Jay Sachetti joined Jeff O’Brien, partner at Husch Blackwell and Dyanne Ross-Hanson, president of Exit Planning Strategies talked about the market for mergers and acquisitions, exit planning opportunities for companies that don’t end up for sale and how companies can maximize their eventual sale price during an early October panel at the first Upsize on Tap event at Summit Brewing Co. in St. Paul.
When the state Legislature passed a law requiring employers to provide paid leave and safe time for employees, Justin Bieganek started hearing differing details from friends, colleagues and peers.
I caught a speech on the radio the other day, by the CEO of The St. Paul Cos. The giant insurance company had turned in a good quarter after several not-so-good ones. Among other reasons, he said, employees were “thinking like owners.”
Most employees have heard that line, right? Management wants them to “think like owners” when they make decisions to spend money, never mind that if they don’t spend their entire budget this year they’ll get a smaller pot next year.
Management wants them to “think like owners” when they hire people, never mind that their decision to hire has to go through a corporate testing process first, and if the hire doesn’t test right then the manager’s gut instinct is ignored.
Management wants them to “think like owners” when deciding whether to do more with less, never mind that it will make no difference to their pocketbooks if they do more with less, but it will make a huge difference in the time they have for family and other pursuits.
The truth is, it’s almost impossible to “think like an owner” unless you are one. I’m learning that with Upsize, because it’s the first time I’ve owned part of a company. Despite the fact that I’ve been reporting on business for almost 20 years, I’ve learned things I never knew since investing last July.
When I was deciding whether to take the plunge, I met with Cindy Neis, a local business consultant and a good source, president of Neis & Associates. I told her I couldn’t invest because I didn’t have the money.
“What do you mean, you don’t have the money,” she said. “Do you own a home? How about a car? Can you sell something? Do you have credit cards? Wouldn’t someone lend you money?” Of course, the answer to some of these questions was “sure,” but I was thinking like an employee, not an owner.
I’ve long understood the concept of cash flow and other financial basics. But now when local entrepreneur John Francis tells me a typical PostNet store turns cash flow positive in 12 to 18 months, I know what it feels like to work for those milestones, carefully pegging expenses to revenue.
I knew that people maxed out their credit cards, went without pay, took Aunt Edna’s life savings, ruined their marriages, leeched off their spouses, sold the jewelry, or performed a monthly ballet of the books that would put the Bolshoi to shame — all to build their businesses. Now I’ve done some of those things, and heard from a lot of owners who’ve done many more.
I’ve always respected the CEOs and managers and owners I’ve covered in publications, except for the few who were simply bad eggs. Now I think that anyone drawing a regular paycheck at a small firm should say thanks to the owner now and then.
It’s not easy to grow a successful business. But I’m learning firsthand, and from the people profiled in every issue of Upsize, that it sure is fun and challenging to try. To all the readers of Upsize, thanks for thinking like owners.
— Beth Ewen
Editor and co-founder
Upsize Minnesota
be***@*******ag.com
