So I find it interesting how some entrepreneurs find themselves a little bit stuck with their businesses. Meaning, they are so well liked in the community and entrenched with their customers, which is great, but it's to the point that they: (1) lose work-life balance, and (2) almost preclude themselves from expanding or engaging in other broadening business ventures, because their customers become so reliant on their presence. The owners are expected to be there all day every day, otherwise the business just doesn't feel the same.
If you are initially a small business start-up, what, in your opinion, is the best way to put yourself in a position to excel with your current project, but also give yourself room to grow?
Answers
David, I will check out "The E Myth," sounds like a great read!
Great question! My small business started in April of this year and, as an Entrepreneur, I knew that for the first YEAR, I was going to have to commit to identifying my brand. Business owners need that direct contact with our customers to help us figure out what we are missing and what our customers want from us. We can't delegate it, so until we are ready to document the details of our company brand, we can't expect others to do that for us. In time, I know I will be able to train others to promote my brand. Until then, I look at it as an investment in the future of my company. Good luck!!
Depending on an entrepreneur's intial working capital, they often end up doing almost all of the business functions, including those outside of their core competency (accounting, HR, compliance, marketing, sales, etc.). Even for those who have capital to cover those non-core functions, they often have a tough time delegating the core work as demand grows.
A couple keys here. The first is, as soon as working capital allows, to delegate the non-core tasks. Also, as demand grows, to invest in building a team who can help scale the core offering of the business. This sounds straightforward enough in practice, but a lot of business owners have a tough time delegating this work on an emotional/psychological level. There's a fear that no one else will do the work as well as them, and what's worse, that fear is often justified. So, there is a real challenge to scale up the team, and let go and trust people to do their work. What's more, creating a systematized, documented version of the business requires a different skillset that doing the core work, and is also less "sexy". Combine that with all of the heroic mythology that entrepreneurs carry (late nights, early mornings, 100hr workweeks, etc.) and even when owners have the capital to invest, the often cling to their approach of doing everything themselves, often at the expense of their health, their close relationships, and the growth of their business. Another compounding factor is that before a business starts spinning off revenue, there's often a long phase of very lean living. So, when the money comes in, it's tempting to pay it out to yourself as the owner, get a new car, finally take a vacation, etc. instead of reinvesting it into the business.
The book "The E-myth (Revisited)" by Michael Gerber deals with this topic extensively...
Your business plan should be dynamic, that is to say, should be evolving as your business matures. My guru's mantra for a small business was "grow or die" and I heard it often and over many years. Dust off your initial plan, (or finally get around to making one) set the goal you described (be in a position to excel... position to grow, etc) and make a plan to succeed.
If your plan includes employees, hire slow, fire fast. When you have the right person/people, help them plan for the personal success, guide them into relationships with your customers similar to yours. Help them become your surrogate and get out of their way.
And be aware you may subconsciously be your own worst enemy in that process. A strong emotional attachment to a business you have grown from "infancy", or a certainty that no one can do it as well as I/we do, will be a drag on your future growth.
View your relationships with suppliers as partnerships, as one way of extending yourself.
And the book "The One Thing" (a very quick read) might be interesting to you. Or you can see a youtube video here https://www.youtube.com/watch?v=yUJ68z2ga1Q , but reading the book is better IMHO. Best wishes!
I agree with Mike. Setting priorities and boundaries are the first step. Developing a team who are smarter and better than you is next. Sometimes, a small business owner does not have that luxury however but learning how to say "no" is a good place to start. I believe it was Warren Buffet who said make a list of 30 things - then focus on the top 5 and ignore the rest.
The simple answer is to make yourself useless... meaning build your team underneath you so that if you are away your team is perfectly capable of running things without you. As for work/life balance.. that's easy family comes first always.
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