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[00:00:07] So I just got home, you know, timey-wimey-wibbly-wobbly, we talk about this all the time and when this episode comes out, Aces just happened but if you're listening to this far into the future you might be buying tickets for Aces 2032, who knows. Let's hope so, which Brian Best will still be speaking it. So I just got home, I got home late last night. I remember when I was leaving everybody was like you're flying to Newark? Oh no, Newark Airport.
[00:00:34] I'm like guys, Newark Airport has been an ish show for years but like they're making such big news out of it. I had no problem getting home. Like my flight was maybe 30-45 minutes delayed and that was because it was raining in Austin and it was raining in New Jersey. I had more problems getting to Austin than I did getting home to the troublesome Newark Airport. Yeah. Considering the fact that I went to Austin with poo bags and I got off the plane with one.
[00:01:04] I'm already getting offers from United to change my flight for free for next week. For Channel Pro? To Newark, yes. Yeah, yeah, yeah. It's fine. Don't worry about it. I'm not. Yeah, I wouldn't worry about it. So depending on when this comes out, you might be listening to the day that Eric and I are at Channel Pro in New Jersey, but maybe not. More than likely. Yes. I will be speaking at Channel Pro.
[00:01:31] I have a like, I figured out my like laundry list of places I'm going. And I think after today's episode, you and I will just have like a bumper before the cold with like all of our stuff. Channel Pro, May 13th and 14th. I'll be speaking on the morning of the 14th. I'm on stage with someone else doing the trials and tribulations of being an MSP. Like the challenges. Oh, it's the challenges that MSPs in New Jersey, New York face. That's May.
[00:02:00] June is PAX 8 beyond, but I'm going as an attendee, maybe doing some podcasting. We'll see. July, I'm speaking at Mac Admins. August, I'm attending the ACN Tech Summit, which you have to be an ACN to be a member of. They haven't even released the agenda for that at the time of this recording. And they were like, we don't want to release it this week because of ACES. I was like, you guys are going to do whatever you want to do anyway. You're Apple. True.
[00:02:30] And then I think I'm off for September and then October, I'm speaking at Channel Pros again in California. I'm doing the LA show, which will be a lot of fun because I'll just meet up with some of my friends and go to Disney, I guess. Yeah. Yeah. You know, because Disney over there is different than Disney over here. It's much smaller and it's a lot easier and things like that. So yeah, it was a good time. Wait, what speaking do you have coming up?
[00:03:01] So I will be at Channel Pro next week. Okay. Then I will be at the 20 the following week. I will be at PAX 8 Beyond as well doing podcast duty there. And yes, I will be dragging you in to do something. Okay. Because it's a shame to have us both there and not do anything. Yeah, yeah, yeah, yeah. Totally. Totally. And then I hope that we are at IT Nation Connect again this year in November. That would be good.
[00:03:32] Yeah. I know we got a lot of stuff coming up and it's really easy, I think, for people who are listening to be like, you guys are just popular. Like, we put the work in to get there. I'm not popular. I just beg people. I just have you beg people for me. That's why you're the producer and I'm just the host. Better near, near, near, near.
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[00:05:00] Simple to start, easy to trust. Visit gethelp.com. That's G-E-T-H-E-L-P-T dot com. And take the stress out of support, so you can focus on growing your business. What's up, everybody? Welcome to the All Things MSP Podcast. I'm your host, Justin Escar, and with me always is my good friend and shave-vader, Eric Anthony. Still making fun of the beard. Still making fun of the beard. I'm not going to let it go. All right, Brillo Beast. Let me tell you something.
[00:05:30] Best use of chat GBT ever. You should be getting more value out of it than that. I don't need it. It's good. But you know what we like to do is bring value to people who are listening, and that's why we have a guest. I love it when we have a guest. Let's bring him up. It's Mr. John Snyder, CEO of NetFriends. They claim to be the world's best IT support company. I take offense to that. John, thanks for being here, man. Give everybody a quick two-minute spiel. Who are you? What is NetFriends? I heard through the grapevine you went to New Orleans recently.
[00:06:00] Did you sneeze powdered sugar from Café du Monde all over everyone like my family does? Yeah, well, I didn't because I've been there before, and I've had the beignets, and so I knew what to do. My kids, though, did not, and they definitely had the classic cough after the first bite. But yeah, so NetFriends, to introduce myself and the company as a whole. We've been around since 1998. We're an MSP based in Durham, North Carolina.
