When you have a service or a product that is bought many times over, it makes sense to pay to get a new customer. For example, I showed a hair salon owner client of mine how to invite high-end potential clients for a hair free cut and blow wave. His cost was negligible; however 82% of them were so impressed with the quality of his work that they became regular customers. A Tree Surgeon may offer a free service in order to obtain long-term customers. An accountant or lawyer may offer a free initial consultation.

Combine the above with a Joint Venture and you can create the opportunity to access a large base of potential customers, especially if you have a consumable product. If your research and experience shows that most people who try your product go on to consume it on a regular basis over a period of time, why not ask JV partners to advertise your product and keep 100% of the first sale income for their trouble? Or they might want to give it away to their clients as a gesture of thanks for loyal patronage. The clients who like it can be directed to make all future purchases from you. Smart coffee shop owners can target business people who work in the area with an offer of three free cups of coffee. The prospects will get used to coming in to the shop and probably buy muffins or sandwiches anyway, and if the food and service is really good they could very well become regulars. Three cups of coffee costs about 60 cents. What is your profit on a sandwich?

The Law of Reciprocity works. When most people get something for nothing, accompanied by excellent packaging, friendly service and a good product, they feel obliged to reciprocate. What is the marginal net worth or lifetime value of a customer to you? Being generous and allowing them to taste and experience your products and services at no cost is a smart marketing strategy. People whom you would never have met will have a reason to try your products and services.

Copyright © 2009 Small Business Resource

Breaking Even On The Front End

In his speech, President Obama noted our deep national assets, as well as market opportunities that continue to exist for U.S. goods and services: “We remain the most prosperous, powerful nation on Earth. Our workers are no less productive than when this crisis began. Our minds are no less inventive, our goods and services no less needed than they were last week or last month or last year. Our capacity remains undiminished.”

SBE Council President & CEO Karen Kerrigan noted that entrepreneurs are in tune with this thinking, and the President’s optimism: “Small business owners and entrepreneurs are the individuals President Obama so described in his speech – those who are the ‘risk-takers, the doers, the makers of things.’ Indeed, more than ever, our nation needs the innovative activity, the hard work and energy that small business owners bring to the economic recovery table,” commented Kerrigan.

She added, “They are and remain the ‘men and women obscure in their labor, who have carried us up along the long, rugged path towards prosperity and freedom,’ as President Obama so eloquently described in his speech.”

SBE Council is hopeful that President Obama will keep these words in mind as he considers his policy options and priorities over the next several months. Small firms are struggling, and they require policies that enable capital formation and access; health care reform initiatives that give them more choices in the marketplace while lowering costs; regulatory policies that are sensible and that do not impose new cost burdens; opportunities to access overseas markets; a workforce that is skilled and flexible; and an economic climate that supports investment, and business growth.

Karen Kerrigan
President & CEO

Copyright © 2009 Small Business Resource

Small Business Congratulates President Obama

Copyright © 2009 Small Business Resource

Small Biz Startup 2009-01-20 05:01:00

One week after the recent announcement of heightened airport security I had to take a flight. I heard about long waits going through security so I arrived at the airport two hours before my flight. Naturally, when one arrives with plenty of time, there is no one in line but if you arrive late it seems as if everyone in the world is going somewhere that day. I whisked through security and had plenty of time to sit and observe. As much as everyone likes to complain about air travel I’m always in wonder that something as complex as an airport let alone the entire air travel industry, actually works as well as it does.

So there I was, observing a microcosm of the air travel industry. A little while after I arrived, two crewmembers arrived. Little by little, other crew arrived. They introduced themselves to each other. It was apparent that none of the crew had met each other before. Yet, as I boarded the plane, I was aware of how well they worked together as a practiced, coordinated team. Each knew what they were to do and did their jobs as professionals.

While watching the teamwork in the cabin, I thought of how this contrasted with some businesses I see where delivery of service is somewhere between adequate and chaotic. Realizing that these people work together all the time, the equation just doesn’t compute. Then I thought, perhaps it does compute.

