---

 

 

Leaders know the old saying "How you act shouts so loudly I can't hear what you're saying" is the truth. They use it to their advantage. Leaders know the greatest sense of accomplishment and importance often comes from non – monetary rewards, and from positive recognition from the person who is the boss. And they know they can do it without "breaking the rules" or incurring big expenses.

Many managers feel constrained by the rules and regulations of their organizations. They feel that their hands are tied when it comes to rewarding their people – that their actions are controlled by others, and there is little of any real value they can do to motivate their people.

Here are 12 Ways leaders let their people know how important they are:

Way #1 – Leaders truly believe the work performed by their people is important. This may sound pretty basic, but that is an absolutely essential belief. Without it there is simply no way people can be convinced that what they do is important.. How often have your heard – or been guilty of saying – or thinking – "Oh, she's just the receptionist" or, "He's just the janitor" or "They're just trainees" or "They're just a staff weenie?"

Way #2 – Leaders expect the best from everyone, and settle for nothing less. Nothing makes people feel more important than high expectations for their performance. Leaders make sure their people share in setting the expectations.

Way #3 – Leaders create goals that are shared and that show the tie in of individual work with the success of the organization.

Way #4 – Leaders select the best – in every opening they have. Every tool is used to ensure that the best possible decision is made on who is selected. People watch very carefully to see who is picked – they need to be involved in the selection process whenever possible. Leaders know that actions taken in selection communicate how important the open position is. Who is selected is seen as a direct reflection on the quality of the people in the organization.

Way #5 – Leaders are their people's institutional champion! What's that mean? When their pay is wrong, leaders get it right. When their reviews are scheduled, leaders ensure they are done accurately and on time. When their raises are due, leaders make sure they are handled properly and on time. Leaders jealously guard their relationship as the go to person for their people. Institutional support people can help, but leaders know they are the key contact for their people.

Way #6– Leaders are absolutely intolerant of unsafe, disruptive or other negative behaviors. They act on them quickly and decisively, and never let their people see them knowingly ignore a bad situation. Leaders know these situations will not go away, regardless how much "wish'in and hop'in and pray'in" might be done.

Way #7 – Leaders know that trust and respect are not the same thing as being liked. It is nice to be liked, it is absolutely essential that people trust and respect their leader. As a comedian said: "If you want to be liked, get a dog."

Way #8 – Leaders cultivate a climate of civility for their people. In their relationships with their people, they make sure their actions reflect a fundamental respect for others.

Way #9 –Leaders get every one of their people some form of self development activity on a regular basis. It may be a seminar, it may be tuition refund, it may be a book, it may be a CD set, it may be reimbursement for a Webinar or a podcast, it may be a Community College course – it does not have to be expensive and time consuming, but the act of creating added value through the investment of personal effort supported by organizational resources is a powerful way to express importance.

Way #10 – Leaders respect their people's time – it's their most valuable asset. Leaders start meetings on time, end them on time, keep meeting commitments. They do what they have to do to ensure their people have the use of as much of their work time as possible.

Way #11– Leaders keep the rules and policies to an absolute minimum. If there is workable set of cultural and organizational "Way's Of Doing Things" then the basis for treating people with individual regard exists. If they don't exist, leaders set them in their own area of responsibility.

Way #12– Leaders celebrate the successes – they create the opportunity for group recognition to happen all over the place – if Safety is an issue, they create a Safety Award process that celebrates progress. They make the celebration events frequent, the rewards modest – but they do it all the time. Leaders know the frequency of awards and the opportunity for celebration are as important, actually more important, than the annual lunch or dinner or whatever.

Did you notice one thing about all 12 Ways? Not one of them deals with lots of money, or more capital, or new policies or procedures. All do require beliefs and behaviors – and they are the most challenging, most high leverage efforts that can be made to improve an organization. It's always tempting to do a feel good seminar, or buy something, or take some action that shows a high level of commitment to the people.. But the truth is that the way to greater success is through a focused, day to day effort to improve the level of commitment of the people in an organization, and that takes hard work, leadership and the acceptance of change.