[00:06:29] I've been with the company since 1999. I'm not a founder. I'm a tech that ultimately became the owner. So I've been around for 26 years and really been part of multiple evolutions of our business, seeing us change and evolve in various ways. And it's been quite a ride, and we can definitely dig into any of that you like.
[00:06:53] But I definitely feel like I've achieved that work-life balance, even though it's a fairly large, small MSP. We've got about 40 folks now, so we're nice and established. We've got some good structure. And we can dig into all sorts of things. EOS and when we adopted it in 2018 or whatever you'd like to talk about. Yeah, we could definitely jump into the EOS thing. We've been talking about that a lot lately. I do really want to talk about your journey, right?
[00:07:23] Because you came in as a tech and now you're the owner. And I think I know of all of the people who I know, I think I know one other person who has done this. Talk to us a little bit about that journey, right? Because you've been with the company for a very long time. You started off as a tech. How did you even get to the point of thinking about wanting to be the owner or even approaching that subject with the person who is the owner? Because I know if any of my techs came to me and was like, Justin, I want part of ownership, I'd be like, go back to work.
[00:07:54] That's almost how it went down, actually. So I had no aspirations when I took the job to begin with. I just wanted to start working on paying back my student loans, do something different. I was actually on a different track, but it was 1999. Great time to get into computers. And so for the first several years, I just thoroughly enjoyed being a tech.
[00:08:17] I enjoyed working on all sorts of various issues, whether it was super minor or pretty major. NetFriends was pretty unstructured in the early days. I'm sure most MSPs are, but they used to throw me right into the deep end of the pool and just assumed I wouldn't drown. And so I do think a lot of great techs are forged in the fire of all the random stuff that we've got to figure out our way out of pretty much on our own.
[00:08:46] And so most of the people I've seen that have just got awesome tech chops have definitely not had mentorship through some of the formative years. They had to figure it out on their own. But for me, asking for ownership was completely born out of a leadership and vision vacuum where I'd been with the company for years. Every time the new year rolled around, I was like, man, what are we doing?
[00:09:15] Where are we going with this thing? And it took me a good bit to kind of just get up the courage to say, hey, I'd like ownership because I'd like to have some say in the direction of the company. So I'd been with the company for about eight years when I brought that up. And we had about at that point, we had about 30 people, but half of us were techs and half of us were developers.
[00:09:39] And so that's where my ownership quest started was I was feeling the company get pulled in the direction of being a software development firm versus being a service and support firm. And I wanted to lean into the service side. And that's why I wanted to ask for ownership. That's really cool.
[00:10:04] Over your time, you know, I'm going to make an assumption that the people who are the owners were good enough mentors for you to be able to become the owner yourself over time. So many people who want to become an owner or even get through that path of tech to, you know, manager, development manager, whatever. They don't know how to manage people. They don't know how to how to run a business. Right. They don't have a mentor to teach them that.
[00:10:34] Where was the upper management and that friends when you were moving up like good men? I mean, hopefully they're not listening. So you can if you want to bash them, you can. But like, were they good mentors for you or did you seek outside help to get to get to that like managerial skills? They were terrible. They were terrible. Terrible. And and and not because they're bad people. I mean, just because you're not a good mentor, leader, guide, Sherpa, pick your favorite synonym.
[00:11:02] Doesn't mean that you're disinterested or mean or spiteful or whatever. I didn't feel like there was this heavy hand holding me down. What I felt was there was just like everyone was doing their thing without much thought to the next day, the next week, the next month, etc. And when I wanted to think more strategically, when I wanted to think about where we headed, where are we going? What are we doing?
[00:11:32] No one seemed all that interested in that conversation. And if there was interest, it was typically to talk about the software products we were working on, the database, custom database we were doing. And I was like, oh, all the interest is getting in the direction. I don't want to take a a support and service company. And so that tension made me feel like I needed to do something to get on the other side of that tug rope and yank really hard.
[00:12:01] And so that's where I started asking for ownership was so I could protect and preserve the team that I felt I was part of. And I really wanted to be their champion. And like I had this formative moment that I think really crystallizes it. I walked into David. He was the founder, owner. I walked into his office for my performance review. And I didn't have a laptop at this time.
