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How to Generate Revenue for Your Small Business

Most people know they shouldn’t attempt to take on a mortgage without having some way to pay for it.  Yet small business owners do something quite similar every day.  How do they do this? Some small business owners focus on running the business before focusing on generating the leads that fund the business.  Sure, every business needs money to stay open, but without building a strategy to funnel the revenue into the business, the foundation is shaky at best.

Just like some new homeowners take on more mortgage than they can afford, eventually it catches up to them.  They are then forced to find more money or a smaller home.  After a few years, the initial rush of the business wears off leaving a gaping hole where lead generation would have been.  Small business owners may have quick sales in the beginning but without a long-term lead generation plan, they will go bankrupt.  The cash flow a business needs requires a sales funnel.  So how do you create that funnel?  Below are a few tips to make lead generation a priority in your business without taking away from your other activities.

  1. Create a list: Encourage people to opt in to your newsletter/free report or to a webinar/telesemiar.  Developing a list of people who have opted in to your communications is quite possibly one of the best lead generation tactics you can implement.  No, you shouldn’t buy lists or dump your contacts into your email newsletter program.  People need to sign up by themselves.  So incite them to do so.  Host a free webinar or offer a free special report.  Just offer them something.  Taking action is better than perfecting the freebie.
  2. Devote a set amount of time each week to lead generation.  Customer needs change.  Industries change.  Consumer expectations change.  Client budgets for your products and services may dwindle.  So you need an ongoing plan for lead generation. Set aside time each week purely for lead generation activities.  This could be list building activities social media marketing, warm calling, in-person networking, and many other activities. It’s easy to get caught up in your current client work, setting time aside for lead generation helps you bridge the gap between hunting for new business while producing the work you already have.
  3. Build leads offline.  Network, network, network. Have I mentioned networking? It’s a great way to build leads. Attend luncheons and business breakfasts to meet new people and expand your circle. Since your network of contacts will be in a constant state of flux, it’s important to keep adding to it. Some people will filter out, so replenishing is critical. Remember to tie your offline activities to your online activities, meaning connect to them on LinkedIn. Mention your e-report or other freebie on your business card.  Direct people to a squeeze page on your website where they can sign up for your webinar.
  4. Accepts “nos.” Getting a “no” is better than being stuck with a “maybe.” With a “no” you can move on to the next lead. Getting stuck with false hope maybes will, “bankrupt your business.”  Building in registration deadlines for webinars and teleseminars encourages action. Promoting your reports and newsletters with some mystery encourages people to sign up to find out the punch-line. Demonstrating scarcity, a limited number of copies of a book to hand out, for example, encourages people to take action now. These tactics also weed out anyone who simply isn’t interested.
  5. Make lead generation a priority.  It’s easy to stop spending time each week on sales activities.  But remember, quick cash creates a false sense of security.  Quick cash burns out fast too (if you don’t first!). Build your business the right way even if it means saying no to work that doesn’t fit your business model.  There are no shortcuts to success.

Lead generation is one of the most important things you can do to build and sustain your business.  Focusing on working in your business instead of on your business will keep you from achieving the profit and longevity you seek. Focusing create quality content that will attract your target customer. Building quality leads into your sales funnel is what will make your business stand out and help you avoid sleepless nights. 

Do you have any more ideas to share about lead generation and building a sales funnel?

For more tips on how start or grow your small business subscribe to Melinda Emerson’s blog http://www.succeedasyourownboss.com.

By day Morgan Leu Parkhurst helps individuals put the pieces of their marketing puzzles together.  By night she teaches
marketing communications to aspiring entrepreneurs. Reach her at
www.sharpmindmarketing.com or on Twitter at @Morgan_LP.

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Are You Ready To Finish the Year With a Bang?

This past weekend I conducted my last BYOB2011 Workshop in my national tour. I held the last one in Philadelphia, my hometown.  The focus of  the tour was  on three things; How to Become Your Own Boss, How to Develop a Killer Marketing Plan and How to build a Social Media Brand.   For the last year I have travelling the country teaching small business owners and would-be entrepreneurs the Emerson Planning System, How to align their marketing and sales activities and how to leverage social media to grow their businesses.  I thought it would be helpful to highlight what I have been teaching.  Here are 7 tips to finish the 2011 with a bang, and go into 2012 with a plan for success.

It’s Time to Update Your life plan.  The cornerstone of the Emerson Planning System is to develop a life plan and a vision board.  Your business goals and your personal goals must align or you could lose your business and your family.  Once you have a life plan create a vision board.  You can use the board as personal motivation to remind you why your work so hard.  My life plan is taped on the wall near my computer monitor so that I have a daily reminder of my big picture goals.

BYOB also stands for Be Your Own Bank. Your ability to save has everything to do with your ability to start a business. The nature of business has changed and you will need to fund your own enterprise. The most you can borrow is a microloan for $25K, most people can life off that and launch a business, so the money needs to come from somewhere.  I suggest you look in the right or left pocket.

90 percent of Success is Self-confidence. If you don’t believe in your business no one else will. Fake it until you make it!  Look yourself in the mirror (like I do sometimes), and say Girl, you are doing IT!!! Most business problems are not so well hidden personal problems.  Learn to compartmentalize your drama and stress and get your work done.  You must stay focused.

