Health Inspectors Shut Down 7-Year-Old Girl’s Lemonade Stand

Gov’t Shuts Down Girl’s Lemonade Stand

Seven-year-old Julie Murphy of Oregon City still smiles about her enterprise despite running afoul of county inspectors for an unlicensed lemonade stand at Last Thursday.

It’s hardly unusual to hear small-business owners gripe about licensing requirements or complain that heavy-handed regulations are driving them into the red.

So when Multnomah County shut down an enterprise last week for operating without a license, you might just sigh and say, there they go again.

Except this entrepreneur was a 7-year-old named Julie Murphy. Her business was a lemonade stand at the Last Thursday monthly art fair in Northeast Portland. The government regulation she violated? Failing to get a $120 temporary restaurant license.

Turns out that kids’ lemonade stands — those constants of summertime — are supposed to get a permit in Oregon, particularly at big events that happen to be patrolled regularly by county health inspectors.

“I understand the reason behind what they’re doing and it’s a neighborhood event, and they’re trying to generate revenue,” said Jon Kawaguchi, environmental health supervisor for the Multnomah County Health Department. “But we still need to put the public’s health first.”

Read The Full Article

Small Biz Stats & Trends

Original Story

The small business marketplace changes rapidly. The information included on this page represents the most current information. When discussing a “small business,” this site uses the definitions provided by the U.S. Small Business Administration’s Office of Advocacy. Read their FAQ sheet.

Small Business Impact on the Economy

The estimated 29.6 million small businesses in the United States:

* Employ just over half of the country’s private sector workforce
* Hire 40 percent of high tech workers, such as scientists, engineers and computer workers
* Include 52 percent home-based businesses and two percent franchises
* Represent 97.3 percent of all the exporters of goods
* Represent 99.7 percent of all employer firms
* Generate a majority of the innovations that come from United States companies

Source: U.S. Small Business Administration Office of Advocacy, September 2009

Small Business Survival Rates

Small Business Openings & Closings in 2008:

* There were 627,200 new businesses, 595,600 business closures and 43,546 bankruptcies.
* Seven out of 10 new employer firms survive at least two years, and about half survive five years.
* Findings do not differ greatly across industry sectors.

Sources: U.S. Small Business Administration Office of Advocacy, September 2009

Survival and Longevity in the Business Employment Dynamics Database, Monthly Labor Review, May 2005. Redefining Business Success: Distinguishing Between Closure and Failure, Small Business Economics, August 2003.

Trends in the Small Biz Marketplace

General Trends

* The number of self-employed workers in June 2005 fell 3.1 percent or 303,000 from the month before, Labor Department data showed. Self employment tends to fall as the economy grows. That’s especially true among laid-off workers who start tiny companies after failing to find work in slow times. (Source: USA Today, July 17, 2005)

* During 1979-2003, self-employment increased: 33 percent for women; 37 percent for African Americans, 15 percent for Latinos, 10 for White Americans and 2.5 percent for men. (Source: SBA, Office of Advocacy)

* Where do small business owners go for advice? 52 percent from individual mentors; 51 percent from social networks; 44 percent from trade associations; 36 percent from business advisors; 31 percent from the Internet and 27 percent from Chambers of Commerce (Source: American Express)

Women in Business

* Women represent more than 1/3 of all people involved in entrepreneurial activity. (Source: Global Entrepreneurship Monitor (GEM) 2005 Report on Women and Entrepreneurship)

* Between 1997 and 2002, women-owned firms grew by 19.8 percent while all U.S. firms grew by seven percent (Source: SBA, Office of Advocacy)

* Women-owned firms accounted for 6.5 percent of total employment in U.S. firms in 2002 and 4.2 percent of total receipts. (Source: SBA, Office of Advocacy)

* The number of women-owned firms continues to grow at twice the rate of all U.S. firms (23 percent vs. 9 percent). There are an estimated 10 million women-owned, privately-held U.S. businesses. The greatest challenge for women-owned firms is access to capital, credit and equity. Women start businesses on both lifestyle and financial reasons. Many run businesses from home to keep overhead low. (Source: SBA, Office of Advocacy and Business Times, April 2005)

* Women are more likely to seek business advice—69 percent women vs. 47 percent men. (Source: American Express)

Minority-Owned Businesses

* Black-owned businesses are the fastest growing segment, up 45 percent between 1997-2002. Revenues generated by the nation’s 1.2 million black-owned businesses rose 25 percent between 1997 and 2002 to $88.8 billion in 2002. (Source: U.S. Census Bureau)

* The number of U.S. businesses with Hispanic owners grew at three times the national average from 1997 to 2002 to 1.6 million businesses in 2002, a 31 percent increase from five years earlier. (Source: MSNBC)

Seniors in Business

* Entrepreneurship among seniors is growing. In 2002, the rate of self-employment for the workforce was 10.2 percent (13.8 million workers), but the rate for workers aged 50 was 16.4 percent (5.6 million workers). Although those age 50 made up 25 percent of the workforce, they comprised 40 of the self-employed. Solo business formation in the future will be driven by people who take early retirement or whose jobs just disappear. (Source: AARP/Rand Corp. “Self-employment and the 50 Population”)

