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How to Be More Tax Savvy in Your Small Business with Eva Rosenberg @TaxMama

By on February 24, 2012 in Cash Flow & Finance, Melinda Emerson @SmallBizLady, Q & A Interview, SmallBizChat

Each week as Smallbizlady, I conduct interviews with small business experts on my weekly Twitter talk show #SmallBizChat. This is excerpted from my #SmallBizChat interviewwith Eva Rosenberg, the TaxMama® @TaxMama is passionate about helping your business pay the least taxes legally possible. She’s the author
the award-winning book Small Business Taxes Made Easy, as an practicing enrolled
agent, and a nationally syndicated writer, she helps business owners stay abreast
of the latest changes in tax news. Check her website at http://www.taxmama.com

SmallBizlady: What is one of the most important things small business
owners overlook in their businesses?

TaxMama®: They don’t take
the time to find out what licenses their business needs on all three levels – Federal,
state and locally. Often, this catches up with you later, when you suddenly find
yourself hit with penalties you should never have incurred.

For instance, in Los Angeles, if you register your business with the city, there is no
license fee, as long as your business grosses less than $100, 000. But if your business
qualifies, but doesn’t register, you will pay penalties and interest of over $100.

Or people do work in different, nearby areas without getting licensed. For instance,
in the Los Angeles area (let’s use L.A. as a base, since I am here – the same rules
and logic will apply in your area.) a personal trainer will work with private clients
at their homes in Beverly Hills, Westwood, West Hollywood and Santa Monica.
Although she may only be working in a 5-8 mile radius, she is working in 4 distinct
cities. She will need licenses in each city, because she is performing work INSIDE
those cities.

SmallBizlady: What else do small business owners overlook in their
businesses?

TaxMama®: They don’t set up an advisory board. I talk about the concept in Chapter 1 of Small Business Taxes Made

Easy. But, perhaps I don’t explain it well. The Board doesn’t need to be a formal
board. You don’t necessarily need to pay Board members. And you don’t need to
have formal meetings. Though it would be good to have everyone meet, in person, at
least once a year.

This can be an informal group of solid contacts – your tax pro, your attorney,
your insurance agent, your banker and a few other key people. These people
can help open the door to both clients and vendors. They can help you find the
best resources, at insider prices – because they have contacts. When you get
referrals from respected members of the community, it’s easier to close a sale to a
prospective client. It’s easier to get a line of credit from a supplier. It’s easier to get
good prices from a vendor. You might even learn about special deals or services
others don’t know about.

Heck, they might even find you investors – or offer to do so themselves, if they are
impressed with your business.

Best of all, they can bring your business to profitable status more quickly. If you
haven’t done this yet, it’s never too late to set up your own informal advisory board.

SmallBizlady: You mention tax professionals. And you are an Enrolled
Agent. Could you explain what that is?

TaxMama®: Enrolled Agents,
or EAs, are the best-kept secret in the tax industry. We have been around since the
Civil War, when the U.S. Treasury Department created this designation to prevent
people from filing phony claims for reimbursements after the war. These days,
Enrolled Agents are authorized to represent taxpayers before the Internal Revenue
Service in all tax matters.

  • You can become an EA two ways – the easy way is to work for IRS for 5
    or more years in certain positions. The hard way is to pass a set of very rigorous IRS
    examinations. I teach the course to help tax pros do that at www.irsexams.com (incidentally, this is a TERRIFIC
    profession for women – I’ll tell you more about this in a minute.)
  • When it comes to tax matters, EAs can do everything that CPAs can do –
    and, believe it or not, often we can do it better.
  • Why? Because all of an Enrolled Agent’s continuing education must be
    tax related. We must absolutely be up-to-date on all tax issues. We have special
    training in tax issues. CPAs must also take continuing education courses. But there is
    no requirement that any of their education must be on taxation or tax matters.

SmallBizlady: What is so special about Enrolled Agents?

TaxMama®: Enrolled Agents
are specifically license to represent taxpayers who have tax problems, like audits,

tax debts, IRS errors, spousal disputes, and other night terrors. Many CPAs don’t
even know how to do tax representation. Their strengths lie in helping you with
complex accounting matters – or with complex tax planning issues.

I was shocked when I looked at someone’s IRS audit recently. He’s working with his
CPA, who missed a crucial response deadline – and just cost my friend his right to go
to Tax Court. The CPA didn’t even know he had done that.

SmallBizlady: Getting back to business, what’s another thing small
businesses tend not to do?

TaxMama®: People start a
business with an idea. Or someone asks them to do something and starts to pay
them. Things start rolling on their own…and there’s no planning. Often, you’re
making some money, or a lot of money, before you even realize it.

You suddenly look up and, uh oh! I’m in business! I haven’t made any plans. I haven’t
thought anything through. And I haven’t set aside any money to pay the taxes on my
business. A couple of years ago, I set up some special training for the top Internet
Marketers – you know, the guys making a million dollars or so online. Several of
them had this problem. When they first started to succeed, they made their first
couple of hundred thousand dollars – and spent it all – leaving NOTHING with which
to pay the taxes.

You never want to have that problem.

So…learn the rules about making estimated tax payments – and make them on time.

SmallBizlady: What are the rules for Estimated Tax Payments – and how
can we simplify this?

TaxMama®: These days, IRS
wants us to make the payments electronically. So open up a free account at www.EFTPS.gov . It will link to your bank
account and take a couple of days to set up.

BTW, ladies you DO have a separate bank account right for the business, right? If
you’re in business, you must. If you haven’t done it, do it first.

Let’s set aside the complications in the rules. OK. Bottom line?

1) If you’re going to owe $1,000 or more by April – make estimated payments.
Period. Pay $250 per quarter. The first payment is due on April 15th.
(OK, this year, it’s the 17th because the 15th is on a
weekend.)

2) Set aside about 1/3 of all your profits in a savings account, so you can pay your
taxes each quarter. If you end up not needing that much for taxes, at least you’ll have
money saved to put into your retirement account.

SmallBizlady: You told me that you have a pet peeve about small business
owners. Come on, what is it?

TaxMama®: Shall I tell you what almost makes me cry?

People who come to me with their questions AFTER they’ve already done whatever
it is they’re asking about. By the time they get to me, they’ve already done
something so wrong, it’s really expensive to fix.

Oh, they can mean well. For instance, this sweet fellow, Joe, brought his best friend
to consult with me about his new business. Joe was so proud of himself. To help his
friend, he had gone and arranged to buy him an LLC because he heard on the radio
that LLCs are good things to have.

Well, as it happens, in California, there is an annual $800 fee for LLCs. And California
also charges a Gross Receipts tax based on the business’ sales – even if the business
runs at a loss. In California, LLCs are often a bad idea. It’s much cheaper to simply
buy a business liability insurance policy, if you’re concerned about protecting your
assets. And if you don’t have any assets – you don’t need an LLC or insurance.

Not only did he waste about $400 of his own money, it was going to cost even more
to undo the LLC his friend didn’t need.

SmallBizlady: Speaking of LLCs, what is the best legal structure for a new
business?

TaxMama®: I wish I could give you a pat sound-bite. But there is NO one best choice.

Your business structure will depend on what you want to get out of the business. Do
you need benefits? Like health insurance, child care, retirement, etc. Do you already
have all that at a job or a spouse’s job?

Do you plan to take the business public in a few years? Do you want to build dynasty
and pass the business to your children and grandchildren?

Do you need investors to help grow the business? Or will you be using your own
money or loans? Each need is served by a different structure.

If you haven’t done any planning, don’t set up any structures. Just start out as a sole

proprietorship and see how the business does. It’s cheaper, easier to untangle later
– and it has fewer strict recordkeeping and minute-keeping demands.

SmallBizlady: What is the best thing about being in business, instead of
having a job?

TaxMama®: It’s your time. It’s your decisions. Just the other day, someone told me he had some students (children)
who were generally rude and whiny. He really, really didn’t enjoy teaching these
undisciplined children. Even though their presence provided $1,000 per month,
since it was HIS business, he was free to send them on their way.

I love having the freedom to have clients I really enjoy being with. I love being hire
to people to work with me or for me, who are like sunshine to have around. I don’t
have to put up with negative, stressful, or inconsiderate co-workers or customers.

That’s one of the big advantages of working for yourself.

SmallBizlady: How can you go about surrounding yourself with great
clients?

TaxMama®: This is one of the
advantages of doing a business plan. (Chapter 2 in Small Business Taxes Made Easy)
Sit and visualize how you would like to spend your business days. Who do you want
to spend your days with? What kind of customers; what kind of staff?

Once you know who you want to surround yourself with, you can find a way to
target exactly those kinds of people. And you can do this in any profession. Let’s say
you love being around horses and people who love horses.

Join organizations, turf clubs, etc. that cater to horse people. Get to know them.
Volunteer for projects, events, committees. These are the people who will become
your friends and contacts. If you’re a dentist – they need dentists. If you’re a tax
professional, they need tax pros who are experts at dealing with breeding, racing
and ranching audits. Whatever it is you do, you can provide a service or product to
the horsey set.

SmallBizlady: Your clients seem to do well, even in recessions. Why is that?

TaxMama®: I try to help my
clients keep an eye on the market and changing conditions.

Two of my clients, brothers, were in the garment industry, selling custom designed
fabrics. Several years ago, I told them both – you need to find a new business, or go
to China. The Chinese will be undercutting your prices. And many of their customers

would be going out of business.

They heeded my advice. Let’s call them Bill and Ben. Bill looked at other business
options, like real estate. Ben went to China and researched the market and vendors
there. Ben came back and said he would start getting his fabrics manufactured in
China. I gave him some warnings about what to watch out for in the workmanship
and the production. So, he did exactly that. His business grew faster than it ever had.

