Hey guys, I love your work. Can you clarify something for me? At the beginning of the mini-book, you said you're planning to spend zero dollars on contractors and production in the coming year. But you also talk about a delivery team, which sounds like it's not just the founders. The prior statement sounds like you're advocating for spending zero on outside help, but I don't think that's true. Can you clarify? Thanks!
Yes great question! Erica and I are already delegated to each other and have decided we do need to go further right now. We are also horizontally integrated into our clients like we recommend in the book. Most of our clients are underwater on delivery and need to buy back in order to continue to grow so we deploy the model described.
Sure! We’re not hiring anyone because there’s two of us already. All of our clients hire people in the pod structure we suggest in the book, cuz they’re solo founders not duo founders. Hope that clears it up! Lemme know?
It does! I think there's still a little confusion on my end because it feels impossible that y'all totally spend zero, especially if you work with someone like Katrina to support your books, etc -- but conceptually this all totally makes sense.
An important note that we should probably add to this mini book is that we are specifically referring to COGS / delivery contractors (think: people who increase capacity, create deliverables, and support clients). Our accountant and Katrina are not on our COGS because they are not delivery contractors. They don’t increase our capacity or manage clients for the company.
For sure. Our expenses are an accountant/bookkeeper, some software, and any help we need like design or Katrina we have lower costs cuz of trade and referral deals we have in place. Those deals are built on years of relationships where we help each other out, which is always an option to keep costs low but certainly won’t last forever.
loved this. as a new solopreneur, i’m focused on getting better at what i do and finding more balance, not building myself a whole new job managing people.
that’s why the idea of a consulting collective appeals to me: independent consultants who can refer work, share expertise and support each other without becoming a traditional agency.
Great read. Never knew what to call this and have built two micro agencies in the past 5 years after a big tech career. The selling of problem solving is key.
Even though I’m not building an Agency or frankly have anything in the works for that, this was still an amazing read with tons of gems! (my favourite was the pricing models comparison and stuff around compensation)
Great post. I've been building my business subconsciously in the same way for last three years. With marketing agency background, I knew how terrible and risky the business can be, so I instantly knew my company has to be small, flexible, based on freelance contractors, with one experienced leader that builds relationships with clients (me of course). My kinda strong personal brand in the local marketing industry worked (and is still working) as a new business driver. My take-home is higher than my ex-bosses in previous jobs, but the comfort and joy from work itself is incomparable. Thank you for this post!
The horizontal vs vertical staffing approach is gold.
I’ve seen the vertical approach play out with mixed results in multiple agencies that I have been a part of.
I’ve had an intuition for the horizontal approach, but didn’t have the language to describe it.
Great read!
So glad we were able to articulate this for you!
Love this. That’s the kind of business I proudly run.
Nice!
Hey guys, I love your work. Can you clarify something for me? At the beginning of the mini-book, you said you're planning to spend zero dollars on contractors and production in the coming year. But you also talk about a delivery team, which sounds like it's not just the founders. The prior statement sounds like you're advocating for spending zero on outside help, but I don't think that's true. Can you clarify? Thanks!
Yes great question! Erica and I are already delegated to each other and have decided we do need to go further right now. We are also horizontally integrated into our clients like we recommend in the book. Most of our clients are underwater on delivery and need to buy back in order to continue to grow so we deploy the model described.
*don’t need to go further
Sure! We’re not hiring anyone because there’s two of us already. All of our clients hire people in the pod structure we suggest in the book, cuz they’re solo founders not duo founders. Hope that clears it up! Lemme know?
It does! I think there's still a little confusion on my end because it feels impossible that y'all totally spend zero, especially if you work with someone like Katrina to support your books, etc -- but conceptually this all totally makes sense.
An important note that we should probably add to this mini book is that we are specifically referring to COGS / delivery contractors (think: people who increase capacity, create deliverables, and support clients). Our accountant and Katrina are not on our COGS because they are not delivery contractors. They don’t increase our capacity or manage clients for the company.
Indeed. That’s an important distinction.
For sure. Our expenses are an accountant/bookkeeper, some software, and any help we need like design or Katrina we have lower costs cuz of trade and referral deals we have in place. Those deals are built on years of relationships where we help each other out, which is always an option to keep costs low but certainly won’t last forever.
makes sense! thanks!
🔥🔥🔥🔥
:)
loved this. as a new solopreneur, i’m focused on getting better at what i do and finding more balance, not building myself a whole new job managing people.
that’s why the idea of a consulting collective appeals to me: independent consultants who can refer work, share expertise and support each other without becoming a traditional agency.
Great read. Never knew what to call this and have built two micro agencies in the past 5 years after a big tech career. The selling of problem solving is key.
Thanks!
What a great piece of writing! As I heard in the last season of The Bear: Think small. Big money.
cheers!!
Even though I’m not building an Agency or frankly have anything in the works for that, this was still an amazing read with tons of gems! (my favourite was the pricing models comparison and stuff around compensation)
Thank you guys!
thanks for reading!
Great post. I've been building my business subconsciously in the same way for last three years. With marketing agency background, I knew how terrible and risky the business can be, so I instantly knew my company has to be small, flexible, based on freelance contractors, with one experienced leader that builds relationships with clients (me of course). My kinda strong personal brand in the local marketing industry worked (and is still working) as a new business driver. My take-home is higher than my ex-bosses in previous jobs, but the comfort and joy from work itself is incomparable. Thank you for this post!
awesome to hear. thanks for reading!
Love this Erica, Subscribed 👍🏻
Cheers!