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Are You Ready In Getting Customers This Holiday Season?

imagesLet’s face it! We all know that small businesses have a lot of competition during the holiday season, and your success depends upon a very good marketing plan. Nowadays social media and email marketing are one of the most effective tools you can use to help you stand out from the rest.

Here are some tips that you can follow to get started:

1. Come up with a plan to Help Create Holiday Momentum

Momentum will likely be serious in figuring out whether or not this year’s holiday season will be one really worth organizing for your small business.  Prepare a master plan that maps out the weeks leading up and all the way through the holiday season with particular objectives for each of the big days (Black Friday, Small Business Saturday and Cyber Monday are among the biggest).

2. Consider what exactly your Fans, Followers, and Readers Really Need this Year

If you like your small business to be part of your customers’ holiday plans this season, you’re likely to have to provide content they really value. You can do this year-round; however this is very beneficial throughout the holidays while potential customers are not just busy, but are likewise becoming swamped by content from a number of other businesses dealing with for their interest.

Tell your readers and followers regarding soon to be released holiday campaigns or maybe give a sneak peak at new seasonal items to create excitement and provide them with the exclusive content they need. But make sure to be an investment, and not simply a sales pitch. Give them an item they will use this holiday season— Continue reading “Are You Ready In Getting Customers This Holiday Season?”

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National vs. Community Banks: Where to Apply for a Small Business Loan?

For small business owners, getting a loan from traditional lending institutions such as banks is very difficult, if not close to impossible. This assertion, however, is contrary to the claims of bankers who insist that the number of loans granted to small businesses have already increased. So who’s telling the truth?

Initial survey of the situation shows that a lot of national banks have decreased the number of loans granted to small companies and startups. Moreover, some small business credit cards also decided to close its customer accounts.

However, on the other side of the spectrum, a survey of lending conducted by the Federal Reserve revealed that the condition in most cases has already loosened. In addition to that, Small Business Administration also showed an increase in the volume of loans granted to small business. Community banks added that they are ready to accept applications from those who were shunned by the larger banks operating nationwide.

So on one side we have information saying there is a decrease in the number of loans granted to small business, while on the other we have contradictory figures that show an upward trend. The question is fairly obvious, how is that possible?

Observing the data provided might be the key to this phenomenon. Indeed, large national banks are turning away a lot of loan applications in an apparent bid to preserve their capital. On the other hand, however, smaller banks that have traditionally made a living on small business loans still approve a lot of application. In a nutshell, it appears that it is still business as usual for the community banks.

This claim is proven by a survey conducted by Barlow Research Associates which showed that small companies that are applying for loans have higher chances of getting credit in smaller community banks than in larger national banks. This information is essential for small businesses out there

According to several bankers, the lack public knowledge about this issue led to a number of complaints from small business owners who insist that there were no loans available. Surveys even revealed that many have insisted on this assumption even if they have not applied for credit in the past year. A bank official said that the idea that there were no available loans may have been seeded by those who were turned down because of the usual banking reasons.

Whether there is a credit crisis or not, small business owners should know the usual business measures implemented by lending institutions such as debt-to-equity ratio and net margins. Moreover, they should be able to provide satisfactory information with regard to how they plan to use the money in case their application is approved.

Moreover, bankers and potential borrowers alike note how the human element in the agreement is as essential as the technical aspects of the lending market. After all, establishing a good relationship with the banker would help small business owners in their bid to get their loan applications approved.

Nevertheless, despite the looser lending system in community banks, small business owners should keep in mind that their applications will still be scrutinized, especially by the banks that have started to adopt the formula used by the national banks.

 

 

More detailed information and useful advice can be found at www.funded.com Created by Mark Favre, it offers expertise and assistance with developing and funding your concept, including a private forum for queries and discussions. If you need access to investors and funding providers, please do check our website.

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10 Common Mistakes That Entrepreneur Makes

When it comes to beginning a Small Business, there’s no guaranteed playbook that contains the successful strategy. On the other hand, there are about as many mistakes to be created as there are entrepreneurs to make them.

Here, in my experience, are the top 10 common mistakes that entrepreneurs make when beginning a company:

1. Going it alone. It’s difficult to develop a scalable company if you’re the only individual involved. True, a single public relations, web design or talking to firm may require little investment to begin, and the price of selecting even one management associate, revenue rep or entry-level worker can eat up a big piece of your earnings. The solution: Make sure there’s enough edges in your costs to enable you to produce other individuals. Customers generally don’t mind freelancing provided that they can still get face time with you, the experienced professional who’s handling the project.