Incidentally, Ben told me that some of his customers DID start going under. But he
had such a good relationship with their accounts payable departments, that the
ladies there made sure he was paid before they went out of business or filed for
bankruptcy.

Let’s look at another case. I had become good online friends with Jacqueline
Freeman. Her husband was apparently well-known for his therapeutic work
with show horses or racehorses. He loved what he was doing. Jacqueline told me
the work is so physical, that as he got older, it gets to be harder on his body. So I
suggested that he turn his skills into a school – and it worked! http://equinenaturalmovement.com/

See, you not only get to do what you love, but you need to adapt as times and
markets, and skills change.

SmallBizlady: How about giving a few tax cutting tips?

TaxMama®: How exciting.
Cutting taxes!

If you’ve been following the Republican campaigns, you’ve seen a lot of nastiness.
And sometimes, a little stupidity. There was a critical story in the news about Newt Gingrich because his S Corp
paid him a salary of about $420,000, on profits of about $2.4 million. The article
talks about him evading self-employment (Medicare) taxes of about $60,000. What
Gingrich did was not only legal, his salary was certainly high enough not to attract
an IRS audit.

The whole point of having an S Corp is to avoid paying payroll taxes on ALL
your earnings. You use the S Corp to have a modest, but reasonable wage – and
to pass the rest of the income through to you without the extra 15.3% worth of
Social Security and Medicare taxes (or just save the 2.9% of Medicare, if your
wages are above the FICA limits). (You can see what one attorney had to say about
this.)

I do a little comparison of Romney’s and
Gingrich’s tax returns for the tax pro community at www.iShade.com . But one thing I didn’t touch
on is – some of Romney’s income is surely from his Bain investments. That
company is designed to invest in businesses. There’s a special provision
in the tax code that allows you to exclude all or part of the gain when
you sell the stocks of Qualified Small Businesses (QSBS). In fact, there’s another provision that lets you roll over the profits if your business is a Specialized Small Business Investment Company (SSBIC). I didn’t
dig into Romney’s 200-page tax return deeply enough to track down the untaxed
income from such rollovers or exclusions. But, it’s quite possible, due to the nature
of his investments, in his blind trusts, you will find such untaxed income.

Well, isn’t that the whole point of tax planning? To use the tax laws to your
advantage.

With the right planning, you can set up your own corporation to qualify for this
QSBS treatment. Then, if you do well and sell your stock, you can avoid paying taxes
on some or all the gains. And if you fail – there’s a special treatment for the losses,
too!

Just imagine, the first people who bought or received FaceBook stock – their
original stock probably qualifies for the QSBS exclusions. And how much is their IPO price?

That could be your company 6 years from now!

If you found this interview helpful, join us on Wednesdays 8-9pm ET
follow @SmallBizChat on Twitter. Here’s how
to participate in #SmallBizChat: http://bit.ly/S797e

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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How to Monetize Your Message – #SmallBizChat QA with Darnyelle A. Jervey

By on February 16, 2012 in Branding & Marketing, Melinda Emerson @SmallBizLady, Q & A Interviews, SmallBizChat, Telesummit

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 @darnyellejervey Darnyelle A. Jervey, MBA, is a small business expert founder of IncredibleOneEnterprises.com. She is committed to showing entrepreneurs the mindset, marketing and money-making strategies to attract more ideal clients and charge what they’re worth so that they earn 6 figures unleashing their Incredible Factor.  For more information http://www.incredibleoneenterprises.com

SmallBizLady: What is your unique approach to marketing?  

Darnyelle A. Jervey: Marketing that evokes an emotional response for your “audience of one” because you are creating an experience for them that sets you apart from others who technically do what you do. In creating an experience, you find authentic and compelling ways to position your brand, product and service so that they see you as the only solution to the problem they’re experiencing.  When you are fully authentic, you can create compelling marketing that immediately resonates with your “audience of one.” And when they feel like you know them, their trust in your products and services deepen and they take action to work with you.


SmallBizLady: How do you determine your audience of one? 

Darnyelle A. Jervey: Before you can get started, you have to get clear on the problem that you can solve for others easily out of your abundance – of content, information, strategy, etc.  Remember the universal law of business. Then the first step is to thoroughly describe who they are right now. It can be done in one clear paragraph. This includes demographic as well as emotional information that helps you “get into their heads” so that you can eventually create compelling marketing for the to self select themselves into your products and services. Next, identify what their problem is right now in a full paragraph. Get clear on what they’re struggling with in graphic detail. Begin to use words they’d use to describe their problem. And lastly, build out a detailed paragraph about what theyre in most need of right now to solve the problem. This final paragraph is like your prescription for their problem.

 

SmallBizLady: What is the most important thing to do monetize your message? 

Darnyelle A. Jervey: Remember the universal law of business and build your marketing message around it. Everything that you do, say and are must align to the way you want to be represented in the market while solving a problem for your “audience of one”
SmallBizLady: Why do entrepreneurs fail to attract only ideal paying clients? 

Darnyelle A. Jervey: Because they lack the clarity of getting into the heads of their ideal clients. For this reason, I share a 15 page ideal client profile with my students and clients that is made up with a multitude of questions that you must answer about your ideal client before you’re ready to market to them. While they all complain, when they’re done they know their audience of one so well that they can speak their language and make an immediate impact.

 

SmallBizLady: What one strategy can SHIFT a business when implemented? 

Darnyelle A. Jervey: What I like to call the “dog whistle” strategy. Beginning to speak their language, in a frequency that only thy can understand and they will respond to your call to action every time…


SmallBizLady: How should small business owners create a systematic approach to marketing?

Darnyelle A. Jervey: Yeah I’ve created the client magnet marketing success formula which is devised of the 7 steps that create experiential marketing so that you consistently attract more clients, make more money and gain more leverage in your business.


SmallBizLady: What is the client marketing success formula?

Darnyelle A. Jervey: Again, it’s comprised of 7 core mindset, marketing and money-making strategy steps and ensures that at every step you’re focused on creating an experience.  Your message aligns with your marketing so that you create a movement.  The steps include aligning your message and mindset, clarifying your audience of one, creating magnetic marketing messages, creating magnetic marketing materials, creating an experience when networking, developing a client referral system, creating value-based packages and prices, closing the sale with ease and setting up marketing systems and sequence to gain leverage for your business.  These 7 steps, when used consistently are exactly what a small business owners needs to keep their pipeline full.
SmallBizLady: How do you determine your message?

Darnyelle A. Jervey: I recommend that you take time to “inspect the incredible” or complete a swot analysis on your business concept. It’s easy to want to speak in a voice that is already in the marketplace; however, it’s about finding what makes you different.  As you complete your SWOT, think differently. Ask yourself questions that look at the problem from a different angle. Don’t be afraid to burn the box.
Smallbizlady: How does your Incredible Factor play into your marketing?

Darnyelle A. Jervey: Let me start by defining the Incredible Factor for you – it’s your secret sauce, signature business move, unique selling proposition and hot undeniable gift in one client magnetic package. Think about the first time MJ moonwalked and forever changed the game.  Every entrepreneur has their own moonwalk and it, when marketed magnetically can create amazing wealth for them and their family. It’s how you solve the problem differently from the others in your industry.  It’s everything that culminates into the experiences that you create for your clients and customers.

 

SmallBizLady: What should an entrepreneur never do when creating their marketing?

Darnyelle A. Jervey: Copy from someone else. That will be seen a mile away. It’s inauthentic and as a result, you won’t achieve your results because your Incredible Factor isn’t making a statement. Take the time to find your signature move or, work with a business coach or mentor to find it.  Even though there is “nothing new under the sun” there is a unique way for you to present the information in your own style and voice.  Don’t be afraid to be you, you must own your Incredible Factor if you truly want to magnetize your marketing.

 

SmallBizLady: How will I know if my marketing is creating a movement?

Darnyelle A. Jervey: If you’re evoking emotion consistently in your marketing and your marketing is aligned to your mindset for success. When others identify with you emotionally, you create an experience and experiences move people to follow you because they believe your work is transformational.  And you’ll now be your results and your followers will tell you NAD everyone else.

 

SmallBizLady: Why do you suggest shifting your mindset as a key component to monetizing your message?

 Darnyelle A. Jervey: 95% of your success in life is based on mindset. Your business growth will always be stifled by your limiting beliefs. If your limiting beliefs are bigger than your desire to change the lives of those you’ve been called to serve with your Incredible Factor, you won’t grow your business. By taking the time to learn strategies to shift your mindset, you can experience exponential business growth. Which will allow you to create experiences for many more people.

 

If you found this interview helpful, join us on Wednesdays 8-9pm ET follow @SmallBizChat on Twitter. Here’s how to participate in #SmallBizChat: http://bit.ly/S797e

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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How to Reinvent Your Small Business Brand – #SmallBizChat Q&A

By on February 9, 2012 in Branding & Marketing, Q & A Interviews, SmallBizChat, 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 Branding Strategist @DeborahShane. Deborah is the Author of Career Transition-make the shift and a nationally published writer and speaker.  She hosts a weekly Blog, business radio show, and writes for several national blogs and websites including smallbiztrends.com, careerealism.com, American Express Open, Personalbrandingblog.com and Blogher.com. Deborah delivers smart ideas and solutions, which make her a popular go-to resource for clients and the national media. She has been featured on CBS, Fox, CNNMoney.com, HLNTV.com. Connect with her on the web at DeborahShane.com

Smallbizlady: Why are we talking SO much about personal branding?

Deborah Shane: It’s just not enough today to be in business or have a job. To be successful people have to develop a defining, distinctive personal brand that clearly communicates ‘who they are, what they  do and what they stand for’ to make an impression and get noticed. The emergence of “personal branding” has been an outgrowth of the social media revolution. People getting more personal in their communications through the social medias is an amazing way to build brand awareness and credibility. For business, people want to know who is behind a brand now. The authenticity and transparency has become much more important to consumers. For entrepreneurs is vital to come out in front of your brand to let people know who you are and give people a glimpse of you.

