The Speed of Cash with Mike Milan
In This Episode
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Mike was VP of his senior class
Had lead roles in school plays
Family has a long history in the military
Mike was a 2nd lieutenant at 19 in the Army.
He spent 16 years in the National Guard.
Also was an MP for 11 years.
While in the military Mike was recruited to becoming a state trooper.
Mike set a physical record doing shuttle runs.
Most bizarre experience as a State Trooper – pulled over a Uhaul, opened up the back and found 30 illegal immigrants.
Mike was on a SERT (SWAT) team and had some real interesting experiences.
Then his family outgrew his income.
Back to college. Mike went from Psychology major to management major.
The hardest decision to make was to move on from being a state trooper with lots of Job security and benefits to being in business.
What Mike learned later is he is more willing now to bet on himself, than on someone else.
Mike worked in restaurants in high school and college, so he had experience in the restaurant business, but he started in janitorial.
He partnered with a guy who ran a cleaning service – Mike worked with a franchisee who offered him a salary plus 10% of what they brought in.
Mike helped this guy build a $3,000,000 in 24 months. They went after big clients.
His income tripled in the first year.
Now MIke had the bug, and took what he saved and broke off.
Mike had met a lot of people in the hotel business, so he started a staffing company for the hotel business.
Mike didn’t get a paycheck for 18 months.
Looking back, the first experience was scarier.
The fear was greater later in the second experience at around month 9, when the savings was drying up and Mike had to make payroll.
When you have to write that check to put money in the business because you have to make payroll, that’s a scary feeling because you have to wonder how many times you can do this.
Erica to Mike:
What was it that kept driving you forward for that 18 months.
It was that military mentality. Mission first. People always.
Mission First – I said I am going to do it, so I am going to do it.
People always – I take care of people along the way.
One of the reasons for building CashFlowTool.com was to help prevent people from “growing broke.”
Mike got focused on cash and become more aggressive with the slower payers.
He went to his Hotel clients, and asked them not to treat him like a “paper towel” but instead to treat him like payroll because that’s what it was.
As Erica puts it, he “humanized” it.
In a service based business your labor pool is your inventory.
Mike explains that he would also take away people’s reasons not to go to work. They provided daycare for employees’ kids.
Mike describes his success as being due to being hard headed in so many words, but really it comes down to being persistent. Not giving up.
With $15K left, and 3 kids Mike had to hustle to get things turned around.
The way Mike approached the hotels, made them sympathize with him. They paid him faster and he was able to write himself his first paycheck.
Mike increased the speed of cash.
After this experience Mike bought a restaurant, then a building that had a restaurant and then nine more buildings.
Then he sold the buildings during a time when he met James Walter through some of his social circles.
Finagraph was about educating bankers and business owners about each other’s side of the loan transactions.
Then CashFlowTool.com was recently developed and is still evolving. If you haven’t already, get a free trial and connect it to your books. Then watch the magic happen:
And check out the Cash Flow Show in the CashFlowTool.com Users Group on Facebook.
Billbeez – Finance Made Simple
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