Veterans in Business

* In 2004, about 22 percent of veterans in the US household population were either purchasing or starting a new business or considering purchasing or starting a business and nearly 72 percent of veteran entrepreneurs planned to employ at least one person at the start of their venture (Source: US Census Bureau)

Hot markets for small businesses:

* eBay drop-off sites
* Search engine optimization and Internet marketing
* Performance apparel
* Niche health and fitness
* Technology security consulting
* Services/products for Hispanic-market

(Source: Entrepreneur magazine, “Newest Trends & Hottest Markets,” January 2005)

Six ways for small-business owners to save money

By Marty Orgel

SAN FRANCISCO (MarketWatch) — In these tough economic times, owners of businesses small and large are coming up with unexpected ways to save money.

The University of Wisconsin at Green Bay said it will save $10,000 annually by changing its font type. The university switched from Arial to Century Gothic because Century Gothic font doesn’t use as much ink when printed, according to an Associated Press report.

In these days of economizing, changing your font style is an innovative way to cut costs. Here are six other ways to save money without drastically changing your business practices.

1. Move paper forms online

Another educational institution said it, too, is saving $10,000 annually — by switching from paper forms to online e-forms.

“We use tens of thousands of forms in all sorts of applications,” said Al Foytek, director of business information systems for the Visalia Unified School District in California.

“The money we save using electronic forms like those from software maker PerfectForms can easily cover the cost to automate our whole processing procedure,” Foytek said. “For example, our print shop uses a paper form which costs us about 75 cents each and we have around 15,000 requests that require other, specific forms each year.”

2. Take it to City Hall

Negotiating with City Hall is another key way to save, said Amy Handlin, deputy minority leader of the New Jersey General Assembly and associate professor of marketing at Monmouth University in New Jersey. The state legislator also wrote the new book, “Be Your Own Lobbyist.”

Handlin said lobbying local and state government is the most cost-effective way to fix a small-business problem.

For example, she said, a city inspector told the owner of a bakery in Salt Lake City that the business would be shut down unless the owner spent $40,000 to install a grease trap in the street. With skillful lobbying, the bakery owner was permitted to place a grease trap in her own kitchen at minimal cost, with the understanding that it would be accessible for monitoring by the city.

Then there’s the group of small-business owners who went before the Massachusetts Public Health Department, Handlin said. New frozen-food regulations required businesses to buy refrigerated trucks that cost $50,000. At a public hearing, the business owners argued for cheaper alternatives. The state agreed, allowing the affected companies to transport goods any way they wanted as long as they maintained safe temperatures.

“Lobbying the right people with the right message is precisely the way to speed things up,” Handlin said.

3. Speed up the payment cycle

Another way to save money: decrease your payment terms. While 30-day-net and 60-day-net are the normal time periods small-business owners give clients to pay invoices, changing those terms can save money, said John Reddish, president of Philadelphia, Penn.-based Advent Management International Ltd.

“Shorter turnaround times can result in lower borrowing costs for money for operating capital,” Reddish said. “A faster turnaround on payments cuts the interest small-business owners have to pay.”

Reddish said one stamping company client changed the due date for billing to “net 15″ and cash flow improved by 31%. For many small businesses, he said, 30-days-net translates into payment up to 63 days later by the time the client actually cuts a check. Making payments due net 15 translates into payment in 48 days — a 31% improvement in cash flow.

There is a downside to this practice, Reddish said. If a customer challenges the change in terms, “you either back off or risk losing business.” But if the client is happy with the services or goods the business owner is providing, changes in terms often slide right through.

4. Sell global, ship local

Shipping costs often are a major expense for both online and brick-and-mortar small- business owners. The cost of fulfillment can make or break a small company. That’s a problem that Shipwire Inc of Palo Alto, Calif., is leveraging. The company offers worldwide shipping at local-country rates, saving customers thousands of dollars in international shipments.

Shipwire has six warehouses in three countries where it stores inventory for small businesses, and works with 15 carriers and freight systems. Pay-as-you-go pricing plans start at $30 a month. And small-business owners can scale-up as business grows.

“Many companies save $30,000 a year with our services,” said Nate Gilmore, Shipwire’s vice president of marketing.

The savings come when businesses can charge customers local shipping rates instead of international rates. For instance, Gilmore said, a San Francisco-based software company can use a Shipwire warehouse in London to deliver an order in Manchester and pay only local U.K. shipping rates.

5. Perfect the art of the deal

With the U.S. Air Force spending billions of dollars a year on outsourcing, researchers at the University of Tennessee felt there probably was room for significant savings.

“The Air Force spends $34 billion on outsourced services a year, and is always trying to find better ways to save taxpayers’ money,” said Kate Vitasek with the Center for Executive Education at the University of Tennessee.

Vitasek said that using “vested outsourcing,” an idea developed by the university, the Air Force saved $79 million on an engine maintenance program for the F/A 18 Hornet.

