Connect with us

Lessons Learnt

Less Than 10 Years Got 3 Way Marketing Crashing Through Glass Ceilings

Tom Goldgamer and Danny Aaron have never borrowed a cent; they’ve funded all their growth internally, and their business model is 100% risk- based – which means they take on all the marketing risk, and clients only pay for results (in the form of hot leads or sales). It’s a big upfront cost for the company, but one that’s paid off in spades. Today the Benater Production Group is the holding company for 14 separate companies, has impressive year-on-year growth and a turnover of R200 million per year – all achieved in under ten years.

Nadine Todd

Published

on

Danny-Aaron-and-Tom-Goldgamer

Vital Stats

  • Players: Tom Goldgamer and Danny Aaron
  • Company: 3 Way Marketing and Benater Production Group
  • What they do: Data, analytics and performance-based marketing
  • Est: 2008 and 2012
  • Turnover: R200 million+
  • Visit: 3waymarketing.co.za

When Danny Aaron and Tom Goldgamer launched their business in 2008 they had no grand strategy, five year plan or a physical product. But they did have an idea, a few business philosophies they planned to develop as they went along, and a willingness to take on a lot of risk as they built their company. They wanted to make it as easy as possible for clients to take a chance on them, and their focus was on big blue-chip companies.

“We operate in an industry that changes frequently, so strategising too far ahead is difficult and often counter-productive,” says Goldgamer. “But we knew we needed strong foundations if we wanted longevity and growth, and so we focused our energy on developing business philosophies that we could implement across our various companies.”

As philosophies go, they’ve worked. Turnover is over R200 million, with staggering year-on-year growth.

Related: Grant Rushmere Is Going Bos With Iced Tea

1. Leverage a great partnership

Local investor and dragon on SA’s Dragon’s Den, Vusi Thembekwayo, believes that the best businesses are run by partners. ‘Great entrepreneurs often come in pairs,’ he says. Ex-Accenture COO and venture capitalist Clive Butkow agrees. He will rarely — if ever — invest in a business with a sole founding partner. He believes that running a business alone is too hard, as no-one embodies all of the characteristics required to successfully run a high-impact business.

Goldgamer and Aaron are a perfect example of this simple rule in action. With a fluid management philosophy and roles that change with the business needs, Aaron manages the business development and Goldgamer is more focused on operations.

“Because 3 Way Marketing’s clientele leans towards the financial services sector, the business is regulated and must adhere to strict corporate governance guidelines and KPIs,” says Goldgamer.

“This means we need to be incredibly familiar with the regulations that our clients are subject to. It also means that we’re very hands-on with all of our customers, who interact with both of us depending on their needs. No client is either mine or Danny’s. We’re a single unit with almost interchangeable parts.”

It also helps to be good friends. The lines between business and personal aren’t just blurred, they’re non-existent. “We’ve spent hours and hours on the business during non-business hours,” says Aaron.

“This is our passion, and so it can’t be confined to an 8-to-5 day. Thank goodness our wives get along as well as we do. A business partnership requires a huge amount of trust and respect.”

Aaron and Goldgamer lived next door to each other for the first six years of setting up the company, which also helped to ensure that all of their focus and time was invested in the business.

2. Hire people you like

3-Way-Marketing-and-Benater-Production-Group

Conventional business practice says hire for skill. Goldgamer and Aaron have done the opposite. Most of their early hires were friends or friends of friends with strong referrals and they only hired people they liked. Today 3 Way Marketing has grown to more than 180 employees, with over 300 people in the Benater group, but they still follow this basic principle.

“We hired people who we thought could help us grow the business, not necessarily because they possessed the right skills — those could be learnt — but because they had the right attitude,” says Aaron.

Today, those early hires are managers, instilling the company’s values in their own teams, hiring based on values and continuously focusing on upskilling.

The partners met at Hollard. Aaron was a data analyst in the marketing, insurance and risk management sectors, and Goldgamer was a GM. “Hollard has an excellent corporate advancement project,” says Goldgamer.

“Every new graduate has a line manager and a senior person overlooking their development, so training and mentorship continues on the job. You don’t need to hire for skill if you’re willing and able to upskill internally.”

