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Topic: business

March 8, 2010
» Bull and Bear-Spend vs Free Market-Invisible Hand – Hayek vs. Keynes

Ever wondered what the two opposing factions are throwing at each other when discussing economic theory?  Here’s the bull and bear (economic stimulus) theory vs. the Free Market (little regulation or interference) theory in hip-hop.  Yeah, its Hayek vs. Keynes in rhyme.  Awesome.

–Ben

Source:  EconStories

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February 22, 2010
» Utah Makes the List of Top Jobs Created and Top Job Growth

Wow.  Just saw an infographic on mint.com about where the jobs are predicted to be.  Salt Lake, Provo and St. George cities in Utah made the list.  Did yours?


Budgeting – Mint.com

–Ben

Source:  Mint.com

Disclaimer – I use Mint for my personal finance.  Its free.  I like it.  However, I did not receive any special compensation for this post.

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February 16, 2010
» Rich’s Last Words

This blog brings us to the final section of the book Bootstrap Business: A Step-by-Step Business Survival Guide.  Rich discusses the three attributes necessary to succeed as an entrepreneur.

Writing this book has required more effort and patience than either Ron or I thought possible. I now understand why I have never found a volume like it on the shelves. Setting the work aside, it has been an amazing opportunity for reflection and contemplation and has brought me to a conclusion I had already come to: entrepreneurship is truly an art form.

Several months into the writing, Ron suggested we create a company as a test case for the book. This has proved to be an invaluable exercise. As we went through the creation and launch of this company, we forced ourselves to analyze each important action in light of the principles espoused.

I am delighted to report that the fundamental tenets have held fast. Ron and I started the company with a total of $5,000 in March 2007. In seven months we grew the monthly revenue stream from $0 to over $60,000, with a gross net profit of $40,000. As of October 2008 the business is generating monthly revenue of $110,000 at a 65% margin. Has it been easy? No! Were there moments of confusion? Yes! After all, this is entrepreneurship.

Many of the things that haunted me during my first voyage into starting my own company are the same things that keep me awake now. There are no guarantees in life or in business. However, 27 ventures later, my nerves have settled. I have “learned” my way to solid ground. The principles herein will help you learn your way to solid ground much sooner. This learning was achieved through a progressive series of choices, ventures, successes, and failures.

The entrepreneurial path is worth the climb. It has provided countless individuals with financial stability, it has allowed personal freedoms, and it has facilitated an exhilarating and liberating lifestyle. One of the greatest joys I have in my life is helping young entrepreneurs who are facing the same quandaries I encountered early in my career. This has been one of my main motivations for writing this book.

Inevitably, as associates find out about this project they ask me, “What’s the key thing I need to know to be a successful entrepreneur?” Honestly, it isn’t as simple as one thing, but following are three critical attributes I have found are necessary to succeed.

1. Unalterable Determination
I am associated with a young entrepreneur named Mike Proper. When he was in the ninth grade, he was placed in foster care. Under duress he ran away from the foster family, finding safety in another state. Mike dropped out of school in order to support himself. Even though he does not have a formal education, he possesses an intense, relentless drive and an unconquerable spirit. Mike has since founded a company that has grown to a value of over ten million dollars. Mike Proper simply will not be denied.

The single most important factor to success in entrepreneurship and life is unalterable determination. I often say I’m not the smartest, I’m not the fastest, and I’m not the most handsome, but I’m definitely the most determined.

2. An Undeviating Support System
I had a young man in my office the other day who possesses incredible entrepreneurial drive and talent. He stood on the threshold of his first entrepreneurial venture. He was looking for some final advice and encouragement as he jumped from a warm, safe corporate job into the cold, harsh realities of business ownership. As we discussed the required sacrifices ahead of him, his face took on a look of fierce determination. As I looked in his eyes, I knew he had what it takes; however, I still had one remaining question. “How is your wife doing with all this change?” I probed.

At the very mention of his wife, calmness transformed his countenance. He responded, “She is amazingly supportive.” He nervously laughed as he recounted a dream his wife had the night before. She woke him in the middle of the night to share what she called a “hellish nightmare.” In a state of terror, she recounted how she went shopping and bought a vast array of expensive makeup and clothing. In the dream, she felt sick and was worried she had jeopardized her husband’s dream of starting his own company. He commented, “I am so lucky to have a wife like this.” Indeed, he is a lucky man! Some of the most talented and capable individuals I have known simply could not follow the course of their dreams due to the lack of support from their significant others.

Without an undeviating support system, it will be very difficult to succeed. Not only will this type of relationship provide fortitude, but the sharing of all you do will enhance the joy of the ride.

3. A Greater Purpose
The final key to entrepreneurship is having the source of your motivation rooted deeper than the shallow objective of making money. You have to be driven by a purpose greater than owning a BMW, something beyond cashing a big check. Making money will be a natural derivative of achieving a greater purpose. Your motivator must be deep and meaningful. It will make the entrepreneurial journey more purposeful, more enduring, and more valuable. I wake up in the middle of the night dreaming about enabling educational opportunities for disadvantaged girls in third-world countries. It consumes me, it inspires me, and I am drawn to it. This type of motivator is far stronger than making money.

Here is my parting thought: You can do this. You will have family, friends, mentors, professors, and any number of other folks tell you otherwise. Honestly apply the principles of this book, and you will not only survive entrepreneurship, but you will thrive in it! The hardest step for most people is simply taking those first few determined steps toward making something happen.

February 2, 2010
» Porter’s Preface: No Exit Strategy?

Today we begin the last chapter of Bootstrap Business, No Exit Strategy.  Rich teaches the importance of knowing what type of exit you want, decided when you first start your business.

In business, one of the first things you need to do is plan the last thing you need to do. No, Rich isn’t going to talk about your last will and testament; what he will talk about is your exit strategy. In your venture, what’s the endgame? How do you want this bright idea of yours to play out? It’s a given that you need to plan the beginning of your venture; in fact, some entrepreneurs are so good at planning the beginning that they forget either to get to work or to remember that it will have an end. The thing is, if you don’t create an exit strategy, the market will
do it for you.

How you want to exit determines how you start. Are you looking at an asset sale in two years? Do you want to create a dynasty? Maybe you are hoping for a cash-out event to a competitor. With any of these options, you don’t need a crystal ball. You just need to make a choice. As market variables change, you may change your strategy along with them. There is no guarantee you’ll get exactly what you want, but knowing where you want to end up points you in the right direction.

Don’t lie awake at night strategizing step-by-step exit plans. Set a goal, make rules, and get back to work. Understanding your exit will help guide you in building, organizing, and establishing your business. Run your venture well—and when the curtain falls, know which side of the stage you’re going to exit on!

January 28, 2010
» State of the Union 2010

Remarks of President Barack Obama – As Prepared for Delivery

The State of the Union

Wednesday, January 27, 2009

Washington, DC

Madame Speaker, Vice President Biden, Members of Congress, distinguished guests, and fellow Americans:

Our Constitution declares that from time to time, the President shall give to Congress information about the state of our union. For two hundred and twenty years, our leaders have fulfilled this duty. They have done so during periods of prosperity and tranquility. And they have done so in the midst of war and depression; at moments of great strife and great struggle.

It’s tempting to look back on these moments and assume that our progress was inevitable – that America was always destined to succeed. But when the Union was turned back at Bull Run and the Allies first landed at Omaha Beach, victory was very much in doubt. When the market crashed on Black Tuesday and civil rights marchers were beaten on Bloody Sunday, the future was anything but certain. These were times that tested the courage of our convictions, and the strength of our union. And despite all our divisions and disagreements; our hesitations and our fears; America prevailed because we chose to move forward as one nation, and one people.

Again, we are tested. And again, we must answer history’s call.

One year ago, I took office amid two wars, an economy rocked by severe recession, a financial system on the verge of collapse, and a government deeply in debt. Experts from across the political spectrum warned that if we did not act, we might face a second depression. So we acted – immediately and aggressively. And one year later, the worst of the storm has passed.

But the devastation remains. One in ten Americans still cannot find work. Many businesses have shuttered. Home values have declined. Small towns and rural communities have been hit especially hard. For those who had already known poverty, life has become that much harder.

This recession has also compounded the burdens that America’s families have been dealing with for decades – the burden of working harder and longer for less; of being unable to save enough to retire or help kids with college.

So I know the anxieties that are out there right now. They’re not new. These struggles are the reason I ran for President. These struggles are what I’ve witnessed for years in places like Elkhart, Indiana and Galesburg, Illinois. I hear about them in the letters that I read each night. The toughest to read are those written by children – asking why they have to move from their home, or when their mom or dad will be able to go back to work.

For these Americans and so many others, change has not come fast enough. Some are frustrated; some are angry. They don’t understand why it seems like bad behavior on Wall Street is rewarded but hard work on Main Street isn’t; or why Washington has been unable or unwilling to solve any of our problems. They are tired of the partisanship and the shouting and the pettiness. They know we can’t afford it. Not now.

So we face big and difficult challenges. And what the American people hope – what they deserve – is for all of us, Democrats and Republicans, to work through our differences; to overcome the numbing weight of our politics. For while the people who sent us here have different backgrounds, different stories and different beliefs, the anxieties they face are the same. The aspirations they hold are shared. A job that pays the bills. A chance to get ahead. Most of all, the ability to give their children a better life.

You know what else they share? They share a stubborn resilience in the face of adversity. After one of the most difficult years in our history, they remain busy building cars and teaching kids; starting businesses and going back to school. They’re coaching little league and helping their neighbors. As one woman wrote me, “We are strained but hopeful, struggling but encouraged.”

It is because of this spirit – this great decency and great strength – that I have never been more hopeful about America’s future than I am tonight. Despite our hardships, our union is strong. We do not give up. We do not quit. We do not allow fear or division to break our spirit. In this new decade, it’s time the American people get a government that matches their decency; that embodies their strength.

And tonight, I’d like to talk about how together, we can deliver on that promise.

It begins with our economy.

Our most urgent task upon taking office was to shore up the same banks that helped cause this crisis. It was not easy to do. And if there’s one thing that has unified Democrats and Republicans, it’s that we all hated the bank bailout. I hated it. You hated it. It was about as popular as a root canal.

But when I ran for President, I promised I wouldn’t just do what was popular – I would do what was necessary. And if we had allowed the meltdown of the financial system, unemployment might be double what it is today. More businesses would certainly have closed. More homes would have surely been lost.

So I supported the last administration’s efforts to create the financial rescue program. And when we took the program over, we made it more transparent and accountable. As a result, the markets are now stabilized, and we have recovered most of the money we spent on the banks.

To recover the rest, I have proposed a fee on the biggest banks. I know Wall Street isn’t keen on this idea, but if these firms can afford to hand out big bonuses again, they can afford a modest fee to pay back the taxpayers who rescued them in their time of need.

