Wednesday, October 01, 2014

Home News How much do you make?

How much do you make?

Industry News

Learn what to share and what not to share when it comes to company finances.

Inc.com | August 8, 2011

Today, Wayne Rivers is widely considered a small business expert. He is the president of The Family Business Institute, which he started nearly two decades ago. Back then, he was in the same shoes as many of his current clients: an entrepreneur just trying to get his company off the ground. Part of that challenge was knowing what behind-the-scenes financials to share with his team.

“We didn't share in the beginning,” says Rivers. “But as we opened the culture, I wanted my employees to buy in, to share the same dreams that I have. It's a piece of it.”

The Family Business Institute boasts 10 employees and clients today, who make from $10 million to $2 billion in sales. And part of Rivers's savvy in growing his business, he says, was keeping employees in the financial know, increasing the company's cohesion.

“Its consistent with business planning—sharing 1-, 3-, and 5-year goals,” he believes. “It's a big part of making a participative culture vs. a patriarchal culture.”

Here are some guidelines for finding that sharing balance and, in turn, getting your employees to care about your company's financials.

Put Yourself in Your Employee's Shoes

The primary goal you want to accomplish is to demonstrate that your company is stable and an organization of substance,” says Barry Sloane, CEO of the Small Business Authority and Newtek Business Services. A successful company should use its financial strength to engender confidence.

 “If you were a business making a lot of money you may want to show that, the bad part is it could make negotiations with your employees difficult,” says Sloane.

Also avoid sharing salaries, as that could lead to personnel drama and jealousy. Of course, keep proprietary dealings under wraps until contracts allow for it.

For the rest of the story, click here.

Top news

Finding the right fleet

Focus on the jobs at hand when buying a new truck.

JDL acquires The Stockyard Horticultural Supply

John Deere Landscapes will now be able to increase its presence with the retail and wholesale nursery.

Ruppert Landscape hires business developer

Theresa Pickett will work out of the company's Frederick Landscape Management Branch.

PERC's propane videos show industry success

The Straight Talk Videos feature landscapers sharing real-world examples of advantages of propane.

Nemetschek Vectorworks releases 2015 software

The new version contains more than 100 updates and new features including cloud and mobile solutions.

x