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// by Anissa Starnes / Apr. 30, 2015 0 comments
Spring Cleaning

Spring is finally here and, customers are emerging from their cocoons as small business traffic picks up. “Spring specials” are everywhere and there’s a land grab when it comes to attracting your customers’ attention.

To stand out and inspire them to engage with you, you’ll need to “spring clean” your marketing efforts. Ideally, you’ll want to do this from the inside out by first analyzing your email and social media campaign results.

Let’s start with email. In reviewing the last three to six months, take a closer look at which articles were most popular in terms of being clicked on, forwarded and shared on social media. While you’re looking at your results, take the time to clean up your contacts list. Clear out the duplicates and bounced addresses and add the names from that stack of business cards you’ve been collecting.

From a social media perspective, take advantage of Facebook Insights to better understand the demographics of people on your page and their interactions. Similarly, Twitter Analytics measures engagement and gives you insight into the effectiveness of your tweets.

Along with analyzing how your customers respond and react, you’ll also want their direct feedback by issuing a survey. Be brief yet specific to learn what works and what you can improve.

Lastly, look at what your customers aren’t saying or doing. Which content and offers are they bypassing? Are they referring their friends to your business? Also, when it comes to their online engagement, what are they talking about in general and what specifically are they saying about your business?

Based on this insight, you’re ready to spruce up your marketing campaigns through the following actions:

  • Refresh the look of your newsletter. Explore different templates and brainstorm new column topics, content ideas and images.
  • Update your online presence including background images, the description of your business, and making sure you have complete profiles online so you’re more easily found.
  • Launch a personalized campaign targeting your most active customers. It should reflect your fresh insights as well as their particular interests. The more customized the content and offer is, the more likely they are to respond and share it with their friends.

When you take the time for spring cleaning, you’ll spot trends that inspire new ideas and you’ll be able to proactively respond to potential issues. This leads to more engagement and enables you to stand out among the competition.

Anissa Starnes
Director, National Organizations of Constant Contact
Constant Contact

Anissa is a small business expert with more than 20 years of experience in nonprofit and small business management. She has had an extensive career as an advocate for business interests, including executive positions with several chambers of commerce. Anissa also had the privilege of serving as President & CEO of a very successful nationally known nonprofit, Girls on the Run International.
Constant Contact | @CTCT_Anissa​ | More from Anissa

// by P. Simon Mahler / Apr. 29, 2015 0 comments
Website Keywords

“Getting information off the internet is like taking a drink from a fire hydrant, and having your business mentioned first is the most important in quenching that thirst for expertise.” –Mitchell Kapor

Over the years, hundreds of small businesses have under performed or failed entirely because customers didn’t know about them.  The same is true in the online era of business.   Unless your business appears on the first page or two of Google, Bing, or Yahoo search result, connecting with prospective customers will be very difficult.

That’s not the fault of the search engines; they simply respond to whatever search terms the user enters.  It’s up to you to make sure your website content includes keywords that people in your target markets are most likely to use, thereby making your website pages more “visible” to search engines.

According to a recent survey, websites ranked in the top ten of a Google search result page obtain as much as 91.5% of the search traffic for a keyword or term. Then 4.8% for page 2, 1.1% for page 3. This is why almost all of companies that own their own website are keen about being first on Google.

Read more: http://www.irisemedia.com/blog/2013/07/24/a-recent-survey-shows-the-importance-of-being-first-on-google-with-search-engine-optimization.html#ixzz3YXxPADBb

So how do I become a recognizable small business on the web?  Start with these ideas…

A good first step in finding the right combination of keywords for your content is to brainstorm words that you think your potential customers might use.  This includes your product names, generic names for those products, locations, specialties, and words that searchers might use when they need your product (including words about the problem that it solves).

Author and digital media consultant Mike Moran cautions that because keywords represent your market segments, the best matches for your site may not necessarily be the ones that are the most popular.

