Are You Thinking Too Small and Dooming Your Small Business To Failure?

One problem that many small business owners run into is simply thinking too small. I often have readers writing to me asking for helping getting their business ideas off the ground. I also often hear from folks who have run their small businesses into the ground. There are five key areas where you can think too small — and doom your business to failure.

Niche Too Small
Is your niche too small? Finding a small market to target with your business is key to success, but sometimes people narrow their niche too much. While doggy dental products could be a wonderful niche (as almost any dog owner can attest) you could even narrow your focus down to a certain type of dog (such as lap dogs) but going for one specific breed would be taking it too far.

Target Market Too Small
Is your target market too small? If you are looking only at one community or small geographic region then you may well doom your product to failure. It is far too easy to saturate a small market and it is far too easy for any marketing mistakes to end your campaign before it gets off the ground. In today’s economy with the availability of global marketing you need to think big when you are planning your target market.

Budget Too Small
Is your budget too small? You don’t need a million dollar advertising budget but you should have some seed money to get your business and its marketing campaign off the ground. It is possible to build a business from nothing but it is also a lot more difficult and you might find yourself making some mistakes that cost you a lot more down the road than putting a little money up front.

Schedule Too Small
Is your schedule too small? Do you have enough time to devote to your business?  Starting, running, and growing a business takes time. Some people get swept up in the planning and dreaming stages and never really start their business. Other people start before they have completely planned everything out and quickly get mired down by unexpected difficulties. While others do everything right in the planning and startup but once the business is running they get overwhelmed by day-to-day business and never think aobut ways to improve and grow their business.

Mind Too Small
Is your mind too small? You need to open up your mind’s eye to continually seek new opportunities to find new customers, to find new potential partners, to find new ideas for products, and to find new opportunities for marketing. Flexibility and adaptability are key to surival in today’s business climate and you always need to have new ideas cooking to grow and expand your market and your business. This means raising your head up out of the trenches once in a while. Yes, you might need to dodge the occasional missile lobbed your way but this is the only way to see those opportunities heading your way.

If you do your best to avoid these five not-so-small mistakes then you will be on your way to small business success.

So you know where to outsource (here) but how do you outsource?

There are many small and home businesses out there that know the advantages of outsourcing. You can’t be a master of all things, although I’ve found most entrepreneurs to be as good as many so called ‘experts’ in their field. So you decide that accounting or customer service isn’t your strong suit and you decide to hand it over to one of our lovely parents. But how do you outsource? How do you put across what you need? What are your procedures and expectations? How do you communicate? How do you find the best service at the best price? What can you outsource?

Personally I use video to show prospective outsourcees what I’m looking for. I show them the procedures I want them to go through and the kind of service I expect and want them to show my customers. As for what I outsource – well anything I’m not good at or hate doing – basically anything that involves numbers. I’ve been outsourcing to my ‘beta’ parents for months to get this site off the ground and I have a great relationship with them but that’s because we’re all aware of the goal and have a sense of belief and righteousness about the project. It’s a nice feeling.

However, in the past I’ve come across some right numpties when I outsourced, we’ve all been there, and learning how to do it right is an expensive learning curve. My best advice is to pay the extra bucks if necessary to get someone with a track record or you just have a good vibe about – don’t let the price guide you, it’ll cost you.

Some people have turned outsourcing into an art form and if you’re interested in learning how outsourcing really can revolutionise your business and family life then I’d recommend www.outsourcemethod.com – they’re in to the whole freedom from your business thing which is great for some and they’re definitely the leaders in their field, but I like to keep close to the ground with my business. Maybe with a few more grey hairs I’ll outsource the lot but for right now I’m all about the Supporting Parents In Business campaign which you need to join today.

I’m not sure if I can spell it out anymore but SPIB allows businesses to post jobs and projects for FREE (no there isn’t a catch) and parents looking for flexible or outsourcing work then apply for those jobs for FREE. That’s it. If your a business or a parent sign up today and you can post jobs and apply for them with a free lifetime membership. Do it now.

Legitimate work from home jobs?

You see this spouted everywhere – legitimate work from home jobs, earn $xxx per day! legitimate work from home jobs, earn from your computer!

