Free daily tips, information and advice for small business
from personal experience starting-up and growing businesses of my own.
No business will make it unless someone sells the soap. Or the advice. Or whatever it is that inspired you in the first place.
Business is selling.
Owners who shy away from selling are ignoring their own childhood and adolescence. You learned to sell every step along the way.
All of us sold our parents--you had to go to that concert, you had to borrow the car. We tried to sell our teachers--I couldn't find that book, my little brother tore up my paper.
These were valuable lessons. Some worked. Others, not so much. But all were valuable learning experiences.
Example: Walker got his law degree, passed the bar exam, and tacked a brass plate on his storefront door. Then he waited. And he waited. It's one thing, I told him, to have great credentials, but it's quite another thing to rein in paying clients. Every client expects a lawyer to be smart, educated, and resourceful. That's the minimum. But when they walk in your door, it's all about them. What can you do for me? It's not about you, I said, it's about the client. Walker joined the local chamber of commerce as well as several networking groups. He offered to lead free discussions at senior centers, local organizations and other groups. There, he talked about simple concerns of people in the audience: what to do when you get a traffic ticket, how you handle an elderly relative, what to do if you get sued. Soon his phone began to ring, and his law practice began to blossom.
As a business owner, you must put yourself out there to meet people. All sorts of people. You never know which person will become a customer/client--and refer others to you.
Shy? Many find face-to-face contact to be intimidating. But you can do many things to promote your business without the face-to-face contact.
Example: Freida loved to bake. Something about creating cookies and cakes fascinated her. She opened her small bakery and waited for people to beat a path to her door. Some people stopped in, but business was slow. Customers gave her baked goods high marks, and they returned--from time to time. Freida was disillusioned, until she found ways to promote her bakery and turn it into a destination. She began holding events for kids. She set out a fresh sample table every day. She put her bakery on Facebook. She began holding baking classes--teaching people how to bake, giving them tips and information. All this activity created a buzz in the community--and beyond. At all these events, she handed out business cards--not the usual standard size, but postcard size cards with colorful pictures of scrumptious cookies and cupcakes, biscotti and brownies, layer cakes and fruit pies--along with her address, phone, hours, and her Facebook presence. Her reputation spread, and customers passed the word around, bringing others.
Sell yourself by getting the word out about what you can do for others. It's not about you, it's about them. Sell yourself by getting others to think of you when their needs arise.
Always pay attention to referrals. The people who attended Walker's talks on the law will remember him and pass the word around to their friends and relatives. And the people who attended Freida's baking sessions will talk about it to others. Satisfied customers/clients will do the selling for you.
Selling the soap (or the advice) can be done in many ways. Concentrate on what works for you and your business. When a method works for you, figure out ways to do more of it. Selling yourself becomes easier when you focus on the ways you can help other people.
Monday, August 18, 2014
Friday, August 15, 2014
Other people's money
Free daily tips, information and advice for small business
from a lifetime of personal experience--been there, done that.
Money is always a problem in small business. There is never enough.
Your business plan is in place. And things are moving in the right direction.
But the business is not generating cash as fast as you would like. You might need other people's money so you can grow faster--or expand into another business entirely.
Example: Jim was in the home improvements business. He worked job by job, installing doors and windows, putting up siding, and roofing jobs. He used the 9/10 mechanism to borrow money. It works like bonds--I give you $9 and you pay me back $10. Jim approached friends, relatives, acquaintances with this simple proposition. Each person would loan him $900 and he would pay them back $100 a month for ten months. This is not cheap money, but when the bank turns you down your alternatives are few. Jim found one person who agreed to give him $9,000 to be repaid at $1,000 per month for ten months. Jim was careful to keep all accounts separate, using the loans to buy tools, equipment and materials for specific jobs. When a job was done and his customer paid him, he set enough money aside to pay off the 9/10 loan.
Example: Robert was also in the home improvements business. He worked with his customers to finance each job. He required one third payment upfront, one third payment when an agreed-to milepost was reached, and the final one third payment when the job was completed. This method can be used in other types of businesses as well. Just remember that the profit for the job comes in that last payment.
