Making a Contractor Less Risky

It is often hard for the owners of contracting businesses to think of themselves as separate from those that are managing the daily operations.

D. Brown Management Profile Picture
Share

Making this shift in mindset along with putting the right controls and talent development systems in place will unlock a lot of value in the business while decreasing risk.

Leadership Tools: Lower Risk and Increase Value. The Right Basic Control and The Right Management Team.

There are two major things that will control risk and variability for the ownership:

  1. Develop the right levels of controls that provide reasonable capital protection for the ownership while allowing the management team the flexibility necessary to operate the business.  
  2. Develop and retain the right talent on the core management team to deal with all of the inevitable problems that will arise.

Ensure that your business grows smoothly through the next cycle of growth.


Contact us to learn more about our approach to preparing contractors for sustainable growth and succession




Leadership Spotlight - The Diffusion and Multiplication of Perceived Behaviors
As a leader, you are always under the spotlight and must behave that way. All of your actions and perceived actions will be replicated throughout the organization. They will not be replicated in the way that you think.
Valuation Math - Growth Pays
All other factors being equal, a contractor that can accelerate growth after the purchase will -- in most cases -- be able to pay for the business quicker.
Balancing Short-Term Crisis Management with the Mid and Longer-Term
A recession post-COVID is a likely enough scenario that it must be planned for. Recessions reorder the market and competitive landscape; ensure you earn the place you want.