1
Every enterprise consists of three types of people: Owners, Officers, and Operatives. Sole traders may act as all three simultaneously.
2
Common business entities include Sole Trader, Partnership, Limited Liability Company (most common for tech ventures), and Co-operative.
3
Responsibilities are divided into three O's: Objectives (Owners), Operations (Officers), and Outcomes (Operatives/Officers).
4
Founders should be managed using an approved business plan, agreed milestones, cash flow forecasts, and a Shareholder Agreement to control investor influence.
5
Managing Directors should manage operatives through line managers and department heads rather than directly to preserve organizational hierarchy.
6
Critical operatives with hard-to-replace skills should be bound to the business using incentives.
7
Different stakeholders have distinct requirements: owners/investors seek ROI and capital growth; lenders seek security and capital return; managers seek experience, challenges, and career progression.
8
Five keys to venture success include: a business plan with cash flow forecasts, a Shareholder/Partnership Agreement, clear job descriptions, project plans with milestones, and detailed work plans.