Episode 177 — Advising From Experience with Attorney Phil Rinehart

Today in the Boardroom, Nick Bartolo and Patrick Baldwin sat down with Phil Rinehart. Phil is a practicing attorney and principal at The Law Offices of Phillip Rinehart. Phil is uniquely suited to provide legal advice as he also has a 20+ career in pest control and is currently the owner and CEO of EcoGen. As an attorney, Phil specializes in litigation, consulting, management, entity formation, liability protection, and growth. Phil shares essential tips on safeguarding your business through the right contracts. He emphasizes the importance of well-structured employment contracts, including critical clauses like non-solicit, confidentiality, and liquidated damages. Phil also discusses the necessity of having solid operating and service agreements to ensure comprehensive protection for your business. Do your contracts include these crucial provisions?  The team highlights the need to inform customers about their right to rescind a contract within three days to avoid significant financial risks. Failing to provide proper notice of this right can lead to serious consequences for a business. Are your terms and conditions updated with this clause?  Phil recommends setting up separate business entities for different aspects of a business to ensure extra protection and flexibility. Creating individual LLCs for partners and securing proper insurance coverage can mitigate potential risks. How are you protecting your business operations with separate entities and insurance?  Learn more about Phil and his work at www.philrinehart.com. Audio Mixing and Editing by www.verbell.ltd.

This week in The Boardroom, Paul, Patrick, and Chase explore the benefits of switching from hourly pay to production commission for technicians. It's not just an incentive but a reward for effort and results, fostering a sense of ownership among employees. How could a commission-based pay system boost your company’s productivity and engagement? Chase shares his innovative hiring practices, suggesting businesses look outside their industry for high-quality, friendly employees. He's even found success in hiring staff from a pet daycare, who brought strong customer service skills to the team. What new talent pools could your business explore for exceptional hires? The co-hosts highlight the need to maintain consistent commission rates to protect company culture and profitability. Offering additional benefits, such as better equipment and professional development opportunities, can help retain top talent. How can your company effectively balance fair compensation with extra benefits to attract and keep the best employees? Audio Mixing and Editing by www.verbell.ltd.

In this episode, we spoke with Caleb Fabry, owner of Town & Country Pest Solutions in Rochester, New York. Caleb discusses the importance of a strong company culture and employee engagement. By using the Culture Index, he aligns team members with roles that fit their unique attributes while enhancing communication. How can utilizing culture tools help to retain team members, create mission alignment, and beat your financial goals? A significant part of Caleb's marketing strategy involves a dedicated in-house team focused on video content and social media. This approach has helped Town & Country Pest Solutions build a strong online presence and engage effectively with customers. How might investing in professional video content and social media marketing benefit your business? Learning from peer business owners has been crucial for Caleb’s success. Joining leadership groups has provided valuable insights and the confidence to implement new ideas. Caleb has embraced the word "yes" when it comes to new opportunities, even outside his comfort zone. Who is pushing you to reach new heights and implement new strategies?

Brian Lunsford, owner and CEO of Bring the Joy Ventures—the parent company of LunsPro Inspections, Kingfish Pest Control, JoyLights, Fix-it Flamingo, and Jacksonville Real Producers—rejoins The Boardroom Buzz to recount his journey as a business leader. After a successful pest control business sale in Atlanta, Brian and his wife Kristin are building synergistic businesses in Jacksonville with less personal risk. How could a liquidity event give you the capital and confidence to build again on your family’s terms?  Mentorship and personal connections are key in any leadership position. Brian proactively sought out experienced individuals to learn from. At Bring the Joy Ventures, it's about collaboration and the abundance mentality over micro-managing and secrecy. How can you start building a network of mentors and peers to support your growth? Brian highlights the need for work-life balance, stressing that while work is important, it shouldn't overshadow family and personal growth. To Brian, family comes first. He encourages leaders to ensure their employees prioritize this balance too. How can you promote a healthier work-life balance within your team yet still exceed your business goals? Audio Mixing and Editing by www.verbell.ltd.

This week in the Boardroom, Paul, Patrick, and Chase discuss building a high-performance business culture by expecting and monitoring mistakes. Transparency is key. When we expect each other to make mistakes and hold each other accountable, we're building a supportive environment. How can your organization see mistakes as growth opportunities? Trust and accountability must be balanced. Trust doesn’t mean avoiding accountability but creating a safe space for improvement. Highlighting mutual respect and accountability, the co-hosts emphasize that no team member is above the team. How can leaders balance trust and accountability effectively? Measuring performance is crucial for growth. It's important to track metrics like close rates to gauge business success. Chase's rigorous tracking system encourages constant feedback, while Paul notes that trust allows candid feedback. What performance metrics drive improvement in your organization? Audio Mixing and Editing by www.verbell.ltd.

