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Working Cow podcast,

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episode 372.

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This episode is brought to you by, c

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Welcome to the podcast that gives producers a

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platform to discuss and share paradigm challenging practices.

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Practices that have increased the effectiveness of their

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operation and the joy that their families have

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received from this lifestyle.

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Howdy do everybody's? It's clay Henry, host of

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the working cow podcast recorded exclusively in the

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understanding eggs studios,

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Very excited to be joined once again

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by

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Dallas Mount. Dallas is, of course, the Ceo

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of ranch management consultants, and they are

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the, fine p

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of the ranch for profit school and the

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executive link program among other things.

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And, we're gonna talk to him today as

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he's been owning a business now after spending

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many years telling ranchers to run their ranches

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like a business.

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Now he's been in the driver's seat of

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a business for a number of years.

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And we're gonna talk to him about some

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of the things that have helped him

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as he's been guiding this business. Some of

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the

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lingo, some of the ways of thinking about

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things, the mindset and the way that they

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think about, the different

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opportunities

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available to them,

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and analyze them and and some of the

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things that have helped him just lead that

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business all the more better. So, Dallas, thanks

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for joining me again on the Working cow

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podcast. Welcome back. Thanks, Clay. Always fun to

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be with you. Yep. We're just continuing to

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to

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blow Brian Alexander's number of times on the

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working couch podcast out of the water. So

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I was thinking about that the other day.

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I probably should have him back on because

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he's he's probably getting a little

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a little jealous, but

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it's always fun to beat, Brian, Alexander and

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something. Something. Yeah. I can't beat him in

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the beard department. That's for Dang sure.

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Neither.

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So 1 of the things ranch reboot podcast

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podcasts, by the way, shout out to Brian

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Alexander.

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I... 1 of the things that, you know,

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actually what inspired it is as I was

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preparing to be on

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Jared Sore profitable

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regeneration,

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profitable stewardship podcast.

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I I was listening to you. On there.

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And you were mentioning some things

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on there that have been kinda helpful as

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you have been managing

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ranch management consultants.

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And,

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you know, just some of those ideas of,

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you know, now you've been teaching ranchers to

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look at their ranches as a business for

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all these years. Right? Even back to your

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time with extension,

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and

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you know, some of that. So you've been

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teaching Ranchers this for a long time, but

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now you are also a business owner and

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making some of those decisions

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that affect your own personal bottom line as

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a business owner. And I was just kinda

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wondering

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how has that changed your perspective?

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On the way you teach has it... Hasn't

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it changed anything significantly

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in the way that you teach these things

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some of those things. So that's kinda where

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I'd like to go for this. So I

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guess we'll just start there... What has changed

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or has it changed anything

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being in this business owner role for the

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last couple of years.

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Yeah. Cool. Good good question. Clay. Well thanks.

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Boy,

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It it's changed it and it and it

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hasn't changed Right? I mean, I've I've been

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teaching this stuff for for 20 years, but

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I'm looking back to my university time. I

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I think what it's done is it... It's

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allowed me

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to

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to

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understand the...

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When when you're walking the walk as well

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as talking to talk, it's different. Right? You

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know? And when I... When I... And And

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I'm... I don't mean in this derogatory terms

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it against people that that are employees. But

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when I was an employee with the university

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while wyoming owe. Right? I I would go

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out and teach teacher stuff, and I would

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get a paycheck whether I was good or

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whether I wasn't good. Great? I mean, you

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know, if if I was was terrible at

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doing my job, I probably would have got

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about the same paycheck as as the fact

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that I... I was pretty good at doing

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my job. When when you're

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when you're stepping out on your own, and

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you're you're making your own way in the

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world. I think there's a...

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There's another level of that where... Okay. Now

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it's you know, it's my own money on

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the line.

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It, you know, if if this thing's gonna

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work or this thing is not gonna work.

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It's it's gonna be highly dependent on my

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abilities as a business owner as a business

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leader to to structure and run this thing

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in a way that that works. Right? And

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And so I think it became...

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These things that we talk about became a

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lot more real. Right? When it when at

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the end of the day, it's it's me

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having to make sure I I develop my

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own paycheck. Right? And the... And also the

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people that depend on depend on us it

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depend on me. So yeah. I think they...

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It's... You know, the things we talk about

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are largely the same, but I think I

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can talk about them now with hey, This

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is what we do. Right? And not just...

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Oh, I read this in a book or

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heard this is a good idea. Right?

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We're... It's probably where I was coming from

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10 years ago. Right. You know, and it...

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It's that

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idea of the difference between signing the front

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of the check and the back of the

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check, you know, when you go from being

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the guy who's just signing in the back

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of the check, to the guy who's now

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signing the front of the checks, multiple checks,

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and there's other people whose livelihoods

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depend on you and and your ability to

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continue to

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see the way forward with this business. It

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it just some things have to change. Right?

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It's not right or wrong. It's just... You've

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got approach things differently now. Right? Right right.

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Yeah. No. That's that's that's exactly. And I'll,

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I'll tell a little story that I've been

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telling it Ranch

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to some people probably probably heard me say

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this, but,

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You know what when I when I first

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bought Rm,

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I liked doing individual ranch consults, and, you

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know, I'd get a lot of phone calls

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of You know, hey, Dallas, can you come

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out to the place for a couple days.

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Let's let's work through my economics. Right? Like

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can you have... And I'd say sure. Let's

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let's look at the calendar. Let's pick a

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date, You know? And it's probably a ranch

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that would mean a day's worth of time...

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Day's worth of travel time to get there

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you know,

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2 days on... And then a day we're

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with a travel time home. Right? So was

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it was a 4 day commitment.

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And and people would say, okay. Well, what

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do he get charged for something You know?

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And I'd kinda look around and say, well,

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you know, hey heck, here's here's what the

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other people are charging. So, I mean, let's

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let's pick a number, You know, 1500 dollars

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a day or something like that. Right? So

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so that I'd I'd go... It's been 4

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days, and I'd send the folks bill for

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3000 bucks. Right? If I was there for

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2 days.

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Well, 1 of the things I did when

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I bought this company is I looked at

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my overhead costs of keeping the doors open,

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and ranch management consultants. Right? So if we

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took our our salaries for the everybody that

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works here, you know, keeping the lights on

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in the building the building rent. Right?

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My obligations to to Dave, to to meet

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to meet what I owed him for purchasing

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the company. So so these are the cost

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just just to keep the lights on before

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we actually do any work. And if I

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took the number of working days in a

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year

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and divide it into that. So so let's

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say, I can't remember what number was when

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I bought the company. But let's say 400000

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dollars.

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Right? And then let's look at the number

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of working days in a year. Which is

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pretty close to to 365

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days. Hot 3 65.

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Right?

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Yeah. Everybody also thinking 3 65.

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No. Let's look cover what days if you're

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a reasonable person. Alright?

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So, you know, if you take bigger weekends

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and some holidays and some time Right? 02:50

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is a pretty close number to use. Right?

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So,

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400000

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divided by 250.

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I mean, if it were 200 working days

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in the year, the math easy Right? 2000

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dollars a day.

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And and Now, you know, my number was

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maybe, you know, 17 50 something like that,

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whatever it was. Mh.

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You know, that would kinda slap me across

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the face. Right? Look, if

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it's my job at leader in my business,

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to structure our business that, you know, every

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day, we're producing more than that in margin.

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Right? You know? So, I mean, that... That's

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a that's a pretty big big slap in

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the face. So, you know, these things that

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I enjoy doing that that feel like they're

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really good at value. I mean, you know,

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1500 dollars a day act. That's good wages.

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But when you've chosen to structure a company.

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I mean, I've chosen to buy Arm c.

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Right?

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I've chosen to structure a company that has

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this level of overheads,

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I've that by doing that, I've now got

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to focus my time on creating things that

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actually of the needle. Right? And and Out

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I see a lot of people who we

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work with, ranches.

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Right? I mean, what what are the what

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you look at most ranches? What... What's their

271
00:09:45,005 --> 00:09:46,671
daily burn rate Right? How much money did

272
00:09:46,671 --> 00:09:48,259
they go through a day? And a lot

273
00:09:48,259 --> 00:09:50,481
of ranches it's 2 to 3000 dollars dollars

274
00:09:50,481 --> 00:09:50,798
a day?

275
00:09:51,449 --> 00:09:53,523
Is if you take the total amount of

276
00:09:53,523 --> 00:09:55,357
money leaving the business divided by even 3

277
00:09:55,357 --> 00:09:56,075
65.

278
00:09:56,553 --> 00:09:59,505
Right? There's... And and so it's your job

279
00:09:59,505 --> 00:10:01,235
as a leader of your business to

280
00:10:01,913 --> 00:10:04,228
structure it so that you, you know, that

281
00:10:04,228 --> 00:10:06,463
that business is creating significant value every day.

282
00:10:06,942 --> 00:10:08,778
Right? And I think so many times we

283
00:10:08,778 --> 00:10:10,295
get caught up in that, you know,

284
00:10:11,108 --> 00:10:12,622
Oh, I'm gonna save a hundred bucks by

285
00:10:12,622 --> 00:10:14,854
doing this. Well, you know, slap yourself across

286
00:10:14,854 --> 00:10:16,289
the face. Right? Because a hundred bucks isn't

287
00:10:16,289 --> 00:10:18,894
gonna move the deal. But, you know, your

288
00:10:19,095 --> 00:10:21,415
your job to create significant value in your

289
00:10:21,415 --> 00:10:21,735
business.

290
00:10:22,455 --> 00:10:24,855
Yeah. Yeah. For sure. And and those things

291
00:10:24,855 --> 00:10:26,934
kinda change over time too. Right? I mean,

292
00:10:27,014 --> 00:10:29,688
as as things progresses, things grow

293
00:10:30,305 --> 00:10:31,980
as a business matures, maybe,

294
00:10:32,697 --> 00:10:34,314
those things are going to change

295
00:10:34,851 --> 00:10:37,244
what that ratio looks like. Is that true

296
00:10:37,244 --> 00:10:37,962
in your experience?

297
00:10:38,933 --> 00:10:41,080
Abs absolutely. I. I like to think... There's...

298
00:10:42,114 --> 00:10:44,181
So most of us in in Ag and,

299
00:10:44,341 --> 00:10:46,351
you know, that that are kind of

300
00:10:47,616 --> 00:10:49,288
entrepreneurial by nature. That wanna build something. Right?

301
00:10:49,686 --> 00:10:52,870
We we start off early in life and

302
00:10:52,870 --> 00:10:54,542
early, you know, maybe in your twenties.

303
00:10:55,114 --> 00:10:56,952
You, what what you have is you have

304
00:10:56,952 --> 00:10:58,311
your ability to get out there in hustle.

305
00:10:58,551 --> 00:11:00,229
Right? And to and to physically work and

306
00:11:00,229 --> 00:11:02,786
to physically do it. Right? And and that

307
00:11:02,786 --> 00:11:03,765
set of skills

308
00:11:04,238 --> 00:11:05,352
takes you so far.

309
00:11:05,989 --> 00:11:08,558
Right? But then there is a point where

310
00:11:08,694 --> 00:11:11,343
those skills can only take you this far

311
00:11:11,574 --> 00:11:14,065
and in order for your business to grow

312
00:11:14,680 --> 00:11:16,591
or, you know, depending on what you wanna

313
00:11:16,591 --> 00:11:18,423
do. I mean, maybe some people are very

314
00:11:18,423 --> 00:11:20,198
happy just having a very

315
00:11:20,668 --> 00:11:22,819
simple life. Right? And and there's nothing wrong

316
00:11:22,819 --> 00:11:24,333
with that at all. But a lot of

317
00:11:24,333 --> 00:11:25,927
the people that we talk with, what to

318
00:11:25,927 --> 00:11:28,237
build something that's bigger than themselves. Right? Wanna

319
00:11:28,237 --> 00:11:29,591
build something that can involve others,

320
00:11:30,244 --> 00:11:31,920
that get they can grow and continue to

321
00:11:31,920 --> 00:11:33,995
do... If that's what you want, then at

322
00:11:33,995 --> 00:11:35,373
some point that

323
00:11:35,830 --> 00:11:37,847
that strategy of

324
00:11:38,479 --> 00:11:38,979
hustling,

325
00:11:39,518 --> 00:11:41,516
working in it. I can do it all

326
00:11:41,516 --> 00:11:43,194
myself. I can figure out how to fix

327
00:11:43,194 --> 00:11:43,994
this stuff. Right?

328
00:11:45,112 --> 00:11:46,871
That strategy only take you so far. And

329
00:11:46,871 --> 00:11:48,804
then you have to adapt to change. Right?

330
00:11:49,044 --> 00:11:50,804
And that... And that's a very hard thing

331
00:11:50,804 --> 00:11:52,245
to do. That that was very hard for

332
00:11:52,245 --> 00:11:54,644
me. I'm I'm frugal by nature.

333
00:11:55,379 --> 00:11:57,451
And if I can do something myself instead

334
00:11:57,451 --> 00:11:59,683
of hiring somebody to do it, that was

335
00:11:59,683 --> 00:12:01,436
always my default. Right? You know? I mean,

336
00:12:01,515 --> 00:12:02,950
you just think about things around the house.

