Many entrepreneurs are do-it-all, take-charge types who cannot delegate any business duties. Their argument is that no one can do it better than them. The problem with this scenario is that the owner has created themselves a job, not a company. There is only one constant in this world – change. The owner will inevitably become sick, be ready to retire, lose their fire, divorce, die, etc. What value has been created that can be transferred to a new owner?
Your company has more value and would be stronger if it can be run without you. In this increasingly relationship-driven world, the critical customer, vendor and partner relationships need to be moved to your management team. You are one person and you can only do so much. If you delegate your duties or current workload among key employees, what important tasks could you now dedicate precious time to?
The potential buyers of your company want solid systems and procedures in place. The “one-man band” will drive many prospective buyers away and will lead to fewer and smaller offers. Ask yourself these questions every day: can I assign the current task I am working on? Is this the wisest use of my time? What would happen to my company if I couldn’t work?
Avoid the cult of personality. Your goal should be to minimize your company’s need for you to maximize the selling price when you exit.