Tag Archives: entrepreneurship

The Hiring Conundrum: How to Correctly Employ Talent

By James D. Roumeliotis

Job Candidates

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How often do we hear employers, of all sizes, complaining that there is a dire shortage of good talent out there? What should we really make of this? Is there anyone to blame – everyone but the employers themselves? Consider the daily hiring procedures and habits of most employers to realize who is at fault for the hiring dilemma. Engaging prospective employees by utilizing mainly the human resources staff and/or relying solely on a plethora of job boards, automated hiring/”big data” or software to scan and screen-out resumes is not only irresponsible but rather a wasteful practice, totally impersonal, as well as a thoughtless and a lazy way to bring, supposed, qualified people on board.

Through third parties and automated systems, how is a hiring manager going to discover candidates who bring more than just skills to the table – ones who also bring about an ideal attitude and character? Think soft skills/emotional IQ. The job of hiring should be conducted by none other than the person to whom the potential new employee will be reporting to – or rather be assigned with tasks.

If there is a list of ideal and practical methods of properly hiring employees, which I fully subscribe to, then you ought to read the article “How To Hire: 8 stunning tips“ in Nick Corcodilos’s blog “Ask The Headhunter®.”

Here is the link: http://www.asktheheadhunter.com/10693/how-to-hire

Eavesdropper next table

Keep Your Recruiting Radar Constantly Active

Recruiting done properly and effectively is not an occasional task but an on-going process. Potential candidates can be discovered anywhere. Even if the hiring manager is not actively seeking a candidate, he or she should be doing so proactively by keeping his or her ears and eyes open at all time and literally anywhere – whether during networking, social activities, or during his or her time off. I am aware of two such cases; whereby a business owner and a recruiter, respectively, both came across their potential candidate while dining at a restaurant. In either case, they were impressed when they overheard an individual, at the table beside them, talking about his/her career goals and aspirations. The pleasant personality and discussion drew them in impressive ways that the hiring managers could not help but engage with this person. In the end, the eavesdroppers extended the individual an invitation for a job interview. Eventually, they were hired by their respective employers.

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20 Steps to Launching a Food Company: Lessons from a Start-up in the Gluten-free Sector

by James D. Roumeliotis

plethora-of-same-old-big-food-brands-on-shelves

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For those who are considering venturing into the recession proof food production sector, though previous experience in that domain would be a valuable asset, if you have the passion, discipline, adequate funds, a viable product, and a high caliber team (with individuals that bring sales, marketing and finance expertise along with CPG know-how), your rate of success will undoubtedly increase. However, in practice there are no guarantees of triumph regardless of your resources. Blame is not entirely on the entrepreneur but rather on circumstances beyond one’s control. As such, there is a way to increase positive outcomes throughout the start-up journey by being prepared and anticipating potential hurdles in advance. This entails implementing a feasible strategy, remaining resilient along the way and applying a practical step-by-step process as the one outlined in this article. Consider it as your guide which was developed as a result of painstaking experiences during 18 months which ultimately led to launching a gluten-free and health snack from the ground-up.

