Free daily tips, information, advice and ideas
to help you better manage your small business.
Business owners face many decisions. It's an everyday activity that you do without much thought.
Six streets come together to form a big intersection near my home. One street leads to downtown. Another goes off to the Interstate highway. A third will take me to the supermarket. The others disappear into local neighborhoods.
Approaching this intersection, you must know ahead of time where you want to go. Waiting until you get there is not a good option.
So it is with business decisions. You frequently face big--and unexpected--intersections.
Example: Sue designs women's clothing. As a child she learned to sew and made multiple outfits for dolls. She went on to get a degree in design and established her business following a detailed business plan she had developed. When she got a proposal to join a major corporation heading up the company's design team, Sue turned it down without a second thought. When another company offered Sue a big contract to produce the company's line of fashions, she declined. Both of these offers would have led Sue into areas inconsistent with her plan to build her own dream business.
Example: Steve is an attorney who joined a big law firm. Dissatisfied, Steve left the firm and tacked his shingle to the door of his own small office. He saw an opportunity to become the go-to attorney for workers compensation cases. It has proved to be a valuable basis for his new practice. He handles other cases, but his dream is being realized.
Example: Marta is a second generation Italian-American. When she discovered that she was gluten intolerant, she went into action. From family contacts, Marta found that wheat flours from Italy did not affect her digestion. She made arrangements to import Italian flour and she offered these on her new website. She expanded by offering Italian cheeses, spices, even tomatoes. Marta supplies specialty food stores, restaurants and private parties. Now she is coming to a fork in the road. To grow to the next level, Marta will need a significant cash infusion. She could sell out to a big company, or go the investor route, or she could continue and grow more slowly. Marta is at a crossroads.
Your business plan helps you decide ahead of time which street you take when the intersection looms. The basic decision is still yours.
Thursday, October 1, 2015
Wednesday, September 30, 2015
Expand with rentals
Free daily tips, information, advice and ideas
to help you better manage your small business
Rentals and rental related services are everywhere. We are a rental society. Rentals by other names pervade our daily lives.
People regularly rent apartments and vehicles. Rentals are available in movies, furniture, phone services, software, even costumes and dance floors. Even clothing, DJs and bands.
When you hail a taxi or call Uber, you are renting a ride. When you take your vehicle for repairs, you are renting expertise. When you get a massage from a therapist, you are renting expert services. And when you hire a landscaper or a plumber, you are renting a professional.
Example: Ray runs a local computer services firm. He installs new software for small businesses and trains employees to use it. When Ray convinced a client that a new computer system was needed to handle an expansion, the client asked Ray if he could rent the new setup. Quick thinking resulted in Ray's expanding into the computer rental business. Today, Ray's own growth is substantial--in rentals.
Example: Don loves the theater, but he is not an actor. His main interest is centered around set construction, props and stages. He turned his passion into a business--rentals of all the things needed for theater productions, corporate exhibits, organizational meetings, business dinners, and, of course, theater productions by community groups, high schools, bands and caterers. He has a warehouse filled with all sorts of spectacular props that clients eagerly seek. Sometimes he sells props, but his main business is rentals.
Example: Jeanie runs a flower shop. She specializes in fresh flowers and silk arrangements--selling to walk-in customers. She expanded her business when she began renting silk flower arrangements to banks, clinics, and corporations. She charges a monthly fee to place her flowers in offices and lobbies. She is now considering expanding her rental business to offer large containers of live green plants.
Many businesses can enhance the bottom line by offering rentals. Restaurant dining rooms can be rented to others for their meetings, or the restaurant can rent out the kitchen to aspiring bakers when the ovens are not being used. Artists and artisans can rent their works to others. Even maintenance contracts are a form of renting the on-going services by professionals. A new trend sees business women renting dressy outfits.
Put on your thinking cap. Adding rentals to your business offerings might be a quick way to enhance your bottom line.
to help you better manage your small business
Rentals and rental related services are everywhere. We are a rental society. Rentals by other names pervade our daily lives.
People regularly rent apartments and vehicles. Rentals are available in movies, furniture, phone services, software, even costumes and dance floors. Even clothing, DJs and bands.
When you hail a taxi or call Uber, you are renting a ride. When you take your vehicle for repairs, you are renting expertise. When you get a massage from a therapist, you are renting expert services. And when you hire a landscaper or a plumber, you are renting a professional.
