Moving Words – Down, Not Out
Timothy Brady
“He who is not courageous enough to take risks will accomplish nothing in life.” – Muhammad Ali
Here’s the scene—the boxer is on the mat, his opponent has been sent to the corner and the referee is standing over the downed fighter, counting 1, 2, 3, 4 on his way to ten.
As a moving company owner over the past year and a half, have you felt like you’re the boxer on the mat trying to stand as the ref shouts each number? This is how the pandemic has felt to many in business. And it’s not returning to its corner to wait for the completion of the count and pronouncement of a knockout. The Pandemic and Inflation are still standing over you, waiting for you to move or try to stand so it can throw another blow in your direction. It’s like an elephant against an ant, or so it seems. Yet somehow you’ve managed to stand and continue to roll with the punches.
What are some ways to withstand this onslaught which continues to land solid blows to your operation? (True, you can’t stop the punches, but you can learn how to duck so they don’t connect).
- When the going gets tough, the tough focus on generating revenue. The typical direction many folks move during a sudden business downturn is to focus on what they owe. The problem with focusing on what needs to be paid is that generating revenue gets pushed to the back burner, or even worse, ignored. Use the 80/20 rule: focus on generating more revenue 80% of the time and focus on paying what you owe 20% of the time. You’ll be amazed by how the cash to pay bills is there when it’s needed.
- Step back and re-prioritize your daily and weekly ‘To Do’ List. When we focus on the difficulties we face, our priorities tend to go askew. Without cash to fill the cash-flow machine, it’s like running an engine without oil. Not only will that engine stop dead in its tracks, it becomes impossible to restart. Again, generating cash flow must top your ‘To Do’ List.
- Cut only the costs which create inefficiency in your operation. Many times when business gets tough, business owners start slicing and dicing expenses left and right without regard to the long-term effect of their actions. As in all things, every action has an opposite reaction. Analyze those cuts before you implement them. Make sure they don’t create a ‘domino effect’ in another area of your operation and cause some vital activity to lose efficiency.
- Work on the smaller ideas and taking smaller steps. Many movers will look for that all-encompassing hauling opportunity that will solve revenue problems with one single contract. Better to look at developing less grand but more dependable smaller hauling opportunities, which are quicker to arrange and won’t tie up too many trucks with one customer. Diversity is the result of smaller steps.
5, 6, 7, 8…. Now that you’re back on your feet, stay focused on the steps outlined above and the next time …… and duck!
