RSS

Tag Archives: success

Good, Cheap, Fast: The dilemma of providing ideal service

The first Monday of each month, I dust off a favorite post from the Bennis Inc Blog archives and give you another chance to enjoy the wit and wisdom that’s been shared. Enjoy this month’s treasure – and if it inspires you – be sure to share it with family and friends!


service

Just a few days ago I was in a local mechanic’s shop and amidst the shelves stacked high with dusty papers and some foreign-looking objects that were likely common knowledge auto parts, there was a simple sign hung on the window that looked into the garage. It read, “We offer three kinds of service: Good – Cheap – Fast. You can pick any two.” After my initial amusement from envisioning an old crotchety man pleased with himself as he hung this sign in his shop, I realized that is the dilemma every business owner faces when trying to offer ideal customer service. For a laundry list of reasons, my business is very different from this mechanic’s. But when it comes to customer service, this sign accurately summarizes us both.

If it’s fast and good, it won’t be cheap. “Rush” projects are common in almost every industry. From the mechanic to the Public Relations professional, sometimes some things just cannot wait. Because a rush project can save a client from a terrible inconvenience, loss of potential business or increase their revenue, I certainly accommodate them whenever possible. In fact, one of my main reasons for keeping ahead of my planned projects is to allow for the occasional rush project. Allow me to say what most other business owners think; we keep this open time for rush projects because they’re a great source of unexpected and well-paying work. People are willing to pay more to prevent a bad situation – and thus, the dilemma of rush service. A bad business owner takes advantage of this opportunity to gauge a client in a vulnerable situation (i.e. obscene rush shipping charges or overtime wages), while a good business owner charges just enough more to compensate them for the extra hours of work and the opportunity-cost of pushing their scheduled projects to the side.

If it’s good and cheap, it won’t be fast. For clients who want the highest quality of service at the best price possible, the key is to be flexible with your deadlines and to start well ahead of when you need something done. The best example I can give here is my experience with mass mailings and the postal system. If I have a large enough mailing, I can benefit from pre-sorted postage rates which are half that of a regular stamp. This is a huge cost savings when your list is in the thousands! However, the big caveat here is that you must give yourself ample lead time for the mailing to process and hit mailboxes—I’m talking about a month. The postal service offers this discount rate, but it can take up to 25 business days to be delivered, as opposed to the standard 2-3. If you want something done good and cheap, you must be more flexible on the time frame in which you wish to have it completed. A long lead time (and ample patience) can save you a lot of money in the long run if you can plan ahead for it.

If it’s fast and cheap, it won’t be good. This combination of service is the one that most good business owners would prefer to avoid entirely. When it’s all said and done, neither the customer nor the business will be happy with a final product that was done quickly and cheaply. I know this is one of the rare instances where I might need to step away from a project if I think it will poorly reflect upon me or my business. Certainly I offer every client my best services at the fairest rates; it’s only when I’m stretched beyond reason that it becomes a problem. The two other options above prove why fast and cheap service won’t be the best quality. A business either needs to charge more for a rush project that pushes all other projects to the side or needs more time and flexibility from a client to do the best work on a tight budget.

Can we ever have all three? If you’re talking in extremes, I’d say the answer is no. An award-winning web site design done in three days for under $500 is either a scam or poor business management. In the real world, one of these three factors (time, quality or cost) would need to give. In less extreme examples, I have personally benefited from rush projects, done completely to my standard and for a fair price. The key is relationships. Once you build a good relationship with a business owner or contractor, you can work with them to achieve a good balance of all three.

As for me and the mechanic, I paid well under what the dealership would have charged me, fulfilled my inspection for the year and had my car back in just a few hours. So regardless of what that sign hanging in his window said, I think I just might have gotten away with getting a little bit of all three!