Smallbizlady: We use brand and branding so interchangeably. Is there a difference and why is that important?

Deborah Shane: The brand is you: what you do, stand for and believe in. The branding is you in action: everything you do to market yourself online and in person. These work together and are mutually interdependent. Creating your brand first (the who/what/package), all the visual imaging, logo, colors, messaging about who you are and what you do has to come first. The branding (packaging/presentation), or all the marketing tools, and platforms you use to market and present yourself can only happen when you have the brand package.

Smallbizlady: What are the 3 things stand out brands have in common?

Deborah Shane: They know exactly who they, what they do and whom they serve. An example of this is: “I am a baker that makes mini gourmet cupcakes”, or “I am nature watercolor artist who paints wildlife and birds. Knowing your target audience and the psychographics of your customer is key for marketing to them.

Smallbizlady: What are the steps one should take to reinvent an existing brand?

Deborah Shane: The first step is to review and update the Messaging about what you do, your value proposition. Make sure it is still relevant and targeting your key niche and customer. These should be kept very current with what it is NOW not 2 years ago.
The second step is to review and update your Visual Presentation. The formats, styles, presentation of your logo, websites, cards, marketing copy,  user experience should all be what you want people to see and what are the best practices of businesses NOW.
The third step is to use an Integrated Marketing approach for the ‘branding of your brand”. Review all the things you are doing to put yourself out there and make sure they are the best activities to reach your customer. Are they where your customer engages? Use these branding activities in tandem, together: social, email marketing, blogging, video, networking.

Smallbizlady: What kind of help does a small business need to reinvent their brand and how much should that cost?

Deborah Shane:
The DIY choice can work very well, as long as it is not taking too much time away from the other important things we need to do. Get a referral from people you know for marketing consulting, a graphic designer, website management and social media management. It is an investment you make in yourself and your business to look great and have a unified message. The prices can vary from the Elance.com type of site to a sold referral from your network. I highly recommend getting a referral, unless it is a very easy type of project.

Smallbizlady: Why is knowing your target customer and niche so important in small business branding?

Deborah Shane: By knowing this you can target the right media, messages and sales approach that is best for your target audience. Demographics plus psychographics gives you the best profile of your customer’s age, gender, background, and values.

Smallbizlady: How does someone build brand authenticity and credibility?

Deborah Shane: Demonstrate your brand’s core values as much as possible,. Have a defined, clear value statement and promise of who you are, what you do and whom you serve. Build your legacy and leadership by being consistent, authentic and telling your story, Strive to serving others. Reinvent and redefine yourself as things change, but be true to your core values. Don’t be afraid to fail, fall, show your vulnerability and celebrate perseverance and hope. Celebrate your sense of humor!

Smallbizlady: What social media platforms are best for building a personal brand?

Deborah Shane: Blogging is the best way to demonstrate your build brand and position you as an authority in your field. Email marketing can grow your personal relationships with your permission based list. Video can show your personality and allow people to connect with you more personally.
Facebook used more professionally on fan pages can get your people to engage, interact, rant, rave, discuss, ask questions all at the same time! It is an amazing engagement and branding tool.

Smallbizlady: How can you use multiple social media platforms together to build reach?

Deborah Shane: I have been combining my monthly themed email marketing newsletter with video, tele-calls, and articles on my blog. I also use my blog and email newsletter to promote my weekly business radio show, by highlighting upcoming and past shows and guests. I created a feature called “You’re in The Spotlight”, which combines all my digital assets: blog, radio show, email marketing, social media to highlight feature businesses and experts.

Smallbizlady: Why do some small business brands fail?

Deborah Shane: There are many ways that small business owners damage their brands including using multiple brands messages and/or images, inconsistent maintenance of blogs, and having no social media footrprint. You must have a professional brand image and logo that is on all of your web and hard copy materials.  You must be able to commit  to blogging two to three times a week, otherwise you shouldn’t bother. You must have a helpful website that tells people how you can help them within 7 seconds of them clicking on your page.

Smallbizlady: You talk about ‘accessorizing’ your brand like you do an outfit or your home décor, explain this?

Deborah Shane: In the fashion and design worlds, it’s that splash of color, pattern or grouping that catches the eye and grabs the emotion. So, why not apply this idea to ways you can accessorize your brand? Using stories, images, info-graphics, testimonials, color, video, etc to accessorize your brand and make your business more relatable to your target customer.

Smallbizlady: What are your top 3 tips for personal branding for 2012?

Deborah Shane: Reinvent and Leverage your talents and accomplishments. Use more video, testimonials, recommendations to create better results in your business.
Reimagine what success looks like and means to you today. Be realistic and put things in perspective for today, not 10 years ago.
Reinvigorate your visual brand and branding activities. Update your websites, logos, copy, messaging and business skills and make sure they are current and fresh. Network, network, network in person and online, and change up your routine.

Smallbizlady:  You have 25 Free and Low Cost Ways to Market Yourself NOW! How can people get the complimentary copy of them?

Deborah Shane:  Go to DeborahShane.com and sign up in the Join Our Community box and we will send them to you. That also get’s you in for our informative monthly letter and complimentary monthly tele-call.

If you found this interview helpful, join us on Wednesdays 8-9pm ET follow @SmallBizChat on Twitter. Here’s how to participate in #SmallBizChat: http://bit.ly/S797e

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 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 Be Successful in Business #SmallBizChat QA

By on February 2, 2012 in Grow Your Business, How to Start, Melinda Emerson @SmallBizLady, SmallBizChat

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 retail and fashion pioneer Liz Lange @lizlange. In 1997, out of a one-room office, she created Liz Lange Maternity, changing forever the face of maternity fashions.  A decade later in 2007, after dressing every major pregnant celebrity, forging licensing deals with Nike and Target (today, Liz Lange for Target is the exclusive maternity department at all Target locations), and opening three flagship Liz Lange boutiques, Lange sold her business though she continues on as the face of that brand.  In 2010, her first ever non-maternity clothing collection, Completely Me by Liz Lange, debuted exclusively on HSN.  She is the co-founder of the popular woman’s shopping site, Shopafrolic.com.

Smallbizlady: How and when did you have the ‘Ah ha’ moment that led you to launch your first business?

Liz Lange: My Ah ha moment came back in 1997. I was newly married and although I hadn’t yet had my children – pregnancy was definitely on my mind (today my son is 13 and my daughter is 11). After having worked at Vogue, I had left to apprentice for a struggling fashion designer. My friends starting getting pregnant and they would come to our offices to buy clothing. I would say to them, why come here, you should shop at maternity clothing stores but they all said that they could find nothing at traditional maternity clothing stores. Instead, I noticed that they were buying “regular” clothing in big sizes and altering it to make it work. And in our offices they were squeezing themselves into anything that had a bit of stretch in it.

This led to my double Ah ha moment: one) pregnant woman looked better, sexier, more stylish and ironically smaller when squeezed into something stretchy and fitted instead of the tent-like maternity dresses that were typical at that time and two) pregnant women were spending and shopping (they needed to – after all nothing in their closet fit them anymore) but they didn’t like the maternity clothing being offered. I didn’t consider myself a fashion designer so I went to the designer I was apprenticing for and told him that he needed to do a maternity line and that it would turn his business around. But he hated the idea. I found that I couldn’t get the idea out of my mind. I finally realized that if I didn’t create the maternity clothing that I was envisioning and someone else did that I wouldn’t be able to forgive myself. And so I launched Liz Lange Maternity.

Smallbizlady: How did you land your very first big customer?

Liz Lange: My first customers were my pregnant friends. But dressing celebrities really put me on the map. Whenever I heard a celebrity was pregnant I would reach out to them through their assistant, publicist, manager. My first big customers were Cindy Crawford, Terri Hatcher and Bobbie Brown.

Smallbizlady: What kind of money did you need and how did you get it to start your business ventures?

Liz Lange: I started very small. At the beginning I did everything made to order so that I didn’t have to invest in inventory that I may or may not have been able to sell. I borrowed about $10,000 from my parents. I had a phone so that people could make appointments with me to see my designs and a fax machine to fax the factory that was filling orders for me, one at a time.

Smallbizlady: You became a mom while running your business, how did you handle being a pregnant entrepreneur? (other than being a great model for your maternity clothing line LOL)

Liz Lange: Pregnancy did NOT slow me down. I worked until the day before I gave birth to each of my children and was back within a few weeks. After all, my business was my baby too!

Smallbizlady: Pricing is always a challenge for business owners. What’s your advice on getting it right?

Liz Lange: It’s hard to give general advice about pricing. You need to make money and get your margins right. You need to have a feel for what the market place will allow.

Smallbizlady: What’s the biggest struggle you’ve encountered and how did you overcome it?

Liz Lange: Running your own business is filled with highs and lows and to me that is exhilarating. Definitely post 9/11 was challenging. The world was not interested in buying high end maternity clothing anymore! I signed a licensing deal with Target and together we produced Liz Lange for Target which has become the exclusive maternity clothing offered at all Target locations and Target.com. Its success helped bring success back to my high end business too

Smallbizlady: You are a self-made millionaire entrepreneur.  How do you stay grounded and humble?

Liz Lange: I think being self-made is what keeps one humble and grounded. I am so lucky to do what I do and I love my customers and my life, my family and friends. They definitely all keep me grounded!

Smallbizlady: How do you measure success? 

