1 00:00:04,160 --> 00:00:07,080 Speaker 1: Hi, I'm Britney Saunders and welcome to Big Business, the 2 00:00:07,120 --> 00:00:09,800 Speaker 1: place where business is far from boring. And today I'm 3 00:00:09,800 --> 00:00:13,039 Speaker 1: recording on a wobbicle land Now, I somehow managed to 4 00:00:13,039 --> 00:00:16,080 Speaker 1: build an empire from the garage underneath my house, and 5 00:00:16,239 --> 00:00:18,960 Speaker 1: I'm here to share it all with you, from the winds, 6 00:00:19,320 --> 00:00:22,320 Speaker 1: the huge mistakes, the challenging times. 7 00:00:22,239 --> 00:00:23,720 Speaker 2: And the funny moments in between. 8 00:00:24,120 --> 00:00:27,040 Speaker 1: So, whether you're in business yourself already, perhaps you're not 9 00:00:27,120 --> 00:00:29,880 Speaker 1: in the game at all, maybe you're looking for some inspo, 10 00:00:30,200 --> 00:00:32,360 Speaker 1: or you just simply want to hear the tea when 11 00:00:32,400 --> 00:00:35,120 Speaker 1: it comes to running a business, this is the podcast 12 00:00:35,200 --> 00:00:38,320 Speaker 1: for you. Coming up on today's episode, it's a bit 13 00:00:38,360 --> 00:00:39,479 Speaker 1: of a juicy. 14 00:00:39,159 --> 00:00:41,960 Speaker 2: One, and I'm starting to learn that the juicy of 15 00:00:42,040 --> 00:00:43,280 Speaker 2: the episodes the better. 16 00:00:43,360 --> 00:00:46,839 Speaker 1: Everyone wants to know just the tea, the tea on 17 00:00:47,200 --> 00:00:50,800 Speaker 1: business in general, but also I think like the tea 18 00:00:50,840 --> 00:00:53,840 Speaker 1: on Me and Fate. So if you love the juicy goss, 19 00:00:54,000 --> 00:00:57,600 Speaker 1: you're going to love this episode. Today I'm pulling back 20 00:00:57,640 --> 00:01:01,120 Speaker 1: the curtain and breaking down some of the actual costs 21 00:01:01,480 --> 00:01:04,479 Speaker 1: we've had at Fate this financial year. 22 00:01:04,520 --> 00:01:07,920 Speaker 2: And let me tell you, it's giving. What the fuck 23 00:01:08,000 --> 00:01:10,559 Speaker 2: are you fucking serious. 24 00:01:11,480 --> 00:01:16,280 Speaker 1: I've quite literally asked AJ to provide me with our 25 00:01:16,360 --> 00:01:21,600 Speaker 1: profit and loss statement, and I have downloaded the entire thing. 26 00:01:21,959 --> 00:01:26,200 Speaker 1: Now this is obviously it's not quite the end of 27 00:01:26,240 --> 00:01:29,120 Speaker 1: the financial year, so this is from our profit and 28 00:01:29,160 --> 00:01:32,920 Speaker 1: lost statement which ends on thirty June twenty twenty five, 29 00:01:32,959 --> 00:01:36,520 Speaker 1: so we've still got a month to spend more bloody money. 30 00:01:36,880 --> 00:01:40,680 Speaker 1: But I thought I would just be transparent and run 31 00:01:40,760 --> 00:01:44,200 Speaker 1: through some of these costs with you, because, as I've 32 00:01:44,240 --> 00:01:47,360 Speaker 1: mentioned on like an episode more recently, as a woman, 33 00:01:47,520 --> 00:01:50,480 Speaker 1: I want to be more comfortable talking about money and 34 00:01:50,600 --> 00:01:53,320 Speaker 1: not feel like I shouldn't talk about it. But today 35 00:01:53,440 --> 00:01:55,680 Speaker 1: I do want to just be transparent with how much 36 00:01:55,720 --> 00:01:59,480 Speaker 1: it actually costs me to run FATE. I've got the numbers. 37 00:01:59,480 --> 00:02:02,000 Speaker 1: Here is this my first time seeing these. As you 38 00:02:02,040 --> 00:02:05,040 Speaker 1: all know, I don't really look after the numbers at FATE. 39 00:02:05,440 --> 00:02:07,880 Speaker 1: It's not on me to kind of do all of 40 00:02:07,920 --> 00:02:12,000 Speaker 1: our accounts and everything. AJ does that along with our accountant. 41 00:02:12,320 --> 00:02:14,040 Speaker 1: But I'm going to read some of them out to you. 42 00:02:14,240 --> 00:02:17,920 Speaker 1: I think everyone's going to be really shocked, and I 43 00:02:17,919 --> 00:02:21,959 Speaker 1: think Xander especially is going to be shocked. So let's 44 00:02:22,080 --> 00:02:24,480 Speaker 1: just get straight into it and straight down to business. 45 00:02:24,800 --> 00:02:27,280 Speaker 1: So before I tell you my juicy numbers, I think 46 00:02:27,600 --> 00:02:29,359 Speaker 1: it's important for me to touch on a little bit 47 00:02:29,360 --> 00:02:33,320 Speaker 1: more like why I am sharing this. I definitely think 48 00:02:33,360 --> 00:02:36,720 Speaker 1: that there's a perception that if a brand is doing well, 49 00:02:36,880 --> 00:02:40,520 Speaker 1: the owner is just rolling in it. And I did 50 00:02:40,520 --> 00:02:43,639 Speaker 1: a bonus episode about this recently if you haven't listened 51 00:02:43,639 --> 00:02:45,919 Speaker 1: to it, The title is something along the lines of 52 00:02:46,600 --> 00:02:50,840 Speaker 1: we don't owe our staff explanation on financials, So go 53 00:02:50,880 --> 00:02:53,840 Speaker 1: and listen to that one if you haven't already. 54 00:02:54,440 --> 00:02:55,560 Speaker 2: And I think that is. 55 00:02:55,560 --> 00:02:58,480 Speaker 1: Just like a massive perception, especially on social media. You know, 56 00:02:58,600 --> 00:03:03,160 Speaker 1: you hear the business there's one hundred million dollars and whatever, 57 00:03:03,240 --> 00:03:06,359 Speaker 1: and it's all about like sharing the wins and the stats, 58 00:03:06,760 --> 00:03:10,360 Speaker 1: and like when people are saying, you know, even me included, 59 00:03:10,400 --> 00:03:13,399 Speaker 1: when I say like Fate is an eight figure business, 60 00:03:13,639 --> 00:03:16,320 Speaker 1: that doesn't mean that I'm putting eight figures in my pocket. 61 00:03:16,600 --> 00:03:19,840 Speaker 1: I fucking wish I was putting eight figures in my pocket. 62 00:03:19,720 --> 00:03:21,440 Speaker 2: Because I'd be bloody retiring. 63 00:03:21,840 --> 00:03:24,280 Speaker 1: But when brands say like this is one hundred million 64 00:03:24,320 --> 00:03:26,920 Speaker 1: dollar brand, this is a fifty million dollar brand, that 65 00:03:27,120 --> 00:03:32,040 Speaker 1: is just the sales, like that's before any expenses. 66 00:03:33,320 --> 00:03:35,280 Speaker 2: Now, when it comes to Fate. Don't get me wrong. 67 00:03:35,520 --> 00:03:39,800 Speaker 1: We've built something absolutely amazing, and like with any business, 68 00:03:40,080 --> 00:03:43,000 Speaker 1: even though you know businesses are amazing, it doesn't mean 69 00:03:43,040 --> 00:03:45,960 Speaker 1: that your profit is flowing like rose. 70 00:03:46,480 --> 00:03:49,240 Speaker 2: You know, it comes at a massive cost. 71 00:03:50,240 --> 00:03:53,960 Speaker 1: And the truth is that running a business of Fate 72 00:03:54,160 --> 00:04:00,200 Speaker 1: size is expensive, like terrifyingly expensive. So I I just 73 00:04:00,200 --> 00:04:02,280 Speaker 1: wanted to be transparent because that's what I'm all about 74 00:04:02,280 --> 00:04:04,120 Speaker 1: here on Big Business, and walk you through some of 75 00:04:04,160 --> 00:04:07,240 Speaker 1: the actual numbers to show you how much it costs 76 00:04:07,360 --> 00:04:11,920 Speaker 1: to keep Fate running. And I really want to stress 77 00:04:11,960 --> 00:04:16,680 Speaker 1: this to all start up business owners. I think where 78 00:04:16,680 --> 00:04:18,919 Speaker 1: a lot of people go wrong when it comes to 79 00:04:18,960 --> 00:04:21,880 Speaker 1: starting a business, especially if you're seeing business owners on 80 00:04:21,920 --> 00:04:25,280 Speaker 1: social media and it's all fun and games and the highlights. 