Everyone has been disappointed at some time in their lives, and often by the people you least expected it from. Trust is not given, it is earned. But even after being earned, don’t be naïve about it. Temper that trust with a splash of cynicism regarding the human race.
THERE ARE MANY entrepreneurs who have lost everything because they placed all their trust in a certain individual or group of people. Accountants and financial directors have stolen millions from entrepreneurs who trusted them with their banking. Sales reps and account managers have made businesses go into liquidation after taking all the customers or key accounts. Business partners who you trusted with your life — the godparents of your children! — left with your business and hard-earned cash, laughing all the way.
Business is a funny thing and money makes people react in unpredictable ways. Business people are still just people. And not all of them are awesome. Agreements were invented for this very reason.
The smart entrepreneurs protect themselves against these possibilities. As a basic principle, draft and conclude proper agreements with everyone you do business with. Include restraint of trade clauses with employees, partners and suppliers. Set up internal controls in the company to ensure that no one individual is allowed to make payments or have access to cash.
This story is from the November 2018 edition of Entrepreneur Magazine South Africa.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the November 2018 edition of Entrepreneur Magazine South Africa.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
Prepare For The Worst
The stronger your business is, the more you stand to lose. Here’s how to spot hidden weaknesses within your operation and steel yourself for unexpected battles.
Start Planning Today For Future Wealth
Q&A Budgeting is by far the biggest threat to wealth planning, says wealth coach Nelisiwe Masango. If you’re part of the majority of people who don’t have a monthly budget or who have one, but don’t adjust it regularly, you could be hindering your financial progress.
Beyond Banal Business Travel
Twenty-five-year-old South African automotive drivetrain repair company Rex Diff and Gearbox found a perfect match for its business travel needs when it joined kulula work’s client base, and never looked back. Dennis McLachlan of RDG’s Consumer Affairs and Marketing division explains why.
The Next Level Beckons
Rudolf Goosen is an ex-professional rugby player, entrepreneur, author, TV presenter and motivational speaker. Entrepreneur recently spoke to him about his new book, Taking Your Life to the Next Level.
Diversity Drives Board Performance
The composition of your board of directors can help you drive your company value and increase shareholder and other stakeholder returns.
Invest And Save 100% Of Your Tax Payable To SARS
Section 12J funds were created in response to the South African Government offering tax incentives for private investors to support funds that support SME growth in South Africa. Three experts unpack the benefits of investing in 12J funds — particularly for high net worth individuals.
Following Your Dreams? Nailed It!
Sorbet franchisee Kate Holahan went from corporate employee in 2015 to owning two franchise locations in just over two years. By September 2017, she had launched a new location, acquired new clients and was learning something new every day. It took a few learning curves and partnering with the right bank to lead her to successfully running her Sorbet and Sorbet Man stores at Benmore Shopping Centre in Sandton.
How To Build A Community Around Your Brand
There’s a way to build your market without spending a fortune on advertising and marketing — and it’s called community building. Here’s why this should be the cornerstone of your growth strategy.
Sealing The Deal
If you want to close more sales, you need to understand the three phases of the customer buying cycle.
No Limits
When Offlimit Communications faced its first downturn after ten profitable years in business, its leadership team didn’t even question that they would turn things around and make them better. With resilience and determination, they analysed the business, made some tough choices and took action. Within six months they took the business from massive losses back to profitability, and a year later doubled their pre-losses turnover — all in the middle of a recession.Here’s how Lisa Cohen, Jerome Cohen and Garon Bloom took lemons and made lemonade, building a R130-million sustainable business in the process.