337
00:12:03,204 --> 00:12:04,976
And you, you know, things with your vehicle

338
00:12:05,112 --> 00:12:07,973
and things outside. Right? When when something breaks,

339
00:12:08,212 --> 00:12:09,961
it was my nature too... Okay. I'm gonna

340
00:12:09,961 --> 00:12:11,569
figure out how to fix. Right? I'm not

341
00:12:11,569 --> 00:12:13,566
gonna take it to town and pay somebody

342
00:12:13,566 --> 00:12:15,324
to do it. I'm gonna save, you know,

343
00:12:15,404 --> 00:12:17,401
a thousand bucks by fixing this myself even

344
00:12:17,401 --> 00:12:18,852
if if it takes me a week. Right?

345
00:12:19,329 --> 00:12:21,874
Well, you know, that that'll help you when

346
00:12:21,874 --> 00:12:23,305
you're starting out and you're broke,

347
00:12:23,941 --> 00:12:26,326
but at some point, you've gotta change that

348
00:12:26,326 --> 00:12:29,204
full. Philosophy if you want to turn this

349
00:12:29,204 --> 00:12:31,352
thing into something that's that's bigger than yourself.

350
00:12:31,511 --> 00:12:33,181
And and that... That's a... That's been a

351
00:12:33,181 --> 00:12:35,225
hard adjustment for me. It's, you know, it's

352
00:12:35,424 --> 00:12:36,884
it goes against my

353
00:12:37,345 --> 00:12:40,464
my natural nature and, you know, goes against

354
00:12:40,464 --> 00:12:40,964
my

355
00:12:42,065 --> 00:12:42,944
propensity to be frugal.

356
00:12:43,993 --> 00:12:46,217
So Yeah. Well, and... I've had to be

357
00:12:46,217 --> 00:12:48,203
intentional. So A couple of different things to

358
00:12:48,203 --> 00:12:50,427
think about there that I think kinda help

359
00:12:50,427 --> 00:12:52,278
frame this is, like, if a billionaire,

360
00:12:53,143 --> 00:12:56,244
stops collecting interest on his wealth for the

361
00:12:56,244 --> 00:12:57,755
amount of time it takes him to bend

362
00:12:57,755 --> 00:12:59,186
over and pick up a hundred dollar bill.

363
00:12:59,663 --> 00:13:00,538
He loses money.

364
00:13:01,349 --> 00:13:04,146
Right? Yeah. Or to put it maybe another

365
00:13:04,146 --> 00:13:06,144
way that's a little bit easier to understand

366
00:13:06,144 --> 00:13:09,841
if if I need to generate 2000 dollars

367
00:13:09,900 --> 00:13:10,460
a day,

368
00:13:10,954 --> 00:13:13,107
and we're just... Let's say, a 10:10 hour

369
00:13:13,107 --> 00:13:15,738
working day, that's 200 dollars an hour.

370
00:13:16,536 --> 00:13:19,587
So if I spend time working on

371
00:13:20,219 --> 00:13:22,457
a lawn mower rather than just taking it

372
00:13:22,457 --> 00:13:23,896
to somebody who can fix it even if

373
00:13:23,896 --> 00:13:25,254
they're gonna charge me a hundred bucks an

374
00:13:25,254 --> 00:13:27,332
hour to fix it. If I spend 4

375
00:13:27,332 --> 00:13:29,650
hours working on that, you know, there's 800

376
00:13:29,650 --> 00:13:29,945
bucks

377
00:13:30,861 --> 00:13:32,535
when it would cost me 200 dollars to

378
00:13:32,535 --> 00:13:34,050
have him fix it. You know, some of

379
00:13:34,050 --> 00:13:36,760
these perspectives, I think are helpful ways to

380
00:13:36,760 --> 00:13:37,637
think about these things.

381
00:13:38,608 --> 00:13:40,601
Yeah. Yep. III think it is too. Now,

382
00:13:40,920 --> 00:13:42,674
I mean, anybody that knows me knows I

383
00:13:42,674 --> 00:13:44,428
like to spend time working on stuff. Right?

384
00:13:44,668 --> 00:13:46,182
And I I think we have to be

385
00:13:46,182 --> 00:13:47,034
intentional though is

386
00:13:47,393 --> 00:13:48,610
Is is that time

387
00:13:49,226 --> 00:13:52,812
recreation? Or is that time actually time taking

388
00:13:52,812 --> 00:13:56,018
away from doing the higher hire value jobs

389
00:13:56,018 --> 00:13:57,776
in your business. Right? Like, I'm... I like

390
00:13:57,776 --> 00:13:58,895
to come into the office early in the

391
00:13:58,895 --> 00:14:00,174
morning. I like to be thoughtful,

392
00:14:00,733 --> 00:14:02,811
get that stuff done and, you know, oftentimes

393
00:14:02,811 --> 00:14:04,979
in the afternoon, you'll find me tinkering with

394
00:14:04,979 --> 00:14:07,120
a project or something. Good. And to me

395
00:14:07,120 --> 00:14:07,620
that's

396
00:14:08,231 --> 00:14:10,610
recreation. Right? I'm I'm... It's kind of that

397
00:14:10,610 --> 00:14:12,459
escape. It's kind of those things. So

398
00:14:12,926 --> 00:14:14,911
you know, but if my business wasn't being

399
00:14:14,911 --> 00:14:17,293
successful. Right? Somebody should be slapping me around

400
00:14:17,293 --> 00:14:19,119
saying, you know, woody are he out here

401
00:14:19,119 --> 00:14:21,445
screwing off or, you know, get yourself

402
00:14:22,469 --> 00:14:23,979
let's go figure out how to how to

403
00:14:23,979 --> 00:14:26,943
fix this thing. Right? Yeah. And you've intentionally

404
00:14:27,159 --> 00:14:30,179
you've intentionally surrounded yourself with people who do

405
00:14:30,179 --> 00:14:32,745
do that. That's their job. Right, is to

406
00:14:32,745 --> 00:14:34,581
to look at the business and say, hey,

407
00:14:35,618 --> 00:14:37,374
what's up here. Right? I mean, that's... You've

408
00:14:37,374 --> 00:14:39,864
got that board in place for that for

409
00:14:39,864 --> 00:14:40,344
that purpose.

410
00:14:41,302 --> 00:14:43,700
Yes. We we get outside perspective into our

411
00:14:43,700 --> 00:14:45,857
business yep, every year. Yep. Yep. And there'll

412
00:14:45,857 --> 00:14:47,296
be links in the Show notes page today,

413
00:14:47,375 --> 00:14:48,230
of course, to

414
00:14:48,824 --> 00:14:51,918
Dallas previous episodes, but on that topic of

415
00:14:51,918 --> 00:14:54,298
having outside eyes on your business,

416
00:14:54,932 --> 00:14:57,490
specifically check out the 1 on the executive

417
00:14:57,570 --> 00:14:59,562
Link program because that's what that program is

418
00:14:59,562 --> 00:15:02,191
basically for is to give Ranchers the opportunity

419
00:15:02,191 --> 00:15:05,458
to have those kinds of relationships where somebody

420
00:15:05,458 --> 00:15:08,595
looking at your business with unbiased eyes and

421
00:15:08,967 --> 00:15:10,871
trying to help you make better decisions. So

422
00:15:10,871 --> 00:15:12,062
go check that out in the show its

423
00:15:12,062 --> 00:15:13,490
page for today for sure.

424
00:15:14,933 --> 00:15:18,424
And we'll continue on here on this discussion

425
00:15:18,424 --> 00:15:20,328
and and just talk about, you know, you

426
00:15:20,328 --> 00:15:23,129
mentioned overheads. And overheads are

427
00:15:23,438 --> 00:15:25,927
always going to be 1 of the pre

428
00:15:26,063 --> 00:15:27,120
predominant challenges

429
00:15:27,734 --> 00:15:29,347
for ranch businesses

430
00:15:29,802 --> 00:15:32,004
in in as I understand it is that

431
00:15:32,124 --> 00:15:33,561
Is that right from your perspective?

432
00:15:34,599 --> 00:15:36,275
Yeah. It is. When we we look at...

433
00:15:36,514 --> 00:15:38,829
You know, we get see hundreds of of

434
00:15:38,829 --> 00:15:40,846
ranch books accounts

435
00:15:41,159 --> 00:15:43,232
every year and and get a look into

436
00:15:43,232 --> 00:15:45,067
those and and kinda say, okay. Where where

437
00:15:45,067 --> 00:15:47,699
are the problems lie? It's it's very common

438
00:15:47,699 --> 00:15:50,672
for Ranches to have way too many overheads

439
00:15:51,221 --> 00:15:53,282
for the amount of gross product that that

440
00:15:53,282 --> 00:15:55,899
they're producing. So we call that the overhead

441
00:15:55,899 --> 00:15:57,484
ratio, you know, relative to the the amount

442
00:15:57,484 --> 00:15:58,118
of gross product,

443
00:15:59,009 --> 00:16:00,366
For for people that aren't for familiar with

444
00:16:00,366 --> 00:16:02,202
arlene lingo, gross product is similar in some

445
00:16:02,202 --> 00:16:03,160
ways to gross revenue,

446
00:16:03,878 --> 00:16:06,194
but it it pushes together cash and come

447
00:16:06,194 --> 00:16:08,164
and inventory adjustments. Right? So

448
00:16:08,683 --> 00:16:11,077
you know, in in traditional business, they're gonna

449
00:16:11,077 --> 00:16:12,912
say, okay. You've got this much gross revenue,

450
00:16:13,311 --> 00:16:14,907
How much of that is going to service

451
00:16:14,907 --> 00:16:16,596
the the fixed cost to your business. So

452
00:16:16,596 --> 00:16:18,344
it's it's a similar ratio that we're talking

453
00:16:18,344 --> 00:16:20,251
about. So in a lot of the ranch

454
00:16:20,251 --> 00:16:23,429
businesses we work with, overheads are just eating

455
00:16:23,429 --> 00:16:26,147
up those businesses. Right? And and many of

456
00:16:26,147 --> 00:16:28,455
it, we get ourselves in these situations. Right?

457
00:16:28,773 --> 00:16:29,273
Because,

458
00:16:30,284 --> 00:16:33,149
oftentimes we're running multi generational businesses in agriculture,

459
00:16:33,308 --> 00:16:33,808
and

460
00:16:34,119 --> 00:16:37,650
and as a generation as as management

461
00:16:38,107 --> 00:16:39,006
tends to

462
00:16:39,463 --> 00:16:39,782
mature,

463
00:16:40,899 --> 00:16:43,610
trying to put this politely. Right? We we

464
00:16:43,610 --> 00:16:46,646
start surrounding ourselves with things that make work

465
00:16:46,646 --> 00:16:49,586
easier and more comfortable. Right? And and oftentimes

466
00:16:49,586 --> 00:16:52,859
that means adding additional overheads. Right? The I

467
00:16:52,859 --> 00:16:55,094
mean, the perfect example is the cab 4

468
00:16:55,094 --> 00:16:56,073
wheel drive tractor

469
00:16:56,451 --> 00:16:59,085
in of sitting in the old open cab

470
00:16:59,085 --> 00:17:00,841
piece of junk that we used when we

471
00:17:00,841 --> 00:17:01,654
were broke. Right?

472
00:17:02,695 --> 00:17:04,775
And so then we take this business that's

473
00:17:04,775 --> 00:17:05,275
now,

474
00:17:05,894 --> 00:17:08,134
you know, a mature business that's got a

475
00:17:08,134 --> 00:17:10,466
high amount of overheads. And now we hand

476
00:17:10,466 --> 00:17:12,538
it to the next generation and say, okay.

477
00:17:12,698 --> 00:17:15,568
Here's this mature business with enormous amounts of

478
00:17:15,568 --> 00:17:17,322
overheads. And by the way, you have to

479
00:17:17,322 --> 00:17:19,509
buy the land from me or your siblings

480
00:17:19,646 --> 00:17:21,238
and, you know, it's your turn to run

481
00:17:21,238 --> 00:17:23,546
it. Right? And so we often have these,

482
00:17:24,342 --> 00:17:26,889
very bloated businesses that are that are trying

483
00:17:26,889 --> 00:17:28,577
to be run by the next generation. And

484
00:17:28,577 --> 00:17:30,092
so, you know, oftentimes of the way it

485
00:17:30,092 --> 00:17:32,485
needs to look for that next generation is

486
00:17:32,485 --> 00:17:34,878
very different from the way it was handed

487
00:17:34,878 --> 00:17:36,712
to them. Right? They've gotta do some restructuring

488
00:17:36,712 --> 00:17:39,034
on that to to make it successful. But...

489
00:17:39,670 --> 00:17:41,337
But, yeah, if you're you're picking on me

490
00:17:41,337 --> 00:17:43,639
and kinda how how we've run our business

491
00:17:43,957 --> 00:17:45,703
too is is that's been a struggle from

492
00:17:45,703 --> 00:17:47,465
me Right I've been preaching know, keep it

493
00:17:47,465 --> 00:17:49,052
lean, low overheads and all these kind of

494
00:17:49,052 --> 00:17:51,140
things. And and as I look at Rm

495
00:17:51,195 --> 00:17:52,624
and and what we've been doing and the

496
00:17:52,624 --> 00:17:55,006
way we've been growing, I've been adding overheads.

