Should you do it?

Should you do it?

One of the recurring questions I get about our business is, “How do you work together?” It seems most people at one time or another have worked with a couple that has started a business. Often, I hear horror stories of spouses shouting at one another while the employees search for another job before the divorce papers are handed out.

My husband and I have been in business for 16 years so I thought at this point, I could offer some good tips on how to have a healthy marriage and business.  A new business is like a very demanding child that requires constant care. You must feed it and tend to its every need. The business child tends to have severe behavior problems and you never know when it is going to spit up on you. As time goes on, you both develop and grow. The pride you feel when you step back and look at what you built can be amazing.

Starting a business with your spouse can be a great benefit. You know you always have someone who has your back (in business that is sometimes hard to find). If you use the steps below, you might have a chance at creating something great.

How committed are you?

When you are first deciding to open a business, consider all of the negative consequences it will have on your marriage. How will you balance your family? One (or both of you) will have to work a lot to get things going, who will carry the heavy load of the business vs the heavy load of the family? Are you both fully committed? A business won’t be successful without great sacrifice. What does that mean to you? The more questions you can iron out in the beginning, the easier the decisions will be when you get to them.

Decide who has the final say

Some people live an altered reality believing that they can always agree on everything with their partner. There are times that you won’t agree. One of you has to give. Things are a lot easier if you understand who the controlling partner of the business is. That being said, the controlling partner should always consider their spouse’s opinion and never take control for granted.

Have the same vision

What does success look like to each of you? What is failure? When do you call it quits? Make sure you are on the same page for how the business will grow.

Clear well-suited roles

In the beginning of the company, both partners typically do what it takes to make it happen. Natural roles begin to form. One person is better at sales, while another is good at administration. Know your strengths and weaknesses and those of your partner. Talk about what roles you think you would be best suited.

Leave the business at work

Ok, I admit this one is the hardest for us. We are a 24 hour business, so there is always something going on.  Try to the best of your ability, to separate work from home. I am chuckling to myself as I write because while I was in early labor with one of my children, my husband had a business meeting in the lobby of the hospital. The good news is, he had cleared it with me (it was early labor) and it was an important meeting – see what I mean about being on the same page? If we were not on the same page- I would probably still be seething in anger rather than chuckling.

The good news is that it is possible to have a healthy business and marriage. It is not easy, but life is not easy. It is a journey to be walked. Personally, I could not imagine anyone better to walk it with than my spouse!

Serena Ayscue and her husband Jeff created ByDesign Technologies. A software company that services the direct sales industry. They are currently in their 16th year of business and support companies around the globe. You can learn more at www.bydesign.com

Every new company starts with a mission

Every new company starts with a mission

The statistics are shocking. Start-up companies fail much more than they succeed. What can we do to turn the tide? How can we create a win? At ByDesign Technologies we have launched hundreds of start-up companies. We have seen many succeed for the short-term (3 years or less) and some for a longer period (3-6 years). But then there are the special companies. Those that are start-ups with longevity. What makes those companies special? I hope by sharing some of the knowledge we have gleaned over the last 15 years, it might help you if you are considering starting a business.

For your start-up company to be successful you must have the following:

#1 – Competence

Competence does not equal intellect. You and your team can be brilliant and yet not understand what needs to happen for your business to succeed. You and your team (if you have one) must have good planning skills. You must have good financial skills. Some people will get money from their investors and not spend it on the right things. You must have strong accounting and you must not be emotionally attached to the pricing of your wares. You have to understand the market and how to make it work for you. If you want your company to get off the ground and move, you or someone on your team should have an intrinsic understanding of finance. Ultimately the success of a company is dependent on what money comes in vs what money goes out.

#2 – Experience in Business Management

It is important to expand at a rate that you can manage. There is a saying, “Go big or go home.” While this applies to a few businesses, it does not apply to most. The companies that stick around and generate good profits are ones that take time to build the infrastructure needed to support great growth.

#3 – Knowledge of Inventory and Supply Chain Management

An intimate knowledge of your inventory, where it is coming from and how quickly it can be made is vital to your start-up success. If a product is a great hit, will you have the flexibility to produce it without a backlog? People don’t like to wait.  If a product stinks, will you be aware and be nimble enough to make changes without having a garage (or warehouse if you are lucky) full of inventory that won’t sell?

#4 – Good Relational Skills

When a business first starts, relationships are a key to success. Do you understand the needs of those buying your product? Do you listen to their feedback? Do you take it and use it to improve? What about other relationships? If stores are selling for you, it is vital to hear what they say about marketing your product. Businesses that listen well have a very high chance of success.

#5 – Tenacious Entrepreneurs and Understanding Families

Starting a business is not for the faint of heart. It is very hard work. It requires dedication and many long hours. If your family is not supportive of your venture, it is likely that you will not be able to invest the number of hours needed for success. You must understand that the business depends on you to run it. Your software is not going to run it, your employees are not going to run it, your inventory manager is not going to run it. It lives and dies with you. Tenacity is required for the business builder and an understanding family is a key to success. It is a sacrifice. You must decide if it is worth taking.

Every business starts with a dream. At ByDesign Technologies, we want to see our client’s dreams come true. We want every business that uses our products to become a company that soars.

 

ByDesign Technologies provides mission critical software to the direct sales industry. They have had the opportunity of working with many start-up clients and helping them grow into industry leaders.