January 14, 2010

Why I Changed Fitness Clubs Over a Simple Greeting... Utilize
Your Assets to the Fullest... Skip the Most Difficult Parts of
Starting a Business... Balancing Your Day for Increased
Success... and More.

This year, I decided to join a new fitness club. It's actually the same fitness club my wife belongs to, but that wasn't the reason I switched. And this has nothing to do with the fitness equipment, the hours, the location or even the monthly fees.

Both gyms are independently owned, both have a wide array of equipment and impressive locker rooms. Both have similar and very reasonable fees and they both are open at 5:00 AM (when I like to work out).

So why did I switch? Here's the story:

Around Halloween, after watching our daughter's ballet recital, my wife told me that her gym across the street was having a kids' Halloween party and that she wanted to stop in.

What a blast. They had face-painting for the kids, free pumpkins, gift bags, even a free family portrait with a Halloween motif from a professional photographer.

The owners were there (three really enthusiastic guys) and they came up to me and introduced themselves. They offered me a tour of the gym and a guest pass to use the next time I wanted to give it a try.

When I went in for the try-out a few weeks later, one of the owners came up to me and referred to me by name. He asked me how I liked the gym, we talked in his office, and he gave me a quote on a year membership. He was even willing to negotiate the price and the perks as per my asking.

I told him that I would let him know in 24 hours.

So, I went to my gym the next day. This is the gym I've been going to for almost four years. I went up the owner, whom I've seen virtually every time I've been there, which is an average of three times a week. I told him I wanted to talk about my negotiating a better rate for my membership.

First thing he asks me for is my name. I've been going to this gym since 2006 and he wants to know my name? I give it to him and he says he can't change my rate.

So I tell him I want to cancel. He says fine, drafts up the papers and I'm on my merry way.

The point here is that I had been giving him customer loyalty for years. I even referred another member a couple of years ago. And he doesn't even know my name. Remember, this is an independently owned business, not some faceless corporation.

After so many years of loyalty, I would've expected more. Heck, even a token gesture like, "I'm sorry, Adrian, I can't lower your rate, but I'd be happy to give you a couple of training sessions for free," would've kept my membership.

To finish off my long-winded rant: I signed on with my wife's gym, and received two free training sessions, while she got a couple of gifts for referring me. And, every time I walk in, someone greets me by name.

It's a small thing, but giving that personal touch could mean the difference between getting a customer and losing a customer for your business.

If you have not had any sort of financial training or financial advice from a trained professional, then there is a good chance that you are throwing away thousands of dollars. Chances are these thousands of lost dollars are going to such things as overpayment of taxes, overpayment of insurance, overpayment on items such as a car -- and this does not even include the general cash flow mistake that many North Americans are making without even knowing it.

One of the biggest mistakes that we can make in life is not utilizing or valuing our personal assets to the fullest. Now, what does that mean?

It means that you have to fully understand and know your true value.

You see, you must know your true worth in order to carry on. It is the basis for what I am about to explain to you now.

Here is a little synopsis on how to ensure that you are getting what you truly deserve.

You need to affix a cost to your service that appropriately reflects the quality, degree of specialization, and value of your performance. You can use a combination of creativity and imagination once you fall within the general range of what others in your industry are charging.

When we analyze the benefits of high versus low pricing strategies in a service-related business, very often the higher prices have a more positive effect on sales. Buyers, particularly of specialized services, may be reluctant to display any sensitivity to your price, because they perceive the benefits of a professional/layperson relationship. This means you have a lot of leeway as long as you can portray yourself as a specialist in what you do.

You can attract all the customers you want, but they might not feel comfortable with the recommendations you give them if they think you are discounting your services.

Your advice to clients is worth just as much as they have to pay to get it. It is a difficult lesson to learn after you launch your business, so get used to the concept now and begin applying it to your pricing strategies -- and your self-worth.

Many feel that the best way to achieve success in business is to purchase an existing, successful business. This way, you already have a customer base, have the luxury of avoiding some initial start-up costs and, if it's a franchise, adopt a proven business plan. In fact, if you don't have much experience starting up your own business, purchasing an existing one may be the best way to get your feet wet. In an economy like this, also, it might be best to enter the market with a trusted brand.

Of course, deciding what business to buy and how to go about it can be a very difficult and stressful decision. In order to help you with this process and considerations that have to be made, I've put a list together of important factors.

Determining the right location: This is important because, depending on the nature of the business, you'll want to be easily visible and accessible to attract customers. It's also important to tour around the area and check for possible competition. After all, you don't necessarily want to be buying an electronics store when a brand new Best Buy just opened around the corner. If that's the case, it's important to ask yourself why the current owner has decided to sell.

Determine the business' worth: The worth of the business plays a big part in the price you will pay, so it should be a big part of your decision. Remember, you are buying more than just the real estate. You're also buying the contents and its potential. Therefore, a business that has been highly profitable will be able to demand a higher price than one that hasn't shared the same success.

Negotiate to get the best price: First and foremost, you must determine if the asking price is fair. Know what similar businesses sell for, and especially about any in the direct area may have sold for. This kind of knowledge will prepare you greatly for negotiations, and will make the seller think twice about ripping you off, because they know you've done your homework.

Determine if the business is well-established: A good indicator of your future sales will be how long the business has been established in the community, and if stands to remain that way once you take over. If it has been, you can think of ways to better serve your customers to get sales up, or, if it has regulars, think of ways to better service their needs. Before you make your decision, hit the streets or spend some time in the business to help you make this assessment.

There are a number of successful businesses that may be available for you to purchase if you were so inclined. Look carefully at the various factors discussed above to help you with the decision.

** Balancing Your Day for Increased Success
By John Hurd, Chief Wealth Researcher

There was a time when I would look at the face of a clock and see just the numbers. Twelve hours times two and I knew that a day held just 24 hours.

Recently, I've learned that 24 hours represents more than just a collection of units of time. Twenty-four hours represents the potential held in each and every day. Twenty-four hours represents the possibility of turning any part of that day into your next big success. You see; when I look over at the hands on my clock, I don't see an exact time; I see a countdown to the completion of a task and the beginning of another.

Looking at how you divide and use your time each day can be an overwhelming task at first. You may feel that you waste too much of your time, or that you are presented with not nearly enough time to get what you want completed.

Yet, there is no way to make more time available, so learning to work within these constraints is something we all must do. What works for you may not be what works for everyone else, but here are some guidelines to help you establish a way of maximizing your own use of time without feeling overburdened.

First, before tackling any task, it is good to set a time limit. If you're prone to procrastination, this is a great way to manage how much time you could possibly waste.

For example, I measure time in single 15-minute units of time. So any project that would take an hour to complete is assigned four units. You'll quickly learn from experience how long tasks take to complete. And, if you begin to take longer than the allotted amount of time, you must evaluate your units of time to find out if you are wasting that extra time, or if you've simply changed how you tackle and complete these tasks.

Now, this may sound like a lot of extra work, figuring out time units and then tracking them to make sure you're on schedule. And, at first, you will most likely forget to track or underestimate how long a task takes to complete.

However, with practice, you'll begin to see every task as units of time and this can help you balance your day and improve your overall use of time. You can set up a chart to track your time or simply keep this idea in your mind to help motivate you to complete tasks sooner and with less wasted time or effort.

Remember that time management is a great way to help you eliminate unnecessary actions, but no rule is set in stone. If you spend too much time worrying about sticking to your time constraints, you'll end up doing more harm than good. And, the goal of this exercise is to help you achieve what you want sooner rather than later and not to add stress to your life.