Invaluable Advice & Tips for Small Business Owners

You get the point right? Someone has to perform all of those functions, so put your name in each position box that will be your job function. If you are a new business, you will realize that your name is in most of the boxes.

At this point, you may have the common reaction, “Holy crap!” This should give the phrase “we wear many hats” new meaning for you.

It’s your job to get other people – employees, sub-contractors, or virtual assistants – to help you with those functions so you can spend your time working on growing your business instead of dealing with all the day-to-day minutia of your business.

When you run a business, the product/service is not what you’re really selling. The true product you’re selling is your business, so spend time creating and perfecting the perfect business model that supports your customers and employees. Focus on all the little details, because that’s what’s important.

I hear many companies say they are all about customer service and then you use their bathroom and it’s a mess. This begs the question: if they really care about customer service, why is the bathroom a mess? It’s because they really don’t care. It’s just lip service.

Our company spent months coming up with a greeting when we answer the phone. It’s so important because in those first 10 seconds, the customer decides if they want to do business with your company. We knew we needed get it right and not answer the phone like most businesses do.

Remember, the phone is still one of the best marketing tools available. It’s so hard to get someone’s attention when marketing. Most prospective customers are bombarded with marketing messages and they are just sick of it. On the phone, you have someone’s undivided attention one-on-one and if you can get the conversation right, it’s magical.

Lastly, learn to market and sell. There are many ducks to line up when starting a business, and this is a very big duck. Cash flow is to your business what oxygen is to your body – you need it to survive. You can screw up many things on the back end as long as customers keep coming in the door and buying things. The purpose of a business is to find and keep customers.

Good luck and dream big!”

The good news is you are “the man.” The bad news is you can’t stick it to the man. 

This was a congratulatory quote from a friend when I opened my new practice. How true. If you cut corners and avoid doing things that grow a business like returning customer calls promptly, following through on product sales and services, and responding appropriately to client complaints and dissatisfaction, guess who you are hurting? You got it.

Staffing 

Trouble with staff can be very unpleasant in a small business because of the intimate nature of the setting and the inability of employees to avoid one another and you – the small business owner.

I recently placed an ad for an assistant and had over 150 responses in less than 24 hours. How could I meet these individuals, chose one or more, write up an employment agreement, and seamlessly work them into my special project – my business?

I have found that most businesses will have a core of Grade A employees. Many of the attributes that put these employees into this category has little to do with the business owner or your business. A well-adjusted, happy individual with a stable home environment is likely to make a well adjusted, happy, stable employee. It is likely that you will be able to groom that individual into a Grade A employee with the assistance of your existing Grade A team.

I have found it very helpful to hire new employees per diem, or on a limited schedule. I then increase their hours and responsibilities as appropriate. Of course not all new hires will progress. I have found that this is a very effective way for the employee and myself to get to know one another, and to see how the employee fits into the business. Alternatively, I have found that this is almost impossible to do during an interview. The right staff can truly bring joy along with success to your business.

Establish your business as a DRAMA FREE ZONE. 

Simply stated, don’t let it start. Zero tolerance is the way to go, but you need to set the standard and stick to it. If you are upset with an employee, talk it over in private. Don’t complain to other employees. And never discuss business owner/partner issues with employees. If an employee mumbles about another employee, call them on it immediately. If an employee voices complaints about the working environment, stop it before it goes any further.

If you want something done right, do it yourself. 

Sorry this is so old fashioned. But remember, it is your business and your line of credit. Your mentality will be very different from even the highest level employee. Things go bust, that employee moves on, gets another job (sometimes even a better job). Not so easy for you.

The first year I even cleaned the office at night. I was like the kid that stole the candy bar and just kept running. With time, I have delegated non-critical tasks to different employees. And I did hire a cleaning service when I got so busy doing my business that it no longer made sense for me to clean.

Branding – Don’t be wishy washy 

This is your opportunity to say who you are and what your business is. If you are a Gluten Free Specialty Bakery, don’t call yourself “Katie’s Kitchen”. Call yourself “Pleasant Town Gluten Free Specialty Bakery”.  You can still provide other products, but with a name like that, you will have an advantage in the gluten free community. Try a website such as www.PleasantTownGlutenFreeSpecialyBakery.com. I have observed that very few businesses clearly reflect their expertise in their business name or DBA.

Create your support network. 

There are objective ways to view almost any challenge that you meet, and likely there is a person with that view that can help you. But your questions need to be clear, and it helps if the person advising you knows you and your business well.

The stronger the personal relationship that you have with your inner circle of experts, the better. It is likely that there is a reputable expert in your field of business that can provide advisory assistance on a per diem basis. Also, talk to people that have done it before you, and grow from there with your unique approach.

Being a business owner is all-consuming. But like many challenges that we take on, it can come with great reward. I am always learning new ways to improve my business model, and I enjoy networking with the many individuals that have so much to offer. I am grateful to have the opportunity to share with you some of what I have learned along the way.”

