Posts Tagged ‘business advice’

How to Semi-Retire From Your Business- Part Two

Involve the Entire Team: It is important to involve the entire team in this implementation process. Having an implementation team consisting of a select few will only lead to confusion, frustration and discontent.

In order to have an effective and efficient implementation system, it is essential to have everybody on the team involved.

This will also be a major contributing factor for the business owner, in moving closer to the next goal – letting go of the business and making it work on its own, by handing the reins of the business to those who will be ultimately responsible for running it.

Give Them Responsibility: The business owner can’t expect team members to work hard without giving them true responsibility for their jobs. If the business owner gives accountability, he also has to give responsibility. In addition, there has to be a system in place for rewards based on results.

It may be a share of the profits, for instance. This can bring out the best in all the team members.

Delegate: Delegating work goes far beyond just handing over responsibilities and jobs to other people; it means handing out the functions completely. It has much to do with letting go, instead of wanting to do everything oneself.

This is where one can see the true test of a leader.

Hands Off: It can be very useful to a general manager to run the business so that the business owner can step back more easily.

This is one good way of handling this situation, and in this manner, the business owner can leave the business in the hands of the expert who has been hired.

Easing Out: There are a few tips, as discussed in my Instant Systems book that can help a business owner ease out of the business, including:

- Not interfering with the work being done by the team members. They were hired to do the job, so let them do it.

- Giving up a parking space or office. Not having a place in the business will help keep the business owner from showing up all the time.

- Staying away from regular meetings, and just getting a brief from the general manager on the phone or via e-mail.

- Keeping all lines of communication open and remaining accessible.

- Scheduling periodic meetings or visit at the office from time to time, or showing up for specific meetings as required.

Handling Semi Retirement: While everyone hopes to achieve this state, many are not able to handle it when they really retire or in this case, semi-retire.

This is because they have been busy doing things and have been part of something productive.

However, the proposition of not having to go to work and still be paid can also be irresistible. One can deal with the pitfalls by developing a social life that you do not have to trade for money anymore.

But this doesn’t mean that the business owner will go back and start working in his business all over again.

This will mean investing.

An owner will now be making money with money to create wealth. While becoming a different type of business person in this sense is more challenging, in the end, many former owners find it is much more profitable.

How to Semi-Retire From Your Business- Part One

When a person buys a business and becomes a business owner, more often than not, this translates into buying a job.

This is because a business owner is often involved in designing, planning and implementing systems to run a business.

It becomes very difficult for the business owner to get free from the business and hand over duties to others.

It takes a courageous business owner to make an enormous change in the way he or she approaches business in order to make the much-desired transition from having a job to becoming semi-retired.

This is because all change is difficult due to fear – mainly fear of the unknown.

There is also fear of change, as a move to semi-retirement means an owners needs to change the way the he or she works with the company and team-members, and also in the way he or she views money.

Instead of taking a wage from the business, an owner will now be making money by maximizing profit. This will completely change the mindset of the business owner.

As a result, the owner’s whole relationship with the business will undergo a change of mammoth proportions.

To ensure the entire process of change is handled carefully, here are some ways to ensure a smooth transition – making sure the business can operate successfully and profitably without the business owner:

Create the Right Environment: If the existing conditions are not conducive change, transition to any change will be difficult. The team members within the organization should be willing and ready to introduce new systems and should genuinely believe in the urgency and importance of any new system.

The environment should be oriented for change in another way as well. There should be a climate of trust within the business, because a change usually involves moving away from status quo and requires the team members to step outside their comfort zones.

Open Communication Channels: One way of creating the right environment for change is having open communication channels so that the business owner is able to communicate with team and vice-versa.

That’s why it is important for team to feel there is an “open door policy” as far as communication is concerned.

There is a need for effective communication within the business, which means that the messages being communicated are actually received, and understood in terms of content and intention. It also means that they are acted upon, if necessary.

This is because any communication must result in some type of action.

Provide Continuous Feedback: It is crucial to have strong leadership through this process of change.

The business owner needs to employ a leadership style that keeps the owner on the right path. The best way of doing this is by providing the team members with constant feedback. This can be done by tracking their progress with the system and keeping them in the loop on the developments taking place.

