Free daily tips, info, advice, ideas with business examples
from personal experiences--been there, done that.
Sooner or later, you will lose every customer or client you have.
They move away. They grow older. They seek out a competitor. They no longer need your product or service. Their brother-in-law opens a similar business.
So it goes.
Example: Greta runs a yoga studio offering private and group sessions. When she lost one of her private session clients, she was prepared. The long time client one day announced that she was retiring from her corporate office job and moving away to another state. This would be her last session, she told Greta one evening. Greta hated to lose a client, especially one who had become a business friend. She took immediate action. She emailed the private time slot opening to all her group session clients and posted it to Facebook. The slot was quickly filled--because she had already decided how she would react when a private client dropped out.
Think ahead. Have a plan in mind to deal with replacing clients.
Example: Carl is an interior decorator. He concentrates on corporate clients, small businesses, professional offices, along with some residential clients. One well-heeled matron was difficult to deal with, complaining loudly to Carl in front of others about a job in progress. The job he was doing for her required everything to be special-ordered on schedules out of Carl's control. But she was accustomed to having her way and disregarded all his explanations. She even complained about the timing of the project on social media sites. Carl took action--he refunded the matron's deposit and referred her to one of his competitors.
Now and then, your relationship with a client cannot be salvaged--no matter how hard you might try. The best solution sometimes is to resign the account. And move on.
Example: Meg runs a gymnastics operation for children--up to about age 12. She attracts new attendees by holding open houses and promoting on social media. But children grow up, and Meg loses them. She decided to expand into dramatic arts, especially for budding teens interested in a career in theater. She found a compatible business partner who was teaching dramatic arts but had no studio. Together, Meg and her new partner now offer programs for young people age 6 to 18 and beyond. The new operation attracts even more attention to the gymnastics side of the house, and many of these get exposed to a career they might not have otherwise considered. In the face of losing kids after age 12, Meg found a way to expand.
The time to replace clients and customers is when you first get them. Sooner or later, plan on losing every one of them. Get ready.
All examples in these write-ups are drawn from real business situations. The names are always changed. The intent here is to describe what others have done in their businesses, so that you might face and overcome problems of operating your own.
Tuesday, September 30, 2014
Monday, September 29, 2014
Growing professionals
Free daily tips, info, advice, ideas and examples from businesses
from personal experience starting, operating and growing businesses.
Small businesses have been slow to use social media to grow and expand. Finding new clients can be particularly difficult for professionals--therapists, accountants, lawyers, consultants, medical practitioners and others.
Example: Talisha is a CPA specializing in taxes. After asking for and receiving permission, she regularly takes pictures of clients as she tells them they are getting big tax refunds. The surprised and smiling faces of clients now pop out on Talisha's website and they adorn her Facebook page as well. The word spreads and the calls come in.
Example: Herb is a business coach. He helps business owners with cash problems, growing pains, product branding, and other concerns. To expand his client base, Herb put his profile on LinkedIn. He followed up by targeting small business owners and connected with them, writing a brief message introducing his private services and listing his private email address. It worked. New clients regularly respond directly to Herb with questions. He has entered into a coaching agreement with several of them.
Example: Tom is a young attorney. After passing the bar exam, he rented an office and began spending several hours a day at his computer. He set up a website and began writing a blog two or three times each week. The blog explains common problems people face--traffic tickets, minor traffic accidents, getting sued, the differences in various type of business organization--incorporations, partnerships, LLCs, etc. Tom does not give out legal advice in his write-ups--they are designed to educate and inform. He drives people to his website, and to the blog, with a presence on Facebook, LinkedIn, Twitter and others. Potential new clients regularly call his office.
Other professionals can use social media to find new clients. Therapists, dentists, chiropractors, consultants, engineers, designers, medical practitioners, and others can tap into the general public's thirst for information.
It can be a three step process: 1. Attract attention on social media. 2. Point to your website. 3. Provide useful information. Throughout the process, build trust, be friendly, show that you are qualified, and give out general information on what you do--from the reader's point of view. In other words, it's always about them, not you.
Many additional examples are scattered throughout these write-ups. Examples are taken from real businesses, but the name is always changed. Tell me about your experiences with what works and what has not worked for you. Email me at AlWarr16@gmail.com, putting BLOG in the subject line.
from personal experience starting, operating and growing businesses.
Small businesses have been slow to use social media to grow and expand. Finding new clients can be particularly difficult for professionals--therapists, accountants, lawyers, consultants, medical practitioners and others.
Example: Talisha is a CPA specializing in taxes. After asking for and receiving permission, she regularly takes pictures of clients as she tells them they are getting big tax refunds. The surprised and smiling faces of clients now pop out on Talisha's website and they adorn her Facebook page as well. The word spreads and the calls come in.
Example: Herb is a business coach. He helps business owners with cash problems, growing pains, product branding, and other concerns. To expand his client base, Herb put his profile on LinkedIn. He followed up by targeting small business owners and connected with them, writing a brief message introducing his private services and listing his private email address. It worked. New clients regularly respond directly to Herb with questions. He has entered into a coaching agreement with several of them.
Example: Tom is a young attorney. After passing the bar exam, he rented an office and began spending several hours a day at his computer. He set up a website and began writing a blog two or three times each week. The blog explains common problems people face--traffic tickets, minor traffic accidents, getting sued, the differences in various type of business organization--incorporations, partnerships, LLCs, etc. Tom does not give out legal advice in his write-ups--they are designed to educate and inform. He drives people to his website, and to the blog, with a presence on Facebook, LinkedIn, Twitter and others. Potential new clients regularly call his office.
Other professionals can use social media to find new clients. Therapists, dentists, chiropractors, consultants, engineers, designers, medical practitioners, and others can tap into the general public's thirst for information.
It can be a three step process: 1. Attract attention on social media. 2. Point to your website. 3. Provide useful information. Throughout the process, build trust, be friendly, show that you are qualified, and give out general information on what you do--from the reader's point of view. In other words, it's always about them, not you.
Many additional examples are scattered throughout these write-ups. Examples are taken from real businesses, but the name is always changed. Tell me about your experiences with what works and what has not worked for you. Email me at AlWarr16@gmail.com, putting BLOG in the subject line.
Friday, September 26, 2014
Roll with the punch
Free tips, info, advice, ideas and examples from real businesses--
from personal experience starting, operating and growing businesses of my own.
In small business, your business is you. You roll with the punch.
Economic downturns, endless regulations, employees who do you a favor just by showing up, cash flow problems--it's enough to get you depressed.
All this and there's never enough money to grow and expand.
Example: When the current economy went south, Rita noticed a significant downturn in orders at her florist shop. It seemed that weddings were downsized, parties were postponed, and Mother's Day orders struggled to hold their own. Rita knew she had to roll with the punch. In the face of declining revenue, she decided to expand. With fewer orders, she had more time on her hands. No longer would she depend on the phone ringing. Instead, she began offering fresh flower arrangements to corporations, banks and professional offices--creating a new market for her florist shop. She partnered with a caterer to furnish fresh flower arrangements at events--creating another new market she did not serve before. She joined two networking groups. With these initiatives, Rita is riding out the economic downturn. She is not just surviving, her florist shop will come out of this difficult period with a wider and more diverse customer base.
When sales decline, owners of small businesses get moving. They figure out alternatives to face the problem head-on.
Example: Ella runs a yoga studio. She holds classes and offers private sessions. When her lease was almost up, the landlord notified Ella that the rent would be doubling. She had sixty days to solve the problem. Her alternatives were slim--pay the new rent amount, find another space, or find a compatible business partner. Ella proposed sharing space with a massage specialist who worked from home and was building a client base. They found a new space, large enough to accommodate both. By splitting the space and the rent, Ella's half of the monthly amount was less than she had been paying. By sharing space, both could continue focusing on business without interfering with the other.
Non-competing small businesses can frequently hold down expenses by sharing space. Artists and artisans, holistic practitioners and other partnerships can use this technique.
Example: Edward started his small baking operation by renting a local restaurant's licensed kitchen on days when the restaurant was closed. Here he baked brownies, cookies and other treats. Over time, Edward built up his business by selling more and more bakery items to area businesses, organizations, corporations and others. Suddenly the restaurant owner announced that he was retiring, closing, moving on--Edward would have about six months to make other arrangements for a licensed kitchen. Edward scrambled to find a suitable place, agree to a lease, buy used baking equipment, get it installed and inspected, and transition his baking to his new place. Today, Edward's bakery offers a wide variety of bakery items to area restaurants, caterers, and others. He built the customer base first, then worried about establishing a place of his own.
Finding ways to grow and expand takes creative thinking. But owners of small businesses are nothing if not creative. The answer is found in three words. Never give up.
You'll find many more examples of rolling with the punch in these write-ups. Every business faces problems. Unexpected disasters, economic downturns, sudden loss of a major client, employee problems, technology--the list is endless. But you roll with the punch and keep going.
from personal experience starting, operating and growing businesses of my own.
In small business, your business is you. You roll with the punch.
Economic downturns, endless regulations, employees who do you a favor just by showing up, cash flow problems--it's enough to get you depressed.
All this and there's never enough money to grow and expand.
Example: When the current economy went south, Rita noticed a significant downturn in orders at her florist shop. It seemed that weddings were downsized, parties were postponed, and Mother's Day orders struggled to hold their own. Rita knew she had to roll with the punch. In the face of declining revenue, she decided to expand. With fewer orders, she had more time on her hands. No longer would she depend on the phone ringing. Instead, she began offering fresh flower arrangements to corporations, banks and professional offices--creating a new market for her florist shop. She partnered with a caterer to furnish fresh flower arrangements at events--creating another new market she did not serve before. She joined two networking groups. With these initiatives, Rita is riding out the economic downturn. She is not just surviving, her florist shop will come out of this difficult period with a wider and more diverse customer base.
When sales decline, owners of small businesses get moving. They figure out alternatives to face the problem head-on.
Example: Ella runs a yoga studio. She holds classes and offers private sessions. When her lease was almost up, the landlord notified Ella that the rent would be doubling. She had sixty days to solve the problem. Her alternatives were slim--pay the new rent amount, find another space, or find a compatible business partner. Ella proposed sharing space with a massage specialist who worked from home and was building a client base. They found a new space, large enough to accommodate both. By splitting the space and the rent, Ella's half of the monthly amount was less than she had been paying. By sharing space, both could continue focusing on business without interfering with the other.
Non-competing small businesses can frequently hold down expenses by sharing space. Artists and artisans, holistic practitioners and other partnerships can use this technique.
