MBA Wit & Wisdom

In the Villa of the Sick Cat--A Lesson in Customer Care

2009-01-30T03:05:00.000-08:00

Author: Caroline Jordan MBA

If you're a pet owner, you know the stress of having a sick pet and you know that having a great veterinarian is a wonderful thing. My cat, Zoe, came down with a nasty infection that had me racing off to the vet's office last week with an unhappy, howling kitty in tow. (She's doing much better now.)

This was my first visit to this vet's office, having just moved here last year. When I arrived, the building was under construction. Lots of hammering, sawing, and loud noises--not exactly the controlled, calm atmosphere preferred by a sick pet. But fortunately, Zoe lives in the House of Perpetual Construction Projects, so she did okay.

But, what really struck me was the construction project itself. The waiting room has been transformed into an Italian Villa with high ceilings, a graceful figure-eight-shaped pool in the center of the room, a decorative fountain, and ""faux"" plants. It is gorgeous and would make a great setting for a romantic Italian meal complete with fine wine and a strolling violinist.

My first reaction on walking in was ""This is beautiful, I wonder how high my vet bill will be."" As Zoe and I sat waiting (and waiting and waiting and waiting), I watched all the other customers coming through the door. Each one looked around at the beautiful setting and said ""I wonder how much this is going to cost me.""

The newly designed waiting rooms and exam rooms were not designed for the customers--dogs and cats. They weren't designed for the humans bringing in their pets for medical care. It's a total ego design. Impressive. Elegant. Grand.

And instead of all the customers (animal and human) being wowed by the design, they reacted negatively. You see, sick cats and dogs want quiet, dark spaces and they want their visit to the vet's office to be over quickly. Instead, the new design with its concrete floor (fashionably treated to look like a sun kissed rock patio) and its soaring ceilings means that every time the phone rings, the noise reverberates throughout the waiting area. The poor scheduling means that a sick pet has to stay in that waiting room for what must seem an eternity. And of course, the humans immediately understand that the money to pay for this project has to come from somewhere...namely their wallets.

Fortunately, our new vet turned out to be competent and caring and Zoe is recovering nicely. But, the business lesson remains. Focus on what your customers care about and you'll never go wrong.

About the author: Caroline Jordan, MBA helps self employed professionals build satisfying businesses, enhance their reputations, improve cash flow, and develop additional sources of revenue. For more tips and strategies visit http://www.TheJordanResult.com

Yeah, It IS Lonely At the Top

2009-01-29T03:06:00.000-08:00

Author: Caroline Jordan MBA

Sometimes when you run a business you feel as lonely as the Maytag repairman. Loneliness and isolation are very common problems for business owners. You sit at your desk wondering if you are steering your business in the right direction. When faced with a decision, you worry that you may be making a mistake or missing an opportunity. You get frustrated because you have no one to talk to about all the problems and decisions you have to make everyday. When you have a confidential matter you can't discuss with employees, family members, or friends you suffer in silence because you don't have an advisor to turn to. And unless your spouse is an MBA, he or she probably doesn't have the answers you need either.

Finding people you can trust to help you with your business is tough. You need someone knowledgeable. You want someone you feel comfortable with. Someone you can really take into your confidence. Often business owners turn to their bankers or accountants for business advice. But, do you really want to tell your banker that you need guidance running your company? Does your accountant encourage you to sit down and chat about your business over a cup of coffee? Absolutely not. First of all, you don't want to look like a dope in front of other professionals. You want to be seen as the competent professional that you are.

In my early days of running my business, I felt very lonely and isolated. Who could I talk to about my business? Not my customers certainly. They were looking to me for business advice. Not my family. They weren't really sure what I do, and I deal with a lot of technical stuff that they've never even heard of. So, I spent an awful lot of time struggling. Struggling to learn. Struggling to make the right decisions. Struggling to choose directions for my business. And all the while, feeling like I needed someone to advise me but I just didn't know WHO!

But over the years, I have found the resources I need to help me move my business forward. I know who I can trust. I know who has the answers to my questions. Now it's a matter of picking up the phone or sending an email to the right professional. And almost magically my questions are answered and my business moves forward. Sometimes just getting a second opinion or a new perspective clears the fog and the confusion.

The moral of the story is that no one (even business consultants with MBA's) has all the information and knowledge needed to build a successful business. We all do better when we can ""get by with a little help from our friends.""

About the author: Caroline Jordan, MBA helps self employed professionals build successful businesses, attract clients they enjoy working with, improve cash flow, and develop additional sources of revenue. To find out how visit: http://www.TheJordanResult.com

Article Writing Made Simple

2009-01-28T03:04:00.000-08:00

Author: Caroline Jordan MBA

A great way for self employed professionals to enhance their reputations is to write articles. But for many, the thought of writing an article calls to mind your school days of struggling to write a composition, trapped indoors while your friends played baseball without you.

Article writing doesn't have to be difficult and the rewards are great. Since I started writing articles, my website traffic increased, signups for my newsletters increased, the media has sought me out, and I've become what Stephen Van Yoder calls ""slightly famous"".

Here is the formula I use to write articles:

First of all, I do not see myself as a writer. You will not find me starving in a garret, suffering for my art. I see myself as a communicator. I have important and useful information to impart that can help people build successful businesses. When you look at it that way, it really takes a lot of pressure off you.

Secondly, your articles do not have to be Pulitzer Prize quality. They need to communicate information in a way your customer can relate to. If your customer is put off by high-falutin' language, don't use it. Speak in language that resonates with your customer. Remember, your intent is to communicate, not to win prizes or bludgeon others with your knowledge of polysyllabic words.

Next, start out by writing out a sentence or two (no more) that explains what you want to accomplish with your article. Your purpose is two fold: you want to establish your expertise in the eyes of your potential customers and you want those customers to do something. Here is an example for an article I am writing about how self employed professionals can enhance their reputations:

""I will write an article to give self employed professionals ideas on how to enhance their reputations which will result in more traffic to my website.""

That statement causes me to focus on achieving a specific result--more traffic...by providing specific information--reputation enhancing ideas. It really is the most important part of writing an article. Without that focus I am likely to head off on a tangent.

From there, develop a main thought and support it with three or four points. Add a brief story, a website to visit for more information, or a quote from an expert (that expert can be you) and you've got your article.

Sometimes when I get writer's---I mean communicator's block, I grab my microphone and ""talk"" my article. This also ensures that my articles have a conversational tone instead of a boring professor monologue.

Give it a try and you'll soon be turning out articles with ease and enhancing your professional reputation.

You've Got Personality, Use It!

2009-01-27T03:04:00.000-08:00

Author: Caroline Jordan MBA

For the self employed professional, nothing is more important than the image you project to your clients and potential clients. Napoleon Hill put it best when he said, ""People buy your personality and ideas long before they buy your products and services.""

Your image may be projected by the clothes you wear, the car you drive, and your posture. But, your image is also projected by the marketing contact points you make. What does your website say about you? What do your brochures or office sign say about you? Are you communicating the image you want to communicate?

I worked with one self employed professional whose target market was other small business owners. Yet his website had a very corporate feel about it. It wasn't designed to attract the kinds of customers he was interested in attracting. The language he used on the website was formal and stripped of all ""person-ality"". But in talking to him, I really ""got"" how much he loved working with small business owners and helping them become more successful.

Statistics overwhelmingly support that when people are shopping for a professional they buy the person first, the company second, the product or service third, and the price last. Your personality is a major competitive advantage. It's what sets you apart from all the other people who do the same work you do.

Think about you favorite professionals. Why do you like working with them? My dentist is always jovial, laughing and telling stories during my visits. His personality carries throughout his practice and makes going to the dentist actually enjoyable. If he stripped away the personality, he would be just another dentist.

Let's say you're a real estate agent who loves golf and you communicate that to potential customers. You'll find that you attract customers who also enjoy golf. It establishes a point of connection between the two of you. Your potential client starts out feeling like they know something about you. You're not a stranger. You're a fellow golfer. That builds rapport and trust.

Don't be shy about letting people know who you are and what you stand for. If you're an eye doctor who travels to Guatemala once a year to provide eye care for children, post a picture on your website or in your office. Send a press release to the local paper about your trip. Not only does it encourage others to support worthy causes, it establishes you as a caring person and a dedicated professional.

Give clients and potential clients multiple opportunities to get to know you by carrying your image and personality throughout your business.

It's Not About Me... Or You, Either!

2009-01-26T03:05:00.000-08:00

Author: Paul D. McDonald, MBA

In his book The Purpose-Driven Life, Rick Warren tells us clearly that life here is not about ""us"" but about God.

Have you ever heard people ask, ""Why does God allow suffering?"" or ""I can't believe that if there is a God that He'd be so cruel."" My personal favorite is ""Why did God do this to me? I deserve better!""

Hey, make no mistake about it--Mother Teresa was considered by many to be a very good person. She cared for the poor, totally changed her life, lived in poverty--you name it. In fact, we could all pretty much agree that Mother Teresa was ""better than all of us"" on the ""good"" scale.

Yet Mother Teresa knew that she needed grace.

Y'see, if Mother Teresa is better than you or me, and Mother Teresa needed grace, what does that say about you and me?

God doesn't ""have it out for you"" and He's not trying to make our lives hard. The ""why"" may not be answered until we get to heaven! But I know this much... God did not create us so that He could serve us.

About the author: Paul D. McDonald, MBA, has consulted with churches on growth and management of the ""business aspects"" of running a church. Visit http://wreach.blogspot.com/ to learn more.

Bird Flu: Who Is at Greatest Risk of Dying?

2009-01-25T03:05:00.000-08:00

Author: Bradford Frank M.D., M.P.H., M.B.A.

Avian influenza or ""bird flu"" has now caused more than 60 deaths worldwide, with the most recent epidemic in Indonesia, where four people have died. On a global basis, 60 deaths are not very many. So why are health experts becoming alarmed about the H5N1 (""bird flu"") virus? People are concerned because the virus has demonstrated the ability to kill a high percentage of the humans it infects. In addition, it has spread from birds to many other species, which is very uncharacteristic of viruses. The spread of infection in birds increases the opportunities for direct infection of humans. If more humans become infected over time, the likelihood also increases that humans, if concurrently infected with human and avian-influenza strains, could serve as the ""mixing vessel"" for the emergence of a novel subtype--with sufficient human genes to be easily transmitted from person to person.

Once the virus acquires the capability to ""go human,"" an influenza pandemic (that is, a worldwide epidemic) would likely ensue in a matter of weeks. To date, the vast majority of infections of bird flu in humans have been acquired by close contact with domestic poultry. However, there is one documented case of human-to-human transmission in Thailand. It remains a curious fact that most people who have worked with poultry infected with the bird-flu virus, culling infected birds for example, have not become infected--a fact that no one seems able to adequately explain.

The antigenic changes (that is, changes in the exterior proteins--Hemagglutinin and Neuraminidase) in bird and human influenza viruses go on year after year. Annual influenza outbreaks typically do not cause severe illness and death, because people have built up natural immunity to the viruses over a period of years. Rapid spread of H5N1 viruses between humans, on the other hand, will led to explosive global expansion in which everyone is at risk for infection, illness, and death because of a complete lack of natural immunity to the virus.

Because avian influenza or ""bird flu"" is much more deadly than the regular annual flu in humans, coupled with the high infectiousness of influenza viruses in general, a bird-flu pandemic is potentially very deadly, causing many tens--or even hundreds--of millions of deaths across the globe. In September 2005, Dr. David Nabarro of the World Health Organization (WHO) stated, ""A new pandemic would claim between 5 million and 150 million people.""

Once a flu pandemic starts, everyone will be at risk of getting pandemic flu, because no one has natural immunity to the virus. However, certain groups may be at greater risk of dying than others. There are strong indications that the coming bird-flu pandemic may be similar to the influenza pandemic of 1918 and, if so, healthy adults would be most at risk of dying, along with pregnant women and the elderly.

Why are healthy adults at greatest risk? It appears that the H5N1 bird-flu virus causes a massive immunological response against the virus in those with the strongest immune systems. Unfortunately, this causes the release of human enzymes called ""cytokines,"" which destroy lung cells along with viral particles. This, in turn, causes a deadly outpouring of fluids into the lung, which interferes with the exchange of oxygen and carbon dioxide. This reaction is frequently fatal. There are few effective treatments--one of the only treatments available is to place the patient on a ventilator, a mechanical respirator. Even with this treatment, patients often die from complications.

Bradford Frank, M.D., M.P.H., M.B.A. The Frank Group P.O. Box 138 Lakewood, NY 14750 www.AvoidBirdFlu.com

About the author: Bradford Frank, M.D., M.P.H., M.B.A. The Frank Group P.O. Box 138 Lakewood, NY 14750 www.AvoidBirdFlu.com

7 Stress Saving Strategies for Beating the Small Business Cash Flow Blues

2009-01-24T03:04:00.000-08:00

Author: Caroline Jordan MBA

Small business owners can relieve a lot of their own cash flow problems, according to Caroline Jordan, small business advisor and author. ""Small business owners have more control over their cash flow than they realize."" says Jordan.

To help you get a jumpstart on solving your own cash flow woes, Jordan offers a free, ""Cash Flow Master checklist"" that you can get by sending a blank email to TheJordanResult-110571@autocontactor.com. Jordan also suggests the following tips to help you understand why cash flow problems plague 66% of small businesses.

1. Avoid the dreaded ""Fly by the Seat of Your Pants"" accounting method.--Businesses need to systematically track income, expenses, accounts receivable, and accounts payable. If you only know how your business is doing once a year at tax time, you're bound to end up deeply mired in the Cash Flow Swamp.

2. Developing ""Strength in Numbers""--Once you have your accounting system in place you need to learn what the numbers are telling you and how to use those numbers to manage and grow your business.

3. Keep tight control of credit--Business owners can get themselves in credit trouble two different ways; poor credit granting practices and shortsighted use of credit from banks, credit cards, and vendors.

4. Be sure your Receivables and Payables ""play nice"" together--The money owed to you by your customers should arrive in time for you to pay your vendors and your employees. When your customers take 60 days to pay and your vendors want to be paid in 30 days, you can quickly end up with a Cash Flow Crunch.

5. Make decisions based on Cash Flow not Profit--Many businesses that fail are profitable when the doors close. What those businesses don't have is CASH. When you pursue that big, juicy contract or think about hiring another employee, always ask yourself ""What will this do to my cash flow?""

6. Don't forget your debt to society-- Some bills are easy to forget. Bills like sales tax, payroll taxes, and estimated taxes. Ignoring them doesn't make them go away. Planning ahead makes the bite easier to take and keeps your from suffering Tax Day sticker shock. Scrambling to find money for taxes causes major cash flow problems.

7. Don't spend your company's future on a speed boat--Everybody loves toys. Don't make the mistake of thinking all the profits of your business are ""fun money"". You've heard it many times from personal financial planners that you should have enough cash put aside for six months of expenses. This is true for your business, too. Sales ebb and flow. Expenses rise. Customers leave. Vehicles break down. Computers fry. The number one rule of small business is ""Stuff Happens"". Having a reserve of cash keeps your cash flow from tanking every time a new challenge appears.

Is It Recess Yet?!?! Confessions of a Self Employed Workaholic

2009-01-23T03:04:00.000-08:00

Author: Caroline Jordan MBA

I have a confession to make. My name is Caroline and I'm a workaholic. I try to pretend I don't have a problem. I try to cover it up. But, in the end I'm faced with the cold hard truth that I am a person who works too much. I even tried to take work with me on my honeymoon! (I got busted!)

Not only do I work too much, when I'm not working I'm thinking about working--How can I use this new idea to help my business and my client's businesses? How can I make this task simpler, less time consuming? How will that news story I just read impact small businesses? My mind is constantly clicking away.

Oh, I know I'm not alone. There are many other self employed people in my little support group. In fact, another definition of workaholic might be ""Self Employed"". When you're self employed it's hard to take a break. It's not like you can punch the time clock and head home for the day. Your business is always with you. Especially if your office is in your home.

I am very aware of the toll self employment can take on a person's life. But, I also know that like Stephen Covey says, you have to sharpen the saw. Trying to work when you're overtired takes twice the effort for half the result.

So I like to think of it in terms of grammar school. You work really hard and then the bell rings and you get to go outside for RECESS!! Take a walk or a run, play with your kids or your friends or your pets, change your perspective by hanging upside down on the jungle gym. When you go back to work your mind and body are refreshed, you're less stressed, and you're better able to focus and be productive.

I'm told the brain only has the capacity to focus intensely for 90 minutes at a stretch. Then, it needs to reboot. The most important thing to remember is... RIIIIINNNGGGG! Oops! Sorry, I have to go play outside now, its RECESS time!

(Seriously, take a break. If you stop for ten minutes, the world will still keep turning. And you'll be more productive and focused. Enjoy.)

A Day in the Life of a Self Employed Professional

2009-01-22T03:04:00.000-08:00

Author: Caroline Jordan MBA

It's Monday morning and Connie the Consultant sits in her executive office chair overseeing her business empire. Her desk is strewn with half finished projects, several weeks worth of to do lists (none of them completed), scribbled post it notes, and a permission slip for her daughter's field trip to the Planetarium that should have been turned in last week. Somewhere, buried deep in the rubble is Connie's business plan. The last time she saw it was during the Clinton Administration.

The phone rings. She checks her caller ID and groans. It' Dee Dee Demanding calling again, wanting to make one more change in the project that should have been wrapped up a month ago. Connie scribbles Dee Dee's current list of demands on yet another post it note. She hopes this will be the end of the changes so she can finally get paid for the project. She sure won't be making a profit on THIS project.

Connie picks up the Joann Marden file to find the notes from their last meeting. She looks through the entire folder twice--no notes. She starts to dig through the stacks on her desk muttering, ""I had it in my hand, where did I put it, I just saw it, where can it be?""

The phone rings again. This time it's a telemarketer wanting to sell Connie a vacation trip. Connie laughs and says, ""No sense calling me, I'm self employed. I don't get vacations.""

She thinks back for a minute to when she became self employed. She actually believed she'd be able to take time off whenever she wanted to. What a joke! Every time she thinks she can get time off, something comes up with one of her clients. Or the check she was expecting to receive didn't come in. Or, she didn't dare spend money because she didn't have any new projects lined up.

Her email dings and she stops to check the new message--a notice that her online credit card statement is ready. She clicks through and signs in. She sits back stunned, ""I spent HOW MUCH?! Shaking her head she goes back to work looking for the notes from the meeting with Joann Marden. Instead she finds the estimated tax payment that she should have sent in a month ago. She groans and checks the clock. It's nearly lunch time and she's accomplished nothing so far.

Another email comes in. It's a newsletter from a small business expert telling her she needs to work ""on"" her business, not just ""in"" her business. ""Yeah"", she says, ""I've got all kinds of time to learn about working ""on"" my business. Right after I find the Marden notes, make the umpteenth change on Dee Dee's project, and get these proposals done that have been sitting on my desk for three weeks.""

She hits the delete key and goes to lunch...

About the author: Caroline Jordan, MBA helps self employed professionals find the cure for ""business as usual"". Visit www.TheJordanResult.com for strategies and resources to help you Get Knowledge. Get Focus. And Get Results.

Solving the Late Paying Customer Blues

2009-01-21T03:05:00.000-08:00

Author: Caroline Jordan MBA

Nothing can drive a business down faster than customers who don't pay their bills as agreed. When you sell to customers on credit you are making an agreement with them. You will provide them with goods or services in exchange for their payment within the terms you agree upon. Period.

What I'm seeing more and more of is businesses using their suppliers as banks. Taking 60-90 days or more to pay a bill is becoming more and more common. I've seen some business owners shrug their shoulders and just accept that nothing can be done about it. That's just the way it is.

Naturally, I disagree with that approach. The reason you grant credit is to increase sales. But, the sales you want more of are the sales that pay and don't drag your business kicking and screaming into the Cash Flow Swamp.

So, what's a business owner to do?

Late paying customers can create a serious threat to the survival of your business. Whether you're just starting out or you've been in business for awhile, it's a critical business function to develop a solid plan to get paid.

Here's an example of a solid plan:

You decide your business will not grant credit. You decide to be paid up front before you provide services or products. You get set up to accept credit cards or use Paypal (or both). You communicate in no uncertain terms (nicely but firmly) what your payment terms are. You explain that payment is due before (or at) the time of service or purchase and that you accept cash, checks, money orders, credit cards and Paypal. Period. Then, you stick to it with no exceptions. You make that a condition of doing business. Communicate it firmly and respectfully. Don't waffle or apologize. People who take advantage of others can sense weakness. So can people who always have a tale of hard luck and woe. It's human nature.

Remember, late paying or nonpaying customers are endangering the survival of your business. These are not the customers you want to do business with. You'll have nothing to show for your work but stress and poverty. If you want to do some of your work for people in tough situations, donate your time but do it with the understanding that the majority of your time has to be spent on work that pays.

If you're working on a big project, set the expectations before you start so that a condition of doing the project is incremental payments. A percent before you begin, a percent during the project at specified intervals, and the remainder due on completion. This gives you the option of stopping work if you're not getting paid. As with all areas of business, the best Defense is a good Offense. Set the standard for how you'll be paid, communicate it, and stick to it.

About the author: Caroline Jordan, MBA helps small business owners understand, diagnose, and improve cash flow in their businesses. For more information and free resources to improve cash flow visit http://www.TheJordanResult.com/mastering.html.

The Care and Feeding of Your Small Business

2009-01-20T03:06:00.000-08:00

Author: Caroline Jordan MBA

While I was hard at work last week, an everyday drama was playing out in a hospital room in the next town. My niece was working on presenting me with a new great nephew. Tyler James came into the world Thursday afternoon, mother and child are both doing well. Naturally, I am able to discern at this early stage that the child is adorably cute, remarkably bright, and very advanced for his age. Takes after his Great Aunt, I'm sure.

Now, watch how I turn this blessed, private family event into a small business parable--hopefully the child didn't inherit my one track mind.

Young Tyler received the pre-birth gifts of two pairs of baby shoes. Then, he was born with big puppy feet. Already he has outgrown at least one pair of his new shoes. By the end of the week, I suspect the other pair will be much too snug as well. Two things are sure with babies and small businesses, Growth Happens and Change is Inevitable. Your infant soon becomes a toddler who soon becomes an adolescent. Each stage of growth brings different challenges and opportunities.

The key is to anticipate the growth before it happens and prepare for the challenges before they develop. Tyler, like your business, will grow. His needs will change and his parents will need to change with him. Many of the challenges to be faced are not anticipate-able. But many are.

When you start your business, your main concern is survival. Often small businesses don't make it through the first year and by year four many more have succumbed to the pressures and harsh realities of the small business climate. It is classic Darwinism--survival of the fittest at its most basic level. Businesses that are well capitalized, well run, serving flourishing markets, and executing a solid business plan have the best chance of survival.

And then there is the rest of us. Struggling along, trying to figure things out as we go. Anticipating the changes makes the trip much easier, and makes for successful businesses. My own business has taken just such a trip over the years. And yes, I have many ""if only's"". If only I had done this then, how much farther along my business would be. If only I hadn't handled that situation like that, how much better my business would have run. Sometimes the ""if only's"" outweigh the successes.

Consider the stage your business is at. Is it a newborn needing protection and nurturing? Is it struggling to stand on its own feet? Is it rocked by rapid fire changes and needing a firm foundation? What can you do to help your business through whatever stage it is in? What can you do to prepare your business for its next phase of life?

Your business and my nephew will go through predictable growth stages. Business owners and parents each start out with the wonder and excitement of new birth, struggle through the early work-intensive years, seek balance during the intermediate years, get tossed about by the turbulence of adolescence, and someday, through the grace of God, are able to stand back and say, ""My work has paid me handsomely.""

Another Commercial? Don't Touch That Dial! Watch & Learn

2009-01-19T03:05:00.000-08:00

Author: Caroline Jordan MBA

When commercials come on the television do you get up and head for the kitchen to get a snack? Do you tune out the radio when commercials start? Do you skip over advertisements in newspapers and magazines?

If you do, you're missing a golden opportunity for increasing your business.

When you pay attention to ads, you can very quickly pick out ads that are effective. How do you know?

*Do you understand from the ad ""what's in it for you""?

*Does the ad make you want to find out more?

*Does the ad touch your emotions?

When you start to notice ads, and more importantly notice the effective ones, you can use those ads as a basis for your next ad campaign. When I see an ad in a newspaper or a magazine that I think really does a good job, I tear it out and put it into what marketers call a ""swipe file."" Now, that's not to say that you take someone else's ad and paste your name over theirs, and use it as though it's your own. Study it and try to define what it is that makes it a good ad. Then find a way to introduce similar aspects into your own advertising.

Here are a couple of examples from my local market...

A CPA firm ran an ad that said, ""Your Profit is Our Business."" Okay, I understood where they were going with this. But, it made me feel uncomfortable--my profit isn't anybody's business but my own. Maybe that's just me and others took it in the spirit in which it was meant, but for me it didn't work.

A jeweler's ads say over and over ""We really want to be your jeweler.""

This is brilliant. I know beyond a shadow of a doubt that Stan Pollack really wants to be my jeweler. Actually, it's not me he wants as a customer--if he had me for a customer he'd starve. What Stan wants is to develop life long relationships with people who make multiple jewelry purchases. He does a great job of articulating that and repeating it over and over.

Now, if the CPA firm had said to me ""Small Business Owners, Do You Want to Keep More of What You Make?"" they would have been speaking my language.

Stop and check out the ads, watch a few commercials, tune into a late night infomercial and study the techniques they're using to attract their market. Which tactics could you apply in your own business? What message do your customers want to hear from you?

The Deception Perception: Pay No Attention to the Man Behind the Curtain

2009-01-17T03:05:00.001-08:00

Author: Caroline Jordan MBA

The Deception Perception

Without a doubt, people would rather do business with someone they know, like, and trust. Credibility is critical. This is especially true conducting business on the internet where people never actually meet face to face. Building a sense of trust with your customers takes time. And, it's one of your most valuable assets.

Pay No Attention to the Man Behind the Curtain

I recently had the opportunity to hear a well known internet marketer speak. It was a great presentation, chock full of all sorts of useful tips. I was very impressed with all he had to say so I went to his website and signed up for his newsletter. He sent me an email (by autoresponder, of course) saying he had set up a special call for his newest subscribers to give us more great tips. All we had to do was dial in at a certain time for a teleseminar. He sent me a followup email reminding me and saying again how much he appreciated having me on his list. He looked forward to having me on the call.

So Far, So Good.

Last night, I dialed in at the scheduled time (after rearranging my schedule to do so). The gentleman came on and said he'd be with us in just a few moments, he was gathering up his notes. Then, he came back on, told us because of the number of people on the call, he had us all muted and there wouldn't be time for any questions. He went on to deliver some great information followed by a sales pitch.

The Problem.

One small, tiny, little problem. He wasn't really there. It was a recording. Now, if I had known it would be a recording, it wouldn't have bothered me a bit because the information was good. But, being led to believe it was live, being given a bit of a smoke and mirror show, changed my perception of the man and his products. If this teleseminar was smoke and mirrors, are his products smoke and mirrors, too? Is it all just a slick manipulation to sell products that don't work?

I certainly don't want to spend money on a product that teaches me how to be slick and deceptive.

The Moral of the Story

Seemingly harmless deceptions create a lack of trust for customers who are quick to look elsewhere for more trustworthy solutions.

About the author: Caroline Jordan is a small business wizard who doesn't hide behind curtains or conduct smoke and mirror shows. She gives self employed professionals straight up advice on how to grow their businesses, improve their cash flow, attract customers they enjoy working with, and develop additional revenue sources. For more tips and strategies for success visit http://www.TheJordanResult.com

5 Steps to Successful Small Business Promotion Through Newsletters

2009-01-16T03:04:00.000-08:00

Author: Paul D. McDonald, MBA

Virtually all small businesses need to create new customers and strengthen their bonds with existing customers. One very effective way to do this is through the use of newsletters.

I have found that there are five simple steps to creating a successful small business newsletter.

1. Have a mailing list

If you have been in business for a length of time, you probably already have the workings of a mailing list through existing customers and prospects. If you are new in business, there are many suppliers of mailing lists in the marketplace. It's a good idea to start small and test the receptiveness of your newsletter and your current client and prospect list is a great place to start. Contact me if you need any help in creating a list. I have software that can generate lists easily and will be happy to help you for a nominal fee.

2. Have a newsletter template

Microsoft Word is a very easy way to create a newsletter. The attached sample newsletter (Annuity Opportunities) was created exclusively in MS-Word. If you desire to create a more robust newsletter layout, Microsoft Publisher is also excellent. Contact me for a copy of the template and I will send it to you by email (paulmcdonald@sbcglobal.net).

The mailing method that I recommend involves uploading documents to the United States Post Office website. This service requires either Microsoft Word documents, or Adobe Acrobat Reader documents. If you mail the newsletters yourself, you can choose any method you desire.

3. Get some articles

""Where am I going to get the articles?"" that's always the question for small business owners. Generally, they don't have time to write the articles themselves.

There are many great sources of free and low-cost articles that you can obtain the rights to re-print. One easy and free source is GoArticles (http://www.goarticles.com/) that provides free to re-print articles on a variety of topics. When you choose this approach, you will need to include a ""resource box"" with your article that contains contact information of the original author. For a start-up newsletter, this is a great way to go because it keeps the cost down, but be sure to read the articles closely--some of these articles are very good and some are not. Remember, it's YOUR newsletter, not theirs!

Another free source is to network with a local college and offer unpaid internships for writing articles through the school's advertising department. You could also offer a stipend if it is in your budget. Many students will be happy to write for the experience and even more will write for a very small amount of money.

A third source is to hire someone to write the articles for you. While this is more costly, you will most likely get a better article. Part of the fee you pay will be that you own the ""rights"" to the article and do not have to list the contact information of the original author and it appears as though you are the author yourself. This is called ""ghost writing"" and it is very popular among many famous authors.

A fourth source is to contact your vendors. Often times, they have ready to print what are called ""byline articles"" that you can add in your newsletter.

Or, you could write the articles yourself. This is really not the preferred way for small businesses because of the time involved. However, it is an option and does bear mentioning. If you use a re-print service like GoArticles, you might want to have at least one of the articles written by you and two or three other articles by other people.

4. Create a schedule

How often do you publish? This is up to you, but most studies show that a monthly newsletter works well. This keeps your business in front of your prospects and customers once a month in a non-threatening manner and at the same time allows for a month to prepare the publication. Choose a schedule that works for you, but remember that it is far more important that you stick with that schedule! Creating a monthly newsletter for a few months and then stopping may have the opposite effect.

How many articles per newsletter? A good and simple newsletter can work with three or four articles on three or four pages. In the sample I give, I use three pages and reserve the fourth page for the mailing information at the printer. You don't need to ""cram"" the newsletter full of information--just give a newsletter that is easy to read and has useful information.

