Category: Entrepreneurs

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The Importance of Choosing the Right Consultant

As businesses innovate and expand, they often find themselves implementing unfamiliar tactics. Personnel who are available at the start of a project can lack required skills, and challenges further down the line are bound to stump those without relevant experience. Hiring a consultant such as ITB Partners can broaden a team’s skillset temporarily without the expense of bringing on a new permanent member. Though initially costly, their services save money due to added efficiency.

When To Use a Consultant

Sometimes a project only needs an expert’s assistance in its early stages. Hiring a new employee with the necessary skillset runs the risk of the role falling outside the scope of their expertise or far below their pay grade after the specialized work is done.

Consultants tend to be experts in their fields, focusing on a specific aspect of an industry with far more depth than the layman. Share on XWhile some advisors maintain lasting relationships with clients, companies also utilize consulting firms to solve a specific challenge before moving on.

Why Specialization Matters

Consultants are only hired for as long as needed, and the duration of the consultancy period can be determined in advance. They bring an “outsider’s perspective” to a given project. They may see common pitfalls someone less versed in a given industry may miss and can recommend the best solutions from experience.

Consultants cover a variety of specializations, so it’s crucial to select the right one for the job. There is no one-size-fits-all consulting practice that will work across the board. When deciding which consultant’s services to enlist, it’s critical to consider their areas of expertise.

What Types of Consultants Businesses Can Hire

PR agencies are instrumental, as a public relations consultant can help a company establish its online presence and advertise to target demographics. Operations consultants are available to streamline every step of a supply chain, from management practices to daily operations. A fledgling business with a solid product idea but no economic knowledge among its team may enlist a financial advisory consultant to get started.

Workplaces with limited use of computers and networking can opt to bring in a technology consultant when needed, rather than hiring a full-time IT person. There are even lean staffing consultants who help their clients work toward achieving the greatest productivity with the smallest workforce.

How To Find Qualified Consultants

After identifying what type of consultant is needed, it’s time to start searching. Besides the direct approach of researching and contacting consulting firms directly, colleagues from team members’ previous places of employment may have dealt with similar challenges in the past. These connections can point in the direction of consultants they’ve worked with previously. Job recruiting sites are also a useful resource for finding and filtering candidates. When looking for a PR company, for example, it’s possible to check out the ratings and rates of various agencies on a job board before reaching out.

Industry insiders agree that the right person for the job is not necessarily the least costly. Careful consideration should be taken to make sure all needs can be met, without paying more than the industry standard. After this cost-benefit analysis, a fair and specific contract needs to be created to protect the interests of both sides of the transaction.

When facing new challenges in the working world, utilizing whatever methods will produce the best results is crucial. Consultants make it their business to study the unique intricacies of their field to provide their clients with the tools to succeed. Though their services may seem cost-prohibitive at first, they eventually pay for themselves through the contributions to a business’s future.

Thank you for visiting our blog.

 

Jim Weber, Managing Partner – ITB Partners

Jim Weber – Managing Partner,  ITB Partners

I hope you enjoyed our point of view and would like to receive regular posts directly to your email inbox.  Toward this end, put your contact information on my mailing list.

Your feedback helps me continue to publish articles that you want to read.  Your input is very important to me so; please leave a comment.

 

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Success is a Habit

There’s been much interest in developing productive habits and having a set of principles for success in life during the past few years. Jordan Peterson and James Clear have written extensively on these issues. Their books have been widely read, especially among younger males. Our institutions have failed in this regard. Schools, for example, do not reinforce our cultural values and lack emphasis on character building for our youth. Or possibly because the old established institutions are not relevant to the younger generation. Regardless, it seems that many are adrift.

We learned our guiding principles from our parents, primary school, and church. I remember my mother telling me to stand straight with my shoulders back. She drilled into me that slouching does not make a good impression. We also learned about maintaining good habits by playing with others—things like sharing, respect, and fairness. We learned about the Ten Commandments, not all of which are particularly religious. They speak about honesty, respect for our elders (authority), avoiding envy, and lying. Stealing and murder were prohibited as well. Many of us participated in team sports, like Little League baseball. We learned sportsmanship, working together as a team, supporting one another, being on time, and honoring our commitments. We learned proper etiquette and table manners from our parents, and some were enrolled in formal classes to learn those rules. We learned how to behave in conformance with the norms of a healthy society.

Today, we can see the difference between successful folks and those who struggle. It is evident in their approach to life and the habits they embrace, wittingly or not. Much of my work is about helping people identify and correct bad habits. I help my clients develop productive routines and fix issues not being addressed. Usually, I help create systems and processes to improve performance.

Success is a habit, or more to the point, a collection of practices.