Example: Leland was a young man in a hurry. He was a landscaper. One of his on-going jobs involved taking care of the yard around a small apartment building. The owner of the building was impressed with Leland's work and asked Leland if he wanted to buy the property. Leland jumped at the chance, but told the owner that he could not afford it. Maybe yes, maybe no said the owner. He showed Leland how to take over the property with two mortgages--a large first mortgage at normal interest and a second short-term mortgage at a higher rate of interest. Income from the rent rolls would cover the mortgage payments. With time, Leland would own the building. If he did not make the payments, he would be in default and the owner would take back ownership of the building. Leland is still a landscaper but with a difference--he owns the building where he cuts the grass and trims the shrubbery. And he has his eye on another apartment building in the same neighborhood.
Using other people's money in business is quite common. It takes many forms, but the mechanism is concept is the same. Put it to work and home in on the specific arrangement that helps you start-up, grow and expand.
When your supplier delivers and hands you an invoice due in 30 or 60 days, you are using other people's money. It's a matter of trust that you will pay your bills on time. That simple concept of trust is at the heart of using other people's money.
from a lifetime of personal experience--been there, done that.
Money is always a problem in small business. There is never enough.
Your business plan is in place. And things are moving in the right direction.
But the business is not generating cash as fast as you would like. You might need other people's money so you can grow faster--or expand into another business entirely.
Example: Jim was in the home improvements business. He worked job by job, installing doors and windows, putting up siding, and roofing jobs. He used the 9/10 mechanism to borrow money. It works like bonds--I give you $9 and you pay me back $10. Jim approached friends, relatives, acquaintances with this simple proposition. Each person would loan him $900 and he would pay them back $100 a month for ten months. This is not cheap money, but when the bank turns you down your alternatives are few. Jim found one person who agreed to give him $9,000 to be repaid at $1,000 per month for ten months. Jim was careful to keep all accounts separate, using the loans to buy tools, equipment and materials for specific jobs. When a job was done and his customer paid him, he set enough money aside to pay off the 9/10 loan.
Example: Robert was also in the home improvements business. He worked with his customers to finance each job. He required one third payment upfront, one third payment when an agreed-to milepost was reached, and the final one third payment when the job was completed. This method can be used in other types of businesses as well. Just remember that the profit for the job comes in that last payment.
Example: Leland was a young man in a hurry. He was a landscaper. One of his on-going jobs involved taking care of the yard around a small apartment building. The owner of the building was impressed with Leland's work and asked Leland if he wanted to buy the property. Leland jumped at the chance, but told the owner that he could not afford it. Maybe yes, maybe no said the owner. He showed Leland how to take over the property with two mortgages--a large first mortgage at normal interest and a second short-term mortgage at a higher rate of interest. Income from the rent rolls would cover the mortgage payments. With time, Leland would own the building. If he did not make the payments, he would be in default and the owner would take back ownership of the building. Leland is still a landscaper but with a difference--he owns the building where he cuts the grass and trims the shrubbery. And he has his eye on another apartment building in the same neighborhood.
Using other people's money in business is quite common. It takes many forms, but the mechanism is concept is the same. Put it to work and home in on the specific arrangement that helps you start-up, grow and expand.
When your supplier delivers and hands you an invoice due in 30 or 60 days, you are using other people's money. It's a matter of trust that you will pay your bills on time. That simple concept of trust is at the heart of using other people's money.
Thursday, August 14, 2014
Working from home
Free daily tips, information and advice for small business
from a lifetime of personal experience starting-up and running businesses.
I grew up on a dairy farm, so working from home is as natural as it gets. Dozens of cows grazed in the pasture and provided the twice-a-day milking. Then we bottled and delivered the milk to doorsteps all over town.
Today's advanced communications make it easy to start-up and run a business from home. Running a business is easier than ever--with a laptop or tablet, a cell phone or smart phone, and a place to keep records.
Examples: Personal trainers can meet a client at the client's home gym. Nutritionists and cooking teachers can meet a client at the client's home kitchen. Holistic healers and massage therapists go to clients' homes. Consultants and coaches can start out at home, perhaps growing into bricks-and-mortar offices as the business develops. In a previous blog, I described a doctor who closed his clinic office. He now sees patients exclusively in their homes--he specializes in the problems of the elderly.
Most of these businesses are one person operations. But some develop a network of other specialists working together. All these have a place for record-keeping, but that too is frequently fully computerized.
Examples: Tradespeople have long worked from their home offices. Electricians, plumbers, locksmiths, masons, cleaners, repair specialists and others frequently start out working from their homes. As they grow, they might establish an office, serving as a base for bigger operations.
