What it takes to run a business

Podcast

In this week’s episode, Dana White, Laura Zander, and Jay Goltz talk about their real estate challenges. Dana decided to close one of her locations rather than keep dealing with an overly aggressive landlord. Laura, fearing her landlord was going to throw her out, decided to buy a building. But she hasn’t been able to close on the deal because, while she’s been to six banks, she has yet to find one that will fund the loan—even though she already has SBA approval for a loan. And Jay wants to take out a mortgage on a building he owns outright just to have some extra cash on hand, but he’s on his 10th bank. “You can’t get discouraged,” Jay tells Laura. To which Laura responds: “Come on, what do you mean, ‘You can't get discouraged?’ You see my face? It’s called discouragement.” Plus: the Morning Report News Quiz returns.

This week, six months into the crisis, Paul Downs, Jay Goltz, and William Vanderbloemen take inventory. What does the crisis mean for the future of their businesses? Has it changed them as leaders? Has it affected their relationships with their employees? And they come to some counter-intuitive conclusions. For one, William tells us that he suspects he will one day look back on the crisis and conclude it was the best thing that could have happened to his business. It’s been painful, he says, but, “in some ways, we needed a jolt, and this gave it to us.” Jay understands: “When things get really bad like this, we start paying attention to stuff that we should have been paying attention to before.” Plus: do the three owners have a plan for how their businesses would continue to operate if they were incapacitated by COVID?

This week, Karen Clark Cole, Paul Downs, and Jay Goltz talk about whether their businesses need another round of government support, whether in the age of COVID they monitor their employees’ behavior away from the office, and whether there are aspects of running a business they would like to be better at. One thing they say they are all good at is taking action when an employee has to be shown the door. As Jay tells us, “If we didn't figure out how to fire, we're not on this show, because we're out of business at this point.” Plus: Did Paul keep his promise to see if he could connect with someone at Google to discuss his AdWords campaign?

In this week’s conversation, Karen Clark Cole, Paul Downs, and Laura Zander talk about their approaches to digital marketing. After years of relying on Google AdWords as his only form of marketing, Paul tells us, he stopped his $12,000-a-month spend a few years ago—relying instead on organic traffic. What happened when he stopped? His sales actually went up. But now, with fewer people looking to buy high-end boardroom tables because of the crisis, he’s considering shifting tactics again: “I'm wondering whether I should sort of go on the offensive,” he says, “and try to increase my marketing in the face of these declines in sales, or whether nothing I do would make any difference at this point.” Plus: Is it better to manage your own digital marketing or to hire a specialist? Our panelists disagree.

In this week’s conversation with Paul Downs, William Vanderbloemen, and Laura Zander, Paul explains why he’s not planning to pivot his business—even as his sales collapse. Normally, Paul says, his most reliable customers are other business owners. When they call to ask about a custom boardroom table, he and his sales staff know they are likely to buy. Right now, though, in the midst of a pandemic that has changed the way people look at commercial space, they aren’t even calling. A lot of people have suggested that Paul pivot to manufacturing desks for home offices. So far, he’s resisted the idea. “To walk away from what we know,” he says, “and do something that we don't know and that others know very well, I just feel like it would be a huge mistake.” Paul, William, and Laura also talk about how the crisis has affected their own compensation.