tag:blogger.com,1999:blog-87197381740313935062024-03-14T01:59:08.909-07:00Entrepreneurialismadminhttp://www.blogger.com/profile/08479562689831211918noreply@blogger.comBlogger10125tag:blogger.com,1999:blog-8719738174031393506.post-45342973456066030642012-08-24T21:19:00.000-07:002012-11-02T21:19:33.022-07:00The Power of the Word No When Selling a Business<div style="text-align: justify;">
<br /><br />The power of the word No when selling a business is immense. It is especially true in this difficult economy. In a normal market it is difficult to sell a business but the current market has a few more challenges. Let's have a look why.<br /><br />To sell a business you need a buyer or nothing will happen. To be more accurate you need a buyer that is motivated just as you need a seller is motivated. A judge once made a ruling that is known as Revenue Ruling 59-60 that I've abbreviated that says Fair Market Value is "the price at which the property would change hands between a willing buyer and a willing seller when neither party is under any compulsion to buy or sell nor both parties have reasonable knowledge of the facts."<br /><br />That sounds easy and simply enough but when selling a business or buying a business, as both parties soon find out, there is much more to it and can get complicated. The first complication comes along when there is a landlord. A landlord is in the business of making money by renting or leasing their real estate. A landlord is under no obligation to accept the buyer and allow the lease to transfer from the seller. A landlord has their own risks and responsibilities they need to manage. To help them do this they will ask the buyer to provide a personal financial statement, a copy of their credit score and credit report and other personal information they decide is necessary. The seller can think the buyer will be a wonderful tenant but if the landlord disagrees you have your first no.<br /><br />If the buyer needs to obtain finance to buy the business, you are now looking at your second no. The banks are reluctant lenders in this current economic environment. There is no question it is getting better but over the last few months I have been working with SBA lenders and I have finally been successful at bank eight. That is, after a no from seven different banks I was finally able to get a yes from bank number eight. And this is not unusual. Part of the reason the banks are cautious with the loans they approve is because each bank has a slightly different focus. What it may take to get a yes from a bank is the geographic area they are willing to do loans, the industry of the business, the management experience of the buyer, the credit score and credit report of the buyer. Some banks are no longer willing to approve a loan to a buyer if they have ever had a bankruptcy or have a poor credit score. These are some of the factors and there are others so getting a yes from a bank takes hard work and persistence, plus a business they like and feel they understand.</div>
<a name='more'></a><br /><br />What if the business is a franchise? A franchisor always has the right to approve the transfer of the franchise agreement from the seller to the buyer. In addition, they almost will always require the buyer to attend a level of training so they are able to successfully operate the franchise. In addition, they will do the check of the buyer's personal financial statements, credit score and credit report as they do not wish to have the wrong franchisee in their franchise.<br /><br />If the seller is a partner in the business, then without question, the other partners will want to look in detail at their potential new colleague. If the partnership focuses on a very specific service such as medicine, legal or accounting, the partners will not only scrutinize the skill set of the buyer but also their level of education and if it matches or exceeds the level of the current partners. Buying into a partnership provides lots of places to get a no.<br /><br />One of the places to get no's that a lot of sellers and buyers do not think about is family and friends. The perception is that both the seller and buyer know what they are doing and have the ability to make the necessary decisions. However, if the buyer is getting finance from a family member, they will reserve the right of saying no as it's their money. Equally, because we are human and there is a lot at stake, most buyers and sellers talk to family and friends to get a different perspective. For many buyers, buying a business is a life changing event and they need to feel very comfortable with what they are doing. It can even come down to the buyer being concerned that the business they are buying is not in the right industry or a business they would not feel comfortable telling their friends they own. That is, another place for more no's.<br /><br />Selling a business comes with many challenges. The best way to reduce and manage the potential of the 'no' that stops the sale is with preparation and planning. Look at the business from all angles. Revisit all the main legal documents that allow the business to run successfully. This way, any impediments can be removed or managed so the chances of getting a no are minimized. If necessary, get professional help with this task before taking the business to the market because at the end of the day, the market will decide if you get all the yeses you need to sell your business.<br /><br />Andrew is a 5-time business owner that helps entrepreneurs exit or enter business ownership. His services include helping owners sell and/or buyers purchase an existing business or consult on purchasing a franchise. He also provides certified machinery and equipment appraisals and business valuations.