Is It Time to Tack?

I recently read an interesting article about "tacking."  I guess it will be helpful to define this term for those of you who aren't familiar with sailboats.

Tack (n.) : The act of changing from one position or direction to another

First off, I'm not familiar with sailboats either.  I have never actually been on a sailboat.  I can imagine that it might be difficult to turn any ship or boat when there is severe wind or an immediate need to change course. I'm not a sailor, but even I know you would run the risk of capsizing.  

Tacking, as defined by multiple websites, is also known as "coming about."  The process involves turning the bow of a sailboat up through the wind to change course.  However, the danger you face is in not having enough speed to carry the boat through the turn.  If you turn too sharply, you'll lose speed and stall.  I also read that a turn of the rudder by 33 degrees will provide a smooth and controlled turn without much loss of speed.

Why in the world am I telling you this?

Godwin & Associates, CPA is in the process of changing its business model.  If you've looked at our website lately (www.godwincpa.com) you've no doubt noticed the changes.  We are focused entirely on businesses and the owners of those businesses.  No longer do we accept individual tax clients who are not also working with us on business issues.  This was a HUGE change from our old business model, and certainly a massive change from what most CPA firms do.  But we decided that we didn't want to be "most CPA firms."  We wanted to make a difference in our clients' lives, and you can't accomplish that by preparing a 1040.  We can't change your world with something that a here-today, gone-tomorrow tax preparation office in a strip mall can do for you.  We can't add value to your life with a well-done Schedule A. But if you own a business, we can change your life.  That's strong stuff.

To make a change like that takes intentional and purposeful work....hard work....and a vision that is unaffected by fear or queasiness.  Believe me, there was a lot of fear and heartburn when the thought first crossed my mind.  But the benefits far outweighed the potential risks.  So, with the wind at our backs, we decided to change course.  With some fantastic business coaching from a CPA friend of mine, we have begun our 33 degree turn, hoping that we can maintain speed and not stall.  When the turn is complete, I'll let you know how it went.

I have such a great career, and as I have mentioned on many occasions, I work with some fantastic entrepreneurs who share their stories with me.  Just today, I had breakfast with two owners of a company that started almost a year ago.  One of the owners remarked that the work he's doing now is nothing like what he thought he'd be doing when he drafted his business plan, but he absolutely loves it.  He hasn't given up on the other work, but the income-producing work just didn't fall into that category.  It will later, but not today.  In a start-up, sometimes the tacking is done more out of necessity than just desire to change things up.  You need income; you change course from looking at type A work because type B work just walked in the door; you dive into type B work and then take type A work as it arrives.  Done.

Existing businesses that change course have it a little tougher because breaking habits is hard.  Tie your income to that habit and you have some serious decisions to make.  We were fortunate enough to be able to consciously decide to change our business model.  Is there anything about your current business model that needs adjustment?  Is it time for you to tack? 

Jason Fried of 37 Signals, Basecamp & Rework fame spoke about this at the GROWCO conference in Nashville, TN in May.  We liked what he had to say.  If you have 6 1/2 minutes, you might to! Check it out:

http://www.inc.com/jason-fried/inc-live-why-you-should-power-pivot-your-mission.html