Monday, December 24, 2007

Give A Job

The unemployment rate is as low in this country as it has ever been and this is partly because us small business owners love to create jobs. We are the first to hire young people and train them, we are the first to hire folks who come off welfare and we find joy in watching our children develop into leaders who can help us grow our businesses.

Giving people an opportunity to learn and grow and earn a living is the driving force for many of us. This is because just making money gets boring while understanding how to help people be the best they can be provides a difficult and ever-changing challenge.

As you look to the new year, maybe you will hire a person who could turn out to be the one who takes your place. You can learn from Shiv Krishnan how to create jobs and then help employees learn and grow.

Sunday, December 23, 2007

Give Your Heart

We went to the Crystal Cathedral's Glory of Christmas a few days ago. It is a magnificent and stirring telling of the Christmas story. A little boy shepherd sang a song that I remember singing myself years ago. The lyrics tell us that as he watches the Wise Men bring their extravagant gifts to the baby Jesus he realizes that he is so poor there is nothing he can give to the baby that would measure up next to the gold, frankincense and myrrh. The song ends with the little boy deciding that he could only give what he had so he offered his heart.

Small business owners run their businesses with their heads and their hearts. When we can't give the highest wages in town we find ways to give our hearts to employees. At Gadabout SalonSpas, employees teared up when they told me what it means to them to work for Pam McNair. More than one employee said, "Pam changed my life."

Pam obviously gives her heart.

Saturday, December 22, 2007

Giving Really is Better Than Receiving

Frank Jao reminded me that what my Mom used to say is true, it just takes years for Mom's advice to sink in. When my Mom would tell us that giving is better than receiving I know that as a little kid I had no idea what she was talking about because I like to get presents.

When we taped Frank's story for our show I met a man who is very wealthy today. He is rich with property, cash, a beautiful wife who is his valued partner in business, darling daughters, happy customers, loyal employees and too many friends to count.

How did he become so rich? He would tell you that his goal was set in childhood. He grew up very poor in Saigon. Once a year an uncle who seemed rich to Frank would visit and would bring food and gifts to Frank's hungry family. Frank decided around the age of eight that he wanted to become like his uncle, the giver, rather than like his father who had to be on the receiving end.

So set a goal to be the giver and the work that you do towards that goal will enrich everyone around you, including yourself.

Friday, December 21, 2007

Turn Customers Into Givers

Cindy McIntee has always given time and cash to help build the business district of her hometown, Newport, Oregon. When Mo's Chowder, the restaurant she bought from her grandmother, turned 50 years old, she decided to thank the community in a big way.

Customers who came to eat on the restaurant's birthday were turned into givers. Fifty percent of the total on every ticket written in all six locations of Mo's was given to charity. Customers were given the opportunity to tell Mo's where to send the donation from their table. What a great idea.
Cindy promoted the event and the donations added up to $18,000. You can turn your customers into givers, teach your staff the art of giving and help worthy causes all at the same time. Learn more about Cindy and other generous business owners at Small Business School.

Monday, December 17, 2007

Give Now and Later

It's the season when all of us are rushing around looking for just the right gift for the people we love. Believe it or not, the small business owners we know spend a lot of their time all year round looking for the right gifts for the customers and causes they love.

Sure it's great to give Christmas and Hanukkah presents but having a philosophy of giving as part of the way you run your business is even better.

We learned from Wing Lam, who owns Wahoo's Fish Taco with his brothers, that giving food away has become an important part of Wahoo's marketing strategy. He told us that they never give a discount because that will tarnish the brand but they are happy to give food to local causes.

Sunday, December 16, 2007

Saying Merry Christmas Works

Veteran business reporter Neil Cavuto said on his television show yesterday that he has research that quantifies the use of the expression, "Merry Christmas" versus the catch-all greeting, "Happy Holidays." He said that stores who use "Merry Christmas" make more profits than ones who have been using, "Happy Holidays." Since I didn't stop to listen to the entire story I can't tell you the source of the research. However, I know that if you are a small business owner who celebrates Christmas yourself, you should feel comfortable saying, "Merry Christmas" to your customers.

