By Leon Gettler, Talking Business >>

IMAGINE a company that is revolutionizing the creator economy by developing a platform that allows users to monetize their online meetings and streams using blockchain technology.

Imagine a company that aims to eliminate third-party intermediaries, reduce fees, and give users more control over their earnings.

Promeet offers a simple and frictionless experience for both content creators and viewers. With a competitive 5% fee on transactions, Promeet provides a more affordable alternative to traditional platforms.

Gadi Buch – founder and chief business officer – explained that Promeet does all these things. 

He said Promeet takes Zoom, Google Meet, Teams and other systems then combines them simply where users don’t even have to register to monetize their audience with micropayments.

The platform uses blockchain to achieve this.

“The majority of products out there for Blockchain are more about trading, trade finance, tokens and so on … no one is using Blockchain for a real time usage in today’s world,” Mr Buch told Talking Business.

“So we created a product that when you log on to Promeet with your socials, your email or your phone, we built a wallet on the back of that.

“So people using Promeet don’t know that the back office for that is blockchain and without them knowing, it gives them capability of micropayments and instant payments”

Blockchain works silently away in the background

The beauty of Promeet, he said, was that a lot of people find blockchain so complicated and that people using Promeet have no idea that they are using blockchain.

“With blockchain, you have to have a password, you have to have 12 words you have to keep and all this complexity,” Mr Buch said.

“We took all that complexity and moved it into something that nobody feels

“So basically when we generate our wallet, we put you on blockchain without all the hassle.”

He said Promeet was built for all content creators, including people who want to use it for webinars, where people have to sell tickets and send Zoom links.

“That’s a lot of back office work,” Mr Buch said. “But when you do it on Promeet, you do it instantly.

“So they pay as they come in, they pay by the minute as they stay on it. They pay for the entire session, or you have the option to pay by the minute.

“The main users can be doctors, they can be lawyers, they can be anyone who is doing anything online. Streamers, content creators. Gamers. Anything you want to do online and you want to get paid instantly without all the hassle you have in today’s market.”

Free to use, Promeet profits from user’s profit

Mr Buch said with Zoom, people had to pay a subscription if they use it for more than 45 minutes. Promeet, on the other hand, is completely free. Even for a three hour session on Zoom.

He said other platforms take 20-50% of what people make.

So how does Promeet make money?

“We are charging 5% from any transaction that’s being made on Promeet,” Mr Buch said.

“So basically we don’t make any money until you make money. And 5% compared to the market is very low.

“So that’s liberating part of the world and because we don’t have barriers on payments.

“We think if you’re going to do a live event and you’re going to charge $1 or $2 for the event and people will pay for the time spent on it, that’s a new economy that will help a lot of people.” 

www.promeet.live

www.leongettler.com

Hear the complete interview and catch up with other topical business news on Leon Gettler’s Talking Business podcast, released every Friday at www.acast.com/talkingbusiness

https://shows.acast.com/talkingbusiness/episodes/talking-business-14-interview-with-gadi-buch-from-promeet

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By Leon Gettler, Talking Business >>

BUSINESSES around the world are caught in a vortex of bad leadership, leaders who simply aren’t up to the job. And they know it too. The result: inability to communicate with teams, falling morale and poor productivity.

It’s rife in Australia, the US and UK, according to Margo Faraci, a global leadership expert and executive.

Ms Faraci has a background in some of the largest global blue chip companies including in her native Australia – Macquarie Bank, NAB, Seek.com, Ashurst, and Commonwealth Bank – and internationally with global mega-techs such as Amazon and Coca-Cola.

Ms Faraci said bad management can mean a range of things to different people.

“But ultimately, it’s management and leadership that makes people small and misses their potential. And therefore business potential,” Ms Faraci told Talking Business. 

Self-awareness is key

Ms Faraci said much of it came down to self-awareness.

“If we’re turning up as leaders frustrated, if we’re turning up as leaders saying to ourselves” ‘Just do it for the money’. If we’re turning up not happy with our team, with the people around us, then we are probably operating from fear and there’s probably some work to be done there,” she said.

“In terms of finding out what’s going on in your team, what you realise the more senior you become is that the further up you go, the less you know what’s going on because people are really deferential to hierarchy.