    • Be on time.
    • Be Proactive
    • Be Prepared-analytical
    • Take good notes
    • Follow up
    • Be organized
    • Honor you commitments
    • Be Ethical: honesty and integrity
    • Follow the rules of Reciprocity
    • Build relationships slowly
    • Attract like-minded people
    • Maintain your physical health

From my experience, successful people share a collection of attributes. I have observed that they are focused on what they want and have the discipline to realize their goals. Furthermore, they attract and surround themselves with like-minded people. You may have heard that you are the average of your friends and associates. I believe this to be true. Stated another way, successful people are forward-thinking and develop systems to achieve their goals. Share on X Without a system, goals are just wishful thinking and daydreams. Another way to think of a system is a collection of habits. Let’s consider practices successful people share.

At the forefront, successful people are trustworthy. They are honest and ethical people who honor their commitments. The importance of trust should not be a surprise to anyone. Would you willingly associate with someone you did not trust? Of course not. If you are trustworthy and dependable, you will attract ethical associates. Ethical behavior is the foundation for success.

Successful people exude confidence. They have a positive, can-do attitude that people will naturally follow. I am reminded of the saying, “if you can conceive it and believe it, you will achieve it.” They are high-energy people who energize and motivate others. Compare these attributes to low-energy complainers who drain you of your energy. Avoid these people!

Maintaining a healthy lifestyle is another critical attribute for success. A healthy body is required to generate the energy and drive needed to achieve one’s goals. It is challenging to develop confidence if you are not physically fit or do not feel well. A proper diet and exercise are part of their daily routine. They get the appropriate amount of sleep to be alert and focused during working hours. They see their doctor annually to check their vital statistics and catch potential ailments early.

To summarize, successful people are in control of their lives. They determine how they want to live and create that environment. Their lives are not perfect as they suffer unpleasant circumstances like everyone else. However, they experience fewer adverse events and cope with them better because of the systems they have created. Their grand system is a set of beliefs, attributes, and behaviors (read habits) they employ to create their lifestyle. For those of you looking for success or that want to mentor others, I suggest that you further explore the points made in this article.

Thank you for visiting our blog.

 

Jim Weber, Managing Partner – ITB Partners

Jim Weber – Managing Partner,  ITB Partners

I hope you enjoyed our point of view and would like to receive regular posts directly to your email inbox.  Toward this end, put your contact information on my mailing list.

Your feedback helps me continue to publish articles that you want to read.  Your input is very important to me so; please leave a comment.

 

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Stop Procrastinating and Accomplish More!

I put this article off for too long! No kidding! Procrastination is not one of my worst habits, but I am prone to succumb to it from time to time.

Why write about the subject now? Maybe because it is time to file our state and federal taxes. It is on my mind because people I know waited until the filing deadline to complete their taxes. I am confident they are not alone. I have known many who were last-minute tax filers. Fortunately, that is not an issue for me as I have an accountant who does our personal and business taxes. He has complete access to my QuickBooks Online account, which is always current. I have almost eliminated my tax preparation requirements. Procrastination is no longer necessary.

I have never been much of a procrastinator. I am a planner by nature and by training. I try to be proactive. The thought of putting myself through the stress and anxiety of meeting a deadline at the last minute is too painful to bear. That does not mean that I don’t procrastinate from time to time. Sometimes, I procrastinate to avoid irritating or mundane tasks. Getting my annual automobile inspection is a good example. While in college, I did not engage in last-minute, pre-exam cram sessions. Instead, I believed that I would perform better with a good night’s sleep. It was the same during my corporate career. I made a point to complete my assignments early, especially if they involved a presentation. I used the extra time to hone my subject matter knowledge and focus on the presentation. I never wanted to present work that was less than my best effort.

To some extent, everyone engages in procrastination. I have known many who wait until the last minute to complete assignments. I spend much of my time coaching my clients to overcome procrastination. Watching them race through the process of completing an important task at the last minute is painful. Helping them defeat the urge to procrastinate improves their performance, moving them closer to their goals. Share on X

Ways to Approach and Correct Procrastination

Do not punish yourself for procrastinating
Commit to completing the task
Promise yourself a reward upon completion
Find someone to hold you accountable
Change your attitude toward the task
Focus on the issue
Eat an elephant, one bite at a time

To minimize procrastination, I’ve adopted a few helpful habits that may interest you. My most powerful technique is to put the task right in front of me to be in my way. I create a situation where I cannot get around the job, so I must dispatch it. A good example is putting my dry-cleaning in the passenger seat of my car. Once that is done, I cannot ignore it. I must take it to the cleaners and retrieve my clean laundry. I know that is a small, inconsequential example. Even so, the concept works with more essential matters.