It’s got to the point that if you see the word “legitimate” you immediately believe that it isn’t. What do they mean by legitimate? If you take them up on their offer and start to work then by that very act it is legitimate – as long as you’re paid (and not doing the books for the Mob)

Which I think gets to the crux of the matter – whatever it is you decide to do or try to break from the standard 9-5 is legitimate if you get paid – unfortunately most of these offers (if not all) only get one person into profit and that’s not you.

During our beta test of hiremyparents we have had our parents start a bewildering variety of ventures from your standard ‘virtual secretary’ to a high end ‘dog conditioner’ (dog trainer not dog shampoo, should probably talk to her about the title) and all of them have been legitimate because at the end of a working day they were a little bit richer than before.

So how do you make sure you’ll get paid? Well, there is no absolute guarantee. If you start doing a product launch plan for GAP or design the look of a new widget for SONY then chances are you’ll get a cheque – their reputation isn’t worth damaging – especially in todays socially connected world (more on that in a later post). But what if you’re doing the VAT for ‘Cardboard Inc’ a small but profitable company based in Nowhere, Wales. If you do the work how do you know they’ll pay up without any grief? Again, there are no guarantees but a bit of research could save you a lot of hassle down the road.

Below is a list of resources for the US and UK that you can use to check up on the companies that sign your cheques. Unless you’ve pulled off a $1m contract with someone I wouldn’t go too in-depth, just make sure that they’re legit and maybe do a google search for the company with the word ‘complaint’ added to the search box – you’ll be amazed at what pops up (social media again).

All in all I’ve heard no complaints from our beta parents concerning non-payment, and if you do hit a big pay-day maybe you should use an Escrow service or get paid in installments. But remember, most companies will pay up without a squeek but it only takes one idiot to ruin your cash-flow so a little research goes a long way.

Hoover’s Online

http://www.hoovers.com/free/

Companies House

http://www.companieshouse.gov.uk/

Industrial Quick Search

http://www.industrialquicksearch.com/

IndustryLink

http://www.industrylink.com/

Foster Business Library

http://www.lib.washington.edu/business/bizweb/

Research Guides from the Baker Library, Harvard Business School

http://www.library.hbs.edu/guides/

Thomas Global Register

http://www.thomasglobal.com/

ThomasNet.com

http://www.thomasnet.com/

Manta

http://www.manta.com/

Rutgers Library Guide to Company Research
Thorough outline of company research issues and resources.

http://www.libraries.rutgers.edu/rul/rr_gateway/research_guides/bus…

Yahoo’s Business to Business Directory

http://dir.yahoo.com/Business_and_Economy/Business_to_Business/

D & B Small Business Solutions

http://smallbusiness.dnb.com/

BizWeb

http://www.bizweb.com/

Business.com

http://www.business.com/

Research Guides – Business & Management

http://www.gwu.edu/gelman/guides/business/

Industry Research Desk

http://www.virtualpet.com/industry/

Which Home Business To Launch ?

For a lot of professionals which home business to launch is a pretty straight forward decision. If you’re a lawyer you set up a legal advise service, if you’re in marketing you set up a marketing consultancy service. But if you have more general skills that can be applied to many different industires then the decision can be a bit more difficult to make. Here are a few suggestions that I have seen implemented to great success by parents in our beta site.

1. Web Writer
To save money, companies are expanding the online segments of their businesses and hire independent web writers to proof-read and write advertising copy for their products and services. They also write blogs, articles, and e-newsletters to help web site owners keep in touch with regular customers and attract new ones.
Success Tips: Successful Web writers keep readers’ interest with concise writing, breaking up text with lists and bullet points. Having a background in marketing, knowing the terminology of industry for which you are writing, and grasping the basic grammar in the language you are writing, are essential.
Suggested Resources: http://www.copyblogger.com/copywriting-101/