<br /><br />Andrew currently holds the Certified Business Intermediary (CBI) designation from the International Business Brokers Association (IBBA), the highest credential awarded by the IBBA and the Certified Business Broker (CBB) designation from the California Association of Business Brokers. He also holds a Brokers License with the California Department of Real Estate, is a member of the Sacramento Metro Chamber of Commerce and the Chair of the Sacramento Chapter of the California Association of Business Brokers.<br /><br />Andrew is also the published author of four books on buying or selling a business available for instant download at http://www.businessadvicebooks.com.<br /><br />Article Source: http://EzineArticles.com/?expert=Andrew_Rogerson<br /><br /><br /><br />adminhttp://www.blogger.com/profile/08479562689831211918noreply@blogger.com0tag:blogger.com,1999:blog-8719738174031393506.post-83356232103722965072012-08-21T21:17:00.000-07:002012-11-02T21:17:27.757-07:00Selling a Private Company: Should I Tell The Staff?<div style="text-align: justify;">
<br /><br />Last week I took a call from an extremely agitated client. One of his staff had found out that the business was for sale. Now our client was in damage limitation mode. The employee involved worked in the warehouse. She had talked it through with her workmates who had suggested asking the warehouse manager if it was true. He was as surprised as the staff member and took it up with my client's PA, and the Operations Director. In short the cat was well and truly out of the bag.<br /><br />Does the cloak of confidentiality inevitably break down in every transaction? Absolutely not, but it can happen, and this set me thinking about the best approach. Is it best to tell your employees or to keep quiet?<br /><br />What are the fears that make an owner decide to keep quiet? At the least serious end of the spectrum a fear that staff will feel let down, or even sold out. Most business owners I know are tough enough to cope with this. More serious concerns might be that fear of job losses will impact quality or customer service. Could anxious sales staff tell customers causing a flight to the competition? Might key employees start to look for new jobs? Any of these things might jeopardize the sale of a company or reduce the selling price.</div>
<a name='more'></a><br /><br />So lets explore what is involved in the two main options.<br /><br />Option 1: Early disclosure that you are seeking a buyer<br /><br />This doesn't mean you have to disclose everything about the process and give a blow-by-blow description of what's going on behind the scenes. You will need to explain why you are looking to sell, and make a commitment to provide more information as the sale process evolves. Be careful not to make promises you can't meet, they won't be believed anyway. It is always a temptation to say that jobs will be safe, but staff know you have no control of this after the sale. It is best to emphasise that a continuing high level of performance is the best way to safeguard jobs.<br /><br />My own preference is to share your intentions with a select few of your most trusted employees. They will probably have to be involved in due diligence anyway, and you will put them in a position to handle things professionally if the news does get out.<br /><br />Option 2: Try to keep things quiet.<br /><br />There is no doubt this approach if successful minimises the risk of adverse consequences. This is a powerful argument for remaining silent until a sale is finalised. The problems come if despite your best efforts the word gets out. Like my client you might face disgruntled staff at a critical point in the sale. Your key staff will feel most betrayed, the very ones likely to be most valuable to a buyer.<br /><br />If the news does get out confront it head-on. Call a meeting to give employees the information they need - and talk to the staff yourself. For sure don't send round an email.<br /><br />So overall what is the best approach to take. On balance we recommend early disclosure to key employees. My own experience is that owner's fears about the impact of disclosure are overblown. I cannot think of a single occasion when a a client has lost a key employee or customer because a company was for sale. Customers are used to suppliers being sold and will give the new owners a chance to prove themselves. Employees are reluctant to walk away from jobs and risk losing redundancy payments. This is one of those many situations where the course that feels ethically most comfortable turns out to be the best for business.<br /><br />Robert John Kemp is Managing Director of UK Business Broker Select Business Sales.<br /><br />Select Business Sales are specialists in retirement sales of private companies. Our active approach quickly connects clients with the buyers in the best position to complete a purchase.<br /><br />If you are contemplating a sale of your company contact us through our website to organise an initial discrete conversation.<br /><br />http://www.sellingprivatecompanies.co.uk<br /><br />Phone: +44(0)1604 432964<br />Email: enquiries@selectbusinesssales.com<br /><br />Article Source: http://EzineArticles.com/?expert=Robert_John_Kemp<br /><br /><br />adminhttp://www.blogger.com/profile/08479562689831211918noreply@blogger.com0tag:blogger.com,1999:blog-8719738174031393506.post-62545051861128894342012-08-20T21:11:00.000-07:002012-11-02T21:11:28.440-07:00A Good Credit Score Is Critical to Business Success<div style="text-align: justify;">