As we stabilized the financial system, we also took steps to get our economy growing again, save as many jobs as possible, and help Americans who had become unemployed.

That’s why we extended or increased unemployment benefits for more than 18 million Americans; made health insurance 65% cheaper for families who get their coverage through COBRA; and passed 25 different tax cuts.

Let me repeat: we cut taxes. We cut taxes for 95% of working families. We cut taxes for small businesses. We cut taxes for first-time homebuyers. We cut taxes for parents trying to care for their children. We cut taxes for 8 million Americans paying for college. As a result, millions of Americans had more to spend on gas, and food, and other necessities, all of which helped businesses keep more workers. And we haven’t raised income taxes by a single dime on a single person. Not a single dime.

Because of the steps we took, there are about two million Americans working right now who would otherwise be unemployed. 200,000 work in construction and clean energy. 300,000 are teachers and other education workers. Tens of thousands are cops, firefighters, correctional officers, and first responders. And we are on track to add another one and a half million jobs to this total by the end of the year.

The plan that has made all of this possible, from the tax cuts to the jobs, is the Recovery Act. That’s right – the Recovery Act, also known as the Stimulus Bill. Economists on the left and the right say that this bill has helped saved jobs and avert disaster. But you don’t have to take their word for it.

Talk to the small business in Phoenix that will triple its workforce because of the Recovery Act.

Talk to the window manufacturer in Philadelphia who said he used to be skeptical about the Recovery Act, until he had to add two more work shifts just because of the business it created.

Talk to the single teacher raising two kids who was told by her principal in the last week of school that because of the Recovery Act, she wouldn’t be laid off after all.

There are stories like this all across America. And after two years of recession, the economy is growing again. Retirement funds have started to gain back some of their value. Businesses are beginning to invest again, and slowly some are starting to hire again.

But I realize that for every success story, there are other stories, of men and women who wake up with the anguish of not knowing where their next paycheck will come from; who send out resumes week after week and hear nothing in response. That is why jobs must be our number one focus in 2010, and that is why I am calling for a new jobs bill tonight.

Now, the true engine of job creation in this country will always be America’s businesses. But government can create the conditions necessary for businesses to expand and hire more workers.
obama business

We should start where most new jobs do – in small businesses, companies that begin when an entrepreneur takes a chance on a dream, or a worker decides its time she became her own boss.

Through sheer grit and determination, these companies have weathered the recession and are ready to grow. But when you talk to small business owners in places like Allentown, Pennsylvania or Elyria, Ohio, you find out that even though banks on Wall Street are lending again, they are mostly lending to bigger companies. But financing remains difficult for small business owners across the country.

So tonight, I’m proposing that we take $30 billion of the money Wall Street banks have repaid and use it to help community banks give small businesses the credit they need to stay afloat. I am also proposing a new small business tax credit – one that will go to over one million small businesses who hire new workers or raise wages. While we’re at it, let’s also eliminate all capital gains taxes on small business investment; and provide a tax incentive for all businesses, large and small, to invest in new plants and equipment.

Next, we can put Americans to work today building the infrastructure of tomorrow. From the first railroads to the interstate highway system, our nation has always been built to compete. There’s no reason Europe or China should have the fastest trains, or the new factories that manufacture clean energy products.

Tomorrow, I’ll visit Tampa, Florida, where workers will soon break ground on a new high-speed railroad funded by the Recovery Act. There are projects like that all across this country that will create jobs and help our nation move goods, services, and information. We should put more Americans to work building clean energy facilities, and give rebates to Americans who make their homes more energy efficient, which supports clean energy jobs. And to encourage these and other businesses to stay within our borders, it’s time to finally slash the tax breaks for companies that ship our jobs overseas and give those tax breaks to companies that create jobs in the United States of America.

The House has passed a jobs bill that includes some of these steps. As the first order of business this year, I urge the Senate to do the same. People are out of work. They are hurting. They need our help. And I want a jobs bill on my desk without delay.

But the truth is, these steps still won’t make up for the seven million jobs we’ve lost over the last two years. The only way to move to full employment is to lay a new foundation for long-term economic growth, and finally address the problems that America’s families have confronted for years.

We cannot afford another so-called economic “expansion” like the one from last decade – what some call the “lost decade” – where jobs grew more slowly than during any prior expansion; where the income of the average American household declined while the cost of health care and tuition reached record highs; where prosperity was built on a housing bubble and financial speculation.

From the day I took office, I have been told that addressing our larger challenges is too ambitious – that such efforts would be too contentious, that our political system is too gridlocked, and that we should just put things on hold for awhile.

For those who make these claims, I have one simple question:

How long should we wait? How long should America put its future on hold?

You see, Washington has been telling us to wait for decades, even as the problems have grown worse. Meanwhile, China’s not waiting to revamp its economy. Germany’s not waiting. India’s not waiting. These nations aren’t standing still. These nations aren’t playing for second place. They’re putting more emphasis on math and science. They’re rebuilding their infrastructure. They are making serious investments in clean energy because they want those jobs.

Well I do not accept second-place for the United States of America. As hard as it may be, as uncomfortable and contentious as the debates may be, it’s time to get serious about fixing the problems that are hampering our growth.

One place to start is serious financial reform. Look, I am not interested in punishing banks, I’m interested in protecting our economy. A strong, healthy financial market makes it possible for businesses to access credit and create new jobs. It channels the savings of families into investments that raise incomes. But that can only happen if we guard against the same recklessness that nearly brought down our entire economy.

We need to make sure consumers and middle-class families have the information they need to make financial decisions. We can’t allow financial institutions, including those that take your deposits, to take risks that threaten the whole economy.

The House has already passed financial reform with many of these changes. And the lobbyists are already trying to kill it. Well, we cannot let them win this fight. And if the bill that ends up on my desk does not meet the test of real reform, I will send it back.

Next, we need to encourage American innovation. Last year, we made the largest investment in basic research funding in history – an investment that could lead to the world’s cheapest solar cells or treatment that kills cancer cells but leaves healthy ones untouched. And no area is more ripe for such innovation than energy. You can see the results of last year’s investment in clean energy – in the North Carolina company that will create 1200 jobs nationwide helping to make advanced batteries; or in the California business that will put 1,000 people to work making solar panels.

But to create more of these clean energy jobs, we need more production, more efficiency, more incentives. That means building a new generation of safe, clean nuclear power plants in this country. It means making tough decisions about opening new offshore areas for oil and gas development. It means continued investment in advanced biofuels and clean coal technologies. And yes, it means passing a comprehensive energy and climate bill with incentives that will finally make clean energy the profitable kind of energy in America.

I am grateful to the House for passing such a bill last year. This year, I am eager to help advance the bipartisan effort in the Senate. I know there have been questions about whether we can afford such changes in a tough economy; and I know that there are those who disagree with the overwhelming scientific evidence on climate change. But even if you doubt the evidence, providing incentives for energy efficiency and clean energy are the right thing to do for our future – because the nation that leads the clean energy economy will be the nation that leads the global economy. And America must be that nation.

Third, we need to export more of our goods. Because the more products we make and sell to other countries, the more jobs we support right here in America. So tonight, we set a new goal: We will double our exports over the next five years, an increase that will support two million jobs in America. To help meet this goal, we’re launching a National Export Initiative that will help farmers and small businesses increase their exports, and reform export controls consistent with national security.

We have to seek new markets aggressively, just as our competitors are. If America sits on the sidelines while other nations sign trade deals, we will lose the chance to create jobs on our shores. But realizing those benefits also means enforcing those agreements so our trading partners play by the rules. And that’s why we will continue to shape a Doha trade agreement that opens global markets, and why we will strengthen our trade relations in Asia and with key partners like South Korea, Panama, and Colombia.

Fourth, we need to invest in the skills and education of our people.

This year, we have broken through the stalemate between left and right by launching a national competition to improve our schools. The idea here is simple: instead of rewarding failure, we only reward success. Instead of funding the status quo, we only invest in reform – reform that raises student achievement, inspires students to excel in math and science, and turns around failing schools that steal the future of too many young Americans, from rural communities to inner-cities. In the 21st century, one of the best anti-poverty programs is a world-class education. In this country, the success of our children cannot depend more on where they live than their potential.

When we renew the Elementary and Secondary Education Act, we will work with Congress to expand these reforms to all fifty states. Still, in this economy, a high school diploma no longer guarantees a good job. I urge the Senate to follow the House and pass a bill that will revitalize our community colleges, which are a career pathway to the children of so many working families. To make college more affordable, this bill will finally end the unwarranted taxpayer-subsidies that go to banks for student loans. Instead, let’s take that money and give families a $10,000 tax credit for four years of college and increase Pell Grants. And let’s tell another one million students that when they graduate, they will be required to pay only ten percent of their income on student loans, and all of their debt will be forgiven after twenty years – and forgiven after ten years if they choose a career in public service. Because in the United States of America, no one should go broke because they chose to go to college. And it’s time for colleges and universities to get serious about cutting their own costs – because they too have a responsibility to help solve this problem.
clean energy

Now, the price of college tuition is just one of the burdens facing the middle-class. That’s why last year I asked Vice President Biden to chair a task force on Middle-Class Families. That’s why we’re nearly doubling the child care tax credit, and making it easier to save for retirement by giving every worker access to a retirement account and expanding the tax credit for those who start a nest egg. That’s why we’re working to lift the value of a family’s single largest investment – their home. The steps we took last year to shore up the housing market have allowed millions of Americans to take out new loans and save an average of $1,500 on mortgage payments. This year, we will step up re-financing so that homeowners can move into more affordable mortgages. And it is precisely to relieve the burden on middle-class families that we still need health insurance reform.

Now let’s be clear – I did not choose to tackle this issue to get some legislative victory under my belt. And by now it should be fairly obvious that I didn’t take on health care because it was good politics.

I took on health care because of the stories I’ve heard from Americans with pre-existing conditions whose lives depend on getting coverage; patients who’ve been denied coverage; and families – even those with insurance – who are just one illness away from financial ruin.

After nearly a century of trying, we are closer than ever to bringing more security to the lives of so many Americans. The approach we’ve taken would protect every American from the worst practices of the insurance industry. It would give small businesses and uninsured Americans a chance to choose an affordable health care plan in a competitive market. It would require every insurance plan to cover preventive care. And by the way, I want to acknowledge our First Lady, Michelle Obama, who this year is creating a national movement to tackle the epidemic of childhood obesity and make our kids healthier.

Our approach would preserve the right of Americans who have insurance to keep their doctor and their plan. It would reduce costs and premiums for millions of families and businesses. And according to the Congressional Budget Office – the independent organization that both parties have cited as the official scorekeeper for Congress – our approach would bring down the deficit by as much as $1 trillion over the next two decades.

Still, this is a complex issue, and the longer it was debated, the more skeptical people became. I take my share of the blame for not explaining it more clearly to the American people. And I know that with all the lobbying and horse-trading, this process left most Americans wondering what’s in it for them.