Be an Agent of Convenience. Small businesses who are still getting big business in this economy are making it easy for their customers to say yes. They solve problems before the customers can say ouch.  They understand industry trends. They use metrics heavily. They know the value they bring to the table. They can accept all forms of currency. They brainstorm with their clients for free because they care. What kind of agent are you?

Plan Sales in 30 day Increments. Your biggest concern should be how much money you need to make in the next 30 days.  Once you breakdown your sales goals by month, you can easily breakdown how much you need to generate each week.  Doing this, will help you get more aggressive about your sales process.  You can also plan your marketing activities around lead generation.

Done is Good Enough. Your small business brand will evolve over time. Don’t be one of these people who have not released your new website or newsletter because you are still messing with your logo or layout.  No one cares about your logo but you, and you can always revise it later.  Just get it out there.  Get feedback, and adjust your branded as needed.  You are supposed to cringe at the original art work years later.

Harness The Power of Social Media.  As a walking social media brand, trust me when I say that social media is the best thing that has happened to small business owners.  You must Listen + Engage + Add Value + Promote Others in order to be an Influencer in social media.  You must build trust and credibility in order for social media to really work for you. Use social media to speak directly to your target customer.

I am looking forward to teaching more entrepreneurs next year with the BYOB2012 National Tour.  The schedule of cities I’ll be coming too in 2012 will be released in December. Stay Tuned.  Special Thanks for Corpnet.com and ConstantContact.com for sponsoring this year’s tour.

For more tips on how start or grow your small business subscribe to Melinda Emerson’s blog http://www.succeedasyourownboss.com.

Melinda F. Emerson, known to many as SmallBizLady is one of America’s leading small business experts.Melinda Emerson "SmallBizLady" As a seasoned entrepreneur, professional speaker, and small business coach, she develops audio, video and written content to fulfill her mission to end small business failure. As CEO of Quintessence Multimedia, Melinda educates entrepreneurs and Fortune 500 companies on subjects including small business start-up, business development and social media marketing. Forbes Magazine named her #1 woman for entrepreneurs to follow on Twitter. She hosts #SmallBizChat Wednesdays on Twitter 8-9pm ET for emerging entrepreneurs. She also publishes a resource blog http://www.succeedasyourownboss.com Melinda is also bestseller author of Become Your Own Boss in 12 months; A Month-by-Month Guide to a Business That Works

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How to Use Twitter Without Losing Your Mind

Guest Post by Tai Goodwin

I love Twitter.

Depending on which group I am speaking to, I can’t always say that too loudly. There are some crowds that get it. There are other rooms, many of them filled with small business owners and solopreneurs who don’t get it – yet.

LinkedIn makes sense. Facebook is starting to make more sense. Twitter still feels like a whole other universe to most people -it’s even got its own language (retweet s, tweetups, hashtags, etc…) right? But here’s the truth: Twitter, when used correctly, can be one of the most valuable resources for small business owners looking to expand their network, research their niche and competition, position themselves as a leader in their niche, and grow their influence.

Using Twitter to Expand Your Network

Most small business owners have a system to connect with their customers. And in most cases you know how to reach out to your current vendors. But Twitter can help you find and connect to new strategic partners you may not have known about because they were too new or too far geographically to be on your radar.  Go for quality and not just quantity when it comes to who you follow – and who you follow back. Twitter makes key influencers and connectors accessible and opens the door to connections for those willing to reach out and offer value and not just brag and sell. Remember, who you know (or follow) on Twitter influences what you know and what opportunities come down the stream – literally.

Twitter is Great for Research

Talk about information overload – as of March, 2011 over 140 million tweets are sent every day.  On the bright side, there are a number of search and filtering tools that allow small business owners to sift through those tweets to find articles, tips, tools, coupon codes, offers, incentives, news, and answers. There’s even a tool that will let you send a poll question through twitter and then track and report the results. The key to using Twitter for research effectively relies on two things: knowing what information you are looking for and knowing what tools to use.

Want to Know How to Get “Expert” Status?

These days, with so much information available from everyone and everywhere it seems, it is hard to define an expert as someone who knows everything. In my book – the expert is the one who knows how to find the answers and resources needed and then is wise enough to put that information where others can get to it. Twitter can help you do that. Statistics have shown that just 20% of Twitter users create 80% of the content. If that’s so – creating and sharing more content than your competitors can help you be part of that 20%. And by content, I’m not just talking about tweeting your offers and services three times a day. I’m talking about creating and sharing real valuable content for your followers and prospective clients that answers their questions.  The more information you find and share (to the right audience), the more knowledgeable and valuable you appear.

Get your “SWAY” On

According to Merriam – Webster’s online dictionary, influence is “the power or capacity of causing an effect in indirect or intangible ways: SWAY.” It’s one thing to nudge people into coming to your site because you are giving them something.  It’s a completely different level when you’ve got a crowd of fans that are nudging people for you. Many small business owners understand the value of word of mouth referrals; in fact their business depends on it. Think of Twitter as online word of mouth: one retweet from the right follower or connection can put your brand or business in front of thousands. And what’s better than having someone who’s already got the relationship and credibility spread the word about what you have to offer? Without you having to pay for an endorsement? 

