Avoiding the Stupidity of Not Measuring Twice

Of all the stupidities, this one is the most avoidable.  When we see something we want to do like launching a new product, pursuing an acquisition, or setting bold goals, we justifiably get excited. When we are too high or too low emotionally, we tend not think at our best.

There is no intellectual shame in admitting that you are technically inexperienced in doing a transaction like the Frank acquisition. Why not access expert resources? This is not an advertisement to use consultants, but one for locating a trusted and objective third party to make sure you get that second measurement.

Believe it or not, investment bankers and consultants can be helpful. You don’t have to hire them but let them pitch you for the business and then press them for insights into your proposed deal.

All of this makes me wonder how Enron, WeWork, and Gawker got away with it for so long. These companies had plenty of experienced investors and board members. The problem is that as long as everybody is making money, why disrupt a good thing? WeWork was able to keep raising billions of dollars, Enron’s stock price was rising, while Gawker was killing it on page views.