Magnus Marketing Blog

I was shocked the other day when I saw one of my former, enterpreneurial, bosses proudly displayed on another company's website in a C-level, full-time position. Not as an interim executive (although I have a feeling this too is a mismatch), but in an actual job - working for someone else! The guy who declared years ago, that he will never work for anyone ever again. A few months ago, I was surprised to see an announcement on the JS Group's website stating that founder/CEO JS departed - she went to work for her A-One client as a VP. Even my old Auntie Judy, who used to have a successful business plan and financing company - travelling the world over, sold out - she got married and -poof - "Ms. I could be a friend of Carrie's on Sex in the City" turned into a real disappointment - a bon-bon eating couch potato. I may not be her biggest fan overall, but the woman was an inspiration for her "Sex in the City" ways and corporate business and later entrepreneurial acumen.

Aside from Auntie, when the going got rough, the espousers of sales and marketing methodologies sure got going - right into a full time job. Remember, JS espoused the idea that sales was "dead man walking" - maybe she should have done more of it to build her company - eh?

That is the fundamental problem with business owners who depart, they really can never go back. The reasons are as follows:
1. In the case of sales/marketing type companies, they aren't successful - they couldn't execute or fulfill their own value statement. Actually, with any company they aren't successful, it is a complete vote of no confidence when a Founder decides to work for someone else (and it is NOT a merger). One of my former clients CEO's was talking about getting a job because his company ran out of money (not the first time) - this guy is the poster boy for financial mismanagement and incompetence - no one should do business with him or his company. That is a case where the owner should get a job, maybe he would learn something from his more successful superiors.
2. I would never trust the owner again. Perceptually, the owners literally walked out on employees, their clients, the mission - to what? Take a better opportunity with a client or company? You control your own destiny as an owner, why not reposition the company to do something in line with what you want? Take a job for more money? Why not work on building your client base and MAKE more money? For stability? What about the employees that are left leaderless or with a lesser driving force in place, if any leadership at all.
3. I wouldn't trust the company. The founder leaves, sending a no vote of confidence message. Even if they returned, why work with them - will they leave again? If they return and claim "interim executive" is it true or are they "covering up" showing a lack of integrity.
4. You cannot be an owner and work full-time. Great message there also. Either make the 100% commitment to your employer and make his company successful or make the 100%+ commitment to your company and make it successful. There is no in-between, particularly for established firms. True start-ups that are launching, may have part-time founders who are building their company to a point in which they can work full-time for the venture - different story. Once that company hits that point, the owner/founder will be working 150% to continue that success.

Of course, there are valid reasons for an owner leaving which send a completely different message:
1. Owner/Founder steps aside for new management: This message is one of confidence and growth, more professional management is taking over to "take the company to the next level"
2. Owner/Founder hands over the company: Whether it is health reasons, retirement, tired of working 100 hrs a week - many founders/owners will "hand off" the business. Acknowledging that new blood is needed to continue the company's survival and growth.
3. Owner/Founder hires a CEO to run the company, starts another venture or philanthropic pursuit.
4. Owner/Founder MERGES the company with another company. Take the case of JobMachine which merged with Arbita. That was a super intelligent, can't give Shally enough credit for that, decision. Not only, not only, did he completely preserve JobMachine as a semi-autonomous division, the new combined services are just phenomenal - the employees, associates (myself), clients benefitted tremendously. While he gave up some "power" as an owner, everyone, including him and his family (which is growing), is so much better off. Hard decision, great outcome. A true business leader.

I made the mistake before incorporating of leaving two or three clients to work full-time for a client. I actually made that mistake twice in my history, the first time I wasn't quite on my own - worked with a partner and the circumstances were really not good. I didn't feel I had enough experience at the time to start anything on my own. The company I went to work for - went bankrupt in five months, the client I ended up working for after that bankruptcy - changed strategy (thanks to my market insight) and terminated me eight months later. Just before incorporating Magnus, I worked for a client - who basically threatened me to work for him full-time or else. I gave up my two clients - I was asked to leave 3, THREE months later, because he decided he wanted a full-time outside sales guy and couldn't afford both me and him. The clients I worked with never re-established the relationship, and why should they? I lost their trust.

Tt wasn't worth it. Within weeks, Magnus Marketing was formed and has been going for two and half years. I have the best clients and met cool people along the way. It is not easy. Maybe someday I will add employees and really grow, but as long as I have clients who need me - I stay with them. And, unlike others, I "eat my own dog food" and use my methods to find new business. My motto: where there is a will, there is a way! Stick to it and if you have to leave, shut down the company all together and clear the path for others to succeed in your place - second-rate competition is such a drag on the market.

Oh yeah, good luck in your new position. May you have the same success and gain the experience that I did working for you. ;)