BiznessDoor.com Blog

STAYING ALIVE—WHAT’S YOUR SURVIVAL PLAN FOR 2009?

noreply@blogger.com (Kanika W) — Thu, 15 Jan 2009 04:52:00 +0000

Congratulations—you’ve made it to 2009! Whether you’re a veteran business, a start-up, or a budding entrepreneur, lets all take the recession bull by the horns and shout, “Bring it on!” But before we put on our suit of armor and head out to the battlefield, there’s never been a better time to take a close look at your business and decide where you want to go from here. No good solider goes to war unless they have a solid plan for survival. So, is your business prepared to survive? Here are four questions you can ask yourself to find out.

WHERE’S YOUR BUSINESS PLAN?

Did you start one? If so, is it finished or just outdated? We’re all small business owners, so we can be honest with each other and say that getting your business plan started or even completed is truly a matter of serious discipline. Your Business plan is your roadmap to success. It helps you effectively plan for pitfalls, outline profit potential, and plan for future growth. Even if you’re an independent distributor or an affiliate program marketer, a business plan can help you effectively plan your growth strategy.

You need to know where you’re going before you can effectively forge ahead. If you haven’t started your business plan yet, I recommend the FREE MiniPlan by Palo Alto software to help get you started. It can help you create an effective outline for the real thing. If you would like someone to help you create and write your plan, MasterPlans.com comes highly recommended.

WHAT’S YOUR FINANCIAL OUTLOOK?

This is probably the toughest question of all. If you’re a typical small business owner you have a substantial amount of debt that was used to help you fund your dreams. Whether it’s revolving credit cards or a line of credit, you need to know if you can sustain making your monthly payments toward those debts even when profits are down. If you need to go to the banks, a recent BusinessWeek article, The Credit Outlook for Small Business, states the credit climate may be extremely cold for a while, so this is a good time to take a look at your financial options to make sure you have a Plan A, B, C and D, when it comes to obtaining additional capital.

ARE YOUR ASSETS PROTECTED?

Most people don’t like to think about a potential lawsuit, or possible data breaches, which is why having insurance and legal protection is a must! You don’t have to have thousands of dollars to afford an attorney either. I actually belong to a great plan that provides you with invaluable access to a local attorney. If you’re interested in learning how to protect your business legally, and save money doing it, please shoot a message to my inbox—you should not own a business without access to an attorney.

You should also explore several options for insurance. If you’re a storefront, General Liability is a must; however if you’re an online business, knowing about coverage for cyber or Internet Insurance can be extremely beneficial. To explore several different insurance types, you can visit Business.Gov.

WHAT’S YOUR EXIT STRATEGY?

When I started my business, the last thing on my mind was trying to figure out what to do if my business failed. I mean seriously, who wants to think about pre-planning a funeral for your business? Regardless of how you feel about it, you should at least have the blueprint for an exit strategy. What will happen if you just can’t seem to keep the water from sinking your boat fast enough? Will you sell your business, seek an angel investor, or take on partnerships? These are all options you should weigh when thinking of an exit strategy. BiznessDoor.com has featured a great article from entrepreneur.com regarding planning an effective exit strategy.

I’m proud to belong to such a stellar group of savvy and determined entrepreneurs. Keep up the good work and please shoot me an email to let me know how you’re doing. Happy New Year!

Three Tips for Generating Business through Online Communities

noreply@blogger.com (Kanika W) — Mon, 24 Mar 2008 05:31:00 +0000

New methods for marketing your business are popping up everywhere, and online communities are no exception. So, exactly what is an online community and what does it have to do with growing your business? The truth is, you won’t know how it affects your business until you try it, but there are three key tips that can help you use them to effectively grow your business over time.

What IS an online community anyway?

First let’s be clear about what an online community is and how it can be beneficial.

Online communities are like local networking events, only they take place online. They provide a way for businesses to interact with their customers, for customers to interact with a business, and perhaps most importantly, for customers to interact with each other. Online communities are a form of social media and can often work well when mixed with other forms of social media including blogging, email newsletters, podcasts, rss feeds, and others. So how can online communities help you grow your business?