I have Jewish friends who love Christmas and when I say, "Merry Christmas" to them they say it back to me! So don't be shy. We now have research that proves the best strategy is honesty and authenticity. Your customers will respect you and keep buying from you. No need to take the politically correct path because that path is made plastic that has cracked up under the pious pressure of a very small group of aging activists.

Merry Christmas everyone.

Saturday, December 15, 2007

Giving Pays

It's Christmas and I can tell you that without exception, strong business owners give even if their CPA tells them not to. You may know some greedy people but we try to avoid them. Over and over we meet men and women who do for others before they do for themselves.

This is a business strategy. This is a decision made by owners who are either naturally nice or by owners who know they need to be nice.

Catch some Christmas spirit from the owner of Zubi Advertising. She gives her employees a bonus even when her CPA tells her not to. Her decades of success in business prove her strategy works.

Friday, December 7, 2007

Job Growth Trending Up

What bad economy? I am sorry for people who got over their heads with a mortgage they can't afford but in general, the economy is cooking along. Unemployment is holding at 4.7% which is amazing and there are jobs being created in health care, professional and technical services and food service.

The founders of Biosite who recently sold, were some of the best job creators I know. Their company makes a device that gives health care professionals test results in 15 minutes. Learn how they started with an idea and grew the company to over 2,000 employees.

Monday, December 3, 2007

The U.N. is Corrupt so Ignore Bali

Most American newspapers have an article on the front page today about the United Nations kicking off a two-week conference set in Bali which will focus on global warming. Two weeks? Does that mean that the U.N. PR machine will be pumping out news releases for the next 14 days designed to make us hard-working-fossil-fuel-driven prosperous Americans feel guilty? Yes. The good part is that as a small business owner you can ignore this blab-fest.

Don't feel guilty, feel happy! Feel happy because we've just entered the Christmas season and as I have already written about in this blog, you can use the global warming hysteria as a business management tool.

For example, tell your customers you are working to save energy and invite them to sign up to pay your invoices electronically. Right now I am laughing out loud because all of the people who actually have been brainwashed to believe that this will make a difference in the temperature at the North Pole, will take your offer quicker than they would have a year ago.

And, just think. You have turned the global warming scare into a cash management solution for your business. For more on running your business by the numbers, watch and listen to my favorite number cruncher, Jim Schell.

Thursday, November 29, 2007

CNN Blows Its Cover

As a small business owner you could never get away with what CNN did last night. While all the promotion for last night's debate touted that Republican presidential candidates would be asked questions submitted by regular people, that is not what CNN delivered.

John Podhoretz wrote for Commentary today, "The scandalous aspect last night is that three Democratic operatives were allowed to pose as 'unaffiliated voters' asking questions specifically designed to embarrass the entire Republican party, not just the candidates on stage."

Here's why you can't act like CNN: your business is only as good as your word. The minute you don't keep your promise, your business will take a dive. Here's just one of the owners I love who's word is as good as gold.

Wednesday, November 28, 2007

Make Peace with Old Enemies

Yesterday President Bush said at the Annapolis Conference, “We meet to lay the foundation for the establishment of a new nation: a democratic Palestinian state that will live side by side with Israel in peace and security." This made me think about advice we got from the owners of Cafe Pilon. This company roasts coffee and sells it to retailers and restaurants.

The business started in Cuba and was called Rowland Roasters there. Castro stole the company away from the founder, Enrique Souto, so like most Cuban entrepreneurs, Mr. Souto tearfully left his fatherland to make a new life in the US.

Enrique's biggest "enemy" or competitor was a company called Cafe Pilon. Because he always treated his competitor like a friend, when the owner felt he needed to sell, Rowland Roasters was the first in line to buy the coveted brand. Learn more from the Souto family about what happens when you are at peace with your enemies.

Peace, friendship and warm relations will always lead to prosperity.

Tuesday, November 27, 2007

Be Happy That We are Great at Job Creation

I happen to be a news junkie because politics for me is like a sport which makes news my sports channel. Sadly so many journalists are sad so they seem to consistently write about the demise of America as we have known it in my lifetime.