Aaron and Goldgamer work in such a niche industry, it’s almost impossible to just hire someone who does what they do. “In our early days our core focus was hiring people who shared our values, were driven and who we knew we could teach our industry to. Above all we knew these people could be trusted. We then did a lot of informal mentoring, both during and after office hours. We had a small team, but everyone was engaged and hungry for success,” says Goldgamer.

Related: Starbucks Coffee Is All About Culture… For A Reason

“This was how we found great people at the beginning,” adds Aaron. “We’d call guys we knew, who we’d gone to school with or were our mates. Greg Canin, who runs the call centre business, went to school with me. Tom and I wanted a numbers guy, not a traditional call centre guy, and he fitted the profile. We gave him his own budget, bank account and created an environment where he has autonomy. Most importantly, we gave him the trust and space to create something amazing. With zero experience in call centres, he’s almost single-handedly built this into a very successful business.”

Canin is not a unique example to the group of companies. Dov Slowatek, previously a serial entrepreneur with a BSc in mathematics, now runs Benater’s operations environment. Kirill Levchenko started his career working in a call centre, and now heads up the group’s account management team, and Devin Karpes, who joined as 3 Way Marketing’s first designer, now forms part of the group’s exco.

So, how do you make something like this work?

“You need to accept that in a relatively new industry there are going to be a lot of growing pains. It’s important that you and your teams are open and transparent, and you give them a chance to learn from their mistakes. You’ll not only create an environment where everyone wants to try new things and find innovative solutions, they’ll treat your business like their own,” says Goldgamer.

“With friends this can be a bit trickier. It forces you into a more meaningful discussion with give and take, because you want to maintain the relationship. This has always worked for us, and if we’ve parted ways with friends, it’s been on a business level only, and on good terms because we’ve approached the relationship from a place of respect.”

“We learnt this lesson from friends in the private equity space who told us that you never fight over money, especially if it’s in your circle. That’s rule number one,” adds Aaron.

3. Find big clients and build loyalty

Goldgamer and Aaron’s first entrepreneurial venture was called Web Smart, and it focused on SEO for the SME market. “We had a third shareholder who bought us out within 12 months,” says Goldgamer. Although the company was a success, the partners learnt that they would rather focus on fewer clients with mass volumes. In this way, their time, energy, systems and funds would go a lot further, with more focus placed on each client.

“Our idea was to start with our core and then expand into different verticals,” says Aaron. That core was 3 Way Marketing, a data-driven lead generation business.

“Our first client was Hollard,” says Goldgamer. “I’d spent eight years with the organisation and we had a good relationship with them. They were open to our ideas, and had encouraged us to pursue our entrepreneurial dreams with our first business. Now we had a product that they could benefit from. Securing Hollard gave us traction to approach other blue-chips with a track record.”

Since Goldgamer and Aaron were determined to work with a select number of corporate clients and not hundreds of SMEs, they needed a way to get corporates to give them a chance, and they needed it fast.

To achieve this aim, they embarked on a business model and sales pitch where they carried all the risk.

4. Carry the risk to make the sale as easy as possible

“Businesses find it difficult to quantify the value of a lead,” says Goldgamer. “How qualified is the lead? How warm is it? And if no sale results from it, is it worth anything at all? Since our business starts with lead generation, we realised that we needed to put our money where our mouth is.

“Instead of asking, what is a lead worth to you, we now ask potential clients, ‘What is a sale worth to you?’ This is a completely different discussion, because it’s something they can quantify.”

Armed with this insight, Aaron and Goldgamer created a business model that is largely risk-based. “Clients only pay us for a pre-agreed result,” says Aaron. “This makes it much easier to close the sale, but it also means we only make money if we deliver. Until that point we’re actually running at a loss.”

“To make the business model work, we fire ourselves before a client can fire us,” adds Goldgamer. “We evaluate if we can come in with the numbers we need to make a client contract worthwhile. If we can’t, we’re not doing the client or ourselves any favours by continuing with the contract. Occasionally we’ll run at a loss if we can see long-term value, and of course we need to make provisions for poor response cycles and bad data patches, but on the whole it means that we only chase clients and businesses where we are sure we can deliver value and meet our targets.”

