January 28, 2010

Research Is the Key to Any Kind of Success... Is There a
Shortcut to Success?... The Secret to Moving Beyond Your
Troubles... Bring in Outside Help to Boost Your Info
Marketing Biz... and More.

Yesterday, I talked about how giving an "I don't know" kind of answer to a question you should have an answer to could be the death knell for your business.

Today, I want to show you how to prepare for these questions and not only have the answers readily available, but be able to answer questions before they even come up.

Research is the key to any success. The more you know, the more of an expert you. And if you are trying to get money from an investor for your business, you better know these three most important things.

1) Know Your Business. It's great to have a story and an idea. It's even better if you have a tangible product or service. However, some business owners don't know all the facts about their own business. Make sure you have all your numbers (sales, projections, expenses, manufacturing costs, etc.) memorized or, at the very least, easily accessible. If your business is based on selling a product, know what raw materials are that go into that product. And, yes, this includes finding out even the most basic ingredients from your own suppliers. You will get asked these questions and the quicker you can fire off the correct and honest answer, the better.

2) Know Your Industry. Never, I repeat, never say "Everybody!" when asked who your target market is. I've written about this before and it bears repeating. Having a specific target makes your business more attractive to investors, because you now have a focused audience. So, do your research on the industry. If there isn't a big market for your product (and when I say "big," I mean big enough for you to maintain a business over the long haul), then stop what you're doing and start over. Your business is only as good as your customer base and, while there's nothing wrong with diversifying and growing your audience, at this stage of the game, identify your customers and cater to them.

Also, know your competition. If there are lots of other businesses doing what you do, for the same demographic, in the same location, then you have to find a way to stand out from the crowd. Research your competitors as much as you can. You can learn a lot to either copy their success or avoid their failures.

3) Know Your Investor. Wouldn't it be a waste of your time, money and effort to walk into an investor's office, make a presentation, and then find out that he has an aversion to the kind of business you're doing? It could happen if you don't research your investor. There are many reasons why an investor may choose not to invest with you. It might be as simple as he doesn't like you, your idea, your numbers or your business in general. He might determine that there's no money to be made in your business (remember, it's not a charity. They're looking to benefit from their investment). Or it could be even more complicated. He might not want to invest with you because he's already invested in your competitors. He might not want to invest because he doesn't agree with the industry (I knew a marketer who refused to work with anyone marketing tobacco, alcohol or anything that marketed to children). He also might've invested in a company like yours in the past and had gotten burned, which is surely not going to help your pitch. So research your investor to the maximum you can to make sure he/she is the right fit.

Once you take the time to research and prepare, you'll be meeting the right people, giving the right information and providing a solid blueprint for any investor who is interested in your business. You'll also be saving yourself a lot of time, effort and money at the same time.

Recently, I've met with several very successful people. Most of these meetings were completely by accident at events over the holidays. Personally, I think chance encounters are a great way to go into meeting someone new. You have no preconceived ideas about who this person is, and you let them reveal themselves in their own way.

While each of these successful businessmen and businesswomen each have truly unique stories, all of them did have one thing in common. You see none of these people had just one big idea. Each built their successes from a small idea and then built upon that success.

I met a franchise owner who got started with a small restaurant. He learned the ins and outs of running the kitchen, managing the staff and dealing with property and then got into franchises. On top of that, he's a local community leader and continues to look for new ventures around every corner.

I met a small business owner who began as a yoga instructor, working for someone else in a rented space. This entrepreneur is in the midst of launching three unique products and branching out of a small yoga studio to provide teaching and instruction in people's homes.

Sure, there are plenty of stories of people striking rich with just one big idea. I call these "one hit wonders" and, while they can propel you to a richer life, they are far from the everyday norm. And, striving to be a one hit wonder is more than likely to leave you exhausted and broke than it is to make you successful.

Is there a path you can follow that any of the entrepreneurs I mentioned earlier has already taken? Sure, one of the tidbits of advice that I picked up was that you don't have to be the best at one thing. You should learn how to be great at a few things, good at even more things and competent at a lot of things. The restaurant owner I mentioned before said he's not a great waiter and has a hard time in his own kitchen. But, he's great at dealing with staff and customer conflicts; he made many smart financial decisions and, in the end, learned that he shouldn't micromanage every detail. Could this be your recipe for success? It's possible.

For many, 2010 is a year to rebuilt lost investments, lost businesses and lost careers. What the past has shown us is that there is no shortcut to success. The path you follow may be bumpy and you may have to start over, but each step you take is always a step forward.

Most people are no stranger to money troubles, especially in economic times such as these. As we discussed last time, however, things may not be quite as bad as they seem when your focus is turned in the right direction.

Staying focused on the right things may be difficult at first, but it can be accomplished by doing a couple of simple tasks. The first is to start paying attention to the financial matters over which you possess complete control. These are mainly the ways you spend your money.

