The most important thing is the people that you work with,
above all else.
It sounds really basic, right? Before starting Catalus I had probably read
dozens of books and articles that emphasized the importance of working with
honest, diligent, and reliable people that are experts in their market niche. But I never really understood what that meant
until years of ups and downs working with a range of amazing individuals to
downright crooks.
In my business, investing with great people means that you
can trust what you’re being told, and that you’ll get the full story
independent of whether its good or bad.
It means that you can rely on your partner to do their best to fulfill
their promises, even if you’re not watching over their shoulder. It means that they know their business
cold. You’re not guaranteed success but
you have the highest probability of achieving it.
On the other hand working with people that have low ethical
standards or don’t have the drive to go the extra mile can lead to some pretty
negative situations. These are the
people that may lie, cheat, steal, or look the other way. Furthermore, they can suck all the fun out of
investing for a living.
In some of our deals we’ve dealt with amazing people that
achieved incredible feats through their dedication and abilities. We feel honored to be working with those
individuals and appreciate their efforts.
But you don’t know a person’s nature when you meet them. You learn that over time, and its easy to
miss the early clues if you’re not watching for them. We’ve been tempted by
deals that look great on paper but give us the feeling that something is
‘off’. Eventually, we’ve always been
thankful for passing on those. Its human
nature to give people some benefit of the doubt when a grey area exists. But as an investor, it’s important to limit
that instinct in favor of always demanding the highest standards out of
potential partners.
