Free daily advice for people in small business
from someone who has been there, done that.
Referrals bring in the best new clients and customers. No matter your business, you love it when a referral shows up.
The reason has to do with your reputation. Some existing client or customer has talked about you and your business to another person. And the talk must have been in glowing terms.
It's the whole reason that Angie's List works. There, people write up their experiences with dentists, landscapers, plumbers, and other community businesses. These recommendations by others set your mind at ease, and you make the call.
Referrals are a natural extension of human interaction. When you've had a good experience with a local cabinet maker, you want to share that with friends and neighbors. You discuss it in a conversation, and that person is now more likely to call the cabinet maker you reported on.
So, referrals naturally take place. The problem for the small business becomes How do you promote the referral process?
I have personally used a method to great success in promoting the referral process. It is not original with me, but I explored and refined the process over dozens of years.
Basically, you keep a running list of contact information for your present clients and customers. This can be phone numbers and/or email addresses.
Once every three months or so, make it a point to contact each individually. If you can meet personally, it's even better. Current clients and customers represent a gold mine of new business.
When you make these contacts, ask for three referrals--other people's names and contact information. Ask if you can use your client's or customer's name when you contact these referrals. I have found that people gladly give their permission.
Then you call or email or personally see each of the referrals. Tell them who referred them. Ask if you can send them more information.
This is not the time for a hard sell. It's soft and fuzzy. It's based on that third party who got you two together, and you are going in on that third party's reputation.
You're expanding your circle of business friends. It might result in future business for you, or it might not. Sometimes, I've found that the referral did not become a customer, but that they in turn referred someone else who did.
In any case, you will be increasing (and enhancing) your reputation in the community you serve. I used this method for many years before Angie's List arrived on the scene. When you put this method to work in your business, you will be developing your very own Angie's List.
Questions? Email me direct at AlWarr16@gmail.com and put BLOG in the subject line.
I am retired now, and I am not selling anything. Your privacy is always respected.
Wednesday, May 7, 2014
Tuesday, May 6, 2014
It's free!
Free daily advice for people in small business
from someone who has been there, done that.
You've heard it. It's everywhere.
The picture of a product bursts across your screen. You've never seen it or heard of it. But the voice is telling you that you cannot live without it.
"But wait! We'll double the offer. You get two for the price of one."
It's a variation on the "free" theme. And it works--much of the time.
No matter how many times we hear the word "free" it move us. It's a magic word.
People running small businesses should be using the "free" word. You don't have to sell on television or mobile devices to take advantage of this.
Example: A fitness operation can set up a free introductory session. People can come to the gym, meet a trainer, discuss a particular interest or problem, and maybe sign up. The same holds for yoga and other holistic practitioners. It is an hour well spent by the business. Even if the potential client doesn't sign up, a good impression results. And the word spreads in the community.
Example: I've run into construction outfits and home improvement businesses that charge a fee for an estimate. The company's reasoning is that it costs them to send out an estimator. In today's world, this leaves a bad impression. Estimates for work to be done should be free. People expect it. Put the word out that your estimates are free, and you separate your business from those that charge for estimates.
Example: Offer free workshops, seminars, information sessions, open houses, and the like. People are hungry for information and will attend free sessions. Chiropractors can explain just what chiropractic is--and offer free demonstrations. Music and dance studios can show just what classical, modern, hip hop and jazz is all about and how they differ. Restaurants can hold cooking classes. Accountants can talk about taxes--always a concern for small business owners. Any place offering food can set up a free sample table.
I've discussed in previous blogs additional ways small businesses can use "free" to attract attention. Put on your thinking cap and figure out how you can use "free" to broaden your client or customer base. Your operation is a very unique expression of yourself. And "free" helps get the word out.
Questions? Email me direct at AlWarr16@gmail.com and put BLOG in the subject line.
I am retired and I am not selling anything. Your privacy is always respected.
from someone who has been there, done that.
You've heard it. It's everywhere.
The picture of a product bursts across your screen. You've never seen it or heard of it. But the voice is telling you that you cannot live without it.
"But wait! We'll double the offer. You get two for the price of one."
It's a variation on the "free" theme. And it works--much of the time.
No matter how many times we hear the word "free" it move us. It's a magic word.