Advertisements
 

Tags: , , , , , , , , , , , , , ,

5 Common Legal Mistakes That Can Ruin Your Startup (Contribution from Michael Deane)

The following post comes to us from marketing entrepreneur, Michael Deane, who is the founder three businesses and currently working on his next startup venture. Be sure to learn more about Michael in his biography at the end of this article.


legal mistakes

Alan Moore once said that ideas can change the world.

And isn’t that what all startups start out as? An idea that we hope will change the world?

While we are busy brainstorming and developing theories and ideas, coming up with the next product that will shake the ground we walk on, the business side of our business creeps up on us, and lurks there in the dark, waiting to pounce at the most opportune moment.

As a business owner, I can tell you two things: there will be about a million things you would rather do than read laws and regulations, draft contracts, do your taxes and fill out all the finger cramping paperwork needed to register a company. However – and it’s a big however – without the dull stuff, the fun stuff will not quite pay off as you hoped it might.

In order to hopefully save you some of the potential trouble down the line – here are my five legal missteps to avoid at all cost.

Not Knowing the Difference between a Corporation and an LLC

One of the most common mistakes you can make very early on is not even thinking about the different options to register a company. Naturally, the choice you make will mostly depend on where you live in the world, but the actual legal structures are quite similar, no matter what name they go by.

You can go for a sole proprietorship, a partnership, a limited company, a limited liability corporation, or a full blown corporation. The reason why this is important is quite simple: taxes. There’s also the issue of personal liability, which is again more important than you may initially think.

Weigh your options very carefully before you actually start this process. Some countries offer the option of registering your company online, which involves less hassle than having to walk from office to office to do it. There are also very different fees involved, and the necessary number of signatures can also vary.

As always in business, research is your friend, so do it right, do it early on, and save yourself the legal trouble later on.

Not Bothering to Protect Your Intellectual Property

When I say intellectual property, I don’t only mean secret recipes, production secrets and unique service ideas. Your intellectual property may be something as seemingly simple as a logo or a brand catchphrase. And while it may not seem too important early on, it may become a game changer in later years.

Trademarking any unique designs can protect your assets and save you from intellectual property theft. If you’ve ever seen Dream Girls, you will have heard the two versions of the “Cadillac Car” song – don’t let that happen to you.

If you have also come up with a new production system or even a new blend – patenting it can turn into a valuable asset.

Failing to Grasp the Importance of Contracts

A contract is a legal document in place to protect all of the parties signing it. When you think about it, you would never consider working with a client without one, right?

However, as you are starting out, you may feel it is easier to operate without them. Having to get a client to sit down and read through a couple of pages can be more difficult than chatting about a deal online, and shaking a firm hand.

To save yourself a lot of unnecessary headaches, draft a contract that will protect you – especially in case a client fails to pay an invoice. This happens more than you can imagine, and a contract that ensures you will get paid is a lifesaver.

While there are thousands of ready-made contracts available for download – you will be much better off if you have a template contract drafted by a professional attorney. This way, you ensure that the specifics of your business and the service or product you offer are taken into consideration, and that you are not overlooking a very obvious clause that may not have made its way into an online contract.

Googling for Help

While Google is often our best friend – it is the worst place to go for legal advice. While there are countless blogs and forums that can offer some great business tips, productivity hacks and motivational speeches – don’t ask the internet to tell you how to get out of a particular legal issue.

You will undoubtedly find an answer you will like, an answer you will find helpful and an answer that seems right – but no one can guarantee it will actually do the job.

Take everything you read online with a grain of salt (including this very article) and think things through yourself. We have become so dependent on having all the information in the world at our fingertips that we can forget to use our own common sense to solve a problem.

Being Unclear about Company Roles

Knowing who does what and is responsible for which aspect of the business is not only important from the legal standpoint. The law will need to know who the legal representative of your company is, and who is liable for what. Thinking about this early on is very important.

While there may only be a handful of employees in the company right now – that is likely to change, if the idea I mentioned at the beginning was sound. Figure out who will be the face of the company, who will be responsible for the financial side, and who will be the liable one, in case things go south. This is where the type of company structure you choose comes into play again.