It helps to offer encouragement and support and encourage them to provide feedback.

Communication is a two-way street and it is the lifeblood of any business; make it a priority.

How To Get Good Business Advice from a Business Coach

Even though business coaching is one of the fastest growing industries in the world, and demand for coaching services are high, many business owners really aren’t sure what benefits hiring a Business Coach can have for their companies.

The process of business coaching makes it a perfect resource for owners looking for business help for their companies.

Why?

Because a good Business Coach will not only help you get to your goals quicker, he or she will also keep you accountable to getting the results you say you want.

That is the main difference between business coaching and business consulting.

Most consultants simply give you a list of strategies or “things to do” to help turn your business around.

A good Business Coach will do that, but only after using a series of questions to determine the main problem areas and points of opportunity in a business.

By questioning and getting answers from the owner, the coach will then guide the owner in developing his or her own “to do” list … and will follow-up the next week to make sure those “to do’s” have actually been done.

This level of process and accountability are key in the coaching process.

It is also important that the business owner be willing and open to be coached, because if he or she isn’t, coaching (or any type of business help) is doomed to fail.

So what areas can a Business Coach help improve? Here are a series of questions that a coach may ask (and you can ask yourself) about your business right now:

1.Do you have a plan that will help your business do better this year than last year?

2.Do you know exactly what you want your business to do for you and your family?

3.Do you know what your best-selling product or service is?

4.Do you know what the profit margin on that product or service is?

5.Would you know how to grow your sales if you only had one or two product or service lines? If you are looking for business help on how to grow your sales and get more profits, business coaching may be a great resource for you.

Great leaders are always open and willing to discover new tools and tactics for success.

If you are willing to look outside of your company for business help business coaching can help:

- Build better teams

- Get more profits

- Get more time for yourself to better run your business, or spend time away from your company

- Get better planning and organization for your day More accurately and profitably price your products and services

- Generate more cashflow

- Choose the right technology for your company, from computers to phone systems

- Determine the numbers that will grow and drive your business to new levels of profitability

Business coaching is one of the most effective ways to get exponential (versus incremental) growth in any type of company … and it just might be the best way to get the same in yours.

Business Ownership the Surest Way to Wealth- Part 1

WHEN YOU CONSIDER the various ways to build your wealth, the three avenues are shares, property and business? But of the three, which is the best way of building wealth? For me, the answer is obvious and standout winner — business!

No matter what you read in the newspapers, business is — and has always been — the best way to build wealth. The biggest money investors on the planet are the venture capitalists (VC’s). They are ‘big money’ people who have excellent reasons why they put those dollars into certain deals.

Generally, they look at both a company’s management and opportunity for success. And in doing so, they don’t buy shares or property.

They buy whole businesses. Yes, they may acquire those firms through the purchase of shares. And they might get some property in the package. But overall, the world’s top VCs look for whole businesses they can buy. Some VC’s look at emerging industries in markets with high growth potential, while others look at existing industries and companies that are underperforming in their market or category.

The aim?

Turning those companies around.

Once a VC owns a company, a few things can happen. VC investors could split a company’s divisions up and sell them off in parts. Or they could decide to put their own management in place to help leverage growth. Or they may use a single business to buy other similar kinds of businesses to leverage cashflow and profits through acquisitions.

Whatever they may do, the point is the smartest and best money people in the world buy businesses. And if that’s what they do to make money, maybe it’s something you should do, too.

Why?

Because ownership allows control of day-to-day operations, something you can’t do when you buy shares in Microsoft.

Bill Gates and Steve Ballmer have their own team to do that. You can’t do that with property either — primarily because longterm capital appreciation is based on a variety of factors — most of which are outside your control.

But you can control business operations that produce and generate cashflow, and return on investment from profits on cashflow is the key to creating long-term wealth in a business. For the majority of entrepreneurs, I recommend the VC strategy of buying an existing business and turning it around. There are a lot of reasons for this, but the ‘find, fund and fix’ model is probably the simplest way I know to get into business for yourself to take advantage of everything entrepreneurship has to offer.

