R. Shawn McBride Live

Posts for for January, 2017

Is Your Business Missing an Accounting Skillset?

Posted on: January 31st, 2017 by R. Shawn McBride No Comments

The following blog is from Sandi Leyva, a guest of McBride For Business, LLC.

In a small business, the owner ends up wearing many hats to get the product or service delivered, the customers served, and the accounts settled.  Within each functional area of a small business, there are even more hats.  Although the accounting function might be considered one big hat, there are actually a number of skills that make up “the accounting department” in a small business. Here’s a list to help you understand how it all works together.  As you read through it ask yourself how you are covering these functions in your workplace.

Data Entry Clerk

A data entry clerk typically knows how to do a few types of transactions that are routine.  Perhaps this is posting timesheets from source documents, inventory transactions, or keying in transactions from one report or system to another.  The data entry clerk usually has little or no knowledge of accounting or bookkeeping, and this person will need help when there are exceptions to the routine.

Bookkeeper

The main function of a bookkeeper is to post the transactions and reconcile the accounts of the business.  This can include a number of functions and areas:

  1. Invoicing and receipts in the accounts receivable area
  2. Checks and bills in the accounts payable area.
  3. Payroll
  4. Inventory
  5. Cash – bank reconciliations and necessary corrections and adjustments.
  6. Account analysis.
  7. Report preparation, but only to the extent that it rolls up the transactions.

Good bookkeepers will know how to work seamlessly with the CPA who is doing the taxes for the small business so that the books are in compliance with regulatory requirements.

Controller

A controller brings in advanced skills beyond bookkeeping, including financial statement preparation and analysis, budgeting and planning, cost control, risk assessment, internal control, segregation of duties, and industry knowledge.  A controller can bring valuable financial skills to a small business, and often do so by way of an outsourced part-time controller arrangement.

CFO (Chief Financial Officer)

The CFO is the highest level of accounting executive and is needed for complex strategies such as IPOs and financing for the larger company.  A small firm might need CFO-level skills in high growth situations to manage cash flow, debt ratios, and financing options.

Technical Accountant or CPA

Typically, an accountant will have a 4-year degree or a CPA or both.  In many states, the word “accountant” is reserved for CPAs.  Accountants have both education and experience in a wide variety of specialties, including taxes, auditing, cost accounting, bank financing, financial statement preparation, and more.

Tax Preparer, CPA, or EA (Enrolled Agent)

Typically a tax preparer offers tax planning, preparation, and filing in any or all of these areas:

  1. Federal and state corporate, partnership, nonprofit, or individual tax preparation, filing, and planning.
  2. Sales tax compliance and filing.
  3. Franchise tax.
  4. Payroll tax (although a good bookkeeper, controller, or accountant will know how to do this, too) and year-end requirements (W-2s and 1099s).

Management Advisory Consultant

One of the most overlooked roles an accountant can play in small business is in making process improvements in the way the staff and owner work in their business.  Often a management advisory consultant can review how a process is being performed, such as invoicing, and make suggestions on how to speed the process, bill more frequently, or other opportunity that significantly improves the cash condition.  The specialized skills of accounting, process knowledge, and software skills enable a management advisory consultant to save money for the business owner in many cases.

Accounting Software Consultant

An accounting software consultant has deep knowledge of one or more accounting software packages and can analyze the needs of the company to match them with the right accounting software.

Accounting Software Trainer

Just like any software package, and perhaps especially with accounting software, it’s not a good idea to guess how to use the software.  A software trainer will have in-depth knowledge of the tips and tricks inside the package that will save your bookkeeper (or you) time and money.

Adding Up the Value

The more of these roles you have covered in your business, the more your business will benefit.  If you have gaps, it’s likely you’re feeling the missing skillset and having issues around that area.

 

About the Author

Sandi Leyva helps owners of small businesses improve their profits through her marketing, financial, and business advice. She is an award-winning thought leader, author, speaker, world traveler, and lover of all things small business.  Find out more at sandileyva.com.    

Make sure you download our free checklist to assess your business:  www.mcbrideforbusiness.com/BlogGift

 

This posting is intended to be a tool to familiarize readers with some of the issues discussed herein.  This is not meant to be a comprehensive discussion and additional details should be discussed with your attorneys, accountants, consultants, bankers and other business planners who can provide advice for your circumstances.  This article should not be treated as legal advice to any person or entity. Freeimages.com/photographer Mimiliz.

 

Check us out on the web at www.mcbrideforbusiness.com, www.rshawnmcbridelive.com

Get Shawn’s latest book: www.mcbridebook.com

Add us on Twitter: @McBrideForBus #McbrideForBusiness #3LawsofEmpowerment

Like us on Facebook: https://www.facebook.com/mcbrideforbusiness/?fref=t

 

 

Being a Guest on a Media Appearance: 5 Tips to Rock Your Next Media Appearance

Posted on: January 30th, 2017 by R. Shawn McBride No Comments

Eventually if you build your platform enough you’re going to be invited to be on some form of media. It might be a local radio show, or it might be a podcast. Or maybe you’re going to go into the realms of television.

Regardless of the type of media, there are some key tips for you to keep in mind when you’re making that media appearance. Let’s take a look at some things you should think about.

 

#1 Be mindful. Understand the situation. Understand the show you’re going on and understand the context. Understand the goals of the show.  Tailor your comments and discuss to the target audience and the dynamics of the show.

#2 It’s not your show. They called you a “guest” for a reason. You’re coming on to someone else’s show, so you want to make sure that you’re being mindful and respectful of them and the situation.

#3 You want to add value. You’re probably thinking it’s great that I’m going to get to be on a media show. I’m going get some exposure that’s going to allow me to sell more products and services. But that’s not what it’s about. You want to add value to their show. Their audience, the people that are listening, want to get something in particular. The host has you there for a reason. Make sure you’re adding value and respecting the host and the audience.

#4 Practice. If you’re not used to an interview format, have somebody interview you. Have somebody ask questions and practice answering questions you aren’t expecting.

#5 Make sure your host look good. You’re on their show and they’ve invited you for a reason. Take the opportunity to make your host look good. Give them compliments, respect them and make them understand that you value your time on their show.

I’ve enjoyed my media appearances. Of course, I’m always looking forward to new ones in the future. These are just some things I keep in mind that I’ve learned from other people over the years.

 

Make sure you understand the full context of what’s going on and be a great guest. It may lead to more appearances in the future by the host inviting you back or other hosts that hear you as a guest wanting to have you on their show.

What are your tips for a successful media appearance? What have you done in the past? What are you thinking about for the future? Join us in the comments below.

 

Make sure you download our free checklist to assess your business:  www.mcbrideforbusiness.com/BlogGift

 

This posting is intended to be a tool to familiarize readers with some of the issues discussed herein.  This is not meant to be a comprehensive discussion and additional details should be discussed with your attorneys, accountants, consultants, bankers and other business planners who can provide advice for your circumstances.  This article should not be treated as legal advice to any person or entity. Freeimages.com/photographer Martin Simonis.