I hope these five tips will help you as you set out to chase your dreams. And that 400 years from now, your idea is still changing the world!


Michael DeaneAbout the Author: Michael Deane has been working in marketing for just under a decade, and has successfully launched three of his own businesses. Today, he runs a small business blog at Qeedle, and is working on his next big venture idea.

 

Tags: , , , , , , , , , , , , , , , , , , , , , ,

Married to an Entrepreneur: 8 Tips to Survive and Thrive

UpliftingAthletes_597

I’m married to an entrepreneur. For many of you who can relate, you would understand how that alone can add a layer of complexity to balancing work and marriage. However, my husband can also say that he’s married to an entrepreneur. Yes, as fate would have it two entrepreneurial spirits found one another, amidst their own lives’ chaos and fell in love.

In fact, I met Scott just weeks before I took my entrepreneurial leap. He was only 5 years into running his own nonprofit organization, and knowing how risky and challenging this journey can be, still wholeheartedly welcomed me into the tumultuous seas of entrepreneurship. “Jump in! The water’s fine!”

Fortunately, taking that leap remains the most important moment in my career that has led me to now entering my seventh year as owner of Bennis Public Relations. In these seven years, I didn’t just grow my business, we also grew our family by two sweet (and very energetic) boys. Scott also ventured into two more businesses (as entrepreneurs tend to do), both startups requiring what feels like 300% of his time.

If you’re doing the math, between us that’s four businesses, two young children….and a partridge and a pear tree.

But in all seriousness, yes our schedules are sometimes crazy, yes we sometimes have challenging moments and overwhelming workloads, yes we sometimes wear many hats and have many masters to serve. But we’ve also established, and worked hard to achieve a pretty enjoyable life flow. I want to share with you how we (sometimes) do it all: grow businesses, chase after children, find time for date nights and get enough sleep to survive…sometimes.

For anyone else who can say “I’m married to an entrepreneur,” here’s my advice to you:

 1. Determine whose “day” it’s going to be. With two busy schedules, and when children are involved, you have to communicate important obligations (i.e. travel, work meetings, events) early and often. This helps to manage expectations and prevent any “Who’s going to watch the kids?” moments.

2. Never give unsolicited business advice. When I ask Scott about his day, he often shares the good, the bad and the ugly. It’s tempting to weigh in with advice on what he should do or could have done differently. While this can be appreciated at times, sometimes he or I just want to lament and have someone listen – not provide commentary. Our own ground rule is to never give unsolicited business advice. Often we solicit, but when we don’t, we try to respect this boundary.

3. Get on the same page about how you want to use your free time. It may be hard to believe, but we have many evenings or weekends where our schedules are completely open. I’ve found it so important to communicate how we each desire to use this time. Before doing so, I would often have a vastly different game plan for this time. Sometimes Scott would want to take a family day trip while I preferred to catch up on things around the house and relax. Sometimes I’d be ready to hang out while Scott needed to catch up on a quick work project. The result was frustration and disappointment. Usually over breakfast one of us brings up the question, “So what are your plans for tonight?” It’s made all the difference!

4. Don’t use each other as your sole sounding board. Similar to not giving unsolicited business advice, this tip falls more on the spouse who is the one actively seeking consultation. I’ve found that we are both able to get the support and encouragement we need when we don’t look solely to one another to provide this 100% of the time. This means seeking out friends and fellow business owners to also be a sounding board. After all, second (and third) opinions are a good thing.

5. Sacrifice for both your family and business. As a business owner, you have to make many sacrifices for your business – putting in long hours, investing your own funds and picking up the slack to name a few. What I have found to be so important is also sacrificing for your family. This might mean letting some work pile up over the weekend or silencing a phone call over dinner to maintain the peace and necessity of family time. Family (and especially spouses) can feel neglected when they see you sacrifice endlessly for your business, yet see you struggle to do the same for your family.