If you can see Ways that can help you organization or your work group or yourself in this article, take them and run with them – they are the basis for successful managers becoming successful leaders.

 

 

 

People have a certain threshold or tolerance for debt. Most of us can tolerate a little bit of debt. How much debt is all right? And when are you in over your head?

Most of the time, the decision that you have "too much debt" is made emotionally. That is, you have too much debt when you feel you have too much debt.

So why do some people panic over small debts but others sleep like babies even when they owe tens of thousands?

The answer is that people have an emotional sense of how much debt is acceptable. The danger is that this personal gauge is highly unreliable. You may have gotten it from your family situation, past experiences, or what you saw on TV or in the movies. Your debt style also involves your own maturity level and self control.

We also have an emotional response to what is unacceptable, which is sometimes called "hitting rock bottom." For some people, hitting rock bottom is having a car repossessed. For others, the repo man was a familiar character from childhood.

Hitting rock bottom may be the day you cannot make minimum payments, the day you lie to a spouse about an overdue bill, or the threat of impending homelessness. In other words, the emotional response and not the event itself is what defines a "hitting rock bottom" moment. One man's rock bottom is another man's standard of living.

So when is debt too much debt? On a purely emotional level, many people hit "rock bottom" when the first calls from bill collectors start to come.

Getting hounded by a professional bill collector is tough. Some people cope, but others find it embarrassing, humiliating, and shameful. For some people, it may take an intervention of friends or family members to drive home the point that the debt is getting out of control. Others may wait till they are evicted or sued.

So how much is too much debt?

First, it's not a question you should answer emotionally. Most entrepreneurs have nerves of steel when it comes to debt and financial risk taking, but most of them do not carry a lot of personal debt. So the amount of debt you can tolerate emotionally is not the governing factor; in fact, it should not even be taken into account.

Debt is financial and the only way to evaluate financial things is to look at the big financial picture.

Your financial report card is something called your "net worth." You can do a reasonably good snapshot of your own net worth without hiring an accountant or doing a bunch of fancy stuff. Just write down all of the money you owe. If you have credit cards, list all the balances. If you have loans, list all of them. If you have a mortgage, add that. Take all of these debts (the accountants would call these "liabilities") and add them together.

Now take everything you own. This includes the contents of any bank or investment accounts you have, your retirement account, stock portfolios, and so on. If you own a house (even if it's mortgaged), add the fair market value of the house. If you have vehicles (cars, boats) add them in. It is fair to add in the value of your furniture, electronics, and clothing, but be very conservative. It may have cost you thousands to build the wardrobe hanging in your closet, but it's doubtful you could convert it to very much cash. Don't count what you spent, count what you could get if you had to sell it today. Add everything together to get what accountants call your "assets."

Now subtract liabilities (what you owe) from your assets (what you own), and you have your net worth.

I hate to disillusion you, but the number should be positive. And it should be thousands.

There are some reasons for a low net worth. For those who are just starting out or those just starting over, your net worth may be low because you have not had chance to amass any assets. You may have just gone through a major medical disaster or other catastrophe. The other reason your net worth may be low is a lot of debt.

Now look at your income and your monthly bills. Don't worry about total debt here, just look at what you spend each month versus what you bring in. Take some pencil and paper time here. Does your out-go exceed your income? That's a debt-making machine. Until you turn this around, you're going to keep your debt growing which, in turn, will keep your net worth negative.

If you can't make minimum payments, if you are adding to your debt each month, or if you are really unsure of your financial states, you are probably in need of some financial help.

Certified credit counselors can help and there are lots of excellent books and programs on the market aimed at getting you debt-free. There are even free resources. For instance, your local banker can probably help you come up with a financial plan to manage your debt, including things like debt consolidation.

If you're wondering if you have too much debt, you probably do. One of the great financial secrets of the truly wealthy is this: no debt. It's possible for even ordinary people to live debt free.