Keep Your Sanity and Keep Using (or get started with) Twitter

So how are savvy business owners leveraging Twitter to grow their business? Here are a few practical ideas that will make your time on Twitter more profitable (or at the very least less frustrating).

  • Follow the right people including prospects, clients, vendors and influencers in your industry.
  • Create and share relevant content that your audience wants and needs to know.
  • Use the right tools to filter, automate, track, and manage conversations
  • Commit to a tactic for  at least a month before saying it doesn’t work (decisions should be made on data not failure to provide immediate gratification)
  • Vary your content with retweets, recommendations, referrals, quotes, images (avoid spamming followers with ads and offers)
  • Start conversations and respond to people’s questions – don’t be a social media wall flower
  • Learn how to participate in TweetChats (like #smallbizchat) and use #hashtags related to your niche and target audience
  • Take the conversation off line when you meet VIP’s (very interested prospects)
  • And always, always, always start with a plan.

Tai Goodwin (www.TaiGoodwin.com) is a social media strategist and editor in chief of Launch While Working.com, an online resource center specifically for the growing population of professionals who are launching a business while working full-time or part-time jobs. She is also co-host of #SmallBizChat.

 

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How to Get Corporate Sponsorship for Your Small Business

Every week as SmallBizLady, I conduct interviews with experts on my Twitter talk show #SmallBizChat. The show takes place every Wednesday on Twitter from 8-9pm ET. This is excerpted from my recent interview with @anisharkeeys.  Anisha Robinson Keeys is the Principal Officer of Best Practice Fundraising. With 14 years of nonprofit fundraising and marketing experience,she has raised over $52 million dollars in the areas of youth and women’s empowerment, disaster relief, arts, and health care. Learn more about Anisha at bestpracticefundraising.org.


Small Biz Lady:  What does it mean for an organization, brand or person to get sponsored?

Anisha Robinson Keeys: Sponsorship is a mutual business proposition that offers something in exchange for a financial commitment from a corporation. Corporations get a return on their financial “investment,” enhance their profile, associate their brand with a cause or attract customers who support that cause. Sponsorship typically involves a contractual relationship between the non profit and the corporate sponsor

 

Small Biz Lady: How do you even get started pursuing sponsorship?

Anisha Robinson Keeys: Getting funding from corporations may be a great opportunity for your organization to increase your budget but– you should never haphazardly create a corporate sponsorship program for the sake of filling a budget deficit Before pursuing support from corporations, you first need to know your organizations goals,  and then ask and answer these questions:

  • What is your organization trying to achieve?
  • Can you effectively tell your organizations story?
  • What value could your organization provide to a prospective corporate sponsor?
  • What impact could a corporation make by partnering with your organization?

Continue Reading →

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Simplify Your Social Media Strategy

5 Great Social Media Tools for Small Business OwnersAs a small business owner, it’s important to keep essential aspects of your operation in-house whenever possible, logical, and cost effective. Social media outreach is one element more and more small business owners feel comfortable handling themselves.

But whether you’re taking on the responsibilities yourself or delegating them to other members of your team, it’s important to keep your strategy simple and straight forward.

But be warned, simple doesn’t mean easy. Irregular, haphazard, or lazy social media efforts will not be rewarded. Don’t waste your own time. Take your strategy seriously, and be consistent.

Below are a few basic guidelines to help you carve out a simple and effective social media presence. Keep your strategy limited to just a few key points, so that you can maintain focus.

Tell Your Story

Telling a compelling origin story or branding story to help ground and personify your business. Letting your customers know where you’re coming from and where you’re moving to (through narrative) will make your company more approachable, more trustworthy.

Engage with Content not Product

Content creation is the easiest way to keep your Fans interest. Here are a few rules of thumb:

  1. Quality over Quantity (no more than one Facebook post every three to four hours, use Twitter and other avenues for more rapid fire engagement)
  2. Less sales speak, more content marketing (offer useful information to your readers and they will come back for more; you’re sharing and teaching first, selling second)
  3. Less self-promotion, more engagement (limit half of your Facebook activity to promoting your own content and products, and focus the rest of your time and energy on facilitating discussions and responding to other people’s posts)

Be Deliberate

Whether you’re selling or engaging, your calls to action need to be purposeful. Think about this when designing your Facebook page and planning your outreach strategy.

Organize your goals: first and foremost you want to grow your Fan-base, secondly you want keep them engaged and interested with relevant content, coupons, and contests, and finally, you want to eventually make a sale.

To do all this your Facebook page needs to be simply designed (less clutter, so your brand shines through), the calls to action (Like this, read this, share this, etc) need to be apparent and easy to follow, and your content needs be consistent and compelling.

This guest post is by Brooks Hays, content creator and Customer Bliss Officer at Hy.ly. It’s a social media software company that offers its clients do-it-yourself Tab Building tools, so they can customize their own Facebook pages, get prospect, leads, and customers, all without outsourced assistance.

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How to Leverage Conference Networking

Every week as SmallBizLady, I conduct interviews with experts on my Twitter talk show #SmallBizChat. The show takes place every Wednesday on Twitter from 8-9pm ET. This is excerpted from my recent interview with Mike “Ambassador” Bruny @ambassadorbruny. Mike works with entrepreneurs and those who think like one to help them build stronger relationships. He is the creator of “The New Art of Conference Networking: #Hashtags to Handshakes.” For more information http://www.ambassadorbruny.com


Smallbizlady: I notice you use a hyphen when you talk about Net-working.  What is that all about?