6. Frequently assess your “life” plan. Everyone has a bad day, stressful week or disappointing month. However, if you see this as a growing trend, it’s time to take action. I firmly believe that you need to assess your “life” plan every so often, just as you would a business plan. This is where you should also involve your spouse to gauge how they have been feeling lately about the balance between family and work.

7. If something’s not working, fix it. Once you’ve assessed your life plan and found major areas that need improvement – do something about it! Adjust schedules, reassign responsibilities, outsource work, ask for help and prioritize family time. I promise you, if you don’t do this, things will only get worse.

8. Make time to enjoy the fruits of your labor! Most importantly, learn how to enjoy what you’ve worked so hard to earn. Scott and I went far too long without taking a weekend getaway, much less a real vacation together. When we finally did, wow what an experience! For so long we were used to the daily hustle, pinching every penny and using every spare moment to grow our business. If we ever got to do something together, it was often work-related for one of us. A true, work-free vacation, at least annually, is something that has brought us so much closer together and also encourages us to keep up the grind!

Whether you are married to an entrepreneur, an entrepreneur yourself or both, there are some unique challenges we face when it comes to balancing work and family. What piece of advice did you find most helpful? Do you have different advice to share?

Join in the conversation by leaving a comment!

 
2 Comments

Posted by on April 9, 2018 in Business & Success, Life

 

Tags: , , , , , , , , , , , , , , , , , , , , , , , , , ,

Revealing Character Through Communication

The first Monday of each month, I dust off a favorite post from the Bennis Inc Blog archives and give you another chance to enjoy the wit and wisdom that’s been shared. Enjoy this month’s treasure – and if it inspires you – be sure to share it with family and friends!


textingDuring the steps along my career path, I’ve encountered some truly great communicators who were friendly, organized and a pleasure to work with. As with any balance to life, I have also encountered a memorable few who were quite the opposite – impatient, rude and condescending. I used to take negative communication very personally, wondering what I could have done to make it a more pleasant experience, but have since reconciled that it had little to do with me. I wasn’t giving the person the answer they wanted (maybe I wasn’t the right contact to address their request or maybe it simply couldn’t be done). And because of this, they felt as though they could treat me with less respect or professionalism than someone who could offer them immediate solutions.

I continue to encounter similar styles of communication from time to time and it really grates on me. I believe that character is best demonstrated by how you treat those who can do nothing for you. Therefore, these incidences are a reflection of a character flaw that many people may be unaware they exhibit. I’m sure I am not exempt from this – a lapse in my communication may have left someone else feeling brushed off or belittled at one point or another. In an effort to put an end to unprofessional communication, I want to examine the following key points to shed light on why this is such a critical problem:

The importance of always being professional

It’s a small world. We all know the meaning of this phrase as we have likely had the experience of running into contacts again and again through similar circles or completely unrelated circumstances. This is a reminder to me every day that my reputation is my most valuable business asset. Whether you live in a big city or a small town, you can’t afford to burn bridges if you want to be successful in your career. Nothing slows down business growth faster. The importance of always being professional when communicating with customers or vendors is realizing that you may very likely have to deal with them again. Don’t ignore this important lesson! Most of the unprofessional communicators I’ve had to deal with have popped up in my life again, needing information or services from me – often with their tail tucked between their legs.

Identifying the subtle negatives

Sometimes the worst communication experiences are hard to identify because they’re subtle, yet leave you with an overall feeling of hurt, frustration or anger. It may be hard to pinpoint the exact reasons the conversation was so unpleasant, but the feeling it leaves you with is real nonetheless. The subtle negatives I’ve most often identified have involved someone exerting their power or position to make me feel dumb or incorrect about an answer I have provided. Another common subtle negative is someone being bossy or aggressive in their tone and in the type of services they demand. In less subtle situations, I’ve had people outright yell at me, hang up the phone or threaten me in various ways (chalk this up to some good old political campaign experience). Most often negative communication can be identified in someone’s tone and word choice. Even if you have something negative you must communicate – and this does happen – there are various ways to still make it a positive communication experience overall. There’s no excuse.