What it takes to make it to market

  1. Food product or beverage idea, viability and development: How unique will your product idea be? Which food category is it supposed to fall under (snack, poultry, dry snack, frozen etc.)? What will be unique about it? Will it possess sales potential ─ especially repeat sales? Initial sales are fine but repeat orders are more important.
  2. Market research and competition: Like in every type of business and industry, conducting market research and your in-depth information about your competition is imperative in deciding if your potential product is good enough to compete with existing products. How will it be sold? Pricing etc. (marketing mix).
  3. Testing/Sampling and feedback: Before you invest in purchasing ingredients, packaging and other items in bulk, it is highly advisable that you determine if your food product will have appeal in the marketplace. That said, feedback from focus groups can not be underscored.
  4. Co-packer/contract manufacturer or kitchen space leasing: To produce your product you may want to find and negotiate with a facility where it will be produced in small or large batches – either with your own team or one provided to you. Co-packers/contract manufacturers normally charge per hour of production (with a minimum daily run) or a fee per packaged finished product. Along with their own in-house brand, they have the extra capacity to accommodate private label contracts.
  5. Product costs and potential earnings: Have someone with accounting and costing experience do this on a spreadsheet. Know your costs and margins ahead of time, as well as what you can potentially sell it wholesale and/or direct to the consumer ─ keeping in mind there are intermediaries involved such as food brokers and/or distributors.
  6. Ingredient sourcing: Contact potential suppliers of ingredients. Shop around especially for the best deal, supply capabilities, for quality certifications, and credit terms. Make certain you always have two or three suppliers as a back-up. Ask for specifications of each ingredient.
  7. Product formulation testing and sampling: This is most certainly not a one-time event but an on-going process. Do not be surprised if it can take as many as 50 or more trials before the formula has been refined. Refrain from haste in launching your product until the flavor profile and texture you are trying to achieve are above board. Your brand and brand new reputation are at stake.
  8. Scaling from the kitchen and lab to mass production: Small batches in the kitchen will not yield the same results when going into full scale production. The formula will almost certainly require several tweaks made progressively during the production process to produce similar texture and flavor.
  9. Funding requirements and sources: Based on what it will cost you to bring the product to market (with a reserve for unforeseen expenses), including constant operating expenses and perhaps a reasonable salary, determine how much you will need less your own funds (dubbed “bootstrapping”). The balance can be sought from either private investors and/or friends and family. Banks are reluctant to lend to start-ups as they would rather wait several months for your business to show some traction.
  10. Market – Retail, institutional or both: Establish where you will be pitching and selling your product. Keep in consideration that by going retail, you ought to invest additional funds in branding, packaging, instore sampling, promotional activities and perhaps shelf/slotting fees by major supermarkets. Start locally and slowly expand outside your area, state/province and eventually beyond your country borders.
  11. Channels of distribution: If you will be dealing with retailers, it is not always possible to go direct as they prefer you do so indirectly via distributors they deal with (a matter of streamlining inventory and invoicing). Distributors can tag anywhere from 30” to 40% margins above what you wholesale the product for. Retailers will tack on an additional 30% to 45% by the time it is sold to the consumer. If you are seeking to outsource your sales activities, consider doing so by hiring a food broker or two who have great contacts in the retail and institutional food sector, thus open many doors for potential purchase orders. Typically, they earn 5% to 6% of sales made under their account.
  12. Marketing and branding strategies: In the business world, it goes without saying that marketing and branding activities are crucial in developing awareness for the product. The new normal is more emphasis on digital/social media, experiential marketing, cause marketing and guerrilla/grassroots marketing among other tactics. Going retail takes long to establish brand recognition which is a costly affair.
  13. Business model and business plan: A business model describes how and where you wish to operate your business, as well as how you plan to generate revenue and profit, whereas the business plan is a comprehensive document which states your businesses’ operational, marketing and financial goals and how it intends to meet them. It is like your company’s road-map. The business model you create is detailed in the business plan. Therefore, the business model comes before the business plan akin to the horse before the cart. Both are essential.
  14. Company name and formation, as well as product liability insurance coverage: There is no legitimate business without forming a company – an incorporation (limited liability) in favor of a sole proprietorship or general partnership (merely a registration). Additionally, do not take any risks in case there is a recall and/or someone gets ill caused by your product. Anything can go wrong from the supply chain to the product getting processed at the plant – regardless of the safety measures in place. Top food brands have not been immune either.
  15. Brand name trademark: Take the cautious path of protecting your company name and brand (including the logo). In the end, you will have invested an adequate amount of time and money, therefore, make certain you protect the intangible assets you are creating, otherwise, it may cost you plenty more to defend it in the future.
  16. Food safety issues, nutritional declarations and labeling requirements: This is a vital responsibility and requirement from the FDA (U.S.), CFIA (Canada) and in the European Union it is Regulation (EU) No 1169/2011 . Legislation with those governmental agencies includes what should be declared as ingredients on the packaging, as well as on the compulsory nutritional label (format varies from country to country).
  17. Packaging design, formats, POPs and UPC bar codes: The expression, “You eat with your eyes” applies quite well when it comes to food packaging – especially if you want your product to stand-out. A colorful, yet minimalist clean design on a quality package speaks volumes and can command a premium retail price. It is what is know as “perceived value.” Consider creating a POP display which will further expose your product, accentuate it, as well as possibly avoid paying slotting fees. Bear in mind that every product item, called a SKU (Stock Keeping Unit) requires its own bar code called a UPC (Universal Product Code). You can register and obtain this for an annual modest fee at gs1.org (or www.gs1ca.org in Canada).
  18. Going to market, in-store sampling and other activities: Launching a product for sale requires careful planning and timing. This should be well coordinated with your team and the food broker and/or distributor (or retailer directly). To introduce the unfamiliar product/brand to the consumer, where he or she shops, it is highly recommended that sampling be conducted in-store. There may be a cost associated with this if a third-party marketing company, specializing at this, is hired.
  19. On-going refinements and customer feedback: Once a product arrives on retail shelves, there is no reason to get complacent. A product’s flavor profile should be enhanced based on customer feedback which should be encouraged by making it easy for him or her to communicate with you (email, social media and perhaps a toll-free number on the packaging).
  20. Continuous research and development for new products – in-house production consideration: Progress and category success require constant innovation, refinements and tactics ─ whether it is with existing products or launching new ones.

