4.3 million divided by 35 employees is about 123k of revenue per employee. If she is making 120k and everyone else makes more….. something doesn’t add up. The business would make 0 profit

@tylerdryman

Ай бұрын

her story is all over the place she's leaving something out

@kellyinfanger9192

Ай бұрын

No kidding, especially when $120,000 after payroll expenses is probably around $180,000.

@millsathn

Ай бұрын

“We’ve done 4.3 this year”.. so maybe she means $12 million per year. Guessing.

@thomashind4835

Ай бұрын

I was thinking the same thing. Sounds like they need can a couple “C-Suiters”….starting with her if she can’t even answer basic questions pertaining to the call.

@turbocobra

Ай бұрын

I was coming to the comments to type out this exact math. And Dave is congratulating them on the $4.3M revenue with 35 employees…. Yea your company is upside down with those numbers….

No one in this situation sounds competent enough to be running a profitable business.

@fortyninehike

26 күн бұрын

I wouldn't trust my kids with them

@roylogan51298

24 күн бұрын

It's probably government subsidized

Listening to this person present the situation, I'm about convinced they gave her the CEO slot to get her out of the way. I also wonder whether this is a business or a charity.

I know little of business management, but Dave's advice seems well-reasoned and easy to follow, especially considering what a complex number of factors could be involved.

4.3 million for a 35 person team seems like terrible revenue generation ratio......need to generate more revenue.....

@stevelarson6384

Ай бұрын

if all 35 people making more than 125K means straight payroll (not employer taxes benefits etc) running more than your revenue...... (35*125=4375)...so is the company even making money? if losing or a non-profit no raises for anyone.......

@NDcompetitiveshooter

Ай бұрын

Yeah, I have a suspicion that this "CEO" is getting paid well enough for being a basic manager of an organization the size of a large Burger King. Also, she is not likely super qualified as CEO since this basic math seems to elude her and she doesn't have specific data as far as how much her services are actually worth. The founder probably got emotional because she herself doesn't hardly get paid anything and the financials are crap. The consistent references to her being in the C-suite of a 35 person organization make me wonder how much she is interested more in title and financial status rather than fairness and the health of the organization. Sounded like the 4.3 million was gross revenue (which is terrible considering their overhead) and Dave was thinking it was profit.--which I highly doubt.

@happyday2765

Ай бұрын

​​​@@stevelarson6384 I think you're misunderstanding. She said 4.3 M this year. It doesn't sound like this figure is a per year amount. If they're at 4.3 million so far this year, they're probably more in the range of 11-12 million or more per year.

She makes $125k and she’s paid less than the teachers???? What company is this?! 😂

@todd5687

Ай бұрын

she said its teachers for disabled kids that's big $$

@fortyninehike

26 күн бұрын

@@todd5687 Sounds like there's more to it too. Probably travel expenses and others included in compensation. She also said the "weekly pay" is higher. I'm sure she's getting bonuses that they aren't but she "feels" like her paycheck should still be higher. As a previous comment stated "4.3 million divided by 35 employees is about 123k of revenue per employee. If she is making 120k and everyone else makes more….. something doesn’t add up."

125k a year is a lot in Wyoming. I thought she was going to say like 40k

@gorkyd7912

Ай бұрын

Depends. Is this Jackson or Rawlings.

This lady is exhibiting very little assertiveness and leadership skills. I think "CEO" might be a stretch

@ganymedehedgehog371

Ай бұрын

“Doesn’t want it to come across” and “doesn’t want to be confrontational” I don’t understand how she got this high up if she can’t have a conversation.

@TacticalStrudel

Ай бұрын

⁠@@ganymedehedgehog371it’s a 30 person company and the leader is clearly an easily threatened individual. Weak/bully owner/board members put meek people immediately below them. At my old company the second level of leaders were all spineless doormats. The reason was the founding partners were narcissistic bullies who would not tolerate independent thought from their subordinates.

Her salary is dependent on profitability. It sounds like it doesn't have a good profit margin. Good luck finding a job as a teacher that pays more.

If the others are sales maybe.

Here in the U.K. if you’re CEO of an SME (and also founder and owner / shareholder) that’s a early stage or under £10m revenue and maybe £2m EBITDA it’s often likely you don’t take a salary at all. Especially with 30+ employees. I would gather if it’s education the payroll is no more than $1.75m, let’s say all are averaging $50k base with some OTE structure in there for sales and BD staff. Taxes $2m. It can’t afford for her to be on $150k+ too, in the ‘usual’ way. A director’s loan for example is less of a tax burden for the business. It’s not a dividend, salary or expense. The business obviously can’t afford a c-suite level salary on the payroll in literal cash flow terms.

