell, you wanna make sure that you don't have RI or the new person that were to come in doesn't have risks that all your clients would leave because you are either A, fully, um, immersed into it, or B, you're just lacking a really good system around how you handle those clients.

So. Is your onboarding super airtight? Is your delivery process super seamless? Are you the one not delivering on the service? Um, are you delivering consistent results? Because we wanna make sure that there is consistency across all of our clients, right? Um, and so for me, I think the client experience system is one of the most important and most crucial pieces in any business, in my opinion.

These, these things that we set up, the things that we're working [00:22:00] towards, the things that we're, we're producing and the, the results that we're giving could potentially be for a future buyer. Or for future? You, you, it doesn't matter. At the end of the day, like we still wanna take care of our clients and I know for me that in the case that I do eventually sell.

I know that I wanna make sure my clients are still taken care of. That's exactly what I did with my very first business when I did an untraditional sell of a portion of the client list. The other clients I actually gave away to a lot of our students at my other company because it was in perfect alignment.

And I was like, you guys, look, I want you to take really good care of them. I gave a shit about my clients and I think that you probably do as well. So in the case that you want to let your clients go and they, they move on. Like make sure that they're set up for success, right? Just because like you sell the company doesn't mean it's not, you could still care, right?

So number five is lead your team. Like you're not the center of it. So this is really huge. This means things like if you're still running your own team meetings, I highly recommend that you have someone coming in. Maybe you do have a team member who could potentially run those meetings for you, but I want you guys to empower your [00:23:00] team to take more ownership over specific areas.

These can be things like departments. These can be things like ownership over processes and not just the tasks themselves. We don't want just task rabbits. We want people to take full ownership and that could look like things like creating the right KPIs, the right growth plans, the right, um, compensation plans for your team to make sure that they are truly growing with you and actually able to have.

Uh, more expansive results and be kind of rewarded along the way. And so we wanna make sure that we're training the team to actually make decisions without needing constant input from you. Most importantly, and this is something that like if I were a buyer and I were to come into your business. I would wanna make sure that not everyone's gonna come slacking me every five seconds asking me for questions, right?

I wanna know that the team is confident and they can drive and move the ship forward. In the case something were to happen to you. That's the huge thing. Make sure to have weekly check-ins, whether that's a team meeting that actually drive you guys and not just. Like they're not just here for the, for the hell of it.

I can't [00:24:00] tell you how many times we have these analysis that we go through with our clients and we say, how much time are you spending on meetings? What are you guys covering? We look at the agenda and a lot of the times I'm having them make a change to it to say, you guys are literally spending an hour.

I. For nothing. Let's reduce that down to 45 minutes. Let's Rene Re-look at the way that your agenda's set in place. Let's highlight this. Let's go here. Let's make sure this is wrapped into your meeting database. And a lot of times people are like, holy shit, I didn't even notice that. We are just wasting a lot of time.

That is where most people with team members will spend a lot of money. Is when they're just doing consistent meetings and constantly on calls. So you wanna make sure that you are using your calls strategically to actually move the needle forward or making some of them more optional. Uh, for me, we have a non-negotiable weekly team meeting, but then there's like co-working that the team can do together, but that's really just up to you and the bandwidth that you and your team have.

So my last tip to build your business, like you're gonna sell it even if you don't want to, is know your business valuation triggers. I just went recently, went through this process in December of [00:25:00] 2024 and I cannot wait to bring on Matt and Matt 'cause they're just so wicked smart and just such incredible men and just very understanding and just, they're so smart.

So even if you're planning not to sell the company. That's okay. But you're gonna wanna make sure that you have a really good mix of your revenue. So different streams of income. Are you bringing in recurring revenue versus one time? Or can we bring in a little bit of both? How can we create more strategic offers that really help to, to diversify the different revenue streams?

And then also, another really big thing too, that I think a lot of people kind of miss the mark on a little bit is too much dependency on one particular client. So client dependency, if you have one client. That, like, let's just say, um, takes up about 75% of your revenue, that is a massive risk. In the case that you were to get bought out, that company could be like that.

Client of yours could be like, you know what? I don't know this new person. I don't really trust them. You know, you know, the X person was so involved in my company. I just can't do that. Next thing you know, they [00:26:00] leave, they just lost 75% of revenue. So if you currently have a particular, it could be a course, it could be a client, it could be a service that is too dependent, like I would just highly recommend that you diversify that.

Same with clients as well, and I. I'm not saying get rid of high ticket clients, I'm just saying that can we create more high ticket clients rather than putting all of our eggs in one basket? Another big thing too, when we're looking at the valuation triggers is really looking at your owner dependency.

So this is what I like to call work optional. Um, it's a really big, huge thing that I absolutely love to promote is just becoming a removable CEO and work optional. But what you wanna know is are you an asset to the business? Or are you someone who's kind of bringing down the company and making it almost dependent on you, because that's not what we want.

So I wanna know that tomorrow I could step away from the company and I can, I could step away from both the companies and both of 'em would survive for a month or two. Probably even longer if I really wanted to. It's just a matter of, I like being here because I like to lead the ship and create the vision, pass [00:27:00] it along to the management team, and then therefore go roll it all out and do what they need to.