TIP #1 Be Consistent

No matter how you look at it, participating in online communities is a long term investment. If you stick with it and stay consistent, the pay-off can be rewarding. Frequent your favorite areas of the community, post a blog, post threads, but just like your local networking event, once you introduce yourself, you have to keep coming back so that people remember who you are. People do business with people they know and trust.

TIP #2 Be Realistic

Just because you joined the community, doesn’t mean all of a sudden sales will come flooding through your door (if this has happened to anyone, please send an email to my inbox and let me know your secret). Online communities can be like any other form of advertising-- you try it, you test it, you see if it works, and if it does, you stick with it, if it doesn’t; well, you move to the next thing, but you have to remember that all social media is about building relationship based business. It’s a long term investment and it takes people time to get to know you.

In addition, understand why you joined the community. Growing your business should not be the only reason. There’s significant value in gaining free insight from experts who know the challenges small businesses face better than anyone else, and that’s your fellow business owners. Tapping into the knowledge base of a good online business community, can be just as rewarding as finding a new customer.

TIP #3 Add Value

A wise man once said, “people like to buy—they don’t like to be sold to.”

There’s nothing worse than an online community member that spams everyone with there sales pitch in a discussion thread. If you want to lose respect in an online community, this is a great way to do it. Add value, provide insight, or share an experience that may be beneficial to someone else, but please don’t spam the members—we want to keep people in the community, not send them running.

For those of you that join for the purpose of growing your business, I think plugging your own business is fine, but educate people about your business and tell them what problem your product or service solves. Publish a blog and become an expert in your field, offer advice on solving an issue you recently experienced—in the end, you will get much more respect, meet more colleagues, and gain more credibility for your business.

I hope to meet many more of you as we all continue our path to growth and success.

I’m rooting for you!

Investors: Angels or Devils in Disguise?

noreply@blogger.com (Kanika W) — Mon, 03 Mar 2008 15:04:00 +0000

First let me start by saying that this is not a blog about bashing investors, but rather an informational tool to share some insight and hopefully help any business owner considering a Venture Capitalist for additional funding. Let me be clear when I say I am not expert on the matter; however, I did want to shed some light on a few things I uncovered in my research last week.

THE EXPERIENCE
As a small business owner, I’ve often heard professionals say that the best time to obtain funding is when you don’t need it. It just so happened that I was introduced to an investment banker at a recent networking event. He wanted to hear more about my business and so we exchanged information and setup an appointment to speak face-to-face. Since I didn’t know much about investing, I decided to do a little digging on my end before the meeting. I searched the Internet and came across some firms that “specialize in connecting small businesses with investors.” I filled out the information request for two different firms and immediately received two responses. Both wanted a business plan, which I had; however, I wasn’t ready to hand it over (all business owners should want to protect their intellectual property). While my business plan did contain a non-disclosure agreement, my better judgment told me to take things slow. Both companies shared the same suspicious behavior—more money.

THE RED FLAG
I may be green to the subject of investors, but I’m not stupid either. As a small business owner, I was almost offended at the fact that they would undermine my intelligence; yet, like many other entrepreneurs, I wasn’t sure when to draw the line between paranoia and just plain common sense. Thousands of us get caught in the same trap everyday. Trust me when I say that any investment firm that asks you for money up front, just for the sake of getting you in front of more investors, is wearing the red devil suit—don’t fall for it.

SEPARATING THE GENUINE FROM THE FAKES
There will always be companies that will try to make a quick fortune off of your need for capital; however, there are things you can do to try and weed out the bad apples. My advice:

Try it on your own: No one believes in your business like you do, and Venture Capitalists often want 70 percent or more controlling interest in your company. If you ask me, it’s not worth the hassle to have someone else reap the rewards of your hard work. Even with shaky credit, it’s still possible to obtain a SBA loan. You may receive a higher interest rate, but if you know your product or service will get you where you need to go, it may be worth the risk—what’s more, you won’t have to give away any part of your company to do so.

Meet face-to-face: If you can’t go it on your own, try and meet with your investment contact face-to-face. This helps to establish rapport and further presents the expectation of accountability.