“Rather than trying to think of ‘everything’—that is, words that almost no one uses, look for a middle ground of words that are at least somewhat popular and are very strong matches for your site,” Moran explains.

Here are some tips for finding good keywords for your small business website:

  • See what your competitors call the same products.  You may see words on their Web pages that you have not thought of yet.
  • Avoid terms that are too general.  Instead of picking “auto insurance,” for example, use a more qualified term like “auto insurance Cleveland Ohio.”  Brian Halligan, CEO and Co-Founder, of marketing software company HubSpot, says that while such long-tail “keywords may generate fewer searches, they bring in more qualified visitors who are more likely to become customers.”
  • Use keyword tools from the search engines themselves.  For example, Google Adwords will suggest variations on your selected keywords.
  • Look at what words people already use to find your site.  This information is available in most web analytics packages. 
  • Incorporate links.  Connecting your site with leading ones in your community or industry is more likely to draw a search engine’s attention.

Search engines also tend to give low rankings to web pages that are rarely changed, so be sure to update your content regularly.  “Photos and video can be huge drivers of search results,” Halligan adds.  “Be careful with your title and tags, and include a link in the caption.”

Get Focused.  Get Busy. Get Launched.  Sprout & Grow.

P. Simon Mahler
Entrepreneur; SCORE Mentor
Mid-Columbia Tri Cities SCORE
P. Simon Mahler volunteers as a SCORE Mentor. Dedicated to building stronger economies and launching his next start-up, Pando Logic, Simon is committed to the success of each and every small business he mentors. For 15 years he has consulted for or founded several start-up companies that have amassed more than $30 million in annual revenues.

@SimonSaysSprout LinkedIn | More from Simon

// by Rieva Lesonsky / Apr. 28, 2015 0 comments
Business Disaster

It’s 86 degrees outside in Southern California as I write this—but for many of the nation’s small businesses, the past few months have been a time of unrelenting snow, ice and storms. Some 77 percent of small businesses in a new survey by OnDeck Capital were hurt by the severe winter weather; almost 73 percent closed their doors for up to five days, and 14 percent closed down for 10 days or more. No wonder that two-thirds (67 percent) saw slower-than-normal customer traffic, while almost half report sales dropped by 50 percent as a result of bad weather.

Severe weather is just one of many factors that can bring your business to an unexpected slowdown or halt. Long-term construction that keeps customers from visiting your location, problems with suppliers, fire or theft are a few of the other unpleasant surprises that might hit your business at any time. Are you prepared?

Almost 70 percent of the entrepreneurs in the OnDeck survey made it through their business slowdown or closure. Here are some tactics they used, and other ideas you can implement to protect your business.

  • Adjust your hours. Consider opening earlier or staying open later than normal so customers can get to you.
  • Reach out online. Let customers know what’s happening by staying in touch through your business website, social media and email. That way, they won’t be disappointed if they drive 20 miles in a storm to find out your business is closed. Consider offering services online or by phone instead of in-person, if that works. For instance, a consultant who normally visits clients’ offices could set up a conference call instead.
  • Use the downtime productively. If business is slow or you have to close down, figure out the most effective use of the time. Can you catch up on administrative or organizing tasks, reach out to sales leads or do some big-picture thinking to identify future growth opportunities?
  • Seek short-term financing. If a disaster puts your business in a temporary cash crunch, there are many short-term financing options available to meet your needs, such as invoice-based financing, merchant cash advances or short-term loans.
  • Review your insurance coverage. Make sure your business has adequate insurance for the types of problems likely to affect your area. Where I live, wildfires are a big problem at certain times of year. Your issue may be floods or hurricanes. Also ask about business interruption insurance, which can provide income if your business is forced to close down temporarily.
  • Be prepared to work remotely. If you haven’t already, set up systems so you and your employees can communicate with each other, your vendors and your customers from wherever you are. That way, a snowstorm that keeps you out of your office won’t keep you from doing business.