Mike “Ambassador” Bruny: Net-working is a new way of looking at traditional networking.  I ask people to think about networking as if all the people they know represents a physical “net,” just like a fishing net.  They have to put it to “work” if they expect to achieve your goals.  Knowing a lot of people is not enough.  You have to actually put those relationships to work.

Another aspect of Net-working is understanding that you are part of someone else’s net and have to be ready and willing to be put to work. Conference networking is a sub-set of networking.  In conference networking, you may find yourself surrounded by more people, for more days than you would with other networking opportunities.  There may be a couple of differences between local networking events and conferences.  In your local events you may feel like Norm from the TV show Cheers.  You walk in and everyone knows you name.  When you’re at a conference you may find yourself around more and more strangers.  That can be minimized with a little bit of research and engagement before the conference begins.
Smallbizlady: When it comes to Conference Networking, where do you suggest we start?

Mike “Ambassador” Bruny: Start with focus.  List your current goals and how the conference you will attend will help to move those forward.  Look at what you want to accomplish by using the traditional SMART goal setting format and add an additional “S” at the end for “Sharing.”  You want to share your goal with at least one person who will help to keep you accountable.

Next, consider who at this conference can help you accomplish your goals.  You may not know the exact names of the people, but you can focus on the kind of people who you think would be able to help you (their title, occupation, etc.).  For example, if you are looking to start a bakery, you may be looking to connect with bakery suppliers to give you a sense of what pricing is like or you may be looking for administrators from culinary institutions to provide access to future employees.

Lastly you want to consider what you need to learn to bring you closer to your goals.  When you know what you want to learn, it makes selecting which workshops to attend much easier.  Being in the right workshop also connects you to the right participants and the right experts (speakers).

 

Smallbizlady: How does technology and social media come into play in conference networking?

Mike “Ambassador” Bruny: Technology and social media can help you connect with fellow participants, speakers and the organizers before the conference begins.  Once at the conference there are apps you can use to exchange information without using a business card.  I’ve been going “Green” by using this cool app called, #Hashable, which allows you to send a virtual business card to someone you meet and also set-up a reminder to follow-up after the conference.

Continue Reading →

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How to Become a Successful Sales Person in this New Economic Environment

Every week as SmallBizLady, I conduct interviews with experts on my Twitter talk show #SmallBizChat. The show takes place every Wednesday on Twitter from 8-9pm ET. This is excerpted from my recent interview with Brynne Tillman @BusDevU. Brynne is the President and COO of Business Development University and President of Linked User Group  on LinkedIn. She has over 20 years in business development and sales training.  She has created and taught lead generation and client acquisition programs for many companies, including Dun and Bradstreet, Progress Leasing, Kinko’s and Vantage Point Bank. Her primary focus is coaching sales teams, and working with non-selling professionals who are responsible for client acquisition. Her favorite thing is developing sales and networking plans, linkedin strategies, implementation and measuring the sales process. For more information http://www.businessdevelopmentuniversity.com/

 SMALLBIZLADY: How can a sales person really become a successful in today’s environment?

BRYNNE TILLMAN: Obviously that is a broad question with many answers, but there are a few things that you can do that can make an immediate impact on your performance as a sales person.  First, evaluate where your primary business has come from in the past, what activities have you done that has borne fruit and focus on doing more of that.  Sounds simple, but so many sale professionals spend too much time doing activity that brings them little business.  Next, be prepared, do your due diligence on everyone you meet with. Use LinkedIn to learn about their schools, previous jobs, shared groups or connections with you and so on. Building rapport is a big piece in getting the business.  If the prospect’s choice on who wins the deal is apples to apples, it comes down to whom they like more. And the next and most important piece in my mind is – leverage your warm market.  Cold calling just doesn’t work, no matter how many calls you make.  One way is networking with Strategic Alliances, folks that work with your prospect in a non competitive nature.  You can help them and they can help you with warm introductions into your respective warm markets. And the last piece I want to mention today is do a really good job at understanding your prospects wants and needs.  Don’t present prematurely, get a clear picture on their reason they want to work with you and when you do offer a solution – be sure to align your message with what they told you.

 

SMALLBIZLADY:  How do sales people overcome the “budget” objection?

BRYNNE TILLMAN: By far, in this environment, this is the objection our clients seem to be hearing the most.  Believe it or not, overcoming this objection has to come pretty early in the game.  When we are uncovering our client’s needs, it is critical that we understand the financial impact of the problem we are looking to solve.  Even if there are no clear metrics around the problem, build it out with them. For example if you are a website designer, talk about how much more traffic the new site would bring to their business and ask them – “If we could triple the number of qualified visitors to your website, and collect their contact information for follow up, how many of those new contacts could turn into clients?” Then ask, “Approximately what is your average client worth?” Get a number on the breakeven of your solution and the amount they will bring in because they worked with you.  Now, when presenting your price, present it in context with their gain.  Present it as an investment not an expense. If done right, there is no reason for them not to move forward.