What is vested outsourcing? It’s the process of negotiating contracts with vendors so that they earn more when they meet all the terms of the contract, and they are penalized when they don’t. A vested outsourcing agreement will cut hidden contract costs and only pay the vendor if and when that vendor successfully lives up to the terms of the contract.

Vitasek said Microsoft Corp. /quotes/comstock/15*!msft/quotes/nls/msft (MSFT 23.20, +0.04, +0.17%) used vested outsourcing principles with the technology consultancy firm Accenture PLC /quotes/comstock/13*!acn/quotes/nls/acn (ACN 38.21, -0.07, -0.20%) . The 7-year contract is valued at $185 million and “they have cut the costs 35%,” or almost $65 million, she said.

The University of Tennessee studied only very large companies, but Vitasek said all companies, from mom-and-pop markets to multi-billion dollar institutions, can benefit from vested outsourcing.

6. Pull in some free advertising

Bert Martinez of Bert Martinez Communications LLC in Houston, Texas, has a unique take on guerilla marketing. He said small-business owners can reap large rewards by scouring local yellow pages and business directories.

“Call the phone numbers in your competitors’ ads,” he said. “You will always find several ads that have disconnected numbers. Then surf competitors’ websites and find any that are out of business.”

Then, contact the telephone company and the website domain name registrar. When possible, buy your competitors’ website names and take over their telephone numbers. The phone company and domain registrars can assign those disconnected numbers to your main number, and the websites can be redirected to your site.

“Voila,” Martinez said. “You’re now receiving tons of new yellow-page advertising and web traffic!”

Marty Orgel is a freelance writer in the San Francisco Bay Area.

Michael Jordan – Becoming Legendary

Michael Jordan provides the ultimate motivation with a journey through his legacy that challenges you to look beyond your limits and rise to your potential.

Remarks by the President on Small Business Jobs Proposals

11:23 A.M. EDT

THE PRESIDENT:  Good afternoon, everybody.  Everybody please have a seat.

The Optimist Creed: Promise Yourself

The Optimist Creed was authored in 1912 by Chistian D. Larson, appearing in his book Your Forces and How to Use Them. It was adopted as Optimist International’s creed in 1922. Many have found inspiration in The Optimist Creed. In hospitals, the creed has been used to help patients recover from illness. In locker rooms, coaches have used it to motivate their players.

Please print this page of The Optimist’s Creed to read daily. Use it as a powerful tool to become the most brilliant magnet for magnificence and joy in your life. Please share it with your friends.

Promise Yourself

To be so strong that nothing can disturb your peace of mind.

To talk health, happiness, and prosperity to every person you meet.

To make all your friends feel that there is something worthwhile in them.

To look at the sunny side of everything and make your optimism come true.

To think only of the best, to work only for the best and to expect only the best.

To be just as enthusiastic about the success of others as you are about your own.

To forget the mistakes of the past and press on to the greater achievements of the future.

To wear a cheerful expression at all times and give a smile to every living creature you meet.

To give so much time to improving yourself that you have no time to criticize others.

To be too large for worry, too noble for anger, too strong for fear, and too happy to permit the presence of trouble.

To think well of yourself and to proclaim this fact to the world, not in loud word, but in great deeds.

To live in the faith that the whole world is on your side, so long as you are true to the best that is in you.

Introducing Google TV [video]

Discover Google TV. The internet giant explains its new platform that bridges the gap between TV and the web.

Watch the video and tell us what you think.

30 Habits that Will Change your Life

Developing good habits is the basic of personal development and growth. Everything we do is the result of a habit that was previously taught to us. Unfortunately, not all the habits that we have are good, that’s why we are constantly trying to improve.

The following is a list of 30 practical habits that can make a huge difference in your life.

You should treat this list as a reference, and implement just one habit per month. This way you will have the time to fully absorb each of them, while still seeing significant improvements each month.
Health habits

1. Exercise 30 minutes every day. Especially if you don’t do much movement while working, it’s essential that you get some daily exercise. 30 minutes every day are the minimum recommended for optimal health.

2. Eat breakfast every day. Breakfast is the more important meal of the day, yet so many people skip it. Personally, I like to eat a couple of toasts in the morning along with a fruit beverage.

3. Sleep 8 hours. Sleep deprivation is never a good idea. You may think that you are gaining time by sleeping less, when in reality you are only gaining stress and tiredness. 8 hours are a good number of hours for most people, along with an optional 20 minutes nap after lunch.

4. Avoid snacking between meals. Snacking between meals is the best way to gain weight. If you are hungry, eat something concrete. Otherwise don’t. Update: for clarification, I mean don’t eat junk food between meals, but eating real food it’s ok.

5. Eat five portions of fruits and vegetables every day. Our body and brain loves getting vegetables and fruit, so I highly recommend eating as much of them as possible. Five portions is the dose that’s usually recommended by many health associations.

6. Eat fish. Fish is rich of omega 3 and other healthy elements. At least one meal per week of fish should be enough for getting all these nutrients.

7. Drink one glass of water when you wake up. When you wake up, your body is dehydrated and needs liquid. Make the habit of drinking one glass of water after you wake up in the morning. Also, drink more during the day.