81 00:04:25,720 --> 00:04:30,120 Speaker 1: A lot of people can perhaps be misled into starting 82 00:04:30,120 --> 00:04:32,560 Speaker 1: a business because they might think, oh, that looks so 83 00:04:32,680 --> 00:04:35,520 Speaker 1: easy and fun, and I'm going to make so much money. 84 00:04:35,640 --> 00:04:37,440 Speaker 1: I'm going to make so much money, and it's all 85 00:04:37,440 --> 00:04:39,280 Speaker 1: going to be for me, you know, because you think 86 00:04:39,920 --> 00:04:42,279 Speaker 1: I'm not working for someone else. I'm working for myself. 87 00:04:42,320 --> 00:04:43,560 Speaker 1: So I'm going to be able to put all the 88 00:04:43,600 --> 00:04:46,880 Speaker 1: money in my pocket. That is so far from the truth. 89 00:04:47,200 --> 00:04:49,960 Speaker 1: I can't even begin to explain to you running and 90 00:04:50,080 --> 00:04:53,520 Speaker 1: owning a business is the most expensive thing that you 91 00:04:53,560 --> 00:04:56,080 Speaker 1: will ever do in your entire life. And I just 92 00:04:56,120 --> 00:04:57,840 Speaker 1: want to be the one to say that and put 93 00:04:57,839 --> 00:05:01,600 Speaker 1: it out there. Don't go into business if it's just 94 00:05:01,640 --> 00:05:03,599 Speaker 1: because you think you're going to make so much money 95 00:05:03,600 --> 00:05:05,360 Speaker 1: to put in your own pocket. You might get to 96 00:05:05,360 --> 00:05:07,960 Speaker 1: that point, but the shit that you have to do 97 00:05:08,040 --> 00:05:11,440 Speaker 1: to get to that point and the costs that come 98 00:05:11,640 --> 00:05:17,200 Speaker 1: with running a business will send you into a shock. Well, 99 00:05:17,320 --> 00:05:20,440 Speaker 1: let's get into what everyone's bloody listening for, shall we. 100 00:05:20,560 --> 00:05:22,160 Speaker 2: Xander and I feel like you're just sitting on the 101 00:05:22,240 --> 00:05:22,920 Speaker 2: edge of your seat. 102 00:05:23,200 --> 00:05:27,960 Speaker 3: I'm actually nervous. I'm nervous. I want you to save you. 103 00:05:28,040 --> 00:05:30,279 Speaker 2: Money, so do I. 104 00:05:30,680 --> 00:05:33,280 Speaker 1: And looking at this as well, like looking at your 105 00:05:33,279 --> 00:05:36,479 Speaker 1: profit and loss. Like I'm sure everyone listening who's in business, 106 00:05:36,520 --> 00:05:38,800 Speaker 1: it's so important to look at your profit and loss 107 00:05:39,040 --> 00:05:41,240 Speaker 1: all the time, not just at the end of the 108 00:05:41,279 --> 00:05:45,280 Speaker 1: financial year. But it's a great indicator of how your 109 00:05:45,279 --> 00:05:48,080 Speaker 1: business is going. It's an indicator of you know, your 110 00:05:48,120 --> 00:05:51,000 Speaker 1: overall sales and then your costs and what you're left 111 00:05:51,000 --> 00:05:53,760 Speaker 1: with at the end. And it is our job at 112 00:05:53,760 --> 00:05:55,479 Speaker 1: the end of the day to look at where we 113 00:05:55,520 --> 00:05:59,000 Speaker 1: can save money, because really, with the profit and loss statement, 114 00:05:59,400 --> 00:06:02,040 Speaker 1: we want to see more profit than loss. 115 00:06:02,160 --> 00:06:02,359 Speaker 2: You know. 116 00:06:02,920 --> 00:06:05,719 Speaker 1: So if you're one of those business owners who doesn't 117 00:06:05,720 --> 00:06:07,599 Speaker 1: look at their numbers, I know a lot of business 118 00:06:07,640 --> 00:06:09,680 Speaker 1: owners are too scared to look at them because they 119 00:06:09,680 --> 00:06:12,480 Speaker 1: don't want to, you know, be faced with the realities 120 00:06:12,520 --> 00:06:14,400 Speaker 1: of like, holy shit, maybe we're not making as much 121 00:06:14,440 --> 00:06:17,520 Speaker 1: money as as we could be or should be. Look 122 00:06:17,600 --> 00:06:20,640 Speaker 1: at everything that you're spending and see, you know, like 123 00:06:20,760 --> 00:06:23,280 Speaker 1: what I'll be doing now that we're coming towards the 124 00:06:23,360 --> 00:06:25,120 Speaker 1: end of the financial years, looking at our costs and 125 00:06:25,160 --> 00:06:27,280 Speaker 1: going all right, where can I save a little bit 126 00:06:27,279 --> 00:06:32,479 Speaker 1: of money here? So obviously I'm not going to share 127 00:06:32,520 --> 00:06:35,840 Speaker 1: the profit part. I feel like that's oversharing a little 128 00:06:35,839 --> 00:06:38,320 Speaker 1: bit too much. But I'm just gonna throw some numbers 129 00:06:38,360 --> 00:06:42,159 Speaker 1: at you and tell you exactly how much it costs 130 00:06:42,160 --> 00:06:45,360 Speaker 1: to run Fate. Okay, So I'm going to start out 131 00:06:45,400 --> 00:06:47,640 Speaker 1: with one of the most expensive ones, and that is 132 00:06:47,680 --> 00:06:51,840 Speaker 1: how much we spent on wages in this last financial year. 133 00:06:53,320 --> 00:06:54,320 Speaker 2: Are you ready, Xander? 134 00:06:56,680 --> 00:07:00,599 Speaker 1: So our wages and salaries cost for this fineinancial year 135 00:07:01,160 --> 00:07:04,839 Speaker 1: was two million, five hundred and fifty two thousand, nine 136 00:07:04,960 --> 00:07:07,560 Speaker 1: hundred and ninety two dollars. 137 00:07:08,839 --> 00:07:14,400 Speaker 2: Sander's mouth is just dropping to the floor. And do 138 00:07:14,440 --> 00:07:15,720 Speaker 2: you want to know what's funny? 139 00:07:16,400 --> 00:07:18,560 Speaker 1: Like that's mind blowing that we've done two and a 140 00:07:18,600 --> 00:07:21,600 Speaker 1: half million dollars in wages just in one year, in 141 00:07:21,760 --> 00:07:26,920 Speaker 1: twelve months, And I'm actually like that scares the shit 142 00:07:27,000 --> 00:07:29,920 Speaker 1: out of me to look at it in full, but 143 00:07:30,280 --> 00:07:32,480 Speaker 1: it also makes me really proud of myself. 144 00:07:32,680 --> 00:07:34,120 Speaker 2: And I'll tell you why. 145 00:07:34,240 --> 00:07:37,880 Speaker 1: It's because looking at that number, it makes me think 146 00:07:37,960 --> 00:07:41,280 Speaker 1: back to when I hired my very very first employee. 147 00:07:41,320 --> 00:07:45,200 Speaker 1: And now, as everyone knows, I hired that first employee 148 00:07:45,200 --> 00:07:48,120 Speaker 1: to come and help me in the garage underneath my house. 