The bill collector or the repo-man are not the first signs of debt problems; they are really symptoms of a prolonged period of too much debt. When the warning signals come, even if we are not rattled by them, we should take firm steps to dig ourselves out of debt. The difference between too much debt and being destroyed by debt are just a few missteps.

 

---

 

 

Day traders are a special breed of animals from the investors and swing or position traders. To them, there is a routine throughout the day they notice and take advantage of them. Each segment of the trading hours has special meaning. When it comes trading, these traders know when they are at their best and when they will not make a dime.

Floor traders are the best at knowing the routine of the market. The same human nature shows up in the everyday life. Humans love routine, even the people who are never do the same things twice or abhor normalcy and ordinary, they do have their own routine in another aspect of their life. So even in trading, the stocks and exchanges show their similarities day after day, even in a chaotic world in financial markets, there are subtleties that help these traders profit from the markets.

Here are some of the known facts about markets in general:

1. Volume - Most of the participation are around the opening and the closing hours of the day's session, especially on days where there are economic or company news pending. The more important the economic news, the more the volume, such as Federal Reserve meetings. Volume and volatility increases exponentially.

2. Price - There are certain prices where traders will participate in large numbers such as new highs or new lows. These areas come to be support or resistance, driving more traders into the fray. When these prices are near, expect this action to become routine.

3. Time - Different times of the trading hours bring different types of volatility and traders. Opening and closings see many day traders entering and exiting the markets while half way in the session will see less day traders as lunch time brings quiet time. The day is usually divided into 60 minute increments (hence the popular use of the 60-minute charts by day and swing traders). These time slots mark an important routine of the day. For example, the first 60 minutes show high volume with many emotional buying and selling to due market imbalance caused by news before the market opening. The second 60-minutes usually see the volume decreasing. This time slot also determines the direction of the market for the dayâ''either continuing the direction set by the first 60 minutes or reversing the direction. The last hour also give clues to the following day. But due to news interrupting overnight momentum, it's more difficult to use it as an indicator.

4. Day of the week - Depending on the day of the week where swing traders may initiate their positions at the beginning of the week and exit at the end of the week. For others, watching the beginning of the week to see the tone of the markets that may play out the rest of the week. In doing so, the day traders may observe and trade according the week. Mondays tends to be low in volume as the weekend slowly fades bringing traders back to their work. Wednesdays tend to find the tone for the rest of the week with a trending day. Fridays tend to reverse on the entire week's direction. Many swing and day traders will usually exit their positions, taking profits made from the week's gains.

5. Month - The beginning and end of the month provides more volatility than in between. Why? Accounting purposes, perhaps, where institutions maneuver their assets. There is tendency for volume to appear greater at the first few days of the month as well as the last few days of the month with more conviction in the direction. September and October lately have become the turning point of the markets, changing directions, especially from downtrend to uptrend. The crashes in recent history have taken place in these two months and tend to be the lows of the year.

6. Season - In general, the summer provides the least liquidity due to people in general going on vacation. During the rest of the year, there healthy volume sustains the trend. During the fall just up until Christmas will see a rise in volume and bullish trends.

These are routines that should not be taken lightly. They do exist and finding them can be a long arduous process. Once found, the trader will have an edge in profiting from the inefficiency of the markets.

 

 

 

It's lunchtime, and you can't decide what to have today. So you take a stroll outside, just to see what looks good at the various restaurants in the neighborhood. As you're walking along, browsing at the different menus displayed in the front of each restaurant, you get a notification signal on your mobile phone. It's the newly opened bistro on the corner, asking you if you want to receive a coupon and a menu. You respond with a Yes, and the files are sent straight to your phone. There's a full menu and a coupon for a free appetizer with your entree. Lunch sounds good -- let's give it a try. You've just taken part in a Bluetooth Marketing campaign.

So, aside from the funny name, what exactly is Bluetooth Marketing? How does it work? And what does this mean for the average consumer?

