In most insurance agencies there are a number of owners or major shareholders who will all have their own goals. You may be ready to retire, while your partner is looking to expand. Your day-to-day concerns may be about your son’s college tuition while your colleague is more concerned about his golf game. Depending on your place in the business, or your place in life, you are bound to have different goals.
It’s important that you embrace the difference between these goals, rather than claiming a single, unified business goal. When we ask clients about their business goals, there’s always a stock answer. That answer will usually be the ‘shared’ answer. The one that everybody involved is willing to accept as ‘their’ business goal. (Nice paragraph)
Individual Business Goals Shouldn’t be Hidden or Ignored
Individually though, they will no doubt have their own goals to achieve. If you’re honest about your true business goals, with your fellow shareholders and with yourself, it can only benefit the agency. In order for the business to strive, everyone needs to be pulling in the same direction. The best way to find the right direction to pull in is to discuss your business goals.
A recent transaction we worked on illustrated this point perfectly. This client had two shareholders, one in her fifties and one in his sixties. The woman in her fifties was still very energized and looking forward to growing the business. On the other hand, the guy in his sixties had one eye on retirement. This could have presented a problem.
Finding a Truly Unified Goal
They couldn’t agree on a plan for the future of the business because they had different goals. The older shareholder wanted to move towards a sale and a quick exit, while the younger shareholder wanted to find the best strategic solution for growing the business. Once we’d spoken to them, and the disparity in goals was clear, we were able to find an alternative solution.
We put them in touch with a bigger agency that was looking to expand their business, but needed someone to manage the agency they were purchasing. This fit perfectly with our client’s business goals, but it was a sale they never would have considered previously. Identifying and accepting their individual goals allowed them to find the ideal buyer for their agency.
Finding the ideal buyer, or forming the ideal plan for your agency’s future can be a complex process. Understanding your personal and business goals can make that process much easier.
Is it too early for you to start planning for the future? Take our questionnaire and find out today.