Liz Lange: Well there are so many ways to measure success. The most obvious in business is financial. I felt successful when I was able to open 3 flagship retail stores (when I sold the business the new owners chose not to keep the stores) but for many years I had boutiques on Madison avenue, Beverly hills and Long island. And signing licensing deals with Nike and Target, dressing tons of A-list celebrities, that all made me feel successful. But maybe what has made me feel most successful is the letters I get from women telling me that I made them feel pretty or sexy or confident during a time that they didn’t think that was possible.

Smallbizlady: What’s your must-read resource for small business owners and Why?

Liz Lange:  I love reading books by entrepreneurs whom I admire. Some of my favorites: Phil Knight’s Just Do It, Howard Schultz’ Pour Your Heart Into It, Tony Hsieh’s Delivering Happiness, Mary Wells Lawrence’s A Big Life in Advertising.

Smallbizlady: What’s your biggest business goal over the next 12 months?

Liz Lange: I honestly never set goals, I just do the best I can every day but…I launched a new line, my first ever NON maternity line of women’s clothing a little over a year ago. It is exclusive to HSN and it’s called Completely Me by Liz Lange – I want to see that line really take off. I want to see my fashion/shopping e-newsletter, shopafrolic.com grow and I am working on a book about being an entrepreneur.

Smallbizlady: Complete these sentence:  If standing on a rooftop facing crowds of aspiring or struggling small business owners, I would shout:

Liz Lange:  “Shut out the naysayers! The truth is until someone does something new NO ONE thinks it’s a good idea. Just do it!!!”

 

If you found this interview helpful, join us on Wednesdays 8-9pm ET follow @SmallBizChat on Twitter. Here’s how to participate in #SmallBizChat: http://bit.ly/S797e

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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Who’s on #SmallBizChat – February 2012

By on February 1, 2012 in Melinda Emerson @SmallBizLady, SmallBizChat

Each week as Smallbizlady, I conduct interviews with small business experts on my weekly Twitter talk show #SmallBizChat.

Here are the upcoming guests for February 2012…

  •  Feb 1st Retail Pioneer @LizLange How to Be Successful in Business
  • Feb 8th  @DeborahShane How to reinvent your Brand
  • Feb 15th @DarnyelleJervey How to Monetize Your Message
  • Feb 22 @Taxmama Eva Rosenberg Getting your Small Biz Taxes Together
  • Feb 29th Stephanie Chandler @Bizauthor How to Own Your Niche

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How To Use Trends Data To Grow Your Small Business

By on January 26, 2012 in Branding & Marketing, Grow Your Business, Q & A Interviews, SmallBizChat

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 Rieva  Lesonsky @Rieva is CEO of GrowBiz Media, a content and consulting company specializing in covering small businesses and entrepreneurship. Before co-founding GrowBiz Media, Lesonsky was Editorial Director of Entrepreneur Magazine. A nationally known speaker and authority on entrepreneurship, Rieva has been covering America’s entrepreneurs for more than 26 years. www.growbizmedia.com

SmallBizLady: Why is it important for small business owners to pay attention to trends?

Rieva Lesonsky: If you don’t keep up on what’s going on (what’s trending), then it’s all too easy for your business to stagnate. Trends often end up taking businesses in new directions, which can scare business owners who aren’t comfortable pushing the envelope. Following trends doesn’t necessarily mean changing your business every time you hear about a new trend, but you need to educate yourself enough to know when you should—and should not react.

SmallBizLady: Are trends the same as fads? How do you differentiate?

Rieva Lesonsky: At first glance it might seem that trends and fads are the same thing. They’re not, though trends can start out as fads (that doesn’t happen all that often). Fads have short shelf lives. They’re in, everyone buzzes about them, and then they’re out. You can make a lot of money from capitalizing on fads, but it’s quite risky. Timing is key—you not only need to know when to get in—but more important, you have to know when to get out. If you don’t time it right, you can easily be stuck with a lot of expensive excess inventory.

SmallBizLady: What insights can a small business owner get from trends?

Rieva Lesonsky: If you pay attention, you can take advantage of a trend and add a lot of money to your bottom line. Trends take many forms: they can be about business practices, new technology, consumer behaviors, new demographics with buying power, or brand new business opportunities.

SmallBizLady: Is learning about trends the same as conducting market research?

Rieva Lesonsky: Not really, though the results may be the same. Market research is a more formal process, grounded in science. There are some hard costs involved, and you usually have to get other people involved. Trendwatching is more about seeing and adapting, and depending on what your particular situation is, it can all come down to your gut feelings.

SmallBizLady: Doesn’t market research cost a lot of money to conduct?

Rieva Lesonsky: While there usually are some costs involved with market research, it’s a lot easier today to conduct research on a budget. It all depends on what you’re trying to find out. But a smart first move is to ask your customers. You can do this in-store if you have a physical location, or using an online survey tool. Survey Monkey, which just bought my favorite survey company Zoomerang, is cheap—and easy to use.

If you live near a university or college, and need more formal and/or extensive market research, consider approaching a professor at the business school and ask if the class can conduct your research for you as a class project. You’ll likely have to pay some reimbursement costs, but you’ll still save a fortune.

SmallBizLady: Is it expensive to keep up with trends?

Rieva Lesonsky: It sure can, but it doesn’t have to. For some industries, there are companies that specialize in observing and reporting on trends. It can be quite expensive to subscribe to these services, but many businesses swear by them. Other research firms create extensive research reports which can be purchased for several thousand dollars.

On the other hand there are lots of places to get trends info free—or for a relatively low cost. Many websites, magazines, newspapers and blogs can deliver a lot of trend information at a relatively low cost—or even for free.

There’s a lot of free information available from the government as well.

Really, it’s about paying attention. You need to be a participant. Know what people are watching on TV, what books they’re reading, what movies they’re going to?

SmallBizLady: What are some good places to find out about trends?

Rieva Lesonsky: Here are some of my favorite trend sites, and places to get info:

www.springwise.com,  www.trendwatching.com,  http://www.jwtintelligence.com/, http://www.npdinsights.com/,      http://oxygen.mintel.com/index.html, http://www.hartman-group.com/, www.ibisworld.com,  and you can sign up for my free weekly trends e-newsletter, TrendCast at www.smallbizdaily.com

I also get a lot of trends info from BloombergBusinessweek magazine, The NY Times and The Wall Street Journal.

One of my favorite sources is Census data and other government reports. It’s amazing what you can learn from perusing this data. For instance from looking at Census data several years ago I discovered we’re on the leading edge of a wedding boom, that will likely last for more than 20 years (and leading to yet another Baby Boom).

SmallBizLady: What are some trends that are going on right now that I should be aware of?

Rieva Lesonsky: In customer behavior, the trend is towards wanting value. Consumers aren’t necessarily looking for the lowest prices, but they want to make sure they are getting a good deal for their money.

In the world of technology we’re seeing several dominant trends, both which can result in increased productivity for us, and our employees. One is the continuing march towards cloud computing, which decreases costs, increases productivity and communication. I know some businesses that were able to go all virtual, because of cloud-based servers, saving the owner a lot of overhead.

Another is consumerization, which is the merging of our digital personal and professional lives. I’d also keep my eyes on gamification, which is increasingly being incorporated into business practices.

And mobile marketing is quickly becoming very important. Most businesses not only need a website, but they need one that is optimized for mobile devices.

SmallBizLady: We’re always hearing about how young people set the trends. Does that have influence on other demographics?

Rieva Lesonsky: Actually trends can start in any demographic, and affect (or should I say infect) other generations. Right now there are major trends going on in many demos. The over 50 crowd is acting younger, and many are not planning to retire anytime soon. They working, spending and are a great market to target. They’ve embraced technology more than people give them credit for.

Gen Y is having an impact, just by its size. They’re early tech adopters, and demand that workplaces offer better technology—and have had a lot to do with the consumerization and gamification trends.

The lines between the generations have blended to some degree, which is good news for business owners, giving us broader markets to target.

SmallBizLady: Are there some business niches that are particularly trendy right now?

Rieva Lesonsky: The senior market is quite hot. The oldest baby boomers turn 66 this year, but the youngest turn 48, so there’s a lot of years left to serve this market. There’s a growing need for services to address parents of these Baby Boomers as well, like adult day care, senior relocation services, and home health non-medical care.

Another market that’s trending is the beauty and health industry. We’ve seen significant growth in things like Pilates and yoga studios, and clothing, and in men’s grooming products. And there’s a ton of money spent by teens, tweens and even young girls on makeup.

SmallBizLady: There always seems to be a food trend in the US. What’s hot right now?

Rieva Lesonsky: So many—too many to mention actually. If you own a restaurant, even non-vegetarians are demanding more veggie choices. Hamburgers are going upscale, some burger joints have rebranded as burger pubs or burger bars, offering more exotic toppings, and meat, leading to more prices.

Mobile food is still hot—almost anything can be served from a truck these days, and the overheads costs are reduced. Many entrepreneurs who started in trucks, graduated into sit-down restaurants.

And of course the battle to rule the dessert realm continues. Many have tried, gourmet macaroons, donuts, pies in many forms—but cupcakes still rule.

SmallBizLady: What’s the one thing all small business owners need to keep in mind  as they grow their businesses?

Rieva Lesonsky: Trends are important because they provide fodder for change. And that’s essential for the health of every growing business. You cannot, should not fear change. Embracing change will keep you ahead of your competitors, and in a better position to attract and satisfy customers.

 

If you found this interview helpful, join us on Wednesdays 8-9pm ET follow @SmallBizChat on Twitter. Here’s how to participate in #SmallBizChat: http://bit.ly/S797e

 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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How To Be A Pregnant Entrepreneur – #Smallbizchat QA with Darla DeMorrow

By on January 19, 2012 in Mompreneurs, Q & A Interviews, SmallBizChat, Women in 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 professional organizer Darla DeMorrow @DarlaDeMorrow  Darla helps people find their desktops, keys, time, money, and sanity as a certified professional organizer, but her kids still leave toys on the floor. She was a pregnant entrepreneur twice and wrote the book The Pregnant Entrepreneur. Website: www.PregnantEntrepreneur.com

Smallbizlady: Once I realize that I’m pregnant , who should I tell and when?

