When to Let Go

“Don’t let go too soon and don’t hang on too long.” – Mitch Albom. Quite useful advice for Entrepreneurs.

It is always a delicate balance as to when an Entrepreneur needs to let go and delegate responsibility of his/her business to someone else. If one leaves too early, the Mission and Vision might remain unaccomplished. On the other hand, hanging on too long might jeopardize long-term success.

Leaving the business to pursue other ventures is all dependent on to whom the Entrepreneur is relinquishing control. If the Entrepreneur has built up a strong leadership team and a solid foundation to accomplish the Mission, delegating responsibility to run the business to a competent CEO is prudent. However, if the leadership team and the new CEO are not seasoned and well-developed, the Entrepreneur risks a lot by leaving too soon.

Hanging on too long can be an issue also. If the business has grown beyond the capability of the Entrepreneur to successfully run it, it might be damaging to hang on to power. A new CEO is then necessary. Alternatively, if the Entrepreneur has recruited a solid leadership team and a likely CEO and trained them, hanging on will be demotivating to the capable successor CEO and the  team as they cannot show off their potential.

If Entrepreneurs run the business on their  own without a secondary leadership team and want to continue doing so, they do not face the question of leaving too early or hanging on. But is that continued retention of control achieving the Mission and Vision of the business?

Ravi Patel

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Published in: on February 5, 2019 at 4:30 am  Leave a Comment  
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Letting Go Gracefully

It is always a balance as to when an Entrepreneur needs to let go and delegate responsibility of the business to someone else. If one leaves too early, the Mission and Vision might remain unaccomplished per the Entrepreneur’s original intent. Hanging on too long might jeopardize long-term success.

“Don’t let go too soon and don’t hang on too long.” – Mitch Albom. Quite useful advice for Entrepreneurs.

Leaving the business to pursue other ventures is all dependent on to whom the Entrepreneur is relinquishing control. If the Entrepreneur has built up a strong leadership team and a solid foundation to accomplish the Mission, delegating responsibility to run the business to a competent CEO is prudent. However, if the leadership team and the new CEO are not seasoned and well-developed, the Entrepreneur risks a lot by leaving too soon.

Hanging on too long can be an issue also. If the business has grown beyond the capability of the Entrepreneur to successfully run it, it might be damaging to hang on to power. A new CEO is absolutely necessary then. Alternatively, if the Entrepreneur has recruited a solid leadership team and a likely CEO and trained them, hanging on will be demotivating to the capable successor CEO and the  team as they cannot show off their potential.

If the Entrepreneur runs the business on without a secondary leadership team and wants to continue doing so, he/she does not face the question of leaving too early or hanging on. But is that continued retention of control achieving well the Mission and Vision of the business?

Ravi Patel

www.patelCFOservices.com

Letting Customers Go

Should you let your customers go?

Some might ask what kind of question is that? Why would someone think of getting rid of their customers?

While the old saying “the customer is always right” might be thrown around, it is not necessarily true that all customers are always good for your business.

Entrepreneurs might have to stand up and exercise their leadership by letting some customers go. Which customers are the ones that might be on the firing list?

Customers who are consistently not profitable for your business are not good for the long term. It is acceptable to have lower profits or losses from a customer over a short period for a potential lucrative strategic relationship. However, if the customer over a longer period continues to be a drain on your profitability, it might be time to let them drop off the list.

Chronic complainers, without legitimate reasons, are very difficult to service and cause undue headaches for your employees. Unless the customer has genuine reasons to be dissatisfied, it is not in the best interest of management to service clients that constantly create irrational demands on your staff.

Entrepreneurs need to develop an excellent reputation for service and customer relations, but if need be it is okay to fire certain problem customers.

Ravi Patel

http://www.patelCFOservices.com

Published in: on August 11, 2014 at 1:45 pm  Leave a Comment  
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A Balancing Act for Entrepreneurs

Starting and building a company is fun and exciting for Entrepreneurs. They are involved in all functions and cherish control over details. However, there comes a point in time to let go.

Parents have a difficult time letting their children venture out on their own – from the first play date to leaving home for college.

Entrepreneurs are not so different. When their businesses grow and new management is required or when Entrepreneurs need to move on to other things in life, they have a traumatic time letting go.

Successful companies are not built on single individuals, but a strong organizational team of management leading the employees. The Entrepreneur’s role is to build the management team, inspire them with the vision, and let them execute the mission.

Enlightened Entrepreneurs accept the process of letting go gracefully, while some hold on by pretending to delegate management responsibilities but continually interfere.

Entrepreneurial company management is a fine balance between letting go and holding on.

Ravi Patel

www.patelCFOservices.com

 

Published in: on October 29, 2013 at 4:56 am  Leave a Comment  
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Letting Go

Parents have a difficult time letting their children venture out on their own – from the first play date to leaving home for college.

Entrepreneurs are not so different. When their businesses grow and new management is required or when Entrepreneurs need to move on to other things in life, they have a traumatic time letting go.

The successful Entrepreneurs are the ones who foresee such separations and prepare for such. Hiring the right management team, a capable Board of Directors or Advisors, and trust in their people and processes to continue the Mission of the company allows Entrepreneurs to easily transition away from day-to-day operations of the business.

Have you prepared your company and yourself to let go gracefully?

Ravi Patel

 

Published in: on June 6, 2011 at 5:01 am  Leave a Comment  
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