Example: Edward started his small baking operation by renting a local restaurant's licensed kitchen on days when the restaurant was closed. Here he baked brownies, cookies and other treats. Over time, Edward built up his business by selling more and more bakery items to area businesses, organizations, corporations and others. Suddenly the restaurant owner announced that he was retiring, closing, moving on--Edward would have about six months to make other arrangements for a licensed kitchen. Edward scrambled to find a suitable place, agree to a lease, buy used baking equipment, get it installed and inspected, and transition his baking to his new place. Today, Edward's bakery offers a wide variety of bakery items to area restaurants, caterers, and others. He built the customer base first, then worried about establishing a place of his own.
Finding ways to grow and expand takes creative thinking. But owners of small businesses are nothing if not creative. The answer is found in three words. Never give up.
You'll find many more examples of rolling with the punch in these write-ups. Every business faces problems. Unexpected disasters, economic downturns, sudden loss of a major client, employee problems, technology--the list is endless. But you roll with the punch and keep going.
Thursday, September 25, 2014
Bling your business
Free daily tips, info, advice, ideas, and examples of business
from personal experience in business--been there, done that.
Propel your business out of the shadows and into the limelight. Kick it up a notch with bling.
You know bling--shiny baubles, fun jewelry, sequins, things that light up like diamonds--and much, much more.
Example: Evita operates an upscale shop specializing in women's clothing and accessories. She offers fashionable outfits from up-and-coming designers from New York, Milan and London. Throughout her shop and on her Facebook page, Evita splashes lots of bling--flashy ornamentation and accessories. She changes her shop's window every week. There, a single chrome-skinned mannequin is splashed with bling. Fanning outward from the mannequin's feet, she arranges a bevy of colorful shoes--little more than straps and spike heels. The window is a town attraction, and it draws shoppers into the shop.
Bling can be much more than shiny baubles. Using bling in business can amount to riding a horse of a different color.
Example: A local dentist uses bling. Branding here is all about that toothy smile you can have when your teeth are perfect and gleaming. Print ads show a broadly smiling face with teeth prominently on display. Facebook entries emphasize the ease of getting that youthful smile back. The bling works. People call for appointments--to clean, to straighten, to get crowns, and other dental work.
More examples: Many small businesses have figured out that bling helps attract attention and bring more clients and customers. Pet shops show puppies with flashy collars. Hair stylists put sequins in the hair of party-goers. Attorneys specializing in elder care show smiling grandparents making living wills. Yoga instructors show photos of seniors throwing away their walkers. Food stores put out racks of recipes showing mouthwatering meals you can prepare in minutes. Landscapers and garden centers use a picture of your place, feed it into their computer, and presto! your nondescript yard becomes an award-winning garden. Aggressive law firms put ads on television to attract clients wronged by products and medications--this bling puts out-of-sight dollars in the eye of the beholder. And so it goes.
You can use bling in any business. Just be careful not to overdo it, less you run the risk of appearing trashy, turning off the very customers/clients you want to attract. Instead, concentrate on fun and leading edge optimism--smiling faces, happy children, cuddly pets. Bling is more than shiny baubles.
More marketing tactics and strategies can be found throughout these write-ups. Many examples are included so you can find your type of business among them. All names are changed, but the businesses described are from real life. People in small business are inventive!
from personal experience in business--been there, done that.
Propel your business out of the shadows and into the limelight. Kick it up a notch with bling.
You know bling--shiny baubles, fun jewelry, sequins, things that light up like diamonds--and much, much more.
Example: Evita operates an upscale shop specializing in women's clothing and accessories. She offers fashionable outfits from up-and-coming designers from New York, Milan and London. Throughout her shop and on her Facebook page, Evita splashes lots of bling--flashy ornamentation and accessories. She changes her shop's window every week. There, a single chrome-skinned mannequin is splashed with bling. Fanning outward from the mannequin's feet, she arranges a bevy of colorful shoes--little more than straps and spike heels. The window is a town attraction, and it draws shoppers into the shop.
Bling can be much more than shiny baubles. Using bling in business can amount to riding a horse of a different color.
Example: A local dentist uses bling. Branding here is all about that toothy smile you can have when your teeth are perfect and gleaming. Print ads show a broadly smiling face with teeth prominently on display. Facebook entries emphasize the ease of getting that youthful smile back. The bling works. People call for appointments--to clean, to straighten, to get crowns, and other dental work.
More examples: Many small businesses have figured out that bling helps attract attention and bring more clients and customers. Pet shops show puppies with flashy collars. Hair stylists put sequins in the hair of party-goers. Attorneys specializing in elder care show smiling grandparents making living wills. Yoga instructors show photos of seniors throwing away their walkers. Food stores put out racks of recipes showing mouthwatering meals you can prepare in minutes. Landscapers and garden centers use a picture of your place, feed it into their computer, and presto! your nondescript yard becomes an award-winning garden. Aggressive law firms put ads on television to attract clients wronged by products and medications--this bling puts out-of-sight dollars in the eye of the beholder. And so it goes.
You can use bling in any business. Just be careful not to overdo it, less you run the risk of appearing trashy, turning off the very customers/clients you want to attract. Instead, concentrate on fun and leading edge optimism--smiling faces, happy children, cuddly pets. Bling is more than shiny baubles.
More marketing tactics and strategies can be found throughout these write-ups. Many examples are included so you can find your type of business among them. All names are changed, but the businesses described are from real life. People in small business are inventive!
Wednesday, September 24, 2014
Limited editions
Free daily tips, information, advice, ideas for people in small business
from personal experiences starting, operating, growing and writing about businesses.
Anyone can create a limited edition product. Whether or not it will sell is another matter.
If you have an idea to produce something new, then by all means do it. When you are truly a master of your craft, sales will happen. Or they might not.
It's the market that rules. Artists still starve in their studios waiting for the buying public to discover their genius. If you can create something new and better, and it grabs the public's attention, then you're on your way. If they don't show up, you're not.
Example: Tom had a passion for motorcycles and owned a couple. But his business was custom restorations of vintage and antique vehicles. When he had the time and inclination, he built a custom motorcycle for himself. At rallies, it attracted lots of attention. Tom began taking orders for custom bikes and gradually transformed his business entirely. Today, he no longer restores older vehicles. Instead, his shop is devoted to the design and production of custom motorcycles for racing enthusiasts, weekend riders, collectors, and others. Tom matched his talents to a market opening and transformed his business into a new one.
To build your future, be alert to market trends and the interests of customers/clients. If you listen carefully with your ear to the ground, they will alert you to opportunities you might not otherwise see.
Example: Jeanine makes gold and silver jewelry in her small home studio. With lots of experience behind her, she turns out rings, earrings, bracelets and other pieces for discriminating clients. Jeanine met Isabel, a compatible business partner, who hand-paints silks, leathers and other materials as accessories. Together, the two women opened a small working studio open to the public. It attracted immediate attention. Their combined customer base was similar, yet they did not compete with each other. People were drawn to the handmade limited editions offered, and they referred others. The two women maintain separate Facebook pages, and this brought more people to the studio. Recently, they met Ed who produces fine wood turnings that are sculptural displays. Now, three limited edition artists are combining their talents into a single destination for the discriminating buying public.
Two or more limited edition creators can complement other talents and attract more attention than can any one acting alone. Always remember, however, that your talents are vehicles for your creativity, but the vehicles are powered by the buying public.
Many examples are used throughout these write-ups. They are drawn from real businesses. The names of people are always changed, of course. And sometimes I embellish with additional information. But the kernel of a real business is always there.
from personal experiences starting, operating, growing and writing about businesses.
Anyone can create a limited edition product. Whether or not it will sell is another matter.
If you have an idea to produce something new, then by all means do it. When you are truly a master of your craft, sales will happen. Or they might not.
It's the market that rules. Artists still starve in their studios waiting for the buying public to discover their genius. If you can create something new and better, and it grabs the public's attention, then you're on your way. If they don't show up, you're not.
Example: Tom had a passion for motorcycles and owned a couple. But his business was custom restorations of vintage and antique vehicles. When he had the time and inclination, he built a custom motorcycle for himself. At rallies, it attracted lots of attention. Tom began taking orders for custom bikes and gradually transformed his business entirely. Today, he no longer restores older vehicles. Instead, his shop is devoted to the design and production of custom motorcycles for racing enthusiasts, weekend riders, collectors, and others. Tom matched his talents to a market opening and transformed his business into a new one.
To build your future, be alert to market trends and the interests of customers/clients. If you listen carefully with your ear to the ground, they will alert you to opportunities you might not otherwise see.
Example: Jeanine makes gold and silver jewelry in her small home studio. With lots of experience behind her, she turns out rings, earrings, bracelets and other pieces for discriminating clients. Jeanine met Isabel, a compatible business partner, who hand-paints silks, leathers and other materials as accessories. Together, the two women opened a small working studio open to the public. It attracted immediate attention. Their combined customer base was similar, yet they did not compete with each other. People were drawn to the handmade limited editions offered, and they referred others. The two women maintain separate Facebook pages, and this brought more people to the studio. Recently, they met Ed who produces fine wood turnings that are sculptural displays. Now, three limited edition artists are combining their talents into a single destination for the discriminating buying public.
Two or more limited edition creators can complement other talents and attract more attention than can any one acting alone. Always remember, however, that your talents are vehicles for your creativity, but the vehicles are powered by the buying public.
Many examples are used throughout these write-ups. They are drawn from real businesses. The names of people are always changed, of course. And sometimes I embellish with additional information. But the kernel of a real business is always there.
Tuesday, September 23, 2014
Backing up
Free daily tips, info, advice, ideas and examples
plus personal experience starting, operating, and growing businesses.
Small business cannot afford to go dark. You must be at the shop or in the office--at the convenience of your clients and customers.
Voice mail is a good example of backing up yourself. When you absolutely cannot answer the phone, your voice mail backs you up.
Beyond that, employees call in sick. Equipment breaks down just when you need it most. And suppliers can suddenly stop supplying.
Example: Eric runs a rug and carpet cleaning service. He serves a residential and commercial client base. Jobs are scheduled days in advance, and Eric sends two employees to each job in fully equipped vans. He cross-trains his employees in cleaning techniques and the use of equipment. (For more on cross-training, see yesterday's blog on Emergencies.) Eric juggles his employees according to the requirements of the job and according to availability. Sometimes, employees can have an emergency at home or call in sick. Before the vans head out in the morning, Eric might have to substitute employees. When there is an especially tough job, or when he runs out of substitutions, Eric goes himself to the job.
There is never an excuse good enough that you let the client/customer down. They have a life too, and you must fit into their life. Backing up your employees ultimately falls to you--either make arrangements or do the job yourself.
