July 27, 2009

When Branding Works Against You... How to Turn Negativity
on Its Head... Even a "Great Deal" Can Go Sour... When It
Comes to Money, Don't Put Your Eggs in One Basket... and More.

I start each day with a hot cup of coffee. Typically, I brew my java myself, but I'll also stop in at local coffee shops when I have the time.

In my neighborhood, there is much debate over where you should get your coffee. Should you choose the small, independent shop run by a local resident or should you go with the big, international chain that employs local residents?

One big, international chain that seems to dominate the coffee debate is Starbucks.

From its beginnings in Seattle, the coffee giant has grown to be recognized around the globe. Its distinctive cups are seen in the hands of celebrities and can even indicate social status, as these brews don't come cheap.

Recently, Starbucks has seen a decline. A sharp enough decline to call for the closing of stores and the loss of jobs for employees.

In an effort to regain its footing in the coffee market, the brand, one that has focused on creating a very distinctive and easily identifiable look, is switching gears.

In its hometown, Starbucks is opening new stores without its distinctive logo. In fact, the stores are adopting the names of the neighborhoods they are located in.

Why this switch? Well, independent coffee shops are viewed by some as the underdog hero. Many have an eclectic feel with mismatched furniture and a story to tell. These stories are attracting more and more customers each day. Status-conscious consumers have said to themselves, "Who wants to be seen as another sheep in the herd when you can stand out in a unique, little coffee house?"

The symbol of success that the Starbucks logo once represented has taken a turn for the worse and the bigwigs at head office have taken note.

Does this mean that we'll soon see the disappearance of the Starbucks brand? I personally doubt that. But, what this does mean is that even well-established corporations are taking stock and making drastic changes to cope as the economy continues to face more challenges.

Remember, there is nothing set in stone when it comes to your business. While a complete overhaul to attract more customers may not be what you need, making changes to adapt with your clients is going to be an essential part of your success in 2009.

Picture this...

You've spent the last five years scrounging and saving every penny you can to raise money for your business start-up. You've set aside a sizable amount of money, but you still want more before you get started. So you head to the nearest casino, talk with a few pit bosses to find out how you can get the highest payout in the least amount of time and then make a bee-line for the roulette table. You change your savings over and then place the little towers of chips on your lucky number. The wheel spins, the ball drops and you lose everything.

Terrible, isn't it? But it has happened in the past and it is more than likely to happen again in the future. Not just in the casinos, but also in too-risky business moves that should never have been made in the first place.

Starting up your own business is full of risks, but there are ways to protect yourself from losing everything, including the shirt off your back.

The first step when starting your own business is to separate yourself from your business. This means creating your business as a separate entity. There are a few legal steps you must take in this process, and it is best to get outside consultation.

Separating your personal finances from your business finances is a way of creating a safety net for your money and your property. In the unfortunate event that your business goes under, you don't want to lose your home and your car in the process.

My next word of advice is not to gamble on one big thing. Going all in with your chips stacked on the table is a risky move, and only one you should make if you've got something else to back you up. When starting a business, make sure you don't burn the bridges that helped get you where you are. Keep contacts from your former jobs and stay friendly with the competition. You never know where you may have to turn to in times of need.

No business is without risk; you just need to be aware of what they are and be prepared.

Let's face it; we've all had our ups and downs, our bad days, failures, upsets, and disappointments -- usually we bounce back, wanting to correct the negative with the positive. But what happens when you can't bounce back? The negative feelings of today can become the negative thoughts of tomorrow, which can develop into a destructive negative attitude -- and a negative attitude will likely put an end to your dream of wealth and success.
 
Money has a way of instantly brightening your day. Have you ever found a $5 or $10 bill on the street? Remember how great it made you feel? You didn't know why, but it just did. For that one second, you felt that all your money problems could instantly disappear; but, as usual, your negative thoughts probably returned.
 
Day by day, the dream of becoming a millionaire begins to fade away, and you begin to blame everyone else, th! e world, and even God for all your money problems.
 
