Problems With Payroll - Uh Oh…
May 8th, 2008
Ok, be honest, how many nights have you stayed up staring at the ceiling scared sh**less about payroll…
I’ve definitely had times in the past where “I” did…I remember the questions:
- Where is the money going to come from?
- Should I lay someone off? But, that’s horrible…
- Should I try to raise money? But that’ll take so long…
- Should I go borrow money? But, I already have so much debt…
- Maybe that big account will close this week?
I always used to tell myself, “this must just be a problem that ‘I’ have because I’m a small business, once I get bigger it’ll go away…” Little did I know, it gets worse!
I was recently talking to the CFO and VP of Business Development of a company that does over $20 Million in revenue a year and has 120 employees. I was cracking jokes about the days that I’ve scrambled to launch a product just to get enough money to make payroll…honestly, I was looking for a glazed look on their face.
What did I get?
I got a loud, “Oh man, we know how THAT feels…hahahahahahaha” as they smiled and winked at each other.
I thought to myself, “what the heck? are you serious, how in the WORLD can you guys have payroll problems doing $20 Million a year?”
The more thinking I’ve done, I realized that actually the faster you grow, the more you hire, the more your expenses go up. It seems that BIG corporations really do run quite tight most of the time.
It’s not even bad financial management, it’s just the results of aggressive growth.
So, tell me, have you ever stayed up at night thinking about payroll?
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Tags: payroll, problems with payroll
May 8th, 2008 at 11:30 am
I can’t say i have, but i have stayed up late at night thinking:
“I’m doomed I’m doomed I’m doomed I’m…… if i don’t make cash tomorrow I’m doomed… doomed doomed doomed doomed…… i should get up, take a whiskey, and see if i could get something done…..”.
That was what i thought every night for a month as i took my first babysteps into IM hehehe. Well my first serious ones and to be honest it went to hell. But who hasn’t tasted failure yah?
Next time I’ll make sure i don’t have bills coming that rely on the income of affiliate commissions that’s for sure
Good post keep it up!
May 12th, 2008 at 10:39 pm
Excellent post. More money = same issues. Thats life. Its times like these that you realize that life is more that just $$$ signs and life always seems to work itself out. Its all about LOA.
Life is just a big game, most people let fear grab them from what they truly want from life. Freedom. Take a chance, you really never know how far you can go unless you try.
May 13th, 2008 at 1:01 am
Daniel,
Look into this program - http://www.MindAerobics.com - it has completely changed my life over and over. Whenever I start it, good things happen.
Tony, thanks for the compliment, hey, whats LOA?
May 13th, 2008 at 9:02 am
LOA - Law of Attraction.
I’ll check out that link too, MindAerobics…. Is this similar to the Sedona Method?
May 13th, 2008 at 4:12 pm
Ah, yes. Been there, done that. Thankfully, however, there were only three times in our “business” that we owners had to forgo paychecks for the month to be certain to complete payroll, and make overhead.
The first time you learn, always have three months personal salary tucked away, just in case. It only happened two other times in our 30 years of owning a business, yes, at the growth spurt of our business. But we all survived, diversified, and came through it.
Don’t know if corporate execs would forgo or cut their paychecks for a month, would they?
And yes, the next month, there was plenty to go around and do backpay.
Just hang in there.
May 14th, 2008 at 4:37 am
Hey OnTheCouch,
Luckily never had to face that yet, “we” specifically don’t have any problems at this moment, have in the past - I was just shocked to see that a $20M a year company could have that problem!
Mystery CEO