Example: I have experienced the backing up problem--with both employees and equipment. In the printing business, I was a stickler for back up. My employees were cross-trained to the extent possible on various types of equipment. And the equipment was backed up--multiple presses of the same type and duplicate computers. The whole idea was to be able to handle the jobs one way or another. I took it to the next level as well. I had a standing arrangement with a competitor--in an emergency, his shop would serve as back up for me, and vice versa. Both of us realized that never letting a client down was more important than being competitors.
If your business depends on equipment, you need back up. When equipment breaks down, it can usually be repaired--but this takes time. In the meantime, your back up equipment turns out the jobs and keeps the customer happy. Remember, they don't care about your problems.
Example: Sheena specializes in finishing kitchens and baths with tile, granite, marble, slate and other materials. Most of the work is with ceramic and porcelain tiles imported from all over the world. Sheena must know and stay in contact with many suppliers who can vary widely in products, availability and price. She has made it part of her business model to keep abreast of the market and maintain alternate suppliers. A client-specified porcelain tile might be in inventory at one supplier at a high price, but it can be delivered in two weeks at another supplier at a much lower price. Sheena juggles suppliers against need and schedules.
Backing up your internals can save your business. Employees who can only do one thing can represent a danger in a small business. Depending on one piece of equipment is also dangerous to business health. And a single supplier can go bankrupt tomorrow, leaving you scrambling.
You gotta produce. Repairers repair. Bakers bake. Therapists do all sorts of things. With back up, you've smoothed the road ahead and possibly saved your business from disaster.
plus personal experience starting, operating, and growing businesses.
Small business cannot afford to go dark. You must be at the shop or in the office--at the convenience of your clients and customers.
Voice mail is a good example of backing up yourself. When you absolutely cannot answer the phone, your voice mail backs you up.
Beyond that, employees call in sick. Equipment breaks down just when you need it most. And suppliers can suddenly stop supplying.
Example: Eric runs a rug and carpet cleaning service. He serves a residential and commercial client base. Jobs are scheduled days in advance, and Eric sends two employees to each job in fully equipped vans. He cross-trains his employees in cleaning techniques and the use of equipment. (For more on cross-training, see yesterday's blog on Emergencies.) Eric juggles his employees according to the requirements of the job and according to availability. Sometimes, employees can have an emergency at home or call in sick. Before the vans head out in the morning, Eric might have to substitute employees. When there is an especially tough job, or when he runs out of substitutions, Eric goes himself to the job.
There is never an excuse good enough that you let the client/customer down. They have a life too, and you must fit into their life. Backing up your employees ultimately falls to you--either make arrangements or do the job yourself.
Example: I have experienced the backing up problem--with both employees and equipment. In the printing business, I was a stickler for back up. My employees were cross-trained to the extent possible on various types of equipment. And the equipment was backed up--multiple presses of the same type and duplicate computers. The whole idea was to be able to handle the jobs one way or another. I took it to the next level as well. I had a standing arrangement with a competitor--in an emergency, his shop would serve as back up for me, and vice versa. Both of us realized that never letting a client down was more important than being competitors.
If your business depends on equipment, you need back up. When equipment breaks down, it can usually be repaired--but this takes time. In the meantime, your back up equipment turns out the jobs and keeps the customer happy. Remember, they don't care about your problems.
Example: Sheena specializes in finishing kitchens and baths with tile, granite, marble, slate and other materials. Most of the work is with ceramic and porcelain tiles imported from all over the world. Sheena must know and stay in contact with many suppliers who can vary widely in products, availability and price. She has made it part of her business model to keep abreast of the market and maintain alternate suppliers. A client-specified porcelain tile might be in inventory at one supplier at a high price, but it can be delivered in two weeks at another supplier at a much lower price. Sheena juggles suppliers against need and schedules.
Backing up your internals can save your business. Employees who can only do one thing can represent a danger in a small business. Depending on one piece of equipment is also dangerous to business health. And a single supplier can go bankrupt tomorrow, leaving you scrambling.
You gotta produce. Repairers repair. Bakers bake. Therapists do all sorts of things. With back up, you've smoothed the road ahead and possibly saved your business from disaster.
Monday, September 22, 2014
Emergencies
Free daily tips, info, advice for small business
from personal experiences starting, operating, and growing my own.
Your small business can be struck by a disaster you don't see coming. Fire, flood, wind, blackouts and robbers can shut you down--whether you have a shop or an office or work at home.
Bakeries, gift shops, law offices, landscapers, salons, repair shops, therapists, restaurants, caterers and every other business can suddenly have a disaster on their hands. Every business person deserves to have thought about the possibility ahead of time--and planned for it.
Example: Jill runs a gift shop located on the Main Street in her town. The river is blocks away, but it flooded one night in early November. With little warning, Jill rushed to her shop to get things off the floor as water began seeping in. The next day, she sloshed her way through several inches of muddy water to survey the damage. Everything the water touched was ruined, and it took two weeks to clean up the mess. Customers and townspeople were generous with their time helping Jill get the gift shop back in operation for at least part of the holiday shopping season. Jill had flood insurance which paid for much of the clean-up, ruined stock and fixtures. But she had no loss-of-business insurance, and holiday shoppers had to put up with flooring contractors and sheet rock installers.
Make sure you plan ahead of time for all of the disaster contingencies.
Example: Phil had a different problem. He runs a small auto repair shop, but he had to close operations and lost some repair jobs when the electric went down. There was no power for three days. Phil quickly installed a generator to supply power to part of the shop, and he made arrangements for a bigger, more powerful generator to be on hand in case of future power outages. Some customers were understanding, others not--they moved on.
There's no getting back repair jobs lost when the doors are shut.
Example: Diane runs a small neighborhood convenience store. After she was robbed twice, she decided that she had to defend herself. She bought a handgun, went through proper licensing and training, and now keeps the firearm handy. She hasn't shot anyone yet, but she has sent a knife-wielding robber on his way when she pointed the firearm at him. In the past, Diane was terrified of guns, but today she has the means to defend herself. And she is much more confident when she's in the store alone.
These types of emergencies are not unusual in small business. You don't need a river to produce a flood--a heavy downpour can cause seepage under the doorways and leave you standing in water. There's no forewarning for a power outage--and it can last a few minutes or a few days. And, unfortunately, a robber can show up at any time.
Be prepared. It's the scout's motto, and they got it right.
You need to give some thought to these types of problems. They can, and do, happen. With a little preparation, you and your business can ride out almost anything. (Other examples are scattered throughout these write-ups.)
from personal experiences starting, operating, and growing my own.
Your small business can be struck by a disaster you don't see coming. Fire, flood, wind, blackouts and robbers can shut you down--whether you have a shop or an office or work at home.
Bakeries, gift shops, law offices, landscapers, salons, repair shops, therapists, restaurants, caterers and every other business can suddenly have a disaster on their hands. Every business person deserves to have thought about the possibility ahead of time--and planned for it.
Example: Jill runs a gift shop located on the Main Street in her town. The river is blocks away, but it flooded one night in early November. With little warning, Jill rushed to her shop to get things off the floor as water began seeping in. The next day, she sloshed her way through several inches of muddy water to survey the damage. Everything the water touched was ruined, and it took two weeks to clean up the mess. Customers and townspeople were generous with their time helping Jill get the gift shop back in operation for at least part of the holiday shopping season. Jill had flood insurance which paid for much of the clean-up, ruined stock and fixtures. But she had no loss-of-business insurance, and holiday shoppers had to put up with flooring contractors and sheet rock installers.
Make sure you plan ahead of time for all of the disaster contingencies.
Example: Phil had a different problem. He runs a small auto repair shop, but he had to close operations and lost some repair jobs when the electric went down. There was no power for three days. Phil quickly installed a generator to supply power to part of the shop, and he made arrangements for a bigger, more powerful generator to be on hand in case of future power outages. Some customers were understanding, others not--they moved on.
There's no getting back repair jobs lost when the doors are shut.
Example: Diane runs a small neighborhood convenience store. After she was robbed twice, she decided that she had to defend herself. She bought a handgun, went through proper licensing and training, and now keeps the firearm handy. She hasn't shot anyone yet, but she has sent a knife-wielding robber on his way when she pointed the firearm at him. In the past, Diane was terrified of guns, but today she has the means to defend herself. And she is much more confident when she's in the store alone.
These types of emergencies are not unusual in small business. You don't need a river to produce a flood--a heavy downpour can cause seepage under the doorways and leave you standing in water. There's no forewarning for a power outage--and it can last a few minutes or a few days. And, unfortunately, a robber can show up at any time.
Be prepared. It's the scout's motto, and they got it right.
You need to give some thought to these types of problems. They can, and do, happen. With a little preparation, you and your business can ride out almost anything. (Other examples are scattered throughout these write-ups.)
Friday, September 19, 2014
More referrals
Free daily tips, info, advice, ideas and examples from real businesses
and personal experience starting, operating and growing businesses of my own.
Referrals are important to the health of your business. Customers and clients talking about the products/services you provide is better than free advertising.
Increasing the number of referrals should be one of your major concerns. And there are some simple things you can do to get more referrals.
Example: Tom runs a small print shop. The technology of printing continues to advance, and this squeezes Tom's operation. He realized some time ago that he must target certain types of printing jobs--quick turnaround, small and medium color runs. To find new customers, Tom started attending more networking events. In addition, he began aggressive followups with present customers--calling them and asking for referrals. He got some appointments and visited them. Not all resulted in new jobs. Enough turned out well, however, convincing Tom that he was on the right track. Over time, Tom increased his customer base.
Getting more referrals should be part of your selling strategies and promotional initiatives.
Example: Danielle owns a hair salon. To increase referrals she hands out gift certificates to current customers. She writes "From (and the customer's name)" on each gift certificate. It is to be passed on to some friend or acquaintance. For their trouble, she gives the customer a discount on their next appointment. This has had the effect of bringing new customers to Danielle's salon.
Example: Tina runs an upscale gift shop. Almost everything in her shop is handmade by artists and artisans--jewelry, women's accessories, pottery and ceramics, wood, leather and iron ware, etc. Instead of business cards, Tina hands out postcards, including them with every purchase. The post cards have a color picture on one side. The other side shows the shop's address and contact information along with a discount coupon against future purchases. She hands these out freely, frequently giving shoppers and browsers several at once, and asking them to pass out among their friends. The color picture is the key here--people can throw away a business card, but an attractive color picture is kept and passed to others.
These examples are simple and inexpensive ways to get your present customers to refer others to you. Whether you use postcards or Facebook, the end result can increase the chatter about you out there where it counts.
Referrals take place naturally. They are part of human interaction--whether it's over a cup of coffee or on Facebook. But you can do some things to speed up the process.
and personal experience starting, operating and growing businesses of my own.
Referrals are important to the health of your business. Customers and clients talking about the products/services you provide is better than free advertising.
Increasing the number of referrals should be one of your major concerns. And there are some simple things you can do to get more referrals.