149 00:07:48,440 --> 00:07:54,120 Speaker 1: It was AJ's mum's friend's daughter, so like family friend's daughter, right, 150 00:07:55,000 --> 00:07:58,640 Speaker 1: And it feels like yesterday that I was hiring her. 151 00:07:59,200 --> 00:08:02,840 Speaker 1: I'd never hire I had anyone. I'd never managed anyone 152 00:08:02,880 --> 00:08:05,080 Speaker 1: like I never even had a job where I was 153 00:08:05,120 --> 00:08:08,160 Speaker 1: like even a team fucking leader like I was on 154 00:08:08,200 --> 00:08:08,640 Speaker 1: the team. 155 00:08:08,800 --> 00:08:10,520 Speaker 2: I was never a leader. 156 00:08:11,280 --> 00:08:16,080 Speaker 1: And I so vividly remembered being so scared when I 157 00:08:16,120 --> 00:08:18,000 Speaker 1: was hiring her because that was going to be my 158 00:08:18,040 --> 00:08:22,239 Speaker 1: first time that I was paying anyone. And I remember 159 00:08:22,280 --> 00:08:24,280 Speaker 1: saying to AJ like, what if I don't have enough 160 00:08:24,280 --> 00:08:26,520 Speaker 1: money to pay her? Mind you, she was coming to 161 00:08:26,560 --> 00:08:30,400 Speaker 1: work with me casually, like two to three days a week. 162 00:08:30,800 --> 00:08:33,800 Speaker 1: So however many hundred dollars that was going to cost 163 00:08:33,840 --> 00:08:35,960 Speaker 1: me to hire her each or not to hire her 164 00:08:35,960 --> 00:08:37,280 Speaker 1: each week, but to have her come and. 165 00:08:37,240 --> 00:08:40,120 Speaker 2: Help me, Like I was petrified at the thought of, 166 00:08:40,200 --> 00:08:41,600 Speaker 2: you know, paying her I don't know. 167 00:08:41,520 --> 00:08:43,480 Speaker 1: Five hundred dollars a week or whatever it was back 168 00:08:43,520 --> 00:08:45,400 Speaker 1: then to come and work her two or three days. 169 00:08:46,040 --> 00:08:49,440 Speaker 1: And now we're paying two and a half million dollars 170 00:08:49,480 --> 00:08:55,200 Speaker 1: a year in wages, like it's fucking nothing. So that's 171 00:08:55,240 --> 00:08:58,959 Speaker 1: the first big cost, and it's a crazy one as well. 172 00:08:59,000 --> 00:09:02,160 Speaker 1: And I think it's really interesting as well, because when 173 00:09:02,360 --> 00:09:08,240 Speaker 1: I was an employee, I understandably I never saw anything 174 00:09:08,280 --> 00:09:11,360 Speaker 1: as a whole, you know, like and fair enough, because 175 00:09:11,400 --> 00:09:15,480 Speaker 1: it's not a staff member's responsibility to understand things as 176 00:09:15,520 --> 00:09:17,880 Speaker 1: a whole, like when you know, when you're working, like you've. 177 00:09:17,679 --> 00:09:20,720 Speaker 2: Got your wage and youth, you just think that. 178 00:09:21,280 --> 00:09:24,000 Speaker 1: But it's just really funny, I guess to reflect on 179 00:09:24,040 --> 00:09:25,680 Speaker 1: when I used to be an employee, and I would 180 00:09:25,720 --> 00:09:27,720 Speaker 1: just see what I would get paid every week or whatever. 181 00:09:27,840 --> 00:09:29,679 Speaker 1: But then to see it from a company perspective in 182 00:09:29,760 --> 00:09:33,560 Speaker 1: how much wages cost, like when you're paying a whole company, 183 00:09:33,600 --> 00:09:36,120 Speaker 1: it's just it's absolutely wild. 184 00:09:35,880 --> 00:09:37,640 Speaker 2: And that is an insane figure. 185 00:09:38,360 --> 00:09:46,800 Speaker 1: So that's a huge cost for us. 186 00:09:44,160 --> 00:09:45,719 Speaker 2: Our cost of goods. 187 00:09:46,160 --> 00:09:53,160 Speaker 1: So all of our stock, we we spent five million, 188 00:09:53,240 --> 00:09:56,760 Speaker 1: one hundred and ninety six thousand, one hundred and twenty 189 00:09:56,800 --> 00:10:06,760 Speaker 1: seven dollars and eighty three cents. You know, if you 190 00:10:06,840 --> 00:10:10,080 Speaker 1: add the cost of our stock and the cost of 191 00:10:10,120 --> 00:10:13,320 Speaker 1: the wages, you're looking at nearly eight million dollars alone 192 00:10:13,640 --> 00:10:14,080 Speaker 1: just on. 193 00:10:14,160 --> 00:10:17,760 Speaker 2: Wages and stock. It is expensive. 194 00:10:17,840 --> 00:10:20,640 Speaker 1: Now, this isn't to say, you know, I don't want 195 00:10:20,640 --> 00:10:23,000 Speaker 1: people to be like, oh my god, you know that's 196 00:10:23,080 --> 00:10:27,040 Speaker 1: too expensive, because obviously, if our costs are this high, 197 00:10:27,640 --> 00:10:29,920 Speaker 1: we are like quite a big business, you know what 198 00:10:29,960 --> 00:10:31,800 Speaker 1: I mean. And I really want to stress our costs 199 00:10:31,800 --> 00:10:34,920 Speaker 1: of not always been this high, like you know, I 200 00:10:34,920 --> 00:10:37,400 Speaker 1: should have done maybe like I can for another episode, 201 00:10:37,480 --> 00:10:40,079 Speaker 1: like compared it to like our profit and lost statement 202 00:10:40,160 --> 00:10:42,560 Speaker 1: from like five years ago. That would have been a 203 00:10:42,559 --> 00:10:46,199 Speaker 1: good one just to compare, because you know, if we're 204 00:10:46,200 --> 00:10:49,320 Speaker 1: spending five million dollars on stock at the moment in 205 00:10:49,559 --> 00:10:53,480 Speaker 1: a year, like I think years and years ago, there 206 00:10:53,559 --> 00:10:55,160 Speaker 1: might have been a time where I was spending two 207 00:10:55,280 --> 00:10:58,800 Speaker 1: hundred thousand dollars. So it's just grown as the company 208 00:10:58,800 --> 00:11:04,880 Speaker 1: has grown. Another massive expense for us is advertising. So 209 00:11:05,080 --> 00:11:07,920 Speaker 1: all of my Facebook ads that I always talk about 210 00:11:08,960 --> 00:11:14,720 Speaker 1: on advertising, we spend nine hundred and fifty six thousand, 211 00:11:16,480 --> 00:11:20,320 Speaker 1: three hundred and forty five dollars and fifty six cents 212 00:11:20,880 --> 00:11:24,200 Speaker 1: on ads. And that is a great one to talk 213 00:11:24,240 --> 00:11:25,880 Speaker 1: about because. 214 00:11:27,360 --> 00:11:28,400 Speaker 2: I've said this before. 215 00:11:29,280 --> 00:11:31,520 Speaker 1: The big businesses are the ones that spend the most 216 00:11:31,559 --> 00:11:35,320 Speaker 1: on advertising. But I think consumers wouldn't think that because 217 00:11:35,320 --> 00:11:37,880 Speaker 1: they think, oh, that's a big successful business, like they 218 00:11:37,880 --> 00:11:41,559 Speaker 1: don't need to spend money on advertising to gain new customers. 219 00:11:41,960 --> 00:11:44,600 Speaker 2: But that's like so so false. 220 00:11:44,960 --> 00:11:49,480 Speaker 1: We spend more because we want to find more customers. 221 00:11:50,200 --> 00:11:52,600 Speaker 1: So don't be fooled when you see like a big 222 00:11:52,640 --> 00:11:55,360 Speaker 1: brand on social media and think that like just because 223 00:11:55,400 --> 00:11:58,040 Speaker 1: you're a big brand, that you just must have customers 224 00:11:58,040 --> 00:11:59,760 Speaker 1: that just come and shop with you automatically and you 225 00:11:59,760 --> 00:12:02,880 Speaker 1: don't have to do any advertising. You absolutely do. The 226 00:12:02,880 --> 00:12:05,040 Speaker 1: bigger you get, the more advertising that you have to do. 227 00:12:05,120 --> 00:12:08,400 Speaker 1: For example, like Let's look at Apple as a company. 