Mike Michalowicz's Blog, page 4

The Right Way to Boost Profit

If you’re like most entrepreneurs, you’ve been fed the same lie over and over again: “One day, your business will make enough money to finally be profitable.”That’s garbage.Profit doesn’t magically show up when your revenue gets big enough. Profit doesn’t wait patiently at the end of a rainbow, ready to reward you for years of sacrifice. Profit must be prioritized, not hoped for. And most importantly, profit must be systematized through small, consistent action.So let’s get into the real deal—because your business deserves to be profitable now, not someday.The Problem: You’re waiting to “be ready” for profitHere’s the trap: Most business owners think profit is what comes after everything else is paid. After payroll. After overhead. After a new hire, after the software upgrade, after you’ve reinvested in that new marketing push. Only then will you take some for yourself, if there’s anything left.But there’s never anything left.
Because profit doesn’t happen by accident. It only happens when you design for it.Even worse, most owners tell themselves they’ll start being profitable when they’re “ready.” When the economy stabilizes. When sales pick up. When the next launch hits. That day never comes. There will always be a reason to delay profit—unless you decide otherwise.Waiting for the right time to take profit is like waiting until you’re fit to start going to the gym.Backwards logic. It doesn’t work.The Result: You build a business that burns you outHere’s what happens when you delay prioritizing profit:You hustle harder and earn less. Revenue may increase, but if profit isn’t prioritized, your expenses will always expand to match.
You operate in scarcity mode. When you don’t take your profit first, you always feel like there’s not enough, and you make decisions from fear instead of strategy.
You treat your business like a job. A low-paying, high-stress job. You’re the last to get paid, the first to feel pressure, and the one shouldering the risk with none of the reward.
Even if your business appears successful on paper, you’re not experiencing the peace, freedom, or financial security that should come with it.It’s not sustainable. And you know it.The Solution: Increase your profit by just 1%, Quarter by quarterHere’s the good news: You don’t need to overhaul your entire business to become profitable. You don’t need to double your client list, invent a new product, or hire a CFO.You just need to increase your profit allocation by 1%.Seriously. That’s it. This tiny, incremental shift is the key to permanent, sustainable profitability.Let me walk you through how it works:Step 1: Start with what you haveFirst things first: If you don’t already have a Profit account, create one now. This is a separate bank account where you transfer profit before paying any expenses. This is the core principle of Profit First: take your profit off the top, not what’s left over.Step 2: Increase your profit allocation by 1%Whatever percentage of revenue you currently allocate to profit (let’s say it’s 3%), increase it by 1% this quarter. So now it’s 4%.This might sound insignificant, but that’s exactly the point. A 1% change doesn’t disrupt your cash flow. You won’t panic about making payroll. You won’t need to rework your pricing. It’s manageable.But psychologically, it’s massive. You’re signaling to yourself—and your business—that profit comes first. Every single quarter, you’ll grow that muscle.Step 3: Repeat every quarterEvery 90 days, increase your profit allocation by another 1%. That’s it. Over the course of three years, you’ll be allocating 12% more toward profit than you are today. And you’ll do it in a way that doesn’t break your business.In fact, your business will start to reshape itself around the profit you’ve carved out.When you limit what’s available for expenses, something incredible happens: your business gets smarter.You cut what’s not working. You optimize your offers. You make better decisions, faster. And most importantly, you start to pay yourself what you’re worth.Why small steps work (and big leaps don’t)We’ve all had moments of extreme motivation. Those “everything changes starting now” declarations. And while they feel good in the moment, they rarely last. Big changes require big energy. And that’s not always sustainable in the long haul of running a business.Small steps, though? They work. They stick. They compound.Increasing profit by 1% each quarter works because:It allows time for your business to adapt.
It removes the fear of scarcity or failure.
It builds a habit of prioritizing profit, not just chasing revenue.You don’t need to flip a switch. You just need to take the next step. And then the next.Need reinforcement? Dive into these resourcesIf you want to dig deeper into this strategy and build a business that’s not just sustainable, but joyful and rewarding, here are a few spots to start:Profit First – Chapter 2, pages 41–48
Learn how a tiny shift in where your money goes first can create massive behavior change that lasts.
Fix This Next – Chapter 4, pages 90–119
Understand how putting profit first supports your business’s hierarchy of needs—and sets the stage for scalable, lasting growth.
The Pumpkin Plan – Chapter 6, pages 95–110
Cut the clutter. Focus on what’s working. Stop feeding the parts of your business that don’t deserve your time or resources.Final thoughtProfit First doesn’t fix your business. It shows you what needs to be fixed in your business.When you take your profit first, you create constraints that expose waste, inefficiency, and poor pricing. It’s uncomfortable, but it’s also empowering. Because now you know exactly what to work on.The path to profitability isn’t paved in spreadsheets and forecasts. It’s built through consistent, incremental action. So take that 1% step today.Don’t wait until you’re “ready.” You’re ready now.Let’s grow your profit, one quarter at a time.

