Tom, Larry and The Inverted Growth Plan

Once upon a time in the mystical land of Los Angeles — where dreams are made, occasionally crushed, and often delayed by traffic — lived a guy named Tom. Tom ran a small construction company. Solid reputation. Steady work. But about as dynamic as a sloth on a Sunday.

He wore every hat in the business: owner, salesman, office manager, crew supervisor, coffee-fetcher. Two crews, one truck, zero room to grow.

His plan? Add a third crew. Bigger space. New truck. More equipment. A new salesperson. Basically: skip a few steps and jump straight to the moon. There was just one minor hiccup. Finances. Or more precisely, the total and utter lack of them.
That’s where I came in.

Tom was referred to me by James Wilson, a former client who probably warned him about my questionable humor and tendency to wax philosophical. Regardless, Tom called, we chatted, and I set a time to visit him.

My first question to him was—what resources he had available, he looked at me like I’d asked him to explain quantum physics. “Resources? What resources?”

To his credit, Tom knew that timing was everything. He couldn’t risk borrowing heavily — he didn’t want to gamble the business he had for the one he might build. He had considered financing, but looked about as enthusiastic as a cat being lowered into a bathtub at the thought.

He needed a plan-not just any plan but THE PLAN. Enter: The Inverted Growth Plan™. (No trademark yet, but you get the idea.) This was my plan—a plan I had used before and with the right person and business it would work.

I told him, “This isn’t about jumping ahead. It’s about building up. Think socks before shoes. Underwear before trousers.”

Cue quote #1 — one of the sayings I keep in the toolbox for just such occasions:
“Give me six hours to chop down a tree and I will spend the first four sharpening the axe.”
That’s how I work — sharpen, prepare, then act. Tom half-smiled. I wasn’t sure if he was inspired or just relieved I’d stopped quoting.

But I wasn’t done:
“A 20/20 mindset produces clarity, joy, and peace in your life.”
Possibly overkill. But the point landed: Tom didn’t have to mortgage the future to grow the business but he didn’t realize it yet.

I laid the steps he would have to be taking:
Raise your prices.
Tom had an excellent reputation — raising prices was the simplest, safest way to increase cash flow. A modest bump wouldn’t scare off customers.
Renegotiate with vendors.
Tell them you’re expanding. Ask for better pricing, better terms. Volume matters — and hinting at future growth works wonders.

This takes care of the cost of goods.
Cut the crap.
I introduced Tom to the glamorous world of zero-based budgeting. “Zero what?”

I explained: start from scratch, justify every expense, and cut every non-essential item. Think like Scrooge McDuck.
“Even the rent?” He asked

”Especially the rent” Absolutely. Call the landlord. Explain the plan. Ask for his support. Lay the groundwork now, and promise loyalty later when you move to a bigger space. I got a grin back for that—definitely an ice breaker!
Build an Expansion Fund.

I explained the principal: Every dollar saved — from phones to fuel to paper clips — has to go into the Expansion Fund. This fund is sacred. Never to be touched. Not even looked at too long.
Turn off the lights.
My Piece De Resistance! “The lights? Don’t you think that’s a bit much” He said.

“No”, I said “It’s the best and most important thing”. The final touch! I love it!

“Why?” He said. For some reason this last instructive is always the most impressive.  “Because when you think cheap, your guys do too. That mindset trickles down and leads to creative, cost-saving ideas you never dreamed of. Trust me,” I told him. “It’s not just about saving pennies. It’s about building discipline. That’s the stuff that makes a business unstoppable.” It’s powerful stuff and always makes a great impression.

Tom was cautious, but committed. We ran through the plan again, and he nodded. Three “okays” later, he was in.
One last question: “How long will this take?”
“If I said up to two years, would that be a problem?”
He paused. “Not at all.”

That was the moment. The shift. He wasn’t just playing defense anymore. He was planning.

Eighteen months passed.
I was in my office, minding my own business (no, really), practicing my acceptance speech for “America’s Best Business Advisor” (I can dream can’t I?) when the phone rang.
It was Tom

.
Excited. Breathless. Talking fast. “I did it — the vendors, the price increases, the savings — I tracked everything like you said. And guess what?”
His Expansion Fund had hit its target. Six months ahead of schedule.
He was ready.
He wanted to thank me. I said no need — his success was gift enough. (Also, he’d paid my invoice in full — always helps.)

What was it like? Tom felt stuck: The business worked as it was, but scaling up seemed impossible without outside money he didn’t have.
What happened: I applied my accountant’s discipline and marketer’s brain. Together, we cut costs and restructured how his cash flow was managed. Every dollar saved was salted away into a fund with one purpose: fueling growth.

What it’s like now: In time, Tom had built the reserve he needed. Not borrowed, not begged, not overextended — saved. That reserve became the engine that powered his expansion.

Lesson Learned: Growth without profit is just motion. But with discipline, today’s savings become tomorrow’s freedom.

Epilogue: The Happy Ending

Tom’s story isn’t just about numbers. It’s about mindset. Control. Turning a “maybe someday” into a step-by-step plan.
You don’t build empires on hope and debt. You build them with a sharp axe, a little restraint, and a very well-labeled fund you never, ever touch.
So next time you’re itching to grow — stop. Think like a lumberjack. Plan, sharpen, and then act. Call me and we can chat.
And don’t forget to turn off the lights.