Most mobile phone shoppers have probably heard of Bluetooth by now. It's a standard feature on almost every new cell phone sold today, as well as many laptops and desktop computers. One of the more common uses for Bluetooth is to connect to a hands-free headset, but it can actually do a whole lot more. Bluetooth is really just a way for various devices to connect to each other and share information without the need for wires. So, with Bluetooth, your cell phone could also connect to your computer to synchronize your contacts list, transfer songs and ringtones, even upload those pictures you just took with your camera phone. What's more, if your friend also has a Bluetooth phone, you could easily send them your pictures, songs, videos, games, or other files stored in your phone, all without having to worry about having the right cables to connect.

So, what does this have to do with marketing? Well, through some clever use of technology, companies are now using Bluetooth to send their latest promotions to the mobile phone -- that ubiquitous device that almost everyone uses and carries with them at all times. How does it work?

A small, Bluetooth enabled file server, specially configured for this purpose, is mounted in a busy location. The server will continuously scan the area for Bluetooth enabled devices as they come within range (up to 100 meters). When found, it sends the user a message asking if they wish to receive the advertiser's content. This could be a coupon, a video, Java game or any other multimedia file. If the user responds with a Yes, the file is sent automatically. If they respond with a No, the server logs this decision, and will not ask the same user again the next time they come within range. This so called "blacklisting" feature ensures that users are not continuously bothered with requests to download things they don't want.

And, in contrast to SMS or text messaging, there is never a charge to send or receive files via Bluetooth. What's more, since files don't pass through any cellular carriers, Bluetooth Marketing works even where there is no cell signal, such as subway stations or other "dead" zones.

So what are the benefits and pitfalls, both for prospective businesses looking for a new and unique way to connect with their customers, and for consumers, who may view advertising on their cell phones as a sort of invasion of privacy?

For advertisers, Bluetooth Marketing allows them to send their promotions to people for very little cost. Aside from the initial purchase of the equipment, Bluetooth Marketing campaigns are essentially free to run. Because files sent by Bluetooth are free, it would not matter if a company sent 10 promotions or 10,000. More importantly, users who choose to accept the message inevitably take the time to look at it. This differentiates Bluetooth marketing from other types of advertising, which goes largely ignored by the target group. Advertisers also have the opportunity to market their products and services based on the proximity of the consumer. For example, restaurants can send coupons to people as they walk by; movie theaters can send video trailers of new releases to people standing in line, etc. What better time to send promotions to customers than when they are physically close?

Of course, from the point of view of the consumer, there may be fears that this technology may raise some privacy issues. Would people be spammed with ads they don't want as they're walking down the street? Will advertisers be able to record their cell phone numbers and use it for marketing purposes? And what if someone doesn't want to receive this kind of marketing -- ever?

In fact, the technology does incorporate ways to resolve these issues. Again, Bluetooth servers must always get permission first from users before any content is sent. And if the user refuses, the software remembers this, and will not ask again in the future. This ensures that only people wishing to receive content will get it -- a benefit to both advertiser and consumer. Also, personally identifiable information is never collected by the system. The server only detects each phone's MAC address, a unique hardware ID, but nothing else. It cannot collect phone numbers or any personal information from any user. People needn't be afraid that their private information is being compromised in any way. And, of course, users can always choose to never participate in any Bluetooth campaign by simply setting their Bluetooth to "invisible", so they won't be found in the first place.

Bluetooth Marketing has been popular in Europe for several years now, and is only now beginning to catch on in the United States. Besides just coupons and promotions, stores can get creative and offer free games or songs to reward customers, companies could use this technology to distribute bulletins to employees, or professionals can use Bluetooth to send business cards to potential clients, ensuring that they always have their correct contact details handy. The possibilities are vast. So the next time you're walking down the street and you get an unexpected message on your phone asking if you want a free cappuccino, just say Yes, and look around you. You may not have noticed the cafe on the corner, but they noticed you!

