On 1 October, MST Lawyers hosted Business Benchmark Group (BBG) for a boardroom breakfast with clients, exploring a question many business owners face: how do you build a successful business that does not depend on you for every decision?
Led by BBG’s Stefan Kazakis, with Phil Smith, the discussion covered practical ways to develop capable teams, improve performance and prepare for succession or a future sale.
For MST, supporting our clients also means creating opportunities to connect with experienced advisers, exchange ideas and think about the future of their businesses.
What does an exit pathway mean for your business?
An exit pathway can begin long before an owner considers selling or retiring.
Stefan described it as progressively stepping away from responsibilities that others can take on. That might start with accounts administration, frontline sales or routine operational decisions. Over time, it means developing people who can manage the business without the owner’s constant involvement.
The eventual outcome could be retaining ownership while a management team runs the business, passing leadership to successors or selling.
Each pathway depends on the same foundations: capable people, clear systems and less reliance on one individual.
How does the owner’s role need to change?
As a business grows, the role that made its early success possible may need to evolve.
Stefan discussed the shift from being the operator who does the work, to the manager who organises it, and ultimately to the owner who develops leaders and oversees performance.
That transition requires owners to delegate responsibility and give others the authority to act. It also means being comfortable employing people with stronger skills or experience in particular areas.
The question becomes: who can take responsibility for this, and what do they need to succeed?
What are the five Rs of building a capable team?
Stefan shared a simple framework:
- Right people
- Right roles
- Right responsibilities
- Right money
- Right results
The discussion emphasised clear expectations, appropriate pay and accountability. Recruiting a capable person can be an investment in better performance and the owner’s ability to step back.
Team structure matters too. As employee numbers increase, so do communication demands. Clear reporting lines and team leaders help prevent every issue from flowing back to the owner.
Could ten-minute productivity huddles help?
One of the most practical ideas discussed was a short productivity huddle within each team or site.
Stefan suggested meetings of no more than ten minutes, typically at 10 am and 2 pm, built around three questions:
- What did not happen that should have happened?
- What happened that should not have happened?
- What are we doing about it in the next four hours?
The final question turns discussion into action. The team identifies what needs attention, agrees who will respond and checks progress at the next huddle.
For example, a team might review whether morning deliveries went out on time, identify any problems and agree how to protect the afternoon schedule.
Stefan stressed that the huddles must connect to an understood plan. Their purpose is to help people execute that plan, identify problems early and take responsibility for correcting them.
Are you pursuing growth that supports your goals?
The session also challenged owners to consider what they want growth to achieve.
A larger business can bring additional costs and complexity. Owners need to understand whether expansion will improve profitability and support the life they want.
Stefan encouraged attendees to consider margins, staff capacity, future workloads and the customers and work best suited to their businesses.
He also asked where they wanted to be personally in two years. More time with family, greater flexibility or a gradual transition towards retirement can all influence decisions about recruitment, delegation and investment.
What should you prepare before stepping away?
The discussion highlighted the value of preparing early: developing leaders, transferring knowledge and relationships, maintaining clear financial records and documenting processes.
MST’s Herbert Fischbacher added the legal perspective, explaining that material business arrangements need to be properly documented and structured. Informal arrangements can create uncertainty when a business is transferred or sold.
Preparing for continuity gives owners more options, even when a sale is years away.
What could you start with?
The session offered several questions for business owners to take back to their teams:
- Which responsibilities still depend entirely on me?
- Who could take them on, and what support would they need?
- Are our roles, processes and expectations clear?
- Could short huddles help us identify and resolve problems sooner?
- Does our business plan support our personal goals?
Thank you to Stefan Kazakis and Phil Smith for sharing their experience, and to our clients for contributing to an open and practical discussion.
Are the legal foundations of your business ready for what comes next?
Whether you are growing, preparing to step back or considering a future sale, your legal arrangements need to support your plans.
MST Lawyers can help you review your business contracts, employment arrangements and ownership structure, and advise on the legal steps involved in succession or a sale.