“The value to our clients is two-fold,” says Aaron. “First, they only pay us for hot leads and sales. Secondly, irrespective of the result of a campaign, they get brand awareness and exposure, which is a by-product of the lead generation process — and something they aren’t directly paying for. It’s win-win for them and it gets our foot in the door.”

Related: 6 Of The Most Profitable Small Businesses In South Africa

In order to generate leads, 3 Way Marketing uses a wide range of digital channels including email marketing, sms, social media, search engine marketing, affiliate marketing, foot soldiers and content marketing.

“Typically each channel is tested separately and the ones that yield the best results in terms of client sales delivered will be focused on, with the poorer performing channels stripped out,” says Goldgamer.

“This is an important process because we can’t afford to spend time or money on channels that don’t work, so we measure everything. After this filtering process, which typically takes three months, the platform is set for our clients to receive leads from only the top converting channels.”

5. Don’t spend cash on anything until you know it works

3-Way-Marketing-and-Benater-Production-Group-founders

Start small, test quick and measure to see if the yield is there. Every new idea, product or service must follow this path. “The upside is that we only invest significant funds on ideas that have already been market tested,” says Goldgamer.

“The downside is that we often have many processes running at the same time. We build something simple to see if it works. We then evaluate if we can make it profitable, or if it adds significant value to something else that we are working on. It’s a piecemeal and patchwork system, but it’s really worked for us.”

This philosophy directly impacts a value that everyone in the organisation embraces, which says that nothing is ever finished, complete or the best it can be. There’s always more: Another solution, a faster way of doing something, a smarter way to reach a better result.

“We’re continuously revising our system,” says Aaron. This means the team needs to really listen to their clients’ needs. “We’re always ready to make tweaks and adjustments. That’s how you keep improving. We know that systems never work like you think they do, or how you plan for them to work. You need client feedback, and then you need to adjust your systems accordingly.

“For example, we originally had one lead channel. We collected leads, sent them to our client. Because we get paid per lead or a sale, and their sales weren’t as high as we’d expected, we were able to determine that they weren’t receiving all the leads we sent. The problem was that we didn’t know why. So we built a component that tracked and pinged each lead.

“It worked incredibly well, except that now the client felt like they were being flooded with leads. They only wanted a set amount of leads per day. No problem, we adjusted the system for that too. The end result is that you’re providing a service or product that meets your business objectives as well as those of your clients, and that leads to longevity. We’ve lost only one client in eight years.”

6. Cross pollinate once you have scale

Today 3 Way Marketing has close to 60 blue- chip clients, so its risk is spread out, but this wasn’t the case in the early days. “Having only a handful of large clients meant that losing one of them would have a significant impact on our sustainability,” says Aaron. This was the driving force behind developing different but related verticals.

“We wanted a business model that spread our risk across multiple clients and verticals.”

It’s a solid growth strategy: Determining what else you can do based on your core product, service or expertise. Goldgamer and Aaron have done this particularly well. “We started as an intermediary matching affiliates with brands,” says Aaron.

“Then we realised we could create our own site and push leads through it. Today, we own thousands of comparison site domains. Our ‘engine’ is constantly profiling and running data analytics, and whether this is for 100 000 people or one million makes no difference to the system.”

“We then started looking at the lifecycle of a lead,” continues Goldgamer. “First, a lead is collected. Next it’s converted. How can we get involved there? We can make them warmer by asking qualifying questions. This led to the development of our call centre.”

“Next we looked at industries that worked in a similar way to the industry we knew from the inside out: the financial services sector,” says Aaron. “The pure risk model works just as well in automotive, travel, accommodation and education. For example, we generate hot leads for vehicle test drives for some of South Africa’s most prominent brands. We take this one step further by actually pre-qualifying every lead in our call centre and booking test drives on the client’s behalf. In this model our clients only pay once a test drive has been booked.”

As the business grew and diversified however, 3 Way Marketing was no longer an appropriate name for all the businesses Aaron and Goldgamer were involved in.

“3 Way is the golden thread that runs through everything we do,” says Aaron. “But it’s now just one business in a group of companies we launched in 2012.”