Example: Ray runs a local computer services firm. He installs new software for small businesses and trains employees to use it. When Ray convinced a client that a new computer system was needed to handle an expansion, the client asked Ray if he could rent the new setup. Quick thinking resulted in Ray's expanding into the computer rental business. Today, Ray's own growth is substantial--in rentals.
Example: Don loves the theater, but he is not an actor. His main interest is centered around set construction, props and stages. He turned his passion into a business--rentals of all the things needed for theater productions, corporate exhibits, organizational meetings, business dinners, and, of course, theater productions by community groups, high schools, bands and caterers. He has a warehouse filled with all sorts of spectacular props that clients eagerly seek. Sometimes he sells props, but his main business is rentals.
Example: Jeanie runs a flower shop. She specializes in fresh flowers and silk arrangements--selling to walk-in customers. She expanded her business when she began renting silk flower arrangements to banks, clinics, and corporations. She charges a monthly fee to place her flowers in offices and lobbies. She is now considering expanding her rental business to offer large containers of live green plants.
Many businesses can enhance the bottom line by offering rentals. Restaurant dining rooms can be rented to others for their meetings, or the restaurant can rent out the kitchen to aspiring bakers when the ovens are not being used. Artists and artisans can rent their works to others. Even maintenance contracts are a form of renting the on-going services by professionals. A new trend sees business women renting dressy outfits.
Put on your thinking cap. Adding rentals to your business offerings might be a quick way to enhance your bottom line.
Tuesday, September 29, 2015
Pathways to growth
Free daily tips, information, advice and ideas
to help you better manage your small business
Key employees are just that. They are key to building a business, keeping it healthy, expanding into the future. You are key. But you cannot do everything.
Small business owners who want to propel their operations into the big time frequently look outside for talented individuals. It's a matter of complementing internal capabilities.
Example: Jim runs a small firm specializing in solving the many technological difficulties experienced by small businesses when they attempt to promote their business on multiple social media platforms. (Whew!) To say it's complicated is an understatement. Many prospective clients do not understand the value of Jim's service when he attempts to sell his programs to them. Recognizing that he himself is lost in the weeds of technology, Jim hired Mary to pitch the service to prospective clients. Instead of concentrating on the technical aspects of Jim's services, Mary used her past experiences in small businesses of her own to "speak the language" of her targets. She concentrated more on the end game of growth and expansion than on the intricacies of social media platforms. She is adding more clients to Jim's firm.
Example: Bob runs a small printing operation. His interests are in providing the best end products, in satisfying his customers in a timely manner, and in staying on top of the latest technological developments in the printing industry. Bob let the business grow by the natural referral process--because he had little interest or time to sell his service. To kick his business up to the next level, Bob began searching for a suitable partner--someone who could fill the gap in marketing and sales. He found Ted and brought him on board. Ted was a printing broker with a client following. His clients placed orders with him and he arranged the actual printing with various printers in the area. When Ted joined with Bob, many more clients were quickly being served in the new operation. Together, the two of them embarked on building a much bigger operation than either could have done separately.
You can complement--and build--your business by looking for complementary people. But it can be much more than adding people.
Pathways to growth are many and varied. Additional services can enhance your appeal in the marketplace. Additional product lines can extend your reach in the community. Adding social media can explode your growth potential.
Whatever you do on your pathway to growth, do not neglect customer service. Give them what they want, when they want it, no questions asked.
to help you better manage your small business
Key employees are just that. They are key to building a business, keeping it healthy, expanding into the future. You are key. But you cannot do everything.
Small business owners who want to propel their operations into the big time frequently look outside for talented individuals. It's a matter of complementing internal capabilities.
Example: Jim runs a small firm specializing in solving the many technological difficulties experienced by small businesses when they attempt to promote their business on multiple social media platforms. (Whew!) To say it's complicated is an understatement. Many prospective clients do not understand the value of Jim's service when he attempts to sell his programs to them. Recognizing that he himself is lost in the weeds of technology, Jim hired Mary to pitch the service to prospective clients. Instead of concentrating on the technical aspects of Jim's services, Mary used her past experiences in small businesses of her own to "speak the language" of her targets. She concentrated more on the end game of growth and expansion than on the intricacies of social media platforms. She is adding more clients to Jim's firm.