Your SCORE mentor can help you ensure your business is ready for anything. Visit www.score.org to get matched with a mentor now.

Rieva Lesonsky
Columnist and CEO
GrowBiz Media
Rieva is CEO of GrowBiz Media, a content and consulting company specializing in covering small businesses and entrepreneurship. She was formerly Editorial Director of Entrepreneur Magazine and has written several books about small business and entrepreneurship. 
// by P. Simon Mahler / Apr. 27, 2015 0 comments
Make It Happen

Perseverance will give you a major edge on competition, but the problem is, you can sometimes be so absorbed by your business that you miss the opportunities and the simple solutions that exist for growing it.  Solutions and ideas that, are blindingly obvious, once you acknowledge them –but are amongst the best kept secrets on the planet if you’re not tuned in. 

An interesting statistic is floating out there that suggests if you were to visit 100 potential customers who could find value in your fulfilling need you provide, that only two would purchase that same day.  People in business often hope and expect to do business the first time when meeting with a potential customer.  Sadly, the sale doesn’t close and the potential customer is often ignored. 

For the two that would buy at a first meeting, the tendency is that those people already took the time to understand the subject matter, and already knew what they were looking for.  If they meet someone who hits on all cylinders and the relationship is mutually beneficial, then business very well may occur.  But that is far from the norm and small business owners need to take notice.  How often have you purchased a product without having that void filled called ‘trust’ from someone you just met? 

Any small business owner who believes that they can just flip around their open sign and head into a sales situation armed with the “Top 100 Sales Close Techniques” and actually close the sale is seriously anchoring for a misfortune of swing and miss.  Small business owners need to get to know their potential customers.  There are links to research that quantify the reason(s) behind relational marketing and the extreme importance of it for any business, let alone a small business, struggling or not.  A successful small business owner will solve real world problems for their customers, not just with the products they sell but with the resources and tools they have to help their customers succeed in their individual or global quests.  They build relationships and trust by engaging in ongoing dialogue, (otherwise known as follow-up).  The successful small business owners don’t just peddle their products or services with an armory of closing techniques.  They go beyond those levels and use perseverance to establish a relationship.

“You don’t close a sale, you open a relationship if you want to build a long-term, successful enterprise,” says Professional Sales Coach Patricia Fripp.  People and companies who don’t follow up, who do nothing to build up that trust and relationship, cannot succeed, especially in today’s tough economic climate where 84 businesses across the U.S. close permanently every single day of the year.   Your customer wants to be sure they’re making the right decision before they commit to a purchase of any kind with your business, and that is where perseverance and tenacity can result in sales.

Different studies carried out over different times, in different places, by different market research firms over a number of years all reveal that 80% of non-routine sales occur only after at least five follow-ups.  Think about that for a moment.  It takes five continuous follow up efforts after the initial sales meeting, before a customer will say yes.  FIVE!  So how do you change that outlook to better benefit your business? 

Be the 56% of the small business owners who are selling products, services, or expertise to NOT give up after the one “no” at the initial meeting.  Let’s go a step further shall we?  Did you know that after a second time of trying to convince a customer that they need your product, service, or expertise, that the odds tip in favor of those small business owners who continue to dust off their knees in rejection and get back up to swing the bat of success, because 66% will never come back again after a second rejection.  After the fourth attempt, 94% of all small business owners will quit on that potential customer, period.  This puts you as having strong potential to succeed because only 6% will fight for the deal after the fifth encounter, and that is the degree of separation from those businesses who become one of the 84 that close and the one that grows on forever becoming a staple in their community. 

What meaningful communication strategies do you have in place right now to maintain that top of mind awareness once someone has either contacted you, walked-in to meet with you, or shown interest in your product, service, or expertise via some sort of web platform?  How do you nurture your clients so that they can begin to trust you and see you as a true professional business eager to succeed?  