Example: Tom runs a small print shop. The technology of printing continues to advance, and this squeezes Tom's operation. He realized some time ago that he must target certain types of printing jobs--quick turnaround, small and medium color runs. To find new customers, Tom started attending more networking events. In addition, he began aggressive followups with present customers--calling them and asking for referrals. He got some appointments and visited them. Not all resulted in new jobs. Enough turned out well, however, convincing Tom that he was on the right track. Over time, Tom increased his customer base.
Getting more referrals should be part of your selling strategies and promotional initiatives.
Example: Danielle owns a hair salon. To increase referrals she hands out gift certificates to current customers. She writes "From (and the customer's name)" on each gift certificate. It is to be passed on to some friend or acquaintance. For their trouble, she gives the customer a discount on their next appointment. This has had the effect of bringing new customers to Danielle's salon.
Example: Tina runs an upscale gift shop. Almost everything in her shop is handmade by artists and artisans--jewelry, women's accessories, pottery and ceramics, wood, leather and iron ware, etc. Instead of business cards, Tina hands out postcards, including them with every purchase. The post cards have a color picture on one side. The other side shows the shop's address and contact information along with a discount coupon against future purchases. She hands these out freely, frequently giving shoppers and browsers several at once, and asking them to pass out among their friends. The color picture is the key here--people can throw away a business card, but an attractive color picture is kept and passed to others.
These examples are simple and inexpensive ways to get your present customers to refer others to you. Whether you use postcards or Facebook, the end result can increase the chatter about you out there where it counts.
Referrals take place naturally. They are part of human interaction--whether it's over a cup of coffee or on Facebook. But you can do some things to speed up the process.
Thursday, September 18, 2014
Advice good and bad
Free daily tips, info, advice, ideas and examples from businesses
from my lifetime of starting, operating and growing businesses of my own.
Advice is everywhere. It comes from everyone. As a small business person, you are bombarded with advice.
Most advice has little value. It comes from people who have never run a business.
Example: Back in the early 1990s, I joined a local Small Business Development Center (SBDC) as a business counselor. At that time, I had experience in starting up and operating three different businesses. I was appalled to learn that most of the business counselors in that state's SBDCs had never run a business. They had experience in education and government, but no background in actually running a business. I could only imagine the advice they struggled to give to the people who came with real problems. Unless you've experienced it, you cannot relate to the acid burn that happens in your stomach when the cash flow stops flowing. Well, I lasted two years at that SBDC, leaving to establish the private Business Owners Institute in New Jersey. My first rule was that every employee must have run a business before being hired.
You deserve the best advice you can get. Frequently the people offering advice do not have the experience that makes it valuable. Would you hire an electrician who had read all the manuals but who had no hands-on experience?
Example: Candy watched as her gift shop went downhill--sales dropped off over a two year period. She sought out an attorney who advised bankruptcy. Her accountant concurred. Then she met a business woman at a networking event who showed Candy how she might turn around her operation. Candy took the advice to heart--she would target well-heeled customers by offering gift items handmade by artists and artisans. She held a big sale to reduce and clear out her old stock. At the same time, she contacted jewelry makers, weavers and fiber artisans, wood turners, glass workers, potters and ceramicists, even furniture makers to make arrangements to display and sell their items. She held a big grand re-opening of her gift shop, promoting the event by partnering with a local winery and a caterer. Today, Candy's gift shop is a very different destination, attracting a new customer base from a wider area than before.
Some of the best advice I ever received came from my father. He ran a large dairy farm, and I grew up milking cows and learning how to do the next thing. He once said to me: "If you don't know how to do something, find someone who does, and learn."
You deserve to seek out the best advice you can find. Maybe it works for you, maybe not. Your job is to sort it out. And never give up.
from my lifetime of starting, operating and growing businesses of my own.
Advice is everywhere. It comes from everyone. As a small business person, you are bombarded with advice.
Most advice has little value. It comes from people who have never run a business.
Example: Back in the early 1990s, I joined a local Small Business Development Center (SBDC) as a business counselor. At that time, I had experience in starting up and operating three different businesses. I was appalled to learn that most of the business counselors in that state's SBDCs had never run a business. They had experience in education and government, but no background in actually running a business. I could only imagine the advice they struggled to give to the people who came with real problems. Unless you've experienced it, you cannot relate to the acid burn that happens in your stomach when the cash flow stops flowing. Well, I lasted two years at that SBDC, leaving to establish the private Business Owners Institute in New Jersey. My first rule was that every employee must have run a business before being hired.
You deserve the best advice you can get. Frequently the people offering advice do not have the experience that makes it valuable. Would you hire an electrician who had read all the manuals but who had no hands-on experience?
Example: Candy watched as her gift shop went downhill--sales dropped off over a two year period. She sought out an attorney who advised bankruptcy. Her accountant concurred. Then she met a business woman at a networking event who showed Candy how she might turn around her operation. Candy took the advice to heart--she would target well-heeled customers by offering gift items handmade by artists and artisans. She held a big sale to reduce and clear out her old stock. At the same time, she contacted jewelry makers, weavers and fiber artisans, wood turners, glass workers, potters and ceramicists, even furniture makers to make arrangements to display and sell their items. She held a big grand re-opening of her gift shop, promoting the event by partnering with a local winery and a caterer. Today, Candy's gift shop is a very different destination, attracting a new customer base from a wider area than before.
Some of the best advice I ever received came from my father. He ran a large dairy farm, and I grew up milking cows and learning how to do the next thing. He once said to me: "If you don't know how to do something, find someone who does, and learn."
You deserve to seek out the best advice you can find. Maybe it works for you, maybe not. Your job is to sort it out. And never give up.
Wednesday, September 17, 2014
Events attract attention
Free daily tips, info, advice, ideas with examples from real business
and my lifetime of personal experience starting, operating and growing businesses.
Need more clients/customers? Throw a party.
Parties and events attract attention. Promoting your small business has never been easier. They're fun, and people are attracted to fun happenings.
Parties don't have to be wild events. Parties come in many flavors.
Example: Susan is a nutritionist. She loves to tell people about the benefits of raw veggies, whole foods, the health values of eating right. But how does she attract paying customers to attend her private consultations? Well, she had a plan. She found several local networking groups at MeetUp.com. At these meetings she homed in on other owners who had compatible small businesses--massage therapists, Reiki and yoga practitioners, chiropractors, hypnotists who help people quit smoking and lose weight. Susan convinced several to come together and hold an event designed around healthy living. They put the word out on Facebook and other social media. At the event, each of them talked about what they did, gave short demonstrations, invited and answered every question and passed out literature. They tapped into the public's thirst for knowledge in an informal setting. The events are continuing, and they bring a continuing supply of new clients and referrals.
Partner with other businesses to attract even more attention than you might when you act alone. If getting several businesses to come together seems too much for you, try just one.
Example: Victoria operates a small specialty bakery. She met Susan the nutritionist at one of the MeetUp networking events. Victoria's bakery attracts people with health concerns. In addition to regular bakery items, she offers gluten-free, sugar-free, egg-free, nut-free, lactose-free, etc. Victoria and Susan put together an event at the bakery, where Victoria set out a big table of samples and Susan talked about nutrition. Both answered questions and passed out information. The event attracted new customers/clients for each of them.
Events bring people to you. All have questions, and these attendees bring you referrals.
Example: Jack had a bigger idea. His upscale clothing store attracted regular customers, but like every other store in town, Jack wanted more. He trudged up and down the street, engaging every shop owner, and talking them into holding a town-wide event. Business owners bought into Jack's idea--every store agreed to participate by holding demonstrations, having drawings for products, giving away gift certificates, passing out free samples, providing activities for children, etc. Jack arranged for free musicians to perform, and artists came to work their crafts on the sidewalks. The big day came and the event attracted widespread attention, bringing new people to town where they discovered the shops and stores. The event helped turn the town into a destination, and these days Jack does it twice each year.
Small or big, events bring new people to your operation. The excitement created will pay off long after the actual event takes place.
You can get your business in front of new eyeballs by throwing a party--or an event. And what small business can't use new eyeballs? Do it, promote it, and they will come. And refer others.
and my lifetime of personal experience starting, operating and growing businesses.
Need more clients/customers? Throw a party.
Parties and events attract attention. Promoting your small business has never been easier. They're fun, and people are attracted to fun happenings.
Parties don't have to be wild events. Parties come in many flavors.
Example: Susan is a nutritionist. She loves to tell people about the benefits of raw veggies, whole foods, the health values of eating right. But how does she attract paying customers to attend her private consultations? Well, she had a plan. She found several local networking groups at MeetUp.com. At these meetings she homed in on other owners who had compatible small businesses--massage therapists, Reiki and yoga practitioners, chiropractors, hypnotists who help people quit smoking and lose weight. Susan convinced several to come together and hold an event designed around healthy living. They put the word out on Facebook and other social media. At the event, each of them talked about what they did, gave short demonstrations, invited and answered every question and passed out literature. They tapped into the public's thirst for knowledge in an informal setting. The events are continuing, and they bring a continuing supply of new clients and referrals.
Partner with other businesses to attract even more attention than you might when you act alone. If getting several businesses to come together seems too much for you, try just one.
Example: Victoria operates a small specialty bakery. She met Susan the nutritionist at one of the MeetUp networking events. Victoria's bakery attracts people with health concerns. In addition to regular bakery items, she offers gluten-free, sugar-free, egg-free, nut-free, lactose-free, etc. Victoria and Susan put together an event at the bakery, where Victoria set out a big table of samples and Susan talked about nutrition. Both answered questions and passed out information. The event attracted new customers/clients for each of them.
Events bring people to you. All have questions, and these attendees bring you referrals.
Example: Jack had a bigger idea. His upscale clothing store attracted regular customers, but like every other store in town, Jack wanted more. He trudged up and down the street, engaging every shop owner, and talking them into holding a town-wide event. Business owners bought into Jack's idea--every store agreed to participate by holding demonstrations, having drawings for products, giving away gift certificates, passing out free samples, providing activities for children, etc. Jack arranged for free musicians to perform, and artists came to work their crafts on the sidewalks. The big day came and the event attracted widespread attention, bringing new people to town where they discovered the shops and stores. The event helped turn the town into a destination, and these days Jack does it twice each year.
Small or big, events bring new people to your operation. The excitement created will pay off long after the actual event takes place.
You can get your business in front of new eyeballs by throwing a party--or an event. And what small business can't use new eyeballs? Do it, promote it, and they will come. And refer others.
Tuesday, September 16, 2014
Selling on eBay
Free daily tips, info, advice, ideas and examples from real businesses
drawing on my lifetime of experience starting, operating and growing operations.
When eBay exploded on the Internet, it revolutionized all sorts of markets. Buyers and sellers suddenly had another place to meet and do business.