In the airline scenario, management knows they are putting together a crew of people who, in all probability, never or rarely work together. In order to insure that passengers on every flight receive a high level of standardized service they must have systems and processes in place that a well-trained crew can fit into or chaos ensues.

In a less structured business, systems and processes are often verbal, not documented. Training is sloppy or non-existent. The business gets by because teamwork and standardized delivery of service is far less critical? until they start losing customers to a better organized, more structured competitor. In this case, it is wise to think like an airline.

Copyright © 2009 Small Business Resource

While Waiting At The Airport

Now, due to the internet while sitting at your own home you can study whatever you want from your desired university of any country.  There are many popular universities present around the world. Some of them are offering a number of online degrees; you can easily select one of them. The most preferred programs that are selected are the “information technology management” and “cfa exam prep.”

Master in information technology management is mostly preferred by the students who have done IT students and the business professionals. Through this program, they can easily combine their managerial skills with the technical acumen to get the IT leadership role. Apart from this, the program acts as a bridge through which you can easily combine the business qualities with the IT skills and can progress a lot in your life.

At the some universities, this program is taught in such a way that it totally concentrates on the emerging of the technologies and apart from this; they enhance your knowledge regarding the projects, budget management, ethics, leadership and training. All these things will help you in enhancing your career.

Such universities have also introduced M.S. in security analysis and Portfolio Management (MSAPM). In this program, you are taught about the assessment of the investments, security analysis and the management of the portfolio. All these things are quite important to those people who want to gain a high ranked job in this field.

The universities have designed the program in such a way that it fulfills all the three levels of the Chartered Financial Analyst (CFA) program. Apart from this, the program is also taught by the people who have the designation in the CFA. This program will help the people who want to learn the code of ethics and standards. Through this program, they will gain the valuable assets that help them gain the advance career opportunities.

So, if you really want to learn something through which you can go far ahead in your life you can select one of these online programs that are being offered by the concerned University.

Copyright © 2009 Small Business Resource

Online Degree Programs

At first glance, you wouldn’t think the park would have anything to do with a small business. I’d like you to take a deeper look, however.

I recently became quite perturbed regarding the lack of sidewalks on Henderson Road. I live directly across the street from the Henderson soccer fields, which backs up ? via some lovely wooded trails ? to Henderson park. On the west side, which crosses over 285, there are sidewalks. On the east side, which leads to downtown Tucker, there are not. In fact, the street leading towards Tucker not only carries a great deal of traffic but has an almost nonexistent curb.

I penned a journal entry berating the lack of accessibility to the park from the plethora of nearby neighborhoods. I ranted on the growing obesity problem in America. Only after I completed the journal entry did I realize the effect the lack of sidewalks has on Tucker small businesses.

Despite its close proximity to Atlanta, Tucker still carries that small town feeling. Local renovations will heighten that sense. And the quantity of small store fronts only adds to the feeling. All of this would be improved by adding sidewalks to the neighborhoods barely a mile away.

Thus far, I have only walked to two businesses in Tucker, My Fair Lady gym and the local library. The walk was extremely difficult, as I have three small children (5, 3, and 1) and only myself to push a double stroller. This means that I not only had to struggle along in the grass and often on the busy road itself, I also had to keep a sharp eye on my kindergartner as we traveled. I will not make this trip frequently.

By the same token, I will not enjoy the chance of walking among the small business storefronts prevalent around the town. I have seen various places that might be worth exploring ? but I won’t take the time to travel there by car. Were I to wander the town on foot, however, you might find me more likely to stop in a new store and explore.

Improving traffic in a smaller town means more than fixing the rush hour problems. By routing more pedestrians through the area, Tucker can increase the chances that new folks will encounter its businesses and become frequent customers. As those customers return to one store, they might take the time to visit another.