Single person businesses are easy to start at home. Again, using today's communication and transportation technologies, it's easier than ever to establish a business--right from home.
Examples: Artists and artisans typically work from home. They are running a business, and sometimes they have a working studio--in a barn or attic or an extra room in the home. The business end of their love is conducted out in the marketplace, including the Internet, or they ban together for group shows and galleries. I knew a sculptor whose loft served as both his living quarters and work space. Finally, he ran out of room and rented a studio elsewhere. I knew an artist who started out working from home back in the 1980s, then opened a combination store/studio, and finally closed it--going back to working entirely at home.
In business, you move with the times. Working from home makes it easy to transition from a single person business to a larger operation. It can be a part of your business plan from the very beginning. I know. I did it myself--starting a typesetting operation on the dining room table. After several months, it had grown to the point that I rented an office, expanded, and never looked back. Growing up milking all those cows on the dairy farm prepared me for the hard work of establishing a business of my own--beginning at home.
As the Good Witch of the North advised Dorothy in The Wizard of Oz, the place to begin is at the beginning. Starting a business at home can take you down the road to the Emerald City.
from a lifetime of personal experience starting-up and running businesses.
I grew up on a dairy farm, so working from home is as natural as it gets. Dozens of cows grazed in the pasture and provided the twice-a-day milking. Then we bottled and delivered the milk to doorsteps all over town.
Today's advanced communications make it easy to start-up and run a business from home. Running a business is easier than ever--with a laptop or tablet, a cell phone or smart phone, and a place to keep records.
Examples: Personal trainers can meet a client at the client's home gym. Nutritionists and cooking teachers can meet a client at the client's home kitchen. Holistic healers and massage therapists go to clients' homes. Consultants and coaches can start out at home, perhaps growing into bricks-and-mortar offices as the business develops. In a previous blog, I described a doctor who closed his clinic office. He now sees patients exclusively in their homes--he specializes in the problems of the elderly.
Most of these businesses are one person operations. But some develop a network of other specialists working together. All these have a place for record-keeping, but that too is frequently fully computerized.
Examples: Tradespeople have long worked from their home offices. Electricians, plumbers, locksmiths, masons, cleaners, repair specialists and others frequently start out working from their homes. As they grow, they might establish an office, serving as a base for bigger operations.
Single person businesses are easy to start at home. Again, using today's communication and transportation technologies, it's easier than ever to establish a business--right from home.
Examples: Artists and artisans typically work from home. They are running a business, and sometimes they have a working studio--in a barn or attic or an extra room in the home. The business end of their love is conducted out in the marketplace, including the Internet, or they ban together for group shows and galleries. I knew a sculptor whose loft served as both his living quarters and work space. Finally, he ran out of room and rented a studio elsewhere. I knew an artist who started out working from home back in the 1980s, then opened a combination store/studio, and finally closed it--going back to working entirely at home.
In business, you move with the times. Working from home makes it easy to transition from a single person business to a larger operation. It can be a part of your business plan from the very beginning. I know. I did it myself--starting a typesetting operation on the dining room table. After several months, it had grown to the point that I rented an office, expanded, and never looked back. Growing up milking all those cows on the dairy farm prepared me for the hard work of establishing a business of my own--beginning at home.
As the Good Witch of the North advised Dorothy in The Wizard of Oz, the place to begin is at the beginning. Starting a business at home can take you down the road to the Emerald City.
Wednesday, August 13, 2014
Start up at any age
Free daily tips, information and advice for small businesses
from personal and hands-on experience in starting up and running businesses.
You can start up a business at any age. Your age does not enter into the equation.
Doing business comes as naturally to the very young as it does to older, more experienced people. In fact the young don't hesitate trying new things.
Example: When I lived in the big city, I walked to the corner to catch the bus every morning. As I approached the bus stop one day, I saw four or five people gathered around a small table. They were picking up and examining things displayed there. Coming closer, I saw my neighbor's young daughter among the adults--one of whom was the child's mother. It turned out that this 6-year old had gathered some stones, painted them in blazing colors, and was offering them for sale at a dime each. People smiled, plopped down their dimes, pocketed the stones, and boarded the bus. I decided to catch the next bus, lingering to talk with the youngest entrepreneur I ever met. Why set up your table here, I asked the girl. Because that's where the people are, she answered without hesitation. What will you do with all the dimes, I asked. Save them in my piggy bank, she told me--looking up at her mom. It's almost full, the mother said. As my bus came to a stop, I put a quarter on the table and took a yellow stone. I still have it.
