I like doing my own accounting. I have been a Quickbooks fan since the first product release. I think I still have an old box with floppy disks in in the back of a closet somewhere here. That was back before you could download software over the Internet. Yes, I am familiar with the sounds of a modem over dial-up. Now I use my phone or tablet to take credit card payments and send invoices to customers. I never needed to call an Intuit support phone number in all those years until I got a new tablet computer.
I could not figure out why the credit card reader would not work sometimes. It kind of makes some customers wary when you have to swipe their credit or debit card twice. I have been asked again and again if I was charging them twice. It is embarrassing.
Ask any entrepreneur and they’ll tell you that successful businesses are based on strong relationships. Some are built one relationship at a time. But scaling a company takes a lot more than LinkedIn endorsements. It’s about taking the time to build relationships with the people you work with — customers, vendors and mentors — so that as your company grows, you’re well suited to grow your network with it.
# I know a guy who knows a guy
Unsurprisingly, your existing community of supporters can be a great resource for a new business. Moral support and word of mouth are incredibly valuable, but you might be surprised by the ways in which your existing network can lead to a big breakthrough.
The idea for Tuggo toys struck as my family watched our dogs excitedly try to play with a bowling ball. In true bootstrapped fashion, my parents’ basement was my first workshop. Once the neighbors noticed my two boxers, Harley and Hailey, playing with prototypes in the yard, I shared the story with anyone who seemed interested. When it came time to find a facility to build our products, my friend’s next door neighbor had just moved back from a job in China’s plastic industry and he helped us find the perfect production partner.
# Look for learning opportunities
Some of the best entrepreneurial advice I’ve received is to see everything as a learning opportunity. While it’s incredibly important to learn from your own mistakes, learning from other people’s mistakes may save you a few bumps and bruises. Seek out advice and find a mentor, either online or in your community.
At the end of the day, no matter how different their industries may be, most businesses share the same goal: success. I grew my network and found much-needed guidance by joining the Nashville Entrepreneur Center and an organization called Vistage, which connects CEOs to network and brainstorm. You can learn a lot about building and running a business by talking to other small business owners. I invested in branding materials and hit the road for trade shows on the recommendation of a more seasoned entrepreneur and my company’s growth exploded as a result.
# Take trade shows seriously
Trade shows can be stressful, but you can get a lot out of them. They may not all be glamorous, but shows provide a unique opportunity to quickly forge countless relationships with a very targeted audience. Even smaller events offer the chance to meet new customers, contacts or vendors; it’s just a matter of finding the right events to attend in your industry. Much like most networking, you get back what you put into a trade show. Learn from informative sessions, scope out partners and competition on the show floor and appeal to individual and corporate buyers once you start setting up booths of your own.
We took 500 early, handmade sample Tuggo toys to a pet expo in Nashville. At this point we were running a tube through plastic balls and melting them to form a seal. When we sold out, I knew we had a good idea on our hands. After establishing our production line, we filled bigger orders at larger shows. We were invited to compete for PetSmart’s Innovation Station awards after selling out at a big show in Las Vegas. The outcome? Our toys are on shelves across the country.
# Bring on help to build your brand
While it’s particularly important to catch people’s attention and make a strong first impression at trade shows, it’s a widely applicable lesson. Effective branding and marketing are a must-have for any growing business. Unless you’re a trained marketer and/or graphic designer, you should invest in strategic counsel and professional design services for a logo, business card, website, packaging and any collateral design. You can do all this without breaking the bank, too.
“Good old fashioned” networking is great, but the best part of a global economy is the ability to work with people you may never meet, around town or across the globe. I work with a distributed team of partners I trust, but haven’t met them all face-to-face because I found them online. My marketing consultant lives nearby and we meet up to plan campaigns, but I found a freelance graphic designer that I can afford and love working with on Fiverr. He and I have been working closely together since I started the company — he made my logo and now knows exactly what I want as I start describing a new flyer or banner graphic. Just like a face-to-face relationship, it’s one built on mutual trust and admiration. I even sent him a new computer a few months ago as a thank you. I’m also working with content writers across the country to build up a blog next. It’s a lot easier to find help on a budget now that anyone, anywhere can sell their skills online to build a business of their own. Expand your network and use it to your mutual advantage.
