Should Painters Use DEBT to GROW the Business?
In the video, Brandon Lewis discusses his personal philosophy on debt and its implications for painting business owners. Drawing from his experience conducting over 2,700 diagnostics, he provides insights into when debt might be appropriate and when it could be detrimental.
📌 Key Takeaways
Personal Experience with Debt: Brandon paid off his $1.6 million home mortgage in 2.5 years, emphasizing the importance of being personally debt-free.
Caution Against Using Debt to Mask Business Issues: Using debt to cover operational problems often exacerbates the situation. It’s crucial to address underlying business issues before considering debt.
Avoiding Bad Debt: Examples of bad debt include high-interest loans, credit card debt, and financing expensive vehicles. Such debts can strain cash flow and hinder business growth.
Strategic Use of Good Debt: Investing in assets like a commercial property with rental income or purchasing equipment that generates immediate revenue can be considered good debt.
Becoming Your Own Bank: Building sufficient cash reserves allows business owners to finance their needs internally, reducing reliance on external debt.
Peace of Mind Over Potential Gains: Prioritizing financial stability and peace of mind is more valuable than the potential profits from leveraging debt.
Financial Discipline: Maintaining a strict budget and avoiding unnecessary expenditures, such as lavish personal items, is essential for long-term business success.
Consult Before Taking on Debt: Before deciding to incur debt, it’s advisable to consult with financial experts to assess the necessity and impact on the business.
Brandon concludes by encouraging painting business owners to be cautious with debt, emphasizing that while it can be a tool for growth, it should be used judiciously and strategically.
The 5 Keys for Success in ANY Economy
Discover the key to unlocking the hidden income potential in your painting business.
Hear What Other Members are Saying:
Jim and Lorraine
“Our first campaign reached $60,041.98! That's a huge percentage of our annual sales! You don't pick the peach orchard just one time. Different peaches ripen every day. Thanks for encouraging us to keep after it!”
Eric
“15 requests for quotes and closed and/or completed $23,000 of work and I still have a few more to do. Conservatively this campaign will net $25,000 in found money in the first 45 days! Thanks Brandon!”
Torlando
“This year has been the biggest year of growth for us. We're double where we were last year. I realized the real money in this business is in the marketing of the services - not the doing of the services.”
The 5 Keys for Success in ANY Economy
Discover the key to unlocking the hidden income potential in your painting business.