 

About the Author

Shawn McBride is the Chief Innovation Officer at McBride For Business, LLC. His signature keynote, The 3 Laws of Empowerment ( www.rshawnmcbridelive.com ), gives audiences an entertaining look at how they can prepare, plan and protect themselves. You can reach R. Shawn McBride at info@mcbrideforbusiness.com or (214) 418-0258.

 

Check us out on the web at www.mcbrideforbusiness.com , www.rshawnmcbridelive.com

Get Shawn’s latest book: www.mcbridebook.com

Add us on Twitter: @McBrideForBus #McbrideForBusiness #3LawsofEmpowerment

Like us on Facebook: https://www.facebook.com/mcbrideforbusiness/?fref=ts

 

 

 

When the Wheels Fall Off: Dealing with Difficulty in Your Business

Posted on: January 27th, 2017 by R. Shawn McBride No Comments

Every business is going to have times where things start to fall apart. Don’t feel like you are unique. You’re going to have challenges.

I’ve dealt with many businesses and I’ve read many stories of growing challenges. Almost every business has had a time of challenge, had a time of difficulty, had a time when they honestly didn’t know if they were going to survive and make it. It’s like a great story in a movie. You have a character and then you have a conflict, then you have a resolution. This happens over and over again in the business world.

There are challenges and there are going to be difficult times. There’s going to be times when it doesn’t make sense. There’s going to be moments before the great breakthrough. What do you do in those moments of challenge? What do you do where everything seems to be going wrong? One answer is focus. You need to have focus on what you’re doing, what your key activities are, where you at, where are you going to, and how are you going to keep building the business?

One of my mentors, Joe Yazbeck, wrote No Fear Speaking (www.nofearspeaking.com ) tells me that the key to fixing disorder is to enforce order. I’ve listened to his words. I’ve had times where things have become disorganized and I constantly go back and try to enforce order. As I do things start to fall back into place. Things do resolve themselves. Know that you can always do an assessment and get yourself back to where you need to be.

Look back at your core mission statement. Look at your core unique selling up proposition, things we’ve talked about in earlier blogs,http://www.mcbrideforbusiness.com/blog/shifting-gears-to-grow-your-business-to-a-higher-level/. Refocus on building volume, on what you do best, and spend your time there and allow things to get shaped back up.

Don’t be afraid to ask for help. Your time of disorder and difficulty maybe a time to rely more on your employees, friends, family and other resources. Bring in your team. Business is a team effort. We’ve talked about the value of having a team in earlier blogs,  http://www.mcbrideforbusiness.com/blog/build-the-a-team-for-your-business/. Now is the time to utilize that team and let it help you.

What’s been your experience with difficult times in your business? How have you responded? What have you done differently? How have you made things work? Share your thoughts on the comments below.

 

 

 

Make sure you download our free checklist to assess your business:  www.mcbrideforbusiness.com/BlogGift

This posting is intended to be a tool to familiarize readers with some of the issues discussed herein.  This is not meant to be a comprehensive discussion and additional details should be discussed with your attorneys, accountants, consultants, bankers and other business planners who can provide advice for your circumstances. Each case is unique. Past results do not guarantee future outcomes. This article should not be treated as legal advice to any person or entity. Freeimages.com/photographer Stephen J. Sullivan.

 

About the Author

Shawn McBride is the Chief Innovation Officer at McBride For Business, LLC. His signature keynote, The 3 Laws of Empowerment (www.rshawnmcbridelive.com ), gives audiences an entertaining look at how they can prepare, plan and protect themselves. You can reach R. Shawn McBride at info@mcbrideforbusiness.com or (214) 418-0258.

 

Check us out on the web at www.mcbrideforbusiness.com , www.rshawnmcbridelive.com

Get Shawn’s latest book: www.mcbridebook.com

Add us on Twitter: @McBrideForBus #McbrideForBusiness #3LawsofEmpowerment

Like us on Facebook: https://www.facebook.com/mcbrideforbusiness/?fref=ts

 

Thought Leadership: What Does This Mean and Why Do I Care?

Posted on: January 26th, 2017 by R. Shawn McBride No Comments

If you follow blogs, articles and other materials from a lot of different people, you’ll start seeing the word “thought leader” floated a lot. What does this mean? Why is this important to you?

Wikipedia recognizes a thought leader as quote “A thought leader can refer to an individual or firm that is recognized as an authority in a specialized field and whose expertise is thought and often rewarded.” https://en.wikipedia.org/wiki/Thought_leader

Wikipedia traces the first use of this back in 1887. Today, with the changing media and the growing social media and Internet phenomenon, many people are vying to be a thought leader and this phrase keeps coming up a lot. People want to be a thought leader because they want to be a go-to authority. This obviously brings with it credibility, the ability to be quoted and the ability to influence discussion. From this often flows monetary rewards.

As your name gets more recognized, you might be invited to author certain materials (whether they are books or articles), you might also get speaking opportunities, appearance fees or other amounts for being a thought leader.

A lot of people want to be a thought leader. How do you become a thought leader? Well, the paths to being a thought leader are greatly varied, especially today.

We’re living in an age of decentralized media. The central authorities, the major broadcasters (Fox, CBS, CNN, NBC), are not having the authority that they used to have. They don’t control all of the discussion. The Internet is allowing people to go through other means, whether they be blogs, webcasts, video chats or YouTube videos. There are so many channels, now where people can be seen.

The key these days to being a thought leader seems to be expressing thoughts in a particular area and building a following. It doesn’t seem to matter as much which medium you’re picking. The key seems to be to be a great thinker and to allow your tribe to build around you, to allow people to find you, to be specialized in a particular area. This is wonderful news for perspective thought leaders.

While the field is getting crowded and there’s a lot of people out there vying to be thought leaders, any one person can possibly become a thought leader by picking a medium of their choice, staying true to their message, learning, growing and building a following.

This truly is a unique time. We talk in The Three Laws of Empowerment (www.rshawnmcbridelive.com) about preparing yourself, and this is one of those areas where somebody can prepare, build a plan and become a thought leader. It’s truly an empowering time.

 

What are your thoughts on thought leadership? What’s been your experience? Have you followed any particular thought leaders? Do you have dreams of being a thought leader? Join us in the comments below.

Make sure you download our free checklist to assess your business:  www.mcbrideforbusiness.com/BlogGift

 

This posting is intended to be a tool to familiarize readers with some of the issues discussed herein.  This is not meant to be a comprehensive discussion and additional details should be discussed with your attorneys, accountants, consultants, bankers and other business planners who can provide advice for your circumstances.  Each case is unique.  Past results do not guarantee future outcomes. This article should not be treated as legal advice to any person or entity. Freeimages.com/photographer Christopher Bruno.

 

About the Author

Shawn McBride is the Chief Innovation Officer at McBride For Business, LLC. His signature keynote, The 3 Laws of Empowerment ( www.rshawnmcbridelive.com ), gives audiences an entertaining look at how they can prepare, plan and protect themselves. You can reach R. Shawn McBride at info@mcbrideforbusiness.com or (214) 418-0258.