5. Send the newsletter out

I use the United States Postal Service website for uploading the newsletter and mailing. It is easy to register an account and upload not only the newsletter but also the mailing list. They print it, they send it. I can even schedule when I want a newsletter to go out--with this tool, I can create three or four monthly newsletters all at once and schedule them to be mailed out several months in advance. This way, I don't miss a scheduled mailing.

On Friday, March 03, 2006 (after a recent postal increase), I ran a simple quote of a 3-page newsletter in black and white on 8 ½"" x 11"" paper--the sample ""Annuity Opportunities"" newsletter. I can send this newsletter to 100 recipients for $43.30 or to 1,000 recipients for $433.00. That averages out to just over $0.43 per contact, including printing costs.

There are other options with this service, including color printing, more pages, etc. The option selected is what they call ""Flyer"" or ""Self-Mailer"" and it is usually the option I use. You can also send these newsletters out by fax, e-mail, or create a blog on the internet either in addition to or instead of mailing through the post office.

There you have it--5 steps to successful newsletter creation and business promotion!

About the author: Paul D. McDonald, MBA, is in business in Overland Park, Kansas. He specializes in Life Insurance, Annuities, and Long-Term Care Insurance. He welcomes contact at 1-877-711-1264 (phone or fax). He maintains several financial and business websites at http://seniorfinances.blogspot.com/, http://smallbizfinance.blogspot.com/, and http://small-biz-center.blogspot.com/.

Tell Me a Story: A Simple But Powerful Tool to Build Your Business

2009-01-15T03:05:00.001-08:00

Author: Caroline Jordan MBA

Everyone loves a good story. Whether it's the story of your vacation to an exotic place, the story of how you met your spouse, or the story of your small business, people get drawn in and feel involved. Storytelling is as old as civilization itself.

I participated in a seminar a couple of weeks ago and met Rob Nicoll the owner of a Meadery. ""A Meatery?"" I asked. No, a Meadery where Rob makes mead, honey wine, and cordials. The name of his newly developing business is Fiddler's Reach and it's located on the coast of Maine.

One thing I've found in talking to people all over the country is that the very mention of the word ""Maine"" evokes an immediate positive response and adding ""coast of"" in front of it increases that positive response. It calls to mind rugged granite, crashing waves, soaring seabirds, sturdy lighthouses, wild sea roses, and a feeling of peace and ease.

As I talked with Rob about his business, he spoke of tying his business story into the mystique of the coast of Maine. The name of his company, Fiddler's Reach, comes from the name of a sharp turn in the river that ships have to navigate to finish their sea journey.

In days of old, once a ship came safely through Fiddler's Reach, the journey was nearly done, the work slowed down, and the sailors had time to relax and anticipate the joy of homecoming after long months at sea. And that is when the fiddler would reach for his fiddle and the sailors would dance, sing, and laugh.

What an appropriate story for a business specializing in an old fashioned beverage designed for enjoyment during times of relaxation. Envision how Rob can use all those images in his marketing--package design, sales letters, advertising, letterhead, etc. Ships and waves and fiddles and joyous homecomings on the coast of Maine. It ties into the longing we all have for a little rest and relaxation. It transports us to another time when life seemed simpler and less hectic. A magical time when the plaintive sound of a fiddle expressed our homesickness and a joyful tune spoke of coming home to a well loved place. I'll take a case of that!

Engaging your customers through story telling makes them feel as though they are a part of something greater than themselves. It lessens the loneliness of an uncaring world and provides a momentary escape from reality. What stories can you tell about your business that make people say, ""I'll take some of that!""

Stitching Up a Niche

2009-01-13T03:05:00.001-08:00

Author: Caroline Jordan MBA

I am a great admirer of businesses that serve and market to one or a small number of niches. It's such a great business model and one of the fastest ways to grow a business. I know one marketer who develops websites exclusively for life coaches, another business that develops marketing programs for the spa and pool industry, and another business that specializes in providing tax services for clergy. And they're all busy!

When they develop their marketing materials, services, and products, they are able to speak to a very specific segment of the population. Niching allows them to ""go deep"" into the needs and problems of one particular profession or demographic. For example, clergy have very specific tax situations with their pay, housing allowances, and Social Security taxes. A tax preparer specializing in this market can market to a very specific segment of the population (members of the clergy) with a specific set of challenges (specialized tax rules applying only to clergy). I have also seen a similar service for truck drivers who have specialized tax rules, too.

Recently, I have discovered a new medium aimed at one of my favorite niches--quilters. I have a confession to make...When I'm not helping my customers grow their businesses, I can usually be found stitching away on my sewing machine. (Hi, my name is Caroline and I'm a quilt-a-holic.)

The new medium is an online Quilters News Network. A 24/7 internet based television network of quilting shows, tips, and, of course, advertisements for all the things quilters love. I heard about it from another quilter and as soon as I discovered it, my productivity dropped like a rock off the top of the Empire State Building. Did I mention it's all quilting all day, right on my computer screen? What's a quilter to do?

The quilting community is a great example of a profitable niche. Whenever I go to my quilting group or participate in a quilting event, I pick up a new tip, learn about a new tool or pattern, or meet a new quilter. And we talk. A lot. ""Have you been to the new quilt store?"" ""Have you seen this new tool?"" ""Have you tried this pattern?"" Word spreads like a wild fire through the quilting community when we find something new that we like.

The quilting niche is made up of 22 million happy quilters. It's subdivided into any number of smaller niches--traditional appliqué, machine quilting, hand quilting, trapunto, redwork, etc. It is a hungry market--we can't get enough fabric, tools, and patterns.

What hungry markets can you tap into to build your business to the next level? Serving a niche is the difference between trying to find a needle in a haystack or walking into a room full of quilters and offering them a good deal on sewing machine needles. Which one will give the greatest return on your investment?

About the author: Caroline Jordan, MBA would like to find more time for quilting, if only she wasn't so busy serving her niche, self employed professionals who struggle to attract clients they enjoy, improve cash flow, develop additional streams of revenue, and create a more successful business visit http://www.TheJordanResult.com for more tips and strategies.

Freedom of Speech and Religion Doesn't Mean Keeping Us From Religion

2009-01-12T03:04:00.001-08:00

Author: Paul D. McDonald, MBA

""Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech, or of the press; or the right of the people peaceably to assemble, and to petition the government for a redress of grievances.""

Why is school prayer illegal? I understand that ""forcing"" someone to pray is illegal and wrong (and I don't think God wants it that way anyway), but why is voluntary school prayer illegal?

I am told that it makes other people ""uncomfortable"" to experience others praying so school prayer is illegal.

So then Congress passed a law saying that school prayer is illegal--thus prohibiting the free exercise of religion.

We should all be free to exercise our religion. In fact, if you go around society today you find a welcoming of virtually every religion available--except Christianity.

If somoene wears a ""pro-choice"" t-shirt at a ""pro-choice"" rally, they get glorified on the news for speaking out. If someone prays for the baby being aborted, they are branded a lunatic.

We Christians are not supposed to exercise our faith in public. Others are protected from us celebrating our holidays publicly. Others are ""protected"" from hearing us pray aloud or watching us pray in silence. Yet we are not protected from sexually-oriented Super Bowl ads...

The problem is simple: our current society is slating the First Amendment towards those who oppose Christianity and away from Christianity. It is a frightening trend to prohibit the free exercise of religion--my religion--but to allow all others but mine.

About the author: Paul D. McDonald, MBA, has consulted with churches on growth and management of the ""business aspects"" of running a church. Visit http://wreach.blogspot.com/ to learn more.

How to Create a One-Page Business Plan

2009-01-10T03:05:00.001-08:00

Author: Paul D. McDonald, MBA

I shared the idea of this article with a friend from business school. ""Is this even possible? Create a one-page business plan?"" We had an entire course for MBA school called ""Business Planning Seminar"" that required us to team up in groups of three to five to write a business plan over the course of the term. Everyone, including us, turned in a business plan of at least forty or fifty pages.

I'm not talking about a business plan that you turn over to investors or bankers. I'm talking about a real business plan--one that you can actually implement. What most people think of as a ""business plan"" is really a highly-detailed business sales pitch. A true business plan is something that you can look at every day and follow. That means it needs to be short. In his book Selling the Dream, Guy Kawasaki calls these ""evangelism plans"" because you are ""evangelizing"" your cause.

Okay, they're the same thing.

Long Mission Statements

First thing you need is a mission statement. Have you ever looked at some organizations mission statements? Just look at this example that I found on the web for the National Weather Service:

""The National Weather Service (NWS) provides weather, hydrologic, and climate forecasts and warnings for the United States, its territories, adjacent waters and ocean areas, for the protection of life and property and the enhancement of the national economy. NWS data and products form a national information database and infrastructure which can be used by other governmental agencies, the private sector, the public, and the global community. ""

This is one of the shorter mission statements I found! While it is nice and certainly all ideas contained are good ideas, it's just too darned complex--and there is no emotion involved.

Want to have some fun? Go to the ""Dilbert Mission Statement Generator"" and play around. You'd be surprised how similar some of their ""joke"" mission statements are to real-world mission statements you can find in annual reports and on corporate plaques around the world. http://www.dilbert.com/comics/dilbert/games/career/bin/ms.cgi

Mission/Objective/Strategies

Guy Kawasaki was very simple in his method. Have a short mission statement supported by a few objectives and each of those objectives are supported by a few strategies. Write it up in outline form and you have a business plan that you can use right away. I could explain more, but it would be much easier to just show some examples.

SAMPLE: National Weather Service (my version)

Mission: Let people know what the weather will be Objectives 1. Provide fast and accurate forecasts that affect US and US territories 2. Protect life and property and the enhancement of the national economy 3. Record and retain historical weather information for public use

Strategies for Objective 1 1. Weather forecasts 2. Hydrologic forecasts 3. Climate forecasts

Strategies for Objective 2 1. Have an easy-to-understand system of communication of severe weather warnings 2. Ensure that the system is prompt and reliable when it is needed 3. Communicate the use of the system to everyone

Strategies for Objective 3 1. Work with other government agencies, the private sector, the public, and global community 2. Create a method of storing and managing the data 3. Provide training for the use and understanding of the data

Which do you like better, theirs or mine? Remember--I don't know anything about forecasting weather other than what I see on the news. Someone who understands weather could come up with a much better plan than I did using this format.

Sample: My business

Mission: Give time back to people so they can focus on what is important to them.

Objectives 1. Personally serve 100 ideal clients 2. Improve my ability to provide for my clients 3. Recruit and train new representatives to the cause

Strategies for Objective 1 1. Conduct personal values-based interviews 2. Use direct mail and personal networking to find prospects 3. Work with those who ""get it"" and refer out those who don't

Strategies for Objective 2 1. Training on products, skills, etc. 2. Seek new helpful services, products, and people 3. Passionately pursue client feedback

Strategies for Objective 3 1. After 75 ideal clients are located, begin searching for apprentices 2. Train the apprentices using new clients over the initial 100

Conclusion

Look, there's two simple business plans on one page! Yes, there could be more detail, and yes, maybe you look at them and don't quite understand or agree with every point... but you don't have to understand someone else's business plan--you only need to understand your own business plan.

Use these plans as a guide to begin working on your own one-page business plan--a plan you can actually implement and work on every single day.

It's Not What You Sell it for that Counts, It's What You Buy it for

2009-01-09T03:04:00.001-08:00

Author: Paul D. McDonald, MBA

Those of you that know me probably know that I worked my way through college in the music industry. Not as a performer, but in sales. I sold pianos in Manhattan, Kansas. It was fun and I learned a lot.

The owner of Mid-America Piano & Organ was (and still is) Dan Murphy. Dan had two uncles in the area also that were in business--Uncle Charles and Uncle Fred. Charles Schurle owned a janitorial supply company (to my knowledge he has now retired) and Fred Schurle owns and operates Mid-America Office Supply. From Dan, Charles, and Fred, I learned one of the most important rules in business--It's not what you sell it for that counts, it's what you buy it for.

The Importance of ""Buying Right""

Here's a real simple example using hypothetical numbers. Let's say that you and I are competitors, and we're both in the piano business. You've got a prospect, I've got a prospect. You got a piano, I got a piano. And let's say that you got your piano wholesale for $500 and I got my piano wholesale for $400--but for all practical purposes they are identical in features and quality. You might price your piano at a retail price of $1,200 and mark it on special for $1,000. I'll do the same: I price my piano at retail price of $1,200 and put it on sale for the same $1,000.

Now the real catch isn't that I'll actually sell my piano at $1,000 and make $600 compared to your $500--that's not what's so special about ""buying right."" What really matters is that if I need to, I can come down on my asking price to give a better offer to the customer.

It's in the Ratios

When I come down on my price to sell my piano for retail, I obviously want to come down as little as I need to in order to make the sale. But let's say that things are really competitive. I have so much more room to negotiate in price because I have less capital in the original purchase.

Most people would look at this situation and think that I could come down $100 in my price to $900 and make the same amount as you... we'd both make $500. While that math is true, I would be making more. I would make a greater percentage on the sale. A higher ""cash on cash"" return. At your price of $1,000, you are doubling your money in the transaction. If I wanted to match you for profitability, I could lower my price to $800, or be 20% less than your retail price and make the same return!

More Customers

Make no mistake about it, if you sell your piano for $1,000 and I sell the same piano for $800, I'll make more sales than you. I'll have more profit than you. I'll get more referrals than you. And, of course, I'll make more money than you.

Less Risk and Less Capital Tied Up

But that's not all. I'll have less risk than you. I'll have less money tied up in inventory than you will, thus allowing me to gather more inventory for a wider selection or otherwise use that capital in fixtures or other areas of the business. I'll have less money sunk into inventory for the same amount of inventory, and any business owner will tell you that's always a good thing.

Faster Inventory Turn

Because I have the ability to lower my prices more, I can sell more quickly and thus turn my inventory faster than you. The faster I turn my inventory, the more return I can get in a year's time and the greater profitability I have in business.

How to Buy Right

Here are some pointers on learning to ""buy right."" 1. Ask. Don't be afraid to ask for a discount. Once, Charles Schurle got Wal-Mart to come down on their price of garbage cans (he was buying 20) and I have gotten Sears to come down on the price of clothing (a sale was starting the next day and they gave me tomorrow's sale price). If they will do it, so will others.

2. Shop. Shop around with other suppliers. Get bids from other suppliers. Have them submit those bids in writing. Also, look for alternate sources (auctions, classified ads, even other businesses in your industry--you might have the buyer for a product that they can't seem to sell.)

3. Pay Cash. There is no substitute for cold-hard cash in negotiating power. I'm not saying pay by check--use actual cash. Buying furniture? Wave about three thousand in cash in front of the store manager. Say something like, ""I know you are asking four thousand for this furniture set. Which would you rather have, this furniture set or this three thousand dollars in cash?"" You'll probably get the deal.

4. Buy in Volume. You'll be more likely to get a discount if you buy large quantities (either immediately or over time) than if you buy only one.

5. Be Prepared to Walk. This is harder than it sounds sometimes. If they don't take your offer, be prepared to walk away. That doesn't necessarily mean that you do walk away--just that you know that you can at any time.

6. Move quickly. The longer you take to negotiate, the less likely they will be to come down in price. Offer a low-ball price to move fast so they can move on to another customer.

7. Be a Great Customer. Offer to give referrals to your supplier. Pay on time, as agreed. Promote your suppliers business in any way that you can.

8. Play Fair. If you don't play fair, they won't want to do business with you long-term. Sure, you might take advantage of the moment, but you might also burn your relationship with the supplier. They have to make money too.

Now it's your turn

Now it's your turn to be the business owner that buys right. Negotiate. Ask for a lower price. Shop with other suppliers and get quotes. Take a course on negotiation.

Sure, every business could use more sales and more sales skills. Selling is important, and no profit will be made until a sale is made. But BUYING RIGHT will allow your salespeople to be more competitive, more flexible, and more profitable in the marketplace. There is no substitute for buying right.

It's not what you sell it for that counts, it's what you buy it for.

Is It Time to Send Your Out-of-control Small Business to Brat Camp?

2009-01-08T03:05:00.001-08:00

Author: Caroline Jordan MBA

Remember when your business was an infant? It was cute and cuddly and lots of fun. But somewhere along the way the infant became an out of control adolescent and started ruining your life. Is there any hope or should you just ship your spoiled brat off to Brat Camp?

Caroline Jordan, small business consultant and mentor, and owner of her own sometimes misbehaving business, The Jordan Result, has this to say about businesses that just won't behave:

""Building a business is a lot like raising kids. You have to keep the upper hand or you'll suddenly find yourself asking, 'When did I lose control?' I see many business owners who are frustrated and in despair over the way their businesses have taken over their lives. Many of us become self employed because we want more control over our lives but often what happens is the business takes over and business owners find themselves working constantly and never feeling like they're getting anywhere.""

Jordan offers these tips for owners of bratty small businesses:

1. Take a time out. You can't think clearly if you're in the midst of chaos and despair. Go for a walk, have an ice cream cone, take a day off. The business will still be there when you get back.

2. Breathe and Count to Ten. When fear and desperation start to well up, you tense up and start feeling like your life is unraveling before your very eyes. No one ever makes good business decisions from a point of fear. Go do something that makes you feel confident.

3. Take your business out to the wood shed. You remember the woodshed? That place where you got an attitude adjustment...That's where your business needs to go. Remind it and yourself in no uncertain terms that YOU are the one calling the shots.

4. Set boundaries. Decide how many hours you can physically and emotionally work each week. Take the number of hours you can work and the tasks that must get done each week, decide which tasks have to be performed by you personally. Delegate the rest to an employee, a subcontractor, or a family member.

5. Remember what your real work is. When you're raising kids your real work is to teach them how to take care of themselves without you. It's the same thing with your business. Start to develop a plan to get your business to a point where it can operate even if you're not there.

6. Dealing with a whiny business. When your business starts whining and wheedling and trying to get you to let loose the reins again, sit it down and firmly explain that you are in charge and you are following a plan that you will not deviate from.

7. Call in the cavalry. If your business still won't behave, get expert help fast. Most business owners wait until too late to get help. Most business failures are preventable with early intervention.

About the author: For more tips on taking control of your business and becoming part of the ""No Business Left Behind"" club, visit www.TheJordanResult.com.

How the Humble Ice Cube Made Business History

2009-01-07T03:05:00.001-08:00

Author: Caroline Jordan MBA

Gather round while I tell you the story of Kennebec Ice. It's a story full of valuable business lessons even though it happened long ago.

Once upon a time, before the invention of modern refrigeration, folks kept their food cold by using large blocks of ice. That ice was readily available to residents of my state, Maine. (For my friends in other countries, Maine is the northeastern-most state, bordered by New Hampshire, Canada, and the Atlantic Ocean. We have very cold winters and the ice freezes deep into lakes and rivers.)

Now, residents of Maine didn't think too much about ice other than for their own use. Ice was just a part of life, no big deal. During the economic depression that followed the Civil War, ship's captains in Maine had a hard time finding enough cargo to fill their ships. To compensate for the lack of cargo the ship's crew substituted large blocks of Maine ice to act as ballast. The ice was covered with sawdust to help slow the melting process. This need for ballast created a new market for ice.

When the ships arrived in tropics and sub-tropics, it was discovered that the ice being used as ballast was a valuable product to the residents of those regions. They were willing to pay for that ice. Cutting and shipping ice to other parts of the world became an industry for Maine. This new market saw ice being shipped to China, India, Cuba, and many other places.

Now, somewhere along the way, through some clever promotion, the ice harvested from the Kennebec River in Maine became known as ""the best ice"". Consumers thought it was higher in purity and health benefits. There are many rivers and lakes in Maine, all of them produce ice. There really wasn't much difference at the time, all the lakes and rivers were clean enough to drink from, but the perception was that Kennebec Ice was the best. People were willing to pay more to get it.

Because Kennebec Ice was the best, ice companies all over the world started referring to their ice as ""Kennebec Ice"" even though their ice might come from Kansas or New York. Kennebec Ice was the gold standard for ice.

And then along came modern refrigeration. The ice industry died out and Maine residents, who are always resourceful, moved on to other industries to support their families.

So, here are our modern day business lessons from the story of Kennebec Ice.

1. One product can have many markets and uses, even a product as simple as frozen water.

2. The things we take for granted may be valuable to others.

3. Becoming the gold standard increases business and allows you to charge a higher price.

4. It's important to protect your brand to keep it from being cheapened and compromised by others.

5. Watch for trends that tell you it's time to get out of the ice business and develop new products or services.

Of course, the ice business is still alive and well in the modern world, driven by a new industry--tourism and recreation. So, next time you fill your cooler, think of the humble ice cube and the proud part it played in creating business history.

About the author: Caroline Jordan, MBA delivers icy cold business advice in a frosted glass to self employed professionals in the desert-parched land of business ownership. For more tips and strategies to create a successful, thirst quenching business, attract a deep pool of customers you enjoy, increase your cash flow river, and develop additional streams of refreshing revenue visit http://www.TheJordanResult.com

Bird Flu: Why Modern Medicine Won't Save Us

2009-01-06T03:05:00.001-08:00

Author: Bradford Frank M.D., M.P.H., M.B.A.

Very often when people begin to learn about bird flu, they jump to the conclusion that because medicine has advanced by quantum leaps since the 1918-19 influenza pandemic (global epidemic), there is nothing to worry about. They are certainly right about the advance of medicine, which has been extraordinary by any measure. Unfortunately, when it comes to dealing with a bird-flu pandemic, these advances fall short in many areas. To name the most significant: 1. Bird flu is caused by an influenza virus, for which there are only four approved antiviral agents in the U.S. The virus has extensive resistance to two of these medicines already, and resistance might develop in the remaining two once they are used more widely in a pandemic. The two remaining medicines, Tamiflu (oseltamivir) and Relenza (zanamivir), are in extremely short supply and, even with planned increases in their manufacture, will remain in short supply for many years to come. These medicines must be given within 48 hours of the onset of symptoms, which can be difficult to accomplish for a variety of reasons. Even when they are available and given on time, their effectiveness is less than 100 percent. And because bird flu is very different than the usual influenza we are used to, higher doses given for longer periods of time may be necessary for optimal effect. 2. While we have many wonderful antibiotic medicines, these are not effective against bird flu, because antibiotics treat only bacterial infections, not viral infections. Antibiotics can be used to treat bacterial infections that develop after viral infections have damaged the body, allowing bacterial infections to ""take over."" This can happen, for example, when viral pneumonia turns into bacterial pneumonia. However, this did not happen in the 1918-19 Spanish flu to any extent, nor in the 2003 SARS pandemic, and it doesn't appear to be a significant factor in the deaths that have occurred so far from bird flu. Hence all our sophisticated antibiotics will not be of much help with bird flu. 3. The most common cause of death from the 1918-19 influenza pandemic, the SARS pandemic, and from bird flu is acute respiratory distress syndrome (ARDS). The viruses from these diseases cause severe damage to lungs, which results in ARDS. Numerous treatments have been tried but generally have failed. Patients with ARDS require mechanical ventilatory support, meaning they need to be on a mechanical respirator. These are expensive machines, and the supply in the United States is only slightly above demand during the normal flu season. Simply put, when the bird-flu pandemic strikes, there won't be enough of these machines, and so people who develop ARDS will not have access to this potentially life-saving treatment. 4. There won't be enough isolation rooms to place the large numbers of patients with bird flu in, which will result in more people becoming ill through exposure to people with bird flu. Likewise, there won't be enough of some medical equipment, because of increased demand for some items coupled with decreased supply--because of our reliance on a global supply chain, foreign manufacture, and just-in-time delivery. There won't be enough personal protective equipment (such as disposable gloves, N95 face masks, gowns, face shields or goggles, head caps, and shoe covers), which will increase exposure and infection. 5. During the coming pandemic, there won't be enough beds in hospitals for all the sick people with bird flu. Makeshift ""hospitals"" will have to be established outside of existing hospitals to care for all the ill patients. 6. An effective vaccine has yet to be developed, and the chances that one will be developed before a pandemic emerges are practically nonexistent. Once a vaccine is developed, it will be months into the pandemic, and many people will already have become ill. Because we have no natural immunity to this new virus, we might need two immunization shots to develop sufficient immunity. This makes implementing an immunization program more difficult, and decreases the amount of vaccine available for everyone. Vaccines, like antiviral medicines, are not 100 percent effective in either preventing infection or minimizing symptoms once infected. A startling new report (a) found only limited benefit from influenza vaccines: ""In people over 65, the vaccines 'are apparently ineffective' in the prevention of influenza, pneumonia and hospital admissions, although they did reduce deaths from pneumonia a bit, by up to 30 percent."" According to the Influenza Vaccine Supply (IVS) International Task Force, ""Whatever scenario, even the most optimistic, the worldwide [vaccine] production capacity will be clearly insufficient in case of pandemic."" 7. Shortages of nurses and other healthcare personnel will be significant, because of overexposure to people with bird flu--and thus a higher illness and death rate among healthcare workers, and because a high proportion will simply decide not to come to work. A similar situation occurred in New Orleans during Hurricane Katrina when 250 members of the police department (one-sixth of the force) abandoned their jobs during the hurricane and flooding. It also happened in Toronto during the SARS outbreak, when some nurses and other healthcare workers submitted their resignations (although many were persuaded to stay). The shortage of nurses, which is already a big problem in the United States, was highlighted recently by Keji Fukuda of the influenza branch of the Centers for Disease Control and Prevention (CDC). According to Fukuda, scientists are racing to prevent what could be millions of deaths from a flu pandemic, but what could trip them up is the simple lack of nurses and hospital beds. He said, ""No matter how good medical technology is, if we don't have healthcare workers to care for sick people and hospital beds to put them in, it's not a good situation."" And it's not only the limited numbers of nurses--it's also a question of whether or not healthcare workers would come to work during a bird-flu pandemic. A recent article (b) reported the disturbing findings of a survey of 6,000 healthcare works in and around New York City:

""One assumption blown away by Hurricane Katrina is that if government does nothing else, at least it protects people's health and safety.

The Mailman School of Public Health at Columbia University in New York City set out to look at how many healthcare workers said they would show up for work, depending on the type of emergency. There was some good news: 87 percent of 6,000 workers surveyed in 47 facilities in and around New York said they would be able to go to work in the event of a mass casualty incident, and 81 percent for an environmental disaster. Only 61 percent, however, would show up for a smallpox epidemic, just 48 percent during a SARS epidemic and 57 percent during a 'radiological event.' That's a problem, isn't it? Less than half of healthcare workers expect to work during a SARS [or bird-flu] epidemic, and less than two-thirds if terrorists set off a so-called dirty bomb in the financial district. 'Although we might assume that healthcare employees have an obligation to respond to these high-impact events, our findings indicate that personal obligations, as well as concerns for their own safety, play a pivotal role in workers' willingness to report to work,' said Kristine Qureshi, a researcher in the epidemiology department at Columbia."" And so ""modern medicine,"" no matter how advanced, will clearly have difficulty dealing with a bird-flu pandemic. In a sense, the next pandemic could very well be analogous to the Hurricane Katrina situation, with mass confusion, lack of resources, visible dead bodies, acts of cowardice and acts of heroism, financial disaster, panic, and every emotion possible--nothing like we are used to witnessing in America; shocking. Partly because of the limitations of both government and healthcare capabilities, individuals need to prepare for the coming bird-flu pandemic themselves. There are four specific areas that must be addressed, as I have written in an earlier article (which can be accessed on our Web site.) (a) Rosenthal E: 2 Studies Find Flu Treatments Fall Far Short. International Herald Tribune. September 22, 2005. Available at: http://www.nytimes.com/2005/09/22/health/22flu.html?th&emc=th. Accessed on September 23, 2005 (b) Olmsted D: Health wrap: of disasters and diseases. Monsters and Critics News, September 9, 2005. Available at: http://news.monstersandcritics.com/health/article_1047166.php/Hea lth_Wrap_Of_disasters_and_diseases. Accessed on September 15, 2005

Bradford Frank, M.D., M.P.H., M.B.A. The Frank Group P.O. Box 138 Lakewood, NY 14750 http://www.AvoidBirdFlu.com

About the author: Bradford Frank, M.D., M.P.H., M.B.A. Dr. Frank graduated from the University of Colorado with a B.A. in chemistry and his M.D. degree. He completed two residencies, one in family practice and one in psychiatry. He is board certified in psychiatry as well as addiction medicine and geriatric medicine, and is a clinical assistant professor at the University of Buffalo School of Medicine and Biomedical Sciences, Buffalo, N.Y. He has a master's in pub

Get Your Clients to Complain

2009-01-05T03:05:00.001-08:00

Author: Paul D. McDonald, MBA

A study performed by the Technical Assistance Research Program in Washington, DC uncovered the following startling facts about unhappy customers: 1. For big-ticket durable goods, 40% of unhappy customers will not complain 2. For medium-ticket durable goods, 50% of unhappy customers will not complain 3. For big-ticket services, 63% of unhappy customers will not complain 4. For medium-ticket services, 55% of unhappy customers will not complain. 5. If a customer is unhappy and doesn't complain, it is very likely that they will not do business with the company again.

Another study from the Strategic Planning Institute in Cambridge, Pennsylvania revealed that of clients who register a complaint with a company, 70% will do business again with that same company if the complaint is resolved and 95% will do business again if their complaint is resolved quickly.

What this means

What this means is simple: complaints are golden! They are a golden opportunity to resolve conflict with an upset customer and to retain that customer for future business.

Think you don't have any unhappy customers? Think again. Customers can become unhappy for a variety of reasons, and many of them are small. To further complicate things, many customers don't like to bring up the small stuff that did not meet their expectations. The bottom line is that an unhappy customer will do one of two things: complain or go to the competition.

Why you want your unhappy customers to complain

There are four simple reasons to encourage unhappy customers to complain. 1. If they don't complain, you will not know their problems and cannot fix them. 2. If one client is having a problem, it is likely that another one is having the same problem 3. If unhappy clients do not complain they simply go away 4. Unhappy clients usually tell other people about their bad experiences

Eight Steps to Managing Complaints Effectively

In his book Get More Referrals Now, Bill Cates offers the following steps to managing complaints. 1. Say ""I'm Sorry."" 2. Don't take it personally and get defensive 3. Don't argue. 4. Demonstrate your willingness to be involved in the problem and work hard to find a solution. 5. Establish the facts. 6. Resolve the problem quickly. 7. Thank your clients for bringing their concern to your attention. 8. Follow through and follow up.