But I also know this problem is not going away. By the time I’m finished speaking tonight, more Americans will have lost their health insurance. Millions will lose it this year. Our deficit will grow. Premiums will go up. Patients will be denied the care they need. Small business owners will continue to drop coverage altogether. I will not walk away from these Americans, and neither should the people in this chamber.

As temperatures cool, I want everyone to take another look at the plan we’ve proposed. There’s a reason why many doctors, nurses, and health care experts who know our system best consider this approach a vast improvement over the status quo. But if anyone from either party has a better approach that will bring down premiums, bring down the deficit, cover the uninsured, strengthen Medicare for seniors, and stop insurance company abuses, let me know. Here’s what I ask of Congress, though: Do not walk away from reform. Not now. Not when we are so close. Let us find a way to come together and finish the job for the American people.

Now, even as health care reform would reduce our deficit, it’s not enough to dig us out of a massive fiscal hole in which we find ourselves. It’s a challenge that makes all others that much harder to solve, and one that’s been subject to a lot of political posturing.

So let me start the discussion of government spending by setting the record straight. At the beginning of the last decade, America had a budget surplus of over $200 billion. By the time I took office, we had a one year deficit of over $1 trillion and projected deficits of $8 trillion over the next decade. Most of this was the result of not paying for two wars, two tax cuts, and an expensive prescription drug program. On top of that, the effects of the recession put a $3 trillion hole in our budget. That was before I walked in the door.

Now if we had taken office in ordinary times, I would have liked nothing more than to start bringing down the deficit. But we took office amid a crisis, and our efforts to prevent a second Depression have added another $1 trillion to our national debt.

I am absolutely convinced that was the right thing to do. But families across the country are tightening their belts and making tough decisions. The federal government should do the same. So tonight, I’m proposing specific steps to pay for the $1 trillion that it took to rescue the economy last year.

Starting in 2011, we are prepared to freeze government spending for three years. Spending related to our national security, Medicare, Medicaid, and Social Security will not be affected. But all other discretionary government programs will. Like any cash-strapped family, we will work within a budget to invest in what we need and sacrifice what we don’t. And if I have to enforce this discipline by veto, I will.

We will continue to go through the budget line by line to eliminate programs that we can’t afford and don’t work. We’ve already identified $20 billion in savings for next year. To help working families, we will extend our middle-class tax cuts. But at a time of record deficits, we will not continue tax cuts for oil companies, investment fund managers, and those making over $250,000 a year. We just can’t afford it.

Now, even after paying for what we spent on my watch, we will still face the massive deficit we had when I took office. More importantly, the cost of Medicare, Medicaid, and Social Security will continue to skyrocket. That’s why I’ve called for a bipartisan, Fiscal Commission, modeled on a proposal by Republican Judd Gregg and Democrat Kent Conrad. This can’t be one of those Washington gimmicks that lets us pretend we solved a problem. The Commission will have to provide a specific set of solutions by a certain deadline. Yesterday, the Senate blocked a bill that would have created this commission. So I will issue an executive order that will allow us to go forward, because I refuse to pass this problem on to another generation of Americans. And when the vote comes tomorrow, the Senate should restore the pay-as-you-go law that was a big reason why we had record surpluses in the 1990s.

I know that some in my own party will argue that we cannot address the deficit or freeze government spending when so many are still hurting. I agree, which is why this freeze will not take effect until next year, when the economy is stronger. But understand – if we do not take meaningful steps to rein in our debt, it could damage our markets, increase the cost of borrowing, and jeopardize our recovery – all of which could have an even worse effect on our job growth and family incomes.

From some on the right, I expect we’ll hear a different argument – that if we just make fewer investments in our people, extend tax cuts for wealthier Americans, eliminate more regulations, and maintain the status quo on health care, our deficits will go away. The problem is, that’s what we did for eight years. That’s what helped lead us into this crisis. It’s what helped lead to these deficits. And we cannot do it again.

Rather than fight the same tired battles that have dominated Washington for decades, it’s time to try something new. Let’s invest in our people without leaving them a mountain of debt. Let’s meet our responsibility to the citizens who sent us here. Let’s try common sense.

To do that, we have to recognize that we face more than a deficit of dollars right now. We face a deficit of trust – deep and corrosive doubts about how Washington works that have been growing for years. To close that credibility gap we must take action on both ends of Pennsylvania Avenue to end the outsized influence of lobbyists; to do our work openly; and to give our people the government they deserve.

That’s what I came to Washington to do. That’s why – for the first time in history – my Administration posts our White House visitors online. And that’s why we’ve excluded lobbyists from policy-making jobs or seats on federal boards and commissions.
obama education
But we can’t stop there. It’s time to require lobbyists to disclose each contact they make on behalf of a client with my Administration or Congress. And it’s time to put strict limits on the contributions that lobbyists give to candidates for federal office. Last week, the Supreme Court reversed a century of law to open the floodgates for special interests – including foreign corporations – to spend without limit in our elections. Well I don’t think American elections should be bankrolled by America’s most powerful interests, or worse, by foreign entities. They should be decided by the American people, and that’s why I’m urging Democrats and Republicans to pass a bill that helps to right this wrong.

I’m also calling on Congress to continue down the path of earmark reform. You have trimmed some of this spending and embraced some meaningful change. But restoring the public trust demands more. For example, some members of Congress post some earmark requests online. Tonight, I’m calling on Congress to publish all earmark requests on a single website before there’s a vote so that the American people can see how their money is being spent.

Of course, none of these reforms will even happen if we don’t also reform how we work with one another.

Now, I am not naïve. I never thought the mere fact of my election would usher in peace, harmony, and some post-partisan era. I knew that both parties have fed divisions that are deeply entrenched. And on some issues, there are simply philosophical differences that will always cause us to part ways. These disagreements, about the role of government in our lives, about our national priorities and our national security, have been taking place for over two hundred years. They are the very essence of our democracy.

But what frustrates the American people is a Washington where every day is Election Day. We cannot wage a perpetual campaign where the only goal is to see who can get the most embarrassing headlines about their opponent – a belief that if you lose, I win. Neither party should delay or obstruct every single bill just because they can. The confirmation of well-qualified public servants should not be held hostage to the pet projects or grudges of a few individual Senators. Washington may think that saying anything about the other side, no matter how false, is just part of the game. But it is precisely such politics that has stopped either party from helping the American people. Worse yet, it is sowing further division among our citizens and further distrust in our government.

So no, I will not give up on changing the tone of our politics. I know it’s an election year. And after last week, it is clear that campaign fever has come even earlier than usual. But we still need to govern. To Democrats, I would remind you that we still have the largest majority in decades, and the people expect us to solve some problems, not run for the hills. And if the Republican leadership is going to insist that sixty votes in the Senate are required to do any business at all in this town, then the responsibility to govern is now yours as well. Just saying no to everything may be good short-term politics, but it’s not leadership. We were sent here to serve our citizens, not our ambitions. So let’s show the American people that we can do it together. This week, I’ll be addressing a meeting of the House Republicans. And I would like to begin monthly meetings with both the Democratic and Republican leadership. I know you can’t wait.

Throughout our history, no issue has united this country more than our security. Sadly, some of the unity we felt after 9/11 has dissipated. We can argue all we want about who’s to blame for this, but I am not interested in re-litigating the past. I know that all of us love this country. All of us are committed to its defense. So let’s put aside the schoolyard taunts about who is tough. Let’s reject the false choice between protecting our people and upholding our values. Let’s leave behind the fear and division, and do what it takes to defend our nation and forge a more hopeful future – for America and the world.

That is the work we began last year. Since the day I took office, we have renewed our focus on the terrorists who threaten our nation. We have made substantial investments in our homeland security and disrupted plots that threatened to take American lives. We are filling unacceptable gaps revealed by the failed Christmas attack, with better airline security, and swifter action on our intelligence. We have prohibited torture and strengthened partnerships from the Pacific to South Asia to the Arabian Peninsula. And in the last year, hundreds of Al Qaeda’s fighters and affiliates, including many senior leaders, have been captured or killed – far more than in 2008.

In Afghanistan, we are increasing our troops and training Afghan Security Forces so they can begin to take the lead in July of 2011, and our troops can begin to come home. We will reward good governance, reduce corruption, and support the rights of all Afghans – men and women alike. We are joined by allies and partners who have increased their own commitment, and who will come together tomorrow in London to reaffirm our common purpose. There will be difficult days ahead. But I am confident we will succeed.

As we take the fight to al Qaeda, we are responsibly leaving Iraq to its people. As a candidate, I promised that I would end this war, and that is what I am doing as President. We will have all of our combat troops out of Iraq by the end of this August. We will support the Iraqi government as they hold elections, and continue to partner with the Iraqi people to promote regional peace and prosperity. But make no mistake: this war is ending, and all of our troops are coming home.

Tonight, all of our men and women in uniform — in Iraq, Afghanistan, and around the world – must know that they have our respect, our gratitude, and our full support. And just as they must have the resources they need in war, we all have a responsibility to support them when they come home. That is why we made the largest increase in investments for veterans in decades. That is why we are building a 21st century VA. And that is why Michelle has joined with Jill Biden to forge a national commitment to support military families.

Even as we prosecute two wars, we are also confronting perhaps the greatest danger to the American people – the threat of nuclear weapons. I have embraced the vision of John F. Kennedy and Ronald Reagan through a strategy that reverses the spread of these weapons, and seeks a world without them. To reduce our stockpiles and launchers, while ensuring our deterrent, the United States and Russia are completing negotiations on the farthest-reaching arms control treaty in nearly two decades. And at April’s Nuclear Security Summit, we will bring forty-four nations together behind a clear goal: securing all vulnerable nuclear materials around the world in four years, so that they never fall into the hands of terrorists.

These diplomatic efforts have also strengthened our hand in dealing with those nations that insist on violating international agreements in pursuit of these weapons. That is why North Korea now faces increased isolation, and stronger sanctions – sanctions that are being vigorously enforced. That is why the international community is more united, and the Islamic Republic of Iran is more isolated. And as Iran’s leaders continue to ignore their obligations, there should be no doubt: they, too, will face growing consequences.

That is the leadership that we are providing – engagement that advances the common security and prosperity of all people. We are working through the G-20 to sustain a lasting global recovery. We are working with Muslim communities around the world to promote science, education and innovation. We have gone from a bystander to a leader in the fight against climate change. We are helping developing countries to feed themselves, and continuing the fight against HIV/AIDS. And we are launching a new initiative that will give us the capacity to respond faster and more effectively to bio-terrorism or an infectious disease – a plan that will counter threats at home, and strengthen public health abroad.