No one likes paying bills, but the avoidance cost is steep. We must pay them eventually. To get this task behind me, I will put a stack of bills in the center of my desk. They are right there in front of me, screaming for attention. Furthermore, I have adopted electronic bill pay methods, including the authorization for automatic withdrawals. Now, I have one less activity to avoid.

To continue making progress in a health-related area, I set concrete milestones and plan rewards for goal attainment. For example, I will plan to purchase an article of clothing as I achieve specific points in a weight loss program. Creating a reward keeps me motivated to stay on track to achieve my objective. I find it helpful to start with a plan that segments the overall scope of larger projects into smaller components. Completing small activities generates momentum that leads to successful completion.

In conclusion, procrastination is a bad habit that inhibits your productivity and goal achievement. It is a common affliction. It is natural to avoid complex, tedious, unpleasant, aversive, and stressful tasks. Instead, we prefer to engage in the fun stuff! To defeat procrastination, consider changing your attitude toward the job. Make it a priority you cannot avoid. Break larger projects into smaller parts to be tackled sequentially. Reward yourself for completing a dreaded task. Finally, you might look for ways to eliminate routine tasks through automation. Begin practicing some of these tips, and let me know if they work for you

For more information about procrastination and how to overcome your avoidance issues, you may find it helpful to check out these links.

https://www.businessinsider.com/main-types-of-procrastinators-how-to-avoid-accountability-coaches

https://www.washingtonpost.com/lifestyle/wellness/procrastinate-why-stop-advice/2021/07/09/13b7dc2c-e00e-11eb-9f54-7eee10b5fcd2_story.html

Thank you for visiting our blog.

 

Jim Weber, Managing Partner – ITB Partners

Jim Weber – Managing Partner,  ITB Partners

I hope you enjoyed our point of view and would like to receive regular posts directly to your email inbox.  Toward this end, put your contact information on my mailing list.

Your feedback helps me continue to publish articles that you want to read.  Your input is very important to me so; please leave a comment.

 

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Starting Over: Building a Business After the Pandemic

As the United States emerges from the COVID-19 pandemic, many people are deciding it is time to chase their dreams and work on starting their own business. According to research, this happened many times during state shutdowns. If this is your first time venturing into entrepreneurial aspirations, learn about what you can do to get started on the right foot with this guide from ITB Partners.

Finding a Business Idea That Works

Before doing anything else, it is crucial to find a business idea that works. It doesn’t necessarily have to be complicated. Consider your experience, skills, and education, and what you would like to do.

Perhaps you already have skills as a hairdresser and want to work for yourself. Maybe you have lots of experience with animals and would like to begin a dog walking and boarding business. There are plenty of business possibilities to help you get started.

Setting Up and Making It Legal

Once you decide what your business will involve, decide on a name for your company and begin the process of setting it up. You may choose to make it a sole proprietorship, an S-corporation, or a limited liability company.

If you choose an LLC, know that there are many benefits associated with this, such as limited liability, less paperwork, certain flexibility, and even advantages when it comes to taxes. Depending on the state you live in, there are different regulations when it comes to setting up an LLC, so make sure you research those first. If you want to outsource the paperwork and avoid dealing with an attorney, you can use a formation service to help you.

Networking and Meeting Other Professionals

No matter what stage your business is in, make it a priority to network with others. Share on X This will help you find your new clients, introduce you to professionals to help build your business, and make it easier to get referrals and reach out via word of mouth.

Look for events such as Network After Work. You should also start talking to people you know, even if the last time you were in touch was high school or college. There are plenty of online tools that can help you find contact information so you can reconnect again, allowing you to build your circle.

Creating a Marketing Plan for Your Company

All businesses need a marketing plan. Start putting together ideas of how you want to reach your client base. This can include using social media, direct mail marketing, having a website, going to trade shows, and using promotional materials, to name a few.

If you plan on adding images to your company’s marketing materials or you are working on an image with a graphic designer, you may find it easier to compress JPG files so you can email them with ease. However, compression can sometimes degrade the way the JPG file looks. To combat this, use a JPG-to-PDF converter, which can allow you to make your JPGs into PDFs while keeping the same quality. You can even do this with more than one file at once.

Creating Space and Enlisting Services

In getting your startup off the ground, you want to ensure that you’ve got a designated space at home where you can work. If you go as far as upgrading an unused room to a home office, you may even improve your home’s value. Just make sure that you’ve got the privacy and resources you need.

You’ll also want to set up a great website for your business and see to it that your cyber security is looked after. Online threats are growing ever more numerous and widespread, and they can threaten both your business and your customers’ information. Make sure you are all protected with a comprehensive plan.

Getting Support From a Mentor

Running a business can be hard. Rather than try to go through it alone, get help and support from a mentor. Business mentors can give you ideas on what problems you might run into and provide advice when you aren’t sure what is best for your company.

