Great ideas need landing gear as well as wings.” – CD Jackson – American publisher
Building a business is no different then building anything, there are many pieces to put together and many details to cover. If you were building a building (whether a tool shed or a skyscraper) you would need a plan!
The process of creating a business plan forces you to take a realistic, more or less detached look at your business in its entirety.
A finished business plan becomes a tool that will help you manage your business and work toward its success.
The business plan allows you to take nebulous thoughts and put them in concrete form. It is the difference between those who merely have an idea and those who make money on one.
The importance of planning cannot be overemphasized. It is the key to unlocking the door to success. And once you open that door, what do you find? About a thousand more doors with all kinds of variables, problems, and situations. The only way you can effectively handle those variables in a business venture is to have a logical, well-organized business plan.
By taking an objective look at your business, you can identify areas of strength and weakness. You can pinpoint your needs or details you might normally overlook. A business plan will give you enough information to help you spot problems before they arise. Planning will help you determine how you can best achieve your business goals.
A business plan does several things for you:
• Helps you identify your objectives.
• Helps you develop strategies to meet those objectives.
• Helps you earmark problems and suggests ways to solve them.
• Helps you avoid problems altogether.
• Helps create a structure to your business by defining activities and responsibilities.
Fostering the entrepreneurial spirit!
Saturday, June 30, 2012
Saturday, June 16, 2012
Planning and Implementation Go Hand-in-Hand
A plan succeeds only through action!
How many times have you heard a business owner proudly state, “I have a business plan”? Then you learn one or more of the following:
• The business plan was prepared when the business was first launched long ago.
• The plan has not been updated for years.
• The plan was prepared using a bank’s required format to help justify a loan.
• The management team does not refer to the plan.
• The plan is unwritten and exists only in the owner’s mind.
• The plan includes only general concepts and nothing specific.
A plan only has value if it helps guide implementation. That means it needs to be written and kept current. It needs to be used and referred to by the management team. It needs to include specific action items with target dates for completion.
Both plans and implementation are required to succeed. They go hand-in-hand.
If you act without a plan, you will be wasting time and money. If you plan without implementation, nothing gets accomplished.
Whatever business processes you follow, make sure they include both planning and implementation steps to ensure your actions are well thought out and your best laid plans are put into motion. The combination of advance planning and timely implementation goes a long way in building a successful business enterprise.
How many times have you heard a business owner proudly state, “I have a business plan”? Then you learn one or more of the following:
• The business plan was prepared when the business was first launched long ago.
• The plan has not been updated for years.
• The plan was prepared using a bank’s required format to help justify a loan.
• The management team does not refer to the plan.
• The plan is unwritten and exists only in the owner’s mind.
• The plan includes only general concepts and nothing specific.
A plan only has value if it helps guide implementation. That means it needs to be written and kept current. It needs to be used and referred to by the management team. It needs to include specific action items with target dates for completion.
Both plans and implementation are required to succeed. They go hand-in-hand.
If you act without a plan, you will be wasting time and money. If you plan without implementation, nothing gets accomplished.
Whatever business processes you follow, make sure they include both planning and implementation steps to ensure your actions are well thought out and your best laid plans are put into motion. The combination of advance planning and timely implementation goes a long way in building a successful business enterprise.
Tuesday, May 22, 2012
Why Small to Medium Sized Businesses Can Benefit From an Outside Perspective
Most business owners are really GREAT at their ‘business’ but find the ‘business of business’ tedious.
Using an outside business expert can:
Using an outside business expert can:
1. Free the owner to do what they love, do what they do best, and work ON the company!
2. Bring a fresh view and perspective to a business. Fresh eyes can often see better than those focused on the trees rather than the forest.
3. Supply expert advice and assistance for far less than then cost of an employee OR the owners time. Better known as the ‘economy of knowledge’ because the client gets the benefit of using an advisor for a fraction of the cost of any employee.
4. Accomplish the correction of issues and the capture of opportunities quicker than using inside resources. Outside experts are: experienced, objective, accountable and results oriented.
5. Finally have someone other than themselves who has the owners and the businesses best interests at heart.
Friday, May 18, 2012
And now for something completely different...