 

Check us out on the web at www.mcbrideforbusiness.com , www.rshawnmcbridelive.com

Get Shawn’s latest book: www.mcbridebook.com

Add us on Twitter: @McBrideForBus #McbrideForBusiness #3LawsofEmpowerment

Like us on Facebook: https://www.facebook.com/mcbrideforbusiness/?fref=ts

12 Minute Interview

Posted on: January 25th, 2017 by R. Shawn McBride No Comments

Egal: Hi, this is Egal Jones. I love great conversations where life’s journey is communicated through not only words but also tunes and emotions. Explosive Express allows you feel what they felt and learned. A fool learns only from his mistakes, while the wise learn from their own and those others have made. Thanks for being her with us.

Good night, Shawn McBride. How are you doing on this wonderful, beautiful night?

Shawn: I am loving life. I have had a good day and just enjoying it. Now we get a chance to chat and meet somebody new. It is always fun.

Egal: Wonderful, It is always fun to meet someone new. It is my honor to meet with you. Where are you in the world, Shawn?

Shawn: I am in Dallas. Well, I am based in Dallas. I am actually in Florida right now. I am typically in Dallas as home base.

Egal: You are close. You are close to the Caribbean man. That is great. Tell me, which of your talents Shawn is responsible for us meeting?

Shawn: I think it is networking. I know many people in the world, and I have been doing much public speaking. Through some of my contacts in the public speaking world, they mentioned that you were doing the podcast 12-minute interviews. I saw the link, and I said “Okay. Why not so this? Sounds like a fun thing.”

Egal: Who did you learn the skill of speaking from?

Shawn: I learned it over the years. I studied a little bit in college and high school but did not have a passion for it. I became a lawyer, started working with business owners, and as the journey happened, I started speaking a little bit here and there. I looked at my client list, and I said: “You know, I should be speaking more because many of my good clients I met through speak engagements.” So, I became more intentional about it.

Egal: Tell me, what is the passion part of speaking? Is it the beginning, the middle of what you are saying or the ending?

Shawn: I am an educator at heart. I like people. I like spreading messages you know. Speaking gives me a chance to get in front of people and to help them find their way.

Egal: Interesting, you are speaking specifically to what?

Shawn: I have a signature keynote called The 3 Laws of Empowerment. It is really about planning. It focuses a lot on companies and building companies that last stand the test of time. It is a message I am very passionate about. I think people need to be more intentional about their planning and make sure that they have their risks covered. When people do that kind of preparation and planning, they are setting themselves up on a path to success.

Egal: I love it. I love it. Why will you continue to speak the way you are speaking currently?

Shawn: I just love it. It is something I got to enjoy really, and I intend to continue it. It is fun for me. It is enriching. It changes lives. I have had people that have either seen me present The 3 Laws of Empowerment live, or I have a book that matches it. We are editing and adjusting right now, but a couple of people have read it. They say they changed their career paths. They changed their life’s path. That keeps me going. We are helping people.

Egal: Wow! Tell me about Business Blunders before we go in. Business Blunders, the book.

Shawn: Business Blunders is my first book. It just came out earlier this year. It is about mistakes we have seen business owners make. Practicing as an attorney, I had clients that came to me a little too late. They had got themselves into a problem or a situation, and they were looking for a solution. I said, “Why don’t we fix these things before they became a problem?” Therefore, I chronicled ten common mistakes I saw business owners make, put them all in one place. The business owner who wants to avoid problems can kind of use this as a checklist. Making sure that I am protecting myself in these various ways and that they use this. It usually helps them find a place or two where they can make their business stronger, where they can strengthen themselves. That helps save problems before they happen.

Egal: Interesting, let me now I am the business blunderer, right. So, let me hear. Give me one. I will tell you if I did it. Let me see if I am on that list.

Shawn: One blunder I have is when you form a company; many people assume just because they formed a company that they have liability protection. That is not always the case. Especially in the US, there is a lot of litigation going on, and people will try to poke holes in it. We tell people it is not just forming with the state. It is not just doing that, but you have to run yourself like a company. Keep the right books and records and treat yourself formally to protect your personal assets. Many people make the assumption that oh I filed with the state, I must be good. I do not have to worry about this anymore. It is not quite that simple.

Egal: Well, I have not made that one as yet. It is different in Trinidad. It is different.

Shawn: You do live in a different environment. We are just very litigious in the US.

Egal: You guys, well not you, but there is so much swing going on. It is like wow. You could get sued for having water on the floor, and someone slips and falls. Right?

Shawn: Well, it is an allocation of risk. The US likes to place blame, or place responsibility. It does force people to be more careful, which is the positive side of it. Business owners will go out and take more care because they do not want to get sued. At other times, it just gets ridiculous. People sue for things many people say why that was a lawsuit; it was not that bad.

Egal: So, tell me one thing. I am glad I am not in your book, but you know what … the things about learning about mistakes like I said, you know. The fool learns from his mistakes while the wise learn from their mistakes and the mistakes that others have made. That is the great beauty of your book. That is why I will “buy,” because, hey, if I can look at the mistakes that other make, if I am opening up a business in the US, then cool. You know, it helps me not to make blunders. Right?

Shawn: Exactly, We can all learn from each other, you know. That is right. We are all going to make mistakes. We are all going to have problems, but if we get ahead of it, if we start looking at what other people have done and learn from them, then we just speed up our learning. We stop many problems before they happen.

Egal: Yeah, I love that. Share with me one thing Shawn, you have done consistently over the past three years, please.

Shawn: I am a consistent reader. We just talked a second ago about books. That is one thing I am always doing; I am learning lessons. I will see weak spots in my business or weak spots in my professional abilities, places where I can be better, and I will say “Okay, let’s get some more skill in that area.” We will step it up a level, and we will step it up a level. I think consistently learning from others, being open to new information. Books are one of my primary sources of learning from others is – what have other people encountered, what have they done, what lessons can I take from them?

Egal: How does it make you feel?

Shawn: It empowers me. I talk a lot about the word “empowerment.” It is something that I kind of as I worked with business owners and been a lawyer and kind of pulled this message together, it is something I think about a lot. You can empower yourself. We all have the power to be who we want to be. To build the lives and careers we want. As you become more intentional, you get more power. As I learn more and am more able to develop skills and to round myself out and build the life and business I want, you feel more and more empowered. You feel like you are in control of things. You can be intentional and set the direction that you want to go.

Egal: Suggest to someone over there. Why they should do what you have done.

Shawn: I think it just feels good to be able to be whom you want to be. As I have worked with successful business owners over the year, as I see themes among the successful, they have businesses that reflect their personalities; they reflect who they are. How wonderful is that, to be able to go to work every day or to engage in what you love and be the person you are and not have to pretend to be somebody else, or not have to fit into somebody else’s boxes. That is what I encourage everybody to do, is take a close look at who you are and what you are doing. Are you whom you want to be?

Egal: Love that. Love that. To the start of this conversation, you said that. Right? You love people who set big goals and go after their dreams because they love it. Right? It is very important, plan well so you can continue to do it. Right?

Shawn: You do not want just to be an event. You want it to be a lifetime, a career, a calling. You do not want to get there and then lose it. Unfortunately being the lawyer and having worked with some business owners, I have seen some people build some really nice stuff, but then they lose it because they did not take the right steps to protect themselves. They got into a dispute with their business partner. Various things happen that cause them not to get what they deserve. Work hard. Build what you want, but then also, make sure you get to keep it, you get to protect yourself.