Everyone needs to eat to survive

Starting a business is a challenge with statistically high failure rates during the initial five years ─ let alone starting a food production business. Statistics on this sector show promising growth.  However, the food sector, especially in the health category, has tremendous opportunity for brands which offer snacks, ready to eat or easy to prepare meals which are tasty, allergen-free and with all natural ingredients – especially plant based.

The biggest challenges in the CPG (Consumer Packaged Goods) sector are the need for a large sum of capital (most notably if you plan on opening your own facility), a focus on research & development, scaling the product from the kitchen to manufacturing, as well as executing a plan for going to market. It is also an industry with government safety regulation requirements which the food entrepreneur should be quite familiar with and comply without compromise.

Despite the industry’s inherent challenges, it is still worth considering this route as there is plenty of room to increase one’s prosperity while also benefiting the consumer with nourishment. Although there is complexity involved, it is recommended that one starts small, hires a contract manufacturer for production. The moment sales begin to increase dramatically along with cash flow, a that juncture, in-house manufacturing may be a viable option.

As for risks, choose to take the “calculated” type as in “planned with forethought.” Anticipate problems and be prepared with viable solutions. Finally, watch those margins carefully.

______________

According to Mintel, a research firm, these are the food market categories.

  • Baby food market
  • Breakfast cereals market
  • Dairy market
  • Fruit and vegetables market
  • Meat and egg products market
  • Pet food market
  • Savory spreads market
  • Snacks market
  • Bakery market
  • Chocolate confectionery market
  • Desserts and ice cream market
  • Meals and meal centers market
  • Processed fish market
  • Sauces and seasonings market
  • Side dishes market
  • Soup market
  • Sugar and gum confectionery market
  • Sweet spreads market
  • Sweeteners and sugar market

I would also add:

  • Specialty-Gourmet
  • Gluten-free
  • Health food
  • Vegan
  • Paleo
  • Artisan
  • Meals-to-go

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Three Things Businesses Can Learn from the Late Prince, The Artist

by James D. Roumeliotis

Prince Logo

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Prior to his sudden demise, I always had quite the fondness and following for Prince, “The Artist.” Ever since I discovered his music in the late 70s, what never seize to amaze me since was his eclectic work (comprised of dance, funk and rock tunes), vocal range and the method in which he always managed to integrate it all seamlessly during his formidable stage presence.

However, what many may not have been aware of was his show business acumen. Prince built and sustained his personal brand along with the resources he exploited which comprised of his musical entertainment enterprise.

What I have learned from this beloved and prematurely departed artist are three lessons which any business can use as a takeaway for implementation. They are as follows:

1) Stray from the ordinary and remain relentlessly competitive

“The Artist” was widely acclaimed by his fans, the media and fellow musicians as one of the most influential and creative musicians of his generation. He seemingly left behind an impressive music legacy. Unlike most artists, Prince was a prolific songwriter, multi-instrumentalist, sang in a variety of vocals, produced his work, as well as displayed dance and theatrical antics on stage. Must we forget that he was also an actor ─ most notably in “Purple Rain” along with performances in four other movies including on television. Moreover, he wrote songs for and produced work for other musical acts including some he impacted and/or for whom he acted as their mentor and coach.

Prince also knew how to outdo his competition by standing out with his artistic performances including the eccentric outfits he sported along with his leaping dance acts he displayed with his platform shoes ─ as he only stood at 5’2”/1.58m. Some of his singles, which eventually turned into big hits, were purposely targeted at some of his rivals.