# Create an edge through personalization
If you invest the time and energy required to build lasting relationships for the backend of your business, it should be intuitive to build similarly strong relationships with your customers. It doesn’t matter if you have a one-man selling operation or a full-fledged team, there should be a strategy in place that centers around getting to know customers. Adopting new tools can make it easier, too. My team uses Zoho for customer relationship management, but there are plenty of great CRM solutions on the market for solving the same problem. Your software choice isn’t nearly as important as the way you use it though.
We sell dog toys. What that means is that our customers aren’t exactly our users. We recognize that reality in our communication and our collateral, and it pays off. We don’t just get to know our customers, we get to know their dogs too. We take the pets’ names and breeds down with all our other notes so we can ask how Zeus, the in-house terrier at Pets on Main, is enjoying the test kit of toys we sent when we follow-up. A professional but personable approach and personal touches go a long way to build trust with new and potential buyers.
If you want to see your business grow, go out and introduce people to it. Building a broader network is the best-tested, most cost-effective solution to almost all of the challenges associated with scaling a company.
What do you need to do to start a business? There are dozens of sites on the web including ours that have checklists that remind you of the many tasks you should perform to start a business. While such checklists will help you remember a lot of important steps you might otherwise overlook, they are rather impersonal To Do lists. They won’t make or break your success.
What will make or break your business? Here are important guidelines for turning your business idea into a successful business.
# Know yourself, your true motivational level, the amount of money you can risk, and what you’re willing to do to be successful. Sure, we all want to make millions of dollars. But what are you willing to give up to reach that goal? How many hours a week will you work on an ongoing basis? How far out of your comfort zone are you willing to stretch? How far will your family stretch with you? To be successful, keep your business plans in line with your personal and family goals and resources.
# Choose the right business for you. The old formula – find a need and fill it – still works. It will always work. The key to success is finding needs that you can fill, that you want to fill, and that will produce enough income to build a profitable business.
# Be sure there really is a market for what you want to sell. One of the biggest mistakes startups make is to assume a lot of people will want to buy a particular product or service, because the business owner likes the ideas or knows one or two people who want the product or service. To minimize your risk for loss, never assume there is a market. Research the idea. Talk to real potential prospects (who aren’t family and friends) to find out if what you want to sell is something they’d be interested in buying, and if so, what they’d pay for the product or service.# Start on a small scale before going all out. Some people believe that entrepreneurs are risk-takers. But for the most part, successful entrepreneurs don’t like walking blindfolded on a limb. Instead, they take controlled risks. They test an idea on a small scale, then build on what works well, tweak what shows promise and discard the disasters.
# Don’t fixate on mistakes or get demoralized by them. The difference between successful people and everyone else is that the successful people learn from their mistakes and move on. They don’t dwell on failure, blame the economy, curse their bad luck, or blame other people for their fate. If the path to their goal is blocked, they look for an alternate path, or sometimes choose a different, more attainable goal.
# Learn from others. Find mentors, join groups with like-minded people, learn everything you can about your industry and what it takes to get from where you are to where you want to be.
Attend industry conferences. Take training courses when they are available. Buy courses offered by experts. You’ll save a tremendous amount of trial and error by learning from people who have been there before.
# Plan to succeed. If you’re not seeking investors or putting a huge sum of money into your business, you may not need an elaborate business plan, but you still do need a plan – one that specifies your goal – your destination – and then lays out at least a skeletal roadmap for how you’ll get to where you want to go. The plan will change as you progress and learn more about your customers and competition, but it will still help you stay focused and headed in the right directions. Use our business planning worksheet to help develop that basic plan.