228 00:12:08,640 --> 00:12:11,280 Speaker 1: Look at how much advertising they do. Like you see 229 00:12:11,320 --> 00:12:15,080 Speaker 1: Apple advertised everywhere. But they're massive, and you think that 230 00:12:15,120 --> 00:12:18,680 Speaker 1: they just be fine, you know, having their customers organically 231 00:12:18,720 --> 00:12:21,920 Speaker 1: come to them. But I spend so much money on ads, 232 00:12:22,240 --> 00:12:26,360 Speaker 1: literally a million dollars a year that is freaking crazy. 233 00:12:28,720 --> 00:12:32,360 Speaker 1: Another random like there's even some more like random costs. 234 00:12:32,240 --> 00:12:33,640 Speaker 2: That surprise me. 235 00:12:34,080 --> 00:12:36,600 Speaker 1: And it's actually these little ones that I like to 236 00:12:36,640 --> 00:12:38,920 Speaker 1: take a closer look at to see, you know, do 237 00:12:38,960 --> 00:12:40,880 Speaker 1: we need to spend that much on that? For example, 238 00:12:40,960 --> 00:12:45,800 Speaker 1: cleaning thirty thousand dollars. We spend thirty thousand. 239 00:12:45,520 --> 00:12:48,640 Speaker 2: Dollars on cleaning in this financial year. 240 00:12:49,520 --> 00:12:53,840 Speaker 1: On models and content creators in twelve months, we spent 241 00:12:53,920 --> 00:12:57,440 Speaker 1: one hundred and thirteen thousand, three hundred and one dollars 242 00:12:57,480 --> 00:13:03,520 Speaker 1: and nineteen cents. I would say, like that's that's okay ish, 243 00:13:03,559 --> 00:13:05,880 Speaker 1: Like I'm kind of happy with that, if I'm being honest, 244 00:13:06,320 --> 00:13:08,760 Speaker 1: because we do quite a lot of photo shoots on 245 00:13:09,080 --> 00:13:13,720 Speaker 1: rent for our warehouse and our office and our retail stores. 246 00:13:14,200 --> 00:13:17,040 Speaker 1: In the year, we spent nine hundred and seventy seven 247 00:13:17,240 --> 00:13:22,240 Speaker 1: thousand dollars four hundred and fifteen point two seven so 248 00:13:22,440 --> 00:13:25,800 Speaker 1: a million dollars on rent, so we spend a lot 249 00:13:25,840 --> 00:13:28,280 Speaker 1: more on wages than we spend on rent. 250 00:13:28,480 --> 00:13:30,800 Speaker 3: I actually I thought rent was going to be way 251 00:13:30,840 --> 00:13:34,840 Speaker 3: more than that, so I'm actually I'm actually very happily 252 00:13:34,840 --> 00:13:36,439 Speaker 3: surprised at that figure. 253 00:13:37,080 --> 00:13:39,680 Speaker 2: So I think, like, I'm happy with that as well. 254 00:13:39,760 --> 00:13:41,880 Speaker 1: I mean, if there was any cost that I'd love 255 00:13:41,960 --> 00:13:44,400 Speaker 1: to lower, of course it would be rent. You know, 256 00:13:44,520 --> 00:13:47,199 Speaker 1: I can't go saying oh, I would love to reduce 257 00:13:47,320 --> 00:13:51,000 Speaker 1: our salary costs because then we'd be losing staff members. 258 00:13:51,000 --> 00:13:52,960 Speaker 1: But when it comes to rent, sure, i'd love for 259 00:13:53,000 --> 00:13:55,960 Speaker 1: it to be less. In saying that, like nine hundred 260 00:13:56,000 --> 00:13:58,640 Speaker 1: and seventy seven grand a year, Yeah, it's a fucking 261 00:13:58,720 --> 00:13:59,679 Speaker 1: lot of money, but. 262 00:13:59,640 --> 00:14:00,480 Speaker 2: I'm with that. 263 00:14:00,640 --> 00:14:04,280 Speaker 1: And I think if I was based in Sydney and 264 00:14:04,360 --> 00:14:07,480 Speaker 1: our office and warehouse was based in Sydney, that would 265 00:14:07,520 --> 00:14:11,320 Speaker 1: be a way higher figure. Because I know people who 266 00:14:11,800 --> 00:14:15,280 Speaker 1: rent like offices and warehouses and they're over five hundred 267 00:14:15,320 --> 00:14:18,000 Speaker 1: thousand dollars a year just for like the one building alone, 268 00:14:18,000 --> 00:14:21,920 Speaker 1: because they're in like bigger cities. So whilst Newcastle is 269 00:14:21,960 --> 00:14:25,360 Speaker 1: still like expensive and like nothing is cheap or affordable, 270 00:14:25,720 --> 00:14:28,440 Speaker 1: I know for a fact that commercial rent in Newcastle 271 00:14:28,560 --> 00:14:31,360 Speaker 1: is obviously going to be more affordable than you know, 272 00:14:31,480 --> 00:14:32,640 Speaker 1: if you were in a big. 273 00:14:32,440 --> 00:14:35,680 Speaker 2: City like Sydney. So I'm kind of happy with that. 274 00:14:35,760 --> 00:14:38,400 Speaker 1: I mean, I'd love to spend less on rent, but 275 00:14:38,440 --> 00:14:41,040 Speaker 1: I'm glad you're happy with that one too, Xander. On 276 00:14:41,200 --> 00:14:44,200 Speaker 1: subscriptions for the year, we spent one hundred and sixty 277 00:14:44,240 --> 00:14:46,920 Speaker 1: six thousand dollars. Do I need to tell you all 278 00:14:46,920 --> 00:14:48,960 Speaker 1: the acts, like one hundred and sixty six thousand, three 279 00:14:49,040 --> 00:14:51,960 Speaker 1: hundred and sixty one and fifty six cents. 280 00:14:52,120 --> 00:14:53,840 Speaker 2: So subscriptions would be like. 281 00:14:54,160 --> 00:14:58,960 Speaker 1: All of our platforms that we have, our Shopify subscription, 282 00:15:00,160 --> 00:15:03,320 Speaker 1: like our team apps that we have to use to communicate, 283 00:15:03,720 --> 00:15:10,000 Speaker 1: our Miller Note subscription, We've got a bunch of Spotify accounts. 284 00:15:10,360 --> 00:15:12,840 Speaker 1: All that kind of stuff equals to be one hundred 285 00:15:12,840 --> 00:15:15,360 Speaker 1: and sixty six thousand dollars a year. 286 00:15:15,600 --> 00:15:18,960 Speaker 3: What one of those subscriptions costs you the most? 287 00:15:19,200 --> 00:15:24,920 Speaker 1: Oh, maybe like our shipping platform I would say, like 288 00:15:25,000 --> 00:15:29,040 Speaker 1: those like warehouse platforms that we have and like Shopify, 289 00:15:29,720 --> 00:15:32,640 Speaker 1: I would say, like they're the big ticket. Once speaking 290 00:15:32,680 --> 00:15:34,520 Speaker 1: of shipping, let's take a look how much have we 291 00:15:34,560 --> 00:15:38,400 Speaker 1: spent on shipping in a year? Take a guest stander, 292 00:15:38,520 --> 00:15:41,440 Speaker 1: based off everything that I've told you, how much do 293 00:15:41,480 --> 00:15:44,600 Speaker 1: you think we have spent on shipping out our parcels in. 294 00:15:44,560 --> 00:15:46,480 Speaker 2: The year based on all the other costs. 295 00:15:46,680 --> 00:15:50,360 Speaker 3: I'm really bad at guessing this stuff, but I'm just 296 00:15:50,440 --> 00:15:56,680 Speaker 3: going to say, for shipping five hundred thousand, wrong, is it? Am? 297 00:15:56,720 --> 00:15:57,480 Speaker 3: I am? I close? 298 00:15:57,840 --> 00:16:03,160 Speaker 2: No, it's one point it's one point six million, Chase's christ. 299 00:16:03,960 --> 00:16:07,560 Speaker 1: It's one point six two four million and five hundred 300 00:16:07,600 --> 00:16:09,400 Speaker 1: dollars and twenty seven cents. 