As we have for over sixty years, America takes these actions because our destiny is connected to those beyond our shores. But we also do it because it is right. That is why, as we meet here tonight, over 10,000 Americans are working with many nations to help the people of Haiti recover and rebuild. That is why we stand with the girl who yearns to go to school in Afghanistan; we support the human rights of the women marching through the streets of Iran; and we advocate for the young man denied a job by corruption in Guinea. For America must always stand on the side of freedom and human dignity.

Abroad, America’s greatest source of strength has always been our ideals. The same is true at home. We find unity in our incredible diversity, drawing on the promise enshrined in our Constitution: the notion that we are all created equal, that no matter who you are or what you look like, if you abide by the law you should be protected by it; that if you adhere to our common values you should be treated no different than anyone else.

We must continually renew this promise. My Administration has a Civil Rights Division that is once again prosecuting civil rights violations and employment discrimination. We finally strengthened our laws to protect against crimes driven by hate. This year, I will work with Congress and our military to finally repeal the law that denies gay Americans the right to serve the country they love because of who they are. We are going to crack down on violations of equal pay laws – so that women get equal pay for an equal day’s work. And we should continue the work of fixing our broken immigration system – to secure our borders, enforce our laws, and ensure that everyone who plays by the rules can contribute to our economy and enrich our nations.
obama sotu
In the end, it is our ideals, our values, that built America – values that allowed us to forge a nation made up of immigrants from every corner of the globe; values that drive our citizens still. Every day, Americans meet their responsibilities to their families and their employers. Time and again, they lend a hand to their neighbors and give back to their country. They take pride in their labor, and are generous in spirit. These aren’t Republican values or Democratic values they’re living by; business values or labor values. They are American values.

Unfortunately, too many of our citizens have lost faith that our biggest institutions – our corporations, our media, and yes, our government – still reflect these same values. Each of these institutions are full of honorable men and women doing important work that helps our country prosper. But each time a CEO rewards himself for failure, or a banker puts the rest of us at risk for his own selfish gain, people’s doubts grow. Each time lobbyists game the system or politicians tear each other down instead of lifting this country up, we lose faith. The more that TV pundits reduce serious debates into silly arguments, and big issues into sound bites, our citizens turn away.
obama rewards
No wonder there’s so much cynicism out there.

No wonder there’s so much disappointment.

I campaigned on the promise of change – change we can believe in, the slogan went. And right now, I know there are many Americans who aren’t sure if they still believe we can change – or at least, that I can deliver it.

But remember this – I never suggested that change would be easy, or that I can do it alone. Democracy in a nation of three hundred million people can be noisy and messy and complicated. And when you try to do big things and make big changes, it stirs passions and controversy. That’s just how it is.

Those of us in public office can respond to this reality by playing it safe and avoid telling hard truths. We can do what’s necessary to keep our poll numbers high, and get through the next election instead of doing what’s best for the next generation.

But I also know this: if people had made that decision fifty years ago or one hundred years ago or two hundred years ago, we wouldn’t be here tonight. The only reason we are is because generations of Americans were unafraid to do what was hard; to do what was needed even when success was uncertain; to do what it took to keep the dream of this nation alive for their children and grandchildren.

Our administration has had some political setbacks this year, and some of them were deserved. But I wake up every day knowing that they are nothing compared to the setbacks that families all across this country have faced this year. And what keeps me going – what keeps me fighting – is that despite all these setbacks, that spirit of determination and optimism – that fundamental decency that has always been at the core of the American people – lives on.

It lives on in the struggling small business owner who wrote to me of his company, “None of us,” he said, “…are willing to consider, even slightly, that we might fail.”

It lives on in the woman who said that even though she and her neighbors have felt the pain of recession, “We are strong. We are resilient. We are American.”

It lives on in the 8-year old boy in Louisiana, who just sent me his allowance and asked if I would give it to the people of Haiti. And it lives on in all the Americans who’ve dropped everything to go some place they’ve never been and pull people they’ve never known from rubble, prompting chants of “U.S.A.! U.S.A.! U.S.A!” when another life was saved.

The spirit that has sustained this nation for more than two centuries lives on in you, its people.
closing remarks
We have finished a difficult year. We have come through a difficult decade. But a new year has come. A new decade stretches before us. We don’t quit. I don’t quit. Let’s seize this moment – to start anew, to carry the dream forward, and to strengthen our union once more.

Thank you. God Bless You. And God Bless the United States of America.

##

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January 26, 2010
» Know Your Competition

Now is a good time to pull out the model we talked about in “Power Tools.” You remember: the Competitive Matrix Model. Draw a matrix comparing your and the competition’s price, products, and cost. Where do your competitors map to? How about you? Are you right on top of them, or are you in one of the gaps in the market? This exercise will show you how likely you are to be in their crosshairs, how aggressive you need to be with pricing, whether or not you can ride in their wake, and how much you need to compete or cooperate.

I don’t know if Ray Noorda at Novell coined this one or not, but the first time I ever heard the word “co-opetition” was from his mouth. The idea is exactly how it sounds: compete, but cooperate. Competitive relationships can and should be fun, lively, and challenging. Hate relationships (like those unfortunately existing between many competitors) are not a place you want to go. Haters are annoying. They just waste energy.

The amount of energy you can expend in a fit of anger or jealousy can be significant, and even if it was motivated by an idea that popped into your head, that idea is usually gone once the tirade is over. New developments inspired by competitive camaraderie are often longer lasting and more respected. Some try to argue the value of a good dose of angry, negative competition, but it is just a short-lived dead end.

As much as you would like to engage in “coopetition,” you still need to know when your customers or affiliates don’t feel the same way. Some years ago, Ron experienced the tip of this negatively competitive iceberg when caught between two companies that seemed to love hating each other. Here is how he learned about hateful competition:

While employed at a large software company in the early ’90s, I had the direct responsibility to sponsor a customer feedback forum. The forum was held at a location that was neutral to all our customers, as we wanted uninfluenced and uninhibited feedback on how we were doing as a service organization. These customers made up our Customer Advisory Council, and their input was critical to our success. In many cases, they had spent millions of dollars on our software and services. They were highly respected in their particular markets and industries.

About midway through the first day of meetings, break time came around. One of our customers, a representative from a worldwide manufacturer and distributor of soft drinks, made his way to the refreshment table. I was standing nearby, visiting with another customer, when I heard a loud expletive. Turning my head to see what was up, he locked on my eyes and exclaimed something to the effect of, “I see our competitor’s products all over this table, but not a single one of ours. Would someone like to explain to me why the %&*@ that is and what the %*#& I’m supposed to drink?!”

Not knowing the intensity of the competition had led us to commit a cardinal sin. As soon as our customers returned to the meetings, we cleaned out every bit of his competitor’s products and replaced them with his company’s brands.

This kind of competition is abundant. You need to do your homework to be sure that you know what kind of competition to expect. Don’t believe it? Well, of a hundred more that I could pen, here comes another example of a rivalry so intense that the companies did stupid, self-defeating things. Once again, it comes from Ron’s bank of stories. Read it, believe that competition can get brutal, and resolve to do better.

When Ron was building the professional services team for a startup software company, his field sales engineer (FSE) was invited to present at a large hardware and software business based in Texas. He was equipped with the latest laptop technology—albeit from a competing hardware manufacturer—and was prepared to give a sterling presentation. This was a presentation that was important not just for the startup company, but for the long-term IT strategy of the Texas company as well.

The FSE was invited into the conference room and settled in for the presentation. One of the potential client’s high-ranking employees watched the FSE set up for the meeting—laptop out, wires hooked to the projector, everything ready for the dog-and-pony show. The employee waited until the presentation was ready to begin and then stood up, walked around the table, stopped in front of the engineer, and told him to unwire
his laptop, pick it up, and follow him.

He led the FSE out of the room and into the hallway. There he “invited” him to stow his laptop in his bag and hand it to him. He then walked the laptop over to an administrative assistant and instructed her to return the laptop to the FSE after the meeting. Returning to the engineer, he said, “Don’t ever come into our complex again with our competitor’s laptops or any of their products. You will do the presentation without our competitor’s gear or not at all. What’s it going to be?”

Never underestimate or misunderstand how your competitor feels about you. You need to know the appropriate amount of sharing and communicating to do. If you can stay away from this kind of brutality, it will be better for all of you. In some cases, however, it’s best to leave the relationship alone completely. If you run up against negative competition, don’t touch it. This is for the good of both companies and anyone
else foolish enough to wander into the crossfire.

Porter’s Points – Know Your Competition

  • After you draw up your Competitive Matrix Model, determine when and how best to approach each of your competitors and then do it. “Co-opetition” does not always mean that you cuddle up with everyone in your market. Be especially careful with the timing of your market entry.
  • For those competitors who react harshly to your friendly overtures, figure out how best to observe their work from a distance and then stay away. As a startup, the last thing you need is for an established business to come gunning for you.
  • Whenever you interact with competitors or customers, think through every detail— technology, refreshments, location, and especially culture. If there is anything that could offend, eliminate it. In such situations, it’s much easier to be a friend up front than to ask forgiveness later.

January 6, 2010
» Whiteboards for Everyone!

Do you like designing on whiteboards?  I do.   Colorful markers against a clean, white surface inspire all kinds of creativity and fun.

Recently David Crossett of Ready Receipts gave me a great tip.  He told me that instead of going to your local OfficeBOX superstore and paying $200 for a 4×8 whiteboard, just hit HomeDepot instead and get a $12 piece of showerboard.  It works just as good and if you need a smaller size they will cut it for you on site for no additional charge!  At that price, you can line your walls with thinking space.  Power to the Consumer–thanks David!

Mike J. Berry
www.RedRockResearch.com

December 29, 2009
» You Own The Culture

One of my favorite authors is Stephen R. Covey. In a book he writes with A. Roger Merrill, First Things First, he teaches that all humans are born with an innate drive to fulfill four basic needs:

  • To live
  • To love
  • To learn
  • To leave a legacy

You must understand and address those needs as part of building your business. Each one will contribute to the culture you develop, as well as to the way your company accepts your leadership. For those of us who have peeled the layers back, it is evident that “leaving a legacy”—mattering—should be the primary focus. Make a difference. Do something that impacts more than just self. Establish worthy aspirations. Establish a culture that allows people to matter.

Not many years ago, I attended Ray Noorda’s funeral. Ray was the man who took Novell, a failing startup with 17 employees, and transformed it into to a computer giant. Novell eventually employed more than twelve thousand people and transformed an entire valley in Utah into a veritable techno-hub. Ray is known in the technology industry as the “father of network computing.” This is a fair assessment, but he was much more than this. He generated thousands of high-paying technology jobs, spawned numerous small businesses, and—of most consequence to me— set a leadership model that enabled young leaders to emerge. As one of those, I have tried, in many ways, to emulate his leadership style.

