Season 15 | Ep 174 | Agency Investment – The Dos and Don'ts with Calvin Wilder

Are you making the right financial decisions to scale your business effectively? Financial decision-making for business owners can be complex but differentiating expenses from investments and focusing on risk assessment and ROI can make a difference. 

In this episode of The Agency Blueprint, I’m joined by Calvin Wilder to discuss the dos and don’ts of agency investments. Cal is the founder and CEO of SmartBooks, where their team empowers business owners to run financially healthy businesses through a mix of bookkeeping and accounting, financial reporting, and CFO advisory services. He started his career journey as an investment analyst, then worked as a CFO, and still does occasional CFO work for his clients. 

Don’t miss this episode to learn the importance of a portfolio-based approach and how investment diversification can safeguard an agency’s financial health! 

Key Questions: 

• [01:22] What are some practical guidelines for agency owners to determine whether a business expense meets current needs or paves the way for growth? 
• [05:40] What’s your advice to someone considering risking everything on a single investment opportunity? 
• [10:21] What are some examples of high costs or potentially high-risk investments you made with your agency and did they pay off in the end? 
• [15:00] What framework would you use to determine whether to invest or not? 
• [17:22] Are there percentages you consider when thinking about making investments on whether they should take place or not? 

What You’ll Discover:   

• [01:36] How to distinguish between standard operating expenses and growth-driven investments for agency owners. 
• [03:35] The importance of evaluating ROI and risk when considering investments and how optimism can sometimes cloud judgment. 
• [05:50] How personal circumstances and life stages influence financial decisions and risk tolerance. 
• [08:13] The portfolio approach to business investments: balancing risks across multiple opportunities. 
• [10:40] Examples of high-cost investments, like project management systems, that deliver long-term productivity gains. 
• [15:10] Criteria for determining whether an investment opportunity is relevant today or better suited for the future. 
• [17:39] Understanding metrics to consider as an agency owner when looking into new investment opportunities. 

Connect with Calvin: 

• Website
• LinkedIn