Letting someone know when they’re being unprofessional

This is a difficult subject to breach. No one wants to directly confront someone else about their attitude or negativity because it can be, well…scary. We’re more willing to put up with the unprofessionalism and belittlement than we are willing to tell someone they’re just being rude. The risk is that we end up looking rude in return or that we anger them even more and the communication further declines. If the negative communication is subtle and you’re not sure if they even know they’re coming across this way, it’s important to handle the situation softly, but directly. Let them know that it’s how they’re making you feel rather than accusing them of being outright mean. No one can argue with how you feel and hopefully even if they don’t want to recognize that their actions are causing this, they will at least be professional enough to make an effort to change. On the other extreme, if someone is being unprofessional to the point of yelling or insulting you, then you must also address this directly, but more firmly. Identify specific examples in which their communication is unacceptable (swearing, yelling and hanging up a phone are never acceptable in my mind) and let them know that you will have to cut off further communication if they can’t approach the situation more professionally. Hopefully such instances are rare, but it’s important to know how to speak up to put and end to it.

They key concept worth taking away from all of this is that character is best demonstrated by how you treat those who can do nothing for you. Negativity is never acceptable even if you realize you’re “only” dealing with an office administrator, assistant or intern. Most often, these are the gatekeepers for who you really want to be talking to. As I said before, it’s a small world, so be sure to be kind and professional to everyone you encounter. It truly takes no more (maybe even less) effort than it does to be rude and when the world connects you with them again you’ll be glad you have a friend, not a burnt bridge, to work with.

 

Tags: , , , , , , , , , , , , , , , ,

When Should You Outsource a Task?

when to outsource

As a PR consultant, I am most often the one helping businesses outsource their PR and communication strategies to lessen their workload. For a lot of reasons, I love the concept of outsourcing and believe that in specific scenarios it works beautifully! Business owners have more time to devote on business development and operations, while they know that their PR efforts are being consistently and professionally executed, sometimes even as they sleep!

I acknowledge that there are some scenarios where outsourcing isn’t the best option and can cause a disconnection and dysfunction in a business. Often this is the result of a lack of communication and leadership. What I’ve discovered through my experience with outsourcing is that there are three simple questions I must ask myself to determine if I should complete a task in-house, or seek the help of a contractor to outsource the task.

The following three questions will help change your life – both personally and professionally. Think of some of the tasks you are procrastinating from accomplishing right now. How would you answer these three questions about those tasks?

  1. Does it bring me joy or fulfillment?

Does the act of accomplishing a certain task bring you joy or fulfillment? Don’t focus on the end result here. Usually we are all happy to knock a task off our to-do list. What this question is asking is do you enjoy the actual act or process that leads to the accomplishment?

For example, I love having a clean home, but the act of cleaning my house, especially those nitty gritty corners, does not bring me joy or fulfillment. I drudge through this task, often doing less than a stellar job just to get mediocre results. I know people who absolutely love cleaning, it’s like a religious experience for them. For this very reason, I acknowledge that cleaning is a task I may choose to outsource. And I’ll reinforce this further with my next point.

  1. Is it the best use of my time?

Expanding upon the house cleaning example, I choose to outsource this task to a phenomenal cleaning lady who comes once a month, works for 3-4 hours tackling every room in the house, and provides all her own cleaning products. Her flat rate equals one hour of my billable time. Plus I don’t have to buy virtually any cleaning supplies! For me, cleaning my home is not the best use of my time, especially because it doesn’t bring my joy or fulfillment.

