Week 13 Reading Reflection

I liked this chapter a lot because of the number of charts and graphs to actually show how the plans worked.  Even on the in picture 14.2 it gave a list of questions to go over when analyzing a business, and most of them I never would have thought to ask or even consider.  When looking at the discount earnings method I see how it could find the earning potential for a company that is already up and running, but how would it work to project a startup business?  It seems to me that the control factor means that means that owner is factored into the cost or evaluation of a business.  Would the owner’s history and personal life have an effect on the evaluation of a business?  I did not find anything in this chapter that I disagreed with.  In fact, as I stated that amount of tables, charts, and graphs in this chapter were very helpful to understanding how the process of the evaluations work.   

Celebrating Failure

I think that this is one of the most interesting assignments in this course.  I am a very big believer in failure being important for growth.  That being said I am also extremely hard on myself and if something is not right then I do consider that a failure.  I see failure in things that I do every day, true there are different levels and sometimes I let it go a little easier than others, but to me it is still a failure.  I try and take failure as a learning opportunity and always try to not make the same mistake twice.  That is not to say that I do not get frustrated or upset with myself. I tend to beat myself up pretty good on most mistakes that I make.  This class has not really changed how I feel about failure at all.  I feel that the way I handle is the appropriate way to do so and will continue to move forward with my process.  Being that I do take failure so seriously, one failure is sticking with me and it is fairly recent.  I spent a couple weeks doing research and studying for this and watched all of my time and effort get undone in a matter of just a couple days.  This was an event that lasted a while and after the first day it wasn’t so bad but then day 2 came and the next few weeks were downhill from there.  It was March 18^th and everything was going okay but something didn’t feel right and then it hit my first major blow and a big step toward failure, Middle Tennessee had beaten Michigan State and just like that on day 2 I had lost a final four team and my runner up in the national title game.  It would only spiral out of control from there.  On the very next day Indiana beat Kentucky and knocked out my 2^nd final four team and destroy that half of my bracket.  Still hanging on by a thread at this point, all hope was crushed 7 days later on March 26^th when Villanova knocked out Kansas, who was not only my 3^rd final four team, but also who I picked to win the title.  In the end, I was left with only Oklahoma to go to the final four and they did, however I was nothing more than a spectator at this point with nothing to hope for.  By the time the dust settled I finished 9^th and my small pool of ten people the only person I did better than was my 11 year old daughter, who would of beaten me too if Syracuse knocked off North Carolina in the final four.  Yeah it was that bad.  My learning experience is that sometimes you can’t predict how the tournament is going to go and there is a reason they call it March Madness. 

My Exit Strategy

1)      Identify the exit strategy you plan to make. Do you intend to sell your business in the next 5 years for a large return? Do you intend to stay with the business for several decades and retire? Do you intend to protect the venture as a family business, and pass it down to your children?

a.       For my exit strategy I would plan on staying with the company for many years.  For the beginning part I would stay in charge and oversee everything and make sure it was successful.  After that I would likely hire management to run it the business, but still be a part of it.  I would sell a portion of the business but remain a partial owner.  I would then work as lower level employee this I way I can teach and show my children the value of a full work day.  I would likely retire at closer to the 20 year mark after my children are grown.  If they wanted to take part in the business that is their decision, but they would have to work their way up the company ladder and learn the full business.

2) Why have you selected this particular exit strategy?

b.      I picked this exit so that way I could still monitor the business, but also enjoy life with my family.  I would continue to work that long, as I said, to teach my children.  I would also want to keep working to help pass the time and that way I could still grow as the business grows.  What I mean by grow is evolve not necessarily grow the business in size but grow and change as the market grows and changes.

3)    How do you think your exit strategy has influenced the other decisions you've made in your concept? For instance, has it influenced how you have identified an opportunity? Has it influenced your growth intentions or how you plan to acquire and use resources?

a.       I do not think that my exit strategy has had a major influence on my other decision for this business.  I have had this plan in mind while looking at the business, but I do not think that my plans were changed or effected by that.  I would still need to put in the work and feel the first 5 years will be the most crucial for the business.