Ray was a multimillionaire who drove a pickup truck, lived in the same modest home until he died, and was often seen wandering into someone else’s meetings to sample the snacks. As heads turned to see who was moseying in late, Ray would pleasantly say, “Hi, folks. Got anything good to eat here?” He was down-to-earth and his values were real. “Make a real contribution” was not just a mantra for Ray. He mattered, and established
a culture that allowed others to matter as well.

Ray created stories. He did not establish the culture at Novell by lecturing or mandating but rather by making a point to drop by offices after hours and on Saturdays to visit with whoever was in. He would park himself on our desks to see how we were doing, talk shop, and inspire us. Stories that originated with him started in one cubicle would circulate like wildfire. He gave us all the impression that we could add to the Novell culture, and that it belonged to all of us. He took time to educate and inspire us personally through both his interactions and his stories. We learned from him how to behave, what we stood for, and what was expected of us.

Ray’s legacy ranges from larger-than-life examples of business fervor to amusing situational anecdotes. I was present for one of my favorite stories, which took place between Ray and my mentor, Dr. Peter Horne. Dr. Horne had flown in from London for a meeting with Ray and others, and things got started with some small talk. Ray casually mentioned his love for skiing, adding the aside, “But only on Tuesdays.” Dr. Horne, with his proper English accent, asked “Why only on Tuesdays?” Ray responded, “Because Tuesdays are Senior Citizen Day, and I ski for half price.”

Without fanfare or self-aggrandizement, Ray set the tone of the meeting, establishing the fiscally conservative nature of Novell and laying the foundation for a strong and productive relationship between Novell and Dr. Horne for years to come. This was Ray’s way: understated but clear, light but appropriate. I love and appreciate everything that I learned from him.

At Ray’s funeral, the speakers gave outstanding eulogies, attempting to sum up several of his key beliefs. Ray wove these into the very fabric of Novell and, of course, his own life. Following are the characteristics I made note of during the service:

  • Believe and trust in people.
  • We all have a responsibility in life. Be faithful to it.
  • Customers first, employees second, shareholders third.
  • Be unassuming.
  • Listen, especially with your heart.
  • Practice integrity.
  • Be loyal.
  • Be true to your own core beliefs, but recognize the need to compromise within parameters that don’t violate those beliefs.
  • Respect the individual, not the title.
  • Marriage is ordained of God, and is your first priority in life.
  • Practice fiscal responsibility.
  • Take care of your health.
  • Willingly forgive others’ mistakes and shortcomings.
  • Retain your dignity, no matter the circumstances.
  • Give something back.

Ray never put together a PowerPoint on these principles. He didn’t make posters or require us to attend “Company Culture” development workshops. He simply lived and shared what mattered most to him and expected us to internalize similar principles. Ray knew the culture he wanted, and he owned his responsibility to create it.

In owning your company culture, remember that your culture has to work for you. Each company is different, and what might be appropriate for a marketing company could be outrageously unsuitable for an accounting firm. Your culture is about the way your office is laid out, the perks and fun things you do together, and the values you embrace.

Whatever your culture, communicate it. You must be the one to start your own legacy and stand up for what you want to see happen. As an entrepreneur, you have the freedom to pick and choose and develop whatever you want your culture to be. Don’t succumb to laziness or insecurity and simply live and let live. Your culture is your Holy Grail, and you have the power to pursue it and make it your own.

Porter’s Points – You Own the Culture

  • People don’t learn company culture from lectures and meetings. You create your culture by what you do. Map out how you want your company to act, and start acting that way yourself.
  • Everybody wants, somehow, to matter. Show your team that they matter to you and to the company’s objectives. You must balance your administrative duties with your need to lead.
  • How do you want to be remembered? You determine that memory by your every action.

December 28, 2009
» Soccer: More boring with better climax

“Soccer is often mocked for its low scores, but precisely because goals are so scarce, the release of joy is greater than in other sports.” Soccernomics, page 295. Of all the reasons to watch soccer, this is probably the most compelling. Admittedly, a tough football game, grinding tennis match, or nine nail-biting innings of baseball is [...]

December 16, 2009
» The System I Use On My Websites

I haven’t been this excited about a product coming out in a long time.

This is a special interview I did with Peter, the creator of a product to be released tomorrow.

What Peter is teaching is EXACTLY what I do on my websites in terms of the layout and design. It’s exactly what I have my GUYS do for me to make me money each month.

Where it’s different is in his promotion strategy, which is BETTER than what I’ve been doing.

Just listen to this:

Download the mp3
My post about making sales

Get NanoBloggers Here

(when you do, notice the sales process…it’s part of nanoblogging)
(here’s my guarantee)
After buying, listen to the bonus audio (it’s friggin’ amazing!)

 

December 12, 2009
» Would You Do It All Again?

Entrepreneurship looks easy, glamorous and fun from a distance. When you’re in the thick of it, risking your name and credit, things get a little less glossy. When you’re deep in The Dip, when everything seems to be going wrong, when the world doesn’t care, you start to think about quitting. After all, you left a comfortable job with great benefits. You get no vacation days now. Everything is shipping late and costs much more to make than you anticipated. Cash flow just isn’t materializing.  Quitting seems the reasonable thing to do.

Would you do it all again? I don’t mean doing everything the same way you did this time. You’ve learned some valuable lessons from your mistakes. I mean more deeply, does entrepreneurship still matter to you? When you have the next big idea, would you risk it all again?

If yes, you’ve given yourself permission to fail. There is great freedom in that. With whatever runway you have left or Plan B, you can behave with a touch of reckless abandon. You can go “balls to the wall.” You don’t need to be embarrassed by your crazy idea. Nothing can stop you now because, win or lose, you’d do this all over again. Funny thing, this posture increases your likelihood of winning.

December 10, 2009
» Quick To Fire

What happens when you are certain that someone is the right hire, but thirty days later, it just isn’t working out? Don’t let that month stretch into months—or years. If the new hire is not fitting into your culture and doesn’t opt out voluntarily, something needs to be done.

A cultural misfit might be someone who gossips, makes other employees feel uncomfortable, acts or peaks inappropriately, or unsuitably represents the company. Maybe the new hire has proven he or she cannot be trusted. Maybe you just aren’t getting the level of contribution that you were hoping for. Maybe they really aren’t up to the task at hand. The list can go on and on.

What now? Act quickly. You know, they know, and everyone else in the organization knows that the fit is not right—for anyone. Don’t beat around the bush. Go through the necessary steps (whatever you deem them to be), but go through them as quickly as possible. If you wait too long, the bad egg will begin to really smell, negatively affecting the rest of your team as well. Why does it affect the rest of the team?

Everybody knows who does and does not carry their weight. The team all knows who fits in and who does not. If they see someone acting contrary to the goals of your company, they will either begin to feel alienated or they will take that person’s actions an excuse to offer less than their best. Which of these options would you prefer? I’ll take neither. Set the right tone. Do the hard thing with kindness, respect, and courtesy, but do it. Between the two of us, Ron and I have hired hundreds of individuals. Some have worked and some haven’t, but ultimately, rotten apples seldom turn delicious.

Just remember before you fire that certain States are “Right to Work” States. The labor laws in some are tougher than others. It is important to understand the laws of the State where you are doing business—yet another reason you need that savvy attorney as the second most important person in your life.

Also, take caution not to let the rumors fly. It is especially important in a burgeoning company to gather the troops around and communicate any changes that are occurring. The following style of speech has worked well for me:

“Today we made a difficult change in the organization. We had to let John go. We appreciated John’s contribution; however, our needs were no longer compatible. We wish him well. These situations are always difficult, but are necessary at times. This was one of those times. If any of you have any specific questions or concerns, feel free to come and talk with me privately.”

But don’t just leave it at that. Turn the direction of the conversation to your next goal and what you are attempting to accomplish. Leave your team with a positive feeling about their contribution and what you hope to do together. This meeting should last twenty minutes or less. Remember, ninety-five percent of the time, everyone else knows what is going on before you do. They might even be glad to see John go, but don’t let those feelings fester. Turn your team back to your goals and start things rolling ahead again.

Now, lest I be misunderstood, let me add a few words about diversity. I not only appreciate but actually seek out diversity. Conflict can be creative. I have no need or desire for a “yesman” organization. I detest the “good ol’ boy” clubs I saw time and time again in the corporate world, teams staffed and managed by less competent individuals who happened to get along with the right people and offered no diverse opinion, input, skills, or attributes. I detest politically-correct employees who take measured steps to posture themselves and look good around the right people but offer no diverse thinking. Look for diversity, but apply the same principles outlined above.

Porter’s Points – Quick to Fire

  • Trust your intuition as concerns come up. Be ever vigilant of the workplace atmosphere; if things head south, get to the bottom of the problem and fire if you have to.
  • Be courteous but act quickly. It’s best to know things like labor laws and company expectations up front so that you can move swiftly through the firing process without causing too much damage.
  • As soon as you release someone from the company, pull the team together and publicly announce it. This isn’t time to paint a bullseye on the ex-employee; it’s the time to be positive and focus on your company goals to get productivity back on track.

December 9, 2009
» My Business Wish List For 2010

I read Chris Brogans list the other day, and since I want to be like Chris, I just had to create my own list. I like that he has actual measurable goals. Things that you can so yes I did that, or no I missed the mark on that one. The one thing I regret not having completed this year, and one I promised Jason Alba I would complete, was writing one, if not two, books. I have some of one book written, but that doesn’t mean jack. So here it goes.

My Business Plans For 2010:

  • For PressDev, I want to create new site tells the story much better. I’ve been wire framing something, but now it’s time to implement.
  • I want more of my contacts to know and understand what my company does. I want to understand better what my company does.
  • I want to bring several new business sites online. There is a small window of opportunity here, I need to strike fast.
  • I want to publish at least 3 books under the Complete Geek Guide To: title.
  • I want to finish my WordPress Book, I’m Using WordPress, Now What???
  • Then I want to write more vertical books on Enterprise Content Management Systems.
  • I want to help more people put on community driven events, like WordCamps and PodCamps.
  • I want to blog more, and use Twitter and Facebook more strategically.

My Business Wish List For 2010

  • I want to speak at more events next year. Do you need someone to speak on WordPress or Podcasting, contact me.
  • I want to do less coding and more strategic planning and solution architecting. I have 20+ years in the IT field, it’s not my first rodeo.
  • I want to read more.
  • I want to create more video content.
  • I want to stop using all the excuses that keep me from going where I want to go.

These are just some of the things I want and hope to accomplish in 2010. Most importantly, I want to diversify by creating multiple streams of income. Having all your eggs in one basket can cause some serious problems, as I am finding out right now.

December 8, 2009
» Please Pitch Me A Win Win Venture

In my post yesterday, I asked that you not pitch me one sided ventures. Today, I’m asking you to pitch me win win ventures.

