Seattle Small Business Blog

In today’s society we often put a lot of emphasis on how things are done. Present a plan with lofty goals to the board of directors of any company and surely they will ask you how you suppose those goals will be met. Apply for a mortgage and you will be asked to demonstrate how you plan to pay it off. Give a professor the correct answer to a complex question and you might be asked how you arrived at your conclusion.

The How is often so predominant that the Why is sometimes completely forgotten as if the Why is of less importance. Nothing could be further from the truth. Why you want something is infinitely more important than how you think you’re going to achieve it.

To find out what your Why is start with identifying what it is that you want. After all, if you can’t visualize what you want how could you ever hope to realize it?

This seems easy enough but apparently it’s a bit more challenging than one would think. Ask an adult to write down everything they want on a list with a minimum of 50 items and you will find that for most it turns out to be quite difficult. Stating that you want a certain amount of money, want to quit working or just want a bigger car than your neighbor can cause people to experience discomfort. After all it may make them appear greedy or lazy and that’s not generally considered positive.

So they try to come up with something that’s socially acceptable and in doing so make what they want subject to the opinions of others. Kids on the other hand have no problem here. They’ll come up with 50 items and more in no time, listing things you didn’t even know exist. They don’t worry about what others may think of it, whether it makes them look greedy, lazy or whatever. All they know is that they want it.

After you have identified what it is you want, then you get to the Why. Why do you want all those things?

Again, kids have the upper hand here. They’ll be quick to point out why they want it all: mostly the fun they will have and the popularity it will give them. Ask an adult why they want something and you’ll enjoy watching the expression on their face. You’ll see them searching for an answer. Why would you want to be rich? Why would you want to quit working? What would you do if you no longer had to go to a job every day?

You may decide you want a bigger house than anyone in your family before you ever had. But what does that do for you? Would you sleep better? Would it make your life better? Or is it because you just love cleaning house all day? Whatever it is, it’s important that you know.

Exactly how you plan to achieve your goal is far less important, especially in such an early stage. Too much focus on the How early in the process can have a devastating effect. It could paralyze you. If your financial situation is so bad that you are actually below broke, achieving financial independence can seem so far fetched that reaching it appears impossible. You might sell yourself on the idea that it’s so far out of reach that you couldn’t possibly make it happen in this lifetime.

As much as that may seem true at the time, it doesn’t have to become your reality. However in order to get there you will probably have to overcome some serious hurdles. And for that to happen you need a reason to get up and take the necessary action. That reason needs to be strong enough to pull you through the tough times that inevitably will come. That reason is your Why.

History is packed with unbelievable stories of accomplishment. People facing seemingly insurmountable odds who overcame obstacles you wouldn’t believe. Individuals with relentless determination who decided to push on in situations where most people would give up.

Why is that so many people throw in the towel when things don’t go their way and only a small number of people seem to persevere? It’s not because they’re genetically stronger and it’s not because they’ve been dealt a better hand in life. What sets them apart is their Why.

That’s what keeps them in the game. Their Why is so strong that whatever gets in their way they will find a way to deal with it. They don’t have all the answers, but what they do have is an inner conviction that they can and will find them.

Working on your Why is one of the best ways to improve the chance of reaching your goals. So make sure that you know what your Why is. Find it and refine it over and over again. Make it so strong that achieving it becomes an absolute must for you and the How will magically reveal itself to you over time.

Sales psychology is an advantage whether you are in a conventional brick and mortar business or an online one. The great thing is that sales psychology is not difficult to learn. Essentially all you need to do is put yourself in the place of the prospective buyer.

One aspect of sales psychology is that people respond to specifics more than generalities. If you sell photocopy machines, saying a particular unit is a high-speed duplicating machine is not impactful. But if you say that your machine produces 10 sheets of A4-sized copies in 12 seconds with the ability to automatically collate documents into correct order, then it seems more impressive. In sales, rounding off figures dilutes its impact so state numbers without rounding off.
This aspect of stating things in specific terms also applies to targeting your prospects. People must know whether your product or service is for them or not. Hence, the term ‘Home Owners’ is not as good as ‘Gardening Enthusiasts’. And ‘Gardening Enthusiasts’ is not as specific as ‘Tropical Plant Lovers’. Get specific. Got it?

Another aspect of sales psychology is that people are interested in how they can benefit from your product or service more than what the product can do. This seems obvious but most business owners and sales people miss the mark on this one. My favorite way to make sure I’m focusing on benefits instead of features is to ask myself “What does it do?” (to uncover a feature) and then “What’s so great about that?” to uncover the benefit to them.

Why on earth would you want to run an event for your business? Events take a lot of organizing and publicity, not to mention the time you might not have and, depending on what you want to do, they can also cost quite a bit of money.

So is it really worth all that effort? In a word, yes!

An event is a fantastic way to get a whole lot of your clients and potential clients together so you can present to them all at once, saving you huge amounts of time and effort trying to reach them all individually – and even better, as the speaker, you come across as an expert in your field. Give your clients valuable information and they will talk about you and recommend you to others. Having an event is also a great way to encourage your clients to network with each other and see how they can help each other – and of course, it’s you they’ll thank for that opportunity.

Having your name on an event can be very good publicity for you and your business. If you pick a hot topic for your industry you could find yourself interviewed by the local press, on the radio, or even on television, all of which increase your chances of being seen as an expert by potential clients.

You may even make money directly from your event – either by charging admission, finding sponsorship or by having products to sell at the event. Regular events could produce a nice stream of new income.

You could generate yet another income stream just from one event by creating one or more products – you could video it, record it, transcribe it, turn the learning materials into an ebook or online course and sell it – the possibilities are endless.