Cities, States and Others Step up Action on Climate, Despite Federal Reluctance

2009-01-03T03:05:00.001-08:00

Author: Elizabeth Autumn, MBA

Last year, Pentagon defense adviser Andrew Marshall issued a harsh warning of the consequences of climate change: mass chaos, national security crises and food shortages. If climate change occurs abruptly, the report declared, there could be a catastrophic breakdown in international security. Wars over access to food, water, and energy would likely break out between states. Even if climate change is more gradual, recent studies have argued that as many as one million plant and animal species could be rendered extinct by 2050 due to the effects of global warming. Climate change is the most serious challenge facing the international community. In order to plan for a sustainable future - one that meets needs today without compromising meeting the needs of future generations - global warming must be addressed. We have arrived at a stage in human evolution that requires international cooperation - a stage which demands that world leaders put world priorities ahead of national political agendas in order to halt the peril threatening humanity. In 1987, the World Commission on Environment and Development (WCED) asked all nations to renew their commitment to implement policies based on the three pillars of sustainable development - economic, environmental and social - in order to arrest environmental deterioration and revive world economic growth. In particular, the report stated, poverty has played a major role in environmental degradation. Not only is it our moral obligation to eliminate poverty, the report revealed it is essential to protecting and improving the environment. Further reports have concluded that environmentally unsound technology has been exponentially far more detrimental to sustainable development than even population growth. In order to achieve sustainable development, the Commission reported, our cities must be considered in the global concerted effort. Since three-fourths of the global warming pollution could be solved if we decreased burning fossil fuels, one of the most effective ways to transform urban growth is by switching to alternative energy sources. Fortunately, there are many means of harnessing energy which have less damaging impacts on our environment than fossil fuels, and we already have developed all the technological resources needed. Now we must admit there is a problem and start working in the direction to make this transition. If our current leaders do not want to face this pressing challenge with integrity, then as Leonardo Dicaprio urges, we need to vote for leaders who care about the environment and our health and the future generations who will bear the burden long after the Administration is gone.

A Call to Action

On October 25, 2005, Senator Hillary Clinton (NY) called for a national energy strategy enlisting the oil industry in a process that would help consumers while making the transition to alternative energy technologies. Her plan redirects the hidden ""tax"" that Americans are already paying to OPEC and the oil companies, but lasts only long enough to"" kick-start the alternative energy market that we all know is out there,"" she explained. Speaking to Cleantech Venture Network, a group of venture capitalists who recently were named by Wall Street Journal reports for their success in developing clean energy as a viable investment category, Clinton emphasized the immediate concern which is how to help citizens pay their bills and keep the economy moving in the face of dramatically higher energy costs. There is no question, she said, that our failure to make better energy choices is sapping our pocketbooks, limiting our competitiveness, threatening our environment and even our national security. ""Hurricanes Katrina and Rita made that brutally clear."" The far reaching problem we face, Senator Clinton stated, is coping with the impacts of massive economic development and competition for oil in other parts of the world such as India and China in the next twenty years. ""Loosening environmental standards or opening up a new oil field or two is not going to offset this seismic shift in energy demand,"" she explained. Her plan unburdens the American people of foreign oil dependence, investing a portion of the profits into the U.S. energy future, instead of regimes we would never choose to subsidize. The oil industries can choose to either reinvest their profits into America's energy future or contribute to a new Strategic Energy Fund, she said. The Strategic Energy Fund would help consumers cope with spiraling energy costs, promote adoption of existing clean energy and conservation technologies, while stimulating research and investment by the private sector. She also recommends assessing an alternative energy development fee for those companies deciding not to directly reinvest in our energy future. That fee, she explained would help fund energy transition. ""The Fund could generate as much as $20 billion a year to help with home heating oil costs and develop new energy strategies."" In this way, she explained, we would reduce our reliance on fossil fuel, make existing alternative technologies more affordable, jump start our technology, and regain U.S. world leadership. It's got ""Made in America"" written on it, in addition to providing a role model for developing nations. The ""energy revolution"" can be as big and important as the industrial revolution and the explosion of the information age. However, we have to do what America has always done when faced with a big challenge, she said, ""roll up our sleeves and dedicate this country to finding a solution."" In effect, she explained, ""the country that put a man on the moon can be the country to find new lower cost and cleaner forms of energy. Our nation needs it. Our planet needs it.""

Addressing Climate Change in the Environment of a Hostile U.S. Administration One of the most important outcomes of the 2002 World Sustainable Summit Development (WSSD) in Johannesburg, South Africa, was the decision to address climate change at the global level, starting at the local level-- all mandates that must be enacted locally as well as globally in order to begin to impact the effects of climate change. A decade earlier, the Rio de Janeiro Summit articulated the need to include humanity as well as environmental protection in the sustainability equation. Hence, it concluded, the critical problem of poverty must also be addressed. When the United Nations authorized the World Summit on Sustainable Development in 2002, it had already realized poverty had deepened and environmental degradation had worsened since the 1992 Summit. The world needed a new summit of actions with results, and not just intent. Managing urban environmental conditions ultimately belongs with national governments, businesses, scientific bodies, and communities working together; but history shows us U.S. involvement has always sped and strengthened global progress in improving urban environmental conditions for sustainable development. Although U.S. partnership is needed to meet the increasingly urgent demands to make cities livable, the Bush Administration has not been forthcoming. While the 2002 WSSD Johannesburg Summit was the highest attended conference by world leaders, President Bush was sorely missed. According to original plans, explained participant Kaarin Taipale, ""the 2002 WSSD summit would have coincided with the first anniversary of 9/11."" Conference dates were changed at that the last minute in order to make it easier for the President to attend. Instead, Secretary of State Colin Powell traveled to Johannesburg to speak on the President's behalf, where as Taipale recalls, ""he was infamously booed."" Under Secretary of State for Global Affairs Paula Dobriansky soon retorted by telling Summit attendees to focus on actions, ""actions being better than words."" U.S. action has been remiss. Vice Chairman of Friends of the Earth Tony Juniper said the United States has a lot to answer for what has gone wrong since the Rio de Janeiro Summit in 1992. Many trends that were categorized as urgent at that summit - such as poverty, biodiversity loss, deforestation, and overexploitation of renewable resources - had either stayed the same or become worse. First, the U.S. refused to ratify the Kyoto Protocol at the 2002 Summit - the single most important environmental treaty to stop Climate Change. In addition, Juniper reported, the Bush Administration had been telling the world about the importance of free trade while protecting its own steel industry and hiking agricultural subsidies to the degree of harming other nations. In fact, heavy pressure on the U.S. Administration for Bush not to attend the Summit, said Juniper, seemed to originate with the big business and corporate lobby. U. S. representatives to the Summit proposed business friendly partnerships, but opposed the very necessary targetive actions on sustainable development. Although the United States makes up four percent of the world's population and produces 22 percent of the world's greenhouse gases, it's refusal to ratify the Kyoto Protocol's call for reductions in the greenhouse gases merely underscores Federal unwillingness to address climate change. Claiming that the treaty would raise energy prices and kill five million U.S. jobs, the Administration has even raised questions about the scientific legitimacy of climate change. As British Petroleum CEO John Browne put it, ""The time to consider the policy dimensions of climate change is not when the link is conclusively proven, but when the possibility cannot be discounted."" The Union of Concerned Scientists, a group of 6,000 scientists, including 48 Nobel laureates, warns that the Bush administration's overtly anti-science bias undercuts scientific integrity. This bias was clear when the The New York Times reported that a White House official who once led the oil industry's fight against limits on greenhouse gases had repeatedly edited government climate reports in ways that play down links between such emission and global warming. The White House response: the reports were ""scientifically sound."" As Journalist and author Chris Mooney explained, the Administration relied on those energy interests who have a documented history of muddying the role that humanity plays in climate change while consciously strategizing to ""sow confusion on the issue and sway journalists."" According to a study published by Princeton professors Robert Socolow and Stephen Pacala, the U.S. could reduce emissions to below the 1970 levels just with its current technology. ""We in fact already have everything we need to face this challenge,"" Vice President Gore has said, ""save perhaps political will. But in our democracy political will is a renewable resource."" Because the Federal government has failed to get involved internationally, state and local officials have been left alone to address the gravity of excess greenhouse gas emissions. Without Federal direction, Senator Clinton has warned, the varying standards that result from the differences in local policies could create havoc for the private sector. To make matters worse, approximately 100 high-level Administration officials who help regulate industries they once represented - as lobbyists, lawyers, or company advocates - are all part of an effort to avoid addressing global warming. (2004, Natural Resources Defense Council (NRDC)). London's ""Guardian"" has further reported that the environmental group Greenpeace obtained documents indicating President Bush's global climate policy was heavily influenced by Exxon, Mobil and other oil companies. In briefing papers given to U.S. Under Secretary of State Paula Dobriansky between 2001 and 2004, ""the administration is found thanking Exxon executives for the company's 'active involvement' in helping to determine climate change policy, and also seeking its advice on what climate change policies the company might find acceptable."" Quietly, in the background of policy change, by mid August 2004 the Administration had already rolled back more than 400 major environmental mandates, causing the protection of our nation's air, water, public land and wildlife to be severely weakened. This anti-environment spirit, reports Robert Kennedy, Jr., pervades virtually all of the Sub-secretariats today, including the Department of Agriculture, Interior, and Energy. In contrast to entering public service for the public interest, these officials are motivated by the intent to specifically subvert the very law they are now charged with enforcing. ""The current Administration,"" he says, ""has put the most insidious polluters in charge of all the agencies that are supposed to protect the American people from pollution."" One notable exception was Christine Whitman, appointed by Bush to head the Environmental Protection Agency (EPA). In 2002, she released a report stating that Climate Change was an urgent problem created by human activity that would quickly create other problems unless immediately addressed. A public relations crisis ensued when Myron Ebell of the Competitive Enterprise Institute declared ""someone should be fired"" over this. Apparently, White House Chief of Staff on Environmental Quality and former lobbyist for the American Petroleum Institute Philip Cooney did not see (edit) the report before it was released. President Bush publicly discounted the report by calling it a report from ""the bureaucracy."" Whitman resigned from the EPA soon after. At the Clinton Global Initiative, a summit of actions and results held by President Clinton in New York last September, Al Gore reported that some of those who benefit from unrestrained pollution from global warming also spend millions of dollars each year creating pseudo-studies that cloud the issue. This is not the first time this type of swaying from industry lobbyists has occurred. After the Surgeon General warning of the dangers of smoking, Gore noted, the tobacco industry hired 'scientific prostitutes' to argue that smoking was good for people. While such actions can be understood, he said, they are not acceptable, ""not when the fate of the earth - rather, the fate of a habitable earth for human beings -- is at stake."" He quoted muckraker Upton Sinclair who wrote more than a century ago: ""It is difficult to get a man to understand something when his salary depends upon him not understanding it.""

Article Continues at: http://www.elizabethautumn.com/id97.html

About the author: Elizabeth Autumn, MBA, is a freelance reporter. She covers environment and corporate governance issues. Completing her Masters in Environmental Management at Harvard University, Elizabeth also writes for Crane's Magazine, Create Magazine, and Publishers Weekly. Prior to this she was a freelance producer for Fox News, in addition she worked for CBS News on the Emmy-Award winning CBS Documentary ""9-11"", The Early Show, and 60 Minutes.

My Aunt Did Not Take This Secret To The Grave

2009-01-02T03:05:00.001-08:00

Author: Joe Trevison MBA CPA

THE SECRET SHE DID NOT TAKE TO THE GRAVE

My aunt Theresa Paparelli died this Thanksgiving Day 2005. She had a business secret that she used for her life and passed on to her son and me. Her husband, my mother's brother Sam was a roofer. He worked on repairing and putting on new roofs on homes and businesses. He worked for some rich guy. His wife always wanted him to go into business for himself. He did not listen to her. And he was always collecting unemployment in the winter months when he was not working.

That did not stop my aunt. She knew nothing about the hair salon business but that did not stop her. She hired people that did this for her and worked on the business and not in it. She later sold it. She told the secret to her 3 living sons and they started a bar. And they knew nothing about running a bar they hired the right people and delegated.

You should see this bar it has so many TV that I could not count them. And the help the hired knew how to treat customers, like kings. They had so much space and besides the wake there were a heck of a lot of customers on that Monday morning when we buried my aunt.

You don't have to know how to run a business or have skills for the business on what it does. You may not start a doctor or lawyer practice without being a lawyer yet there is one smart guy in my town that has several offices and does not practice law and he is a lawyer. He worked on the business and hired associates to do the caseloads. He is one the riches lawyer in several counties of Pennsylvania.

One of my students when I taught gave me an article and unlined this statement because he knows I practice that secret to some extent.

This article was about Kemmons Wilson. You don't know who he was ok but you probably stayed at one of his hotels. He was the founder of Holiday Inns. And one of his 20 principles is: No Job is too hard as long as you are smart enough to find someone else to do it.

I do know my aunt was a great reader. What she read I do not know. She might had learned the secret from reading like I research all that I know. But that something I never asked her and she took it to the grave.

I miss her. She was still beautiful as when she was young now at death at 77 years of age. They only way you could tell she was old is by her hands. She was a worker on the businesses she and her son's had.

The she dealt with two of the most always tragic parts of live her oldest son died my friend, Tony died and so did her youngest Steven long before she died.

At Steven's funeral she ask me why does God allow these things to happen. I could say which is still true today. I am not smart enough to know.

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About the author: Joe Trevison worked as a Revenue Agent for the U.S.A for 15+ years. He also taught accountiing, taxes, payroll, business software and math to college age students for 7 years. He know is self employed doing accounting, taxes, and business consulting. He also writes ebooks and bookelets and has the old master books for sell at his web site htttp://www.Joetrevison.com/shop

How to Make Over 100 Thousand Dollars Per Year

2008-12-31T03:05:00.001-08:00

Author: Jason D. Wright, MBA

Have you been chasing an elusive dream of making over $100k per year, only to end up disappointed? Perhaps you've seen other people making huge amounts of money and always wondered how they did it. You've seen people who make it look easy to make a six-figure income. Maybe you've slaved away for 80 hours a week to make a $100k salary. Or perhaps you've never even dreamed of making that much money or given considerable thought to what it might take for you to achieve such a goal.

While a $100k annual income may sound like a lot of money to the baby boomer and older generation, the reality is that it's really not that much in today's economy. Don't get me wrong, it's still a good chunk of money, but the ""six-figure"" high water mark certainly doesn't carry the stigma and prestige that it used to. In fact, most Harvard MBA graduates expect to enter the workforce with a starting salary of over $100k per year.

Does that mean you need a Harvard MBA to earn that kind of money? Certainly not. Thanks to a strong economy and the technological advances of the internet, the playing field has been leveled to the point that almost anyone can achieve a six figure income if they just know how to do it. Some of the work-from-home career paths that people are using to break into the six-figure income club include:

- internet marketing

- residential or commercial real estate investing

- affiliate marketing

- satellite TV sales

- day trading

- home daycare business

- currency trading (forex)

- home or office cleaning business

- web hosting

That's just a small sampling of current opportunities available. With more possibilities than ever before, now is a great time to step out of your comfort zone and pursue that $100k income you've always dreamed of. Remember, sometimes you have to take a risk to break out of your current situation and see what your potential may be! That said, also keep in mind that any business opportunity is a risk. Study each opportunity carefully, and take the time to learn about any potential risks involved before quitting your day job and jumping into something new.

About the author: Jason Wright is an internet marketer and former financial adviser. You can find his top work-from-home job opportunity list at www.100kjob.com

Products That Sell Like Wild Fire and Where To Find The Products

2008-12-29T03:04:00.001-08:00

Author: Joe Trevison CPA MBA

THE BUSINESS AND MARKETING WIZARDRY NEWSLETTER

Volume 9 issue 12

December 2005

Publisher: Joe Trevison MBA, CPA.

Editor and Co publisher: Cheri Carlson Graduate of Northwest Research Institute.

Co Editor: Jim Trevison, English Major Edinboro College in PA.

""Products to Sell and How to Find Them: Researched by: Joe Trevison MBA, CPA.

This month I am going to go to the works of two of the greatest business Guru's that ever lived in our universe. I am talking about the late E. Joseph Cossman and my friend Melvin Powers of California.

I am going to give you two lists. What you do with them will mean the difference between success and failure.

I am going to give you a list of products that sell like fire. And then I am going to give you places to find these products.

PRODUCTS THAT SELL LIKE FIRE

Facial Creams

Vitamins

Cuckoo Clocks

Swiss Knifes

Initials on purses

Money Belts

Name & Address Stamps

Math without Tears

Cheese or Fruit Cake

Fishing Lures

Items for left-handed people

Golf clubs

Plastic covers

Tattoo Removers

Lingerie (Fredrick's of Hollywood and Victoria's Secrets)

Follow up with satin sheets

Roach Powder

Black Head Remover

Acne Remover

Music Instructions

Musical Instruments

Make audio and Videotapes of the instructions

Imprinted golf balls

Perfumes

Interpreting Dreams

Astrology books

Gambling books

Body Building Courses

Bronze Baby Shoes

Losing Weight Belt

Wigs

Animal Books

Dog

Cat

Parrots

Jewelry for people and pets

Car Seats for Dogs

Lock Smith Course

Improving English

Language Courses

Courses to make more money

Courses to be your own boss

Recipes (can sell for $5 a piece)

Herbs

Prize winning barbeque sauces

Texas Chili

Employment in Foreign countries

Personal Stationary

Shipping Labels ($50 for 1000)

Auto products

Auto products that get more mileage

System to Lose Weight

System to Gain Weight

Marry the Rich

Picking up Girls

Getting a better Job

Nuts from Hawaii

Baby Goods (can get list of 1000 mothers a month)

Children's education

Education toys for Children

Western Wear

Binoculars (spy Scope)

Nose Hair remover with round tip

Records from the past 40, 50, 60, 70, 80 and 90s

Shoes that make you taller

Health Shoes

Needle threader

Orange juice

Apple Juice

Omaha Steaks

Seeds for flowers or vegetables

Instruments for finding treasures

Camping Goods

Watches

WHERE TO FIND THESE PRODUCTS

Newspapers

Plastic factories

Classified Advertisers

Trade Magazines

Update old products

Trade shows

Your Personal Travel

Expose yourself to opportunities

Get Friends to Help

Your own skills and ideas

Foreign publications

Fads

Public Library

This newsletter is dedicated to Trina and Michael Stolz interest in this subject.

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P.S. to find out how to sell these products I would get both of the items that E. Joseph Cossman and Melvin Powers sell on business. They have books, audios, and CDs. Buy anyone of them and you're on your way to making Money. I guarantee it.

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About the author: Trevison worked for The IRS for 15+ years. He also taught the college level accounting, taxes, payroll, business software and business Math. He presently has his own business doing accounting, taxes and business Consulting. He also has a shopping cart selling the ebooks on Taxes and Business that he wrote. He also wrote booklets and has the old master business books for sale at his shopping cart. The is http://www.Joetrevison.com/shop

Sports defines many lives

2008-12-16T03:05:00.000-08:00

I've always said that we can learn a lot from sports.

Brian Kilmeade, cohost of Fox & Friends on the Fox News Channel, recently interviewed me along with 90 other people for his new book, It's How You Play The Game: The Powerful Sports Moments That Taught Lasting Values to America's Finest. Kilmeade interviewed superstar athletes, CEOs, actors, politicians and studied historical figures. He writes about how a defining moment in sports changed each individual's life. Many talk about how the discipline and rules they learned on the field prepared them to handle life and overcome adversity with dignity and sportsmanship.

Sports dominated my young life. For a couple years in a row, I was the St. Paul (Minn.) City high school golf champion. I was captain of my baseball and basketball teams growing up. I was the state junior table tennis champion.

My story in Brian Kilmeade's book goes back to when I was 15 years old playing in the St. Paul Open golf tournament, which was one of the top professional tournaments in the country at the time.

I was playing well when I reached the short, par 5, 18th hole. Sam Snead was in the group behind me. I looked up and saw several thousand people surrounding the green. I had a 2 iron in my hand, and I rimmed the cup for what would've been a double eagle. I heard the crowd's tremendous roar, and I knew that something special had happened. As I approached the hole, the ball was just 10 inches from the cup. I couldn't believe it. I didn't want to seem like I had to think through what would have been an automatic gimme in a social game, so I just went for the tap-in...and I missed it.

I often think about that day. It taught me a lesson that I still adhere to today: Never take anything for granted. I learned not to worry about how other people think I look. I should have gone into my stance and sunk the putt for a 74. Instead, I shot a 75 and missed the cut.

One of the other valuable lessons contained in the book is the power of visualization. NBA Hall of Famer Jerry West always dreamed of "hitting the last shot...I wanted the ball at the end of every game," he said. "I was never nervous because countless times in my head I already imagined what it was like to take and hit the last shot."

Sen. Bob Dole talks about the work ethic he learned from playing high school football and basketball and running track. "...playing sports made me a better man," he said. "...my days as an athlete helped make me a tireless campaigner...if there is one thing I knew I'd always have, it was endurance."

Soccer great Mia Hamm told one of her coaches that she wanted to be "the best player." The coach told her, "It's a decision...to be the best you means being the best every single day." Hamm learned about true dedication and commitment. She learned to push herself as hard as possible in and out of the spotlight. Some of her teammates were even intimidated by her intensity.

Simon Cowell, from American Idol, talks about several embarrassing moments in his sports career playing soccer and running track. He was asked if he would advise his kids not to play sports. "They absolutely will," he responded. "Play—win or lose—but play. Know your limitations...and you'll learn about yourself. Most of all, sports teaches communication and teamwork. Find me a TV show without good teamwork, and I will show you a bad show."

Jeff Immelt, CEO of General Electric, tells about how sports "taught me a lot about being a leader. I learned that in order for me to be successful, my teammates had to be successful. I also learned how to adapt to the coach's style to be successful, which has helped me today."

Supermodel Beth Ostrosky said: "I treat the modeling business as I did team sports. I show up on time. I show up sick. I stay late. It's just in my blood from my days on the court."

"Regardless of who you are, what era you played in, what sport you chose or how much success you achieved, playing the game is all about getting you ready for life," Kilmeade writes. "Winning or losing has little to do with who you will become. Instead, it's how you prepared for the game that determines whether you'll be a winner or loser in life."

Mackay's Moral: There are no gimmes in life.

Harvey Mackay http://www.harveymackay.com/

Stay focused on the big picture

2008-12-14T03:04:00.000-08:00

By Harvey Mackay

A reader of this column sent me an email recently, thanking me for a column I had written on getting outside the box. She then told me how she had lost focus for a while, but had turned things around. She encouraged me to write a column on staying focused.

I immediately thought of my varsity golfing days at the University of Minnesota many years ago. Back then The Saint Paul Open was one of the top tournaments on the men's professional golf circuit. Prior to the tournament, I had a chance to meet Gary Player when he was taking a lesson from our team coach, Les Bolstad. Later that evening I went to dinner with the world's future #1 player when he was still an unknown.

The following day at The Saint Paul Open, I saw Gary after he teed off the first hole and ran up to him to say hi. I wanted to tell him what a great time I had the night before. His steely eyes remained focused on the fairway ahead and he never broke stride. "Harvey, please don't talk to me. I must concentrate. I will see you when I'm finished."

I remember how devastated I felt, but I learned a valuable lesson on focus. Many years later when he was world famous, my wife, Carol Ann, and I ran into Gary and his wife in South Africa. I reintroduced myself and reminded him of what happened on the golf course. Gary's wife told me, "Don't feel bad. He doesn't even talk to me on the golf course."

That's the focus that it takes to do your best. If you have the ability to focus fully on the task at hand, and shut out everything else, you can accomplish amazing things.

Arnold Palmer, another golfing legend, recalled a tough lesson he learned about focus in Carol Mann's book "The 19th Hole":

"It was the final hole of the 1961 Masters tournament, and I had a one-stroke lead and had just hit a very satisfying tee shot. I felt I was in pretty good shape. As I approached my ball, I saw an old friend standing at the edge of the gallery. He motioned me over, stuck out his hand and said, "Congratulations." I took his hand and shook it, but as soon as I did, I knew I had lost my focus. On my next two shots, I hit the ball into a sand trap, then put it over the edge of the green. I missed a putt and lost the Masters. You don't forget a mistake like that; you just learn from it and become determined that you will never do that again." Trust me, your friends will understand!

A response Babe Ruth once gave to a reporter sticks in my mind. "How is it," the Babe was asked, "that you always come through in the clutch? How is it you can come up to bat in the bottom of the 9th, in a key game with the score tied, with thousands of fans screaming in the stadium, with millions listening on the radio, the entire game on the line and deliver the game winning hit?" His answer, "I don't know. I just keep my eye on the ball."

In other words ... focus.

How many times have you heard an athlete talk about focus? It's a topic I also hear about frequently in business. The most common complaints? Too many irons in the fire. Too many projects spinning at one time. Too many interruptions. Too many phone calls. Too many emails. Too many things to do. Too little time.

The late Peter Drucker, management consultant and author, observed, "When you have 186 objectives nothing gets done. I always ask, 'What's the one thing you want to do?' In Mexico they call me Senor Una Cosa." (translation: one thing)

Decide what's most important. Make a list every day or every week and prioritize your activities. Scale back the amount of time you spend on meetings; they can be the biggest time-wasters of all. Learn to delegate, and make sure all members of your team follow through on assigned tasks. Set aside a specific time of day to return phone calls and emails, and keep distractions to a minimum. In other words, set rules about how others use your time. And if you're not the boss, work with your supervisor to make sure you agree on priorities.

Stay focused as best you can, and don't let things happen to you - not when you can make things happen.

Mackay's Moral: The person who is everywhere is nowhere."

Harvey Mackay http://www.harveymackay.com/

Motivational Articles & Stories - Harvey Mackay

2008-12-13T03:04:00.000-08:00

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Leaders need to show caring is contagious

By Harvey Mackay

A few weeks ago, the day that John Walter was named the new CEO at
AT&T, the stock dropped 2 points. It was the corporate equivalent of
the traditional bone-jarring sack that greets rookie quarterbacks.

"Welcome to the NFL, kid."

Welcome to the corporate big leagues, John.

Leading the corps of business blitzers was "Chainsaw Al" Dunlap, who
got his nickname by sacking 11,200 employees when he headed Scott
Paper.

According to Dunlap, John Walter was not what "suffering
shareholders are looking for."

Well, neither was Walter's predecessor, Bob Allen, another job-slasher,
who pared 40,000 employees at AT&T. This year, while the Dow Jones
industrials are up 16 percent, AT&T stock is down over 18 percent.
Needless to say, employee morale is also in the tank. On the day his
selection was announced, Walter said he regards the job as "25
percent strategy and 75 percent execution."

I hope he means it. The best way to prove it would be for him not to
set foot in his office for 75 percent of his first month on the job
and spend the time with his troops in the field.

Many years ago, another Bell system chief executive named Bruce
Foraker was head of the phone company in New York City. One frigid
January night, upon leaving the theater, Foraker noticed an open
manhole in the street. Realizing that Bell employees were below,
splicing cable in the freezing weather, Foraker dropped down and
joined them for a little chat. It wasn't unusual behavior for him.
He was called the "man of 10,000 friends" because his employees held
him in such high esteem.

CEOs of major corporations have a duty to employees, customers,
shareholders and the communities they operate in. They cannot afford
to ignore any of them.

These days, you have to add a fifth constituency to the stew, the
media.

Robert Dilenschneider of The Dilenschneider Group, a strategic
counseling and public relations firm, recently spoke on "The Public
Aspects of a Chief Executive's Job: Helping Chief Executive Officers
Become Part of the Solution."

"If the shareholders are unhappy, they will drop the stock," said
Dilenschneider. "Estranged employees, studies show, are not as
productive. Customers just walk away if they are not treated well,
and the community can freeze the CEO and his team out, making it
hard to recruit on the one hand and live on the other."

Al Dunlap says that when you find a corporate CEO that takes time
away from his principal business to serve on numerous outside
boards, particularly non-profits, you'll find a company that's
underperforming. I disagree.

I say that when you find a CEO doing just that, you'll find a CEO
doing his job.

Cost-cutting, down-sizing and plant-closings are short-term
solutions. So is just focusing on shareholders.

The name "Dayton" is synonymous with community participation in my
town. The executives of this retail giant, Dayton-Hudson
Corporation, are found on almost every civic and charitable
organization board in town.

Like Bruce Foraker, Don Dayton liked to get out and mingle. He never
took an elevator up to the corporate offices above the department
store that bears his name. He always took the escalator so he could
see more of what was happening on each floor and talk with customers
and employees.

A few years ago, when the inevitable takeover attempt was directed
at Dayton-Hudson, the Minnesota Legislature held a special session
and adopted legislation that stopped it cold.

The reason was stated over and over: We can't lose Dayton's. It's
part of the community.

A lot of names have disappeared from the retail scene, but not
Dayton's.

This year, Dayton's stock is up over 43 percent.

Not bad, Al, for an outfit where the bosses spend so much time away
from their desks.
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2008-12-12T03:04:00.000-08:00

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Michael Jordan

By Harvey Mackay

An obscure outfielder for the St. Louis Browns, Dick Kryhoski, once
observed, "The first time I saw Ted Williams hit, I knew God hadn't
created everybody equal." The same can be said for basketball
superstar Michael Jordan. We are used to seeing Michael Jordan in
total control. The greater the pressure, the stronger his game:
Michael setting the pace, forcing the action, dictating every move
on the floor by every player with his dominating talent.

So it is no surprise that when Michael announced his retirement from
basketball, the pundits were universally in agreement: good move,
Michael.

I hate to be the skunk at the garden party, but I am not going to
join the hallelujah chorus.

No, Michael. Bad move.

The Michael Jordan that mouthed the words at the press conference
may have looked and sounded like the same Michael Jordan we have
seen ripping NBA defenses to shreds, but it wasn't. It was a shell.

Recently, Michael hit a bad patch in his private life. The gambling
and the murder of his father converged. Like any human being under
the kind of stress Jordan was under, he sought advice. And he got
it. Quit. Take stock. Get away.

That's exactly what you don't do.

You don't quit doing what you do best, you do not abandon the
wellspring of your identity, because you have been blindsided by
life. You cannot regain control over the bad parts of your life by
giving up your control over the good parts.

Let's give the scenario a flip. What do you think Michael would have
done if a) the embarrassing gambling problem had not surfaced; b)
his father had not been killed; and c) Jordan and the Chicago Bulls
had lost, not won, their third consecutive NBA championship ... with
Jordan at something less than the top of his game. Easy. He never
would have quit. His whole professional existence has been built
around the give and take of competitive sports. Sometimes you win;
sometimes you lose. You have to be able to handle both. Jordan falls
off horse; Jordan gets back on horse. Hey, Babe Ruth didn't just set
the record for homers. He set it for strikeouts, too. That's
baseball. That's basketball. That's also life.

If Michael Jordan ever needed doing what he does best, it's now. Now
is not the time to focus on the negative. It's time to get back with
the program.

The point is this, and it's a sad one: we are often forced to make
life-changing decisions under miserable circumstances. Michael
wasn't. Even though his situation was stressful, he wasn't forced to
do anything. He didn't have to sell the farm. He wasn't losing his
skills. He wasn't in the middle of a child custody battle. He was
still in control of the game. He should have put more time between
his immediate personal problems and the decision to end his career.

He would have found it much easier to handle the grief of his
father's death with his demanding occupation taking so much of his
time and energy. Now, without that therapy, he'll have unlimited
time to anguish over his tragic loss.

If he had given himself that additional time, he never would have
made the decision to retire. Now that he has that time, I feel
certain he will reverse himself.