Let me start by saying, lot’s of programmers, designers, and other freelancers, are looking for great projects. They want to be part of something as big and bad as you do. Let’s work together to make that happen. I love bootstrapping. It’s the fastest way to get a company off the ground. Synergy, and a good plan, can overcome most obstacles.

I love exploring new ideas. A few weeks ago I attended the Kynetx Impact Conference, and the ideas were flowing all around me. Everyone seemed to have some idea how they could leverage the Kynetx API. I heard some excellent ideas. I even had one. It didn’t turn out to be something Kynetx was suited for, but I was encouraged to explore my idea thoroughly.

I can always get a sense of how good an idea I have when I run it by a few of my good friends. When they give me the “huh, that sounds interesting” response, I know I haven’t communicated my idea well enough, or it totally sucks and I need to go back to the drawing board.

I’ll use an example of someone pitching me an idea, and how they were successful at getting me on board. It started very out innocent. We met for a lunch. We talked about the idea, we sketched some things on paper, we talked about the holes, we talked about the market, we talked about the competitors. We really didn’t talk much about a product. We talked about a vision and an idea.

Then we met a few days later, this time with the understanding we would discuss a project. After about twenty minutes of hearing the enthusiasm, the passion, the commitment this person has made in getting his project off the ground, I was sold. I would have done just about anything he asked. He even eked out a prototype on his own. Rudimentary as it was, I could tell he had put a lot of thought into it.

I would love to hear your ideas. I would love to help you get those ideas off the ground. I would be glad to connect you with people who have the means and ability to rock your project. I’m committed to helping others succeed. Because when you succeed, I succeed.

December 7, 2009
» Please Don’t Pitch Me A One Sided Venture

What is a one sided venture? It goes like this:

I understand you’re are a programmer? Well, I have this great idea for a product, it will be the next killer app, all I need you to do is sign this NDA, write a few thousand lines of code, and take a five percent equity stake in the company. I’ll do the rest.

That is a one sided venture. Why? Because the programmer is doing all the work, for air, and hoping you can do your job; sell the product to investors or customers.

I get this type of proposal at least once a week, if not more. I’m sure there are many projects that have had success with this model. But for the one that succeeds, thousands never make it off the floor.

I would love to have someone pitch me a venture where I’m offered compensation up front for the work I do, AND a stake in the company. Then everyone has skin in the game. Why do people think programmers should take such a risk? Show me you’ve got something invested in the venture besides the idea. Those are cheap, and I hear hundreds of ideas a year. For heaven sakes, I have hundreds of ideas.

That brings me to non disclosure agreements, or NDA’s. If I can get away without signing one, I will. When a lawyer tells you not to discuss your idea with anyone until they sign the NDA, they are smoking crack. Asking me to sign an NDA really tells me the idea isn’t that solid, or you think you’re the only one on the planet with the idea, which of course probably isn’t true. If not signing an NDA keeps me from accepting a project, most of the time it’s ok with me.

Look, if I had time to steal ideas, you would already know that about me before we spoke, which means you wouldn’t be talking with me in the first place. And if it came right down to me signing one, I would probably ask you to sign an agreement giving me full and exclusive rights to any code written. Seems only fair no?

All I’m asking is if you’re in the market for a freelancer to help get your project off the ground, don’t go in expecting they will fall all over themselves to help you, for free. Use some common sense. Show us that you are serious about the product and business. We’ll play ball if the venture seems legit, and you have a proven track record too.

In full disclosure, I’ve excepted work on speculation in the past, but I’ve always tried to give something tangible back in return. I would never expect to get something for free, and use it in a project I am making money on.

[off my soap box, let the flames begin]

December 3, 2009
» 5 Mistakes in Job Interviewing with Examples

I’ve been thinking about the people who apply for jobs and wonder, sometimes, what they were thinking.  I’m actually shocked at the number of people who run off at the mouth and don’t consider what they’re going to say.  I’m also shocked about the resumes and lack of thought that goes into them.  Seriously, consider your market – what do they want to know about you.  Here are some bad examples to learn from, from hiring people I’ve been talking to:

  • Someone calls up and says something like “Oh, finally, I get to talk to someone.  You know how it is, you send out 8,000 resumes and no one gets back to you.”  No I don’t, and now you’re probably off my list.
  • Someone puts their gradeschool to high school education on their resume.  I don’t need to know that much.  In fact, it actually says that you don’t have enough to tell me on the resume, so you need to pad it.  And it wastes our time.
  • Someone calls up and says they are attending law school and refers to themselves as a law student.  However, the college they are attending does not have a law school.  Maybe pre-law.  But they are not a law student, yet.  Stretching the truth in an interview puts you at the bottom of the list.
  • Someone calls up and volunteers out of the gate, “You know I believe that if you go work somewhere and it doesn’t work out, you just need to cut your losses right away and move on.”  I didn’t ask, and now I’m going to assume that it must be more than what you say because its bugging you more than it was bugging me.
  • Someone applying for the job that lives really far away, but doesn’t mention it in the cover letter.  Look, if I lived that far away, I would hate the commute.  What motivates you to the contrary – tell me in the cover letter.

If I appear blunt, I apologize.  These are all good people.  The hiring people with whom I spoke have a job.  Their job is to pick the most diligent and closest fit to our organization.  If you haven’t done the research or have skeletons in the closet, you need to deal with it before you get to them.  If you resume leaves questions in my mind, predict them and diffuse them in a cover letter.  Its a lot easier to craft it in writing than it is over the phone off of the cuff.

Unfortunately, the people I was talking with can’t tell you why you didn’t get the job because they could say the wrong thing and get sued.  However, look on the internet and the comments above, and learn from other’s mistakes.

–Ben

» The Three Most Important People In Your Life

If you’re married (or in some other significant relationship), sharing the following list with your spouse or significant other is often all he or she needs to launch into a horrific harangue. Stay with me, though, as I explain who I consider to be the three most important people in starting a new business. In order of priority, these three very important people are:

  1. Your accountant
  2. Your attorney
  3. Your spouse (or significant other)

My wife has no problem voicing her feelings about coming in third. She fervently proclaims that neither my accountant nor my attorney has ever had to wonder if they were going to live without health insurance or income, or whether they would not see me for weeks on end as I started a new venture. And I agree with her! Your spouse or significant other is actually the first relationship you have to consider when deciding to start a business. Without her or his support, your venture will crumble from the beginning.

However, I order my VIP list this way for several reasons. First, I do it for the fun of forcing a reaction from my wife. (She knows to expect a little bit of this by now, and it enriches our relationship.) My teasing her aside, I cannot overstate how much you need this same support, which brings me to my second reason. Her or his support won’t just magically happen, so you need to open a dialogue about the role of your significant other in your venture. Finally, I use this order to stress how vital it is to ensure that you have the right accountant and the right attorney in your corner as you strive to push your endeavor through its formative rounds.

The reality is that having a spouse or significant other who is willing to embark on this adventure with you is, without question, the most important variable in being a successful entrepreneur. I worked with an individual who had an incredibly gifted business mind and a deep understanding of technology. He was very intelligent, with amazing intuition and market sense. To top it all off, he possessed the rare ability to clearly articulate his knowledge and communicate with engineers.

My first impression of this man was he had the potential to be one of the most amazing entrepreneurs I’d ever come across. We actually embarked upon a short-lived partnership, aiming high and beaming broadly. Why short-lived, then? His wife kept him from ever giving it a healthy go.

She required him to keep his working hours between 8 a.m. and 5 p.m.; anything after 5 seemed to violate the terms of an unwritten prenuptial agreement. Furthermore, his wife—a delightful woman, by the way—mandated a certain level of financial security. She could not stomach the thought (much less the reality) of going without a paycheck for more than a week. She didn’t want to sign up for the risks and rewards associated with entrepreneurship; as a result, he could not, either. His home situation simply did not enable him to consider being an early-stage entrepreneur.

As he did to me, Dr. Peter Horne frequently reminds his protégés of this imperative: “You can replace anything in your life except your family, your health, and your trust relationships.” To this end, it is vital that you analyze your home situation and assess your significant other’s ability to live the entrepreneurial life. In more ways than one, the spouse or significant other of an entrepreneur could be the more difficult role to manage.

During the nurturing stages of the business, your spouse is often relegated to living with a lack of clarity about financial circumstances. To add insult to injury, in this stage spouses tend to live life looking at a control panel that is just beyond their reach. Often, unless they are actively involved in the venture, they share all of the risks with none of the decision-making power.

If your significant other does not have the temperament for this lifestyle, there is no shame in following a different path. As badly as you may want it, don’t do it. You can use your entrepreneurial spirit in some other way—really tackle your corporate work in innovative ways, pick up a hobby, or bootstrap a small business on the side instead of taking the complete plunge.

It is better to come to this realization during the idea stage. Do what you must to secure this trust relationship; don’t go so far down the road that you are faced with a no-win decision. Perhaps, with time, you two can be on the same page. Until you are, trying the waters will always lead to failure on at least one of the two fronts, if not both. We paraphrase this wisdom from the Gospel of Mark: “What therefore God hath joined together, let no venture put asunder.”

Now that you’re convinced that number three on my list should be number one, let’s go back to one and two. Through the years I have tested numerous accountants and many, many attorneys. The reality is that finding the right attorney and accountant is not as easy as it sounds. From my experience, many accountants and attorneys are more eager to tell you “how it can’t or shouldn’t be done” rather than “how it could be done.” You need professionals who can find creative solutions.

There are so many laws and variations of those laws governing how to set up a business that it is crucial to engage an accountant and attorney who are on top of the latest ways to get things done. Many attorneys and accountants are familiar with one or two ways of doing things and hesitate to take the time and effort to figure out different ways of setting up your business. Find an accountant and an attorney who are willing to be creative and uncover personalized solutions that are right for you and your venture.

In all of this, however, I do not promote illegal or unethical activities. Worse than an uncreative lawyer or accountant is a liar—and whether that liar is one of them or you, dishonesty is no way to build a business.

One of my favorite anecdotes exemplifies the necessary honesty-and-creativity-oriented mindset for an accountant. In the early days of his company, an assertive CEO was hiring a financial controller. He invited a candidate into his office and a short interview ensued. The CEO asked the applicant, “So, you know numbers pretty good?” The would-be controller responded in the affirmative. The CEO shot back, “What’s two plus two?” The candidate paused, looked the CEO in the eye, and quipped, “What would you like it to be?” The CEO hired him on the spot.

One key reason the right attorney and accountant are so important in the early stage of your bootstrap adventure is cash flow. You must understand the implications of the tax structure you are setting up. You must understand the ramifications of tax laws and why cash accounting may be more appropriate than accrual-based accounting. You must protect your asset, your intellectual property, your good name, and your reputation.

Savvy and intelligent accountants and attorneys are critical. The right attorney can be used as a hammer in difficult circumstances. Consider what course you might be forced to take at the butt-end of a deal involving unscrupulous customers, partners, or employees. Could you use a tenacious and assertive attorney? Unequivocally, the answer is yes.