People running small businesses should be using the "free" word. You don't have to sell on television or mobile devices to take advantage of this.
Example: A fitness operation can set up a free introductory session. People can come to the gym, meet a trainer, discuss a particular interest or problem, and maybe sign up. The same holds for yoga and other holistic practitioners. It is an hour well spent by the business. Even if the potential client doesn't sign up, a good impression results. And the word spreads in the community.
Example: I've run into construction outfits and home improvement businesses that charge a fee for an estimate. The company's reasoning is that it costs them to send out an estimator. In today's world, this leaves a bad impression. Estimates for work to be done should be free. People expect it. Put the word out that your estimates are free, and you separate your business from those that charge for estimates.
Example: Offer free workshops, seminars, information sessions, open houses, and the like. People are hungry for information and will attend free sessions. Chiropractors can explain just what chiropractic is--and offer free demonstrations. Music and dance studios can show just what classical, modern, hip hop and jazz is all about and how they differ. Restaurants can hold cooking classes. Accountants can talk about taxes--always a concern for small business owners. Any place offering food can set up a free sample table.
I've discussed in previous blogs additional ways small businesses can use "free" to attract attention. Put on your thinking cap and figure out how you can use "free" to broaden your client or customer base. Your operation is a very unique expression of yourself. And "free" helps get the word out.
Questions? Email me direct at AlWarr16@gmail.com and put BLOG in the subject line.
I am retired and I am not selling anything. Your privacy is always respected.
Monday, May 5, 2014
Fear of failure
Free daily advice for people in small business
from someone who has been there, done that.
When you are running a small business, you know that many of the things you try will result in failure. It's just a fact of life. Not everything you do will be met with glowing success.
But failure is related to magnitude. The bigger the step, the more hesitant we are in taking it.
Not so with small steps. The baker who tries out a new icing recipe on cupcakes is taking a small step. The greenhouse grower who tries out a new seed strain is taking a small step. The cafe that offers a new green eggs and ham breakfast is taking a small step.
In business, you are continually taking small steps to improve. You make adjustments in product lines, in customer service, in how you manage the operation. Some of these work, others don't.
Never fear failing. It goes to basics.
Failing means you have taken a risk. And risk is all around you, all the time.
When you step out of the front door, you can be hit with a pot of flowers falling from above. When you drive to the store, you can be hit by another vehicle.
Our society tends to grapple with this by passing more and more laws. I'm sure that there are statistics showing that seat belt laws have had profound effects in reducing injuries. But it was not the law that did this. It was the awareness in the public's mind. In this sense, the law replaced education.
Educators adopt all sorts of strategies to avoid educating kids. The realities of life have been abandoned in favor of teaching the latest theory. Self esteem, for example, cannot be taught--it wells up inside us when we accomplish something. Self esteem is not a teachable goal. It is a by-product of personal accomplishment.
You are brimful of self esteem when you see your small business getting off the ground. Yes, you still tackle daily problems. Yes, you still worry about the future. But seeing the baby crawl and then begin to walk is amazing.
Taking risks is what life if all about. If your mother had not taken the risk of carrying you to term, you wouldn't have been born.
Likewise, if you had not taken the risk of failing, you wouldn't be in business.
But a funny thing happens along the way. We get into business, and then we begin to fear failing. We continue to take the little risks--nibbling around the edges of our business. But we don't take the big steps to expand and grow for fear of failure.
The key is this--never take unnecessary risks, and before taking that giant step, think through what you're about to do. That fear of failure can serve you well. Just don't let it keep you from taking the big risks.
Questions? Email me direct at AlWarr16@gmail.com and put BLOG in the subject line.
I am retired and I am not selling anything. Your privacy is always respected.
from someone who has been there, done that.
When you are running a small business, you know that many of the things you try will result in failure. It's just a fact of life. Not everything you do will be met with glowing success.
But failure is related to magnitude. The bigger the step, the more hesitant we are in taking it.
Not so with small steps. The baker who tries out a new icing recipe on cupcakes is taking a small step. The greenhouse grower who tries out a new seed strain is taking a small step. The cafe that offers a new green eggs and ham breakfast is taking a small step.
In business, you are continually taking small steps to improve. You make adjustments in product lines, in customer service, in how you manage the operation. Some of these work, others don't.
