How we reversed a $300K/mo burn and hit profitability without laying off a single employee.

  • To simply survive
  • To control our own fate. We didn’t want to rely on a funding round that may never materialize. If we did decide to fundraise, we’d be in a position of power. As the old adage says “the best time to raise money is when you don’t need it”.

We explained why profitability was so important and made everybody part of the mission:

We chose a simple, company-wide milestone and repeated it constantly:

Employees were encouraged to present new ideas based on the EBITDA ZERO framework:

  • It helped minimize the “scope creep” many companies get as they’re growing. Employees often want to help improve the company but they don’t know where to focus their ideas. Since the ideas end up ranging wildly in scope and purpose, managers get overwhelmed and end up ignoring all of them. This had the opposite effect, making everyone feel like a strategic part of the organization.
  • It helped everyone think like a business owner, not just an employee. Not only were employees excited to come up with new ideas that would directly grow revenue, many went out of their way to find expenses they didn’t think we needed — even from their own department! Imagine if every one of your employees was looking for places to cut, so they could make more room for revenue generating initiatives.
  • It helped employees appreciate and empathize with other departments. Many commented that it helped them appreciate the challenges of growing a business they hadn’t considered before. They recognized the push and pull between departments and developed cross-departmental business skills that stretched outside their day to day.

We Kept everybody up to date with the company financials:

We Celebrated with everyone once we hit the goal, then set the next milestone:

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Patrick Ambron, Co-founder & CEO of BrandYourself.com. Check out my website: http://patrickambron.com/. Or check me out at patrickambron.brandyourself.com

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Patrick Ambron

Patrick Ambron

Patrick Ambron, Co-founder & CEO of BrandYourself.com. Check out my website: http://patrickambron.com/. Or check me out at patrickambron.brandyourself.com

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