Prepare your exit strategy.
1. Plan your exit when you start the business. Will you sell your company, pass it on to children, or take it public?
2. Take time to understand how your chosen exit affects business planning. Will family members need to be trained to replace you, for example?
3. Consider the cost of each strategy—loss of the ability to keep financial information private if you sell or go public, for example.
QUESTION: When giving a presentation to a client I sometimes feel that my message is falling on deft ears. What can I do to help ensure a favorable response to my proposals?
ANSWER: In a recent article I discussed the value of listening, more than speaking. When making a presentation, your goal is to have a conversation with the other person. If you are doing all the talking, how do you know if your message is being received?
This is a very tempting concept as it would first appear to have very low start-up costs. This article is to give you a step by step process for which you can start an online shopping cart store.
You need a Business Plan and a Marketing Plan. Just because it is an online store, it does not mean you can bypass the thought processes that occur natually as you develop these documents.
Let's start with the basics:
Idea - The idea doe not have to be new but you must ask yourself why are people going to prefer to buy from my store vs others.
Competition - Who is your competition and how will you compete?
Costs - What are you costs in doing business?
Delivery and Warehousing - What shipping services are you going to use or are you going to have local pick up?
Advertising - With millions of website and only 10 on the first page of a Google search, how are you going to get on that first page.
Shopping Carts - There are many to choose from and they vary from a simple PayPal button to more complex retailing systems.
Analytics - To improve anything you must measure what you are doing now so you have a history of data.
The nitty-gritty of tracking cash isn't very exciting. And few entrepreneurs enjoy pestering customers to pay
their bills. But falling into a cash flow predicament is no fun, either. That's why it's essential that even those allergic to budgeting learn the basics of managing cash flow.
Websites with useful information in the Business Buy-Sell Process.
What "goodwill" means and how it's created.
Important factors in consdiering either buying or selling a business.
An advisory board is an informal group. This is not a board of directors. It is a group of mentors. The group has no financial interest in your firm. This is a group of outside advisors who share their knowledge to help you be more competitive, think strategically and offer specific advice in key skill areas.
The benefits of an advisory board include: setting aside time to think strategically, obtain feedback and insights from outside the company, and gather information and expertise from peers who have knowledge in different areas than your own. In general, a three to five person board will likely meet your needs.
Daniel Kehrer shares the Reznick Group's secrets for achieving growth, even in a poor economy.
How do some small businesses manage to grow and thrive while others perennially struggle and miss opportunities that come their way? According to Alex Castelli, who heads the Growth Markets Practice of consulting firm Reznick Group, the most successful business owners display some clear patterns and habits.
A booklet by Arnold R. Jaffa from the San Diego Chapter.
Cost-Pricing Your Product.
Determining Sales Required for Break-Even.
Determining Cash Requied for Start-Up.
Determing Purchase price of a Business.