An entrepreneur organizes and operates a business(es), taking on greater than normal financial risks to do so. To be more specific, a Christian entrepreneur steps out in faith and operates a business upon the firm foundation of Jesus. They take on risks and trust God for the resources of heaven.
Other people are some of the greatest resources that God will entrust you with. However, delegation can be nerve-wracking as an entrepreneur. When you put so much energy into building your business, it can be hard to let go and give key responsibilities to others.
Delegation and empowerment are keys to growth. If you want to scale your organization, you will need to master these two concepts. So, this blog and corresponding episode of The WealthBuilders Podcast address five reasons why people avoid delegation.
1. They Don’t Want to Lose Money
Investing in other people temporarily reduces your cash flow and net profits. It costs money to grow to the next level. When you bring more people into the mix, it takes time to gear up and become efficient. There is also a personal learning curve regarding delegation and empowerment. You must take time to figure out the systems and procedures that work for you; as they say, time is money! However, your additional hires should provide an ROI after a short period.
Solution: Only hire people to do tasks that contribute to a revenue stream.
2. They Don’t Think They Have Time
Finding team members takes time. Finding great team members takes a lot of time. In our WealthBuilders office, we spend months and months pouring over applications until we find the right fit. People see time as a barrier to scaling. Ironically, the goal of scaling a business is to create more time for you to work on your business (rather than in your business.)
Many people have the same mindset about money. They’re good at earning money in their job but don’t know how to make passive income through investing or entrepreneurship.
It takes intentional effort to adopt a leverage mindset. You must spend money to make money and devote time to delegating to create more time in your schedule.
Solution: Keep the long game in mind and know that people are your greatest investment. If you take the time to train them well, they will save you several hours of work!
3. Fear of the Unknown
Entrepreneurs want to maintain quality control in their businesses. There is no surefire way to tell whether someone will do their job well. When it comes to delegation and empowerment, it’s helpful to remember how God empowers and delegates to us daily. He created the entire universe, yet He entrusted creation into our care. Genesis 1:28 says, “And God blessed them. And God said to them, “Be fruitful and multiply and fill the earth and subdue it, and have dominion over the fish of the sea and over the birds of the heavens and over every living thing that moves on the earth.” That’s a lot of responsibility! As people made in the image of God, we are called to create. Then, we are encouraged to entrust that creation to others.
Solution: Invest time into the training process and develop a quality control process. Create KPIs (Key Performance Indicators) to set expectations and track progress.
4. Reputational Risk
Our team is representative of our brand. When you’ve spent years developing your business or ministry, letting other people speak for it can be difficult. As you scale, you’ll have to delegate more and more leadership responsibilities. God will put the same dream into the hearts of several people and draw them together. Trust the process—He knows what He’s doing!
Solution: Communicate company culture to your team. Accommodate them with the brand identity so that they are equipped to be good representatives.
5. Uncertainty about the Risk-Reward Ratio
The question is, will it be worth it if you invest in delegation empowerment, onboard new people, train them, and release them to help you? There’s no definite way to predict the risk-reward ratio when it comes to people. However, by utilizing the Business Model Canvas and thinking seriously about your organization’s needs, you can have a pretty good idea about the ROI delegation and empowerment will provide.
Solution: Have a clear set of goals to help you and your team members know if they are being successful.