497
00:17:55,164 --> 00:17:57,968
Right? We in growing our our people here,

498
00:17:58,127 --> 00:18:00,600
our core core group, we moved to a

499
00:18:00,600 --> 00:18:02,913
new larger office building, you know, to, to

500
00:18:02,913 --> 00:18:04,907
house those folks. Right? We've got all these

501
00:18:04,907 --> 00:18:07,783
things that come with creating this overhead business.

502
00:18:07,942 --> 00:18:10,957
So it's it... You know, you're preaching this

503
00:18:10,957 --> 00:18:13,075
and then you're acting in this way, but

504
00:18:13,594 --> 00:18:15,911
Right. But we're very cognizant of looking at

505
00:18:15,911 --> 00:18:18,647
balancing that that amount of of gross revenue

506
00:18:18,707 --> 00:18:21,278
and and overhead structure and Jordan and I

507
00:18:21,517 --> 00:18:22,794
Talk about this quite often and we'll sit

508
00:18:22,794 --> 00:18:24,550
down a strategize and say, okay. Well, what

509
00:18:24,550 --> 00:18:26,945
happens if... Like, it... It's a fear first,

510
00:18:27,105 --> 00:18:29,260
you know, when this cattle market turns around.

511
00:18:30,392 --> 00:18:32,622
Most people are coming too ranch for profit

512
00:18:32,622 --> 00:18:34,932
with what they feel is disposable income. Right?

513
00:18:35,809 --> 00:18:38,039
Well, when when this cattle market turns around

514
00:18:38,039 --> 00:18:40,127
or, is everybody gonna of be real tight.

515
00:18:40,367 --> 00:18:42,363
Right? And and all of a sudden, enrollments

516
00:18:42,363 --> 00:18:44,279
are gonna drop, you know, down to...

517
00:18:45,157 --> 00:18:46,594
Okay. What what do we look like as

518
00:18:46,594 --> 00:18:48,510
a business if that happens. Right? How do

519
00:18:48,510 --> 00:18:50,358
we how do we make those adjustments? And

520
00:18:50,358 --> 00:18:52,192
so we're... We have those kind of conversations

521
00:18:52,192 --> 00:18:53,568
and strategize. But,

522
00:18:53,945 --> 00:18:55,141
and it gives me some peace of mind

523
00:18:55,141 --> 00:18:57,388
when we run through. Okay. Here's Here's the

524
00:18:57,388 --> 00:18:59,461
plan, but what is a worst case scenario

525
00:18:59,461 --> 00:19:00,896
look like? And how do we... How do

526
00:19:00,896 --> 00:19:03,128
we manage that with our current overheads? Let's

527
00:19:03,128 --> 00:19:04,404
take a quick break and hear a word

528
00:19:04,404 --> 00:19:05,361
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546
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547
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Yeah. And so how do you think about

548
00:19:48,749 --> 00:19:50,826
the hiring piece of that, then when you're

549
00:19:50,826 --> 00:19:51,545
looking at

550
00:19:52,024 --> 00:19:54,101
this from the business owner's perspective and some

551
00:19:54,101 --> 00:19:56,753
of those things thinking about hiring new people,

552
00:19:56,913 --> 00:19:58,830
when to bring them on, bring them on

553
00:19:58,830 --> 00:19:59,789
before you need them,

554
00:20:01,067 --> 00:20:03,716
you know, kinda, how do you time the

555
00:20:03,716 --> 00:20:05,789
hiring with the growth of the business?

556
00:20:06,747 --> 00:20:09,059
Yeah. That's that's a great question. And I'm

557
00:20:09,059 --> 00:20:10,494
gonna just put this out there. I I

558
00:20:10,494 --> 00:20:11,690
don't know that I have this right.

559
00:20:12,503 --> 00:20:14,258
You know, we're we're doing the best that

560
00:20:14,258 --> 00:20:16,093
we know how to do and and we're

561
00:20:16,093 --> 00:20:17,210
trying to be thoughtful in how we do

562
00:20:17,210 --> 00:20:18,508
it. But I think there's

563
00:20:19,858 --> 00:20:21,532
arguments to say maybe that what I'm doing

564
00:20:21,532 --> 00:20:22,888
is not the right way to go. So,

565
00:20:23,605 --> 00:20:25,040
with without being said with with the bias.

566
00:20:25,758 --> 00:20:27,273
We're we're trying to be early.

567
00:20:28,403 --> 00:20:29,459
We're trying to

568
00:20:30,149 --> 00:20:30,649
hire

569
00:20:31,260 --> 00:20:33,086
before, we're in a crisis state.

570
00:20:34,197 --> 00:20:35,626
1 of the things is as we look

571
00:20:35,626 --> 00:20:38,348
at what we do it it takes a

572
00:20:38,348 --> 00:20:38,848
year

573
00:20:39,307 --> 00:20:41,964
year and a half to 2 years to

574
00:20:42,103 --> 00:20:44,341
to get somebody a part of our team

575
00:20:44,341 --> 00:20:46,355
and and then develop them to the point

576
00:20:46,355 --> 00:20:47,335
that they could be,

577
00:20:47,875 --> 00:20:49,954
teaching ranch for profit schools, you know, and

578
00:20:49,954 --> 00:20:51,315
leading those by themselves. So,

579
00:20:52,115 --> 00:20:54,528
it's not like we can just switch and

580
00:20:54,528 --> 00:20:56,363
and bring somebody on and then, you know,

581
00:20:56,443 --> 00:20:57,959
when things go out, we can't... You know,

582
00:20:58,119 --> 00:21:00,433
we the... When I'm bringing people on, I'm

583
00:21:00,593 --> 00:21:02,085
I'm bringing them on with the intent of

584
00:21:02,204 --> 00:21:03,398
Hey, You know, you you come and be

585
00:21:03,398 --> 00:21:04,672
a part of this team, and and we're

586
00:21:04,672 --> 00:21:06,263
gonna have you, you, you're you're pulling your

587
00:21:06,263 --> 00:21:07,241
weight, You're adding

588
00:21:07,696 --> 00:21:08,890
contributions we're not gonna lead you hydra and

589
00:21:08,890 --> 00:21:09,709
dry. So

590
00:21:11,059 --> 00:21:13,539
so we're we're making the decision to to

591
00:21:13,539 --> 00:21:14,039
hire

592
00:21:14,580 --> 00:21:17,059
before. We we probably absolutely need those folks.

593
00:21:18,111 --> 00:21:19,702
And, you know, I I hope that's a

594
00:21:19,702 --> 00:21:21,134
good decision as we look down the road.

595
00:21:22,009 --> 00:21:24,317
I'd rather be there than be caught on

596
00:21:24,317 --> 00:21:26,400
the back foot and, you know, looking at

597
00:21:26,400 --> 00:21:28,333
that 2 year time window to

598
00:21:28,788 --> 00:21:30,777
you know, try to get caught up. So

599
00:21:30,856 --> 00:21:32,783
I think that's that's what we need. As,

600
00:21:32,863 --> 00:21:34,060
you know, 1 of the things that we

601
00:21:34,060 --> 00:21:36,136
talk about in class is and is a

602
00:21:36,136 --> 00:21:38,632
ratio of gross product per F,

603
00:21:39,249 --> 00:21:41,005
gross product per full time employee.

604
00:21:41,736 --> 00:21:43,166
You know, in the in the business world,

605
00:21:43,325 --> 00:21:44,835
again, they'll look at this as as gross

606
00:21:44,835 --> 00:21:45,335
revenue

607
00:21:46,265 --> 00:21:47,536
divided by the number of people in your

608
00:21:47,536 --> 00:21:49,204
team. Right? It's kind of a same thing.

609
00:21:49,363 --> 00:21:51,129
The the number in the business world that

610
00:21:51,289 --> 00:21:53,361
I hear a lot is is half million

611
00:21:53,361 --> 00:21:53,600
dollars,

612
00:21:54,317 --> 00:21:56,708
half million dollars gross revenue per full time

613
00:21:56,708 --> 00:21:56,947
employee.

614
00:21:57,839 --> 00:21:59,759
Well we teach it, ranch for profit is

615
00:22:00,160 --> 00:22:01,200
is 400000

616
00:22:01,200 --> 00:22:04,240
dollars gross product per F. So so they're

617
00:22:04,240 --> 00:22:07,366
pretty similar. You know, and I... To... Most

618
00:22:07,366 --> 00:22:10,311
ranches out there are probably running somewhere around

619
00:22:10,311 --> 00:22:12,460
a hundred and 25 to a hundred and

620
00:22:12,460 --> 00:22:13,278
50000

621
00:22:13,828 --> 00:22:15,261
gross product per full time employee,

622
00:22:15,978 --> 00:22:17,411
which is part of the reason why the...

623
00:22:17,570 --> 00:22:18,845
Their overheads are so far out of whack.

624
00:22:19,004 --> 00:22:21,893
Right? They they have way more

625
00:22:22,442 --> 00:22:22,942
people

626
00:22:23,395 --> 00:22:24,347
on the payroll,

627
00:22:25,299 --> 00:22:27,442
than they should relative to the amount of

628
00:22:27,442 --> 00:22:29,743
of value that's act that the business is

629
00:22:29,743 --> 00:22:30,378
actually producing.

630
00:22:30,949 --> 00:22:32,701
Right? Now not I'm not saying when I

631
00:22:32,701 --> 00:22:34,055
say that, I'm not saying that those people

632
00:22:34,055 --> 00:22:34,555
aren't

633
00:22:35,171 --> 00:22:37,241
aren't working hard. Right? They are working hard.

634
00:22:37,480 --> 00:22:39,233
Most people are probably working too hard actually,

635
00:22:39,392 --> 00:22:41,630
to be honest. Though that... There's... Either the

636
00:22:41,630 --> 00:22:42,923
business is too complicated

637
00:22:43,692 --> 00:22:45,936
or the business is not good at creating

638
00:22:46,626 --> 00:22:49,426
value gross product. Right? These people are engaged

639
00:22:49,426 --> 00:22:51,741
in doing a lot of stuff that's not

640
00:22:51,741 --> 00:22:52,619
actually moving the needle.

641
00:22:53,418 --> 00:22:56,372
K? Yep. So what... So when when you

642
00:22:56,372 --> 00:22:56,850
look at that,

643
00:22:57,585 --> 00:22:59,904
Alright. Like, let's say, let's say you... You're

644
00:22:59,904 --> 00:23:01,105
looking at your books and you're like, wow,

645
00:23:01,345 --> 00:23:01,924
I'm only

646
00:23:02,465 --> 00:23:04,945
hundred and 50000 dollars gross product per. Right?

647
00:23:05,358 --> 00:23:06,950
I need to fire some people might be

648
00:23:06,950 --> 00:23:07,826
your or thinking. Well,

649
00:23:08,542 --> 00:23:08,781
actually,

650
00:23:09,497 --> 00:23:11,112
could could we make an argument

651
00:23:11,567 --> 00:23:13,238
that you that you might actually need to

652
00:23:13,238 --> 00:23:14,353
make the problem worse?

653
00:23:15,242 --> 00:23:16,035
Before it gets better.

654
00:23:16,669 --> 00:23:19,207
Right? And and so what I'm I'm saying

655
00:23:19,207 --> 00:23:20,579
by that is sometimes

656
00:23:20,952 --> 00:23:22,562
the solution to actually

657
00:23:23,108 --> 00:23:25,357
creating a business that has more gross product

658
00:23:26,289 --> 00:23:26,789
is

659
00:23:27,322 --> 00:23:29,628
giving up the low value things that you're

660
00:23:29,628 --> 00:23:32,172
doing. Right? Either stopping doing them together,

661
00:23:32,823 --> 00:23:34,494
or assign them to somebody else,

662
00:23:35,210 --> 00:23:36,824
I e maybe hire somebody

663
00:23:37,677 --> 00:23:39,370
so that you can be liberated

664
00:23:40,079 --> 00:23:41,835
or or somebody that wants to do that

665
00:23:41,835 --> 00:23:43,750
stuff could be liberated to the high value

666
00:23:43,750 --> 00:23:44,070
jobs.

667
00:23:44,868 --> 00:23:47,662
Right? Is because what's probably not being done

668
00:23:47,662 --> 00:23:50,472
are the or or the the higher value

669
00:23:50,472 --> 00:23:53,190
things, You know, the planning, the strategy development.

670
00:23:53,350 --> 00:23:56,147
Right? The the marketing. Right? All all those

671
00:23:56,147 --> 00:23:58,065
kind of things that actually might move that

672
00:23:58,065 --> 00:23:59,776
needle for you. So

673
00:24:00,232 --> 00:24:01,587
so that... That's 1 of the things we

674
00:24:01,587 --> 00:24:03,419
look at as as ranch for profit is,

675
00:24:03,499 --> 00:24:04,615
you know, okay. How... Who...

676
00:24:05,491 --> 00:24:07,642
Can we bring people on to do these

677
00:24:07,642 --> 00:24:08,142
things

678
00:24:08,534 --> 00:24:10,694
that then would free somebody else in the

679
00:24:10,694 --> 00:24:12,694
business up to do to do some of

680
00:24:12,694 --> 00:24:14,934
the higher value. And I... Many people probably

681
00:24:14,934 --> 00:24:15,914
know Jordan

682
00:24:16,389 --> 00:24:18,547
Jordan Steele, who's our director of operations. He's

683
00:24:18,547 --> 00:24:19,905
just been an amazing part of the team

684
00:24:19,905 --> 00:24:20,864
here the last couple years.