On the eBay.com site, you can find thousands of items in many categories--electronics, clothing, collectibles and antiques, home and garden, and much, much more. Just click on your interest and begin.
Example: For many years I collected early American glass made between 1800 and 1900. The day came when it got out of hand--I was running out of room. About the same time, I found eBay. I would take a picture of, say, a Diamond Thumbprint decanter made in the 1850s, post the picture to the eBay site, and watch as people bid on the item--or purchased it outright. I have bought and sold historic American glass pieces on eBay, and the experience has been a good one. The eBay phenomenon greatly expanded the market geographically--far beyond the circles of collectors I had developed over the years. Suddenly, I could reach people all over the country and beyond. I discovered that collectors in different parts of the country had different interests and would pay different prices for historic glass items. Over time, there was an evening out of market interest and prices--the eBay phenomenon was working its magic in the marketplace.
Not everything posted on eBay sells. But, overwhelmingly, the company has been very successful in bringing together buyers and sellers.
Like everything else, you must jump into the water if you want to swim. You might find it will work for you--or it might not. Then, you might find someone to handle all the eBay details for you.
Example: Fran opened a consignment shop and invited others to bring items to her store. She offers the items for sale at the shop, and she places them on eBay as well. Hers is a sort of eBay store, where her customers are primarily sellers, not buyers. She handles putting the items up on the eBay site, relieving her customers of this. Since Fran is very active on eBay as a seller, she has become expert in what will sell and what will not. She is also up-to-date on pricing. In an ever changing marketplace, prices can fluctuate--up or down. An item that was hotly bid up to hundreds of dollars last year might languish on the shelves this year with no interest at all--locally or on eBay. Fran has found the antiques market to be a good example of this. High end and rare antiques usually command high prices, but second tier antiques not so much. A small, hand-carved salon table that sold for $500 some twenty years ago, today struggles to fetch half that amount. Collectibles, on the other hand, might soar in interest and price--an early computer game can draw lots of interest, and bidding can be fierce. Fran offers free appraisals at her bricks-and-mortar operation, and this brings in lots of inventory.
Businesses other than consignment shops can take advantage of the huge market that eBay provides. Artists and artisans can be found on eBay, as can gift shops, furniture designers, clothing and electronics stores, and, of course, antiques and collectibles in addition to others.
You have many opportunities and possibilities in small business. And you never know what works until you try. Find your niche, and never look back.
drawing on my lifetime of experience starting, operating and growing operations.
When eBay exploded on the Internet, it revolutionized all sorts of markets. Buyers and sellers suddenly had another place to meet and do business.
On the eBay.com site, you can find thousands of items in many categories--electronics, clothing, collectibles and antiques, home and garden, and much, much more. Just click on your interest and begin.
Example: For many years I collected early American glass made between 1800 and 1900. The day came when it got out of hand--I was running out of room. About the same time, I found eBay. I would take a picture of, say, a Diamond Thumbprint decanter made in the 1850s, post the picture to the eBay site, and watch as people bid on the item--or purchased it outright. I have bought and sold historic American glass pieces on eBay, and the experience has been a good one. The eBay phenomenon greatly expanded the market geographically--far beyond the circles of collectors I had developed over the years. Suddenly, I could reach people all over the country and beyond. I discovered that collectors in different parts of the country had different interests and would pay different prices for historic glass items. Over time, there was an evening out of market interest and prices--the eBay phenomenon was working its magic in the marketplace.
Not everything posted on eBay sells. But, overwhelmingly, the company has been very successful in bringing together buyers and sellers.
Like everything else, you must jump into the water if you want to swim. You might find it will work for you--or it might not. Then, you might find someone to handle all the eBay details for you.
Example: Fran opened a consignment shop and invited others to bring items to her store. She offers the items for sale at the shop, and she places them on eBay as well. Hers is a sort of eBay store, where her customers are primarily sellers, not buyers. She handles putting the items up on the eBay site, relieving her customers of this. Since Fran is very active on eBay as a seller, she has become expert in what will sell and what will not. She is also up-to-date on pricing. In an ever changing marketplace, prices can fluctuate--up or down. An item that was hotly bid up to hundreds of dollars last year might languish on the shelves this year with no interest at all--locally or on eBay. Fran has found the antiques market to be a good example of this. High end and rare antiques usually command high prices, but second tier antiques not so much. A small, hand-carved salon table that sold for $500 some twenty years ago, today struggles to fetch half that amount. Collectibles, on the other hand, might soar in interest and price--an early computer game can draw lots of interest, and bidding can be fierce. Fran offers free appraisals at her bricks-and-mortar operation, and this brings in lots of inventory.
Businesses other than consignment shops can take advantage of the huge market that eBay provides. Artists and artisans can be found on eBay, as can gift shops, furniture designers, clothing and electronics stores, and, of course, antiques and collectibles in addition to others.
You have many opportunities and possibilities in small business. And you never know what works until you try. Find your niche, and never look back.
Monday, September 15, 2014
Regulation nation
Free daily tips, info, advice, ideas with examples from real businesses
from my lifetime of experience starting, operating and growing small businesses.
I am old enough to remember a coffee roasting operation in Manhattan. This business perfumed the neighborhood with the intoxicating aromas of roasting coffee beans.
Likewise, there was a large bakery where the aromas of baking bread reached out, grabbed you by the nose, and brought you into the retail shop.
No more. What made a positive contribution to that neighborhood long ago succumbed to regulations. Faceless bureaucrats decided for the rest of us that the aromas of baking bread and roasting coffee beans were an affront to the planet's well-being. I hope that those lost souls are now employed in more useful pursuits--like cleaning toilets.
Example: When the economy went sour, Lucille was laid off from her job. She decided to open a consignment shop. She leased a small storefront on a side street in her town and called everyone she knew to collect consignments for the store. While the store was being filled, she went to city hall asking about a sign permit. A clerk handed her three pages of signage regulations. Not only did the rules specify the type, size and placement of outside signs, the fine print also included detailed instructions for indoor signage placed on windows to be seen from the outside. These could not exceed a specified size, with "no garish lettering." When Lucille asked what that meant, the clerk shrugged and turned away.
Most owners of bricks-and-mortar businesses have struggled with signage regulations. Communities can be sensitive to the appearance of streets lined with stores and shops.
Other businesses face different types of regulations--no less intrusive, expensive, and in many cases counterproductive.
Example: A small civil engineering/construction company I know struggles every day to stay alive. The technical and regulatory issues faced by the owner are legion. His people must perform services according to approved plans, of course. In addition, he must contend with a virulent anti-development mind set prevalent in the communities he serves. These municipalities add to the state and federal regulatory burden with more regulations of their own, and then they hire high-powered firms to oversee and audit projects--at excessive review fees. This adds considerably to overall costs of the project, forcing the civil engineering company to add to the costs of doing business, to stretch out project schedules, and to maintain capabilities in addition to engineering. Keep in mind that it's the small firms that lease local space, provide good paying jobs, and provide personalized services to clients. Even the reworking of a septic tank or removal of a leaky oil tank for residential clients can stretch into months, a job that once took a week at most.
More and more regulations are piling up daily. Local, state and federal agencies today are in the business of growing themselves, writing so many regulations that they themselves cannot keep on top of the mess. Who could?
We live in a regulation nation, and it's getting worse. The central planners have insinuated themselves into positions of great power. And it's not just Washington. There are busy bodies at every level, and they are the ones who write all this stuff--with good intentions, of course. But good intentions don't build small businesses. It takes much, much more.
You cannot escape regulations unless you do business under the table, risking certain legal consequences. You must play by all the rules these days, and that requires that you to take your business far beyond ethical business practices. Also, you must satisfy all the whims of central planners--local, state and federal.
from my lifetime of experience starting, operating and growing small businesses.
I am old enough to remember a coffee roasting operation in Manhattan. This business perfumed the neighborhood with the intoxicating aromas of roasting coffee beans.
Likewise, there was a large bakery where the aromas of baking bread reached out, grabbed you by the nose, and brought you into the retail shop.
No more. What made a positive contribution to that neighborhood long ago succumbed to regulations. Faceless bureaucrats decided for the rest of us that the aromas of baking bread and roasting coffee beans were an affront to the planet's well-being. I hope that those lost souls are now employed in more useful pursuits--like cleaning toilets.
Example: When the economy went sour, Lucille was laid off from her job. She decided to open a consignment shop. She leased a small storefront on a side street in her town and called everyone she knew to collect consignments for the store. While the store was being filled, she went to city hall asking about a sign permit. A clerk handed her three pages of signage regulations. Not only did the rules specify the type, size and placement of outside signs, the fine print also included detailed instructions for indoor signage placed on windows to be seen from the outside. These could not exceed a specified size, with "no garish lettering." When Lucille asked what that meant, the clerk shrugged and turned away.
Most owners of bricks-and-mortar businesses have struggled with signage regulations. Communities can be sensitive to the appearance of streets lined with stores and shops.
Other businesses face different types of regulations--no less intrusive, expensive, and in many cases counterproductive.
Example: A small civil engineering/construction company I know struggles every day to stay alive. The technical and regulatory issues faced by the owner are legion. His people must perform services according to approved plans, of course. In addition, he must contend with a virulent anti-development mind set prevalent in the communities he serves. These municipalities add to the state and federal regulatory burden with more regulations of their own, and then they hire high-powered firms to oversee and audit projects--at excessive review fees. This adds considerably to overall costs of the project, forcing the civil engineering company to add to the costs of doing business, to stretch out project schedules, and to maintain capabilities in addition to engineering. Keep in mind that it's the small firms that lease local space, provide good paying jobs, and provide personalized services to clients. Even the reworking of a septic tank or removal of a leaky oil tank for residential clients can stretch into months, a job that once took a week at most.
More and more regulations are piling up daily. Local, state and federal agencies today are in the business of growing themselves, writing so many regulations that they themselves cannot keep on top of the mess. Who could?
We live in a regulation nation, and it's getting worse. The central planners have insinuated themselves into positions of great power. And it's not just Washington. There are busy bodies at every level, and they are the ones who write all this stuff--with good intentions, of course. But good intentions don't build small businesses. It takes much, much more.
You cannot escape regulations unless you do business under the table, risking certain legal consequences. You must play by all the rules these days, and that requires that you to take your business far beyond ethical business practices. Also, you must satisfy all the whims of central planners--local, state and federal.
Friday, September 12, 2014
Market trends
Free daily write-ups, tips, information, advice and ideas for small business
from a lifetime of experience starting, operating and growing businesses of my own.
Running a business is risky. It's you against the world in which you operate.
The market and the economy, regulations and competitors, galloping technology--you're sailing on an ocean full of sharks. The biggest and badest shark, however, is the market.