No matter what your reasons are for starting a business, it is possible to get the support and guidelines necessary for success, as long as you take everything step by step.

This article is brought to you by ITB Partners, a consortium of independent management consultants providing high value-added solutions to your problems. Our consultants are experienced leaders, discipline experts, and project managers. Our industry expertise ranges from consumer packaged goods and manufacturing to supply/chain,  logistics, and the service sector.   Additionally, we have depth in consumer services franchising, specifically restaurant, hospitality, retail. For more information, please contact us today!

Thank you for visiting our blog.

 

Jim Weber, Managing Partner – ITB Partners

Jim Weber – Managing Partner,  ITB Partners

I hope you enjoyed our point of view and would like to receive regular posts directly to your email inbox.  Toward this end, put your contact information on my mailing list.

Your feedback helps me continue to publish articles that you want to read.  Your input is very important to me so; please leave a comment.

 

 

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5 Start-up Mistakes To Avoid

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Starting a  business can be a roller-coaster experience. Even the most seasoned entrepreneur has ups and downs when starting a new company. As a new business owner, your best strategy is to plan for mishaps while avoiding as many as possible.

There are many missteps you should watch for, but some are more common than others.

    1. Failure to use the Right Business Structure

You have several choices for registering your business. Some of the most common are:

      • Corporation
      • Limited liability company
      • Sole proprietorship
      • Partnership
      • S corporation

One of the simplest entities to set up is an LLC. It has various benefits for your company, such as flexibility, limited liability, tax advantages, and less paperwork than a corporation. If you decide an LLC is the best structure for you, check the rules in your state before moving ahead. States have different regulations regarding LLC formation. If you’d prefer to let someone else handle the upfront work, you can save on lawyer fees by using a formation service.

 

    1. Failure to Plan a Product Rollout

A new product rollout can be a risky venture. At the same time, it may be vital to your growth. With so much at stake, it’s worth taking time to get it right. You could face a launch flop if you rush the process along or fail to plot each step.

Try using an online product roadmap template to make your product unveiling a success. This tool can help you outline your strategy and the steps to create a product roadmap. It can also organize each team member’s assignments. A template simplifies the process. You can:

      • Assign priorities to tasks
      • Create themes
      • Set deadlines and goals
      • Understand customer pain points

 

    1. Failure to Lead

Not everyone realizes the number of executive decisions you make as an entrepreneur — even without employees. Your company’s fate often lies solely in your hands.

Assess your weaknesses and strengths. Determine if you have some of the essential leadership abilities:

Consider taking online courses or hiring a consultant from ITB Partners specializing in leadership development.

    1. Starting a Business With Family and Friends (Without Thinking It Through)

For some families and friends, going into business together works well. However, that’s not always the case.

Opening a “mom-and-pop shop” doesn’t have to be a recipe for failure. Before you do so, ask yourself a few tough questions, including:

      • Do you have compatible business values?
      • Do you have clearly defined roles?
      • How would it affect your relationship if your enterprise failed? According to statistics, about half of all new companies survive the first five years.
      • Are you capable of overriding your emotions when you need to make impactful decisions?

Finally, keep in mind that the market fluctuates. Along with it, your business may experience inconsistencies. These factors can change the dynamics of your working relationship as the balances of power or responsibility shift.

    1. Underestimating the Competition

Even if you have a unique offering, consumers have alternative solutions. They can choose another product or just buy nothing. Tips for getting their attention include:

      • Providing a customer-centric experience by making your business about them, not your product
      • Establishing your credibility by being transparent and following through on promises
      • Highlighting why your product is different than others or why your customer can’t do without it

If you can learn from your mistakes while avoiding the big ones, you can successfully get your company off the ground. Preparation combined with some training can be your best bet as you set off on your entrepreneurial adventure.

Thank you for visiting our blog.

 

Jim Weber, Managing Partner – ITB Partners

Jim Weber – Managing Partner,  ITB Partners

I hope you enjoyed our point of view and would like to receive regular posts directly to your email inbox.  Toward this end, put your contact information on my mailing list.

Your feedback helps me continue to publish articles that you want to read.  Your input is very important to me so; please leave a comment.

 

 

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We Fired Our Cleaning Service!

It is not easy to land a new customer. And it takes work to maintain a relationship over time. That is why customer retention is so vital for business continuity.  Given that, it is understandable that I was so baffled by this week’s events. We fired our maid service Thursday. Well, they fired themselves.