An exemplary display of Prince’s unique and memorable performance was a video, recorded at the 2004 Rock and Roll Hall of Fame induction ceremony. The illustrious artists playing the Beatles’ “While My Guitar Gently Weeps.” include George Harrison’s son Dhani, along with old band-mates and collaborators Jeff Lynne, Tom Petty and Steve Winwood. However, most striking among this band, who stood slightly apart from the rest while they played ordinarily, was Prince. Despite his small frame and wearing a dark suit with a red shirt, a matching derby hat, and staying on the sidelines for the first 3:27 minutes or so (in the YouTube recorded video), he suddenly steals the show with his passionate guitar solo. As the song ends, Prince abruptly takes off his guitar, tosses it in the air and then disappears off stage. That was probably the most memorable part of the video from my perspective. Many more who watched it share the same sentiment.

2) Branding, image and reputation are your equity

As with traditional businesses, Prince had created a personal persona – where the brand and performer were synonymous. He created a logo dubbed the “The love symbol” ─ one that blended the symbols for male and female which was instantly recognizable. It was also the shape of his customized guitars. Prince even owned a signature color in the mind of his followers – purple. His occasional provocative lyrics, seductive singing, dramatic performances and distinctive album covers all depicted a unique style as an icon and as a showman of his personal brand.

As one Twitterer remarked in his Tweet following Prince’s death,Prince built a brand around his music and his genius before content marketing and personal branding became a thing.” Another stated, “Like Bowie, Prince reminded us that it’s not just OK to be weird—it’s cool to be weird.”

The moral of this narrative is that as a business, follow what Prince did ─ by working on building your brand image consistently, by establishing unique features with your products/services that distinguish them from the competition, and by being true to yourself, as well as by what you truly stand for.

3) Become vertically integrated

Prince was more than an artist, he was one who only entrusted himself with songwriting, arranging, producing, naturally performing his own music, as well as distributing it through his own label (NPG Records and Paisley Park Records before it). To do so, he built a $10 million state-of-the-art complex in a suburb of Minneapolis, Minnesota which he named Paisley Park Studios. That said, he became his own vertically integrated corporation. This was, after all, a multi-talented musical artist who believed in taking control of his own destiny and in return, earning the maximum revenue and profits rather than giving much of it away – most notably to a record label. He considered the role of record labels exploitation and slavery. He was a fierce advocate for artist rights and independence and in he had standoff with Warner Bros., his label at the time. In protest, Prince removed his name from his album releases and changed his name to a symbol. He also styled himself as “The Artist Formerly Known as Prince.” Furthermore, during a legal battle with Warner Bros., he scrawled the word “Slave” on his face during his appearances and performances.

The significance with this illustration is that a business with adequate capital, resources and expertise ought to consider amalgamating most or all of the processes under its own umbrella. A such, quality control and improved profits are now controlled by the business itself.

Paisley Park Studio

Paisley Park Studios

A final point of intrigue

On a noteworthy footnote, in his 37 years as an artist ─ and unlike many with his fame, he kept himself out of the negative spotlight. He never plagiarized a fellow artist’s work, never had to hire a ghost writer, and neither involved in a scandal which would drag him to the courts. In the end, he was capable of playing more or less 20 instruments admirably and having earned 19 Platinum albums, 6 gold albums, along with a double diamond record for his Purple Rain album which sold 21 million copies. Impressive for a personal brand to say the least.

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Start-up Essentials: A Universal Roadmap for Starting a Business — Infographic

By James D. Roumeliotis

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Starting a Business Roadmap INFOGRAPHIC

Starting a business from the bottom up requires discipline, decisiveness, a roadmap along with structure from the get-go.

There is a plethora of advice on entrepreneurship and on launching a business out there but very little substance on a universal step-by-step guide or a turn-key resource.

The Roadmap

Prior to taking a plunge in your start-up, a thorough research should be conducted, a meticulously plan set in place, and implementation performed flawlessly. Nothing should be taken for granted.

The following link takes you to a step-by step start-up roadmap infographic.

https://magic.piktochart.com/embed/4766874-starting-a-business-roadmap

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10 Pitfalls of Start-ups: How to Succeed Through the Initial Three Years and Beyond

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Viewpoint by James D. Roumeliotis

Businessman Taking the Plunge

Prior to taking a plunge in your start-up, you conduct thorough research, plan meticulously, execute strategy flawlessly ‒ but over time, you barely survive, or worst yet, fail altogether. What gives?