Continue Reading →

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How to Interview For Your First Employee

How to Hire Your First EmployeeChoosing the right person to do the job can be a challenge. It all comes down to your interview process. Once you have reviewed the resumes, its’ time to get in touch with your prospects. You should interview at least 5 people for every available position. A great candidate will have a strong match between their skill set and your position requirements. For example, if you are looking for a salesperson and your candidate does not have an engaging personality, they may not be the best candidate for that position.

The interview is one of the most important stages in hiring your first employee. As  this is the first time that you’re having an interactive conversation with a potential worker there are a few tactics that may be helpful to you in the process. There are five things to keep in mind when conducting an interview:

  • Be a good listener
  • Know how to redirect a conversation to the areas you consider important
  • Take notes during the interview
  • Go with your gut instinct (if something doesn’t feel right, it’s not right)
  • The candidate is also interviewing you, so be ready to answer questions too.

Interviewing potential employees is a 7-step process:

The Selection Process

Phase 1: The Google Test: You should put every candidate’s name and city in a search engine to see what your candidates do online on their own time to determine if you even want to have them working for you.  Judgment and discretion is important.

Phase 2. The Phone Screen: Before inviting a potential candidate to your office schedule a 30 minute phone interview. You want to see if the interviewee is worth face time.  You also want to see if have chemistry with the prospect and to make sure that what you are reading on paper matches up with who you are speaking with on the phone. .

Phase 3. The Face-to-Face Interview: If the candidate passes the google test and phone screen, it’s time to meet in person. This is your chance to evaluate the prospect’s appearance, communication style and preparedness. You want them to arrive with questions for you too.  It’s also your opportunity to discuss the qualifications for the job in-depth.

Phase 4. The Reference Check: This is a step many busy entrepreneurs miss, but you need to know what the person was like at their old job. Ask the relationship of the reference to the candidate. You need to make sure the best friend or brother isn’t the reference.

Phase 5. The Follow-Up: No matter how confident you are in a candidate, don’t make the job offer without conducting a follow-up. You should run a background check, credit check and if necessary a drug screening. You might not want to hire a delivery driver with a drug problem or a secretary with an un disclosed criminal record.  Be safe and do not invite trouble in the door.

Phase 6. The Job Offer: Now that you’re ready to bring in your first employee you want to make a verbal offer by phone and then make the offer in writing. Be sure to outline the compensation plan and when they will become eligible for any benefits.  I recommend not making employees eligible for benefits until after 90 days of employment.  Once the candidate signs the offer letter, it’s official you have your first employee.

Phase 7. The Onboarding Process: Your must create an official orientation process for your new employee. No one can teach your business better than you. It’s your responsibility to get your first employee up to speed. Develop a new employee handbook and a daily check list of action items for your new worker. Be sure to delegate things you need to get off your plate too.

Do you have a process that you use to hire new employees?   

For more tips on how start or grow your small business subscribe to Melinda Emerson’s blog http://www.succeedasyourownboss.com.

Melinda F. Emerson, known to many as SmallBizLady is one of America’s leading small business experts. As a seasoned entrepreneur, professional speaker, and small business coach, she develops audio, video and written content to fulfill her mission to end small business failure.  As CEO of MFE Consulting LLC, Melinda educates entrepreneurs and Fortune 500 companies on subjects including small business start-up, business development and social media marketing. Forbes Magazine recently named her the #1 woman for entrepreneurs to follow on Twitter. She hosts #SmallBizChat Wednesdays on Twitter 8-9pm ET for emerging entrepreneurs. She also publishes a resource blog www.succeedasyourownboss.com  Melinda is also the author of the national bestseller Become Your Own Boss in 12 months; A Month-by-Month Guide to a Business That Works(Adams Media 2010) 

 

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The New SEO for Small Business Owners – QA with Chris Bennett

Every week as SmallBizLady, I conduct interviews with experts on my Twitter talk show #SmallBizChat. The show takes place every Wednesday on Twitter from 8-9pm ET. This is excerpted from my recent interview with Chris Bennett @chrisebennett, the CEO of Central.ly. Chris and his Co-Founders created website builder http://www.Central.ly so small business owners all over the world can build their own websites that integrate with the social and business tools they are using.  Chris is a Wharton graduate, a decendant from a small business owning family and is passionate about helping small business owners manage their presence online to improve business.

 

SmallBizLady: What is the biggest problem small business owners face when it comes to websites?

Chris Bennett: Small business owners typically are passionate about their business and love running them. With that said, they do not have strong design or technical backgrounds so creating websites is tricky for them .

You can sum their problems up with four things.  Small business websites do not have the correct information for the consumer, they do not leverage social integration, they are not mobile ready, and their sites are not visually unappealing. If you are looking for a small business and you are out and about on your smart phone, if you cannot access the company’s website than you are less likely to do business with them. If you can’t find their address, you are less likely to visit. If their website is poorly designed then you are less likely to patronize because their message is that they do not care about their image, so they likely do not care about their product or service.

Also the lack of education, people do bad things because they don’t know any better.
SmallBizLady: What should a small business owner have on their website?

