The Small Business Black Holes with Alan Pentz

AI and automation are revolutionizing how small and medium-sized businesses operate, making enterprise-grade solutions accessible and affordable at unprecedented levels. In this episode of Small Business Black Holes, host Alan Pentz sits down with Alex Heublein, Chief Innovation Officer at Netsurit, about how AI and automation are transforming IT managed services and creating new opportunities for small and medium-sized businesses to compete with larger enterprises. What You'll Learn: • How AI is making enterprise-level capabilities accessible to SMBs at affordable price points • Why voice-enabled AI assistants are becoming the new interface for business process automation • The evolution of managed IT services from basic support to strategic innovation partner • How to identify high-ROI AI implementation opportunities in your business • Why privacy and security concerns are the biggest inhibitors to AI adoption in SMBs • How AI is changing the cybersecurity landscape for small businesses • The emerging role of protocol standards like MCP in democratizing AI capabilities • Why traditional productivity software may soon be replaced by AI-driven alternatives The episode provides practical insights for business owners looking to leverage AI and automation to break through growth barriers, while maintaining security and managing costs effectively. Highlights: [10:49] Voice-Enabled AI for Business Process Automation - Alex reveals how voice-enabled AI assistants are transforming time-tracking and billing processes for professional services firms. Small businesses are seeing multimillion-dollar improvements in billing backlogs by implementing simple voice commands that integrate directly with existing systems. The AI assistants can intelligently interpret requests, correct common errors, and streamline previously friction-filled workflows without requiring extensive training. The technology requires minimal technical expertise to implement and manage once established, making it accessible for small and medium businesses. For companies struggling with administrative inefficiencies, this represents a game-changing opportunity to capture lost revenue and improve cash flow. [25:21] Breaking Through AI Implementation Barriers -  The primary limitation for AI adoption isn't the technology's capabilities but rather businesses' ability to imagine and implement practical applications. Small and medium businesses often lack exposure to AI's potential, leading to missed opportunities for automation and efficiency gains. The real challenge lies in providing AI models with proper context and data access through standardized protocols like MCP. By focusing on specific business processes that can be automated with minimal human oversight, companies can achieve significant productivity gains. Small businesses have an advantage in being able to move quickly to implement these solutions compared to larger competitors. [29:34] Managing AI Security and Privacy Risks - The biggest inhibitor to AI adoption in small businesses is concern over data privacy rather than security. Organizations need robust institutional policies to prevent accidental data leakage while leveraging AI capabilities. Cyber criminals are increasingly targeting smaller businesses using AI-powered tools, making enhanced security measures critical. Small companies must recognize they are now viable targets regardless of size or industry. A security-first approach is essential when implementing AI solutions, as a single data breach could be catastrophic for a small business. [38:57] The Future of Productivity Software - Traditional productivity software is being challenged by AI-powered alternatives that offer superior functionality and user experience. The key advantage lies in AI's ability to understand context and generate polished outputs without requiring extensive formatting or technical skills. Tools like deep research and AI presentation builders are already replacing traditional software for many business tasks. The transition to AI-native tools will accelerate as they become better at handling complex workflows and collaboration needs. This shift represents a fundamental change in how businesses will handle document creation and management in the future. Episode Resources: Alan Pentz on LinkedIn [https://www.linkedin.com/in/alanpentz/] Alex Heublein on LinkedIn [https://www.linkedin.com/in/alexheublein/]NetSurit website [http://www.netsurit.com] The New Rules Podcast is handcrafted by our friends over at fame.so [https://fame.so/?utm_medium=podcast&utm_source=bcast&utm_campaign=nonprofit-connect-with-matt-barnes]  Check out our three most downloaded episodes: * Defining and Tracking Outputs: The Key to Employee Performance with John Seiffer [https://thesmallbusinessmentorpod.com/e/28x0pyl8-defining-tracking-outputs-key-employee-performance-john-seiffer] * Small Business Strategies and Market Dynamics with Jon Matzner, President at Lazy Leverage [https://thesmallbusinessmentorpod.com/e/1836vmln-small-business-strategies-and-market-dynamics-with-jon-matzner-president-at-lazy-leverage] * Franchising: The Best Business Model with Brian Beers [https://thesmallbusinessmentorpod.com/e/489x46ln-franchising-the-best-business-model-with-brian-beers]