All things equal, it's the market that will spell success or failure for your business. The market is made up of customers, a restless bunch, always on the move.
Example: Nicole runs a gift shop. When she took over the place from an elderly aunt, the shelves were lined with knickknacks and nondescript glassware, a case of costume jewelry, displays of baskets, lamps, plaques, a wall lined with mugs and kitchenware--and greeting cards. Nicole's idea was to bring the shop in line with a more forward looking market and to transform the place into a destination that would appeal to shoppers who were more upscale. She began contacting local artists and artisans who created original pieces in silver and enamel jewelry, fiber arts, pottery, wooden ware, iron ware, artwork made from recycled materials, and original miniatures. Nicole had recognized that a new and different type of customer was walking the streets. Those who had passed by the old gift shop without a second glance now were attracted by the window displays Nicole created. Not only was she following a market trend, she was helping to create it.
You can research market trends for your industry on the Internet. But a better way is to get in tune with life going on around you. Pay attention to what people are talking about, how they react to situations, what choices they make when they spend their money.
Example: Doris saw a business opportunity long before others did. Years ago, she noticed that people, especially women, were increasingly concerned with the foods people were eating. She investigated the beginnings of a market for healthy foods, and she decided to take the plunge and establish her own small store. She avoided the big food manufacturers and distributors, opting instead to ferret out organic producers of products. Gradually, she added gluten-free, lactose-free, sugar-free and other specialties. She added foods imported from Europe where they seemed to be ahead of this market curve. Her customer stream was thin in the beginning, but the customers spread the word in their communities. When Doris added non-GMO foods, she held an open house with a nutritionist to explain and answer questions. She promotes her operation continuously. Since establishing that initial store, Doris has opened two additional stores in neighboring communities, and she is considering franchising the operation.
Many business owners are content to serve a fairly stable market. They relax into a routine, while the market keeps moving. This can be dangerous to the future of your business.
Staying on top of ever-changing markets is not easy. Customers follow fads and fashions in everything they do--food, clothing, phones, even the vehicles and houses they buy. You either follow the curve or you are ahead of the curve. What business you're in is up to you.
You're the closest person to your market. What did your last customer/client buy? What's the trend over the last year? When you step back and take a hard look, this can indicate where you are. Now, are you in line with the market?
from a lifetime of experience starting, operating and growing businesses of my own.
Running a business is risky. It's you against the world in which you operate.
The market and the economy, regulations and competitors, galloping technology--you're sailing on an ocean full of sharks. The biggest and badest shark, however, is the market.
All things equal, it's the market that will spell success or failure for your business. The market is made up of customers, a restless bunch, always on the move.
Example: Nicole runs a gift shop. When she took over the place from an elderly aunt, the shelves were lined with knickknacks and nondescript glassware, a case of costume jewelry, displays of baskets, lamps, plaques, a wall lined with mugs and kitchenware--and greeting cards. Nicole's idea was to bring the shop in line with a more forward looking market and to transform the place into a destination that would appeal to shoppers who were more upscale. She began contacting local artists and artisans who created original pieces in silver and enamel jewelry, fiber arts, pottery, wooden ware, iron ware, artwork made from recycled materials, and original miniatures. Nicole had recognized that a new and different type of customer was walking the streets. Those who had passed by the old gift shop without a second glance now were attracted by the window displays Nicole created. Not only was she following a market trend, she was helping to create it.
You can research market trends for your industry on the Internet. But a better way is to get in tune with life going on around you. Pay attention to what people are talking about, how they react to situations, what choices they make when they spend their money.
Example: Doris saw a business opportunity long before others did. Years ago, she noticed that people, especially women, were increasingly concerned with the foods people were eating. She investigated the beginnings of a market for healthy foods, and she decided to take the plunge and establish her own small store. She avoided the big food manufacturers and distributors, opting instead to ferret out organic producers of products. Gradually, she added gluten-free, lactose-free, sugar-free and other specialties. She added foods imported from Europe where they seemed to be ahead of this market curve. Her customer stream was thin in the beginning, but the customers spread the word in their communities. When Doris added non-GMO foods, she held an open house with a nutritionist to explain and answer questions. She promotes her operation continuously. Since establishing that initial store, Doris has opened two additional stores in neighboring communities, and she is considering franchising the operation.
Many business owners are content to serve a fairly stable market. They relax into a routine, while the market keeps moving. This can be dangerous to the future of your business.
Staying on top of ever-changing markets is not easy. Customers follow fads and fashions in everything they do--food, clothing, phones, even the vehicles and houses they buy. You either follow the curve or you are ahead of the curve. What business you're in is up to you.
You're the closest person to your market. What did your last customer/client buy? What's the trend over the last year? When you step back and take a hard look, this can indicate where you are. Now, are you in line with the market?
Thursday, September 11, 2014
Leaving corporate America
Free daily tips, information, advice, ideas and examples taken from real life
and my personal experience starting, operating and growing small businesses.
Corporate America and small business America occupy different planets. They speak different languages. The culture is completely different.
People who run small businesses are "can do" people. But you know that. You're one of them.
Example: Mary had a long and successful career at a major international corporation. The time came when the company offered several employees early retirement packages. Mary decided to take the substantial payout and set up a small business of her own. She took some time off. Then she bought a fast food franchise, joined the local chamber of commerce, and proudly held a grand opening. Then the hard lessons came. She quickly got an education in the differences between small business America and the corporate position she had left behind. She found herself mopping the floor when the cleaning people didn't show. She calmed down upset customers, calling the police when a drunk would not leave. She jumped in when the cook fell ill. Exhausted, she subsequently sold the business. Today, Mary makes pottery in her garage studio and is building a business she loves.
In corporate America, there is a department for everything. When there's a problem, you call someone. Or you hold a meeting.
In small business America, you are it. You handle whatever comes up. Yours are the hands you depend on.
Example: John also took an early retirement package from a major company. He had decades of experience, part of a corporate team selling the company's products to a long list of clients. John invested his payout, tucking it all away in municipal bonds. Then he started a one-man business as an independent manufacturer's representative--being careful not to compete with his former employer. But the clients he already knew needed other products, and they received him warmly when he called. John also used these relationships to network his way to additional possibilities. He quickly built his own small business based on what he already knew. The last time we talked, he wondered aloud why he didn't leave corporate America sooner.
Everyone I ever met in corporate America has thought about leaving. That prospect of a nice little business of your own, where you're the boss, is always appealing--especially when you're sitting in those endless meetings.
When you do decide to leave, however, to start a business, make sure it's doing something you love. That way, you won't mind all those dirty details that pop up.
Leaving corporate America is a big step. I know. I did it myself when I was 35. Now, at 78, I wonder why it took me so long.
and my personal experience starting, operating and growing small businesses.
Corporate America and small business America occupy different planets. They speak different languages. The culture is completely different.
People who run small businesses are "can do" people. But you know that. You're one of them.
Example: Mary had a long and successful career at a major international corporation. The time came when the company offered several employees early retirement packages. Mary decided to take the substantial payout and set up a small business of her own. She took some time off. Then she bought a fast food franchise, joined the local chamber of commerce, and proudly held a grand opening. Then the hard lessons came. She quickly got an education in the differences between small business America and the corporate position she had left behind. She found herself mopping the floor when the cleaning people didn't show. She calmed down upset customers, calling the police when a drunk would not leave. She jumped in when the cook fell ill. Exhausted, she subsequently sold the business. Today, Mary makes pottery in her garage studio and is building a business she loves.
In corporate America, there is a department for everything. When there's a problem, you call someone. Or you hold a meeting.
In small business America, you are it. You handle whatever comes up. Yours are the hands you depend on.
Example: John also took an early retirement package from a major company. He had decades of experience, part of a corporate team selling the company's products to a long list of clients. John invested his payout, tucking it all away in municipal bonds. Then he started a one-man business as an independent manufacturer's representative--being careful not to compete with his former employer. But the clients he already knew needed other products, and they received him warmly when he called. John also used these relationships to network his way to additional possibilities. He quickly built his own small business based on what he already knew. The last time we talked, he wondered aloud why he didn't leave corporate America sooner.
Everyone I ever met in corporate America has thought about leaving. That prospect of a nice little business of your own, where you're the boss, is always appealing--especially when you're sitting in those endless meetings.
When you do decide to leave, however, to start a business, make sure it's doing something you love. That way, you won't mind all those dirty details that pop up.
Leaving corporate America is a big step. I know. I did it myself when I was 35. Now, at 78, I wonder why it took me so long.
Wednesday, September 10, 2014
Your customer is king
Free daily tips, info, advice and ideas for small business
from my personal experience--been there, done that.
Much has been said about customers--how to get them, how to make them happy, how to keep them coming back.
It bears repeating. Your customer is king.
Example: Early in my first business (graphic arts/printing), I received a call from a customer on Easter Sunday morning. (Yes, I gave out my personal phone number to customers.) He had a problem--a board meeting had been called suddenly for the next morning. He needed a booklet--designed, printed and delivered overnight. I did not hesitate--yes, we could do the job. A very hectic 24 hours followed, but the booklets were delivered to his boardroom before 7 a.m. the next morning to a happy customer. Later that week, I hand-delivered the invoice and he approved it immediately. Further, he had the payment check cut while we sat discussing another job he had in mind. Our relationship continued for many years.
Customers have problems of their own. Your business is best served when you solve their problems, on their terms, in their time frame.
Example: An attorney was engaged by a lady to draw up her will. She had some unusual requests, and the attorney listened patiently. But instead of leading the client through the problems, the attorney saw an opportunity to draw out the situation and increase the fees. He suggested a series of meetings to sort through all the details. This might have helped his cash flow, but the client saw it as annoying. She also suspected his true intentions. He lost a client that day--not only for the will, but for some large property transfers she subsequently made.
Customers are not dummies. They come to you with a problem which they expect you to solve--whether it's to buy a dozen cookies or make that neck pain go away. They don't come to you to be manipulated.
Successful business people keep focused on the customer--not your own problems. Give them what they want and that will solve your problems.
You'll find many examples throughout these write-ups showing how to find and keep your clients/customers. It ain't rocket science, even with today's galloping technology. It's common sense and person to person relationships. Keep the focus.
from my personal experience--been there, done that.
Much has been said about customers--how to get them, how to make them happy, how to keep them coming back.
It bears repeating. Your customer is king.
Example: Early in my first business (graphic arts/printing), I received a call from a customer on Easter Sunday morning. (Yes, I gave out my personal phone number to customers.) He had a problem--a board meeting had been called suddenly for the next morning. He needed a booklet--designed, printed and delivered overnight. I did not hesitate--yes, we could do the job. A very hectic 24 hours followed, but the booklets were delivered to his boardroom before 7 a.m. the next morning to a happy customer. Later that week, I hand-delivered the invoice and he approved it immediately. Further, he had the payment check cut while we sat discussing another job he had in mind. Our relationship continued for many years.