 

 

 

If you are in business, you know that it's important to have a variety of information about those individuals who are working with you. This is true whether the position involves a security detail, handling large amounts of cash or working with a great deal of information such as the social security numbers and credit information for your company's clients.

Therefore, conducting an employee background check is essential in many businesses. However, not every manager or owner will have the time to thoroughly check out everyone who has applied for and who is being considered for filling a position. That's where a private investigator comes in.

It's possible to hire a private investigator to conduct an employee background check for you.

With an employee background check, a private investigator can determine whether the prospective employee:

has a car or truck registered in his or her name;
has a clean driving record;
has indeed attended the college or university listed on his or her application;
has been sued or has a criminal record;
has ever filed for bankruptcy protection;
has sued a previous employer for worker's compensation;
has passed state licensing exams such as those for teachers, doctors, nurses or lawyers;
has ever failed a drug test; or
has been listed on the sex offenders registry.

With this information, you can verify the information that is on the applicant's resume and determine whether or not they meet the criteria that your company sets for its employees.

Much of the information that is included in an employee background check is information that is on public record. Therefore, some businesses may wonder why they should hire a private investigator when it is possible to get the information on their own.

There are a number of reasons why it makes sense to hire a private investigator to conduct an employee background check. Time is one reason: while as an employer may have to place a number of phone calls or conduct a number of searches just to determine who should be contacted to find the information, a private investigator is experienced at conducting employee background checks.

In addition to saving time by having someone else conduct an employee background check, your business will be able to continue to focus on your clients and customers. As a result, your day to day business will not slip through the cracks and you can be sure that the employee background check is conducted without bias.

When the same individuals who conduct interviews also conduct employee background checks, it's possible that a detail would be weighted based on the interview with or personality of the applicant. Because a private investigator is a neutral party, all that will be considered during the employee background check is the information that the search yields.

With that information, you will be better able to determine whether or not the applicant is someone who fits in with your company, your mission statement and the specifics of the position. And, thanks to an employee background check, you can be sure that the person who you hire is a reputable, reliable candidate who will help your business to grow.

 

 

Especially if you happen to be one of those unflinchingly ambitious micro-business entrepreneurs, I've been reading about everyday in pubs like Crain's Chicago Business, you'll eventually find that designing and offering up an attractive employee-benefits package will be an essential component of your future growth. An attractive health plan will do just that - attract - helping you recruit and retain crucial employees (meaning those fought over creative class/knowledge worker types Richard Florida is always yammering about). You'll also find that a generous group plan will help link your employees' interests to your concern's.

That said, there are a seemingly unlimited number of group benefits options to consider. One that you'll want to move to the top of your list is a Cafeteria Plan. The cafeteria brand of benefit plan can add a lot freedom to a employee compensation package, allowing your workforce to choose benefits options ala carte, if you will - selecting only the benefit options they're most interested in.

Perhaps I should start closer to the beginning … cafeteria plans, also known as the flexible spending account, the choice spending account or the section 125 plan, have become increasingly popular over the last few years because they're designed to offer employees a truly convenient way to pay medical expenses with pre-tax dollars; relieving them of the burden of federal, and state taxes.

To take advantage of a flexible spending account, eligible employees set aside a pre-designated amount each year, in order to pay for medical expenses aren't already eligible for coverage. The two most common types of flexible-spending accounts are dependent care reimbursement (also known as DCRAs) and health care reimbursement accounts. Employees pay for non-reimbursed expenses from these accounts. Unfortunately, flexible-spending accounts are "use-it-or-lose-it" accounts; meaning that any funds leftover at the end of the year can't be "rolled over," so to speak.

Exceptions To Those Limits Apply to Key Employees

Typically, funds set aside in a cafeteria plan's flexible-spending account are exempt from income, payroll, and unemployment taxes. This exemption generally also applies to payroll and unemployment taxes paid on behalf of employees. (Take a look at IRS Pub. 15-B for exceptions, including treatment of highly compensated employees and certain shareholders of Subchapter S Corporation's.)