 

Darla DeMorrow:  Disclosure of your news requires a plan.  Start with your spouse, then family when the time is right.  Tell employees, then clients.  Then figure that everyone else will already have heard the news, but still be prepared to tell people.  Don’t let people wonder too long, especially employees and key clients.  You want to assure them that there is a plan for business continuation.  Unfortunately, there is still a stereotype that most women decide to stay home after having children, even if that isn’t reality. It’s unbelievable, but you may be discriminated against for being pregnant, and you may not even know it.  But it’s almost never worth pursuing, other than to perform your best, just as you always have.

Smallbizlady: What kinds of things should I spend my time on while pregnant, getting ready for change?

Darla DeMorrow:  In your first trimester, start any new projects that can better sustain the business, especially passive income streams that you might want to develop. In your second trimester, wrap up any major projects and secure any agreements with colleagues or suppliers.  In your third trimester, spend time on building relationships, scheduling business for your return from maternity leave, and putting finishing touches on any new passive revenue streams.

Smallbizlady: How long will I be able to work while pregnant?

Darla DeMorrow:  Every pregnancy is different, but with good health, most women will work right up until delivery.  Physical changes do start almost immediately, though, so the golden rule is to listen to your body and don’t do something if it stresses your body.  Although I was able to do much of my normal workload right up until my ninth month, I did find that I was accomplishing work much more slowly.  So if you work alone much of the time, consider bringing in an assistant to help speed things up, even if you are otherwise healthy.

Smallbizlady: How long of a maternity leave can I take?

Darla DeMorrow:  The good news: you decide how long you can take.  Your bank account determines how long you can afford to take.  Do a review of your bank account to see how long your business savings will allow you to run the business and still pay the bills. Decide how to increase revenues or cut expenses if you want to take a longer leave.  If you aren’t good with numbers, use the Maternity Planning Guide I developed to help figure it out. The guide is in The Pregnant Entrepreneur and downloadable free at www.PregnantEntrepreneur.com . If you have the opportunity to establish any passive income streams now, like books, virtual consulting, tele-training and paid subscription programs, they may be able to add income even while you are not working.

Smallbizlady: Will I be able to run my business, even with a pregnancy and with a child?

Darla DeMorrow:  Yes, if you want to.  The keys will be organization, focus, and support. Talk to other business owners.  Read what you can.  Write down your plans for the business. Do it now.  Most women will tell you that flexibility is the most important factor as their family grows, and you probably already have high flexibility as a business owner, so you are ahead of the game.

Smallbizlady: Will anyone else help pay for maternity leave?

Darla DeMorrow:  Sadly, no.  Unemployment and health insurance don’t cover maternity leave for the self-employed.  If you aren’t yet pregnant, you might be able to buy a disability policy to cover time off, but do the math to see if it will pay enough to cover your loss of income.  Start with your insurance carrier or a local benefits and insurance broker to research this, but do it before you
get pregnant.

Who else can help me run the business, even if I am a sole proprietor? Get a team together.  Think like a big company and list out who your key suppliers and subcontractors are.  Figure out if any of them might be able to service clients while you are out.  Forge relationships with competitors to enable new clients to get serviced and old clients to get help.  Consider earning referral fees if you are willing to refer clients out to  Consider hiring help.

Smallbizlady: What if I don’t want to continue to run the business? When should I not continue?

Darla DeMorrow:  Being an entrepreneur is great, but only if you are profitable.  If your review of the business shows a deficit, and you can’t or don’t want to make changes to the business for profitability, then close the business without regret.  According to the SBA, 50% of small businesses close after just five years in business.  That doesn’t signal failure, but keeping an unprofitable business running while you could spend time on a new business or with your precious newborn is not a smart choice. This time will never come again. Having the option to devote time to your family is a luxury, and can be cherished.

Smallbizlady: I had a very difficult pregnancy and was on bed rest for nearly 6 months.  What advice do you have for entrepreneurs who run into complications?

Darla DeMorrow:  Complications that put you out of work are relatively rare, although they do happen.  Plan for the worst, from how you will handle clients or employees to the reserves that you’ll need to close operations for a while, should you run into trouble.  If you do get a bed rest prescription, talk with your doctor about how much work you should be doing, even with the help of today’s technology. Really, as a business owner, you should have a plan B anyway.  Anyone can run into events that would disrupt a business, from a death in the family to a car accident.  We don’t want to think about it, but successful business owners do.

Smallbizlady: Should I still try run my business with a small child?

Darla DeMorrow:  Yes!  If you are passionate about what you do, then your business will continue to be fun and rewarding, and possibly even a welcome break from all the pregnancy and baby craziness.  If you are profitable, even a little bit, the flexibility that you gain from owning your own business will be worth so much more when you have to work around another small person.  If you are passionate, you have a better chance of being successful than established businesses in your field.

Smallbizlady: What do I need to know about those first few weeks with my newborn?

Darla DeMorrow:  Turn off the technology. Everything changes, so plan but be flexible.  Give yourself a chance to unplug.  Six weeks is absolutely not enough time to get used to the new normal and handle a full work load.  Have a backup plan in place if you need to take a little longer getting your bearings.  You may want to keep in touch with key contacts, but don’t immediately jump back into the fray if you don’t have to.

Smallbizlady: What is the one thing you must do as a pregnant entrepreneur?

Darla DeMorrow:  If you don’t already do this, pay yourself.  Mark your paydays on the calendar.  Pay yourself when you sit down to pay your bills, once or twice a month.  Write yourself a check or get to the bank and withdraw cash.  If you haven’t started taking a salary from your business, start now, even if it is only $25 per week.  You’ve probably been pouring all of your profits back into the business, but you deserve a paycheck, too.  This becomes super important since you will probably need more income now, whether for necessities or just cute little baby outfits.  But if you are going to stay in business for the years to come, it has to be worth it, and working for free isn’t fun for long.  Make it pay for you and your family.

 

If you found this interview helpful, join us on Wednesdays 8-9pm ET follow @SmallBizChat on Twitter. Here’s how to participate in #SmallBizChat: http://bit.ly/S797e

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 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 Grow Your Small Business Using Google+

By on January 12, 2012 in My Recommendations, Q & A Interviews, SmallBizChat

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 @KimBeasley. Kim Beasley is a speaker, author, educator and web developer who knows first-hand the trials and tribulations of starting a small business. Kim has over 15 years of professional expertise in the areas of social media, project management, web development, database management, telecommunication, sales, technology, technical training documentation, and human resources.

Kim’s social media marketing firm, Social Media Tool Coach (http://SocialMediaToolCoach.com) focuses on helping small business owners develop their online presence. To connect with her, please visit http://FullyFollow.me/kimbeasley or on Google+: http://plus.ly/kimbeasley

 

Smallbizlady: Why is it important for small business owners to be using social media?

Kim Beasley: Social media is changing the face of business today. Through social media, businesses can now reach a wider audience. This wasn’t available years ago but today social media is as much a part of business as weekly staff meetings. It’s a vital component.

Smallbizlady: We’ve been hearing the buzz about Google + lately, can you tell us how it works?

Kim Beasley: Google+ came about as Google’s way of competing with social media heavy hitters like Facebook. Through the development of Google+ users can now connect easily with their target audience as well as others within their business network. Facebook has fans; Google+ has circles. You can creatively design your circles to fit your needs. Google+ may have just been introduced last year but it is already changing the face of business today.

Smallbizlady: I understand that they have “Hangouts” on Google+– what is that exactly?

Kim Beasley: Hangouts are an area of Google+ where the user and nine other people within their circles can video chat. It is a great feature and really allows you to get that face-to-face experience. We have become a society of traditional and online businesses. In the virtual world it is often hard to put a face with a name. Through Google+ Hangouts – you now can connect easily with your staff and customers easily through this video chat feature.

Smallbizlady: I hear that there is a new “on-air” option with these hangouts. What makes that so different?

Kim Beasley: Google+ Hangouts were already a valuable business tool however you were limited to adding only nine members from your circle. So anyone over that nine was left out in the cold, so to speak. Now with the Hangout on Air feature, anyone who wants to get in on your video chat can watch the video streaming live via YouTube. So you no longer have to worry about others not being able to get the information you’re putting out there. It’s a great way to have a conference and allow others to view what’s going on so they don’t miss anything important. This live streaming option is just another way Google is enhancing Google+.

Smallbizlady: You keep mentioning circles. How can you use circles in Google+?

Kim Beasley: Circles are your groups within Google+. You can create circles based on your business and life. For example, if you are running an online business you may have a circle for your staff, a circle for customers, and a circle for vendors. For your personal life you may have circles for family, friends, and acquaintances. Circles are the people you connect with and know based on a common topic, interest or relation. You can literally create circles for every aspect of your life.

Smallbizlady: Since Google+ is still new to many people, how can someone increase their exposure?

Kim Beasley: There are several ways: 1. Add a Google+ badge to your site to drive traffic to your page. Allow people to add your Google+ page directly. 2. Run ads through AdWords pointing to your page. Make what you’re doing to Google+ visible to Google users everywhere. 3. Promote your page through other marketing (email, offline) and social media channels (Twitter, Facebook). You’ve spent years building loyal follower bases that are interested in your content. Make sure they see it! The key is to drive traffic to your Google+ profile just as you would any other site you have.

Smallbizlady: So is a profile just for an individual or can a business set up a profile?

Kim Beasley: Originally profiles were being used by both individuals and businesses as well. However, Google wanted to find a way to enhance business exposure and separate the two so they have created Google+ pages for businesses to set up their profiles on. It’s similar to Facebook pages but with the features of the Google+ site.