Here are some ideas to consider for your small business that I have implemented in my own campaigns to create opportunity and success with every customer I meet:

  • Rejection #1:  Send a ‘personalized’ thank you card.  Not an email, an actual card that is handwritten by you demonstrating the difference between you making the time for someone and your competition looking generic.
  • Rejection #2:  Sweet treats.  So many times I have gone to different cities, been rejected by a large organization and sent the department a “sweet treat” from a local bakery in their area.  It creates conversation among your potential customer employees, and is easily remembered.
  • Rejection #3:  A book.  Yes, I said a book.  Not just any book, but a book that fits the issues my potential customers are going through.  Sometimes, if you are lucky, you can find a book that kind of explains a purpose or niche that falls right in line with what you are selling as a product, service, or expertise. 
  • Rejection #4:  Again, a ‘personalized’ thank you card.   Perhaps a coffee mug with some coffee supplied in it.  Nothing real fancy here, just enough to be creative. 
  • Rejection #5:  There is little to no rejection.  You have passionately demonstrated care about that potential customer, developed a strong relationship with them,  and the time came to close the deal. 

Perseverance and tenacity could be critical to your survival of your small business. Be the difference-maker that customers find as unique, important, and knowledgeable, and you will live a long healthy life as a small business owner.

Get Focused.  Get Busy.  Sprout and Grow.

P. Simon Mahler
Entrepreneur; SCORE Mentor
Mid-Columbia Tri Cities SCORE
P. Simon Mahler volunteers as a SCORE Mentor. Dedicated to building stronger economies and launching his next start-up, Pando Logic, Simon is committed to the success of each and every small business he mentors. For 15 years he has consulted for or founded several start-up companies that have amassed more than $30 million in annual revenues.

@SimonSaysSprout LinkedIn | More from Simon

// by Aliana Marino / Apr. 24, 2015 0 comments
B2B Sales Calls Infographic

This month’s SCORE infographic shows the best techniques for making business to business (B2B) sales calls. Making these calls is a time-consuming task, so we hope these tips will help point you in the right direction.

The best sales leads originate from the following:

  • 39% from outbound marketing, such as inside sales and telemarketing
  • 27% from events, such as trade shows and webinars
  • 17% from online, such as searches and testimonials
  • 10% from media, such as radio and television
  • 5% from social media, such as Facebook and TwitterSales Calls

Even after dozens of calls, not all leads become sales.

  • Every 30 dials leads to 1 conversation.
  • Every 3 conversations lead to 1 appointment
  • Every 3 appointments lead to 1 opportunity.

To achieve successful opportunities, good sales practices are critical.

  • The average time to respond to a web-based inquiry is 39 hours.
  • Make 50 calls a day, on average.
  • 30-50% of sales go to the vendor that responds first.

Download this month’s SCORE infographic for more details. If you need help developing your sales strategy, contact a SCORE mentor. You can also get tips from our free resources

Aliana Marino
Communications Manager
SCORE
Aliana is passionate about helping small businesses thrive and getting the word out about the great work SCORE mentors do across country. 
score.org | Facebook | @SCOREmentors | More from Aliana                   
// by Hal Shelton / Apr. 23, 2015 0 comments
Success versus Failure

Business plan mistakes can result in anything from small setbacks to fatal errors for your business.

Especially for businesses seeking funding, it’s crucial that your information is correct and none of your ideas are misrepresented. To help you avoid future stumbling blocks, here are seven critical business plan mistakes to be wary of:

1. The opening message does not succinctly describe your idea and why it will be successful.

First impressions are important — a plan is often judged by its two-page executive summary. Bankers, investors, and key vendors are busy people, so if a quick read of this opening section does not provide a clear and persuasive overview, they will likely move on to the next proposal.

2. The business plan is all about you and not what you are doing for potential customers.

Businesses are successful when they provide products and services that profitably satisfy a customer need. You start a business because you are good at what you do and are passionate about it; however, you always have to come back to what you are doing for the customer.