8. Avoid soda. Soda is often one of the most unhealthy beverage you can find. Limit your consumption of soda as much as possible and you’re body will be grateful for that.

9. Keep your body clean. I don’t advise spending your day in front of the mirror, but a minimum of personal care does never hurt.

10. If you smoke, stop it. There’s no reason to smoke anymore, and quitting is easy.

11. If you drink, stop it. Same as above. Don’t think that alcohol will solve your problems. It never does. The only exception is one glass of wine per day during meals.

12. Take the stairs. This is just a hack that forces you to do a minimum of exercise. Instead of taking the elevator, take the stairs.

Productivity habits

1. Use an inbox system. Make the habit of keeping track of all the ideas and things that comes to mind. You can use a notebook to do this, and then sync everything on your computer.

2. Prioritize. If you have a list of things to do, where do you start? One way is to prioritize your list. If you are in doubt, ask yourself: “If I could only accomplish one thing today, what would it be?”

3. Plan, but not too much. Planning is important, and you should decide in advance what you are going to do today or this week. However, planning for more than a few weeks is usually inefficient, so I would not worry too much about that.

4. Wake up early. Waking up early in the morning is a great way to gain extra time. I personally like to wake up at 5 am, so that by 9 am I have already accomplished what otherwise would have taken me many days..

5. Check your email only twice per day. Email can easily become an addiction, but it’s usually unnecessary to check it every 10 minutes. Make an effort and check your email only once or twice per day, see if the world will still rotate as before after you try this.

6. Eliminate unimportant tasks. Being busy all day does not mean you are doing important stuff. Eliminate every activity that’s not important, and focus on what really matters.

7. Clean off your desk and room. Having a clear room and desk is important to maintain focus and creativity.

8. Automate. There are a lot of tasks that you need to perform every day or every week. Try to automate them as much as possible.

9. Set strict deadlines. When you do something, decide in advance when you’re going to stop. There’s a rule that states that you will fulfill all the time you have available for completing a task, so make an habit of setting strict deadlines for maximizing your productivity.

10. Take one day off per week. Instead of working every day, take one day off per week (for example sunday) where you are not going to turn on your computer. Use that time for doing recreational activities like going for a walk.

Personal Development habits

1. Read 1 book per week. Reading is a good way to keep your brain active. With just 30 minutes per day you should be able to read one book per week, or more than 50 books per year.

2. Solve puzzles. Quizzes, word games, etc. are all good ways to exercise your brain.

3. Think positively. You are what you think, all the time.

4. Make fast decisions. Instead of thinking for one hour wherever you are going to do something, make your decisions as fast as possible (usually less than 1 minute).

5. Wait before buying. Waiting 48 hours before buying anything is a tremendous money saver, try it.

6. Meditate 30 minutes per day. A great way to gain clearness and peace is through meditation. 30 minutes are not a lot, but enough to get you started with meditation.

Career habits

1. Start a blog. Blogging is one of the best way to put your word out. It doesn’t have to be around a specific topic, even a personal blog will do.

2. Build a portfolio. If your job is creating stuff, building a portfolio is a great way to show what you are capable of. You can also contribute stuff for free if that applies to your work.

What do you think? What are the habits that changed your life?

Most Common Press Release Mistakes: Avoid These Costly Press Release Errors

Common Press Release Mistakes: Avoid These Costly Press Release Errors

As one of the Internet’s largest news release distribution services, we have seen some of the best press releases on the Web. We’ve also seen some of the worst. Since your news release is competing with hundreds, sometimes thousands, of other companies and organizations that are all vying for a reader’s attention, it’s best to make sure that your release is strong and free of mistakes. Remember, you won’t get a second chance to correct the negative impressions left by a poorly written release.

Here are some of the top mistakes we see in press releases:

Use of ALL CAPS – Using ALL CAPS to create emphasis and draw attention to keywords and phrases is not well used in news releases. Your press release should be written professionally and utilize proper grammatical and spelling guidelines. Let the facts and the information in your press release do the talking to excite and interest readers.

Grammatical Errors – It’s very important to proofread, edit, and proofread again so that when you submit your release you are confident that it is well-written, correctly formatted and error-free.

Lack of Content: While short is sweet, when it comes to news releases, content is king. It’s a good idea to keep things concise but not at the expense of the important details that will define your news. PRWeb recommends writing your press release between 300 and 800 words. Be sure to answer all of the “W” questions (who, what, where, when, why and how) to ensure a complete release.

Advertisements: While news releases are promotional, they definitely are not advertisements. A good news release informs in an objective voice. An advertisement tries to sell. If your news release screams “BUY ME!” then you should consider reworking it.

Hype Flags: Hype flags include an abundance of exclamation points, wild product and service claims and overabundant use of words like “best,” “FREE,” and “amazing.” Not only do you risk tripping spam filters by including these hype flags in your release, you also risk turning off readers who are looking for facts, not hype.

Direct Address: Many press release writers desire to bring the reader in by using a lot of direct address and making statements directly to the reader using words like “you,” “your” and “we.” Direct address can be a flag that a release is actually an advertisement. In addition, you lose the chance to use important keywords and phrases instead of direct address. Use a term that defines your audience such as “marketers” or “accountants” rather than “you.”