Even if you don’t live in Tucker, consider how improving foot traffic in your neighborhood might heighten your business profits. For many owners, this means checking in at town meetings, or perhaps writing a letter to your local business or newspaper. Some of these you should already be doing; others take only a few minutes. Increasing your awareness of your community ? even if it is the ‘big city’ ? can only stand to benefit you.

Nola Redd is an author on http://www.Writing.Com/ which is a site for Creative Writers. She writes a business blog and free small business newsletter for Redd Infinity.

Copyright © 2009 Small Business Resource

Small Town Sidewalks Big City Business

RedWire is one such online community devoted solely to entrepreneurs and small businesses. It is a place to connect with other entrepreneurs for collaborative knowledge sharing, and a tool to expand your contacts and draw upon a greater pool of resources.

RedWire allows you to create a profile, list events and groups, and access content from experts in all areas of business.

You can check out the community at Redwire Nation

Copyright © 2009 Small Business Resource

Social Networking Resource For Small Businesses

It seems so long ago that I started my first business. Since that time, I’ve created several successful businesses and learned a lot of lessons along the way. There are several things I wish I would have known in the early days of my entrepreneurial efforts that I hope will help some other first time entrepreneurs on their path to success.

You’ll Work Harder for Yourself than You Ever Have for a Boss

If you think owning your own business is simple or means you get to lounge around all day long, think again. While this may be an end result after a lot of hard work, it will certainly not be the beginning of your business. You will work long hours, long nights and at times you’ll feel overwhelmed at the amount of effort owning your own business can take. But, also know that owning your own business and working hard for yourself can be one of the most satisfying feelings of your life.

Don’t Confuse Setbacks with Failures

They say there is no successful business owner who hasn’t failed with at least one business before they started the one that “struck gold”. It is important that you take each failure you encounter on your path to success as an opportunity to learn something. This helps you to not repeat your mistakes and makes you more prepared for your next business venture. In addition, things that seem like failures can turn out to only be minor or temporary roadblocks that can be overcome with time and hard work. Entrepreneurs learn from everything they do, though they may not always “succeed”.

You Still Need a Life

Many new business owners work all hours of the day and night. While hard work and a lot of hours are certainly required for an entrepreneurial lifestyle, you also need to make time for your personal life ? whether it be for family, friends or personal hobbies. You need to take time for your own personal well being. In addition, if you sit behind your computer, in your office or on a “jobsite” all day, every day, you will miss great networking opportunities out in the “social great beyond” of your world. All work and no play makes Jim, or Jane, a very dull person.

Good Bookkeeping is Essential

This isn’t an understatement. My first time in business, I paid for something here, something there and never kept receipts or records of any expenses. I told myself I would “one day when the business got off the ground”. Eight months later, my business was booming and it was tax time. Not only did I lose out on a lot of business expenses I couldn’t claim due to no proof, I ended up paying an accountant triple what I would have had I not been a nightmare client with no records or receipts. Don’t wait for your business to “take off” ? keep records from the very beginning ? it will make it a habit, make your taxes owed less painful should the business start booming and will make your accountant more pleasant than mine was.

The Internet Isn’t The Magic Pill

If you are a new business owner starting your own business based on the Internet, then this part is for you. The Internet is not a “magical flow of endless customers”. The adage “build it and they will come” couldn’t be further from the truth online. You need to work an Internet business as hard as you would a “brick and mortar” establishment. While starting a business online requires less start up and overhead in many cases, it is NOT free. You will need to put out money, or spend a lot of time learning new skills (sometimes both), to make a successful site on the net. It takes marketing, hard work and a willingness to learn. If you think you can slap up a website and people will pile into your shopping cart, then you may want to take some time to actually plan your business model.

Good luck with your business. Being an entrepreneur has ups and downs, but it can be the most satisfying and rewarding (both personally, professionally and financially) of your life if you put your heart and soul into doing what it takes to succeed.

Audrey Hoffman is a successful entrepreneur who owns several businesses ? including http://www.speedy-incorporation.com ? a site that offers online incorporation services as well as information about forming an LLC or corporation across the United States.