Well sometimes people get paid with impressive sounding titles. And some businesses basically run themselves but they need a few people in the office to answer phones and collate payroll, receipts, and invoices. If the people bringing in the money can do so with an under educated undertrained underpaid CEO in the office, why ask for better?

Are the workers paid a portion of their billing (a bit like sales commissions)? If that's how this comes about, then the higher pay of the workers is justified by their production.

@gorkyd7912

Ай бұрын

Typically the employee is paid based on the market and it's solid pay, you get the same amount every year. The CEO gets paid a salary also but it should be largely tied to performance. A lot of CEOs would this kind of job for $1 up-front and then get a bonus based on accomplishing the actual revenue or growth goals.

@michaelwoods4495

Ай бұрын

@@gorkyd7912 Yes, you're right. I had the impression, though, that wasn't the case here. Conclusion--we don't have enough information to make a judgement, just observations as we've done.

If your confident and have data it may help you break through whatever defenses your owner has put up. If the owner isnt actually a bully and just has a blind spot in their business knowledge you may actually be able to kindly learn her something and help her improve and become better. If that doesn't happen you'll feel better knowing you left a toxic situation.

@gorkyd7912

Ай бұрын

CEO is not a position you can really ask for a raise based on the fact you're the CEO. You make a proposal with a set of goals you will accomplish for the company. The compensation you then ask for is in the context of those accomplishments. I.e "I have a 5-year plan to increase profit by 3 million annually. My pay will be only $2m across that time frame."

Owner might be looking to sell the business so they don’t want to increase the operational cost. Might be time to ask to buy them out (owner finance - paid out with future earnings over a set number of years)

This sounds like a Seinfeld episode that George is in charge of operations. 🤔

If she makes $125k and everyone else makes more and there’s 35 of them, that’s more than $4.3 million….

@gorkyd7912

Ай бұрын

She makes less than SHE was making as a teacher. Don't think that means everyone is getting more than her now, though some of the other teachers are making more.

@fortyninehike

26 күн бұрын

She clarified that their "weekly pay" was higher. This sounds stupid but this women isn't coming off to me as competent so I'm thinking she specifically means her paycheck was higher and now that she's CEO her compensation isn't entirely based on hours work anymore. I think she just wants a higher paycheck and isn't thinking in terms of total pay.

If Dave got paid less than his employees and couldn't brag he would probably explode.

Is the CEO adding value and profit to the company? Is she making or beating her revenue goals? If she is she needs to present to the board what she has accomplished in a well-laid-out systematic presentation and then request a raise based on her accomplishments. If they reject her request she needs to determine whether or not she still wants to be employed there. If they do not recognize her accomplishments and pay her accordingly they obviously see little to no value in her.

@gorkyd7912

Ай бұрын

Yep. It shouldn't be a "hey, could I have a raise please because I'm the CEO?" It should be, "this is what I've done already, here's what I plan to do next year(s), this is what I want in compensation."

@ctclardy

Ай бұрын

@@gorkyd7912 Absolutely! One thing you mentioned is an imperative... what is her plan for the future to maintain growth and increased profitability?

Unbelievable... And I'll leave it at that.

How do we pay people like this to lead us?

@trigunstudios217

Ай бұрын

Every company employs the same gal: Miss Management. She runs things 'round here.

She didn’t get that money because they’re hemorrhaging money. They’re hemorrhaging money even if everyone else made the same amount. They maybe need to cut the 3 suits loose. Pay someone a little bit more that can actually make some money.

@HoundDogCatia

Ай бұрын

Maybe, but this sounds like a 100% services business and I am guessing they are getting paid rates dictated by insurance companies or government agencies. Profit margins will be thin, and it will be about volume and being able to bring in lower paid (less experienced) teachers.

@cantgetright742

Ай бұрын

@@HoundDogCatia or cut those 3 that haven’t made a dime and get one that can and pay em 225k. That gives you another employee and 25k in the pocket annually.

How is this woman a CEO?! She doesn’t exude an ounce of executive presence. Sounds more like a supervisor level of a strategic mind in an organization with title inflation.