This has allowed new verticals and divisions to be added without diluting each business unit’s focus, team or skills.

The founders liken the group to a venture capitalist model. “The group and its companies were built from internally generated funds. Each new company begins as a lean start-up within the group. If we don’t have the specialised skills necessary for the business, we’ll find the right partners. We understand the power of dedicated leaders for each company within the group. This gives us the necessary skills and focus in each vertical, but it also frees us up to concentrate on overall group growth and strategies,” says Goldgamer.

Related: 27four Investment Managers Aren’t Afraid Of The Big Boys

7. Invest in people, processes and clients upfront

“From launch we decided to spend money on client campaigns before we made cash. This meant investing in people and processes, and following the risk model philosophy. We did it carefully, testing and measuring everything each step of the way, but it was a philosophy integral to our growth,” says Aaron.

“For example, we place conversion managers on-site at each client’s office. This is an upfront cost for us, and it’s one we shoulder before they’ve paid for a single lead. Our team member assists the manager with analytics, and best practice to ensure all leads are converted into sales.

“We also know that in sales, there are crucial touch points that ensure higher conversions, such as the time it takes to touch a lead, scripting, closing techniques and so on. An on-site resource makes the likelihood of successfully addressing these principles much higher.”

8. Embrace agility and openness

3-way-marketing-south-africa

“Our industry is constantly changing,” says Goldgamer. “Technology and channels continuously morph, which means we need strong individuals to grow within our organisation, and they’re hard to find. Once we have them, we need them to stay. We’ve found the best way to keep talent is to align them with the company’s performance. This incentivises them and aligns us all to the company’s goals. Our numbers and performance are transparently reported to our teams, which allows and empowers our employees to treat the business as if it were their own.”

Goldgamer and Aaron are the first to admit that it’s an important part of their business model. “What we do isn’t for everyone. It’s a tough, busy working environment. It’s full of daily lists, requires laser focus and you’re pretty much always on. But the rewards are great, both monetarily and from a growth and autonomy perspective.

“As a start-up we looked for passion and made a lot of promises to attract and keep rising young stars. As we’ve grown we’ve needed to deliver on those promises. Part of this is finding the right people who want to work within an organisation, but are also entrepreneurial enough to want to be exposed to deals, run budgets, and see a direct impact on what they do. Our senior managers have been with us since the beginning. They’ve earned their positions, and they run each business unit as their own. They go out and sign deals. Create a trusting environment where people can grow and feel in control, and they will flourish.”

The Benater Production Group

Since the Benater Production Group was formed in 2012, 3 Way Marketing’s role became the marketing engine for 14 other businesses within the group.

These include:

  • Phonefinder, South Africa’s first mobile aggregator.
  • Fix My Life, an online portal that allows you to virtually connect and transact with service providers for your home. The service includes plumbers, painters, electricians, handyman and builders.
  • Hudlr, a data mapping software tool that allows marketers to easily pinpoint and send instant direct messages straight to their target audience.
  • BMI, one of South Africa’s largest AVM (automatic voice recording) businesses, backed by a 6-seater call centre that pre-qualifies each lead before it hits a client’s environment.

In Place Recruitment, created to service the recruitment functions of the group as well as other blue-chip companies with a strong emphasis on financial services and digital.

Nadine Todd is the Managing Editor of Entrepreneur Magazine, the How-To guide for growing businesses. Find her on Google+.

Advertisement
Comments

Lessons Learnt

10 Gary Vaynerchuk-Approved Success Strategies

The VaynerMedia founder gets real about drive and ambition.

Nina Zipkin

Published

on

Gary Vaynerchuk

Perhaps the best way to describe Gary Vaynerchuk is “nonstop.” The founder of VaynerMedia, VaynerSports and Vayner/RSE is also an author, host and vlogger who records just about everything he does.

He is known for being relentless in his pursuit of the hustle and has a loyal audience of millions (2.4 million on Instagram, 1.58 million on Twitter and 2.3 million on Facebook) who take his advice to heart.

We took a deep dive into his blog archive to find some of his best tips and advice for making it as an entrepreneur.

1. On why failure shouldn’t scare you

“It’s the lack of fear of failing that has allowed me to make decisions so quick. People don’t make decisions because they are scared to lose. I make decisions because I want to know what’s going to happen, and then I use that information to help advise what I do next,” Vaynerchuk writes.

“The one thing I know for sure, is the outcome of what happens if you don’t decide. If you never make a decision, or deliberate for too long, all the upside or potential opportunity could be lost.”

Related: 5 Vital Keys To Success From The Likes Of Tony Robbins And Gary Vaynerchuk

2. On the value of patience

“The game is LONG. There’s so much opportunity. Optimism is the secret to capitalizing on this opportunity and that’s where you need to live. You need to figure out how good it really is and how much opportunity you have,” Vaynerchuk writes.

“Patience is practical. I push patience because I know life is long. Everybody around here is running around like it’s not. 24 year-olds running around like it ends tomorrow. Like they need it now. What’s wrong with being 26 or 41 or 73?”

3. On why age has nothing to do with ability

gary-vaynerchuk-entrepreneur

“The youth are the future of everything. They are the future of business, of society, of law and of government. We better pay attention, and empower them to be the best that they can be,” Vaynerchuk writes.

“My hope is that we lose the sentiment of age makes a difference in skill. There are plenty of 22 and 24 and 26 year olds in my office right now that work harder and smarter than some of the 50 year olds I know. It’s just the truth and we are going to continue to see this trend adopted in the marketplace. You can’t deny results.”

4. On how to build a lasting legacy

“I think my actions map to my ambitions. Because my ambition is to have legacy. I treat it that way. I treat everybody I interact with, with kindness and respect. These days, as my notoriety has grown, I still treat people just the same. I look them dead in the face and I’m just in it with them for that one minute or two or three or 10, and really care about they have to say! Because I am very appreciative and humbled for their attention. I will never get over it. I will never get over the fact that people actually care.”

Related: 8 Pieces Of Sage Advice From Ernest Corbett of Tintswalo Safari Lodges

5. On the importance of an open door policy

“I don’t think one can win in business without having the proper teammates and empowering them to play their role. Ideas can come from anywhere but the fact of the matter is you need an offensive line, you need a receiver, you need a quarterback, you need them all and I think any leader that doesn’t recognise that will ultimately not succeed in the long term. Obviously you can have a company that runs for six months and you sell it but over a 10, 20, 40 year period, there is no other strategy that will actually work.”

6. On why you need to prioritise your own happiness

“To truly be selfless, you have to give without expectation. It’s the mindset of giving with expectation, which kills everything. It just doesn’t work at all. Being selfish is the gateway to selflessness, because you learn to take care of your own personal needs first in order to use that as collateral later so that you can really, truly help.”

7. On why you shouldn’t think about how things “should be”

gary-vaynerchuk-entrepreneur-quote

“Navigating our society and our lives with the hope of how it ‘should be’ versus the way it actually is, is the quickest and least practical way to create success. This is something I say to myself every single day,” Vaynerchuk writes.

“I am in control of my destiny. Nobody else. I get to decide how I react and how I respond, and the greatest motivator to inspire perspective is the simple statement ‘What’s the alternative?’”

8. On why you must value the perspective you bring to the table

“Why are you taking somebody else’s opinion about yourself greater than your opinion about yourself? It’s the single greatest mistake that will keep you from finding happiness and confidence in who you are,” Vaynerchuk writes.

“And it’s not that their opinions don’t matter. You have to have an equal amount of respect for yourself as for others. It’s a democratic society and everyone gets a vote. So beyond the thought leaders, and politicians and school systems you have to have respect for yourself. You need to put yourself on your own pedestal and then start weighing the opinions of others proportionately to how you actually feel about yourself.”

9. On why the competition doesn’t matter

“I am and always have been consumer focused. The reason I don’t pay attention to my ‘competition’ is not because I’m brash or cool. It’s because it doesn’t matter when you’re obsessed with the end consumer,” Vaynerchuk writes.

“Because it starts and it ends with the end consumer and where the attention actually is. I will always do actions that bring you the most value because then I get value in return.”

10. On why your goal should be to keep working

“I didn’t need to get mine at 25. Heck, I don’t even need to ‘get mine’ at 41. This is the long, long game. I’m driven by the climb. It could be because I’m an immigrant and I just have this chip on my shoulder. Or maybe it’s in my DNA. I don’t like winning. I like losing. I like the struggle. I like people telling me that I can’t,” Vaynerchuk writes. “I don’t give a shit if my payday comes tomorrow. I want the game. The game is my life. There will never be a moment to quit. There’s no dollar amount. Nothing you can do to make me stop.”

This article was originally posted here on Entrepreneur.com.

Continue Reading

Lessons Learnt

7 Motivational Habits That Drive Millionaires

Habits seem to rule us. They can hold you back, or you can adapt the right habits and prosper.

John Rampton

Published

on

wealthy-people

Have you ever been awed by the motivation of a successful entrepreneur, leader or athlete? I have. It’s not jealousy, either. Far from it. It’s respect for how motivated they are. Even though I consider myself fairly motivated, their examples encourage me to become even more focused and driven.

The good news is that by adopting the following seven habits, anyone can become more motivated:

1. Find your why

“Highly motivated people start with their WHY. WHY do you do what you do?” asks J.D. Meier in an article for Time.

“If you climb a mountain simply because it’s there, that’s probably not enough to keep you going when the going gets tough. If you know WHY you do what you do, and it matters deeply to you, then you will find your strength in any situation,” adds Meier.

Why do you want to start a workout regiment? Because it was suggested by your doctor? Did your spouse mutter a comment? Are you tired of feeling lethargic? Once you find your why, you can use that to motivate you to follow through with exercising.

2. Get your morning started on the right foot

sleeping-habits

One of the easiest and most powerful habits that drive motivation is kicking off your day correctly by having a morning routine. Think about it. Getting your day started on the right foot makes it a lot easier to stay motivated throughout the entire day.

To ensure that you wake up on the right side of the bed, try these tips:

  • Have a reason to get out of bed. It could be anything from walking your dog, making sure your kids are off to school, or squeezing in a workout before work.
  • Stretch and breathe deep. This gets the blood and oxygen flowing to your brain, and helps you get up.
  • Do something simple to start the day. I make my bed immediately once I’m up. It’s not because I want the bedroom to look presentable. It’s because it’s an easy task that makes me feel like I’ve already accomplished something — even though I’ve only been awake for a couple of minutes!
  • Create rote tasks. As explained by Due’s Miranda Marquit, “Look for ways you can make mornings easier by creating rote tasks that are easy to accomplish. We don’t like to face a day that starts hard. Do what you can to make it easier. Once you’re up and moving, you’ll feel better and eventually be awake enough to tackle the
    hard stuff.”
  • Set goals for the day. This doesn’t have to be lengthy. Just list your top priorities for the day.

Related: 20 Things Millionaires Aren’t Sharing With You

3. Change it up

There’s an old saying: Variety is the spice of life. Variety keeps you motivated to meet goals when you haven’t yet made much progress and risk falling into a rut.

Changing things up is like your workout routine. You can’t just work on your legs. Other parts of your body need some loving too. Keep doing the same exercises and you’ll soon plateau.

The same is true for any aspect of your life. Changing things up gives you a chance to break up the monotony, try out new skills, and have new experiences that can lead to new ideas or develop a new passion.

4. Chart your progress

This is a simple way for you to see how far you’ve come along. Sounds simple, but think about when you set a reading goal. Maybe you want to read more books. Your initial goal is to read for just five minutes a day, but once you start you’re reading for ten minutes and then 30 minutes and soon you’re flying through books.

If you can do 30 minutes, then why not bump up to 40? Just imagine all the books you’ll be able to read. Mark this on your calendar each and every day.

5. Create environmental anchors

working-environment

This is simply writing your goals or inspiring quotes on a Post-it or 3×5 card and placing it on the wall of your office, the inside of your car, bathroom mirror or calendar. A daily reminder of your goal will push you to accomplish it.

6. Develop gratitude

Just by identifying the one thing every day that you’re grateful for is powerful enough in helping you achieve both mini-goals and your big goals, since it develops the ability to look for a daily opportunity that you can grow from.

For example, if you’re grateful that you just landed a new client today, use that feeling and experience to secure two new clients tomorrow.

Related: The One Habit of Self-Made Millionaires

7. Discover your passion

Obsession can be an extremely powerful motivator since it creates its own motivational might. In fact, the most successful individuals are those who chased their passion and are doing what they love to do.

When you become passionate, whether it’s at work, exercising, or volunteering, it no longer becomes laborious. It becomes something that you enjoy, look forward to, and want to get better at.

This article was originally posted here on Entrepreneur.com.

Continue Reading

Company Posts

From Local To Global: Bruce Mackenzie CA(SA) Shares Top Tips On Being A Successful Entrepreneur

Managing Director of W.Consulting, Bruce Mackenzie CA(SA), has done exactly that and shares his top tips.

SAICA

Published

on

By

bruce-mackenzie

How do you grow your own SME into a global consultancy? Managing Director of W.Consulting, Bruce Mackenzie CA(SA), has done exactly that and shares his top tips.

“I started W.Consulting with the aim of providing an independent, high-quality alternative for corporates and audit firms looking for advice on International Financial Reporting Standards (IFRS). The business has grown substantially to more than 40 people working globally, providing advisory services on IFRS, audit risk and corporate finance, training and IT product development.” These are Bruce’s five top tips for achieving growth.

1. Take the risk as soon as possible

It was a nerve-wracking decision to go on my own, as CAs(SA) are taught to be risk-averse. It’s very tough to throw away a CV, but rather than spend a life regretting not taking a chance, if you have thoughts of running your own business, do so sooner rather than later, as the decision only gets tougher with each passing year.

Related: Better Thinking For A Better World

flights-to-london-long-day2. Work hard and persevere

One point seldom emphasised enough when talking of entrepreneurs is that it is very hard work and requires a great deal of energy and perseverance. I attribute my success in large measure to high energy levels. You need that.

It’s exhausting — long days, early flights to London to deliver training, and sometimes back again the same day. So, yes, you need a surplus of energy.

3. Know how to sell yourself and your business

You also need a predisposition towards selling, as any business requires sales in order to expand. Selling is something that’s in my DNA.

Especially when selling advice, it requires persistence because I know that a potential client will at some point need services like ours, so I make sure W.Consulting is top of mind when that day comes. I achieve this by keeping up the relationship, sending new ideas with no sales angle connected, mailing interesting books, and checking on how things are with the client. It’s a matter of having genuine interest. 

4. Hire trustworthy people who share your passion

There are many risks in establishing your own business and one of the first challenges stems from the need to expand beyond a one-man operation. There’s a certain comfort in doing all the work and seeing all the cash in the business as yours, but it puts a fairly low ceiling on the business’s prospects and potential income.

The decision to expand and hire your first employee is both a big decision in itself and important as to the individual you select. It’s the biggest single decision most entrepreneurs have to make — and one that most don’t make early enough. You need to scale up a business to release resources at the top. That process never really ends — whatever you’re currently doing, you have to continually ask yourself: “Could this be done down the line?”

In an SME, each hire, but especially your first, has to be somebody you can trust, someone with the same objectives as you. Instead of having 9 to 5 people, rather employ someone who will do whatever is necessary, regardless of what time of day it is.

My philosophy is to hire people with passion and who preferably know what they’re doing, and then pay well to get them.

Related: 10 Things Successful People Tell Themselves Every Day

5. Continue to innovate

Most businesses fail not for want of an entrepreneurial idea, but because of management and accounting basics like cash flow. CAs(SA) already understand these basics and so arguably can concentrate on the actual operations of the business. However, because CAs(SA) can earn good money in the corporate world, most opt for the easy route in the corporate environment.

The future and success of any business is to keep on doing what it’s doing well. Bruce attributes the success of the business to its culture of continuous innovation: “It’s easier to sell something new,”  he concludes.

Visit www.saica.co.za

Continue Reading

Trending

FREE E-BOOK: How to Build an Entrepreneurial Mindset

Sign up now for Entrepreneur's Daily Newsletters to Download​​