Egal: Love it. Let us switch gears for a bit now Shawn. Let me invite into my time machine that is surrounded by beautiful, warm, blue Caribbean water. Shawn, what is your earliest childhood memory?

Shawn: I remember when we were very young and my father took me to work with him. It was Christmas. They were having some odd thing going on. He worked in the steel mill. For whatever reason, he had to take me with him. He took me with him, and he put me in the lady’s bathroom because he was out there working with his co-workers and there were no ladies in the office. So, I spent part of the day in the lady’s bathroom because my father had to work.

Egal: Wow! That was fun.

Shawn: Well, you know, I was a kid, and I was still at that age where you do what you are told, and I just remember. It was nice being at work with my father. It was just one of those things where I was young and did not think much about it. It was just nice to be work with my father, and I spent the day there.

Egal: Wow! Why do you think this memory is so clean?

Shawn: It was different. It was unusual. I think it was not your everyday event. I have always been close with my parents. I am an only child. I bonded with them. Even at that young age, just seeing part of my parent’s lives that I did not normally get to see. You are used to being at home, and parent’s come home to you, and you have that environment that you are used to, and now I was in a different environment.

Egal: So tell me, if we fast forward to when you were 12, what was your favorite song, Shawn?

Shawn: You know, I loved that song La Mamba. That was a very popular song and you know I was a little bit older at that point even when I was 12. For whatever reason, I do not know if it was a different cultural song or what enticed me with that song, but I found it interesting. It is musically different from other songs that were on the radio.

Egal: All right my friend. We have arrived at our destination, but before we get off of this time machine, there is more declaration form, yes, or no. Shawn, have you chosen someone to pass on your skills to?

Shawn: You know I do not have one mentee, but I have had several over the years. I love to educate. That is one of the reasons I speak, and that is one of the reasons I train. I have people that have come into my life at different times, and I always have a couple of mentees at a given time. I have people that I am working with.

Egal: Are you married?

Shawn: Nope. I am Single.

Egal: Do you have children?

Shawn: Nope. I don’t have children at this point.

Egal: Do you believe in God?

Shawn: I believe in a higher power. I believe there is something that has ordered this and created this. I am not sure exactly what that is defined as.

Egal: Do you have an inner circle of friends?

Shawn: I do.

Egal: Do you watch TV for more than three hours a day?

Shawn: No.

Egal: How about three hours a week?

Shawn: During football season.

Egal: All right. How about screen time. How about screen time. Do you do more than eight hours or less than eight hours on the phone or the computer?

Shawn: At the computer, I probably would average eight hours a day, I would think.

Egal: Okay. Shawn, this was a great pleasure man. Before you leave, is there anything you would like to share with our amazing audience?

Shawn: I just think it is amazing that you are spreading this word in everybody and I think to protect yourself. Look for where you are. Be intentional about your plans. Don’t be a passenger in life. Grab the reins. Start building direction that you want to go.

Egal: Love it. Love it, Shawn. Hey, Shawn McBride, thank you for being on 12 Minute Convos with Egal Jones.

 

Make sure you download our free checklist to assess your business:  www.mcbrideforbusiness.com/BlogGift

This posting is intended to be a tool to familiarize readers with some of the issues discussed herein.  This is not meant to be a comprehensive discussion and additional details should be discussed with your attorneys, accountants, consultants, bankers and other business planners who can provide advice for your circumstances. Each case is unique.  Past results do not guarantee future outcomes. This article should not be treated as legal advice to any person or entity. Freeimages.com/photographer Krzysztof Baranski.

 

About the Author

Shawn McBride is the Chief Innovation Officer at McBride For Business, LLC. His signature keynote, The 3 Laws of Empowerment (www.rshawnmcbridelive.com/3laws), gives audiences an entertaining look at how they can prepare, plan and protect themselves. You can reach R. Shawn McBride at info@mcbrideforbusiness.com or (214) 418-0258.

 

Check us out on the web at www.mcbrideforbusiness.com, www.rshawnmcbridelive.com/3laws

Get Shawn’s latest book: www.mcbridebook.com

Add us on Twitter: @McBrideForBus #McbrideForBusiness #3LawsofEmpowerment

Like us on Facebook: https://www.facebook.com/mcbrideforbusiness/?fref=ts

 

 

 

Live Your Business Dream

Posted on: January 25th, 2017 by R. Shawn McBride No Comments

Dreams – it’s what it’s all about. I’m fortunate. I get to speak about The Three Laws of Empowerment ( www.RShawnMcBrideLive.com ) and help people really live their dreams, build the companies they love and companies that last beyond them. It’s fun to watch that. Some people haven’t gotten the message. They haven’t learned that they can live their dreams. There’s a lot of us out there that help spread this message, that people can live their dreams. It takes some faith. It takes some understanding and belief that you too can live your dreams.

I want to address this blog to those of you that are on the fence, that don’t think that dreams are possible, or that think that you are stuck.

Let me tell you, you’re not stuck. Business is a journey. Those that have empowered themselves, that have actually taken the initiative to start building the lives that they love, a business that reflect them and that allow them to be themselves, have been met with great success.

Now, I won’t tell you the journey is easy. It can be one of the most difficult things you’ll ever do; to start building a successful business that reflects you. The stories of struggle are real, and many of the most successful people that you see have had dark periods. They’ve had times that they’ve struggled and somehow they persevered through.

The common theme I’ve seen among the successful is that as they’ve persevered through, as they’ve made and built their success, they become happier and happier, because they can be more and more themselves. They have businesses that reflect them. Their lives and their businesses are aligned. Everything comes together.

I want you to stop and think about that. I want you to look at some of the most successful people and what they’ve done. What you’ll see is that they’re spreading messages which are very consistent with who they are. They’re selling the products and services they believe in. They’re living happy lives because they’re doing what they enjoy, and they’re helping others generally, others that are paying for their product or service.

You need to dream big. We are in a time of empowerment. Each of us gets to choose what we do with our waking hours. We get to choose how we build the lives we want. We need to take that option. We need to seize the moment, and be the person we can be.

 

What are you doing to dream big? What dreams do you have that are unmet? Does your business truly reflect who you are? Or, are adjustments needed? Join us in the comments below.

 

Make sure you download our free checklist to assess your business:  www.mcbrideforbusiness.com/BlogGift

 

This posting is intended to be a tool to familiarize readers with some of the issues discussed herein.  This is not meant to be a comprehensive discussion and additional details should be discussed with your attorneys, accountants, consultants, bankers and other business planners who can provide advice for your circumstances.  This article should not be treated as legal advice to any person or entity. Freeimages.com/photographer Griszka Niewiadomski.

 

About the Author

Shawn McBride is the Chief Innovation Officer at McBride For Business, LLC. His signature keynote, The 3 Laws of Empowerment (www.rshawnmcbridelive.com ), gives audiences an entertaining look at how they can prepare, plan and protect themselves. You can reach R. Shawn McBride at info@mcbrideforbusiness.com or (214) 418-0258.