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The Real Way to Get Out of Debt

It starts with convenience.

Just one swipe to float the bills, fix the car, or cover the gap. But before you know it, you’re juggling minimum payments, dodging interest, and wondering how it got this heavy.

If you’re in debt right now, you’re not alone. You’re also not doomed. But getting out of it? That takes more than motivation. It takes rewiring how you think about money.

Debt tricks your brain into thinking everything’s fine

The reason debt is so sticky is that it doesn’t feel bad right away. You spend now, feel good now, and delay the consequences.

Credit cards were built for this. They were literally designed to make spending feel painless; no cash lost, no consequence today, and just enough fine print to make it feel manageable.

But that short-term comfort becomes long-term captivity.

Every month you carry debt, you’re paying interest to stay stuck.

That’s money you earned, that’s going straight to the lender’s bottom line.

The cost is bigger than the numbers

Let’s talk about the real price of debt:

It steals your profits.
It limits your freedom.
It keeps your brain in panic mode.

You don’t make strategic decisions when you’re weighed down by debt, you make desperate ones. You underprice your work. You take on clients you shouldn’t. You delay investing in the things that would actually move you forward.

Debt doesn’t just drain your bank account. It drains your energy.

So how do you get out?

Here’s where it gets simple…but not easy:

1. Make debt inconvenient.

Call your credit card company and cut your limit in half. Or better yet, cancel the card. When spending borrowed money gets harder, your behavior changes faster.

2. Track every dollar until you know your patterns.

Awareness is the first win. You don’t need a fancy system. You do need to know what’s coming in, what’s going out, and what’s leaking.

3. Redirect even 1% toward debt reduction.

You don’t need to go all-in overnight. Start small, but stay consistent. Momentum beats intensity.

4. Say no to new debt, yes, even “strategic” debt.

You can’t dig out while you’re still digging. Pause the cycle. Build from what you’ve got.

What changes when you’re debt-free

Imagine your revenue staying yours.
Imagine making decisions based on strategy, not survival.
Imagine sleeping better, thinking clearly, and creating without pressure.

That’s what happens when debt stops being your default.

Getting out of debt isn’t only about money, it’s about getting your power back.

Final thought

Debt thrives in silence, in shame, and in systems built to keep you numb. But the second you interrupt the pattern, you start to take back control.

So take that first step today: cancel the card, cut the limit, move 1% toward freedom.

This isn’t about perfect. It’s about done.

Let’s dig out. And stay out.

– Mike

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Every Business Owner Needs This Account. Most Don’t Have It.

This Week’s Focus: Build a Vault. Save Your Sanity.

By Mike Michalowicz

Running a business sometimes feels like strapping yourself to a rocket with duct tape and optimism. Some days it soars. Some days it sputters. And occasionally, it just sits there.

But –  if you want your business to survive those unpredictable dips (and keep your sanity intact), you need one thing above all else.

Cash. In. The. Bank.

Not just to pay next week’s bills, but to breathe when something breaks. Because something will break – whether it’s the economy, your biggest client, or your espresso machine.

That’s why this week’s focus is simple and critical: Be your own bank.

Why your business needs a vault (not just a spreadsheet)

If you’re a small business owner or entrepreneur, you’ve probably heard this before:

“You should have an emergency fund that covers at least three months of expenses.”

You’ve probably nodded along. You might’ve even written it down.

But have you done it?

If not, don’t sweat it. You’re in the majority. Most entrepreneurs live in reactive mode, waiting for “extra cash” to magically appear before starting a safety fund.

Waiting for “extra” is how businesses get blindsided.

You need to build your buffer before the storm hits, not during.

A three-month emergency fund isn’t a luxury. It’s your business’s life preserver.

Panic decisions vs. smart choices

Ever made a decision out of desperation?

Maybe you took on a nightmare client because you needed cash.
Maybe you slashed prices just to keep the doors open.
Maybe you maxed out your personal credit card (again), promising yourself it was “just this once.”

We’ve all been there. And it sucks.

But you know what makes those decisions disappear?

A cash cushion.

A financial buffer buys you time. Time lets you breathe. Breathing lets you make smart, aligned, strategic decisions, not ones made in panic mode at 2 a.m.