According to statistics, as the latest available numbers from the two U.S. government statistical agencies responsible for providing data about new businesses illustrate, The Census Bureau and the Bureau of Labor Statistics, five years after new establishments were founded (1995, 2000 and 2005 respectively), 50%, 49 and 47 percent of them (correspondingly) were still in operation.

Merely reading a business book, this article, or attending a well-regarded entrepreneurship course/program is no guarantee of success in increasing one’s odds of business success. It takes diligent implementation of a viable business plan, focus, determination, consistent and well thought out action, as well as an obsession with the customer, amongst other traits and approaches. Management of a business is not a science, it’s a practice.

SME/SMB business owners optimistic despite odds of failure

A new, independent survey has found that small and mid-size business owners share several distinct attributes that help them live their passions while adapting to the shifting economic landscape.

Commissioned by Deluxe Corp. a publicly traded company and leading provider of marketing services and business products for small businesses and financial institutions, the study surveyed more than 1,000 SMB owners around the U.S. The results showed 86 percent of the respondents believe they can do anything they set their minds to, with 77 percent also stating they would rather learn from failure instead of never trying at all.

Based on the results, it’s no wonder entrepreneurs are known as risk averse and tenacious ‒ or as some would light-heartedly state, “We’re going to succeed because they’re crazy enough to think they can.”

Adult Lemonade Stand

Pitfalls of business failure

On the whole, businesses fail due to its owners’ lack of fundamental business knowledge. Needless to say, failed businesses did not operate the same way as those that succeed. The following are oversights and inaction responsible for their demise.

  • For starters, it’s going into business for the wrong reasons. If the only reasons an aspiring business person desires self-employment is making money and selling a product he/she is in love with, stick to a regular job and conduct business on the sidelines or as a hobby. Making money should not be the sole end goal. Simon Sinek, an accomplished author and adjunct staff member of the RAND Corporation, one of the most highly regarded think tanks in the world, in his popular talks worldwide, including TED, compellingly emphasizes the following:

Why does your organization exist? Why does it do the things it does? Why do customers really buy from one company or another? Why are people loyal to some leaders, but not others?  Starting with “why” works in big business and small business, in the non-profit world and in politics. Those who start with “why” never manipulate, they inspire. And the people who follow them don’t do so because they have to; they follow because they want to.”

  •  The business is undercapitalized: a business with too much debt and a cash flow that doesn’t support it ‒ as a result of overestimated revenues and cash flow with underestimated expenses/cost of business.
  • Lacking business development – sales, the lifeblood of any business. Emphasis mainly on product rather than actually shipping quantity to its target market.
  • No USP/differentiation: another me too product, price sensitive, commoditized, and failure to communicate it in a captivating way.
  • Not focused on a particular market. Confused, and as a result, applying a gunshot approach. Unclear of its business model.
  • Poor execution of business and marketing plan. Lack of clear focus and direction. Moreover, inability to adapt to a changing environment, as well as anticipate future trends and plan for them – market phasing out unwanted items or services.
  • Poor operational management. It can be one or a combination of motives including lack of discipline, internal bickering between partners, owner arrogance, stubbornness, a closed mindset, and/or a lack of work ethic which causes complacency. Many start-ups have a carefree attitude to promote efficiency in the workplace, often needed to get their business off of the ground and persevering long afterwards.
  • Business expansions that are poorly planned and not appropriately financed. Although this growth is normally viewed as a positive development, its timing, execution tactics, and inadequate funding to sustain profitable growth stifle proper business progress.
  •  Failing to control costs – negligent fiscal management.
  • Creating dissatisfied customers: Not in touch with them along with a lack of a customer centric policy and fervent implementation with constant monitoring. Many businesses, small and large alike, offer lip service as they continue to disappoint their customers. It is a fact that the cost of acquiring a new customer is five times the cost of keeping an existing one.

Maze and Businessman

7 principles for business success: Avoid being a failed business statistic

If an entrepreneur is resolute enough to increase the chances of triumph from the outset, he/she should consider several key principles. These seven beliefs have been forged through my personal experiences, those of others I have either researched/interviewed and/or advised, as well as based on long-term practice and common sense seasoned with a touch of academia.