One thing I learned early in life was that an expert in his own
field was just that, and only that. When I first bought my own
business, I remember asking my great corporate lawyer for advice
when I was about to lose one of my customers because of a service
problem I was having delivering envelopes. He had the answer:
rewrite the contract. I did, and of course, I lost the customer.
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2008-12-11T03:05:00.001-08:00

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Volunteerism: You often receive more than you
give

By Harvey Mackay

You don't have to pledge Skull and Bones or be a country club deb to
meet the right people. There are a ton of jobs that offer that
opportunity but go begging every year for want of volunteers willing
to take them.

Take ushering at your church or synagogue. Maybe it sounds like it's
just one step ahead of stoking the boilers, but it's one of the most
important jobs around the place. It only takes an hour a week, and
there's no heavy lifting. You can look on it as a "poor man's
finishing school." It will help you overcome any innate shyness you
may have about meeting and greeting strangers, and if you do it
properly, you'll really enjoy it.

Smart leaders of growing congregations make sure they have an
ushering crew that stands tall. The ushers set the tone. Is it a
friendly place with a warm welcome or an ingrown deal with very
little to offer newcomers?

The Reverend James Kennedy, pastor of the well-known Coral Ridge
Presbyterian Church in Fort Lauderdale, has a church that attracts a
tremendous number of visitors. The ushers at Coral Ridge are
instructed to be certain everyone is welcomed by at least two or
three people and told they "were glad you came to worship with us
today." The church benefits greatly from these volunteers, but so do
the individual ushers who become polished embassadors for their
congregation.

Getting active in an organization can help you in areas where you
may be weak. Afraid to speak in front of a group? You won't be toast
if you join Toastmasters. I did, and I can tell you that the basics
I learned in this organization are the primary reasons for any
success I've had as a public speaker.

Also, Toastmasters helps you develop:

self-esteem,

assertiveness,

confidence and

leadership.

Because volunteerism almost always includes
fund-raising, you have an unusual opportunity to hone your selling
skills. You will get a ton of no's but what better way to receive
on-the-job training than on someone else's payroll.

When you do volunteer work, you can learn how to run a meeting,
prepare reports, serve on committees, supervise others, and a
thousand other skills that can help you in your own career.
Sometimes, it's impossible to learn these things on the job.

Most of the people who sign up for these volunteer chores stay
active for decades. Here's an opportunity to learn teamwork and have
the satisfaction of providing a vital service. You'll make new
friends, and you'll be able to develop other contacts within the
community itself.

Sometimes the rewards of volunteering are unexpected.

Will was a pretty fair high school athlete, but he dropped out of
college before he could make any mark in athletics. He loved hockey
and despite a career of mostly lower level blue collar jobs, he
found enough time to coach kid hockey teams. Most of his friends
thought he was crazy to spend so much time coaching for nothing when
he didn't have two quarters to rub together.

However, one of the contacts he made with his coaching really paid
off, and today Will has a job he never dreamed he could get . . .
sales manager for a well-respected paper company.

Sometimes, the only rewards for volunteering are the satisfaction of
doing a thankless job well. But sometimes, there is a personal
payoff, and it can come in surprising ways.
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Motivational Articles & Stories - Harvey Mackay

2008-12-10T03:04:00.001-08:00

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Crunch Time

By Harvey Mackay

When I was a kid, one of my favorite ballplayers was Eddie Stanky.
He had a lifetime batting average of .268. Hardly the stuff of
legends. The dish on Stanky was, "He can't hit. He can't run. He
can't field. He can't throw. He just knows how to beat you."

They called Reggie Jackson "Mr. October." He called himself, "The
straw that stirs the drink." Both descriptions were accurate.
Jackson came alive when the World Series was on the line.

Great players thrive under pressure. There's a moment in almost
every game when it could go either way. It's called "crunch time."
How you react when that moment comes is what really matters.

There's a "crunch time" in sales, too.

Any salesperson can go through the routine part of a sales call
without much trouble. Opening banter. Formal pitch. Questions and
answers.

I was talking with a top-notch sales pro the other day, and he told
me, "It doesn't take Zig Zigler to write up an order that falls into
your lap. Ninety-nine percent of the time I do everything pretty
much the same as everyone else and I get pretty much the same
results. What I do in the other five minutes is what determines
where my kids go to college."

Every sales job is different. Whatever your line, it still comes
down to the same thing: the moment of truth, the part the whole sale
hinges on. How you handle it separates the superstar from the bench
jockey.

You can carry out a textbook sales call, but if you make your pitch
yet blow the close, you don't make the sale.

Sometimes the most important part is in the approach. You may have
only a few seconds to convince your prospect that he or she would
find it worthwhile to listen to you.

Many of you are dealing in price situations and your company is
never the low cost supplier. Don't kick yourself when you come home
because you think you can't sell your high-priced product. Think of
what a miserable job it is to work for the company that's always the
lowest cost producer. Haggling over pennies. Cutting corners on
quality. Disappointing performance. Unhappy customers.

Some of the highest paid sales pros work for the highest price
vendors. They're able to convince their prospects that it's to their
advantage to pay the extra money.

"Mr./Ms. Customer, let me tell you about the team that backs up this
product. We put our resources into making it and training the people
behind it. That makes us a little different from the others. We pay
more to get more. More quality. More research. Better reliability.
Better performance. Better service. Better resale. Better people. We
don't just sell it and walk away. We'll be there for you. Always. It
will cost a little more now, but it's going to cost a lot less in
the long run."

It's called the value-added approach.

There are salespeople who use it so successfully they make it the
centerpiece of their presentation.

They wait for the prospect to make the inevitable price objection
and then use their response as the launching pad for their close.

They take pride in selling products that cost more than the
competition. They're convinced they're providing their customers
with the best value for the money. Instead of being defensive, they
go on the offensive.

Did I say every sales job is different? Well, so is every sales
situation. It's not always easy knowing when "crunch time" will
arrive. Is it when objections are raised? Is it getting to talk to
the right people? Is it the resale after a customer's so-so
experience the first time around?

Many salespeople spend their entire careers learning a
paint-by-the-numbers approach without really understanding the
selling process. There comes a time when you have to reach beyond
the obvious if you're going to connect with the prospect.

In sports, it's called hitting the sweet spot. It takes a lot of
practice to do it consistently. But if you can do it, you'll never
be satisfied with anything else.
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2008-12-09T03:05:00.001-08:00

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How Not To and How To Think Creatively

By Harvey Mackay

They say you can't teach creativity.

Maybe so, but it sure can be killed.

"It won't work."

"They tried something like that before, and it didn't work."

"The guy who thought of that before you did got canned."

"The boss won't like that."

"It's too late to try that."

"It's too early to try that."

"Let someone else try that first."

"If it ain't broke, don't fix it."

"It isn't in the budget."

"It isn't company policy."

"It isn't in the standard contract."

"That's not my job."

"We don't do that here." (Often called the "not invented here"
syndrome.)

My favorite: "Not a bad idea at all! Let's run it by legal."

You won't hear much of that at Fallon McElligott, the advertising
outfit that was once again named Agency of the Year by Ad Age for
1995.

Creativity is the mother's milk of advertising. Here's what Bill
Westbrook, president and creative director of Fallon McElligott, has
to say about some of the ways they generate creativity at their
shop.

"We're in the communications business. We wouldn't be very good at
it if we didn't know how to communicate with each other. We take a
number of steps to accomplish that:

"We always schedule meetings away from
where people generally work. Why? So they're forced to see
what's hanging on the walls outside their own area. That
encourages feedback, comments, compliments, mixing with one
another.

"We hold quarterly meetings with the entire
staff to show everyone the new work that is being done,
including work in progress. At these meetings, we often have one
department make a full-blown presentation on what they're doing.
We want everyone to have a handle on what's going on throughout
the shop.

"Sometimes writers and art directors work
in concert with designers so they have a design perspective as
well as an advertising perspective. It's very unusual in our
business to do this.

"If you work for an advertising agency, how
can you know what they're selling unless you've seen your agency
try and sell it? 99.9 percent of our people had never seen a
full scale presentation of an advertising pitch to a client.
After we landed the McDonald's account, we gave all of our
people exactly the same presentation we gave to McDonald's --
just as though they were the voters/decision makers of the
company." (Westbrook didn't tell me whether the agency's
employees voted to give themselves the account.)

"We gave a lot of thought to what our
common areas would be like. We made a full scale replica of a
'diner,' so that everyone would want to come to eat lunch there
and goof off, take their coffee breaks, rub elbows. Too many
company common areas feel like the design had been inspired by
that scene in White Heat where Jimmy Cagney goes bezerko in the
prison mess hall."

Fallon has succeeded in creating an atmosphere
where creativity can flourish. The agency has just launched the new
$200 million "Arch Deluxe" campaign for McDonald's. It is one of the
largest marketing efforts in the history of the fast-food game.
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2008-12-07T03:04:00.001-08:00

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Negotiating in a Nutshell

By Harvey Mackay

I got a phone call from a Fortune 500 CEO last week whom I had never
met. After decades of begging the government to relax their
regulatory grip and let his industry experience the joys of
competition, his wish had been granted -- and his bottom line had
plummeted.

He wanted me to talk to his top executives for two hours and zero in
on negotiating strategies.

A bit overwhelmed, I said, "I'm very flattered but frankly, I don't
know if I can talk for two hours on negotiating."

Then I realized I was actually negotiating with myself. As my brain
finally reconnected, I cut myself off. "Well, let me sleep on it and
I'll get back to you."

Later that evening, I began to write down some of my negotiating
experiences and saw that my problem was going to be holding the
speech down to two hours.

I'd already brushed up against the first and second laws of
negotiating that morning in my conversation with the CEO.

Never accept any proposal immediately, no
matter how good it sounds.

Never negotiate with yourself. You'll
furnish the other side with ammunition they might never have
gotten themselves. Don't raise a bid or lower an offer without
first getting a response.

Here are some more rules of the road:

Never cut a deal with someone who has to
"go back and get the boss' approval." That gives the other side
two bites of the apple to your one. They can take any deal you
are willing to make and renegotiate it.

If you can't say yes, it's no. Just because
a deal can be done, doesn't mean it should be done. No one ever
went broke saying "no" too often.

Just because it may look nonnegotiable,
doesn't mean it is. Take that beautifully printed "standard
contract" you've just been handed. Many a smart negotiator has
been able to name a term and gets away with it by making it
appear to be chiseled in granite, when they will deal if their
bluff is called.

Do your homework before you deal. Learn as
much as you can about the other side. Instincts are no match for
information.

Rehearse. Practice. Get someone to play the
other side. Then switch roles. Instincts are no match for
preparation.

Beware the late dealer. Feigning
indifference or casually disregarding timetables is often just a
negotiator's way of trying to make you believe he/she doesn't
care if you make the deal or not.

Be nice, but if you can't be nice, go away
and let someone else do the deal. You'll blow it.

A deal can always be made when both parties
see their own benefit in making it.

A dream is a bargain no matter what you pay
for it. Set the scene. Tell the tale. Generate excitement. Help
the other side visualize the benefits, and they'll sell
themselves.

Don't discuss your business where it can be
overheard by others. Almost as many deals have gone down in
elevators as elevators have gone down.

Watch the game films. Top players in any
game, including negotiating, debrief themselves immediately
after every major session. They always keep a book on themselves
and the other side.

No one is going to show you their hole
card. You have to figure out what they really want. Clue: Since
the given reason is never the real reason, you can eliminate the
given reason.

Always let the other side talk first. Their
first offer could surprise you and be better than you ever
expected.

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Motivational Articles & Stories - Harvey Mackay

2008-12-06T03:04:00.000-08:00

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Who's Got The Hammer?

By Harvey Mackay

As every salesperson knows, the key to the sale is knowing who's got
the hammer.

The purchasing manager?

Maybe.

If it isn't the purchasing manager, is it the person who writes the
specs the purchasing manager has to follow?

More likely.

Okay, is it the person who draws up the budget for the person who
writes the specs the purchasing manager has to follow?

Quite possible.

All right, is it the person who heads the department of the person
who draws up the budget for the person who writes the specs the
purchasing manager has to follow?

Best bet.

Any peddler worth their expense account tries to reach up as high up
as they can on the corporate ladder on the theory, usually correct,
that orders from headquarters tend to carry the day. That's basic
selling 101.

But those of us who use that tactic have also learned that the
higher up we go, the more likely that the decision maker we're
trying to reach took the same sales course we did, aced it and will
have a trusted assistant trained to block our access.

Just look how many more people would get to heaven if they knew St.
Peter, the most well-known gatekeeper.

You have to know how to get through.

When I am selling envelopes, I never place a call to a prospect
without first finding out whom their assistant or secretary was.
Easy to do by simply asking the main receptionist before they
connect me to the Big Kahuna's office. When the call goes through,
this sets the stage for a nice one-on-one because I'm immediately
able to address the gatekeeper by name.

Recently, I've gotten even better results by not even trying to
personally talk with the Kahuna persona. I say flat out, "I would
like to work directly with you . . ." regarding an appointment,
charitable pledge, study or report, whatever.

In short, when I talk with BK's trusted assistant, I'm talking with
the person I want to talk with. If BK has enough faith in them to
appoint them to the position of being BK's assistant, that's good
enough for me. All I'm asking is that they use their judgment to
decide if I'm making a reasonable request. If I am, give me their
best effort to see to it that it gets done.

Over the years, I have had a lot better success working with people
in this fashion than trying to run over them or around them.

Treat them with dignity. Respect their power. And by all means,
acknowledge their help. Not with lavish gifts. That's gauche. Just
the little niceties. A creative, handwritten note with a beautiful
commemorative stamp. A humorous card. A favorite plant or flower. A
special book. A separate pit stop, where you stop by to see them,
not BK, just to say "Thank you."

Little things mean a lot . . . Not true. Little things mean
everything!

Pat O'Brien of CBS Sports is a friend. He is a human butterfly. When
he lands, it's for never more than a nanosecond. He is always on the
fly and virtually impossible to track down. For the past five years,
my batting average, at best, is I get through only 10 percent of the
time. That's okay, because I'm continually in touch with his trusted
assistants.

"Tell Pat I'm thinking of him."

"Please see that Pat gets this mailing."

"Tell Pat I just ran across his high school classmate from South
Dakota."

"My daughter Jojo says Pat will love reading the following books."

We've managed to stay close all these years, even though we hardly
ever talk directly. His people are my conduits and vice versa.

Cast your line out and make your network include everyone who can
ultimately give you access or contact with the person you want to
reach.

Access to the decision maker is only a gate away.
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Motivational Articles & Stories - Harvey Mackay

2008-12-05T03:04:00.000-08:00

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There's No Business Without Show Business

By Harvey Mackay

There's not a lot of difference between showmanship and
salesmanship. When you get down to the nitty gritty, they may well
be one in the same. We're always interchanging the terms. An
exceptional vocal stylist "knows how to sell a song." A first-rate
salesperson "delivers a helluva performance."

A lot of us make our livings selling through showmanship. As a kid,
I loved to go to the State Fair and watch the pitchman who
demonstrated kitchen gadgets. What could be more boring for a
10-year-old than peeling potatoes? Yet how many zillion times have
we walked with glazed eyes past the counter where they sold veggie
shredders? They still draw bigger crowds than a public hanging. And
the bigger the cornballs they are -- the more stupid the
mother-in-law jokes they crack, the more worthless the "absolutely-free-magic-slicer-I'll-throw-in-for-nothing-if-you-buy-right-now"
gizmo -- the more people gather round.

Of course, when you get the peeler/shredder/juicer home and try it
out yourself, you can never do the same tricks with it that the
midway magician who sold it to you did.

But so what? In your heart of hearts, you knew that before you
bought it. You paid for the performance, not the product.

With the birth of cable TV came various shop-till-you drop channels,
where more refined hucksters hawk their wares. It's like being at
the fair 24 hours a day. My favorites are the infomercials where
high powered pitches pump up the virtues of swartzeneggaresque
muscle machines, magic moisturizing creams and, most compelling,
spray-on-hair in a can.

Both the latest -- and oldest -- trend in the restaurant biz is
showmanship. Chains like "Planet Hollywood," "Harley Davidson Cafe"
and the "Rainforest" hype atmosphere more than burgers to lure
customers. This strategy has worked since the first enterprising
pizza shop owner tossed a slab of dough into the air like a juggler,
twirling it into America's favorite meal.

In Japanese restaurants they add a little excitement to the cuisine
by making the preparation resemble a good knife-throwing act.

Look at fast food. You can either buy your hamburger and fries
hawked by a red-haired clown with big shoes or a soft-spoken
grandfather figure who also happens to own the company.

Western Union can deliver any news in straight language . . . but
wouldn't you rather hear "Happy Birthday" in a singing telegram from
a costumed character holding a bunch of balloons?

Been to an auto show lately? In addition to models and "performance
teams," there are cars upside down, gyroscoping and chopped in
pieces to show construction or suspension. And lights, jazzy
platforms . . . the beat goes on.

Who said salespeople/showpeople have to wear plaid sport coats and
talk out of the corner of their mouths?

Take the train. I do. And, there's no practical reason, EXCEPT, the
sheer romance of an engineer's wavebacks to a kid by the side of the
tracks in a thousand train movies. Even though I know better, for me
this slowmo means of transportation will always be a romantic and
mysterious adventure. A mysterious stranger lurks behind every
sliding door. The lonesome whistle blows. Unbeknownst to his fellow
passengers, Harvey is on a secret mission only Agatha Christie could
decode.

There are trains, and there are cranes. Both have a soft spot in
this guy's heart! A crane operator on a big time, big bucks downtown
job is another hidden performance artist. Demolition or new
construction both set the stage. The operators know timing is
everything -- they always save the best show for noon when the
largest crowd of sidewalk superintendents are in attendance. BOOM.
That's entertainment!

Something smells fishy? Have you ever been on the docks when the
fishing boats come in? The crew who are assigned to the cleaning
duty invariably do it where potential fishing trip passengers can
watch them at work. What a fabulous sale/show -- cleaning the catch
and throwing the entrails to the most attentive members of their
audience, the pelicans.
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Motivational Articles & Stories - Harvey Mackay

2008-12-04T03:05:00.001-08:00

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Holtz Scores on Fourth and Long

By Harvey Mackay

The call came about midnight on Friday, September 8. It was the
night before the Notre Dame football game at Purdue. "Harvey, I'm in
deep trouble and I need your help," said Lou Holtz.

My mind began to race. Had the unexpected loss to Northwestern the
previous week finally sent my buddy around the South Bend bend? Was
this the call I had been waiting for all my life ... was he finally
going to ask me to quarterback the team ("And now entering the game
for the Irish wearing number 62, it's 62-year-old H.B. 'Old Bones'
Mackay.")?

Fortunately, Holtz got to the point before I had the chance to make
a total ass of myself. He was biting and brief. "Something's gone
radically wrong with me the past six weeks. I've lost some feeling
in my legs. I can't walk up and down the stairs. I can't run out on
to the field with the team. When I walk on the putting green, my
right foot drags and makes marks on the turf. And, I'm losing
strength in my hands. It's getting worse day by day."

Well, I may not have what it takes to be a Notre Dame quarterback,
but I've been probed, scoped and carved on by the best medical team
in the country, so I called the Mayo Clinic in Rochester, and on
Sunday ... after Notre Dame had beaten Purdue ... Holtz, his wife,
Beth, the Mayo doctor, and fly-on-the-wall Harvey sat down to get
the verdict.

Dr. David Piepgras made the diagnosis. Holtz had a bruised spinal
cord, which has very serious implications. If it is not operated on
"immediately," paralysis can set in quickly.

Holtz ... being Holtz ... instantly glommed onto the word
"immediately." Is that like the "immediately" that your
brother-in-law is referring to when he says he is going to return
the fifty bucks he borrowed from you? Or is it more like the
"immediately" that describes when the government is going to mail
you your tax refund?

"No."

"Does it mean maybe six months from now?"

"No."

"Six weeks from now?"

"No."

"Six days from now?"

"Let me put it this way," said Dr. Piepgras. "We had a fellow who,
against our very, very strong advice, decided that "immediately"
meant he could sneak in just one more round of golf. That was three
days after we talked with him. He's permanently paralyzed."

"Okay, no golf," said Holtz, ready for the next round of
negotiations. He whipped out a calendar from his back pocket.

"If I take one day to go home and tell my players and my coaches,
and then come back for one day of preparation and surgery," said
Holtz, yielding each day as grudgingly as if he were giving up
yardage on the football field," and allow six days in the hospital
and four days at home, will I be strong enough to call the plays
from the press box against Ohio State?"

"Ninety percent yes."

Holtz got a surge of energy from somewhere, leaped out of his chair
and shook the doctor's hand.

"Done deal," he said. He looked as if he just landed the nation's
number one college football prospect.

Afterwards, I had the chance to talk to him alone for a moment.

"Lou," I said, "you've known about this for weeks. Why didn't you go
in after the Northwestern game?"

"Bad Karma. The only way I was going into that operating room was as
a winner."

"But what if Notre Dame had lost to Purdue?" I said.

"Hey," said Holtz, "can you imagine how far I could drive the golf
ball sitting in a golf cart?"
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Motivational Articles & Stories - Harvey Mackay

2008-12-03T03:04:00.001-08:00

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Bring in the 20-mule team

By Harvey Mackay

An old farmer had been plowing with an ox and a mule teamed together. One
day, the ox said to the mule, "Let's play sick today and take it
easy."

But the mule said, "No, we need to get our work done."

The ox played sick anyway and the farmer brought it fresh hay and
corn and tried to make it comfortable.

When the mule came in from plowing that day, the ox asked how it
went. "We didn't get quite as much done," the mule said, "But we did
a fair stretch."

Then the ox asked, "What did the farmer say about me?"

"Nothing," the mule replied.

Thinking he had a good thing going, the ox decided to play sick
again the next day. When the mule returned from the field, the ox
asked, "How did it go today?"

"All right," the mule said, "but we didn't get much done."

"Well," the ox continued, "what did the farmer say about me?"

"Nothing to me," the mule answered, "but he did stop and have a long
talk with the butcher."

You've probably worked with an ox at some point in your career. They
don't start out lazy; they just get bored . . . burned out . . .
comfortable enough to take advantage of the company's absence policy
to the point where their coworkers are stuck picking up the slack
and working harder than they should. And make no mistake, the
coworkers know the score. No doubt they know the butcher, too.

And if you think the mules in your company are the clock-punching,
grunt-work drones who sit in generic cubicles, I've got news for
you. Everybody from the president on down needs to think like the
mule. Being there counts for something. Accepting responsibility
counts for more.

Companies need dependable, committed employees who can talk
themselves into getting the job done even when they don't feel like
working. Some employees use all kinds of tricks: check out the new
car in the driveway and think about the next payment . . . imagine
the next promotion and the corner office that goes with it. . .
calculate the expected cost of college tuition for the rugrats at
home. A little reality check is a good start. But payday shouldn't
be your chief motivation.

The real pros know how to motivate themselves before they start
having bad days. They look at work differently, not just as a means
of making a living, but as a significant part of a quality life.
Their particular mix of attitude, responsibility, cooperation and
accomplishment make them a valuable commodity in any organization.

Joan is a busy realtor with an active family who also manages to
organize a sizable silent auction for her church and spends time
helping at her kids' school as well. Joan's willingness to get the
job done, no matter what the job happens to be, has earned her the
respect and awe of everyone who has ever worked with her. Does she
have boundless energy? No. She's not even a "morning person." Her
secret? "I have exactly twenty-four hours to make life better than
it was yesterday." Joan would probably laugh if I told her she was a
mule.

Mules, by the way, like their jobs and perform well as a result. If
they find themselves getting in a rut, they stubbornly haul
themselves out. That quiet determination is a huge asset in
business. The ability to get over the bumps is frequently the
difference between success and chapter 11.

The mules -- the steady, willing, get-the-job-done employees -- are
worth their weight in gold. Don't confuse the reliable, day-in,
day-out dependability with a lack of creativity. It's usually the
mules, the folks who are there, who find creative solutions to
everyday problems. They know how things work.
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2008-12-02T03:04:00.001-08:00

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We're just wild about Harry

By Harvey Mackay

At Mackay Envelope Corporation, we are celebrating our 40th year in
business in 1999. One of the reasons we've made it this long is our
phenomenal sales force, as you've doubtless heard me boast before.
They are all A+ students. But one is the professor emeritus of
sales.

Harry Goldfarb decided at the tender age of 25 to flog envelopes.
More than 50 years later, he's still at it. And are we ever lucky
he's still on our team. I'd hate to have him working for the
competition.

When I bought this near-bankrupt company way back when, Harry came
with the furniture. I've long since gotten rid of the furniture.
Harry is not disposable. He's 77 going on 21, and retirement is not
in his vocabulary. Harry will tell you, if you don't use it, you'll
lose it.

So what is it that separates him from the pack? He's a hungry
fighter. A competitor. A guy who believes second is last. And yet,
in his own quiet, inimitable style, he is a class act all the way
with his family, customers and company peers. In short, everybody
loves Harry. If Harry meets 100 people, I guarantee it, 100 people
will like him. He has instant credibility.

Harry is so unassuming he will be shocked to see this column about
him in print. He's the only one at our shop who doesn't know this
piece is being written about him.

The amazing thing is these exact words could have been written about
Harry five years ago, 10 years ago, 15 years ago, even 25 years ago.
Well . . . you get the picture.

Harry hasn't changed 1/10th of 1 percent during his 50-year selling
career. Not in the eyes of his peers or his customers.

How does he do it?

Sincerity, dogged persistence, fanatical attention to detail . . .
sense of humor and a lot of giggles. He knows thine enemy (our
competitors) and is completely knowledgeable about the envelope
business. He is truly the dean of the Minneapolis/St. Paul envelope
community. You may take an order away from him, but you'll never
pick off one of his accounts. Why? Because he will never, never,
never give up.

Remember, when Harry started in this racket it only cost 2 cents to
mail a letter. Envelopes looked pretty much like they do now. He had
no competition from fax machines or e-mail. People actually wrote
letters.

Sure, Harry remembers the good old days, but he doesn't live in the
past. He does provide good old-fashioned service. And he's found
that as times and technology change, service is still the glue that
makes the deal stick.

That's the indomitable Harry spirit I know. And it's lacking in too
many people today choosing sales as a career.

Harry's secret weapon? He'll be there. I guarantee you one day, one
week, one month, one year, our competitors will screw up. Screw up
big time. In the envelope business, job after job has to be right.
When occasional catastrophes happen -- to the other guys, of course
-- that's where Harry fits in. Competitors' customers know they can
call Harry at Mackay Envelope Corporation and he'll take care of it.
He'll come through every time. And Harry knows he can beat 90
percent of the competition just by showing up.

I phoned one of Harry's accounts and asked her, "Why have you stayed
with Harry all these decades? I know it's at least 35-plus years."

She didn't miss a beat.

"That's easy. Harry's a prince and over the years he's hauled
envelopes in his car up to our office . . . actually bought
envelopes from your competitor when you were out of stock to satisfy
us . . . opened your factory on a Saturday to get out a dated
mailing and never has made a pit stop on us at our office without
his million-dollar megawatt smile."

We're just wild about Harry.

If anyone out there thinks they are a Harry, ring us up. Our mission
statement is: To be in business forever.
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2008-12-01T03:05:00.000-08:00

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Worrying makes you cross the bridge before
you come to it

By Harvey Mackay

Recently I saw a survey that says 40 percent of the things we worry
about never happen, 30 percent are in the past and can't be helped,
12 percent concern the affairs of others that aren't our business,
10 percent are about sickness--either real or imagined-- and 8
percent are worth worrying about. I would submit that even the 8
percent aren't really worth the energy of worry.

Did you know that the English word worry is derived from an
Anglo-Saxon word that means to strangle or to choke? That's easy to
believe. People do literally worry themselves to death. . . or heart
disease, high blood pressure, ulcers, nervous disorders and all
sorts of other nasty conditions. Is it worth it?

Some folks seem to think this is a '90s phenomenon, but I've got
news for you: advice about worry goes back as far as the Bible. We
didn't invent it. We just need to find a way to keep it from ruling
our lives.

I've been spending a lot of time in bookstores lately, in the middle
of a 35-city book tour. From one coast to the other, north to south,
some of the most popular self-help books concern worry, stress, and
simplifying your life. I have a couple of favorite books to
recommend.

First, an oldie. Dale Carnegie's "How To Stop Worrying and Start
Living." It was first published in 1948, but the advice is just as
fresh and valuable as it was then and is right-on for the new
millennium. Being a chronic list maker, I found two sections that
really knocked my socks off. Both were about business people trying
to solve problems without the added burden of worrying. Carnegie
credits Willis H. Carrier, whose name appears on most of our air
conditioners, with these silver bullets:

Analyze the situation honestly and figure out what is the worst
possible thing that could happen.
Prepare yourself mentally to accept the worst, if necessary.
Then calmly try to improve upon the worst, which you have already
agreed mentally to accept.
Bingo! You can handle anything now. You know what you have to do;
it's just a matter of doing it. Without worrying.

Another approach I like is a system put into practice at a large
publishing company by an executive, named Leon. He was sick and
tired of boring and unproductive meetings marked by excessive
hand-wringing. He enforced a rule that everyone who wished to
present a problem to him first had to submit a memo answering these
four questions:

What's the problem?

What's the cause of the problem?

What are all possible solutions to the problem?

Which solution do you suggest?

Leon rarely has to deal with problems anymore, and he doesn't worry
about them. He's found that his associates have used the system to
find workable solutions without tying up hours in useless meetings.
He estimates that he has eliminated three-fourths of his meeting
time and has improved his productivity, health and happiness. Is he
just passing the buck? Of course not! He's paying those folks to do
their jobs, and he's giving them great training at decision-making.

Another little gem that's made its way to a #1 New York Times
bestseller is Richard Carlson's "Don't Sweat the Small Stuff, and
it's all small stuff." Of course, being an aphorism junkie and slave
to short snappy chapters, I've found this book can improve
perspective in 100 small doses. I love the chapter titles: "Repeat
to Yourself, 'Life Isn't an Emergency,'" "Practice Ignoring Negative
Thoughts," and my favorite, "Let Go of the Idea that Gentle, Relaxed
People Can't Be Superachievers."

The point is, you can't saw sawdust. A day of worry is more
exhausting than a day of work. People get so busy worrying about
yesterday or tomorrow, they forget about today. And today is what
you have to work with.

I remember the story of the fighter who, after taking the full count
in a late round of a brawl, finally came to in the dressing room. As
his head cleared and he realized what had happened, he said to his
manager: "Boy, did I have him worried. He thought he killed me."

Now that's putting the worry where it belongs.
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Motivational Articles & Stories - Harvey Mackay

2008-11-30T03:04:00.000-08:00

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Disappointment is opportunity in disguise

By Harvey Mackay

On Super Bowl Sunday, it was a real challenge for me to watch the
game at home and not wish I were in Miami losing my voice and
cheering for my hometown team, the Minnesota Vikings, to win it all.