Thursday night, my wife began receiving text messages from the maid service owner. Her texts included photos and videos of our home’s interior. She demanded that we pay an additional $45.00, 33% of our regular fee, because they cleaned up a construction area. What incredible hubris. It was a strange situation. Our regular maid had a doctor’s appointment, so they sent a replacement who was unfamiliar with our home. She took the videos while she was working. I have zero tolerance for that kind of behavior from a vendor. Someone taking a video inside our home while conducting a service, in my mind, is grounds for immediate termination. Not only is that an invasion of privacy, but it is also a significant security issue. However, my wife is a bit more polite than I am. She let the vendor make her case.

However, the result was the same as my wife decided to terminate our relationship. The entire conversation and ultimate termination were made entirely by text messaging. Not an ideal situation. Unless the vendor intended to cancel our service, for whatever reason, this should’ve been a voice conversation. Resolving differences via text is seldom a good idea.

Two significant projects are in process on our home, but they had a minor, if any, impact on the maid’s workload. First, we are remodeling our master bathroom. We completed the demo work in that area over three weeks ago. The next phase of that project will begin shortly. The maid did not have to clean that area, nor was it a contributing factor to any additional work. She was not cleaning a construction area.

Secondly, we are refinishing our basement, turning that area into a very spacious apartment. That area is not a part of our cleaning contract. Admittedly, that project kicked up a bit of dust this week as we had to cut concrete to prepare the plumbing for the bathroom. Before the maid arrived, we dusted the house and used the Swifter system on the floors on the main level. The cleaning job was the same as any other visit.

Small businesses are having difficulty with staffing issues that may or may not be related to Covid–19. I get it. Last month we had another service clean our windows, inside and out. The owner of that company did the work himself. He told me that nobody wants to work. Even so, he was pleasant and did a good job. I told him that we would use him again. He certainly did not try to gouge me because our home is an alleged construction site. The issue with our maid service was a different story.

The vendor intended to extract additional funds from us as she believed that our home was involved in extensive renovations. She had asked what we were doing before the maid arrived. My wife explained the situation, and we thought that was the end of the discussion. Then the text messaging began Thursday evening. Whatever trust we had with this vendor was destroyed in a few short minutes. Friday morning, we received another text from the vendor. She apologized for doubting our situation and asked that we continue using her service. My wife decided not to respond immediately. She wanted to sleep on it.

I view the vendor’s behavior as a case study in poor account management. If she had legitimate concerns that our expectations were beyond the scope of the agreement, she should have requested a meeting in our home. She would have gained first-hand information about the situation. We would welcome that approach. But that is not the way she proceeded, far from it.

Customers, particularly long-standing customers, are an asset to be protected. You don’t want to lose one needlessly. If you have a dispute or a disagreement, ensure that you work towards a resolution thoughtfully and professionally. This situation was not a big deal in the grand scheme of things, but we will remember it.

Thank you for visiting our blog.

 

Jim Weber, Managing Partner – ITB Partners

Jim Weber – Managing Partner,  ITB Partners

I hope you enjoyed our point of view and would like to receive regular posts directly to your email inbox.  Toward this end, put your contact information on my mailing list.

Your feedback helps me continue to publish articles that you want to read.  Your input is very important to me so; please leave a comment.

 

 

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Leverage Your Time and Grow Your Business

Over the holidays, I was able to catch up with my friend and colleague, Stan. He often calls me when he is on a road trip. This time, he was traveling through Kentucky to work with a client in northeastern Ohio. As with most of our conversations, this was wide-ranging, including personal and business-related topics. We talked a little about Covid-19, politics, scotch, and cigars, and of course, Football. When we talk Football, it’s NCAA Football in general and the SEC.

Eventually, the conversation turned to our respective businesses, which occupied the remainder of our time. Stan’s business is booming! He is unique among Independent Consultants as he doesn’t suffer the feast or famine cycle. He has a strong network that feeds him new business regularly. That is the good news. The bad news is that he would like to retire. The revenue has been exceptional, however. So good that it has crowded out any recent consideration of retirement. But now, the workload is starting to take its toll. Also, he has other interests he wants to pursue. So, we chatted about him getting serious about making a transition toward retirement.

I asked him if he’d ever thought about taking on a protégé or two. It wasn’t the first time I raised that issue with Stan. He’s never been too keen on the idea, however. He believes that his network refers business to him because they know his capabilities and the quality of work he delivers. I agree with him in that assessment as far as it goes. But I seriously doubt that anyone expects Stan to do all the work himself. I told him that I believe he is laboring under the mistaken belief that his referring agents expect him to do all the required work himself. I am not buying it! Although the client expects results, they are not so concerned about how he achieves those results, assuming there is minimal disruption to their daily routine. Share on X I would wager that if Stan asked his network, they would agree with my assessment.

