Ep 289 Scorecards, Not Gut Calls: How to Run Profitable Weeks with Austin McMillan
Profit Answer Man: Scaling with Profit First & Beyond
Release Date: 09/23/2025
Profit Answer Man: Scaling with Profit First & Beyond
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Scorecards, Not Gut Calls: How to Run Profitable Weeks with Austin McMillan Build a Profitable Business Buyers Can’t Resist Most business owners dream of selling one day—but the reality of what buyers actually pay can be sobering. In this episode of Profit Answer Man, Rocky sits down with Austin McMillan, founder of Flywheel Financial, to break down how investors truly evaluate businesses, why contractual revenue beats hype, and how Profit First and a handful of simple ratios can transform your company into a business worth buying. Key Lessons from the...
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How Small Businesses Beat Big: Profit Lessons from McKinsey to Main Street with Sri Kaza Most small business owners feel like underdogs—limited resources, endless responsibilities, and constant pressure just to keep up. But what if those very constraints were the secret to outpacing billion-dollar corporations? That’s exactly what Sri Kaza, former McKinsey consultant and now small business advocate, reveals in his book Unconventional and in our latest conversation on the Profit Answer Man podcast. After years advising Fortune 500s and later scaling and selling...
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The Profit Pitfalls Most Business Owners Miss with Lisa Hennigar Most business owners don’t lose profit because of one big mistake — it’s usually a thousand tiny leaks. From not knowing your why, to ignoring customer service, to failing to track the right numbers, the truth is this: profit slips away quietly while you’re busy working hard. In this episode of Profit Answer Man, I sit down with Lisa Hennigar, Vice President of Franchise Development at ERA Group and a nationally recognized franchise strategist with over 22 years in the industry. Lisa has worked with everyone...
info_outlineScorecards, Not Gut Calls: How to Run Profitable Weeks with Austin McMillan
Build a Profitable Business Buyers Can’t Resist
Most business owners dream of selling one day—but the reality of what buyers actually pay can be sobering. In this episode of Profit Answer Man, Rocky sits down with Austin McMillan, founder of Flywheel Financial, to break down how investors truly evaluate businesses, why contractual revenue beats hype, and how Profit First and a handful of simple ratios can transform your company into a business worth buying.
Key Lessons from the Conversation:
- Buyers Value Contracts, Not Stories. When Austin worked on acquisitions in the landscaping industry, he learned buyers cared far more about signed contracts than the stories in a P&L. Relationships matter, but recurring revenue is what sets your valuation. Reflection: How much of your revenue is secured by contracts vs. one-time sales?
- Your Books Tell the Truth. Clean, accurate financials can instantly raise your sticker price. Many owners think they’ll get a big payout, only to find sloppy accounting drags down value. Reflection: If you had to sell tomorrow, could you prove your profit?
- Profit First is a System—Not a Straitjacket. Austin loves Profit First because it forces owners to prioritize profit—but he stresses that you must adapt the allocations to your business, not force your business to fit the book. Reflection: Where do your Profit First allocations need adjusting?
- Obsess Over the Labor Efficiency Ratio. For every $1 in total labor costs (including admin, taxes, contractors), service businesses should aim to generate about $2 in gross profit. This simple ratio is often the fastest lever for boosting margins. Reflection: What’s your current labor efficiency ratio with and without owner labor?
- Run on a Simple Weekly Scoreboard. Instead of drowning in a 100-line P&L, Austin runs his firm with five weekly metrics: Sales activity (lead generation), New client onboarding experience, Operations consistency, Cashflow & receivables, Customer service response time (the “Queen Bee” role). This keeps the team aligned, accountable, and focused on leading indicators that drive real results. Reflection: What five numbers would tell you if your business is winning or losing?
- Fix Process Before People. If a metric stays in the red for three weeks, Austin first checks the process before blaming the person. Only after validating the process does he shift focus to coaching or replacement. Reflection: Where might broken processes—not bad people—be costing you profit?
Key Takeaway:
A business that runs on clean books, clear systems, and a handful of key ratios isn’t just more profitable today—it’s more attractive to buyers tomorrow. Stop guessing by your bank balance. Start running the scoreboard that investors (and your future self) will thank you for.
About Austin McMillan:
Austin McMillan is the founder of Flywheel Financial, an accounting firm that helps business owners scale with financial clarity and build companies of lasting value. He believes healthy businesses create healthy families, and healthy families create healthy communities.
Links:
https://www.flywheel.financial/
Instagram: https://www.instagram.com/austindmcmillan/
Conclusion:
At the end of the day, buyers don’t purchase your hustle—they purchase proof. Proof in the form of recurring contracts, clean books, efficient labor, and systems that keep a business running smoothly. Austin reminds us that profitability isn’t just about bigger numbers on the top line—it’s about clarity, discipline, and building a machine that works whether you’re in the office or not.
The businesses that win—whether you keep them or sell them—are the ones designed with profit and process at the center. Start small: track the right five numbers, implement Profit First in a way that fits you, and focus on turning every $1 of labor into $2 of profit. Do that consistently, and you’ll create a business worth keeping… and worth buying.
#ProfitFirst #CashFlowFix #BusinessProfit #FinancialClarity #SmartScaling #LaborEfficiency #Scorecard #ServiceBusiness #BusinessValuation #OwnerPay #EntrepreneurFinance #RevenueLeaks #SystemsAndProcesses #SmallBusinessGrowth #ProfitMindset
Watch the full episode on YouTube: https://www.youtube.com/@profitanswerman
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Profit Answer Man Facebook group: https://www.facebook.com/groups/profitanswerman/
My podcast about living a richer more meaningful life: http://richersoul.com/
Music provided by Junan from Junan Podcast
Any financial advice is for educational purposes only and you should consult with an expert for your specific needs.