"If you inherit a business, don't feel guilty. Just thank your lucky stars and enjoy the wealth...."
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The Accidental Entrepreneur

Sometimes the best opportunities come to us by tragedy and inheriting a business from a deceased loved one is such an example.  I know that it is not even remotely PC or sensitive to say this but falling into a pile of roses as a result of a death can be an incredibly good thing…..if it is handled with grace and competency.  On the other hand if it is handled wrongly there is nothing but misery to come as a result.  It all starts with the attitude of the inheritor.

In my experience heirs to good businesses fall into three basic categories:
1. The Ready and Able- They were the heir apparent.  Trained for it likely by already being an integral part of the company in a very real way.  Further, they were mentored actively by the founder and are able to blend competence with humility.  They usually grow the company and make it their own subtly. 
2. The Arrogant- Or shall I call this “Donald Trump Syndrome”?  This type inherits great wealth and even make it grow, but are so insecure by nature that they have to essentially pretend that all success for the company is built on them and nary a mention is ever made about the founder.  And the Donald is a rare exception of success.  Most of this type wrecks the company.
3. The Guilty- These guys enjoy the benefits but are essentially apologetic about inheriting the company and thereby end up ruining it either by changing the mission from making money to something altruistic to somehow reinforce their superior humanity or just plain screwing it up in the paralysis created by psychosis. 

If you have inherited or are about to inherit, you definitely want to be in Group 1 if at all possible and the good news is that you don’t have to feel guilty or be a jerk.  It is entirely a choice.  However, since jerks rarely have the self-awareness or desire to even care if they are, I will just ignore them and speak to The Guilty.

You have no need to feel that way.  Someone had to be you; why fight it?  Just thank your lucky stars and enjoy the wealth.  Also, since you probably are not competent to run things as a result of your internal conversation, be smart enough to hire someone talented to do the job for you.  And since your judgment is likely clouded by shame, go to the advisors of the person who left the business to you and ask for guidance.  They will know what is going on better than anyone and have a lot of insight to share.  Then, and this is the hard part, do what they say.

Oh, and one final note to you guys; if you are too guilty to be the heir, you can always give the business to me.  I promise I won’t ruin it or feel guilty.  If that idea does not appeal to you, stop fooling around and get serious!

Posted by Herb Kay on Friday, May 02, 2008

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