Entrepreneurs & Athletes Share Common Traits

HAMILTON - An industrial psychologist working with a leading mergers and acquisitions company has found successful business entrepreneurs share many of the same traits as Olympic calibre athletes but that these traits aren't necessarily shared by the entrepreneur's children.

Dr. Richard Wolfe, of Rochester, New York, says, "Psychological testing reveals that successful business owners invariably rank as high or higher than world class athletes in the areas of tenacity, sacrifice and the ability to perform well under stress." He notes that focus over time and performance under pressure are two particular character traits that most successful entrepreneurs share with top-notch athletes.

Dr. Wolfe conducts, on behalf of Robbinex Inc. of Hamilton, Ontario, psychological testing on family members involved in business ownership transfers. "A common problem in handing down a family business is that the next generation doesn't have the same passion and commitment as the original owner - most often the parent," he said.

"Business owners who dream of having their son or daughter follow in their footsteps need to put away rose-tinted glasses and clearly assess whether junior has the right stuff. All too often, they don't. The person who started and build up the business is usually passionately committed - it's their baby. They can be very hands-on and often haven't really trained or mentored the next generation to assume the lead role," Dr. Wolfe said.

Doug Robbins, president of Robbinex, says the unfortunate fact is that "handing down" a business fails at least 50 per cent of the time. "The key to a successful intergenerational business transfer is a structured plan for the take-over," Robbins says. "This may include special training for the incoming owner, a management transition period, and the definition of appropriate roles for the family members involved."

Robbinex Inc. is the largest and oldest mergers and acquisitions consulting firm of its kind in Canada, specializing in selling medium-to-large private businesses. Their head office is located in Hamilton, Ontario, with affiliate offices in Windsor, Victoria and Vancouver, as well as U.S. offices in Buffalo, New York and Detroit, Michigan.

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