Leverage Your Consulting Projects

    • Employ Subcontractors
    • Train Subcontractors to become protégées
    • Offload lower value-added work assignments
    • Provide quality control and oversight
    • Expand the business while working the same hours or less

The apparent solution to Stan’s dilemma is to find subcontractors to perform the work under his direction. Employing subcontractors would give him more free time. Early on, Stan may be required to train these folks to complete the job to his expectations. However, once trained, Stan can work with the subcontractor to plan the scope of work, then let them execute the plan. Of course, Stan would provide oversight and direction.   He would be the account manager, providing supervision and quality control.

Another way to approach winding down would be to divide the workload between high and lower value-added activities. Stan could assign the lower value-added activities to a subcontractor or protégée while taking on the more significant value-added workload. Again, he would free up his time while developing a resource to aid him in his transition.

Most independent consultants would be delighted to have Stan‘s problem. Instead, many fight the feast or famine cycle, trying to smooth out the peaks and valleys while growing their business. Often, these folks are not marketing themselves at the most basic level. However, they can still benefit by developing protégés or subcontractors to help them leverage their time during the cycle’s peaks. Better yet, they should consider marketing their services to someone like Stan, who needs help. They should consider growing their business by seeking work as a subcontractor.

Summary and Conclusion

The fundamental question Stan must resolve is, does he want to retire and close his business entirely, or does he want something that continues to generate income throughout his retirement? Then he must determine how to transition from one state to the next. Stan has an enviable position. He can afford to close his business and live comfortably. On the other hand, if Stan could maintain the business with minimal effort, there would be an additional source of cash flow to enhance his balance sheet. Furthermore, he would have an asset to sell or leave to his heirs. Stan has some exciting prospects to consider.

For more reading on growing your independent consulting business, check out these links.

https://www.mbopartners.com/blog/how-grow-small-business/how-to-grow-your-independent-business/

https://www.mbopartners.com/blog/how-grow-small-business/how-to-grow-your-independent-consulting-practice/

https://www.mbopartners.com/blog/how-grow-small-business/how-to-stay-competitive-as-an-independent-contractor/

Thank you for visiting our blog.

 

Jim Weber, Managing Partner – ITB Partners

Jim Weber – Managing Partner,  ITB Partners

I hope you enjoyed our point of view and would like to receive regular posts directly to your email inbox.  Toward this end, put your contact information on my mailing list.

Your feedback helps me continue to publish articles that you want to read.  Your input is very important to me so; please leave a comment.

 

 

 

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Before You Start a Business, Consider This!

So, you want to own a business.  You have an idea for a product or service that the market needs. You want to be rich.  You have studied other successful startups and understand the factors for success.  You have moved past friends and family who have tried to dissuade you from your goal.  You have the funds and a plan to get your business off the ground. You are confident of success.  But have you considered everything you need to know?

Many successful entrepreneurs begin by forming a Board of Directors.     An Advisory Board will provide a broader perspective, improving the effectiveness of your decisions.   The advice you receive will minimize costly mistakes which could otherwise doom your business. Board members may receive a stipend, or they may be volunteers. Voluntary advisory boards have become commonplace for many startups. Talking with organizations like Score and finding a mentor are additional resources to consider.

Find Low-Cost Ways to Advertise

Now Hear This!

Getting the word out about your business doesn’t need to cost much money. Begin by establishing an online presence. Potential customers will want to visit your website.  Be proactive.  Provide answers to common questions, making it easier to convert their interest into sales.  If you have not done so already, create social media channels for your brand. Facebook and Twitter are popular places to start. Depending on the demographics of your target market, you may want to try others, too. If you are targeting older individuals, a direct mail campaign could be the most cost-effective solution.

Consider Running a Special

 To increase the probability of generating a sale, offer a special one-time deal, like a two-for-one promotion or a gift. You might do the same for current customers who refer friends or family members. When someone purchases your product or services, please give them a reason to continue trading with you.  Consider offering discounts for future purchases. These sales tactics can kickstart your business and give you the financial boost you seek.

Determine Which Functions to Outsource

 Savvy entrepreneurs know that managing labor is a critical component for success.  They live by the principle of “do what you do best and let others do the rest.”  We are fortunate to live in a time when we can contract relatively inexpensive outside resources.  To ensure accuracy and minimize risk, outsourcing financial management and payroll is advisable. Outsourcing recovers time to focus on more urgent tasks. Using an automatic payroll solution provides other benefits, like automatic calculations and paying taxes. Payroll apps are  available for both iOS and Android. Taking on too much responsibility can lead to burnout and costly mistakes. Think about outsourcing to reduce stress and improve your productivity.

 

 Improve Your Business Acumen

 As your business grows, your focus will shift to your management and leadership skills. Taking college-level business courses or earning an MBA could be a difference-maker. Unlike a traditional college experience, online degree programs make it easier to maintain your business while you learn.  Continually update your skills to ensure long-term success.