Don’t guess! If you are uncertain about where you stand in these relationships, do some digging. Talk openly to your loved ones, make plans and promises, and do your research on the people you hire to handle your affairs. This foundation builds your successful team. If your spouse or significant other is on board and if you have a clever, assertive attorney and a creative, energetic accountant, you’re well on your way to success. I cannot count the times along my entrepreneurial trail one of these three people has saved me from charging over a cliff. It really is as simple as that.

Porter’s Points – The Three Most Important People in Your Life

  • Do not attempt to replace your family or your trust relationships with your entrepreneurial dream. Find alternate ways to build your dream and test the waters if you need to. People and circumstances may change with time
  • Look for an accountant and attorney with a “can-do” attitude. If one of these two crucial people gets annoyed when you ask “Is there a better way?” then you know you need a better fit.
  • Listen to and for the truth when you talk to these three most important people. It may hurt a little at times. You need someone willing to dream, but you don’t want to be fed peaches and cream when what you really need is spinach and broccoli.
  • Seek to surround yourself with young, hungry individuals, as opposed to stodgy, set-in-their ways corporate counsel.

» “I Can Only Sell What I Like”

How many times have you heard this? How many times have you yourself said it? I too have been guilty of it.

The problem with being able to sell only what you like or “believe in” is that you never have to improve your sales skills. You get to brush aside every failure to sell something simply by saying, “I didn’t really believe in that.” Or you get to take a pass on a great sales opportunity that requires you to learn a new industry, sell to higher level executives, manage longer sales cycles, and close bigger deals. Simply by saying, “I don’t believe in that product or service,” you get to avoid all that intimidating professional and financial growth.

The real problem with this way of thinking is that it is solely focused on you. We know that the most successful companies and sales superstars have a customer-focused way of looking at the world. When deciding what to sell, wouldn’t you rather figure out what others like and believe in?

Here are 3 factors to look for when choosing sales opportunities to help you avoid the easy out of not believing in something.

1. Is the product or service ethical? I’ll leave you to decide what is ethical but if it doesn’t conflict with your deepest held values, you can’t write it off.

2. Will customers want the product or service? Will they find value in it? If yes, you can’t write it off.

3. Is the market for this product or service growing? If yes, you can’t write it off. This last point is all about finding the right platform for your sales career. Think of your sales career as a boat. You want to sail in a rising tide that lifts all boats. You wouldn’t want to be sailing the newspaper print advertising waters right now.

Two out of these three factors have nothing to do with you. The best and most successful sales professionals are extremely good at optimizing points 2 and 3. That’s because they’re focused on others and not themselves.

Of course we do better when we do something we believe in. Just be sure you have faith in your ability to grow.

December 2, 2009
» TiWi in the Car – Big Brother, Big Savings or Helping Teens Drive Safer?

I just saw some information about TiWi last night. Its a little box that you stick in your car that “watches” the car’s movement. It vocally warns of speeding violations, fast corners, seat belts, and leaving parent designated zones through an onboard speaker. And if you don’t listen, it will rat you out to your parent’s cell phone via a text message. In fact it may rat you out to your parent anyways with its arrival notification feature (ie Daughter arrived at school at 8:17 text message). It looks like the introductory price is $599 plus about $30 a month.

Its pretty amazing the reaction it gets from folks. I’d call it pretty polarizing. Some people believe that its too invasive and discourages trust. Others seem to say that it allows them to give their kids more freedom because they know where their kids are. Personally, I’m of the camp that says “You can drive my car, but you follow my rules. Don’t like the rules, don’t drive.”

Now, whether or not I use the device? I’ve got a few more years to decide.

–Ben

December 1, 2009
» Free Droid Apps – Free Recommended Must Have Apps

Just a quick List of my Must Have Apps for Droid

  • Locale – Make your phone context sensitive – turn off alerts during sleeping hours, or use gps to turn off the sound, but vibrate when you’re at the grandparents. Totally worth it.
  • WiFi OnOff & SilentMode OnOff – Widgets on your homescreen that quickly turn features on or off, rather than through settings or holding down the home button. Also show status.
  • RingDroid – Make your own ringtones from your music. Talk about Finally!
  • AudioManager – See the status and change the volume settings individually. Has caused my phone to hiccup a few times. May want to be careful. However the status screen of each volume setting makes it worth it.
  • Jewels – Bejeweled clone that works great. However, it now comes with ads at the bottom of the menu screen. Skip if you can’t stand adds.
  • Cestos – Funny multi-player ball game, as in over the internet. Addicting.
  • Color Flashlight – Don’t tell me you’ve never used your cell phone to see in the dark.
  • Where’s My Droid – Send your droid a text message and the volume will kick back on and start ringing. You can even text your phone and activate the GPS. So if you use lattitude, you might be able to find it.
  • Speed Test – I wanted to know how fast Verizon’s 3G really was.
  • Barcode Scanner – Comparison Shop by scanning the barcode of an item.
  • Astro – File Manager and Viewer (why does droid not have this built in?)
  • Toddler Lock – If you let your kids play on your Droid (really?), Lock down your Droid and let them fingerpaint and make shapes.
  • Touch! 4Kids – Animal shapes fly across the screen and the kids have to touch the shape.

–Ben

November 30, 2009
» Total Cost of a Droid vs. iPhone vs. Palm Pre vs. My Touch

BillShrink.com has a good graphic they gave permission to repost on the cost and features of each “App Phone” as it seems that the new classes of phones are called. Personally I would get an iPhone or a Droid. I love my Droid except for the stupid back battery cover. The reason I have a Droid is that I’m stuck on Verizon because of the free mobile to mobile to family (switching them was out). Anyways, see below for the comparison.

Motorola Droid vs iPhone 3GS vs Palm Pre

Find the best cell phone plans and more graphics at BillShrink.com

–Ben

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» 2009 Xmas Price Index – Christmas is up a Small Amount

PNC has just released their Christmas Price Index again. The cost of one full verse is up 1.8% to $21,465.56. While the True cost of Christmas is up to $87,402.81 with all verses, a gain of 0.9%.

You can get just the“Xmas Stats” if you want.

–Ben

November 27, 2009
» Buzz Your Business Interview: Jill Lublin

Today’s Buzz Your Business features a special interview with Master PR Strategist Jill Lublin. Jill is an international speaker and the author of three bestsellers; Guerrilla Publicity, Networking Magic and Get NoticedGet Referrals, her latest book to hit the shelves. She teaches crash courses on publicity around the world  and her passion is to help people bootstrap their publicity. That’s the tip she wants to share with you today: How to bootstrap your publicity, improve your visibility and get your business moving!

BB: How would you say bootstrapping relates to publicity?

JL: Guerrilla Publicity is all about bootstrapping; the subtitle of my book says, “Using time and imagination instead of money,” and that means bootstrapping! I’ve always been a bootstrapper myself. I started my own business on credit cards. I’ve grown it and I am now a successful author, I run courses all over the world; but truthfully it started on nothing; some good ideas, and me and my energy! And I think that’s what bootstrapping often is; it relies on terrific people with their vision and their purpose; and then you go out into the world. But you do it smartly, using specific tactics and techniques. In regards to publicity, you don’t go out and buy expensive ads. That would be crazy. You don’t go waste money on high-falutin’ marketing strategies. You take step-by-step replicatable systems that drive profits to your pockets and prospects to your door.

BB: In terms of you own consulting; how would you support someone who is launching a new business and bootstrapping?

JL: The first thing I look at with any client is what I call, “It’s all about your message.” How are you going to get your message out to the public so that the public embraces it and says, yes! I want to hire you. I want to play with you. I want to buy your product or service. And that’s what we’re trying to get people to do; buy your product and your service but without hitting them over the head. We do it by giving them stories and placing stories in the media using what I refer to as, “Everything you’ve got;” which is all about creating a message that works. You have to solve people’s problems and present yourself as an expert. Experts solve problems; so stop thinking of yourself as a widget maker, or a provider of services, instead think of yourself as an expert. So what are you helping other people with? What problems are you solving? Once you focus on that, then you can go into the media, then you can make the media interested in you. It’s never about your business and that’s a mistake most bootstrappers and entrepreneurs make. They keep thinking that the news – and that’s what we’re talking about here, the media, publicity – is all about them and it isn’t; it’s about the readers, and that’s what they need to keep in mind.

BB: What are the three publicity tips you would give to bootstrappers? Are there three things they can do?

JL: Yes, first thing is baby steps. Focus on your message. Don’t just bring yourself out there until you have honed in on your message. That will help you have something to say when you’re addressing prospects without being a deer in the headlights… it will become a script that you can use in networking events, with prospects, clients, customers and with the media.

Number two is become a celebrity in your own backyard. In other words, don’t forget where you live and your geographical region; make sure you get lots of local publicity. National publicity often comes from local, from the city or provincial news. Create ongoing announcements that you can place in the local business journals and the local daily newspaper every sixty days or so.

The other piece that I would suggest is focus on your “ooh and aah factor.” What is it about you that makes people go “ooh and aah” about you? What is it about your personal message that other people would be interested in? A variation of that is to do what I call “Everything you got;” which means capitalizing on your ethnicity or your religious affiliation, so if you’re a Christian, you will want to target Christian media.

BB: What do you think it takes to be an entrepreneur?

JL: It takes guts, determination, focus, commitment, and a “No matter what” attitude, because there’s going to be plenty of “No matter whats.” You have to be willing to keep going and to believe in yourself.  And to stand tall, because sometimes it’ll be all rough, sometimes you won’t know where the cash flow is coming from and sometimes you’ll be praying for your next customer, but by being consistent and persistent – those two key words are very important, consistent and persistent – and if you focus on publicity, marketing and keeping your vision forward, no matter what, then you will find success. I know very few people who don’t who are that committed. So keep going and keep a “No matter what” attitude so that you can stay in the limelight.

BB: How did you get your idea for your current business?

JL: I was working in the music business helping musicians promote themselves and I found out I was really good at it. That was after going to law school for a year, which I did not like because for a creative mind like mine, it just wasn’t the place to be. So I ended up working for a music business attorney, and the music side of the business was interesting so I started promoting entertainers and musicians – usually for independent record labels. Then I started working my way up and became Director of Promotion and Publicity at several independent record labels. And here is where I learned to bootstrap because I was working for independent record labels with no budgets and no marketing department besides for me – I was the marketing department – and I could see these big record labels marketing departments with two million dollar budgets! I mean, give me two millions and I’ll make anyone famous! But we had to do it with zero budget, or by bootstrapping, or with fifteen thousand dollar max. We once sold out a Carnegie Hall show before the artist even arrived in New York! We used what is now called viral marketing and which I then called grassroots marketing. We used all our resources and got very creative in order to build interest for our artists. That’s were I got started and then I opened my own business because I thought if I can do this here, I can do this for others as well. And I love working with all kinds of businesses and all kinds of entrepreneurs because each one presents a new challenge, a slight variation on the marketing aspect, and this brings together all my bootstrapping ideas and my Guerrilla Publicity techniques. And it all serves to move entrepreneurs forward and my commitment is to helping entrepreneurs get their message heard. That’s what I am all about.

