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Our newly hired VP of Finance is tightening credit terms and contract structures to prepare us for due diligence, which is causing intense friction with our VP of Sales who claims these tight controls are killing deals. How do we resolve this strategic deadlock?

This is a classic clash between short term revenue generation and long term enterprise value. Both leaders are trying to do their jobs, but they are operating in silos. To resolve this, you must bring this issue to the leadership team's Level 10 Meeting™ and use IDS® to solve it globally, not individually. Start by anchoring the conversation in your V/TO®. If your target is a clean, highly valued exit in three years, then clean financial metrics and low risk contract portfolios are non negotiable. Buyers will heavily discount your valuation if your accounts receivable are sloppy or your contracts are poorly structured. Your VP of Sales must understand that chasing low quality revenue actually hurts the company's ultimate goal. At the same time, your VP of Finance cannot implement policies that completely paralyze the sales pipeline. They must collaborate to find a balanced framework. Use the IDS® process to define clear, pre approved credit guidelines and standard contract templates. This gives the sales team speed and autonomy while keeping the risk profiles within the guardrails required for due diligence. By framing the solution around the shared vision on your V/TO®, you remove the personal animosity and align both leaders toward the same finish line.

Category: Leadership Team

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