Chris Bennett: You need to clearly state what your business does: What service or product do you provide. If you provide a service, share your portfolio, if you provide a product, give screenshots and descriptions of the product. If you are local business, it’s imperative that you have your address and your phone number readily available. For a restaurant, a menu with store hours is very important.

Looking professional is important so you definitely want to start by having a custom domain name. The same goes for email. It looks unprofessional when your business email is name@gmail.com, what you want is name@yourbusiness.com. Continue Reading →

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Building A Team For Your Small Business

When you get to the point where you can no longer survive as an “army of one”, that means it is time to bring reinforcements…employees. Hiring and working with employees will be an adjustment, but it’s one you will thank yourself for later, particularly if you choose well.

One of the first skills you must learn is to delegate. Figure out what tasks you can afford to have someone else take care of for you. Think of it as your time is more valuable than doing basic follow-up and mailings anymore. As a small business, resources are always tight, so it’s important to get the most out of them. The same is true of your employees. If you do not utilize your employee’s full potential, you are wasting money. Pay as high a wage as you can and communicate with them upfront about your long-term goals. Nothing is worse then hiring an employee who leaves two months later, because they really didn’t see themselves in the long-term with your company.

What Kind Of Employee Do You Want? The obvious answer is the hardest working, most conscientious individual you can find at the lowest possible cost who is willing to work when you need them. But first, you need to really understand the staffing needs of your business. Whether it be sales coverage for the hours you have the doors open, a delivery person, a helper, technical support staff, or someone to answer phones, having a clear idea of how many hours you need them, the skills required, and the duration of the position, are keys to making the right hiring decision.

The job description - One of the first things you must do, once you have considered what kind of help you need is to write a detailed job description. Writing a good job description is key to helping an employee do their job effectively. It will also clearly communicate your expectations of job performance. As an additional benefit you can also use this document as basis for their annual job review. Here are some tips in creating a solid job description:

  • Create an exhaustive list of job tasks, then prioritize them. Try not to be overwhelming, just accurate.
  • Divide the list into three categories: critical tasks, routine tasks, occasional tasks.
  • Keep your job description to a page. (You do not want to scare away the person you are trying to hire.)

There are different types of employee that might meet your requirements:

  • Full-Time – A full time employee generally works 40 hours a week and is paid overtime for hours worked over 40. While you do have requirements for paying Social Security, disability, federal and state taxes, you have options on whether you provide health, vacation, or retirement benefits.  If the skill set you require of an employee is scarce, be prepared to offer competitive salary and benefit packages to attract the best talent.
  • Part-time – A part-time employee generally works from 15–30 hours per week and can be a solid asset in covering hours, like nights and weekends, when your business might need to provide customer service support in off hours. Part-time help can provide great flexibility in meeting increased sales activity or in addressing a surge in call volumes.
  • Temporary – A temporary worker or agency hire can generally be on the job within a few hours and quickly help you meet an increase in business needs. The time and expense of recruiting, screening, interviewing, and checking on prospective employees are eliminated and unsatisfactory candidates can be easily replaced with a phone call to the temporary agency.
  • Contractors This type of worker, also known as freelancers or 1099 employees, can be very valuable in meeting your business needs, especially short-term, complex tasks, without adding to payroll. They work for a straight hourly rate and are responsible for their own payroll taxes. If you pay a contractor over $600.00 you are require to send a 1099 tax form to them and the IRS to report their income. You define the scope and timing of the project that you want done, negotiate the price and specify the benchmarks.
  • Interns College students working toward their degrees are often encouraged or required to participate in internship and coop programs that relate to their field of study. This can be a low- or no- cost source of labor for your company. In return for their labor, you give them college credits and experience in your business. Ideally, you can assign them projects that will test their skills, teach them new skills and bring value to your business.

Now that you have some ideas of what kinds of workers are available,  please go and get some help for your small business. For more advice on this topic, check out my book, Become Your Own Boss in 12 Months. 

Let me know about your first hiring experience.

For more tips on how start or grow your small business subscribe to Melinda Emerson’s blog http://www.succeedasyourownboss.com.

Melinda F. Emerson, known to many as SmallBizLady is one of America’s leading small business experts. As a seasoned entrepreneur, professional speaker, and small business coach, she develops audio, video and written content to fulfill her mission to end small business failure.  As CEO of MFE Consulting LLC, Melinda educates entrepreneurs and Fortune 500 companies on subjects including small business start-up, business development and social media marketing. Forbes Magazine recently named her one of the Top 20 women for entrepreneurs to follow on Twitter. She hosts #SmallBizChat Wednesdays on Twitter 8-9pm ET for emerging entrepreneurs. She also publishes a resource blog www.succeedasyourownboss.com  Melinda is also the author of the national bestseller Become Your Own Boss in 12 months; A Month-by-Month Guide to a Business That Works(Adams Media 2010) 

 

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Do you have a Bank or a Banking Relationship?

Many business owners have a bank, but what you need is banking relationship.  Entrepreneurs with a bank just make deposits and withdrawals.  Business owners with a banking relationship know the branch manager, the business banker and the head teller at the bank they use.  The business banker has seen your business plan and is aware of any big contracts or awards that the company has received. The head teller knows you so you can deposit a check as cash based on your reputation.  Why is this relationship important?