Breaking Free from Business Black Holes: Understanding Owner Involvement and Growth Barriers In this episode of Small Business Black Holes, host Alan and co-host Tonya explore insights from a business maturity assessment, revealing common challenges that prevent business owners from scaling beyond their current revenue levels, particularly in the $1-5M range. What You'll Learn: • How to identify and escape the "owner trap" where business leaders get stuck in day-to-day operations instead of focusing on strategic growth • The critical importance of measuring marketing ROI and why most businesses struggle with this fundamental metric • Why owners should focus on sales and marketing rather than operations when scaling from $1-5M in revenue • How to use the Energy Matrix framework to identify and eliminate tasks that drain owner productivity • The importance of creating a clear personal vision for your business to avoid being "dragged around" by your company • Why weekly team meetings and financial tracking are crucial success indicators for growing businesses • How to strategically delegate operations while maintaining focus on high-impact activities • The "Know Your Marketing" principle: understanding industry-specific tactics before hiring experts • Why documented personal milestones and business vision are essential for sustainable growth • The power of identifying energy-giving versus energy-draining activities to optimize owner performance Highlights: [02:24] The Million-Dollar Owner Trap: Breaking Free from Day-to-Day Operations Business owners reaching $1-2M in revenue often get stuck in a cycle of jumping between sales and operations, causing key functions to atrophy. Alan explains that owners who've bootstrapped their way to this level have proven their sales ability but struggle to delegate operations effectively. The key is recognizing that it's easier to hire operational talent than sales talent at this stage. Owners should prioritize their time on sales and marketing while bringing in qualified operational leaders to handle delivery. A practical approach is to hire an admin for CRM and meeting management while investing in a strong operational hire, even if it takes multiple attempts to find the right person. [10:55] Strategic Marketing Research: Know Your Industry Before Hiring Experts Alan emphasizes the critical importance of understanding which marketing tactics work specifically in your industry before engaging marketing professionals. Many business owners waste resources by hiring generalist marketers or following trendy tactics that don't align with their business model. The solution is to conduct thorough research into successful marketing approaches within your specific industry segment first. Rather than immediately outsourcing, owners should start with basic content creation and SEO work themselves to build foundational knowledge. Once you've identified the most effective channels, find specialists in those specific areas rather than general marketing agencies. [17:16] The Owner Energy Matrix: Maximizing Impact Through Strategic Focus Alan introduces a powerful two-by-two matrix framework for evaluating tasks based on their importance to the company and their effect on owner energy levels. Business owners often get trapped doing energy-draining operational tasks while neglecting high-impact activities that energize them. The framework helps identify which tasks to delegate, outsource, or eliminate entirely. For tasks that are important but draining, invest in qualified staff; for administrative tasks that drain energy, hire support staff. The goal is to maximize time spent on high-importance, energy-giving activities like sales and strategic planning, which can generate 10-100x returns. [15:14] Personal Vision: The Foundation for Sustainable Growth Alan reveals that even successful businesses often lack a documented personal vision for how the business should fit into the owner's life. Without this clarity, owners risk becoming "dogs on a leash" being dragged by their business rather than steering it intentionally. The solution is creating a detailed vision addressing desired lifestyle, income goals, daily routines, and key relationships. This framework becomes especially powerful for bootstrapped businesses where owners have more freedom to shape the company around their personal goals. By defining freedom specifically for themselves, owners can build systems and teams that support their vision rather than being consumed by the business. Episode Resources: Alan Pentz LinkedIn [https://www.linkedin.com/in/alanpentz/] Tonya Berenson LinkedIn [https://www.linkedin.com/in/tonya-berenson-b8004232/] Owner Institute website [https://www.ownerinstitute.com/] The New Rules Podcast is handcrafted by our friends over at fame.so [https://fame.so/?utm_medium=podcast&utm_source=bcast&utm_campaign=nonprofit-connect-with-matt-barnes]  Check out our three most downloaded episodes: * Defining and Tracking Outputs: The Key to Employee Performance with John Seiffer [https://thesmallbusinessmentorpod.com/e/28x0pyl8-defining-tracking-outputs-key-employee-performance-john-seiffer] * Small Business Strategies and Market Dynamics with Jon Matzner, President at Lazy Leverage [https://thesmallbusinessmentorpod.com/e/1836vmln-small-business-strategies-and-market-dynamics-with-jon-matzner-president-at-lazy-leverage] * Franchising: The Best Business Model with Brian Beers [https://thesmallbusinessmentorpod.com/e/489x46ln-franchising-the-best-business-model-with-brian-beers]