Customers have problems of their own. Your business is best served when you solve their problems, on their terms, in their time frame.
Example: An attorney was engaged by a lady to draw up her will. She had some unusual requests, and the attorney listened patiently. But instead of leading the client through the problems, the attorney saw an opportunity to draw out the situation and increase the fees. He suggested a series of meetings to sort through all the details. This might have helped his cash flow, but the client saw it as annoying. She also suspected his true intentions. He lost a client that day--not only for the will, but for some large property transfers she subsequently made.
Customers are not dummies. They come to you with a problem which they expect you to solve--whether it's to buy a dozen cookies or make that neck pain go away. They don't come to you to be manipulated.
Successful business people keep focused on the customer--not your own problems. Give them what they want and that will solve your problems.
You'll find many examples throughout these write-ups showing how to find and keep your clients/customers. It ain't rocket science, even with today's galloping technology. It's common sense and person to person relationships. Keep the focus.
Tuesday, September 9, 2014
5 ways to promote
Free daily write-ups to help people in small business grow--
from my lifetime of experience starting, operating and expanding businesses.
All publicity is good. Whether it's positive or negative, publicity gets eyeballs on you and your business. Publicity of any kind gets the word out, keeps people talking about you.
Of course, if it's negative, you'll want to do some things to correct it. See other write-ups in this series on how to combat negative publicity.
I learned many years ago that publicity is a lot more than issuing a press release now and then. Here are five promotional techniques that have proven track records.
Events attract attention. Hold an anniversary party, offer free demonstrations of what you do, set up a free sample table, set up a tent and invite the whole town, schedule an open house, celebrate spring, get a band to come in and perform--or at least a guitar player, launch hot air balloon rides from the parking lot. The list is as long as your imagination. Events attract attention, bring people to you and get them talking about you and your operation.
Partner with another business. I know a chiropractor who partners with a fitness operation. They refer people back and forth and sometimes they come together to hold an event open to the public. It's an informal relationship that works with non-competing operations but who target many of the same customers. How about a restaurant and a garden center? A jewelry maker and a gift shop? A pet store with a veterinarian? Who is your target customer/client?
Network your way through the community. Join a networking group or the chamber of commerce, form a networking group of your own. Don't just pass out business cards--meet new people, engage them in conversation, get to know them in the 15 minutes you spend talking. Do this with no more than half a dozen at any meeting. Then follow up. Check out the MeetUp.com website for networking groups operating in your area--or form one of your own.
Facebook is an excellent way to promote your business. Snap a quick photo of what you do, your place of business, even a selfie and post it to your Facebook page. This is not an advertisement--rather, it goes to the heart of what an ad does. You are reminding people who you are. The 3 or 4 seconds a viewer sees you on Facebook can be more valuable than a $500 ad placed in a publication. Keep fresh photos going up on the Facebook page. You are building relationships with your public. Even publications use Facebook.
Volunteer for community activities or hold them yourself. Support local sports teams (bowling, billiards, baseball, soccer, etc.), support food banks and kids activities, blood drives, fund raisers, walks and races where part of the proceeds goes to disease research--or buy equipment for the local clinic or hospital. In other words, do good works. Your participation will return to you many times over.
Many opportunities are available to you to promote your business. Notice that there is not a single costly advertisement mentioned in these five promotional methods. You can promote with little or no money out of pocket--or you can spend the dollars you might have spent on an ad by holding an event.
Yeah. And send out a press release to your local paper. Just make sure you send it two or more weeks in advance of the event you're doing. They have deadlines, too.
You'll find many examples of promotional activities in the write-ups I've done. One is called "Spreading the Word" and another is "Partners in Business" and they cover all sorts of businesses--from lawyers to landscapers, bakeries to bookstores, teachers to therapists, salons to spas. Find yourself!
from my lifetime of experience starting, operating and expanding businesses.
All publicity is good. Whether it's positive or negative, publicity gets eyeballs on you and your business. Publicity of any kind gets the word out, keeps people talking about you.
Of course, if it's negative, you'll want to do some things to correct it. See other write-ups in this series on how to combat negative publicity.
I learned many years ago that publicity is a lot more than issuing a press release now and then. Here are five promotional techniques that have proven track records.
Events attract attention. Hold an anniversary party, offer free demonstrations of what you do, set up a free sample table, set up a tent and invite the whole town, schedule an open house, celebrate spring, get a band to come in and perform--or at least a guitar player, launch hot air balloon rides from the parking lot. The list is as long as your imagination. Events attract attention, bring people to you and get them talking about you and your operation.
Partner with another business. I know a chiropractor who partners with a fitness operation. They refer people back and forth and sometimes they come together to hold an event open to the public. It's an informal relationship that works with non-competing operations but who target many of the same customers. How about a restaurant and a garden center? A jewelry maker and a gift shop? A pet store with a veterinarian? Who is your target customer/client?
Network your way through the community. Join a networking group or the chamber of commerce, form a networking group of your own. Don't just pass out business cards--meet new people, engage them in conversation, get to know them in the 15 minutes you spend talking. Do this with no more than half a dozen at any meeting. Then follow up. Check out the MeetUp.com website for networking groups operating in your area--or form one of your own.
Facebook is an excellent way to promote your business. Snap a quick photo of what you do, your place of business, even a selfie and post it to your Facebook page. This is not an advertisement--rather, it goes to the heart of what an ad does. You are reminding people who you are. The 3 or 4 seconds a viewer sees you on Facebook can be more valuable than a $500 ad placed in a publication. Keep fresh photos going up on the Facebook page. You are building relationships with your public. Even publications use Facebook.
Volunteer for community activities or hold them yourself. Support local sports teams (bowling, billiards, baseball, soccer, etc.), support food banks and kids activities, blood drives, fund raisers, walks and races where part of the proceeds goes to disease research--or buy equipment for the local clinic or hospital. In other words, do good works. Your participation will return to you many times over.
Many opportunities are available to you to promote your business. Notice that there is not a single costly advertisement mentioned in these five promotional methods. You can promote with little or no money out of pocket--or you can spend the dollars you might have spent on an ad by holding an event.
Yeah. And send out a press release to your local paper. Just make sure you send it two or more weeks in advance of the event you're doing. They have deadlines, too.
You'll find many examples of promotional activities in the write-ups I've done. One is called "Spreading the Word" and another is "Partners in Business" and they cover all sorts of businesses--from lawyers to landscapers, bakeries to bookstores, teachers to therapists, salons to spas. Find yourself!
Monday, September 8, 2014
Referrals, referrals
Free daily tips, information, advice, ideas and real life examples
from my lifetime of experience starting, operating and growing small businesses.
All businesses get referrals. Referrals come to you on someone else's recommendation. It happens because people like to talk to each other.
These days, people are all over phones, emails, Facebook and more. They are texting each other. Communication between individuals has exploded. Think Angie's List, Instagram, LinkedIn and other social interactions.
The Internet offers many opportunities to reach out. Use it to go beyond your current customer/client base to put your business in front of others. But there's even more.
Example: Takesha opened her small neighborhood cafe offering meals based on family recipes. After the initial grand opening activity, business settled into a ho-hum routine. She knew that, if she could get more people through the door, they would become regulars--and bring even more. To spread the word, she had some special cards printed. One side showed a colorful picture of a plate overflowing with a meal. The other side was printed like a coupon--present the card and receive any menu item at half-price. The card was not to be used by the customer but passed to a friend, and there was an expiration date. Soon the cards began to come back in, and Takesha saw faces that she had not seen before. For the price of one half-priced meal, she doubled her customers, putting regulars to work in the field. She continues to use this method of getting referrals--not all the time, but at least twice each year.
This simple method can work in all sorts of businesses. Fitness centers, bakeries, salons, wellness centers, health food stores, garden centers, and others can use the coupon to put current customers to work--bringing them back, or introducing their friends to the operation.
Example: Robert runs a small construction company, handling projects building single family homes, clinics and professional offices. To grow, he actively follows up with clients on a regular basis. Two or three times each year, he calls or visits each of them, ferrets out any problems they might be having, nails down any expansions they might be planning--and asks for referrals. These follow-ups enhance Robert's reputation and keep his construction capabilities fresh in their minds. Dentists, doctors, accountants, lawyers and other business people know what's going on in the community, including upcoming construction opportunities, and they happily refer Robert to others. Robert has developed quite a referral network, and jobs regularly coming knocking at his door.
People naturally refer people to you. But you can do some simple things to keep the referrals moving faster.
Example: A more aggressive variation is practiced by Kristin. She runs a printing operation serving regional clients--businesses, colleges and professionals. Kristin makes it a point to call every one of her customers every 3 months asking for 3 referrals. It's an old tactic used in the insurance industry, and it works. That phone call reminds Kristin's customers of her capabilities and, asking for referrals, prompts the customers to pass the word around. Subsequently, Kristin calls each of the referrals, introduces herself, and asks if she might mail or email some information on her company--or make an in-person appointment. In the course of five years, Kristin has expanded her operation twice, attributing much to her pursuit of referrals. Sometimes this method works beautifully, other times, not so much. You're playing the odds here. But if you don't try, you have no chance at all.
When you call asking for referrals, begin by asking if there's anything they need. Only later in that conversation do you ask for referrals--names and contact information.
Referrals are the most important source of new business. Nothing else comes close by comparison. Throughout these write-ups I've talked about referrals. See "Increasing Referrals" and "Spreading the Word" and other earlier write-ups.
from my lifetime of experience starting, operating and growing small businesses.
All businesses get referrals. Referrals come to you on someone else's recommendation. It happens because people like to talk to each other.
These days, people are all over phones, emails, Facebook and more. They are texting each other. Communication between individuals has exploded. Think Angie's List, Instagram, LinkedIn and other social interactions.
The Internet offers many opportunities to reach out. Use it to go beyond your current customer/client base to put your business in front of others. But there's even more.
Example: Takesha opened her small neighborhood cafe offering meals based on family recipes. After the initial grand opening activity, business settled into a ho-hum routine. She knew that, if she could get more people through the door, they would become regulars--and bring even more. To spread the word, she had some special cards printed. One side showed a colorful picture of a plate overflowing with a meal. The other side was printed like a coupon--present the card and receive any menu item at half-price. The card was not to be used by the customer but passed to a friend, and there was an expiration date. Soon the cards began to come back in, and Takesha saw faces that she had not seen before. For the price of one half-priced meal, she doubled her customers, putting regulars to work in the field. She continues to use this method of getting referrals--not all the time, but at least twice each year.