685
00:24:21,663 --> 00:24:23,901
We given when we brought him on, I

686
00:24:23,901 --> 00:24:25,040
had stepped back

687
00:24:25,353 --> 00:24:26,462
on some of the things that I was

688
00:24:26,462 --> 00:24:28,761
doing day to day. And and, you know,

689
00:24:28,919 --> 00:24:30,132
it allowed me to

690
00:24:30,504 --> 00:24:33,451
identify and ink some deals. For ranch for

691
00:24:33,451 --> 00:24:36,566
profit that were significant deals. Right? So

692
00:24:36,938 --> 00:24:38,601
these are things that I would probably have

693
00:24:38,601 --> 00:24:39,577
been too busy

694
00:24:40,203 --> 00:24:41,320
to otherwise pursue.

695
00:24:42,197 --> 00:24:44,351
Right? So just something to think about there.

696
00:24:44,590 --> 00:24:46,744
Yeah. For sure. And this is kinda that

697
00:24:46,744 --> 00:24:48,817
distinction between W and W. Right? We're gonna

698
00:24:48,817 --> 00:24:50,746
hire out the W give us some time

699
00:24:50,746 --> 00:24:52,340
to spend some time on the watt. Right?

700
00:24:53,217 --> 00:24:55,847
Exactly. Yeah. Yeah. That's let's let's tire out

701
00:24:55,847 --> 00:24:57,122
some of those low value things or some

702
00:24:57,122 --> 00:24:58,808
of that should. And I think too often

703
00:24:58,808 --> 00:25:01,192
it's overlooked I maybe there's a real argument

704
00:25:01,192 --> 00:25:02,861
too that we need to stop doing a

705
00:25:02,861 --> 00:25:04,451
lot of that stuff. Right? There... I mean,

706
00:25:04,769 --> 00:25:06,040
obviously, there's some things that need to be

707
00:25:06,040 --> 00:25:06,858
done. But

708
00:25:07,169 --> 00:25:08,686
I think for a lot of farms and

709
00:25:08,686 --> 00:25:11,799
ranches, lot of businesses altogether. We spend a

710
00:25:11,799 --> 00:25:12,997
lot of our time doing...

711
00:25:13,795 --> 00:25:14,993
I mean, when you'd step back and look

712
00:25:14,993 --> 00:25:17,564
at it, just stupid stuff. I mean, you,

713
00:25:17,803 --> 00:25:20,840
I'm spending my, you know, 3 hours every

714
00:25:20,840 --> 00:25:23,898
day, you know, going through emails. Right? And

715
00:25:24,037 --> 00:25:26,689
deleting junk out of my inbox. Right? I

716
00:25:26,689 --> 00:25:29,166
mean, you know, I... Yeah, that's an exaggeration

717
00:25:29,166 --> 00:25:30,765
for me, of course. But I mean, they're...

718
00:25:31,084 --> 00:25:31,324
There's...

719
00:25:32,123 --> 00:25:33,881
Everybody has this in their lives. Right? There's

720
00:25:33,881 --> 00:25:36,446
just Min. There's just stupid stuff that we're

721
00:25:36,446 --> 00:25:39,307
spending our time doing. And by by having

722
00:25:39,307 --> 00:25:41,611
that I'm devoted to that, we're not using

723
00:25:41,611 --> 00:25:43,201
that time to focus on the higher value

724
00:25:43,201 --> 00:25:45,598
things. Yeah. Yeah. I think this is spoken

725
00:25:45,598 --> 00:25:47,502
of in the book by Tony Morgan called

726
00:25:47,502 --> 00:25:49,566
killing cockroaches where he was a city manager,

727
00:25:49,962 --> 00:25:51,629
and somebody called him into their office to

728
00:25:51,629 --> 00:25:52,661
kill a cockroach. And he's like,

729
00:25:53,393 --> 00:25:53,712
no.

730
00:25:54,430 --> 00:25:55,946
This is not my job.

731
00:25:58,261 --> 00:25:58,580
You know,

732
00:26:00,415 --> 00:26:02,100
but I think what 1 thing we should

733
00:26:02,100 --> 00:26:03,769
probably do before we go too much further

734
00:26:03,769 --> 00:26:05,939
is just give a a quick and dirty

735
00:26:05,995 --> 00:26:07,664
definition of overheads. And as I understand it,

736
00:26:07,823 --> 00:26:08,323
that's

737
00:26:08,632 --> 00:26:11,172
land and labor. Right? Are kinda your overheads,

738
00:26:11,410 --> 00:26:13,156
land and the things attached to it, labor

739
00:26:13,156 --> 00:26:15,695
and the things that help them accomplish their

740
00:26:15,695 --> 00:26:16,830
task. Is that.

741
00:26:17,775 --> 00:26:20,081
It's a great description. Yep. Oh, the overheads

742
00:26:20,081 --> 00:26:22,148
are, you know, the the test of an

743
00:26:22,148 --> 00:26:23,977
overhead is if I add 1 more unit

744
00:26:23,977 --> 00:26:24,613
of production,

745
00:26:25,422 --> 00:26:27,010
does that cost also...

746
00:26:28,041 --> 00:26:29,867
Does that cost increase or or does it...

747
00:26:30,184 --> 00:26:31,851
Is it not tied to those units of

748
00:26:31,851 --> 00:26:33,931
production? Right? Right. If, you know, if I

749
00:26:33,931 --> 00:26:35,362
add 1 more unit if that cost goes

750
00:26:35,362 --> 00:26:37,031
up by 1, then it's the direct cost.

751
00:26:37,269 --> 00:26:39,415
Right? If if it doesn't change, then it's

752
00:26:39,415 --> 00:26:42,289
an overhead. You're your pickup depreciation. Your your

753
00:26:42,289 --> 00:26:44,036
pickup doesn't care if you run 200 cows

754
00:26:44,036 --> 00:26:46,656
or 400 cal. It depreciate the same. Right?

755
00:26:46,894 --> 00:26:49,490
So that pickup isn't an overhead. Right? You're

756
00:26:49,769 --> 00:26:52,240
your wages as as a manager as a

757
00:26:52,240 --> 00:26:54,234
key employee. If, you know, we're gonna pay

758
00:26:54,234 --> 00:26:56,147
you the same, whether you, you know, farm

759
00:26:56,147 --> 00:26:59,115
a thousand acres or 1500 acres. Right? It

760
00:26:59,115 --> 00:27:01,515
it doesn't matter. So those are all overhead

761
00:27:01,515 --> 00:27:03,755
costs. So so many farms and ranches have

762
00:27:03,755 --> 00:27:04,815
been taught to

763
00:27:05,595 --> 00:27:06,095
allocate

764
00:27:06,474 --> 00:27:08,957
all that stuff. Put everything on a on

765
00:27:08,957 --> 00:27:10,626
a cost per bush, a cost per ton,

766
00:27:10,706 --> 00:27:13,488
a cost per calf, and it gives you

767
00:27:13,488 --> 00:27:16,764
bad information when you take your overheads and

768
00:27:16,764 --> 00:27:19,320
you allocate them out per unit.

769
00:27:20,279 --> 00:27:23,235
Because those overheads don't change as the unit

770
00:27:23,235 --> 00:27:25,325
change. Now, Now at some point, the overheads

771
00:27:25,325 --> 00:27:27,319
will either take a big step up or

772
00:27:27,319 --> 00:27:28,914
a big step down. Right? So when they

773
00:27:28,914 --> 00:27:31,706
change, they generally take change by big steps.

774
00:27:31,945 --> 00:27:33,835
So so they need to be looked at

775
00:27:34,112 --> 00:27:36,970
separately from the direct cost. Sure. And then

776
00:27:36,970 --> 00:27:38,557
1 other thing, could you give me an

777
00:27:38,557 --> 00:27:40,621
example of a complicated business or a business

778
00:27:40,621 --> 00:27:43,337
that's too complicated. You mentioned that when we

779
00:27:43,337 --> 00:27:45,510
look at these things, usually, it's a sign

780
00:27:45,647 --> 00:27:47,422
that a business is too complicated

781
00:27:47,798 --> 00:27:49,471
or a sign of something else. Could you

782
00:27:49,471 --> 00:27:51,065
give me an example of a business that's

783
00:27:51,065 --> 00:27:51,782
too complicated?

784
00:27:52,674 --> 00:27:53,474
Oh, man.

785
00:27:55,315 --> 00:27:56,994
I I don't know that I have a

786
00:27:56,994 --> 00:27:57,494
a

787
00:27:58,035 --> 00:27:59,394
definition that'll fit on the tip of a

788
00:27:59,394 --> 00:27:59,555
pen.

789
00:28:00,369 --> 00:28:02,846
So here's here's something that we tend to

790
00:28:02,846 --> 00:28:06,042
see. The those businesses that are what we

791
00:28:06,042 --> 00:28:09,092
would consider benchmark businesses. Are the highly successful

792
00:28:09,092 --> 00:28:11,008
businesses. The ones that are really really good.

793
00:28:11,327 --> 00:28:12,864
They tend to do

794
00:28:13,562 --> 00:28:15,956
1, 2 or 3 things.

795
00:28:16,929 --> 00:28:17,748
Really well

796
00:28:18,206 --> 00:28:19,404
and and at scale.

797
00:28:20,601 --> 00:28:22,379
Right? So so a

798
00:28:22,837 --> 00:28:25,152
I guess a comp complicated business would probably

799
00:28:25,152 --> 00:28:26,484
be something that's trying to do a lot

800
00:28:26,604 --> 00:28:29,386
or more things than that. Mh. Right? So

801
00:28:29,545 --> 00:28:31,771
I mean, it here's here's the example of,

802
00:28:31,851 --> 00:28:33,384
like, a farmer ranch that

803
00:28:33,758 --> 00:28:34,258
that

804
00:28:34,808 --> 00:28:36,106
through well intended

805
00:28:36,724 --> 00:28:39,357
decisions. Decisions... Things that seem where right have

806
00:28:39,357 --> 00:28:42,804
created just a complicated mess. Right? Is Okay.

807
00:28:43,043 --> 00:28:45,276
We we were maybe maybe mom and dad

808
00:28:45,276 --> 00:28:47,588
had a cal calf business and and we

809
00:28:47,588 --> 00:28:49,263
were selling caps. Well, you know what it

810
00:28:49,263 --> 00:28:51,018
came down to the fall time, and and

811
00:28:51,177 --> 00:28:52,783
I was gonna go sell those caps. Why

812
00:28:52,783 --> 00:28:55,107
wasn't getting enough money for those cab and

813
00:28:55,163 --> 00:28:56,987
somebody further down the line was making more.

814
00:28:57,146 --> 00:28:58,891
So I'm... So I'm gonna keep my cab

815
00:28:58,891 --> 00:29:00,733
and I'm gonna make yea. Out of them

816
00:29:00,733 --> 00:29:02,010
now. Right? Now I'm gonna... Now I'm gonna

817
00:29:02,010 --> 00:29:04,324
sell 8 9 way yea. Well, when it

818
00:29:04,324 --> 00:29:05,840
came time to sell those Yea. Right? Well,

819
00:29:05,920 --> 00:29:08,488
somebody down the lines getting money for taking

820
00:29:08,488 --> 00:29:10,480
those ear to finish her. So I'm gonna

821
00:29:10,559 --> 00:29:12,950
I'm gonna grass finish my ear and sell

822
00:29:12,950 --> 00:29:16,075
grass fats. Right? Well, then I'll the the

823
00:29:16,075 --> 00:29:17,515
dang packers getting all the money for the

824
00:29:17,515 --> 00:29:19,214
grad. So now I'm going to

825
00:29:19,595 --> 00:29:21,294
keep those and I'm gonna a direct market

826
00:29:21,355 --> 00:29:24,246
my meat to somebody else. Will or to

827
00:29:24,246 --> 00:29:27,268
to my consumers... Now I'm advertising quarters halves

828
00:29:27,268 --> 00:29:29,893
holes. And and when I'm delivering these, my

829
00:29:29,893 --> 00:29:31,896
clients say, well, I'd I'd like to just

830
00:29:31,896 --> 00:29:33,327
buy a package of ground beef from you.

831
00:29:33,487 --> 00:29:35,418
And and so now I start selling

832
00:29:35,792 --> 00:29:37,939
individual cuts that have got freezers and inventory

833
00:29:37,939 --> 00:29:38,439
management

834
00:29:38,909 --> 00:29:40,750
And and now when I'm delivering my beef

835
00:29:40,750 --> 00:29:42,509
to my consumers, they say, oh, do you

836
00:29:42,509 --> 00:29:44,750
also have chicken. Right? So or or I'd

837
00:29:44,750 --> 00:29:45,869
like to buy eggs from you. So now

838
00:29:45,950 --> 00:29:47,309
I gotta go home and I start egg.

839
00:29:47,630 --> 00:29:50,285
Right? And And and and so pretty soon,

840
00:29:50,444 --> 00:29:52,045
you you kinda take this down the line.

841
00:29:52,204 --> 00:29:52,365
Right?

842
00:29:53,164 --> 00:29:55,244
How many enterprises are going on in my

843
00:29:55,244 --> 00:29:56,525
ranch. Well let's say I've got Cow calf?

844
00:29:56,765 --> 00:29:58,538
I've got stalker got finish finishing.