Of course, we should have been there. The best offense in football.
A record-breaking season for scoring the most points ever. The
perfect kicker. The Vegas favorite to win the Super Bowl. And then,
ouch! The overtime loss to Atlanta. I've never heard the "Thunderdome"
so quiet. Sixty-five thousand silent fans. The disappointment was
crushing. We all sat there in shock. We were waiting for something
-- anything -- to make it all better. Not this time. But there's
always next year.

Handling disappointment is one of life's little challenges, and
often an indication of how we deal with adversity at work as well.
Anyone who has been in business can tell war stories about the bumps
in the road. But if they've outlasted the competition, ask for their
stories about survival. They've figured out how to turn
disappointments into opportunities.

Lose one of your best customers? Bummer. But it's not necessarily a
defeat. Find out why their orders are going elsewhere. If you messed
up, fix what you can and resolve not to make the same mistake again.
If the purchasing manager has a new brother-in-law who sells for
your competition, well, that's not a disappointment anymore. That's
your new challenge. Just don't lower your expectations. If you
expect nothing, that's exactly what you'll get.

Didn't get the promotion? Be honest with yourself. Were you right
for the job? Was it right for you? Do you have a future with the
company? Use your disappointment to do some soul-searching. If there
were two qualified people ahead of you, it could be a matter of
timing. If you've been passed over before, it's time to quit being
disappointed and recognize that you might have to jump to another
lily pad. You'll thank your old company later for helping you get
out in time.

Take a lesson from James Whitaker, the first American to reach the
summit of Mount Everest. Even though he was emotionally and
physically prepared, he encountered more than his share of
disappointments: avalanches, dehydration, hypothermia, and the
physical and mental fatigue caused by the lack of oxygen at 29,000
feet. Why did Whitaker succeed where so many had given in to their
disappointments? "You don't really conquer such a mountain," he
said. "You conquer yourself. You overcome the sickness and e
verything else -- your pain, aches, fears -- to reach the summit."

Achievers, like Whitaker, focus on the road, rather than the bumps
in it, to reach their destination.

Okay, you're on the other side of the desk. Can't find the right
person for a job? That's not a disappointment, that's a business
emergency. It's time to call in the pros. I use a headhunter and an
industrial psychologist for all my key hires. I can't afford to be
disappointed.

Is your staff underperforming? Time for another look in the mirror.
Perhaps they're as disappointed in you as you are in them. If you
can make their job more satisfying . . . challenging . . .
rewarding, do it. The results won't disappoint you.

Next time you're on the golf course, pick up your golf ball and take
a close look. The first golf balls manufactured had smooth covers.
An avid, but broke, golfer couldn't afford new ones, so he used
whatever he found along the course: beat up, nicked golf balls. His
playing partners soon noticed that their smooth-covered balls didn't
fly as accurately or as far as his. What was going on? But they
finally figured out what gave their friend the advantage.

Today, golf balls have as many as 432 dimples. The "rough spots"
enhance the ball's distance and accuracy.

Life's like that: rough spots sharpen our performance. And more
often than not, the obstacles can be turned into advantages. You
just can't let your disappointment get in the way.
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Motivational Articles & Stories - Harvey Mackay

2008-11-29T03:05:00.000-08:00

Harvey Mackay

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Manage your time or others will do it for you

By Harvey Mackay

I'll never forget an important time management lesson I learned in a
seminar many years ago . . . especially how the instructor
illustrated the point.

"Okay, time for a quiz," he said, as he pulled out a one-gallon
wide-mouthed mason jar and set it on the desk in front of him. Then
he produced about a dozen fist-sized rocks and carefully placed
them, one at a time, into the jar.

When the jar was filled to the top and no more rocks would fit
inside, he asked, "Is the jar full?"

Everyone in the seminar said, "Yes."

Then he said, "Really?" He reached under the table and pulled out a
bucket of gravel. Then he dumped some gravel in and shook the jar.
This caused pieces of gravel to work themselves down into the spaces
between the big rocks. Then he asked the group again, "Is the jar
full?"

By this time the class was onto him. "Probably not," we answered.

"Good!" he replied as he reached under the table and brought out a
bucket of sand. He started dumping the sand in and it went into all
the spaces left between the rocks and the gravel. Once more he asked
the question, "Is this jar full?"

"No!" the class shouted. Once again he said, "Good!" Then he grabbed
a pitcher of water and began to pour it in until the jar was filled
to the brim. Then he looked up at the class and asked, "What is the
point of this illustration?"

One eager beaver raised his hand and said, "The point is, no matter
how full your schedule is, if you really try hard, you can always
fit some things into it."

"No," the instructor replied. "The point is if you don't put the big
rocks in first, you'll never get them in at all."

So, today, tonight, or in the morning when you are reflecting on
this story, ask yourself: What are the 'big rocks' in my life or
business? Then, be sure to put those in your jar first.

And by the way, you get the same size jar as everyone else. No
exceptions.

What changes from person to person is the size of each rock. I've
got a couple boulders in my jar: family first, always. Things like
friends, my company, my speaking/writing "hobby," maintaining my
network, my volunteer commitments, my health, and my religion all
take up a lot of space. The gravel is all the stuff that takes up
more than a few minutes but doesn't necessarily happen every day,
like a committee assignment, a vacation, learning new software ...
you get the idea.

And now, the sand. You can decide whether to be that 98-pound
weakling who gets sand kicked at him, or the creator of a
spectacular sand castle. The sand is the yes/no stuff that
absolutely has to fit around everything else after it's in the jar.
A little piece of sand in your eye is a big pain, and those are the
ones that get the no-thank-you right off the bat. A little sand on
an icy street is one of life's little pleasures when you live in
snow country as I do. You choose the sand. It's your jar.

In other words, it's your time. Change the rocks, gravel and sand
into hours, minutes and seconds. Then decide what your priorities
are and how much time you'll spend on them. If you don't, someone
else will decide for you and you'll end up with a jar full of heavy,
jagged, nasty shards that nobody could touch without getting stabbed
by another rock. Do you really want to spend your time working on
other people's priorities?

As Benjamin Franklin said, "If we take care of the minutes, the
years will take care of themselves." Good time management is taking
care of the things that matter most to us first and keeping that jar
of rocks in sight all the time.

My friend Lou Holtz has a great formula: W.I.N. -- What's Important
Now? Use some of your precious time to figure out what's important
in your life and you will win.
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Motivational Articles & Stories - Harvey Mackay

2008-11-28T03:05:00.000-08:00

Harvey Mackay

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Tell the truth or pay the consequences

By Harvey Mackay

Introductory Chemistry at Duke University has been taught for about
a zillion years by Professor Bonk and his course is known
affectionately as "Bonkistry."

One year, two guys were taking Chemistry and doing pretty well on
all the quizzes, midterms and labs. They were each getting a solid
"A" going into the final exam. They were so confident that the
weekend before finals they decided to go up to the University of
Virginia to party with some friends. Due to bad hangovers, they
overslept all day Sunday and didn't make it back to Duke until early
Monday morning.

Rather than taking the final then, they explained to Professor Bonk
that they had driven up to the University of Virginia for the
weekend and had planned to come back in time to study but they had a
flat tire on the way back and didn't have a spare, so they didn't
get back to campus until late Sunday night.

Professor Bonk thought this over and then agreed that they could
make up the final on the following day. The two guys were elated and
relieved. They studied that night and went in the next day.
Professor Bonk placed them in separate rooms, handed each of them a
test booklet, looked at his watch and told them to begin. They
looked at the first problem, which was something simple about
molarity and solutions and was worth 5 points.

"Cool," each of them thought. "This is going to be easy." They did
that problem and then turned the page. They were unprepared,
however, for what they saw on the next page. It said: Which tire?
(95 points)

As the father of three children, one of my rules -- especially when
they became teenagers -- was to tell me the truth immediately. I
insisted David, Mimi and Jojo tell me the truth about anything bad
they had done or were a part of. And I had to know right away -- not
a day or week later. If not, they would pay severe consequences.

That philosophy seemed to work for me, and quite frankly, I've
always believed that telling the truth is the best policy.In
business, it's a must.

A few years back, the Forum Corporation of Boston, Mass., studied
341 salespeople from 11 different companies in five different
industries. Their purpose was to determine what separated the top
producers from the average producers. When the study was finished,
the results were startling. It was not skill, knowledge or charisma
that divided the pack. The difference came down to one trait:
honesty. When customers trust the salespeople, they buy from them.

At Mackay Envelope Corporation, we don't tolerate anything less than
honest negotiations and delivery guarantees. An envelope is a very
standard commodity. Sure, the paper, the glue, and the size can
vary. The end product can probably be duplicated by a hundred
companies. But nobody can match us day in day out, job after job,
envelope after envelope, smile after smile. Our customers know we'll
do what we promise. They've even occasionally forgiven us for an
honest mistake because they know we'll make good on our word.

We also don't do business with vendors who are less than upfront. It
could eventually affect how we deliver to our customers, and we
don't like to lose customers. Our sales force wouldn't stick around
for long if we made their job harder. Can you blame them?

Telling the truth is not always a trait we associate with
politicians in our country, and the recent events in Washington is a
perfect example of what happens when the truth, the whole truth, and
nothing but the truth is in question. We all have our own opinions
of what has happened, but how would you like to be remembered as the
president that 80 percent of the population didn't trust? You may be
able to keep your job in politics with those numbers, but I can't
think of another profession where you'd have the same result.
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How to Establish Business Credit in 90 Days

2008-11-26T03:04:00.000-08:00

Author: Paul D. McDonald, MBA

Business Credit--every small business needs it at some point in time. Unfortunately, the age-old rule so often seems to be true--the only way to qualify for a loan is to prove that you don't need it. But that isn't necessarily the case... here are some simple strategies that will help any small business move toward a good, strong credit relationship with a bank.

Be a Good Customer of Your Bank

Remember that if you apply for a business loan at a bank where you have your business checking account, the first thing that the loan officer will do is call up your checking history. If it is constantly in a state of overdraft or is very low, they are unlikely to consider a loan proposal any further. However, if your account shows a regular inflow of cash from many customers, that is much more appealing to a loan officer.

Have Great Financial Records

Get your financial records in shape. Have a nice summary booklet prepared to show to your banker. Include a brief confidentiality statement. Also, have a brief description of what you do, how business has been, and what your future plans are for your business. Include some photos of your business and work. While these measures aren't really required for a bank loan, they do show that you are serious about your business and help the loan officer to more understand your business.

Letters of reference also help a lot. Ask a few of your best customers to write letters for you to include in your record book. Ask them to state that they intend to continue to do business with you in the future, and at what level they expect to do business. Letters like this will go a long way to convincing a lender to work with you to set up a line of credit.

Establish Secured Loans

This method is widely taught to help people establish credit. You'll need about $1,000 to start--go to your bank and set up a $1,000 Certificate of Deposit (CD) and use that CD to secure a line of credit for the same amount. You can then use that money borrowed to complete the same move at a second, and then a third bank. You'll have $3,000 borrowed at with $3,000 on deposit to secure those loans.

Pay the loans as agreed and in about 90 days you should have a good working relationship and history with three banks for your business line of credit.

If you don't do anything else, do this step. If you want to improve your position, start with more than $1,000. Establish a Floor Plan with Wholesale Suppliers I'll be the first to admit that this isn't always the best idea. In fact, I know of several businesses that went completely under by having too much money and profit tied up in their ""floor plan"" of products with their vendors.

That's the key phrase, though... ""too much."" If you are in a business that sells products that can be acquired by a floor plan, those items in your inventory are used to secure the credit. While I don't recommend having 100% of your inventory on a floor plan, it is a good idea to establish some credit with one or more wholesale vendors.

Buy a Company Car on Credit

Sure, if you have cash then sometimes it is a good idea to pay in full for a car... but this isn't about being debt-free, it's about establishing credit. Get a company car from a dealer and arrange the financing through your business. Many automotive financing companies and banks will issue business loans for automobiles because the loan is secured by the vehicle.

Include a photo of the vehicle in your financial statement.

Get a Line of Credit BEFORE You ""Need It""

This is the most important step. You have to be prepared in advance. Establish business credit before you need it for your business. Have a strategic plan to establish credit for your company and work that plan. Don't be afraid to meet with your banker and discuss the plan--their job is to loan money to good credit-worthy low-risk businesses.

Work with More than One Bank

In his book Sharkproof, author and businessman Harvey MacKay explains one of his business mistakes. He had given all of his banking business to one and only one banker for many years. When the market turned hard on the bank and on his business, his one and only bank had pulled his line of credit and it severely hurt his company's operations.

He continues to explain that he ""should have taken his own advice"" and spread his business around to several banks. While you may not have a company the size of Mackay Envelope Corporation, it's still good advice for something as critical to your business as banking relationships--spread the business around.

Refer Business to Your Bank

When you go about your daily business, it is not uncommon to find people who have moved to the area or are unhappy with their current bank. Recommend your bank to them. Write them a great note and tell them how you really do like your bank. Include a business card of your banker for them to contact. You then should send a copy of that note to your banker with another note attached stating that you are truly happy with them and that you are always looking to help their business as well as your own.

Is this sneaky? Maybe. Do it anyway--your banker will love you for it and will remember you when the time comes for you to increase your business with that bank.

Summary

Not every strategy listed here will work for every company and with every banker or lender. Nothing works 100% of the time, but these eight ideas are enough to get any profitable business started toward establishing good business credit.

A Bird-Flu Pandemic Could Start Tomorrow

2008-11-25T03:06:00.000-08:00

Author: Bradford Frank M.D., M.P.H., M.B.A.

Bird flu is a disease caused by a specific type of avian (bird) influenza virus, the so-called H5N1 virus. This virus was first discovered in birds in China in 1997 and since then has infected 125 people in Vietnam, Cambodia, Thailand, and Indonesia, killing 64 of them. It is spread by infected migratory birds (including wild ducks and geese) to domestic poultry (primarily chickens, ducks, and turkeys), and then to humans.

Since 1997, and especially since the beginning of 2004, approximately 150 million birds have either died from the disease or been killed to prevent further spread. Nevertheless, this very infectious and deadly virus has spread relentlessly to China, Thailand, Cambodia, Vietnam, South Korea, Japan, Taiwan, Laos, Russia, Indonesia, Mongolia, Kazakhstan, Malaysia, Turkey, Romania, England, Croatia, Macedonia, and other countries. This ongoing geographic extension of the virus is of great concern around the world. It is feared that it will continue to spread to all continents, including the Western Hemisphere--and it no doubt will.

Normally, different types of viruses infect just one, or a limited number, of species specific to the particular virus type. The bird-flu virus, however, has infected a large number of birds and animals, including ducks, chickens, turkeys, tree sparrows, peregrine falcons, great black-headed gulls, brown-headed gulls, gray herons, Canada geese, bar-headed geese, little egrets, pigs, clouded leopards, white tigers, mice, domestic cats, crows, magpies, peacocks, blue pheasants, rare eagles, turtledoves, swans, terns, and others. This is another sign of the virulence or destructiveness of the virus.

Researchers, historians, and infectious-disease experts have determined that influenza pandemics (global epidemics) occur approximately once every 30 years. The most deadly pandemic ever recorded occurred in 1918-19, killing more than 100 million people across the globe in less than two years. Two other much less severe pandemics occurred, one in 1957, when approximately two million people died, and one in 1968, when about one million people died. Because we have already had three pandemics in less than 100 years, we are ""overdue"" for another one.

And so this disease-causing virus continues to infect more and more species in more and more countries. In laboratory experiments, it has been shown to be one of the most lethal influenza viruses ever known. In addition, just recently and after 10 years of work, researchers determined that the H5N1 bird-flu virus is genetically more similar to the deadly 1918-19 influenza pandemic virus than to the viruses which caused the much less severe pandemics of 1957-58 and 1968-69.

To summarize the important points so far: The bird-flu virus is a very deadly strain of avian influenza called H5N1 that has killed millions of birds; 2) the virus is spreading relentlessly around the world; 3) the virus has infected many species, which is uncharacteristic of most viruses; 4) the virus has been shown to be similar to the most deadly virus ever known, which caused the 1918-19 pandemic; 5) the virus has been shown to be much more deadly in laboratory experiments than regular influenza viruses; and 6) the virus is known to have infected at least 125 humans and killed 64 of them so far, yielding a fatality rate of approximately 50 percent.

The virus continues to kill humans, but at a slow rate--it has not yet acquired the capacity to be easily transmissible between humans; humans become infected primarily from sick birds. Because humans alive today have no natural immunity to the H5N1 virus, once it becomes easily transmissible between humans a pandemic or global epidemic will occur. The central question is, when will it exchange enough genetic material with the usual seasonal human influenza-viruses to become more like a human-influenza virus--and thus become easily transmissible between people?

Many people believe that the virus will continue to spread around the world until it is present in most or all countries--before it will ""go human"" (become easily transmissible between people). And that may be the case. The pandemic of 1918-19 is thought to have started in Kansas (of all places). So it is certainly possible that the coming pandemic could start somewhere else than in Asia--although most experts believe it will, in fact, start there. It could start in a country which has not yet been host to the virus.

However, it is most certainly not necessary for the virus to march all the way around the world before a pandemic can begin. The fact that the virus already has spread to more than 15 countries, and to many different bird and animal species, provides the opportunity for it to commingle with a human-influenza virus and create the dreaded human contagion. There is no known reason why this could not happen tomorrow. While it is true that the probability of the switch increases with time, the probability of its happening tomorrow is far from zero.

The flip side to the possibility that the crossover could happen at any time is the fact that the virus has been around at least since 1997 and, as a matter of record, has not yet switched to a deadly human-to-human form. At least a few scientists believe that the virus can't and won't make the switch to a deadly form, possibly ever.

And so we are left with these two very different possibilities--at any time, and as soon as tomorrow, the virus could mutate into a deadly form, readily transmissible between people--or it might never transform itself into such a form. There appears to be much more evidence for the former and, presumably, that is why the vast majority of scientists and governments are scrambling to prepare for the worst.

This situation is analogous to living on the Gulf Coast during the beginning of hurricane season. Residents there have been through it before, but most of the time the storms are not too severe and the people can get by without too much hassle. However, there have been rare severe storms that have been devastating. Some day another hurricane is coming, and it appears that it might well be a Category IV or even V by the time it strikes land. However, that's not certain--no one can say for sure, and no one knows exactly when it will strike land. So what should the residents do? What should the residents have done before hurricane Katrina?

The coming bird-flu pandemic might be mild and it might not come for years. On the other hand, it might be severe and it might start tomorrow. The U.S. Government Accountability Office (GAO) has said, ""While the severity of the next pandemic cannot be predicted, modeling studies suggest that its effect in the United States could be severe."" We should also be mindful that the pandemic could come at any time, even before the virus methodically marches around the globe. No matter how advanced science has become, we still can not predict when the switch will occur; it is currently unknowable--and that does not mean it will come later, in a predictable fashion. As Miguel de Cervantes admonished, ""Forewarned, forearmed.""

Bradford Frank, M.D., M.P.H., M.B.A. The Frank Group P.O. Box 138 Lakewood, NY 14750 http://www.AvoidBirdFlu.com

About the author: None

Bird Flu: Human Infection

2008-11-24T03:05:00.001-08:00

Author: Bradford Frank M.D., M.P.H., M.B.A.

Bird flu is a disease caused by a specific type of avian (bird) influenza virus, the so-called H5N1 virus. This virus was first discovered in birds in China in 1997, and since then has infected 125 people in Vietnam, Cambodia, Thailand, and Indonesia, killing 64 of them. It is spread by infected migratory birds (including wild ducks and geese) to domestic poultry (primarily chickens, ducks, and turkeys), and then to humans.

Some infected people have developed abnormal clotting profiles resulting in excessive bleeding--which was a frequent clinical symptom in the deadly so-called Spanish influenza of 1918-19, which killed more than 100 million people worldwide. Indeed, bird flu shares a number of disturbing characteristics with the 1918-19 influenza virus. These two viruses have, in fact, recently been shown to be similar genetically. And in a recent laboratory experiment with mice, the 1918-19 virus was found to produce 39,000 times more viruses four days after infection than the regular seasonal human flu strain. The 1918-19 virus killed 100 percent of the mice that were infected with it, compared to none of the mice infected with the regular flu strain. With a current ""case fatality rate,"" or death rate of approximately 50 percent in humans, bird flu is obviously also a very deadly disease.

There are only a few reports in the medical literature describing the clinical features of bird flu in humans. The clinical spectrum of H5N1 infection ranges from asymptomatic infection--where the person doesn't even know he or she is infected--to fatal pneumonia and multiple organ failure. Some infected individuals develop liver or kidney dysfunction, and there were two children who died from the virus that came to medical attention because of diarrhea and seizures related to encephalitis (infection of the brain). However, the most common presentation is one of fever, cough, and trouble breathing. Approximately 70 percent of patients also have diarrhea, and a few patients have had only gastrointestinal symptoms (such as stomach ache, vomiting, and diarrhea) and no breathing problems.

Deaths have generally been in normally healthy people. The first report in the medical literature of deaths from bird flu was on 12 patients living in Hong Kong. Their median age was nine years, with a range of one to 60 years. All presented with fever, and eight had symptoms or signs of upper-respiratory infections (five had clinical and X-ray evidence of pneumonia when first diagnosed). Gastrointestinal (GI) symptoms, including stomach pain, vomiting, and diarrhea, were present in eight patients. There were a total of five deaths (one died with Reye's syndrome, which is associated with taking aspirin in children).

In a study of 10 patients in Vietnam with laboratory-confirmed avian influenza (H5N1), the mean age of the patients was 13.7 years. For eight of the patients, there was a clear history of either direct handling of poultry (chickens or ducks) or exposure to sick poultry in the week before the onset of illness. All presented in January 2004 with cough, shortness of breath, and fever, and seven had diarrhea; none had myalgia (muscle aches)--which is often found in the regular seasonal flu. Notably, oseltamivir (Tamiflu) was administered to five patients, four of whom died (treatment was probably started too late for the medication to be effective--it must be given within 48 hours after onset of symptoms to be effective). In total, eight of the patients died, for an 80 percent case fatality rate or death rate.

As is apparent from the descriptions above, the presenting symptoms of individuals with bird flu are very similar to the symptoms of the normal seasonal flu. Infections caused by either the bird-flu virus (H5N1) or the seasonal influenza virus can be completely asymptomatic--that is, cause no symptoms at all. Fever, cough, malaise (feeling ill), and gastrointestinal symptoms are common to both infections. Excessive bleeding occurs only with bird flu, but currently this symptom doesn't appear to be common. Difficulty breathing is more common with severe cases of bird flu, not seasonal flu. Runny nose and sneezing are found only with colds (or allergies).

The cough in either type of infection is what is referred to in medicine as ""nonproductive""--meaning there is no sputum brought up when coughing, or if any sputum is brought up, it is white in color. This type of cough is characteristic of upper respiratory viral infections. As either type of infection progresses or worsens, tissues may be damaged, disrupting the normal structure and function of the infected cells. This in turn may allow bacteria to grow and also cause damage. When this happens following a viral infection, it is referred to as a ""secondary"" bacterial infection. When this occurs, the color of the sputum characteristically turns yellow or green. If this happens, antibiotics are indicated to treat the bacterial infection. (Antibiotics are not indicated in the treatment of viral infections, because they don't work.)

It is safe to assume that during a bird-flu pandemic, most individuals who become infected with the bird-flu virus will either be asymptomatic--having no symptoms--or their illness will not be severe enough to require hospitalization. The small percentage who do become seriously ill will have to be hospitalized, and treated with either of the two antiviral agents available, oseltamivir (Tamiflu) or zanamivir (Relenza). A smaller subset of that group will develop life-threatening complications such as acute respiratory distress syndrome (ARDS), which requires treatment with a mechanical ventilator, a respirator.

Some individuals may develop other serious complications such as liver failure, kidney failure, neurological problems--such as seizures, paralysis, psychiatric problems such as delirium or psychosis, or bleeding problems. However, it is reasonable to predict that most people infected with the virus will not die and will not have significant residual symptoms, although a small percentage will.

Bradford Frank, M.D., M.P.H., M.B.A. The Frank Group P.O. Box 138 Lakewood, NY 14750 www.AvoidBirdFlu.com

About the author: None

Insurance for Your Business

2008-11-23T03:05:00.001-08:00

Author: Eran Salu, JD, MBA, CPA

The importance of insurance cannot be over-emphasized and neither can the danger of paying for insurance you don't need. It is strongly recommended you solicit the advice of an independent business insurance agent. Don't forget to SHOP! Talk to three or four independent agents and compare notes and prices. An insurance agent will lay out a vast array of insurance coverage much of which you simply may not need. Your situation will be unique and you must consider each insurance element carefully to ensure comprehensive coverage.

Whatever your final insurance program looks like, you should review it at least every six months. Your business can change rapidly, especially in the first few years and insurance needs change with it. Keep your program up to date by calling in your agent and reviewing your coverage. Make changes where necessary.

LIABILITY INSURANCE

This is probably the most important element of your insurance program. Liability insurance provides protection from potential losses resulting from injury or damage to others or their property. Just recall some of the big cash awards you have read about that have resulted from lawsuits concerning liability of one kind or another and you will understand the importance of this insurance. Your insurance agent can describe the various types of liability insurance coverage that are available. If you will end up with a comprehensive general policy, make certain that the general policy does not include items you don't need. Pay for only the insurance you need. For example, your business may not need product liability insurance.

Do not confuse business liability coverage with your personal liability coverage, both of which you need. Your personal coverage will not cover a business-generated liability. Check to be certain.

Compare the costs of different levels of coverage. In some cases a $2 million policy costs only slightly more than a $1 million policy. This economy of scale is true with most forms of insurance coverage. That is, after a certain value, additional insurance becomes very economical.

KEY PERSON INSURANCE

This type of insurance is particularly important for the sole proprietorship or partnership where the loss of one person through illness, accident, or death may render the business inoperative or severely limit its operations. This insurance, although not inexpensive, can provide protection for this situation. Key person insurance might also be necessary for others involved in your business.

SGC was a small firm run by three partners, a software programmer, marketer, and a general manager. Their product was a complex computer program used by aerospace firms. Al, the programmer, was involved in a severe automobile accident, became totally disabled, and SGC lost their programming capability. The problem was that the computer program written by Al was essentially the company's sole product. Modifications to accommodate the customer became impossible and the time to bring another programmer up to speed was excessive. SGC lost considerable business as a result of this situation. These losses could have been offset by key person insurance.

DISABILITY INSURANCE

You, as a business owner, should be covered by disability insurance whether or not you decide on key person insurance. This insurance, along with business-interruption insurance, described below, will help ensure your business will continue to operate in the unfortunate situation where you are unable to work. Your disability insurance policy needs to provide satisfactory coverage. Particular attention should be paid to the definition of ""disability,"" delay time until payments start, when coverage terminates, and adjustments for inflation.

FIRE INSURANCE

Fire insurance, like all insurance is complicated and you should understand what IS and IS NOT covered. For example, a typical fire insurance policy covers the loss of contents but does not cover your losses from the fact that you may be out of business for 2-months while your facility is rebuilt. Fire insurance is mandatory whether you're working out of a home office or you have a separate facility. You should discuss a comprehensive policy with your agent. Take the time to understand the details. For example, will the contents be insured for their replacement value or for actual value at the time of loss?

Consider a co-insurance clause that will reduce the policy cost considerably. This means that the insurance carrier will require you to carry insurance equal to some percentage of the value of your property. (Usually around 85%.) With this type of clause it is very important that you review coverage frequently so you always meet the minimum percentage required. If this minimum is not met, a loss will not be paid no matter what its value.

If you are working out of your home, your existing homeowner's policy may not cover business property. If this is the case, have your insurance agent to add a home-office rider to your policy.

AUTOMOBILE INSURANCE

You probably already have automobile insurance but it might not include business use of your vehicle. Make sure that it does.

WORKER'S COMPENSATION INSURANCE

If you make the decision to hire employees, you will be required, in most states, to cover them under worker's compensation. The cost of this insurance varies widely and depends on the kind of work being performed and your accident history. It is important that you properly classify your employees to secure the lowest insurance rates. Work closely with your insurance agent.

BUSINESS INTERRUPTION INSURANCE

This protects against loss of revenue as the result of property damage. This insurance would be used, for instance, if you could not operate your business during the time repairs were being made as a result of a fire or in the event of the loss of a key supplier. The coverage can pay for salaries, taxes, and lost profits.

CREDIT INSURANCE

This will pay for unusual losses as the result of nonpayment of accounts receivables above a certain threshold. As with all policies, you must thoroughly understand the details so discuss it with your insurance agent. One of the largest providers of this coverage is American Credit Indemnity, Baltimore, MD. (800) 879 1224.

BURGLARY/ROBBERY/THEFT INSURANCE

Comprehensive policies are available that protect against loss from these perils, including by your own employees. Make certain you understand what is excluded from coverage.

RENT INSURANCE

This policy covers the cost of rent for other facilities in the event your property becomes damaged to the extent that operations cannot continue in your normal location.

DISABILITY INSURANCE

This insurance will pay you an amount each month slightly less than your current salary in the event you become disabled and are unable to work. Cost for this coverage varies considerably depending on your profession, salary level, how quickly benefits start, and when they end. Benefits paid are tax-free only if you, not your company, pay the premiums.

This list could be continued since it is possible to purchase insurance for just about any peril you can imagine ... if you can pay the premium! When considering your insurance coverage, use the following checklist:

INSURANCE COVERAGE CHECKLIST:

* Can you afford the loss?

* What coverage is required by Federal, state, or local law?

* What SPECIFIC items are covered by the policy?

* Are items to be insured for their replacement cost or original value?

* What SPECIFIC items are EXCLUDED by the policy?

* If there is a co-insurance clause, do you have adequate coverage?

* Have you chosen deductibles wisely in order to minimize costs?

* Do any of the policies you are considering duplicate or overlap one another?

* Do you need any insurance based on location, e.g., flood, earthquake?

Use the following checklist to review your insurance plans:

INSURANCE PLAN CHECKLIST:

* Employ an independent insurance agent rather than going to individual insurance companies. Ensure the agent shops for your insurance.

* Talk to and get quotations from at least THREE agents and pick the best one for you.

* Use money saving comprehensive policies, if possible.

* Perform periodic (every 6-months) reviews of your insurance program.

* Have business assets professionally appraised to determine coverage needs.

* Ensure existing personal insurance coverage includes business-related activities and add riders as necessary or obtain additional coverage.

http://www.TotalBusiness.com is a Website that provides business owners with the information they need in order to successfully start, manage, grow, and sell their businesses.

The site features over 3,000 articles and 60 guides on business topics such as starting a business, financing a business, sales and marketing, building a website, setting up an office, hiring employees, and selling a business. The site also contains articles on legal and accounting issues affecting businesses and allows business owners and entrepreneurs to get free expert advice from local lawyers or accountants. The site contains over 1,000 business forms and agreements that are helpful to business owners and provides a business directory with over 1,700 merchants who provide services specifically for small businesses.