Example: Bob runs a small printing operation. His interests are in providing the best end products, in satisfying his customers in a timely manner, and in staying on top of the latest technological developments in the printing industry. Bob let the business grow by the natural referral process--because he had little interest or time to sell his service. To kick his business up to the next level, Bob began searching for a suitable partner--someone who could fill the gap in marketing and sales. He found Ted and brought him on board. Ted was a printing broker with a client following. His clients placed orders with him and he arranged the actual printing with various printers in the area. When Ted joined with Bob, many more clients were quickly being served in the new operation. Together, the two of them embarked on building a much bigger operation than either could have done separately.
You can complement--and build--your business by looking for complementary people. But it can be much more than adding people.
Pathways to growth are many and varied. Additional services can enhance your appeal in the marketplace. Additional product lines can extend your reach in the community. Adding social media can explode your growth potential.
Whatever you do on your pathway to growth, do not neglect customer service. Give them what they want, when they want it, no questions asked.
Monday, September 28, 2015
Tracking your business
Free daily tips, information, advice and ideas
to help you better manage your small business
Keeping track of the health of your business is crucial to success. No two business owners do it the same way.
Today's technology offers new opportunities to track the health of your business. But older methods also work. Whatever method you use, don't get lost in the weeds of too much data.
Example: Dexter runs an automated computer service. His computer setup is connected to his clients' computer operations. His machines are always monitoring and automatically repairing problems that arise at the client's operation. Every morning Dexter reviews the previous 24-hour activity--interrupt time and amount billed automatically to each client. This has become for Dexter a quick way to track the financial health of his own operation. If billable time declines, he can quickly spot it and take appropriate action. This also helps him monitor longer term trends.
Example: Myra runs her women's clothing shop the old fashioned way. She accepts credit and debit cards, ApplePay, PayPal and cash. At month's end, she turns everything over to her accountant who furnishes a report a week or two later. When sales decline, Myra is not aware of the seriousness for some time. The results of her special sales and promotional activities are not timely. She has decided to move to an automated system to better track business activity, keeping her accountant for taxes.
Example: Marco runs a printing operation. He has a mix of both small and large businesses. When jobs are completed, invoices are prepared and sent to clients. His office person prepares these invoices and receives payments that arrive both electronically and in the mail. Every Monday morning, the office person prepares a special report for Marco. It shows all payments received the preceding week and all invoices still outstanding. Payments received and invoices outstanding are shown as actual dollar amounts. Marco tracks his business by plotting these figures on a chart--giving him a long term glimpse as to whether the business is steady or increasing or declining. Older outstanding invoices prod Marco to call the client for payment.
No two business owners will track the health of their business in the same way. Technology offers many alternatives, but no less effective are older methods.
Tracking your business must be done. It can be your guide to future growth and expansion.
Every business person tracks the business. Choose a method that you are comfortable with. Base it in actual numbers you can use.
to help you better manage your small business
Keeping track of the health of your business is crucial to success. No two business owners do it the same way.
Today's technology offers new opportunities to track the health of your business. But older methods also work. Whatever method you use, don't get lost in the weeds of too much data.
Example: Dexter runs an automated computer service. His computer setup is connected to his clients' computer operations. His machines are always monitoring and automatically repairing problems that arise at the client's operation. Every morning Dexter reviews the previous 24-hour activity--interrupt time and amount billed automatically to each client. This has become for Dexter a quick way to track the financial health of his own operation. If billable time declines, he can quickly spot it and take appropriate action. This also helps him monitor longer term trends.
Example: Myra runs her women's clothing shop the old fashioned way. She accepts credit and debit cards, ApplePay, PayPal and cash. At month's end, she turns everything over to her accountant who furnishes a report a week or two later. When sales decline, Myra is not aware of the seriousness for some time. The results of her special sales and promotional activities are not timely. She has decided to move to an automated system to better track business activity, keeping her accountant for taxes.
Example: Marco runs a printing operation. He has a mix of both small and large businesses. When jobs are completed, invoices are prepared and sent to clients. His office person prepares these invoices and receives payments that arrive both electronically and in the mail. Every Monday morning, the office person prepares a special report for Marco. It shows all payments received the preceding week and all invoices still outstanding. Payments received and invoices outstanding are shown as actual dollar amounts. Marco tracks his business by plotting these figures on a chart--giving him a long term glimpse as to whether the business is steady or increasing or declining. Older outstanding invoices prod Marco to call the client for payment.
