The Evolution Partners

E72 | Bigger isn't Better - Better Financials 6/7


Listen Later

Most owner-led businesses don’t fail due to lack of growth – they fail because they lack financial discipline. In this penultimate episode of the ‘Bigger isn’t Better’ series, Richard Peake and Andres Zylberberg join me to examine how financials drift toward unprofitability when money is treated as a goal rather than a resource. 

Undisciplined spending in pursuit of growth creates a cycle of poor returns and reactive decisions. A better approach uses financial discipline, budgeting, and forecasting to drive intentional investment and compound returns. Sustainable success comes from managing money wisely, reinvesting with purpose, and prioritising profit over revenue to create long-term value and stability. 

Takeaways 

  • Financials drift toward unprofitability when costs rise silently and prices stay fixed. 
  • Treating money as a resource instead of a goal creates lasting business stability. 
  • Undisciplined spending in pursuit of growth traps businesses in a destructive doom loop. 
  • Financial discipline, budgeting and forecasting drive intentional investment and compounding returns. 
  • Profit, not revenue, is the true measure of business success and sustainability. 
  • Strategic reinvestment balances business growth, lifestyle funding and external asset building. 
  • Clarity and discipline in money management protect against impulsive, reactive decisions. 
  • Long-term value emerges when every dollar is required to deliver measurable returns. 

Details of my new book:
Bigger isn’t Better, Better is Better: Avoiding the pressure of endless growth to build a better business (and better life) https://evolutionpartners.com.au/bigger-isnt-better/ 

Watch the episode on YouTube: https://www.youtube.com/@TheEvolutionPartners 

Newsletter – each week I share interesting insights, articles and ideas you can use. Join other leaders and subscribe to The Evolution Partners newsletter  https://evolutionpartners.com.au/subscribe/ 

Books – Learn more about our books https://evolutionpartners.com.au/books/ 

Made to Thrive: The practical, prescriptive guide on how to be a great CEO 

Onboarded: How to bring new hires to the points where they are more effective faster. A business case for leaders on why you should commit to an effective onboarded process. 

Onboarded for Managers: Helping managers bring new hires to the point where they are more effective faster. 

Follow me:
on https://au.linkedin.com/in/bradleygiles
on https://twitter.com/Evolution_Perth 

Enjoying the show? Leave a review 

Support the show: https://www.facebook.com/evolutionpartnersperth

See omnystudio.com/listener for privacy information.

...more
View all episodesView all episodes
Download on the App Store

The Evolution PartnersBy Evolution Partners