Business relationships don’t last forever. Sometimes they come to a natural end (for example, a project that has a specific duration) and other times they may be longer term in nature but for some reason one of the parties chooses to end the relationship. Perhaps business needs have changed, there was no longer sufficient value to justify costs, or there were changes at the top and they were bringing in people with whom they have worked in the past. Whatever the reason, it is important to end the relationship in a professional manner. My engagements almost always span multiple years, but don’t last forever. I’ve ended some when they were no longer a good fit. And while I wish that I could say a client has never ended my engagement, I have to admit I’ve been on the other side as well. Here are some tips on doing it the right way.
- Provide proper notice. If it’s not spelled out in a written agreement, be reasonable and think about what you would want if tables were turned.
- Be honest. Don’t make excuses or dance around the issue. At the same time, there is no reason to be mean-spirited either.
- Have a wrap-up meeting and offer comments that will be useful to the other side.
- If you are a service provider and someone is filling the role after you, do your best to get them up to speed.
- Answer questions even after the engagement ends. It doesn’t take long to answer the few that come up and it will leave a favorable impression.
- Find a way to maintain the relationship. Offer some advice or forward an article at a later time. If appropriate, make a referral.
When I wrapped up my first client relationship (which lasted nearly six years) it was done amicably. We agreed it had just gotten stale the last few months. We’ve since met for coffee, called each other for advice, and recently went to a St. Louis Blues game together.
More recently, I received a text a few weeks after an engagement ended in which I was thanked for helping a more junior person fill the gap after I left. My goal was to make sure that the company wouldn’t miss a beat. Mission accomplished.
I remember a young guy coming in and resigning abruptly years ago. My client and I told him he wasn’t allowed to resign that way. We gave him instructions on how to resign properly and made him come back in and do it again. We were disappointed that he chose to leave and while it was the first job that he quit, it wouldn’t be the last and we wanted to teach him how to do it correctly. He was a bit surprised but thankful for the lesson.
I’ve seen executives exit with a flame thrower! That doesn’t do any good. When I left my first corporate job at the exit interview on my last day I was asked if there was anything I wanted to say. My response was, “No, anything I wanted to say, I said while I was here.”
Don’t burn bridges . . . put a bow on it when you wrap it up.
If your business could benefit from fractional CFO services, I would welcome the chance to speak with you. Please give me a call at (314) 863-6637 or send an email to [email protected]
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your cash is flowing. know where.®
Ken Homza
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