When You Think You Know Your
Small Business
Like the Back of Your Hand,
It's Time for a HEADS UP!!
Business is about PEOPLE!! Owning a business is about bringing what YOU'VE got to the table, telling people about about it in some compelling way and getting them to buy it. This is where we talk to real people about doing real business. This is where the next generation of businesses that hold our world together will be born.
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A Great Big Bite from Steve Marr
This is a great article that really rings home. As business owners, as entrepreneurs, we have a tendancy to go after the whole shabang instead of taking our time and perfecting things as we go along. I've heard cases on both sides of the story - basically, "ready, aim, fire" - but people get stuck in the "aim" stage, doing all kinds of planning and that sort of thing. Another popular process is "ready, fire, aim," suggesting that it is better to move things forward and focus will come pretty naturally.
What both methods have in common is
- Have a process. Know that you have to prepare yourself, know that you've got to launch, or move forward, and know that you will have to focus. The order may depend on the investment, resources available, etc.. Personality differences and business differences will dictate...but have a process to get to all three steps.
- Get ready. As an archer, that means you need to firmly plant your feet, observe where the target is, as my friend, Ann Starette would say, "Mind your breath," meaning prepare your body...relax. Relaying that to your business, have an idea about your who, what, where, when, why and how, and prepare your team. Let them know what is going on. Ideally, have a vision - big picture, of what it will look like at the end of the day, and have a mission - what the purpose is.
- As Steve Marr will speak to in the article, below...don't try to swallow the entire vision all at once. You can only hit one target at a time.
Do you attempt to accomplish a larger vision all at one time?
WRITTEN BY STEVE MARRTHURSDAY, MARCH 27TH, 2008
Joshua needed 15 years to subdue Canaan, even with God's help. We need to remember, small steps are needed to accomplish a larger task.Joshua planned each attack carefully, first seizing the middle ground to divide the enemy, then finishing off the conquest. Cities were captured one at a time.In business, plan each objective carefully. Finish key tasks completely before you move on to the next target. We must win the small battles in order to win the war.Break down your large goals into bite-sized pieces, and you will be amazed as you march steadily on to obtain your goals.
At Aepiphanni Business Solutions, we are dedicated to serving the needs of small business owners. We specialize in helping you develop strategies for your organization, and are committed to your success. If you have further questions about creating your strategy or developing your vision, please give me, Rick Meekins, a call at 678-265-3908, or email us at info@aepiphanni.com.
Labels: Business Development Strategies, Business Growth Strategies
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Where’s the Love???
Watch a young pair of businesses begin to court…they see each other, and see the way the light shines off the other’s logo…they share secret grins, thinking about the future and how they will grow together. Then, with a signature, they are together…partners!
Well…don’t ring the bells and throw the rice just yet. Just as in relationships of the heart, it’s not quite that simple. While everything seems fine and dandy initially, if belief systems are different – mission, vision, values for operating, working with stakeholders, etc., the relationship could be headed for trouble.
Back up for a moment…who are your partners? What is the difference between your partners or allies, and your vendors? Hmmmm…it’s got to do with the relationship. In a partnership, you are co-dependant on each other for some aspect of the business. Ideally, your accountant, your lawyer, your insurance professional and your banker should be strategic partners that know your business intimately and can offer sound advice in decision-making. Are they dependant on you? Well…shouldn’t they be?
Traditional partnerships might be a business that has a product or service that is complimentary to your business, but might serve a market that you aren’t into, and visa versa. Another example might be a partnership to share resources to bring a new product or service to market. Another partnership might simply be one where the companies, through a synergistic relationship might have an opportunity to expand both of their product or service offerings.
On the other hand, vendors might include Staples, Wal-Mart, your phone company, etc. These are folks that you’ll shop every time you purchase from them, they aren’t very worried about your business, other than to provide you with whatever standard they offer, and you will switch vendors as your business needs change.
I’ve worked with businesses who would partner with anyone (or hire anyone) with a beating heart, or a business that had any complimentary products or services what-so-ever. They might, then, offer a huge suite of products or services, or take off on a new venture, half-baked. Unfortunately, I have seen as many partnerships dissolve and businesses close as a result of poor planning or poor background checking.
There was a marketing company I once worked with, who had great market presence. The owner had operated the company for about 10 years. He was a great marketer – not just an advertising, or graphic design guru, but an actual marketer. He was the type of person who would not simply sell you business cards or postcards. He made it very clear that the collateral was only one part of the marketing process, and helped businesses create a full marketing strategy. He was good.
However, he was not a web person. He reviewed his SWOT (Strengths, Weaknesses, Opportunities and Threats) and found his lack of web savvy to be a weakness – an area where his business couldn’t compete, and a threat – market trends were moving, heavily towards the internet. Therefore, he set out to solve the issue, and did so by collaborating with a web design company that offered products and services at the same level of service.