However, instead of just thinking about them, write them down. This way, you can follow the next few steps I'm going to outline much easier.

Once you've got your list together showing where your money goes, look at it and ask yourself the questions, "Do I really need to spend this much on these items?" and "Is there a way I can spend less on these items (what are my alternatives)?" After inspection, you may come to find that you have considerably more money than you thought, or, draw the blueprint for any changes you may have to make to live the lifestyle suited to your income.

The next step is to take your findings and create a budget. A budget can be created by estimating your monthly expenses on goods and services, writing them down and sticking to it. If you find your estimations were off, you can adjust your budget accordingly. Your budget will help to ensure that you don't overspend, and can maintain the lifestyle to which you've grown accustomed.

If you're still stressed out about money issues after taking these steps, then take a few minutes and write down all your money fears. When you're finished, look at them and take some time to figure out the possible solutions to the problems you've highlighted. Now this may take a bit of time, but it will be all worth it in the end because, if your fears come true, you'll have an idea of how to handle the situation.

Financial situations only control your life as much as you let them. It's important to realize that you do have control over your finances, and that the greater economic problems of the nation are secondary to your personal economy.

** Bring in Outside Help to Boost Your Info Marketing Biz
By James Burt, Online Marketing Expert

As an info marketer, I still think one of the best part of this whole thing is that you're your own boss. You do the content writing, you do the business with the clients, and you get the green coming right to your pocket.

Not a bad life at all, right?

But, as any businessperson will tell you, this is a lot of work and consumes a lot of time. In between creating original content and doing all of the contracts for your clients and the other umpteen jobs that might spring up in between, you can get bogged down and just plain fatigued from trying to maintain the successful pace you have been keeping up until that time. Worse yet, your work can suffer as a result and, consequently, your business can take a bit of a nosedive.

Then it hits you: what if you got someone to help? Business is good, so you can afford to do so. You can pass off some of the work and spend more time with the spouse and kids. And you never know...maybe this new partner can make your business explode. You can get even more success than before and new associations as a great combo.

But then there are the inevitable thoughts of doom. Maybe this new partner is a greedy, carpet-bagging sleaze that might not deliver the goods and might even steal something from you. You are going crazy trying to keep up with the demands of your business, but you'd rather go nutty than risk someone else ruining everything. Forget it, you think. It'll never work.

Well, it doesn't have to be that way.

Partnerships don't have to be bad, even in info marketing. Sure there are plenty of horror stories out there, but there are just as many -- if not more -- successful cases, too. A good professional and working trade-off in information marketing is a healthy business agreement where the work is divided. You get other people to contribute to your business or you to theirs, and everyone is rewarded financially in the end.

Some of my colleagues have started in partnerships over the past few years. I took a list of tips down based on their experiences and here are the most practical ones I can share:

--- Research your partner: If you get an offer for a partnership, take a minute and pat yourself on the back. The fact that someone has sought you out based on the work you have done is pretty flattering. But don't stand around congratulating yourself too long. You have to get to work and so does your prospective associate. But, before commencing anything, do a background check. You don't have to be a hiring official for the government, but check around the business community to see what your prospective partner's reputation is like. More often than not, they'll be pretty good, but it does not hurt to check. An uncle in real estate didn't do this and suffered after he found out his business partner lied about everything and skipped town.

--- See what they have to offer and vice versa: Whether you are flagged for a partnership or go looking for one, see what can be exchanged. Do you want to be the content creator or do you want someone else to do it while you handle the books? What sort of things could a partner bring to you? You want someone who has the same goals and interests as you, especially in your field of info, but also someone who can bring original material to your business relationship as well.

--- Think about what contractual options exist: Partnerships often appear to be like actors' contracts to Hollywood studios in the 1930s and 1940s -- long and with little choice on the part of the signed party as to what they want to do. Again, it doesn't have to be this way. Think about what stipulations you want to have and what ones your partner might have in mind as well. Do you need a part-time or full-time associate? What should you pay? Should there be a third party like an accountant to handle all business affairs according to the agreement? Use your own experiences, but consider your prospective partner's as well. A mutual agreement for everyone will save future hassles. Oh yeah, it doesn't hurt to get everything in writing, with a witness.

--- Honor and be honored: Above all, keep your professional standards high and lead by example. Once you commence your relationship, work hard to fulfill your end of the bargain. Your partner will appreciate this and likely try to match or better your disposition. In the event matters break down, you can walk away knowing you did good work and seek out a partner of better standards. Your reputation will not be tarnished.

In any aspect of life -- marriage, family, business -- working with someone else is always a challenge. But, in all of those aspects, they can be good challenges. If you get a good info marketing partnership going, embrace it to the max and work hard to complete the goals your party has set. Believe me when I say it will pay off in the end!