#1 Hiring Podcast Designed Specifically For Startup Founders & Entrepreneurs Tuesdays @12PM (PST), LIVE on LinkedIn, YouTube, & Facebook Our mission is to enable values-driven startups to win-win the strongest hires by sharing insights from top-performing entrepreneurs, game-changers, & industry thought leaders. www.hirepowerradio.com
Episodes
Thursday May 06, 2021
Thursday May 06, 2021
Assumptions are the #1 reason we fail in our expectations when hiring and raising capital.
Assumptions are drawn when we don’t invest the time to listen to all parties. Asking deeper questions to gather data to support an accurate decision is crucial. What is not uncovered is the reason we make bad hires. Because we inject our own assumptions, needs & bias where the evidence should be.
This especially holds true in your hiring process when our needs and desires cloud what is most important, the truth.
Our guest today: Brian Franco, Founder & Managing Partner of Meritage Partners.
Brian strives for excellence and fairness in deal structure and has a deeply intuitive understanding of the importance of company’s compatibility. He has represented and completed deals with an extremely diverse set of small and mid-sized businesses (SMB's), private equity groups and public companies in a number of industries and has significant experience working with companies in: architecture & engineering, healthcare, manufacturing, logistics, wellness, A.I., software and technology, and professional services.
Brian is an expert in aligning expectations in the M&A process.
Today we discuss:
- Managing Expectations with Market Conditions and Expectations when Fundraising & Hiring
- 3 step process to achieving expectation alignment
Challenge today?
- Capital raisers need to secure time to develop and bring their vision to market. In business as in life, Time is afforded by “capital” ILLUSTRATION: An airplane needs enough runway, a powerful engine or engines , and fuel to develop speed/momentum to get airborne. One without the other will result in catastrophic results
EXAMPLE: Amazon did not expect to make a profit for four to five years
QUESTION: Will you expect Capital Providers to wait months or years to return a profit?
- Does the investment opportunity meet the investors expectations?
- Time requirement
- Return on Investment
- Balanced Risk & Reward
- Is their alignment among the founders and the investors?
- Cultural alignment
- Is the founder/team coachable?
- Is the founder a “rebel” or a “cowboy/cowgirl”?
- Cultural alignment
- Is there TRUST, Is there a Perception of risk when it comes to the topics of:
- Operational Control
- Financial Control
- Investing in the PERSON or TEAM to execute the vision or the business plan
Note: Visionaries aren’t always the best integrators
STORY: Some of us are familiar with the story about Steve Jobs leaving Apple in 1985 for 12 years and then returning in 1997
- To manage you must first understand
- LISTENING
Why is this important to the company?
- Understanding alignment empowers us and allows us to understand how to meet expectations and then meeting those expectations leads to SUCCESS
- Qualified leadership team: is their personal goodwill or collateral in past successes?
- Relevant experience in leadership
Rick’s Nuggets
- Assume nothing- eliminate your needs, desires & bias
- Listening is the only way to understand
- Understanding is the key to truth
- Truth is the springboard to success
How do we solve the problem of managing expectations?
It is as simple as “Listening” and “Educating” ourselves so that we align and meet expectations of Capital Raisers and Capital Providers.
Identify what is Achievable
- Listening
Education
- Educating clients on what the ‘market’ is likely to offer them
- Aligning expectations to market practices or offerings (reality)
Plan & Equip
- Identify relevant investors
- Develop Pitch Deck and Memorandum to articulate a consistent message
- Experience and ability to Assembling the team and identifying strengths and weaknesses (don’t put the strongest person in any position simply because they are “strong” align their strengths with the organization because they are qualified and capable)
Rick’s Nuggets
- Understand the person the business needs
- Target:
- Research, network & connect with 5-10 potential candidates
- Execute
- Have conversations to determine positioning alignment
Key Takeaways -Value:
- Don’t get in the way of your vision (don’t be too rigid)
- Put an allstar team together
- Be coachable
Guest Links:
Brian Franco: LinkedIn Twitter
Company: Meritage Partners
This show is proudly sponsored by Criteria Crop