Smallbizlady: Is there a maximum amount of friends or contacts that you have on your Google+ profile?

Kim Beasley: Yes, Google has a maximum of 5,000 contacts that a person can have, which is still a large network. Hopefully as time goes on they will increase this limit.

Smallbizlady: How can you sign up for a google+ account?

Kim Beasley: The process to signup is very easy. Just go to http://plus.google.com to signup with your Gmail email address (required). Then make sure that you are ready to add your profile picture and create your personal profile. The whole process could take 5 – 15 minutes. You can learn more about it by visiting: http://support.google.com/plus/

Smallbizlady: How does Google+ fit into your life or career?

Kim Beasley: It has become a key part to me staying in contact with my peers in the social media marketing industry. I’ve been able to find potential business partners that I have wanted to add to my online efforts.

If you found this interview helpful, join us on Wednesdays 8-9pm ET follow @SmallBizChat on Twitter. Here’s how to participate in #SmallBizChat: http://bit.ly/S797e

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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Who’s On #SmallBizChat – January 2012

By on January 1, 2012 in Q & A Interviews, SmallBizChat

Each week as Smallbizlady, I conduct interviews with small business experts on my weekly Twitter talk show #SmallBizChat.

Here are the upcoming guests for January 2012…

  • 1/4 Allyson Lewis @Allyson7Minutes Prioritize, Organize and Simplify Your Life for 2012
  • 1/11 Kim Beasley @KimBeasley -  How To Use Google + The Grow Your Small Business
  • 1/18 Darla DeMarrco  @DarlaDeMarrco- How To Be a Successful Pregnant Entrepreneur?
  • 1/25 Rieva Lesonsky  @Rieva  – How to Use Trend Data To Grow Your Business?

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2011 Best of Smallbizchat Q&A interviews

By on December 29, 2011 in 10 Things Lists, My Recommendations, SmallBizChat

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.  Every Thursday, I always publish a more detailed Q&A interview from my guest so that anyone who missed it or isn’t a Twitter user can still benefit from the information.  My co-host Tai Goodwin and I had an amazing year this year with #Smallbizchat and I am excited to share the best 10 interviews of this year with you all. Happy new year! 

1. Guy Kawasaki @guykawasaki How to Build  Successful Business Relationships

2. Nicole Fende @BizFinanceForum How to Set Your Price to Achieve Your Profit Goals

3.Tai Goodwin @employedpreneur How to Launch Your Business While Working Full Time

4. Anita Campbell @Smallbiztrends How to Use Visual Marketing to Grow Your Business Brand?

5. Raj Malik @kikscore How to Make Your Business Look Credible and Trustworthy Online

6. Pierre Debois @ZimanaAnalytics How to use google analytics to grow your small business

7. John Warrillow @johnwarrillow How to Create a Business Your Can Sell

8. Alyssa Gregory: @Smallbizbonfire How to Teach Yourself the Art of Delegation for Business Success

9. Anisha Robinson Keyes: @anisharkeyes How to Generate Corporate Sponsorship For Your Small Business

10. Matt S. Mansfield  @mattsmansfield How to Use QR Codes in Your Small Business 

If you found these interviews helpful, join us on Wednesdays 8-9pm ET follow @SmallBizChat on Twitter. Here’s how to participate in #SmallBizChat: http://bit.ly/S797e

 

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 smallMelinda Emerson "SmallBizLady" 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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Bob Burg interview on his new book: It’s Not About You

By on December 22, 2011 in My Recommendations, SmallBizChat


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 a special holiday interview with Bob Burg.  I loved his new book, Its Not All About You and I wanted to share it with all my loyal readers. Bob shares information on topics vital to the success of today’s businessperson. He speaks for corporations and associations internationally, including fortune 500 companies, franchises, and numerous direct sales organizations.  He is the author of the popular book The Go-Giver. He and co-author John David Mann wrote their newest book, entitled It’s Not About You, another business parable focusing on influence and leadership.  http://www.burg.com/

Smallbizlady: What’s the basic premise of It’s Not About You?

Bob Burg: That to the degree you focus on building, benefitting, and adding value to others (your team, employees, organization, social-media connections, etc.), that is the degree to which you, and your bottom line will increase. You benefit yourself by benefiting those around you. Of course, this must be done in a way that is authentic and genuine; not manipulative.

Smallbizlady: That sounds good in theory. but, in the real world, can you really thrive if you don’t care about yourself?

Bob Burg: Actually, this should not be confused with not “caring” about yourself or not being “interested” in yourself. As human beings, we are indeed self-interested creatures. Good thing, too! Without this trait, we would not advance, either as individuals or as a society. The key then is not interest, but “focus.” Turn your focus off of yourself and onto others and great things will happen! Not for some “way out” reasons but for very solid, practical reasons. Remember that, as Ernesto tells the protege, Joe, in our previous book, “The Go-Giver”…”all things being equal, people will do business with, and refer business to, those people they know, like and trust.” And, the quickest, most powerful and most effective way to elicit those feelings toward you in others is to temporarily suspend your self-interest and focus on providing value to them.

Smallbizlady: In the new book, you talk a lot about character, and compare that with competence in terms of market value. Why do you do that?

Bob Burg: Character comes from an old Greek word meaning scrape or scratch. It came to mean an engraved mark and, eventually, a defining quality. I think that’s a good definition. Actually, the sum of all one’s qualities make up their defining quality, and that really dictates everything.  While Competence and Character are both very important, competence is simply the baseline; that which allows you into the game. Character, on the other hand, is harder to come by. In his excellent book, “What Got You Here Won’t Get You There” Dr. Marshall Goldsmith discusses the fact that as people climb further and further up the corporate ladder, the competence/talent level is pretty similar. Character is becomes the separator. I believe that’s true not only in corporate business but in any business; in any area where people desire to influence. As we say in the book, “Character is that rare, precious gem, and anyone who possesses it is worth a great deal to the world around them.” In other words, because character is in such short supply and with great demand for it, it has far more market value.

Smallbizlady: How does this play out? What is one quality of character in particular?

Bob Burg: People with character truly “stand for something.” That alone provides them with a huge amount of influence. An excellent example of this is John Allison, the former CEO of BB&T (Branch Banking and Trust Company). He grew one of the most profitable banks in the country as well as one of the few that never involved themselves in sub-prime loans; only writing conventional mortgage. He knew that what the politicians and many of the other bankers were doing was wrong, and refused to go for the “easy money” when it went against his value-based principles. The result was that not only was his bank left standing profitably in the middle of the meltdown, but he was hugely respected, as well.

Smallbizlady: In the business world in general; certainly in social media we talk about “influence” a lot, but what is it, really?

Bob Burg: Influence is *pull*…not *push.” This is most likely why you rarely hear, “Wow that person is so influential; he or she has a lot of *push*! Joking aside, influencers are those who understand that the substance of influence is pull; gentle pull. This is a form of “power” as opposed to “force.” Force involves control, manipulation, intimidation and compliance. It is often a function of “positional leadership” rather than true, influence-based leadership. Let’s face it, even a positional leader can cause those in their employ to take a certain action. That is “compliance.” The challenge is that, at best, the person will perform exactly what he is asked and no more. At worst, they will sabotage the process. On the other hand, when there is “buy-in” that person is committed to the process and to its success. This is why our good friend, Leadership Consultant, Dondi Scumaci (www.DondiScumaci.com) says, “Compliance will never take you where commitment can go.”

Smallbizlady: One concept you discuss in the book – in fact – in most of your books, is “Empathy.” Why is that?

Bob Burg: Not only is empathy a vitally important part of the influence and selling process; it is also a vitally important part of the *human* process. This is true whether trying to understand why someone is resistant to our viewpoint or if we are simply attempting to help them through an issue or difficult time. I believe that in any relationship – business or personal –  empathy is another key differentiator between the successful and the unsuccessful person. Those who have the talent and skill; both at having empathy and being able to *communicate* empathy are at a huge advantage over those who don’t. Empathy can be defined as the as “the identification with the feelings of another person. Being a simple person, I just say it is really nothing more than – as the saying goes – putting yourself in the other person’s shoes. If we have similarities in experience, we might actually be able to really identify; to know what and/or how they are feeling. But, what if that is not the case? Let’s face it; there are times when not only do we not know exactly how they feel…we have absolutely *no idea* how they feel! Yet, we can still be empathetic. You see, empathy doesn’t necessarily mean you actually feel what the other person feels. The truth is, you might not. It *does* mean you communicate that you understand they are feeling … something. When someone with true empathy listens…the other person feels truly heard. And feeling heard is what often makes the difference.

Smallbizlady: What about “Tact” which you seem to place a high value on. Is that part of empathy?

Bob Burg: Well, I certainly think that people who are empathetic employ tact. However, tact is really a concept that can – and I believe should – be utilized by anyone who wants to be more effective both personally and professionally and who wants to help to bring out the best in others. My Dad defines Tact as “the language of strength.” I think that really encompasses the entire concept. Tact is a way of correcting, critiquing, teaching…and in such a way that not only is the person not defensive about what they are hearing, but they embrace it. And, they embrace you. Tact, like any other great principle, must be used in a genuine way, not manipulative.

Smallbizlady: So, a person who can utilize tact but does it will ill-intent can really cause some damage then?

Bob Burg: There’s probably nothing more dangerous than a bad person with good people skills. And, when I use the word “bad” I realize that’s a bit politically incorrect when it comes to the personal development genre; what I mean is someone with truly ill-intent. When a person like that has good people skills, they are downright dangerous. It’s also the difference between manipulation and persuasion.

Smallbizlady: That brings up another point. What actually *is* the difference between persuasion and manipulation. Aren’t they the same thing?