# Don’t procrastinate. I’ve heard some people advise would-be business owners to not move ahead with their business until they have investigated every last detail of the business they want to start, and are absolutely sure it’s all going to work and be profitable. The problem with that approach is that it leads to procrastination. No one ever really has all the pieces in place – even after they’ve started their business. Yes, you need to research the market, have a rudimentary plan in place and do things like get a tax id if needed, register with local officials, if required, etc. But if you try to make everything perfect before you launch, you may never get around to starting the business at all.
# Think of what you do AS a business. Keep track of income and expenses, keep business money separate from personal funds, find out what regulations your business needs to abide by.
# Understand the difference between working for yourself and building an ongoing business. If you want to build a business, you need to develop systems and methods that allow you to hire other people to DO the work of the business while you plan it. You limit the potential for growth if you don’t bring in other people to work for you.
# If the business you are starting will need investors to grow, do what you can to find out what investors are looking for and where to find those who might invest in your kind of business. Local angel and venture capital groups are a good place to start – attend meeting they hold or meetings that investors are speaking at.
# Put yourself out there. Ask for what you want (in a polite way.) I started my online business by participating online on GE’s GEnie online service. When I was ready to send them a proposal to run a small business area, I could not only talk about my credentials in general, but point to places I was already contributing to their service. I became one of the early content providers to America Online because I picked up the phone and made a cold call. I wound up with a new consulting client after I struck up a conversation with a woman sitting next to me on an airplane. Remember, people like to do business with people they know. Get the ball rolling, and keep it rolling by continually reaching out and introducing yourself to new people.
# Never stop learning and trying new things. What’s profitable now, won’t necessary be profitable next year or 10 years from now. So, don’t let yourself fall into the “this is the way I’ve always done things” rut. Keep your eyes and ears open for new things. Are there newer or better ways to market your products and services? Are customers asking for something you’re not offering? Is there a different type of customer you should be targeting? Get answers by reading everything you can about your industry and listening to your customers.
One of the biggest struggles I had in starting my business was actually coming up with the idea. I wanted something that was scalable as well as needed in our society. I combed through hundreds of ideas before settling on my current venture. Through this discovery period, I uncovered what I believe are the five most important concepts in determining what makes the perfect business idea.
So, what is a perfect idea? Each individual entrepreneur has their concept of the perfect business. While Google is a great business for the founders of that company – it may not be a great business for others that are non-tech savvy or who do not want to run such a large organization.
Therefore, each perfect business is defined by the business owners. Keeping this in mind, let’s start on my five concepts of finding the perfect business:
# Understanding your customer
This might seem strange to start here as how do you know your customers before you have a business idea in place. The answer is simple – your customers make the business, therefore without customers there is no business. If you have a business idea don’t try to develop the idea around what YOU think potential customers will like or need, but find out what your customers actually desire. Too often business owners get an idea in their head and jump right in with both feet. However, they soon find out that their target market does not want what they are offering. Spending both time and money on a project just to see it languish is not the perfect business idea.
Moreover, let’s say you don’t already have an idea – getting out and understand consumers (those who will eventually become your customers) may lead you to the perfect idea. Knowing what potential consumers need and building products to meets those needs will get customers beating a path to your door – that is a perfect business idea.
Passion here does not mean being fanatical about your product or service. But, it does mean having some interest in what you do. More times than not, you will be spending 15 to 18 hours a day working on your business in the beginning – usually for the first 12 to 18 months (more like 2 years in this economy). You have to constantly be thinking about ways to improve and grow your business as well as be out talking about it to everyone, everywhere. If you end up starting a venture that you don’t have passion for, something that does not make you jump out of bed each morning, it will be very hard to put in the hours and energy to make it successful – thus not a perfect business idea.
# Understand Your Competition
Every business has competition – either direct or indirect. Think about movie theaters. They have direct competition from video rental stores or at home television. They also have indirect competition from any other activity that consumers spend their disposable income on like bowling, paint ball, golf, etc. Anything that people do in their spare time.