1)    A Viable Product or Service with the Right Business Model and a Passionate Person Behind it

It should fulfill a need, offer a benefit, be innovative and differentiate itself. It’s also imperative that the entrepreneur is passionate about the product/service, empowers his/her staff, as well as practices/conveys business ethics. To excel in the business, the entrepreneur must have the right mindset and attitude. This includes drive, perseverance, tenacity, and an undying belief in himself/herself and the value he/she adds.

2)    Adequate Capital

Critical and can vary depending on the size of the undertaking. Start your capital search with a good business plan that shows investors and lenders your company’s potential. Expect to realistically invest about 30% of your own money based on the total value of the project. Last but not least, cash-flow is the lifeblood of your business if you’re going to sustain the operation financially.

3)    Marketing, Sales and Customer Driven

Advertise, publicize, differentiate, ‒ and be compelling, as well as memorable with your messages. Deliver on those promises and constantly remain customer focused. Sales, on the other hand, is part of the marketing function.  It includes business development and account management. Sales is crucial to business because it is the bottom line, whereas marketing is about getting a product known and the customer keeps your business alive.

4)    People

Don’t simply HIRE well educated and experienced people but most importantly MOTIVATED, dedicated, coachable and with interpersonal skills. Moreover, make certain that the people you hire fit-in with your corporate culture.

5)    Systems and Structure in Place

Every business requires a disciplined way of conducting itself. This way everyone is on the same page. Consider publishing an “operations manual” and continuously enforce its procedures.  However, at the same time, it should include an element of flexibility to avert stifling the organization. Without any structure, the chances of failure increases.

6)    Strict Internal Financial Controls and Adequate Cash Flow

Finances should be closely supervised, borrowing wisely and avoiding overspending. Watch your financial ratios and yields (where applicable). The success of your business is, in many ways, measured by the bottom line. Even if you hired a full-time accountant, you would still need to have a
fundamental knowledge of accounting, how it works, and how to apply its basic principles in order to run a flourishing business. Once again, “cash flow” Cash flow is of vital importance to the health of a business. One saying is: “revenue is vanity, cash flow is sanity, but cash is king”.

7)    Continuous Improvement, Innovation and Sustained Growth

This is by no means a one-time event but rather an on-going process. Innovation encompasses offering distinguished and improved solutions which meet or exceed market requirements and expectations from your customers ‒ whether offering a desirable product or upgrading a service experience.

Business-Success

Keep in consideration ‒ govern oneself accordingly

Entrepreneurs, and inventors alike, may be quite well versed with the products and/or services offered, but not necessarily with running their business including a bucket list of daily administrative tasks. Most notably, sales, marketing and finance/accounting undertakings. This is where honest consideration should be given in either bringing in a partner to complement the entrepreneur’s weaknesses or an external adviser and/or mentor to guide him/her. A sounding board should not be dismissed as an advantage solely for larger organizations. Seeking professional help is an important way to avoid or plan for business challenges.

Prior to drafting a business plan as the roadmap, which assists one in avoiding the pitfalls of running a business, plotting a business model should be considered as a prelude to the business plan.  The idiom “putting the cart before the horse” clearly reminds us of this erroneous and common approach ‒ in this case, the business plan preceding the business model or lack thereof. The business model includes the components and functions of the business, as well as the revenues it generates and the expenses it incurs. It is part of the business strategy.

Typically, small businesses with inept ownership usually fail in the first year or two, but even companies in their growth stage can stumble badly when they outgrow the capabilities of the founding team. Research by the U.S. Bureau of Labor Statistics demonstrates that nearly 6 out of 10 businesses shut down within the first 4 years of operation.

Enterprises spanning a wide array of industries, have earned distinction as “well-” or “best-” managed” by demonstrating business excellence through a meticulous and independent process that evaluates their management abilities and practices – by focusing on innovation, continuous training, brainstorming and caring for their employees’ well-being – as well as investing in meeting the needs of their clients. Marketing maven and renowned author, Seth Godin, succinctly puts it this way:

Many entrepreneurs use an innovation to make an impact, but the hard part, the part that we’re rewarded for, is engaging with the user, the audience, the market. Bringing something to people who didn’t think they wanted it, know about it or initially welcome it, and make a difference.”

In the end, small businesses are started and managed by entrepreneurs, who with all their best intentions, are highly motivated but typically lack training in standard business practices. Thus, entrepreneurs with little more than a great idea, limited funds and a lack of management/operations skills and experience are prone to failure without the resources that can sustain and help grow their business.