Bob Burg: The big difference is intent. I think that yes, the principles are similar; often even the same. In actuality, however, the results are as different as night and day. Again, the big difference intent.

Smallbizlady: In The Go-Giver you discuss the Law of Value, which says, “Your true worth is determined by how much more you give in value than you take in payment.” Certainly, you don’t mean not making a profit, do you?

Bob Burg: Actually, if a person taps into this Law correctly, they’ll make a very substantial profit and have a hugely thankful customer. The key is understanding the difference between  ”price” and “value.” Price is a dollar amount; a dollar figure. Value, on the other hand, is the relative worth or desirability of a thing to the end user. In other words, what is it about this “thing” (product, service, concept, idea, etc.) that brings with it so much worth; so much value, that someone will very willingly exchange their money for it, and be ecstatic that they did? Here’s an example. Let’s say an accountant charges you $2000 to do your taxes. That’s his fee, or price. But, he saves you over $6000 in taxes. he also provides you with the security and peace of mind of knowing it was done correctly. He has given you more in value (both in concrete value – the $6000, and conceptual value – the peace of mine) than he took in payment. So, I’d imagine that you feel great about it, and he made a significant profit, which he should for providing you so much in value compared to the price he charged. That is the essence of the Free Enterprise System, by the way; both the buyer and seller come away better off than before the transaction.

Smallbizlady: Let’s go back to the process of persuasion. You’ve talked about something called “The Law of The Out.” What is that?

Bob Burg: The Law of the Out is one of the most effective ways to make a person comfortable with you and the process, and leaving them in complete control of the decision so that – if the decision is the right one for them to make – they will. “The Law of the Out says: the bigger the out (or backdoor) you give someone to take…the less they’ll feel the need to take it.” In other words, when someone feels no pressure, they are much more apt to make the right decision. Understand, you are not giving them the “out” or “backdoor” in order for them to take it. But, rather that they feel comfortable enough to *not feel the need to take it.* Of course, if they feel it is in their best interest to take that out, they will. But, they would have anyway. Or, had they instead capitulated to your demands because they felt pressured to do so, they would have then had to either go back on their word or perhaps they would have sabotaged the process. Let it be their decision and – if they make the decision to proceed – they will feel good about it because it was their decision, not yours. And, the best way you can can increase the odds of this happening is to make the option for them *not* to do it, very clear.

Smallbizlady: Any final thoughts that an influencer should keep in mind when trying to persuade or encourage others?

Bob Burg: In a sense, it goes back to, above all, keeping in mind that – when it comes right down to motivating others to take action, it isn’t about you; it’s about them. It’s about them, and what *they* see as a benefit to their taking that particular action. In teaching selling, we often relate the old saying that each and every year, millions of 1⁄4-inch drill bits are sold, yet nobody buying any one of these 1⁄4-inch drill bits actually wants a 1⁄4-inch drill bit. Then, why do they buy them? Because they want a 1⁄4-inch hole! What does this have to do with influence and persuasion? People do things/buy things, not for the thing itself, but for the benefit that doing/buying the thing brings them. What makes this challenging is that those reasons are not always obvious. And, without knowing what they are, the chances of their taking the desired action are considerably lower. The key is to find out by asking the right questions. Asking the right questions, and then listening. Really listening!  

If you found this interview helpful, join us on Wednesdays 8-9pm ET follow @SmallBizChat on Twitter. Here’s how to participate in #SmallBizChat: http://bit.ly/S797e

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.comMelinda 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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Tips for Becoming a Franchise Owner – #SmallBizChat QA

By on December 15, 2011 in Q & A Interviews, SmallBizChat

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 Joel Libava @franchiseking. Joel has been involved in some facet of the franchise business for 20 years. His focus for the last 11 years has been on franchise buyers. He provides straightforward advice on how to buy and research franchises. He’s the author of Become a Franchise Owner! The Start-Up Guide to Lowering Risk, Making Money, and Owning What You Do” (J. Wiley and Sons, 2011) http://www.becomeafranchiseowner.biz

Smallbizlady: How did you get nickname “The Franchise King®”?

Joel Libava: I attended a large business function at a local chamber of commerce here in Cleveland, and as I entered the expo hall, Tom Sudow, the executive director of the chamber at the time yelled out, “Hey! It’s The Franchise King!

The name kind of stuck. It’s funny; most people think that it’s an “ego” thing. But, it’s not. It’s just turned out to be a nice fit for my personality. As a matter of fact, it fit so well, my friend (and really smart internet marketer), Jim Kukral hammered on me relentlessly to get a business attorney to help me trademark the name.  So I did. It’s official. I’m only person in the US that’s allowed to call themselves The Franchise King®.

Smallbizlady: How did you get into the franchise business?

Joel Libava: Well, I actually came from the franchise business. I was in automobile franchise management, and got downsized, from a job in 2000. My late father, Jerry Libava, was a franchise consultant at the time, and gently (not at all) encouraged me to join his firm. After about 2 months or so, I did.

Smallbizlady: Why did you decide to join your dad in business?

Joel Libava: People that go into business are either to, “moving away” from something unpleasant, or are, “moving towards” something that has the potential to be pleasant- like being their own bosses.  I was in enough pain to try something else. My dad thought that I’d be a real good fit for his business. I would be a consultant–a franchise broker. I would hold seminars-(public speaking has always been one of my strongest skills) and I’d do sales and marketing, too. And matchmaking, of course.

Smallbizlady: Your father’s business was a franchise. How did you like being a franchisee?

Joel Libava: I didn’t. I don’t mind working with others, as long as they’re ethical, unselfish, and genuine. I’m very picky about who become strategic partners with. It’s the rules that I have issues with, especially if they’re stupid and meaningless. I just want to cut to the chase and do some business!

I was a lousy franchisee; that’s one of the reasons why I’m a super-valuable resource for people that are considering franchise ownership. I know how to spot good potential franchisees, and I know how to spot bad ones.

Smallbizlady: What are some of the common misconceptions about the franchise industry?

Joel Libava: Here’s the deal; there’s no such thing as a turnkey business. Some folks in the franchise industry still seems to use that term to sell franchises to unsuspecting prospective franchisees. It’s wrong. People have this totally unrealistic sense that all they have to do is plunk down $100,000-$200,000 attend a few days of training, and they’re in business. And of course their business (from day one) will have hundreds- if not thousands of eager customers opening up their wallets to them, which will lead them right to millionaire’s row…in a flash.

Buying a franchise is risky. The franchise business model isn’t bad—as a matter of fact, it’s the best business model ever developed. It’s just not for everyone, and it’s not easy to be successful. The hours are crazy, it takes a while to actually bring in income, and there’s a ton of pressure.

Smallbizlady: I have heard that many franchises offer financing, how common is that?  How much money do you need to be prepared to invest if you are looking for financing for your franchise?

Some franchisors provide franchise funding, but mostly it’s in the form of financing a portion of the franchise fee, which averages around $30k. If youre going to invest in a franchise, you should have a $300k net worth and the ability to write a check for $40,000-$50,000 of your own money. Plan on applying for a small business loan for the balance of your total investment @SBAGov.

Smallbizlady: You sound a bit negative on franchising, Are you? 

Joel Libava: “Some” people say that. Interestingly enough, I’ve been getting more and more people emailing me and calling me to tell me that they love my style. They LOVE my honesty. They feel that I can be trusted.

I don’t care what others in the franchise industry think of me. I only care what the folks that are about to buy into The American Dream think of my work. I’m talking to them, and I’m trying to protect them. At the same time, I’m trying to teach them how to properly choose and carefully research franchises, so that if they do say yes when the franchise development representative asks them to sign their 30-page franchise contract, they can do so and not lose a minute of sleep.

Smallbizlady: How do you work with prospective franchisees?

Joel Libava: I provide very personalized franchise consulting services. I work with people who are just starting their search for a franchise. I also work with people that are just about ready to sign a franchise contract, but want to make sure that they aren’t missing anything. And…lately, I’ve been getting calls from people that are thinking of becoming franchise brokers.

I’ve written well over 1,000 articles about franchising on my own blog-The Franchise King Blog. I’m also a regular contributor at Small Business Trends, Open Forum by American Express, and I’m the exclusive franchise blogger over at SBA.gov, The US Small Business Administration’s website. So, if people want to learn about franchising from A-Z, I’ve been providing factual content online for over 7 years now.

I’ve also produced lots of franchise videos, and recently, have done several for Franchise Direct, a company that has several very popular franchise directories. So, if people like “watching,” and learn better like that, I’ve been providing video content since 2007.

I just published my first book, “Become a Franchise Owner! The Start-Up Guide to Lowering Risk, Making Money, and Owning What You Do” (J. Wiley and Sons, 2011) The website for the book ishttp://www.becomeafranchiseowner.biz and there’s a blog there with lots of how to’s for people interested in becoming franchise owners.

Smallbizlady: What do you think of franchise brokers?

Joel Libava: Well, since I was one for almost 10 years….I think there’s value in using one. Like in any sales-related business, there are good ones and lousy ones. Working with a quality franchise broker can be a good thing. It depends. Ask them lots of questions before signing on. While their services are free, (brokers get paid very generous commissions) they’re really not going to help you find a franchise that they don’t work with, so your choices may be limited.

If you’re going to work with a broker, get some names…names of people who worked with the broker, and call them.

Smallbizlady: What’s the hottest franchise now?

Joel Libava: Senior Care franchises are still hot. Lots of people look into them, and for good reason; demographics. The graying of America. Here’s a tip for anyone considering becoming the owner of a Senior Care franchise -You need to be a real strong salesperson. (Or have the money to hire one.) It’s a sales and marketing business. Seniors and their families aren’t really coming to you. You have to find them-which will require you to build up a referral network. You’ll need to sell yourself, and your services. And, it’s a crowded sector. (But a good one!)