David Brooks, the token conservative at the New York Times, writes encouraging words today. He points out that, "The U.S. standard of living first surpassed the rest of the world’s in about 1740, and despite dozens of cycles of declinist foreboding, the country has resolutely refused to decay." David does not provide his source when he said that we lose about 7 million jobs a quarter and create slightly more than 7 million in the same time frame. I will assume that he is correct and we all know that this job creation is what keeps us ahead. It keeps us growing and makes prosperity possible for anyone who has some basic education and who is willing to work hard.

At Small Business School our business is to study and champion the job creators and one of my favorites is Steve Hoffman at Modern Postcard.

Saturday, November 24, 2007

Be Thankful for Lots of Family

This Thanksgiving we were with close friends and some of their extended biological family. It was fun and comfortable because we have been through so many life events together. While no one person around the table thinks every other person is perfect, we accept that fact and enjoy counting our blessings for our fabulous country and all of the prosperity we see spread out before us.

Those of us who own a business think of our customers and employees as family. This is the secret to our success. While there are always family squabbles, when you are family you work it out and your bonds strengthen.

Take five minutes to meet the founders of Maine Gold and learn how to build a family of customers.

Monday, November 19, 2007

Greed has Hurt Subprime Borrowers

Bloomberg reports today that as many as 450,000 subprime borrowers may lose their homes over the next three months.

I say that the people who sold these people their mortgages were probably greedy and being greedy is never the right way to approach building a sustainable business. If your goal is to make as much money as fast as you can then you are probably not thinking of relationships you are probably only thinking of yourself.

Pamela Rodgers, owner of Rodgers Chevrolet, works hard to only sell people what they can afford. The head of her finance department told me that she is more a counselor than a sales person because she helps the customers evaluate, even in a worst case scenario, what they can manage to pay monthly to meet the loan obligation.

Selling is never about you -- it is always about your customer. You can learn plenty about ethics, respect, fairness and putting the other person first from our favorite car dealer.

Thursday, November 15, 2007

Owners Take the Lead in Going Global

In today's Denver Post you can read, "Japan America Society of Colorado recently recognized Bob and Joanna Sakata, owners of Sakata Farms in Brighton, with its inaugural Pioneer Award for their significant contributions to the development of good relations between Colorado and Japan." We are not surprised that Bob and Joanna Sakata are doing good things to build relations with Japan because the strong business owners in this country take the lead on everything.

As small business owners, we are the best at product development, the best employers, the best at giving our time and money to local causes and now with the world getting smaller and smaller, we have become the best at doing business and promoting business on a global scale.

To learn more about Bob, visit Small Business School.

Monday, November 12, 2007

A Salute to our Veterans

I grew up in San Diego surrounded by the Navy and the Marines. My parents taught me that this is a good and noble nation and the public schools back when I was a kid reinforced this. Bruce is from Boston and he grew up on the streets that were home to many of our founding fathers. Even with our high-on-America belief system we weren't prepared to cry when we met Don Dzekciorius at the Statue of Liberty.

Don is a first generation American who told us about how his mother kept him and his brothers safe by following in the path of American soldiers as they liberated Europe from Hitler's grim grip. Don's family traveled at night and for nearly three years they lived in constant fear. Their goal was to get to America and they finally did.

Americans died so that Don could live and he tries to say thank you everyday. As an immigrant to this country, he believes in and epitomizes the American dream in this great land of opportunity. This one free and happy man has created hundreds of jobs and generated millions in sales over the 25 years he's been in business in Albany, New York.

We offer up a salute to our veterans today and to the troops who are saving and protecting the good people of the world.

Sunday, November 11, 2007

You Can Grow With a Tasty Idea

Yesterday we were traveling from Orlando to Palm Springs and had to change planes in Dallas. I love that airport because I know Anne Beiler and I can buy her tasty pretzels at one of two Auntie Anne's locations. I like the original but I can't resist the cinnamon and sugar.

Is your product so tasty that customers crave it? Is your service so satisfying that customers would never consider buying from your competitor?

Customers who can't live without your product will grow your business. You can learn how Anne made her pretzels tasty and irresistible at Small Business School.

Saturday, November 10, 2007

Join Your Local Chamber

We are in Melbourne, Florida today because I spoke at its business summit yesterday and we attended a wonderful gala last night. The chamber of commerce here is very powerful in the community because hundreds of businesses make it so. The party last night was packed with hard-working people who were laughing and having a great time. They obviously enjoy each other and some of them were being recognized for their contributions to this great place to live and work. As I write this, I can hear the Atlantic ocean crashing on the beach and see the bright blue sky and water.