You may be able to think of a variety of other examples in your own personal or professional life that would yield a similar answer. It has nothing to do with feeling you are “above” a certain task. Again, refer to question number 1. If a task doesn’t bring you fulfillment and you can earn more money in the same time it takes to outsource it, don’t guilt trip yourself. Now consider this final question carefully.

  1. Does it help others?

I strongly believe everyone should use some of their time, each and every day, to help others. This can and will look very different for each of us. For some, it’s volunteer work for a cause you care about, for others it’s offering free professional advice with no intention of trying to profit from it. For others still, it’s providing someone else with the opportunity to do better in life. This can be through charitable donations, but also by creating opportunities for people to earn a good living using their God-given skills.

To draw a final parallel to my house cleaning example, I could certainly make time to accomplish this task myself. But it would mean one less client for a fellow small business owner. Rather, I enjoy compensating someone else, a fair and competitive rate, for the skills they are using to earn a living.

Years ago, as I was working hard to incubate my business and save every penny I could, I didn’t dare dream of outsourcing anything. Even after the business was producing stable profits, I struggled to break free from this mindset. Instead, I spent years doing everything I could to keep low overhead, both personally and professionally. Only in recent years, have I learned to enjoy the fruits of my labor and create a life that is far more enjoyable with outsourcing certain tasks. I urge you to thoughtfully consider the same.

Your answers to these three questions may surprise you, and as you run the numbers, you will find that outsourcing things you do not enjoy, that are not the best use of your time and that could help someone else instead, is a viable and valuable opportunity to spend more time doing what you love!

What tasks do you outsource in your life? What are your standards to determine if you should outsource? Join in the conversation by leaving a comment below!

 
1 Comment

Posted by on March 19, 2018 in Business & Success, Life

 

Tags: , , , , , , , , , , , , , , , ,

5 Important Decisions for Every Entrepreneur (Contribution from Jock Purtle)

The following post comes to us from internet entrepreneur, Jock Purtle, who is founder of Digital Exits, a company specializing in the buying/selling and appraisal of online businesses. This article is based upon his entrepreneurial experience.


5 Important Decisions for Every Entrepreneur

For many, the hardest decision you will make as an entrepreneur is the first one: the decision to go out on your own. In today’s fiercely competitive marketplace, the idea of running a business can be intimidating, to say the least. But once you get over this hurdle and realize fear and hesitation are the only things standing in the way of you accomplishing your goals, you’re well on your way to entrepreneurial success.

As you likely already know, though, it’s not that simple. Getting started with your own company is like riding a roller coaster in the dark. Each up and down is intense, and it’s hard to know what’s coming next.

To try and make things a little easier, we’ve come up with a list of five decisions that every entrepreneur needs to make early on in the life of their company. By highlighting these, we hope you’ll be able to focus in a little more on what you need to be doing to make your company work so that you can weather the storm as it comes your way, worry a bit less and take one more step towards success.

The decision making will never end, and it will soon turn into your most critical task, but here are some key choices you’ll need to make right off the bat to set your company up for a healthy future.

 1. Your ideal customers

You’d be surprised how many entrepreneurs don’t take the time to clearly define their target audience. Often times, entrepreneurs are so excited about their idea that they don’t stop to think who might want to spend money on it. A good idea is a good idea, and there is likely a business to be built around it, but without clearly defining your target audience, the initial stages of your business will be a real challenge.

The important thing to remember when going through this process is to be as specific as possible. It’s not enough to just say you are hoping to target urban Millennials. Instead, put yourself in the shoes of your ideal customer and ask yourself how your product or service might factor into their life. What need are you fulfilling? Or, how are you making their life better or more comfortable?

By answering these questions, you will have a more specific idea as to who you need to be going after and how you are going to reach them. For example, you may find that your audience is men between the ages of 20-35 who live in cities, earn above-average salaries and have an active lifestyle. This is vital information, as it will help determine your marketing and advertising strategies going forward.

