How to Focus in a Noisy World

Have you noticed how noisy it is around you?

I’ll speak a bit louder. Can you hear me now?

Now I’ve got your attention, I want you to reflect on whether you have a clear focus on your most important work.

Getting your most important projects completed has to be a key priority.

You have to block out the noise. 

If you don’t control the noise, it will control you.

Email

Do you love watching emails cascade into your inbox and reading them instantly?

Or do you have an audio ‘ping’ announcing each email’s arrival?

Well stop it.

Turn off email and only open it to check between blocks of focused work. If you want to, treat it as a reward for a solid block of 60-90 minutes of uninterrupted focus.

Another winning tactic is to set an autoresponder email that advises people you’ll only be checking your email mid-morning, after lunch and late-afternoon.

Then simply schedule 15 minute blocks in those three windows to check and respond.

But don’t cheat.

Internet

Do you love getting lost surfing the web? Does click bait turn you on?

Endless hours are lost each week to this.

So stop it.

Turn off your browser and only use internet for focused tasks related to your activity.

If this is particularly hard for you, schedule times at lunch or after hours to satisfy your web addiction.

But don’t rob your most important work by entering this vortex. It is a thief of time and productivity.

Social Media

Social media can be the Achilles heel to focus. There is endless content being spewed out on so many channels.

Of course I agree social media has a place. I use it.

Posting content on social media is best when connected to your focused activity.

A blog link, a helpful resource or insightful comment on twitter is okay when linked in context.

Just manage your access.

Set up a social media calendar with activity scheduled strategically on given days.

If you are a social media junky, allocate unrestricted access outside of windows of time dedicated to your most important work.

Next time you think that twitter post is so important, make the post and then open the stopwatch on your iphone. Hit refresh on twitter and time the number of seconds it takes your post to be buried down the line. 

Mobile Devices

Turn off notifications, beeps and vibrations on all mobile devices that interrupt focus.

As the saying goes – Silence is golden.

Internal Meetings

Those of you that know me, know I bang on about how critical internal meetings are.

However, they must have a standard agenda, run times, rules, a Chair to facilitate, a Scribe to note agreed actions and follow up actions distributed.

A regime of recurring meetings should be non-negotiable and inserted in all attendees’ diaries.

Beyond these non-negotiable internal meetings, there should be ample capacity for focused activity.

Open-Plan offices

I never understood the US-led popularization of open-plan offices with the CEO sitting within the team.

How can they be expected to function optimally as CEO?

No clarity to think. No confidentiality. How can they focus on their critical work as leader and have private conversations or review confidential documents?

If you don’t have an office, try and create a sacred space for focused activity. Perhaps a meeting room. Or the Boardroom. Your home study. Or hold walking-meetings like Steve Jobs famously did in the park. Even a quiet café or park bench.

Escape the noise and create a mindset and an environment where focused activity is paramount.

How else can you create your best work with the constant noise and distraction of our crazy world?

Commit to the discipline of eliminating the noise. Change things up.

The world needs your most important work. And it’s your job to deliver it before leaving the planet.

If you want to talk about focus and working on your most important projects, please email me at darren@darrenkbourke.com 

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I really want you to start creating sustainable success in your business and life. Simply check out my FAQs videos HERE on what business owners most commonly ask about sustainable business success. If they help you, simply sign up and get the other 20x videos free.

Claim your Giveaways now, find out what the Fourth Moon is and reach your goals sooner!

Cheers, Darren K Bourke

Employees or Contractors - The Dilemma of Hiring Talent

When you need a resource in your business, how do you tackle it?

Is your default response always to hire employees, only to regret it later when it doesn’t work out?

Or are you innovative and look at your resourcing need holistically, considering engaging contractors as a potential solution?

Business owners struggle with this dilemma.

So here’s some tips to consider.

I preface this blog article in saying that you should understand the definition of an ‘employee’ under the applicable legislation. So please check that ‘contractors’ are in fact contractors and not ‘deemed employees’ under law. 

Reasons to hire Employees

There is a permanent or ongoing need, full-time or part-time, for the resource. 