Children catch on quickly to the ways of the world. I've often wondered what became of the young stone painter. I'll bet she's heading up her own business somewhere.
You're never too old to start a business either.
Example: Many years later, I headed up the Business Owners Institute in New Jersey. Everyone there had to have run a small business. That way, we offered varied and hands-on experience in dealing with the problems of starting up and running small businesses. People came to us for help with financing and loans, selling and marketing, expanding and growing their businesses. One day, a lady came wanting advice on starting up a business she had in mind. Right off, she told me that she was 79 years of age and worried that she might be too old to tackle a start-up she had in mind. She moved and talked like a 40 year old, and I assured her that you are never too old to begin. She wanted to establish a bagel shop, and over a couple of months I helped her arrange to lease space, buy used bagel-making equipment, stock her new shop and get the doors open. The place was very successful. About five years later she sold out, pocketing a nice retirement income for her later years.
You are never too young or too old to get yourself in business. Or to change the direction of the business you already have established. Just do it. The years will take care of themselves.
A lifetime of personal experience shows that you can do what you set your mind to do. Other things impact decisions--family, health, and more. But attitude is the thing that will see you through.
from personal and hands-on experience in starting up and running businesses.
You can start up a business at any age. Your age does not enter into the equation.
Doing business comes as naturally to the very young as it does to older, more experienced people. In fact the young don't hesitate trying new things.
Example: When I lived in the big city, I walked to the corner to catch the bus every morning. As I approached the bus stop one day, I saw four or five people gathered around a small table. They were picking up and examining things displayed there. Coming closer, I saw my neighbor's young daughter among the adults--one of whom was the child's mother. It turned out that this 6-year old had gathered some stones, painted them in blazing colors, and was offering them for sale at a dime each. People smiled, plopped down their dimes, pocketed the stones, and boarded the bus. I decided to catch the next bus, lingering to talk with the youngest entrepreneur I ever met. Why set up your table here, I asked the girl. Because that's where the people are, she answered without hesitation. What will you do with all the dimes, I asked. Save them in my piggy bank, she told me--looking up at her mom. It's almost full, the mother said. As my bus came to a stop, I put a quarter on the table and took a yellow stone. I still have it.
Children catch on quickly to the ways of the world. I've often wondered what became of the young stone painter. I'll bet she's heading up her own business somewhere.
You're never too old to start a business either.
Example: Many years later, I headed up the Business Owners Institute in New Jersey. Everyone there had to have run a small business. That way, we offered varied and hands-on experience in dealing with the problems of starting up and running small businesses. People came to us for help with financing and loans, selling and marketing, expanding and growing their businesses. One day, a lady came wanting advice on starting up a business she had in mind. Right off, she told me that she was 79 years of age and worried that she might be too old to tackle a start-up she had in mind. She moved and talked like a 40 year old, and I assured her that you are never too old to begin. She wanted to establish a bagel shop, and over a couple of months I helped her arrange to lease space, buy used bagel-making equipment, stock her new shop and get the doors open. The place was very successful. About five years later she sold out, pocketing a nice retirement income for her later years.
You are never too young or too old to get yourself in business. Or to change the direction of the business you already have established. Just do it. The years will take care of themselves.
A lifetime of personal experience shows that you can do what you set your mind to do. Other things impact decisions--family, health, and more. But attitude is the thing that will see you through.
Tuesday, August 12, 2014
Referrals from seniors
Free daily tips, information and advice for people in small businesses
from personal experience starting-up and growing businesses of my own.
Seniors are a good source of referrals. And they are a formidable market themselves for your products and services.
Many seniors are now retired, with more coming every week. They're also living longer than previous generations. They have disposable income--but they've learned to live on budgets. And they have many friends, relatives, and associates who trust their judgement.
You can put all this to work in your business.
Example: Peter's small computer business needed more customers. He noticed that he got a few referrals after giving a free computer workshop at the local senior center. Thinking about it, Peter realized that all those grandmothers and grandfathers were spreading the word out in the community. His workshop had been a beginner's introduction to how to email a photo to someone, how to access and use Facebook, and other simple uses. Today, Peter gives free computer workshops at several area senior centers, and his business is growing.
Senior centers are everywhere. You can volunteer to give free talks, demonstrations and workshops. These people appreciate the attention, and they go home and talk about you and your business.
