You know you’re an Entrepreneur if….

August 27th, 2012

Are you really living the entrepreneurial life? Here are a few ways to know for sure.

Making money is serious business… until, of course, it’s not.

Entrepreneurs should be able to take themselves a lot less seriously than their businesses; that’s the assumption of Kirchner Private Capital Group (KPCG) a traditional merchant bank for early and mid-market companies.

So they put together a short humor book, How do you know …if you are an Entrepreneur, with one-liners and illustrations you can use to determine whether you’ve truly lived the entrepreneurial life.

Below are some of my favorites. You know you’re an entrepreneur if:

  • Your kids report their academic performance to you on a grades versus forecast basis
  • When someone says, “Good question,” you know they don’t have a clue what the answer might be
  • Most of the experience you’ve gained came right after you needed it
  • Two steps forward, one step backward is a great day
  • Most of your daily calories come from eating humble pie
  • You look for pessimists to borrow money from… since they are less likely to expect to get it back
  • You consider Red Bull a corporate sponsor
  • Being disruptive sounds like a good thing
  • You feel well paid… until you calculate it on an hourly basis
  • Your child thinks heaven must be a very rich place because angels give you money

It’s a fun little book, one that also makes KPCG sounds like a fun place to work. Proceeds go to the Christopher Douglas Hidden Angel Foundation, an organization dedicated to helping enrich the lives of people with cognitive, emotional, and physical challenges.

For more information on Staffing M & A or a complimentary confidential discussion, contact:

Bob Cohen at 416-229-6462 or Sam Sacco at 910-509-0691. We can also be reached at:

 bob@racohenconsulting.com or sam@racohenconsulting.com.

Sam and Bob have successfully completed over 135 staffing industry transactions.

Visit our website for more articles and information at:     www.racohenconsulting.com

 

Time Management

August 20th, 2012

When you draw up to-do lists, set schedules, make appointments, and so forth, chances are you may be wasting your time. So why even try?

Can any of us really manage time or can we at least keep time from managing us?

Turns out there is a mathematical law called the Pareto Principle* which says that (in most situations) 80% of the effects come from 20% of the causes.

The most famous example of this is the oft-repeated factoid that in sales groups 80% of the revenue comes from 20% of the team.  (There are dozens of other examples, ranging from wealth distribution to damage from natural disasters.)

The Pareto Principle holds sway for most work efforts that aren’t purely rote.  Most people obtain 80% of their actual results from 20% of their actual effort.  If you really think about it, isn’t this true for you? It’s certainly true for me.

Rethink Your ‘To Do’ List

Unfortunately, most time management involves “to do” lists, which tend to treat the 20% of your work that really matters as equal to the 80% of things that don’t.  Having a simple list of things to do almost forces you to waste time doing stuff that doesn’t really count.

That’s true even if you prioritize according to importance. Plenty of important things take so much effort that, in the end, they’re not worth actually doing.

Here’s how to use the Pareto Principle to manage your time more effectively.

When you make a “to do” list, prioritize each item by the amount of effort required (1 to 10, with 1 being the least amount of effort) and the potential positive results (1 to 10, with 10 being the highest impact.)

Create a New Ranking

Now divide the potential results by the amount of effort to get a “priority” ranking.  Do the items with the lowest resulting priority number first.  Here’s a simple example:

  • Task 1: Write report on trip meeting.
    Effort=10, Result=2, Priority=5
  • Task 2: Prepare presentation for marketing.
    Effort=4, Result=4, Priority=1
  • Task 3: Call current customer about referral.
    Effort=1, Result=10, Priority=0.1

See your new priority-based order? You do Task 3 first; Task 2 second, and Task 1 last–if at all.

This simple method ensures that the 20% of your effort that really makes a difference always gets done first.  As for the 80% that doesn’t really matter, it’s automatically postponed, and possibly tabled forever.

I know this all sounds pretty simple; even simplistic, however it has helped lots of us focus on our highest earning activities instead of just being busy. 

  • Not to be confused with the Peter Principle that says many employees will be promoted until they reach their level of incompetence.

 http://en.wikipedia.org/wiki/Peter_Principle

For more information on Staffing M & A or a complimentary confidential discussion, contact:

 Bob Cohen at 416-229-6462 or Sam Sacco at 910-509-0691.

