I received a question via email yesterday. Hey Shitanshu, how to manage multiple companies at the same time?
Well, it’s difficult to manage multiple companies. It takes a lot of time and energy to build and run multiple businesses to generate multiple revenue streams.
So if you’re starting out, my heartfelt recommendation is don’t try to manage multiple businesses at the same time.
Don’t try to manage multiple companies at the same time.
I think for most entrepreneurs, most entrepreneurs that I advise and consult, I almost always recommend that you just focus on one thing and do it very, very well from the start.
But the question arises that for serial entrepreneurs like me we need to build and manage multiple companies. To build multiple sources of income.
But in the early stages, I don’t think most business owners should be involved in that many businesses.
Because it takes so much effort and so much time and energy just to get a business up and running, I mean business is tough enough.
And if you’re trying to get two things to work. Let’s say Elon Musk, you’re trying to make SpaceX and Tesla. But Elon Musk is a seasoned entrepreneur, and he’s also exceptional, right?
There are so many entrepreneurs out there that have a bit of that shiny object syndrome.
They want to chase after a bright business or do business in the other world that other people do.
I myself am also affected by Shiny Object Syndrome. I’m hyperactive and I keep thinking yes I want to do this and I want to do that, I want to do this and I want to do that too.
But every time you add another company to your portfolio,
it takes away some attention from the other companies. And that becomes a problem.
I’m not saying you’re an investor, you have someone else running it, right? When you invest in a company, you have someone else
to run this business.
A CEO, a general manager, that’s great.
But when you’re managing multiple businesses on your own, it’s very, very challenging.
So it depends on your business model. Well, if you’re one of those serial entrepreneurs though, which means like me, you get bored easily.
That you want to be involved in different things and you don’t mind being in different industries because you kind of enjoy the process and like to learn new things.
And you want to manage them.
So let me share with you my 3 secrets of managing multiple businesses at the same time – my experience.
3 Secrets to Managing Multiple Businesses Simultaneously
How to manage multiple companies at the same time?
Well that’s what I do, I’m not saying you should do it.
# Core team and efficient managers
If you want to run multiple businesses, you need a team. You need to build a core team. The core team is like your army. This core team helps guide, manage and advise all of your other businesses.
You can’t manage multiple businesses without a core team.
Imagine you had a core team like this. And whatever you want to add to your portfolio, that’s the core team.
But you could have an efficient leader, a COO, a CEO, or a general manager for that particular company.
And they’re the ones driving the day today, right?
So you can add that. This is what I did to manage multiple businesses.
#2 Proven systems
I have developed systems and used tools to generate reports or lead generation, traffic generation, SEO, digital marketing, social media marketing and much more. A few core members and partners in each store help me manage it.
But actually it goes back to this core team.
Up to this shop it’s big enough. That is, generate enough revenue, then this business is probably in the six figures, then this business could have its own kind of management team, right?
#3 Process Replication
My team runs the day-to-day operations and reports to the core, that executive team, with MIS data, SEO data and traffic data, but this is the team that actually makes it work.
Remember, in the beginning they borrow a lot of resources from the mothership, right? From your core business. You replicate existing processes and systems of your parent company.
Until they grow big enough, they become their own mothership and they operate on their own, but there is still plenty of synergistic communication between all of these entities.
And this is how you handle it. In short, the way you manage it is actually, you don’t manage it, you have other people managing it, but you have very good systems and a reporting system, and you measure the metrics and you have the right person , the right seat, managing these things, and then everything is fine.
Each company is a separate entity.
But that core helps all these other companies get smarter.
Let me give you an example.
Suppose you run Google Ads.
- You already know the best practices.
- You know what works.
- You know how to drive cold traffic to offers.
Here’s a business you start or invest in, well, these guys, the new people, they don’t have to start from scratch.
They don’t have to go through hard hitting school, they can plug into the mothership and say hey, here are the best practices already.
Do it like this. Oh great, now you just reduce risk and eliminate a lot of the learning curve, right.
- You already know how to build a team.
- You already know how to drive traffic.
- You already know how to do all of these things.
So you go with what works.
Don’t try to figure out what works. The product and service industries can be different.
But really, intelligence is the valuable thing. So, that’s what I do.
How to manage multiple companies at the same time?
It’s about having the right system, the mothership that plugs into that, and then having the right leader running each of those ventures.