3. There is no focus on specific products and services.

Getting customers and cash flow can be hard at the start. To appeal to a large audience, many businesses try to take a broad approach when describing their products and services. This is not a smart strategy. Your business plan needs to show what you can bring to the market that is unique and different from your competition.

4. There is no clear statement on how you will generate revenue.

Understanding how you will generate revenue — sometimes called the business model — is crucial for your own planning. It’s also important to communicate this clearly in your plan when applying for bank loans and asking for approval from credit committees.

5. The sales forecast is not believable.

The sales forecast needs to be supported by data and analysis, a marketing plan that will find prospects and convert them into customers, and an analysis of competitor reaction to a new market entrant. Unfortunately, a good product or service will not sell itself. The problem with unsupported, robust sales forecasts is that the reader discounts them and moves on, and you are not in the room to defend your plan.

6. The funding amount you’re asking for is not supported by the financial statements.

There is a natural conflict between asking for money and wanting to demonstrate that you have a highly profitable business. Sometimes entrepreneurs show robust sales projections, which masks the funding needed. Or they request larger funding than they need since they feel it is a negotiation and they need to ask for $100,000 to get $75,000.

Yes, there is a negotiation, but the requested amount must be supported with at least a three-year monthly cash flow projection.

7. The funding you’re asking for primarily goes to your first-year salary.

Banks and investors prefer to provide funding for assets or activities that will make money like buying a building or equipment, designing and building a website, or funding a robust marketing program. They are more reluctant to fund employee salaries. Taking a modest pay until the business generates sufficient cash flow is often seen an indicator of your commitment to your business.

Key Lessons

  • Incorrect information in your business plan can lead you to make poor business decisions.
  • Committing these critical mistakes will most likely result in your business plan being rejected by a potential bank lender or angel investor.
  • Your plan needs to be well thought out with clear messages stating why you are the right person at the right time to make this a business successful.

Next Steps

  • Keep these critical mistakes in mind when writing your business plan.
  • If you have already started writing your plan, are there any changes you will be making now that you know what the common mistakes are?
Hal Shelton
Author and Mentor
SCORE

Hal is a SCORE mentor who is passionate about helping small businesses start and grow. He has been a CFO and board member for NYSE/NASDAQ publicly traded companies and nonprofits. He is currently an active investor in early-stage technology companies and is the Amazon bestselling author of The Secrets to Writing a Successful Business Plan

// by Rochelle Robinson / Apr. 22, 2015 0 comments
Professional Network

As a small business owner, you’re often juggling so many tasks that you may not find the time to expand your professional network. Developing and maintaining a strong professional network can be key to your business success.

Expand your professional network to access decision makers and identify new business opportunities.

1. Tap Into Your Existing Network
Make a list of your personal and professional contacts who may be interested in helping you expand your business. Reach out to friends, family, and past and current colleagues with a well-crafted email message to inform them about your business. An email can seem impersonal but it isn’t pushy and doesn’t put your contact on the spot. Ask friends and colleagues to share your information with anyone they think may be interested in your services. Make sure to include your contact information and a link to your website.

2. Use Social Media to Connect
Use online networking sites to connect with other professionals. On LinkedIn, join one of the numerous groups to post content that showcases your expertise and offers value, while learning from others. MeetUp.com offers a variety of like-minded individuals. Create an introduction video about you and your business for your YouTube channel. Create or join a relevant Facebook group or page.

3. Join a Professional Group
Join a local association or chamber of commerce to develop relationships with other business professionals. Do an online search to find organizations close to you. Attend a few events and determine which network seems appropriate for your business. Get involved with upcoming events, be a featured speaker, or become a sponsor.