301 00:16:10,280 --> 00:16:11,960 Speaker 2: And what's crazy is. 302 00:16:13,480 --> 00:16:17,240 Speaker 1: Like we offer free shipping on orders over one hundred 303 00:16:17,280 --> 00:16:22,080 Speaker 1: and fifty dollars, and our average order is usually above 304 00:16:22,120 --> 00:16:25,400 Speaker 1: one hundred and fifty dollars, which means we choose to 305 00:16:25,440 --> 00:16:26,040 Speaker 1: then pay. 306 00:16:26,560 --> 00:16:29,479 Speaker 2: So looking at that one point six million. 307 00:16:30,120 --> 00:16:33,320 Speaker 1: Like, if someone doesn't meet our free shipping quota, they're 308 00:16:33,320 --> 00:16:35,320 Speaker 1: obviously going to be like paying for a. 309 00:16:35,280 --> 00:16:36,480 Speaker 2: Portion of their shipping. 310 00:16:36,960 --> 00:16:40,080 Speaker 1: But it's a huge bloody cost one point six million 311 00:16:40,080 --> 00:16:42,680 Speaker 1: dollars in a year we have spent on shipping our 312 00:16:42,760 --> 00:16:45,080 Speaker 1: parcels out to all of our customers. 313 00:16:45,320 --> 00:16:48,360 Speaker 3: See iony was when you said shipping, Iony thought for 314 00:16:48,440 --> 00:16:51,680 Speaker 3: some reason like it being shipped over or flown over 315 00:16:51,840 --> 00:16:52,360 Speaker 3: from ah. 316 00:16:52,400 --> 00:16:55,840 Speaker 1: Yeah, yeaching, No, this is like shipping as a whole, 317 00:16:55,960 --> 00:16:59,120 Speaker 1: but yeah, ship main the main that would also include 318 00:16:59,160 --> 00:17:02,640 Speaker 1: like incoming free, but like the main bulk of that 319 00:17:02,760 --> 00:17:05,760 Speaker 1: money would be us sending our parcels out to our customers. 320 00:17:06,960 --> 00:17:10,040 Speaker 2: Entertainment. We've got twelve thousand dollars. 321 00:17:10,280 --> 00:17:13,760 Speaker 1: I don't actually know what falls into that category, just 322 00:17:14,480 --> 00:17:19,639 Speaker 1: entertaining things, dinners and stuff like that, like staff, dinners, printing, 323 00:17:19,680 --> 00:17:23,280 Speaker 1: and stationary six thousand and sixty five dollars. I feel 324 00:17:23,280 --> 00:17:26,960 Speaker 1: like that's quite low, considering like we do go through 325 00:17:27,040 --> 00:17:30,080 Speaker 1: quite a lot of paper repairs and maintenance. We spent 326 00:17:30,320 --> 00:17:33,359 Speaker 1: thirty nine thousand, two hundred and ninety four dollars and 327 00:17:34,160 --> 00:17:37,240 Speaker 1: ninety four cents for general repairs and maintenance of like 328 00:17:37,320 --> 00:17:42,720 Speaker 1: our stores or office, telephone and internet. So just like 329 00:17:42,760 --> 00:17:46,600 Speaker 1: to have fucking internet twelve thousand, six hundred and fifty 330 00:17:46,600 --> 00:17:50,520 Speaker 1: two dollars, which is that's it seems steep. 331 00:17:50,280 --> 00:17:51,719 Speaker 2: You know, to just have Wi Fi. 332 00:17:52,240 --> 00:17:55,159 Speaker 1: But we do have so many Wi Fi connections, like 333 00:17:55,440 --> 00:17:57,359 Speaker 1: in all of our stores and a warehouse and the 334 00:17:57,400 --> 00:18:02,080 Speaker 1: office and everything for national travel because we travel around 335 00:18:02,200 --> 00:18:06,120 Speaker 1: quite a lot, having stores kind of in three different states. 336 00:18:06,640 --> 00:18:08,120 Speaker 2: And here's this is a good one. 337 00:18:08,160 --> 00:18:11,680 Speaker 1: Actually, one hundred and seventy two thousand dollars. 338 00:18:11,960 --> 00:18:15,480 Speaker 2: I want to look into that. I want to look 339 00:18:15,520 --> 00:18:16,280 Speaker 2: into that. 340 00:18:16,280 --> 00:18:19,359 Speaker 3: That's so much money that is for a year of 341 00:18:19,440 --> 00:18:20,359 Speaker 3: national flights. 342 00:18:20,720 --> 00:18:22,720 Speaker 1: Yeah, and like this is the other thing as well, 343 00:18:22,760 --> 00:18:25,960 Speaker 1: where we've got this amazing community who does ask us, 344 00:18:26,160 --> 00:18:27,719 Speaker 1: you know, open here, open there? 345 00:18:27,920 --> 00:18:29,960 Speaker 2: But like there's so much. 346 00:18:29,760 --> 00:18:31,240 Speaker 1: And I know I say this all the time in 347 00:18:31,280 --> 00:18:33,920 Speaker 1: our episode, Zander, but there's so much that goes into 348 00:18:33,960 --> 00:18:36,720 Speaker 1: owning a store in a different city. It's not just 349 00:18:37,400 --> 00:18:40,480 Speaker 1: worrying about, you know, the roster for the day and 350 00:18:40,520 --> 00:18:42,800 Speaker 1: what if everyone calls in sick. It's like how much 351 00:18:42,840 --> 00:18:46,960 Speaker 1: it costs to keep that thing going flying around. 352 00:18:46,640 --> 00:18:47,240 Speaker 2: All the time. 353 00:18:48,760 --> 00:18:51,080 Speaker 1: Like, yeah, that's I'm going to actually look into that. 354 00:18:51,160 --> 00:18:53,760 Speaker 1: I'm glad that I've gone through this because I'm I mean, 355 00:18:54,520 --> 00:18:56,879 Speaker 1: I'm sure in like a month, we'll be meeting with 356 00:18:56,960 --> 00:19:00,199 Speaker 1: our accountant to go through this anyway, which is what 357 00:19:00,240 --> 00:19:02,080 Speaker 1: you do. Like you meet up with your accountent, you 358 00:19:02,160 --> 00:19:04,800 Speaker 1: go through everything, and he'll flag to us like these 359 00:19:04,840 --> 00:19:06,240 Speaker 1: are areas that you need to look at. But that 360 00:19:06,280 --> 00:19:09,240 Speaker 1: one in particular, one hundred and seventy two grand for 361 00:19:09,480 --> 00:19:13,520 Speaker 1: national travel I'm going to look into that because that 362 00:19:13,640 --> 00:19:16,920 Speaker 1: seems real steep, but I'm also not surprised another one 363 00:19:17,359 --> 00:19:21,000 Speaker 1: work events and photo shoots one hundred and twenty five, 364 00:19:21,560 --> 00:19:25,240 Speaker 1: nine hundred and thirty one dollars Work events and photo 365 00:19:25,280 --> 00:19:28,200 Speaker 1: shoots one hundred and twenty five, nine hundred and thirty 366 00:19:28,240 --> 00:19:31,800 Speaker 1: one dollars. Like these numbers are absolutely insane, and I 367 00:19:31,800 --> 00:19:32,960 Speaker 1: also want to say. 368 00:19:32,920 --> 00:19:34,439 Speaker 2: I don't want again. 369 00:19:34,520 --> 00:19:36,440 Speaker 1: This comes back to like being a woman and talking 370 00:19:36,520 --> 00:19:39,760 Speaker 1: about money, and like, as I'm saying all of this, 371 00:19:40,359 --> 00:19:44,000 Speaker 1: I'm picturing for some reason people going, oh, she's she's 372 00:19:44,080 --> 00:19:46,560 Speaker 1: bragging about being able to spend this much. But I'm 373 00:19:46,680 --> 00:19:50,119 Speaker 1: just sharing this to be fully transparent and also to 374 00:19:50,240 --> 00:19:55,000 Speaker 1: normalize conversations around costs and money and running a business. 375 00:19:55,440 --> 00:19:57,639 Speaker 1: But work events and photo shoots one hundred and twenty 376 00:19:57,640 --> 00:20:03,359 Speaker 1: five thousand, For example, we did our Fate Lucky seven 377 00:20:04,280 --> 00:20:06,520 Speaker 1: brand trip, which cost a lot of money, so that 378 00:20:06,560 --> 00:20:10,640 Speaker 1: would be within that cost, and we also hosted a 379 00:20:10,720 --> 00:20:14,280 Speaker 1: massive community event that night, which I think ended up 380 00:20:14,320 --> 00:20:17,520 Speaker 1: costing around thirty thousand dollars for the one night. 