Example: Ellen owns a tea shop. It used to be a small place with only four tables. But the shelves were lined with teas of all descriptions. People stopped in for a cup of tea and to stock up on loose and bagged teas to take home. The town held a street fair, and Ellen set up a table outside her tea shop offering free cups of tea. She noticed that her teas seemed to be a hit with all age groups--but especially seniors. She began offering tea demonstrations and talks at clubs, group meetings, and senior centers. Today, Ellen has expanded her tea shop into the larger space next door. She still serves tea and pastries to an expanding clientele, but her business really took off over the Internet. Seniors have referred people from all over the country to Ellen. They order teas for themselves and as gifts for their friends. Ellen now spends lots of time daily packaging and shipping out her teas.
Seniors can be extremely loyal.
Example: Bill runs a small home improvement business. He and two helpers take care of the odd jobs around the house--painting, replacing a window, cleaning gutters, etc. He takes a two pronged approach--especially with seniors. (1) On his initial visit, he takes the time to listen to their concerns and homes in on what they want done. He always suggests that he begin with only one job. If they are satisfied, he'll estimate and go on to the next job. This puts the client at ease, and it stretches out payments--a real concern with seniors. (2) Bill always asks for referrals and leaves a handful of business cards with the homeowner to give out to their friends and neighbors. It's working for Bill.
Seniors are a good source of business and referrals. You can tap into this market if you are sensitive to the concerns of seniors.
You build your business one customer or client at a time. Getting seniors to give you referrals is a good way to extend your reach and bring in new customers. Perhaps more than any other group, seniors will refer others to you.
from personal experience starting-up and growing businesses of my own.
Seniors are a good source of referrals. And they are a formidable market themselves for your products and services.
Many seniors are now retired, with more coming every week. They're also living longer than previous generations. They have disposable income--but they've learned to live on budgets. And they have many friends, relatives, and associates who trust their judgement.
You can put all this to work in your business.
Example: Peter's small computer business needed more customers. He noticed that he got a few referrals after giving a free computer workshop at the local senior center. Thinking about it, Peter realized that all those grandmothers and grandfathers were spreading the word out in the community. His workshop had been a beginner's introduction to how to email a photo to someone, how to access and use Facebook, and other simple uses. Today, Peter gives free computer workshops at several area senior centers, and his business is growing.
Senior centers are everywhere. You can volunteer to give free talks, demonstrations and workshops. These people appreciate the attention, and they go home and talk about you and your business.
Example: Ellen owns a tea shop. It used to be a small place with only four tables. But the shelves were lined with teas of all descriptions. People stopped in for a cup of tea and to stock up on loose and bagged teas to take home. The town held a street fair, and Ellen set up a table outside her tea shop offering free cups of tea. She noticed that her teas seemed to be a hit with all age groups--but especially seniors. She began offering tea demonstrations and talks at clubs, group meetings, and senior centers. Today, Ellen has expanded her tea shop into the larger space next door. She still serves tea and pastries to an expanding clientele, but her business really took off over the Internet. Seniors have referred people from all over the country to Ellen. They order teas for themselves and as gifts for their friends. Ellen now spends lots of time daily packaging and shipping out her teas.
Seniors can be extremely loyal.
Example: Bill runs a small home improvement business. He and two helpers take care of the odd jobs around the house--painting, replacing a window, cleaning gutters, etc. He takes a two pronged approach--especially with seniors. (1) On his initial visit, he takes the time to listen to their concerns and homes in on what they want done. He always suggests that he begin with only one job. If they are satisfied, he'll estimate and go on to the next job. This puts the client at ease, and it stretches out payments--a real concern with seniors. (2) Bill always asks for referrals and leaves a handful of business cards with the homeowner to give out to their friends and neighbors. It's working for Bill.
Seniors are a good source of business and referrals. You can tap into this market if you are sensitive to the concerns of seniors.
You build your business one customer or client at a time. Getting seniors to give you referrals is a good way to extend your reach and bring in new customers. Perhaps more than any other group, seniors will refer others to you.
Monday, August 11, 2014
Special businesses
Free daily tips, information and advice for people in small business
from personal hands-on experience in starting up and running businesses.
You can make a business out of anything. I've come to believe this after a lifetime of my own businesses and working with others.
If you're thinking about going into business, consider the activities you love. If you're thinking of changing the direction of your existing business, think about the things that you once loved doing but no longer have time for. Pick one of those passions and go for it.
