Director Prosperwell FinancialWealth advisor RJFS.
Every day we have to make choices – life is about choices. The choices we make can have a small or big impact on our lives and our business. Sometimes we think we can’t decide, that the choices we have are overwhelming, and that we can’t figure out what to do. But doing nothing in itself is making a choice.
Making choices about our future can be the hardest part. Thinking about when we’ll be gone is hard. While just thinking about the future can be overwhelming, owning a business and thinking about the future can be extremely scary and overwhelming. When we feel overwhelmed, we often don’t make a decision.
However, if you don’t take the time now to set up your business for future success, it may not go where you want it to go. Not having a plan can dramatically damage your business and your future.
Plan for the future of your business
What is the legacy you want to leave behind when you are gone? How do you want your business to exist if you’re not there to run it? Looking at preparing your business for future success is about putting yourself out of your job.
This can be emotionally difficult to process. It’s completely uncomfortable thinking. We work years and years and years (more than 20 years for me) to build a business, and then it takes you a few years to work yourself out of a job.
One of the best things I did to prepare was to create a one, three and five year plan. But it wasn’t just a business plan; it was an organizational chart. It helped me to concentrate.
The org chart is a block diagram with the owner/CEO on top and managers below, then employees. It’s about having an idea of what the company looks like today, what features you need in the future, and who to hire. Names of current employees can be inserted, and then you’ll see the blanks and know who to hire or promote and then hire.
By creating business plans and org charts for the years to come, you can define exactly what you want in the future and what legacy you want to leave behind. Then you can go back to today and figure out what you need to do in one, three, and five years to make it all happen. Seeing these three charts can give you a clear picture of the future.
Map out the employees you need to hire in the next one to three to five years (or whatever your time frame is). You can also map out the resources and partnerships you need to make it all happen.
Take action on your plan
Once you’ve outlined your organizational charts and established an idea and vision that your employees know and believe, you can take the next steps.
At this point I suggest calling in your CPA and your legal counsel. Make an appointment with these advisers, together with your wealth adviser. This is the team that brings everything together. You don’t just want to involve your advisors, but make sure you involve your company’s leadership team every step of the way.
The goal is to create a solid plan to help yourself, your employees and others. I know it may be hard to think about when you will be gone, but preparing for the future is an important part of your financial plan.