Hiring an employee fixes operational costs through fixed salaries.

Hiring talented employees with operational skills may reduce business risk in the ability to deliver your service offering. Business continuity is important.

Employees can reduce the burden on owners in running the business.

Attracting and retaining talent through employment can be a competitive advantage and create barriers to entry for other competitors.

Reasons you may prefer not to hire Employees

Getting stuck with a resource you may not need in the business on an ongoing basis.

Getting stuck with a particular individual you may not wish to retain in employment.

The annual cost of a full-time resource may be prohibitive for cash flow reasons.

Employment on-costs such as superannuation and insurances.

Administration increases for payroll processing, employment records, taxation and other record keeping.

Employees are paid when they are sick and on holidays.

Fear of unfair dismissal claims or industrial relation disputes if you wish to terminate employees.

Fear of personal conflict if in dispute with an incumbent employee

So what are some of the benefits to engaging Contractors?

Contractor costs for a resource can often be reduced through tendering and negotiation between several parties seeking engagement.

Engaging a resource on a ’success only’ basis can result in you only paying if they meet the deliverable.

Contractors can be terminated when the business doesn’t need the resource. There is less personal conflict and no fear of an employment law dispute.

Engaging a more experienced resource through appointing a contractor for less hours at a higher rate. In this scenario, the annualized cost for the resource is generally still cheaper than paying a full-time employee over a year.

Contractors often work off-site and reduce operational expenses in not impacting administration expenses or rent. Contractors are not normally subject to employment on-costs.

You do not pay contractors when they are sick or on holidays.

Cash flow may be smoother through negotiating payment terms with as contractor.

What types of roles suit Contractors?

In the global village of the internet, there are endless ways to engage contractors to meet a resource need.

Business owners are getting savvier about resourcing.

And don’t just think that all contractors engaged are sourced off-shore via the internet. There are many local domestic contractors providing resourcing solutions to business owners, eliminating the need for them to hire employees.  

With so many exciting, innovative and cost-effective resources available, it is worth observing which ones are working best for business owners?

The areas that I am seeing more contractors being appointed by small and medium businesses include:

•    Bookkeeper
•    Finance Manager/Virtual CFO
•    Personal Assistant/Virtual assistant
•    Graphic Design
•    Accounting/Legal
•    Website Support
•    IT Support
•    Administration
•    Data Processing
•    Online Sales
•    Sales & Marketing
•    Social Media & Communications

Finding the right balance

There is a happy medium in complementing your employee team with contractors.
Getting this right is part art and part science.

I encourage you to be curious and innovative in finding solutions to your resourcing needs.

There is no one way

Play with this and make it work for you.

Creating synergies in resourcing through both employees and contractors is the future.
If you want to learn about how I can help your business with resourcing or other business challenges you’re facing, please email me.

You might like to also come to our Roadshow on Thursday this week, as it will give you some further insight on the article above. If you would like to come along please find further details here.

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I really want you to start creating sustainable success in your business and life. Simply check out my FAQs videos HERE on what business owners most commonly ask about sustainable business success. If they help you, simply sign up and get the other 20x videos free.

Claim your Giveaways now, find out what the Fourth Moon is and reach your goals sooner!

Cheers, Darren K Bourke

The Secret to getting Profits out of your Business - The Takeout Policy

One of the greatest opportunities missed is business owners not getting their profits out of the business. 

All the hard work in starting your business and developing an attractive offering that meets the needs of your target market amounts to nothing if you don’t withdraw profits.

The solution to this, and one of the great wealth secrets of the successful, is The Takeout Policy.

Lazy Money

Having excess cashflow rolling around in your business operating accounts is akin to ‘lazy money’.

I’m not talking about marginal businesses that float within $100 of their loan limits day to day. Or businesses that re-invest their profits for growth. Or start-ups focused on fast scale and exit.

The relevance of the Takeout Policy applies to the many established businesses that are producing solid and consistent operating profits. 

Shouldn’t I leave my money in the business?

It depends.

