Is Your Business YOU Proof?

Is Your Business You-Proof?

Whether you’re planning to sell your company sometime soon or sometime in the future; now is the time to ensure that your business isn’t all about you. From the latest Sellability Score* research involving 2300 companies from around the globe, here are two key factors that are linked to the probability of getting an offer for your business when it’s time to sell.

#1: You’re almost twice as likely to get an offer if your business can survive the “hit-by-a-bus” test.

If you were out of action for three months and unable to work, would your business keep running smoothly? The more your staff and customers need you, the less valuable your company will be to a potential acquirer. One good way to start making your business more independent is to begin spending less time at the office.  Start by not working evenings or weekends, and don’t reply if employees call. Once they get the picture, the best ones will start making more decisions independently. The shift will also expose your weakest employees, the ones that need training or that need to find another job. As for you, it might come as a shock to find out how much your business has become such an essential part of you; but if you’re going to sell your business one day, you need to look at it as an inanimate economic engine, not as something that defines who you are.

#2: Companies with a management team (as opposed to a sole manager) are getting offers at almost twice the rate.

If you don’t have a management team, hiring a 2iC is a good first move. A second-in-command can help you balance the demands of running your company and advance your targeted exit time.

Here’s a four-step plan for hiring a 2iC, thanks to advice from Silicon-Valley-based Bob Sutton, author of Good Boss, Bad Boss. 

1: Identify someone internally. “The research is clear,” says Sutton. “Unless things are totally screwed up, internal candidates have a strong tendency to outperform external leaders.”

2: Give your 2iC prospect(s) a special project, one that allows them to demonstrate their leadership skills to you and the rest of your team. If your candidate or one of your candidates excels, it will be clear to your team why he or she was selected.

3: Communicate your choice. If you pick a 2iC from an internal pool, explain your choice to the rest of your team. At the same time, wrap your arms around those you passed over and make it clear how much you value their contribution.

4: Shift from manager to coach. “The transition from manager to coach is a gradual evolution where the goal is to ask more questions, spend more time listening, and spend less time talking and directing,” says Sutton.

Please leave any comments in the box below!!

How would your business score in the sellability stakes?  take this 14min quize to find out – Sellability Score

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James Lawson is a Business Transformation Coach and author located in Fairfax, Northern Virginia. He works with and helps business owners TRANSFORM their businesses from where they are to where they ultimately want to be.

Overcoming Business Frustrations

We define business frustrations as a series of specific recurring events in your business over which you feel you have little or no control.

Every business has frustrations. From small “hiccups” that hinder the flow of work, to fatal flaws that can have a devastating impact on the bottom line, and everything in between.

As it is with every challenge you face, the question is really about how you deal with it. You can ignore the frustration all together; you can abdicate and hope that somebody else will take care of it; you can apply a quick band-aid fix… But all of those options would be doing yourself, your team, and your business a great disservice.

I’d like to share this story about Debbie who owns a printing and design business. Debbie was having trouble finding the time to develop systems and processes because of constant interruptions from clients. She was getting so many project status requests that she couldn’t focus on the strategic work she wanted to do. Debbie told me that she was feeling frustrated by the fact that her customers weren’t relying on her support staff. She hadn’t taken any proactive steps toward fixing this situation because she was afraid that her clients had gotten used to working with her and she didn’t want to jeopardize the level of service they’d come to expect.

Build A Motivated Team in 21 Days

Employees want management they can look up to, not management that looks down on them.  An honest respect for all, a genuine recognition that everyone has something good to offer, is at the heart of the successful motivator. Without respect, so-called motivation becomes manipulation. And manipulation is never successful in the long term. If you or your managers cannot show respect for your people, then, before you invest time and energy in motivational efforts, get someone who can – and have them read on from here!!

Take and Interest in the Career and Personal Goals, Aspirations, Interests, Lives and Families of Those who Work with You.

No one cares how much you know until they know how much you care – about them! “Motivation” is about giving your people a “motive” for “action”. Understand what your people value, and you can easily formulate a way in which doing what you need them to do will help fulfill not just your goals, but theirs. Take and honest interest in every oneof your people and the means to motivate them will become readily apparent. Make it a goal to learn something new about at least one of your people every day.