Cape Canaveral, now called Kennedy Space Center, is just up the road from our hotel. As we leave to go back to California, we will visit this site that has been famous to me since it was the scene of a satellite launch in 1962. Now you can guess how old I must be!

If you are not a member of your chamber of commerce, you should be. It is the perfect place to find mentors, customers and friends who all want to make your community better. It is also the perfect place to volunteer. You might think you don't have time to be involved but I bet if you give it a try, you'll find that the time you spend will come back in both intangible and tangible rewards to you personally and to your business.

Albert Black joined the Dallas Chamber of Commerce at the same time he opened for business in 1982. Today his business is generating $75 million in annual sales and he gives much credit to his participation in his chamber. At Small Business School you can learn more about how Albert's volunteer efforts caused doors to fly open for him.

Most every link from this blog goes to the related, streaming-video clip from the television show.

Thursday, November 8, 2007

The Chinese Brand is Suffering

Products made in China, from pool ladders to air pumps to toys, are being recalled. These blunders will set it back on the road from poverty to prosperity.

The world really doesn't understand that the US economy is built on transparency and honesty. Even some Americans don't realize that wealth is created when a customer is served, not poisoned, killed or maimed after their money is extracted from them.

It is possible that some of the Chinese mistakes were truly mistakes but some of the problems are caused by cutting corners to bulk up the bottom line. This never works over the long haul and the time-tested small businesses that we study prove this point over and over again.

The Chinese would be smart to study the writings of theologian and writer, Michael Novak, as he explains how this country has become the super economic power that it is.

You can learn from Mr. Novak at Small Business School (link goes to his key idea - streaming video).

Tuesday, November 6, 2007

Legal is Better than Illegal

Today's Washington Times reports that a brand new poll it conducted with Fox 5 and Rasmussen revealed that, "77 percent of the adults surveyed opposed making driver's licenses available to illegal aliens."

Small business owners are being beat up by the mainstream media because it assumes that we are guilty, guilty, guilty of hiring illegals to earn obscene profits. I am sure that this happens but it is not standard operating procedure for those of us who are striving to deliver quality over the long haul.

The owners who play by the rules always win in the end. Laurie Snyder partners with specific sewing shops in Los Angeles because she can trust that everyone is working in the US legally. Learn more about Laurie at Small Business School.

Monday, November 5, 2007

Union Turns Writers Into Wimps

What a bunch of crybabies. I heard one Hollywood writer on the radio this morning and he made me laugh. He was whining like a four-year old who thinks she has a right to dessert every night. Any person who turns their life over to the Writers Guild of America, or any union, ought to know that their life is no more their own. They exchange their freedom for a paycheck. These are the wimps of the country and sadly the wimps are gaining on those of us who create the real prosperity.

These pitiful wimps don't understand how money works. This particular set of wimps ought to look at how our governor got rich. Early on in his acting career Schwarzenegger stopped thinking of himself as an actor and started thinking of himself as a partner in movie deals. His job on the deal was partly to act but the partnership meant he got no paycheck for the work; he only shared in the profits when and if they materialized.

Pay-for-performance, not pay-for-hanging around, is the way most small business owners run their business and certainly it is the only way we pay ourselves. If our idea works we get rich. If our idea fails, we go back and work on the idea and try again. If you're tired of being a wimp, you can change. Take inspiration from the owners of Renegade Animation. They used to get a paycheck but now they write them.

Being Green Goes Deeper than Cause Marketing

I grew up in San Diego, which we all know is a desert, and my parents had moved there from Louisiana which is a very watery place. My father was the original environmentalist as he was always knocking on the bathroom door telling us to save water for our children. I think he was panicked that there wouldn't be enough water in San Diego to last his own lifetime.

We small business owners should tap into the trend to use green efforts as a marketing ploy but those of us who have succeeded over the years at business are like my dad. We know that being conservative with every resource is at the core of earning profits.