Yes if you are a start-up and need early profits to survive, grow rapidly and exit. Yes if you are rapidly expanding your business, adding new divisions or entering new markets. Yes if you acquiring businesses or intend to start new ones. 

No if you are like most small and medium businesses. You are established, drawing a market salary, have a static staff level, a stable customer base and a satisfactory ‘cash float’ for working capital. You are profitable.

Businesses in this second group I encourage to adopt The Takeout Policy.

How does The Takeout Policy work?

The Takeout Policy explained: 

1.    Leave a sufficient ‘float’ in the business for working capital
2.    Put aside a sufficient tax provision (based on your tax rate applicable to earnings)
3.    Only apply the Takeout Policy to a profitable period of trading (quarter or half-year)
4.    Should you incur a trading loss in a period, that trading loss must be recouped next period before future Takeout can be withdrawn
5.    Withdraw trading profits (after tax provision) in arrears after you have collected from your customers  
6.    Invest in capital appreciating assets 

What about cashflow?    

Leaving a ‘float’ in the business provides working capital with sufficient funds to pay your wages, trade creditors and general operating overhead.

This is critical to your peace-of-mind in knowing that there is enough money in the business to pay the bills.

It also provides confidence to transfer profits out of the business safely and systematically. 

Cashflow is supported by the timing of The Takeout Policy. Takeout is in arrears. That is, profits are taken out 90 or 180 days after the trading period when you have collected debtor monies from your customers. 

The Takeout Policy acknowledges the need to convert debtors to ‘cash at bank’.

Is it risky?

If you strictly follow the rules of The Takeout Policy, it is not risky.

If you make a loss for the period, there is no Takeout Policy for that period.

Losses from a previous period must be recouped in the next period before any future Takeout applies.

Takeout should be invested in capital appreciating assets.

Worst case scenario, should you have a major setback in the future – you sell some assets. These assets in most cases will have appreciated over time. As a result, you will most likely be in front having invested in assets over time, rather than having cash rolling around in your bank accounts. 

How do I get started with this?

Review your working capital requirements in conjunction with the risk profile of you and your business partners.

Assess the ‘cash reserve’ you want to leave in the business to cover working capital needs. 
This might be a month’s wages. Or a month’s trade creditors. It could be a month’s total payments.

Whatever the amount, quarantine this reserve before commencing The Takeout Policy. 

If this reserve needs to be saved for, delay the commencement of The Takeout Policy until this reserve is reached.

Once you have a sufficient cash reserve, set up The Takeout Policy for implementation.

Implementing The Takeout Policy  

Set the frequency of Takeout based on your business and any seasonality. If you carry debtor balances for a long period of time, or are subject to seasonality in your market, look at the timing of Takeout.

Typically, the best frequency I’ve found is either 90 days or 180 days in arrears. Quarterly or six-monthly seems to work best.

Ensure that you have accurate and timely financial reporting. If you are to withdraw profits, you want to make sure that your profits have been calculated accurately. 

I recommend setting up a separate interest bearing bank account for you to transfer the tax provision on profits. This will keep your Accountant happy and you will sleep well knowing your taxes are provided for. The tax bill will inevitably come, so there is no point pretending it won’t.

Set dates in your calendar for the transferring of tax provision and Takeout. Or schedule it to follow a Board or Management Meeting. This discipline ensures Takeout happens.

What can I expect over time from The Takeout Policy?

Applying The Takeout Policy on a systematic and disciplined basis over time will dramatically improve wealth creation.

Through investing in capital appreciating assets over a period of time, you benefit form ‘time in the market’. Time in the market is what allows your assets ‘time to appreciate’ in value.

The ability to invest in capital appreciating assets over several decades rather than ‘leaving profits in the business’ until selling the business or retirement is key.

If you wait until you sell the business or retire, you then have limited years for the capital assets to appreciate in value. 

The key to wealth creation is investing consistently over time in quality assets.

And finally. 

Have fun with this. Smell the roses in making those Takeout transfers. Getting profits out of the business is the final step (some may say the most important step) in recognizing and crystallizing the reward for all your effort.