Adjust Your Business Plan as Needed

Although business plans look good on paper, actual results seldom unfold as envisioned. You must monitor your results consistently and adjust accordingly. Share on X Be flexible and willing to take steps to keep your company on track.

Financial setbacks can happen to anyone.  They can be incredibly distracting when you are trying to establish a new business. You may feel discouraged and lose confidence in yourself. Well-meaning family and friends may pressure you to get a traditional job and forgo your dreams altogether.  Don’t let setbacks discourage you from pursuing your dreams of entrepreneurship.  Expect to suffer difficult situations.  Build contingencies into your plan to weather challenging times.

New Century Dynamics provides excellent executive search and management consulting to the service industry. To learn how New Century Dynamics can help your business, contact James E. Weber at JimWeber@newcenturydynamics.com.

Derek Goodman

derek.goodman@inbizability.com

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Jim Weber, Managing Partner – ITB Partners

Jim Weber – Managing Partner,  ITB Partners

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Posted on

Good Management Habits for Ongoing Business Success

As a small business owner, you are constantly alert for new ways to grow and improve your company. You know that your business success depends on your ability to plan well and wisely and stave off potential problems. So, what are the guiding principles you should follow to maintain optimal performance? In this article, Jim Weber, Managing Partner of ITB Partners, reveals how successful entrepreneurs stay ahead of the game.

Be a planner.

Goal Setting

Good business management is a continual cycle of planning. Before you even launched your company, you had to draw up a comprehensive business plan. And planning needs to be ongoing. Even if it feels as though your company can run on autopilot, it does not mean that you discard sound management practices. Your management system should include periodic financial forecasts with appropriate adjustments to remedy deficits to the plan. As Zenbusiness explains, failing to have a good plan in place is a common mistake that small businesses frequently encounter. So, avoid this pitfall by having everything organized and mapped out.

Be a Leader.

Your leadership skills may be the most critical part of successful management. No matter how great your vision, no matter how positive your workplace culture is, it is not possible for a company to thrive in the long term if it lacks clarity, discipline, and recognition. Poor leadership tends to trickle down from management into every part of a business, with devastating effects. You can maintain a high level of performance by using business technologies that help you schedule tasks, manage projects, keep track of inventory, communicate with team members, and recognize desired behavior.

Be a listener.

Have you ever had the experience of dealing with someone who didn’t seem to be listening when you spoke with them? Or someone who never seemed to embrace your message? If so, you know how frustrating this can be, whether in business or your personal life. Don’t be that person: make a point of listening to what your partners, advisors, clients, and team members have to say. Practice active listening, addressing their questions or observations directly. Active listening fosters a culture of creativity and responsibility.  Make a sincere effort to hear, respect, and understand your team’s concerns.

Be flexible.

The logical progression for a leader is the willingness to change when necessary. Share on X Change can be difficult when you are committed to a belief system or a particular course of action.   And no, you shouldn’t deviate from your plan for just any minor issue. When it becomes clear that your goals are at risk, altering your plans is good management. Remember, good leadership means owning and correcting your mistakes.

Be current.

Good management also means staying abreast of current trends in finance, marketing, and technology.  Business intelligence must be a team effort.  As professionals, each of your department heads should be current in their field.  They should share their learning, and you should update the company’s plans accordingly.  As their leader, you must ensure that your team has access to high-quality information and resources to perform at peak capacity.

Be a good Corporate Citizen.

Failure to follow the laws and regulations that govern business activity can be costly.  As a leader, you must work within the framework of employment law, permitting, licensing, taxation, among others, to ensure the success of your business.  One area where new business owners risk expensive fines and penalties is in payroll tax compliance.  Minimize this risk by using a sound payroll system with competent oversight. It’s also essential to choose the proper legal structure for your business. For many small business owners, a limited liability company makes the most sense, as it reduces paperwork and may yield tax savings. Save time and avoid added expenses by having an online service register your company as an LLC.  Your lawyer and accountant can guide you in this area.

Think of good business practices as pillars supporting your business.  Make sure your whole company understands and embraces these principles. By doing so, you will improve the likelihood of continued success and increased profitability.

Derek Goodman

derek.goodman@inbizability.com

Image via Pixabay

Thank you for visiting our blog.

 

Jim Weber, Managing Partner – ITB Partners

Jim Weber – Managing Partner,  ITB Partners

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Posted on

How to Staff an Emerging Company

I work with many startups and emerging brands. They have become the core of my business. It gives me great satisfaction in helping them with their recruiting needs. When my colleagues and I created ITB Partners, our strategy was to focus on this sector. Companies in this phase of their life cycle face decisions that carry significant risk. One or two bad choices can sink an otherwise viable company, even if they have proof of concept. We believed we could help emerging companies achieve success by avoiding business-killing mistakes. Recruiting new employees is one of those high-risk activities.