Most importantly of all, stay close to yourself. It’s easy to get lost in the blur of stress and pure creation. Sleep eight hours a night. Drink more water, less alcohol. Make the time for exercise and mindfulness. And finally, realize that happiness, love, and connection are way more important than success. It’s ok to quit if you have thrown more of yourself into the fire than is worth it.”

You can learn how to write a business plan, delegate tasks, or be a good leader and a trusted adviser, but what you can’t learn is courage. You have to live it. It’s like a muscle; it has to be worked.

How can you get the courage you need? By sticking to your guns, doing a good job for your clients, and finding the right people you can be vulnerable around. Find an entrepreneur academy or a business group for business owners that’s small and highly focused. Learn from their mistakes as they learn from yours. Hire a business coach with experience in your field or who knows how to grow a business and has done it themselves.

Make sure you leave complaining for the car ride home alone. You will also want to surround yourself with people who are inspired by you, and never stop inspiring them through leadership that leads by example. Make this your mantra for your people. “Don’t bring me problems, bring me solutions” and reward creative problem solving. Courage is fed by love, yes love, and if you have courage, they’ll love you.”

Do your research and make sure your business has the proper licensing, permits, and is set up to make all required tax payments to Federal, State, and Local entities. This can derail a business faster than the time it takes to get it started. Some tax items to be aware of, and some that can easily be missed, which will get you in hot water:

a. Quarterly 941 Filings
b. Annual 940 Unemployment Filings
c. Quarterly State Unemployment Insurance
d. Monthly State Wage Withholding
e. Monthly City Occupational Tax (varies by city, Denver has one)
f. Annual Sales and Use Tax (lots of audits going on in this realm, be ready)

Be realistic about cost and timing of any project, including setting up your business. The best rule of thumb would be that every project you attempt will cost more and take longer than your original estimate. Plan for bad news and surprises, not best-case scenarios.

Understand your strengths and weaknesses. You are NOT good at everything. The things that you are good at, take on. Everything else, you better have either employees or service providers to handle for you. A common mistake of small business owners is to think that they are Superman and can handle everything. This is one of the most common reasons that businesses fail. To avoid this pitfall, be realistic in your assessment of your skills, and don’t be afraid to ask for help.

Surround yourself with smart people – ideally, people who are smarter than you. Put your ego aside and hire folks that will truly help you grow and prosper – don’t let your insecurities get in the way. This applies to employees and service providers to your entity.

Be stubborn and dogmatic. If you believe in your idea and have done the proper research and due diligence, then it’s full steam ahead. Don’t listen to naysayers or critics. Follow your dream, but do it in a way that makes sense and works within your personal framework and budget.

There are only two things any business has to do to be successful, provided what they are offering has a market:

a. Take care of your clients – Read “The Nordstrom Way” if you have any questions about this. So many businesses say they are customer oriented and then argue with their customers any time they have a problem. Your reputation will be built rather quickly and it will either be one of excellent service or follow up, or not. Check your reputation online (Yelp, Angie’s List, etc.) and make sure you address any client issues promptly. MAKE IT RIGHT for your clients and they might tell their friends. Do a client wrong and rest assured they will tell many more. This will cost you money. Consider it marketing. Be fully plugged into social media including Facebook, Twitter, LinkedIn, etc., as you can gain valuable feedback and communication with your client base.

b. Take care of your employees – This is another platitude that gets overused and then overlooked. Take an interest in your people and give them the tools they need to be successful. Celebrate successes. There is nothing more important than having a happy, motivated workforce. Take time to figure out what your people need, and give it to them if at all possible. Happy workforces treat clients well and can create virtuous circles. Unhappy employees do the opposite.

Don’t be afraid to ask for help. Use your entire network if you get in a pickle or have an idea to bounce off of someone. A cup of coffee will go a long way with folks and most are flattered you would ask. Get involved in as many professional organizations as you can, related to your business. Get out of your office and meet people. There is a ton of opportunity out there if you are willing to spend the time, shake the hands and see what others are doing. Be brave and do it!”

The two biggest lessons I’ve learned from my mentor:

1. Before making decisions, ask yourself: “Is this in line with the mission of my organization?”
2. Focus. Focus. Focus.

Young entrepreneurs need wisdom from those who’ve been in the trenches, and seasoned professionals are there to offer that wisdom and take pride in doing so.”

2. Build a brand and follow it.

Building a brand is more than just a snazzy logo and flashy graphics. It’s about understanding why your company does what it does. Take the time to understand your audience, your competition, and your brand goals. Once you have a defined brand, everything else (from your logo, to service offerings, even contracts you will need) really does fall into place. You can use your defined set of brand goals to access the validity of any growth opportunity for your business. “If the brand fits…”

Find other business owners who have more experience, connections, and intelligence than you. Help them where you can – pay it forward – and ask them for help. Few people have the talents to be successful entrepreneurs, so learn from those who have already been successful. Their knowledge is priceless.

Don’t let the fear of making a mistake hold you back. Be willing to fail safely. We prototype everything we do. I try to make my mistakes early when they don’t cost as much. Whatever we do, whether we are successful or we fail, I always ask, “How could we have made this better?”