Paul Higgins runs the community Build Live Give and associated podcast to help people build a business, live a great life and give back to the community.
In this episode:
- Why Paul left a successful corporate career.
- Paul’s journey through coaching, outsourcing, business management software and communities.
- Two major business lessons from working at Coca Cola.
- Setting up a team in Manila.
- Pricing an outsourcing service and converting it from an hourly rate to subscription basis.
- Pivoting a business based on industry trends.
- Bookkeeping reports in billion-dollar acquisitions vs small businesses.
- Paul’s 5 key drivers for business success.
- Mergers and de-mergers of small businesses.
- Multiples for services businesses vs other businesses.
- Tips for monitoring the numbers, even if that’s not your strength.
There are a few technical terms used in this podcast, but you can ignore them and still understand (and enjoy!) the episode. Definitions are in the list below, if you’re interested.
Links and mentions:
- Build Live Give community and podcast
- Paul on LinkedIn
- Value-based pricing: setting prices based on the perceived value to the customer, instead of setting prices based on your cost to provide the product/service. This is often a more profitable pricing method, especially for selling marketing products/services.
- Activity-based costing (ABC): calculating the cost of all ‘activities’ performed in the business (e.g. moving stock around the warehouse) and using estimates and statistics to assign the cost of those activities accurately to the final product/service. Mostly used in manufacturing businesses. Knowing how much a product/service costs, such as by using ABC, allows you to set your prices accurately, competitively and profitably.
- Podio project management and collaboration software
- PodioZen community and templates
- Scale My Empire
- Net Present Value (NPV) models: predicting NPV, and analysing how NPV could change. NPV is a calculation of the value in today’s dollars (‘present value’) of the return on a particular investment, which is useful for judging whether an investment will actually make money.
- ‘Sensitivity analysis’ or ‘what-if analysis’: predicting an outcome based on certain variables, then seeing how sensitive the outcome is to changes in any particular variable. Paul gives an example from his career about milk in the episode.
- Xero accounting software
Any big “a ha” moments for you while listening? Got a favourite takeaway? Let me know in the comments below.
Thanks for listening!
P.S. Got a question for my next Q&A episode? Send it in.