Further, some competitors are ruthless. Meaning that if you promote and offer a product that is similar to theirs but at a lower price, these competitors will just lower their price to match or beat you. If they are already established businesses – they may be able to undercut your price enough to drive you out of business.
If you don’t know your competition – what they are willing to do to keep you out of their market – you may be spending more of your time in a pricing war then growing your business – not the perfect business idea.
# Cash Flow
Lots of entrepreneurs enter the business world with great ideas but very poor understanding of the capital it will take to get their venture off the ground. Most will prototype their product or service and understand what it takes to make the product or provide the service but they don’t understand the capital it takes to manage the rest of the organization – including marketing (very expensive but extremely necessary), employees (more than just salaries or wages), insurance or supplies and all the little miscellaneous expenses that add up very quickly like phone, internet, computer services, etc. Knowing your total cash flow will help ensure that all of your costs (variable and fixed) can be covered by the business – the perfect business idea. I have seen way too many businesses with great products fail because they could not cover simple expenses like rent or utilities.
Know who you are. Know your strengths and weaknesses. Know that you are ready, willing and able to do what it takes to make your venture a success. I have worked with many business owners in the past that think all they have to do is hang out their shingle and they have it made. Thus, when it comes down to actually running the business day-to-day – they are unwilling to invest the time, energy or money necessary for success. Thus, know how hard you are willing to work.
Moreover, know your personal financial situation and what you need the business to generate to cover your lifestyle. If you think your business will pay you a great salary from day one – it will not. And, if you need it to, it is not the perfect business idea for you. Take away outside distractions like your personal financial situation – get those in order – thus, when your business concept does materialize – you will be able to solely focus on its conception and growth. In the end providing you the financial security you are seeking – it will be the perfect business idea.
Regardless of the level of your desire for your business – a lifestyle mom and pop operation or a multi-national conglomerate – if you develop a business idea with these five concepts in mind – your idea will be the perfect business idea for you.
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Slatwall Store Fixtures: What Are The Best Benefits That You Can Possibly Get From It?
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One very important thing that you need to know about slatwalls store fixture is the fact that it comes with many benefits and one of its most important benefits is its ability of keeping any kind of merchandise secure, not to mention that it also has the ability of resisting any forms of risk of breakage. You should know that with regards to stores that are just starting their operation or just opened for business, the owners are very tight with their money and very careful with their expenditures since purchasing a merchandise that can be broken so easily is certainly a waste of money. You need not have to be very concerned and very worried with the slatwall store fixture that you will be including on the fixtures that you will be displaying on your store since this material is durable and is made to last and also, it can be used with various racks available which will certainly hold the merchandise perfectly still and in place all the time.
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What You Need To Know About Custom Injection Molding
In this article, you can know the important details about custom injection molding and its benefits. So what do you mean when you say custom injection molding? One of the purposes of the custom injection molding is to make plastic parts. The other good thing with this is that it is being used by certain applications. With this, you are able to customize the components based on the requirements. You will love this as a businessman because the needs of your customers will be met.
Aside from knowing what it is, it is also important that you know how to begin with the process. First of all, the plastic pellets must first be melted. By using the mold cavity, the plastic pellets will be injected but it must be under high pressure. Once this is done, you would have to eject the molded parts right away. This process is very simply and can be repeated when necessary. The good thing with this is that the products ejected are very useful. Some companies would make them as other part’s components. When it comes to custom injection molding, you would have to use a machine in order to produce these products. Aside from the machines needed, it must also need some tools in order to mold the products. The good thing with the machine is that it has a clamping unit that ensures automatic closing and opening of the mold. The material, on the other hand, needs to be injected and heated using an injection unit. Aside from that, it also needs high pressure for the molding process to be successful. Aside from that, you can choose either an electric machine or an hydraulic one. The tools used must be able to handle very high pressure as well. That is why you won’t be using tools that are not of aluminum or steel. You have to ensure high budget for the tooling because of this. That is why molding plastics is not easy because of the expenses you need to pay. If you want to make custom parts the cheapest way, you can choose the custom injection molding as another option for you.
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