<br /><br />A good credit score is critical to business success and this seems simple enough. However it plays out in many different ways. When a new business starts out, it makes sense to keep costs low and save time by simply operating the business as a Sole Proprietorship. As the business becomes successful, the business owner wrestles with many aspects and one of these includes if and when to move from a Sole Proprietor to a separate legal entity such as a corporation or LLC. This is an important decision as legally separating the business assets from the owners personal assets may provide some protection if the business loses a lawsuit. It also helps when the business grows and needs access to finance or capital to grow or wants to apply for credit from suppliers. Moving into a new legal entity can be a good business decision.<br /><br />One of the reasons to consider when making this move is that it allows the owner to separate their personal and business assets. Personal assets are fairly obvious as they include the family home, car, family bank accounts and personal effects. The business assets are also fairly obvious and include items such as the fixtures, furniture and equipment, the inventory, goodwill items such as the name of the business, and any intellectual property you as the owner create.<br /><br />Hopefully from day one of opening the business, there is also a separate checking account and bank deposit book for the business that is kept separate from the business. This separation may mean if the owner is sued, if the legal action has any negative outcome may only touch the business assets and not the personal assets. Plus there is always insurance to help mitigate the owner's risk.</div>
<a name='more'></a><br /><br />As the business grows, however, the business may have the need to borrow. To manage that risk, it is time to separate the personal assets from the business assets. One of the main reasons to do this is so that it protects the personal credit and credit score of the owner.<br /><br />With the business assets sitting in a different legal entity, there is a need for the business owner to manage the credit and credit score not only for themselves personally, but also for the business. This is not to say that a business owner can be loose with their business credit and walk away from money they owe to others. However, the system we work in puts a high value on our credit score for so many aspects of our personal and business life.<br /><br />This applies especially when borrowing money, buying a car, applying for a job etc, it is critical to manage each credit report and score in its own right. If something untoward therefore happens that means the business has to close down, the personal credit score and report of the owner is not damaged and life can go on.<br /><br />This applies equally to a buyer that wishes to buy a business. With the many personal bankruptcies from the housing crash and the difficulty trying to get a job, many are turning to buy a business. However, the banks are not willing lenders even for SBA loans if the borrower has a personal bankruptcy even if it goes back many years.<br /><br />The financial system provides a lot of incentive to manage money correctly. Interest paid is able to be deducted to lower tax payments, credit is available from suppliers for a period of time of say 30 days so sales can be made in advance of payment, and many other benefits. Managing and protecting a credit score is a critical requirement to enjoy all the upside.<br /><br />Andrew is a 5-time business owner that helps entrepreneurs exit or enter business ownership. His services include helping owners sell and/or buyers purchase an existing business or consult on purchasing a franchise. He also provides certified machinery and equipment appraisals and business valuations.<br /><br />Andrew currently holds the Certified Business Intermediary (CBI) designation from the International Business Brokers Association (IBBA), the highest credential awarded by the IBBA and the Certified Business Broker (CBB) designation from the California Association of Business Brokers. He also holds a Brokers License with the California Department of Real Estate, is a member of the Sacramento Metro Chamber of Commerce and the Chair of the Sacramento Chapter of the California Association of Business Brokers.<br /><br />Andrew is also the published author of four books on buying or selling a business available for instant download at http://www.businessadvicebooks.com.<br /><br />Article Source: http://EzineArticles.com/?expert=Andrew_Rogerson<br /><br /><br />adminhttp://www.blogger.com/profile/08479562689831211918noreply@blogger.com4tag:blogger.com,1999:blog-8719738174031393506.post-78910356896460783732012-08-19T21:09:00.000-07:002012-11-02T21:09:17.455-07:00How To Establish The Entrepreneur Mindset Through Success Coaching<div style="text-align: justify;">
<br /><br />I love entrepreneurs. In a lot of ways, they may be the most impressive people in any given walk of society. While it is easy to laud the more prolific professions--athletes, musicians, actors and artists to name a few--there is something magnetic, if not inspiring, about how entrepreneurs perform in their business and life.<br /><br />Indeed we can learn much from the astounding performances of those lauded professionals of sport and culture, however let's take a deeper look into what it means to think like and entrepreneur.<br /><br />As a success coach, I have the privilege of working with people who are focused and committed to pursuing their life's purpose: their MISSION. These are the entrepreneurs and creatives, the innovators and difference-makers. They tend to be big thinkers. They are leaders. And they are very certain about one thing: They are not content to toil long hours in dead end careers or pursuits that bring them little or no satisfaction.</div>