As a business owner, eventually you will need money. Once you have a track record in business with positive activity on your balance sheet, you can consider approaching a bank for a business line of credit. Business cash flow tends to be uneven; seldom do revenues and expenses arrive in a timely fashion and sometimes a short-term line of credit is just what you need. The problem could be a pre-season inventory purchase, an unexpected machine breakdown, or a delay in getting a payment from a big client. Cultivating a positive relationship with a bank prior to having a need for a line of credit is key. It could mean the difference between success and failure. Here are some points to consider:

  1. Look local. Look first for a local bank that can address your needs. Preferably, deal with a bank with which you already have a personal relationship history. They will have a pretty good idea of who you are and it will give you an edge in creating a new business relationship. Visit from time to time so people know your face. Use these visits to keep senior-level bank personnel up to date on your business activities. If you don’t have a personal bank, look for institutions that focus on loaning to neighborhood or women-owned businesses, etc.
  2. Do your homework. Know your credit history before you go for a loan or line of credit.  In a tight credit market, it is essential to keep your credit score as high as possible. Banks will only make loans to clients with pristine credit. Even the SBA will not support your business if your personal credit score is below 650.
  3. Be prepared. Banks will ask a ton of questions about your business plan, loan requirements, collateral and strategy for repayment. When applying for a bank loan, remember that 90 percent of the bank’s decision to loan is based on two numbers: your cash flow and current net worth. The remaining 10 percent of the decision is based on such items as credit history and continued business viability.
  4. The importance of cash flow, defined as the difference between cash receipts and cash payments, it is a key indicator to your bank on how your business is doing. Your goal is to hold on to your cash as long as you can without getting a reputation as a business that does not pay its bills. You must make sure your business always has enough cash to function.
  5. A word of caution. Make the decision to give a personal guarantee for your business loan only after you fully understand all the ramifications. You are now personally liable for the total value of the loan if the business cannot pay, regardless if the business is incorporated, a partnership, or a sole proprietorship. Banks may place liens against your personal residence as part of these guarantees and this can be done without your knowledge. Personal guarantees are a fact of life for the small business owner, so be prepared for them. But be certain you understand the worst-case scenario.
  6. Get Help. Find your local Small Business Development Center (SBDC) or other small business non-profit that has a micro-lending program. Such groups often have loan packaging deals under $50,000 and more importantly, many have special relationships with financial institutions that will work hard to approve clients these groups send them.

For more tips on how start or grow your small business subscribe to Melinda Emerson’s blog http://www.succeedasyourownboss.com.

Melinda F. Emerson, known to many as SmallBizLady is one of America’s leading small business experts.
As a seasoned entrepreneur, professional speaker, and small business coach, she develops audio, video and written content to fulfill her mission to end small business failure.  As CEO of MFE Consulting LLC, Melinda educates entrepreneurs and Fortune 500 companies on subjects including small business start-up, business development and social media marketing. Forbes Magazine recently named her one of the Top 20 women for entrepreneurs to follow on Twitter. She hosts #SmallBizChat Wednesdays on Twitter 8-9pm ET for emerging entrepreneurs. She also publishes a resource blog www.succeedasyourownboss.com Melinda is also the author of the national bestseller Become Your Own Boss in 12 months; A Month-by-Month Guide to a Business That Works. (Adams Media 2010)

 

 

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Building Your Expert Brand with Reinvention Strategist Marshawn Evans

small biz chat with melinda emersonEach week as Smallbizlady, I conduct interviews with small business experts on my weekly Twitter talk show #SmallBizChat. This is excerpted from my #SmallBizChat interview with brand reinvention strategist Marshawn Evans @MarshawnEvans. Marshawn is the bestselling author of SKIRTS in the Boardroom,  Owner of ME Unlimited and founder of MeUniversityLive.com.  She is committed to equipping women around the world to LIVE their Brilliance. www.marshawnevans.com

SmallBizLady: What makes a brand profitable?

Marshawn Evans: Focus on looking at branding as a business that must be evaluated, equipped and engaging.  Your brand must deliver a solution that people will pay for, respond to and refer.  Profitability is about compatibility with your target audience, making sure there are multiple ways for your target audience to compensate you, and ensuring the proper infrastructure by having a sustainable business model.

 

SmallBizLady: What is the difference between building an EXPERT brand vs. a personal brand?

Marshawn Evans: Branding is about strategically showcasing your uniqueness in a way that captivates your target audience.  Therefore, personal branding is simply packaging and promoting your story so that you stand out.  Expert branding is about positioning and profitability.  You establish credibility using your expertise, knowledge and advice as leverage. Regardless of your industry, you can monetize your expertise to create additional streams of income. Simply focusing on “personal branding” will limit your opportunities and income. Personal branding is about telling.  Expert branding is about selling.

 

SmallBizLady: What branding platforms are key in building a sustainable “expert” brand?

Marshawn Evans: I’m really focused on profitable branding, not just branding! Expert positioning works best when a business owner steps forward as the face of business.  A sustainable brand requires that you be visible, vocal and visionary….much like Steve Jobs at Apple. I like teaching all entrepreneurs about the power of creating information products, speaking on big stages, publishing a book, working with the media as a commentator, and using social media to make your mark in the marketplace.

 

SmallBizLady: You were on The Apprentice with Donald Trump – how can reality TV catapult an expert brand?