Every entrepreneur can use a break now and again. Blame it on snow-madness, blame it on March madness., or blame it simply on a little Friday-itis. Here are some good laughs to send you off into the weekend:
Accountant and the Business OwnerThere once was a business owner who was interviewing people for a division manager position. He decided to select the individual that could answer the question "how much is 2+2?"
The engineer pulled out his slide rule and shuffled it back and forth, and finally announced "It lies between 3.98 and 4.02".
The mathematician said "In two hours I can demonstrate it equals 4 with the following short proof."
The attorney stated "In the case of Svenson vs. the State, 2+2 was declared to be 4."
The trader asked "Are you buying or selling?"
The accountant looked at the business owner, then got out of his chair, went to see if anyone was listening at the door and pulled the drapes. Then he returned to the business owner, leaned across the desk and said in a low voice "What would you like it to be?"
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A new business was opening and one of the owner's friends wanted to send flowers for the occasion. They arrived at the new business site and the owner read the card; it said “Rest in Peace”. The owner was angry and called the florist to complain. After he had told the florist of the obvious mistake and how angry he was, the florist said. “Sir, I”m really sorry for the mistake, but rather than getting angry you should imagine this: somewhere there is a funeral taking place today, and they have flowers with a note saying, “Congratulations on your new location!”
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Fresh out of business school, the young man answered a want ad for an accountant. Now he was being interviewed by a very nervous man who ran a small business that he had started himself.”I need someone with an accounting degree,” the man said. “But mainly, I”m looking for someone to do my worrying for me.”"Excuse me?” the accountant said.”I worry about a lot of things,” the man said. “But I don’t want to have to worry about money. Your job will be to take all the money worries off my back.” “I see,” the accountant said. “And how much does the job pay?” “I’ll start you at eighty thousand.”"Eighty thousand dollars!” the accountant exclaimed. “How can such a small business afford a sum like that? “That,” the owner said, “is your first worry.”
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A customer sent an order to a distributor for a large amount of goods totaling a great deal of money.The distributor noticed that the previous bill hadn’t been paid. The collections manager left a voice-mail for them saying, “We can’t ship your new order until you pay for the last one. “The next day the collections manager received a collect phone call, “Please cancel the order. We can ‘t wait that long. ”
hhhmmm, I think I had a client try that one once?!
Enjoy your weekend!
Accountant and the Business OwnerThere once was a business owner who was interviewing people for a division manager position. He decided to select the individual that could answer the question "how much is 2+2?"
The engineer pulled out his slide rule and shuffled it back and forth, and finally announced "It lies between 3.98 and 4.02".
The mathematician said "In two hours I can demonstrate it equals 4 with the following short proof."
The attorney stated "In the case of Svenson vs. the State, 2+2 was declared to be 4."
The trader asked "Are you buying or selling?"
The accountant looked at the business owner, then got out of his chair, went to see if anyone was listening at the door and pulled the drapes. Then he returned to the business owner, leaned across the desk and said in a low voice "What would you like it to be?"
----------------------------------------------------
A new business was opening and one of the owner's friends wanted to send flowers for the occasion. They arrived at the new business site and the owner read the card; it said “Rest in Peace”. The owner was angry and called the florist to complain. After he had told the florist of the obvious mistake and how angry he was, the florist said. “Sir, I”m really sorry for the mistake, but rather than getting angry you should imagine this: somewhere there is a funeral taking place today, and they have flowers with a note saying, “Congratulations on your new location!”
------------------------------------------------------
Fresh out of business school, the young man answered a want ad for an accountant. Now he was being interviewed by a very nervous man who ran a small business that he had started himself.”I need someone with an accounting degree,” the man said. “But mainly, I”m looking for someone to do my worrying for me.”"Excuse me?” the accountant said.”I worry about a lot of things,” the man said. “But I don’t want to have to worry about money. Your job will be to take all the money worries off my back.” “I see,” the accountant said. “And how much does the job pay?” “I’ll start you at eighty thousand.”"Eighty thousand dollars!” the accountant exclaimed. “How can such a small business afford a sum like that? “That,” the owner said, “is your first worry.”
