This 6-Letter Word Is Sabotaging Your Business Decisions

Binary thinking is killing your business.

You know what I mean - those "all or nothing" decisions that feel like you're standing at a fork in the road with no middle path:

Should we expand or stay small?

Do we hire now or wait?

Is it time to sell the business or hold on?

Those questions, the ones that commonly start with a “should” and can be answered with a “yes” or “no” are dangerous.

It's like bringing a sledgehammer to hang a picture frame. Sure, you'll make a hole... but probably not the one you wanted…

Let me share an example based on challenges I’ve helped clients navigate before.

A $12M logistics company was wrestling with a high-stakes decision: either invest $10M to build a new distribution center or continue outsourcing warehousing operations.

Their binary thinking question: Should we build the distribution center?

The "binary" outcomes looked like this:

Option A: Invest $10M to build

• Long-term control of operations

• Major cash outlay with uncertain ROI

• Increased operational risk

Option B: Keep outsourcing

• Limited control over operations

• Ongoing fees eating into profit margins

• Risk of service disruptions

Neither option was ideal, but both seemed like the only paths forward.

When the decision was reframed as a preference question instead of a binary one, new possibilities emerged:

"How can we secure long-term control over operations while minimizing upfront risk?"

This shift opened up creative solutions:

• Partnering with a third-party logistics provider to co-invest in a shared facility.

• Negotiating flexible, performance-based contracts with current warehousing vendors.

• Exploring a lease-to-own model for the distribution center.

The result?

A hybrid solution where the company gained partial ownership in a state-of-the-art facility, secured a long-term operational advantage, and spread the investment over several years—all while preserving cash flow.

This approach allowed the leadership team to focus on scaling core operations while controlling risk.

Same goal, completely different outcome.

And this kind of dangerous binary thinking isn't just about the BIG deals. It's about every decision you make:

Instead of: "Should we launch this new product?"

Ask: "How could we test this product with minimal investment?"

Instead of: "Do we need to hire?"

Ask: "What are all the ways we could increase capacity?"

Instead of: "Should we enter this market?"

Ask: "How could we experiment in this market with controlled risk?"

Here's a quick way to spot binary thinking in your business:

If you're using words like:

Should we...

Either/or...

Now or never...

All in or all out...

You're probably missing creative solutions hiding between the extremes.

So, here’s an exercise you can do right now to practice Preference Thinking instead of Binary:

1. Write down one major decision you're facing.

2. Take note of how the question comes into your mind. Is it binary (can your question be answered by ‘yes’ or ‘no’)

3. Reframe it in Preference Thinking, using terms like  "How could we..." instead of "Should we..."

4. List at least 3 possible approaches between the extremes (between yes and no)

You'll be amazed at what opens up.

Because here's the truth: Success rarely comes from binary choices.

It comes from finding the smart path between extremes. The path that lets you test, learn, and adjust without betting the farm.

Think you might be stuck in binary thinking with a big decision?

This is exactly why I wrote "The Solvable Problem®." Because once you understand your true Solvable Problem, these seemingly binary choices become much clearer.

The book shows you:

• How to identify what you're really trying to solve (hint: it's rarely what you think)

• A framework for making complex decisions without the all-or-nothing trap

• Real examples of how successful business owners navigate these choices

• Tools to evaluate opportunities based on what actually matters to you

And while our clients pay us five figures to work through these decisions together, you can get the entire framework for free right now.

All you need to do is reply to this email and I’ll send you a free PDF copy of "The Solvable Problem®" right now.

Here’s to your success and financial certainty.