4. Offer a  Free or Low-Cost Seminar
Have you ever seen advertisements from real estate agents offering home buying workshops? Use that model to expand your network. If you run a social media agency, invite small business owners to an event on using social media best practices. This is a great strategy to identify people who are seeking your service and allows you to demonstrate your business expertise. 

Rochelle Robinson
Digital Business Strategist
ConsultRochelle.com
Rochelle L. Robinson is a digital business strategist focused on helping small businesses develop a strong digital strategy, improve business development efforts, and implement innovative online marketing solutions.
// by Rieva Lesonsky / Apr. 21, 2015 0 comments
Business Pitch

Have you ever had to give an elevator pitch about your business to an investor, banker, or potential partner? While presenting an elevator pitch sounds easy—after all, you’re just talking, right?—it’s actually quite an art. And if you ever hope to get beyond the elevator stage to presenting a more detailed pitch, you’ll need to make sure your elevator pitch skills are stellar.

To get the scoop on how you can craft a winning elevator pitch, I asked Deirdre Bolton to share some tips. Bolton is the host of Risk & Reward with Deirdre Bolton, which airs daily at 1 pm ET on the FOX Business Network.

On her show Bolton has a regular feature where someone pitches her in an elevator—and when the elevator lands, several judges weigh in on the pitch. After participating in so many pitches, Bolton has put together her five must-do elevator pitch tips.

1. What does your company do? You need to have the answer and be able to communicate it in one sentence. Craft a phrase at the beginning of your pitch that describes your purpose. That will get all listeners and viewers on the same page quickly!

2. Practice your timing. The Risk & Reward elevator pitch is 30 seconds flat. Practice your pitch at least 10 times in your living room with a stopwatch. Know the elements you want to include, whether it’s more details or an example of your product or service.

3. Be flexible. Write and memorize the two or three elements of what you want to cover in your 30 seconds. You may want to change your pitch around a bit [after you’ve done it a few times]. We tell people who are pitching on Risk & Reward to be flexible until after they’ve talked to the producers. It’s easier if you don't memorize the speech as one big block.

4. Get constructive criticism. Have some friends who don’t know your company well listen to your pitch and tell you what they understood and what is clear or not clear to them about your company and what you said (or how you said it). Clarity of message is key. 

 5. Make it personal and have fun! Did you establish your company because you were solving a problem you personally encountered? If so, bring that element to the narrative. For example, “As a former sales executive, I knew how difficult it was to generate good leads, so I founded ‘Connect’ to make it easier for other sales executives to increase sales.” An effective elevator pitch is personal and energetic.

After you follow Bolton’s advice, the best way to perfect your pitch is to start pitching. The more you pitch, the more relaxed you’ll be, and the more natural your pitch will sound.

Your SCORE mentor can help you hone your pitch and act as the perfect sounding board for your practice. Don’t have a SCORE mentor? Visit www.score.org to get matched with one today. 

Rieva Lesonsky
Columnist and CEO
GrowBiz Media
Rieva is CEO of GrowBiz Media, a content and consulting company specializing in covering small businesses and entrepreneurship. She was formerly Editorial Director of Entrepreneur Magazine and has written several books about small business and entrepreneurship. 
// by Jeanne Rossomme / Apr. 20, 2015 0 comments
Spring Cleaning

Spring is in the air  (finally!) and with the change in weather, the inspiration to prune those old, dead files that are cluttering your computer.

“But”, you say.  “Storage is cheap. Why bother cleaning up my digital files?”