2. Asking too many people for advice. It’s always good to get feedback from experts, especially experienced entrepreneurs with built and sold effective organizations in your industry. . But getting too many people’s opinions can delay your decision so long that your company never gets out of the starting gate.  The answer: Set up a strong advisory board that you can tap regularly but run the day-to-day yourself.

3. Investing too much of your time on product development and not on your sales. While it’s hard to develop an excellent company without a great item, entrepreneurs who invest too plenty of their time fiddling may drop clients to a competitor with a more powerful sales organization. “If you don’t keep one eye strongly targeted on revenue, you’ll likely run out of money and energy before you can efficiently get your item to promote.”

4. Targeting too small a market. It’s appealing to try to corner a niche, but your company’s development will quickly hit a wall if the industry you’re targeting is too small. Think about all the school High School basketball stars who desire of playing in the NBA. Because there are only 30 team and each team utilizes only a few gamers, the chances that your son will become the next Michael Jordan are pretty sleek. The solution: Pick a bigger industry that gives you the chance to pick up a piece of the pie even if your company continues to be a smaller player.

5. Coming into an industry with no distribution partner. It’s easier to break into an industry if there’s already a network of providers, manufacturers’ associates and other third-party merchants ready, willing and able to sell your item into current distribution channels. Fashion, food, press and other significant sectors works this way; others are not so fortunate. That’s why service companies like public relation, yoga exercises companies and pet-grooming organizations often battle to endure, changing between feast and famine. The solution: Create a list of potential recommendation resources before you begin your company and ask them if they’d be willing to send company your way.

6. Paying too much for clients. Investing big on promotion may produce lots of clients, but it’s a money-losing strategy if your business can’t convert those dollars into life-time client value. A magazine or website that usually spends $500 worth of promotion to acquire a client who pays $20 a month and cancels his or her registration at the end of the year is simply serving money down the strain. The solution: Test, evaluate, and test again. Once you’ve done enough evaluating to determine how to make more money selling goods and services to your potential customers than you invest obtaining those clients in the first place, throw out a significant promotion strategy.

7. Raising too little investment. Many start-ups think that all they need is enough money to lease space, buy equipment, stock inventory and drive clients through the door. What they often forget is that they also need a capital to pay for employee’s salary, utilities, insurance and other expense costs until their company begins turning a profit. Unless you’re running the kind of company where everyone’s working for perspire value and deferring settlement, you’ll need to increase enough money to tide you over until your earnings can cover your costs and produce positive income. The solution: Determine your start-up costs before you open your gates, not afterwards.

8. Raising too much Capital. Believe it or not, raising too much money can be an issue, too. Over-funded organizations tend to get big and swollen, selecting too many individuals too soon and spending useful resources on display cubicles, events, picture ads and other extras. When the money runs out and traders drop perseverance, start-ups that frittered away their money will have to shut their gates. No matter how much money you increase at the beginning, remember to bank some for a stormy day.

9. Not having your own Business Plan. While not every company needs an official business plan, a start-up that needs significant capital to grow and more than a year to make money should map out how much money it’s going to take to get to its destination. This means considering through the key analytics that develop your company check and building a model to rotate off three decades of revenue, earnings and cash-flow forecasts. “I misused 10 decades [fooling around] considering like an specialist and not a company owner,” says Louis Piscione, chief professional of Avanti Media Group, a New Nj company which makes video clips for business and private events. “I discovered that you have to put some of your innovative professional toward your own strategic strategy that predictions and sets objectives for development and success.

10. Over-thinking your Business Plan. Thinking too much can have an enormous impact on the outcome of a decision. For many businesses, decision-making often take one of two directions; either over-analyzing a situation, or forgoing all the relevant information and simply going with their gut. However, in trying to avoid over-thinking a decision for fear of decision paralysis, managers often ‘over-correct’ and end up not thinking enough. The truth is that your own business plan is not an amazingly ball that can estimate the future. At a certain point, you have to shut your eyes and take the step of trust. Recognize when you’ve been staring at the problem instead of trying to solve it. Then relax: Make a plan, narrow down your options, then just do it.

 

More detailed information and useful advice can be found at www.funded.com Created by Mark Favre, it offers expertise and assistance with developing and funding your concept, including a private forum for queries and discussions. If you need access to investors and funding providers, please do check our website.

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Checklist on starting a Small Business

Checklist on starting a Small Business

In today’s economic climate most probably having a small business maybe the best source of income. There are many good reasons to start your own business from the independence it can bring to your lifestyle to the noble role you can play in creating jobs to other, helping to grow economy and many others. In fact, the hardest part about becoming an entrepreneur is figuring out where to start. Whether you have some knowledge already or are going on a vague notion that this option may be for you, we hope this roundup will be a place to start.