Never fear failing. It goes to basics.
Failing means you have taken a risk. And risk is all around you, all the time.
When you step out of the front door, you can be hit with a pot of flowers falling from above. When you drive to the store, you can be hit by another vehicle.
Our society tends to grapple with this by passing more and more laws. I'm sure that there are statistics showing that seat belt laws have had profound effects in reducing injuries. But it was not the law that did this. It was the awareness in the public's mind. In this sense, the law replaced education.
Educators adopt all sorts of strategies to avoid educating kids. The realities of life have been abandoned in favor of teaching the latest theory. Self esteem, for example, cannot be taught--it wells up inside us when we accomplish something. Self esteem is not a teachable goal. It is a by-product of personal accomplishment.
You are brimful of self esteem when you see your small business getting off the ground. Yes, you still tackle daily problems. Yes, you still worry about the future. But seeing the baby crawl and then begin to walk is amazing.
Taking risks is what life if all about. If your mother had not taken the risk of carrying you to term, you wouldn't have been born.
Likewise, if you had not taken the risk of failing, you wouldn't be in business.
But a funny thing happens along the way. We get into business, and then we begin to fear failing. We continue to take the little risks--nibbling around the edges of our business. But we don't take the big steps to expand and grow for fear of failure.
The key is this--never take unnecessary risks, and before taking that giant step, think through what you're about to do. That fear of failure can serve you well. Just don't let it keep you from taking the big risks.
Questions? Email me direct at AlWarr16@gmail.com and put BLOG in the subject line.
I am retired and I am not selling anything. Your privacy is always respected.
Friday, May 2, 2014
Accounts receivable
Free daily advice for people in small business
from someone who has been there, done that.
Many small businesses sell to other businesses, companies, corporations and other big time operators.
You work hard to get these accounts. And you work even harder to keep them happy.
Getting paid, however, can become a problem with big accounts. They frequently don't pay on time.
I once had a serious conversation with a senior vice president at a major corporation about this. His company was three months in arrears and still ordering. Exasperated, I blurted out that I was not in the business of financing his company. That was it. I had put my finger on the problem in a way that he understood. By continuing to furnish his company the materials they ordered from me, and, at the same time, not being paid in a timely manner, I was providing financing.
In a very small way, my small business was acting like a bank for his corporation. Big companies do this all the time with their small suppliers.
If you are having a similar problem, consider trying one of these solutions.
1. Change your terms. Offer a 2% discount for payment within a short period of time (10 days, 30 days, or whatever you decide). When invoices arrive at a big company's accounts payable department, those offering discounts get attention right away. It's a way of prioritizing your invoice in their system.
2. Set up progress payments. If you are providing a service based on significant inputs of labor/materials, set up contractual milestones that trigger partial payments on the overall project. As project phases are completed, send the appropriate invoice, referencing the negotiated contract.
3. When dealing with a buyer who is "lost" in the corporate structure of a big company, it's useful to develop a close and continuing relationship. A face-to-face conversation about timely payments will frequently get positive results. Key here is the relationship you develop.
Small businesses that sell to big companies have a valued customer. But the relationship must be carefully nurtured and managed--particularly with regard to accounts receivable.
Questions? Email me direct at AlWarr16@gmail.com and put BLOG in the subject line.
I am retired and I am not selling anything. Your privacy always respected.
from someone who has been there, done that.
Many small businesses sell to other businesses, companies, corporations and other big time operators.
You work hard to get these accounts. And you work even harder to keep them happy.
Getting paid, however, can become a problem with big accounts. They frequently don't pay on time.
I once had a serious conversation with a senior vice president at a major corporation about this. His company was three months in arrears and still ordering. Exasperated, I blurted out that I was not in the business of financing his company. That was it. I had put my finger on the problem in a way that he understood. By continuing to furnish his company the materials they ordered from me, and, at the same time, not being paid in a timely manner, I was providing financing.
In a very small way, my small business was acting like a bank for his corporation. Big companies do this all the time with their small suppliers.
If you are having a similar problem, consider trying one of these solutions.