Well…the numbers looked good. They saw many great opportunities for each other, joint products, shared costs, shared employees…it looked like a match made in heaven. However, their belief systems were different. It hurt both businesses, to the core, to the degree that although they’d invested tens of thousands of dollars in a new project, they were forced to abandon the project before it ever came to fruition, end the venture and close the business. Both reputations were tarnished and I suspect there were legal proceedings shortly thereafter. Had they courted for a bit longer, looking below the surface, though they may not have partnered, they might still be two, strong, viable businesses.
While it is never an easy task to go through the “courting” process – (we want everything now, now, now!!), just as in a life partner, it is a necessary part of the process. We, as entrepreneurs, are known for risk…but there is risk, and then there is foolishness.
Love with reckless abandon…but partner with the Wisdom of Solomon. At Aepiphanni Business Solutions, we are dedicated to serving the needs of small business owners. We specialize in helping you develop strategies for your organization, and are committed to your success. If you have further questions about creating your strategy or developing your vision, please give me, Rick Meekins, a call at 678-265-3908, or email us at info@aepiphanni.com.
Labels: Business Growth Strategies, Strategic Partnerships
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Can You Be Any Clearer???
I worked with a gentleman who had a restaurant who just couldn’t seem to draw the type of crowd he wanted to. The food was pretty good, there was a definite ambiance to the place, prices were pretty reasonable, but something just didn’t click. When asked what he thought the problem was, he couldn’t quite get his finger on it. So I asked him what type of message he wanted to send to his clients. His response was to have a restaurant that was known throughout the area as a romantic, waterside dining establishment with fine food, wine and great service.
Okay. Sounds reasonable. Well…at first. I asked his front of the house what kind of place they felt it was. There thoughts…a fun place to work, with good food, a family-like atmosphere with decent food. I asked what the guests most popular wine was. Robert Mondovi Merlot. Hmmm…interesting. What’s the best wine? Same response. What are the best cordials? Blank stare. What was the best, romantic dessert on the menu? Chocolate cake with freshly sliced strawberries for two. Milk with that?
Okay…I think we are getting something…
I asked the cooks the same question. There response was similar…a fun place to work…the food was easy to prepare; they were paid okay, but weren’t learning much. The hardest part about the job was cleaning up at the end of the night. Well…duh. What do you like to do to make the food like nice? Parsley – on the rim and a few sprigs on the side of the plate. Don’t get me wrong…I love diners…but the last place I am taking my wife for Valentine’s Day is The Golden Star Diner. This was “diner-esque”
So we have a fairly consistent response across the board. However it wasn’t what the owner said he was trying to project. As a matter-of-fact, their vision of the place was more of a glorified diner than the romantic spot he was trying to project…because he didn’t do anything to make the vision consistent, it lead to the demise of his business.
What about your business? Does your team share your business beliefs? Is your product, marketing, presentation, facility, etc. consistent with your beliefs? I read a story about Ben & Jerry’s Ice Cream, a values-driven organization that has consistently demonstrated it’s beliefs by supporting farming communities, creating eco-friendly packaging for it’s ice-creams, etc. Read about it for yourself at www.benjerry.com. Can a transparent, values-based business be successful? Just look at their bottom line.
At Aepiphanni Business Solutions, we are dedicated to serving the needs of small business owners. We specialize in helping you develop strategies for your organization, and are committed to your success. If you have further questions about creating your strategy or developing your vision, please give me, Rick Meekins, a call at 678-265-3908, or email us at info@aepiphanni.com.
Labels: Business Development Strategies, Business Path
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Who Are We and What Should We Do Next? SWOT Your Business!!
“Know thyself,” says Socrates. “To thine own self be true,” quotes the Bible. Do you know yourself? Do you know your business?
Where your business fits into the marketplace is one of the most overwhelming yet most important evaluations you can make in your business. Are you a market leader? Are you slowly (or quickly!) losing market share? What new policies could result in costs being cut? What are some economic indicators that could wipe your business out while you’re not looking?
While you may be aware of some or all of these, what methods do you have as part of your business model to evaluate them on an ongoing basis? How do you know when things change? How are you leveraging what you do well?
A simple tool that many businesses and consultants use is called a SWOT analysis. SWOT stands for Strengths, Weaknesses, Opportunities and Threats. Here is a typical SWOT diagram.
• Strengths – Areas of your business that you need to maintain and exploit. This might be a unique product or service offering, a strong, knowledgeable team or a strong customer base.
• Weaknesses – Areas of your business that you need to be aware of in your decision-making process and avoid exploiting. Areas you might consider include your financial position, lack of resources, knowledge or inopportune brand deterioration.