Article reprinted courtesy of My Business Magazine

Are We Ready for a New Way to Buy Groceries?

What is more important, convenience or health? How about low prices or local products?

These are just two questions that come to mind when you hear about the newest type of grocery store, called in.gredients, which will open its first store in Austin, Texas this fall.

What makes in.gredients so different? Instead of your usual ShopRite or Smith’s supermarket, in.gredients promises to be the first “package-free, zero waste grocery store in the United States.”

“How is that even possible?” you might ask.

They will not sell items produced by major brands, instead focusing on local farmers and businesses to provide their wares, limiting the environmental footprint of the store.

Customers that shop at in.gredients will be asked to bring their own containers, because the items sold will not be packaged. For those customers that forget to bring their own packaging, disposable bags will be available.

While these ideas sound good, there’s a bigger question that a for-profit store has to focus on, how will they make money?

Will people really want to forget about all the convenience of shopping at a major supermarket to shop at a store where they have to bring their own bags and their choices are far more limited than what they are accustomed to? And will the prices be more than what people are used to paying?

Most people want to make their shopping experience as easy and hassle-free as possible, they have more than one or two people to consider when they do the grocery shopping and they can’t afford to pay premium prices for things they could by cheaper around the corner.

Of course, in.gredients isn’t really meant to cater to convenience shoppers, but will instead focus on environmentally conscious people who only eat healthy foods. Their website lists dozens of categories of foods they will sell, but meat doesn’t seem to be one of those categories, so vegetarians will be happy with the selection.

But is their target market large enough to even sustain a profitable business?

Sure Whole Foods has had tremendous success catering to a healthier target audience than most supermarket chains, but while their focus is on health, they offer all the convenience of the other brands in the marketplace.

On the other hand, in.gredients is a completely new way of shopping that may not appeal to those who are used to grabbing a package of hot dogs and buns on their way to a barbeque.

Whether the idea works or not will say a lot about the changing nature of the American consumer.

Have health and environmental concerns finally reached the tipping point where people are willing to pay more and be inconvenienced to fills those needs?

The story of in.gredients, beginning in the fall of 2011, may help us find out.

Breaking Up is Hard To Do

Even when they are successful, partnerships aren’t easy.

Nearly half of all marriages end in divorce and those relationships are between two people that presumably love each other. Business partnerships don’t usually involve people in love, so it’s no surprise that those relationships can go bad so quickly and irreparably.

So what can you do to protect yourself when the partnership for your small business goes bad?

The best way to avoid a bad business partnership is by protecting yourself BEFORE it starts by not getting into one, because once your partnership turns bad, your options are limited.

If you end up in a business partnership anyway, here are some things to think about.

Both you and your partner need to seriously consider all decisions beforehand and create a detailed operating agreement. This should be the source to turn to when you and your partner have issues that can’t be easily settled.

Once you’re in the partnership, if you don’t have an agreement that spells out how to handle issues, you may be in serious trouble.

You can’t simply ask your partner to go away or vote them off the business like a reality show. You will have to continue working with them or buy them out of their piece of the business if things go sour. Both of those situations can be impossible to deal with, so spelling out any and all eventualities ahead of time is key.

Remember, a partnership is a legal engagement and if you are partnering with someone who doesn’t pull their weight or fulfill their end of the bargain, you may have little to no recourse. You could end up spending months in court, suffering financially, losing your small or medium sized business, or worse.

If you’re already in a partnership, don’t have any written agreement with your partner and things are going downhill, what can you do?

Your goal should be to negotiate some sort of compromise with your partner. After all, they are in virtually the same position you’re in and will probably want to get out as well.

Start by talking to your partner, who may also be unhappy and looking for a way out. If leaving isn’t an option for either of you, you may want to think about restructuring the business to better reflect the work each of you do.

The simplest thing to do is to buyout the other owner, but there are some issues with that strategy. Buyouts can destroy your cash flow and those that leave, at times do so with valuable assets, leaving the business short-handed for a time.