This simple method can work in all sorts of businesses. Fitness centers, bakeries, salons, wellness centers, health food stores, garden centers, and others can use the coupon to put current customers to work--bringing them back, or introducing their friends to the operation.
Example: Robert runs a small construction company, handling projects building single family homes, clinics and professional offices. To grow, he actively follows up with clients on a regular basis. Two or three times each year, he calls or visits each of them, ferrets out any problems they might be having, nails down any expansions they might be planning--and asks for referrals. These follow-ups enhance Robert's reputation and keep his construction capabilities fresh in their minds. Dentists, doctors, accountants, lawyers and other business people know what's going on in the community, including upcoming construction opportunities, and they happily refer Robert to others. Robert has developed quite a referral network, and jobs regularly coming knocking at his door.
People naturally refer people to you. But you can do some simple things to keep the referrals moving faster.
Example: A more aggressive variation is practiced by Kristin. She runs a printing operation serving regional clients--businesses, colleges and professionals. Kristin makes it a point to call every one of her customers every 3 months asking for 3 referrals. It's an old tactic used in the insurance industry, and it works. That phone call reminds Kristin's customers of her capabilities and, asking for referrals, prompts the customers to pass the word around. Subsequently, Kristin calls each of the referrals, introduces herself, and asks if she might mail or email some information on her company--or make an in-person appointment. In the course of five years, Kristin has expanded her operation twice, attributing much to her pursuit of referrals. Sometimes this method works beautifully, other times, not so much. You're playing the odds here. But if you don't try, you have no chance at all.
When you call asking for referrals, begin by asking if there's anything they need. Only later in that conversation do you ask for referrals--names and contact information.
Referrals are the most important source of new business. Nothing else comes close by comparison. Throughout these write-ups I've talked about referrals. See "Increasing Referrals" and "Spreading the Word" and other earlier write-ups.
Friday, September 5, 2014
Bankruptcy
Free daily tips, information, advice to help you run your small business
from my personal experience in starting, operating and expanding my own.
When a business is struggling, many things can be done to rescue it. If that is where you are, see previous write-ups for ways to get your business back on a healthy course.
But sometimes a business can sour beyond repair. It might be the fault of the economy, or regulations, or technology, or your bad decisions. Whatever the fault, bankruptcy offers you an alternative.
You need to know what you're facing in bankruptcy. You need to educate yourself before you visit the bankruptcy lawyer.
Basically, there are two types of bankruptcy that you need to investigate. Chapter 7 is liquidation, and Chapter 13 is reorganization. But to get from here to there, do a Google search. You'll find tons of information, background and the differences that might apply to your situation.
That's if you're thinking of bankruptcy for your own business. Be forewarned, however, that your business can be on the receiving end of someone else's bankruptcy.
Example: Shelley ordered accessories for her dress shop from a small manufacturer/supplier--jewelry, scarves, handbags, and more. The invoice for the goods always arrived a few days later, giving Shelley 30 days to pay in full. Ten days after the latest delivery came, a court order arrived. The manufacturer had declared bankruptcy. and the court ordered all shipments be returned. Shelley had not paid for the accessories, and she had already sold some of them. Nevertheless, she was caught up in another's bankruptcy. It took time to straighten out the mess, but Shelley survived--and learned a valuable lesson. Never depend on a single manufacturer/supplier for a major portion of things you buy for resale. And always know the practices of bankruptcy courts in your area.
The ways in which laws are implemented can vary in different areas of the country. I do not recommend handling a bankruptcy yourself--you need to consult an attorney.
Example: Bill had a problem of a different sort. His printing business had gone downhill as technology marched ever onward. Bill had not stayed on top of advances in printing efficiency and productivity. Former customers left, finding cheaper alternatives elsewhere. Bill's business spiraled down, and finally he was forced to call a bankruptcy lawyer. The Chapter 13 proceedings (reorganization) took time, but Bill managed to save his business by getting it on a better footing. By concentrating on different types of customers, he gradually pulled the business out of the fire. Today, Bill's bankruptcy is behind him. Having gone through a near disaster, Bill is acutely aware of technological innovations in his industry, and he is determined that bankruptcy won't happen again.
Small businesses exist in a soup of economic changes and regulation. To thrive, business owners must be aware of what's going on around them.
Bankruptcy laws exist to give you a second chance. The time to avoid bankruptcy is before you arrive at the point of no return. Dust off your business plan. Whether you write it down or keep it in your head, a business plan can help you avoid bankruptcy.
Your business plan is your guide. Take a selfie now and then. Is your operation in line with your business plan? If not, rethink it. (See previous write-ups here on business plan fundamentals.)
from my personal experience in starting, operating and expanding my own.
When a business is struggling, many things can be done to rescue it. If that is where you are, see previous write-ups for ways to get your business back on a healthy course.
But sometimes a business can sour beyond repair. It might be the fault of the economy, or regulations, or technology, or your bad decisions. Whatever the fault, bankruptcy offers you an alternative.
You need to know what you're facing in bankruptcy. You need to educate yourself before you visit the bankruptcy lawyer.
Basically, there are two types of bankruptcy that you need to investigate. Chapter 7 is liquidation, and Chapter 13 is reorganization. But to get from here to there, do a Google search. You'll find tons of information, background and the differences that might apply to your situation.
That's if you're thinking of bankruptcy for your own business. Be forewarned, however, that your business can be on the receiving end of someone else's bankruptcy.
Example: Shelley ordered accessories for her dress shop from a small manufacturer/supplier--jewelry, scarves, handbags, and more. The invoice for the goods always arrived a few days later, giving Shelley 30 days to pay in full. Ten days after the latest delivery came, a court order arrived. The manufacturer had declared bankruptcy. and the court ordered all shipments be returned. Shelley had not paid for the accessories, and she had already sold some of them. Nevertheless, she was caught up in another's bankruptcy. It took time to straighten out the mess, but Shelley survived--and learned a valuable lesson. Never depend on a single manufacturer/supplier for a major portion of things you buy for resale. And always know the practices of bankruptcy courts in your area.
The ways in which laws are implemented can vary in different areas of the country. I do not recommend handling a bankruptcy yourself--you need to consult an attorney.
Example: Bill had a problem of a different sort. His printing business had gone downhill as technology marched ever onward. Bill had not stayed on top of advances in printing efficiency and productivity. Former customers left, finding cheaper alternatives elsewhere. Bill's business spiraled down, and finally he was forced to call a bankruptcy lawyer. The Chapter 13 proceedings (reorganization) took time, but Bill managed to save his business by getting it on a better footing. By concentrating on different types of customers, he gradually pulled the business out of the fire. Today, Bill's bankruptcy is behind him. Having gone through a near disaster, Bill is acutely aware of technological innovations in his industry, and he is determined that bankruptcy won't happen again.
Small businesses exist in a soup of economic changes and regulation. To thrive, business owners must be aware of what's going on around them.
Bankruptcy laws exist to give you a second chance. The time to avoid bankruptcy is before you arrive at the point of no return. Dust off your business plan. Whether you write it down or keep it in your head, a business plan can help you avoid bankruptcy.
Your business plan is your guide. Take a selfie now and then. Is your operation in line with your business plan? If not, rethink it. (See previous write-ups here on business plan fundamentals.)
Thursday, September 4, 2014
App or Facebook?
Free daily tips, information, ideas, advice and examples for people in small business
from a lifetime of personal experience in starting, operating and growing businesses of my own.
Finding and keeping customers is a constant concern in small business. Today's technology offers many options.
You can put up a website, post pictures on Facebook, spread the word via LinkedIn and other ways.
Or you can have your own app.
Example: I know a restaurant/bar that some time ago set up a phone-in system so that regulars could order ahead. When they arrived, their table was ready and the meal was served immediately. The lady who runs this restaurant is on top of today's galloping technology. She has arranged to set up an app for mobile phones to take ordering ahead to a whole new level. She has her eye firmly on customer convenience--and expanding in today's technology-savvy marketplace.
Many bigger companies try to reel in customers with apps on mobile phones. But the big boxes are still learning the ropes. Some to a good job, others do not.
Use of apps differs drastically from the use of a website. Content on websites is usually lengthy and requires some navigation. Content on apps is brief and to the point--or it should be.
Your customers will not waste their time on apps that are hard to navigate, that take multiple steps to get what they want, or that lose track of where they were when they interrupt the experience. It's all about them, not you.
Examples: Apps have exploded in popularity. If you're not quite ready to have your own app, consider Facebook. Facebook offers an easy to use alternative for small businesses. And it's free. I know dozens of businesses that have established their Facebook pages. The list is endless--restaurants, dress shops, pizza places, fitness centers, gift shops, chiropractors, holistic practitioners, auto repairers, ice cream emporiums, galleries, artists, artisans, and more. Quick pictures can be uploaded to your Facebook page to attract customers--and referrals.
If you want to take advantage of using your own app, then by all means go for it. But if you want an easier alternative for the time being, use the Facebook route.
You face many choices when you run a small business. I know--I've been there and done that. Just keep your goal always in mind. And never give up!
from a lifetime of personal experience in starting, operating and growing businesses of my own.
Finding and keeping customers is a constant concern in small business. Today's technology offers many options.
You can put up a website, post pictures on Facebook, spread the word via LinkedIn and other ways.
Or you can have your own app.
Example: I know a restaurant/bar that some time ago set up a phone-in system so that regulars could order ahead. When they arrived, their table was ready and the meal was served immediately. The lady who runs this restaurant is on top of today's galloping technology. She has arranged to set up an app for mobile phones to take ordering ahead to a whole new level. She has her eye firmly on customer convenience--and expanding in today's technology-savvy marketplace.
Many bigger companies try to reel in customers with apps on mobile phones. But the big boxes are still learning the ropes. Some to a good job, others do not.
Use of apps differs drastically from the use of a website. Content on websites is usually lengthy and requires some navigation. Content on apps is brief and to the point--or it should be.
Your customers will not waste their time on apps that are hard to navigate, that take multiple steps to get what they want, or that lose track of where they were when they interrupt the experience. It's all about them, not you.
Examples: Apps have exploded in popularity. If you're not quite ready to have your own app, consider Facebook. Facebook offers an easy to use alternative for small businesses. And it's free. I know dozens of businesses that have established their Facebook pages. The list is endless--restaurants, dress shops, pizza places, fitness centers, gift shops, chiropractors, holistic practitioners, auto repairers, ice cream emporiums, galleries, artists, artisans, and more. Quick pictures can be uploaded to your Facebook page to attract customers--and referrals.
If you want to take advantage of using your own app, then by all means go for it. But if you want an easier alternative for the time being, use the Facebook route.
You face many choices when you run a small business. I know--I've been there and done that. Just keep your goal always in mind. And never give up!
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