The simple system: build your vault

So here’s what I want you to do. Today.

Open a new bank account.
Call it something dramatic like THE VAULT because hey, it is your treasure chest. Automate a weekly transfer.
Start with 1% of your income. Yes, just one percent. It’s small enough to be painless, but powerful enough to start momentum. Do it every week. No excuses.
Don’t wait until you “have enough” to start. That day rarely comes. Build the habit now. The amount can grow over time. Don’t touch it. Not even a peek.
This isn’t a backup vacation fund. It’s not for “oops, I want a new iPad.” It’s a Vault. You only break the glass when the world’s on fire.

Before you know it, you’ll have one month of expenses saved. Then two. Then three. That’s your financial freedom fund.

But Mike… what if things are tight?

Especially if you’re in a lean season, this part is key: If you’re spending every dollar now, you’ll spend every dollar later.

There’s no perfect moment to start saving. You have to create the moment. Even if it’s just $10 a week. You’re proving to yourself and your business that it’s possible.

You’re flexing your financial discipline muscle. And that muscle pays dividends.

Here’s what I’ve learned:
Having a Vault doesn’t just save your business. It saves your mindset.

When you’ve got a buffer, you stop operating from fear.
You start dreaming again.
You stop obsessing over the next invoice.
You start thinking big-picture, like strategy, growth, and purpose.

That’s the power of being your own bank. And the beautiful part? You don’t need Wall Street-level capital to do it. You just need a system. A little consistency. And a whole lot of why.

Don’t just take it from me…

If you want to dig deeper into this, I cover this in two of my books:

In Profit First (Chapter 3), I walk you through setting up your first profit account with just 1%. Small start, big impact. In Chapter 10, you’ll find out how to create your Vault—and protect it from yourself (yes, that matters). Fix This Next (Chapter 4) explains how financial preparedness isn’t just smart—it’s vital to business survival.

But even if you never read those pages, remember this:

Start now. Not big. Just now.

Final thought

Running a business is hard. You’re constantly solving, stretching, and sacrificing. You’re the superhero in your story, and every superhero needs a backup plan.

“Planning is bringing the future into the present so you can do something about it now.” – Alan Lakein

Thanks for being an entrepreneur. You’re not just building a business. You’re building a future.

 

And now, you’re going to protect it.

– Mike

 

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Stop Stealing From Yourself: Why Fixing Your Personal Finances is the Key to Financial Freedom

In case you missed this memo, your business isn’t your emergency ATM. And your personal bank account? It’s not a slush fund. But if you’re like most entrepreneurs, you’ve probably blurred the lines more than once.

Realizing this was my “ah-ha” moment. I realized that we don’t just need business cash systems. We need personal ones, too. Otherwise, we end up doing what far too many smart business owners do: raiding the business every time our personal finances get messy.

This week’s focus? Protect your profit from… yourself.

Why you need a personal finance system

So many entrepreneurs tell themselves they just need to make a little more money, land a few more clients, and hit one more big launch. Then the chaos will calm down.

Wrong.

Without a personal financial system, more money just means more stress. It gives you more to manage, more to mess up, and more to misallocate.

Let’s break down the common personal finance mistakes I see over and over:

1 Mixing business and personal money

It’s a trust-breaker. It messes with your books, your brain, and the IRS. One of the fastest ways to lose track of what’s working in your business is to let personal spending creep into it.

2 Using your business to patch personal shortfalls

You’re fixing a disorder in your personal life by creating disorder in your business. That’s not strategy. That’s a band-aid with interest.

3 Paying personal bills with credit cards to “save” cash for payroll

That’s not profit. That’s panic, dressed up as planning. And it always catches up with you.

The Money Habit : The system you need now

The Money Habit is about creating structure around your personal finances using the same principles I laid out in Profit First for business. It gives you clarity, control, and confidence in your day-to-day decisions.

You don’t need a complicated budget. You need a system built on:

Core accounts that automate saving, spending, and protecting your peace of mindFixed salary for yourself so you live within real limits (not your business’s peaks)Quarterly profit distributions that elevate your life, not fund your month-to-month survival

Put simply: you deserve a life of freedom, not financial firefighting.

The reality: Most entrepreneurs are stealing from themselves

If you treat your business like a buddy spotting you lunch money, you’re not only shortchanging your future, you’re sabotaging your stability.

Instead:

Put yourself on a fixed salary.Let your personal lifestyle match your income, not your business bank balance.Use profit distributions to elevate your life, not to fund poor planning. Financial freedom habit, not hope.