Premiums paid to a group life benefits policy are typically exempt from income and unemployment taxes. In addition, premiums paid for up to $50,000.00 of benefits coverage per employee tend to be exempt from payroll taxes. For additional details, see IRS Publication 15-B.

You see, cafeteria plans offer you some versatility in putting together a benefits plan for your workforce. There are other categories of fringe benefits that you can offer your employees in a cafeteria plan that may be excluded from taxable income under IRS benefit-exclusion rules. Using a flexible-spending account -- namely, establishing a DCRA and HCRA -- may help to jump-start a cafeteria plan for your workforce. If you maintain a cafeteria plan, the IRS requires you to complete IRS Form 5500.

To help you keep track of employment-related costs, the U.S. Bureau of Labor Statistics (BLS) publishes a quarterly statistic called the employment cost index. The cost index measures changes in employee-compensation costs, which include salaries, wages, and benefits. In addition to publishing the quarterly cost index, BLS publishes an annual survey of compensation costs.

One last thing … the information above is practically for entertainment purposes and shouldn't be interpreted as financial advice. For advice specific to your firm's circumstances, don't hesitate get advice from a financial, tax or benefits consultant. You may even want to flat out hire an Interim benefits consultant or a full service benefits consulting firm. There are also a number of good sources of information on the Web you can take advantage of. The Employee Benefits Research Institute (EBRI), International Foundation of Employee Benefit Plans (IFEBP), and American Benefits Council are independent sources of truly "actionable" employee-benefit plan information.

 

---

 

Do you know the three steps to creating wealth? Creating wealth for your business depends upon your ability to sell, sell, and sell your products and services. Let’s look at the three steps to creating wealth beyond your wildest dreams.

Following are the three steps to creating wealth that will have you raking in the cash:
Step #1: Fear. You need to find out what people fear. If you haven’t created a product then find out what people fear in life and make a product that helps get rid of that fear. If you already have customers then find out their fears so you can create even more products.

Step #2: Promise of relief. So you’ve found out the fear of your customers, now what do you do with this information? You create a product or service that provides relief. You promise that your product will save the day and alleviate their fear.

Step #3: Money. To maximize your sales you need to let people know why you are the person to solve their concerns. You have to provide credibility so that they will give you their money. If you don’t provide credibility then they won’t have faith that your product will actually solve their problems. You can provide testimonials, show results, and give your credentials so they will literally throw their money at you. Fear is a very powerful feeling, so you can use fear to your advantage.

What are examples of these three steps in action? Let’s look at a couple of examples.

Example #1: Do your customers have concerns about earning the most profit from SEO on their website? You could provide an informational product that helps relieve this fear of losing out on money.

Example #2: The diet industry. The diet industry preys on the fear of being overweight and provides an easy relief solution through diet pills, programs, and gadgets. They prey on the fear that people feel like they will never be able to lose weight unless they order their diet products.

Take the lead from the diet industry and uncover the fears of your customers. If you can provide the magical solution, with credibility to stand behind it, then you maximize your profit in no time. If you don’t then you could lose out on thousands or even millions of dollars in profit.

 

A wonderful way to diversify your investment portfolio is to learn forex trading. Many new investors have discovered the world of foreign exchange trading to be an exciting new challenge. One that is filled with rewards that are beyond what they were achieving as stock traders. Currency forex trading is a great way to branch out into new investments. Experience a completely new world of investing by stepping outside of the chaotic domestic economy.

The unique thing about the forex market is that it never closes, if you feel like trading at 2am it's not a problem. Unlike with other markets, such as the stock exchange, you can continue dealing with the currency trading market without worries over it closing at the end of the day. Websites give you 24-hour access to monitor what has been happening in the world currency markets at anytime. Through these sites you are able to learn all the basics about the market.

The websites will include tools and tips to guide you through the beginning steps of trading. This is a clear advantage because you can hone your trading skills before laying down your own money in the market.