<a name='more'></a><br /><br />They typically possess an inner drive that both inspires and defies the typical person's work ethic and self-disciple. Entrepreneurs tend to have a healthy obsession with their pursuits, and rarely see what they do as "work". Instead, they see it as a calling; something they were born to do.<br /><br />These are what I like to refer to as "High-Altitude People". Their inner drive comes from a desire to achieve all they can in the limited time they have on Earth, and often they do it for a higher purpose than simply personal gain.<br /><br />So what sets the High-Altitude folks apart from everyone else?<br /><br />First, they have a clear vision of what they what for their life and a solid plan for how to achieve it. Being clear and concise in your goals is a fantastic start, however it takes a solid plan in order for any goal to have a chance.<br /><br />Second, they are action-takers. Clear vision and solid strategy are useless without implementation, and high-achievers anchor their vision with daily, deliberate action which is commensurate with the level of their goals and dreams.<br /><br />And third--and perhaps most important--these people are not afraid to fail. They see the value in failure, not for failure's sake; but for the gold in the lessons learned from envisioning success, creating a plan to achieve it, jumping into inspired yet imperfect action. The true value comes from learning and tweaking their approach every step of the way.<br /><br />The most successful, fulfilled and impressive entrepreneurs of every industry use this formula in pursuing their life's mission. And we can all gain a great deal from learning how to think like an entrepreneur.<br /><br />To learn more about JT DeBolt and get your complimentary seat to the 3-part Mission Accomplishment course, "High Altitude University", visit http://www.FlightPlanToSuccess.com<br /><br />Article Source: http://EzineArticles.com/?expert=JT_DeBolt<br /><br /><br />adminhttp://www.blogger.com/profile/08479562689831211918noreply@blogger.com0tag:blogger.com,1999:blog-8719738174031393506.post-20784907355669838062012-08-16T21:14:00.000-07:002012-11-02T21:14:37.481-07:00How to Start Online Without Money<div style="text-align: justify;">
<br /><br />IF you want to start online lots of people will tell you that you need a website, or two, or three.<br /><br />While it is true that you will eventually need a website to build a residual income by having a squeeze page, or a blog, you can first start online without money, i.e, by not paying for having a website.<br /><br />There are actually many ways you start online without money.<br /><br />They are:<br /><br />Having a Facebook account, and starting a Facebook fan page and driving traffic to it via the normal ways.<br /><br />Set up a YouTube account and post videos to your account either using a web camera, or iPhone.<br /><br />These are the best two ways that you could get started online without paying money for getting a website.<br /><br />There are advantages to these than having your own website, but, there are also cons as well.<br /><br />Advantages:<br /><br />The advantages of these two methods are that you are on the two top traffic sites and unlike when you first set up a website, you don't have to worry about backlinking properly because wherever your backlink is, you are using the two top traffic sites on the internet that are classed as "authority sites."<br /><br />Another advantage is that YouTube videos rank better in Google, and you are more likely, if done properly, to rank a video better in Google than a website.<br /><br />A website or blog may take a while to build up page rank, whereas a video can be an instant hit on the rank checker.<br /><br />Another advantage is that your affiliate links or website links will get more clicks if you post videos - but you have to do it right.<br /><br />Disadvantages<br /><br />However, there are a couple of disadvantages, and these include:<br /><br />1) Your YouTube account may be shut down at any time or flagged if you are caught doing anything improper or unusual in Google's eyes. Google own YouTube. Technically, your YouTube channel is not yours..<br /><br />2) Even if you were not doing anything improper, it could take a while for you to get back your channel - in some cases you may never!</div>
<a name='more'></a><br /><br />The big question you have to ask, is, is start online without money a good idea in the long run?<br /><br />The best way to maximise is to have a website so that all your videos you post to video sharing sites are safe.<br /><br />It may also in the long run be worth subscribing to a video site like Viddler or Vimeo where you can host your videos on a paid video sharing network so that your videos are safe just in case Google decide for whatever reason to shut you down.<br /><br />Don't just think about the short term, think about the long term!<br /><br />At some stage you will have to spend money anyway to invest in your online business.<br /><br />Next, if you are interested in finding out more on how to get started using video marketing, then click the link below for your FREE VIDEO which tells you how to rank your videos high in search in less than 24 hours...<br /><br />http://youtu.be/pPlcqiFha5c<br /><br />Article Source: http://EzineArticles.com/?expert=Chris_Gaynor<br /><br />adminhttp://www.blogger.com/profile/08479562689831211918noreply@blogger.com0tag:blogger.com,1999:blog-8719738174031393506.post-32971042740657348162012-08-14T21:04:00.000-07:002012-11-02T21:04:59.813-07:00Eminem: Life Lessons for Entrepreneurs<div style="text-align: justify;">
