Category: Blog

The tide will come in

By Dani Saveker, January 22, 2012 5:45 pm

I was sat with the wonderful John Tucker, ICFIB’s founding director, last week and by chance he mentioned the following piece of writing. It was something he’d shared with a family in business that he’s working with but it’s appropriate in so many other instances. I know that John would agree we should share the sentiments.

“The Turn of the Tide” by Arthur Gordon

Arthur Gordon tells of a time in his life when he began to feel that everything was stale and flat. His enthusiasm had all but disappeared; his writing efforts were fruitless, and the situation was getting worse day by day.

Finally, he decided to get help from a medical doctor. Observing nothing physically wrong, the doctor asked him if he would be able to follow his instructions for one day. When Gordon replied that he could, the doctor told him to spend the following day in a place where he was the happiest as a child. He could take food, but he was not to talk to anyone or to read or write or listen to the radio. He then wrote out four prescriptions and told him to open one at nine, twelve, three, and six o’clock.

“Are you serious?” Gordon asked him.
“You won’t think I’m joking when you get my bill!” was the reply.

So the next morning, Gordon went to the beach. As he opened the first prescription, he read, “Listen carefully.” He thought the doctor was insane! How could he listen for three hours? Nevertheless, he had agreed to follow the doctor’s order, so he listened. He heard the usual sounds of the sea and the birds. After a while, he could hear the other sounds that weren’t so apparent at first. As he listened, he began to think of lessons the sea had taught him as a child—patience, respect, and an awareness of the interdependence of things. He began to listen to the sounds—and the silence—and to feel a growing peace deep within.

At noon, he opened the second slip of paper and read, “Try reaching back.” “Reaching back to what?” he wondered. Perhaps to childhood, perhaps to memories of joy. He tried to remember them with exactness, and in remembering, he found a growing warmth inside.

At three o’clock, he opened the third piece of paper. Until now, the prescriptions had been easy to take, but this one was different; it said, “Examine your motives.” At first he was defensive. He thought about what he wanted—success, security, recognition—and he justified them all. Yet then the thought occurred to him that those motives weren’t good enough. That perhaps therein was the answer to his stagnant situation. He considered his motives deeply and thought about past happiness, and at last, the answer came to him. In a flash of certainty, he wrote, “I saw that if one’s motives are wrong, nothing can be right. It makes no difference whether you are a mail carrier, a hairdresser, an insurance salesperson, a home-maker—whatever. As long as you feel you are serving others, you do the job well. When you are concerned only with helping yourself, you do it less well—a law as unrelenting as gravity.”

When six o’clock came, the fourth prescription didn’t take long to fill. “Write your worries on the sand,” it said. He knelt and wrote several words with a piece of broken shell; then he turned and walked away. He didn’t look back: he knew the tide would come in!

Why do families in business fail to plan for succession?

By Dani Saveker, January 15, 2012 6:16 pm

Having just considered the question of why family businesses fail to plan for succession, as seen whilst on Linkedin, I had to add my thoughts. This was what I wrote…

I certainly think there are a vast number of reasons for the lack of planning – and it’s usually not as simple of just one clear reason:

* The unspoken assumptions meaning that the current generation believe that they have planned – such as thinking their oldest child will automatically take over despite their possible lack of skills and wishes to the contrary

* The lack of understanding and skills from current and next generation to look at succession

* The fear of change and the future

* Poor professional advisors not understanding family businesses and their complexity

* The lack of skills and expertise in the next generation – no one to hand the business to within the family

* Failure to understand the business and marketplace as it is today and it’s needs

* Arrogance

* Failure to face up to the need to look outside of the family perhaps

* The need to control – and the inability to let go

* The founder/current generation’s own entrepreneurial spirit

* Tangled personal relationships and the fear of upsetting relatives – or even wanting to deliberately sabotage relationship

* Disagreement over it being just a lifestyle business to service the immediate family or if it will be a business that should grow, develop and invest

I could go on and on … at ICFIB we see many more reasons than these often with a fair amount of deep rooted anxiety, frustration, bitterness and fear as well.

The reasons are usually complex and involve not understanding the shape of the hole and what pegs are right to fit into that hole. The longer the process is left, the less choices and options areavailable. The best succession planning is when everyone is open and honest and can see clearly without emotion but that’s far easier said than done – having experienced it within my own family’s business and also observed in others. Facilitation can be critical to helping with this but only by people suitably trained and experienced to deal with family businesses. Of course once any planning is in place, it’s amazing how many them then fail to have suitable share agreements etc exist to support it!

A Taste of 2011 & 2012’s Recipe

By Dani Saveker, December 9, 2011 6:07 pm

I was asked recently to  share my views of 2011 and whether it was better or worse than expected. Great question and one I pondered for a while.

I thought that as December is well and truly upon us and many of us are planning 2012 I would share my answer with you:

2011 has been as I expected it to be; a dash of positive, a good helping of tough trading, a measure of squeezed margins, a dollop or two of failing businesses all topped with a dose of opportunity and mixed with much uncertainty. I think the recipe for 2012 will be similar and I’m especially looking forward to sampling the opportunities!

I look to the New Year with much excitement and a belief that the new venture I’ll be involved with will not only bring me immense pleasure and satisfaction but will also make a real difference to a lot of people, their families and their businesses.

Corporate Mis-selling

By Dani Saveker, November 23, 2011 2:59 pm

I couldn’t avoid mentioning the BBC feature on banks mis-selling to corporate clients…  having been victim to this myself when CEO of our family business Savekers Ltd.

Back in 2006, our Board were pretty much forced into an interest rate hedging product without any explanation – and certainly nothing to tell us what may happen on termination which became an issue as the company went into administration in 2009.

I held a personal guarantee along with my cousin and we had to fight for two years to have the PG discharged as the bank chose to pursue us incorrectly for a sickening amount of money.

During this time my family and I had the threat of bankruptcy hanging over us and numerous sleepless nights. This was after doing all possible to protect the position of the company’s creditors and limit any impact as our 106 year old business closed –  as a result of the economic situation which was itself brought on by the widely reported mismanagement and irresponsible behavior of the banking sector.

It may be something that we no longer have hanging over us but it left a terrible taste, especially when the letter that came to say the bank would have no further claim against me under the guarantee didn’t even acknowledge or apologise for the way in which they treated us.

Backwards to forwards

By Dani Saveker, November 22, 2011 12:02 am

Whether something is the end of one thing or the beginning of another sometimes doesn’t matter… it’s moving forwards that counts.

Today reminded me that when you look at a new adventure you have to close the chapter on the one before and remember everything it taught you, the people that you’ve met along the way and how valuable even the bad things can be. These chapters and experiences shape who we are and what we will go on to become.

Just as Steve Jobs said in his Commencement Speech in 2005…

“Again, you can’t connect the dots looking forward; you can only connect them looking backwards. So you have to trust that the dots will somehow connect in your future. You have to trust in something – your gut, destiny, life, karma, whatever. This approach has never let me down, and it has made all the difference in my life”

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