Keeping a Fortune Can be Harder than Making One
Bethesda, Maryland (PRWEB) July 26, 2013 -- Highly successful entrepreneurs have an uncanny knack for rapidly reducing their riches to rags, says Jack Garson in latest Huffington Post article. The attorney, columnist and bestselling author of How to Build a Business and Sell It for Millions calls them “bungee-jumping entrepreneurs.”
Some of them “bounce back,” says Garson, “but others lose everything when that cord snaps.”
It’s an occupational hazard-gone-wild, since some risk taking is necessary to build a business that brings its owner a big payday. Once that payday comes, Garson says he has “seen entrepreneurs lose millions, when they should have sat back and watched others seek thrills.” He cites some familiar, and not so familiar, examples in his Huffington Post column:
- The real estate mogul who lost hundreds of millions when he entered the media business.
- Superstar athletes who start a restaurant chain.
- The tech tycoon who cashes out of a once-in-a-lifetime success story and squanders his entire bankroll building a business “his way.”
He’s seen owners lose a would-be fortune by failing to let go and sell their business at the best time of all—“when everything is perfect and you can’t imagine selling.”
And then there are the scofflaws who “treat legal requirements as if they’re mere suggestions,” Garson says. “As a lawyer, people tell me their secrets. So I can tell you from someone who is in the ‘confession booth’ on a regular basis, we are not talking about the rare ‘oops’ here. Look to your left. Look to your right. One of the three of you is doing something bad. Fines, attorneys’ fees and prison all tend to crush your net worth.”
For high-flyers hanging from precariously long bungee cords, Garson has four simple suggestions:
- Do a gut-check. Would you tell your spouse or lawyer or board of directors what you are doing? If not—stop.
- Learn what you don’t know, then seek—and follow—good advice.
- Manage risks. Buy insurance. Read contracts. Establish an asset protection program. “The simplest of measures can protect fortunes,” he says.
- Change. Work on your problems—the ones in your head, mainly—and don’t hesitate to enlist professional help.
“Success is a rare achievement,” observes Garson. “You need to manage risk to get there. And you can only enjoy a fortune if you still have one.”
Read Garson’s complete column at The Huffington Post, and check out How to Build a Business and Sell It for Millions on Amazon.com.
Jack Garson is the founder of Garson Claxton LLC and leader of his law firm’s business group. His extensive understanding of the business world contributes to his work as a lead negotiator in mega-million dollar sales of companies. Jack also serves as legal and strategic advisor for numerous national, regional and local companies, helping them overcome challenges, grow, succeed, and sell. For media interviews please contact Marc Silverstein at marc(at)onthemarcmedia(dot)com or by phone at 202-716-9123.
Marc Silverstein, On The Marc Media, 202-716-9123, [email protected]
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