Here’s what no one tells you: most people don’t need more money. They need better systems.

Financial freedom isn’t about the amount in your account. It’s about being able to breathe when you check your balance. It’s about making decisions from values, not fear. It’s about knowing your business is solid because you’re not bleeding it dry.

Want to dig deeper? Here’s where I break it all down:

The Money Habit (Chapter 2): The five accounts that change everything.Profit First (Chapter 2): How to treat profit like a habit, not a hope.Fix This Next (Chapter 4): Why profit comes first—and what happens when you skip it.My final thought:

Let me leave you with this, from Warren Buffett:
“Do not save what is left after spending, but spend what is left after saving.”

This is your turning point. Protect your profit. Build your peace. And most of all, stop stealing from yourself.

You deserve a financial system that sets you free.

-Mike

Grab your copy of The Money Habit on Bookshop.org

 

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No Strings Attached – How to Make People Feel Appreciated

This Week’s focus: Surprise and delight your best people

There’s something magical about being recognized when you least expect it, especially when the recognition is real. No hidden agenda. No “lead in” to a pitch. Just someone seeing the greatness in you, calling it out, and honoring it.

The core concept: Unexpected, heartfelt recognition

There’s no stronger glue in business, or life, than loyalty born from genuine appreciation. We often chase it through incentives, polished branding, or elaborate retention strategies. But a personal, thoughtful gesture is better than any polished marketing plan.

It’s not about the size of the gesture. It’s about the heart behind it. When you authentically recognize someone’s effort, their courage, or their character, especially when they’re not expecting it, you forge a connection that’s deeper than any transaction.

This isn’t theory for me. It’s personal practice.

Every so often, when someone truly rises as a hero, whether for their clients, their community, or their family—I send them a Captain America shield. Yep, a full-on, metal, movie-worthy shield. Why? Because it’s a symbol. A reminder that they’ve been heroic. That they stood up and made a difference.

No thank-you card can compete with that.

Rarity amplifies meaning

Here’s the twist: the fewer who receive this kind of gesture, the greater the meaning.

This is not about blasting a mass “We appreciate you!” email or shipping out a thousand coffee mugs with your logo. Manufactured recognition is hollow. And people can tell.

Think of your gesture as a limited-edition release. If everyone gets one, no one feels special. But if you single someone out for something truly remarkable, the impact is amplified a hundredfold.

So this week, I’m challenging you to do one thing:

Identify one person, just one, who has gone above and beyond, and recognize them in a way that is symbolic, rare, and unforgettable.

No expectations. No follow-up request. Just the gift of your gratitude.

DO THIS:

Choose someone who genuinely deserves it, personally or professionally.Think beyond the usual gifts. Make it something symbolic. Something that tells a story.Add a handwritten note. Make it personal. Tell them why they stood out to you.

NOT THAT:

Don’t schedule a forced “Appreciation Friday” with balloons and slogans.Don’t send a mass email.Don’t turn this into a transaction. This is not a marketing ploy.

Real gratitude is quiet and powerful. It changes the receiver and the giver.

Why this works

We are hardwired to crave appreciation. As William James once said, “The deepest craving of human nature is the need to be appreciated.”

Yet in business, we often forget this. We’re so focused on growth, on sales, on performance, that we overlook the quiet heroes in our midst. The team member who solved a crisis at 2 a.m. The client who gave you grace when a project ran behind. The partner who opened a door for you without asking for anything in return.

These are the people who deserve to be seen. Not with the hope of more business, but simply because they are worth seeing.

Go deeper with the work

If you want to understand why this principle matters so much, check out these chapters:

Get Different , Chapter 4 (pp. 77–85): Why standing out with authenticity is your best marketing edge. The Pumpkin Plan , Chapter 7 (pp. 111–125): Playing favorites with your best clients isn’t exclusion—it’s excellence. Clockwork , Chapter 3 (pp. 41–53): How your “Big Promise” becomes an emotional anchor for loyalty. Fix This Next , Chapter 7 (pp. 161–189): Shifting from transactional to transformational relationships.

These are the playbooks I follow. They’re not about tricks. They’re about truth. And the truth is, relationships built on respect and recognition are the ones that last.

Final thought

This week, take the time to make someone feel truly seen. No big campaign. No “angle.” Just a moment of real connection. A gesture that says, “I see you. I appreciate you. You matter.”

It could be the most important thing you do all week.

And if you’re wondering where to start, ask yourself this: Who has been a hero in your world lately?

Now go honor them.

– Mike

P.S. Want to share how you honored someone this week? Shoot me a message. I’d love to hear your story. No judgment. Just a celebration.