“However, this means people stop telling you things so what you must do in your team is find out how people are and how they behave to you as a leader,” Ms Faraci said.

Build psychological safety

Ms Faraci said there are several ways to do this.

“The best thing you can do is be the leader admitting mistakes and asking for help,” she said.

“If you build what we call psychological safety, that’s the single biggest driver of performance.

“They’re the things you can do as a leader which will ensure people will come to you and let you know when there are problems in your team of direct reports.

“If you create the environment where people see you being open to different views and you admit mistakes, that creates psychological safety, that drives down fear.

“And performance is created when people can speak up, and people can have respectful debate and people can tell you things as they see it.”

Failing leaders cost companies

Ms Faraci said her study of managers in the US, UK and Australia showed leaders who couldn’t achieve this cost their companies heavily in terms of inadequate productivity.

Her research covered all sectors and examined emerging leaders in their late 20s and early 40s.

Ms Faraci’s research did not cover any particular industries. And it was the same across genders.

“About a third of emerging leaders are leading with what we call unconscious fear,” she said.

“That’s costing about $2.2 billion in Australia.

“If you don’t care about the impact on people, you might care about the dollar loss you are experiencing because of it.

“And we know those people who are leading unconsciously with fear are really unhappy as well. We know about half of them are unhappy in the job – so it’s not working for them either.” 

www.margotfaraci.com

www.leongettler.com

Hear the complete interview and catch up with other topical business news on Leon Gettler’s Talking Business podcast, released every Friday at www.acast.com/talkingbusiness

https://shows.acast.com/talkingbusiness/episodes/talking-business-11-interview-with-margot-faraci-global-lead

By Leon Gettler, Talking Business >>

MANY small business owners work their butts off to keep their businesses going. One of the problems they have is they don’t know how much cash they’re burning. And alas, too often, they run out of cash.

Rocky Lalvani, who serves as a chief profitability adviser for business owners in the US – and is the founder of Profit Comes First – has a simple formula for business owners.

Everyone is told by their accountant that profit equals sales minus expenses. What Mr Lalvani believes they need to do instead is say sales minus profit equals expenses. This forces them to constrain expenses.

He said it was amazing how many business owners fail to do that. Instead, they just focus on revenue, which he said is easy enough. The rubber hits the road however when they look at their costs.

 “What it does is it constrains your spending because, more often than not, business owners spend too much,” Mr Lalvani told Talking Business. 

“By looking at it differently, they are forced to constrain themselves.

“It’s a whole change in the equation, it’s a whole change in mindset.”

A sensible new approach for business owners

Mr Lalvani said this approach is a big change for many business owners.

“If you’re a business owner, and I’m going to invest in a business, do I not expect a return on my investment?” Mr Lalvani said.

“But how many business owners actually track their investments and track the return on the investment in the business they own? They wouldn’t put up with this with anyone else.

”How often do we talk about the bottom line? Everyone talks about what their revenue is. For a lot of people, it’s real easy to drive revenue. What’s really hard is to keep it and it’s a very different skill set.”

He said his formula sets up early warning signals for businesses when they are running out of cash.

“Because of the way the system works, you’re getting early warning signals that there is not enough cash in your expense account,” Mr Lalvani said.

“Too often business owners don’t know until much later that they ran out of cash until it’s too late. This system creates early warning signals.

“It prevents a lot of those sleepless nights and freakouts.

“When I look at my clients, my clients who have the most cash tend to be the ones who follow the system and do it well.”

Owners must pay themselves properly

Mr Lalvani said business owners need to pay themselves an appropriate salary for the work they do.

A lot of business owners start work at 6am and are still going into the night. But are they compensated for those hours? Do they give themselves the six figure salary they should get for those hours?

“They need to know how much they’re getting, whether or not their business is profitable,” Mr Lalvani said.

“We go through and look at the entire business from beginning to end. What does your lead flow look like? How many of your leads convert? How much is it costing you from marketing to get those leads? Is that a good number?

“Is that a thumbs up, is it a thumbs down? What do we need to do to improve the sale process? What’s your retention rate? What’s your average sale?

“All of that helps drive revenue.

“Now, our second bucket is how you drove all that revenue. What does it cost you to run your business?” he asked. “So, looking at all the operational costs and efficiencies.