845
00:29:59,177 --> 00:30:01,654
I've got my meat business, and I meat

846
00:30:01,654 --> 00:30:03,491
business has my home brace. It has the

847
00:30:03,491 --> 00:30:05,737
stuff I'm broker in. And now I've got

848
00:30:05,737 --> 00:30:07,959
inventory management. I need websites. I need

849
00:30:08,435 --> 00:30:10,340
procurement systems. I need freezers. I need trucks.

850
00:30:10,499 --> 00:30:12,165
So I need somebody goes sit at the

851
00:30:12,165 --> 00:30:14,323
farmers market on Saturday. Right? So now I've

852
00:30:14,323 --> 00:30:17,364
got a business that's maybe still only doing

853
00:30:17,658 --> 00:30:20,120
a million to 2000000 dollars of gross revenue,

854
00:30:20,596 --> 00:30:21,525
and I've got

855
00:30:21,883 --> 00:30:24,987
14 different enterprises layered on it. And when

856
00:30:25,066 --> 00:30:26,260
I look at my books at the end

857
00:30:26,260 --> 00:30:28,011
of the year, I don't even know where

858
00:30:28,011 --> 00:30:29,524
the heck of money's is coming from, much

859
00:30:29,524 --> 00:30:30,956
less where my costs are occurring.

860
00:30:31,528 --> 00:30:33,272
I can't break this thing down into my

861
00:30:33,272 --> 00:30:35,889
enterprises. Right? And every day I wake up,

862
00:30:36,048 --> 00:30:37,475
and I've got a million and 1 things

863
00:30:37,475 --> 00:30:39,275
to do on my to do list and

864
00:30:39,474 --> 00:30:40,992
I don't know which way to start. Right?

865
00:30:41,152 --> 00:30:41,652
Versus

866
00:30:42,031 --> 00:30:43,629
a simple business would be,

867
00:30:44,587 --> 00:30:45,327
we do

868
00:30:45,706 --> 00:30:46,265
x x.

869
00:30:46,999 --> 00:30:49,711
And we do x and y. Right? That's

870
00:30:49,711 --> 00:30:51,545
what we do. Here here's our thing. Now,

871
00:30:51,864 --> 00:30:54,177
you know, we're gonna... This year x looks

872
00:30:54,177 --> 00:30:56,092
this way. Next year, x looks this way.

873
00:30:56,331 --> 00:30:58,654
Right? That... That's what I mean by a

874
00:30:58,654 --> 00:31:01,040
complicated versus a simple business. Yeah. For sure.

875
00:31:01,438 --> 00:31:03,586
And I think that it's it's always the

876
00:31:03,586 --> 00:31:05,108
temptation. Right? While I read a great book

877
00:31:05,108 --> 00:31:07,011
or I watched a great Youtube video or

878
00:31:07,090 --> 00:31:09,073
I listen to a podcast, and now I'm

879
00:31:09,073 --> 00:31:11,056
gonna change my business I'm gonna add this

880
00:31:11,056 --> 00:31:11,214
enterprise.

881
00:31:12,023 --> 00:31:14,409
And like you said, 1, 2 or 3

882
00:31:14,409 --> 00:31:17,273
things really well at scale, and both of

883
00:31:17,273 --> 00:31:18,307
those things are important.

884
00:31:19,277 --> 00:31:20,948
Not just 1 or the other. You can't

885
00:31:20,948 --> 00:31:23,096
just be at scale or or doing it

886
00:31:23,096 --> 00:31:25,880
well. You need to do both and that

887
00:31:25,880 --> 00:31:26,380
helps

888
00:31:26,756 --> 00:31:28,361
with a lot of those. Not Mean, it'll

889
00:31:28,361 --> 00:31:30,270
me make a couple clarifying statements here. I'm

890
00:31:30,270 --> 00:31:32,497
not saying don't consider new enterprises. I mean,

891
00:31:32,735 --> 00:31:34,723
I I think every business every year should

892
00:31:34,723 --> 00:31:36,870
be sitting down and say, hey, should we

893
00:31:36,870 --> 00:31:37,427
be doing this?

894
00:31:38,395 --> 00:31:40,382
Yeah. Should we be doing that? Should should

895
00:31:40,382 --> 00:31:42,050
we be, you know, right? And and we

896
00:31:42,050 --> 00:31:43,741
should be looking at all these things now

897
00:31:43,877 --> 00:31:44,615
of of

898
00:31:45,163 --> 00:31:47,464
the 14 good ideas that come up in

899
00:31:47,464 --> 00:31:47,860
front of you,

900
00:31:48,575 --> 00:31:51,034
maybe 1 of those actually gets pursued. Right?

901
00:31:51,589 --> 00:31:53,279
And and of those

902
00:31:53,589 --> 00:31:55,844
things. Right? We're gonna vet that an idea

903
00:31:56,382 --> 00:31:58,376
ferocious, and we're gonna have... Yeah, I think

904
00:31:58,376 --> 00:32:00,530
an important testing question when we look at,

905
00:32:01,023 --> 00:32:03,728
new enterprises is if we're gonna do this

906
00:32:03,728 --> 00:32:06,432
enterprise, it must produce a gross margin of

907
00:32:06,432 --> 00:32:07,171
at least

908
00:32:08,039 --> 00:32:10,133
you fill in the blank with within

909
00:32:11,068 --> 00:32:13,620
2 or 3 years. Mh. Right. You know,

910
00:32:13,700 --> 00:32:15,852
so, I mean, if we're talking AA2 million

911
00:32:15,852 --> 00:32:16,410
dollar business,

912
00:32:16,903 --> 00:32:19,129
That new enterprise better do at least a

913
00:32:19,129 --> 00:32:21,355
quarter million dollars within 2 or 3 years.

914
00:32:21,593 --> 00:32:22,411
Right? Or

915
00:32:22,865 --> 00:32:25,170
or it's just a distraction. I mean, you

916
00:32:25,170 --> 00:32:26,068
know, you don't

917
00:32:26,619 --> 00:32:28,220
you know, it would be silly for ranch

918
00:32:28,220 --> 00:32:30,859
for profit to pursue a new enterprise that

919
00:32:30,859 --> 00:32:32,539
produced a 5000 dollar gross margin.

920
00:32:33,099 --> 00:32:34,559
I mean, you know, we're

921
00:32:35,192 --> 00:32:37,741
that that would just be... Right? So we

922
00:32:37,741 --> 00:32:39,732
need to pursue things that that can actually

923
00:32:39,732 --> 00:32:42,622
move the needle. Right? So if if you're,

924
00:32:42,919 --> 00:32:45,720
you know, if you're 600 cal ranch. Right?

925
00:32:45,958 --> 00:32:48,186
Selling 2 beef a year is not gonna

926
00:32:48,186 --> 00:32:50,733
move the needle for you. Mh. Right. Yeah.

927
00:32:51,862 --> 00:32:53,852
Talk about some of the things that you've

928
00:32:53,852 --> 00:32:56,717
learned in experimenting with new projects,

929
00:32:57,195 --> 00:32:57,990
new initiatives,

930
00:32:58,627 --> 00:33:00,140
some of the things that you guys have

931
00:33:00,140 --> 00:33:02,707
started since you took the helm. And am

932
00:33:02,787 --> 00:33:04,704
I right, has it been... Will it be

933
00:33:04,704 --> 00:33:05,823
4 years in September?

934
00:33:07,101 --> 00:33:09,113
Is that right? Let's see. 99,

935
00:33:10,312 --> 00:33:12,230
October of 99 is is when we bought

936
00:33:12,230 --> 00:33:13,588
the company for 19. Yep.

937
00:33:14,387 --> 00:33:15,905
October of 19, so 5 years, you know,

938
00:33:16,145 --> 00:33:18,391
5 years. Wow. Yeah. So 5 years in

939
00:33:18,630 --> 00:33:21,893
October. So we're... Yeah. It's it's man. Things

940
00:33:21,893 --> 00:33:23,564
are things are moving quick the years tick

941
00:33:23,564 --> 00:33:23,643
by.

942
00:33:25,405 --> 00:33:25,802
Let's see.

943
00:33:27,308 --> 00:33:29,449
I... Yeah. And, you know, that little talk

944
00:33:29,528 --> 00:33:31,589
I was just given about considering new enterprises.

945
00:33:31,748 --> 00:33:33,510
We've We've put a lot on the board,

946
00:33:34,066 --> 00:33:36,790
you know, and we've vetted those things and

947
00:33:36,846 --> 00:33:38,355
thrown them against the wall and see what

948
00:33:38,355 --> 00:33:40,634
sticks, And and, some of them have have

949
00:33:40,754 --> 00:33:43,620
stuck nicely and and others have have died

950
00:33:43,620 --> 00:33:46,167
to death in the boardroom or or or

951
00:33:46,167 --> 00:33:48,317
died to death after trying it once or

952
00:33:48,317 --> 00:33:48,635
twice.

953
00:33:49,128 --> 00:33:50,641
Right. If you can kill in the boardroom,

954
00:33:50,800 --> 00:33:52,312
that's a that's the cheapest place to kill

955
00:33:52,312 --> 00:33:54,461
it. That's the cheapest place to call it.

956
00:33:54,700 --> 00:33:55,098
Yeah.

957
00:33:56,944 --> 00:33:59,255
But I... We... When early on, when we

958
00:33:59,255 --> 00:34:01,168
bought the company, I said, you know, 1

959
00:34:01,168 --> 00:34:03,319
of my ideas is ranch management consultants, we

960
00:34:03,319 --> 00:34:05,508
need to have a consulting arm. And

961
00:34:06,043 --> 00:34:07,238
then I've... You know, that's the name of

962
00:34:07,238 --> 00:34:09,308
our company's, ranch management consultants, and we don't

963
00:34:09,308 --> 00:34:09,786
do consulting.

964
00:34:10,662 --> 00:34:11,162
So

965
00:34:11,538 --> 00:34:13,051
thought I thought we needed to do that.

966
00:34:13,622 --> 00:34:15,922
And I got some people around me. We

967
00:34:15,922 --> 00:34:18,697
built a business model around doing consulting, and

968
00:34:19,490 --> 00:34:21,076
we even we even went so far as

969
00:34:21,076 --> 00:34:22,688
to approach some people about being on the

970
00:34:22,688 --> 00:34:25,085
team for that, and and then started to

971
00:34:25,085 --> 00:34:27,344
put it out there, and it was

972
00:34:27,882 --> 00:34:30,040
it was not it was it was not

973
00:34:30,040 --> 00:34:32,442
really the the people that we're wanting to

974
00:34:32,442 --> 00:34:34,429
do it wanted to be very selective about

975
00:34:34,429 --> 00:34:36,416
who they worked with, the people that were

976
00:34:36,416 --> 00:34:37,369
calling to hire us,

977
00:34:38,338 --> 00:34:39,853
were not the clients that they wanted to

978
00:34:39,853 --> 00:34:41,686
work with. So it wasn't, you know, the

979
00:34:41,686 --> 00:34:42,186
awkward

980
00:34:42,563 --> 00:34:45,034
conversation of all that. So we we just

981
00:34:45,034 --> 00:34:47,041
kinda said, you know what? Let's the the

982
00:34:47,041 --> 00:34:48,632
the people who we want to work with,

983
00:34:48,791 --> 00:34:51,337
which are the, you know, the bon pas

984
00:34:51,337 --> 00:34:54,134
size, family ranches who are you know, kind

985
00:34:54,134 --> 00:34:55,801
of the heartbeat of rural America,

986
00:34:57,230 --> 00:34:59,213
we couldn't come up with a pricing model

987
00:34:59,213 --> 00:35:00,904
that was attractive to those

988
00:35:01,214 --> 00:35:03,607
to those people. Right? Our our overheads in

989
00:35:03,607 --> 00:35:05,681
our business structure did not allow us to

990
00:35:05,681 --> 00:35:07,355
to build something that they felt like they

991
00:35:07,355 --> 00:35:08,153
could afford. Right?

992
00:35:08,951 --> 00:35:11,000
So so we kinda walked away from that

993
00:35:11,677 --> 00:35:13,512
you know, and and that was 1 of

994
00:35:13,512 --> 00:35:15,745
the ones that that die an early death

995
00:35:15,745 --> 00:35:16,862
before we spend a lot of money on

996
00:35:16,862 --> 00:35:18,936
it. Some some of the stuff that's really

997
00:35:18,936 --> 00:35:19,653
worked well.

998
00:35:20,371 --> 00:35:22,297
Well, there's there's a couple things that really

999
00:35:22,297 --> 00:35:24,842
jump off that that are there are things

1000
00:35:24,842 --> 00:35:25,716
we started.

1001
00:35:26,829 --> 00:35:28,659
1 of those is something that just happened

1002
00:35:28,659 --> 00:35:30,908
last week. Is the young adult ranch for

1003
00:35:30,908 --> 00:35:31,467
profit school.

1004
00:35:33,146 --> 00:35:34,344
18 to 25 year olds,

1005
00:35:35,463 --> 00:35:37,541
we do about, 2 or 3 of those

1006
00:35:37,541 --> 00:35:37,940
a year,

1007
00:35:39,310 --> 00:35:41,374
we do 1 the toast in house that

1008
00:35:42,088 --> 00:35:44,232
we put on Jordan just taught that last

1009
00:35:44,232 --> 00:35:46,375
week with actually, I think we have 5

1010
00:35:46,375 --> 00:35:48,778
instructors that went and taught that. Jordan the

1011
00:35:48,778 --> 00:35:50,695
the lead from Rm c on it. And

1012
00:35:50,935 --> 00:35:52,613
man, that is such a cool program.