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Why Your Best Customers Should Design Your Business

Lately, I’ve been hearing from entrepreneurs who feel stuck. They’ve got decent sales, solid products, and a good team, but things just aren’t moving like they used to. Revenue flatlines. Profit stalls. Growth feels harder than ever.My first question is always this:
Who are your best clients, and what are they trying to tell you?Most business owners can’t answer that.You can’t treat every sale like it’s equal. That thinking? It’s a growth killer.Your best clients (the ones who love what you do, pay what you’re worth, and tell others about you) are already lighting the path forward. You just have to follow it.Your best client already knows what worksHere’s what I want you to do this week: Let your best clients lead the way.Seriously. They’re doing it already through their buying behavior, their feedback, and their loyalty.Look at:What they’re buyingWhat they’re raving aboutHow do they respond to pricingHow often do they come backWhether they refer others to you
This is real data that’s more valuable than any focus group or gut feeling. Your top clients are showing you what they want more of, and by extension, what you should be doubling down on.The 20% that changes everythingYou’ve probably heard of the 80/20 rule, in which 80% of your results come from 20% of your effort. The same is true for your client base.Start by listing the top 20% of your clients, by revenue and by how much you enjoy working with them. (Yes, both matter.)Now, analyze what those clients are buying.If they’re buying your highest revenue and highest margin offerings, great! They are the heart of your business. Serve them better. Upsell. Reward loyalty. Build around them.If they’re mostly buying your “middle mix” (decent but not your most profitable stuff), they may not know what else is available. Introduce them to better options. Educate and guide.If they’re buying your lowest-margin, most painful offerings, you’ve got a problem. These clients are draining your time, energy, and money. You either need to shift them to better offers or let them go.This analysis can change your business. I’ve seen it happen again and again.Not all sales are created equal.Not all customers are dream customers. Not all sales are good sales.Yes, I know how counterintuitive that feels. I’ve been there. In the early days, I thought every sale was a win. If someone was willing to give me money, I took it. But over time, I learned that certain customers were draining our team, blowing up our processes, and reducing our profit, all while taking the same (or more) energy as our best clients.That’s not growth. That’s slow collapse in disguise.You’re allowed, encouraged, even, to prune your client base so your business can thrive.Deep dive, anyone?Want to really dig into this? I’ve laid out the framework across a few of my books:The Pumpkin Plan – Chapter 3 (pages 37–50): Learn how to identify your “Atlantic Giant” clients –  the ones you should build your business around.Fix This Next – Chapter 3 (pages 54–67): See how predictable sales come from focusing on clients who value what you do.
Get Different – Chapter 3 (pages 51–55): Use the Crush/Cringe method to separate dream clients from energy vampires.Why this matters nowThe market is shifting. Buyer behavior is changing. And the businesses that will succeed are the ones that stay close to their best customers and build around what’s actually working.Final thoughtI’ll leave you with one of my favorite quotes from Seth Godin:
“Don’t find customers for your products. Find products for your customers.”That’s what this is about.
Serving the right people, in the right way, at the right time. So everyone wins.Let your best clients lead the way. They’re already showing you how.Now all that’s left… is to follow.– Mike

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Why Profit Matters More Than Revenue: How to Grow a Small Business That Lasts

Let me be blunt: if you’re still saying, “I just need more sales to fix this business,” we need to have a little sit-down. Because that thinking? It might be the exact thing keeping you stuck.

Every week, I hear from small business owners who believe their salvation is hiding in the next sale. More sales. Bigger sales. Explosive revenue. But remember: 

Revenue is vanity, profit is sanity.

Let that one land.

More revenue without profit is like throwing more coal into a runaway train with no brakes. Sure, it goes faster. But where the hell is it headed? Probably off a cliff.

More sales won’t save your business

I’ve worked with enough entrepreneurs to know that more sales can actually sink your business faster if they’re not profitable. 

Every unprofitable sale eats your time, drains your energy, and burns your team out. You hire more people to fulfill low-margin work. You expand operations that don’t pay you back. You look successful on paper, and feel miserable in real life.

And then you wonder why you’re working more and earning less.

This is not sustainable business growth. This is business quicksand.

Focus on profitable sales, not just revenue growth

What your small business needs isn’t more sales. It’s more of the right sales.

You know the sales I mean. Those sweet, streamlined, money-making, minimal-headache types of sales that make you go, “Oh, THIS is why I started this business.”

The products or services that:

Take less time to deliverRequire less handholdingDon’t burn out your teamAnd still bring in solid profit margins

Those are your profit producers, and your job is to double down on them.