No two business owners will track the health of their business in the same way. Technology offers many alternatives, but no less effective are older methods.
Tracking your business must be done. It can be your guide to future growth and expansion.
Every business person tracks the business. Choose a method that you are comfortable with. Base it in actual numbers you can use.
Friday, September 25, 2015
Start that small business!
Free daily tips, information, advice and ideas
to help you better manage your small business
No road map exists to start a business. You find your own way to begin by providing goods and services that other people will pay for.
If you are young, you have little experience in business. But what you have is a passion about something. And if you have a passion, others have the same passion. They are your market.
In you are in corporate America, you have little appreciation for the world of small business. But you have years of experience doing something. It might be part of your present job, or it might be something you enjoy doing in your off hours. Either one of these can form the basis for a small business.
Example: Jane was a customer service representative in a large company. She had a book of accounts and handled their problems. Exhausted at the end of long days in the office, Jane came home to relax with her jigsaw puzzles. She looked forward to this quiet time, sitting at her dining room table fitting pieces together. Usually, she had 4 or 5 going at once. One day, Jane screwed up her courage, gave her employer notice, rented a small store front, and began filling shelves with jigsaw puzzles. Her grand opening attracted some interest, but when she put pictures on social media, she pulled in many buyers. She sold puzzles and board games on her website and on eBay. It took some time to get her business off the ground, but it worked. Today, Jane's shop is the go-to place for people interested in her products. And she is happy.
Example: Ben worked summers and after classes in high school for a construction outfit. He learned how to install siding, power wash decks, build steps, mount gutters and downspouts, paint and pour concrete. He saved his earnings. When he graduated high school, Ben made a choice. He could start up his own renovation and repair business, but he had bigger ideas. With his savings, he made a down payment on a three-family building that needed work. He put the place in tip top shape, rented the apartments to tenants, and then he looked around for another property. He still takes on renovation and repair jobs for others, but his main business is acquiring and managing rental properties of his own.
Example: Sheena was fascinated with the law. She got her law degree and passed the bar exam with flying colors. Then she found herself stuck in a large law firm where someone else made all the decisions. Sheena wanted to be her own boss, so she decided to build her own law practice. She structured a series of presentations on various aspects of legal matters and began offering them to organizations, churches, senior centers, and other groups. These events brought Sheena clients who needed legal help in buying and selling real estate, writing wills, dealing with law suits, handling traffic accidents, and other matters where the law was concerned. It took some time, but Sheena is now doing what she loves as her own boss.
Getting into business is a matter of knowing your own interests and kicking it up to the next level. It takes attitude and determination and persistence. Commit to what you love and begin.
Any interest you have can be turned into a small business. It might never grow into the next Microsoft, or it might. But you will never know until you get it established and start to work with the market that is out there.
to help you better manage your small business
No road map exists to start a business. You find your own way to begin by providing goods and services that other people will pay for.
If you are young, you have little experience in business. But what you have is a passion about something. And if you have a passion, others have the same passion. They are your market.
In you are in corporate America, you have little appreciation for the world of small business. But you have years of experience doing something. It might be part of your present job, or it might be something you enjoy doing in your off hours. Either one of these can form the basis for a small business.
Example: Jane was a customer service representative in a large company. She had a book of accounts and handled their problems. Exhausted at the end of long days in the office, Jane came home to relax with her jigsaw puzzles. She looked forward to this quiet time, sitting at her dining room table fitting pieces together. Usually, she had 4 or 5 going at once. One day, Jane screwed up her courage, gave her employer notice, rented a small store front, and began filling shelves with jigsaw puzzles. Her grand opening attracted some interest, but when she put pictures on social media, she pulled in many buyers. She sold puzzles and board games on her website and on eBay. It took some time to get her business off the ground, but it worked. Today, Jane's shop is the go-to place for people interested in her products. And she is happy.