Do your homework: There are a lot of good resources to help you find information about investing. I recently came across an informative article on Work.com: Guide to finding Venture Capital. The author, Daniel Kehrer, points out several reputable resources for finding a Venture Capitalist including, the National Venture Capital Association, the National Association of Small Business Investment Companies (NASBIC), and Small Business Investment Company (SBIC) financing.

I hope this helps. Stay Smart.

Social Media Marketing: Beyond the Hype

noreply@blogger.com (Kanika W) — Tue, 26 Feb 2008 00:16:00 +0000

These days, having a web site for your business is almost just as important as having a business card or an email address. But if you’re excited at the prospect of seeing your business online, get ready for the shocker—the customers don’t magically appear. So my question is, how are other online companies attracting large crowds to their web sites? Well, any good marketer is going to have a mixed bag of tricks, and one of them is the new sexy buzzword, Social Media Marketing (SMM)—but what is it, and is it right for your business?

WHAT’S SMM?
If your business has an online presence, SMM may be an option for you. Social Media Marketing typically challenges the rules of traditional marketing and often introduces interactive elements that enable visitors of your web site to interact with you, you to interact with your visitors, and your visitors to interact with each other. This can include Blogs, RSS feeds, podcasts, email newsletters, and widgets. It can also include implementing social network features onto your web site or creating a presence in a variety of social networks including myspace, FaceBook, American Express Open Forum and others.

WHAT’S THE SCOOP?
A lot has been written about Social Media Marketing in the recent months; and none has been more revealing than a recent study conducted by Coremetrics, a leading provider of digital marketing optimization solutions. While the SMM acronym is picking up momentum, the adoption rate hasn’t been all that impressive. The study shows:

78% of respondents see social media marketing as a way to gain competitive edge, but only 7.75% of total online marketing spend is devoted to it

This compares with an average of 33% of spend going to online advertising and 28% to online promotion design and implementation

However, progress is being made:

58% of respondents have implemented user-generated content or reviews in the past year
31% of respondents have implemented a blog in the past year
25% of respondents have implemented an RSS feed in the past year

HERE TODAY GONE TOMORROW?
So SMM is just another trend right? Well, that’s what I thought until I sent an email to CNBC Big Idea Technology Expert, Ramon Ray. In his words, Social Media Marketing is here to stay; however, he strongly recommends that you have a few elements in place before embarking on your Social Media quest.

1.) Have a GREAT web site
2.) Have a strong and informative email newsletter
3.) Have a strong and informative Blog

IS IT RIGHT FOR YOUR BUSINESS?
While not all forms of SMM require a budget, most always require a notable amount of time. If you’re going to take on SMM, whether it’s a blog, email newsletter, or podcast, you need to create a regular publication schedule. Whether it’s once a week or twice a month, you want to make sure that you stick with it. Do your research before jumping in and clearly outline the goals you want to achieve by implementing Social Media into your marketing strategy. In the end only you know what’s best for your company, so please use this information for the benefit of your own knowledge.

I would love to hear your comments. Please let me know how your Social Media Marketing efforts are working for you.

Five Simple Rules to Set the Foundation for Small Business Success

noreply@blogger.com (Kanika W) — Fri, 15 Feb 2008 23:07:00 +0000

No one ever said starting a business would be easy, but once you make the decision to start one, it’s all you can think about. The following five simple rules can help you build a solid foundation for success regardless of how big or small your business idea:

RULE #1: DO WHAT YOU LOVE
Most people are experts at what they love, why—because doing what you love makes you feel good. It ignites passion. It makes you feel valued, engaged, motivated, and in the business world, ambitious. There are a lot of ideas that can make you money, but if you’re not doing what you love, you’re headed for a lot of headaches. Loving what you do is the steam that keeps the engine of your idea moving forward even when the greatest disappoint comes your way. Passion for your business will keep you confident, focused and thorough. In short, love it or leave it.

RULE #2: DO YOUR HOMEWORK
I’ve spoken to people with great ideas but no plan to make their idea successful. Most entrepreneurs have two problems.