Marshawn Evans: A business owner must be cautious and strategic about using reality TV to advance an expert brand.  All exposure is not helpful.  You must determine whether you brand is “exposure ready,” and whether a reality show fits your brand story.  I turned down several reality shows including The Bachelor and The Amazing Race (didn’t know about the million dollars – oops!).  The Apprentice was a great tool for me to catapult my business because it was a business-oriented show.  When it first came out (I was on season 4), EVERYONE wanted to prove that they could make in the ultimate boardroom.  It was a perfect fit for me.  You should clearly define your brand and be selective about the situations you place your brand in – just like you would be careful with a child.  Your brand is your baby – you’re responsible for raising it well so it can thrive.  Have a plan and clear objectives for anything you do publicly.  I planned my image before I showed up for casting.  If you do not have a plan, you’ll soon be a part of someone else’s.
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How to Optimize Pay-Per-Click Advertising #SmallBizChat QA

small biz chat with melinda emersonEach week as Smallbizlady, I conduct interviews with small business experts on my weekly Twitter talk show #SmallBizChat. This is excerpted from my #SmallBizChat interview with Paul Mosenson @nusparkmktg He’s discussing key methods to plan and optimize pay-per-click advertising.  Paul Mosenson is the President of NuSpark Marketing, a Philly based digital marketing firm focusing on lead management and lead generation.  Paul helps his clients grow by developing strategic media and marketing strategies with an emphasis on content, executing the tactics, and measuring with analytics and http://www.NuSparkMarketing.com.

 

Smallbizlady: How do I know pay-per-click advertising is right for my business?

Paul Mosenson: If one of your marketing goals is to drive traffic to your website or landing pages with the goal to produce conversions, which are either purchases, content downloads, newsletter sign-ups, or quote requests pay-per-click advertising can be an effective solution provided ongoing optimization occurs.  Certainly getting your site optimized for certain key words, and having a robust listing on Google Places is essential, but a. you can’t be optimized for every single search query, and b. Pay-per-click is advertising is an opportunity to promote your solution rather than list it.

 

Smalbizlady: What is Adwords Express and is it right for a small business?

Paul Mosenson: Google is always looking for ways to help the small business with marketing.  If you have a Google Places listing there’s a new program called Adwords Express.  It’s a program whereby you set up an express account, write an ad, and list a business category.  Google selects the keywords and bids automatically, so the small business owner doesn’t have to manage it.  The jury is still out on this, but if you’re a small business with a small budget, can be worth a test. More here:  http://www.google.com/awexpress/

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Do-it-Yourself, In-Source, or Outsource Small Business Accounting

I have yet to meet a small business owner or entrepreneur who was excited to start their business exclusively so they could figure out how to do the accounting for it. We start businesses because of the problems we are going to solve for our customers. But we still need to keep track of the money-side of the business, the accounting of what’s happening in our business.

Do-it-Yourself

If you are generating less than $100,000 of revenue per year, it may make sense to keep track of your accounting yourself. Since you are involved in every day-to-day detail of your business, you may not even need to buy an accounting system and learn how to use it. But you shouldn’t try to do your taxes, so you’ll likely need to outsource this to a CPA each year by giving him or her copies of your bank and credit card statements with some detail about what each of the transactions was for.

Outsource

This option makes a lot of sense for most start-up and small businesses, and outsourcing the accounting functions can be very affordable. Businesses that are generating $100,000 to $500,000 of revenue per year can hire an outsourced bookkeeper to update the books once or twice per month and provide basic financial statements and other critical reports. By giving read-only access to your bank and credit-card accounts to your bookkeeper, they can quickly and efficiently keep you compliant and get you the basic information you need. Some outsourced bookkeepers will even have their own accounting software (meaning you don’t have to buy it) and they will give you access to it through the internet.

In-Source

Once your business exceeds $500,000 in revenue per year, it will likely make sense for some of the accounting functions to be done in-house. But those tasks should be the simplest and lowest cost items, meaning one of your employees could easily be trained to handle them. You will keep your outsourced bookkeeper in place to oversee this person’s work and perform some of their main duties, but you’re not paying the higher-cost bookkeeper to do it all.

Once your company exceeds $1,000,000 in annual revenue, you will be getting to a point where you may want to bring the bookkeeping function in-house with a full-time employee. Even in this scenario, it can still make sense to outsource some Controller and Chief Financial Officer (CFO) functions to keep your business on track.

Conclusion

Certainly the accounting needs of each business will be different, and that is typically determined by the business’ size, complexity, and trajectory. Taking those things into account, the right mix of Do-it-Yourself, Outsourcing, and In-sourcing can be put together to create the lowest cost but highest return scenario for your business.

Ken Kaufman is the author of Impact Your Business: An allegory of an entrepreneur’s journey to

clarity, cash, profit, family, and success http://cfowise.com/impact-your-business. Ken, an award-winning CFO, has over a decade of experience helping small business owners and entrepreneurs attain the clarity they need to maximize their financial success. His has credited with creating the Six Scoreboards Every Business Needs. In addition to serving as an outsourced CFO to eleven entrepreneurial ventures, Ken writes regularly for American Express OPEN Forum and teaches New Venture Finance at a local university.

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