By Maurie Cashman Is employee ownership appropriate for every employee? Consider this example. Tom Pace was dedicated to his business and to each of its 48 employees. As he began thinking of the day when he would leave his wholesale landscaping supply business his thoughts turned to selling the company to the three key employees who had done so much to build the business and who ran it on a daily basis.
By Maurie Cashman There is a new republican majority after this year’s election. A significant driver of this election was the desire to reduce the burden of government regulation from U.S. businesses. However, nothing will change unless it is followed up by action, and in the short term bureaucrats may be trying to get their rules in place before the new administration takes office. Here are a few issues that you might consider writing to
By Maurie Cashman Opportunities to learn often come suddenly and then they are gone. Great performers are able to identify and capture those opportunities to learn very quickly from an experience or situation they are presented with. Great managers have the experience to see these opportunities and create environments for their team to consistently capture these fleeting moments when experience is created. “Learning is not compulsory; its voluntary. But to survive, we must learn.” W.
By Maurie Cashman Sometimes the answers are simple but not obvious, particularly when the problem is something we see every day. Can you solve the following simple problem? (Note, you have 20 seconds to answer) I often come across problems like this when performing a business valuation or when beginning to work on an ownership transition plan. Things will jump out during analysis of a business that are simply not visible to the business owner.
By Maurie Cashman In the past two weeks we’ve looked at several key elements of your buy-sell agreement and the transfer events that can trigger a buyout. Let’s look at the types of changes that can transform that robust buy-sell you created years ago into a cumbersome and potentially dangerous relic. We’re also including a checklist that will help you assess the sustainability of your buy-sell agreement.
By Maurie Cashman Last week, we discussed what a buy-sell agreement is and why you should dust it off, take a second look at it, and call your advisors to update it. This week we’ll look at the incidents that can occur during the lifetime of a business that can be managed by a carefully designed and well-maintained buy-sell agreement. One agreement can impartially and fairly treat all parties when bad things happen.
By Maurie Cashman The buy-sell agreement is one of the most important documents that the owners of a closely held business will ever sign. This agreement controls the transfer of ownership when certain events occur among shareholders including death or disability, an involuntary termination or retirement, divorce and disputes. Last week we talked about the need to perdiodically re-allocate resources within your business. One of the resources that is often overlooked is the buy-sell agreement.
By Maurie Cashman You need to be re-allocating resources in your business much as you would in an investment portfolio. The resources you have available in your business include products, facilities, management, employees, and overhead. These need to be adjusted periodically in response to business performance, competition, customer needs, industry and economic changes, business strategy and your ownership transition strategy.
By Maurie Cashman Are you managing agreement effectively in your business? This is probably not a question you take time to consider often. So much air is sucked out of the room by the more popular topic of conflict management that we don’t take much time to talk about its evil twin – the seeming lack of conflict. In “It Depends on Where You Start” I talked about the importance of having a solid set
By Maurie Cashman How you execute your ownership transition plan depends on where you start. I was reminded of this while driving to San Antonio with my wife this week. I am taking a course to become certified in business valuations and we decided to combine this with a little site-seeing along the way. We decided to take a slight detour in Kansas City to visit a sick friend who is in a rehab