<br /><br />Eminem. Slim Shady. Marshall Mathers III<br />. Love him or hate him, no one can deny that he leaves an indelible impression, nor can one argue his staying power.<br /><br />Sure, he is not the only kid to come from a poor and broken home, or to have changed school every few months, or to have flunked the 9th grade three times. There are plenty like him who don't make it; but, make no mistake, Eminem has earned everything he has, fair and square, and there are inspiring life lessons to be learned here, for every entrepreneur pursuing a dream.<br /><br />When the Going Gets Tough, Eminem gets Going (and then some):<br /><br />Eminem is a fighter. He has overcome struggles, both physically and mentally, when most would have collapsed from overwhelming exhaustion. He's taken on challenges hardly suitable for the faint hearted (battling the Goliath of hip-hop as a young, white male). He had little emotional support from his family (his father left him when he was 18 months old and was raised by his mother on welfare); the one positive influence in his early life, his uncle Ronnie, committed suicide in 1991. A few years before that, Eminem himself almost died after being beaten up by a bully in middle school, leaving him in a coma for ten days. Barely in his early 20s, Eminem has a daughter. To top it off, rap labels continue to reject him because of the color of his skin, regardless of his rap skills. The odds were stacked against him before he was even out of the gate. Juggling the responsibility of a father with a less than stable career choice, e.g. aspiring white rapper, is enough for any sane person to go crazy.</div>
<a name='more'></a><br /><br />The fight, for Eminem, never really stops. Despite his stardom, he still struggles with internal and external demons. In 2006, his best friend Proof was killed. There was concern that the tough Eminem had finally reached his breaking point. He almost nearly did. Amidst deep depression, his best friend's death, and an elaborate cocktail of prescription pills, he collapsed from an overdose in 2007; he was later told that had he been found just two hours later, it would have been too late.<br /><br />Eminem doesn't pretend to be Superman nor act as if it's been a smooth ride, and in that humble honesty, is yet another layer of his unique toughness. He has an uncanny ability to lift himself out of some of the most traumatic circumstances, even when his own inner voice is driving him to further self-destruction. This isn't trite, this takes serious guts. It's this "signature" Eminem drive that every Entrepreneur should heed.<br /><br />He has always genuinely believed that "you can do anything you set your mind to.' If his life story isn't an endorsement of this in itself, I don't know what is.<br /><br />Hard Work Does Pay Off:<br /><br />14 years of hard work, to be exact, before he gets his first real break, signing with Interscope Records. Eminem discovered rap at the age of 11. At 14, he was performing amateur raps with a group called Bassmint Productions. He wrote rhymes every single day, read the dictionary (he had a deep affinity for language and this was his toolkit for the countless hip hop battles he took part in - look up some vintage video of Eminem vs MC Juice). He immersed himself in everything hip-hop: from studying the classics like LL, Dre and NWA, attending and competing in rap "battles," testing out flows and sounds until he found his own voice. He worked multiple minimum wage jobs to make ends meet, proceeds of which went into caring for his family and his dream. In 1996, he released his debut album Infinite, which only sold a handful of copies. No career break in sight, mounting drug abuse and relationship woes lead him to attempted suicide. But, again, that inner voice somehow kicked in at the eleventh hour. The next year he released Slim Shady EP, which would sell even fewer copies than Infinite. Yet, another blow to his aspiring career. He just couldn't catch a break. But, he kept at it. He didn't settle.<br /><br />Then, in 1997, his hard work paid off in a rather bizarre twist of fate: After a heart-wrenching defeat at the Rap Olympics (he came in in second place, again, to MC Juice), he left the premises in utter disgust, but not without first "throwing" a copy of his EP at a young kid who, unbeknownst to him, worked for Interscope Records. That day would change the rest of his life. 14 years of hard work had finally paid off.<br /><br />Embrace Authenticity:<br /><br />Eminem has a unique brand signature. His real-life, drama-stricken upbringing is the secret sauce he mixes into each of his songs, creating the ultimate loyalty card between him and his audience. Eminem's bouts of drug abuse, depression and suicidal tendencies remind us he's not a robot. He's human just like us, creating an uncannily relatable persona. He channeled his anger into a "unique value proposition." He keeps it fresh and outsmarts his competitors by remaining engaged with trends, new acts, and his fans. Eminem's brand is bold and authentic, yet, vulnerable. He's a very public figure, but there is still a mystery about him. You see him in interviews, he hardly breaks a smile and speaks in a rather sedated voice. His brand IP is carefully protected. How many Eminem commercials have you seen? Only one: the 2011 Chrysler Super Bowl ad, promoting Detroit: http://www.youtube.com/watch?v=zmNzZZUmW9E. Perfect brand synergy. To date, very few brands can match Eminem's over 12 million followers on Twitter. The authentic Eminem brand has been in the mass market for over 15 years. He turns 40 in October.<br /><br />Hell has its Privileges:<br /><br />Eminem has literally been to hell and back, but if he hadn't experienced that journey, it is highly unlikely that he would be the iconic figure he is today. If you're an entrepreneur, there's no doubt that you can relate to parts of Eminem's life experience. How are Steve Jobs, Richard Branson, Andy Grove, and so many other inspiring entrepreneurs any different in their resolve? Life is not easy, and it shouldn't be sugar coated with gold stars. There are bullies, haters, manipulators and liars everywhere you turn. It's OK to get down, want to give up, and question it all. We should embrace these moments as a necessary and important rite of passage. The lesson here is that there is a way out to the other side, and it can yield amazing results, let alone build character. Everyone, kids and adults, need to be reminded of this. As you get older, kindergarten just turns into a bigger playground involving higher stakes: think lawsuits (a fight Eminem is not immune to), office politics, defamation, etc.