1013
00:35:53,492 --> 00:35:55,505
You know, it it's not a huge needle

1014
00:35:55,505 --> 00:35:58,065
mover from Arm c steak, but man it

1015
00:35:58,065 --> 00:36:00,385
it put ticks a lot of boxes next

1016
00:36:00,385 --> 00:36:02,864
to our mission. Right? I mean, we we

1017
00:36:02,864 --> 00:36:04,638
feel really good about the work we do

1018
00:36:04,638 --> 00:36:06,554
when we get a... We we get, you

1019
00:36:06,554 --> 00:36:08,070
know, 30 to 40 to 50,

1020
00:36:08,709 --> 00:36:10,385
18 to 25 year olds together for a

1021
00:36:10,385 --> 00:36:13,353
week, talking about and, you know, how are

1022
00:36:13,353 --> 00:36:15,348
they're gonna structure their lives to create the

1023
00:36:15,348 --> 00:36:17,342
life of the business they want. That's that's

1024
00:36:17,342 --> 00:36:19,098
a cool thing for us. So so that

1025
00:36:19,098 --> 00:36:19,896
was been a lot of fun.

1026
00:36:21,340 --> 00:36:22,846
Other ones that have that have really worked

1027
00:36:22,846 --> 00:36:26,413
well are the economic intensive and the succession

1028
00:36:26,413 --> 00:36:27,815
intensive. Right? So

1029
00:36:28,173 --> 00:36:30,007
when people come to ranch for profit, 1

1030
00:36:30,007 --> 00:36:31,282
of the things they really come to learn

1031
00:36:31,282 --> 00:36:33,115
is is how to get better at looking

1032
00:36:33,115 --> 00:36:33,673
at their numbers,

1033
00:36:34,391 --> 00:36:37,032
you know, running running their economics running their

1034
00:36:37,032 --> 00:36:37,532
finances.

1035
00:36:38,302 --> 00:36:39,414
You know, they come to the school, they

1036
00:36:39,414 --> 00:36:40,684
get taste of that, and and then they

1037
00:36:40,684 --> 00:36:43,144
leave and maybe they fall off their skill

1038
00:36:43,144 --> 00:36:44,835
set on that and and

1039
00:36:45,224 --> 00:36:47,224
need some help, maybe a refresher. So what

1040
00:36:47,224 --> 00:36:48,585
we do is we do a 2 day,

1041
00:36:50,025 --> 00:36:50,824
you bring your books,

1042
00:36:51,625 --> 00:36:54,198
we're gonna have a small instructor to to

1043
00:36:54,198 --> 00:36:57,071
student ratio, and you're gonna leave with your

1044
00:36:57,071 --> 00:36:59,386
economic plan for the coming year. And those

1045
00:36:59,386 --> 00:37:01,881
have been been really well received. We're doing

1046
00:37:02,193 --> 00:37:03,228
2 or 3 of those a year now,

1047
00:37:03,308 --> 00:37:04,502
and they always tend to sell out.

1048
00:37:05,617 --> 00:37:07,845
And yeah. Peep people feel like they get

1049
00:37:07,845 --> 00:37:09,278
a lot of value out of that. Yeah.

1050
00:37:09,517 --> 00:37:11,277
Hey, it's know, it's kinda like, just... You're

1051
00:37:11,277 --> 00:37:12,466
gonna come in a room and we're gonna

1052
00:37:12,466 --> 00:37:14,368
lock the door, and you're gonna sit down

1053
00:37:14,368 --> 00:37:15,874
there and do your numbers, and you're gonna

1054
00:37:15,874 --> 00:37:17,434
have help to get them them done and

1055
00:37:17,554 --> 00:37:18,826
and you don't walk out there till you

1056
00:37:18,826 --> 00:37:20,177
got a play. It's is kind of the

1057
00:37:20,177 --> 00:37:21,767
way the class is structure. Yeah. And and

1058
00:37:21,767 --> 00:37:23,039
some of the people sitting in my table

1059
00:37:23,039 --> 00:37:24,788
at the ranch for profit school when my

1060
00:37:24,788 --> 00:37:26,219
wife and I went through it. We're saying,

1061
00:37:26,298 --> 00:37:28,539
you know, some of the pressure to not

1062
00:37:28,539 --> 00:37:30,446
do your numbers according to the ranch for

1063
00:37:30,446 --> 00:37:31,343
profit model

1064
00:37:31,717 --> 00:37:32,115
is,

1065
00:37:32,989 --> 00:37:34,976
comes from the accountant comes from the banker.

1066
00:37:35,135 --> 00:37:37,218
Like, they don't these aren't... This isn't the

1067
00:37:37,218 --> 00:37:38,572
way they wanna see the numbers. So I

1068
00:37:38,572 --> 00:37:40,562
just... I don't go through my numbers twice

1069
00:37:40,562 --> 00:37:41,756
because I end up doing them the way

1070
00:37:41,756 --> 00:37:43,667
that they wanna see them. And so I

1071
00:37:43,667 --> 00:37:45,669
think that know, there's that... There's always that

1072
00:37:45,669 --> 00:37:49,324
pressure against doing it this way. And but

1073
00:37:49,324 --> 00:37:51,469
the value of approaching it the way that

1074
00:37:51,548 --> 00:37:53,631
Ranch you for profit teachers just be... It

1075
00:37:53,631 --> 00:37:56,201
just gives you such clear information about how,

1076
00:37:57,293 --> 00:37:59,124
you know, what is generating value and what

1077
00:37:59,124 --> 00:38:01,688
isn't... And I think that's that's a really

1078
00:38:01,688 --> 00:38:02,964
key piece of that for sure.

1079
00:38:03,762 --> 00:38:07,032
Yeah. Yeah. Cool. Good. Yeah. So it... Kevin

1080
00:38:07,191 --> 00:38:08,467
Jordan on the team too has helped with

1081
00:38:08,467 --> 00:38:11,074
that because he speaks accounted. Yeah. Right? He's

1082
00:38:11,432 --> 00:38:13,898
And and so he he kinda helps us

1083
00:38:13,898 --> 00:38:16,126
bridge that gap, and so he can help

1084
00:38:16,126 --> 00:38:17,398
folks say, hey. When when you go home

1085
00:38:17,398 --> 00:38:19,406
to your accountant, this is the language they're

1086
00:38:19,406 --> 00:38:22,357
speaking. Here here's how our stuff it can

1087
00:38:22,357 --> 00:38:25,467
be translated into that language. Right? So... Yeah.

1088
00:38:25,707 --> 00:38:26,983
Yeah. Yep. For sure.

1089
00:38:28,193 --> 00:38:29,862
And and 1 of the new things that

1090
00:38:29,942 --> 00:38:32,166
I think you've got coming up, right is

1091
00:38:32,723 --> 00:38:33,994
a a business,

1092
00:38:35,027 --> 00:38:36,559
kind of the business only

1093
00:38:37,190 --> 00:38:39,269
stuff from the ranch for profit school in

1094
00:38:39,269 --> 00:38:41,750
5 days and without the ecology. Did I

1095
00:38:41,750 --> 00:38:43,430
see that somewhere? Or was that some kind

1096
00:38:43,430 --> 00:38:45,190
of dream that I did? You did. Yep.

1097
00:38:45,430 --> 00:38:47,682
So So that's that's 1 of those things

1098
00:38:47,682 --> 00:38:50,878
that, we're we're testing this shares. So, you

1099
00:38:50,878 --> 00:38:52,716
know, talking about having your board, and I

1100
00:38:52,716 --> 00:38:54,402
took that to a group I'm working with

1101
00:38:54,402 --> 00:38:56,067
last year and said, hey, I'm thinking about

1102
00:38:56,067 --> 00:38:57,731
doing this 5 day thing and and these

1103
00:38:57,731 --> 00:38:59,950
are people that are very familiar with ranch

1104
00:38:59,950 --> 00:39:02,744
for profit, and they go, No. Don't don't

1105
00:39:02,744 --> 00:39:04,333
screw it up. It, you know, it's it's

1106
00:39:04,333 --> 00:39:06,400
been 7 days forever 7 days works really

1107
00:39:06,400 --> 00:39:07,910
well. You know, you make all these really

1108
00:39:07,910 --> 00:39:09,998
cool connections. And then they came back later

1109
00:39:09,998 --> 00:39:11,197
and said, yeah. I think you should try

1110
00:39:11,197 --> 00:39:11,357
it.

1111
00:39:12,396 --> 00:39:13,115
Alright? So,

1112
00:39:14,313 --> 00:39:16,471
so we're gonna try it. Yeah, and the

1113
00:39:16,471 --> 00:39:17,530
idea is that

1114
00:39:18,720 --> 00:39:21,105
a 7 day ranch for profit school that

1115
00:39:21,105 --> 00:39:22,934
the length of time can be a barrier

1116
00:39:22,934 --> 00:39:25,240
for some people to think they can come.

1117
00:39:25,399 --> 00:39:27,004
Right? There's we get a lot of people

1118
00:39:27,004 --> 00:39:28,594
that say, I just... I can't get away

1119
00:39:28,594 --> 00:39:30,343
from the ranch for... You know, if you

1120
00:39:30,343 --> 00:39:31,536
got a day of travel on either side,

1121
00:39:31,695 --> 00:39:34,716
it's a 9 day commitment. Right? And and

1122
00:39:34,716 --> 00:39:37,356
so what we're gonna try to do is,

1123
00:39:38,549 --> 00:39:40,140
not that this... Not that the ecology and

1124
00:39:40,140 --> 00:39:41,969
the grazing stuff's is not important. It's very

1125
00:39:41,969 --> 00:39:43,500
important, but you know,

1126
00:39:44,140 --> 00:39:46,460
people don't necessarily need to come you for

1127
00:39:46,460 --> 00:39:47,980
profit to learn how to take care of

1128
00:39:47,980 --> 00:39:49,340
their soil and how to raise better. Right?

1129
00:39:49,500 --> 00:39:50,300
You could learn that in a lot of

1130
00:39:50,300 --> 00:39:51,280
places. So

1131
00:39:51,594 --> 00:39:55,210
So we're gonna lighten the the elements of

1132
00:39:55,349 --> 00:39:55,849
ecology

1133
00:39:56,228 --> 00:39:58,626
and light the elements of grazing, and we're

1134
00:39:58,626 --> 00:40:00,418
going to leave everything

1135
00:40:00,795 --> 00:40:02,549
around economics, finance,

1136
00:40:03,267 --> 00:40:05,282
human resources, people management,

1137
00:40:06,058 --> 00:40:07,972
and and actually probably even dig into some

1138
00:40:07,972 --> 00:40:08,551
of the,

1139
00:40:09,502 --> 00:40:11,735
you've been a little deeper and and do

1140
00:40:11,735 --> 00:40:13,831
that in a Monday through Friday

1141
00:40:14,208 --> 00:40:14,686
format,

1142
00:40:15,723 --> 00:40:18,356
instead of our typical Sunday through Saturday.

1143
00:40:19,010 --> 00:40:19,329
And

1144
00:40:19,889 --> 00:40:21,329
and so the idea is we're gonna do

1145
00:40:21,329 --> 00:40:23,409
3 schools that way this year. We've got

1146
00:40:23,409 --> 00:40:23,969
our Phoenix,

1147
00:40:24,529 --> 00:40:25,650
Arizona school in December.

1148
00:40:26,382 --> 00:40:26,859
We've got,

1149
00:40:27,496 --> 00:40:29,881
we're gonna do 1 in the Uk in,

1150
00:40:31,313 --> 00:40:33,858
November, and then we'll do 1 in Sas

1151
00:40:33,858 --> 00:40:36,510
tuned in February. And each of those are

1152
00:40:36,510 --> 00:40:37,630
gonna be a 5 day format.

1153
00:40:38,429 --> 00:40:40,429
So we're we're gonna really 0 in on

1154
00:40:40,429 --> 00:40:42,680
the economics and finance and in those pieces.

1155
00:40:42,918 --> 00:40:43,951
And then at the end of this year,

1156
00:40:44,268 --> 00:40:46,175
we'll come back and evaluate, and, you know,

1157
00:40:46,255 --> 00:40:47,923
we're gonna have different instructors at each of

1158
00:40:47,923 --> 00:40:50,006
those schools and kind of you know, a

1159
00:40:50,006 --> 00:40:50,962
lot of folks to be able to weigh

1160
00:40:50,962 --> 00:40:51,998
in and say, okay, what do we think?

1161
00:40:52,237 --> 00:40:54,387
And and the idea is, we're either gonna

1162
00:40:54,387 --> 00:40:56,275
stick with the 7 day or we're gonna

1163
00:40:56,473 --> 00:40:58,222
really leaning into the 5 day and probably

1164
00:40:58,222 --> 00:41:00,288
to go all in on that, depending on

1165
00:41:00,288 --> 00:41:01,878
the on the outcome from this coming year.

1166
00:41:02,593 --> 00:41:03,626
Very cool. Very cool.

