'The CEO position is a very lonely place to be'

Former mortgage banker Rob Harvey now helps entrepreneurs tackle their toughest challenges for equity [From our print edition featured in Monday’s City Paper]

Rob Harvey launched Crown Achievement, a Franklin-based business management and consulting company, in 2001. In addition to helping businesses of various sizes maximize their returns, Harvey will at times work as an interim executive for more distressed companies or help an entrepreneur develop a business idea. Harvey recently sat down with News Correspondent Philip Nannie.

What’s usually on the minds of people you work with? And on what specifically are you advising the management and leadership of a company?

A lot of times, folks just need a set of fresh eyes. They’re obviously thinking of gross revenue, profit, ROI, all those things that indicate a level of performance. The focus is usually on ways to accomplish these without cutting costs too much. But, that potential certainly exists and occasionally we’ve initiated substantial cost-cutting measures simply because it was needed.

My hope is that, by my involvement, ways to increase profitability perhaps not considered before will be discovered. I’m not there to take anybody’s place. I am there to ask the hard questions to the powers that be, whether that’s a company’s president or CEO who has often built the business from scratch and has more than a vested interest in its development.

These executives are wonderfully talented individuals but have attained their status using skill sets not necessarily conducive to sound ongoing management practice. So I step in, do an evaluation, make recommendations, implement structures and procedures previously not existing, and we move forward.

Typically, how do clients react to your involvement? They have a personal stake so emotions must run high at times — particularly if the business is at some level of distress?

Yes, that happens quite a bit. I see my job as one of encourager and adviser to these leaders. The CEO position, people are often surprised to learn, is actually a very lonely place to be. These folks at the top don’t necessarily have anyone to talk to about issues relating to the performance of their companies. They have to deal with the pressure of always having the right answers to the myriad of challenges thrown their way. This can be very draining, not to mention time-consuming. I simply help these executives deal.

How did you get into this line of work? Were you a small business owner yourself?

Yes. Exactly. That’s an important consideration as I’ve gone out and developed this company and marketed my services to the larger entrepreneurial group in Middle Tennessee. In the late 1990s, I founded, and then sold three years later, a successful mortgage company called First Fidelity Mortgage based in Franklin. We had a really good run with that business and were blessed with the opportunities attached to that kind of success.

Through a series buyouts, mergers, acquisitions and the like, that entity is SunTrust today. I took my experiences from that endeavor, combined those with other business interests I’d been involved in, including commercial and residential real estate, and began to consult with real estate firms, other mortgage companies, nonprofit entities, construction companies and others. It’s been an interesting ride.

How do you feel about the Middle Tennessee market as a place to conduct business? This is an area that’s friendly to entrepreneurs, it seems. Have you found that to be true?

Absolutely. The government, education, health care and entertainment sectors all play a part in the unique and positive environment the Nashville area affords business owners, particularly those who are looking to move their operations here. We’ve been blessed with a very pro-business government and that has helped a great deal.

So I guess you won’t be hurting for business any time soon?

Well, I’ve been fortunate to have the types of clients I’ve had. We’ve been successful because we’ve brought some real value to the bottom line for folks and have made a positive difference in their business and personal lives.

What about compensation? How are you paid for your work?

My preferred method of compensation is equity. I’m not looking for a retainer that doesn’t include a matrix for participating in the growth of the company as a result of my effort. I’m the execution guy. I like to clear paths, push through agendas, arrive at constructive conclusions.

This approach lends itself to my preference to be compensated by way of an equity interest. When the company hopefully grows, increases its revenue and streamlines its processes, then I make money as the company does. With this, my motivations and goals are structurally and inherently aligned with management’s.

Finally, what do you most enjoy about what you do?

I obtain a great deal of satisfaction from stepping into a problematic, difficult and dysfunctional operation and making sense of things when before misunderstanding reigned. Partnering with the CEO and executive management is rewarding, as they see me as a confidant and one they can trust with their business strengths and weaknesses.

The openness of that relationship is often a precursor to my success. If that doesn’t exist, then my job becomes much harder, if not impossible. So, building that trust, creating and maintaining those kinds of relationships are what drives me to get up in the morning and do my thing. I love to watch folks use their God-given talents appropriately and achieve monetary success as a result.