381 00:20:17,880 --> 00:20:18,680 Speaker 2: Which is crazy. 382 00:20:18,920 --> 00:20:22,960 Speaker 1: So it's just amazing how quickly these expenses can add up. 383 00:20:23,359 --> 00:20:25,840 Speaker 1: And we want to do more and more events, like 384 00:20:25,880 --> 00:20:28,400 Speaker 1: we love doing the Lucky Seven, which, if you don't 385 00:20:28,400 --> 00:20:31,600 Speaker 1: know what that is, seven customs. Seven random customers won 386 00:20:31,920 --> 00:20:34,640 Speaker 1: a trip with us for our seventh birthday, like an 387 00:20:34,640 --> 00:20:38,679 Speaker 1: influencer trip, but we just took customers instead and then 388 00:20:38,960 --> 00:20:42,919 Speaker 1: on their trip. We also hosted a big event for 389 00:20:43,000 --> 00:20:46,240 Speaker 1: our community, again just like a community and customer event, 390 00:20:46,800 --> 00:20:50,119 Speaker 1: and over two hundred people came, and that event alone 391 00:20:50,320 --> 00:20:53,840 Speaker 1: cost around thirty thousand dollars for the one night, like 392 00:20:53,920 --> 00:20:56,040 Speaker 1: it may as well have been a wedding AJ and 393 00:20:56,080 --> 00:20:59,000 Speaker 1: I should have just tied they're not there and killed 394 00:20:59,040 --> 00:21:02,880 Speaker 1: two birds with one stone, but it's just absolutely crazy. 395 00:21:04,320 --> 00:21:07,800 Speaker 1: We've also got seventy thousand, four hundred and sixty one 396 00:21:07,840 --> 00:21:13,520 Speaker 1: dollars and forty five cents in warehouse equipment purchases, so 397 00:21:13,560 --> 00:21:16,800 Speaker 1: that's just buying anything and everything that we need for 398 00:21:16,840 --> 00:21:20,040 Speaker 1: the warehouse. And when you're a business, you don't really 399 00:21:20,400 --> 00:21:22,359 Speaker 1: just get to a point where you've got everything that 400 00:21:22,400 --> 00:21:26,840 Speaker 1: you need. You're just constantly needing to purchase new things 401 00:21:26,920 --> 00:21:29,280 Speaker 1: to maybe lay the warehouse out a little bit better. 402 00:21:29,560 --> 00:21:33,000 Speaker 1: We moved warehouse within this financial year and we needed 403 00:21:33,040 --> 00:21:35,920 Speaker 1: to get all new big industrial racking, like I think 404 00:21:35,920 --> 00:21:40,000 Speaker 1: that ended up being twenty thousand and something dollars. When 405 00:21:40,040 --> 00:21:46,560 Speaker 1: we're buying more storage tubs, just anything like printers, forklifts, 406 00:21:46,600 --> 00:21:48,840 Speaker 1: like they're really expensive. We've got two of those, We're 407 00:21:48,880 --> 00:21:52,240 Speaker 1: about to buy a third one. So those warehouse equipment 408 00:21:52,280 --> 00:21:56,439 Speaker 1: purchases just keep getting higher and higher, and it's. 409 00:21:56,480 --> 00:21:57,760 Speaker 2: It's absolutely crazy. 410 00:21:58,160 --> 00:22:04,560 Speaker 1: We've got office expenses sixty one thousand. This is making 411 00:22:04,600 --> 00:22:07,480 Speaker 1: me spireal reading it all like this, and it's very 412 00:22:07,520 --> 00:22:11,840 Speaker 1: confronting because obviously, especially if you own a business, you know, 413 00:22:11,960 --> 00:22:13,919 Speaker 1: you're never seeing things in the full picture like this 414 00:22:14,040 --> 00:22:16,040 Speaker 1: until you look at it this way. You know, if 415 00:22:16,080 --> 00:22:18,960 Speaker 1: you're just going day to day or week to week 416 00:22:19,359 --> 00:22:22,800 Speaker 1: and your business, you know, just has expenses happening all 417 00:22:22,840 --> 00:22:24,800 Speaker 1: the time, you don't think of it in the big 418 00:22:24,840 --> 00:22:26,800 Speaker 1: picture of like how much this is going to cost 419 00:22:27,359 --> 00:22:29,919 Speaker 1: across a year. So to look at a profit and 420 00:22:29,960 --> 00:22:34,480 Speaker 1: loss for almost a year, it's actually so crazy and confronting, 421 00:22:34,600 --> 00:22:38,280 Speaker 1: but also very insightful. 422 00:22:38,600 --> 00:22:40,000 Speaker 2: And this is. 423 00:22:39,960 --> 00:22:44,119 Speaker 1: More AJ's job. I had to ask his permission, like 424 00:22:44,200 --> 00:22:47,160 Speaker 1: can I read this out? And he was like, yeah, 425 00:22:47,160 --> 00:22:50,119 Speaker 1: I don't see why not, but I feel inspired to 426 00:22:50,280 --> 00:22:52,919 Speaker 1: like look more closely at our numbers and see, like, 427 00:22:53,520 --> 00:22:55,320 Speaker 1: you know, where we are spending a little bit too 428 00:22:55,400 --> 00:22:57,720 Speaker 1: much money, and how we can look at saving money 429 00:22:57,800 --> 00:23:00,560 Speaker 1: so that our profit can be higher. We've got higher 430 00:23:00,640 --> 00:23:03,920 Speaker 1: of equipment nine thousand, two hundred and ninety five dollars. 431 00:23:04,080 --> 00:23:05,919 Speaker 1: There's been a few times where we've had to hire 432 00:23:06,359 --> 00:23:09,120 Speaker 1: cherry pickers to get up to the roof of the warehouse. 433 00:23:09,640 --> 00:23:11,920 Speaker 2: We've had to like hire different forklifts. 434 00:23:11,960 --> 00:23:14,760 Speaker 1: I think, like again, there's just like another little cost 435 00:23:14,800 --> 00:23:17,440 Speaker 1: that I guess when you start a business, you never 436 00:23:17,480 --> 00:23:20,080 Speaker 1: think that one day you might be paying ten thousand 437 00:23:20,160 --> 00:23:22,200 Speaker 1: dollars a year to hire things. 438 00:23:22,240 --> 00:23:24,679 Speaker 2: You know. It's just all those little hidden costs. 439 00:23:24,720 --> 00:23:30,320 Speaker 1: And I'd say, whilst we've we've gone through all the 440 00:23:30,320 --> 00:23:33,600 Speaker 1: big ones, there's so many little ones on here as well. 441 00:23:33,760 --> 00:23:39,000 Speaker 1: Bank fees five nine hundred dollars, We've got charity donations, 442 00:23:39,400 --> 00:23:47,720 Speaker 1: designs and prints, general expenses. Insurance or insurance sixty four thousand, 443 00:23:48,040 --> 00:23:55,320 Speaker 1: two hundred and twenty seven dollars. Fuck insurance, Honestly, obviously 444 00:23:55,760 --> 00:23:58,920 Speaker 1: you need to have insurance when you're a business, or 445 00:23:59,000 --> 00:24:01,680 Speaker 1: like home insurance whatever. You know, what if there's one 446 00:24:01,920 --> 00:24:03,280 Speaker 1: cost that I could get rid of it would be 447 00:24:03,359 --> 00:24:08,200 Speaker 1: fucking insurance because whoever started insurance companies is a genius, 448 00:24:08,520 --> 00:24:11,560 Speaker 1: because it's like, we will ensure you in case anything 449 00:24:11,680 --> 00:24:15,200 Speaker 1: goes wrong, but if nothing goes wrong, you just pay 450 00:24:15,280 --> 00:24:16,200 Speaker 1: us heaps of money. 