Furthermore, once you make this decision, a lot of other decisions will become easier. All you need to do is ask yourself: Is this going to help me reach my target audience? If the answer is yes, proceed. If no, then keep working. Taking the time to be very clear about this part of the business right from the beginning is an essential step to ensuring the success of the company.

2. Management style and company culture

While you as the entrepreneur may be the brains behind the operation, you’re fooling yourself if you think you can pull this off on your own. You are going to need to bring in a good team to help you get off the ground, and then once you do, you are going to need a growth plan. What types of employees are you looking for? Which ones are you trying to avoid?

A big part of this is also your management style. Are you going to run things more top-down? Or do you plan to be more decentralized, delegating certain decisions to those more qualified to make them?

You’ll also want to take a look at yourself as a leader and manager and figure out how to improve. There are plenty of things we do without realizing that affect how employees view us and act towards us, and you really won’t see this until you are in a position of leadership.

Take some time to figure out what you want your company culture to be. You may think of culture as something that develops organically, and to a certain extent it is, but you can have a significant impact on the direction it goes. A lot of companies are adopting a more laid-back approach, offering their employees more and more benefits, such as unlimited vacation time and free coffee of the month subscriptions, as a way of trying to foster engagement and buy-in. This may or may not be the right approach for you, and this is something you’ll want to figure out as soon as possible.

All of these things should be figured out in the beginning because as you grow it will be harder and harder to make time for this type of planning. Spend some time as you are getting started and you’ll find yourself managing growth much better, setting your company up for success in the future.

 3. Exit strategy

When first starting out with a company, the idea of an exit strategy seems far away. But it’s actually very important to consider. Planning out your exit strategy means thinking long-term. It allows you to align resources so that you can move forward at the right time.

An exit strategy can come in the form of an initial public offering (IPO), a sale or a merger, but the thing to remember is that you don’t actually need to implement the strategy. If things are going well, you have every freedom to stay with the business. But plotting out from the beginning how you might exit gets you thinking big picture and this can only help your business.

Plus, having a clearly defined exit strategy plays very well with investors. They want to know how they are going to get their money, and demonstrating to them how this will happen increases your chances of securing the resources you need to get your company off the ground and heading towards prosperity.

 4. Marketing and branding

It’s never too early to start thinking about branding. In today’s competitive marketplace, having a strong brand is going to be what ultimately sets you apart. Much like the decisions you’ll make about company culture, choosing your branding strategy needs to be one of the first things you do.

Figure out what makes you unique, determine what you want to stand for and do some research to figure out the best way to communicate this to people. Social media is huge for building your brand, and if your target audience uses this medium, you may want to consider hiring an agency or consultant to help you.

In fact, this may be one of the best decisions you make as an entrepreneur. Successful marketing requires a full-time approach, and too many small companies try to do it on their own, only to end up wasting their precious resources without seeing results. It’s your job to do the high-level strategic thinking. Then, bring in some experts to help you execute your plan.

5. Cybersecurity

Here’s one not too many entrepreneurs think about, and it’s a real shame that they don’t. Cybercrime and hacking is the threat of the future, and small businesses are being increasingly targeted. They’re easier to get to, as they don’t always invest in the right protection, but they still possess valuable information. And the damage a hack causes to your reputation is often far too much for any small company to overcome.

Figure out how you’re at risk and what you need to do to protect yourself. Cybersecurity infrastructures can be expensive, and the last thing you want to do is to have to shut down your website or other services so that you can install new security measures. Don’t let cybersecurity become an afterthought. You’ll pay for it down the road.

Final thoughts

From the moment you decided to become an entrepreneur, you essentially converted yourself into a full-time decision maker. As the business grows, you will be faced with increasingly challenging choices, but with experience, you’ll learn what’s best for your business. However, until you reach this point, things can be a bit stressful. Consider these critical decisions every entrepreneur needs to make so that you can start your business heading in the right direction.

Join in the conversation! Among these five decisions an entrepreneur must make, which one do you feel is the most critical?