And if you don’t have a buy-sell agreement in place, an angry partner can demand that a court set the price the business will be sold at. A judge can even order partners to stay together, even if both want out.

A Tasty Way to Grow Your Business

Who doesn’t love a nice grilled cheese sandwich?

The ultimate comfort food for many, a grilled cheese sandwich is easy to make, cheap and delicious… and now it is the subject of an event glorifying it, the Grilled Cheese Invitational, which attracts fans eager to display their own unique take on the ultimate American comfort food.

The Invitational was started about eight years ago by Tim Walker.

Walker started the Invitational on a lark with friends, but his event has showcased the power of contests and business awards as a way to build publicity for any brand or item. Incredibly, after 8 years the contest has grown to include 221 participants and about 8000 spectators (who pay $12 a piece to attend) in its latest edition.

For business owners, the story isn’t about the grilled cheese competition itself, it’s about the way this contest has generated incredible buzz around something as simple and common as a grilled cheese sandwich.

Imagine if your business could take something it does and turn it into a contest the business could host that would create loads of publicity. Don’t you think that could pay big dividends for your business?

The idea of creating contests to grow your business while presenting contestants with awards is a natural for restaurants. For instance, some restaurants hold eating contests and places that have specific themes could hold contests directly related to what they serve, like an oyster shucking contests in a seafood restaurant.

But it isn’t just restaurants that can use this tactic. Any business that provides a service can turn that service into a contest to promote the business with just a little thought.

So if you are you looking for a way to grow your business, but aren’t sure what to do, why not hold a contest that customers and potential customers alike can take part in?

A contest centered around your business, complete with awards you can give to the winners can be a very powerful tool and if you don’t believe it, just ask one of those 8000 people that spent $12 to attend the last Grilled Cheese Invitational.

Brad Sugars Strikes a Balance While Helping Businesses

A Meme by Any Other Name- Part Two

A marketing meme always accomplishes four things. It actively transfers specific information. It’s immediately and obviously beneficial. It’s ultra-simple. And it’s easy to remember and pass along to someone else.

When all of these elements are in place, marketing memes work like magic.

Let’s use an example to make this point clearer.

Say you are at a party and just used your marketing meme to answer someone’s question about what you do for a living.

Even if the person you’re talking to doesn’t need your services, they understand immediately what your business is about.

Now, about a half an hour later, that same person drags a friend over to you and says, “You should talk to Sarah here — she needs to attract more clients.”

Bingo!

This can happen anytime and anywhere, which is why it’s smart to apply the meme idea to virtually any marketing message.

When you do, people will understand you more quickly, and as a result, you’ll attract more attention, interest, and response.

You don’t have to worry about snappy slogans or phrases.

Instead strive for clarity, simplicity, brevity, and a description of benefits, wrapped up in just a few words (or a combination of words and images).

And remember that great marketing memes make a direct and memorable connection.

A Meme by Any Other Name- Part One

In 1976, Oxford University biologist Richard Dawkins wrote a book called “The Intelligent Gene” in which he introduced a new concept to our culture: the concept of memes.

According to Dawkins, a meme, which rhymes with “seems” is similar to the genes that we all have inside us, in that it is self-replicating.

But unlike genes, memes don’t replicate biologically but, instead, are passed along, from person to person, in the form of ideas.

Dawkins argued that memes are the “basic unit of cultural transmission” and that concept is pretty clearly evident just by looking at some examples of memes.

Songs, ideas, catch phrases, clothes, fashions, ways of making pots, or of building arches are all memes and just as genes propagate by leaping from body to body via sperm or eggs, so memes propagate by leaping from brain to brain via a process which, in the broad sense, can be called imitation.

Understanding this concept and creating marketing and advertising that serve these purposes can be very important to the success of any business.

Over the next few posts, we’ll take a look at some concepts regarding memes that should help you understand how to create a marketing campaign that people will remember for a long time.

When it comes to marketing, the concept of memes is very important, since you want ideas to naturally flow from one person or group to the next, replicating itself over and over again.

We’ve heard of this concept when we’ve heard of video going “viral” on the internet, but how can you accomplish this for your own business? Come back for the next blog as we explore this idea.

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