A simple profitability test for small business owners

Before you say, “But Mike, I don’t have time for a full financial audit,” good news: you don’t need one.

Here’s what you do instead:

List out your main products or services.For each one, estimate how much time and effort it takes to deliver.Compare that to what you’re charging.

Simple, right? You’ll spot the time-sucking vampires pretty quickly.

Now take a deep breath, and stop selling the ones that bleed you dry. Yes, even if they’re “popular.” Yes, even if a few clients love them. Your sanity is not for sale.

Worried about losing revenue? Don’t be. 

You can’t afford NOT to cut unprofitable sales.

Unprofitable revenue costs you real money. Every hour your team spends delivering an inefficient offer is an hour stolen from building a healthier business. Every low-margin sale crowds out the capacity for high-value work. It’s not neutral, it’s corrosive.

Cutting unprofitable offers is an act of courage. And clarity. And strategy.

You’re not “losing sales.” You’re making room for better ones.

Small business success starts with profitability metrics

If you’ve been measuring success by top-line revenue alone, it’s time for a reset.

That top-line number might look sexy on social media, but if you’re secretly stressed about payroll, or working 80 hours a week for a paycheck that makes you wince, what’s the point?

Start measuring the things that matter:

Profit marginsTime to deliverClient easeLong-term sustainability

Put your pride in profit, not in being the busiest, biggest, or boldest. Let others chase scale. You chase health.

Resources for small business profitabilityWant to explore this more? I’ve broken this concept down in a few key places: The Pumpkin Plan (Chapter 4): Focus on your best clients and offerings. Cut the rest. Profit First (Chapter 4): Learn how to calculate and use Real Revenue, the number that actually matters. Fix This Next (Chapter 1): Figure out the actual problem holding your business back right nowand solve that first.Final thought: Build a profitable business that works for you

You don’t need more chaos. You don’t need more hustle. You don’t need more empty sales.

You need clarity. You need boundaries. You need profit.

Because profit is what gives your business life – and your life back.

-Mike

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Do Less: The Simple Shift That Makes Businesses More Profitable

If you’re working nonstop but your bank account doesn’t reflect that effort, you’re not alone. I hear this from entrepreneurs all the time: “I’m doing everything I can, but the numbers still aren’t where I want them to be.”There’s a reason for that. And it’s not your work ethic. It could be your focus.As small business owners, we’re taught to equate growth with expansion. We add new products, chase the latest trends, and say yes to every opportunity that knocks. We build out services for every customer request, believing that if we offer more, we’ll earn more.But…. when you try to grow everything, you grow nothing.Your most profitable business strategy might already be workingEvery business already has a colossal seed planted – a core offering that brings in the majority of revenue and has the highest growth potential. If you want to build a more profitable business without burning out, this is where you start.Instead of building a dozen things halfway, what if you concentrated on the one product or service that’s already working?In my book The Pumpkin Plan, I talk about how prize-winning pumpkin farmers don’t try to grow hundreds of pumpkins. They identify the strongest, most promising one early on, and then eliminate the rest. That way, all the energy and nutrients are funneled into growing a single massive, healthy pumpkin.Business works the same way. You need to prune distractions so you can grow what matters most.How to increase revenue by doing lessLet me ask you a direct question: What is your most profitable offering right now?Not the one you wish would take off. Not the one your competitors are excited about. I’m talking about the product or service that consistently brings in the most revenue and that you genuinely enjoy delivering.This is your sweet spot. This is the foundation of a more focused, more profitable business model.Now imagine what would happen if you stopped spreading yourself thin and made that offering your main focus for the next quarter. You market it, streamline it, refine the delivery, and build your messaging around it. No new services, no complex launches,  just one clear, high-impact offer.It’s time to get strategic. When you put your energy behind the right revenue stream, you don’t just grow faster,  you grow smarter.Why you resist simplicity (And why it costs you)Simplifying your business sounds easy in theory, but it’s surprisingly hard in practice. Why? Because we’re wired to chase. As entrepreneurs, we’re idea machines. We love solving problems, creating, and innovating. But there’s a cost to chasing every new “opportunity.”It shows up as bloated operations, confusing messaging, slow sales, and constant cash flow issues. Your team’s overwhelmed. Your customers don’t know what to buy. You’re exhausted.And even worse, you’re leaving money on the table.Complexity kills profitability. Clarity fuels momentum.The businesses that survive and thrive are the ones that double down on what they do best.Profitability starts with focusYou don’t need to offer more to increase revenue. You need to focus on the right thing. I’ve seen business owners 3x their profit just by eliminating low-performing offers and concentrating on their top earner.Start here: Find your best-selling service or productIf you want to start building a more profitable business today, take this simple step: identify your most profitable offer and put it at the center of your strategy. Not forever, just for the next 90 days. See what happens when you stop dividing your attention and start driving all your effort into what already works.Don’t overcomplicate this. If you want better margins, more predictable revenue, and more peace of mind, the fastest way to get there is by simplifying your focus.Final thoughtYou started your business to build freedom, not to create a never-ending to-do list.If you’re tired of the constant hustle and ready to see your effort translate into actual financial results, stop doing everything. Start doing the right thing. The thing that’s already working, with more intention.Find your colossal pumpkin. Give it the spotlight. Let everything else fall away.You don’t need more. You need focus.– MikePS – To apply The Pumpkin Plan strategies to your business, consider reaching out the the strategist at Pumpkin Plan Your Biz.