451 00:24:16,400 --> 00:24:17,919 Speaker 2: Like it's just, oh, I hate it. 452 00:24:17,960 --> 00:24:20,480 Speaker 1: But I feel the same about like car insurance and everything, 453 00:24:20,880 --> 00:24:22,560 Speaker 1: because it's like one of the odds of something actually 454 00:24:22,600 --> 00:24:24,280 Speaker 1: going wrong, but then I need it there just in 455 00:24:24,320 --> 00:24:25,480 Speaker 1: case something goes wrong. 456 00:24:26,800 --> 00:24:28,320 Speaker 2: I mean I could go on forever. 457 00:24:29,359 --> 00:24:32,920 Speaker 1: There's lots of little tiny like two thousand dollars expenses, 458 00:24:32,960 --> 00:24:36,560 Speaker 1: three thousand dollars trial staff payments. 459 00:24:36,640 --> 00:24:38,120 Speaker 2: We've got a small payment. 460 00:24:37,760 --> 00:24:39,960 Speaker 1: Of there, just under one thousand dollars because we pay 461 00:24:40,000 --> 00:24:43,919 Speaker 1: for all of our our trials shifts. I don't know 462 00:24:44,000 --> 00:24:48,320 Speaker 1: if if anyone else does that, but that's another thing 463 00:24:48,359 --> 00:24:50,040 Speaker 1: that we pay for. Like even if someone's just coming 464 00:24:50,040 --> 00:24:51,560 Speaker 1: in to do like a you know, little one hour 465 00:24:51,640 --> 00:24:53,720 Speaker 1: trial kind of thing, we always just pay because it 466 00:24:53,760 --> 00:24:56,119 Speaker 1: just feels like the right thing to do. But in 467 00:24:56,119 --> 00:25:01,560 Speaker 1: a nutshell, this has been absolutely over whelming, but I 468 00:25:01,560 --> 00:25:04,680 Speaker 1: think it's been good to get it out there and 469 00:25:05,000 --> 00:25:08,520 Speaker 1: share with you just some of the realities of how 470 00:25:08,560 --> 00:25:10,360 Speaker 1: expensive it is to run a big business. 471 00:25:14,800 --> 00:25:19,199 Speaker 3: If you could for next financial year focused on an 472 00:25:19,240 --> 00:25:22,640 Speaker 3: area to save more money, what would that area be, 473 00:25:22,680 --> 00:25:23,600 Speaker 3: What would that focus be. 474 00:25:25,960 --> 00:25:30,560 Speaker 1: It's tricky because, like looking at all these categories that 475 00:25:30,560 --> 00:25:33,840 Speaker 1: we've gone through today, they're all things that we absolutely 476 00:25:33,920 --> 00:25:35,440 Speaker 1: need to keep the business going. 477 00:25:35,840 --> 00:25:38,359 Speaker 2: Like, so there's nowhere I definitely want. 478 00:25:38,200 --> 00:25:39,920 Speaker 1: To look into the national travel because that one hundred 479 00:25:39,920 --> 00:25:41,760 Speaker 1: and seventy grand has really thrown me off, Like I 480 00:25:41,800 --> 00:25:43,360 Speaker 1: want to look into that a little bit closer, because 481 00:25:43,359 --> 00:25:46,320 Speaker 1: these are all just like put in like headline categories. 482 00:25:46,359 --> 00:25:49,080 Speaker 1: It's not like broken down or whatever. So I definitely 483 00:25:49,160 --> 00:25:51,480 Speaker 1: want to look into that. Although we do fly around 484 00:25:51,480 --> 00:25:53,679 Speaker 1: a lot, like we did our model search, we opened 485 00:25:53,720 --> 00:25:56,160 Speaker 1: a store, happened a store, Yeah, we opened a store 486 00:25:56,200 --> 00:25:59,080 Speaker 1: within this financial year, So I do want to look 487 00:25:59,080 --> 00:26:00,720 Speaker 1: into that cause that's kind of alarming to me. 488 00:26:01,840 --> 00:26:03,840 Speaker 2: But I mean, looking at at this as. 489 00:26:03,720 --> 00:26:07,840 Speaker 1: A whole, there's nothing really that we can look at 490 00:26:07,960 --> 00:26:12,880 Speaker 1: and cut down on because everything that we're paying for, 491 00:26:13,000 --> 00:26:16,280 Speaker 1: it's stuff that we genuinely need, Like we need all 492 00:26:16,320 --> 00:26:18,919 Speaker 1: of the team members that we have to run the 493 00:26:18,960 --> 00:26:22,560 Speaker 1: operations of the business. But like one thing that we 494 00:26:22,640 --> 00:26:25,160 Speaker 1: already do kind of thing when it comes to wages, 495 00:26:25,640 --> 00:26:28,960 Speaker 1: is like, especially like within our retail stores, is we're 496 00:26:29,000 --> 00:26:31,720 Speaker 1: really mindful with you know, how we roster and we 497 00:26:31,880 --> 00:26:35,320 Speaker 1: over rostering anywhere because all those little days where you've 498 00:26:35,320 --> 00:26:39,600 Speaker 1: probably got too many people on or people working too long, 499 00:26:39,680 --> 00:26:41,640 Speaker 1: if that makes sense, Like obviously if you've got someone 500 00:26:41,680 --> 00:26:43,159 Speaker 1: there all day and then you've got people coming in 501 00:26:43,160 --> 00:26:45,080 Speaker 1: for a lunch cover, like you look at the little 502 00:26:45,080 --> 00:26:47,239 Speaker 1: things like how long is that lunch cover shift? Does 503 00:26:47,280 --> 00:26:49,639 Speaker 1: it need to be five hours? Can it be three? 504 00:26:50,280 --> 00:26:53,639 Speaker 1: Looking at little things like that can like make a 505 00:26:53,720 --> 00:26:56,320 Speaker 1: huge difference when it comes to a whole. 506 00:26:56,119 --> 00:26:57,400 Speaker 2: Year's worth of costs. 507 00:26:57,560 --> 00:26:59,600 Speaker 1: So it's one way that we can look at our 508 00:26:59,640 --> 00:27:02,800 Speaker 1: wages is just closely looking at our rosters, especially for 509 00:27:02,880 --> 00:27:09,280 Speaker 1: casual employees. But I mean there's nowhere else where I 510 00:27:09,320 --> 00:27:13,399 Speaker 1: can really reduce costs because like our rent is the 511 00:27:13,400 --> 00:27:17,480 Speaker 1: rent price, our shipping is the shipping price, you know, 512 00:27:17,760 --> 00:27:21,800 Speaker 1: And that's kind of I guess one of the downfalls 513 00:27:21,960 --> 00:27:24,359 Speaker 1: of business is there's only so much you can do 514 00:27:24,480 --> 00:27:28,600 Speaker 1: to save on costs without I guess, downsizing your business. 515 00:27:28,640 --> 00:27:31,480 Speaker 1: You know, if I decided this is all fucking way 516 00:27:31,520 --> 00:27:33,600 Speaker 1: too expensive, you would have to look at actually just 517 00:27:33,760 --> 00:27:37,080 Speaker 1: downsizing the business as a whole, having less stores, having 518 00:27:37,160 --> 00:27:41,520 Speaker 1: less staff, so that those you know, wages would come down, 519 00:27:41,600 --> 00:27:43,359 Speaker 1: the rent would come down because we wouldn't have so 520 00:27:43,440 --> 00:27:46,360 Speaker 1: many stores. But then you're looking at less revenue. So 521 00:27:46,560 --> 00:27:50,280 Speaker 1: it's just like the gamble that you take when you 522 00:27:50,320 --> 00:27:52,119 Speaker 1: want to grow bigger and bigger. I've said this a 523 00:27:52,119 --> 00:27:54,320 Speaker 1: million times on the pod. The bigger and bigger a 524 00:27:54,359 --> 00:27:56,800 Speaker 1: business gets, the more stress that gets added to your life, 525 00:27:57,080 --> 00:27:59,680 Speaker 1: and the higher the costs become. It's like the price 526 00:27:59,720 --> 00:28:03,560 Speaker 