Growth Newsletter

In last week’s edition 147 of Growth (It’s Only $1.50), I referenced the financial impact in a family business of undercharging in error – not only from a lost profit perspective, but also from the viewpoint of the impact on business valuation.

I have a client on Sydney’s Northern Beaches that I visit quite regularly. My routine is to hop in the car early to beat the traffic, then stop off at this fabulous patisserie on the lower North Shore, three quarters of the way through my journey. My wife doesn’t know (well, she does now!), however, they do the best small quiche lorraine for breakfast that is magic.

I’ve recently starting working with some new clients who are also new to family business. I often talk about the fact that most people start in business between the ages of 30 and 45 – right at the time of life when they’re getting married, buying their first home together and starting a family. This couple fit the template to a tee!

I love trawling the vault of my iPod and hitting repeat on some great, older tunes. One of my faves at the moment is the Rolling Stones classic, Gimme Shelter, first released the year after my birth.

For over 30 years, I’ve worked with and alongside a wide variety of family businesses. For almost that entire time, I’ve never heard anyone say “I’ve got plenty of free time on my hands” if their business is profitable, successful and growing.

Have you ever been around businesses or individuals that keep promising, but aren’t delivering? It can be frustrating and forever disappointing if you’re the one being told. If you’re the one doing the telling, it can be a recipe for disaster. Let me explain.

Family business quite often has an interesting dynamic at play when it comes to spouses working with each other.

Sometimes, it is the way they talk to each other, something I addressed in Growth Edition 24, The Language of Family Business.

Last week, I took a few days away to indulge in one of my great passions. I headed off to Mount Panorama to watch the first two days of practice and qualifying for this year’s 1000 km classic. It was the final Bathurst run for the iconic Ford Falcon and I wanted to be a part of it.

If you bemoan the fact your staff aren’t doing what you want them to do, or aren’t capable of doing what you’d like them to do, ask yourself this simple question:

One of the reasons people choose to go into business is to create a better life for themselves and their families. However, in my opinion, lifestyle is the first casualty on the path to staying in business.