Once again, Dave reveals his financial incompetence. He says $4.3 million is a lot of revenue for 38 employees or each making at least $125,000 a year. The company is literally losing money and the owner is making zero dollars

You dont want it to come across confrontational…. Thats why you get paid nothing.

Get out of there, this is a toxic workplace. I dealt with the same thing, bosses and a board that would get emotional and upset over legitimate business questions.

@gorkyd7912

Ай бұрын

Disagree. These are some of the best places to work, people who take their business and responsibility really seriously. There's more drama, can be frustrating, but if you work through it you'll all be better off. But seriously, if she is the CEO and she can't leave, get a loan, and remake that entire company with herself as owner in 3 years and snipe a bunch of the high-paid teachers then she doesn't have a lot of bargaining power.

So the teachers make more than 120K a year?? She said she makes less than teachers?

@rockstar-kp2jy

Ай бұрын

Depends on the area. Most don’t make that much.

@kbrizy7490

Ай бұрын

After taxes, there’s probably $75k left over to pay the teachers.

@lionheart93

Ай бұрын

@@kbrizy7490no lol more like 90k

They’ve got revenue and staff bloat issues

Basic math. The less the owners pay the three "C-Suite" people, the more the owners put in their own pockets.

@cantgetright742

Ай бұрын

What’s left over? $125,000 times 35 is 4.375 million. And that’s just labor. Surely there are more expenses. They need more than 5 million just to break even. Maybe those 3 should be fired. That would take care of that. Because they’re not making any money. And STILL aren’t making money even though they did this last year too.

@HoundDogCatia

Ай бұрын

​@cantgetright742 I would assume that $125k was not the average salary of all 35 teachers. It is probably the higher end.

@cantgetright742

Ай бұрын

@@HoundDogCatia idk she said she was one of the lowest paid people. Does it even matter because even if they’re close, they’re still way out of budget to be making any money. And at that point, what she said just wasn’t true.

The CEO seems really weak. How did she rise to that position?

@wisnoskij

Ай бұрын

It sounds like she was under-performing as a teacher, but they did not want to fire her.

If he isn’t, quit and start your own team

@user-ec3rm9wr1n

Ай бұрын

Literally me 😂....

@JB-uk7mn

Ай бұрын

@@user-ec3rm9wr1n same

If this is the CEO of a 4mm company and she argues her case or states facts in this way…. At $123k - she is overpaid. Lol

You need to be confrontational. You're the CEO. You should have a pay package that is better than your front line employees. There's a reason for it. YOU'RE EXPECTED TO ALWAYS BE AVAILABLE. When you're CEO, you should be putting most of your day into work. It's not a 9-5 job. It's a leadership role and you're expected to learn and know EVERYTHING about your business, how it operates, your employees, and build relationships with your clients and stakeholders. Sounds like this person was just given a show title so they can push the work onto those three people. Make them do all the work. Just a glorified manager. Typically, the CEO, CFO, and COO are part of the board of a company. They usually have been given some ownership stake in the company.

Dude, CEO makes 120k?

Dave, do the math. Ain’t making no money

@happyday2765

Ай бұрын

How do you figure? She didn't say 4.3 M per year. She said they've done 4.3 million this year. There's still 8 months of the year left to go. They're most likely doing much more than you're thinking.

@gorkyd7912

Ай бұрын

@@happyday2765 Usually "this year" means last 12 months in business terms, not the literal partial calendar year.

Glassdoor

She is overpayed for a non profitable business. Having a high fancy title doesn't mean you should get more money with no output.

@jrowlet

Ай бұрын

How do you know that the business is not profitable?

@DMS20231

19 күн бұрын

A non profit can be very profitable, generally speaking, for its owners. Who said it was non-profitable? She didn’t. Are you stuck on stupid? There are non-profits whose boards and CEOs make nearly a million dollars per year.

She certainly is not good at explaining things.

Why do you need to research anything, she's making far less than the employees she needs to be at $250 as the CEO, otherwise go back to teaching

@BlackExcellenceProductions

Ай бұрын

That’s an interesting angle too. Why do more work with more responsibility just to make the same as the educators?

@TheDjcarter1966

Ай бұрын

​​@@BlackExcellenceProductionsI'm guessing she isn't doing more work ... she's got a cush job not doing much I would probably stay quiet...$125k goes a long way in Wyoming

@ppybmjc

Ай бұрын

Sounds like they're support teachers for kids with a "super specific" disability. There's a good chance that their skills are more niche and their jobs more demanding than hers.