1167
00:41:04,754 --> 00:41:06,742
Let's circle back to this conversation

1168
00:41:07,695 --> 00:41:10,080
about, kinda your experience as a business owner

1169
00:41:10,080 --> 00:41:11,804
and talk about a couple of more things

1170
00:41:12,242 --> 00:41:14,255
on there, some of the some of the

1171
00:41:14,711 --> 00:41:15,188
phrases,

1172
00:41:15,666 --> 00:41:17,657
some of the buckets ideas that have been

1173
00:41:17,657 --> 00:41:20,227
helpful for you as you have started to

1174
00:41:20,777 --> 00:41:22,313
examine this business

1175
00:41:22,929 --> 00:41:24,602
that you are at the helm of?

1176
00:41:26,196 --> 00:41:29,085
Sure. Yeah. Do you you just asking me

1177
00:41:29,085 --> 00:41:30,445
to up for things or you guys... Yeah

1178
00:41:30,525 --> 00:41:32,125
Yeah you to get? Well I I mean,

1179
00:41:32,284 --> 00:41:33,984
I think you mentioned a couple of things

1180
00:41:34,125 --> 00:41:36,764
again, back to that, jared Jared Sore and

1181
00:41:36,764 --> 00:41:37,164
webinar.

1182
00:41:38,059 --> 00:41:38,559
Podcast,

1183
00:41:39,576 --> 00:41:41,252
you know, that... I think you you talked

1184
00:41:41,252 --> 00:41:43,168
on there about days of working capital,

1185
00:41:43,726 --> 00:41:46,281
and maybe even mentioned on their debt coverage

1186
00:41:46,281 --> 00:41:46,680
as well.

1187
00:41:47,413 --> 00:41:49,325
Debt coverage ratios, some of those things. So

1188
00:41:49,325 --> 00:41:50,600
those are kind of the, a couple of

1189
00:41:50,600 --> 00:41:52,273
things that I I still had on my

1190
00:41:52,273 --> 00:41:53,786
list to to talk about.

1191
00:41:54,598 --> 00:41:56,904
Sure. Yeah. So so, yeah. Those those have

1192
00:41:56,904 --> 00:41:58,517
been helpful to me and those are elements

1193
00:41:58,733 --> 00:42:00,960
that it are actually new to ranch for

1194
00:42:00,960 --> 00:42:02,096
profit in the last

1195
00:42:02,471 --> 00:42:03,266
year and a half.

1196
00:42:04,632 --> 00:42:06,941
John Has had had had some great input

1197
00:42:06,941 --> 00:42:09,170
to us on that. Jordan been a been

1198
00:42:09,170 --> 00:42:11,102
a leader in bringing this stuff in. So

1199
00:42:11,318 --> 00:42:14,079
so these are a couple of financial ratios

1200
00:42:14,279 --> 00:42:16,378
that, are worth examining

1201
00:42:16,837 --> 00:42:18,515
to see where you're at as a business.

1202
00:42:18,994 --> 00:42:19,894
And so

1203
00:42:20,353 --> 00:42:22,670
let's take for example, the debt coverage ratio.

1204
00:42:22,910 --> 00:42:23,284
So

1205
00:42:23,802 --> 00:42:24,678
look, we've got a...

1206
00:42:25,793 --> 00:42:27,785
I'm just gonna pick make up a fictitious

1207
00:42:27,785 --> 00:42:30,174
ranch. Somebody coming to us and they've just

1208
00:42:30,174 --> 00:42:32,460
sat down and and ran their economics and

1209
00:42:32,579 --> 00:42:34,339
And they're like, hey, my my cows are

1210
00:42:34,339 --> 00:42:37,059
really working. Right? My businesses are profitable. I'm

1211
00:42:37,139 --> 00:42:39,380
I'm exceeding the benchmarks from a gross margin

1212
00:42:39,380 --> 00:42:39,859
standpoint.

1213
00:42:40,833 --> 00:42:42,978
I wanna grow this thing. Can I buy

1214
00:42:42,978 --> 00:42:44,805
the neighbor's place? It's coming up for sale.

1215
00:42:45,202 --> 00:42:45,361
Right?

1216
00:42:46,473 --> 00:42:47,529
And so

1217
00:42:47,998 --> 00:42:50,882
just because your business is economically profitable

1218
00:42:51,733 --> 00:42:54,277
doesn't necessarily give an indication if you can

1219
00:42:54,277 --> 00:42:54,992
take on more debt.

1220
00:42:55,802 --> 00:42:57,552
Right? So 1 lot of the things we

1221
00:42:57,552 --> 00:43:00,018
need to look at is your business's ability

1222
00:43:00,018 --> 00:43:01,847
to service the debt it's already got.

1223
00:43:02,579 --> 00:43:04,811
And so we look at debt coverage ratio

1224
00:43:04,811 --> 00:43:07,282
to answer that. Debt debt coverage ratio essentially

1225
00:43:07,282 --> 00:43:10,311
says, what's my cash income for the coming

1226
00:43:10,311 --> 00:43:12,634
year? K? Now when we talk about a

1227
00:43:12,634 --> 00:43:14,384
lot of stuff we talk about is economic

1228
00:43:14,384 --> 00:43:14,702
profit,

1229
00:43:15,896 --> 00:43:18,362
economic profit, and cash income can be 2

1230
00:43:18,362 --> 00:43:19,317
different things. Right?

1231
00:43:20,047 --> 00:43:21,870
So we're gonna look at your your cat...

1232
00:43:22,029 --> 00:43:24,828
Your positive cash flow from this coming year

1233
00:43:25,041 --> 00:43:26,627
and then how much of that goes to

1234
00:43:26,627 --> 00:43:27,103
service debt?

1235
00:43:27,912 --> 00:43:30,221
Right? So what what what essentially we're saying

1236
00:43:30,221 --> 00:43:30,380
is,

1237
00:43:31,177 --> 00:43:32,234
we don't want

1238
00:43:32,769 --> 00:43:34,600
we we want a hundred and 50 percent

1239
00:43:34,600 --> 00:43:35,498
of income

1240
00:43:35,888 --> 00:43:37,475
relative to the amount of debt we're servicing.

1241
00:43:37,793 --> 00:43:40,014
Right? So I I essentially... I don't wanna

1242
00:43:40,014 --> 00:43:41,840
be it... I don't wanna be, a hundred

1243
00:43:41,840 --> 00:43:43,506
percent of my income goes to service debt.

1244
00:43:43,665 --> 00:43:46,094
Right? If I'm if I'm there, then

1245
00:43:46,394 --> 00:43:48,875
everything has to go just exactly right in

1246
00:43:48,875 --> 00:43:50,234
order for me to meet my obligation to

1247
00:43:50,234 --> 00:43:52,715
the bank. Right? So I wanna build in

1248
00:43:52,715 --> 00:43:55,687
some some flex in there. K? So so

1249
00:43:55,687 --> 00:43:57,765
that debt coverage ratio is something that that

1250
00:43:57,765 --> 00:44:00,322
we examine and look at that really gives

1251
00:44:00,322 --> 00:44:02,614
you an idea of what kind of position

1252
00:44:02,733 --> 00:44:04,875
are you in to go take on new

1253
00:44:04,875 --> 00:44:06,779
debt, how are you at servicing the debt

1254
00:44:06,779 --> 00:44:08,072
you already got? So

1255
00:44:08,603 --> 00:44:10,507
so that... That's a really really useful thing.

1256
00:44:11,159 --> 00:44:12,994
And the 1 that's probably been more helpful

1257
00:44:12,994 --> 00:44:14,591
to me as a business owner is this

1258
00:44:14,591 --> 00:44:16,027
idea of days of working capital.

1259
00:44:17,304 --> 00:44:19,140
So it it goes back to that story.

1260
00:44:19,300 --> 00:44:20,913
I was talking about about what what is

1261
00:44:20,913 --> 00:44:22,192
your daily burn rate?

1262
00:44:23,390 --> 00:44:23,890
So

1263
00:44:24,669 --> 00:44:26,746
if you sit down and figure out your

1264
00:44:26,746 --> 00:44:28,025
total cash costs,

1265
00:44:28,679 --> 00:44:31,494
to keep the doors open in your ranch

1266
00:44:31,632 --> 00:44:33,809
for a year, and then develop

1267
00:44:34,427 --> 00:44:37,221
5, that will be your burn rate. Right?

1268
00:44:37,380 --> 00:44:39,784
So on average, how much money goes out

1269
00:44:39,784 --> 00:44:42,491
the door every day. Right? Now, obviously, there's

1270
00:44:42,491 --> 00:44:45,119
some for for most ranches, that numbers higher

1271
00:44:45,119 --> 00:44:45,676
in the winter.

1272
00:44:46,328 --> 00:44:48,080
Lower in the summer. Right? Because we were

1273
00:44:48,080 --> 00:44:50,230
generally feed costs go up, you know, a

1274
00:44:50,230 --> 00:44:52,141
lot of that stuff. But but it's it's

1275
00:44:52,141 --> 00:44:54,371
useful to have that that day daily burn

1276
00:44:54,371 --> 00:44:56,702
rate. And then what we look at is

1277
00:44:56,702 --> 00:44:59,098
how much working capital do you have. Now,

1278
00:44:59,657 --> 00:45:01,989
working capital is a fancy term for how

1279
00:45:01,989 --> 00:45:04,083
much money could I get my hands on

1280
00:45:04,301 --> 00:45:05,657
with about 2 weeks worth of notice.

1281
00:45:06,215 --> 00:45:07,911
Right? So if

1282
00:45:08,368 --> 00:45:10,202
if I If I got myself in a

1283
00:45:10,202 --> 00:45:10,521
jam,

1284
00:45:11,094 --> 00:45:12,601
And I I needed to get my hands

1285
00:45:12,601 --> 00:45:14,187
on cash quickly.

1286
00:45:14,742 --> 00:45:16,725
How much could I come up with? Right?

1287
00:45:17,280 --> 00:45:18,867
And and so the things we're gonna think

1288
00:45:18,867 --> 00:45:19,159
about

1289
00:45:19,677 --> 00:45:21,907
obviously, cash in the bank, checking savings balances,

1290
00:45:22,306 --> 00:45:23,899
but then, like, grain and the bin,

1291
00:45:24,615 --> 00:45:26,368
cab that are standing in a grow yard.

1292
00:45:26,607 --> 00:45:28,222
Right? That could be easily sold

1293
00:45:28,534 --> 00:45:31,246
Right? Stuff like that. Right? So so we

1294
00:45:31,246 --> 00:45:32,363
take those 2 numbers,

1295
00:45:32,842 --> 00:45:34,757
your your working capital,

1296
00:45:35,889 --> 00:45:38,366
and your daily burn rate, and that will

1297
00:45:38,366 --> 00:45:41,423
tell us how many days of working capital

1298
00:45:42,041 --> 00:45:43,240
you you have on hand.

1299
00:45:44,052 --> 00:45:47,156
K? And and that's a really useful number

1300
00:45:47,156 --> 00:45:47,656
for

1301
00:45:48,430 --> 00:45:51,136
measuring the stress of the business owner.

1302
00:45:52,347 --> 00:45:55,856
As well as as your ability to get

1303
00:45:55,856 --> 00:45:56,893
yourself out of a jam.

1304
00:45:57,611 --> 00:46:00,983
Right? So maybe there's a market market swing

1305
00:46:02,169 --> 00:46:02,883
a drought,

1306
00:46:03,438 --> 00:46:05,025
maybe there's a fire on the ranch.

1307
00:46:05,660 --> 00:46:08,040
I... So maybe there's a death in the

1308
00:46:08,040 --> 00:46:08,675
family. Right?

1309
00:46:10,438 --> 00:46:12,695
These these kind of things that happen cause

1310
00:46:13,073 --> 00:46:15,627
chaos in the business. And if you've got

1311
00:46:15,627 --> 00:46:16,585
working capital,

1312
00:46:17,224 --> 00:46:19,081
now you've got time to

1313
00:46:19,553 --> 00:46:21,541
to weather that. Right? To to be a

1314
00:46:21,541 --> 00:46:22,973
little thoughtful about how you go through it.

1315
00:46:23,132 --> 00:46:25,201
So I'll give an example for my own

1316
00:46:25,201 --> 00:46:25,439
business.

1317
00:46:26,489 --> 00:46:27,926
You... We were talking about it. I bought

1318
00:46:27,926 --> 00:46:29,363
the company in 99.

1319
00:46:29,682 --> 00:46:31,998
Right? Well, so we had

1320
00:46:32,397 --> 00:46:35,031
October through February is kind of our main

1321
00:46:35,031 --> 00:46:35,590
operating season.

1322
00:46:36,323 --> 00:46:38,396
Dave was was very thoughtful in how we

1323
00:46:38,396 --> 00:46:40,091
transitioned the company. He sold me the company

1324
00:46:40,309 --> 00:46:42,301
at a time when we're getting ready to

1325
00:46:42,301 --> 00:46:45,047
do work. Right? So we have income. So

1326
00:46:45,105 --> 00:46:46,697
by the time I got to February March,

1327
00:46:46,856 --> 00:46:48,527
I had I had... We had somebody money

1328
00:46:48,527 --> 00:46:49,402
in the business. Right?

1329
00:46:50,835 --> 00:46:51,710
I owe Dave,

1330
00:46:52,605 --> 00:46:54,445
a payment for the business. And I thought

1331
00:46:54,445 --> 00:46:56,285
about... Well maybe I'll make David a double

1332
00:46:56,285 --> 00:46:57,724
payment is what I thought about that year.