Video Marketing in 5 Easy Steps

After Google purchased Youtube.com Videos became all the rage. It used to be that only a handful of corporate websites had videos and now they are on more and more websites. The Kodak Zi8 and Flip HD allow anyone to look pretty professional with out the big expense. Videos allow you and your company an excellent way to connect with prospects and clients on a personal level.

It’s one thing to write compelling web copy that works, but it’s quite another to show a movie of yourself speaking. Personally, I was afraid of sounding stupid, looking weird or actually hurting my marketing rather than helping it. I generally think I am un-photogenic. But the more I worked with videos and spoke to professional I realized those feelings are pretty natural.

We encourage all clients to use videos and we currently recommending the Kodak Zi8 because of it’s external mic jack. We use videos on our facebook page and with our business and sales training.

Here are a few tips we would recommend from our experience.

1. Make sure you have your core message crystal clear. You need to connect empathetically with your customers and speak right to their need and the benefits you offer. If you are unclear of your focus, get help with that before doing your video.

2. If you are using a small digital camera like the Flip HD or Kodak Zi8 like I do, make sure you use good lighting it is fairly easy too, but you’ll definitely need some practice.

3. Keep it well under a minute or less. People will watch a video if it is short and quick. If it goes too long people won’t watch all the way to the end. This means you don’t have to say a lot but what you do say needs to be clear and compelling. Even 15 seconds can be good. We been on national TV and Radio where you only have 2-3 minutes to speak.

4. Make sure you smile, as this makes a huge difference in terms of connecting with people. No one can resist a good smile. Smiling is a skill so again you may need some practice.

5. Make sure you have a call to action at the end. Something that you want people to do. Buy a book; take a class; sign-up for a newsletter or whatever. Don’t lose the opportunity to let people know what to do next, but always bring in the benefits to them.

Go for it and have fun!!

When your video is done you can upload it in on YouTube.Com get the code so you can paste it on your website. Take note add your web address on the first line of the description, so people will see it.

Also I high recommend an expensive lavalier microphone for any Kodak Zi8 it ads a huge level of professionalism.

You Were Created to Succeed!
Bert Martinez

Psyching Yourself Out of A Sale

Psyching Yourself Out of A Sale

When clients ask for help in closing more sales, I’d ask them to list the objections they are hearing that prevented the sale. It’s when they start stumbling over their response that I ask, “Are these the objections you are hearing directly from your prospects or what you’re assuming as the reason why they don’t buy?”

Whether it’s around our sales efforts, during a conversation with our boss (and our kids), or when trying to uncover ways to best manage your team, certain assumptions can dramatically affect the results we seek to achieve, especially during a conversation.

Rather than uncovering the real barrier to the sale, assuming the objection becomes a detrimental process that spreads like a virus throughout every sales call. These assumptions are not based on the facts but rather the salesperson’s assumption of the truth.

When clients ask for help in closing more sales, I’d ask them to list the objections they are hearing that prevented the sale. It’s when they start stumbling over their response that I ask, “Are these the objections you are hearing directly from your prospects or what you’re assuming as the reason why they don’t buy?”

Whether it’s around our sales efforts, during a conversation with our boss (and our kids), or when trying to uncover ways to best manage your team, certain assumptions can dramatically affect the results we seek to achieve, especially during a conversation.

Rather than uncovering the real barrier to the sale, assuming the objection becomes a detrimental process that spreads like a virus throughout every sales call. These assumptions are not based on the facts but rather the salesperson’s assumption of the truth.

Salespeople often fall into this trap when creating solutions for their prospects. During a conversation with a prospect, they uncover a similar situation or problem that they have handled with a previous client. So, they assume that the same solution will fit for this prospect as well.

The problem arises when the salesperson fails to invest the time to go beyond what may be obvious and explore the prospect’s specific objectives or concerns.

Thinking they “know” this prospect, the salesperson provides them with the benefits of his service that he perceives to be important, without considering the prospect’s particular needs.

The next time you’re speaking with your boss, your family your employees, or if you’re on a sales call, rather than assuming the objection, how the prospect makes a buying decision, what they know or what they want to hear, follow these suggestions to create more selling opportunities.

1. Identify The Knowledge Gap.
That’s the space between what people know and what they don’t know. Instead of assuming what they know, start determining what they need/want to learn in order to fill in this gap and ensure clear communication. What may seem old or common to you is new to them. Use questions up front to uncover what’s needed to fill in the gap. Example: “Just so I don’t sound repetitive, how familiar are you with-?”

2. Be Curious.
Question everything! Since you’re in the business
of providing solutions, invest the time to uncover the person’s specific need or problem, as opposed to providing common solutions that you assume may fit for everyone. For example, the words “Frustrated, successful, affordable, reliable and quality,” can be interpreted in a variety of ways and often carry a different meaning for each of us.

When you hear a prospect make a comment like, “I want a quality product that will give me the results I want at an affordable price,” use this as an opportunity to explore deeper into what they want or need most. “What type of results are you looking for?” “What is affordable to you?” Questions allow you to clarify what you have heard or go into a topic in more depth so you can become clear with what they are really saying.

3. Clarify!
Make each prospect feel that they are truly being listened to and understood. Use a clarifier when responding to what you’ve heard during the conversation. Rephrase in your own words what they had said to ensure that you not only heard, but also understood them. Then, confirm the next course of action. Examples: “What I’m hearing you say is…” “Tell me more about that.” “What do you see as the next step?”

4. Just The Facts, Please
“I told a prospect that I’d follow up within a week. Two weeks later, I figured I missed my chance and they went with someone else.” Sound familiar? Effective salespeople don’t guess themselves into a sale. To ensure you’re operating with the facts, ask yourself this, “Do I have evidence to support my assumption or how I’m feeling?” Enjoy the peace of mind that comes from gaining clarity rather than drowning in the stories that you believe are true.

Entrepreneurs Question Value of Social Media

Marketing via Facebook, Twitter Yields Results for Some, Others Say It’s Overrated; ‘Hype Right Now Exceeds the Reality’

By SARAH E. NEEDLEMAN

Last year, Jackie Siddall described in a blog post how a message she received on Twitter prompted her to buy a folding kayak for around $1,900.

The vessel was one of about just 600 sold in 2009 by Folbot Inc., a small retailer in Charleston, S.C. “You can’t buy that exposure,” says the firm’s co-owner, David AvRutick, who claims the incident speaks to the value of using social media for marketing.

But Mr. AvRutick’s experience may be the exception, rather than the norm. In its short lifetime, social media—services like Facebook and Twitter—have become popular marketing tools for small firms due to the low cost and easy-to-use format. Some entrepreneurs say they’re highly effective, but new evidence suggests otherwise.

“The hype right now exceeds the reality,” says Larry Chiagouris, professor of marketing at Pace University’s Lubin School of Business.

Last year, social-media adoption by businesses with fewer than 100 employees doubled to 24% from 12%, says a survey released in January of 2,000 U.S. entrepreneurs from the University of Maryland’s Smith School of Business and Network Solutions LLC, a Web-services provider in Herndon, Va.

Meanwhile, a separate survey of 500 U.S. small-business owners from the same sponsors found that just 22% made a profit last year from promoting their firms on social media, while 53% said they broke even. What’s more, 19% said they actually lost money due to their social-media initiatives.

“It could harm you if you end up inadvertently saying something stupid, offensive or even grammatically incorrect,” says Mr. Chiagouris.

A business owner’s time and energy spent on social-media marketing—Folbot’s Mr. AvRutick says he dedicates about an hour a day—could also go to waste. Fifty percent of the latter survey’s respondents say it requires more effort than expected.

To gain positive results, entrepreneurs need to regularly interact with consumers through these sites and not simply create static profiles, says Jacob Morgan, co-owner of Chess Media Group Corp., a consulting firm in San Francisco that specializes in social media.

Some small businesses opt to hire outside firms to handle their social-media marketing or advise them on the best ways to use it, but such services can cost hundreds of dollars a month.

For Chris Lindland, owner of Cordarounds.com, an online clothing retailer in San Francisco, converting consumers into customers using social media has required a “patient investment.”

“My business has been visited millions of times, but I haven’t made millions of sales,” says Mr. Lindland, whose four-person staff spends up to 90 minutes a day managing Cordarounds’s accounts on Twitter and Facebook. “People have told me they finally got around to buying from my business after reading about it on social media two years ago.”

Some entrepreneurs say they’ve found early indicators that their social-media efforts are paying off.

“The people coming from social media have been buying,” says Stephen Bailey, who oversees social-media and other marketing initiatives for John Fluevog Boots & Shoes Ltd., a footwear and accessories retailer in Vancouver with about 100 employees.

As evidence, Mr. Bailey points to a 40% increase in online sales in 2009—the first full year the company engaged consistently in social-media marketing—compared with 2008 when it was just getting started. He says he can draw a correlation between those figures and social media by looking at traffic to the company’s Web site from Twitter using Hootsuite, a free Twitter-management service from Invoke Media Inc. Other free services that track Web traffic from social-media sites include Google Analytics, CoTweet and Lodgy.

“The second we started using social media, it became one of the biggest drivers of traffic outside of search engines,” says Mr. Bailey, adding that his research shows these visitors spend as much time on Fluevog.com as those who come from other online destinations. The company doesn’t invest in paid advertising on social media, he adds.

Other business owners are soliciting customer feedback and monitoring what’s being said about their firms to determine the impact of sites like Facebook and Twitter on consumers’ buying decisions.

Mr. AvRutick says he regularly searches Twitter for tweets that mention kayaking and then sends messages to the people who wrote them. He connected with Ms. Siddall, the blogger who credited Twitter for exposing her to Folbot, after she posted a tweet that mentioned she wanted a kayak.

Ms. Siddall, a 37-year-old senior designer for Idea Couture Inc., a creative-marketing agency in Toronto, says she was unaware that folding kayaks even existed until she heard from Mr. AvRutick. She spent the next few months researching different brands, which included perusing a networking forum on Folbot’s Web site about kayaking.

Ms. Siddall says she later asked Mr. AvRutick via Twitter if he would send her some photos of her folding kayak being made, and he provided about 20. After it arrived, she says she decided to write a blog post about the whole experience.

“I didn’t find the same level of information or communication online from the other brands,” she says.

Write to Sarah E. Needleman at sarah.needleman@wsj.com

Three Best Ways to Catch an Employee Thief

Three Best Ways to Catch an Employee Thief |Wall Street Journal|By SARAH E. NEEDLEMAN

If your small business can’t afford external auditors, security cameras or other resources for spotting employee fraud, consider doing some detective work of your own. The effort could save your firm from a significant financial loss or worse—failure.

After all, a single heist could be fatal for a small business, says Richard Hollinger, a professor of criminology at the University of Florida. Small firms typically don’t have

the financial resources to fall back on that large organizations have, he explains. (See related story, Business Owners Get Burned by Sticky Fingers.)

Employee fraud can take place right under a business owner’s nose. According to the Association of Certified Fraud Examiners, an anti-fraud trade group in Austin, Texas, such activities occur on average for as long as two years before the victim organization catches on.

The phone keeps ringing. Some corrupt workers will instruct friends to repeatedly call a business and ask if the owner is on site until the answer is no, says Mark R. Doyle, chief executive of Jack L. Hayes International Inc., a provider of workplace crime-prevention services in Wesley Chapel, Fla. Once they hear those “magic” words, the friend knows it’s safe to come by and swipe merchandise under the rogue employee’s watch, he explains.

The math doesn’t add up. Two years ago, ReShonda Young noticed a subordinate at her father’s transportation company, Alpha Express LLC, had turned in a weekly time sheet with more hours than he could’ve possibly worked. That prompted Ms. Young, a manager at the Waterloo, Iowa, company, to investigate further and she discovered that the employee had been stretching his hours for months, initially to a less-noticeable extent. “I guess it got to be a little easy,” she says. Now all supervisors must review and sign workers’ time cards before they can be processed, says Ms. Young.

Money problems surface. Financial pressures are a key motivator of occupational fraud, the ACFE reports. For this reason, business owners should take note of any excessive complaining by a worker about money burdens. And if such a person’s lifestyle suddenly improves dramatically, this could signal he or she has their hand in the company’s cookie jar.

Write to Sarah E. Needleman at sarah.needleman@wsj.com

Watch Sarah Needleman video

How to Manage Multiple Business Locations

How to Manage Multiple Business Locations | Inc |By Darren Dahl | Mar 4, 2010

Thomas Friedman was onto something when he wrote his book, The World is Flat. Companies increasingly feel the need to expand their reach into new markets—both domestically and internationally—from a very early age.

One direct result of this expansion is that you may now be forced to manage multiple locations and oversee employees in distant offices—a fact that can cause quite a few challenges and headaches, says Eric Bloom, president of Manager Mechanics, a management-training firm based in Ashland, Massachusetts.

“No matter how widespread your organization becomes, you need to work hard to retain team cohesion and the philosophy that everyone is on the same team regardless of where they work,” he says.

Dig Deeper: Why You Should Expand

Managing Multiple Locations: 6 Challenges

1. Out-of-site-out-of-mind syndrome. When things get busy at your primary location, it can be hard to give your employees based at other locations the time they deserve.

2. Loss of spontaneous communications. Because you do not see your employees in the hallway or at meetings, there is very little natural or unplanned communication.

3. Attenuated logistics. Anything that cannot be sent electronically, must be mailed, which causes time delays and increased effort.

4. Complicated work assignments. It is harder to perform certain types of jobs or collaborate on them when employees are based in remote locations

5. Lack of team cohesiveness. Your team members will not know each other as well. This can easily lead to an “us-versus-them” mentality.

6. Concerns over general supervision. If you have a remote office that clients visit, it’s virtually impossible to see if your employees are arriving on time, working appropriate business hours or wearing proper business attire.

To tackle these and other challenges, then, organizational leaders need to focus on three key areas: systems, technology, and communication.

Managing Multiple Locations: Put Systems in Place

The old adage is that systems run businesses, and people run systems. “You must have systems in place to be able to standardize the quality of your communications, products and results,” says Bert Martinez, founder of Bert Martinez Communications, a business training and communications company with multiple locations. “Systems will allow you to duplicate offices and grow faster with reduce training times and supervision.”

The key is to establish clear responsibilities, boundaries, and authority, says Ann Latham, president of Uncommon Clarity, an organizational-behavior consulting firm in Easthampton, Massachusetts. “Vague responsibilities create the proverbial cracks into which everything drops,” she says. Muddy boundaries create disasters ranging from personnel problems to legal ones while insufficient authority can become a source of delay and demotivation. “An employee with everything needed to exercise good judgment except either the authority or sense of responsibility to do so is worth little,” says Lantham.

The point, then, is to make each employee’s responsibilities clear through an organizational structure combined with a system that measures each and every employee, and holds everyone accountable for delivering on their work responsibilities regardless of where they are based.

Dig Deeper: Building Systems to Manage Your Business

Managing Multiple Locations: Adopt New Technology

With the advent of the Internet, and the prolific surge in the number of collaborative tools that have spawned from it, technology has become an integral part of the backbone for any far-flung organization, says Bloom, particularly because it can help your organization cut down on business travel expenses.

While many organizations rely on custom-built software platforms and intranets as collaborative platforms, some of the most commonly-used tools by small businesses in particular are also either free, cheap or available as a software-as-a-service, which means you can access these tools over the web for a monthly fee. Some of the best and cost-effective options include:

• Google Documents, Gmail and Calendar for internal training and communication.
• Basecamp: An popular project management tool.
• Facebook : The now ubiquitous social networking tool is just as useful for business as it is for personal applications.
• Skype: The surge in VOIP technology and software means that you can communicate with remote employees cheaply and effectively.
• Salesforce.com: One of the most popular tools around, Salesforce.com allows remote sales team to collaborate in real-time on maintaining your company’s sales pipeline.

A new wrinkle in terms of technology is that many firms have begun to equip all of their employees with smart phones such as the iPhone as a way to enable them to access any web-based technology regardless of where they are, including many new applications.

Dig Deeper: The Latest Small Business Technology News

Managing Multiple Locations: Focus on Communication

Systems are a must, technology is important tool however, none of these will work with out real communication, says Martinez. “Communication is the key to collaboration with your offices, coworkers, and clients,” he says. If you neglect this aspect of running your business, you do so at your own risk, particularly in a business with multiple locations. That’s why Martinez also makes having his employees have time face-to-face a priority by having his offices take turns hosting each other once a year to enable communication between people on all levels.

Other tips for fostering communication between your employees based in the office and elsewhere include:

1. Establish full team weekly staff meetings via phone or webinar to get your whole group together.

2. If possible, have web cams so your team members can see each other.

3. Make each physical site responsible for a specific type of work, rather then assign random tasks associated with a central project.

4. When doable, have the CEO or management members personally visit each remote site on a scheduled basis, every month, for instance.

5. Establish weekly phone-based staff meetings individually with each remote group so that each physical location will get time with top management.

6. If possible, get your whole group together once or twice a year for staff meetings, brainstorming and team building.

Dig Deeper: How to Improve Your Communications Skills

Managing Multiple Locations: The Global Workforce

Managing multiple locations across the U.S. is hard enough. But when you add a new sales office or manufacturing plant overseas, says Bloom, you can actually run into a host of new challenges associated with cross-cultural communication that include:

1. Time zones. There is limited or no overlap in the standard workday.

2. Language. Even if everyone has a common language, English for example, differences in accents, language fluency, and the use of slang expressions can make communication extremely difficult, particularly on conference calls and speakerphones.

3. Social norms. Cultural differences from country to country can accidentally cause tension, embarrassment, and miscommunication.

3. Holiday schedules. Scheduled meetings, reporting deadlines, cash flows and standard business processes can be derailed or delayed based on local holiday schedules.

4. Technical connectivity. Not all countries have high-speed connectivity at all locations.

5. Labor laws. Laws regarding hiring, employee termination, hours worked, layoffs, sexual harassment differ from country to country.

6. Business-related laws, ethics, and practices. Business is conducted very differently from country to country.

7. Personal-privacy laws. In European Union member states, the laws regarding the personal use, storage, and transport of personal information are quite stringent compared with those in the U.S.

Dig Deeper: Building the Best Virtual Workforce

Managing Multiple Locations: Adapting to Different Cultures

Bloom suggests tackling these challenges by considering the following tips:

1. Find one key contact in each country that is very knowledgeable in local customs, business practices, and laws.

2. Learn to pronounce people’s names correctly.

3. Gain a basic understanding of country politics and current events.

4. Know the names of your managers and leaders in those countries and pronounce their names correctly.

5. Find ways to take advantage of the time zone differences.

6. Be respectful of the differences between people and cultures.

The bottom line in managing multiple locations, says Martinez, is to help make everyone in your company feel motivated and part of the team, regardless of where they do their work. “When your people feel good and that they matter, they will perform better,” he says.

Dig Deeper: How to Be a Lead Teams in Emerging Markets

Managing Multiple Locations: Additional Resources

Corporate Agility: A Revolutionary New Model for Competing in a Flat World, by Charles Grantham, James P. Ware and Cory Williamson (AMACOM, 2007.) This book will show you how to get your company to embrace new technology, understand the ever-changing workforce, and rethink the way you structure work environments to deal with the global economy.

Competing in a Flat World: Building Enterprises for a Borderless World, by Victor K. Fung, William K. Fung and Yoram (Jerry) Wind (Wharton School Publishing, 2007.) A book filled with solid tips to create a flexible organization capable of competing anywhere.

The Facility Management Handbook, by David G. Cotts Kathy O. Roper and Richard P. Payant (AMACOM, 2009.)
A great reference guide for understanding and implementing best practices for the modern workplace.

Next Page »