I don't like being told by out-of-work old and young hippies and people who get a paycheck from my tax dollars (that includes every public school teacher from first grade through graduate school who are busy trying to convert our children to the empty religion of environmentalism) that there should be some law to tell me how to conserve resources in the process of running my business. Our customers and our common sense will guide us as we work to make our world a better place when we leave it than when we arrived.

One of my favorite green business owners is Lupe Fraga. He has an office supply company in Houston and years ago he stopped delivering in cardboard boxes and switched to sturdy bins he can use over and over again. You can learn more about him at Small Business School.

Sunday, November 4, 2007

The Hillary Brand is Not Selling

My first sales teacher was Emory Rose. I was 29 years old and he was at least 70. He taught me that people will buy from you only when they like you, trust you, believe you and understand you.

Maureen Dowd wrote today that the while Hillary's staff called her tough after this week's debate, "she can break, just like a little girl, when male chauvinists are rude enough to catch her red-handed being slippery and opportunistic." What is she then, tough like a man or soft like a woman? I wouldn't buy a hot dog from someone called slippery and opportunistic. Hillary breaks all of the Emory Rose rules of selling. On top of that, her brand is tired, worn, tattered and torn.

Look back at the advice of Emory Rose in reverse order. He said that people will buy from you only if they like, trust, believe and understand you. If you are a small business or a new business or if you are selling a brand new product, start by making sure people understand you by crafting your message clearly. If people can understand you then they might try your product so they now believe you and they get real results so now they trust you and over time they come to like you.

One of the best brands in America is Cindy McIntee's little chain of restaurants called Mo's Chowder. You can see for yourself why people like her, trust her, believe her and understand her. Here she is at Small Business School.

Saturday, November 3, 2007

Choose the Right Name

We just spent a couple of days with one of our favorite business owners, Cindy White. In 2002 she bought a company called, Estelle. It makes handcrafted woven ribbon jackets. The founder's name was Estelle and Cindy didn't think the name was a problem until she started talking to her customers who quickly told her that the name was old-fashioned and certainly out of sync with the direction Cindy has taken the jacket design.

With brainstorming she came up with her new name that is being applauded by everyone around her including a group of business owners who serve as her board of advisers. To attach herself to fashion and some of her suppliers who are French and Italian, she chose the name, Cici Bianca. Cici is term of endearment for her first name and Bianca is one of the ways the Italians spell the word white. Cici Bianca, now that's hot and sassy.

Choosing a name for your business is important.

You can read how others do it at Small Business School.

Friday, November 2, 2007

Charlie Rangel's Tax Plan Is Bad For Us

This week House Ways and Means Committee Chairman Charles Rangel, D-N.Y., made it clear that he wants to raise our taxes and not in a small way. We small business owners in general have ideas that are bigger than our pocketbook. We are trying to improve our quality, hire another person or invest in new product development which means we struggle with cash flow. It's not that we are poor money managers, its just that we don't like to stand still and rake in cash, we tend to learn forward to raise the bar which consumes cash.

Every penny that we have to give to the government moves us away from our dreams not toward them.

As a way to stay close to public policy, Bruce and I are members of the US Chamber of Commerce Small Business Advisory Council. You can meet some of our fellow council members at Small Business School.

Fires and Floods Were Too Close for Comfort

San Diego is my hometown and we were living downtown when the 2003 wildfires rushed through thousands of acres destroying everything in their paths. This year we are over the mountain in Palm Desert for the Winter and we received calls and emails from friends who were either preparing to evacuate or had already done so.

My sister has been living in New Orleans since she married a native New Orleanian in 1968. Their family business sustained damage while dozens of their friends and customers lost everything in the floods that followed Katrina's attack.

While economists calculate the losses that piled up, I suspect they did not have a clue how to measure the price small business owners had to pay due to lost data. I believe that data is more important than cash to a business owner. So, think hard about protecting your priceless data in the event fires and floods come your way.

You can learn how some owners do this at Small Business School.

Wednesday, October 31, 2007

Learn from other people's experience.

It has been said that success builds confidence and failure teaches. This means that the best way to learn is to fail. That is the attitude I find when talking with business owners. They are not afraid to fail because they know if they examine their failure they will gain insight. So the question I have today is, can we really learn from another person's failure?

See for yourself at Small Business School