Notes on Chapter Two of the book:

The E-Myth Revisited by Michael Gerber

Chapter 2: The Entrepreneur, the Manager, the Technician

Gerber maintains that we, as business owners, should have a split personality. All three are in each of us. The technician dominates. The Entrepreneur lives in the future (looks for control), the Manager in the past (looks for order), and the Technician the present. It's the technician who goes to work while the other two sort things out.

We tend to do the things we want to do, not the things we need to do.

The Entrepreneur is the visionary (and the finder of things for the manager)

The Manager is the planner (and the minder of the technicians)

The Technician is the doer (and the grinder; the one whose hands get the dirtiest)

Remember...Grow Your Profit And Prosper!

Rodney Burge

Notes on Chapters Three and Four of the book: The E-Myth Revisited by Michael Gerber

Chapter 3: Infancy - The Entrepreneurial Phase

Most businesses are operated according to what the owner wants, not what the business needs. We tend to do the things we like to do; not the things we need to do.

There are three phases of a business: Infancy, Adolescence, and Maturity.

Infancy: The technician works long hours to get established. You use your own name. You and the business are one and the same. Eventually, you get too busy, and you can't cope efficiently.

Chapter 4: Adolescence

In the Adolescence, you decide to get some help. You delegate (abdicate?). In time, you’ll realize that they fall short (not trained properly), so you start doing their work as well.

If you want anything done, do it yourself.

Remember...Grow Your Profit And Prosper!

Rodney Burge

Notes on Chapter Five of the book:

The E-Myth Revisited by Michael Gerber

Chapter 5: Beyond the Comfort Zone

You make the decision to get small again to stay in control. You now own a job, not a business. So, you might as well go back to working for someone else.

Another option is "going for broke". This is high risk as there is uncontrolled momentum.

Another option is "hanging in there": eventually the business doesn't explode, you do!

Is there a better way?

Remember...Grow Your Profit And Prosper!

Rodney Burge

Notes on Chapter Six of the book:

The E-Myth Revisited by Michael Gerber

Chapter 6: Maturity & the Entrepreneurial Perspective

The people who started these successful businesses started out with the vision of what it would be like.

The Entrepreneur sees the business as a whole.

The Technician sees the business in parts.

Notes on Chapters Seven and Eight of the book:

The E-Myth Revisited by Michael Gerber

Chapter 7: The Turn-Key Revolution

Trade name franchises are decreasing, business format franchises are growing.

The true product of the business is the business itself. It's not the hamburger, it's the McDonald's system.

Go to work on your business, not in it.

Chapter 8: The Franchise Prototype

Where 80% of all businesses fail in first 5 years, 96% of all Business Format Franchises succeed.

The prototype suits the technician because all the entrepreneurial and management factors are established by someone else.

Remember...Grow Your Profit And Prosper!

Rodney Burge

Notes on Chapter Nine of the book:

The E-Myth Revisited by Michael Gerber

Chapter 9: Working On Your Business Not In It

Your business is not your life.

The Prototype

Pretend that your business will be the prototype for 5,000 more exactly like it.

The true product of the business is the business itself - sell the business, not the product. Discipline, standardization and order are the keys. Eliminate discretion.

The rules are:

The model will be operated by people with the lowest possible level of skill. You can't replicate highly skilled people. When you can, they are too expensive and you can't maintain consistency.

The model will stand out as a place of impeccable order. Operate in an orderly fashion.

All work in the model will be documented in Operations Manuals. "This is how we do it here!"

The model will provide a uniformly predictable service to the consumer. The customer needs a consistent experience.

The model will utilize a uniform color, dress and facilities code. This includes stationery; logos; office colors etc.

If this can all happen, then I (the owner) can spend my time doing what I want to do.

Remember...Grow Your Profit And Prosper!

Rodney Burge

Notes on Chapter Ten of the book:

The E-Myth Revisited by Michael Gerber

Chapter 10: The Business Development Process: Innovation; Quantification & Orchestration

Building the prototype is a continuous process.

Innovation: Creativity thinks up new things; innovation does them!

It is not the commodity that needs innovation (re-engineering) but the process. When the business is the product, how the business interacts with the consumer is more important than what the business sells.

Notes on Chapter Eleven of the book:

The E-Myth Revisited by Michael Gerber

Chapter 11: Your Business Development Program

In this chapter, Gerber describes the process through which you create your Franchise Prototype.

He calls it the Business Development Program. It is comprised of seven steps.

• Your Primary Aim
• Your Strategic Objective
• Your Organization Strategy
• Your Management Strategy
• Your People Strategy
• Your Marketing Strategy
• Your Systems Strategy

Remember...Grow Your Profit And Prosper!

Rodney Burge

Notes on Chapter Twelve of the book: The E-Myth Revisited by Michael Gerber

Chapter 12: Your Primary Aim

The first order of business is not the business, it is YOU.

The Primary Aim is to answer the following questions:

What do I value most?

What lifestyle do I want?

What do I want my life to look like, to feel like?

What would your obituary say?

Once you have stated these things, now you must make them happen.

Simple? Yes; Easy? No.

If you don't know where you're going, how do you get there?

Be proactive.

Remember...Grow Your Profit And Prosper!

Rodney Burge

Notes on Chapter Thirteen of the book: The E-Myth Revisited by Michael Gerber

Chapter 13. Your Strategic Objective

How is the business going to help you realize your life purpose?

This is the strategic plan. Your business is a means to an end.

Your strategic objective is a list of standards that well enable you to achieve your objectives.

Money: How much sales will you do? How much will I make?

Opportunity: Is this an opportunity worth pursuing?

Commodity is what the customer actually takes; the product is what he feels. People buy feelings.

When, where, how, what, etc.

Remember...Grow Your Profit And Prosper!

Rodney Burge

Notes on Chapter Fourteen of the book: The E-Myth Revisited by Michael Gerber

Chapter 14: Your Organizational Strategy

To get organized you should have an organization chart.

Organize around functions not people.

Define the functions; document how they work; delegate them.

Replace yourself with a system: Develop a business that works.

Manage the system.

How do I give the customer what he wants and maximize profits?

Remember...Grow Your Profit And Prosper!

Rodney Burge