<br /><br />As an entrepreneur, you will hear plenty of naysayers telling you that you won't succeed, your product has no market, and you're wasting your time; it's just a matter of time before Google or Microsoft crush you; besides, who are you to push the boundaries of the establishment, which of course to most, is never a good thing.<br /><br />If all of it becomes overwhelming, take a break and find a YouTube video on Em or read his lyrics. I guarantee you that it will jolt you back in the right direction. You'll again find that inner fighter.<br /><br />You have a world to change. You don't know what work/life balance means. Just like Eminem, you practice your craft every day, relentlessly, and with discipline; you are not easily swayed by those around you and are driven by proving everyone wrong. Yes, indeed, this is the stuff of which inspiring leaders and legacies are born.<br /><br />Here's to everyone who has a little bit of Eminem in them.<br /><br />Find more articles for Entrepreneurs and SMEs on http://www.nxtgensme.co.uk<br /><br />Share this.<br /><br />Article Source: http://EzineArticles.com/?expert=Gwendaline_Mazzara<br /><br />adminhttp://www.blogger.com/profile/08479562689831211918noreply@blogger.com6tag:blogger.com,1999:blog-8719738174031393506.post-60832450885111128512012-08-11T21:02:00.000-07:002012-11-02T21:02:22.920-07:00Hello Entrepreneur - Meet the Rule of 72<div style="text-align: justify;">
<br /><br />"Entrepreneurship is living a few years of your life like most people won't, so that you can spend the rest of your life like most people can't." -- Anonymous<br /><br />This concept is appealing to most if not all Entrepreneurs. That's why it's baffling that most Entrepreneurs never make it to the point of living the life of their dreams.<br /><br />Fact: money is and will always be required to survive. Most people (Entrepreneurs included) work hard for money and spend that money on doodads and liabilities: things that will either sit somewhere without producing a return on the investment used to purchase it or worst; things that cost more money to maintain while siting somewhere without producing a return on the investment used to purchase it.<br /><br />Wealthy people use the money that they work for to purchase assets: things that will generate a return on the investment used to purchase it. There by putting their money to work for them. They then use those returns to purchase doodads and liabilities.</div>
<a name='more'></a><br /><br />Just ask yourself of all the things you purchased in your recent past what is the cumulative return you expect those things to produce? Certainly this is a rhetorical question however it's something worth thinking about.<br /><br />Maybe you're a savvy investor. Maybe you're a fan of "The Richest Man in Babylon" (awesome book, read it), and you:<br /><br />• donate 10% of your income (it's better to give than to receive)<br />• spend 10% of your income on education (the return on self-education is infinite if and only if that self-education is applied to produce in the marketplace)<br />• save 10% of your income (Bank of America currently pays 0.1% interest on their Personal Money Market Savings Account)<br />• invest 10% (1.91% 5 year return on AMRMX which CNN Money calls one of the best Large Cap funds available today)<br />• blow 10% (it's a good health practice to let your hair down and have fun sometime)<br />• and live off of the last 50% of your income (food, clothing, shelter, bills etc.)<br /><br />If so, congratulations, you are awesome! However you can still use some help from my friend, the rule of 72.<br /><br />Investopedia defines the rule of 72 as a rule stating that in order to find the number of years required to double your money at a given interest rate, you divide the compound return into 72. The result is the approximate number of years that it will take for your investment to double.<br /><br />Given that definition let's look at the money working for you in your savings account at an astounding 0.1% interest. 72/0.1 = 720. That's 720 years before your money doubles. You'd have to send your great, great, great, great, great, great x 15 Granddaughter by to pick up your check.<br /><br />What about the money working for you in your high yield Large Cap mutual fund, highly recommended by CNN Money, at a staggering 1.91% (let's round it 2% to make the math easy) return rate. 72/2 = 36. That's 36 years before your money doubles. Let me tell you, a lot better than 720 years but still a long time when you considered wealthy people constantly put their money in vehicles that provide 10% or more of a return. 72/10 = 7.2. Here's the secret: having your money double every 7 years or less (investments with > 10% return) is how you live the rest of your life like most people can't.<br /><br />Where can you find investments boasting of 10% or greater in returns you ask? All over. The two most popular sources: the stock market, and real estate. My favorite... Commercial Real Estate. Whatever your vehicle, talk to a Registered Investment Advisor (RIA) to accurately gauge the risk. You've been enlightened. Invest wisely my friends.<br /><br />Walter Davis is the Principal Partner of Copious Real Estate Solutions, LLC. Copious Real Estate Solutions buys Commercial Real Estate in stable and emerging markets. Copious Real Estate Solutions takes a conservative approach to analyzing commercial property and provides end to end management of the commercial real estate investment process from asset identification and acquisition, through asset management and ultimately marketing the asset to capture capital gains creating a secure and lucrative investment vehicle for the novice as well as the savvy real estate investor. If you're interested in investing in Apartment buildings and other Commercial Real Estate visit us at http://www.CopiousRES.com or call 301.836.1289 for a free consultation.<br /><br />Article Source: http://EzineArticles.com/?expert=Walter_Davis<br /><br /><br />adminhttp://www.blogger.com/profile/08479562689831211918noreply@blogger.com7tag:blogger.com,1999:blog-8719738174031393506.post-3204728048445584412012-08-10T21:00:00.000-07:002012-11-02T21:00:33.725-07:00The Competitor Myth: Why You Should Never Sell Your Business to a Competitor<div style="text-align: justify;">
