Our latest research reveals that UK company owners are drawing relatively modest earnings (average £95,006 this year) and – contrary to what some people might think or see in the media – very few are splashing the cash.
For example, just 16% drive a brand new car, and only 3% have a home gym or hot tub. Now, I know life isn’t all about Ferraris and cross trainers, but surely there’s more fun to be had?
So many business owners struggle to find time to step away from their desks and reap the rewards of their hard work. The biggest reason for this ‘work hard, play never’ situation is work coming back onto their desk that should have been taken care of by senior teams. Ever thought “It’ll be easier to just do this myself”?
This only works if the right people are in these roles, job descriptions have been successfully communicated and understood, and business owners are using an effective appraisal process to encourage star performers and give support to those who need it.
OK, sometimes finances are tight and you need all hands on deck just to stand still – including your own. But, having the right structure and people in place and making everyone accountable for his or her responsibilities can go a long way to helping you take time off, knowing that everything is in safe hands.
Remember, making everyone responsible and accountable can ensure that things don’t land back on your desk constantly.
When it comes to recruitment, ensure you have a trusted advisor who can question your decision-making. You’re likely to hire people who are like you, with similar personality traits and skills. This has its benefits, but can result in imbalances and gaps.
When hiring a candidate, be clear from the outset what you’re looking for. Without clarity over responsibilities, the lines of accountability can blur and the wrong individuals can be appointed or promoted into positions they cannot fulfill – meaning once again you can become too heavily involved.
This can be a big shift for business owners, and the “loneliness of command” is another significant issue that we see people facing. Build a strong network and get into the habit of exchanging help and advice with others who face similar situations to your own.
By building a strong internal and external network, you can not only minimise the risk and the extent to which your company relies on you, but also finally start enjoying more of those hard earned rewards.
Our latest study For Love Or Money? is based on a UK wide survey of business owners and reveals a terrifying degree of reliance on the business to provide for the owner’s financial future and the risks that business owners are taking, as well as revealing the secrets about business owner wealth and spending.