277 - Planning Your Exit: Building a Business That Doesn’t Need You with Aaron Mills

Want to build a construction business that runs without you? In this episode, Aaron Mills shares how accurate financials and strategic systems can transform your company from owner-dependent to highly valuable and sellable. Learn how one electrical contractor grew from $30M to $90M in four years while the owner reduced his involvement from 60 hours to just a few hours per week.

What You’ll Learn

  • How to transform messy financials into strategic tools for growth

  • The importance of WIP schedules and how they reveal hidden profit opportunities

  • Why pricing increases often meet less resistance than you expect

  • How to strategically remove yourself from day-to-day operations

  • The exact systems needed to triple net profits while working less


Time Stamps

  • 00:55 - Episode Intro

  • 02:32  - Financial Resource Optimization

  • 04:15  - Challenges in Construction Financials

  • 05:29  - Case Study: Electrical Contractor

  • 06:48  - Growing Broke: Understanding Revenue Pillars

  • 14:21  - Controller vs CFO: Roles and Responsibilities

  • 22:25  - Exiting the Business and Personal Success Stories

  • 28:51  - Understanding the WIP Schedule

  • 31:41  - Dissecting the WIP Schedule

  • 36:03  - Training Project Managers

  • 44:28  - Challenges in Implementing WIP

  • 46:03  - The Importance of Systems

  • 49:16  - Daaxit’s Free Strategy Session

  • 50:30  - Core Values and Asking for Help

  • 50:55  - The Story Behind Daaxit

  • 51:47  - Episode Outro

Snippets from the Episode

  • "If your financials are on a roller coaster month to month—if you're making a whole bunch of money one month and losing a whole bunch the next—then your financials are inaccurate and you need some help."— Aaron Mills

  • "When you're going to sell your business, it's so much more attractive if you're not in the business running it every day. You want a business that operates by itself."— Aaron Mills

  • "A controller's reporting the history; the CFO bridges the history to the future with the business owner and the vision."— Aaron Mills

  • "I just took my first two weeks off. I didn't answer my phone. This spring, this summer, I've been going to my kids' sporting events for the first time ever, and I have the best relationship with my wife ever."— Construction Business Owner (Client Success Story)

Key Takeaways

  1. Your financials should be strategic tools, not just tax documents

  2. WIP schedules reveal hidden profit opportunities when properly analyzed

  3. Raising prices on unprofitable clients is often easier than you think

  4. Building a business that runs without you increases its value dramatically

  5. Different revenue levels ($5M, $10M, $20M+) require completely different systems

  6. Project managers need monthly financial reviews to maintain profitability

  7. A business that runs without you provides both financial and personal freedom

Resources

  • 24 Things Construction Business Owners Need to Successfully Hire & Train an Executive Assistant

  • Schedule a 15-Minute Roadblock Call

  • Check out OpenPhone

  • Build a Business that Runs without you. Explore our GrowthKits 

  • Need Marketing Help? We Recommend Benali

  • Need Help with podcast production? We recommend Demandcast

More from Aaron Mills

More from Martin

More from Khalil

More from The Cash Flow Contractor

Connect with Us

Subscribe to The Cashflow Contractor podcast for more insights on building a profitable contractor business. Leave a review if this episode helped you rethink your hiring approach. Visit cashflowcontractor.com for more resources and past episodes.


Next
Next

276 - The #1 Mistake Contractors Make When Hiring (and How to Build a Team That Stays) with Ryan Englin