Strengths and weaknesses are areas of concern that you, as a business, can do something to change. Ideally, you will want to turn your weaknesses into strengths by finding some way to work around them or a way to compensate for them. You’ll want to build your strengths through ongoing innovation, continued education, listening to your clients and watching market forces for ways to exploit your strengths.
• Opportunities – These are market and economic forces outside of your business that if you take advantage of, will enhance your business. These might include an opportunity to purchase another business (a business that compliments your products or services that can expand your market, financial or other position), a sudden need for a product or service you offer (bottled water in a drought) or a policy change (ability to increase write-offs, increased need for energy-efficient products, etc.)
• Threats – Market and economic forces that could hurt your business, such as making a product or service your sell illegal (think prohibition – the sale of alcohol), the entrance of a product or service or business that makes yours obsolete or decreases demand (you have a small retail store, then Wal-Mart moves into town) or increases your costs (additional fees to cover the cost of Homeland Security, or high fuel and dairy prices)
Opportunities and threats, as you probably have guessed, refer to external impacts on your business – things that you cannot do anything about, but can take advantage of or prepare for.
If you were in the auto industry, and suddenly, gas prices sharply increased, creating a market demand for fuel-efficient cars, had you done your SWOT, you would already have put contingency plans into place for production of these Hybrid vehicles. If you had done so, when prices increased 100%, you would have been ready to hit and set the market for the new vehicles. Toyota and Honda seem to have done that, rather effectively.
You are now in a recession. What will you do? How will your organization make its way through tight economic times, perceived or real? Your costs have increased, due to the increased price of everything. Your key employee quit, without notice. Your clients don’t have the discretionary income to purchase your products or services. While it’s not the only step you’ll want to take, a SWOT analysis should be one of the first analyses you should consider.
At Aepiphanni Business Solutions, we are dedicated to serving the needs of small business owners. We specialize in helping you develop strategies for your organization, and are committed to your success. If you have further questions about creating your strategy or developing your vision, please give me, Rick Meekins, a call at 678-265-3908, or email us at info@aepiphanni.com.
Labels: Business Development Strategies, Business Growth Strategies
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Life and Business Change...Adapt or Get Out!
The changes we have seen across the country in the past few years have put Americans, as a whole, in a state of concern. The price of gas is skyrocketing and approaching a new high, the value of the dollar in plunging, mortgage foreclosure rates are defined as “crises” and on and on. On top of that, we have the media stirring up a frenzy of fear to ensure we run full-speed into a national recession and stay there! But that’s another story. Regardless, all of this results in increased risk and cost to do business.
You, as a business owner, need to be proactive and prepare yourself, your staff and your business for the changes that will affect the way you work. Some businesses that rely on helping people and businesses get through this type of economic challenge (yes, challenge…this, too, will pass), will be faced with the challenge of managing a larger number of clients. Their challenge is THRU-PUT, or being able to manage a larger number of clients while providing the same level of service and attention they normally give their clients. Others, who deal, primarily, in “discretionary” products and services are going to experience a slowdown in their business. In both cases, how do you planning to adapt? (consider…adapt or die)
Ideally, you have created a business plan for your business, complete with a business model (or financial model) that you can return to in order to help you see not only where you came from, but also where you are going. It should provide you with the BIG PICTURE perspective – what the business is about, what the goals are and what the purpose is. This should encompass your BRAND, or what people – customers, clients, the community, etc. – expect from you.
Your business plan is not only your map, but also tells what kind of car you are driving, who is going with you, why you are going on this journey and what you expect when you get there. On every journey, there are hills and valleys, some steeper than others, some lower, respectively. In order to reach the vision, you mush KEEP MOVING FORWARD. In order to keep moving forward, you have to make good decisions on how to protect the vehicle.
Now, if your vehicle is a hot air balloon, what do you do when you start plunging from 3,000 feet? Unfortunately, you may have to drop ballast. You are not going to throw out the engine…you will not throw out the map…you will not throw out the fuel reserves…you will get rid of the items that have the least amount of VALUE on the trip.
Well, what has the greatest value? Your BRAND. Your brand IS your vehicle. Your brand is a major influencer that encourages (or discourages) people to go with you. You need to avoid losing it (though it will cost you far more to re-establish a damaged brand than to start with a new one!)
What else has value? What fuels your business? What drives your business? What is it that is simply nice to have, but not helping you to move forward toward accomplishing your vision? Is it your office with the nice leather chairs? Is it your fleet of 2008 vehicles your sales team drives? Is it your $5 per month co-pay benefits plan?
Conversely, in what area or areas have you invested the most that are moving the business forward? Look at your staff…how much time have they spent thoroughly learning your business through countless meetings, OJT (On the Job Training), etc.? Will it be in your best interest to cut positions arbitrarily? Is your best option to gut your HR or training arm, completely?
