I mentioned yesterday how I lost $60,000 in my towing business
But that wasn’t the main reason I pulled the plug
My towing theory math:
- 10 tows per day x 20% into my shops = 2 repair tickets
- x $800 each = $1,600 in repair work per day per truck
- x 360 days = $575,000 potential repair work
- x 20 trucks = $11.5M per year in revenue
Dream big, right?
Did I expect that to happen overnight? Of course not.
Building a business of that caliber takes a lot time, effort & energy.
It also carries significant additional risk among all those trucks, drivers, highways, stormy nights, and dangerous situations
It would probably take at least 4 to 5 years to hit that goal if I were all-in on this.
On the other hand, we own 36 shops that do $52M/year, about $1.45M each
My best shops do $3M per year
If I can get my average shop to $3M we DOUBLE our revenue to $100M+
No new leases, trucks, buildings, or equipment.
Just more marketing, better people, and better process on the exact same business.
Every business owner has diamonds buried under their feet.
The problem is you gotta bust through the concrete. Most days you’re just chipping away and it feels like nothing’s moving. That’s the brutal part.
But that’s what it takes.
As they say, if you chase two raccoons, you catch none.
And that’s exactly what I was doing, chasing a second raccoon, while ignoring the fat one right in front of me.
Cheers!
Brian
P.S. Are you struggling to break through to your diamonds?
What's your main problem: cash flow, hiring, or growth?
Reply here