PossibLaw Spark: Why You Need Financial Acumen (Even If You're Not Finance)

PossibLaw

SummaryIn this conversation, Salvador Carranza and John Reikes discuss the critical importance of financial literacy in business, particularly for employees who may not understand how their roles contribute to the company's profitability. They explore the balance between creative pursuits and business needs, emphasizing the need for teams to be aware of both gross and net margins. The discussion also highlights the significance of building trust within teams and fostering a culture of curiosity about the business's financial health.TakeawaysUnderstanding how a firm makes money is crucial.Many professionals lack basic financial literacy.Balancing creativity with business needs is challenging.Employees often misunderstand gross vs. net margins.High gross margins can mask underlying costs.Trust is essential for team engagement.Employees should be aware of financial implications of their work.Training teams to be curious can improve business outcomes.Qualitative communication is necessary in private companies.Encouraging inquiry about profitability can enhance performance.Sound bites"I feel like it's missed, lawyers especially.""You have to talk a lot in qualitative terms.""How do we actually make money?"John Reikes is an entrepreneur and turnaround specialist who has led global teams, built managed-services products, and orchestrated successful exits in legal tech and visual trial strategy. A former civil-litigation attorney and self-taught coder, he’s passionate about fusing culture, technology, and innovation to help businesses (and people) thrive. When he’s not scaling companies, you’ll find him lifting weights, jamming on guitar, or coaching his kids’ activities.Connect with JohnLinkedIn → linkedin.com/in/john-reikes-b983ab5/🔗 More from SalvadorBinge the full library of founder journeys & professional-development deep dives → https://joyfound.studioConnect on LinkedIn → linkedin.com/in/salvadorcarranza