Believe it when I say that there is NO HARD, FAST RULE FOR EVERY BUSINESS OR EVERY BUSINESS OWNER! However, looking at your brand, your mission, your vision, your path, your values and those of your business, it becomes apparent that you have to make smart decisions based on the bigger picture. Plan with the expectation for things to recover or reset. Could this mean looking at your exit strategy (a set of indicators that ‘light up’ letting you know that it is time to exit the business)? Well, is this part of your business model? It should be. Does this have to affect your personal mission, vision and values? YES, the business can be ballast that you have to let go. The business can absolutely STOP you from moving forward. Stopping the business is NOT the end of the world, but not knowing when to stop could definitely seem like it.
Planning is the key to knowing what to do as the world changes around your business. Planning is the key to moving forward. You cannot know the future. However, you CAN observe what is going on around you and look to contingencies as things occur.
Take the offensive. Do your homework and plan. Remember…He who fails to plan, plans to fail.
At Aepiphanni Business Solutions, we are dedicated to serving the needs of small business owners. We specialize in helping you develop strategies for your organization, and are committed to your success. If you have further questions about creating your strategy or developing your vision, please give me, Rick Meekins, a call at 678-265-3908, or email us at info@aepiphanni.com.
Labels: Business Growth Strategies
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Is There Room for Me?
Do you know how may new businesses open up each month in the state of Georgia? How about in your county? In your city? How many of them will be vying for the same clients you are? Would this be valuable information? I am certain it is.
You need to know this information like you know those who are closest to you. This is how you determine where you can open your business, what your niche, or specialty might be, how much to charge, how many people who could or would potentially use your services are in the area, etc.
This research is called a feasibility study. Do a lot of new businesses do this? A lot of them don't. Should you? Absolutely. This would be no different than planning for a child. Another way to say it is that the benefits far outweigh the costs.
A feasibility study is a logical process used to evaluate a business idea by looking at the proposed business from different angles, including:
• Market Viability
• Technical Viability
• Business Model Viability
• Management Model Viability
• Economic and Financial Model Viability
• Exit Strategy Viability
The ultimate goal of the study is to determine the level of risk associated with proceeding with starting a particular venture. It simply answers the question, “Is this venture feasible?” A feasible business venture is one that will generate enough revenue and profit to sustain itself for a foreseeable amount of time. Additionally, the organization should be able to withstand economic and organization risks and remain viable long enough to accomplish the organization’s vision.
A healthy amount of data will need to be gathered (versus a “gut feeling” or instinct methodology); the study will examine three main areas:
• Legal issues – what legal implications exist
• Technical & organizational requirements – What resources are required for the organization to be functional
• Financial overview – can the organization attract required investors or raise seed capital to start the organization? Can the organization be fiscally sound in the market it serves?
Results of the study should include recommendations and limitations, along with supporting evidence for the recommendations. If the results of the feasibility study are favorable, the business plan will be the next logical step in the process. However, if the results of the study are not appealing, the project may be re-engineered or the project will be scrapped.
Information sources for the data include BizMiner, Nolo (legal documents and forms), Findlaw.com (Legal information) and other information sources. While templates for feasibility studies (individually) are probably difficult to find, some business planning templates include some level of feasibility study in them. For a more directed approach, I suggest you work with a qualified consultant, such as those at Aepiphanni Business Solutions
At Aepiphanni Business Solutions, we are dedicated to serving the needs of small business owners. We specialize in helping you develop strategies for your organization, and are committed to your success. If you have further questions about creating your strategy or developing your vision, please give me, Rick Meekins, a call at 678-265-3908, or email us at info@aepiphanni.com.
Labels: Business Development Strategies, Business Startup
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Take a look...what do you think? What is it that drives us to do what we do? Is it pride? Is it greed? Is it narcisism? Businesses are the lifeblood of our communities, be them big or small. We all contribute to the success and growth of life as we know it, from the rice paddy grower to the T-Mobiles of the world. Without those who are willing to take a risk...risking all, sometimes, we don't grow.
Call of the Entrepreneur looks like an interesting movie that discusses these and other topics. Determine where you fit.
What struck a nerve with me, however, is the idea that while many enter the marketplace with the goal of domination, where someone wins and someone loses, the reality is that there is room in the marketplace to present our new and unique positions to expand the marketplace to support unique offerings to a distinct market segment. So, which is stronger...one of us or all of us?
Enjoy.
At Aepiphanni Business Solutions, we are dedicated to serving the needs of small business owners. We specialize in helping you develop strategies for your organization, and are committed to your success. If you have further questions about creating your strategy or developing your vision, please give me, Rick Meekins, a call at 678-265-3908, or email us at info@aepiphanni.com.
Labels: Business Path
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