 

Check us out on the web at www.mcbrideforbusiness.com , www.rshawnmcbridelive.com

Get Shawn’s latest book: www.mcbridebook.com

Add us on Twitter: @McBrideForBus #McbrideForBusiness #3LawsofEmpowerment #LiveYourDream #BusinessDream

Like us on Facebook: https://www.facebook.com/mcbrideforbusiness/?fref=ts

 

Building Procedures: A Systematic Approach

Posted on: January 24th, 2017 by R. Shawn McBride No Comments

We talk a lot about procedures. We talk a lot about building companies that last, that are bigger than the management team. Part of that is procedures. In The Three Laws of Empowerment (www.RShawnMcBrideLive.com ) we talk about building companies that last, using plans, and other techniques to make something bigger than any one person. Part of that is having processes and procedures. Anytime you have a company, you want to have process in place. I often say, “If there’s a problem in your company, it’s one of two things. It’s either the employee didn’t follow the process or procedure, or the process and procedure is broken.”

Let’s think about that for a second. If you have processes and procedures in place, certain ways of doing certain routine activities in your company, then anytime there’s a problem or error, we can go back and see why that error occurred. Without a process, it’s going to be a lot of randomness. One employee may do it one way, a different employee may do it a different way, and we’re not going to have consistent outcomes. If the employee is following a process and procedure and there’s a problem, then we can go back and adjust the process and procedure, and we can collect data among multiple employees. There’s also replaceability; if one employee is unable to work for a period of time for any reason, somebody else can jump in and do the process and procedure that is documented. The company continues to move forward.

While process and procedures are very valuable, they can be difficult to develop. It can seem overwhelming to process build your company. How do we do it? What are some practical steps?

 

#1Get your team involved. Have everybody discuss the need for processes and procedures. Have everybody work together. Have them build processes and procedures. Discuss what’s happening, and have an employee document exactly what they’re doing. It doesn’t have to be perfect. It’s just a starting point.

#2 Write down a workflow built on process and procedure. In this method you actually have somebody take a piece of paper and follow how a customer is interacted with in the office. What steps happen? How are those processes built? How is the telephone answered? How is the client brought into the company? How is the order placed? How is it documented? What filing is done? You follow the process of how a customer comes into the company and what happens, and that’s the start of your process and procedure. Once it’s documented, then we can start to look at improving and adjusting and enhancing that process and procedure.

 

The key here is to get the process started. There’s no right or wrong way to start the process of documenting your processes and procedures. The key is just to start getting something on paper. Start writing it down, start having discussions. As soon as you have something written down, then your team can visit the process and procedure and start adjusting it. You can have periodic meetings and figure out what’s not working in your procedures. It’s been my experience that once procedures are in place, employees get excited about making sure those procedures work well, adjusting those procedures, and understanding what happens. It’s a great way to build a consistent and uniform culture across your business.

 

What’s been your experience? Do you have adequate processes and procedures in your business? Are you lacking? What are you going to try to do differently? Join us in the comments below. We would enjoy hearing from you.

 

Make sure you download our free checklist to assess your business:  www.mcbrideforbusiness.com/BlogGift

 

This posting is intended to be a tool to familiarize readers with some of the issues discussed herein.  This is not meant to be a comprehensive discussion and additional details should be discussed with your attorneys, accountants, consultants, bankers and other business planners who can provide advice for your circumstances.  This article should not be treated as legal advice to any person or entity. Freeimages.com/photographer Hans-Gunther Dreyer.

 

About the Author

Shawn McBride is the Chief Innovation Officer at McBride For Business, LLC. His signature keynote, The 3 Laws of Empowerment ( www.rshawnmcbridelive.com ), gives audiences an entertaining look at how they can prepare, plan and protect themselves. You can reach R. Shawn McBride at info@mcbrideforbusiness.com or (214) 418-0258.

 

Check us out on the web at www.mcbrideforbusiness.com , www.rshawnmcbridelive.com

Get Shawn’s latest book: www.mcbridebook.com

Add us on Twitter: @McBrideForBus #McbrideForBusiness #3LawsofEmpowerment

Like us on Facebook: https://www.facebook.com/mcbrideforbusiness/?fref=ts

 

 

 

McBride’s Interview about Things you need to know for your Biz for 2017!

Posted on: January 23rd, 2017 by R. Shawn McBride No Comments

R. Shawn McBride interviewed with Holly Signorelli, CPA (also known as The Money Therapist — www.moneytherapist.com) about Things You Need to Know for Your Business in 2017.

You can find the full interview here: https://www.facebook.com/DoYouKnowWhereYourMoneyIs

 

Holly: Hi everyone, it is Holly the Money Therapist, and this is my good friend and attorney Shawn McBride. I can say this.

Shawn: Nice to see you

Holly: We are here to talk to you guys about 2017, and some really basic and simple things that you need to know for your business. Some of them may seem obvious, but many people ask me these same questions. Thanks for coming today, Shawn

Shawn: Excellent, well I am glad to be here. I think there is some stuff that is excellent for people to know, and just things that we can help them know more about.

Holly: What would you start than with that? What is the most important thing that somebody needs to do at the beginning of the year?

Shawn: The beginning of the year is a great time to go back and revisit whom you are, and what you are doing, and what the business is all about. I think the very important thing is, did we do the basic blocking and tackling? Many people probably had a strong 2016s. It was a good year financially that happened. Did you make sure you setup your LLC when you formed your company? If you have a business partner involved, did you have a partnership agreement with that partner? Then longer term, have you already thought about your exit? Have you thought about what day you are going to do something different from what you are doing with your business? If you have not thought about these basic things now’s a great time to go back and shore up that footing and set yourself up for the future.

Holly: We have talked about this before, but I do not think enough people actually know this, is when you set up your LLC you have to decide what kind of LLC you are going to be. For most small businesses, the best choice is an S Corp. It is one of the few things that the IRS has for small business to save a significant amount of taxes. We do not want to get into too technical stuff right now, but most of the time for small business that is the S Corp that saves you money. Unless you are doing real estate, investing and then typically it would be a partnership at least that is what I have seen. What do you think about that?

Shawn: I mean it depends on the circumstances, but yes, we definitely see S Corporations very common. What we will often do is set up somebody with an LLC with an S Corp election because now with the check-in-the-box regulations that have been around for quite some time now we can blend the two. Many people like the flexibility and freedom of an LLC.

Corporations tend to be very formulaic, boards of directors, have to have meetings, and this is just not, what a small business owner wants to be messing around with. They want to run the business and the LLC. If you set your LLC agreement up correctly, you can rather avoid that issue of, “Do I have to have more resolutions? Do I have to have meetings for this?” We can authorize a lot of stuff within the LLC agreement, so we often marry the LLC with the S Corporation taxation. Then when we start seeing stuff like real estate or other things we may have to have specific of what’s going on in that deal.

Holly: I love what you say about the exit plan. Some people think that is as if you are making something negative happen, but it is really the other way around. When you have an exit plan then when things go wrong, because they always do, or you have problems with partners, or you are fighting about something, at least you know what is going to happen if you do dissolve the partnership. Then you know what the exit plan is.