About the author: Eran Salu, JD,MBA,CPA is the Founder and CEO of TotalBusiness.com

One Nation Under God and the Separation of Church and State

2008-11-22T03:04:00.000-08:00

Author: Paul D. McDonald, MBA

I understand that there are people in this country that do not believe in God. I understand also that there are those who do believe in God but do not want to serve Him, worship Him, or acknowlege Him.

There have been people that want to take the phrase ""Under God"" out of the Pledge of Allegiance. Those that support the argument take the stance that they don't believe in God and should not therefore have to put themselves under something they do not believe in.

I, however, do believe in God and will not pledge Allegiance to any country that places itself above God.

So we have now argued ourselves into a pickle barrell.

Let's look at the primary argument for removing ""Under God"" from the Pledge: Separation of Church and State.

1) The phrase ""Separation of Church and State"" is not in the Constitution. This fact is an often mistaken one. The only time the word ""religion"" is found in the Constitution is in the First Amendment: ""Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech, or of the press; or the right of the people peaceably to assemble, and to petition the government for a redress of grievances. ""

2) Why should Congress make now law represecting an establishment of religion? Well, that's a darn good point. I contend that it is because no one should have religion forced upon them. And this (at least as I understand it) is the one argument that I understand and grant at least some credence to for removing the phrase ""under God"" from the pledge. I do not want someone to pledge to God who does not want to, and I beleive that God doesn't want that either.

3) What brought about ""Separation of Church and State"" anyway? Back before the reformation and during the times of Martin Luther, it was not uncommon for heads of state to also be heads of the church in that area. This led to the corruption of power in both political and religious circles. So a separation of church from the state was meant not to prevent corruption of state by the church, but to prevent corruption of the church by the state.

I doubt little that I have resolved any of the arguments here. For those who fight to remove ""under God"" from the pledge, to you I say that I wish you well and if you want, you can hold your breath during those two words. I, however, will gladly pledge my allegience to one nation under God.

About the author: Paul D. McDonald, MBA, has consulted with churches on growth and management of the ""business aspects"" of running a church. Visit http://wreach.blogspot.com/ to learn more.

Choosing a Business Partner

2008-11-21T03:05:00.001-08:00

Author: Eran Salu, JD, MBA, CPA

In choosing the right partner you must consider a number of factors. If you chose your partner wisely you will share the risk and alleviate some of your anxiety that is part of going it alone. Here are some factors to consider when selecting your partner:

CHECKLIST FOR CHOOSING A PARTNER:

* Does this person bring expertise I don't have to the business?

* Does this person share my values, ethics, and goals for the business? This is very important! You must not hesitate to bring up these issues in initial discussions with your potential partner. If your partner's idea of business is to get rich quick at the expense of others, you might want to reconsider. Discuss with the potential partner both your short and long term business goals and determine if they mesh with his or hers. Better you find out about possible incompatibilities before making any formal commitments. Ted and Bill were perfect partners, or so it seemed. Different areas of expertise, common goals, both had money to invest in the partnership. Because they were such long-time friends, they never talked with each other about issues that might cause problems in the future. They knew they had a good idea and worked well together and that seemed enough. Unknown to Ted, Bill was about to get a divorce. As female readers know, many men generally do not talk about personal matters, even among good friends, to any degree. Because of Bill's divided attentions, the partnership dissolved. Too bad, since altering the timing a bit might have saved the partnership and another good idea.

* If the partner is a spouse, does he or she share my same convictions about starting and operating a business?

* Does the potential partner share my qualities as an entrepreneur?

* Does this person have family or other personal problems? Be frank and ask the question! You are going to have enough problems with the new business and you cannot afford the additional stress that is brought on by non-business problems as well.

* How well do you know your potential partner? Like a marriage, you are going to be working together through good and bad times. Don't be too quick to get involved with someone who is just a casual acquaintance. Has this person been in a partnership before? How did it go?

Do not be quick to make a decision. An ineffective partner is much worse than no partner at all. When you have picked a partner, the next step is to formally (with the help of an attorney) lie out respective responsibilities of each partner. Plan to the extent possible, for unforeseen circumstances.

CAUTION. It is always hard to really know how someone - even a good friend or family member - will react in a business/partnership situation. If possible, work together on a project or two with your potential partner (before any partnership agreements are signed). This way you both can assess each other before a formal commitment is made.

http://www.TotalBusiness.com is a Website that provides business owners with the information they need in order to successfully start, manage, grow, and sell their businesses.

About the author: Eran Salu, JD,MBA,CPA is the Founder and CEO of TotalBusiness.com

Financing Your Small Business

2008-11-20T03:05:00.001-08:00

Author: Eran Salu, JD, MBA, CPA

If it is at all possible, you should start your business without any funding beyond what you have available. Do this by starting slowly and in conjunction with present employment. Start your business by working evenings and weekends while keeping your present job as long as practicable. This way, if the business does not meet your expectations, you have not incurred debt and will still have a job!

However, depending on the nature of the business outside funding may be necessary. For example, expensive equipment or initial stock may be required. When determining your financing needs, remember that nearly everyone underestimates what is required, so be careful and do your planning accordingly. And of course, don't forget to factor in contingency - sickness, bad weather, equipment breakdown, etc. Anything that increases the time line to profits! Best you figure on a year before you see a profit. Here are some items to keep in mind when preparing your startup budget:

* Office equipment (Fax machine, computer)

* Production equipment (for manufacturing)

* Office supplies

* Legal and CPA fees

* Insurance

* Business licenses or permits

* Lease deposits

* Remodeling costs

* Utility deposits (this can be quite large!)

* Salaries

* Shipping

* Advertising and promotion

* and the big one ... contingency!

What you want to avoid is having to find additional financing during your startup phase. It is generally easier to obtain financing the first time around!

There are two major forms of business financing.

1. DEBT FINANCING. This simply means you get a loan from someone or somewhere and go into debt! You are obligated to repay the money.

2. EQUITY FINANCING. This involves ""selling"" a portion of your company to an outside investor. You have no obligation to repay the funds. In general, this type of funding is provided by venture capital firms.

The fact is, 99.99% of all small businesses will utilize debt financing since most ""equity lenders"" (venture capital companies) are interested in lending large amounts of money, generally a million dollars or more. This article will only consider sources for obtaining debt financing for your venture.

SOURCES FOR DEBT FINANCING

1. YOURSELF! (Savings) You are your own best ""lender"" if you have the savings. This approach can be quick and easy.

CAUTION: Ensure you have adequate savings for both the business and other life contingencies.

2. FRIENDS and RELATIVES. If they believe in you and your idea, friends and relatives are sometimes willing to fund you. Choose this route with care and ensure you execute a formal loan document stating loan terms (interest, terms of repayment).

CAUTION: Many friends have been lost and many relatives alienated because of a small business failure.

3. BANKS and CREDIT UNIONS. Many banks and credit unions (check with your own first and with you local chamber of commerce for alternate possibilities) will loan money for starting a small business. This approach will require that you present a formal plan to the bank showing justification for the amount you are borrowing.

4. THE SMALL BUSINESS ADMINISTRATION (SBA). Check out their website (http://www.sba.gov). Contrary to what many believe the SBA does NOT generally loan money directly but rather guarantees a loan (normally up to 90%). This can make it a lot easier to obtain a bank loan since the bank's risk is lowered considerably. The exception is that the SBA does provide direct loans to certain groups including Vietnam-era and disabled veterans and handicapped individuals. In general, the SBA will not offer any assistance until you have been turned down for a loan by a commercial bank.

Most loans guaranteed through the SBA are between $25,000 and $750,000. However, there is a ""microloan"" program for amounts from a few hundred dollars up to $25,000.

5. VENDOR FINANCING. If your business is one that relies heavily on certain vendors, it may be possible to obtain financing through the vendor. After all, they want you to use their product and therefore have an interest in helping you be successful.

6. STATE. Some states have small business financing authorities that issue tax-exempt development bonds that can be used to finance land, buildings and equipment for manufacturing businesses. Check with your local government office for details.

7. HOME EQUITY LOAN. Interest rates for this kind of loan are generally quite low and the interest is fully deductible for the first $100,000 borrowed.

CAUTION: You are placing your home on the line!

8. LIFE INSURANCE. Some types of life insurance policies (whole life and universal) have cash value which can be borrowed at very low interest rates. You are not obligated to pay this money back but if you don't, your policy payout is reduced by the amount borrowed.

9. RETIREMENT PLANS. Some retirement plans (401K for example) allow you to borrow against vested benefits. Generally, up to 50% may be borrowed as long as this is less than $50,000.

CAUTION: If you quit your employment, the loan must be repaid immediately. If you don't the amount borrowed is treated as an early distribution and is taxable.

10. GRANTS. Many foundations provide funding in the form of grants. Check ""The Foundation Directory"" at your local library or visit their website at http://fdncenter.org to find out what foundations may have an interest in your specific business idea. The Foundation Center may be reached at (212) 620-4230.

11. CREDIT CARDS. These should be used with care because of the excessively high rates of interest usually charged.

CAUTION. Remember that many of these loan ideas will require you to sign a personal guarantee. This means that regardless of what happens to your business, you are personally liable for the repayment of the loan amount. Think carefully before signing.

http://www.TotalBusiness.com is a Website that provides business owners with the information they need in order to successfully start, manage, grow, and sell their businesses.

About the author: Eran Salu, JD,MBA,CPA is the Founder and CEO of TotalBusiness.com

Bird Flu: Diagnosis

2008-11-19T03:05:00.001-08:00

Author: Bradford Frank M.D., M.P.H., M.B.A.

Central to the problem of dealing with bird flu is diagnosis. A number of upper respiratory infections have similar symptoms--at least at the onset of the illness, including the common cold, seasonal influenza, and bird flu. Seasonal flu and bird flu have almost identical symptoms--including fever, cough, malaise (feeling unwell), nausea, vomiting, and diarrhea. This is, needless to say, a gigantic problem in accurately diagnosing bird flu--which is critical to beginning appropriate treatment as well as initiating infection control procedures and public health measures.

Currently, accurate testing for bird flu and other vial infections that can cause similar symptoms is difficult and requires specialized testing. This testing is time consuming and only available in specialized reference laboratories, which are few and far between. Fortunately, this may change in the near future.

According to Richard Janeczko, Ph.D., executive vice-president and chief scientific officer, Tm Bioscience, located In Toronto, Canada, is feverishly working to complete the final stage of development of an amazing test--not only for bird flu, but for more than 15 other viral infections (including severe acute respiratory syndrome or SARS), many of which can mimic the symptoms of bird flu (personal communication). (Tm Bioscience is a DNA-based diagnostics company developing a suite of genetic tests. Tm Bioscience's product pipeline includes tests for genetic disorders, drug metabolism, and infectious diseases. Additional information about Tm Bioscience can be found at http://www.tmbioscience.com.)

The test, called the Multiplexed Respiratory Test, discriminates influenza A from influenza B and identifies the H5-subtype of influenza A (bird flu is ""H5N1"") from all other H subtypes. In addition, it can identify almost all the other common--and some uncommon--viruses that cause influenza-like illnesses. This is extremely important in managing patients, communities and economic issues. Other tests have lower clinical sensitivities and specificities which can lead to both false positives and false negatives. By incorrectly identifying an outbreak as due to H5N1, patients could be treated with anti-virals unnecessarily (thus raising the chances of selecting for drug-resistant strains), unneeded vaccination programs in asymptomatic individuals could be initiated, and damage to local and national economies--through such measures as culling of commercial poultry operations--could occur. Conversely a false-negative test result could lead to catastrophic outcomes, including a pandemic. The assay utilizes swab specimens taken from the nose and takes less than 5 hours to perform. It was developed for use as a diagnostic tool and for infection control in hospitals. The assay has been slated for expedited review by the Food and Drug Administration (FDA), and TM Bioscience is hoping to have an FDA-cleared test available by the end of January 2006. If this assay delivers what it claims, it will have huge applicability on a global basis and save many lives.

Bradford Frank, M.D., M.P.H., M.B.A. The Frank Group P.O. Box 138 Lakewood, NY 14750 http://www.AvoidBirdFlu.com

About the author: None

Legal Structures for Your Business

2008-11-18T03:04:00.000-08:00

Author: Eran Salu, JD, MBA, CPA

The legal structure you choose depends on a number of things, including your type of business, individual situation, goals for the business, and a number of other personal and financial factors. Before deciding what's best for you, discuss your plans with your accountant and attorney. Make sure you are prepared to describe your business plans in some detail. It will be money and time well spent. Making the right choice can help you avoid a mistake that can cost you big in terms of possible future liability.

Before you have any discussions with your professional advisors, it is useful to understand the basics of the various legal structures available to you: sole proprietorship, partnership, and various forms of corporations.

SOLE PROPRIETORSHIP

This is the most popular form of small business and, as the name implies, ownership is totally vested with one person. It is the easiest to establish since no legal formalities are necessary. The only business requirement may be a license from your local jurisdiction to allow you to conduct the type of business you are planning. For example, you may need a license to sell food to the public.

Sole Proprietorship Advantages:

1. Easy and quick and usually the least ex-pensive to establish.

2. You have total ownership and control of the business.

3. All the profits of the business belong to you, the owner.

4. No additional Federal taxation on business profits (No double taxation).

5. No periodic business reporting to the IRS or other government agency is required.

6. Income tax filing is simply part of your annual personal tax return (Schedule C).

Sole Proprietorship Disadvantages:

1. The owner is personally liable for all business debts and the liability is not limited to the value of the business. You are personally liable for any and all business debt you incur.

2. It is generally more difficult to borrow money or obtain outside investment than with other types of legal structures.

3. If the owner is incapacitated for any reason, the business is likely to fail.

4. All management responsibility is with the owner which can be a heavy burden.

5. You must pay self-employment tax on the business net income.

IMPORTANT NOTE A ""home business"" is frequently a sole proprietorship and offers a number of unique ad-vantages. However, just because you are con-ducting business from your home does not exempt you from possible legal or other liabilities. See Appendix III for a listing of the advantages of a home-based business.

PARTNERSHIP

This type of business is just what the name implies: Business ownership is divided between two (or more) partners. The general partnership is the most common and is formed to conduct a business with two or more partners being fully involved in the operation of the business. All the partners share both profits and liabilities. A limited partner-ship, as the name implies, provides for limited liability of the partners. (This liability can be no greater than the partner's investment in the partnership). In a limited partnership there must be at least one general partner who remains liable for all the debts of the partnership.

Forming a partnership is complex and legal advice is very important. The kind of partnership and the type of partner you will be determines your potential personal liability.

Partnership Advantages:

1. Synergy as a result of pooling partners' different areas of expertise.

2. The partnership does not pay Federal in-come taxes. An informational tax return (IRS Form 1065) must be filed which shows the pass-through of income/loss to each partner.

3. Liability may be spread among the partners.

4. Investment can come from the partners in the form of a loan which creates interest income for the partners and a business deduction for the partnership.

Partnership Disadvantages:

1. Formation and subsequent changes in structure are complex.

2. Problems with partner(s) as the result of misunderstandings, different goals, etc., can weaken or destroy the partnership.

3. Limited partners are liable for debt if they are active managers in the business. General partners have unlimited liability. You may also be liable for the commitments of your partners.

CORPORATION

There are three major types of corporations, the C-corporation (""regular corporation""), the S-corporation (or ""S-Corp""), and the Limited Liability Corporation (or ""LLC""). All of these forms of the corporation are complex legal entities. Their detailed structure may vary from state to state (incorporating a business in a given state allows you to conduct business only in that state). It is essential for you to obtain legal advice if you are thinking about forming a corporation. Since each state has its own set of corporation laws, you should contact the appropriate state office in your state (usually the office of the Secretary of State) for additional material and procedures. Most offices can provide a guide for new businesses to follow for incorporation and doing business in their state. Call or write for a copy.

Most people immediately think of incorporating in order to minimize their personal liability. Indeed, the liability of stockholders (owners) in a corporation is limited under certain and complex conditions. Today, with the Tax Reform Act of 1986 and other legislation, there are really few good tax reasons to incorporate (with the exception of dividing corporate profits as noted below). The best reason for incorporating is, in fact, the limited liability. However, there is no such thing as total insulation from liability resulting from doing business as a corporation. Record keeping and tax matters with a corporation are difficult and time-consuming tasks usually requiring the services of an accountant. You need to keep this in mind when considering operating costs for your business.

Avoid the ""do it yourself"" incorporation guides. Incorporating is a complex process and you should not take on the task yourself. You cannot afford any mistakes at this point in your new business, so if you decide incorporation is for you, do it right and spend the money required to have it done professionally. Legal fees for setting up a corporation can run between $350 and $1,500 (assuming it is relatively straightforward).

REGULAR CORPORATION

The corporation is a taxable entity and, as such, pays taxes. This results in the ""double taxation"" you may have heard about. The corporation pays corporate taxes on its profits, and then, you the owner (shareholder), pay personal taxes on the dividends your corporation pays you. (The dividends are not deductible by the corporation). This is one of the biggest disadvantages of a corporation.

On the other hand, incorporating your business usually makes it easier to establish credit with suppliers and borrow from banks. If you expect to use outside investors for business capital, a corporation is a must.

Regular Corporation Advantages:

1. Shareholders (the owners) enjoy personal limited liability.

2. It is generally easier to obtain business capital than with other legal structures.

3. Profits may be divided among owners and the corporation in order to reduce taxes by taking advantage of lower tax rates.

4. The corporation does not dissolve upon the death of a stockholder (owner) or if owner-ship changes.

5. Favorable tax treatment for employee fringe benefits including medical, disability, and life insurance plans.

6. 70% of any dividends received by the corporation from stock investments are deductible (unless you purchased the stock with borrowed money).

Regular Corporation Disadvantages:

1. More expensive and complex to set up than other legal structures.

2. Completing tax returns usually requires the help of an accountant.

3. Double taxation on profits paid to owners (corporation pays corporate taxes on profits and owner pays personal taxes on dividends from the corporation).

4. Recurring annual corporate fees.

5. Tax rates are higher than individual rates for profits greater than approximately $75,000.

6. 28% accumulated earnings tax on profits in excess of $250,000.

7. Business losses are not deductible by the corporation.

S-CORPORATION

The S-corporation offers the limited liability advantages of a corporation but does NOT pay Federal taxes. All the earnings and losses of an S-corporation are passed through to the share-holders. It is a popular form of incorporation in the startup years of a business but there are some subtle disadvantages that need to be taken into account as you grow. Again, because of the complexities involved, talk with your attorney and accountant.

S-corporation Advantages:

1. Owners enjoy personal limited liability as in a regular corporation.

2. No Federal income tax liability, and in most cases, no state income tax.

3. Profit/losses are passed to owners ... no double taxation.

4. The S-corporation does not dissolve if one of the owners dies or otherwise leaves (like a regular corporation).

5. Wholly owned subsidiaries are permitted.

S-corporation Disadvantages:

1. Legal assistance is required to set up.

2. Maximum of 75 shareholders.

3. Only one class of common stock is permitted (no preferred stock).

LIMITED LIABILITY CORPORATION (LLC)

This type of corporation blends the tax advantages of a partnership and the limited liability advantages of a corporation. Owners of an LLC are referred to as ""members."" As you might expect, it also has some limitations but is definitely worth considering. Ask about the LLC when you contact your appropriate state office for incorporation information.

LLC Advantages:

1. Limited personal liability for the owners (like a corporation and unlike a partnership).

2. No Federal taxes (like a partnership).

3. No limit on the number of stockholders (un-like an S-corporation).

4. More than one class of stock is permitted (unlike an S-corporation).

5. Business losses may be deducted on your personal tax return (like a S-corporation).

LLC Disadvantages:

1. Legal assistance is required to set up. The paperwork is complex.

2. No ""continuity of life"" as in a regular corporation. The LLC dissolves if one of the owners dies or otherwise leaves. However, other formal agreements between the owners can overcome this.

3. Some states require than an LLC have more than one member.

MAKING YOUR CHOICE

As already noted, it is difficult to give specific advice as to the choice of legal business structure since every situation will be unique. The ad-vantages and disadvantages noted above should be assessed based on your particular situation. In any case, it is important to discuss your plans with advisors including both an attorney and an accountant prior to making your final decision. The various tax consequences for corporations and partnerships are complex and must be carefully considered for each specific situation.

When discussing your plans with your advisors, keep in mind the following points:

* The LLC is well worth looking into.

* Saving taxes is one of the most important reasons to consider when selecting your structure. Keep in mind that there are generally few tax advantages with a corporation if your total taxable business income is more than $75,000.

* Don't select the corporation structure based on possible tax advantages of profit-sharing plans since the Keogh, SEP, and IRA plans available to a sole proprietorship are equally beneficial.

* If you consider a partnership, be certain to have a complete partnership agreement drawn up by your attorney.

* Consider an S-corporation if you expect business losses for the first year or two of your business. These losses can be passed through to the owners as tax relief whereas they provide no current benefit in a regular corporation.

http://www.TotalBusiness.com is a Website that provides business owners with the information they need in order to successfully start, manage, grow, and sell their businesses.

About the author: Eran Salu, JD,MBA,CPA is the Founder and CEO of TotalBusiness.com

Choosing a Business

2008-11-17T03:04:00.001-08:00

Author: Eran Salu, JD, MBA, CPA

The fact that you're reading this article says that you probably want to own and operate a business. In all likelihood you also have a good idea of what that business will be. I'll give you some help to ensure you've selected the business that's right for you.

Your business success will be directly proportional to how much you love what you are doing.

Considering the amount of effort you will need to expend as an entrepreneur to make your venture successful, the business you select should be something you love. There are lots of reasons why people choose to start a new business. At the top of the list is dissatisfaction with their present job. If this is your situation, try to understand why you don't like your present job. This will help you select a business that will be right for you.

Select a business because you have something to give, because you understand the market and because you know you are going to do a better job than anyone else. Don't pick one because you want to make a quick buck or because the ""deal looks just too good to pass up."" If your heart and soul are in the business, you have a much better chance of being successful.

The business you choose should fit with realistic goals and an honest assessment of yourself. The following checklist will help you decide on a business that can be successful for you. Bruce bought a fast food franchise because the opportunity looked too good to pass up. It might have been, but Bruce knew nothing about the food or restaurant business, and as far as I knew, didn't even like fast food! Care to guess how successful he was? Or how long it lasted? Care to guess what happened even though ""all the details are taken care of for you?""

CHECKLIST: CHOOSING A BUSINESS

* Is this the kind of work I really enjoy?

Look to your current interests. Many successful small businesses grow out of hobbies because a hobby is chosen for all the right reasons ... you enjoy the task, the challenge, the time spent.

* Do I have the required technical expertise?

Don't get involved in a business if you know little or nothing about it. The story related above is a true one ... and one of many like it. When you have the necessary technical expertise, you can ask the right questions, make good business decisions and assess other ""expert"" opinions.

* Can I make enough money in this business?

First, your financial goals should be realistic. Then look around at similar businesses to see how they are doing. Talk to the owners. Most will give you enough information for you to decide if it's right for you financially. This will help you to pick a business that can satisfy your financial goals.

* Can I get the help I will need?

If your business is not going to be a one-person operation, you need to find out if the right kind of help is available in your immediate area. Are there similar businesses in the area? Also check with local employment agencies.

* Do I understand the market?

Will you be able to find customers? Do you have the knowledge required to set prices appropriately? Will you be able to direct a marketing program? (You might not do this yourself, but you may have to manage the effort).

http://www.TotalBusiness.com is a Website that provides business owners with the information they need in order to successfully start, manage, grow, and sell their businesses.

About the author: Eran Salu, JD,MBA,CPA is the Founder and CEO of TotalBusiness.com

The Right Time to Sell

2008-11-16T03:05:00.001-08:00

Author: Eran Salu, JD, MBA, CPA

Selling a business and achieving liquidity is likely to be the single most important financial event for a private business owner. Timing is perhaps the most critical factor to securing maximum value in the sale of a business.

Typically there are three different types of timing associated in the sale of a business: seller timing, buyer timing, and market timing. Examples of each are provided below:

Key Factors that Drive Timing

Seller Factors:

Lack of capital

Growth beyond comfort level

Boredom / burnout

Other interests

Market Factors:

Favorable economic climate

Low interest rates

Advantageous tax treatment

Government regulatory changes

Buyer Factors:

Meeting growth expectations

Slow organic growth

Increasing competitive pressures

Diminishing market share

Globalization of industry

While numerous factors may drive a seller to seek immediate liquidity in their business, unfortunately, the needs of the buyer and the conditions of the market ultimately dictate timing and value

Determinants of market timing

* Market timing is critical when evaluating the right time to sell a business. The economic climate, interest rates and the tax and regulatory environment all impact timing.

* Interest rates are at historically low levels, reducing required rates of return on investment (""ROI"") for premium buyers of companies. Lower required ROIs allow premium buyers to pay more for acquisitions than ever before.

* Low long-term capital gains tax rates are allowing sellers to retain more value than ever before. Currently, a seller can enjoy a 15% long-term capital gains tax rate (the lowest in history).

Determinants of buyer timing

* Public company premium buyers are pressured by Wall Street to meet revenue growth and earnings expectations. These buyers therefore actively monitor buying opportunities in order to rapidly improve upon limitations or weaknesses in their businesses. Premium buyers purchase companies to increase market share, expand geographically, acquire new products and gain competitive advantages.

* Favorable accounting treatment for European buyers ending in 2005 has spurred cross-border M&A, driving up values for businesses and forcing U.S. buyers to match European offers in order to compete effectively.

Understanding and taking advantage of timing will ultimately lead to highest possible valuation for your business.

http://www.TotalBusiness.com is a Website that provides business owners with the information they need in order to successfully start, manage, grow, and sell their businesses.

About the author: Eran Salu, JD,MBA,CPA is the Founder and CEO of TotalBusiness.com

Selling for Maximum Value

2008-11-15T03:05:00.001-08:00

Author: Eran Salu, JD, MBA, CPA

Put simply, ""valuation"" is what a buyer is willing to pay for your business. In practice, however, valuation is anything but simple and is often as much art as science. Here is a little bit of ""Valuation 101"":

Valuation is not formulaic

* The initial step to selling a business involves a thorough and accurate business assessment which includes a valuation analysis.

* Common methods for valuing a business include public market comparable analysis, identifying precedent M&A transactions, discounted cash flow analysis, book or asset based valuation approaches and applying multiples to revenue, EBITDA or net income.

* Many formulas and ""rules of thumb"" have been developed to arrive at a ""ballpark"" estimation of value, but it takes seasoned expertise to look beyond mere formulas and determine a real measure of value.

Textbook formulas and ""rules of thumb"" alone are not adequate methods for valuing a business

Don't leave money on the table by neglecting the intangible value of a business

* At a minimum, a buyer ought to be willing to pay the baseline intrinsic value of a business.

* In many cases, however, sellers forego the opportunity to obtain appropriate compensation for the intangible value of the business. This is caused by the inability of inexperienced sellers to properly substantiate, support and quantify the intangible value of their business.

* Employing proper valuation methodologies and techniques can help sellers maximize value. It is also important to recast historical financial statements in order to show the effect the purchase of the business will have on the buyer's financial results.

Premium buyers analyze the future potential of an acquisition to determine value.

The intangible value of a business is worth a significant amount to the premium buyer.

How can the value of a business be increased?

* Prepare concise, detailed and comprehensive information regarding the business.

* Apply sound market analysis and research to support financial projections.

* Define the intangible and future benefits of the business and the potential synergies of a pro forma combination.

* Identify and approach the right buyers.

* Conduct a structured, competitive sales process.

* Structure and negotiate a deal on the seller's terms.

By using sound market research, approaching the right buyers, running a competitive process and effectively structuring the deal, a business owner can maximize value when selling the company.

http://www.TotalBusiness.com is a Website that provides business owners with the information they need in order to successfully start, manage, grow, and sell their businesses.

About the author: Eran Salu, JD,MBA,CPA is the Founder and CEO of TotalBusiness.com

Working with Employees

2008-11-14T03:05:00.001-08:00

Author: Eran Salu, JD, MBA, CPA

Dealing with employees (contracted or yours) is always challenging and will tax your best management and leadership skills. The following checklist, based on a good deal of experience, are items to consider that will help keep you out of trouble when dealing with your employees:

CHECKLIST: WORKING WITH EMPLOYEES

* Be willing to pay for the best. Remember, you get exactly what you pay for ... no more and no less.

* Everyone has their own way of doing things. We all seem to forget this and insist it be done ""our way."" A better approach is to give instructions as to what is needed and allow the individual to provide the method.

* Remember to always criticize in private and to praise in public.

* Remember that EVERYONE needs to feel appreciated. Talk to your employees and make certain they know they are providing a valuable service.

* Stay visible. Make certain all your employees see you at least once a day. Your employees need to know you're involved and interested.

* Keep your promises. If you say you're going to do something, do it! There are no good excuses in the eyes of your employees.

* Ask your employees for suggestions on a regular basis. Do this personally ... not just with a ""suggestion box.""

* Allow your employees to fail! It is well documented that successes are generally preceded by one or more failures. The employee who is afraid to fail will be less likely to be innovative. It is up to you to see that none of these failures is fatal to the business.

* Every employee must know exactly what their responsibilities are and what authority they have for carrying out these responsibilities. This usually is accomplished by very precisely written job descriptions.

* Manage by objectives. Each of your employees should be assigned (by mutual agreement) specific goals to be obtained within a certain period of time. These goals must be measurable and you will periodically review them so that corrective action, if needed, may be taken to get back on track. Managing by objectives stresses real results as opposed to a job description that only lists the individual's responsibilities.

* Constantly motivate your employees to do a good job. Talk to them about their job and its importance to the business. Maintain an ""employee-of-the-month"" program with an appropriate certificate and a traveling trophy. Make the monthly presentation with fanfare.

* Implement an effective training program to encourage promotion. Any employee who thinks they are in a dead-end job will not perform up to expectations.

* Remember the ""Peter Principle""... to paraphrase: Everyone rises to their level of incompetence. See that this does not happen in your business.

http://www.TotalBusiness.com is a Website that provides business owners with the information they need in order to successfully start, manage, grow, and sell their businesses.

About the author: Eran Salu, JD,MBA,CPA is the Founder and CEO of TotalBusiness.com

Sources for Debt Financing

2008-11-13T03:06:00.001-08:00

Author: Eran Salu, JD, MBA, CPA

Debt Financing simply means you get a loan from someone or somewhere and go into debt! You are obligated to repay the money. We provide some popular sources for debt financing to consider.

SOURCES FOR DEBT FINANCING

1. YOURSELF! (Savings) You are your own best ""lender"" if you have the savings. This approach can be quick and easy. CAUTION: Ensure you have adequate savings for both the business and other life contingencies.

CAUTION: Many friends have been lost and many relatives alienated because of a small business failure.

Most loans guaranteed through the SBA are between $25,000 and $750,000. However, there is a ""microloan"" program for amounts from a few hundred dollars up to $25,000.

7. HOME EQUITY LOAN. Interest rates for this kind of loan are generally quite low and the interest is fully deductible for the first $100,000 borrowed.

CAUTION: You are placing your home on the line!