Copyright © 2009 Small Business Resource

Five Tips For First Time Entrepreneurs

What are the best methods for keeping a good business relationship?

Once you have a business relationship in place, you need to work on that relationship to keep it intact. As a matter of fact, people nurture their business relationships more than they do their families! The first and most obvious method is to follow up with questions and requests in a timely manner. This rapid response to queries does more for the relationship than sending out regular information. Customers or business partners are really impressed with response rates.

Can you imagine asking a person in a retail store a question about the product you are about to purchase and they say they will get back to you in a minute but actually finish their phone call, chat with a few others in the store and then start another project before getting around to the answer. It is likely you would walk out on such a situation. The same is true when forming solid relationships with customers and partners. The sooner you respond, the more it is likely that they will want to do business with you.

Likewise, the partner will need to nurture the relationship. Relationships are two-way streets. You cannot always give the information and solve the problems; there must be something in return for you. Usually this is in the form of sales or introduction to other potential business relationships.

There is a fine line between nurturing a business relationship and letting the partner see what is in it for them. The difference is often difficult to discern, but when you discover where it lies, the business relationship will grow even further.

What’s in it for Them?

How do you make sure your alliance partner is satisfied?

Do not forget that a partner or alliance may only interested in what is in it for them. They may see you as a cash cow or they may see you as an opportunity to further their current business. Whatever the reason, they are likely to look at the alliance from their own perspective and will likely want to make sure that they have a real winner on their side. This doesn’t mean that you have to lose; it simply means that you have to be aware of what motivates them into becoming an alliance partner. You will also need to be aware that they will not be motivated to help you in your business unless you are motivated to help them in theirs.

Bette Daoust, Ph.D. has been networking with others since leaving high school years ago. Realizing that no one really cared about what she did in life unless she had someone to tell and excite. She decided to find the best ways to get people’s attention, be creative in how she presented herself and products, getting people to know who she was, and being visible all the time. Her friends and colleagues have often dubbed her the “Networking Queen”. Blueprint for Networking Success: 150 ways to promote yourself is the first in this series. Blueprint for Branding Yourself: Another 150 ways to promote yourself is planned for release in 2005. For more information visit http://www.BlueprintBooks.com

Copyright © 2009 Small Business Resource

Keeping A Partnership Alive And Thriving

There are many important documents in the life of the business owner, but finding a quality balance sample sheet is one of the most important.

Financial documents such as the balance sample sheet can play an integral role in the overall health and well being of the business, and it is important for every business owner to know where to find this balance sample sheet.

Places To Find A Balance Sample Sheet

One of the best places to look for this balance sample sheet is on the internet. After all, anyone who has ever been online no doubt knows just how much information can be found there.

There are a many web sites where such a balance sample sheet may be found, and the smart business owner may want to download several of these balance sample sheet in order to have a good variety to choose from.

Detailing Enough To Provide Complete Information

Of course, downloading a balance sample sheet is only half the battle. The other half will be customizing that balance sheet to the need of your own business.

Each business is unique in many ways, and it is very unlikely that the first balance sample sheet you find will completely serve your needs. Instead, that balance sample sheet will provide a template, to which you can add your own expense and profit categories.

It is important for the balance sheet you create to be detailed enough to provide complete information, yet not so detailed that it becomes cumbersome to use.

Using A Balance Sample Sheet That is Similar To The Type Of Business You Plan To Start

When choosing a balance sample sheet from the wide variety available, it is important to look for one that is as similar to your business as possible.

For instance, if you run a bar business, a balance sample sheet from another bar or night club may already contain many of the categories you will need for your own business.

A balance sample sheet from a tanning salon or car repair business, on the other hand, may not be as useful.

Choosing a balance sample sheet that is similar in scope to your own business can make a big difference in the ease of rewriting such a balance sample sheet to meet the unique needs of your own business.

Copyright © 2009 Small Business Resource

Creating A Winning Balance Sample Sheet