Stop. This is a sign that negativity has its grip on you, and it won't let go until you decide to wrestle yourself free. A handout of money, a loan, even a small cash windfall cannot change a negative attitude; it will just disguise it. If you are seeking wealth, a negative attitude will push you further and further away from your dream. So, if you want to be rich, successful and fulfilled, then you first need to know that negativity does not recognize any of those attainable desires.
 
Breaking negativity is much like quitting a bad habit. If you don't have the discipline, determination and willpower to just say "no," then you will continue to fall off the wagon. However, falling off the wagon from time to time is not so bad, because bad habits can take multiple attempts to break. The good news is that it is poss! ible to turn negativity on its head, so you can step int! o the fu ture clearheaded, optimistic, and ready to take action.
 
Going from negative to positive, or from pessimist to optimist, can take as little time as a few seconds or as long as a few years. Inspirational speakers on late-night TV may tell you that they can help you to change your life for the better within days. I say otherwise: Your mind is so complex that no timeline -- or price -- can alter its condition. You can deflate negativity within the span of a single evening's sleep. Anything is possible!
 
That's right; anything is possible. We really don't know for sure how much control we have over our own lives, but we can control the thoughts that shape what we do, what we think, and how we behave. You weren't born negative; you developed negativity over time. And now is the time to reverse this negative spell over your life by shifting your focus toward believ! ing that "anything is possible."
 
For example, that $5 bill you found on the street could buy you a lottery ticket that may end up making you a millionaire. Or, you could be at the diner, reading over your business plan, when the guy next to you notices what you're doing and becomes interested in investing in your idea. Anything becomes possible when you shed your negative outer skin.
 
For starters, the "right" people will take notice of you because you won't have "I feel like a loser" branded on your forehead. Positive people shine in everything that they do, even if they have little money in their bank account or are steeped in debt. These positive people see the glass as half full, not half empty; they see tough times as merely being the halfway point to success.
 
Do you consider yourself unlucky? Well, here's something to take with you on your journe! y to hit negativity out of the ballpark: luck finds you ! -- not t he other way around. If you want to make yourself attractive to luck, you have to put yourself in a place where it can find you. That place, my friend, is positivity.

** Even a "Great Deal" Can Go Sour
By Michael Newman, Self-made Millionaire

With the nation's debt mounting and the credit industry in a shambles, different debt relief offers are becoming more and more common. The problem is that many of these offers are scams, and will likely end up costing you much more in the long run than your current debt will.

Some of these scams come well disguised, as they are sent by debt-collection agencies claiming that they are trying to help your situation. If you receive one of these letters, toss it in the garbage, because it may in fact increase your debt astronomically.

I recently learned of an offer a person received to transfer his debt to a new Visa card, which would in turn drop his debt load down $164 to $1,200. The terms of the card included a 19.9% interest rate in addition to a 35% annual fee (waived for the first year). At first glance, this offer really doesn't seem that bad, does it?

However, contained in the fine print of the offer, there were a number of details that could quickly turn this person's debt into a downward spiral speeding out of control. You see, all the additional fees this person could've ended up paying would've taken the initial savings and thrown them out the window. For starters, if the first minimum payment of $37 was missed (due within 20 days of receiving the statement), there would be an additional $19 late fee. Furthermore, if a payment was missed at some point within the first three billing cycles, the card would be revoked and the initial debt would be reinstated, regardless of how much had been paid down.

Finally, this particular card was designed to make the customer spend more than their credit limit. The balance starts with the $1,200 debt already on the card, with the credit limit assigned being only $1,270. With interest at approximately $20 a month, even one small purchase could take the user over their limit, which would result in an additional $19 fee.

As you can see, this credit card is literally designed to suck even more money from you. It's important to do your due diligence whenever you receive a credit card offer. Start with reading the fine print, then do research on the company that mailed it to you. Finally, whenever you apply for a new credit card, it's important to know that you automatically lose three to five points from your credit score.