The Trust Engine

Ep 03: The 18% Clarity Penalty

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Episode Summary:

Do you ever wake up at 3 AM in a cold sweat, panicking about payroll, taxes, or unpaid invoices? This is the "fog of financial fear," and it is the dirty secret of most successful entrepreneurs. You may look like you are crushing it, but behind the scenes, you are running your business from your bank account balance, making decisions based on emotion instead of data.

In this episode, Johnny Terra (CPA) shares a raw, personal story about the 18% interest rate he paid on his first car—a brutal lesson he calls "The Clarity Penalty." He reveals how you are paying this same penalty in your business right now, in the form of late fees, overpaid taxes, and bad clients you are afraid to fire.

Stop being a victim of your finances. This episode gives you the blueprint to move from financial chaos to financial control. Learn how to build your Financial Fortress and transform your numbers from a scary "report card" into an empowering "dashboard."

In this episode, you will learn:
  • The Clarity Penalty: What it is and how to identify the 18% "ignorance tax" you are paying in your business every day.
  • The Profit First Mindset (The GMAD Way): Why the formula Sales - Expenses = Profit is a trap, and how to use Sales - Profit = Expenses as a strategic and behavioral system that starts with your pricing.
  • The 3 Key Dashboard Numbers: The only three KPIs you need to track: Gross Margin (your engine's power), Operating Overhead (your engine's drag), and Cash Runway (your fuel tank).
  • How to Find Your Numbers: A simple, CPA-approved guide to finding these three numbers in your existing reports (no complex spreadsheets required).
  • The Monthly Financial Cadence: The 90-minute system to review your dashboard and make one data-driven decision, moving you from panic to control.
    • This Week's Challenge (Action Over Theory):
    • Conduct the 15-Minute Financial Audit.
    • Find your total monthly Operating Overhead.
    • Divide your total Cash on Hand by that number.
    • The result is your Cash Runway (in months). This is your new starting line.
      • Get the Free Tool:
      • Once you have your Cash Runway number, email [email protected] with the subject line "DASHBOARD".
      • In the email, share the number you calculated (we are holding you accountable).
      • We will send you the simple, one-page Operator's Dashboard to use in your new Monthly Financial Cadence.
        • Resources Mentioned:
        • Get Your Free Operator's Dashboard: Email [email protected] (Subject: DASHBOARD)
        • For more systems and frameworks, visit us at trustenginepodcast.com
          • Connect with The Trust Engine:
          • If this episode helped you, please leave a rating and review on Apple Podcasts or Spotify.
          • Share this episode with another entrepreneur who is trapped in the fog of financial fear.
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            The Trust EngineBy Go Make a Dollar Team