About the author: Founder of Digital Exits, Jock Purtle is an internet entrepreneur who specializes in the buying/selling and appraisal of online businesses. He began investing in websites as a hobby when he was a teenager, but it slowly turned into his full-time job. He works with other entrepreneurs frequently and enjoys sharing his knowledge to help others find similar success working for themselves.

 

Tags: , , , , , , , , , , , , , , , , , ,

The Size of Success: A Profitable Business Doesn’t Require a Big Business

The first Monday of each month, I dust off a favorite post from the Bennis Inc Blog archives and give you another chance to enjoy the wit and wisdom that’s been shared. Enjoy this month’s treasure – and if it inspires you – be sure to share it with family and friends!


GoldfishWhenever someone asks me what I do for a living, I’m finally at a point in my life where I’m excited and proud to tell them about my entrepreneurial journey and some of the great experiences it has provided along the way.

When I held previous jobs and was asked this same question, I always felt as though I was making excuses, downplaying my position or glossing over my current career to talk about the career I one day aspired to have. It’s an incredible feeling to be living your passion every day as a small business owner, but I believe some misconceptions still exist about our measure of success. This most often rears its head when the inevitable follow-up question to owning my own business is, “How many employees do you have?” The unexpected truth is, it’s just me. I’m a sole proprietor, or S-Corp, and I’m small by my own design.

Small By Design

Not every business will or should follow the template of growing by X number of employees every year. The fact of the matter is that it’s not every business’s model to grow in this direction. Depending upon the service or product, it’s simply not necessary. And if it’s not necessary to have this many employees, why carry the extra overhead and liability?

Outside of my residual monthly clientele, new or one-time projects for which I’m contracted are very unpredictable. In one day I can receive multiple new leads or things can be quiet for weeks. As a business of one, I’m able to tuck my tail and reduce my overhead to nearly zero when I’m in a business building phase. And when I’m swamped with work and requests for services, I can easily call upon my network to contract out certain work that’s more efficiently handled by their expertise.

I love contractors and freelancers for the very same reason I am one to so many businesses. When times are great you can go full steam ahead and as soon as work slows down, you can cut back and preserve precious capital. Bigger businesses can’t do this as easily. They’re stuck with fixed expenses like rent and salaries that need to be paid regardless of cash flow. Another major benefit I see to being a business of one (at least for right now) is that I am accountable to my clients and that’s all. I don’t have to worry about keeping regular office hours to also be accountable to employees. I can travel as I please, work from home, set my own schedule and take vacation without the slightest sense of guilt so long as I maintain my work for my clients.

While being small by design is not a luxury every type of business can afford, I highly recommend enjoying it for as long as you can. So long as you don’t measure your success by the size of your office or staff, this is a very strategic and enjoyable model for an entrepreneur.

The Measure of Success

What do you commonly use as the measure of success for a business? I know before I began my own, I was guilty of asking the common questions of “How many employees do you have?” or “Where is your office located?” to judge the legitimacy of a business. I’ve since had my eyes opened to the endless varieties of business structures that exist and most surprisingly is that I really have not found a strong correlation between size, structure and success. What I have found is a strong correlation between success and the type of leader running the business.

Having been down a similar path, I’m now profoundly more impressed with a small business (especially those consisting of one person) that provides the same perception and level of service as a firm two or three times its size.

At the end of the day – or the fiscal year, rather – the profitability and success of a business is not determined by the number of employees or square footage of your office space. What it is determined by is your drive and dedication to seeking out new clients, providing exceptional service and functioning above the level of your competitors. And for me at least, I can efficiently and comfortably accomplish this right from my home office!

Have you ever owned or worked for a business that was small by design? How did you measure your success if not by the number of employees or size of your office? Share your thoughts with us by commenting below!

 

Tags: , , , , , , , , , , , , , , , , , , , ,

 
%d bloggers like this: