| This is the first of a 5 part ezine series that have | | | | by demographic trends and offers a consumable |
| been developed to help people understand the | | | | product. This way you are operating in a market |
| elements (business and personal) that should be in | | | | that is expanding rapidly and as the pie grows you |
| place to drive the maximum success out of the | | | | can grow a business with it. In addition, with |
| opportunity they want to pursue - | | | | consumable products customers come back to |
| Straightforward, jargon free how tos from setup | | | | you and you can develop referrals - lowering your |
| to taxes. There are no guarantees but what's | | | | costs. There are lots of major trends - we are all |
| clear is that those people that are more prepared, | | | | part of them normally. Wellness is one of those |
| have a plan and then take action are more likely | | | | demographic shifts. It starts with two explosive |
| to win by a WIDE margin. | | | | trends - First - a growing and expanding population |
| START A BUSINESS NOW? - ARE YOU ON | | | | that is seeking to maintain or better their quality |
| DRUGS? | | | | of life - second, an aging population that is |
| If you are looking at a home based/internet | | | | expected to live and be active 15 to 20 years |
| business or really any sole proprietorship- the | | | | longer than previous generations. These trends |
| very first thing you need to do is spend some | | | | together are creating a tidal wave of people all |
| time determining "why". I know you've probably | | | | looking for products and services to maintain their |
| heard other people say this but I don't mean | | | | health and active lifestyles - this is a huge |
| dreamy, spacey or "Do what you love" or | | | | multi-generational demographic mega trend. |
| anything like that. First, I don't know what that | | | | In this challenging economic time - you want to be |
| means - I love mowing the grass to be honest, | | | | working with the trends and not bucking them, so |
| it's therapeutic, I don't have to think and when I'm | | | | this is probably not the right time to start a real |
| done I get this feeling of accomplishment but is | | | | estate or a car business from scratch. |
| there a market and can I make $10,000 a month | | | | THE RIGHT SUPPLIER FOR YOU |
| at it? Don't think so. | | | | Second - your supplier - extremely important - |
| So - why do you want to own a business? | | | | are you dealing with an unproven startup, or are |
| Certainly being "realistic" says that we're in an | | | | you working with a proven market leader. |
| extremely challenging economic climate and this | | | | Everyone in every business deals with suppliers - |
| may not be the best time to "rock the boat". But | | | | that is the company or companies that supply |
| check a little history - Ford, Carnegie, Roosevelt, | | | | you the products, services or raw materials that |
| Kennedy, Bush and even Google Founder Brin, | | | | you need for your business. They are also the |
| made their money in times of economic | | | | company that will pay you / provide you |
| weakness or depression - they saw an | | | | discounts for products that you sell. In today's |
| opportunity. Conventional wisdom keeps poor | | | | economy this is even more important to make |
| people poor, middle class people constantly | | | | sure of the integrity of your supplier. If there is |
| stressed and squeezed and rich people richer. So | | | | any way to know their financial stability - find it |
| follow the principles outlined in these sections one | | | | and look them up. Do not take internet "opinions" |
| by one and get the attitude that change is | | | | for fact. You don't want to have done a great |
| possible for you. | | | | job of building your business and then find the |
| This may sound simple but when the winds blow, | | | | company can't pay for want you've done. |
| as they will in any business, if you've built a house | | | | They've suddenly disappeared or declared |
| of cards, your business will be less than the | | | | bankruptcy. |
| success you wanted. Start with the BIG picture | | | | When assessing which supplier you want to work |
| and work your way down - don't start small and | | | | with in a market here are some parameters you |
| work your way up. Reason - you will let your | | | | may want to consider: |
| preconceptions / assumptions about your | | | | - Brand name - are they a known quantity? If |
| capabilities shrink your possibilities at EXACTLY | | | | they are startup with no track record - will this |
| the time when you need to be open. Your "why" | | | | make it easier or harder for you to be |
| is the capstone or the umbrella under which | | | | successful? Usually harder because you have |
| everything you do operates. Whatever it is for | | | | fewer benchmarks for your customers |
| you is great because it is yours - that's why you | | | | - Market player - where are they in the market, |
| can't compare it to your neighbors and vice versa. | | | | how long have been in business, number of |
| Quick note - simple things NOT complex things | | | | customers, where do they operate? |
| are the hardest. EVERYTHING is part of or | | | | - Proven financial track record - are they |
| connected to something else and you can go into | | | | profitable or are they in a difficult financial |
| a serious meltdown if you let it get to you. Like | | | | position? |
| one of those Russian dolls within dolls or the | | | | - World class management & products - whose |
| internet where you can click from one site to | | | | running the show? Unknowns or established |
| another forever and find nothing or even like one | | | | business people with a clear track record of |
| of my more nightmarish dreams. People make | | | | success? Who creates the products - are they |
| things complex in their brains, get overwhelmed | | | | qualified, have they delivered in the past? If your |
| and shut down. Complexity means that you | | | | going to be in business these facts will give you |
| haven't taken the time to break the thing down | | | | the confidence you need when you face the |
| into manageable pieces, sort them out and decide | | | | market |
| how to take action. Simplicity on the other hand is | | | | - Outstanding compensation system -You want |
| tougher because it often deals with basics. So | | | | your cake and eat it too. If you're dealing with a |
| people shy away from simple questions because | | | | world class opportunity there should be a world |
| they require thought or commitment or personal | | | | class reward structure. In another blog we'll walk |
| risk. So the simplicity of "why do you want to | | | | through different types of compensation and |
| own a business now?" actually makes you delve | | | | what to keep you eyes open for. Follow the |
| into what you value, what your goals, priorities | | | | numbers - not words. |
| are, etc. BUT by going through this process I can | | | | THE SUPPORT YOU NEED |
| help you get the business side sorted out. | | | | Third, let's say the market is amazing and the |
| To find out if something is right for you - take | | | | supplier is fantastic - can you take personal |
| some time - listen and learn the basics and be | | | | advantage of the opportunity? All the motivation, |
| alert for anything that sounds too good to be | | | | desire, drive and determination in the world won't |
| true (i.e., guaranteed 15% on some hedge fund or | | | | help you become successful if you don't have the |
| Nigerian money). Do not be misled by "internet | | | | knowledge, techniques and a proven plan to |
| research" - where you read, usually the garbage, | | | | follow. |
| of other people's opinions. Are they you? Do they | | | | One of the leading Tax Attorneys in the U.S. told |
| have your goals, your life circumstances, your | | | | me this. He specializes in Small Businesses and |
| drive and determination? When doing any | | | | was the lead trainer for IRS agents for a number |
| research always go to fact based sources. Take | | | | of years. He said that 80% of ALL businesses |
| the time you need, use the principles here BUT | | | | FAIL for three reasons: |
| make sure you don't suffer from "the paralysis of | | | | |
| analysis" and never do anything! | | | | 1. Not willing to work |
| WHY DO I WANT TO OWN A BUSINESS? | | | | 2. Lack of Marketing |
| When determining your "Why"? Don't go through | | | | 3. Lack of Business Training |
| a big philosophical debate - keep it simple. Maybe | | | | Given this reality - what kind of infrastructure - |
| it's as simple as "I want to stay home with my | | | | systems, coaching and capabilities are going to be |
| kids" or "I need pay off the car loan" but it's clear | | | | there to support you? This is the ICEBERG. This is |
| - no ambiguity and it has a value that can be | | | | the area where a business person will |
| measured. It will change and grow over time but | | | | underestimate what they need to be successful |
| it becomes the basis for driving your attitude | | | | and over estimate what they are willing to do. |
| toward your business. It will drive how you value | | | | Here are there are two things to consider - what |
| your business - example, if your kids are the | | | | does the Supplier offer? Examples: o Online |
| reason you want to do a business then when | | | | training, o Collateral for business development, o |
| your business causes you to be late for dinner or | | | | web capabilities, o live support for product |
| miss a baseball game - you will understand and be | | | | questions, o live training |
| more comfortable with the value of the tradeoff. | | | | And even if they offer these business platform |
| After you find a good "Why" - People normally | | | | features and more -- How much is Free, what do |
| want to own a business for three reasons: | | | | you pay for and when do you pay? There are |
| - You may want to take control of your own | | | | many enticements that a supplier may offer - so |
| future - to be your own boss because you know | | | | make sure to pay attention to any limitations. The |
| you'll never get rich working for someone else | | | | support available to you from the Supplier AND |
| and you know that your hard work right now | | | | the business team could be worth thousands of |
| continues to make wealthy individuals wealthier | | | | dollars to you and is almost certainly the |
| while you may struggle to make ends meet. In | | | | difference between success and failure. |
| these challenging economic times | | | | There is also an equally critical leg to support and |
| - you may want to create new income because | | | | that is support provided by the people that are |
| your current job could be at risk, you may need | | | | recruiting you. If you are operating in any direct |
| to bridge the gap between what you make and | | | | marketing or Multi level Marketing arrangement - |
| what you spend or perhaps you are just planning | | | | anything that involves you as a distributor working |
| for your future. | | | | with others - understand what they are providing. |
| - Third, maybe you'd like to start a home based | | | | For some reason this is often lost on many |
| business as a way to lower your taxes by taking | | | | people. Your supplier and what they provide is one |
| advantage of the phenomenal deductions available | | | | thing BUT for day to day support the people who |
| to small business operators. Could be like most of | | | | you are hooking up with are the keys to your |
| us - all three. Whichever it is for you - that's | | | | success. This is where your coaching and |
| great. | | | | mentoring happens, this where your questions get |
| BUSINESS DECISION ELEMENTS | | | | answered and where someone with real world |
| Now that you've built a "value proposition" for | | | | experience gives you the goods. |
| yourself - a "why" that drives your desire to own | | | | This is a BIG breakdown area and why you hear |
| a business...."You can stay home with your kids | | | | people bad mouth direct marketing companies - |
| and generate some extra money". Whatever this | | | | not because the company or its products aren't |
| is normally has a number that falls out from it - | | | | any good but because they had a poor coach |
| what are you making at work now or how much | | | | that didn't get their expectations in line with their |
| does day care cost or what do the extra things I | | | | commitment and give them the support they |
| want cost? Having a financial goal tied to your | | | | needed. Separate your supplier, from the group |
| why is very important - it enables you to | | | | you are working with - a successful multi-billion |
| measure your progress and understand how / | | | | dollar company doesn't have the time or the |
| what opportunity may be a better fit. | | | | resources to give you the "face" time you need |
| When you're taking a look at opportunities look | | | | to get going and maintain a business alone. |
| for 3 things - if anyone tries to tell you anything | | | | Work for yourself but not by yourself |
| else - throw up a red flag. Some people say I'm | | | | What leverage does the team you're working |
| an analytical guy or a technical guy or a detail guy | | | | with give you? Do they provide personal, |
| and most of that may be true but most of all I'm | | | | mentoring, advertising, resources, events, |
| a simple guy - I like things to flow and be | | | | promotions, collateral, and training? Will they help |
| connected and for me to see how the dots are | | | | you build your business? |
| connected and get a clear picture - not get lost in | | | | Support to look for -understand your costs - if |
| a maze. | | | | some or all of it is free - for how long? This could |
| The three things you want to feel comfortable | | | | have a drastic affect on your decision about |
| with in order of importance are the market, your | | | | whether this opportunity is right for you. |
| supplier and the support systems. Everything | | | | Examples of things we all need help with - |
| cascades from here. | | | | - Training |
| MARKET | | | | - Coaching |
| Knowing the market is the MOST important thing | | | | - Mentoring |
| in starting / maintaining a business. I'm not talking | | | | - Business Planning |
| about a detailed understanding of everything but a | | | | - Advertising |
| clear general knowledge that the market you're | | | | - Ordering |
| operating in is large, growing and has the | | | | - Inventory |
| momentum to sustain new players. You could | | | | - Customer Care |
| have the best product in the world but if nobody | | | | - Contact Mgmt |
| wants to buy it - you don't have a business. I've | | | | - Web Sites |
| seen people advertising to get into the candle | | | | - Credit card Processing |
| business for free and make money. Does this | | | | - Lead Mgmt |
| make sense in general - what's the size of the | | | | - 24 x 7 |
| market, is it exploding, can you sustain a viable | | | | - Events |
| income stream? | | | | - Much. much more! |
| In general, look for a business that is supported | | | | |