This MSP’s client communication skills and intentional focus on cloud services are important keys to its projected 25 percent revenue growth this year.
The official name of the IT service company Jason Etheridge started in 2004 is Logic Speak. But, make no mistake, this is not the same company it was 10 years ago — or even two years ago. To differentiate the before and after periods, the MSP often refers to his updated business as Logic Speak 2.0. One area where this transition can be seen is the MSP’s bottom line. Following several years of flat revenue, Logic Sp eak experienced 15 percent revenue growth in 2013 over the previous year, and this year it’s on track to achieve 25 percent revenue growth over last year. Small and large IT service providers alike can learn a thing or two from this company’s experience.
Stop Running A Reactionary IT Service Practice
The year 2012 marked several turning points for Etheridge. Leading up to this period, he was introduced to The eMyth Revisited: Why Most Small Businesses Don’t Work and What to Do About It by Michael Gerber. Among the challenges to small business owners, the author advises business owners to be intentional about running their businesses, including determining how much profit they want to make. “Most small business owners do what I used to do, which was to start with a revenue goal, then subtract employee expenses and other costs, and end with your profit margin,” says Etheridge. “The eMyth flips this model on its head, challenging business owners to first decide how much profit they want to make and intentionally building a business model — including services, employee compensation, and all other costs — on top of that. This approach ends with a plan to accomplish the profit objectives set at the beginning.”