Tag: Managing
Don’t Go It Alone. Ask SCORE for Advice.
With the holiday rush upon us, the new year a few weeks away and tax season immediately following, there’s a lot for a small business owner to do.
This time of year can cause stress and burnout for many entrepreneurs, but it doesn’t have to. The business mentors at SCORE are here to help you not only survive, but thrive.
SCORE Association, SCORE
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November 16, 2009
4 Ways of Keeping Cash in the Business
If cash is king, then your business needs more flowing in than out of the business. Keeping cash after the sale & expenses is all about that mighty goal of profits. Check out this page with resources on cash & credit: access to cash.
Accelerate your access to cash:
1. Sell more and collect payment at the sale.
In a tight economy you can sell more by adding a service contract. You can sell more by bundling products into a package with a slight discount. The client gets a discount, you get a bigger sale & still keep solid profits.
2. Collect more up front, collect progress payments & get receivables.
Every SCORE mentor will say collect the funds you are owed & do it quickly. Whenever possible, collect a deposit up front. In contract arrangements, set up the project for progress payments as key milestones. For everyone, put a collections policy in place and follow it to collect what you are owed. Ask SCORE how to set up a collections policy.
3. Save more by cutting expenses and holding on to your cash.
Look at cutting expenses by 10 percent. It is amazing what you can find to trim in costs, when you really look. Spend what you need to market and operate the company–but don’t stock unnecesary items, print large quantities of branding materials or commit to long-term contracts. Keep your cash in your business as fuel thru the recession.
4. Borrow funds for bridge capital until customer payment is received.
A line of credit is good way to fund bridge capital. If you have a good credit score and track record in business–your chances for a line of credit go up dramatically. Even in tighter credit markets, a solid business can get a line of credit. If your credit score is not as strong, explore an SBA-guaranteed loan. Community banks and the bank you do business with day-to-day are good places to start. SBA loans may be an option.
Christine Banning, SCORE
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February 11, 2009
Professional Service Firms
1. Keep Sales Relationships in Place. Keep in touch with clients. Find out about their needs for the year. Even if they are scaling back, your ability to stagger projects, package a project into modules and target payments to aid their budget cycles is crucial. Keep the clients you have even if the pace of sales slows, so when things turn upward–you are still a preferred vendor.
2. Cut costs now. Don’t let any costs creep up on you. Now is the time to tighten your budget at least 10 percent. Where to start? For example, you may have Internet service from a cable company. By stepping your service down one-level in speed, you may be able to reduce costs $20 per month.
Retailers
1. Move January Inventory Quickly. Post-holiday season is here. Bargain shoppers, and gift certificate reedemers may not linger–so go ahead and cut prices to move inventory. A stale sales floor won’t move your merchandise. Work diligently to keep your windows updated and rotate merchandise to help foot traffic shoppers see fresh merchandise.
2. Slow Inventory Orders & Add Selection. Retail therapy will revive. In the meantime, look at placing smaller volume orders & adding more diverse selections. Your suppliers may work well with you on this, so that they keep your business. Shoppers impulse buys may be triggered by fresh merhandise & changing displays.
Manage with Insights from a Mentor
Why does SCORE mentor at no charge? We have a network of business experts who volunteer their time as mentors. Free & confidential. Ask SCORE for advice.
- Cut expenses
- Project sales
- Evaluate cashflow
- Explore financing
-Christine Banning, SCORE
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January 7, 2009
Now’s the Time for Year-End Tax Planning
Thanks to the Wall Street Journal’s online site wsj.com, Entrepreneur.com and Kiplinger.com for bringing such current and valuable tax information to the Web. Find six favorite resources below:
1.Tax Center: New to Small Business
Get a start here. Learn about taxes.
2. WSJ How To Brace for Higher Taxes
Looking to the future. Get a sense of where taxes may be in 2009.
3. Smart Year-End Tax Moves
Own a business? This link will help you make those December tax decisions and act now.
4. Tax Filing for Freelancers
Are you a freelancer? If so, plan ahead for taxes and prepare to pay what you owe on Schedule C.
5. Most Overlooked Tax Deductions
Tax deductions you don’t want to miss. Tax deductions for 2008.
6. Deducting Charitable Gifts
Charitable giving is a wonderful way to support the community and causes you believe in. Plus, there is a tax deduction benefit. By the way, SCORE is a charitable organization. If you would like you can donate to SCORE. Learn about documenting a charitable donation deduction.