9. RETIREMENT PLANS. Some retirement plans (401K for example) allow you to borrow against vested benefits. Generally, up to 50% may be borrowed as long as this is less than $50,000. CAUTION: If you quit your employment, the loan must be repaid immediately. If you don't the amount borrowed is treated as an early distribution and is taxable.

11. CREDIT CARDS. These should be used with care because of the excessively high rates of interest usually charged.

http://www.TotalBusiness.com is a Website that provides business owners with the information they need in order to successfully start, manage, grow, and sell their businesses.

About the author: Eran Salu, JD,MBA,CPA is the Founder and CEO of TotalBusiness.com

Blogs, Podcasting and RSS | eCommerce Impact

2008-11-12T03:05:00.001-08:00

Author: Craig Smith | MBA

Blogs, Podcasting, and RSS Overview You probably have heard all these terms an awful lot lately. You wonder about what these technologies do? What value to they provide? If you aren't up to speed on these new applications and how they are impacting online interactions then read this brief further. Will these technologies impact you? To be honest, it's too early to tell - but awareness will drive innovation and maybe your team will develop an idea/application that utilizes these technologies to enhance a portion of your eCommerce business.

Here's the rundown: Blogs What they are: Probably the most well known of the three, blogs allow everyday people to quickly develop a website presence and distribute any type of content that they desire. Look at the metrics relating to blog penetration. * 7% of the 120 million U.S. adults who use the internet say they have created a blog or web-based diary. That represents more than 8 million people. * 27% of internet users say they read blogs. * Only 38% of all internet users know what a blog is. The rest are not sure what the term ""blog"" means. What a ""blog"" actually means is weblog. In basic terminology, it's the ability for someone to update web content directly though the Internet, using a web browser as the publishing mechanism. This makes the creation of content easy and many people are using blogs to establish authority sites within unique business and hobby/interest niches. Where blogs impact online retail most is within these targeted online communities. Certain blog authors develop a large base of specific visitors, hence the site becomes a potential target market for viral marketing efforts. Many web entrepreneurs us this functionality to develop affiliate hubs within niche markets, and use search popularity to beat out larger retailers within corresponding natural search results.

By integrating your brand image within the site experience at that SPECIFIC blog, you as an online marketer are able to segment your marketing PRIOR to converting someone as a customer. It is a place to communicate with current and potential customers about current offerings/promos while boosting the credibility of the brand. Should you care: If you have a very unique value proposition, or sell to a very specific or high-value customer segment, blogs can be a great way to increase overall brand awareness. You can better connect with your customers and provide detail into the current happening within the business (ex. Current sales on XBOX 360). Potentially, one person within your organization should own the monitoring of blogs within your vertical and look to post new content to meet the needs within the unique blog community.

Podcasting What it is: Pocasting should be just called mobile video broadcasting. However, Apple's marketing/development team did a great job with branding their device to a type of emerging media - hence the term podcasting! Similar to traditional radio and television, mobile video broadcasting delivers branded content in either a paid/free environment, on someone's mobile media player (Apple only does video currently, but that will change shortly). Retailers can potentially use this communication channel to deliver targeted content to their customer base, while integrating advertising within the video content.

Should you care: Not really. Until video podcasting penetration increases, it's still a limited channel for advertising. The best application available right now would be an online audio content segment that is digitally delivered to an opt-in list. As technology advances, you can potentially do this from your current opt-in page on your website and not from Apple's iTunes platform.

RSS RSS stands for Real Simple Syndication and is a method for electronic content distribution. RSS is transmitted via the internet, but what makes it unique is that no downloading efforts are needed by the end receiver of the content. The content streams instateneously within a webpage.

Advanced consumers have RSS news readers on their computers, either integrated into an email client, or utilize an aggregated web application such as News Gator. This essentially saves them time in aggregating all new and updated content that meets their interests. Already gaining steam in the travel industry and within comparison shopping engines, RSS seems to be a valuable way to push news and time sensitive offers to customers. Travel companies are able to provide a streaming supply of last minute airfare offers to their customer segments, without that customer having to open an email or visit a webpage.

Should you care: It completely depends on the nature of your business. Do you consistently offer new prices? Do you obtain new products to your assortment consistently? Do you have a customer base that is extremely loyal that you want to reach out to with messaging? If so, RSS may another channel to help build your brand. Call us today to learn more about these technologies and the potential impact they can have in reaching your customers with targeted messaging and fresh content.

About the author: http://www.trinityinsight.com

Paperless Office for CPA for under $1,000

2008-11-10T03:04:00.001-08:00

Author: Amir Morani CPA CMA CFM MBA

Considering what CPAs are being asked to pay for pre-packaged paperless solutions for their offices, the title of this article is quite radical. Since the title and what is discussed here is based on actual experience of the author, it is alright for it to get some media attention.

Most CPA practices these days have a small office network in place to handle the operations of the business. Rather, it is almost impractical for them to be operating without some kind of a computer network in their offices. Most CPAs and accountants also efile their clients' tax returns and so they need a reliable internet connection in their office. Unbeknownst to them, CPAs have over 90% of what they need to go paperless, at least on the hardware and the software side.

CPAs have almost all the hardware and software needed, in their office, to convert their practice into a paperless practice. Almost means close to 90%. However, they need to build up another asset to be able to go paperless in a very short time. The asset they need has to be built in house and cannot be purchased. They have to first recognize the extreme importance of the need to go paperless and then develop a strong determination to do so within a short time and limited budget.

Recognition of the importance of going paperless is the major hurdle facing the accounting industry at this time. Many CPAs are still waiting on the sidelines to watch how this trend evolves. Generally, that is not a very bad strategy. Not all trends become permanent in any industry and so a lot of times it is good to wait a little before getting on the bandwagon. However, paperless movement has been building momentum over a long period of time. In fact, it probably has been in discussions for over a decade. There have been some early adopters who benefited from it. It has not become a general trend yet in accounting industry, other professional services industry and business in general. But there are signs that it is picking up speed.

It is during the last few years that the capacity of the technology, that is being used in accounting offices, like other businesses, has increased tremendously at very affordable prices. Until a few years ago, going paperless in an accounting office was a major undertaking as it would require upgrading of hardware and software in a significant way. Now, there is no need to upgrade. If the hardware was purchased during the last 2-3 years, it probably has adequate capacity and speed to handle a paperless office without much upgrading.

In that case, a typical small CPA firm just needs to add a couple of scanners at $300 each and a PDF converter software that can be purchased for about a $100 these days. A strong commitment to go paperless and a determination to get it done within a given time frame is short in supply and is not available with any hardware or software vendor.

It is a very strange phenomenon. The technology is available and the need is there and yet most small CPA practices are not paperless, and one would hope that they are at least thinking about going paperless sometime soon. Why shouldn't they go paperless if they could do it within a $1,000 of additional hardware and software?

About the author: Amir Morani launched his own CPA practice in Dallas over 8 years ago and managed it succesffully as a paperless practice for the last three years. His blog is at http://paperlessofficeforcpa.blogspot.com

Reverse Logistics

2008-11-09T03:05:00.001-08:00

Author: Craig Smith | MBA

Here are some key metrics to support the return optimization business case:

* 85% of customers say they will stop buying from a retailer if the returns process is a hassle (Harris Interactive)

* 95% of customers say that they will likely shop with a catalog or internet retailer again if the returns process is convenient (Harris Interactive)

* 40% of shoppers don't buy online due to returns difficulty (Jupiter Research)

* Customers who have their complaint resolved quickly have a re-purchase intention rate of 82% (McKinsey)

The increased importance of online returns

Returns are an inevitable fact of online retail. As the depth of online product categories became apparent in the last three years, the importance of online return policies became painfully obvious. Provide a bad returns experience and you undoubtedly reduce the chance of a customer coming back for a repeat purchase.

For example, sectors such as high-end apparel, consumer returns reach levels as high as 20% and an efficient returns process is critical to overall success. Quicker inventory cycles and fluctuating retail prices make it important to not only process the return effectively for the consumer, but also get it in the warehouse quickly for re-sale.

Reverse Logistics solve fundamental business problems

Retailers are now being proactive and turning these operational challenges into competitive advantages and incremental revenue streams. By investing in solutions that integrate key platform components and data, online retailers are able to offer self-service return capabilities to consumers.

A typical reverse logistics solution allows the consumer to more easily initiate the return by incorporating a pre-paid postage label within the box. This label can be integrated within the packing slip or it can be a separate stand-alone piece. Because the label generation is initiated by the warehouse management system, the label is able to capture key customer information for tracking purposes, both for CSR's and the end consumer.

The label provides one primary source of value to the customer - convenience. No post office trip is needed and retailers improve overall customer satisfaction while facilitating the product return to the distribution center.

When consumers initiate returns through this process, retailers typically charge them a ""handling fee"". This fee is typically 20% higher than the postage charge that was provided by the reverse logistics service provider. This dollar spread, between what is charged to the customer and what has been billed to the retailer for postage, generates direct and measurable profits for retailers.

Improving communication with online consumers

A reverse logistics solution can drastically improve customer communication during the return process. Newgistics is a great example of a reverse logistics provider that has customer-centric communication processes embedded in their overall solution.

After a return package is picked up from a consumer location, it is sent to a Newgistics hub for sorting and re-locating. During this process, there are strategic scanning mechanisms used to facilitate triggered and branded communication emails.

A consumer receives ""retailer branded"" email notifications when certain milestones are achieved in the return process, such as:

* Return receipt o (Ex. We have received your return and you should get a credit in the following days).

* Return Completion o (Ex. Your return has been processed)

Quick receipt of these emails enhances the confidence level of customers, reduces inbound customer service calls, and provides another value-added feature to boost the eCommerce relationship.

Your company is taking a great risk if it does not provide a great post-purchase site experience. Feel free to contact Trinity to learn more about this type of initiative and how we can help in discovery, scope, and implementation efforts.

About the author: http://www.trinityinsight.com

Paperless Office - With Multiple Monitors

2008-11-08T03:04:00.001-08:00

Author: Amir Morani CPA CMA CFM MBA

Going paperless in professional offices, such as those of CPAs, sometimes could become inconvenient for the professional to work. When a CPA is working on a client's tax return and needs to refer to prior year return, it is easy for her to look at the paper printout while working on this year return on the computer. However, if her filing system is paperless it would be very inconvenient for her, sometimes, to switch between screens to take a look at the prior year return and come back to this year return - back and forth. This could even result in use of more paper than before if the CPA ends up printing a copy of the prior year return to refer during the return preparation and then destroying it. That would result in her printing almost all her clients' prior year returns and then destroying them because she has an electronic copy of the return.

The technology available at this time makes it easy to avoid this problem. Over time it has become more and more easier for CPAs to go paperless as some of these inconveniences have been addressed by the available technology.

A small investment can help CPAs resolve this problem forever and would save them all the inconveniences related to it. Windows XP allows the use of multiple monitors with one computer. This feature is already there in the Windows XP. However, the user would need to buy a special video adapter to attach to the computer to connect multiple monitors. Multiple means up to 10 monitors can be attached to one computer. There are numerous benefits of this convenience in Windows XP.

If all your prior client documents are already in electronic format on your server and you need to refer to several of them at once to work on a particular project, you could open each of those on separate monitors connected to the same computer. This would eliminate the need to switch between different screens each time you need to look at another document.

The set up for connecting additional monitors to your Windows XP computer is not very complicated. If you use a notebook computer you can use the feature of Dualview which is also available in XP. You can just connect an external monitor to your notebook and set up your XP, from Control Panel, for Dualview. The limitation with Dualview is that your notebook or laptop monitor would always be the primary monitor. The other feature, that of multiple monitors, allows you to set any of the monitors as the primary monitor.

Once you set up your computer with multiple monitors, you can eliminate one of the major inconveniences that staff faces in a CPA offices, that of referring to multiple documents from the file and having to switch between screens while working. Even if you have already become comfortable switching between screens on one computer, you may still want to test out this feature of multiple monitors and you may be pleasantly surprised by the ease it brings to your life. The details on setting up multiple monitors are explained on the Microsoft website.

About the author: Amir Morani CPA CMA CFM MBA is the author of 10 Steps to a Paperless CPA Office. His blog is at http://paperlessofficeforcpa.blogspot.com

Paperless CPA Office - Myth or Reality?

2008-11-07T03:04:00.001-08:00

Author: Amir Morani CPA CMA CFM MBA

As a new CPA on the block, about eight years ago, I had made it a practice to read as much as possible on practice management along with the regular reading I had to do keep up with the technical matters. I came across articles after articles about how it was possible for CPAs to operate in an almost paperless office. It was, however, quite difficult for me to imagine my own office being a paperless office.

""How could a CPA really operate a practice without papers?"" I would wonder all the time. I thought of these talks about paperless offices as being something of a creation of imagination about how life would be in 2035 when I may not be there.

The technology that I was using in my office was helping me improve the production. It was also helping me learn some of the more advanced possibilities in my system. In my small practice, it was a simple client-server network with a T1 internet connection. It was during one of my overseas trips about four years ago, that I discovered the power of my system to its best. With the T1 connection and a static IP address, I was able to work on my office system from over 10,000 miles away without any problems. This was a wonderful experience and my desire to learn more about the paperless office became extremely strong at this point.

I spent a lot of time, powered by my strong desire, to learn on the ways I could possibly convert my CPA practice into a paperless practice. I had already enjoyed the pleasure of working on my office system from around the world. I thought that if I could only access all the other papers I needed to look at while working on a client's file I would not even need to be in the office at all to work. Besides enjoying the frustrations of continuous interruptions, accessing papers was the only remaining reason for me to be in the office. Sure there were other reasons, but to carry out my work for a client, accessing papers was the only one.

Now that my desire was so strong, I started running into various pre-packaged solutions advertised in the direct mail and magazine advertisements. I checked out a few, called a few 800 numbers and received some promotion materials. All turned out to be beyond my budget. I had learned a lot about the potentials of my simple office network by now, and figured out that I was too poor to afford some of the good pre-packaged solutions available out there for CPAs.

Upon a thorough study of the technology in my office and the hardware available in the market at affordable costs, I came to an unbelievable conclusion. It was unbelievable because based on my calculations the cost of converting to a paperless office was going to be 5 or 10% of what it would cost me to go with a pre-packaged solution. This happened within one year of my trip overseas and it has been three years since then. I could not believe it but I had a gut feeling that I was right in my conclusion. I considered the cost of failing in an attempt to go paperless not too high. I was already managing a paper-full practice and if an attempt to go paperless were to fail - I would remain where I was - a paper-full practice. I spent a considerable amount of time developing the detailed plans on the whole process of going paperless, ordered the scanner that I had studied and found to be most affordable and launched the project. In terms of managing the staff time to work on the conversion process and managing priorities it was quite challenging. The process itself was quite enjoyable and revealing (about the hidden treasures in my filing cabinets) but above all quite enriching.

At the conclusion of my project to go paperless, about 60 days from when it started, I discovered that it was truly possible to manage an almost paperless office. I enjoyed more than two years of paperless office at my practice. The efficiency of the office went up significantly during that period. Clients experienced a different, a much higher level, of efficiency in service.

There were certain things that went right for me in this process. I was able to develop my understanding in this area over the years due to my curiosity and had a good handle over the capacity of my seemingly small office network. I discovered that the current office networks, in many small CPA offices, are like human brains. They are highly powerful and highly underutilized.

A paperless CPA office is no more a thing of the future. The true beneficiaries of this move by CPAs are their clients. CPAs who do not have to spend a lot of their time pushing papers and locating lost documents, would definitely be able to provide high-level services to their clients and benefit them more. All clients deserve a CPA who is at least paperless at the basic level, which is completely possible with a small office computer network and a very small investment.

About the author: Amir Morani (www.amiralimorani.com) had been in public accounting practice for close to eight years before he sold his practice to allow him time to pursue his interest in online business ventures. He is the author of Ten Steps to a Paperless CPA Office at www.OfficeWithoutPapers.com

Canada and eCommerce

2008-11-06T03:04:00.001-08:00

Author: Craig Smith | MBA

Canadian eCommerce growth was recently flat but still has an attractive upside...

Recent studies found that Canadian retail e-commerce growth was flat year over year (2003-2004). After further examination however, approximately 60% of the 100 largest non-travel sites succeeded in growing their sales over 20%.

Also interesting is the trending of Canadians from buying at non-Canadian sites to domestic sites (63% domestic, 37% foreign). This ""domestic shift"" clearly benefits the launching of a new eCommerce business in Canada.

The sales opportunity lies with the ""early adopters"", individuals primarily the 18-34 year old age range. This segment is more technologically savvy and more likely to purchase online. In a 2003 to 2004 sampling comparison, this segment's overall e-commerce spending increased 44%. The 35 to 54 age group increased only 5% and 55+ increased 18% (includes online travel).

Overall Internet Adoption rates still trail the U.S. and come in at approximately 52%. However, with the development of new Internet infrastructures and the maturation of Canadian ISP's, this number will likely rise in the next 3-5 years. The following quote from the Canadian government re-enforces this theme.

""To reach our new national goal (relating to e-commerce) Canadians will need to develop strategies that build an intelligent infrastructure to serve as the backbone of the e-economy- by encouraging investment, strengthening research, enhancing commercialization and ensuring that all Canadians have access to this infrastructure and know how to use it."" (September, 2004)

Shifting demographics & lack of online competition equal a substantial opportunity...

Forrester Research reports that 48% of Canadian web shoppers are now female compared to 39% in 2003. 74% of web buyers are married and likely are home shoppers, compared to 68% in 2003.

With the gender gap closing, online home retailers have a great opportunity to target their core customer segment: the 30-40yr old female who owns or maintains a residence.

Within this sector, it is rare for U.S. based retailers to have online Canadian stores. Many brands will ship to Canada, for very high costs (customs duty & shipping) but this likely leads to an unpleasant experience for the Canadian consumer. These high costs, compiled with a lack of domestic Canadian retailers providing an e-commerce offering, are driving the stagnant growth of the online sales channel.

By being a ""first-mover"" in establishing a presence in the online marketplace within Canada, online retailers will facilitate sales from consumers that want to get products shipped from their native homeland after being paid for in Canadian currency.

Similar to the U.S., consumers are exhibiting multi-channel tendencies and embracing the emergence of broadband connectivity...

Canada is the only country in the world in which broadband overtook dial-up access in 2003. Currently 48% of all Canadian consumers have broadband access and they are 67% more likely to have high speed web-access than American consumers.

This impressive penetration may prove to be a strong driver for online circulars and new online merchandising tactics, as product differentiation are established outside of price.

Canadian shoppers are also parallel to U.S. consumers in their multi-channel behavior. 58% of Canadian shoppers have researched a product online and purchased offline, spending an average of $440. An online Canadian strategy must focus on integrating the online and physical store with store locator functionality and other tools to promote cross-channel behavior.

In conclusion, multi-national retailers should closely examine the Canadian eCommerce opportunity. Attractive consumer demographics, an established broadband infrastructure, and a shift in overall shopping tendencies make the Canada a high-growth and un-saturated area for multi-channel retail.

About the author: http://www.trinityinsight.com

eCommerce Fundamentals

2008-11-05T03:04:00.001-08:00

Author: Craig Smith | MBA

""Blocking and Tackling"" - A quick take a some eCommerce fundamentals

eCommerce can be VERY complex. To offer a world class customer experience, retailers must incorporate technologies and functionality that exceeds rising customer expectations.

On the flip side however, site fundamentals still play a very large role in converting visitors into customers. Many retailers surprisingly lose sight of these site basics and leave significant sales on the table. This brief examines 4 quick ""fundamentals"" every eCommerce manager cannot afford to lose sight of.

Think Fast

Speed has become less of a problem due to the penetration of broadband, but don't forget that a significant number of people still shop by a dialup connection. When creating a site framework, designers and e-commerce teams should ensure that the site is developed with pages loading in less than 9 seconds (over a dial-up connection).

Our recommended page size is within 60-70k in bytes. At that amount, sites will likely load within the maximum wait time of 9 seconds. Online retailers should avoid flash at all costs within their transactional site. Flash's artistic aspects may help you establish a brand presence - but it will likely lose potential customers before they have even searched within your store.

Image is important

Images are a very important aspect of selling online and are often neglected. All product images should be of the highest resolution possible, be much larger than the product page original, and have

multiple views. Dynamic imaging capabilities can improve the user experience to an even higher level by increasing interactivity (zoom & rotate). At a minimum - retailers should have at least two additional views outside of the product page image to help build emotion.

Be my guest

Shoppers do not like being forced to do anything, especially when they are ready to open their wallets. Forcing a shopper to register on your site before purchasing is a sure way to drive a portion of your traffic to your competitors. Too often, shoppers do not have the time or the inclination to fill out a lengthy form explaining what types of information they desire.

Always offer the ability to checkout as a guest. You will see less customer leakage within the checkout process and can still offer the option to register when the sale is completed.

Make sure it's ""above the fold""

Your homepage is the most important page within your eCommerce store. It sets the initial tone for the shopping experience and offers your best promotions and products to your visitors. Users typically visually scan a web page from top to bottom and then from left to right. All critical content and navigation options should be obvious to the shopper without having to scroll down. If you have your best promotions ""below the fold"" - you can bet that a large percentage of browsers are not scrolling down to see it.

About the author: http://www.trinityinsight.com

How to Generate Permanent Passive Income Streams for Life

2008-11-04T03:08:00.001-08:00

Author: Eric Gelb, MBA & CPA

Last week, I traveled to beautiful San Diego for business and spent the day in a hotel restaurant that overlooked the harbor. With laptop in tow and cell phone in hand, I worked, without hassle.

As the sun set, I took a stroll and it occurred to me that technology and the crazy pace of our world has caused us to work 24/7. Life's way too short for that.

But, Passive Income holds the answer.

Passive Income means that you earn money while you enjoy the beach, golf or the mall.

Pursue these 5 Ways to Generate Passive Income:

1. Real Estate Investing Acquire a building; then you can collect rent. Other than maintenance and managing tenants (and you can outsource these activities if you like), rent is pure passive income.

2. Sales - Good Old Fashion Selling As a longtime sales professional, I like this flavor of passive income. Depending on the commission plan, you can establish an account, close sales now, and earn commissions for years to come. The key to earning passive income is the ""tail."" In other words, once you close an account, how long will the House pay you commissions?

3. Intellectual Property (copyrights and patents) As a copywriter, I continuously create written materials. Once we publish a work we can earn profits for years. Consider my bestselling booklet '157 Ways to Cut Your Grocery Bill.' We launched the original edition in 2002, which generated an instant increase in sales and still rolls in today. Once you do the work up front, you can earn money for years.

4. Ezines and Electronic Newsletters My company newsletter, Publishing Gold, includes some kind of promotion in almost every issue. Sometimes we include the promotion in the Editor's Note, and other times we include a Link at the bottom of an article. We also post our most popular articles on our Website and include the link to the sales page. These efforts generate effortless passive income.

Even if you are not a writer, you can find freelance writers at reasonable rates; in fact that is one of the services our company offers. Writers can create content for you; or they can ghostwrite, which means you become the author. You can search for ""Freelance Writers"" and ""Ghostwriters"" online.

You can find articles (content) for reprint by doing a search for ""Article Directories,"" ""Ezine Content,"" ""Ezine Articles"" and ""Article Libraries."" Reprint content that will interest your audience. Be sure to get permission to reprint first, and print the author's byline exactly as required (you'll usually find the reprint requirements on the Websites).

5. Affiliate Programs on the Internet Today, you can create your own passive income stream by creating a Website and offering products for sale. You don't even have to create product; you can license or promote other manufacturers' or distributors' products. Become an ""Affiliate"" and then promote other companies' products on your Site. When your members, subscribers or associates make a purchase, the company pays you a commission. With ecommerce, it's easy and there's no labor involved. All the work is completely automated online through a shopping cart or affiliate program. And that's a beautiful thing.

Are you pressed for time? Short on funds and long on expenses? Looking to retire early with confidence?

Then Passive Income Holds the Answers for YOU.

-30-

Eric Gelb, MBA & CPA, is a marketing and copywriting expert and editor of http://www.PublishingGold.com . You can contact Eric directly at PublishingGold@yahoo.com . To learn more about How to Generate Passive Income, visit: http://www.profcs.com /app/?af=338759

About the author: Above

She Did Not Take This Secret To The Grave

2008-11-03T03:04:00.001-08:00

Author: Joe Trevison MBA CPA

THE SECRET SHE DID NOT TAKE TO THE GRAVE

One of my students when I taught gave me an article and unlined this statement because he knows I practice that secret to some extent.

The she dealt with two of the most always tragic parts of live her oldest son died my friend, Tony died and so did her youngest Steven long before she died.

At Steven's funeral she ask me why does God allow these things to happen. I could say which is still true today. I am not smart enough to know.

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my site: Trevisonshop

About the author: Trevison is a former College teaching, teaching math, accounting, taxes and payroll. He now operated a accounting practice in Downtown Erie PA he also has a business on the net http://www.Joetrevison/shop and a web site http://www.Joetrevison.com with lot of free items like a newsletter and a business system FREE

In-store Collaboration

2008-11-02T03:04:00.000-08:00

Author: Craig Smith | MBA

The maturation of multi-channel commerce

More and more retailers are realizing the benefits of multi-channel retailing. Leveraging brand equity in multiple touchpoints has been proven to drive loyalty and interaction among consumers. With trends clearly showing the Internet as the core component to pre-purchase research, brick and mortar brands can ill-afford to take a wait and see approach as it relates to core multi-channel offerings.

Three core enhancements must be executed flawlessly to have true multi-channel integration:

* In-store associate kiosks

Leveraging the eCommerce store within an in-store environment solves fundamental out of stock situations, provides a new channel for up/cross selling, and maximizes profitability per square foot.

* In-store pickup

Incorporating buy online and pickup in-store functionality eliminates the barrier of shipping in the online sales equation. With shipping costs being the number one driver to why shoppers choose to not purchase online - this initiative help reduce key customer based purchase inhibitors while drive incremental sales in-store traffic. The solution also provides added convenience and satisfaction to the consumer, as they no longer have to wait to receive their merchandise.

* In-store returns

Returning products that were bought online, in-store, can bring many back-end technology bottlenecks to the radar screen. Forward thinking retailers must accurately map their order processing and inventory data to empower service associates with the data they need to reconcile and close the transaction efficiently at the POS.

Slow processing and a poor return experience will virtually erode a consumer relationship that was costly to start and maintain.

Getting your organization on board with change

Convincing company executives that these initiatives deliver ROI may be challenging, but that challenge pales in comparison to what is faced in your store network. The perspective change within the rank and file employees in your organization will prove to be your most daunting task as it relates to these initiatives.

Within all three of the solutions above, the web transaction integrates with the physical store. The store is the final piece of the puzzle in all three scenarios, making it the most crucial element to deliver a proper transaction. If your employees do not execute properly on this level, the result will be an un-utilized solution, or even worse, a customer perspective that your employees are incompetent.

The key is getting your employees aligned with multi-channel change. This happens by driving two key operational strategies in conjunction with a multi-channel technology solution.

* Training

Store managers must take the lead in understanding multi-channel solutions, while leading efforts to replicate this knowledge among customer-facing employees.

Prior to solution launch, be sure to communicate the internal and external value among the manager base, create a solution handbook for employee questions, and bring managers in to the home office for a ½ day workshop to become experts right before the solution goes live.

* Incentives

Employees must feel that the web-generated order still has some benefit to them. To drive accountability, some type of carrot must be given to ensure that employees have reason to treat the web-driven transaction seriously.

Because in-store employees receive bonuses for comp sales, create some type of awards program for efficiency as it relates to in-store multi-channel solutions. Or provide a piece of all web sales, distributed on a regional basis.

Understand the dynamics of your employees - how they work and what motivates them. By closing the gaps in training and incentives, multi-channel success becomes much closer to being reality.

About the author: http://www.trinityinsight.com

A Lesson On Following Directions...

2008-10-31T03:04:00.001-07:00

Author: Paul D. McDonald, MBA

Pat (my older brother) has only followed one recipe in his life. It was such a disaster that he never followed a recipe again!

We were kids, and Pat had just become a Boy Scout, so I guess that would make him about 11 or 12 and me about 7 or 8. It was mother's day and he wanted to make ""Breakfast in Bed"" for Mom and Dad. We got up early and went to the kitchen. Pat got his trusty Boy Scout Handbook out and looked up ""French Toast"" and we got busy.

We clanked around for a while and made a mess, but somehow managed to come up with breakfast. We mixed up the batter and made the toast in the skillet. It looked delicious. There was plenty of batter left and so we made some more French toast. Why not? We had to eat too!

After that, we saw that there was still plenty of batter left so we thought we'd make seconds. We figured it had to be a great recipe for the Scouts to use it!

This process continued for some time, and we deiced that we'd just bring the food up to Mom and Dad (who were wide awake and in complete fear of the noise we were making) and then come back down and make the rest. We brought it up and they enjoyed their breakfast.

Dad was the first one down to the kitchen and saw what we had been doing. He looked over the situation and looked at all the French toast we were making. He then looked in the bowl of batter we had made and saw that there was a lot left.

""Thanks for the breakfast, fellas."" Dad said.

""You're welcome."" Pat responded.

""We had fun!"" I chimed in.

""Where'd you get the recipe for the French toast?"" Dad asked.

""From the Scout book."" Pat replied.

Dad walked over to the Scout book and looked at the recipe. At the top it said: ""Serves 40.""

Pat never followed a recipe again.

About the author: Visit Paul McDonald's cooking blog at http://creativecooking.blogspot.com/

Connection 5: Support Group (Part 5 of 7)

2008-10-29T03:04:00.001-07:00

Author: Paul D. McDonald, MBA

Everyone can use support in some area of his or her life. Some people are at a point where they truly need significant support and others may only have the desire for a lighter amount of support.

A support group encompasses a specific category where people can meet and either discuss issues or receive the benefits of a serving team. One support group might be for single mothers to share their feelings and emotions of their days, another support group could be for business owners to network and share ideas. A third type of contact could be where someone of need receives specific help such as a food bank or automotive repair ministry or alcohol/drug dependence support.

The successful connection in support is made when someone's daily life is impacted positively in Christ's name. The advantage of this type of connection is that it heals precisely where the recipient is hurting.

About the author: Paul D. McDonald, MBA, has consulted with churches on growth and management of the ""business aspects"" of running a church. Visit http://wreach.blogspot.com/ to learn more.

Connection 2: Medium-Sized Groups (Part 2 of 7)

2008-10-28T03:04:00.001-07:00

Author: Paul D. McDonald, MBA

Successful medium-sized groups are easy to spot. They are usually organized into basic categories of people (men, women, college, high school, kids, etc.) These groups involve in-depth teaching combined with fellowship. There will often be opportunities for interaction between people who attend the meetings actually during the meeting. In addition, the relaxed atmosphere is likely to provide interaction outside of a small geographic area around the attendee's chair or table. This happens as people sit in different locations each time and promotes multiple contacts (and thus, connections) within the group.