 We can also be reached at bob@racohenconsulting.com or sam@racohenconsulting.com.

 Sam and Bob have successfully completed over 135 staffing industry transactions.

Visit our website for more articles and information at: www.racohenconsulting.com

Selling Your Staffing Company – Some Key Points Before you sell

August 13th, 2012
  1. Settle all litigation and financial issues before putting the company on the market.
  2. Hire a good transaction lawyer because the buyer will have one.
  3. If company owners are totally inflexible, the buyer may walk away from the transaction.
  4. Be prepared to accept a lower price for lack of management depth, dependence on a small number of customers or clients, and lack of geographical distribution.
  5. When a buyer indicates he or she may be ready to submit a Letter of Intent, tell them up front what items you want included. For example, price and terms, what assets and liabilities are to assumed, if an asset purchase, what contracts and warranties are to assumed, time schedule for due diligence and closing – these are just some of the items a seller might want included.
  6. Be advised that many buyers will view the value of Sub Chapter S corporations to be worth less than if the company is a C Corporation. Others will find it much more appealing to be able to buy selected assets from a “Sub” Chapter “S” Corp, rather than having to buy the stock of the seller, which makes the buyer liable for everything that happened before, which will increase their due diligence and investigative costs and add pressure to the type and nature of Reps and Warranties they will need from the seller.
  7. Make the company more visible by attending trade shows, tie up patents, copyrights and trademarks, create a public relations program – these areas all create perceived value.
  8. Selling a company involves sometimes-inconsistent objectives: speed, confidentiality and value (price and terms)- pick the two that are the most important to you.
  9. Keep in mind that companies get stale after sitting on the shelf for a while.
  10. Don’t expect your lawyer to win every point of contention – you want a deal maker, not a deal breaker.

 For more information on Staffing M & A or a quick and accurate complimentary Valuation of your business or a confidential discussion, contact:

Bob Cohen at 416-229-6462 or Sam Sacco at 910-509-0691.

We can also be reached at bob@racohenconsulting.com or sam@racohenconsulting.com.

 Sam and Bob have successfully completed over 135 staffing industry transactions.

Visit our website for more articles and information:  www.racohenconsulting.com

 

How to Be Happy at Work-Part 2

August 7th, 2012

In Part 1 we discussed that the way we set things up in our minds indicates whether we will allow ourselves to be happy or miserable most of the time.

We learned that happiness and unhappiness (in work and in life) result entirely from the rules in your head that you use to evaluate events.  Those rules determine what’s worth focusing on, and how you react to what you focus on. If you need a copy contact us.

Make Yourself Happier: 3 Steps

The saleswoman who had breast cancer was happy, too, and this is the method she used to make herself happy:

1. Document Your Current Rules

Set aside a half-hour of alone time and, being as honest as you can, write down the answers to these two questions:

  • What has to happen for me to be happy?
  • What has to happen for me to be unhappy?

Now examine those rules.  Have you made it easier to be miserable than to be happy?  If so, your plan is probably working.

2. Create a Better Set of Rules

Using your imagination, create and record a new set of rules that would make it easy for you to be happy and difficult to be miserable.  Examples:

  • “I enjoy seeing the people I work with each day.”
  • “I really hate it when natural disasters destroy my home.” 

Don’t worry whether or not these new rules seem “realistic”–that’s not the point.  All internal rules are arbitrary, anyway.  Just write rules that would make you happier if you really believed them.

 3. Post the New Rules Where You’ll See Them

When you’ve completed your set of “new” rules, print out them out and post copies in three places: your bathroom mirror, the dashboard of your car, and the side of your computer screen.  Leave them up, even after you’ve memorized them.

Having those new rules visible when you’re doing other things gradually re-programs your mind to believe the new rules.  You will be happy at work.  It’s really that simple.

Oh, and by the way … That saleswoman? She was my mother.

For more information on Staffing M & A or a complimentary confidential discussion, contact:

 Bob Cohen at 416-229-6462 or Sam Sacco at 910-509-0691. We can also be reached at bob@racohenconsulting.com or sam@racohenconsulting.com.

 Sam and Bob have successfully completed over 135 staffing industry transactions. Visit our website for more articles and information at    www.racohenconsulting.com