1. Change your terms. Offer a 2% discount for payment within a short period of time (10 days, 30 days, or whatever you decide). When invoices arrive at a big company's accounts payable department, those offering discounts get attention right away. It's a way of prioritizing your invoice in their system.
2. Set up progress payments. If you are providing a service based on significant inputs of labor/materials, set up contractual milestones that trigger partial payments on the overall project. As project phases are completed, send the appropriate invoice, referencing the negotiated contract.
3. When dealing with a buyer who is "lost" in the corporate structure of a big company, it's useful to develop a close and continuing relationship. A face-to-face conversation about timely payments will frequently get positive results. Key here is the relationship you develop.
Small businesses that sell to big companies have a valued customer. But the relationship must be carefully nurtured and managed--particularly with regard to accounts receivable.
Questions? Email me direct at AlWarr16@gmail.com and put BLOG in the subject line.
I am retired and I am not selling anything. Your privacy always respected.
Thursday, May 1, 2014
Holiday promotions
Free daily advice for people in small business
from someone who has been there, done that.
Holidays are opportunities to promote your business. But you must think outside the box.
The public has become accustomed to flowers at Mother's Day and pumpkins at Halloween. Holiday promotions that still cling to cliches no longer attract attention. At least, not the attention you deserve in your small business.
Florists must see to business all year, not just at Mother's Day. Party stores also need to attract customers for birthday celebrations, and these can occur every day.
One way to get out of the holiday promotions rut is to think ahead. You do this anyway in the normal worrying about your business. So why not plan ahead for holiday promotions?
Example: A florist I know concentrates on promoting his design capabilities. Of course, beautiful designs are available for your special mom on her day. So his emails and Facebook pictures do double duty far ahead of Mother's Day. Beginning in March, he reaches out to customers, reminding them of fresh designs to meet their needs--birthdays, anniversaries, corporate meetings, etc. And, of yes, remember Mother's Day is coming up.
Today's advertising is much more than an ad in the local newspaper. And it's more than a special reminder of an upcoming special day. The Internet has seen to this, and there ain't no goin' back!
Example: An ice cream parlor (yes, they still exist) devotes most of its space to special events the customers hold there. Birthdays, anniversaries, corporate meetings, etc. are more fun when held at an old fashioned ice cream parlor. Of course, the place is updated--with frozen yogurt, sugar-less concoctions, biscotti and lattes all around. Instead of just a summer-time destination, the place hops all year. The ice cream has receded, but it contributes to the special ambiance which brings customers back. And back.
Thinking outside the box can help you with promotions. You can start with any holiday, and then take it to the next level. Concentrate on the excitement that brings people back--you can build it around a special holiday, but the holiday is not the chief reason for the event.
Example: I know an Internet-based operation built entirely around brownies. They will ship brownies anywhere. There is no brick-and-mortar store. Only Internet orders are filled. They regularly send out emails to former customers. The email consists of three words: "Time for brownies?" And a picture of a scrumptious, chocolaty, nut-filled brownie. That's it. Who could resist ordering for any holiday? Or for no reason at all?
With holiday promotions, remember that you and your business are reason enough for the holiday, not the calendar. Just do it. Find your own way.
Questions? Email me direct at AlWarr16@gmail.com and put BLOG in the subject line.
I am retired and I am not selling anything. Your privacy always respected.
from someone who has been there, done that.
Holidays are opportunities to promote your business. But you must think outside the box.
The public has become accustomed to flowers at Mother's Day and pumpkins at Halloween. Holiday promotions that still cling to cliches no longer attract attention. At least, not the attention you deserve in your small business.
Florists must see to business all year, not just at Mother's Day. Party stores also need to attract customers for birthday celebrations, and these can occur every day.
One way to get out of the holiday promotions rut is to think ahead. You do this anyway in the normal worrying about your business. So why not plan ahead for holiday promotions?
Example: A florist I know concentrates on promoting his design capabilities. Of course, beautiful designs are available for your special mom on her day. So his emails and Facebook pictures do double duty far ahead of Mother's Day. Beginning in March, he reaches out to customers, reminding them of fresh designs to meet their needs--birthdays, anniversaries, corporate meetings, etc. And, of yes, remember Mother's Day is coming up.
Today's advertising is much more than an ad in the local newspaper. And it's more than a special reminder of an upcoming special day. The Internet has seen to this, and there ain't no goin' back!
