Systemize and Own It!
What’s the definition of a business system?
It depends on if we’re talking about funny business, show business, or serious business. There are all types.
But let’s focus on serious business. And though I kid, it’s nothing against the mom and pop businesses out there, the stores people love to go to specifically because there are certain people there who run them, know everything there is to know, answer questions honestly and conduct business with integrity. The same goes for any small business owner who operates like that.
There is, however, no way around the truth that you’re not really a business owner if that business can’t run without you. Just because you start a company and you work for yourself doesn’t mean you own a business in the entity that we’re talking about here. At best you’re a business manager, and without systems in place that repeat themselves in a multiplying effect so the business runs without you, that business could very well feel like it owns you.
The business system definition is ‘A repeatable process that produces a profit.’ If it doesn’t produce a profit, it’s not really a valuable business system. So the idea is to systemize your business so that it can work without you. Most people do not own a business, they own a job! They’re self employed. But even if you employ yourself you’re still an employee, and like most employees you’re probably still freaking broke, or at least you’ll never create wealth.
Some of you are probably familiar with Robert Kiyosaki and the Four Quadrants. ‘E’ stands for Employee. You have a job working for someone else. The ‘S’ stands Self employed. You own a company but you are the one providing the primary service. You are the primary product. Without you the company doesn’t exist.
So the only two ways that you can create wealth are the ‘B’s and the ‘I’s, the Business owners and the Investors. Simple math. You can never get rich with a limit on your income.
If you have to be there for your value to be delivered, you will dramatically limit your income! The same problem occurs if you make your money by the hour or by salary. You’re being paid for your time. Time is limited!
I am not putting anybody down for being employed or self employed. What I would say is that it’s going to be very difficult for you to create wealth and you need to re-structure your thinking, time and energies in a way that can produce wealth.
That’s where systemizing comes into play. The business systems approach considers the company as a system of interrelated factors of strategy, management, workers, finance, processes, procedures, products, suppliers, customers, competitors—make no mistake, when it’s growing, it’s a frickin’ job!
But the better job you do of getting the right people in there and balancing those systems, the more vacation time you have coming with some pocket bills to boot!
Now it’s your turn! The stories of small business owners can be of great value to the Millionaire Mind community. The issues and challenges are so common it can be cathartic to share some of those insights from fresh experience. It’s your turn to share!







A business system is a repeatable process that produces a profit.’ If it doesn’t produce a profit, it’s not really a valuable business system. Thank you Harv, I'm now systemize my biz.
Common-sense and beautiful logic, served up and delivered in an easy to grasp blog post. This keeps people on track and is in line with my own thinking. Thanks as always for offering such great value, Harv.
I'd like to add a related sidenote: that if a person already has a system (which is great!), and they feel comfortable, that doesn't mean the system won't benefit from tweaks, changes, or even overhauls 🙂 (Some systems produce monetary profit but hurt others or the community, for example :D)
Thank you Harv, thought you may not get to know me physically, thought in the near future we may meet, get to know that ur approach of building a business has greatly change ma world-view on the business world, I started an online training company 2007 & i have doing ma best to Systemise it, we ve now open our first branch & we are rolling down our expansion plans as i did put in place when getting started in 2007!I ve been following ur principles & applying them plus R.kiyosaki's cash flow quatrant!
Ohhhh Boy can I relate to this post!!
When I had a print brokerage in the 90's I was the wearer of all hats. I was the guy who went out and got the sale, then came back to the office to write up the order and process it. Next I had to follow it through to delivery at the customers door.
It was exhausting and it limited my potential. Only after I learned some new methods and overcame by own limitation of “needing” to be in control of EVERYTHING, did the business excel.
1. I hired a bookkeeper to do the admin stuff = free to sell more
2. I hired more sales people = iincreased sales. Over 5 years we grew by 6 fold.
I learned that although people may have a different way of doing things than I do…we all arrived at the same destination.
Being successful alone is a drag. So why not invite others into your family to share the wealth, fun and joy of being in business.
Oh yeah…when you finally get the family working just the way you want…you don't have to show up everyday to keep the business going.
How awesome is that!!
Living Life By Design
http://www.joegriffith.me
Having owned three businesses there were days when I thought I lose my mind until…I stepped back and took a good look at what was really going on.
The situation, I was trying to do everything. I thought the 'ship' would sink without me. What a joke that was.
Well let me tell you, today it's all different. I have learned to surround myself with people who are excellent at what they do.
My deal with myself is, just because I know how to do something it doesn't mean I have to do it. Any task that's not my passion is delegated to someone else.
Guess what? The more 'tasks' I delegate the better ROI for me. My time is now freed up to do what I do best – speak, write and coach, my passions!
It wasn't until after I really absorbed “Speedwealth” that I truly understood the power of Systemizing my businesses. IT'S HARD! Most people fail at it. But … those who are disciplined enough to create systems for every part of their business … the opportunities are enormous. Until you can succeed on a small scale and systemize the process, you'll never be able to grow big.