Great Idea. Poor Execution
Great Idea. Not enough Money

Because you’re an expert, take the time to do your homework and find out if your idea has bandwidth— is it viable enough to make money? When doing your homework you should always:

Create a business Plan: This goes back to business 101. If you don’t know to create a business plan, now you know and have no excuse. A good business plan can help you develop a clear vision for your business, outline your earning potential, help you plan for potential pitfalls and in a lot of cases help you obtain funding. There are several great business plan templates and examples on the web to help get you started. A variety of business plan software is also available to walk you through each step of creation. I recommend Palo Alto Business Plan Pro, or for those of you who simply don't have time, PlanYourIdea.com offers an affordable, professional business plan writing service.
Research the market: Are people already paying someone for the product or service you are offering? If so, how can you make sure that what you’re offering helps you stand out ? What’s your competitive edge?
Find out what your competitors are doing—Know who your competitors are. To beat the competition you need to become the competition. Always stay one step ahead and offer something that your competitors are not. This can be a better price for your product or service or an improved way to deliver more efficient service. Whatever you decide, do the research and arm yourself with knowledge to help you compete and stay on the cutting edge.
Establish a Realistic Price: If you’re charging $75.00 for a hamburger, you better be able to sell the value of that hamburger and be prepared to back it up with presentation, statistics, and credibility. Always remember to put yourself in the shoes of your potential client. If you were that client, how much would you pay for your product or service? When establishing price, be fair, competitive, and sensible. Always take overhead and production costs into consideration and include that in your decision making process to help ensure you make a profit.

RULE #3: CREATE YOUR IMAGE
What do you want potential clients to say about your company? Your image is one of your most important assets and should not be taken lightly. It’s a fact that we live in a first impression society, and potential clients will form lasting opinions about your company. Your business brand will define your product or service, and in many cases, determine whether or not a client will be prompted to call or visit your web site.

Create a Logo: You can get a well-designed logo for very little money these days. It’s the most important investment you will ever make, so you want it to be credible and say something loud and clear about your company. Not only will it help to differentiate you among your competitors, it will go a long way in helping you establish a solid brand.
Create Informational Material: Have professional information ready to distribute about your company. This can be as simple as having an informational web site or a simple one-page flyer or brochure. If you’re not a writer, be sure to seek professional assistance with putting together your materials; nothing says, “I don’t want your business,” like bad grammar and spelling mistakes.
Update Your Look: This doesn’t necessarily apply to everyone, but if you find that your current company image isn’t working for you, it may be time to give your business an extreme makeover. Take time to re-evaluate how you want your company to be seen by potential customers and create a fresh new look or tag line to attract new business.

RULE #4: PLAN YOUR STRATEGY
Just because you think your product or service is great, you’re not the one you need to convince. It is imperative that you plan a detailed strategy to roll out your product or service to potential customers and/or investors. Well-planned execution is key.

Your business plan is going to play a key role in helping you outline the details behind your business. Your business plan will help you clearly organize and define your overall business goals and will provide detailed insight into how you plan to achieve those goals.
Your Marketing Plan should include advertising channels that fit your budget, help you gain exposure at the local level, and expand your reach to your primary target audience. Local PR can be a great way to generate buzz about your company and aside from the cost of paying a PR firm, is generally free; In addition, you may also want to join local chambers of commerce, leads groups and/or business organizations to develop strong business relationships for qualified leads and referrals. Business directories can also provide affordable exposure on the web. BiznessDoor.com offers a free, local, basic directory listing and is a good resource for business information. A new marketing trend is the use of widgets that can be posted to blogs or web sites this can go a long way when trying to establish brand awareness on the web. I recommend widgetbox.com if you want to know more. Ideally your marketing plan will include a good mix of several channels; however always refer to rule #2 when developing your marketing plan.
Your Business Processes keep your business streamlined and help you avoid potential pitfalls. Clients appreciate efficiency and ease of use, so be sure to have processes in place for every aspect of your business.

RULE #5: STAY POSITIVE
Owning a business will test your every emotion and you need to know that not everything is going to run smoothly, but if you’re not careful, you’ll talk yourself out of a lot! Think positive and don’t let doubt or fear interfere with your goals. Keep your eyes open and know that you’ll never have all the right answers, but with careful planning, and a well thought out business strategy, you can build a strong foundation for success.