[00:12:29] I had to like borrow customer machines to put my time into. I'm not even joking. Like I had no computer that was given to me as part of the job. And I've been there for years. And I was like and I walk into his office and one of the developers had put a whiteboard in the chair facing where David sits. And it had his list of demands. And he was asking for his third laptop, his second Palm Pilot, all this stuff because he needed to do extra testing.
[00:12:56] And I was like, oh, dang, I'm out in the field, sweating, busting my hump. And this guy's, you know, up there thinking about like, oh, I want to spend more of NetFriends money. And I was like, man, I'm just I don't have a voice in this office. I don't have a voice in this room. And that's what really brought it home for me.
[00:13:18] So when because this is not an uncommon occurrence to have an MSP, especially an MSP that was started back in the 90s to have a software development piece as well as an as an IT support piece.
[00:13:33] Right. So when you came to them and wanted this 10 percent ownership, what were you offering to them in terms of your new roles and responsibilities and your ideas to move the support business forward? Right. That's a great question. So I'd really established my bona fides back in 2003.
[00:13:57] So I'd been with the company for about three to four years, and I'd created our very first recurring revenue stream. And it was actually a cybersecurity product. And I went, I created it, I sold it, and I delivered it single handedly for years. So I had already established our very first recurring revenue line. I'd gone out, I had done all of the things that you have to do.
[00:14:20] I had done the ideation, I'd done the build out, I'd done the selling, I'd done the, or I'm sorry for my poor grammar here, but I'd put everything together that made it work. So that was one. The second thing was there was a, there was a managerial vacuum. David loved saying he didn't really care about titles. He loved saying that we're a flat structure.
[00:14:44] And so, but within that flat structure, when you have over 30 folks, there's a, just a human need for some sort of organization. And, and we had a few people who had only been with us for literally weeks. And they were like, well, if you don't care about titles, how about I'm director of programming? And he's like, sure. He's like, cool. The guy literally went out and got business cards printed, changed the signature line. He was director of programming and he was like 22 and nobody knew who he was.
[00:15:14] So that stuff was happening. And, and I was, but my team was low drama and was being managed well. And they, they turned to me because I, I was, I was going to go shoulder to shoulder with them on anything. So if anything came up, there was a major project, major crisis, I would show up and I would, I was present with them until the end. I was the last guy to leave on, on any of these instances. So you take all those things together. And I think I had established my leadership on a few days.
[00:15:44] And so I, when I asked for ownership, I didn't get it, but right away, let's be real clear. My ask and my receiving of ownership was nearly a two year interminable wait fest where it was just so hard to wait for David to get all of his ducks in a row. But he did take me seriously. And he did see that I could be a successor. I was part of a succession plan.
[00:16:08] So, so I think that's kind of the fourth piece that it was a combination of both patience and awareness that I was, I could fit into David's overarching picture of what he wanted for himself. That, that, that's a big piece of it, right?
[00:16:30] Because so many people I think would go in, ask for ownership, be told no, and then they'd be a disgruntled employee until the day they decide to quit. And it seems like from what you're telling us, John, that you persevered that, which is a, which is definitely a personality trait that like a lot of people should try to pick up on. Right. Cause that, that, that, that like kudos to you for being able to do that.
[00:16:54] Cause like, I guarantee you if I was 24, when I was working for the company I worked for before I started my own and I know the owner is there. Like if I went to them and they would a hundred percent say no, cause they didn't like me, but like, I'd be like, all right, well, I'm, I, you're not making, you're not meeting my demands. I'm out. Right. Um, so there's something to be said about that perseverance to be able to, to, to push through that and still day to day, come in, bang out your job, be shoulder to shoulder with your teammates.
[00:17:23] And like lead them in a direction. So like massive kudos to you for that. Uh, for sure. I mean, especially with the low barrier to entry of being an MSP. Right. You could have decided I'm just going to go out and start my own MSP. Cause I know how to do it better.
[00:17:39] But you, I really look at it as an investment, um, in net friends where you were willing to spend the time to see probably a greater return based on something that was already built rather than having to build your own. Was that something that kind of played a role in it? Played a role. It wasn't the primary role. The primary role was loyalty to my teammates, my immediate peers.