Great stuff Harv. Thanks for sharing.
ABSOLUTELY TRUE! I owned several multi million dollar business. The biggest challenge was to my ego when I set it up to run without me-and it did! So I started my third business ( http://www.vistacaballo.com ) to help all those who want to transition from pain to gain the really really easy way. Thanks Harv for these posts.
This is timely for me as a mom an pop business owner in our 3rd year. The systemizing for us as a spa has become an effort to get each person here who performs a service to focus on how to relate with customers. It's a small thing, but it has caused a lot of good chemistry and more frequent repeat customers. We now have staff who want to be here because it is so not corporate. In turn, if I need to leave, one of them is more than happy to fill in for me. It wasn't quite the picture I originally had for growth, but growth is occurring. It can go on without me. I have heard from others that they would like this format in more places. It is a simple formula to follow…so what's next, yes?
That is why I love building a Primerica business! Built-in system that eventually runs itself….freedom
Harv, is it OK if I just put my sole proprietorship on the back burner and start a new business that already has a running system i.e. direct-marketing? I like how they've got everything systemised & I just leverage my experiences and abilities on their vehicle.
There are certain waves and trends in the economy and I am self-employed in a model that I think is saturated. Over the years I have observed that to make the most money is not just about hard work but also riding trends. I'm waiting to see what trends tech will bring and how to remodel the business to adapt! And next time ima make sure it can be systemized :P.
I think small business owners like myself need to rethink whether our products/services can be systemized to meet a growing demand or and be well-informed enough to decide whether we need to rethink the entire business concept altogether or forge on. My focus now is to make massive passive income in the next few years and it no longer matters whether the medium I use is my personal brainchild or somebody else's better system.
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I think it is also of great importance that you find people who are better than you to run the business while you are off for a vacation or starting a new business. I read an article that says, he is a confident business owner because the people who work for him are better than him. Therefore, he can entrust to them the responsibility.
Hello Harv ! I'm from Brasil, and I'm reading your book ” Os segredos da mente milionária” This book is wonderfull! I really appreciate your history of life.. I wonder if you already have done a lecture in Brazil. I would love to be able to watching you! Nathália. Please give me more informations in : nathtpdias@hotmail.com
xoxox
Start creating your system right now, it is pretty simple. Say you have a blog you write, write down the steps you follow. You can do thins for any thing you do in your business. It is called creating a standard. Once you have that standard in place you can then improve on it. Now get to writing down what you do and become a business owner.
Josh Bulloc
Kansas City, MO
Harv, this is so true however it is also impossible in the early days of starting a business. I agree that systems and processes need to be in place but in the early days of starting a business as the owner works through the development of these systems and processes…someone has to do the work…
Having built a successful business to 30 employees and marketing the business using the strategies I learned in LA during your Guerrilla Business School and then successfully selling and starting over…I find myself back in the seat of marketing and doing the work…fun times.
Stuart Crawford
Calgary, AB
https://stuart.calgarybloggers.ca
Hi sir this is SHOBHIT TYAGI from india, I am B.Tech grduate from IIT and even MBA, But now I am in the bussiness of Network Marketing and having a good Network of 62000 people in my country. Recently I was goning to DELHI by train, when I reached New Delhi Railway Station, I saw your book at book stor “”Secret of Millionaire Mind''' I had gone through your wonder full book. I is really great, I have no words for that, But in that book you have told about your seminar. I and many of my leaders wants to attend the seminar, So would you able to tell us where it is in India? and when?
Please reply @ shobhittyagi001@gmail.com
+91 9637274001
+91 9225952003
+91 9665520601
will be wating for your reply ……
your one more3 fan
Shobhit Tyagi
B.Tech, MBA
Hi everyone! Last year I started my own company, and like Harv says, it's hard work! Of course my goal is to become independent and receive income without me working!
Harv's book has inspired me a lot, as well as Tim Ferriss's 4-Hour-Workweek and The E-Myth. What inspired me the most was the possibility of creating your own information products. Initially I didn't have a clue what or how, but then I realized I could just copy an already existing idea: audio interviews.
And then it started rolling…suddenly al these ideas started popping up…I bought an audio recorder, extra microphone and already created two interviews about martial arts and self-protection. The third person to be interviewed is an absolute jiu jitsu superstar and I'm thrilled!
Now when my business grows I can automate this into a system. Customers orders online, receives automatic e-mail response, payment processed, warehouse ships product. Can't wait to get started!
Harv, thanks very much for sharing your thoughts and insights!
Extra $500? I'm looking at a lot more than that. Can I ?
thank you for the sharing
Hi Eker
Im live in Iran, I read your book and enjoy it.
thank for your kind
100% true. The challenge is to do what Harv suggests and has done himself. Also as I learnt with one of the courses I took, you must think how to to systemize before you buy a business.
Thanks for the reminder. Anthony Hong Kong.