Per·spec·tive
“a mental view or outlook.”
Gain·ed
“to obtain through effort or merit, achieve.”
“I got this! I mean I made it this far didn’t I?”
If you're a successful business owner, you didn't make it happen by pure luck. You pushed through the obstacles, learned what you had to, and thrived. Every once in a while, though, life hands you a rude awakening. Sometimes, just sometimes, you have to admit you don't know everything. Often, though, its purely because you just need to see it from a different angle.
Like our client Barry. Barry owned a very large trucking company in Southern California, and came to us for some business planning. We started looking over his business insurances and found that his business liability coverage was woefully inadequate. Not only that, but his business wasn’t even incorporated! We asked Barry, ”Why are you running a trucking company in California as a sole proprietorship? That makes absolutely no sense!”
He told us that he had been advised by his CPA to remain a sole proprietorship because there was no tax reason to incorporate. The CPA thought it was a waste of money.
His CPA was right when it came to taxes, but that didn't make him a good lawyer! Californians love to sue, and having a sole proprietorship was risky business. We helped Barry create an LLC, and advised him to bump up his liability coverage. Providentially, Barry acted quickly.
It was only a couple of weeks later that tragedy struck. One of Barry’s trucks was driving down the highway with a load of steel bars in the back. A couple of the bars wriggled loose and started careening down the interstate. One bar bounced straight into the windshield of the car directly behind the truck. The aftermath was gruesome. Thankfully, Barry had planned for the worst. The injured family was given the ability to pay all their medical expenses, and Barry was able to keep his company.
Was it still a tragedy? Of course. But because Barry had been ready for the worst, the best possible outcome ensued from it. If Barry hadn't have his perspective changed, the situation would have been a lot worst for all parties involved.
As business owners, it's a lot more fun to play offense, to make the sales, and be the best. But as the famous quote goes, "the best offense is a good defense."
Barry didn't see it coming, but he just needed some new glasses.