Test Hard Truths, Valuable Lessons, & A Few Laughs Along The Way...

As I sit here at my desk, with Christmas a distant memory and only in the second week of the New Year, I can’t help but reflect on the whirlwind that has been the start of 2025. Last year brought challenges, growth, and unexpected twists for many in the flooring industry, myself included. Now, as we dive into 2025, I’m reminded of some hard truths, valuable lessons, and a few laughs along the way that are already setting the tone for what’s ahead.

One of my first conversations this year was with a new client eager to expand their flooring business. Now, I’m all about going all in — but you’ve got to do it the right way. As we unpacked their financials, it became clear they were running a marathon at sprint speed. I’m very conscious and aware of overtrading, and this scenario smacked of it, so we have our work cut out to get on top of things.

In my opinion, finances are the foundation of everything. “Know your numbers!” is repeated from my mouth so often that I should make it into a ringtone! As we rolled up our sleeves to identify the gaps — managing stock levels, using assets more wisely, tightening up debtor payment terms, and most importantly, rebuilding cash reserves — it became apparent that we are walking a financial tightrope. This always makes me nervous. As I always say: cash flow before growth. We’ve got this, though, and between us, we’ll navigate the complexities and trade through to the other side — even if it’s slower progress than this client might like.

Expansion really has been a hot topic this month. I also have a client who won’t mind me saying that they think they might have undiagnosed ADHD. They’re a whirlwind of energy and ideas, always hungry for more, and with a dry sense of humour it always makes our sessions entertaining. They too want to expand, with stores 2 and 3 on the horizon. The conversation was passionate, and the way they tried to sell it to me as a good idea was admirable — but there are no flies on me. As hard as it was to dampen their enthusiasm, I had to explain that the business wasn’t ready and the move was too risky at this moment. They took it well — better than I expected. I couldn’t help but feel a sense of déjà vu. I’ve seen too many businesses expand too quickly, only to collapse under their own weight — my own included — and I simply won’t let it happen to anyone else.

I gently explained that while the desire to grow is understandable, it's crucial to ensure the current operation is running like a well-oiled machine before opening a new branch. It's like trying to run before you can walk — it usually ends with a fall. We finished our session by discussing ways to improve operational efficiency, from multi-skilling initiatives to better inventory management. The goal this year is to create a business that can run smoothly even when they’re not there. That, in my opinion, is when you know you're ready to expand.

They’ve made incredible progress over the past year, and it’s inspiring to see how their ambition drives them forward. Conversations with them always spark fresh ideas, including how important it is to stay ahead of the curve, think outside the box, and create new ways to generate more income.

Talking about thinking outside the box: everywhere I look, AI and automation are making waves. From using ChatGPT for customer service to leveraging social media marketing, the opportunities are endless. I even had a client ask whether I felt ChatGPT could run his finances? I'm not going to lie, I tested this theory before Christmas and the results were laughable. The answer therefore is no I don't believe it could. Until I'm proven wrong that will remain my stance.

Here's another the thing: technology can’t replace trust. People buy from people, and I will never change my opinion on that either. Whether it’s a thoughtful follow-up or a well-crafted joyful greeting, it’s those personal touches that stand out. I'm one of those annoying people that doesn't like the self service in places like Nandos - why would I want to collect my own knives, forks, condiments and drinks in a sit down restaurant? I want human interaction "How are you?" "Would you like peas or sweetcorn with that?" "How was your meal?" Maybe I'm a traditionalist, maybe I'll have to get used to it - maybe I'll just choose not to go. 

This brings me to another conversation I’ve had with another client this month. We were discussing why your people are your greatest asset. We’ve been busy revamping employee contracts and handbooks. It’s not just about ticking a legal box — it’s about creating clarity, setting expectations, and building a culture where people want to show up and give their best. Without clarity on roles and responsibilities, an employee can end up lost, lacking purpose, and drifting with no clear direction. By setting your stall out from the beginning, you provide strong foundations for a positive culture and an efficient workforce. So if you don’t have contracts of employment, subcontractor agreements, or even an employee handbook, I urge you to get them in place.

With another client, we established that word-of-mouth marketing is still king. We’ve been focusing on strategies like getting more Google reviews and setting up referral programs. After all, a satisfied customer is your best marketing tool. This strategy is paying off for this client, who has seen a direct increase in sales attributed to word-of-mouth marketing — awesomeness!

Another running theme in all my conversations this month has been accountability. Whether it’s a mentor, coach, or peer group, having someone who holds you to your word makes all the difference. It’s a no-excuses mentality. When the excuses build, guess what? No progress gets made, and you simply get stuck. No one wants to be stuck — it’s boring and will eventually catch up with you.

As I look at the first few weeks of 2025, I’m filled with optimism. Sure, there are challenges: financial pressures, changing consumer habits, and the relentless pace of tech innovation. But what I’ve seen so far is Resilience. Innovation. Passion. The kind of stuff that reminds me why I love this industry. Why I love what I do. If you’re willing to adapt and learn, the opportunities are endless.

So, my message is simple: embrace the challenge, know your numbers, think big, and always have someone on your side who will challenge you (even if it’s just a little!)