<br /><br />It is hard not to think of a competitor as your buyer. After all, who would want to buy a web-design business other than someone who knows how to design websites. Or a printing business, other than someone who knows how to work printing machine. This is reasonable logic. It is also the commonly held belief among business owners that they will eventually sell to a competitor. Indeed, probably someone that you already know of, and who knows of you and your brand.<br /><br />However, you will never achieve the best price for your business by selling to a competitor. Ever. The simple reason is that a competitor will only ever value your business by looking at the turnover and profit and making a calculation based on how long it will take them to earn back the price they pay for your business. In other words, they are valuing your business on a 'return on investment' basis. For a competitor, the purchase of your business is rarely a 'strategic' purchase.<br /><br />Achieving the maximum value for your business is all about finding a buyer who is the right strategic fit for your business. In other words, a buyer who will benefit to the maximum extent by owning your business - who has the potential to make the most money from your business. Because such a buyer will be prepared to pay more for your business than any other purchaser.</div>
<a name='more'></a><br /><br />This is not the easiest sale option. Indeed, the easiest sale option is to approach your competitors and offer to sell your business to them. And as a result, you should not expect the best price from them.<br /><br />Selling your business for maximum value requires a professional marketing exercise to find and persuade the buyer that will gain the most from owning your business. This is not a skill set that an accountant is equipped to provide - and yet most business owners go straight to their accountant when they are ready to sell their business.<br /><br />The best price for your business will be paid by a buyer who operates in a complementary business. For example a CCTV installer who buys a fire alarm business. They both service the same clients. There is opportunity for the buyer to cross-sell your services to its clients and sell its services to your clients. Thus, growing the business in two directions.<br /><br />So if you are wondering who your buyer might be, concentrate on thinking laterally about industries that are complementary to yours. How can you make your business more attractive to them?<br /><br />For more information and to download my book on business valuation visit: http://www.canopylaw.com<br /><br />I have been a business lawyer for 10 years. During that time I have helped sell dozens of businesses. I have also seen lots of businesses fail to sell. I have used that experience to develop a new theory on why some businesses sell for mega-bucks, and why some fail to sell at all.<br /><br />Article Source: http://EzineArticles.com/?expert=Dr_David_Hughes<br /><br /><br />adminhttp://www.blogger.com/profile/08479562689831211918noreply@blogger.com6tag:blogger.com,1999:blog-8719738174031393506.post-86346328157474608302012-08-08T20:58:00.000-07:002012-11-02T20:58:20.583-07:003 Ideas for Getting Out of Your Comfort Zone<div style="text-align: justify;">
<br /><br />Another saying I love that my husband shared with me is just because something feels good doesn't mean it is and just because something feels bad doesn't mean it is. Staying in our usual routine may feel good but it doesn't get us anywhere. I know that if you are reading this you want to grow so here are some things you can go this week to get out of your comfort zone:<br /><br />• The number one thing you can do to move yourself forward is put it in writing. I have a recent example of how this worked for me... I've been wanting to get a spiritual adviser for some time now and there was a woman I saw every month who I wanted to ask. Month after month went by and I would think about asking her but I wouldn't do it and I'd leave telling myself I'd ask her the next month. Finally, I added it to my One Year Goals and within two weeks I saw her again and I finally approached her about it. I almost didn't though. I almost waited another month but I knew it was in writing and I wanted to check it off my list. So, write down one thing you will do this week to stretch yourself out of your comfort zone.<br /><br />• You don't have to do it all at once. Break your goal down into manageable pieces. For instance, say you absolutely hate networking. Every time you think of it you imagine having to be witty, charming, and making sales. Relax. It doesn't work like that. All networking requires is for you to show up and make friends with a couple of people. Networking isn't about going to an event and "wow"-ing everyone with your amazing products and expertise and walking out with connections with everyone in the room. Start by choosing a group you want to visit and then show up and be friendly. It's that easy. No pressure.</div>
