HOW TO GET THAT PAY RISE
MENTORING MAKES IT EASIER
If you’re serious about succeeding in business then you will have already engaged a business mentor. If you haven’t then you’re mixing with the minority.
You can learn a lot from a mentor – Business Mentors New Zealand has hundreds of examples of great partnerships to illustrate the benefits.
One involves mentor Chris Reid and fast-growing start-up NexGen Accounting – founded by brothers Niran and Vinay Iswar.
It was Vinay’s idea to start an accounting business that offered a more personal service and could attract more value for customers. The brothers initially ran NexGen on the side. But after two years of working long into the evenings, they ditched their day jobs to focus fully on the business.
Niran had been introduced to BMNZ by a customer – he couldn’t see any downside and calls the low-cost programme a “no brainer” (clients of the Business Mentoring Programme pay a registration fee of $225 plus GST. After registration the mentoring is free for up to 12 months).
“I decided to practise what I preach, jumping on the opportunity to work with a mentor in the very early stages. I was put in touch with Chris Reid, who asked me to prepare some documents, including a financial forecast. The rest, as they say, is history,” says Niran.
Chris’s first impression of the brothers was that they were young, progressive, and keen to grow the business.
“They had a number of offerings for customers, from minor monthly activity to major monthly packages. Together we refined and reduced the offerings to ensure the best package was clearer to customers, before we could focus on growth,” says Chris.
He suggested the brothers join the Chamber of Commerce and attend some networking events. “Then the challenge was to make sure that they could deliver on their promises, as they were under-resourced in people who could provide experienced supervision. They needed to put a better structure in place and delegate the work more effectively, so they no longer had to spend time interacting with every client directly.
“There were a few issues with putting the right team in place but after the move to their current office in Newmarket the problem was solved, and the company is now full of talented, young people.”
Chris says Niran and Vinay are both incredibly tech savvy, with a strong website and marketing strategy. “We have a meeting every month to review their numbers and look at what is going well and what needs working on. I set targets which I think they find useful.”
The growth opportunity for NexGen is significant, believes Chris, because everyone needs an accountant. “Their point of difference is their energetic and proactive approach. Many accountants only react to correspondence from the customer.
NexGen is always looking at how its customers can improve their performance, adding value rather than simply crunching numbers.”
Progressing to the next level will continue to be all about hiring the right people, he believes. “Niran and Vinay need the right level of people beneath them, so they can focus on client delivery.”
THE CLIENT PERSPECTIVE
When the Iswar brothers recruited their first employee – a graduate who went on to become a fully qualified accountant – they were grateful for Chris’s opinion, describing it as “integral to the decision-making process”. It continues to be the case when acquiring talent today – NexGen has grown to a team of 12 in three years.
Overall, Niran and Vinay’s expectations of the partnership centred on receiving advice from someone who’s been in business longer, and has experience over different industries.
“We also wanted guidance from someone who had faced the same growing pains as us,” says Niran. “You can sometimes get disheartened during the early days of starting a business so it’s encouraging to have someone who can reinforce that you are doing well and going in the right direction.” The concept of having someone hold them accountable was also very important, he adds. Having a mentor has accelerated NexGen’s development from an accounting firm to a business advisory firm that specialises in growth. Niran says Chris was also invaluable in the decision to move the business to a new office, and in setting up a more profitable cost structure once credibility had been established with customers.
A FINAL WORD
The two business examples covered here highlight the importance of having a strong USP and tapping into an experienced support structure. For start-ups there are numerous other ‘must haves’ too. A Google search will reveal many excellent sources of advice. In New Zealand, these include business.govt.nz, theicehouse.co.nz/startupentrepreneurs, banks, the business development arm of local councils, and many more.
Above all – don’t forget to work on yourself. In New Zealand 21 percent of business owners rate themselves as the biggest obstacles to success; 26 percent lack confidence in growing their business; and 36 percent find business ownership isolating2.
Kia kaha – and the very best of luck!
1 http://www.mbie.govt.nz/info-services/business/businessgrowth-agenda/sectors-reports-series/pdf-image-library/ the-small-business-sector-report-and-factsheet/smallbusiness-factsheet-2017.pdf 2 www.theicehouse.co.nz