[00:18:07] I knew that I was a vanguard for them and that if I left, there wasn't any other strong voice. I mean, heck, my voice was barely a whisper. And, um, and, and so if I left, then we would become a software development company full stop. And their, their roles would diminish. They would all leave.
[00:18:26] And we, when you shoulder to shoulder with people and you've done some really intense work together and you see their innovation, their creativity, their grit and resolve. It makes you really, you know, just bond. We had bonded. You know, I spoke earlier about being forged in the fire. Uh, some of the greatest texts are forged in the fire. We'd, we'd all been forged in that fire together. And so I felt a sense of, of connection to my immediate peers. And I, I wanted ownership, not because of selfish gain.
[00:18:56] I wanted ownership because I, I wanted the part of net friends we had worked together to build. I wanted that to be preserved. So that was a major one. But, but Justin, to speak to something you, you just mentioned, I had had this really amazing conversation with one of my clients. Uh, her name was Babs. So Babs worked at, uh, one of the law firms that I supported.
[00:19:20] And she, she was, you know, and you go into some places, it doesn't have to be a law firm, but you know, you go into some places and there's that person who knows how everything runs. And they're the, they're the true glue that holds everything together. And Babs was that person. And she was just delightful. She's great to talk to. She was heading towards retirement. She, she retired soon after I stopped, um, you know, doing that front end support for that law firm.
[00:19:48] But Babs told me this amazing story about how, um, this, the senior partner at that law firm had, had brought in the next partner. Right. The first partner, I guess you could say. And they became the two of them as owners. And what she told me was how excited that partner was that the, the, the, the hundred percent owner to bring in the junior partner. And they had had this big amount of ceremony and thought in mind.
[00:20:16] And they, so she, she gave me the perspective of like what David's perspective was thinking of it as this huge gift, huge deal once, once in a lifetime type thing. So I had that perspective. She also told me how bad it went because the junior partner felt entitled, felt like, yeah, I've done X, Y, Z. I made you all this money.
[00:20:39] So yeah, you're going to give me what's mine and just peppered them with all these nuance questions, trying to get the contract and the terms all down to more advantage to them. And just all sorts of things that soured it and made it so that that partner was literally told Babs, I don't think I ever want to do this again. That sucked. And I don't, I did not want to put David through that. I had this, I had a better awareness.
[00:21:04] Babs gave me this awareness of just how much is going through the head of an owner when they think about their succession, when they think about bringing someone in. And so you take that loyalty to my team and that incredibly formative conversation that Babs shared with me, probably telling me more than I needed to know, more than I should know. But it was amazing. It really helped me empathize. No, that's actually really interesting.
[00:21:33] You know, it's so easy for us just as humans to only ever, I mean, obviously we all only ever care about ourselves. Like I tell Eric all the time, I care about you, but in reality, like I know me, I only care about me. Right. That's a normal human trait. Like I'm not just being facetious about it. So the idea of like you making a pitch to take a piece of ownership from something Dave had built with his bare hands and as an owner, and I'm sure, you know, you think this way too.
[00:22:02] Like this is our baby. Like we don't want to give up a part of our baby to someone else. And sometimes I could see the perspective of like, sometimes it hurts a little to give it away. Like I've had deals come to me where people want, they want to buy into Virtua and they want equity. And I'm like, I don't know if I really want to give you a piece of this thing that I built because this thing is synonymous with me. Right.
[00:22:28] Like how much of, how much of, of, of Justin are you getting beyond just pieces of Virtua? So it's a, that's a really interesting thing. And, and, and, and, uh, if Babs is still around, I would say, John, go buy her. Like you should be buying her flowers every week for that knowledge because like there's like that probably was the pinnacle part of this storyline. Because, you know, without that, you probably would have still taken the perspective of like, it's my turn.
[00:22:57] Not, let me see how I can make this better for you, the person who I'm trying to take a piece of your, you know, take, take food off your plate kind of thing. Right. Absolutely. Yeah. Babs is, Babs is amazing. And, and what she did with a gift she gave to me of that story is, yeah, it's incredible.
[00:23:17] It's, it, it is probably the, the biggest factor that made me, um, you know, bite my tongue when I was just, just like, come on, David, tell, where are we? What's happening with this thing? And just keep me, keep me aware that for him, he had a lot of things he needed to sort. Right. Yeah.
