"We want you to help us get our business ready to sell," they said.
"It's been three years since we started this business and we are ready to move on."
"Tell me more," I said. "Why do you want to sell the business? What are you going to do once you sell this business?"
It turned out that the couple were perpetual entrepreneurs.
They both had several businesses before with a varying level of success. This business had met all their projections and was profitable. They figured it was a good time to sell so that they could move on and in their words, start a couple more businesses that would generate income streams that would afford them a lifestyle in their late 50s where they wouldn't be tied down to the day-to-day operations of the business.
So what's the problem?
You start a business, it makes some money, you move on and start another. It's the entrepreneurial way... smart business.
Or is it?
The problem with this scenario, familiar to many entrepreneurs, is that in many cases they are leaving money on the table.
They have done all the hard work creating and building a business and when it becomes profitable, they sell it, get their seed money out and move on to the next flash in the pan.
Sure, they get their money out and perhaps even a good return on their investment, but they are leaving behind a business that is generating cash because they have gone through the desert and parched season of their business cycle and they are desperate to see some hard cash.
This is the typical hard life of a perpetual entrepreneur. Many spend their lives chasing gold and end up broke because they can't stay focused long enough to enjoy the fruits of their labour.
I know the feeling.
I have had a few businesses which I sold after a few years, only to regret it. I have felt the pull of new ideas shiny objects, and the lure of "easy money." However, it is never as easy as it seems.
The flaw of the entrepreneur is that many seem to have attention deficit disorder. They jump from idea to idea and never spend enough time to achieve success in any of them. Some entrepreneurs seem to fear success. When a venture starts to become successful they jump ship or even sabotage their success by moving on to another venture.
So do we curb the entrepreneurial spirit in order to achieve success? Occasionally I have clients who need to slow down in their minds and remain focused on the task at hand, which is their current business. We need to remind them that the grass is not always greener on the other side.
Success, it is said, comes through consistency. If we are not consistent enough to show up for our customers or decide to quit when we become bored with our current project, we will never achieve the success that comes with sustained efforts. In many cases, curbing the entrepreneurial spirit is probably a good idea.
A hunter will tell you that a bird in the hand is worth two in the bush. When it comes to revenue generating businesses, a business in the black is worth 20 in the red.
Ideas for new businesses come easily to many people, but making them profitable is another thing all together.
I encouraged my clients to think of ways they might be able to enjoy the fruits of their labours and benefit from the revenue stream they had already created rather than trying to build something from nothing. Through the brainstorming process, they came to the realization that there was a solution that could give them the best of both worlds. Their solution will not only give them the cash they need now but set them up for their future retirement.
Dave Fuller, MBA, is an award winning business coach and the author of the book Profit Yourself Healthy. Fuller has his flaws but can be reached at dave@profityourselfhealthy.com.
