We’re excited to introduce you to the always interesting and insightful Paul Shapiro. We hope you’ll enjoy our conversation with Paul below.

Paul, thanks for joining us, excited to have you contributing your stories and insights. Let’s jump into the story of starting your own firm – what should we know?

I was at a pivot point in my career and life; some may call it an early mid-life crisis. My dad had died a few years before, I had a 2 year-old daughter, we were thinking of relocating back to NJ and I was unhappy with my job and career. After taking a “Career Transition” class at Santa Monica College, I decided the problem wasn’t my choice of career but I did need to change my job. So, I quit my Controller position at a small consulting company. Fortunately, the owner gave me a life-line and asked me to work part-time for six months, he clearly was hoping that I might “reconsider” my decision. During those six months, I began volunteering at KCRW-FM, the NPR radio station in Santa Monica, and ran into a former boss from a previous job at a coffee shop. I had worked for him at a startup software company for several years and I really respected his leadership, vision and management style. Coincidentally, when I ran into him, he had just started a new internet startup that was digitizing paper resumes and moving the hiring process into the internet age. (This was 1994, by the way). He then became my first client.

When my six month part-time situation came to an end, I formally quit my controller position and began the search for my second client. I realized that working on multiple clients as a solo consultant was a rewarding and enjoyable line of work and fed many of my skills and interests.

My advice: Follow your instincts and be open to opportunities. Do what makes you happy and gives you a feeling of satisfaction. Jobs will not fill those needs all the time. Don’t stay in a job when you dread going in every day. Your level of effort will always be a reflection of your happiness in your job, so pick work opportunities that give you some happiness.

Great, appreciate you sharing that with us. Before we ask you to share more of your insights, can you take a moment to introduce yourself and how you got to where you are today to our readers.

My practice was built around wanting to be able to help emerging companies grow. My focus has been working with startup tech companies. The work I’ve done as a consultant has generally been as the first finance resource for a startup, or as an experienced extra pair of hands for a more established company. Accounting and finance are invaluable windows into the operations of a company. Building a model exposes areas that need attention. Although both client types have their own particular rewards, being in on the early stages of creating a business, including problem solving and troubleshooting provides me with a particular type of adrenaline that I don’t get elsewhere. Although many of my clients have not succeeded, I’ve been involved with several who had exits in mid-9 figures. At all of my clients, I provided personalized, direct service and counsel reflecting my work ethic and personality.

Outside of my professional services, I have been a tireless fundraiser, supporter and board member for JDRF (now Breakthrough T1d) where I have raised over $800,000 for Type 1 Diabetes research. I do this work to honor my daughter and others who are forced to deal with diabetes management every day of their lives. My family and I have been active with their Walks and 100 mile Bike Rides. As a bonus, cycling has become an important part of my life!

Can you share a story from your journey that illustrates your resilience?

The hardest part of my journey is to be prepared for what’s next, what happens when an engagement ends. Learning how to manage that process took a bit of time, and effort. I was 3 years into my consulting career. My first client was a former boss and old friend. He was the catalyst for me to decide that consulting was a viable, enjoyable, and potentially profitable business model My 2nd client came fairly easily, about 6 months after the first, and 3 months after I had completed my part-time exit from my former full-time job. The hard part was client number 3 – why can’t I land that one? Trying to develop my business in an environment where the startup ecosystem in LA was still nascent was proving to be difficult. There was no networking environment, few VCs or other active investors, and the internet was not yet a tool for connection.

After 3 and 1/2 years with client #2, they were sold in a distressed situation and laid off almost all of their staff. Fortunately, being a consultant helped, because I was only paid for the hours I worked, so I was one of the last to leave. My role at this client involved interaction with many different departments, and as the former employees found new jobs, I now had 300 potential referral sources. Over the next two years, I worked with about 15 startups, including one that eventually sold for around $400m – long after I had left. But I did get rewarded for my work.

Can you tell us about what’s worked well for you in terms of growing your clientele?

Simple – hard work. Maybe that’s too trite, but I’ve always felt that the one variable I can control is my effort, so I’ve always chosen to be the hardest worker I can be. What I mean by that can be described with this example. A client hires me to be their Acting Controller or CFO. At an early stage, this usually means they want to know their cash on hand, accurate and timely financials for their board and a business model for their potential investors. But they also need to get paid by their customers, manage payments to vendors, have good relations with their banks, have adequate insurance coverage, good processes, and on and on. As an experienced business advisor, I also have a lot of general business knowledge to offer – especially since many startup-up founders are first-timers. By doing everything my clients ask, plus based on my experience, anticipating what they need next, my clientele will be happy with our relationship, will refer me to their colleagues, and will hire me again…and again!
Oh yes, I always try to be someone that has a positive influence on the environment, is available, and enjoyable to work with.

Contact Info:

• Linkedin: https://www.linkedin.com/in/paulgshap/
• Other: I publish a weekly newsletter for startups called “Highlights for Entrepreneurs”. Subscribe on LinkedIn https://www.linkedin.com/build-relation/newsletter-follow?entityUrn=7100666727876755456.