 

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What Warren Buffett Just Taught Us About Small Business (And why it matters more than ever this Small Business week)

Warren Buffett, the “Oracle of Omaha”,  just announced he’s officially passing the baton to Greg Abel as the next CEO of Berkshire Hathaway.

And while that might seem like big-time Wall Street news, it’s a masterclass for every small business owner, especially during National Small Business Week.

What made Buffett great isn’t just the billions. It’s the way he thinks. As someone who’s lost everything and built it back (with a little scar tissue and a lot of books), I can tell you that those principles work just as well for a 3-person business as they do for a $900 billion empire.

The best entrepreneurs think long-term

Buffett didn’t become one of the most respected financial minds in the world by chasing every shiny object. He played the long game. He bought businesses he believed in. He held on. He stayed calm when everyone else panicked.

Sound familiar? It should.

Small business owners are long-term thinkers by default. We invest our time, our money, and our hearts into something we hope will last.

Want to build a lasting business? Here’s the Buffett way (and mine, too):

Don’t just chase revenue. Build value.
Don’t try to be everything to everyone. Be excellent for someone.
Don’t pivot every time the market sneezes. Commit to what works and refine it.

Humility scales

Buffett is worth billions, and he still lives in the same house he bought in 1958. He eats McDonald’s for breakfast (so I hear). He’s not flashy. He’s focused.

That kind of humility is a superpower in small business. Because when we get too big for our britches, we stop listening to our customers. We stop improving. We start thinking we’re invincible.

Been there. Paid the price.

Buffett reminds us that simple works. That you don’t have to be loud to lead. That real success is about consistency, not charisma.

Money is a tool, not a trophy

Greg Abel,  the man Buffett handpicked to succeed him, will be responsible for managing hundreds of billions of dollars. But do you know what Buffett cares more about than money?

Discipline. Integrity. Stewardship.

That’s the kind of financial thinking that small businesses need more of.

As entrepreneurs, we’ve got to treat our cash like rocket fuel, not a campfire. It’s not just about how much you make, but how wisely you manage it. 

Leadership is legacy

Buffett didn’t pick Greg Abel randomly. He watched him, mentored him, and let him grow within the company. He gave him responsibility before handing him the reins.

That’s not just succession planning — that’s leadership.

And whether you have a team of 30 or you’re just starting with a virtual assistant, the same rule applies: Grow people. Mentor them. Give them room to lead.

It’s not about letting go of control — it’s about building something that can outlive you.

Final thoughts: Small business, big wisdom

This Small Business Week, I hope you’ll take a page from Buffett’s playbook (and mine too):

Think long-term. Stay humble. Manage money with purpose. Lead with integrity. Prepare others to succeed.

You don’t need billions in the bank to build something extraordinary.

You just need vision, values, and a plan you’ll follow.

Let’s make Buffett proud in our own small, scrappy, and purpose-driven way.

Wishing you health and wealth.

-Mike

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Why Your Best-Selling Product Might Be Hurting Your Business

When you think about growth, does your mind immediately jump to one word: more?

More products. More services. More clients. More sales. It feels intuitive, right? If you want a bigger business, you sell more things to more people, right?

Erm. More could cost you. What if your best-selling product that is bringing in the most revenue is quietly dragging your business down?

Top revenue doesn’t always mean top profit.

If you focus only on what sells the most, you spread your resources thin, drain your team’s energy, and leave you wondering why your bank account doesn’t reflect your hard work. That’s why in The Pumpkin Plan, I teach entrepreneurs to stop chasing every opportunity and start nurturing the right one – the “seed pumpkin” that can grow your business sustainably and profitably.