Paul, Patrick, Nick Bartolo, and Chase Hazelwood discuss the pivotal role that trust plays within teams. While trust is a cornerstone of effective teamwork, we can't forget the importance of accountability. Building trust is a gradual process built by recognizing and acknowledging when your team excels. How can your team strike a balance between fostering trust and upholding accountability to ensure consistent and high-quality performance? Staff turnover can be beneficial, contrary to popular belief. It may even be healthy to bring on new talent and ideas, pushing both employees and employers toward excellence. What strategies can you implement to leverage staff turnover as a driving force for growth and innovation within your organization? Continuous process improvement serves an important role in driving businesses toward success. Like Chase, you may even use AI tools for developing Standard Operating Procedures (SOPs) and training materials to boost your progress. How can your business harness the power of focused process improvement and the integration of AI tools to achieve growth at a competitive rate? Audio Mixing and Editing by www.verbell.ltd.

Explore the fascinating world of pest control with Jared LaJaunie, founder of LaJaunie's Pest Control. From humble beginnings as a one-man operation to scaling up with a team, Jared shared the secrets behind his success. How can we maintain that relentless dedication and hunger for self-improvement in our own endeavors? Jared observes the power of mindset shifts in driving business growth. Transitioning from scarcity to abundance can open up new possibilities, not just for leaders like Jared but for entire teams. Ponder this: What mindset shifts can we make in our businesses to unlock untapped potential and foster growth? Let's not forget about the dynamic duo of Jared and his wife, Skye, who navigate the business world together. Their partnership underscores the importance of clear boundaries and open communication in both professional and personal relationships. How can we foster strong partnerships in business while maintaining a healthy work-life balance? Audio Mixing and Editing by www.verbell.ltd.

Paul and Patrick break down earnouts, those tricky tools that promise to bridge valuation gaps but often lead to unexpected headaches. Ever wondered why earnouts can be such a gamble? Picture this: a seller with a rock-solid EBITDA track record sees their earnout shrink because the buyer reinvests in the business, slashing the payout. So, are earnouts worth the risk, or are they just a ticking time bomb? Revenue-based earnouts are generally safer than cash-flow ones. Why? Because the deeper you delve into the profit and loss statement, the less control sellers have. But here's the kicker: How can sellers navigate these murky waters and ensure they're not left high and dry when the deal is done? It's a tough nut to crack but understanding the ins and outs of earnouts might just be the key to staying afloat. Honorable conduct pays dividends in reputation, while shady dealings can burn bridges. How can businesses strike the right balance between seizing opportunities and maintaining their moral compass in a cutthroat industry? It's a tightrope walk but finding that sweet spot could spell the difference between long-term success and a tarnished reputation. Audio Mixing and Editing by www.verbell.ltd.

This keynote speech by leading M&A advisor, Paul Giannamore, was filmed at the AZPPO Great Western Conference in Mesa, Arizona, on March 27, 2024. The presentation revolves around the key decision-making processes in mergers and acquisitions (M&A), focusing particularly on the choice between negotiation and auction when selling assets. Paul Giannamore, with over 20 years of experience in M&A advisory, emphasizes that understanding and choosing the right selling process—negotiation or auction—is crucial, not only in M&A but in any asset sale. Illustrating this, he shares a personal story about selling a valuable family-owned violin through different methods—initially trying to sell it online and then through personal connections, which eventually led to auctioning. This story serves as a segue into discussing the auction process more broadly. Paul elaborates on the complexities and strategic decisions involved in auctioning, using a detailed example of selling a business through a controlled auction process. The narrative includes tactical shifts like switching to a Dutch auction to push the final sale price closer to the desired amount. He explains the dynamics of a controlled auction, highlighting the absence of traditional negotiation and the focus on leveraging competition among buyers to maximize the selling price. In essence, the presentation provides a comprehensive overview of strategic decision-making in asset sales, focusing on the choice of process, and underscores the importance of understanding and manipulating these processes to achieve the best outcomes in business transactions. Contact POTOMAC today and find out how. Watch the recorded version of his speech here: https://youtu.be/AIbOsEZRifM?si=ikZklx9gCIpMhzdz 

Skye LaJaunie, COO of LaJaunie's Pest Control, joins Paul and Patrick in The Boardroom to dive into the crucial role of company culture in driving business success. There is a huge need for a strong culture built on genuine relationships between leaders and team members. But what does it take to truly understand your team's motivations and aspirations? And how can leaders foster an environment where everyone feels valued and connected? Skye sheds light on the importance of adapting business strategies to align with employee values, especially considering the unique characteristics of the younger generation in the workforce. When it comes to flexibility and customization, urging leaders to meet younger individuals where they are can be key in driving their success. But what does this level of customization look like in practice? And how can businesses navigate the changing dynamics of the modern workplace while staying true to their core values? Skye underscores the value of learning from others, whether through mentorship or studying successful businesses. The power of collaboration and openness to new ideas can do wonders in driving growth and development. But how can leaders cultivate a culture of continuous learning within their organizations? What steps can you take to ensure you're always evolving and adapting to stay ahead in such a fast-paced industry? Audio Mixing and Editing by www.verbell.ltd