So once you’ve decided to go ahead – how do you pick a good topic? You’ll need to look at what your industry is discussing right now and what they really want to know. There are lots of ways to find this out:

- Run an online survey – www.surveymonkey.com has a free option you can use to create some very useful surveys
- Call several trusted clients and find out what they’d like to learn more about
- Go to online forums on your subject and see what everyone is talking about
- Post on online forums and ask people what they might be interested in
- Look at the bestsellers on Amazon, Barns & Noble and Clickbank
- Look at the most popular keywords using a word tracker tool (www.freekeywords.wordtracker.com is our favorite free tool)
- Go to your trade association and ask what their members are interested in
- Look at competitor’s ezines and see what they are discussing at the moment.

Once you have your topic you’ll need to pick a date and an event format. What kind of event should you offer? Look at where your potential clients are based:

- If most people are in a particular area of the country, you should consider having a face to face meeting – this is always the best option if possible as you have much more chance to impress and to deal on the spot with any objections and questions, as well as providing that all important networking opportunity for your clients.

If your clients are scattered across the country or even across the world, you may want to look at running a telecast or web based event:

- With a web based event using a facility such as www.hotconference.com, you have the option of using the whiteboard, showing a PowerPoint presentation, directing people to view a website and seeing the attendees online via webcam – this is a great way to give a presentation but make sure you are practiced at using all the features of the software first and consider whether your clients are technically-minded enough to be comfortable with this, and likely to have equipment such as webcams and microphones.

- If this is your first time running an event, the easiest option is to run a teleclass, where you set a date and time and participants simply dial in and listen to you. Many companies, such as www.freeconference.com, offer this service and a quick Google search should bring up a long list of companies you could use.

If you choose a live event you’ll need to find a good venue. Look at cost, position – find somewhere central with good transport links and parking. Make sure you see the room you’ll be using before the event so you can see the space you have available and plan your layout. Check maximum numbers the room can hold for fire regulations, find out where the fire exits and fire alarm are and make sure there is disabled access.

You’ll need to market your event very well to get good numbers:

- Use your own ezine, local press and radio, the chamber of commerce and online forums.
- Write articles on your subject and submit them to article directories and other ezines.
- Tell your trade association and use online event listings.
- Go to networking events and take leaflets with you to advertise what you are doing.
- Ask each client to bring one potential client to get a free place
- Offer to speak at other events on the run up to yours with a taste of what people will get on the day.
- Find another non-competing company who are aiming for the same market and do a joint event

Don’t just rely on one way to get publicity – think of as many different ways as you can and use the best ones for your event.

You’ll need to be very organized and plan well ahead. Make sure you order any equipment you might need in plenty of time. Make up an event checklist and buildyourself a kit with plenty of spares – pens, training materials, extension cables, flip chart paper, gaffer tape, scissors, etc. Check with the venue that everything’s ready for you the day before the event.

The more value you provide, the more likely you are to be seen as an expert in your area and the more business you will get from your event and from word of mouth after the event as a result, so don’t deliver a sales pitch – your content has to be high quality, entertaining and informative or people will feel cheated, particularly if they paid to attend.

Once the event is over make sure you follow up and ask for feedback – it’s the best way to find out if the event was what your clients wanted, to get ideas for future events, and also a great to chance to chat to prospective clients to see if they’re interested in working with you. You can also collect testimonials which will help you if you plan to run events on a regular basis, and which you can also use to promote any products you develop from your event content.

In short, pick a great topic, plan everything carefully, publicize what you are doing as much as you can, and check everything is in place the day before the event. On the day, don’t forget to relax and enjoy yourself – if you are having fun, the audience will too. Lastly and by no means least, whatever you do, don’t forget to follow up.

Just by following these guidelines you could find yourself with any amount of new clients, lots of publicity and several new income streams.
Worth it? Definitely!

You have decided it is time to be self-employed and that franchising is the best route for you. Most business start-ups are financed. If you are planning on using financing, it is best to start looking at your finance options right away. Finding the right source, going through the application and approval process usually takes longer than expected.

Home Equity Loan: This is the quickest and usually the least expensive of the commercial-type loan options. If you have owned your home for awhile and have some equity getting a home loan is about a 30-day process. If you choose the line of credit loan, you can write checks as you need to pay for items. One thing you need to remember is to include your loan payment as part of you business expenses when figuring your projected financial statements.

Your Retirement Account: This form of financing is not widely known. There are companies that will legally convert those funds that are locked in a retirement account into an account to use for your new business. This option is not for those who are intolerant to risk since you are using funds allocated for your retirement and there is no guarantee that you will be successful and able to refund your account.

SBA Loan: The Small Business Administration has loans for financing new businesses. The SBA does not actually provide the funds, they provide the guarantee to the banks. They also create the loan programs and the criteria for the loan approval.

Keeping It In The Family: What if you do not own a home but you have great credit? How about using the home of a family member as collateral for your SBA loan? Of course, now you not only need to convince the SBA that you’re a good risk, you also need to convince your family member that you are going to be successful.

Asset-Based Lenders: If your business will include purchasing equipment and fixtures, an asset-based lender is an option. You probably will not be able to finance all your business expenses, like the franchise fee, but this is a way to reduce the amount of cash you have to invest at start-up. The assets of your business are the collateral for the loan. Be aware that the interest rate and costs for this option will be higher than a loan with real estate as collateral.

Sell Stock In Your Corporation: This option takes some extra effort because you need to convince potential investors that your business will be a big success. You will also have to hire an attorney to incorporate your business and make sure you are following the law in your sale of stock. Your business plan and projected financial should be very compelling, yet realistic, so that your potential investors will be excited to invest.

These are many of the common options for financing your franchise. It is important to include your choice of financing in your decision to purchase a franchise or any business.