Build a business plan

No small business expert would recommend starting a business without a business plan. There’s too much at stake, your money, other people’s money, the livelihood of your family and potential employees. Every business plan should include something about each of this area, Mission/vision, business name, marketing plan, competitive analysis, financial plan and products and services. In starting a business, your business plan will be your guide towards various phases on your new business and not only that; it can also attract potential investors and secure a loan. For investors this will show whether or not your business can make a profit. It requires a realistic look at almost every phase of business and allows you to show that you have worked out all the problems and decided on potential alternatives before actually launching your business.

Name your business

It may seem so simple to think of a business name, you also have to consider some things before deciding what’s going to be your name. Business name should sounds good and at the same time should be unique so that you have an impact against your competitor but not so unique that potential customers won’t know what you’re selling. However you go about it, spend some time with a thesaurus and an empty sheet of paper and play around with name ideas. Once you have a few you’re happy with, test them out with family and friends. Before ordering letterhead, though, there are a few steps you’ll need to take to ensure that you legally can use the name you selected.

Choose a business structure

There are four primary ways to legally organize a business: a sole proprietorship, a partnership, a limited liability company and a corporation. When organizing a new business, it is important to take time to review the pros and cons of each structure.

Sole proprietorship is the most common form in business structure.  The owner operates the business, is personally liable for all business debts, can freely transfer all or part of the business, and can report profit or loss on personal income tax returns. Common proprietorship includes part-time businesses, direct sellers, new start-ups, contractors, and consultants.

Limited partnership, a limited partnership consists of at least one general partner (controls the business) and at least one limited partner (investor).While General Partnership is a business owned by two or more people. The partners share ownership and control of the business. Partnerships offer more freedom for business owners with shared business tasks and the potential to earn greater profits.

Limited liability company, this is now the most popular business structure nowadays, Limited Liability Company or LLC is a type of business ownership combining several features of corporation and partnership structures Owners of a LLC have the liability protection of a corporation. All your business losses, profits, and expenses flow through the company to the individual members. Unlike general partnerships which are developed under common law, an LLC is created by filing a document (usually called Articles of Organization) with an officer designated by state law.

Corporation, A corporation is a business which is considered a separate entity from you; even having the legal rights of a person. A corporation is usually the most complex and most expensive way to organize a business. Records must be kept to document decisions made by the board of directors. There are two types of corporations; C Corporations (incorporate) and S Corporations (small business). Small business is the most common corporation; C Corporation is more complicated than forming a limited liability company or a sole proprietorship.

Set up and determine your location

Most people will tell you that location is the most important aspect of starting a small business. A good location can attract a large number of walk-by traffic while a bad location can hide you away from potential customers.

There are many steps in office set up including where to locate your office (home or office space), buying the necessary office equipment, designing your work space and getting supplies. Whatever location you choose, make sure you know all of the legal restrictions on your place of business.

Get business insurance

Any business is exposed to a variety of risks. A smart business one will take the necessary acts to ease the risk and one valuable risk manager is insurance. Like home insurance, business insurance protects the contents of your business against fire, theft and other losses. Liability insurance, Property insurance, Business Interruption, Key Man, Automobile, Office and Director are some of the type of insurance that are commonly used today and are merely a starting point for evaluating the needs of your business. In many cases, there is no requirement your business needs insurance unless you have a company automobile, employees or it’s a loan condition. Yet, this is no reason not to get business insurance. No business is immune to natural or man-made disasters and potential liabilities.

Create an accounting system

Financial Management, in general, is meant a set of measures aimed at reaching financial stability. In particular, a foremost aspect of financial management is efficient distribution of economic resources or, in other words, capital funds, as far as they contribute greatly to the company’s prosperity. Therefore, financial management is concerned with the questions of funds procurement and their effective use. Accounting is by far, one of most important aspects of starting and operating a business. It’s so easy to get caught up in the start up glamorous tasks of designing a business card or choosing a business name, yet without a solid understanding of the numbers you will not survive. The objectives of creating an account system is to organize survival in terms of sharp competition, prevent bankruptcy and other financial risks avoidance, increase in production volume, profit and wealth maximization and expenditure minimization. Without a firm grasp of your margins and cash flow, you can price yourself right out of the market.

Starting and managing a small business takes motivation, unrelenting desire, and talent. It also requires a lot of research and planning. Try as you might, it is not possible to know everything in the beginning. Research and planning will help minimize the unknowns and make you better prepared. Remember, lack of planning is one of the leading causes of business failures. When you start a business, your only goal is to make it succeed. And to succeed, you must be able to control all the variables along the way.



More detailed information and useful advice can be found at http://www.funded.com/ Created by Mark Favre, it offers expertise and assistance with developing and funding your concept, including a private forum for queries and discussions. If you need access to investors and funding providers, please do check our website.