As president of Generational Equity, Ryan Binkley makes a living helping business owners prepare their organizations for sale. But with the economic challenges over the last couple of years, he’s seen business owners struggle to sell their organizations and potential buyers not be able to get loans necessary to make these transactions. During these tough times, he came to rely on his management and deal-making teams to stay in tune with clients’ needs and help them in the sale-preparation process.
“These are the professionals that work closely with our clients every single day on their exit plan,” he says
This approach by his 250 people helped the firm not only do well the past few years but also earned it a spot on the 2009 Inc. 500 list.
Smart Business spoke with Binkley about how to put together a strong team that can ensure success during tough times.
What’s the key to building a strong management team?
That’s a leadership challenge that’s there in every organization, whether it be private or public, and it’s important for the business owner to continue to have good leaders that can carry on the business in the same manner they do. What we try to do is always have good people that can run their departments at the same level that we could if we weren’t here. That’s the goal for every company, and people need to invest in that instead of solely relying on the business owner to be in a position to be prepared to hand off to someone else.
We built it over time and recruiting good people. We found some people in the industry who had a lot of experience in exit-planning and deal-making. It was a process of coming through and finding the right people that we felt were a cultural fit.
How do you make sure someone is both a professional and a good cultural fit?
It’s through not making a hasty decision and getting to know them a little bit. People are one or the other. A lot of people are one or the other, and it’s spending time with them during the interview process to make sure they share the same values as far as long-term business goals. We just want to make sure we’re doing the right thing for the client long term and not just the short term and be professional and have the right expertise that’s really needed in the marketplace.
What questions can you ask to get to know them in the interview?
There are two things. You have to have skill, and then you have to have the X factor, which is the leadership and integrity. We need to make sure that somebody fits the technical expertise we have, and that comes through their background as well as looking at some of the examples of the work they’ve done. You can talk to someone about the challenges they’ve had, and they can communicate their expectations there or not.
The other is just do they have that leadership factor that’s so important. In this difficult time, we need people who can really communicate with our clients and help them through the difficult times they’re going through and make proper decisions, and it takes a high-quality individual to get that done.
How do you make sure someone can work with clients really well?
I don’t know that there’s any secret formula other than based on experience, but once you analyze them and get a feel for them and how they’ll handle difficult questions that they’re asked, eventually you just go with the instinct you have as a professional. At the end of the day, if they seem to have the integrity and the leadership skills, you have to just go with your instincts.
How to reach: Generational Equity, (877) 213-1792 or www.genequityco.com