The hidden goldmine in your business

Every business has a hidden goldmine. It’s not buried under a pile of new ideas or hidden in the next product launch. It’s right in front of you: your most profitable product or service.

Not the one that sells the most.
Not the one that gets the loudest applause.
The one that quietly delivers the highest profit with the least resistance.

When you find it and focus relentlessly on it, you unlock the secret to sustainable growth. But first, you need to recognize the difference between revenue and profit.

Revenue is vanity. Profit is sanity.

It feels good to watch sales roll in. Seeing that top-line number grow gives you a rush and is proof that customers love what you’re offering. But revenue alone can be deceiving.

I’ve seen businesses celebrate skyrocketing sales quarters, only to realize they’re barely breaking even, or worse, losing money. Why? Because their best-seller required heavy discounts, complex delivery, constant customer support, or razor-thin margins just to stay competitive.

On the outside, it looked like success. On the inside, it was bleeding them dry.

How to tell if your best-seller is hurting you:

If you’re wondering whether your star product is actually a silent saboteur, here’s what to look for:

Low margins – Are you sacrificing profit just to keep sales high? If your best-seller brings in the most cash but leaves little left over after costs, it’s not fueling growth. It’s stalling it.
Complex or costly delivery – Does delivering this product or service drain your team’s time, energy, or resources? Complexity kills efficiency. If you’re bending over backward to fulfill orders, you’re paying a hidden price.
High customer support demands – Some offerings attract more customer headaches than they’re worth. If one product consistently results in complaints, refunds, or hand-holding, it’s eroding your profitability.
Emotional burnout -Even if a product is profitable on paper, if it burns you or your team out, it’s not sustainable. A thriving business isn’t just financially healthy and it energizes the people running it.

The Pumpkin Plan: grow less, stronger.

In The Pumpkin Plan, I share how farmers grow award-winning, giant pumpkins. Spoiler alert: they don’t grow dozens of pumpkins. They find the one seed with the most potential and ruthlessly cut away everything else. All nutrients, time, and care go into growing that one pumpkin to massive proportions.

Your business works the same way.

The smartest entrepreneurs don’t scale by offering more. They scale by doing less better. They identify their “seed pumpkin”, the product or service that delivers maximum profit with minimum drag and build their entire business around it.

A simple way to find your “seed pumpkin”:

Uncover your hidden goldmine. Here’s a quick audit to get you started. Grab a pen or open a doc and answer these questions honestly:

List your top 3 products or services.
What are your primary offerings?
What % of total revenue does each bring in?
This shows where the money appears to come from.
What % of total profit does each generate?
This reveals where the real money is made.
How easy or hard is it to deliver each one?
Consider time, resources, team capacity, and complexity.
Which ones light you up and which ones burn you out? Passion matters. A profitable offer that excites you is far more sustainable than one that drains you.

Now, look for the product or service that:

Has the highest profit margins
Is easiest to deliver efficiently
Generates strong customer satisfaction (think rave reviews, referrals, and reorders)
Energizes you and your team

That, my friend, is your seed pumpkin.

Tough love: Cut to grow

Here’s where most entrepreneurs hesitate. Once they identify their seed pumpkin, they still try to cling to everything else “just in case.” But just like the pumpkin farmer, you can’t grow a giant if you’re spreading resources across every little vine.

Ask yourself:

If you had to cut 50% of your offerings tomorrow, what would you keep?
What product or service brings in the most profit per unit of effort?
Which offering makes your customers rave, refer, and reorder?

The answers point you to where your focus should be.

It’s scary to let go. I get it. But trimming distractions isn’t downsizing, it’s right-sizing your business for healthy, scalable growth.

Real growth comes from focus.

When you align your business around your most profitable, efficient, and fulfilling offering, everything changes:

Marketing becomes clearer because you know exactly who you’re serving and what you’re known for.
Operations become smoother because your team masters one thing instead of juggling dozens.
Profit grows because you’re no longer wasting resources on low-margin distractions.
Your reputation strengthens because you become the go-to expert in your niche.

In short, you stop being a business that sells everything to everyone and start becoming a business that dominates in what matters most.

Final thought: Do less, better.

If you take nothing else from this, remember: Growth isn’t about doing more. It’s about doing less, but doing it so well that your business thrives without the chaos.

Stop chasing every sale. Because when you focus on maximizing your most profitable product or service, you don’t just grow, you flourish.

Wishing you health and wealth.

-Mike

Want a deeper dive? Grab a copy of The Pumpkin Plan, or reach out to a Pumpkin Plan Strategist today!

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