When you think of it, the forex firms are training you to become skilled at trading for free by providing guidance, demos and news at no additonal cost. In a short while you will start feeling confident in trading and investing in forex. It only takes about $300 to start getting some good returns.

Learning forex does not require that you have a degree in economics or that you study the markets for years. The forex trading websites have made it easier for you to become successful. Forex brokers will give you access to the market for your currency trading.

Just like stock brokers, they can provide you accurate information and advice on how to deal with Forex trading strategies. Advice includes all the aspects of the Forex trading market which extends to research approaches and technical analysis to improve the member�s trading performance. Naturally, because this market has apparently been providing a great return on investment, large financial institutions have been proactively monopolizing the market.

However, with the trading firms, small-time individuals also have the opportunity to earn money through Forex trading brokers. As I mentioned earlier, the online firms have been providing powerful website tools to become familiar with the whole idea of the currency market.

Your choice of Forex trading broker will largely depend on your need in the trading market. Many brokerage sites will provide trading simulators and expert advice as well as research and analysis designed for first time traders. Furthermore, these websites typically provide experienced online Forex traders who offer in-depth advice to forex traders of all levels. All of these tools are available to beginners to try out.

You really can earn money by taking the time to learn forex trading. The availability of investment simulators and 24-hour customer support enables new investors to learn quickly. Not only can you be trading in no time, you will also be showing a tidy profit. Start researching forex trading. You might be shocked to see how many large companies are involved

 

About The Author

 

 

Choosing what product or service your new business will sell is all too often a 'knee jerk' reaction and not a careful consideration of the facts.

Why? Because you will, quite naturally, start a business about something you are doing at present: be that you are currently employed by a company (and you want to branch out on your own with a similar product or service) or you have agreed to join a friend or family into a new venture that you are not 100% sure about.

The problem with either of these new business entry routes is whether or not you will be able to use your personal strengths and business experience to the full: day in, day out.

Having a few customers and contacts from your old firm is a traditional route to a new business, and is of course a good reason to be hopeful. But, if you asked yourself what type of business you are best suited to start, it is unlikely that you would always choose the business you worked for as an employee.

Another way into business is buying a local business that is up for sale: buying a business is a delicate process so be well prepared.

Most successful small business owners and entrepreneurs would be successful in a number of different businesses that they had no real knowledge or experience of. Why? Because they have a broad understanding of all aspects of business, they have total commitment, sufficient financial understanding, and play to their strengths in their daily dealings: of course, if they once sold vacuum cleaners and they worked for Hoover in the sales and production departments, what a bonus!

The tale goes, that if an English and Asian person wanted to start a retail business in their local town, the English person would walk down the high street, see that their was not a local shoe repair shop (and they having been a shoe repairer) would open up a shoe repair shop. The Asian person would walk down the same high street, and on seeing two newsagents they would open a third newsagent.

The new newsagent owner knows that there is a need for a newsagent as two have survived. They also know that if they can give a better service than the other two newsagents, one, and possibly (hopefully) both of them would have to closedown: with the new newsagent buying the goodwill (the other newsagent had better watch out!).

Another way of seeing this: why will your business do better? For example, if you plan to open a local shop in a competitive area, if you can't beat competition on price, how else can you do it? Could you provide excellent customer service and encourage customer relations to pull in customers? That should get you starting to think.

So what should all this tell you? Understanding what makes you and a business tick, together with not underestimating the culture associated with small business ownership are essential to a business being successful: not continuity of experience and knowledge. Some of the greatest gardeners have lost their life savings on a nursery that turned out to be an oasis; a 20-year British Gas veteran lost his house due to that gas fitting business going bang; that great salesman who sold ice to the Eskimos could not compete or sell ice cream in his local town.

Finally, have you thought about the company that employs you at present? Is it possible that the reason you feel you can go into competition against them is because they have lots of business, happy customers, great work colleagues and a growing business? If so, add to the above list the fact that your boss is a natural business owner in his chosen element, and you have not seen the boss defend his territory, yet!

About The Author