Why Most Small Businesses Don’t Work and What To Do About It!
GTE Rating: 10/10
(GTE rating or Get the Edge rating is Brock’s version of getting the edge. How great is the material? How new is the material? Is it new or repurposed from others? Will it give you the edge over others and catapult you towards success?)
What an amazing book! Folks, the E Myth with absolutely CHANGE YOUR LIFE! This book is just as much for business as it is for life. Gerber is THE original small business consultant.
He built the largest small business consulting firm of all time. This created an incredible amount of value for the owners and customers of the businesses his small biz consulting firm touched.
His work – this book and his others – have absolutely transformed processes in small business. This book has create time and lives outside of business for owners worldwide.
The E Myth has spread to selling over two million copies solely from word of mouth. What kind of book does that? One that is of VALUE and one that WORKS.
Gerber’s E Myth has allowed small business owners to think differently about their business(s). He teaches that a business is just a vehicle to get its owner their ultimate goal – financial gain.
Gerber came up with a term “the entrepreneurial seizure” which stands for a small business owner that used to do the technical work of that business ie a contractor and then goes into that business – General contracting (just an example.)
This term embodies what he’s seen as the primary problem with small businesses today.
He explains that it’s wrong to believe that just because you can do the technical work, that you can successfully own and operate a business that does that technical work.
The main mindset shift Gerber continually talks about is “Working ON your business, not IN it.” It forces the owner to ask questions like “What’s missing in this picture?”
Questions like these make the owner think differently about its businesses systems or lack thereof. A business with clear systems runs smoothly and a business without standardized processes isn’t really a business at all. Gerber does an excellent job of illustrating this.
Top 3 Takeaways:
First – In operating a business, its important to know what goes on within the business in order for it to function. A businesses “how we do it here” (how it does business and why) needs to be in operating manuals. Gerber speaks on the necessity for this. This is because the only reason to have a business is to sell it. The operating manuals allow a new owner to pickup where the previous owner left off, so they can get back to what a business is really about: creating financial independence and stability.
Second – Gerber has a phrase called “scale for sale.” It’s such a great takeaway I’ve had because it reminds the reader how important it is to get real about what’s real. People have gotten too emotionally attached to them being a part of their business and have forgotten that a business is solely created in order to sell.
So he talks about building processes so the owner can remove herself from the equation, thus allowing the businesses sale. Even if the owner would never sell, it’s important to build processes that give its owner the ability to sell. It gives options and attracts people to it.
Gerber creates a paradigm shift for the reader because he talks about how the businesses product isn’t the product, the business is the product.
What does that mean? It means that the business is a product in itself. Does it work? Because it’s only worth money if it works, if it can sell, and somebody would love to own it. Therefor the business is the final product.
Third – My third takeaway from this book is to “Begin with the End in mind.” Gerber talks about how important it is to know exactly what the business will look like when complete, so the owner can get to creating exactly what they set out to build.
Just as an architect knows exactly what their house will look like when built, so should the business owner go about building their business.
Who should read this book?
Anyone who is struggling to run their business and/or fascinated with business. Worded differently, really anyone looking to build, own, or operate businesses in their future.
Most Profound Quote: “The difference between great people and everyone else is that great people create their lives actively, while everyone else is created by their lives, passively waiting to see where life takes them next. The difference between the two is living fully and just existing.”
Buy this book by clicking the link below.