In this episode of Small Business Black Holes, host Alan speaks with Patrick Metzger of Growing For Success, a business coach and valuation expert, about helping business owners overcome growth barriers, prepare for successful exits, and adapt to transformative technologies like AI. What You'll Learn: * How to identify and break through common revenue plateaus at $1M, $2-3M, and $5M+ * Why owners become their own bottlenecks and how to transition from "doer" to true leader * The critical steps to make your business "wanted but not needed" by its owner * How AI is revolutionizing B2B services and why ignoring it isn't an option * The essential elements that make a business sellable versus unsellable * Why intentional exit planning should start years before a planned sale * How to leverage AI tools to improve sales performance, customer service, and business operations * The importance of derisking your business and building transferable value for eventual exit Highlights: [02:05] Breaking Free from Owner Bottlenecks Patrick explains that the biggest challenge for business owners is becoming their own bottleneck by struggling to delegate and trust their team. Many founders excel at bootstrapping and sales but find these same entrepreneurial traits become limitations as the company grows beyond initial stages. The solution starts with implementing documented processes and systems that allow the business to function without constant owner involvement. A critical shift occurs when owners transition from being needed to simply being wanted in the business. This transformation requires bringing in qualified leaders and developing a strong management team that can run daily operations independently. Business owners who successfully make this transition position their companies for sustainable growth and create transferable value. [06:38] Revenue Growth Inflection Points  Companies typically hit critical growth barriers at $1M, $2-3M, and $5M+ revenue levels, each requiring fundamental operational changes. At $1M, owners can brute force success through personal effort, but scaling to $2-3M demands building an operational infrastructure with qualified staff. The $5M+ threshold requires professionalizing sales beyond founder-led efforts and upgrading the management team. Only about 4% of small businesses break $1M in revenue, with even fewer reaching $10M, largely because owners fail to adapt their role and systems at each stage. The companies that successfully scale are those willing to make difficult changes in leadership, processes, and team composition at each inflection point. [12:08] The AI Implementation Divide There's a growing divide between businesses actively implementing AI and those avoiding it due to perceived complexity or time constraints. Forward-thinking companies are using AI to optimize marketing, customer service, sales analysis, and operational processes while reducing costs dramatically. The technology is advancing so rapidly that businesses ignoring AI risk being outcompeted by more efficient, AI-enabled competitors. Companies successfully adopting AI are seeing dramatic improvements in efficiency, with some replacing up to 75% of customer service teams while maintaining or improving service levels. Small business owners must prioritize learning and implementing AI despite time constraints, as it's becoming essential for competitive survival. [24:36] Maximizing Business Value for Exit The process of preparing a business for sale begins with conducting a thorough valuation and assessing both personal and business readiness. Successful exits require systematically derisking the business by identifying and addressing red flags that could concern potential buyers. Key focus areas include implementing robust processes, building a strong leadership team, and ensuring the business can operate independently of the owner. The transformation must include planning for the owner's post-sale life while maintaining business performance during the transition. A well-executed exit preparation process typically results in higher multiples and more interested buyers, leading to better outcomes for all stakeholders. Episode Resources: Alan Pentz on LinkedIn [https://www.linkedin.com/in/alanpentz/] Patrick Metzger on LinkedIn [https://www.linkedin.com/in/patrickmetzgercoaching/] The Greenhouse website [https://growing4success.com/] EOS Worldwide website [https://www.eosworldwide.com/] The New Rules Podcast is handcrafted by our friends over at fame.so [https://fame.so/?utm_medium=podcast&utm_source=bcast&utm_campaign=nonprofit-connect-with-matt-barnes]  Check out our three most downloaded episodes: * Defining and Tracking Outputs: The Key to Employee Performance with John Seiffer [https://thesmallbusinessmentorpod.com/e/28x0pyl8-defining-tracking-outputs-key-employee-performance-john-seiffer] * Small Business Strategies and Market Dynamics with Jon Matzner, President at Lazy Leverage [https://thesmallbusinessmentorpod.com/e/1836vmln-small-business-strategies-and-market-dynamics-with-jon-matzner-president-at-lazy-leverage] * Franchising: The Best Business Model with Brian Beers [https://thesmallbusinessmentorpod.com/e/489x46ln-franchising-the-best-business-model-with-brian-beers]

