Currently following the Cleaning Company Blueprint on YT and came across your video with them on the channel.
I’m afraid to make the leap. I also have a full time job (career firefighter) and will be balancing the two. I would like to start small, and scale like you.
With such a small start-up cost, what got in the way of you turning a profit in 2024? Any advice?
First off, thanks for your service as a career firefighter.
I am going to do an entire post just on this topic but here is the tldr;
- You can turn a profit in year 1, it just takes a little more scrappiness
- I am building this business for the longer-term so I was no focused at all on profit in year 1. My situation is very different than someone else, so I could do this financially.
- My biggest expenses could have been avoided which would have allowed me to get to profitability faster but I reinvested profits into my business to set the business up for success in years 2-6. Examples: I hired someone who has already built a successful business to mentor me, I experimented with expensive Google ads, I am using software to automate a lot of my processes that are not 100% needed yet, I am using more expensive accounting software, I avoided bad reviews by giving discounts, I hired a CPA, etc.
At the end of the day, you have to play your own game based on your situation. My situation is different than yours and everyone else.
Amazon didn't turn a profit for 7 years until 2001. During these early years, Bezos prioritized investing heavily in infrastructure, technology, and expanding the company's reach. This long-term vision, even in the face of losses, ultimately paid off, solidifying Amazon's position as a dominant force it is today.
Bezos was playing his own game. So am I (just on different scales and businesses).
The scariest part of taking the leap is taking the leap. Then you realize you should have done it much sooner. Hardest part of working out is getting to the gym. Once there, you're golden.
How do you find out how much taxes you have to pay for the cleaning company in Ohio and other states if you know because I thought services weren't taxed?
Tommy,
Currently following the Cleaning Company Blueprint on YT and came across your video with them on the channel.
I’m afraid to make the leap. I also have a full time job (career firefighter) and will be balancing the two. I would like to start small, and scale like you.
With such a small start-up cost, what got in the way of you turning a profit in 2024? Any advice?
Cheers!
Great question!
First off, thanks for your service as a career firefighter.
I am going to do an entire post just on this topic but here is the tldr;
- You can turn a profit in year 1, it just takes a little more scrappiness
- I am building this business for the longer-term so I was no focused at all on profit in year 1. My situation is very different than someone else, so I could do this financially.
- My biggest expenses could have been avoided which would have allowed me to get to profitability faster but I reinvested profits into my business to set the business up for success in years 2-6. Examples: I hired someone who has already built a successful business to mentor me, I experimented with expensive Google ads, I am using software to automate a lot of my processes that are not 100% needed yet, I am using more expensive accounting software, I avoided bad reviews by giving discounts, I hired a CPA, etc.
At the end of the day, you have to play your own game based on your situation. My situation is different than yours and everyone else.
Amazon didn't turn a profit for 7 years until 2001. During these early years, Bezos prioritized investing heavily in infrastructure, technology, and expanding the company's reach. This long-term vision, even in the face of losses, ultimately paid off, solidifying Amazon's position as a dominant force it is today.
Bezos was playing his own game. So am I (just on different scales and businesses).
The scariest part of taking the leap is taking the leap. Then you realize you should have done it much sooner. Hardest part of working out is getting to the gym. Once there, you're golden.
Great insight.
We should add “lessons learned” as an early stage KPI. Congrats on a great start!
Boy do I wish this could be a primary metric in all companies! Assumptions Debunked Rate?
How do you find out how much taxes you have to pay for the cleaning company in Ohio and other states if you know because I thought services weren't taxed?
I would ask ChatGPT and then double triple check with your states local website. Also, highly recommend having a local tax representative or CPA.