<a name='more'></a><br /><br />• The last thing you absolutely have to is take action. Writing it down and creating a plan won't do you any good if you don't follow through with action. Enlist the help of a friend to help you be accountable. Tell them what you are going to do and then ask them to check in with you at the end of the week to see if you did it or not. My accountability partner is another coach who I went through coach training with. We email each other our goals at the beginning of each week and check in at the end of the week to see how we did. It gives an extra boost of incentive to achieve when you have to report back to someone.<br /><br />To recap, put it in writing, make it manageable, and take action. The key is to keep moving forward even if it's just baby steps. Every time you take a step forward your confidence will increase and pretty soon what felt uncomfortable will be second nature to you. And don't worry about making mistakes because each one is just a new experience that will bring you closer to what you want.<br /><br />In closing, my encouragement for you this week is that you will do just one thing that you've been putting off because it makes you uncomfortable.<br /><br />Want more clients but don't know how to get them? Struggling with what you should be doing to market your business? Instead of those old stories, imagine yourself as a master marketer with a system in place so you don't need to reinvent the wheel when it comes to marketing. Imagine knowing exactly why you're doing what you're doing and not relying on hope for results! Imagine no more wasting time and money on promises that don't come true. You can do it! Request your free eBook 5 Steps to Boost Your Business Now! at http://www.coachandmentor.net and find out exactly what you need to be doing to grow your business with your ideal clients!<br /><br />Article Source: http://EzineArticles.com/?expert=Liz_Uram<br /><br /><br />adminhttp://www.blogger.com/profile/08479562689831211918noreply@blogger.com0tag:blogger.com,1999:blog-8719738174031393506.post-17044913617397450772012-08-06T20:56:00.000-07:002012-11-02T20:56:36.944-07:00Is Democracy The Enemy Of Entrepreneurialism?<div style="text-align: justify;">
<br /><br />We all love democracy, right? It's the best way to organize a society, right? Everybody gets to vote? Well, maybe. Let's take a closer look. First of all, chances are you don't live in a democracy. If you live in the United States, you live in a participatory republic. This means you vote for people who make the rules. You don't make the rules yourself. But let's not split hairs.<br /><br />How can democracy be in any way against people who want to build and thrive in private industry? After all, that's what entrepreneurs do, right? Think up stuff to make and sell to people? And isn't that the basis of all free market capitalism? People selling stuff to each other on the open market?<br /><br />At first glance, it would seem that a democracy, or something close to it, is best for business to thrive. But is it really?<br /><br />First of all, let's look at something called "time preference." This is the idea that people tend to postpone present satisfaction in exchange for future satisfaction. The lower your time preference, the more likely you are to put off pleasure now for more pleasure later. The higher your time preference, the more likely you'll just take the goods now and let the future bring whatever it's going to bring.</div>
<a name='more'></a><br /><br />A low time preference is necessary for a robust capital structure. All capital comes from saved wealth. Companies can only grow bigger if they reinvest their profits. People can only start companies if they save their money. Both of these require a deferment of present pleasures in exchange for possible future pleasures.<br /><br />As societies evolve, their collective time preference gets lower and lower. More and more, people plan for the future. This increases savings on both personal and business level. A self perpetuating cycle that creates more wealth and more goods.<br /><br />But what about democracy? People imagine it's some system where people are left alone to pursue their interests. However, the powers that drive democracy are actually contrary to the powers that expand an economy.<br /><br />How can that be?<br /><br />First of all, who is in charge in a democracy? That's right, elected leaders. And how do leaders become elected? Right again. They promise things to the population. I'll give you this,if you vote for me. This is how all leaders obtain and retain their power.<br /><br />Now, what kinds of things do they promise to the population? Think of them as promised goods. Are these promised goods more geared toward the present, or more geared toward the future? Considering that most public office terms are only for a few years, the goods have to be delivered relatively quickly, or else they won't get reelected.<br /><br />So it's clear that politicians, or the elected leaders of a "free" democracy are promising short term goods in exchange for votes.<br /><br />So on the one hand, you have society increasingly planning for the future by putting off consumption in exchange for a brighter future. And on the other hand, you've got politicians promising people goods right now, without concern for the future.<br /><br />Business people, capitalists, and entrepreneurs are looking toward the future. Politicians are trying to get everybody to only think of the present. A tug of war.<br /><br />Who will win?<br /><br />No matter what kind of business you've got, it's always good to put your best foot forward. This is easily done with highly persuasive sales copy. Come on by today and see what we can do for you. You'll find us at http://copywritesolutions.net/service/<br /><br />Article Source: http://EzineArticles.com/?expert=George_Hutton<br /><br /><br />adminhttp://www.blogger.com/profile/08479562689831211918noreply@blogger.com0