-Christine Banning, SCORE
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December 1, 2008
Arrive at Solutions Through Mentoring
It’s amazing how generous people can be–just ask. A colleague shared a quote that people may not give you money, but they will give you advice. And, then you can create your own wealth.
1. Test Your Idea. Entrepreneurs create wealth with new business ideas, a new efficiency, a niche product/service and sometimes with a radically new business model. If you have a great idea, talk to a mentor to look at its potential. Get feedback that help you fine tune your concept. Try the eMyth Entrepreneur’s Assessment Tool.
2. New to Consulting? When the economy dips, many professionals consider consulting as an option. Evaluate the idea carefully. Does it suit your workstyle? Are you ready to really market yourself to get clients? What is your strategy–short-term until you get another position or long-term, this is your new path. A mentor can help you set your course and plan next steps. Ask SCORE online.
3. Already in Business? Look at your sales forecast for 2009. Now is the time to plan ahead and really look at sales goals. Projections create problems, if they are too conservative or too optimistic. A mentor can help you look at scenarios and plan realistic sales targets. Download the sales forecast template and Find SCORE near you.
Get a second point of view to test your assumptions. This is the kind of feedback that offers solutions.
-Christine Banning, SCORE
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November 26, 2008
Doing it all–juggling your business, the holidays and a long to do list. Let the resources below help you catch your breath and sort it all out.
We’ve done the work for you and lined up some great resources for battling back stress to get back in the groove & move your business forward.
1. 7 Recession Stress Busters for Your Biz
Check out this crisp and focused clickable set of tips on the actions to take to get it together. Sneak Peak: Prioritize, Delegate and Get Healthy. Visit slideshow.
2. Be Positive says The Mayo Clinic for Your Life
We all have a running conversation going on in our minds. How we think affects how we act. Create a positive reinforcement that helps you take positive action. Read article to learn about the value of positive thinking.
3. Get a Healthy Workforce for Your Employees
Looks like a good tool to keep you and your team healthy. This free PDF is from Entrepreneur.com and provided by one of their sponsors. You do have to fill out a form to get access to the freebie. Download free PDF.
Share what works for you. Add a comment with links you like.
Christine Banning, SCORE
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November 19, 2008
It’s time for a hard look at your sales, expenses and net profit so far in 2008. With Less than 60 days until the end of the year–really think about what next year could bring.
Okay, everyone has maybe had enough of the general gloom and doom in the news. If you’ve tuned it out, then tune in to some of your own research. Is your industry growing or shrinking? What does that mean to your sales projects.
Act Now to Manage for Success in 2009
1. Call SCORE to find an office near you for a Small Business Check-up. Schedule a personal mentoring session. Get a free and confidential review of your business in 2008. Call 1-800/634-0245 or Find SCORE Online.
2. Do Some Research. Use Google search to find out general industry trends. If you’re in retail, how much is retail down right now? What sectors are doing better or worse. This is the news you need–specific to your industry with an impact on your business. If you see an industry holding steady, growing or contracting, your plans for 2009 should take that into account.
3. Tune up your business plan. Really take a hard look at sales projections and expenses. You can break the plan into quarters, this way you may plan revenue and expense based on slower sales earlier in the year and a pick-up in volume a little later in the year. It’s too late after the fact. Now, you have the chance to set budgets based on expectations–and that is the management tool that helps you in 2009.
-Christine Banning, SCORE
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November 12, 2008
It’s the end of August. Have you taken a vacation yet this year? If not, plan one now & reset your energy and enthusiasm for your business. I’ve scoured the Web and here are some fun links that can help you get started on a little life balance.
Cure Vacation Anxiety thanks to Start-up Nation.
Try a Girlfriends Getaway, trending up says the Miami Herald.
From SCORE, Renew Yourself as a Leader, take a break.
Still having difficulty with the idea of a vacation. Plan one 12 weeks ahead, now you are at Thanksgiving. Take a few days or a week off and recharge. If you feel you just can’t get away from the business, have a two-day planning retreat and two days off. Mix business with the reward of a great, long weekend.
Share how you make time for a vacation. Post a comment.
-Christine Banning
August 27, 2008
I get many questions about what are three basic practices to handle cash flow. Here are three articles that focus on the core of: keeping your cash, conserving cash and collecting cash.
Conserve Cash
Good Cash Flow Practices
Collect What You Are Owed
Plus, a bonus link on Grants for Small Business.
-Christine Banning
July 30, 2008
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