What follows are my most important lessons from 10 years of developing Canada’s most efficient accounting solution. With efficiency being defined as value created/time spent creating value.
The one most important rule is consistently and intensely focusing on difficult hard-to-replicate skills that deliver value to people – day in day out.
My name is Christian Thut from Switzerland.
I am currently enjoying family life in Edmonton, Canada with my wife Yen and our two children: Anja and Niklaus.
This is the story of how our product, SwissBooks, came about and how we processed over $2 billion in accounting transactions since 2006.
Money is only a by product of being skilled at a craft vs. competitors that are so focused on making money that their short-term actions are destroying their long-term goals. Still, I can’t deny that the money I made gives me the time and ability to explore what I really want in life.
Merci vielmal (Swiss German for Thank-you) for taking the time to read this.
I was never destined to become a multi-millionaire. It was only after I was bullied in school and my attempt to escape pushed me into mathematics and computers, programming BASIC with a Commodore VIC20 when I was 11 years old.
Throughout my life, I enforced on myself a schedule that maximized focused skills and dedicated hours. While other kids were playing, I was making science projects, skiing, yodeling in a choir, playing the piano and getting a black belt. Children trained in music at a young age have improved math skills. In school, my classmates paid me to do their homework and projects thus giving me exponentially more practice than most.
From an early age, and until I die, I prioritized health and I, at 35 years old, can still bench press 300 lbs.
I always graduated at the top of my class throughout my schooling and earned a Bachelor of Science Degree in Pharmacy in 2003. If I could do it again, I would recommend software or electrical engineering at an elite school (top 20) as an undergraduate degree or if its not elite school better off exhaustively learning code online or learning a trade. After my Master’s degree, I spent my time using the tools at my disposal – analytical math to try to solve problems. This exposure to quality experience gave me a substantial head start in the area of accounting and allowed me to start my career and later business at a much younger age than I might otherwise have been able to.
I began my career at the Swiss global company, Roche and then I worked for the Reformed Church Uster in Switzerland. Reuniting with the Protestant work ethic and virtues was a refresher on my Swiss upbringing which emphasized discipline and responsibility. When you have nothing, you must trade time for money while you learn useful skills.
At the age of 26, I had the lead accounting role at a $100 million company in Edmonton. It was here where I realized what a single person with the right skills is capable of. In the evenings and weekends my wife and I pursued our sideline accounting SaaS.
I incorporated the firm in Canada’s largest hydrocarbon processing region in 2006, on the premise that Alberta’s mass affluent would be best served by Swiss innovation and exclusivity free of the inefficiencies inherent to other firms. My vision was to have the best accounting solution in Canada. I determined that the only way to reach this goal was to commit myself entirely to one activity: saving Canadian business owner’s money. Only a truly focused approach can enable an accounting firm to offer, believably and legitimately, a responsible, first-class service and a relationship of the same impeccable quality.
I worked 80 hours a week for the first 3 years of my career + business. This was enough time to work out for an hour everyday and go out one night a week max. This gave me better skills than my peers since I had twice as much work experience in the same time frame. At this time, 20% of my income came from my accounting business. It is hard to take it easy in your 20s and then pick it up in your 30s. It does not work because of brain plasticity and you risk developing bad habits.
focused skill x dedicated hours = success
In addition to all the time spent honing skills,minimum 60 hours/per in my 20s- the other advantage is there was no time left over to burn the money. I embraced minimalism and strived to save 50-90% of all the money earned.
When I was ready to quit my career and focus on my business, I leased out an office space making sure that less than 8% of my gross monthly revenue would be spent on rent. Presence that comes with rent is one of the best advertising your money can buy and should be taken into account in determining the budget. The more inaccessible your location, the more you should spend buying web traffic. I spent as much as I could buying traffic. Margins decreased at one point but the only thing that matters is volume. I analyzed conversion rates and adjusted targeted demographics accordingly 30+ purchases for every 1,000 visitors meant I was on track. $10K spent on marketing/month resulted in $5K profit/month. Did I cut the marketing to increase margins? NO! I spent as much as I could until my business could afford to spend $10K/week and still profit $5K/week
I had vinyl decals advertising my accounting service installed on my coupe. It is one of the most cost effective forms of advertising. The more time you spend on the road, the more you should spend on vinyl vehicle lettering.
Earning, fun, and negative visualization – don’t spend time on anything else.
Most other accountants trade their time for money. Rather than trading my limited time for money from my customers, I INVESTED my time into building a system that will give me future economic benefits. Our clear and comprehensive year-end package, our efficient procedures leveraging technology and innovation all give on-going benefits that make up for our comparatively low-fees.
The aforementioned focus, dedicated hours, a lifetime of continuous learning/practice may sound like alot of work but it leads to a more satisfying life. The only way it is rewarding and sustainable is by maintaining balance and treating yourself reasonably. If everything about you is only average how can you expect your output to be anything but average? My customers demand the best from me, so I require nothing but the lifestyle I desire to fuel my performance. Dopamine and testosterone are powerful chemicals that make you faster and more accurate and identifying problems. I keep my levels elevated by being grateful and positive everyday.
Buy a juicer. Its hard to work as much as you need to work and be fit without juicing. Digesting food is tiring on the body, so juicing takes the work away from your body and delivers the nutrients more efficiently. People on the internet say juicing is bad blah blah you throw away the fiber, but you will still eat 2 good meals a day + use a blender for the pre-washed mixed greens + frozen berries from Costco + protein powder.
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THUT Accounting: Flat Fee Online Bookkeeping | #205, 12906 54 Street, Edmonton, Alberta, Canada T5A 5A8 | 780-761-1688 | © 2015 THUT Accounting. All rights reserved.
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