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Overcoming Adversities | Recoveries – Turnarounds | Growth Strategies | Sounding Board | Shadow Management | Interim Management | Sales Management Outsourcing

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Entrepreneurship — in Quotes & Images

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Entrepreneurship is not for the insecure. It takes a good idea, a burning desire to execute it, and the right personal characteristics  including:

– At least some fundamental business knowledge

– Passion

– Drive

– Resilience

– Perseverance

– Persistence

– Curiosity and and open-mindedness

– Willing to take calculated risks

CLICK HERE for a collection of images that speak for themselves pertaining to entrepreneurship and the entrepreneur.

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Learn the significance of all of the above images BUT with the TEXT version in this book.

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THE SEVEN KEY PRINCIPLES FOR BUSINESS SUCCESS – A Personal Belief Through Years of Practical Experience

Viewpoint by James D. Roumeliotis

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7 Key Principles of Biz Success

Forget the cynicism. Businesses exist solely to make money while serving a need. Profitability is everything and cash is king. In public companies, shareholder return is considered essential. Operating from this mindset determines and measures whether the business in question is a success. If an entrepreneur is to increase the chances of triumph from the outset, he/she should consider seven key principles. These keys have been forged in the fire of my personal experience based on long-term practice and common sense seasoned with a touch of academia.

1) A VIABLE PRODUCT OR SERVICE WITH THE RIGHT BUSINESS MODEL AND A PASSIONATE PERSON BEHIND IT
It should fulfill a need, offer a benefit, be innovative and differentiate itself. It’s also imperative that the entrepreneur is passionate about the product/service, empowers his/her staff, as well as practices/conveys business ethics. To excel in the business, the entrepreneur must have the right mindset and attitude. This includes drive, perseverance, tenacity, and an undying belief in himself/herself and the value he/she adds. Must also be willing to embrace the concept that he/she takes complete ownership for his/her results. He/She can’t blame the marketplace, the economy or the employees for failure. In the end, it’s the entrepreneur making the decisions.

2) CAPITAL
Critical and can vary depending on the size of the undertaking. Start your capital search with a good business plan that shows investors and lenders your company’s potential.   Furthermore, Take advantage of any government loan program created for start-ups.
Expect to realistically invest about 30% of your own money based on the total value of the project. Last but not least, cash-flow is the lifeblood of your business if you’re going to sustain the operation financially.

3) MARKETING & SALES
Advertise, publicize, be first, different, daring and memorable. Deliver on those promises and constantly remain customer focused.

Sales, on the other hand, is part of the marketing function.  It includes business development and account  management. Sales is crucial to business because it is the bottom line, whereas marketing is about getting a product known. However, at the end of the day, it’s about the need for a constant stream of new business which brings in the necessary cash flow.

4) PEOPLE
Don’t simply HIRE well educated and experienced people but most importantly MOTIVATED, dedicated, coachable and with interpersonal skills. Moreover, make certain that the people you hire fit-in with your corporate culture. Your organization should also foster an atmosphere of Innovation and creativity through leadership. Work for staff should be meaningful rather  than a chore. These conditions can’t help but breed success. Implement an orientation workshop for new recruits and an occasional training program – invest in your key employees.

5) SYSTEMS – STRUCTURE
Consider publishing an “Operations Manual” and continuously enforce its procedures.  Without any structure, the chances of failure increases. Everyone should be on the same page and embrace best practices for quality results with consistency.

6) STRICT INTERNAL FINANCIAL CONTROLS & CASH FLOW
Watch them closely, borrow wisely and don’t overspend. It doesn’t matter how much you have coming in if most of it is going out. Watch your financial ratios and yields (where applicable). The success of your business is, in many ways, measured by the bottom line. Even if you hired a full-time accountant, you would still need to have a fundamental knowledge of accounting, how it works, and how to apply its basic principles in order to run a flourishing business.

7) CONTINUOUS IMPROVEMENT,  INNOVATION AND SUSTAINED GROWTH
This is by no means a one-time event but rather an on-going process.

Innovation encompasses offering distinguished and improved solutions which meet or exceed market requirements and expectations from your customers ‒ whether offering a desirable product or upgrading a service experience.

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CONTACT ME to request for the FREE slide presentation on “The Seven Key Principles for Business Success.”

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