Holly: When you do not know what is going to happen, that is when the fear sets in and then there is kind of like that dark cloud over your head. Then you have a fight with your partner, or you are just not on the same page anymore, and then you start worrying about what is going to happen with the assets and the money? How is this going to be distributed? Then that is when things get nasty and more attorneys get involved, and lots of money goes out the door.

Shawn: That is one of the goals here is to avoid these problems before they happen. We are all going to exit our business in one way or another, right? Regardless of what we are thinking, at some point, we are going to die and walk out of our business. At some point, we are going to leave our businesses, right? We have to face reality. When we have a partnership, we have multiple people involved with this. It is rare that we are going to exit at the same time.

What I urge all business owners- partnership, individually owned, single owner companies, does not matter- you need to start thinking at some point, at least five years before you exit your business, maybe even more, thinking about what that will look like. What would be your exit scenario, how would that happen? Then you can start putting all the documentation together and doing the things, you need to do in order to make a smooth, quiet exit that works.

This is going to be simple stuff. Going back and revisiting your contracts. These all get reviewed as part of an acquisition. If you sell, your business to somebody is going to come in and look and read all your contracts. Do you have the right provisions in there? Are they transferrable to the new owner? Are you going to have to renegotiate some contracts? These are things that can really influence the value of the business, but they are very simple to do if you do it in enough advance of the exit.

If your business is starting to pick up steam, you had a good 2016, good 2015, now beginning of 2017 great time to sit down and say, “What is my exit plan? When might I exit?” Now you can start doing very little things incrementally over the next several years, which are going to have a huge impact on the potential value of your business when you exit.

Holly: Exactly, Many times new businesses have to have some kind of loan or capital because if they try to use their own money that can be very stressful too like you are watching your bank account go down and it is kind of a psychological thing.

If you do have a loan, then you want to have that as part of your exit plan too. It is easier to sell your business if you do not have debt. I have seen a lot of times, and I have seen this very recently too when you do have much debt then you will do not get the sale price that you want because it is just like anything else when it comes to money. The value of money to someone else is based on their perception of the situation. If they are looking at you like, “Oh, this person has all this debt,” they are going to offer you less money.

Holly: It is not always that, “Oh, okay this is the value. Someone’s going to buy it for this.” Not if they see that, you may have some cash flow problems and things like that.

Shawn: Little things like that. Interestingly, I was working with some people on a partnership scenario, one of the partners was looking at potentially leaving the business, and of course, there are guarantees on the loans, so that is a problem. If that partner leaves, they exit the business, and that is great they are out potentially from liability depending on what is in the LLC agreement, there could be some gotchas there. That partner might be out on that level but then if that loan goes bad and the personal guarantee gets triggered that partner might be in for a big surprise.

We need to think very carefully about how these things happen, exiting when there’s a loan involved. Ideal world: no loans at all. If there is a loan involved make, sure you are getting yourself out from underneath those personal guarantees. You do not want that thing to show up later and demand money.

Holly: It is like student loans. You do not want it following you around for the rest of your life.

Holly: Think about that kind of stuff.

Holly: Let us switch gears a little bit. There are many things that I think, again, may seem basic but many people do not know. One of them is about the home office deduction. Some people are afraid to actually take the deduction because they think when they go to sell their house that they are going to have to pay some capital gains, but that has not happened for a long time.

Back in the day, people that had a home office would also depreciate it so they were taking an extra deduction against the house itself and then when they sold the house they would have to pay a capital gain on there. That makes no sense now because now if you are married, you can have a $500,000 gain, and you do not have to pay tax on it, or $250,000 gain, so it is rare that anybody even has to pay that.

Having a home office is really important as long as you do not have another office. You can have a home office and another office, but you cannot take the home office deduction. Many people do not realize that. If your home office is your only office, then you can start your miles from there, and many entrepreneurs are in their car a lot.

Holly: Do you see that?

Shawn: Oh yeah, that is part this day of the small business world. Obviously, people are traveling around, and in person, despite all the technology, we are speaking face to face over the Internet right here and people watching us, and it is great stuff, but many times, it is better actually to get together in person, review to eyeballs. Yeah, people are using many miles to out to see other people.

Shawn: Keep track of that and having that there and knowing when and where to stop that meter, very, very important stuff.

Holly: Yeah, it is important. I actually, last year, started using the Miles app and it is on my wall if anybody is watching this or at the Money Therapist because there is a 20% discount. It is an inexpensive app, and there are many miles apps. You can use any one that you want. If you pull it up on your phone, you will see lots of different apps, but Miles IQ I love because everything is satellite and when you are in your car, you can swipe whether it is personal or business. Then you can actually make some notes for like whom you were doing business with. In addition, it is intuitive, so if you are going to the same places sometimes, certain clients, it is going to remember that, and it just gets easier.

What is important is the IRS lets you have 53 and a half cents, I love it, 53 and a half cents per mile for 2017. If you use an app like that, you are going to get more miles because when people try to do it manually, they do not get as many miles as they do when they use an app. You can get a large deduction. It is on my wall, but if you have 10,000 miles, which is not a lot for an entrepreneur that is networking a lot and meeting with clients, then you would get a $5,300 deduction or a $5,350 deduction.

Shawn: There you go. That adds up when you do 10,000 miles.

Holly: With some of these people in construction or realtors, they put 20,000 miles on their car, so it is important to navigate between whether it is business or personal. Many people, they do not have those apps, or even anything did manually at the end of the year, and then it is difficult to get the deduction that you should be able to get.

Shawn: Right, exactly. Yeah, that is the kind of thing where thinking now at the beginning of the year makes a big difference. You wait a little bit too long. So many of the things we’ve hit upon are just really checking a box and getting something started now, whether it’s starting that expense tracking now or LLC updates now, thinking about that exit plan now. The time is now for a lot of this stuff to go ahead and start putting things in place, so you have a smooth year.

Holly: Yeah, and just everybody remembers out there, there is a lot of stuff that you do not know that you need to know, so it is important to talk to somebody and to get with an attorney. I have always used my attorney for any contract or anything, and it has always helped me. He has never let me down. There are things that they tell you and ask you about that you are not even cannot. Even if you are doing a will or some kind of a buy/sell agreement for your company, or even just contracts for your employees or your contractors, you want to go ahead and take the time to find out what you do not actually know because that’s what can really hurt you nowadays.

Shawn: Yep, that makes perfect sense; that is where the gotcha is. Most of the time when clients come to me it’s, “I wish I had known that. I wish I had thought about that.” The proactive clients get here early, and the ones we love to work with, but not everybody realizes something and the ones that run up the bigger legal bills unfortunately often wait a little too long. They thought their LegalZoom form would be perfect, that contract they copied and pasted off the internet would get them there, and a problem happened with that internet contract or whatever.

Holly: Yeah, I see that a lot too where somebody does that themselves. If you understand it that is fine, I know you want to save a little a bit of money, but many times I end up having to fix something, clean it up.

Shawn: Exactly Right.

Holly: Yeah, Then it’s just so much more complicated the second time when you are trying to fix it than just doing it right the first time.