[00:23:38] Um, and that is just super valuable information, I think, because a lot of people were in this kind of weird place as an industry that we haven't been very much before, where a lot of older owners are starting to age out. They're starting to think about succession. And so I think this information is probably going to be very helpful to a lot of our listeners.
[00:24:03] But I also know that we wanted to touch on EOS a bit as well, because we talked about it in the last show. This is something that, uh, you used in your journey and it sounds like you've been using it for a while now. Cause I think before we started the show, you said you started it in 2018. Correct. Yep. Yeah. We used, um, we, we had this, um, have you ever heard of a 360 review before?
[00:24:29] Or it's, it's kind of like a managerial peer review where, you know, people above you, laterally to you, below you and outside of your organization all provide like an intensive in-depth survey. It all gets combined and collated by a coach who can then say, okay, here's the findings. Here's, I know that you feel like, oh, I got a four out of five on this. Yeah. Should have gotten a five. So here's where, here's why like everyone's just being nice.
[00:24:57] Um, so you get that kind of good candid feedback and out of that, that was an early 2018. We did it, um, as a, as a leadership team, just trying to like get some feedback. Um, the coach there said, Hey, you need to read traction. He's like, just read it. It's really good. And so I, I got the book. I read it, uh, the Gino Wickman book. What I really liked about it and what resonated with me were a few things. I don't think you guys have mentioned yet.
[00:25:27] For one, it was the, the nomenclature. I wanted us to have common terms and common language we would use. You know, if I say scorecard, you know, you're in an EOS shop, that means something. If I just say score shop, scorecard to a non EOS shop. They think I'm talking about, I don't know, Friday night football, who knows? Like they don't know. So it's really important that you get the language, right? And the other thing that's really key for us about EOS was cadence.
[00:25:57] Getting those weekly cadences of the L10s and the scorecards, getting the quarterly cadence of setting rocks and goals and doing those quarterly pulse meetings, the annual cadence of the annual review and getting, getting all that together. If I zoomed out and I looked at EOS as a whole, he gave me something I could give new people who were starting here, literally an ownership manual. And here's how we talk. Here's how we do things. That's nice. And they have those that what the heck is EOS book?
[00:26:27] Great thing to toss in to any new hires onboarding stack of things. It's, it's, shoot, it's written at like third grade level. It's super digestible and it's really great. Um, also give someone a, something tactile they can hold. Um, the other, the other thing that I just found profound was that if you really follow EOS and you do the quarterly pulses in those annual meetings, you're finally spending a decent
[00:26:57] chunk of time on strategy. And by decent chunk of time, it's like five days out of the whole, out of all 260, you know, uh, weekdays in a year. So that's like what, 2% of your time. But as a, as a collective leadership team, you're spending time on strategy. Um, everyone can afford a 2%, you know, step back, stare at strategy, think deeply. Um, and EOS helps provide the framework for that.
[00:27:27] Yeah. I mean, vocabulary is so important in a business. I've been in several that, uh, you know, different siloed parts of the organization use different words for the same things. And it can really throw off an organization in the way they operate and their efficiencies and even in their strategies, because they're just not talking about the same things. That's right.
[00:27:52] And, and once you get the language, everything gets easier. Yes. Um, have you, did you, were you going to implement EOS or was that in place beforehand and you like picked it up? So I implemented it. Uh, there was a lot of skepticism. Um, I, I looking back at it, it, I think it went well with the, the owner, CEO implementing it, uh, whoever's at the top.
[00:28:22] Um, there's a lot of, there's a point where you need to think about bringing in an EOS coach and someone who can help identify inefficiencies, problems, ways to maximize the yield you get out of EOS. But for me, I feel like at least the first foray, the first six months or year, it's actually better if it's kind of homegrown home generated, uh, by someone who's a current
[00:28:51] leader who champions it. But you have to have sustain. If you do that, you have to go into it saying, I'm, I'm going to kind of put a little bit of my personal brand at risk here. Cause if this fails, my next attempt is probably going to be met with a ton of skepticism. So that's awesome. Do you, and, and as we wrap up here, how much do you believe that implementing EOS allowed you to become the world's best IT support company?