1: that you pay for success. I guess I hope people 527 00:28:03,560 --> 00:28:07,040 Speaker 1: have enjoyed hearing some of the true costs of running Fate, 528 00:28:07,160 --> 00:28:09,840 Speaker 1: and I hope I'm not like overly exposing myself here 529 00:28:09,840 --> 00:28:14,480 Speaker 1: by sharing our financial details in a bit more detail 530 00:28:14,520 --> 00:28:17,080 Speaker 1: than most people would. But I think it's great to 531 00:28:17,080 --> 00:28:24,119 Speaker 1: be transparent and speak openly about money, and as a woman, 532 00:28:24,720 --> 00:28:28,399 Speaker 1: I feel empowered to do so. Don't let any of 533 00:28:28,400 --> 00:28:30,440 Speaker 1: these numbers scare you, by the way, especially if you're 534 00:28:30,480 --> 00:28:33,080 Speaker 1: just starting out in your business journey. I know for 535 00:28:33,160 --> 00:28:35,240 Speaker 1: a fact, if I went back to myself at the beginning, 536 00:28:35,240 --> 00:28:37,840 Speaker 1: who was too scared to hire my first employee, and 537 00:28:37,920 --> 00:28:40,720 Speaker 1: I said, one day, you're going to be paying over 538 00:28:40,760 --> 00:28:44,600 Speaker 1: two million dollars a year in wages and salaries, I 539 00:28:44,640 --> 00:28:47,880 Speaker 1: would have dropped fucking dead and said no way. But 540 00:28:47,960 --> 00:28:50,040 Speaker 1: you've got to remember, I've been in this game for 541 00:28:50,120 --> 00:28:53,320 Speaker 1: nearly eight years, and we've grown a lot in those 542 00:28:53,360 --> 00:28:55,440 Speaker 1: eight years. It's not like all of a sudden, overnight 543 00:28:55,520 --> 00:28:57,280 Speaker 1: I had to pay two and a half million dollars 544 00:28:57,280 --> 00:28:57,880 Speaker 1: in wages. 545 00:28:57,920 --> 00:29:00,120 Speaker 2: It has happened over the last eight years. 546 00:29:00,320 --> 00:29:04,080 Speaker 1: And that is all because of me, because I've been 547 00:29:04,080 --> 00:29:06,200 Speaker 1: the one to decide that I want this business to 548 00:29:06,240 --> 00:29:10,240 Speaker 1: become bigger and bigger. As always, I'm going to end 549 00:29:10,280 --> 00:29:14,280 Speaker 1: today's episode with a tip of the week, and it's 550 00:29:14,360 --> 00:29:18,000 Speaker 1: actually a quote that I saw and I don't know 551 00:29:18,040 --> 00:29:20,600 Speaker 1: it exactly because I saw it on Instagram, but it 552 00:29:20,640 --> 00:29:22,960 Speaker 1: was something along the lines of this, right, and it's 553 00:29:23,000 --> 00:29:26,480 Speaker 1: a great quote to remind yourself of if you're ever 554 00:29:26,920 --> 00:29:30,920 Speaker 1: feeling like stressed out or challenged in your role or 555 00:29:31,080 --> 00:29:36,400 Speaker 1: especially in your business, what a privilege it is to 556 00:29:36,520 --> 00:29:41,480 Speaker 1: feel challenged in a pursuit of your own choosing boom 557 00:29:41,800 --> 00:29:44,080 Speaker 1: so like, for example, just to like put it into 558 00:29:44,120 --> 00:29:47,560 Speaker 1: perspective when I'm feeling stressed out at work, like something's 559 00:29:47,600 --> 00:29:49,640 Speaker 1: going on and I'm going home and I'm laying in 560 00:29:49,680 --> 00:29:53,120 Speaker 1: bed at night, and I'm stressing out about something that's 561 00:29:53,160 --> 00:29:55,600 Speaker 1: happening at work, and I'm like dealing with a situation 562 00:29:55,720 --> 00:29:58,760 Speaker 1: or whatever. Like I need to remind myself and especially 563 00:29:58,840 --> 00:30:01,640 Speaker 1: us as business owners, like, what a privilege it is 564 00:30:01,800 --> 00:30:05,960 Speaker 1: for us to feel stressed in a scenario that we 565 00:30:06,040 --> 00:30:09,800 Speaker 1: have chosen to build for ourselves, you know. And I 566 00:30:09,880 --> 00:30:13,080 Speaker 1: just saw that quote and I absolutely loved it. Whilst yes, 567 00:30:13,120 --> 00:30:18,560 Speaker 1: it's frustrating to be feeling challenged or stressed, I as 568 00:30:18,560 --> 00:30:21,360 Speaker 1: a business owner, am so glad that, you know, me 569 00:30:21,480 --> 00:30:25,040 Speaker 1: being stressed out is within fate that I've decided to build. 570 00:30:25,000 --> 00:30:25,600 Speaker 2: On my own. 571 00:30:25,760 --> 00:30:27,880 Speaker 1: So I just thought I would share that little quote 572 00:30:27,920 --> 00:30:31,320 Speaker 1: and maybe you'll find it useful if you're ever feeling 573 00:30:31,840 --> 00:30:35,720 Speaker 1: challenged within your business. What a privilege it is that 574 00:30:35,800 --> 00:30:38,680 Speaker 1: you're feeling challenged in a pursuit that you set out 575 00:30:38,760 --> 00:30:44,080 Speaker 1: for yourself. But anyway, that's everything for today's episode, feeling 576 00:30:44,120 --> 00:30:45,800 Speaker 1: on how I need to take a mental break after 577 00:30:45,800 --> 00:30:48,600 Speaker 1: reading all those numbers, and I'm actually really really looking 578 00:30:48,640 --> 00:30:50,800 Speaker 1: forward to going and seeing my accountants soon like we 579 00:30:50,840 --> 00:30:53,720 Speaker 1: do at the end of every financial year, and going 580 00:30:53,760 --> 00:30:57,600 Speaker 1: through this in detail, and I'd love to look at 581 00:30:57,640 --> 00:31:00,000 Speaker 1: saving some costs, and hey, maybe I'll do a bone 582 00:31:00,200 --> 00:31:02,520 Speaker 1: episode follow up in the new financial year of how 583 00:31:02,560 --> 00:31:06,120 Speaker 1: that meeting went and if I was able to actually 584 00:31:06,640 --> 00:31:09,600 Speaker 1: look at any areas in detail as to where we 585 00:31:09,600 --> 00:31:12,000 Speaker 1: could save some money. And I'll let you know about 586 00:31:12,000 --> 00:31:14,600 Speaker 1: that national travel one, because that's the one that's standing 587 00:31:14,640 --> 00:31:18,440 Speaker 1: out to me. As always, feel free to rate our 588 00:31:18,520 --> 00:31:21,120 Speaker 1: podcast five stars if you haven't already, give us a 589 00:31:21,160 --> 00:31:24,640 Speaker 1: follow on Instagram Big Business Underscore Podcast and send us 590 00:31:24,640 --> 00:31:27,040 Speaker 1: a DM on there. If you have any questions for me, 591 00:31:27,080 --> 00:31:29,959 Speaker 1: any follow up questions for this episode, or maybe you 592 00:31:30,000 --> 00:31:32,719 Speaker 1: have a dilemma within your business or in your workplace, 593 00:31:33,080 --> 00:31:36,080 Speaker 1: send us a DM. We monitor those dms every day, 594 00:31:36,280 --> 00:31:39,800 Speaker 1: including producer Xander, and we have a massive collection of 595 00:31:39,800 --> 00:31:44,360 Speaker 1: everyone's questions that we've got waiting for episodes. But anyway, 596 00:31:45,200 --> 00:31:46,880 Speaker 1: that's it. I don't know why I keep dragging on 597 00:31:46,920 --> 00:31:48,960 Speaker 1: this outro. Xander is staring at me like, hurry the 598 00:31:48,960 --> 00:31:52,640 Speaker 1: fuck up. Remember to chase after your dreams as if 599 00:31:52,640 --> 00:31:59,880 Speaker 1: they owe you money.