Partner Article

When is it time to step back?

Setting up a business is no easy task – it’s a labour of love which takes hard work to get off the ground. As revenues and teams grow, the business itself can take on new forms – be it in terms of changing clients, personnel or culture. However, the issue that causes a headache for many leaders, is the conundrum of when to hand over the day to day to someone else.

This is understandable, as, let’s face it, you mould your business to how you want it to be. It’s not unsurprising to learn that SME owners are so invested (commercially and emotionally) that up to a fifth that we surveyed recently had not paid themselves up to four times over the past two years, as they wanted the revenue staying in the business, not going to themselves. For some, setting up a business is the realisation of a long-held dream, or following through on a gut feeling which has turned into a success. Therefore, allowing others to exert their influence and take the reins is unnerving, as it could lead the business in a new direction, against the tide which has been previously followed.

You may be reading this and thinking the feeling sounds familiar. The good news is, you are not alone. We know from our research that 70 per cent of SME owners fail to delegate, while half (47 per cent) have worked through a weekend, due to work commitments and needing to get things done. What’s more, 74 per cent say that their relationships with their partner, friends or family have been affected by working long hours. As I said previously, it’s no easy task running a small business.

However, for the business to survive long-term, owners need to know when to step back, and pass the day-to-day to experienced managers. This will have more than one benefit, as it allows you the time and headspace to think long-term (and therefore dictate the strategy so the business has a defined path). However, there are still pitfalls that need avoiding if you’re to grow the business and step back fully – below are some of the more common hurdles which need to be navigated.

Manage your energy

This sounds simple but avoiding burnout is paramount to the business’ success, as your thinking and guidance will help take it forward. However, SME owners don’t always help themselves. Sixty-two per cent of SME owners check their emails constantly throughout the day, potentially preventing them from concentrating on one, core task at a time. Whilst multi-tasking is vital in a small business, not taking the time needed on projects could backfire, so taking holiday, breaks such as a lunchtime walk and shutting down the emails for a couple of hours will be beneficial.

Additionally, only 12 per cent of SME owners stop to talk to their employees when they come into work, which will not help personal energy levels or that of the business. Taking time out to socialise, getting to know your colleagues and build relationships will help them buy-in to your cause whilst giving your brain a break. Brains can’t focus for hours upon hours, so taking a short break can also aid productivity – your brain won’t get bored (leading to a dry strategy) and allowing the mind to wander is good for it – it can make connections that it can’t when it’s constrained.

Let people do their job

Stepping away from the day-to-day is one thing. Staying away is another. When you’ve hired others to manage the nitty gritty, you need to let them do it alone. Involving yourself when not needed, or making critical decisions without consulting others is a massive no-no. Not only will it alienate your management team, it will confuse the employees. Therefore, stop attending meetings, don’t ask to be copied into emails – let it go, and work towards a culture of accountability instead. For the good of the business, it’s good to not dictate everything and let others make their mark, as being challenged can often lead to a favourable outcome.

Don’t hold back your ambition

If the business is successful, it’s time to think about how to make it even more so. Increasing revenue streams and profitability is key, so how can this be achieved? Adding different specialisms to the business is a way to achieve this – be it knowledge or skills based. As our business has grown, we have capitalised on opening new offices which meet our skill requirements. For example, we recently opened a new office in Cardiff, as there was available talent, and is well known for its stellar customer service. Even if your business is a start-up, it doesn’t need to be limited to one site. Think ahead and what your business needs to succeed.

Going from a start-up to a more established, fast growing SME will require changes in tactics. Therefore, to be an effective leader, you need to be able to know when to step back. Having the ability to think about the problem, not react to it, along with the other hundred things on your to-do list will help your business be more resilient.

This was posted in Bdaily's Members' News section by Andy Nash, Operations Director, Opus Energy .