  • A clean desktop reflects an uncluttered mind.  A messy, overcrowded desktop screams, “So much work!” and “Where do I start?” Organizing your files will help you gain control over your workspace and get focused.
  • You can more easily find things when you need them.  Create a filing system that mimics how you organize your work and your work products.  I organize my files by clients/prospects.  Other business owners organize by steps in the sales process (inquiry, demo, contract, etc.) or by product line.  The key is to design a system that makes sense to you and then stick with it.
  • You can design a foolproof backup system for your business.  I learned this lesson the hard way when a clumsy traveler knocked my laptop off the airport security belt, therefore crashing my hard drive.  Because my files were not properly organized, my cloud backup did not have some critical images – these files were lost forever!  Using the spring cleaning approach, you will ensure that your important, active files are seamlessly backed up, without wasting space.
  • Protect sensitive files.  Hackers are getting more sophisticated by the day.  With a good file system, you can create an extra layer of protection or vault for those files have your social security number, back account information, client confidential contracts, etc.
  • Your computer will likely run faster and more efficiently.  Getting rid of unused and redundant programs allows you to keeps your software streamlined and up to date.  And all those files piled on your desktop? They actually slow down your computer.

So let’s get started!  The above calendar from SingleHop https://www.singlehop.com/ helps break this task into manageable chunks.

Jeanne Rossomme
President
RoadMap Marketing

Jeanne uses her 20 years of marketing know-how to help small business owners reach their goals. Before becoming an entrepreneur, she held a variety of marketing positions with DuPont and General Electric. Jeanne regularly hosts online webinars and workshops in both English and Spanish.
www.roadmapmarketing.com | @roadmapmarketin | More from Jeanne

// by Aliana Marino / Apr. 17, 2015 0 comments
Sales Webinar

The SCORE online workshop “Identifying Your Sales Strategy” details how to reach, talk and sell your business to customers. This webinar allows you to step back and analyze what works and what needs improvement.

First, focus on the basics and think about these factors:

  • Product/service: What are you selling? What is its appeal? How will your clients benefit from your product/service?
  • Who is your ideal client? What niches can you target? How are you trying to attract your customers?
  • Staff: Who is your ideal salesperson? Do you have the person/people who fit the profile?
  • Competition: Who is your competition? How does your business differ? How do they attract customers?
  • Current sales strategy: What is your marketing budget? Is this enough? Are your sales growing?

Choose a Distribution Channel

One of the most important decisions that can determine success or failure is choosing your distribution channel--how to get your products or services to customers. Your decision will be influenced by your industry, business size, resources, target market and competitors’ methods. Two basic strategies are direct sales and indirect sales.

  • Direct sales:
    • Sell directly to customer and retain revenue from all sales
    • Need to hire and train employees to handle all sales and marketing
    • Well-suited for low priced goods
    • If you have an online store, you can sell anytime, anywhere in the world. Start-up investment is fairly low compared to a physical store.
  • Indirect sales:
    • Sell through a third-party, like another retailer or distributer
    • Effective for more expensive, high-tech products that need more customer support and if you have a high sales volume
    • Don’t need a large staff trained on all products and support

Prepare a Sales Forecast

This is an estimate of your sales for the next fiscal year. You will look at past buying patterns, current sales efforts and customer indications of future purchases. A sales budget includes salaries and commissions, advertising and marketing expenses, administrative costs and is usually between 5 to 10% of total revenue. If you have a new company without any sales, base your estimates on market research.


The equation for computing a sales forecast is as follows:

Sales forecast = Total number of customers x Frequency of purchases (per year) x $ amount per purchase

Choose a Structure for Your Sales Team
Developing a sales team depends on your budget, business size, number of existing and new clients and your industry.

Consider these important questions to determine your selling approach:

  1. Will sales be conducted by current employees or contractors?
  2. Will all staffers be responsible for generating leads, selling, closing and servicing all customers? Or will some team members establish leads and make appointments, while others make sales, and a third group services their ongoing needs? 
  3. How many salespeople do you actually need and can you afford them?

To learn more about developing your company’s sales strategy, listen to the full online workshop, “Identifying Your Sales Strategy.” Contact a SCORE mentor and read more about generating sales HERE

Aliana Marino
Communications Manager
SCORE
Aliana is passionate about helping small businesses thrive and getting the word out about the great work SCORE mentors do across country. 
score.org | Facebook | @SCOREmentors | More from Aliana