------------------------------------------------------
A customer sent an order to a distributor for a large amount of goods totaling a great deal of money.The distributor noticed that the previous bill hadn’t been paid. The collections manager left a voice-mail for them saying, “We can’t ship your new order until you pay for the last one. “The next day the collections manager received a collect phone call, “Please cancel the order. We can ‘t wait that long. ”
hhhmmm, I think I had a client try that one once?!
Enjoy your weekend!
A LIGHTER LOOK AT ADVERTISNG
1. The first time people look at any given ad, they don't see it.
2. The second time, they don't notice.
3. The third time, they are aware that it is there.
4. The fourth time, they have a fleeting sense that they have seen it somewhere before.
5. The fifth time, they ACTUALLY read the ad.
6. The sixth time, they thumb their nose at it.
7. The seventh time, they start to get a little irritated with it.
8. The eighth time, they start to think, "Here's that confounded ad again."
9. The ninth time, they start to wonder if they might be MISSING OUT on something.
10. The tenth time, they ask their friends and neighbors if they've tried it.
11. The eleventh time, they wonder how the company is PAYING for these ads.
12. The twelfth time, they start to think that this MUST be a good product.
13. The thirteenth time, they start to feel the product has value.
14. The fourteenth time, they start to remember wanting a product exactly like this for a long time.
15. The fifteenth time, they start to yearn for it because they can't afford to buy it.
16. The sixteenth time, they accept the fact that they will buy it sometime in the future.
17. The seventeenth time, they make a note to BUY the product.
18. The eighteenth time, they curse their poverty for not allowing them to buy this terrific product.
19, The nineteenth time, they count their money carefully.
20. The twentieth time the prospect sees the ad, they buy what it is offering.
2. The second time, they don't notice.
3. The third time, they are aware that it is there.
4. The fourth time, they have a fleeting sense that they have seen it somewhere before.
5. The fifth time, they ACTUALLY read the ad.
6. The sixth time, they thumb their nose at it.
7. The seventh time, they start to get a little irritated with it.
8. The eighth time, they start to think, "Here's that confounded ad again."
9. The ninth time, they start to wonder if they might be MISSING OUT on something.
10. The tenth time, they ask their friends and neighbors if they've tried it.
11. The eleventh time, they wonder how the company is PAYING for these ads.
12. The twelfth time, they start to think that this MUST be a good product.
13. The thirteenth time, they start to feel the product has value.
14. The fourteenth time, they start to remember wanting a product exactly like this for a long time.
15. The fifteenth time, they start to yearn for it because they can't afford to buy it.
16. The sixteenth time, they accept the fact that they will buy it sometime in the future.
17. The seventeenth time, they make a note to BUY the product.
18. The eighteenth time, they curse their poverty for not allowing them to buy this terrific product.
19, The nineteenth time, they count their money carefully.
20. The twentieth time the prospect sees the ad, they buy what it is offering.
Thursday, May 3, 2012
The customer is always right?
You've heard it said, "The customer is always right."
Well, that is not necessarily true.
Customers are the lifeline of your business. Without them, your business will simply dry up and die. Without them you don’t have a business. It's important for you to take good care of them.
But know that…. if you own a business, just as sure as the sun will rise, there will be problems. Not necessarily many, but some. And… they will not always be your fault or be in your control!
The first time most business owners receive a complaint, they are devastated and take it personally. It is important not to do that.
If you work with people, there are going to be problems. Be professional in dealing with them, do everything you can (even if the problem was out of your control) to correct the problem.
Once you have done everything you can to take care of any problem, then consider it closed and let it go!
Well, that is not necessarily true.
Customers are the lifeline of your business. Without them, your business will simply dry up and die. Without them you don’t have a business. It's important for you to take good care of them.
But know that…. if you own a business, just as sure as the sun will rise, there will be problems. Not necessarily many, but some. And… they will not always be your fault or be in your control!
The first time most business owners receive a complaint, they are devastated and take it personally. It is important not to do that.
