Keynote Speech-Your mouth makes you your money part 4 4 k video

don't just buy a machine because you need a machine you buy a machine because it's 33% of your yearly profit equation Joel you're shaking your head cuz you get it don't you yes it's 33% your taxes are 33% that's what uncle say once and you know I don't want to give them 33% of my money so at the end of the year if I have to I'll go buy all new equipment buy all the clothing all the time like here's one of the three critical people you need out of your team in a company that's not aging our block unless your HR black guy happens to be your wife or your husband or something like that you need an accountant that knows your business inside and out that can call you with red flags and warnings before anything comes up over deliver on your communication one of the things I actually tell my guys to do is to stop for about 20 minutes a day and just talk to the customer are you guys this is the big conclusion this is the final part of our your mouth makes you your money series and this is going into the you listen while you work playlists and I've got a brand new squirrel and hopefully this one doesn't try to jump oh I just crapped yep it's always something interesting with these guys and so anyway you guys this is part of the series that lets you strap on a set of headphones and tune in without necessarily having to see what's happen in the video so the success of this depends upon you guys interacting with the video let me know what you think hitting the hit a like button and or comment down below all those things actually make a big difference you guys don't realize just how powerful you guys are because honestly the YouTube's algorithm ways every time you interact with the video without with that being said let's get into today's video what do you think let's do it yeah so what would be the advantage of leasing versus buying versus renting okay renting is 100 percent deductable but you're gonna pay a higher rate okay you're gonna pay the highest rate to rent leasing is 100% tax deductable you're gonna have a longer term commitment so if you're gonna use that machine for you're gonna lease it for six month you may only actually work it for five because it may just be parked but you still got to pay for six months right and then you purchase it if the text if it's a if the taxes are right for your year that's something important to get you wrap your head around it's to make sure that you don't just buy a machine because you need a machine you buy a machine because it's 33% of your yearly profit equation Joel you're shaking your head because you get it don't you yes it's 33% your taxes are 33% that's what uncle's saying once and you know I I don't want to give them 33% of my money so at the end of the year if I have to I'll go buy all new equipment buy all the women all the time wait I but three new trucks that you need them but I'm not giving that money to Uncle Sam I'm not doing that I'll find a reason to have that okay because it's your money you earned it take advantage of those tax loopholes start to do it so taxes can be super tricky well I'm just man Josh just raising Harry just h in your palm you got into the palm gosh okay so here's here's what are the three critical people you need on your team in a company that's not aging our block unless your HR black guy happens to be your wife or your husband or something like that you need an accountant that knows your business inside and out that can call you with red flags and warnings before anything comes up they're part of their your partner they're your partner your banker he's your partner he'll tell you about new new financing options out there he'll if you have a banker when you walk in they're not saying hey can we go out to lunch you're in the wrong Bank you're at the wrong Bank they should look at you and go how's things going I saw your wife the other day if you got time to go grab lunch and that sounds weird that sounds weird right I met with the president of my bank yesterday afternoon and I says you know I told him a story that I want to tell you guys he's brand-new guy he just became the president first day I met on write this is I want to tell you why I'm here now I says you see this team you have out here these people this is those people right there or why I am here I said I used to go to TCF Bank and Lucas was my teller Lucas wore glasses you know he's button his shirt all the way up he had one kind of gimpy arm right Lucas was a cool guy and he would be my teller and I'd always go to Lucas I just kind of liked him just kind of thought this was a cool guy brought all my stuff up putting everything in front of him and Lucas looks down he goes I need to see your ID and I said look I've been coming here for nine years you still need to see my ID and he goes he looks up he goes I don't know who you are and I'm like I'm done I'm done I'm out and I found a small Bank that knows my business inside and out and it has been a game changer I love getting the call in october/november with hey do you want to spend some money this year I'll line up the financing I'll put this 120 inside of you because they know that at that time I'm starting to look at getting all my finances lined up and by the way October is around the corner you guys better start buying your equipment we should have all of your taxes figured out for the year in October so you know that you're not behind the 8-ball I had a buddy who didn't do this and he ran a five million dollar underground utility company and he was bragging to me about how he bought a pail owner after the first of the year but he had him back dated so that it looked like he got the tacky tax exemption in the year I'm like or you could have just done friggin your taxes and not just bought one you could have bought three and done it the right way because to have to jump through loopholes like that is not the right way to run your business you're not going to find people that are willing to do those things so what you want to do is you want to have a projection ahead of time before the year ends of what the years going to look like for you guys so you have all your auto almost to the penny how much money you're going to be giving Uncle Sam or how much money you can go spend on yourself before you gotta get into buying this or doing either one of those things okay all together with me on that one right that doesn't sound fun doing your taxes really who the heck wants to do that but after the first of the year it's too late it's too late because now you can't take if you make too much money after January 1st if you make too much money you can't go buy a piece of equipment and have it be expensed in the in the previous year it's too late you're looking you're looking like you're confused ball I'm not confused I don't understand like the first three quarters well like you talked about the end of the year buying stuff so you don't have to send that way in the government what are you doing hi Emily Kate I just allocate more than what I think I'm going to have to spend so that I have that coming in but then I look at if I'm going to have excess profits I don't want to just give that extra 33% away so I'm going to make sure that I then have enough time to make the purposes that's why you'll see implement dealers construction dealers these guys are going to be trucked truck companies I mean anybody here ever bought a truck you know for a tax deduction at the end of the year Joe Hall did you have a problem getting them for they like oh man we're so swamped right now they knew it was they knew it was coming okay so you had it you had a relationship then with somebody I'm guessing right well I mean we bought four trucks okay so like they were pretty happy to see us right regardless pay but they knew the situation yep you know south of Chicago so a lot of contractors to do that sort of thing but it's the bigger guys to do it who have learned how to do it it's not the smaller guys cuz they'll wandering in March when they're getting all the calls and then the dealerships make money off of those guys but then we get great financing surviving a year but they're trying to move all the stuff yes so what Joel just said is the big companies I'm teaching you something that the big companies are doing that works phenomenal for small companies I mean this is a this is a leverage move you guys it's critical that you understand all of these little key components and put them together now if I lost anybody said that's a nugget that's a nugget we've got 40 some people in here with different nuggets remember I started with you didn't I can we got more nuggets anybody else got something when is your Travis not making a decision is this policy new experiences US military successes the teacher so you're not making decisions about calling people now you look like you got some experience but this is more like a personal one you guys never get a splinter in your gun yeah so if you don't get that splinter out so you ever have a splinter that you can't see you can feel so we can touch it so I could be talking to you and all the sudden you're like what happened this is gonna happen in relationships really easy it gets back good well I quit pork butt so I just hit a splinter that you don't turn your back on me you know oh yeah personal splinters yeah oh okay okay your psychology yeah right right so it goes back to what Kathleen was saying is how we interact with people our interpersonal communication styles we need to learn to use our Mariner neurons or whatever that word is not enough coalition nuggets I wish you're a couple other Nuggets Joe can I say something I want to say something about the New Mexican about the rent versus buy you did so like in my opinion that's that's the wrong question that's look like you're thinking about their like the wrong way you know right but it's a big decision you know cuz you start thinking about well for the rent this you know then I mean like get in it takes time it's all these things but like for me but I'm thinking about renting versus leasing versus owning something I'm thinking about like what's that things potential to produce me income per unit time right because we're coming from Chicago that we got 8 to 9 months and if we don't do what we're gonna do in those eight or nine months then it's not gonna happen right so if I can get something to make me more money faster so I'm thinking like per unit time so I may not read something even if I'm only using three times a year I might need it now so that those guys don't have to be tied up doing that one day there's will they don't have to be tied up did a piece of equipment with another company and split it that is just a matter of job costing or who's gets the equipment you just got to have a good relationship with them it's a great way to lessen the expense I got Adam I gotta get right so about if I'm not having as good of the year I'm not gonna spend money that they don't have to spend but I will lease a piece of equipment I'm you guys miss some of you guys know I bought a sled I've bought a payloader right I didn't need a payloader I didn't need it but it wasn't gonna give it to the government so I bought a payloader right and I I've worked it I know it's literally been parked for seven eight months but I figure that I'm I'm still money ahead and just running it over the winter time and the tax savings then given literally it was sixty eight thousand dollar paler so I would have had to give 20-some thousand dollars in money to the government no far as I'm concerned so Adam even started to get into and I've recently I've had customers ask I said I have a three thousand dollar allowance I'm obviously clueless referring to oh I like this question I want you to start to frame your proposals the way that you're the most comfortable with you're gonna have every time dick and hearing out there offer and all these different options but when you become a partner on the job you have a very clear path very easy way for a customer to understand how you operate and that's what you do now as far as allowances go I like to put limits I like to call it a limit because I don't want to go off and say I'm going to build for me its retaining walls I know I'm not gonna go out and replace your retaining wall and rebuild you a new one with no limit right I will say I will rebuild your retaining wall up to 300 square feet anything above and beyond that will be a charge on your contract but when I put when I limit my materials I'm protecting myself I can still give a lump sum bid right but I'm not lump sum bidding the project where I can just work and you know off into the Sun side doing it because I had it I learned this trick when I had a customer I wanted to retaining walk across the entire back of his property and we built it four foot tall was like 1200 square foot retaining wall and these goes oh yeah I want it wrapped in on the end and I'm like it's gonna be an extra 40 square feet because now I'm not just going straight I'm wrapping it in and he's like no you just said build a retaining wall across the back of my property so I want it wrapped in did so then I go and I look at the contract I go back look at I get a price per square foot I got limits on this one I made sure normally I'm never not limiting my contracts at that point so then I did what he said and I had him come out with a tape measure and start measuring with me I'm like how much do you think that walls gonna cost you the extra changes that you want to make and he had a piece of paper behind his back he's like you tell me this is this much and he pulls out his piece of papers I didn't know he was just hiding it because yeah you're right so the limits protect you work within your comfort zone and then dominate that figure out a way that you can just work the way that you feel best you don't have to work how everybody else works don't work the way that you work the best and you will become this fierce I can't even work within your own strengths personality strengths work within your own business strength how you function but then don't be wishy-washy because they sense weakness right oh yeah right oh yeah that's for sense weakness right but when you become a partner on their project and you here's something I want you to do over-delivered easy thing to do little things the best the easiest way to over-deliver I had a I had a guy he's actually my business partner knocked him the GT loans he worked for for me for 20-some years I'm just like mom I'm just making you a partner he's like well what do I got to do to pay and I'm like you're just my partner 50% you're just my partner but I'm not gonna run the business anymore you run everything so I can do YouTube stuff that's how I was able to start to do YouTube stuff as I literally gave 50 percent of my business away but he worked the reason I was able to make that decision confidently is because he worked for 20-some years was never a complaint the only complaint I got was him from one contractor who said this kid doesn't stop calling me Emily what are you talking about this kid that's running your job site he calls me five times a day why I'm like does he want to do a good job you think he's like yeah is he doing a good job yeah but he just keeps calling me and so over deliver on your communication one of the things I actually tell my guys to do is to stop for about 20 minutes a day and just talk to the customer all why you just talk to the customer spent well pay you to stop and just talk to the car I don't care what you talk about fishing I don't care don't you want to talk about the job don't you don't have to talk about just talk to the customer because what happens is these certain like you and anybody here got a kid okay do you forgive your kid when they do something wrong because you like them you like them a little bit you forgive them your parents ever forgive you for something you did wrong you thought you should be in trouble you think a customer that really likes you will forgive you if you maybe don't do everything absolutely right I mean I can do we don't do bad work but I can do average work which I consider to be bad work so we can do bad work or average work and the customers love it I'm just going okay glad you like it because they love the guys and I challenge one of my customers this is we're gonna be it was a big job I said we're gonna be here for two months you're gonna miss us when we're gone and she was a freaking deep-red just a nasty woman but Tim is just a very maillot just just a caring type of a person she cried when he left she cried when my crew left she wants she's like she took us her and her husband took all of us out to dinner because every single day we communicate and as part of our system to reduce complaints is just to talk to the customers go for it dan like it we uh that's something that we focus on really really heavily and we actually do the same thing where like if we're coming a customer comes out like we basically the guys kind of keep working but if I'm not there or find their ID we'll just stop and go talk to them about what amber especially old ladies man they will talk about whatever and so it's unbelievable on my job sites that just the clients that we have will like invite us inside would have fresh baked cookies literally out of the oven this is happened more than once with like milk or like whatever you want or like bringing us snacks or water or watermelon it's just like those people are okay so here's the thing we started to talk about commercial versus residential work but we do need to dive a little bit deeper on this because you are now dealing you were diving into the commercial end of it commercial work you never get paid right away and so you need to know ahead of time so that's your bad that's just your bad playing inside look here you got a got to deal with that so with a residential customer you can set the terms where I get half done when my equipment shows up and balance due before my equipment leaves your site there's no excuses when I the day I leave I'll let you know ahead of time I expect to check tape to the door or expect you there to walk through the jobsite walking through the jobsite is amazing thing that eliminate customer complaints and callbacks but when you do commercial work you don't get any of that so here's the way the into the commercial industry typically will work you'll do the job and then you anyway so if you do the job when we complete you start the job in the first Jan toon we start the job the first of June the contractor he may have his invoicing set up for June 30th okay so you can turn that invoice in let's say it's a three-day job or a five day job you turn your invoice in June 5th it does not get processed until June 30th once it then goes into the system they have anywhere from 60 to 90 days to pay you after that right so now you're two to three months out on this job that you bought all the materials from you paid all your guys cuz you're not gonna pay them sixty to ninety days later and if you don't unless you don't want to keep them right and so then it gets better you guys this is beauty member when I said commercial works a great way to go broke pretty fast so you've got to balance all of these it's like that guy that used to juggle all them plates on the poles right you're gonna be doing this but here's the best part a lot of the commercial sites will then hold five to ten percent anywhere from twelve months to 18 months I got an $8,000 check from retaining from a job I did a decade ago just showed up in the mail I forgot about it I'm like where is that oh nice that's awesome right but I had balanced all these plates so how do you do commercial work will you balance the plates so that the paint so you you're always 90 days out so this payment that's coming in now right it's gonna…