Example: Ben worked summers and after classes in high school for a construction outfit. He learned how to install siding, power wash decks, build steps, mount gutters and downspouts, paint and pour concrete. He saved his earnings. When he graduated high school, Ben made a choice. He could start up his own renovation and repair business, but he had bigger ideas. With his savings, he made a down payment on a three-family building that needed work. He put the place in tip top shape, rented the apartments to tenants, and then he looked around for another property. He still takes on renovation and repair jobs for others, but his main business is acquiring and managing rental properties of his own.
Example: Sheena was fascinated with the law. She got her law degree and passed the bar exam with flying colors. Then she found herself stuck in a large law firm where someone else made all the decisions. Sheena wanted to be her own boss, so she decided to build her own law practice. She structured a series of presentations on various aspects of legal matters and began offering them to organizations, churches, senior centers, and other groups. These events brought Sheena clients who needed legal help in buying and selling real estate, writing wills, dealing with law suits, handling traffic accidents, and other matters where the law was concerned. It took some time, but Sheena is now doing what she loves as her own boss.
Getting into business is a matter of knowing your own interests and kicking it up to the next level. It takes attitude and determination and persistence. Commit to what you love and begin.
Any interest you have can be turned into a small business. It might never grow into the next Microsoft, or it might. But you will never know until you get it established and start to work with the market that is out there.
Thursday, September 24, 2015
Reaching new markets
Free daily tips, information, advice and ideas
to help you better manage your small business
Markets are always changing. Some change slowly over time. Others make big leaps into new realities almost overnight.
Social media has caused new markets to appear much more quickly than was previously the case. Once it took months of print advertising to reach people. Today, reaching out can be achieved very quickly, efficiently, cheaply.
Facebook, for example, has opened up vast new markets for small business. Snap a picture, post it on Facebook, and reach new markets for products and services you offer. All within minutes.
Example: Irene used to treat only humans using Reiki and massage. She saw a market that was under-served--treating pets. She went through the certification process to be able to treat her human clients as well as their pets. She began posting pictures on Facebook showing her treating dogs. The pictures were passed around among friends, and today her appointment book is filled with new clients--and their dogs.
Example: For years, Pepe has been making his living tuning pianos. His clients were organizations, small churches, private individuals, and an occasional concert hall. He spotted a market among younger people who wanted to learn keyboarding. He decided to offer private lessons, and he posted pictures on various social media. It worked so well, Pepe now has many more clients--mostly beginners. He still tunes pianos, but it is a minor part of his business.
Example: Computer expert Chuck expanded his business by offering new services. He already helped businesses install their computing systems, network them, and keep them running efficiently. What he added was instruction sessions in how to use social media. His extra niche market came in the realization that people in small business do not understand social media, how Facebook, Instagram, and Twitter could help them expand their own businesses. His new instruction sessions are popular, people pay to attend, and it has attracted new clients to his operation.
Example: Doctor Theodore spotted a new market that changed his life. In the face of all the new health care regulations and paperwork, he closed his private general practice office. Today, he only makes house calls. (What a novel idea!) His office is in the trunk of his car, and he concentrates on elderly patients he sees in their homes. Referrals keep him busier than he was before.
Markets change. Times change. The ways to reach markets change. Everything is moving faster these days. Social media is the future.
to help you better manage your small business
Markets are always changing. Some change slowly over time. Others make big leaps into new realities almost overnight.
Social media has caused new markets to appear much more quickly than was previously the case. Once it took months of print advertising to reach people. Today, reaching out can be achieved very quickly, efficiently, cheaply.
Facebook, for example, has opened up vast new markets for small business. Snap a picture, post it on Facebook, and reach new markets for products and services you offer. All within minutes.
Example: Irene used to treat only humans using Reiki and massage. She saw a market that was under-served--treating pets. She went through the certification process to be able to treat her human clients as well as their pets. She began posting pictures on Facebook showing her treating dogs. The pictures were passed around among friends, and today her appointment book is filled with new clients--and their dogs.
Example: For years, Pepe has been making his living tuning pianos. His clients were organizations, small churches, private individuals, and an occasional concert hall. He spotted a market among younger people who wanted to learn keyboarding. He decided to offer private lessons, and he posted pictures on various social media. It worked so well, Pepe now has many more clients--mostly beginners. He still tunes pianos, but it is a minor part of his business.