Let me know if you are ready to make the commitment to The Takeout Policy in your business.

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I really want you to start creating sustainable success in your business and life. Simply check out my FAQs videos HERE on what business owners most commonly ask about sustainable business success. If they help you, simply sign up and get the other 20x videos free.

Claim your Giveaways now, find out what the Fourth Moon is and reach your goals sooner!

Cheers, Darren K Bourke

The symbiotic relationship between three levels of goals that creates powerful synergies for achieving your Business Strategy

Synergy is what happens when the right people do the right things.

I recommend you establish your Top 5 Goals as follows:

1. Top 5 Goals for Business (Owners/GM/MD accountability)
2. Top 5 Goals for Management Team/Key People individuals (Management Team accountability)
3. Top 5 Goals for individual employees (Crew Goals & accountability)

The key strategy here is to ensure that goals are influenced/linked within the three levels.

Get this right and let synergy go to work.

There is an alignment or synergy in the achievement of Top 5 Crew Goals by individual employees leading to the achievement of Top 5 Goals for the Management Team which ultimately leads to the achievement of the Top 5 Goals for the business.

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I really want you to start creating sustainable success in your business and life. Simply check out my FAQs videos HERE on what business owners most commonly ask about sustainable business success. If they help you, simply sign up and get the other 20x videos free.

Claim your Giveaways now, find out what the Fourth Moon is and reach your goals sooner!

Cheers, Darren K Bourke

13 Benefits to working within a Group

Here are  13 benefits worth considering when thinking about how working in a business group could be beneficial to both your personal and business growth.

1. Work ‘on your business’ rather than ‘in your business’
2. Offers an external forum for discussion away from day to day operations
3. An environment in which you’re not alone in issues faced
4. Other people offer unique perspectives that you may not have considered
5. Empathy & understanding on your challenges
6. Peer-to-peer interaction with like-minded people
7. Offer solutions to your problems or tactics to chase opportunities
8. A chance to be strategic
9. Group sessions provide a deadline to take action
10. Creates focus
11. Groups have a wide network of resources and specialists
12. Provides a support network to invest in your inner game
13. Offers you a chance to give back to others – the principle of reciprocity

Come and spend a year in business together and transform your business at Master Moons .

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I really want you to start creating sustainable success in your business and life. Simply check out my FAQs videos HERE on what business owners most commonly ask about sustainable business success. If they help you, simply sign up and get the other 20x videos free.

Claim your Giveaways now, find out what the Fourth Moon is and reach your goals sooner!

Cheers, Darren K Bourke

Strategies for Business Owners to Play a Bigger Game in business this year

Devise and document your Strategic Plan for the new financial year incorporating your Top 5 Goals.

Implement your Strategy and launch it with your team. Share your vision and Game Plan.

Make non-negotiable commitments around internal meetings, staff management, management reporting, customer relationship management, supplier management and shareholder value.

Beyond your non-negotiable commitments, leave all other available capacity for ‘working on your business’.

Spend 80% of your time on, or influencing, the achievement of your Top 5 Goals.

Reduce reliance on you as keyperson through an engaged, empowered accountable team.

Maximize relationships with your Stakeholder Quadrant – Customers, Employees, Shareholders & Suppliers.

Reduce working hours through focus, structure, delegation and a commitment to the process.

Increase your profitability through serving your niche market better.

Get your profits out of the business through adopting a Takeout Policy.

Create wealth through investing profits systematically and methodically over time through a disciplined Takeout Policy.

Create a business model that delivers predictable results and crates sustainable success.

Come and join me for an evening where I’ll share my success strategies at Roadshow Melbourne where I deliver my Keynote Presentation The Fourth Moon – A Metaphor to Transform your Business

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I really want you to start creating sustainable success in your business and life. Simply check out my FAQs videos HERE on what business owners most commonly ask about sustainable business success. If they help you, simply sign up and get the other 20x videos free.

Claim your Giveaways now, find out what the Fourth Moon is and reach your goals sooner!

Cheers, Darren K Bourke