Successful connections are made in the medium-sized group through the people who attend as well as the people who organize the events. This connection is reinforced by continual attendance and through the ""mixing up"" of seating at the location. The advantage of this type of connection is that feedback can be readily received and results can be quantified.

Temporary Groups

Some medium-sized groups are temporary. Large churches may form medium-sized groups to help connect a group of people and to help them form connections and bonds. Other successful medium-sized groups could be a ""spiritual gifts"" course or a ""membership"" course, or perhaps a mission trip where people will be temporarily held together because of certain given conditions.

Permanent Groups

Other medium-sized groups are permanent. youth, junior high, high school, college, singles, seniors, moms, and dads name just a few. These groups will have fluid members, but the groups themselves are permanent and reliable (such as Men's Ministry meets Wednesday morning, High School meets Wednesday night, and so forth).

About the author: Paul D. McDonald, MBA, has consulted with churches on growth and management of the ""business aspects"" of running a church. Visit http://wreach.blogspot.com/ to learn more.

Connection 3: Small Groups (Part 3 of 7)

2008-10-27T03:05:00.001-07:00

Author: Paul D. McDonald, MBA

Small groups are the backbone of a good connections system. People connect in a small group through the fellowship, study, prayer, and other activities of a small group. Small groups are a part of the strong church and seven connections. They are a key part, but not the only part.

Successful connections are made through the exclusive contacts within the group. This intimate setting provides the opportunity for very strong bonds to form. The advantage of this type of connection is the ability to use the small group system of accountability and feedback.

About the author: Paul D. McDonald, MBA, has consulted with churches on growth and management of the ""business aspects"" of running a church. Visit http://wreach.blogspot.com/ to learn more.

Connecting in Large Groups at Church (Part 1 of 7)

2008-10-26T03:05:00.001-07:00

Author: Paul D. McDonald, MBA

Connection 1: Large Groups

The typical worship service represents the ""Large Group"" concept. The connection here is between the people ""performing"" the service and each individual who comes to the service. The more people that participate as ""performers"" in the service, the more likely it are that the people attending the service can make a connection with someone in this medium.

Large Group meetings tend to be of a more formal atmosphere. There is a usually a defined ""stage area"" and ""audience area"" designed for ease of operations of the service. Because of the nature of a large group, the time and location rarely changes and is something that is dependable. Families usually sit together and there is very little interaction between attendees. There are several categories of people involved in a successful worship service. For the purposes of connection, we examine two groups: The ""Front-Line"" people and the ""Performers"" of the service.

Front-Line: Ushers, Greeters, Nursery, and Parking Lot Attendants

Most people will first encounter either ushers or greeters when they come to a worship service. Outreach Ministries states that the decision to return or not return to a church takes place in the first five minutes. The first people encountered by worship service attendees should be warm, welcoming, and well trained in their tasks.

Even though the front-line person is critical to the success, the ""connection"" with the Large Group is not made with the ""front-line"" person. Merely, a successful front-line contact sets up the attendee for a successful connection with one or more performers of the worship service.

Remember that these people are often the first person that a new guest meets at the church. In effect, they represent the pastor/speaker of the day. In fact, ""Young parents will select a church more on the nursery care than on the doctrinal statements of the congregation, "" states John C. Maxwell.

Performers: Speakers, Musicians, Artists, etc.

The word ""performers"" is used here to represent the group of people who perform the duties of the worship service. A ""Performer"" is someone who is supposed to be seen by the attendees during the service. People who attend a worship service will likely relate to one or two of the ""performers"" during a worship service and a connection point can be made. A successful connection is made when the attendee can identify with a performer of a large group. This connection is reinforced through repeated successful connections over time. The advantage of this type of connection is that strong connections can be made without any personal one-on-one contact.

Performers include teachers, pastors, choir members, praise band, drama teams, scripture readers, announcement speakers, and anyone else who is seen or heard from the ""stage"" or pulpit area.

Information Area

The Information Area for new visitors is critical. The majority of remaining connections will be made or at least set in motion through this one point.

Churches have many ideas for information areas, and the needs of the area vary from one church to the next. However, here are some key points to consider when creating an information area: 1. Have a prominent location for the information area 2. Staff the information area with the right people who are well-trained 3. Staff the information area well in advance and well after the service 4. Have plenty of well-prepared ""hand-outs"" of information and service directories ready 5. Avoid clutter-keep it clean and crisp.

About the author: Paul D. McDonald, MBA, has consulted with churches on growth and management of the ""business aspects"" of running a church. Visit http://wreach.blogspot.com/ to learn more.

Choose the Best Communication Tool

2008-10-25T03:05:00.001-07:00

Author: Kelly J. Watkins, MBA

Today's technology has provided us with so many forms of communication that we often grab for the nearest gadget without asking an important question, ""What gadget is best?"" Or, in more formal terms, ""What is the most effective method of communicating for this situation?""

Should you make a telephone call, or would it be better to visit in person? Should you whip off a quick email message or type a formal letter? What about a fax? Should you page the person and have him/her return your call? Is it acceptable to call this person from your wireless phone? Do you need to schedule an in-person meeting or would a videoconference be more efficient? Do you need to arrange a teleconference or will three-way calling suffice? Should you call the other person on his/her wireless phone?

Technology offers many options for communicating. To be effective, you want to make the right choice.

Start by considering your audience. If an employee hates email, don't use it to convey bad news. If a client dislikes wireless phones, don't call him/her from yours. If your boss is annoyed by pagers, don't page him/her unless it's vital.

Ask yourself, is it acceptable if there is a lag time between when the message is sent and when it is received? Be careful when determining what is ""quick"" communication.

For example, email isn't necessarily fast. Simply because email is sent instantaneously doesn't mean it's received that quickly. Some people only check their email once a day or once a week.

Regular mail is notorious for being slow. There's a reason it's nicknamed ""snail mail."" If you have a quick question or need a clarification, pick up the telephone or walk across the hall. Hey, the exercise is good for you!

Is there a chance the communication could be misunderstood or misinterpreted? Face-to-face contact allows you to obtain valuable non-verbal feedback. And, you can receive this feedback immediately and in mid-sentence, instead of waiting until you've sent an entire document, only to discover you're on the wrong track. Remember, too, that a videoconference is another way to achieve face-to-face contact.

On the other hand, if you're communicating numbers, financial data, or complicated information, put it in writing. This will help you avoid miscommunication or confusion.

Are you having trouble building a relationship? Whether the person is a co-worker or a new client, look for the most personable methods of communicating. Make a telephone call, or pay a personal visit.

Is the appearance of the letter or proposal important? If a potential client will be making ten copies of your proposal and distributing it to the Board of Directors, don't fax it. Consider sending the copy via regular mail - in a flat envelope.

What is the volume of information that is being communicated? Faxes are best suited for sending brief pieces of information.

Does the communication require input from several people, or are you brainstorming ideas? If so, consider a face-to-face meeting or a teleconference. That way, everyone can participate at once.

If you need time to think about your reply, avoid the telephone. By using a written format, such as a letter, email, or fax, you have time to consider the matter. Also, if a client is asking detailed pricing questions, you can eliminate confusion (and protect yourself) by putting it in writing.

Is the receiver in a different time zone than you are? Maybe you are ready to leave the office, but you want to send information about an order. If the client is three time zones away, a fax or email will reach him/her more effectively than a phone call.

Finally, in this age of technological gadgets, don't underestimate the power of a hand-written note. That's one way to let employees know you appreciate them or to stand out among the competition. How many of your competitors will take the time to hand write a note to a potential client?

Use today's technology to your advantage. Don't sabotage your message by choosing the wrong method of communicating it. Make a conscious decision about the most effective medium for your situation.

About the author: Kelly J. Watkins, MBA, Louisville, KY. Visit: http://www.KeepCustomers.com to order, Email Etiquette Made Easy (a comprehensive guide filled with exercises & examples) or for tips on communication & customer service! (812) 246-2424 or kelly@keepcustomers.com.

Buckyballs in Ministry

2008-10-24T03:04:00.001-07:00

Author: Paul D. McDonald, MBA

""Buckyballs"" are molecules named after F. Buckminster Fuller. Chemically, it is C26, where the carbon atoms are connected into a large ball (see figure at right). This molecule is incredibly strong. It can bounce, enlarge, compress, and even hold several other molecules inside its structure. It is stable and difficult to break down.

Pretend now that each individual in the church is a carbon atom. Their ""binding"" is the relationships that they have with others in the church. If an individual has a relationship with one other person and that relationship suffers, then the ""lattice structure"" of the church suffers. Churches can quite easily lose people this way.

Also, if one group of people has strong bonding with each other and one other person (such as a small group leader or small group coach) then the same issue exists on a grander scale. If the one person who holds that key relationship with the church (the ""lynchpin"" in the diagram) breaks that relationship (be it theological differences or moving to a new city) then the group for any reason that has the strong relationship with that one person loses their link with the church.

However, if one person has good relationships with many people and one ""breaks"" there are others to keep the person in the church. The church is then strong, elastic, and will continue to grow. These ""lattice relationships"" will keep people coming back through thick and thin.

What can we use from this in ministry? Work to form the Seven Connections of a Strong Church!

1. Large Group (Worship Services) 2. Medium Sized Group (Men's, Women's, High School, Junior High, Etc) 3. Small Groups 4. Serving Teams 5. Support Group 6. Mentorship 7. Prayer Support

Work to get people connected through all seven categories and they are much more likely to remain connected to the church body!

About the author: Paul D. McDonald, MBA, has consulted with churches on growth and management of the ""business aspects"" of running a church. Visit http://wreach.blogspot.com/ to learn more.

Virtual Calling Cards Are Taking Over the Web

2008-10-23T03:04:00.001-07:00

Author: Alex Davidoff, MBA

Virtual Calling Cards Are Taking Over the Web

A few years ago when cellular phone companies came up with ""free long distance"" plans most of us at the phone card industry thought that would be the end of the era, as we know it. A decade passed and we are still in business and... business is booming. The main reason for the continued success of the calling cards is our old friend - the World Wide Web.

According to the search authorities such as Yahoo and Google, over 800,000 searches last month, were performed by people who were looking for either calling cards or phone cards. People who wants to save money on their long distance cost and don't want to be ripped off by the local phone companies charging obscene per minute rates. So what is causing this industry to spike 300% over the same period of time last year? The answer is simple: Virtual calling cards !

Although, we hear word virtual almost every day ""virtual this, and virtual that ... Virtual sites, and virtual relationships,"" so what exactly is a virtual calling card , that lives in cyber space and is causing the entire buzz? Imagine a calling card that is virtually indestructible, card that can't be lost or stolen, and can be instantly shared with all of your friends and family. Card that can be reprinted as many times as you want as well as recharged multiple times directly from your bank, a credit card or any virtual currency such as PayPal, e-Gold or WebMoney.

Imagine a rainy nigh at the hotel room where you just have to call home to talk to your loved ones and tell them how much you miss them. So instead of running to the gas station and browsing through the stack of different calling cards and reading small prints for surcharges you simple log in to StartDialing.com and get you very own Virtual calling card with great domestic and international rates and no hidden charges! Another great example is an international business trip where local phone systems are confusing and extremely expensive, but don't be alarmed, since you have StartDialing on your side. Dial local access number and save up to 90% on all international calls from over 30 different countries.

One of the pioneers of the Virtual Card market was StartDialing International (http://www. StartDialing.com ). They took the idea of the Virtual calling cards to the next level. They've created the environment where user can securely buy a calling card number and use them from anywhere, from their cell phones to hotel rooms and airports. The next idea was get rid of annoying PIN number that always gets lost or simply forgotten. Now you can just register your phone number with StartDialing Virtual calling card and the system will automatically recognize your call and even dial most frequently dialed numbers for you.

Today StartDialing.com is one of the most successful online calling card vendors and a working prove that simple old ideas such as calling cards can get a new life on the virtual space of the Internet.

About the author: None

Connection 4: Serving Teams (Part 4 of 7)

2008-10-22T03:05:00.001-07:00

Author: Paul D. McDonald, MBA

All of God's Children are called to serve the Lord. Some people can serve on a daily basis and others are barely able to serve in any capacity. In any event, the opportunity to serve can build an extraordinarily strong connection point. People who are not even Christians are often willing to serve in some capacity--sometimes in a food bank or a home building program or a mission trip to a foreign country. Others may serve as ushers, greeters, parking lot attendants, nursery staff, mechanics, teachers, chefs, custodians, painters, ... whatever needs to be done.

These serving teams can be a one-time team such as a missionary trip, or an ongoing team such as an usher team. The point of caution here is to ""mix-up"" the serving teams from the small groups so that the same connections are not repeated. Have a ""ready menu"" for serving opportunities. Let people select from the following: 1. One-time serving opportunities 2. Monthly serving opportunities 3. Weekly serving opportunities 4. Daily or full-time serving/volunteer opportunities.

The successful connections are made as people develop relationships through working together toward a common goal. The advantage of this type of connection is that it builds teamwork and a sense of camaraderie.

About the author: Paul D. McDonald, MBA, has consulted with churches on growth and management of the ""business aspects"" of

running a church. Visit http://wreach.blogspot.com/ to learn more.

Gifts for Grandchildren

2008-10-21T03:04:00.001-07:00

Author: Paul D. McDonald, MBA

Here's a way you can give a great gift to your grandchildren! You can set aside as little as $25 a month (up to $10,000 per year) into a Uniform Trust to Minor's Account.

The Uniform Trust to Minor's Account (UTMA) is a special account that can pass money tax-free to a minor. However, since minor's cannot ""legally"" make their own decisions, the money is held in trust.

Another option is to gift money to a ""College IRA"" account. This account allows you to accumulate money tax-deferred for college education. Each student can put up to $500 per year into this account.

Using these two gifting methods can dramatically help your grandchildren go to the college of their choice.

About the author: Paul D. McDonald, MBA is a financial professional specializing in working with seniors and business owners. He assists people in making decisions on retirement planning, investing, insurance, budgeting, debt management, and many other critical financial decisions. Paul welcomes calls on the subject at the toll-free number 1-877-711-1264 or you can visit his website at http://seniorfinances.blogspot.com/.

Bear With Each Other... PLEASE!

2008-10-20T03:05:00.000-07:00

Author: Paul D. McDonald, MBA

""Bear with each other and forgive whatever grievances you ma have against one another. Forgive as the Lord forgave you."" -- Colossians 3:12

Let's face it--people are difficult sometimes. I haven't met a person (me included) who doesn't have specific quirks and issues. Sometimes issues that people have can rub against us like sandpaper. And sometimes these people don't even know that they are being abrasive or even have an issue!

Yet we are told to ""Bear with each other"" and to forgive. Out of all my experience with difficult people, I have only one real conclusion that I can come to--most of them don't even realize that they are being difficult and see themselves as victims and are just trying to be loved!

Think of three people in your life that are ""difficult"" people. How do you come up with that? Easy! Think of one of your favorite activities, and then think of the three people you would least like to show up! If you like golf, who do you not want to golf with? If you like fishing, who do you not want to fish with? If you like shopping, who do you not want to shop with?

Learning to bear with these people is the first step to letting them feel liked and even loved. Sure, maybe they have real behavioral issues to work out, but they will never get to them without first feeling accepted and loved.

God commands us to bear with each other--and if that wasn't reason enough, think of all the good that could follow from simple forgiveness!

About the author: Paul D. McDonald, MBA, has consulted with churches on growth and management of the ""business aspects"" of running a church. Visit http://wreach.blogspot.com/ to learn more.

Connection 6: Mentorship (Part 6 of 7)

2008-10-19T03:04:00.000-07:00

Author: Paul D. McDonald, MBA

One-on-one mentorship takes place between a designated mentor and an individual. Mentorship can occur at formal meetings or informal meetings, but are usually private conversations. I suggest that all mentors receive approval from the church and ongoing training. If 20% of the church body mentors all 100% of the church body, then each mentor has 5 mentorship relationships--4 with people who are the 80% that are not mentors, and 1 with another mentor (insure that all of the mentors also have a mentor!)

The purpose of this type of mentorship is to shepherd the flock one at a time. The successful connection in mentorship is made when someone's life is positively changed in Christ's name due to the one-on-one mentorship journey. The advantage of this type of connection is that it builds into the individual and mentor, making them both better for the experience

About the author: Paul D. McDonald, MBA, has consulted with churches on growth and management of the ""business aspects"" of running a church. Visit http://wreach.blogspot.com/ to learn more.

How to Build Volunteer Teams with New People: The Five I's

2008-10-18T03:04:00.000-07:00

Author: Paul D. McDonald, MBA

The Five I's are a simple way to remember how to look for new volunteers to build your serving teams. Follow this process and you can, over time, build a strong body of serving teams in your church.

These simple five steps are: 1. Identify 2. Introduce 3. Inquire 4. Inform 5. Involve

Identify--Find somebody

You have to identify who you believe would be suitable for the serving task you are looking to fill. Typically, this will be someone you don't know, and someone who is alone or whose family tends to stay by themselves. Look for someone who appears nervous or looking around your church. Don't forget those rare people who ask to be connected, and anyone who is attending a medium-sized group activity.

Introduce--Make contact

If you do not know them personally, you must make contact! It sounds simple but is often overlooked. Most people won't jump out and volunteer automatically. Smile and say hello. Briefly tell them your name and what your level of involvement is at the church and how long you have been coming to the church. Then flow immediately into the next step.

Inquire--Ask about them

This must be done on contacting new people first. You must ask if you can serve them in any way. If it is their first time or first few times to the church and no one has approached them, the chances are high that they came to church looking for some help--so be ready to help them!

Your next step is to ask if they would like to serve others--ask about their desire! Do they want to serve in some capacity? Are they looking to get involved? Do they know about their gifts and about their passions? Use the answers to these questions to help connect them to others in your church community.

Inform--Tell about opportunities

The first step is to be knowledgeable about church serving opportunities. Make sure you have a good handle on what needs to be done (it sure doesn't hurt to have such opportunities written down in the weekly church bulletin!). Through questions, find something that they have interest in doing and introduce them to a leader in that area.

Involve--Direct them toward growth

Do not leave the new person until a ""set thing"" is confirmed. A ""set thing"" is a follow-up time--a connection with another church servant-leader or team member that agrees to help--where an opportunity to learn about a particular serving ministry is set up.

Use these Five I's and continue to grow your ministry through volunteer serving teams!

About the author: Paul D. McDonald, MBA, has consulted with churches on growth and management of the ""business aspects"" of running a church. Visit http://wreach.blogspot.com/ to learn more.

Changing Jobs (Part 1 of 3) Health Insurance, COBRA, and Other Options

2008-10-17T03:05:00.000-07:00

Author: Paul D. McDonald, MBA

Maintain Stability in the Midst of Change

Life can bring a flood of changes during your working years. Career changes. Changes in priorities. Changes from work to retirement. How can you make sure that your investments will navigate through these periods of change?

Health Insurance, COBRA, and Other Options

Sometime during the past 50 years, it has almost become assumed that having a job meant having health insurance. But what happens if you are retired, out of work, or changing jobs? What if your new employer does not offer health insurance? There are a few options: 1. Go without health insurance for a period of time 2. Purchase a short-term or long-term individual health insurance supplemental plan 3. Purchase COBRA insurance 4. Join a consumer-driven discount medical plan

Option 1: Go without. Naturally, the problem with this option is that an event could occur during that time that would require serious medical insurance, or could make you uninsurable for future insurance. While this is certainly the lowest cost if something bad does not happen, the risk involved is very high.

Option 2: Individual Policy. This option is preferred by people who expect a long period of unemployment, are retiring, change employers frequently, or are in an industry where health insurance benefits are not normally offered to employees. The advantage to this option is that you will know exactly what your health insurance benefits are and what they cost. The disadvantage is that the premiums are usually somewhat higher.

Option 3: Purchase COBRA. In layman's terms, COBRA coverage is an extension of your employer-sponsored plan that you pay for once you leave the job for any reason.

COBRA was passed in to law in 1986 by the US Congress and the law generally covers group health plans maintained by employers with 20 or more employees in the prior year. It applies to plans in the private sector and those sponsored by state and local governments.{2} The law does not, however, apply to plans sponsored by the Federal government and certain church- related organizations. Check with your employer to learn if you have the option to use COBRA coverage.

Option 4: Join a Consumer Plan. These groups are not insurance, but they do provide the bargaining power of dramatically reducing the cost of medical expenses by ""pre-negotiating"" a rate. Medical providers like the plan because there is no paperwork and the user usually pays in cash so the overhead is low. These programs can greatly reduce the cost of insurance and work with non-covered events.

Don't be a Victim of Identity Theft

2008-10-16T03:04:00.000-07:00

Author: Paul D. McDonald, MBA

By Paul D. McDonald, M.B.A.

We live in an information-oriented society. Technology allows us to do business and make transactions literally in a matter of seconds. This abundance of information has given rise to a new crime - identity theft. In fact, according to a 2003 release from the Federal Trade Commission, approximately 27 million Americans have fallen prey to identity thieves since 1999. Each year that number climbs higher and higher. In 2003 alone, almost 10 million people in the United States reported being victimized by identity bandits.

So what does that mean? Someone has stolen your credit card - your credit card company can help you with that, right?

Well, according to the FTC, almost 60% of identity theft issues don't pertain to your existing credit card accounts. Identity theft can occur as a result of new lines of credit being opened in your name either through credit cards or bank loans, as well as phone/utility fraud and even employment related fraud. Because we are susceptible through so many avenues in our daily life, we are all at risk.

What can you do? Where would you turn if you found yourself in this situation? Would you know where to start to clear your name? Well, now you don't have to worry about what to do as we have the answer.

As you already know, Pre-Paid Legal Services®, Inc. is a pioneer of the legal services industry. With more than 30 years of experience in providing legal rights protection to our members, we have now teamed with Kroll Inc., the world's largest risk consulting company.

For more than 30 years, Kroll has helped companies, government agencies and individuals reduce their exposure to risk and capitalize on business opportunities. Kroll is an operating unit of Marsh Inc., the risk and insurance services subsidiary of Marsh & McLennan Companies, Inc., the global professional services .rm. With offices in more than 60 cities in the United States and abroad, Kroll can operate and restructure businesses; scrutinize accounting practices and financial documents; gather and filter electronic evidence for attorneys; recover lost or damaged data from computers and servers; conduct in-depth investigations; screen domestic and foreign-born job candidates; protect individuals, and enhance security systems and procedures. Over the last three years, Kroll has developed a unique solution for victims of identity theft. This new service is now available to Pre-Paid Legal members through the IDENTITY THEFT SHIELD benefit.

What does this benefit provide our members? The Identity Theft Shield gives you easy access to the resources you need to understand your credit ratings and to fight back if an identity thief threatens your financial standing. This benefit is designed to alert you to suspicious account activity, and to restore any resulting damage to your credit history.

1. Credit Report Through Experian

Make sure your financial records are accurate. Your credit standing is one of your most important financial assets. It not only affects your ability to get credit, it often dictates the interest rate at which you can borrow. It can also affect your ability to purchase insurance or to find employment. Some insurance companies and prospective employers use your credit rating to gauge your sense of responsibility.

Experts recommend you review your credit report regularly. The Identity Theft Shield makes it easy. Members are entitled to an up-to-date credit report from Experian at no additional charge.

Personal Credit Score and Analysis from Experian. Know your credit score . . . and how it affects your ability to borrow.

Your credit score is derived from the information in your credit report. This score is used by lenders to determine your creditworthiness. The higher the number, the better your chance of being approved for the credit you want. A detailed analysis of your Personal Credit Score will be included with your Credit Report. You can use this analysis to evaluate your current credit standing.

2. Continuous Credit Monitoring Through Experian

Learn of suspicious activity before your credit is ruined. A professional thief can assume your identity in just a few hours. But it can take years for you to repair your credit standing. Early detection is key to minimizing the damage caused by thieves who steal you name.

With your Identity Theft Shield membership, your credit .les will be monitored through Experian daily. Suspicious activity will be brought to your attention, providing you with early detection. You'll receive prompt notice if any new accounts are opened in your name . . . or if negative notations are added to your credit report.

3. Fraud Restoration Service

Get personal assistance and advice from experts. Any discrepancy in your credit report should be addressed at once. Call our Customer Service Department at the designated Identity Theft Shield number and explain your concerns. If it is identity theft, our fraud investigators will assist you every step of the way. A Fraud Restoration package with complete and detailed materials, aids, and instructions will be rushed to you.

If you sign a Limited Power of Attorney, you will be entitled to Enhanced Restoration Services. Kroll will work with you to determine the extent of the fraud in your credit and regarding your identity. On your behalf, Kroll will issue fraud alerts to the three major credit repositories, the Federal Trade Commission, the Social Security Administration, and the United States Postal Service. Kroll will work with the bureaus, creditors, and collection agencies to restore your credit accuracy with regard to your identity theft issues. If necessary and reasonable, Kroll will work with law enforcement, the department of motor vehicles, and other organizations to resolve your identity theft issues

If you decline the Limited Power of Attorney, you will receive Basic Consulting Services. Kroll will work with you to determine the extent of the fraud in your credit and regarding your identity. Kroll will provide you with contact information and procedures for the organizations you will need to work with. Kroll will provide sample letters and forms and be available to you through a toll-free phone number for assistance and advice throughout the process of restoring your identity.

Now, it is important to understand any identity theft that occurred prior to the membership enrollment or any situations relating to a business identity are not covered. Identity Restoration will not apply if the identity theft is the result of a dishonest, criminal, malicious, or fraudulent act you, your spouse, or child participated in, directed, or had knowledge of. Restoration services will not be provided for a preexisting, known stolen identity event. You must be an active, paid member to receive restoration services. Plan benefits do not cover financial losses arising from the identity theft.

Did you know, that on average, victims spend more than 175 hours and $1,500 in out-of-pocket expenses to clear their names? With Pre-Paid Legal's IDENTITY THEFT SHIELD, the cost of combating identity theft is much less. For just $12.95 a month [$9.95 along with the Pre-Paid Legal membership], IDENTITY THEFT SHIELD members have the added security of knowing they have someone to fight the battle for them. And the best thing is, this monthly fee provides benefits to you, the member, and your spouse.

Reports on identity theft are everywhere - television, newspapers, magazines, talk shows, etc. Now that you know this benefit is available, doesn't it make sense to have this sort of coverage? Imagine the peace of mind you would have knowing you and your spouse would have access to all of these services if you found yourself to be an identity theft statistic? Contact Paul D. McDonald, Independent Associate, to sign up for your Identity Theft membership by calling toll-free 1-877-711-1264. Don't wait until it is too late - do it today!

For a full list of disclosures and exclusions, please consult the Identity Theft Shield written material provided by Pre- Paid Legal.

Paul can be reached by email pauldmcdonald@prepaidlegal.com or by calling 1-877-711-1264. You can visit his website at http://www.877-711-1264.com for more information.

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7.Send copies if appropriate. There can be cases where it is wise to send a copy of the letter to other parties just to make sure that you will get some serious action. For example, in a case where you have been told to write to a Regional>?a????? of a program, it is often a good idea to make sure that someone in head office also gets a copy. I sometimes send a copy to customer services or customer relations, offices at the national level.

Changing Jobs (Part 3 of 3) Retirement Plan Options

2008-10-15T03:05:00.000-07:00

Author: Paul McDonald, MBA

Maintain Stability in the Midst of Change

Retirement Plan Options

One of the toughest challenges we face is building and maintaining a retirement account that will help us to meet our financial goals. The money you save for retirement has a certain amount of protection--when your financial situation changes, you can continue to protect your investment by ""rolling over"" your qualified retirement plan into an Individual Retirement Account (IRA). It is critically important to learn how you can guard your money against penalties, taxes, and other implications associated with income and employment changes.

The Four Basic Options: 1. Take it out for immediate use 2. Leave it in your current employer's retirement plan 3. Move it to your new employer's retirement plan 4. Roll it over.

Let's take a closer look at these four options.

Option 1: Take it out for immediate use. If you've participated in a retirement plan for a while, you may be surprised at the amount you've saved. You may be tempted to spend it to pay down a debt or make a signification purchase. There are serious consequences for your money:

Pros: * Money is immediately available

Cons: * Pay federal income tax and possibly state and local taxes * If you are under 59 ½, you must pay a 10% early withdrawal penalty if no exception is applicable * Endanger your retirement plan

For example, let's assume you're 35, changing jobs, and say you've saved $50,000--enough for that little purchase you've always wanted to make. If you withdraw the money now, you'll actually receive, after taxes: $50,000 Withdrawal - 5,000 Early withdrawal penalty - 14,000 28% federal income tax * -2,500 5% state tax * --------------------------- $28,500 After taxes and penalties

* Federal and state tax brackets are assumed and very from person to person, and state to state

In a flurry of sudden taxes and penalties, that dream purchase may revert from reality to dream once again.

Option 2: Leave it in your current employer's retirement plan. Your employer may offer you the option of leaving your money in its present retirement plan. For reasons of convenience, you may decide to leave it with that employer.

Pros: * Continue earning the same tax-deferred benefits * No administrative paperwork hassles * No change in portfolio

Cons: * You may forgo increased investment flexibility * Access to future withdrawals and cash distributions may be restricted * Control over your investment choices may be reduced * You may actually lose track of your funds

Option 3: Move it to your new employer's retirement plan. If you're moving to another job, your new employer may offer an alternative qualified retirement plan. You should review this new option and consider whether new features may enhance the value of your account.

Pros: * Tax-deferred accumulation will continue * Your new plan may offer more flexible loan and distribution options * You may be able to pool all of your retirement funds together.

Cons: * Assets from the old plan may not be transferable to the new plan * May experience restricted withdrawal and distribution options * Investment options may not be as attractive or broad * May have a less flexible fee structure

Option 4: Roll it over. An Individual Retirement Account (commonly known as an ""IRA"") is an option many individuals choose for their retirement plan assets. You can roll over your savings from a qualified retirement plan to an IRA, maintaining their tax-deferred status. with this option, there are even fewer potential drawbacks.

Pros: * Tax-deferred compounding continues * No current income tax consequences * Broad range of investment choices * Ability to consolidate your retirement assets * Roth IRA conversion may be possible

Cons: * No possibility of loans * No Employment Retirement Income Security Act (ERISA) creditor protection (but there may be protection under state laws)

Next Steps: Rolling Over your IRA

The Direct Rollover. In a direct rollover, your 401(k) assets are transferred directly by your plan sponsor to your new IRA custodian. You avoid paperwork, phone calls, unnecessary hassle and the mandatory 20% federal tax withholding you otherwise must pay when withdrawing money from a retirement plan.

Beware. Alternatively you can chose to complete an indirect rollover. It is more cumbersome and may result in the payment of taxes and penalties. In an indirect rollover, the distribution is paid to you and 20% is automatically withheld for income tax. Not only do you become responsible for paying the distribution to your Rollover IRA within 60 days, but you must provide cash from your own savings to cover the 20%$ withheld for taxes. If you don't roll over the distributions within 60 days, it becomes subject to income taxes; and if you're under 59 ½, you'll have to pay a 10% penalty tax on top of that if no exception to the penalty is applicable to you.