Example: An ice cream parlor (yes, they still exist) devotes most of its space to special events the customers hold there. Birthdays, anniversaries, corporate meetings, etc. are more fun when held at an old fashioned ice cream parlor. Of course, the place is updated--with frozen yogurt, sugar-less concoctions, biscotti and lattes all around. Instead of just a summer-time destination, the place hops all year. The ice cream has receded, but it contributes to the special ambiance which brings customers back. And back.
Thinking outside the box can help you with promotions. You can start with any holiday, and then take it to the next level. Concentrate on the excitement that brings people back--you can build it around a special holiday, but the holiday is not the chief reason for the event.
Example: I know an Internet-based operation built entirely around brownies. They will ship brownies anywhere. There is no brick-and-mortar store. Only Internet orders are filled. They regularly send out emails to former customers. The email consists of three words: "Time for brownies?" And a picture of a scrumptious, chocolaty, nut-filled brownie. That's it. Who could resist ordering for any holiday? Or for no reason at all?
With holiday promotions, remember that you and your business are reason enough for the holiday, not the calendar. Just do it. Find your own way.
Questions? Email me direct at AlWarr16@gmail.com and put BLOG in the subject line.
I am retired and I am not selling anything. Your privacy always respected.
Wednesday, April 30, 2014
Facebook pictures
Free daily advice for people in small business
from someone who has been there, done that.
There's just no doubt about it. Facebook is a godsend for small business.
More and more small-business people are using Facebook. It is a giant leap forward for an operation trying to grow. And it is so easy to use.
Example: The owner of a local landscaping business is driving to a job. He spies a clump of daffodils, the first flowers of spring. They are catching rays of sunshine as they nod in front of a stone wall. He stops, gets out of his truck, points his camera and snaps a close-up picture. A couple more clicks and the picture appears on his Facebook page. Customers smile as they sip their morning coffee, and they call the landscaper to schedule some work.
Facebook and smart phones are revolutionizing small business. The process of reaching out to existing and potential customers has become very easy, quick, and inexpensive.
Example: An attorney volunteered to speak to a local club. She specialized in helping businesses solve legal problems. At the end of her talk, she asked for permission to take some pictures of the audience--saying that she wanted to post them on Facebook. No one objected, so she snapped several shots of people sitting at rapt attention and uploaded to Facebook. Later that day, several people called, requesting appointments.
Pictures posted on Facebook need not be made by a professional photographer. In fact, a case can be made that stylized and doctored pictures don't work as well as those made by amateurs. You are capturing a moment that conveys a good feeling. And your business tags along.
Example: I know a gift shop owner who reaches out to artists and artisans, helping them find buyers for their works. The owner displays the works in her shop, but more importantly, she photographs each new item and posts it on Facebook. She receives dozens of items each week. and photographs each separately. Every day, new pictures go up--a piece of gold jewelry, a glazed pot, a painted silk scarf, a turned wooden bowl. Customers get in the habit of checking this Facebook page daily--and they tell their friends.
Pictures always attract attention. Pictures taken on the run, or in a meeting, or those of specific items you are offering for sale--all these can be used in small business.
If you are not posting pictures on Facebook, you are missing business opportunities. Do it.
Questions? Email me direct at AlWarr16@gmail.com and put BLOG in the subject line.
I am retired. I am not selling anything. Your privacy always respected.
from someone who has been there, done that.
There's just no doubt about it. Facebook is a godsend for small business.
More and more small-business people are using Facebook. It is a giant leap forward for an operation trying to grow. And it is so easy to use.
Example: The owner of a local landscaping business is driving to a job. He spies a clump of daffodils, the first flowers of spring. They are catching rays of sunshine as they nod in front of a stone wall. He stops, gets out of his truck, points his camera and snaps a close-up picture. A couple more clicks and the picture appears on his Facebook page. Customers smile as they sip their morning coffee, and they call the landscaper to schedule some work.
Facebook and smart phones are revolutionizing small business. The process of reaching out to existing and potential customers has become very easy, quick, and inexpensive.