[00:29:20] Uh, uh, it's probably one of the top factors, top three, at least, um, mainly because of the, the ugly part of it, which is accountability. No, everyone loves that term. So simple to bandy about, but accountability honestly means having that get it, want it capacity to do it discussion and getting a no. What's worse is when you get a no on get it. Cause that's so hard to fix. It's usually only fixed by someone exiting.
[00:29:46] Um, and so when you have, when you go all in on EOS, you probably don't actually have the backbone to go all the way with accountability. You'll try, but you'll fight it. It's all the emotion wrapped up in it, but that's the piece that EOS helped give me the framework to approach accountability. And the rest you have to supply with your own courage and belief that it, you're going to
[00:30:13] be okay on the other side of that accountability discussion. You're going to be okay on the other side of the accountability consequences. Uh, that's really hard, easy for me to say, but I have lived it multiple times. And EOS has probably equipped us better than any other framework to recognize when we have the wrong person in the wrong seat or the right person in the wrong seat or anything like that, and actually have a conversation about it.
[00:30:40] So you can have the, you and everyone else starting to, to recognize it together and solve it together. Um, so that's, that's really key. And it fits to the org chart discussion you guys had, but it is the other side of it, which is sometimes you've got to move someone out of a spot that's not performing well. Yeah. I'm going to hold Eric accountable for editing this show. So that way I look better. That's our, that's our little EOS. Uh, John, where can people find, uh, find you online or find out more about NetFriends?
[00:31:10] Well, they can find the world's best, uh, ITCO, uh, on, uh, LinkedIn. Um, I'm, I'm John Snyder on LinkedIn. You can also email me directly at J O H N S at netfriends.com. Um, I'm, I'm, I'm always on email and easy to, to reach there as well. That's awesome. Thanks so much, John. Eric, any final words before we say goodbye to our good friends at home? Well, I just think that this has been kind of a different episode for us because we
[00:31:38] don't get to talk to a lot of MSPs. And so the first thing I'd like to say is if there are other MSPs out there, uh, that want to come on the show, we'd love to have you because it's stories like this that really show you how somebody progressed from not being an owner to being an owner, from being a tech to being a CEO and all of the things in between that they had to accomplish to get to where they are now. Yeah.
[00:32:07] I think it's a great, John, I think your story is great. I think a lot of, it might inspire a lot of people to consider if they're, if they are tech to maybe try to have those conversations with their bosses. Um, because there's nothing like, there's nothing like owning a business. Honestly, the, the, the trials and tribulations and trust me, if anyone knows me well enough knows that I am an entrepreneur through and through and like the highs normally do outweigh
[00:32:33] the lows, uh, obviously depends on the day or if it's raining outside. Um, but like it's a, it's a great thing. Uh, well that's it for us. Check us out facebook.com slash group slash all things MSP to join the Facebook group. Uh, there's 7,000 of you in there. That's crazy. It keeps growing every time we do this piece of it. Uh, we want to get, I want to get to 10, I want to see 10,000 people in there. So I don't care if you're telling your mom to join the group at this point, like let's
[00:33:00] just get to 10 more people will be in there and more people will be able to share information. Check us out in YouTube, uh, youtube.com slash at all things MSP. We're on all of your favorite podcasting tools, like subscribe, leave a review, whether you like us or not. I saw that last one on Apple podcasts. You know what? I love it. Uh, thanks for listening. That's Eric. That's John. I'm Justin. Bye.
[00:33:27] Thank you for listening or watching the all things MSP podcast. If you liked this episode, go ahead and give us a thumbs up, hit that like button and consider subscribing to catch all our weekly episodes. And from your host extraordinaire, Justin Escar and myself, Eric Anthony, your humble producer and all things MSP founder. Thank you very much for spending your time with us. If you are not aware all things MSP started as a Facebook group and now supports over 6,000 members.
[00:33:55] We also have a LinkedIn page for those of you who don't do Facebook and make sure to check out our YouTube channel for even more content. A special thank you to our elite sponsor core view, helping you manage your Microsoft 365 tenants instead of them managing you. And a big thank you to our premier sponsors. And thank you to the rest of our sponsors without sponsors. We could not do what we do for the MSP community.
[00:34:25] Please consider checking them out. The all things MSP podcast is a biz pal LLC production. The views and opinions of the hosts and guests are their own and do not reflect the thoughts and opinions of any employer vendor sponsor or random taxi driver in the Metro DC area. Be sure to join us next week for another exciting episode.