2. Internet Business Start-Up Consultant
Surprisingly, fewer than half of all small businesses still do not have web sites; but with recent dramatic drops in sales, many of these owners now want to have web sites to reach new customers and increase their profits. Internet business professionals guide their clients through the entire process, providing them with the information, resources, and experts they need to start up and/or expand a web site business.
Success Tips: Additional potential customers include the increasing number of women and baby boomers who are starting businesses; plus a rising number of existing businesses with web sites who wish to expand into exporting to global markets. Market your expertise with referrals, articles in business publications and e-zines, leading seminars at local business expos, and through your own web site and blog.
Suggested Resources: Stompernet – Still the most respected experts in SEO/SEM but it will cost you a whole $1. Mashable – Daily updates on the world of social marketing

3. Barter Network
When money is scarce, people use bartering more often to exchange goods for services or vice versa. Start an exclusive online network, enabling your clients to make their bartering transactions between one another, or arrange periodic meetings at set locations where people purchase tickets for the opportunities to barter in person.
Success Tips: Local barter networks are often more successful as participants prefer to see tradable items and meet the people with whom they are bartering. Work to build trust in your network.
Suggested Resources: International Reciprocal Trade Association (www.irta.com) USA & Europe – Standards, information. National Association of Trade Exchanges (www.nate.org) USA only – Networking.

4. Specialty Farming
Due to an increase in food-related illnesses, higher prices, and the desire for organic foods, more people seek local specialty growers for fresh produce, milks, honey, and meats. Restaurant chefs also seek unique and fresh foods for their recipes and sauces.
Success Tips: Use farmer’s markets to test-market your produce and attract new customers. Set up a simple web site to send e-mail marketing messages to customers, advertising specials, and offering products via mail order. Join local growers’ or farmers’ associations for support.
Suggested Resources: www.sba.gov; USA only. http://www.defra.gov.uk/farm/organic/ – UK resource for organic farming

5. Cost-Analyst Professional
In economic downturns, companies large and small often hire cost-analyst financial experts who evaluate their businesses’s operations to cut expenses and operate more efficiently. Individuals seek similar professionals to assess their finances and set up budgets to eliminate their debts and increase savings.
Success Tips: Financial degrees and experience in cost-cutting in your field will qualify you as the expert to potential clients. Adhere to any regulations and licensing needed. Obtain referrals from accountants, bankers, credit counselors, and satisfied clients.
Suggested Resources: The Budget Kit: The Common Cents Money Management Workbook by Judy Lawrence. Modern Cost Management Analysis by Jae K. Shim Ph. D., Joel G. Siegel Ph. D. CPA.

6. Auctions, Online Broker/Assistant
People looking for quick cash or getting rid of unwanted items, but lack the time or the know-how sell their items at online marketplaces, will pay commissions to professionals to sell their items on the Internet. Most online brokers specialize in the items they sell.
Success Tips: Know the value of your clients’ items and the best sites to sell them. Use recommended software for tracking online listings, for bookkeeping and billing, and to record your consignor’s information and contracts. Depending on local traffic regulations, decide if you will pick up your clients’ items or have them brought to your home-business location.
Suggested Resources: www.auctionbytes.com – online-auction industry news. http://ebay.about.com/ – always a great resource.

7. Teaching-Tutoring, Online
Computer and communications technology and Internet access have opened the world of “cyber-school” for students of all ages. Having the qualifications, experience, and recognition in your field and/or profession will enable you to work as an independent educational professional for online institutions or businesses; offer independent classes; or open your own online learning center with workshops and live seminars.
Success Tips: Study current online educational centers and institutions, and apply to the ones that fit your philosophy and style of teaching. Local colleges and universities, homeschooling associations, and companies, organizations, and government agencies are also possible markets.

8. Career Counselling
Career counselors offer individuals or groups guidance in finding new vocations or training based on their skills and life goals. Likely clients include individuals who have lost their jobs or wish to go into new careers; and business owners who want to help employees retrain for new positions in their companies or in the job market.
Success Tips: Independent career counselors usually have counseling graduate degrees, plus, experience and knowledge of the job skills required for one or more industries or professions. Check for licensing requirements. Market your services through your web site, referrals, leading workshops, and/or writing articles, book, and e-books.
Suggested Resources: *National Career Development Association – http://ncda.org/ USA only. http://www.amazingpeople.co.uk/ UK only