A groundbreaking AI-powered business coaching platform aims to democratize access to strategic business guidance and make expert consulting accessible to small business owners. In this episode, Alan Pentz shares his journey of transforming Owner Institute from a traditional business coaching practice into OwnerRx, an AI-native application designed to help business owners overcome growth challenges through automated yet personalized guidance. What You'll Learn: • How AI is revolutionizing business coaching by making expert guidance accessible at a fraction of traditional costs • Why traditional business coaching methods often fail to provide comprehensive, actionable solutions for small businesses • The power of combining AI research capabilities with human expertise to create scalable business improvement frameworks • How the "Duolingo approach" to business coaching breaks down complex challenges into manageable daily actions • The innovative "Board of Titans" framework that leverages AI to provide strategic insights from successful business leaders • Why building AI-native applications offers significant advantages over retrofitting existing platforms with AI features • How asynchronous coaching models can provide human oversight while maintaining affordability and accessibility The episode introduces OwnerRx's vision for democratizing business coaching through a combination of AI-powered analysis, structured learning pathways, and optional human coaching support - all designed to help small business owners accelerate their growth journey without the traditional barriers of cost and commitment. Highlights: [03:45] Democratizing Business Coaching Through AI-Native Solutions Alan reveals how OwnerRx is transforming traditional business coaching by combining AI capabilities with proven methodologies to create an accessible, scalable solution. Most small business owners know they need coaching but are deterred by high costs and time commitments, creating a significant barrier to growth. The platform leverages AI to automate research and compile best practices while maintaining the crucial human element of coaching through a digital interface. By breaking down complex business concepts into digestible, actionable steps, the platform makes expert guidance available for $50-100 per month instead of thousands. This democratized approach allows business owners to access strategic support without the traditional friction of long-term coaching relationships. [12:52] The Five-Day Journey Playbook for Business Transformation Alan introduces a structured approach to business improvement through focused, five-day transformation journeys. The system assesses businesses across six key dimensions and identifies the areas needing immediate attention, eliminating the overwhelm of trying to fix everything at once. Business owners receive a customized playbook that breaks down complex improvements into manageable daily tasks. Daily check-ins and AI-powered suggestions help maintain focus and accountability throughout the implementation process. This systematic approach helps owners make meaningful progress without getting derailed by day-to-day distractions. [18:45] The Board of Titans: AI-Powered Strategic Insights Alan shares an innovative AI tool that simulates strategic advice from successful business leaders like Jeff Bezos, Elon Musk, and Warren Buffett. The system analyzes business challenges through multiple strategic lenses, providing diverse perspectives on key decisions. Each virtual advisor focuses on specific areas of expertise, from customer obsession to execution excellence, offering comprehensive strategic guidance. This approach gives business owners access to high-level strategic thinking without the cost of an actual board of advisors. The tool demonstrates how AI can make premium business insights accessible to smaller companies. [24:41] Combining Education and Accountability for Sustainable Growth Alan outlines how OwnerRx addresses both the knowledge and implementation gaps in business improvement. Many business owners struggle to find and apply best practices, often getting distracted by urgent issues before completing important changes. The platform combines essential business education with daily accountability and coaching support to keep owners focused on their priorities. Through a combination of AI guidance and optional human coaching via asynchronous chat, the system helps owners stay committed to their improvement goals. This dual approach ensures that owners not only learn what to do but actually follow through on implementation. Episode Resources: Alan Pentz LinkedIn [https://www.linkedin.com/in/alanpentz/] Tonya Berenson LinkedIn [https://www.linkedin.com/in/tonya-berenson-b8004232/] Owner Institute website [https://www.ownerinstitute.com/] The New Rules Podcast is handcrafted by our friends over at fame.so [https://fame.so/?utm_medium=podcast&utm_source=bcast&utm_campaign=nonprofit-connect-with-matt-barnes]  Check out our three most downloaded episodes: * Defining and Tracking Outputs: The Key to Employee Performance with John Seiffer [https://thesmallbusinessmentorpod.com/e/28x0pyl8-defining-tracking-outputs-key-employee-performance-john-seiffer] * Small Business Strategies and Market Dynamics with Jon Matzner, President at Lazy Leverage [https://thesmallbusinessmentorpod.com/e/1836vmln-small-business-strategies-and-market-dynamics-with-jon-matzner-president-at-lazy-leverage] * Franchising: The Best Business Model with Brian Beers [https://thesmallbusinessmentorpod.com/e/489x46ln-franchising-the-best-business-model-with-brian-beers]