Example: Computer expert Chuck expanded his business by offering new services. He already helped businesses install their computing systems, network them, and keep them running efficiently. What he added was instruction sessions in how to use social media. His extra niche market came in the realization that people in small business do not understand social media, how Facebook, Instagram, and Twitter could help them expand their own businesses. His new instruction sessions are popular, people pay to attend, and it has attracted new clients to his operation.
Example: Doctor Theodore spotted a new market that changed his life. In the face of all the new health care regulations and paperwork, he closed his private general practice office. Today, he only makes house calls. (What a novel idea!) His office is in the trunk of his car, and he concentrates on elderly patients he sees in their homes. Referrals keep him busier than he was before.
Markets change. Times change. The ways to reach markets change. Everything is moving faster these days. Social media is the future.
Wednesday, September 23, 2015
Customer convenience
Free daily tips, information, advice and ideas
to help you better manage your small business
There is no argument. Customers and clients are the reason you are in business. Without them, you are pursuing a hobby.
With this in mind, it follows that your main job is to sell them what they want. That keeps them coming back. Further, you must replace your present customers and clients--sooner or later you need to plan on losing every one of them.
And you must always be reaching out to add more. Nothing is more effective today than using social media to rein in new customers and keep present one happy.
Example: Sandra creates hand-painted scarves. She began her business by consigning her scarves in high end gift shops. She also created a website where she accepted orders. The business grew, and to handle multiple orders, Sandra hired a part time assistant who answered the phone, posted pictures on social media, and helped with office duties. Sandra devoted her time to creating, and she thought it was a good arrangement. Until, suddenly, she noticed several complaints on social media. Orders were going unfilled. Phone orders and complaints went unanswered--one complaint was weeks old and still not addressed. Customers were annoyed and they were passing the word around the net. Sandra replaced the assistant with someone more attentive to customers.
Example: Phil operates a local auto repair shop. He has two employees and a single lift. Phil is frequently handling repairs himself, so he let the phone go to voice mail. Customers were not very understanding--some assumed that the shop was closed, others were annoyed enough to call another repair shop. Phil was losing business. Today, he has a part time person, mornings only, who answers the phone by the second ring and handles other office duties.
Example: Frank established his restaurant business in an area surrounded by corporate offices and other businesses. He specialized in quick lunches for people on the go. To attract more customers, he posts his lunch specials on Facebook every morning. He attracted even more attention when he set up an app--people could order as they left their office and sit down to their lunch when they arrived at his place.
In business, you must provide customers what they want, when they want it. It's all about their convenience, not yours.
Social media provides a great mechanism to upgrade and extend your business. But you must stay on top of it--it is a daily activity.
to help you better manage your small business
There is no argument. Customers and clients are the reason you are in business. Without them, you are pursuing a hobby.
With this in mind, it follows that your main job is to sell them what they want. That keeps them coming back. Further, you must replace your present customers and clients--sooner or later you need to plan on losing every one of them.
And you must always be reaching out to add more. Nothing is more effective today than using social media to rein in new customers and keep present one happy.
Example: Sandra creates hand-painted scarves. She began her business by consigning her scarves in high end gift shops. She also created a website where she accepted orders. The business grew, and to handle multiple orders, Sandra hired a part time assistant who answered the phone, posted pictures on social media, and helped with office duties. Sandra devoted her time to creating, and she thought it was a good arrangement. Until, suddenly, she noticed several complaints on social media. Orders were going unfilled. Phone orders and complaints went unanswered--one complaint was weeks old and still not addressed. Customers were annoyed and they were passing the word around the net. Sandra replaced the assistant with someone more attentive to customers.
Example: Phil operates a local auto repair shop. He has two employees and a single lift. Phil is frequently handling repairs himself, so he let the phone go to voice mail. Customers were not very understanding--some assumed that the shop was closed, others were annoyed enough to call another repair shop. Phil was losing business. Today, he has a part time person, mornings only, who answers the phone by the second ring and handles other office duties.
Example: Frank established his restaurant business in an area surrounded by corporate offices and other businesses. He specialized in quick lunches for people on the go. To attract more customers, he posts his lunch specials on Facebook every morning. He attracted even more attention when he set up an app--people could order as they left their office and sit down to their lunch when they arrived at his place.
In business, you must provide customers what they want, when they want it. It's all about their convenience, not yours.
Social media provides a great mechanism to upgrade and extend your business. But you must stay on top of it--it is a daily activity.
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