In This Episode: When it comes to entrepreneurship, Norm Brodsky has seen it all. He’s also experienced the highest highs and lowest lows. In this podcast with Brian Moran, Norm discusses common mistakes business owners make, the value of honest projections, and the importance of reputation over short-term gains. Business owners—plan to take plenty of notes.

Norm’s Pearls of Wisdom for Business Owners:

On Cash Management: “Cash is the hardest commodity to get and the easiest to spend. You have to be very conservative with your assets, particularly cash. Don’t spend it unless you absolutely need it for the business. 

On Business Planning and Honesty: “Many first-time entrepreneurs make the mistake of inflating their projections to show that their business will succeed. It’s better to start a smaller business than to project great sales just because your investors want to see them. 

On Learning from Mistakes: “Accept your mistakes and learn from them. Every time something goes wrong in one of my companies, I ask myself, ‘What did I do to contribute to this problem?’ This approach helps you understand your business better and prevent similar issues in the future.”

On Building a Positive Company Culture: “Building a positive company culture is crucial. Employees stay because they like the culture and enjoy coming to work. 

On Honest Feedback: “Go to people who will give you the truth, no matter how much it hurts. When you seek advice, be honest, and expect honest feedback. You need someone who will tell you the hard truths about your business.”

On Competition and Respect in Your Industry: “You want to be respected by your peers, even your competitors. You want people to say, ‘I know Norm Brodsky. He runs a great business.'”

On Financial Discipline: “Sales are good, but profits are better. A lot of business owners don’t understand this; they want to do more sales without focusing on profits.”