In this episode of Small Business Black Holes, host Alan speaks with Gabe Lullo, founder of Alleyoop, about revolutionizing B2B sales development through a unique blend of human expertise and technology. With over 16 years of experience and 11 million cold calls made last year alone, Alleyoop offers insights into scaling sales operations effectively. What You'll Learn: • How to leverage cold calling effectively in a digital age, with success rates ranging from 1% to 35% depending on industry • The "Multi-Channel Prospecting Framework" combining LinkedIn, email, phone, and text for maximum impact • Why building personal brands for sales teams can drive 40% of new business through content • How to implement fractional SDR services to scale sales operations cost-effectively • The "Assembly Line Sales Model" for separating prospecting from closing to maximize efficiency • Why combining AI enablement with human interaction creates superior sales results • How to build scalable sales teams that can transition from outsourced to in-house operations • The "Geographic Alignment Principle" for matching SDR locations with target markets for better results This episode provides actionable insights for businesses looking to scale their sales operations through professional prospecting services, modern technology integration, and proven sales development strategies. Highlights: [04:19] The Renaissance of Cold Calling in Modern B2B Sales – Gabe reveals that despite the digital age, cold calling remains their #1 channel for booking appointments, with success rates ranging from 1-35% depending on industry. Small businesses often overlook cold calling due to perceived ineffectiveness, but when combined with email, LinkedIn, and text in a coordinated multi-channel approach, it delivers superior results. The key is using data scoring to identify prospects most likely to answer calls and matching SDR demographics/locations to target markets. Companies should integrate cold calling with modern tools like AI-powered call analytics and training, while maintaining the human element that drives conversion. Real-world success comes from focusing calls on qualified prospects and supporting SDRs with the right technology stack, resulting in 100+ meetings per month for some clients. [08:26] Building a Multi-Person LinkedIn Content Strategy – Rather than relying on a single company voice, Alleyoop deploys 10 specialized content creators who each build their own authentic brand and following. These team members create daily video content targeting specific buyer personas, with VPs speaking to VPs and directors to directors, achieving a combined reach of over 1 million followers. The strategy focuses on sharing real business challenges and solutions rather than promotional content, leading to 40% of new business coming from content marketing. Small businesses can adapt this by starting with 1-2 key team members creating consistent, persona-matched content and gradually expanding their thought leadership presence. This approach has helped team members grow from 400 to 9,000+ followers in under a year through authentic, value-driven engagement. [21:19] The Fractional SDR Model for Growth – For companies unable to afford full-time SDRs, fractional services offer a powerful alternative where reps split time between multiple campaigns. This model allows smaller businesses to access professional prospecting services, complete tech stacks, and proven processes at a fraction of the cost of building in-house teams. The approach includes built-in flexibility to transition to internal teams when ready, with clients able to hire trained SDRs directly. Companies can start with 20 hours per week of dedicated prospecting time and scale up as results prove ROI. This creates a clear path for growing businesses to access enterprise-level sales development capabilities without the traditional overhead and risk. [34:59] The Sales Assembly Line Framework – Gabe introduces the "Henry Ford" approach to sales, where each role is specialized and focused on a specific part of the revenue generation process. This system separates prospecting, closing, and account management into distinct functions, allowing team members to excel in their specific areas rather than trying to do everything. The framework helps businesses scale by creating clear processes that can be optimized and repeated, rather than relying on individual heroics. Small businesses can implement this gradually by first separating prospecting from closing, then adding specialized roles as they grow. This systematic approach has helped numerous companies transition from founder-led sales to scalable revenue machines. The New Rules Podcast is handcrafted by our friends over at fame.so [https://fame.so/?utm_medium=podcast&utm_source=bcast&utm_campaign=nonprofit-connect-with-matt-barnes]  Check out our three most downloaded episodes: * Defining and Tracking Outputs: The Key to Employee Performance with John Seiffer [https://thesmallbusinessmentorpod.com/e/28x0pyl8-defining-tracking-outputs-key-employee-performance-john-seiffer] * Small Business Strategies and Market Dynamics with Jon Matzner, President at Lazy Leverage [https://thesmallbusinessmentorpod.com/e/1836vmln-small-business-strategies-and-market-dynamics-with-jon-matzner-president-at-lazy-leverage] * Franchising: The Best Business Model with Brian Beers [https://thesmallbusinessmentorpod.com/e/489x46ln-franchising-the-best-business-model-with-brian-beers]