9. Budget Travel Service
Even in economic slumps, people love to travel, so you can start an online budget travel service, offering to customise economy tours and trips for organizations, families, and business owners. Look for travel industry “niches” serving special populations such as individuals with disabilities or pet-owners; plus work with local bus companies and passenger trains; and state tourist agencies for other affordable touring options.
Success Tips: Get the schooling, certification, and experience needed to offer a quality travel service. Use Internet social and web-video sites to feature some of your popular travel destinations; send out periodic e-mails and special discounts to regular customers; and solicit online feedback and testimonials from your satisfied travelers. Conduct local question-answer travel workshops at trade shows and/or on your local cable television stations.
Suggested Resources: American Society of Travel Agents – www.asta.org/. Association of British Travel Agents – http://www.abta.com/home

10. Consultant, Professional (in Your Industry)
If you have recently lost your job or have been thinking of going out on your own, and have the experience, qualifications, and the recognition of being an expert in your field or industry, consider becoming a professional consultant. In bad economies, business owners and individuals who need consultants’ money-saving expertise are good potential first customers.
Success Tips: Successful consultants are skilled at problem-solving and communicate well with their clients. Write a strategic business and marketing plan. As it takes time to build a consultant practice, start part-time if you still have a job, or moonlight in other endeavors until your business’s profits can support you. Network with other consultants in business organizations and industry associations for tips and referrals.
Suggested Resources: *Million Dollar Consulting (TM) Toolkit: Step-By-Step Guidance, Checklists, Templates and Samples from “The Million Dollar Consultant” by Alan Weiss.

11. Grant Writer, Professional
Donations and grant money become difficult to acquire in economic slumps, so nonprofit organizations will seek the services of experienced grant writing professionals with proven track records in acquiring grant awards for their clients. Skilled grant writers know the different types of writing formats and when to use them.
Success Tips: In addition to having substantial experience, successful grant writers are good at communicating, research, planning, as well as writing in an organized, logical, and compelling manner that clearly conveys the goals of how clients’ grants will be used. Volunteer with nonprofit organizations to assist in grant proposals and enroll in related courses.

12. Information Broker
Information brokers are skilled in accessing information from specialized databases, the Internet, and other sources for their clients’ business, professional, and organizational needs. Their expertise is often focused in medical, education, manufacturing, telecommunications, and other industries. They also often set up libraries, write documents, and summarize market analysis data for clients.
Success Tips: Many information brokers have backgrounds in library science or research experience in their industries. In recessions, offer to provide customers with market research and competitor analysis data to discover sideline ventures and services to reach new customers and increase profits. Market your services with referrals, trade shows, a web site, direct letters, and personal appointments.
Suggested Resources: Association of Independent Information Professionals – www.aiip.org – networking; membership referrals.

13. Online Marketing Expert
Small business owners, independent professionals, and artists are often so busy producing their products or services that they do not have the time to maximize affordable Internet marketing strategies. You can instruct them how to utilize the latest tactics, or get paid to do it for them.
Success Tips: Clients will expect you to have extensive marketing education, training, and experience; the technological knowledge; and the ability to teach them to execute the latest in online marketing methods. These include as blogging, offering teleseminars, podcasts, webinars, and utilizing social web and video web sites to feature your clients and their businesses.
Suggested Resources: Stompernet – again, the best resource I know of for online marketing.

14. Professional Life Coach
People “burned out” in their present occupations or who have lost their jobs due to an economic downturn need job/career-selection guidance. Professional life coaches help clients assess their present situations, interests, and needs, and suggest career choices; along with specific actions and steps their clients can take to achieve their life goals.
Success Tips: Professional coaches have education and experience in human resources, psychology, business, and other human interest professions. Hold community seminars, write columns or articles in local papers or industry-related publications and online sites, and offer free initial consultations to attract new customers. Send e-mails, e-newsletters, and tips to stay in touch with paying clients.
Suggested Resources: *International Coaching Federation – www.coachfederation.org/ICF/ – training, certification. http://www.achievementspecialists.co.uk/Life_Coaching

15. Résumé Writing Service
Professional résumé writers provide clients with attention-grabbing cover letters and well-written résumés, in both print and electronic formats, that convince employers the value of hiring their clients. Interview coaching, posting clients’ résumés to specific online job sites that match clients’ skills, and pre-screening services to businesses are additional services you might offer.
Success Tips: Potential customers include those who have been laid off, recent graduates, workers re-entering the work force, those discharged from military service, and those seeking new careers. Market your services with community workshops, and join forces with related professionals like career counselors or employment agencies.

