Nine Years in Business: A Few Lessons Learned Along the Way.

Nine years ago, I started The Rivet Group.

Like most entrepreneurs, I had a business plan, some experience, a network of relationships, and reasonable confidence that I knew what I was doing or could figure it out along the way.

Nine years later, I've learned quite a bit. Some lessons came easily. Others were considerably more expensive.  Wisdom comes from experience, and adversity teaches better than easy-mode work.

I have spent most of my career as an agency recruiter.  The industry has been around for decades and relies on tried-and-true methodologies.  It's always been a numbers game: sling enough resumes at enough open jobs, and placements happen, and fees get collected.  The model works, but I found it flawed.  I hated that model reduced people to another database entry. 

I spent a lot of time chasing metrics that, in true Office Space fashion, eight layers of management asked me to deliver.  Quantity trumped quality.  They often treated candidates as inventory, just another number on a spreadsheet.  They treated clients as a means to get fees.  Many clients treated the agency as just another vendor and would “order” people the way they might order a ream of paper.

I wanted a better way.  I didn’t want to have “inventory”; I had professionals whose careers and livelihoods were on the line.  I didn’t want to be a vendor.  I wanted to be a trusted advisor who helps my clients on their growth journey.  I couldn’t do that in the traditional agency framework, so I made the leap to go out on my own and walk my own path, at my own pace.

As I reflect on the first nine years of running my own executive search firm, here are a few of my lessons learned:

1. Relationships are everything.

My kind of business is built on a strong foundation of relationships.  I try to treat everyone with respect and try to give more than I get.  I try to help every job seeker I come across, whether it’s inviting them to the free job seekers forum I host, or giving them a few notes on their resume or LinkedIn profile.

Some of my best clients started as candidates. Some of my best candidates are people I've known for decades. And some of the most valuable relationships I've developed have never resulted in a dollar of revenue.

Be generous with your time, make introductions, help people when you can, and don't keep score. It tends to come back around, often threefold.

2. You can't be everything to everyone.

Early in business, it's tempting to say yes to every opportunity. Every prospective client, every search, every project.

I've learned that knowing when to say no is just as important as knowing when to say yes.

Not every client is a good fit. Not every dollar of revenue is worth the headaches it might bring to go get it.

It is incredibly tempting to say “yes” to revenue when your plate is empty – but there is always an opportunity cost.  Doing work outside your core competency costs time and energy you could spend building your pipeline and getting better work that aligns with your strengths. 

3. Find balance.

As a business owner (especially one with a home office), the temptation is to grind.  All day, every day.  Entire social media accounts embrace unhealthy hustle culture.  Working a 9-9-6.  Don’t do this.  It’s a marathon, not a sprint. 

Take a weekend.  Take a vacation.  Clock out and don’t answer texts or the phone when you are at a stopping point.  From experience, all the work and to-do lists will still be waiting for you when you come back online.

It’s better to invest in building systems and processes so you don’t have to be “always on.”  If there are reasons your business needs to be 24-7, you can always hire someone to hold the fort while you are gone. 

4. Your reputation is more valuable than you think.

Especially in a business built almost entirely on trust.  Clients and candidates repeatedly compliment me on my candor.  Sometimes it’s not meant as a compliment, especially if they are not used to someone telling them what they need to hear instead of what they want to hear. 

My goal is to be a trusted advisor.  If they don’t accept my advice and counsel, that is up to them, but it doesn’t change the message.

The goal isn't to make every client happy in the moment. It's to be the person they trust for sound advice.  And it comes back.  Referrals out of the blue.  An executive I didn’t place calls me for help building their new team. 

5. Surround yourself with smart people.

When I started the Rivet Group, I'd already spent years as an executive recruiter.  I can prospect for clients and candidates and fill roles with a very high success rate.

T

hat didn't mean I knew everything about running a business.  I have found experts I can call for advice on all the stuff I don’t know how to do well: Marketing, accounting, websites, IT, cash flow, taxes. I've made mistakes in most of them.  But I’ve gotten better at asking for help and paying experts to back me up.  My own set of trusted advisors

If you are considering running your own business, spend time finding people to back you up so you don’t have to wing it.  Spending money with people who can do what you cannot or don’t want to do gives you time to do what you do best. 

6. Success isn't always a straight line.

Some years are terrific. Others test your patience, your confidence, and occasionally your bank account.

I've learned not to get too comfortable during the good stretches or too discouraged during the difficult ones, even in black swan years like the pandemic.  Guard your cash, do good work, and you’ll get through it.

Consistency, adaptability, and a willingness to keep showing up matter more than any single good or bad quarter.

7. There are real people behind the resumes.

Resumes are like a book review – the real story is in the person behind it. 

I’ve had Harvard MBA’s who are terrible leaders.  I’ve had amazing leaders who enlisted in the military and went to college in their 30s.  Getting to know the person behind the resume can lead to some great candidates.

Life happens. Not everyone has had the resources or guidance to slide into the perfect career pathway.  It’s OK.  Some of the best candidates I’ve ever worked with have non-linear career paths.  If I take the time to understand their story, I can sell a client on spending time interviewing them.  It's led to some great results.

8. Independence is both a privilege and a responsibility.

Being your own boss sounds wonderful. And most days, it is.  I get to hang out with my dog, can work anywhere without anyone questioning my productivity, and can wear “gym casual” clothes most days.

But you're also the sales department, the accounting department, the marketing department, and the person who figures out what happens next.

The freedom is tremendous. So is the accountability. It’s simultaneously exhilarating and terrifying.

The trick is not to freak out or rejoice too much if the calendar is too busy or too blank.

I’ve had plenty of candidates who went out on their own and found out they didn’t like the lack of structure or the variability in income.  That’s OK.  It’s not for everyone. 

9. Never stop learning.

Nine years ago, I couldn't have predicted all the changes we'd see in the workplace, the recruiting industry, or the technology we use every day.

I certainly can't predict what the next nine years will bring.

But I know that being curious, staying adaptable, and remaining willing to challenge your own assumptions are essential to staying relevant.  Read books.  Hang out with smart people.  Ask questions without fear of looking stupid.

10. The Hedgehog Concept is Real.

In Jim Collins’ book Good to Great, one core tenet successful companies shared is doing one (or a few) things very, very well.  The alternative is to be a fox, knowledgeable about a lot of things, but a master of none. 

When I started, I tried to be a fox.

I planned to offer coaching, consulting, outplacement, training, and, of course, executive search.  I spent a lot of time and resources pursuing all these different paths.  I finally realized I needed to stop most of it and focus on what I do best: executive search, which, fortunately and perhaps not coincidentally, is the most lucrative and profitable part of my business. 

For everything else I envisioned doing, other people can do it much better than I can; I can refer clients to them if the need arises.  You might need to pivot a few times to find your groove, and when you do, go all-in.

Nine years. Thousands of conversations. Plenty of successes, the occasional gut punch, and more lessons than I could possibly fit into one post.

I'm grateful to the clients who trusted me with important decisions, the candidates who shared their career aspirations, and the family, friends, and colleagues who supported The Rivet Group along the way.

Building a business is a lot harder than it looks from the outside.  It's also been one of the most rewarding experiences of my professional life.

Here's to year ten.

Ed Voelsing, Founder, The Rivet Group