Shawn: Definitely

Holly: At least if you are going to do it yourself out there still talk to … Like, have a consultation with Shawn or someone like Shawn because they will give you the advice. Again, they are going to ask you questions that you were not even thinking of so that at least if you are going to do something on your own, then you will have the advice. I do that sometimes when somebody has an easy tax return, and they just want to get some advice on how to do it and it is something that they can do on TurboTax, but they just need a little bit of guidance so that they do not forget something.

Shawn: Yeah, Just that little tips with the mileage app. I mean if you pick up an extra thousand or two thousand miles in a year because you have that better tracking system versus writing it down on paper or trying to use your memory that pays back that bill right there and avoids a problem down the road.

Holly: Exactly, I think the app’s only like $40 anyway and again it just, yeah, pays for itself. For a while, I was putting stuff on my phone, like with the calendar, but that is a real pain in the ass. Let’s be honest. That just takes too much time, and then you have to remember to start and stop the miles. That is why I am a big fan of it now. I think little stuff like that can save you a lot of money and a lot of grief. Nobody feels like they have enough time anymore, so anything we can do to save time is good.

Shawn: Yeah, exactly Time is a very valuable asset when you are running a business. You are usually trading time or money all the time.

Holly: Yeah

Shawn: That is your main resources of a business owner, particularly a small business owner.

Holly: Yeah, That is the other thing too, when it comes to time, is do not be afraid to get an assistant. You do not have to have a full-time assistant; there are virtual assistants. In addition, if you have another friend that has a business and you each just need like 10 hours a week then you could share an assistant. I see this where people are just trying to do everything, and then they are just really strung out all the time. I am here to tell you; you are going to make more money when you delegate more. Then you can also have more time, and then you will get back to your clients faster and better, and you will not be strung out, so you will be present when you are with them.

Shawn: Absolutely this is something I talk about a lot when I am speaking is getting that help. It’s basic economics. Do what we are best at rather than try to do everything. We are going to add more economic value. It is part of the entrepreneurial journey. I think we are all at different degrees and are not great at this early. It’s something I have built up over time, but more and more I get focused on doing the things I am best at and add the most value, and do less and less of those things that don’t add as much value.

Holly: Right

Shawn: I think we all need to be on that same journey. I will tell you, just what you said. Business owners, when you start focusing on what you are great at and letting other people do the things that you do not add as much value at or within their wheelhouse, that is when you are really going to start picking up steam.

Holly: Yeah, It is true. I know last year I tried to learn a lot of technology, and I am pretty techie, but there are some things that I am just not good at. I was like, “Oh, I can learn this,” and I was just spending so much time doing it, versus just paying somebody to do those things. We do have to keep up with technology definitely, but it does not mean. I mean there’s something new every week so let somebody else do that so that you can do whatever it is that you do best that made you want to have your own business, to begin with.

Shawn: Exactly. At one point we were rolling out some video and some other technology, I went to my camera guy, and I said, “What do I buy?” For him, it did not cost me anything because he was already working with me on other video projects; I was already paying him for that, so he threw it in as a freebie. What would have taken me hours and hours of research, reading articles and I probably would have got the wrong answer, he can answer in a minute because he knows, he’s in that market.

Holly: Yeah

Shawn: That frees me up three, four hours on that little tiny project right there that I now can spend talking to my best clients, or speaking somewhere.

Holly: Yes

Shawn: Letting people know who I am, doing the things that I am good at, that people enjoy, that people get value from, rather than reading a bunch of technology blogs.

Holly: Yeah, speaking of that, do you have another book in you for 2017?

Shawn: You know my 3 Laws of Empowerment book is nearing completion. It is based on my signature keynote and really gets that theme out there of building plans that you love and really how to do it. Planning is scary, and there is a lot of inertia around planning, people do not want to get into planning. The 3 Laws of Empowerment is a simple process we came upon to allow people to do the planning and to make it digestible. To make it something that can be done. The 3 Laws of Empowerment book is based on that has the principles with a lot more detail and depth than what I can give in an hour-long keynote speech, which I am brought in to speak about. Looking forward to getting the 3 Laws of Empowerment book out there. I have shown the advanced draft to a handful of people, and several of them have come back and said that they made major life decisions based on it. They embodied the principles and thought about where they were in life and where they were going.

Holly: Oh, that is … Wow.

Shawn: I think it is a real powerhouse because it is going to help people clarify their decision making, clarify their values and where they are going in life. I am really looking forward to having the book out there. I am hoping we will get that out this year. It is just a matter of the frugality of speaking and other events going on throughout the year.

Holly: Yeah

Shawn: It is something we are working on.

Holly: Excellent I was talking to somebody the other day about my book Do You Know Where Your Money Is? I realized it is not necessarily going to compliment it, but actually be the opposite of what makes people abundant. I really felt like I had to write that book because so many people make emotional decisions and that is real.

Shawn: Yeah

Holly: We want to replace those with uplifting thoughts about money and success and just overall prosperity. Prosperity is not just money it’s having time and not being stressed out and doing something that you love and being surrounded with people, whether they’re contractors or employees or whoever, that you enjoy being with.

Shawn: Yeah

Holly: Because you are working with these people on a regular basis, whether they are friends, contractors or employees; you want to hire the right people. That is all part of the abundance factor.

Shawn: I love the notion. I cannot remember the exact phrase, but it was something about you could not get rich just managing expenses. You cannot just expect to make big money. You do have to do something greater, which is going to involve some investment of some sort, whether it is time or money or some combination thereof.

Holly: Yeah

Shawn: We look through that lens of, “Yes, I want to control my expenses. I do not want to waste money.” Greater value added. How do I help other people do something great with my unique skills that are so powerful that they want to pay me to do it?

Holly: The other thing too is we live in a different energy now, and things change so quickly, technology’s changed, things go overseas, people lose their jobs, so really to me for any biz owner, you want to have multiple income streams just because you never know what’s going to happen tomorrow with any kind of technology. Even things like editing that used to be very expensive now many people can do themselves on an app. Not me, however. I cannot do that.

Holly: It is like things that we thought were complicated have become very simple with the technologies these days. I think it is important not just to hone in on one thing in your business but also to do different things with it. Whatever it is that you are doing there are all kinds of spin-offs that you can do. Alternatively, even different things that still fall under the same category and give you multiple income streams for sure.

Shawn: I love the idea.

Holly: Well, excellent. Thank you so much for coming back onto the show. I always love your information, and I cannot wait for your book to come out. We will have your book signing.

Shawn: I am looking forward to it.

Holly: All right excellent. Have a wonderful day everyone. I will put all the links up for you guys to get in touch with us.

Shawn: Talk to you later.

Holly: Have a great day.

Shawn: Okay, Bye

This posting is intended to be a tool to familiarize readers with some of the issues discussed herein.  This is not meant to be a comprehensive discussion, and additional details should be discussed with your attorneys, accountants, consultants, bankers and other business planners who can provide advice for your circumstances.  This article should not be treated as legal advice to any person or entity. Freeimages.com/photographer Kimberly Vohsen.