Smallbizlady: Where should people look for great franchises?

Joel Libava: After they figure out what they should be looking for– they can start by going to a few of the better franchise websites. Franchise Direct, already. http://www.franchisedirect.com is one. Here’s a link to 9 more;  http://thefranchiseking.com/the-top-10-franchise-opportunity-websites

Smallbizlady: What does the future hold in franchising?

Joel Libava: Like other industries, micro-niches are going to start forming. Very specialized food offerings will start to become popular. Senior care franchises will start expanding by offering other services that all seniors can use…household cleaning, landscaping services, errand running, things like that.

There will be more transparency. More numbers will start to be revealed by the franchisors. More earning statements will become available for franchise buyers to analyze. That is a good thing.

If you found this interview helpful, join us on Wednesdays 8-9pm ET follow @SmallBizChat on Twitter. Here’s how to participate in #SmallBizChat: http://bit.ly/S797e

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 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 Be a Small Business Success Q&A interview with Jay Goltz

By on December 8, 2011 in Grow Your Business, Q & A Interviews, SmallBizChat

smallbizchatEvery 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 Jay Goltz @Jaysmallbiz Jay has started five “old school” businesses over the last 33 years, and wrote “The Street Smart Entrepreneur”. He is the lead blogger for the New York Times You’re the Boss blog.   http://boss.blogs.nytimes.com/author/jay-goltz/                                                                                                                                             

SmallBizLady: Many people are looking for that new big idea. Any tips?

Jay Goltz: Most successful businesses are not new ideas at all. They are better execution of an existing concept. Did Starbucks invent coffee? For every Facebook, there are 100,000 old school businesses.

 

SmallBizLady: With all of the resources available today, why is the failure rate for new businesses still as high as 75% or so?

Jay Goltz: To be successful in business requires a basic skill set in marketing, finances and management. Most people are great at one, maybe good at the second, and are incompetent at the third. It is like a three-legged stool with one short leg. You fall on your butt. Additionally, some businesses just don’t work for reasons that at not apparent when you are in the exciting start up phase.

 

SmallBizLady: Do you think it is safer to start a business with a partner so you can share responsibility?  

Jay Goltz: That is probably mistake number one, before you even open for business. People go into business with their friend or relative because it is more fun, more comfortable, and less scary. But it is not necessarily safer. A strategic partnership makes sense when both parties bring complimentary skill sets. When they don’t, one person usually works harder than the other, or one is just more critical to the success of the company, if things go well. If things don’t go well, it can create a hostile environment.

 

SmallBizLady: What are common mistakes you have seen that have ruined what might have been a successful business?

Jay Goltz: One of the bigger ones is the idea that you can just hire a bookkeeper or accountant to “take care of all of that number stuff”. Every entrepreneur should have a basic understanding of accounting. Income Statement, Balance Sheet, and the difference between cash flow and profit.

 

SmallBizLady: Now that you have over 100 employees, what do you now know about management that you didn’t know when you started?

Jay Goltz: I believe that 75% of management is hiring the right people in the first place. Most entrepreneurs do what I call “accidental hiring” when they start. They hire their friends, their friend’s cousin, the neighbor’s kid… Great companies have great hiring protocols.

 

SmallBizLady: Do you have any tips on hiring?

Jay Goltz: Sure. First of all, make sure that the person doing the interviewing is a good listener. That is frequently NOT the entrepreneur. Ask compelling questions that get the person to talk. Check references. Think “guilty until proven innocent”. Many people looking for jobs will be a horrible fit for your company. Probably only one in ten “decent” resumes will be a great fit.

 

SmallBizLady: What is the hardest part about building a staff?

Jay Goltz: “Unhiring” the wrong people. Firing. Many bosses avoid confrontation and hope that an under performing employee will get better. Sometimes they do, but many times they won’t, or can’t. It is a harsh reality, but the one of the boss’s many jobs is to make sure that the right people are in every position. It isn’t always pretty.

 

SmallBizLady: What is the best way a new company can market themselves?

Jay Goltz: Marketing is about figuring out who your best potential customers are and figuring out what advertising vehicles to use to reach them. It is also about determining what the best message is.

 

SmallBizLady: What do you tell people who say that “All I need is to find new customers to get profitable!”

Jay Goltz: Keeping old customers should be the first order of business. The next thing I always look at, and frequently find problems with, is the pricing of their products or service. It is a common and costly mistake that many businesspeople make. They don’t understand their costs, and they are undercharging. As a result, they are busy but unprofitable. They assume that more business will fix the problem, but in reality they will just get busier and still not make money.

 

SmallBizLady: How did you go from working in the business to working on the  business?

Jay Goltz: It is all about having the right people, good training, and then delegating. You also have to understand the income statement enough to figure out how to pay all of these people. It really involves everything I have just talked about.

 

SmallBizLady: You always hear the mantra “never, never, never quit”. Do you think that is true?

Jay Goltz: Yes and no. That is a very misquoted piece of a speech that Winston Churchill gave during WWII. The rest of the sentence includes “unless in good judgment”.  Besides the five businesses I own are another five that I started and closed. Sometimes things are not well thought out, can’t work because of some unforeseen problems, or maybe you are just miserable. With that being said, being successful does require tenacity to weather all of the storms that are sure to come. Going down with the ship is not being tenacious, it can be delusional.

 

SmallBizLady: How do you keep balance as an entrepreneur?

Jay Goltz: You mean try to keep balance! It is hard, especially in the early stages. In most cases, it is a case of tolerable sacrifice. Did I go to all of my kid’s baseball games? No. But many of them. Was I at home every night for dinner? No, not even close. Did I pay a price for building a successful business? Absolutely did. Do I have any regrets? Yes, but too few to mention. (My Way-Frank Sinatra) There is an old saying that there is no old man laying on his deathbed wishing that he would have spent more time at his business. They got it wrong. It is the day that you hopefully drop them off at college. In some ways it worse. Instead of dying you get to spend years feeling guilty! Here is what I have figured out. It is not the income that matters, but the outcome.

 

If you found this interview helpful, join us on Wednesdays 8-9pm ET follow @SmallBizChat on Twitter. Here’s how to participate in #SmallBizChat: http://bit.ly/S797e

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 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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What Can Twitter Do For Your Small Business?

By on December 5, 2011 in Branding & Marketing, Grow Your Business, How to Start, SmallBizChat, Social Media

I signed up for a Twitter account three years ago, and it truly changed my life. My Twitter anniversary was on December 2nd, and I thought it might be helpful for me to explain what my goals were for the social network. Now is a perfect time to step up your game on Twitter or finally get it going with a social media strategy.

I have never had a nickname in my life, but since my name Melinda Emerson was taken when I tried to sign up for Twitter, my buddy social media strategist, Cathy Larkin @Cathywebsavvypr nicknamed me @SmallBizLady. We now know that was the best branding accident that ever happen to me. We thought it would work, since it would help people know who I was and what my expertise was as a small business start-up and business development expert.  We ultimately knew it would help me raise awareness to my book, Become Your Own Boss in 12 Months.

When you got on Twitter did you have a plan?

When I started out on Twitter I had two goals. First, I wanted to build an author platform to demonstrate my thought leadership on all things small business. Secondly, I wanted to make friends and attract my niche target customer; professional women 30+, who want to start or grow a small business.  However, Twitter provided some unintended benefits as well.

When I first when on twitter I did three things each day. I shared a helpful article on small business, I tweeted out something personal about myself, and I answered someone’s small business question. Being helpful was my intent, and it served me well.  I set up Google alerts on specific business topics so that I would always have fresh things to tweet.  Once I got the hang of it, I made sure that I shared other people’s content more than my own.

I am now, a well-respected social media expert as a result of how well I’ve built my brand. I also am an active member of the Twitter community with over 125K followers. I tell people that I work Twitter like a job Monday thru Friday.

Why Twitter works for me.

Twitter is a micro-blogging platform designed for people who need the bottom-line and not much else. In short, if you can’t say it in 140 characters or less, forget about it. If you do not know who you are trying to talk with or attract forget about it.  You need a content strategy in order to really be successful with Twitter.

In April 2009, I launched #SmallBizChat which is a Tweetchat (or Twitter Talkshow as I like to call it.) My professional background is as a television producer, so I approached my tweetchat like a TV new program.  I developed a formula.  We have an open, close and new question coming out every four minutes.  Every Wednesday on Twitter to help entrepreneurs get answers to their small business questions with #Smallbizchat.  To date, my co-host @TaiGoodwin and I have produced over 130 shows.  By the way, New York Times Small Business Blogger Jay Goltz @JaySmallBiz is my guest this Wednesday.  His topic is how to run a successful small business.  He’s been an entrepreneur over 33 years, with five businesses so I think he knows a little something about it.

Twitter has grown my @SmallBizLady consulting brand. I have gotten several coaching clients and hundred of business contacts. I have also been invited for at least 50 speaking engagements, countless blog talk radio interviews, and thanks to this blog, I have been requested to write for several publications including smallbiztrends.com, secondact.com, black enterprise and essence magazines and quoted in many articles for publications including the Wall Street Journal, New York Times, Washington Post, Philadelphia Inquirer and Fortune.  I have also had several TV appearances for NBC, MSNBC, and Fox News. These opportunities came just because of the content, resources and blog posts I tweet out regularly on Twitter.

Twitter is  a great resource for a small business owners, particularly if you sell B2B or are in infopreneur.  Try it you might like it.

Do you have any other suggestions for how Twitter can help a small business?

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 smallbusinessexperts. As a seasoned entrepreneur, professional speaker, and small business coach, she developsMelinda Emerson "SmallBizLady" audio, video and written content to fulfill her mission to end small businessfailure.  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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