Example: Jason loved cars and motorcycles. He spent every free hour growing up tinkering and repairing vehicles. An engineering degree in his pocket, he decided to take the plunge. He set up a business specializing in two things: restorations of older vehicles back to original condition and building motorcycles from the ground up. He brought some of his work to car shows, and his reputation spread. Restorations of cars that are 20 to 50 years old and in poor condition--this takes months, sometimes years. While waiting for parts for the restorations, Jason would concentrate of building or customizing motorcycles for clients. His backlog of work waiting to be done now extends to years.
Special businesses can grow out of the interests of youngsters. Those activities that fascinate us early on can become the business of the adult.
Example: Margit loved designing women's clothes. Her designs brought compliments and sales. She was forced to make a strategic decision. Either she could open up her own high end retail shop or she could become a design house. She chose the latter. Today Margit has her own design house and sells her designs to clothing manufacturers.
Sorting out the possibilities of which way to take a business can be daunting. But it is not wise to let the business drift with the times--you want to be ahead of the times, ahead of the waves that will surely wash over your business. (See my previous blog--Business Drift.)
Example: Several years ago, I met a man who had a business repairing and selling old vacuum cleaners. He had established his business when he retired, and he had attracted a loyal and growing clientele. I was incredulous. Who would want an old vacuum cleaner? Everybody who knows the difference, he assured me. It was an eye opener. He reminded me that old vacuum cleaners were built to last--with all metal parts. Today, vacuum cleaners are made mostly with plastic parts--and they wear out and break. People in the know, he explained, pay big bucks to have their old vacuum cleaners repaired--or they buy one on display for sale. These days, he is repairing vacuums in heaven. But in the years between retirement and going to the great beyond, he built a nice business on his passion for vacuum cleaners.
A special business can be built out of the things you're passionate about. If you're interested, others are interested. And therein lies a market.
Be passionate about what you do. If you're not, you're in the wrong business. Sometimes the best way forward is to figure out where you once were. Your time on this planet is limited. Spend it well.
from personal hands-on experience in starting up and running businesses.
You can make a business out of anything. I've come to believe this after a lifetime of my own businesses and working with others.
If you're thinking about going into business, consider the activities you love. If you're thinking of changing the direction of your existing business, think about the things that you once loved doing but no longer have time for. Pick one of those passions and go for it.
Example: Jason loved cars and motorcycles. He spent every free hour growing up tinkering and repairing vehicles. An engineering degree in his pocket, he decided to take the plunge. He set up a business specializing in two things: restorations of older vehicles back to original condition and building motorcycles from the ground up. He brought some of his work to car shows, and his reputation spread. Restorations of cars that are 20 to 50 years old and in poor condition--this takes months, sometimes years. While waiting for parts for the restorations, Jason would concentrate of building or customizing motorcycles for clients. His backlog of work waiting to be done now extends to years.
Special businesses can grow out of the interests of youngsters. Those activities that fascinate us early on can become the business of the adult.
Example: Margit loved designing women's clothes. Her designs brought compliments and sales. She was forced to make a strategic decision. Either she could open up her own high end retail shop or she could become a design house. She chose the latter. Today Margit has her own design house and sells her designs to clothing manufacturers.
Sorting out the possibilities of which way to take a business can be daunting. But it is not wise to let the business drift with the times--you want to be ahead of the times, ahead of the waves that will surely wash over your business. (See my previous blog--Business Drift.)
Example: Several years ago, I met a man who had a business repairing and selling old vacuum cleaners. He had established his business when he retired, and he had attracted a loyal and growing clientele. I was incredulous. Who would want an old vacuum cleaner? Everybody who knows the difference, he assured me. It was an eye opener. He reminded me that old vacuum cleaners were built to last--with all metal parts. Today, vacuum cleaners are made mostly with plastic parts--and they wear out and break. People in the know, he explained, pay big bucks to have their old vacuum cleaners repaired--or they buy one on display for sale. These days, he is repairing vacuums in heaven. But in the years between retirement and going to the great beyond, he built a nice business on his passion for vacuum cleaners.
A special business can be built out of the things you're passionate about. If you're interested, others are interested. And therein lies a market.
Be passionate about what you do. If you're not, you're in the wrong business. Sometimes the best way forward is to figure out where you once were. Your time on this planet is limited. Spend it well.