 

About the Author

  • Shawn McBride is the Chief Innovation Officer at McBride For Business, LLC. His signature keynote, The 3 Laws of Empowerment(rshawnmcbridelive.com), gives audiences an entertaining look at how they can prepare, plan and protect themselves. You can reach R. Shawn McBride at info@mcbrideforbusiness.com or (214) 418-0258.

 

Check us out on the web at www.mcbrideforbusiness.com  , www.rshawnmcbridelive.com

Get Shawn’s latest book: www.mcbridebook.com

Add us on Twitter: @McBrideForBus #McbrideForBusiness #3LawsofEmpowerment #TransferableSkills #PublicSpeaking @michealport

Like us on Facebook: https://www.facebook.com/mcbrideforbusiness/?fref=ts

 

Dealing with Management Changes

Posted on: January 23rd, 2017 by R. Shawn McBride No Comments

Management is going to change. Companies are going to evolve over time. Companies need systematic ways to make sure that the company keeps moving forward, even as the team of players keep changing. In The Three Laws of Empowerment (www.RShawnMcBrideLive.com) I speak about building plans that work and building companies that last. One of the things that’s key here is management. Within the speech, I talk about the four D’s: death, disability, divorce, and disagreement. One of the things that underlies disagreement is changes in life. Things are going to change, and you know that. Unfortunately, sometimes it leads to management disagreements. We need to be realistic and to recognize that life is going to change and build a company that’s stronger, that lasts longer.

This is a very doable goal. One of the ways we make sure that a company survives the natural transitions, the natural changes you’re going to have in life, is to build stronger management teams. How do we do this?

#1 Redundancy. We make sure that management is a team effort, and that multiple people know what’s going on. This is great concept for a lot of different reasons. This allows us to have contingencies in place, in the event somebody gets injured or ill, or is unable to come to work, or chooses to leave the company or some other disruption.

#2 We make strong management systematized. Each manager’s going to bring their own take to the business. Creativity is key to value creation. The business does need to evolve, and each person’s going to have their own very unique set of skills and dues. However, management also needs to me systemized. There needs to be procedures in place, ways the company does things, documentation, tracking, and so on. This allows the company to transition from one manager to another in the event something happens to someone. Somebody can step into the system and continue to move the company forward, either short term or long term.

#3 There needs to be a company culture. We talk a lot about culture of the company, and there needs to be an underlying framework, an underlying culture of how the company works, how people behave and how they interact. If there’s a strong culture, a manager stepping into the shoes of another manager can rely on that culture to provide guidance, provide systemically, and give clear expectations of what’s going to happen.

#4 There needs to be processes and procedures. We’ve talked a lot about processes and procedures in business. Here, they’re going to apply because changes in management are inevitable. They’re going to happen. We need to be realistic and know that we need to have plans in place for when they do happen. We don’t want to have disruption. We want to keep our companies moving forward.

What have you done in your company to make your management more robust? How have you built systems and processes? Are you ready in the event one of your managers would suddenly be unable to come to work one day? Join us in the comments below. We’d enjoy hearing from you.

 

Make sure you download our free checklist to assess your business:  www.mcbrideforbusiness.com/BlogGift

 

This posting is intended to be a tool to familiarize readers with some of the issues discussed herein.  This is not meant to be a comprehensive discussion and additional details should be discussed with your attorneys, accountants, consultants, bankers and other business planners who can provide advice for your circumstances.  This article should not be treated as legal advice to any person or entity. Freeimages.com/photographer Pierre Amerylynck.

 

About the Author

Shawn McBride is the Chief Innovation Officer at McBride For Business, LLC. His signature keynote, The 3 Laws of Empowerment ( www.rshawnmcbridelive.com ), gives audiences an entertaining look at how they can prepare, plan and protect themselves. You can reach R. Shawn McBride at info@mcbrideforbusiness.com or (214) 418-0258.

 

Check us out on the web at www.mcbrideforbusiness.com , www.rshawnmcbridelive.com

Get Shawn’s latest book: www.mcbridebook.com

Add us on Twitter: @McBrideForBus #McbrideForBusiness #3LawsofEmpowerment

#MgmtChanges

Like us on Facebook: https://www.facebook.com/mcbrideforbusiness/?fref=ts

 

 

Exiting the Business: Three Key Things to Consider

Posted on: January 20th, 2017 by R. Shawn McBride No Comments

When you’re exiting a business, you need to have a plan for the exit. We talk about planning in The Three Laws of Empowerment (www.RShawnMcBrideLive.com  ). Exiting a business is no different than running a business: you need to have a plan for getting out of the business. In a best case scenario you will establish this plan before you need to exit the business. It will be part of your documents that you set up at the time that you form your business. If you’re not as proactive, you can still implement this plan before you go through the exit process and it will make the process go much smoother.

What are we looking for when somebody’s exiting a business? What key elements need to be there?

 

#1 There needs to be a valuation. You need some way to value the business and it needs to be something that’s agreed upon. It could be a third-party valuation or it could be something agreed among the owners, but there needs to be some way to get to a value that everybody has accepted. It’s best that this agreement on valuation happens early in the process. Once a disagreement has happened or an exit is about to happen we’ll often see that the value perceived by the owners is different. There needs to be some way to get to a number that is binding on everybody, whether it’s a third party, an agreed to number, or some type of formula.

#2 You need a transition plan. You need some way to work some of the owners out, get the new owners in, and change the ownership structure. How is this going to happen mechanically, and how is this going to happen with customers, vendors, lenders, and other third parties that are involved?

#3 You’re still in it together. Until the exit happens, the business partners are still in the business together. They are still participating in the value of the business, and you need to figure out how that’s going to look. When do you communicate with employees? When do you update the business documents? When do you start notifying people about the change? You need to have a comprehensive plan to make sure that the value of the business is protected.

 

What’s been your experience with exiting businesses? Have you had comprehensive plans in the past? What would you do differently? Join us in the comments below.

 

Make sure you download our free checklist to assess your business:  www.mcbrideforbusiness.com/BlogGift

 

This posting is intended to be a tool to familiarize readers with some of the issues discussed herein.  This is not meant to be a comprehensive discussion and additional details should be discussed with your attorneys, accountants, consultants, bankers and other business planners who can provide advice for your circumstances.  This article should not be treated as legal advice to any person or entity. Freeimages.com/photographer Thad Zajdowicz.

 

About the Author

Shawn McBride is the Chief Innovation Officer at McBride For Business, LLC. His signature keynote, The 3 Laws of Empowerment ( www.rshawnmcbridelive.com ), gives audiences an entertaining look at how they can prepare, plan and protect themselves. You can reach R. Shawn McBride at info@mcbrideforbusiness.com or (214) 418-0258.

 

Check us out on the web at www.mcbrideforbusiness.com , www.rshawnmcbridelive.com

Get Shawn’s latest book: www.mcbridebook.com

Add us on Twitter: @McBrideForBus #McbrideForBusiness #3LawsofEmpowerment  #ExitStrategy  #ExitingTheBusiness #TransitionPlan

Like us on Facebook: https://www.facebook.com/mcbrideforbusiness/?fref=ts

 

 

 

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