How I made $1.4 mil a year but still Broke, part 2, - Growth , Betrayal and What now? FilmNeverDie

Summary

In this video, the speaker shares their journey of growing a business to $1.4 million, despite financial struggles. They recount the establishment of a photography hub and the expansion into film development, funded by a Kickstarter campaign. The narrative takes a turn with the betrayal by staff, leading to a discussion on the importance of trust and gut feelings in leadership. The speaker emphasizes the value of reinvesting in the business, the abundance mindset, and the significance of creating innovative products like the CP800 film processor. They conclude with a focus on providing value and continuous improvement, rather than engaging in price wars.

Takeaways

• 📈 The business started in a shared space at 640 B Street, Eliza TC building, and later expanded to level one of the same building.
• 💼 The opportunity to expand came with the acquisition of film developing machines, funded through a Kickstarter campaign.
• 🏢 They were fortunate to have a landlord who only charged minimum rent, allowing for business growth without high overheads.
• 🔧 The business faced betrayal from staff, including a wedding photographer and a groomsman, which was a significant setback.
• 🌱 The importance of trust in leadership was emphasized, along with the advice to trust one's gut feeling when it comes to personnel decisions.
• 💡 The speaker learned to invest aggressively back into the business, citing Microsoft's early reluctance to invest in cloud computing as a cautionary tale.
• 🤝 The concept of an 'abundance mindset' was introduced, suggesting that there's enough success to go around and that helping others can benefit everyone.
• 📸 The business is focused on providing high-quality film cameras and services, including a new camera line named 'Nana Camera'.
• 💼 The company has developed its own film processing machines, the CP800, and made the design open source to encourage community involvement.
• 🚀 The speaker emphasized the importance of innovation and not just focusing on being the cheapest, but on adding value and improving the customer experience.

Q & A

What was the initial business opportunity that the speaker was invited to participate in?

The speaker was invited by Michael and Susan Silva to 640 B Street, Eliza TC building, to have their camera café and shop.

What additional business did the speaker decide to expand into and why?

The speaker decided to expand into film developing by offering some film developing machines, as they thought it would be a good complementary business to their current camera business.

How did the speaker raise funds for the film developing machines?

The speaker raised funds through a Kickstarter campaign to buy the machines for 640 B Street, level one, all Australia Post building.

What was the advantage of the rental agreement at 640 Buck Street for the speaker's business?

The advantage was that the speaker only paid minimum rent without outgoings, and the contract was month by month, which allowed flexibility in case they needed to move due to building permits for a skyscraper.

What was the first heartbreaking moment the speaker experienced in their business?

The first heartbreaking moment was when some staff, including the speaker's wedding photographer and groomsman, started to betray them behind their back and build a lab behind their back.

What advice does the speaker give regarding trusting people in business?

The speaker advises to trust people but also to trust one's gut feeling. If there's a feeling that someone might not work out, it's better to cut losses and move on.

Why did the speaker invest half a million dollars into the development of the CPA 800 compact processor?

The speaker invested in the CPA 800 compact processor to continue the creation of new film processor machines and to spur the community together, even making it open source.

What is the importance of the 'abundance mindset' as mentioned by the speaker?

The 'abundance mindset' is important because it recognizes that there is more opportunity than one can think of, and it's not a zero-sum game. It encourages business leaders to unlock new markets and blaze new paths.

What is the significance of the Nana camera in the speaker's business?

The Nana camera is significant because it represents a high-quality, pure film camera that is easy to use and takes amazing photos, which is crucial for the future of film photography.

What is the speaker's approach to competition and pricing in their business?

The speaker's approach is not to get into a price war but to focus on adding value to people and providing a better experience through better processors, apps, delivery systems, and customer service.

How does the speaker encourage continuous improvement within their business?

The speaker encourages continuous improvement by challenging the team to identify one thing they can improve each week, leading to 52 improvements in a year.