1333
00:46:57,885 --> 00:46:59,565
You know? I I'd like to knock some

1334
00:46:59,565 --> 00:47:01,417
of this debt out what if I just

1335
00:47:01,417 --> 00:47:03,411
paid Dave twice what I owe him, and

1336
00:47:03,411 --> 00:47:04,607
let's make him a double payment.

1337
00:47:05,564 --> 00:47:07,478
I decided not to do that. And I

1338
00:47:07,478 --> 00:47:08,457
put that money

1339
00:47:08,914 --> 00:47:10,190
in the bank for the company.

1340
00:47:10,764 --> 00:47:13,079
And I they... I'm, I'm paying dave interest

1341
00:47:13,079 --> 00:47:14,436
for using that money. Right?

1342
00:47:15,632 --> 00:47:16,132
So

1343
00:47:16,750 --> 00:47:18,187
at the time I thought, well, it's kinda

1344
00:47:18,187 --> 00:47:19,878
silly to pay interest on money that's in

1345
00:47:19,878 --> 00:47:21,313
the bank, but I I think I'd like

1346
00:47:21,313 --> 00:47:22,052
to have a

1347
00:47:22,669 --> 00:47:25,062
bank. Well, what happened in March,

1348
00:47:26,258 --> 00:47:27,077
April, but

1349
00:47:27,774 --> 00:47:28,731
Covid happened?

1350
00:47:29,383 --> 00:47:30,814
And I kept thinking, oh, you know, a

1351
00:47:30,814 --> 00:47:32,404
couple months, this thing will blow over will

1352
00:47:32,404 --> 00:47:34,472
be fine. You know, by the time, fall

1353
00:47:34,472 --> 00:47:36,061
rolls around this time to do work work

1354
00:47:36,061 --> 00:47:38,068
will be up and going. Well, you guys

1355
00:47:38,068 --> 00:47:40,465
all know what happened. Right? Rural America was

1356
00:47:40,465 --> 00:47:42,623
delayed and getting Covid. So by the time

1357
00:47:42,623 --> 00:47:44,221
it rolled around when our I really delivery

1358
00:47:44,221 --> 00:47:47,025
season started is when Covid was really actually

1359
00:47:47,025 --> 00:47:48,218
hitting Rural America.

1360
00:47:48,933 --> 00:47:51,818
So we had a a full year of

1361
00:47:52,114 --> 00:47:53,488
very much in flux

1362
00:47:54,198 --> 00:47:56,593
you know, about our income stream? And if,

1363
00:47:56,673 --> 00:47:58,030
first of all, were we even gonna be

1364
00:47:58,030 --> 00:47:58,748
able to do work?

1365
00:47:59,467 --> 00:48:01,063
If so, what would that work look like?

1366
00:48:01,303 --> 00:48:03,314
Right? What was that gonna be? So I

1367
00:48:03,314 --> 00:48:05,551
was so thankful that I did not make

1368
00:48:05,711 --> 00:48:08,668
Dave a double payment that first year because

1369
00:48:08,668 --> 00:48:10,346
what it did is it gave me time

1370
00:48:10,346 --> 00:48:13,713
to manage through what a challenging situation. Right?

1371
00:48:13,953 --> 00:48:16,028
And so so that's just an example of

1372
00:48:16,028 --> 00:48:18,342
that is that is that days of working

1373
00:48:18,342 --> 00:48:18,842
capital

1374
00:48:19,793 --> 00:48:21,386
how how much do you have on hand

1375
00:48:21,386 --> 00:48:23,219
to get yourself out of a tight situation?

1376
00:48:23,537 --> 00:48:25,529
Yeah. No. It's... That is a helpful,

1377
00:48:26,166 --> 00:48:28,317
helpful 1 to think about for sure. Appreciate

1378
00:48:28,317 --> 00:48:28,397
that.

1379
00:48:29,209 --> 00:48:32,319
Anything else that you've really found indispensable as

1380
00:48:32,319 --> 00:48:35,908
far as just this transition into business ownership

1381
00:48:35,908 --> 00:48:37,184
and some of the things that have been

1382
00:48:37,184 --> 00:48:37,901
real helpful to you.

1383
00:48:38,713 --> 00:48:40,702
Oh, you know, I I guess something I'd

1384
00:48:40,861 --> 00:48:42,372
I'd like your listeners to think about is,

1385
00:48:43,168 --> 00:48:44,520
and I've been thinking a lot about this

1386
00:48:44,520 --> 00:48:45,315
too as well.

1387
00:48:46,366 --> 00:48:49,473
It... It's our job as as leaders in

1388
00:48:49,473 --> 00:48:51,146
our business as people that are, you know,

1389
00:48:51,305 --> 00:48:52,181
in in that position.

1390
00:48:52,835 --> 00:48:56,114
To make ourselves irrelevant as soon as possible.

1391
00:48:58,675 --> 00:49:01,006
So, you know, it I I've got some

1392
00:49:01,006 --> 00:49:03,579
awesome people that I've I have an opportunity

1393
00:49:03,638 --> 00:49:04,834
that are... That are part of this thing.

1394
00:49:05,312 --> 00:49:07,465
And it's it's really my job as a

1395
00:49:07,465 --> 00:49:09,241
leader of this business to empower them

1396
00:49:09,711 --> 00:49:11,299
to step into many of the things that

1397
00:49:11,378 --> 00:49:14,419
I've been doing. Right? And and so,

1398
00:49:14,871 --> 00:49:17,038
you know, how how do we

1399
00:49:17,505 --> 00:49:19,670
that right? We're thinking about that here. But

1400
00:49:20,121 --> 00:49:21,944
you know, I think of all the businesses

1401
00:49:21,944 --> 00:49:23,608
that I looked up to that are very

1402
00:49:23,608 --> 00:49:26,655
successful. Right? The it it does not have

1403
00:49:26,655 --> 00:49:27,394
a leader

1404
00:49:27,775 --> 00:49:29,074
that's hanging on

1405
00:49:29,534 --> 00:49:32,494
trying to find relevance for themselves and perpetuity.

1406
00:49:32,987 --> 00:49:35,684
Right? It's generally those people who are who

1407
00:49:35,684 --> 00:49:37,351
are helping empower and grow others,

1408
00:49:38,304 --> 00:49:39,732
you know, so that the they can step

1409
00:49:39,732 --> 00:49:41,295
into those leadership roles. So

1410
00:49:41,813 --> 00:49:43,328
so we're we're working on that as a

1411
00:49:43,328 --> 00:49:45,264
business now. I I still wanna be

1412
00:49:45,721 --> 00:49:47,795
you know, involved in this thing, but I

1413
00:49:47,795 --> 00:49:49,789
sure don't need to be the, you know,

1414
00:49:49,869 --> 00:49:50,826
the caption of the ship.

1415
00:49:51,718 --> 00:49:53,494
Forever and ever. Right? And

1416
00:49:53,952 --> 00:49:55,546
so that... That's something we're thinking about how

1417
00:49:55,546 --> 00:49:58,577
to do. Yeah. Yeah. Very good. Well, Dallas

1418
00:49:58,577 --> 00:50:00,411
has always appreciate your time. And,

1419
00:50:01,223 --> 00:50:02,576
there'll be links in the shown on pages

1420
00:50:02,576 --> 00:50:04,564
as They I said to previous episodes, ranch

1421
00:50:04,564 --> 00:50:07,586
management dot com and and everything else and

1422
00:50:07,586 --> 00:50:09,597
people can go there and and hack even

1423
00:50:10,624 --> 00:50:14,385
join, join ranch management consultants and going Transatlantic

1424
00:50:14,919 --> 00:50:16,453
with a school in

1425
00:50:17,162 --> 00:50:19,232
in the Uk. That would be an interesting

1426
00:50:19,232 --> 00:50:20,028
1. I'm sure.

1427
00:50:20,825 --> 00:50:22,178
That's right. Yeah. There there are a lot

1428
00:50:22,178 --> 00:50:23,452
of fun over there. I imagine some of

1429
00:50:23,452 --> 00:50:25,099
them were gonna be listening to this. So

1430
00:50:25,459 --> 00:50:26,978
I they they gave me some,

1431
00:50:28,177 --> 00:50:30,255
hack for some of my expressions. And the

1432
00:50:30,255 --> 00:50:31,634
1 they thought was the funniest.

1433
00:50:32,013 --> 00:50:33,531
Is when I said, hot dog.

1434
00:50:34,090 --> 00:50:36,103
They they like They were all picking on

1435
00:50:36,103 --> 00:50:38,260
me the whole time for my funny expression.

1436
00:50:38,500 --> 00:50:41,456
So we'd be fun to have some ranchers

1437
00:50:41,456 --> 00:50:42,435
from North America

1438
00:50:42,748 --> 00:50:44,261
go over to the school in the Uk

1439
00:50:44,261 --> 00:50:45,796
and we can make fun of their

1440
00:50:46,172 --> 00:50:48,799
bloody expressions. Yeah. Right. No. That was... I

1441
00:50:48,799 --> 00:50:50,312
got in trouble when I had Bob H

1442
00:50:50,312 --> 00:50:50,471
on,

1443
00:50:51,123 --> 00:50:53,118
for calling his place a ranch.

1444
00:50:53,756 --> 00:50:55,990
And Yeah. Yeah. No their farms. And that

1445
00:50:55,990 --> 00:50:58,717
has helped me where we see the the

1446
00:50:59,035 --> 00:51:01,665
English influence kinda wan as we cross the

1447
00:51:01,665 --> 00:51:02,462
hundredth Meridian,

1448
00:51:02,860 --> 00:51:04,932
and we get into the Spanish influence in

1449
00:51:04,932 --> 00:51:07,329
the west they're they're ranches. Right? And that's

1450
00:51:07,329 --> 00:51:08,837
kinda help me figure that out. Oh, yeah.

1451
00:51:08,996 --> 00:51:11,059
That's why that language is different from 1

1452
00:51:11,059 --> 00:51:13,280
place to the next, but... Yeah. Yeah. For

1453
00:51:13,280 --> 00:51:13,359
sure.

1454
00:51:14,169 --> 00:51:16,240
Well, Yeah. Anyways, thank you so much, Dallas.

1455
00:51:16,558 --> 00:51:17,355
Appreciate your time today.

1456
00:51:18,152 --> 00:51:19,586
You bet Clay. I appreciate all you do.

1457
00:51:19,904 --> 00:51:21,816
Very good stuff there. As always with Dallas.

1458
00:51:21,975 --> 00:51:23,352
Really appreciate his

1459
00:51:24,063 --> 00:51:25,979
perspective and just kinda the way that he

1460
00:51:25,979 --> 00:51:26,878
continues to

1461
00:51:27,416 --> 00:51:29,731
analyze his experiences and learn from them and

1462
00:51:29,731 --> 00:51:32,605
grow as a business owner himself and helping

1463
00:51:32,605 --> 00:51:35,167
others to do the same through the schools

1464
00:51:35,167 --> 00:51:37,633
and programs that they run there at ranch,

1465
00:51:37,871 --> 00:51:38,371
management

1466
00:51:38,985 --> 00:51:39,383
consultants.

1467
00:51:40,114 --> 00:51:42,182
Very excited to be joined next week on

1468
00:51:42,182 --> 00:51:45,603
the working cow podcast by Leanne Fu. We've

1469
00:51:45,603 --> 00:51:47,353
a, of course, talked to Eric Fu, your

1470
00:51:47,353 --> 00:51:50,308
husband before about soil health academy and about,

1471
00:51:50,705 --> 00:51:52,134
all the good work that they are doing.

1472
00:51:52,531 --> 00:51:54,619
Now we're gonna talk to Lia, Eric's

1473
00:51:54,992 --> 00:51:56,206
wife about

1474
00:51:56,914 --> 00:51:58,755
our approach to human health. She is a

1475
00:51:58,755 --> 00:52:00,914
chiropractor among other things, and we're gonna talk

1476
00:52:00,914 --> 00:52:04,054
to her about, a more natural approach to

1477
00:52:04,994 --> 00:52:08,039
human health because As I understand it, profit

1478
00:52:08,039 --> 00:52:10,108
isn't worth a whole lot if you're not

1479
00:52:10,108 --> 00:52:12,915
healthy enough to enjoy it. So we're excited

1480
00:52:12,972 --> 00:52:15,130
looking for to that episode coming your way

1481
00:52:15,130 --> 00:52:17,193
real soon on another episode of the cup

1482
00:52:17,193 --> 00:52:19,018
working cows podcast. See you then.

1483
00:52:20,859 --> 00:52:23,496
We invite you to visit working cows dot

1484
00:52:23,496 --> 00:52:26,293
net to subscribe to the show via itunes

1485
00:52:26,293 --> 00:52:29,250
or stitch stitching. You'll also find detailed show

1486
00:52:29,250 --> 00:52:29,945
notes pages

1487
00:52:30,541 --> 00:52:33,327
resources from our guests and the industry leaders

1488
00:52:33,327 --> 00:52:36,032
who have influenced them. For more ideas on

1489
00:52:36,032 --> 00:52:37,862
putting your cows to work for you in

1490
00:52:37,862 --> 00:52:39,056
a more profitable way,

1491
00:52:39,709 --> 00:52:40,988
Tune in next week.