“And the last bucket is the cash bucket. Because your profit and loss can say you’re profitable and you have no cash because it’s tied up in accounts receivable. Or it’s tied up in inventory. Or you have a lot of debt,” Mr Lalvani said. 

“Profit is a fictitious number your accountant came up with. It doesn’t equal cash in the bank.

“So we look at the entire process completely to help business owners have more cash and to work less too.” 

www.profitcomesfirst.com

www.leongettler.com

Hear the complete interview and catch up with other topical business news on Leon Gettler’s Talking Business podcast, released every Friday at www.acast.com/talkingbusiness

https://shows.acast.com/talkingbusiness/episodes/talking-business-8-interview-with-rocky-lalvani-from-profit-

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WORK-RELATED training is declining in Australia, despite it bringing higher incomes for workers and increased productivity for employers, the Committee for Economic Development of Australia (CEDA) has found.  

In Learning curve: Why Australia needs a training boost, CEDA analysis of HILDA data shows workers’ incomes are 20 percent higher the year after starting work-related training.

“Workers who trained were also more satisfied at work and more likely to report a promotion the year after training,” CEDA head of research Andrew Barker said.

“For employers, greater staff satisfaction and engagement are associated with higher productivity.  Given the need to lift Australia’s productivity performance, increasing training should be a focus for employers and policymakers. 

“These findings show work-related training is important to everyone – for employees in terms of their future incomes and career progression, and for employers in terms of employee engagement and productivity – even though it can sometimes feel like yet another task on the to-do list.

“The time and money devoted to training underline its economic importance. We estimate employers and employees invest a combined $12 billion a year in work-related training. Of this, $7 billion is the direct cost of delivering training, while the remainder is the time spent by employees on training. 

“Despite its importance, it is under-researched, and its decline has received little attention.”

Work-related training is structured learning such as short courses or online modules to help people become more effective in their jobs.

It can be voluntary or mandatory and can range from help to get started in a job to senior leadership training and compliance training.

Participation in work-related training has declined by 14 percent since 2007 in Australia, falling in 17 of 19 industries. This is concerning when Australia urgently needs to boost its productivity.

The decline has occurred even as participation in work-related training has increased in most other developed countries over the past decade. 

“The decline is surprising given strong wage growth for those who do training, productivity and staff-retention payoffs for employers and the increasing need to update skills in a changing economy,” Mr Barker said. 

“Time constraints are one key barrier identified by both workers and employers.

“Another is concerns that staff will take their new skills to a competitor after receiving training. But our analysis found participants were actually less likely to move jobs after receiving training.

“Employers should also take care that compliance training does not crowd out time for upskilling in more functional areas.

“Compliance training can be necessary to ensure safety, but when poorly delivered it can cut the time available to develop more practical skills.” 

One-third of Australian occupations face worker shortages. The need for work-related training is also increasing due to other trends including: 

•    Shifts such as digital transformation and the energy transition, which require retraining and upskilling as new roles emerge and industries adjust;

•    Artificial intelligence (AI), which is reshaping roles, changing how work is organised and the types of skills in demand;

•    The failure of tertiary education to fully meet the need for technical skills at the leading edge of industry practice; and 

•    An ageing workforce, which means there is a greater need to update skills to today’s needs, and an increasing need for lifelong learning. 

To address the decline in training, employers should:  

1)    Build a culture that values and encourages learning by understanding the barriers to training across the organisation;

2)    Measure the return on investment from training initiatives; and

3)    Better target compliance training through measures such as regular evaluation and minimising unnecessary re-training.

Governments should:

1)    Develop transparent and consistent accreditation of work-related training at the federal level, beginning with formal micro-credentials developed in collaboration with education providers, and incorporate this data into the new National Skills Passport currently under consideration; and

2)    Work to reverse declining literacy and numeracy skills among school students, ensuring disadvantaged children can meet the minimum standards necessary to enable learning in later life. This will require work at both the federal and state/territory level.  

“Done well, workplace training offers significant benefits for relatively low effort,” Mr Barker said.

“At a time of weak productivity growth, high skills mismatch, skill shortages and low job mobility, we should do everything we can to improve productivity and workers’ career trajectories through training.”

www.ceda.com.au

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