In 1987 I read a book titled "The E myth" by Michael Gerber. It was a watershed moment as a young business owners and I wanted my business to ru...
In 1987 I read a book titled "The E myth" by Michael Gerber. It was a watershed moment as a young business owners and I wanted my business to run like a McDonalds franchise – just what the author promised if I followed his plan. Well it did not work.
We wrote manuals and check list and all I did was print paper to go into a binder that never got used.
But then I decided to outsource my bookkeeping and accounting in 1998 and we finally ended up with a two solutions in one.
1st I was able to cut cost by closing down my bookkeeping department. My total burden rate is now about 40% less then operating a single bookkeeper inside my building. But the real benefit came next.
2nd Our outsourced accounting service used a software called Delegation Magic that answered our desire for a true E myth type business. Here is what happened.
The best outcome of outsourcing accounting came from the Delegation Magic system. Here is an example. When a tough transaction came into the system (like a credit memo from Home Depot) the person who was responsible for the task got a list of work on her desk each day. If they did not know how to do the tough job, they simply hit a button that moves the task from the line workers desktop to the managers desk top.
Then the manager would click a button called ‘record.' Their computer screen became a movie camera and recorded how the manager did the tough transaction while talking to the computer. All recorded. At the end of the difficult transaction the manager just closes the task.
Three months from now when another Home Depot credit memo comes in the door, our Delegation Magic team names the page. Within moments the system checks all our video on file and finds the ‘how we do it here' video. It attaches the video to the task, so now my lowest paid employee can see exactly how we do the work.
This system has cut our cost and improved our productivity. It would not be possible if we did not rely on the technology of the accounting services provided by our outsourced accounting vendor. We are now creating video clips on every event that happens in our business and soon we will have our entire operation standardized and processes in place and being used at the exact moment of need.
Top 50 Questions For Business Owners
When we teach business owners how to build a virtual business by outsourcing everything the customer / client doesn't know that you do.The 71 Item Check List For Building A New Virtual Business
The 71 item check list for building a new virtual business from raw idea to turn key-cash cow. As you heard from Michael Gerber in his book "The E-Myth" no business can prosper without the 4 basic systems you must develop if you want to make $29,000 to $86,000 net per month.The Fastest Way to Build a Multi-Million Dollar Small Business
The top 1% or 2% of all small business owners net between $29,000 and $86,000 a month. You can join thiselite group within 3 to 5 years in the business you already own, or the one your going to start.