A growing company will eventually need to increase its staffing level. They must approach this high potential risk with caution. For many of my clients, i.e., emerging brands, the first consideration is to find an outsourced solution. Many job functions can be outsourced, including accounting and human resources. A recent client had even outsourced most of their marketing function. However, a viable outsourcing strategy requires a strategic-level employee on staff to manage the outsourced function.

A good example is to hire a Controller or CFO to manage the outsourced accounting function and interface with the financial community and investors. Mission-critical job functions probably cannot and should not be outsourced. Early on, outsourcing non-mission-critical job functions may be a better use of a company’s resources. It is also a valuable way to reduce the risk associated with an expanding workforce.

Some Pitfalls.

    • Adding too much staff too soon.
    • Failure to use outsourced solutions
    • Lack of prioritization of positions to fill
    • Lack of processes for recruiting and selection
    • Lack of training for interviewing and selection
    • Lack of a coherent reason why someone should join your company

Recruiting for startups is different from hiring for a going concern. As I say, the risk is more significant. The costs for hiring a non-competent employee or someone whose behavioral issues negatively impact the culture may significantly affect a small company. Established companies have less difficulty attracting good employees.  They have people, processes, and systems to ensure an effective recruiting and selection process and lower risk profile.   They have an established culture and look to fill positions with people who reflect their mission.

Small, emerging companies have fewer resources, are less political, and have a bias for action. Speed rules! Entrepreneurs often have unconventional management styles. They can be chaotic. Employees working in these environments must demonstrate a high degree of flexibility and adaptability. Job roles have a wider scope, requiring employees to have a broader experience. It requires employees with greater self-confidence who are comfortable in an ambiguous, less-structured work environment. Many entrepreneurs lack training in recruiting, selection, onboarding, and retention. Job descriptions are challenging to create as ideal candidate profiles, and behavioral components may be more important than skills and experience. Finally, an emerging company may have more difficulty selling employment opportunities as their brands are unknown.

What to Do?

    • Begin with a plan!
    • Set staffing priorities w/timeline for hires
    • Can function/position be outsourced?
    • Establish processes for recruiting, selection, and onboarding.
    • Determine training needs of key managers and decision-makers.
    • Determine selection criteria (skills, experience, cultural fit)
    • Determine employer’s Unique Selling Proposition – Why should I join this company?

Let’s assume that you have a process in place to determine if a function should be covered by a contractor, an outside resource provider, or to hire W-2 employees. You have determined that you need a significant addition to staff in one or more mission-critical areas. Your solution is to hire employees to meet this need. How should you proceed?

As with any initiative in business or life generally, a successful outcome usually begins with a plan. Actionable data is required to develop an effective plan. So, what is the information you need? First, understand the work to be done and the importance of that work to the current year P&L. In other words, a cost-benefit analysis for each position you need to fill. This information provides the priority for filling each position.

The second consideration is the capabilities of the people involved in this project. One of the most significant issues I encounter is the lack of training and development among the people managing the recruiting and selection process. Share on X Often, they do not have the skills and experience to create and execute an approach that works. It is a common problem among emerging companies. To compensate, I must devote my time to help the client build those skills. If recruiting and selection skills are in doubt, consider training and development and the use of outsourced resources.

To summarize, you have determined that increasing your company’s employment base is necessary for growth. But adding employees carries risk. You understand that minimizing this risk is critical to your company’s survival. Fortunately, you can mitigate this risk by improving the skills of those responsible for recruiting and selection. The solution is to find a consultant or a program that will give your managers the training and development they need. The cost of failure in this regard cannot be understated.

Other Articles to Consider

https://thenextweb.com/news/hiring-mistake-marketers-early-stage-startup

https://www.bostonglobe.com/2021/07/31/business/nothing-actually-changes-boston-tech-workers-color-blast-sectors-attempts-be-antiracist/

https://www.entrepreneur.com/article/372420

https://www.entrepreneur.com/article/370136

https://www.benefitspro.com/2021/02/09/recruitment-needs-to-evolve-for-startups-heres-why/?slreturn=20210706113217

http://hrnews.co.uk/4-ways-to-simplify-recruitment-in-startups-in-2021/

https://sifted.eu/articles/hire-people-person/

Thank you for visiting our Blog!

Jim Weber – Managing Partner,  ITB Partners

Jim Weber – Managing Partner, ITB Partners

I hope you enjoyed our point of view and would like to receive regular posts directly to your email inbox.  Toward this end, put your contact information on my mailing list.

Your feedback helps me continue to publish articles that you want to read.  Your input is very important to me so; please leave a comment.