If you work with people, there are going to be problems. Be professional in dealing with them, do everything you can (even if the problem was out of your control) to correct the problem.
Once you have done everything you can to take care of any problem, then consider it closed and let it go!
Sunday, April 29, 2012
The Four Components of Every Marketing Effort
There are four components to every marketing effort. All four of these key components must be given careful consideration—for each can cause the failure or success of your marketing.
The Product
The Message
The Prospect
The Media
Consistently successful marketing requires knowledge and mastery of these four factors that, together, can produce the desired results.
Rating the Four Marketing Components
PRODUCT – You have to do your research.
Is the product or service you're offering going to meet an existing need or demand?
Who needs or demands it?
You must know the exact demand or need you are trying to fill.
Can the product be priced profitably and competitively?
Does the product offer value?
How about quality?
Do the best you can to objectively evaluate your product—from the prospect's point of view.
MESSAGE – This includes the offer you're making (FREE booklet, bill me, FREE gift w/order, etc.), how you say it (the words), and how you present it (design elements).
Have you made an enticing offer?
Does your headline grab the attention of your hottest prospects?
Have you made your promotion look uncluttered, easy to read, professional?
Once again, you must put yourself in your prospect's shoes. How will your message be perceived by them?
PROSPECT – Who are the best candidates for your product or service?
Will apartment dwellers be interested in your lawn tractors? Not a chance.
Will the small business owner who spends only $2,000 per year on
marketing be interested in my consulting services? Probably not.
Sending the right message about the right product to the wrong prospect can be a total waste.
MEDIA – How will you get your message in front of your hottest prospects?
Direct mail?
TV? Radio?
Print ads?
This element of your marketing is just as important as the other four. Spending the money for a professionally written and designed ad will do you no good if you place it in the wrong publication.
How sure are you of the media you've selected?
Have you had success with them in the past, or are they untested for you?
Are detailed demographics available?
Do the best you can to rate your overall confidence in the media you plan to use.
In general, people want to spend money, be affluent and feel good.
People do not want to budget or be austere. They do not want to be involved with things that require work, cause risk to what they already have, or that are time consuming.
Use this knowledge to rate the four components of all your marketing efforts, then make needed adjustments as are indicated by the formula. You'll be amazed what happens to your response rate!
The Product
The Message
The Prospect
The Media
Consistently successful marketing requires knowledge and mastery of these four factors that, together, can produce the desired results.
Rating the Four Marketing Components
PRODUCT – You have to do your research.
Is the product or service you're offering going to meet an existing need or demand?
Who needs or demands it?
You must know the exact demand or need you are trying to fill.
Can the product be priced profitably and competitively?
Does the product offer value?
How about quality?
Do the best you can to objectively evaluate your product—from the prospect's point of view.
MESSAGE – This includes the offer you're making (FREE booklet, bill me, FREE gift w/order, etc.), how you say it (the words), and how you present it (design elements).
Have you made an enticing offer?
Does your headline grab the attention of your hottest prospects?
Have you made your promotion look uncluttered, easy to read, professional?
Once again, you must put yourself in your prospect's shoes. How will your message be perceived by them?
PROSPECT – Who are the best candidates for your product or service?
Will apartment dwellers be interested in your lawn tractors? Not a chance.
Will the small business owner who spends only $2,000 per year on
marketing be interested in my consulting services? Probably not.
Sending the right message about the right product to the wrong prospect can be a total waste.
MEDIA – How will you get your message in front of your hottest prospects?
Direct mail?
TV? Radio?
Print ads?
This element of your marketing is just as important as the other four. Spending the money for a professionally written and designed ad will do you no good if you place it in the wrong publication.
How sure are you of the media you've selected?
Have you had success with them in the past, or are they untested for you?
Are detailed demographics available?
Do the best you can to rate your overall confidence in the media you plan to use.
In general, people want to spend money, be affluent and feel good.
People do not want to budget or be austere. They do not want to be involved with things that require work, cause risk to what they already have, or that are time consuming.
Use this knowledge to rate the four components of all your marketing efforts, then make needed adjustments as are indicated by the formula. You'll be amazed what happens to your response rate!
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