Keeping the business but not running it.
WHY MANY OWNERS WANT THIS
They want the income without the daily work.
WHAT IT REQUIRES
Someone capable running it Systems that do not depend on you Financial visibility without daily involvement Genuine delegation of authority
WHY AUTHORITY MATTERS MOST
A manager who must ask about everything is not managing.
WHAT TO ESTABLISH
What decisions they make, and what comes to you.
WHAT TO DEFINE
Spending limits Hiring authority Pricing discretion What requires consultation
WHAT TO PUT IN PLACE
Reporting: monthly figures and a short summary.
WHAT IT SHOULD COVER
Revenue, margin, cash Key operational measures Problems What is coming
WHAT TO ESTABLISH
A regular meeting, and stick to it.
WHY REGULAR
Ad hoc involvement produces interference and confusion.
WHAT TO AVOID
Undermining the manager in front of staff Taking decisions back inconsistently Being unavailable for what genuinely needs you
WHAT TO PROTECT
Financial controls.
WHY
An absent owner without controls is exposed to loss.
WHAT CONTROLS MATTER MOST
Bank authorisation requiring you for large amounts Regular independent review of accounts Visibility of payroll and suppliers
WHAT TO REVIEW
Whether performance holds.
WHAT TO PLAN FOR
The manager leaving.
WHY
The arrangement depends on one person.
WHAT TO ESTABLISH
What you would do.