16. Small Manufacturing – Your Own Product/Invention
In times when money is scarce or materials are unavailable, ingenious people invent substitute items or devise new operational methods. If you have created a new product, software program, or new designs/methods that can save buyers time or money or appeal to industries not affected by recessions, consider making it yourself or approaching a manufacturer for mass productions, but under your own label. You would handle the distribution and marketing.
Success Tips: From idea to the actual product is a lengthy process, so consult with lawyers and other professionals’ for advice on obtaining patents, licensing, and financing. Network with other innovators for advice and marketing tips. Consider advertising on prime-time radio and television advertising whose rates are lower during recessions.

17. Collection Services
Unfortunately, slow economic times increase the need for collection services. Despite the bad reputation resulting from unethical practices of some debt collectors, the industry promotes professionalism and ethical practices as its professionals strive to help individuals and businesses collect money owed to them and stay solvent. Some collection businesses also offer their clients invoicing and billing, and other related services.
Success Tips: Extensive training, experience in this industry and knowledge of the laws, are essential for your success. Utilize the industry software and technology to track your operations. Be aware of legal consequences of any unfair practices on your part, and be ready to work with both parties to get payment agreements.
Suggested Resources: *ACA International – www.acainternational.org/. The Association of Credit and Collection Professionals – USA only. Credit Services Association – http://www.csa-uk.com/ – UK only

18.Virtual Thrift Shop
Collectibles are not the only items sold online. Many persons profit from selling gently-used, name-brand clothing, especially children’s, and other good used items on marketplace and classified ads web sites. You can start with a wide variety of items or specialize. You are limited only by the sources of the items you sell.
Success Tips: Research the items that sell best. Look for untapped markets. Take time to set up a web site that is easy for buyers to negotiate and purchase. Market your site by listing your link on other sites, or related blogs; or writing articles for on- and off-line publications about the items you sell
Suggested Resources: *How to Start and Run an eBay Consignment Business by Skip McGrath

Working From Home Parents – Be Warned!

Working from home for parents can sound like an impossible dream, getting up when you want, working when you want, having time to watch a couple of hours of Jeremy Kyle before you knuckle down, it must be heaven right? Well it can be, it can deliver the balance between home and work that you have always known was possible but have never managed to achieve. It could allow you to look after young ones, or older ones at home, while still earning a living. But there are some very important things to consider before you throw in that job and work from home.

The first is that your home is now your work place. You need somewhere that you can devote to your work, that you can keep your work in and that you can leave at the end of a working day without fear that young Johnny will have coloured in all the ‘o’s on that tax return you were preparing for an important client. If you are going to work on the phone the area you work from needs to be quiet, no one is going to be impressed if your efficient businesslike manner is drowned out by the baby having a tantrum! So make sure that you choose work that suits your lifestyle. If there is a lot of background noise then it’s probably best to steer clear of the adult chat line jobs. You’re unlikely to sound so alluring with an insistent voice shouting mummy! mummy! at your elbow. If you are undertaking telephone answering work for clients remember that to all intents and purposes you are supposed to be in the office of your client, so extraneous noise from children, washing machines, pets etc. is not giving the right impression.

The other thing is that you will now have to heat your home and light it during the day, which you may not have had to do before. The expense of this needs to be taken into consideration.

Getting into a routine is important. You really cannot afford to get sidetracked by Jeremy Kyle or anything else if you are working from home. This aspect of home working can be the most difficult for people to adjust to. But it is vital that you discipline yourself, especially if there are going to be other calls on your time at different times of the day. Work out a timetable that allows you to work at times when the children are at school or an elderly parent is out at a day club, and stick to it. It is all to easy to think that you can just flick the vacuum around while the house is quiet which leads to a bit of dusting or tinkering in the garden and before you know it you are up against a deadline with the house full of children and other demands on your time.

So before you take the plunge, think it through.

How much time do you have?
What work would suit you best?
Where will you work?
Will you have enough work to pay the bills?

We can help you with the last bit.

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