Another valuation trigger is systems and documentation, like, you know, processes, stuff like that. It is so key that you guys have something that's repeatable. How are you guys selling things? How are you guys marketing? What are those channels that you're marketing through? How are you doing that? Um, how are you bringing on those clients?

What's the onboarding experience like? What's your client experience system like? There's so many different processes that we do have to document. While this sounds really overwhelming. Um, I warned you guys on prior episodes that I am an information giver. I will give you guys so much stuff, but if you want me to expand on something particular, you've gotta let me know, and I'm happy to expand on it.

But at the end of the day, you have to look back at these things, not as a way of like, oh my God, this is so overwhelming. There's so much stuff I have to implement, I have to do all these things. It's not about that. It's just about picking one thing right now and just doing it really well and just really focusing and honing in, and locking in and just knowing that that's what you're gonna be working towards.

Also, the last thing I wanna kind of point on through your valuation triggers is profit margin and [00:28:00] scalability. If someone were to come in and buy your company, imagine if right now you could just make a couple of little changes. That act actually could create better profit margins and actually bring in more revenue with less needing to do things.

And you guys can scale a lot faster. But just by changing the efficiency, just by changing the team, just by giving yourself more direction, why not operate your company like you're gonna sell it? Even if you don't plan to, it just gives you an opportunity to actually look back and say. I've got all this beautiful stuff sitting right in front of me and I can just like, turn that on just a little bit higher.

We can bring in more revenue. Be happier. I'm not saying that revenue's gonna make you happy, but you get the point. So, uh, those are my top tips that I want you guys to think through as you're building your business, like you're going to sell it. And a couple of things that you might be bringing up. I love to tackle some objections that will automatically come up.

Some of you might be saying, but I love being involved in the business, y'all. I get it. I love the business, but I also have days where I get really burnt out by the business and I love what I do. [00:29:00] I love how we help clients. I love how I've been able to operate. I love life. But I will tell you that sometimes I don't have those days, so I wanna know that in those days I don't feel like waking up and I don't feel like going to work and don't feel like doing anything that I can without having to risk that, oh shit, I'm gonna have to send that email tomorrow and do all these things, right?

If you love being involved in the business, wouldn't it be way cooler to be involved in the parts of the business that you actually love doing all the time? For me. I'm not saying, and I'm not asking you to step away from the company for seven months. I'm just asking you to build the business with more intention to know and understand that you can actually step away if you wanted to.

You could still love the business and not get burnt out by the parts of the business that you don't love anymore. You might be saying, I'm not planning to really sell it. Why does it even matter to build it like this? Guys, all these little tips that I was sharing with you guys along the way through this episode.

We'll seriously change the current direction of your company if implemented. I am that confident [00:30:00] in all of the advice that I gave you guys. These little tweaks that we make can create more money in your pocket, can create less stress for you, can create more freedom, more vacation time, more opportunities for your team.

That's huge for me. I wanna know that I can bonus my team, but I can't bonus my team if I'm over here scrambling around for cash. Right. Or if I lost my 75% of revenue client, imagine that, and now I have to fire team members. If we just looked at these things as ways to say, when I shifted this mindset of let's build this business, like I'm gonna sell it, it changed my life, right?

I want you guys to just take a step back and just kind of reflect on this. If you guys need any support or if you're in a position in your business right now where you're just overwhelmed, you just don't know where to start, how can I make these tweaks? What can we do? This is what we do at Magnetic Profits Guys, me and my team are here to support you.

We do offer three. Uh, we, um, have an offer, it's called the 360 Business Review. We essentially will come in and look at all components and moving parts of the business down from sales, marketing, client [00:31:00] deliverables, your different offers. We're looking at your all the different operations pieces, your team, and like what.

How much your business is relying on you and looking at the financials. We can come in here and do this and look and create a strategy for you guys to know where you need to plug these holes. Maybe you just need help with one of those little areas. Maybe it's like I just need to know how I can create growth plans for my team.

I. Just ask me like, just come on Instagram at magnetic profits, tell me what your issues are. If we've got a solution for you guys, I will always let you know. If it's not us, I will direct you to someone. I'm well connected. I love connecting people. It is just in my nature. So do a quick little recap of today's episode.

We talked about building the business like you're going to sell it by treating every role on the team, even yours. As replaceable. I want you guys to systematize for others, not just for you. So you're building these systems to make life easy for everyone else and everyone to be more efficient, prioritize profitability and healthy profit margins.

Create a repeatable and consistent client experience. Empower your team with real [00:32:00] ownership and understand what makes a business valuable. Even if you never sell it, build it guys like you're going to sell it. It changed my freaking life and that my friend, is how you build your millions on your terms.

Just build it just like that. I'm so excited for us to be diving into the next episode. We're gonna be deep diving into the power of the ask, so how to ask for help and where to actually find it when you need it. I know for myself, I struggle a lot with asking, and I'm gonna be deep diving into ways that you can ask friends, family, clients, and even team colleagues, other people out that are just following you In the universe, there are so many people ready to support you, but if you have a hard time asking and asking and and delegating.

That's the episode for you. I'm so excited. I hope you got a lot of wins. If you want me to expand on anything in today's episode, let me know and I've got your back, my friend.