Philip Smith
Last Job: CFO at Habeas, Inc., an email SaaS company
Previous Salary: $180,000
Age: 56
Location: San Francisco Bay Area / Silicon Valley
Education: Undergraduate in Physics from Imperial College, London; CPA in California; Chartered Accountant in U.K.Expertise: Startups, emerging growth and spin offs. Business models, strategic planning, international expansion, equity and debt fundraising, M&A etc. All the typical growth company key business infrastructure and operations - finance, HR, IT, legal, manufacturing, customer support etc.
Resume: www.linkedin.com/philipsmith
Mortgage: $3,250 a month plus HOA fees
Email: philip_n_smith@hotmail.com
Did you see the layoff coming? Could you have? How would you suggest others who might get laid off prepare for it?
It's a bit bizarre because as a CFO I have to put the interests of my company, its stockholders, employees and customers before my own, resulting sometimes in having to make decisions that can actually cost me my own job. As in the case of my last company where I was a key driver of a merger and - as the acquirer had a great CFO already in place - was the first person to lose his job as a result (and which I knew going into it). I'm happy, though, that the acquirer has kept some 75% of our employees and their positions are now much more secure. So, not only I did I see it coming I actually made my own unemployment a guaranteed fact!
What's your plan for finding a new job?
Networking, networking, networking - that's the job search plan. Applying for positions on job boards is a waste of time - you need the personal contact and introduction to get through the clutter. Recruiters? Well, they don't work for you - they work for the company paying the fee. So what I'm doing is reconnecting with investment bankers (those that still have jobs!), commercial bankers, venture capital firms, lawyers, CPA firms and other professionals and letting them know my availability and interests. Still very hit or miss and takes a lot of effort (you can't just mass-mail these folks). LinkedIn is a great resource, by the way (I'm at www.linkedin.com/philipsmith)
Had any interviews or sent out any resumes yet?
So I'm sending out resumes, yes, but to this targeted group. I'm letting everyone know I'm available for project work, consulting and interim CFO assignments - even a "try and buy" approach (which can work really well for both sides!). I have had one good project since my layoff - implementing Netsuite's comprehensive business systems infrastructure for another startup - but I'm noticing that so many companies seem to be paralyzed not just in hiring but in spending any money for anything, even on someone who can help solve a lot of the business challenges! There are two companies I'm talking to right now that have come though my network or via someone finding me on LinkedIn - but I almost hear them asking themselves the question "we like him but do we really need to spend the money on a CFO right now or can we make do?". Even though I guarantee that I will generate a far greater economic benefit to a company than the cost of employing me!
How would you suggest others who might get laid off prepare for it?
Again, network, network, network. Get on LinkedIn and get your connections established. Reach out and stay in contact with people you value - most people will gladly help a friend, but even more so they will help someone who stayed in contact with them, and less so if you just reappear out of the blue. Get your financial affairs in order - pay off debts, defer that vacation or big-ticket purchase. Refinance if you can and it makes sense financially. Have a contingency plan - how will I handle things if it gets worse? Sell the house? Ouch, but if necessary, yes. Tap into retirement savings? Ouch again, but if necessary ...
Any other general words of wisdom for those who are in or could be in your predicament?
Finally, get out and about. Moping around at home about the state of the world will just lower your self-esteem and energy. Go do things with the kids (borrow someone else's if you don't have any!) this holiday season - visit museums, take the train, go ice-skating, read together. They'll love you all the more for it and you'll remember there's far more to life than just work.