Example: An attorney volunteered to speak to a local club. She specialized in helping businesses solve legal problems. At the end of her talk, she asked for permission to take some pictures of the audience--saying that she wanted to post them on Facebook. No one objected, so she snapped several shots of people sitting at rapt attention and uploaded to Facebook. Later that day, several people called, requesting appointments.
Pictures posted on Facebook need not be made by a professional photographer. In fact, a case can be made that stylized and doctored pictures don't work as well as those made by amateurs. You are capturing a moment that conveys a good feeling. And your business tags along.
Example: I know a gift shop owner who reaches out to artists and artisans, helping them find buyers for their works. The owner displays the works in her shop, but more importantly, she photographs each new item and posts it on Facebook. She receives dozens of items each week. and photographs each separately. Every day, new pictures go up--a piece of gold jewelry, a glazed pot, a painted silk scarf, a turned wooden bowl. Customers get in the habit of checking this Facebook page daily--and they tell their friends.
Pictures always attract attention. Pictures taken on the run, or in a meeting, or those of specific items you are offering for sale--all these can be used in small business.
If you are not posting pictures on Facebook, you are missing business opportunities. Do it.
Questions? Email me direct at AlWarr16@gmail.com and put BLOG in the subject line.
I am retired. I am not selling anything. Your privacy always respected.
Tuesday, April 29, 2014
Scary small print
Free daily advice for people in small business
from someone who has been there, done that.
Every one of us has done it. We download software, and we click the yes button that we agree to the terms and conditions.
The truth of the matter is we have not read the terms and conditions. We have no idea what's in the small print.
It is never a good idea to sign a legal document without reading it. Yet, we do it all the time. Software aside, how about a long-term lease for space?
Example: A business owner I know was so anxious to get her business moved into a more desirable location, she signed the lease without reading all the small print. Soon, she began receiving bills for electricity and natural gas amounting to more than the monthly rental. Both were used to heat the space, and the bills came from the landlord--not the utility companies. She had an expensive mess on her hands--with no way out but to pay.
Example: A holistic counselor rented a small office in a professional building without reading the fine print in the lease. Turns out the lease stated that this business agreed to expand into the adjoining office space as it became available. Several months later, the business next door suddenly vacated their space. The holistic counselor was notified that the new monthly rental would triple. Fortunately, this landlord was accommodating and let the holistic counselor out of the lease--writing a completely new one.
People in business learn quickly that a lease is a legal document. Signing a lease without reading it--and understanding it--can be dangerous. The danger usually lies in the scary small print.
Before signing to any legal document, it is a good idea to run it past an attorney. Language you and I use every day can mean something entirely different in court. Of course, an attorney looks for the legalities. You, as a business person, must look for the business aspects.
Questions? Email me direct at AlWarr16@gmail.com and put BLOG in the subject line.
I am retired and I am not selling anything. Your privacy is always respected.
from someone who has been there, done that.
Every one of us has done it. We download software, and we click the yes button that we agree to the terms and conditions.
The truth of the matter is we have not read the terms and conditions. We have no idea what's in the small print.
It is never a good idea to sign a legal document without reading it. Yet, we do it all the time. Software aside, how about a long-term lease for space?
Example: A business owner I know was so anxious to get her business moved into a more desirable location, she signed the lease without reading all the small print. Soon, she began receiving bills for electricity and natural gas amounting to more than the monthly rental. Both were used to heat the space, and the bills came from the landlord--not the utility companies. She had an expensive mess on her hands--with no way out but to pay.
Example: A holistic counselor rented a small office in a professional building without reading the fine print in the lease. Turns out the lease stated that this business agreed to expand into the adjoining office space as it became available. Several months later, the business next door suddenly vacated their space. The holistic counselor was notified that the new monthly rental would triple. Fortunately, this landlord was accommodating and let the holistic counselor out of the lease--writing a completely new one.
People in business learn quickly that a lease is a legal document. Signing a lease without reading it--and understanding it--can be dangerous. The danger usually lies in the scary small print.
Before signing to any legal document, it is a good idea to run it past an attorney. Language you and I use every day can mean something entirely different in court. Of course, an attorney looks for the legalities. You, as a business person, must look for the business aspects.
Questions? Email me direct at AlWarr16@gmail.com and put BLOG in the subject line.
I am retired and I am not selling anything. Your privacy is always respected.
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