Friday, August 8, 2014
Spreading the word
Free daily tips, information and advice for small business
from a lifetime of personal experience running small businesses.
You never know where the next referral is coming from. This simple fact tells you how to treat every visitor to your website, every person who calls your business, and every person who walks in your door.
Example: Mary had her hair done at a local salon. She enthusiastically referred her friends. One came and was dissatisfied with the results. This friend spread a lot of negativity about the salon. When word reached Mary, she went into action. She contacted the dissatisfied person, offering a free "do-over" plus a gift certificate. The owner also called Mary, thanked her for the referral and offered her a gift certificate as well. The bad-mouthing stopped and more referrals rolled in.
Turning a dissatisfied customer around can be a tricky exercise. But it is always worth the extra effort. You don't want bad-mouthing to be going around the neighborhood.
More straightforward ways can be even more effective in spreading the word.
Example: When John got his plumber's license, he had few customers--mainly friends and relatives. He passed out business cards at every opportunity, including several networking sessions he attended. He also placed a small ad in the local newspaper. Nothing seemed to bring in many new customers. John decided to call people he had done some plumbing work for. First, he asked if they needed any additional plumbing work done. Second, he asked for referrals--names and phone numbers of people they knew. Everyone needs a plumber sooner or later, he reasoned. It worked. Several referrals became customers. Today, he employs two helpers.
Referrals are the lifeblood of every business. Referrals come to you on another person's reputation, friendship or recommendation.
Example: Frank used a method similar to the plumber's method. Frank is a business consultant and coach. Tough business. Asking satisfied clients for referrals is a tried and true method to increase your circle of clients. Frank called people he'd worked for and asked for referrals. When he called these referrals, he launched into a conversation about cash flow, finding good employees, and other problems common to all small businesses. It worked well for him. BTW, Frank was careful not to use the word "consultant" when calling the referrals--that word is a turn-off to people in small business.
Referrals arrive at your door pre-disposed to your services/products. Not that they are ready to buy, but they are leaning in your direction.
Work at getting referrals. Whatever method you use, keep it up. Don't let a week go by without doing something to increase referrals.
You deserve a constant flow of referrals to your business. You've invested a lot in the future of your business. Referrals make it happen. Getting more referrals is important to your future success.
from a lifetime of personal experience running small businesses.
You never know where the next referral is coming from. This simple fact tells you how to treat every visitor to your website, every person who calls your business, and every person who walks in your door.
Example: Mary had her hair done at a local salon. She enthusiastically referred her friends. One came and was dissatisfied with the results. This friend spread a lot of negativity about the salon. When word reached Mary, she went into action. She contacted the dissatisfied person, offering a free "do-over" plus a gift certificate. The owner also called Mary, thanked her for the referral and offered her a gift certificate as well. The bad-mouthing stopped and more referrals rolled in.
Turning a dissatisfied customer around can be a tricky exercise. But it is always worth the extra effort. You don't want bad-mouthing to be going around the neighborhood.
More straightforward ways can be even more effective in spreading the word.
Example: When John got his plumber's license, he had few customers--mainly friends and relatives. He passed out business cards at every opportunity, including several networking sessions he attended. He also placed a small ad in the local newspaper. Nothing seemed to bring in many new customers. John decided to call people he had done some plumbing work for. First, he asked if they needed any additional plumbing work done. Second, he asked for referrals--names and phone numbers of people they knew. Everyone needs a plumber sooner or later, he reasoned. It worked. Several referrals became customers. Today, he employs two helpers.
Referrals are the lifeblood of every business. Referrals come to you on another person's reputation, friendship or recommendation.
Example: Frank used a method similar to the plumber's method. Frank is a business consultant and coach. Tough business. Asking satisfied clients for referrals is a tried and true method to increase your circle of clients. Frank called people he'd worked for and asked for referrals. When he called these referrals, he launched into a conversation about cash flow, finding good employees, and other problems common to all small businesses. It worked well for him. BTW, Frank was careful not to use the word "consultant" when calling the referrals--that word is a turn-off to people in small business.
Referrals arrive at your door pre-disposed to your services/products. Not that they are ready to buy, but they are leaning in your direction.
Work at getting referrals. Whatever method you use, keep it up. Don't let a week go by without doing something to increase referrals.
You deserve a constant flow of referrals to your business. You've invested a lot in the future of your business. Referrals make it happen. Getting more referrals is important to your future success.
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