BB: Do you think it’s important to have support from friends and family when running a business?

JL: Yes, it’s important. I am not saying that you’re always going to get it because they’ll look at you and say, “gosh you’re not making any money,” or “how come you can’t afford this or can’t afford that?” What can help with that is to set out rules and have a strong foundation and get help for the gaps in your knowledge. Mine was around financial literacy and how to structure a business. So I got trained and I also got a team around me. I am all about hiring a team, even if it’s for one hour a week, if that’s all you can afford. Or get an intern, who does not cost anything except for my time and consulting and that’s a very good bootstrapping idea.

BB: Do you think it’s important to be aware of your higher purpose in business and if so, is your higher purpose related to your business?

JL: I think my life, my business and my spiritual practice; it’s all become one now. It wasn’t always like that and in fact I used to feel quite a bit of frustration because what I always wanted was to touch people’s hearts, connect people and help them get their message heard. And then I found myself in a man’s world of business and then I realized that this is exactly what I got to do! Touch people’s hearts, connect people and help them get their message heard! So yes, I want to be one with my life, my business and my spiritual life. Before I go on stage, I pray. I hope that I will touch the hearts of the people in the audience. I pray for God’s words to work through me so I can touch others. I pray that I can give them benefit and value by my being in that room and that I too shall be supported, because it is a symbiotic relationship, of course. I feel that I am here to do God’s work, and I don’t think of it as religious but a spiritual calling. Right now I am doing God’s work by helping people get their message out and that’s pretty powerful. I am also working on a TV show about hope, called “Messages of Hope” and that’s powerful too and that’s part of my calling. It’s important to structure my business so it works, financially, physically, emotionally, spiritually. It’s all about doing what works for you.

BB: Does spirituality or religion play a part in helping you succeed?

JL: Yes. In the past few years, I have been working closely with spiritual mentor Bill Bowman. Prior to that, I had always been committed to my transformational work. I am very business oriented and I am very structured in many ways but then I have this spiritual world where I have always gone to learn about transformation and practice it too, first in myself and then in the world! I believe that as we heal ourselves, we heal the world and how fabulous it is for me that as I heal myself, I heal my clients and that, who I become, they become and we can all rise to the top together! So I am very committed to my growth and transformation, I have always been a seeker. But I have noticed that in the last few years of working with my mentor – who is very gentle and all about spirituality and soulfulness – I have noticed my business increasing, my revenues increasing, my clarity around my mission expanding, my level of peace expanding, no matter what is happening in the outside world and we all know it’s been a wild ride.

BB: One of Bootstrap Business’s principles is “Know Your Channel,” and I imagine that in publicity it’s very important to not only know your message but who wants to hear it. Could you share some comments about channel and PR?

JL: In that regard, what I would do is look at your target audience; you have to find your market. Once you determine that, you have to ask: what are they reading, what are they watching, what are they listening to in the media? And then you go after that. You want to get your message heard in those areas. One of the first sessions with my clients is all about that. So you call it channel and I call it reaching your target audience, but it’s the same thing. Who are they, where do they live, are they in your region, are they national, or international, are they in your age range, are they men or women, do they belong to a certain group either ethnic or otherwise. Those are the questions you need to answer and those are your channels. The good thing about those channels is that they each have media specifically oriented to them and that’s a good thing.

BB: Do you have any rules or guiding principles that you use in running your business?

JL: If it ain’t fun, don’t do it. And that includes working with clients now if I can see some… let’s call them warning signals. It’s come to a point where I won’t work with people if they are too demanding or too difficult to work with, or simply not enjoyable because life is too short. And I have rules in my business. I have no-refund policies; I have contracts people have to sign. I am much more structured. I know exactly how long I spend with each client. We have a system now on how to reach people and I think that having systems in place is a good guiding principle. In publicity, it means making replicatable and duplicatable systems and the truly magnificent thing to me about how I work with people is that they get to do this over and over again.

BB: What are the top three things people should make duplicatable in regards to their publicity?

JL: The first thing is how they send out announcements and what they do with them. The other is the step-by-step formula, like what are they going to do every day, every week, every month or every quarter. The third thing is having someone who is scripted and who can smile and dial; someone who will get your message heard and get people to pay attention to you.

BB: How important is it to set goals and reward ourselves when we meet those goals?

JL: I set myself a monthly revenue goal and, each day, I write three high value activities that I am going to do to meet that goal; those activities have to be measurable in both time and money and this is a powerful strategy that has guided my life for the last few years and interestingly enough, reaching my monthly revenue goal is often dependent on whether I accomplished those three high value activities. I highly recommend it!

Thank you Jill!

For more info on Jill Lublin, her books and her schedule of courses please visit: www.jilllublin.com

To find her books and more on Amazon.com: http://tinyurl.com/ydxxwex

To win a chance to get your business buzzed on our network, please send an email to: buzz@bootstrapbusiness.org


November 23, 2009
» Exercising Power vs Doing Better Work

Apple Inc.

Image via Wikipedia

Paul Graham has a new essay called Apple's Mistake about how badly the AppStore approval process is broken. This line speaks volumes:

An organization that wins by exercising power starts to lose the ability to win by doing better work
From Apple's Mistake
Referenced Mon Nov 23 2009 08:40:31 GMT-0700 (MST)

Go read the whole thing and ponder what it means to organizations whose success is measured by the degree to which others use their platform.

Tags: apple appstore business

November 20, 2009
» Time your Email Marketing Well

One thing I’ve learned recently is that I become really annoyed with people who send their bulk email out at 4am. See I just a Motorola Droid and have been loving it. However, I also connected it to my work account. I like being able to respond to my clients quickly with an “I got it” or a “I’ll look it up” such that they know that I’m on their side.

But, if I forget to turn off my ringer – my phone would give a notification at 3am or 4am when some companies send out their bulk mail. I was not pleased

Guess what? I just opted out of emails that I had previously opted-in. All due to their poor timing. Merchantcircle – I’m looking at you.

There is another option for Droid users like me (or other android versions). I’m now using the app “locale” to shut my notifications off between 11:30pm and 6:30am. Its disappointing that I have to do that, but email marketers seem to be clueless. Seriously, consider whether anyone wants to receive email at 4am.

–Ben

November 19, 2009
» Going from “1 sale a week” to “1 sale a day”

Devin made me this nice video the other day asking for some advice.
I think the question is pretty relevant to most IMers.

Here’s my response

Get Flash to see this player.

The one thing I forgot to talk about on my video is that I would probably install http://www.crazyegg.com on the site to see what people are currently doing when they come to your site.

Good luck!

» How did LA Galaxy and Real Salt Lake make the MLS finals? They ingested magic herbs and super juice, of course!

As if Major Leauge Soccer didn’t have enough credibility challenges, the two opposing teams playing in this weekend’s championship will be outfitted by two suspect companies—as they have been all year. In one corner, you have the LA Galaxy sponsored by Herbalife, a multi-level marketing company out of Los Angeles that sells magic herbs. In the [...]

November 12, 2009
» Please Leave A Message

One aspect of your “office” that often goes overlooked is your phone system. If you are working hard to create a professional appearance, don’t ruin it by neglecting this component! Think of your personal phone. Does your voice mail message sound something like “Hey dudes, this is Joe. Leave me a message and, umm, I’ll get back to you when I feel like it.” Let’s hope your office phone doesn’t sound like that! If it does, fix it right now.

Even if you have to use your home or cell phone as your main contact number, you can record a professional message. Compare this one: “Hello, you have reached the office of Joe Johansen. Your call is important to me. Please leave a message, and I’ll return your call as soon as possible.” Potential and current customers and vendors respond well when you act big. Yes, you may get some ribbing from your buddies, but if it helps solidify a deal, it’s worth it!

If you have a little more time and resources, consider a phone with an automated answering system. When I called the “corporate offices” of one company I dealt with, I was greeted by a recording of a woman with a classy, zipped-up British accent that was incredibly pleasing to the ear. The recording came across as spicy and engaging, exuding the appearance of a large and progressive company. It was golden!

Even though I knew there were only three people in a teeny Southern California office behind the recording, the casually elegant accent won me over—almost. As the woman’s voice concluded, I heard a man say, “You’ve missed us in our office; our normal business hours are 9-5. Call back during that time, or press extension 1 for John, 2 for Fred, or 3 for Mary.” Talk about dumping their gold into the dirt.

Rookies often make two of the very same mistakes: they allow direct access to the decision makers and they give away the exact size of their organization (three people!). As far as possible, build a buffer between you and the ringing phone. If you don’t actually have an admin, take turns “playing” admin for each other. It gets a little complicated, but it’s worth your time. On the second mistake, it would have worked much better to go through a list of possible “departments,” rather than names. For example, “For Sales, press 1. For Accounting, press 2. For Support, press 3.” Direct the calls to whichever line you’d like—if John deals with the sales end of things, route those calls to him. When he answers, “Hi, this is John in Sales,” nobody will be the wiser.

Another great trick is to offer a “company directory” function, where callers type in the first three letters of the first or last name of the person they are trying to call. Voila! Without ever knowing that Mary is only one of three people in the office, callers instantly have her on the line. Usually, it’s only sales reps who will catch you on this. If they call and have no success with their pitch in “Accounting,” they often call back and try “Support,” not realizing that both numbers forward to Fred. But it livens up a Monday afternoon, that’s for sure!

During the time I was working from my home with my blown Achilles tendon, I got in contact with the president of a large regional mortgage firm. At the time, I was working out of my basement. We had managed to outsource some leads to a call center and had received a great referral from another colleague that led to this executive’s company. I called this president and acted very calm and confident, when in reality I knew very little about how mortgage leads even worked. With a little bit of luck and some superior B.S.-ing skills, I managed to confidently navigate my way through the discussion.

At the end of the call, the executive pulled in his vice president, and said, “Rich, let me introduce you to Mike. Now, Mike is going to be managing this relationship, and Mike, I really want you to treat these guys right. This isn’t a couple of guys in a back office rubbing two dimes together!” At the time, I remember thinking, “Nope, no back office here—I’m in my basement, and it’s not dimes I’m rubbing together, its pennies!” But because I was confident and we did the job well, the two of them never knew.

It doesn’t matter where you’re doing business, you must project confidence and competence. Your service or product is worth the customer’s investment, so you have to be careful to never sound desperate. When people call, have someone else answer the phone. Schedule specific times to speak to new clients, and make sure you’re not always available. It’s a balance between being ready and playing hard to get.

Porter’s Points—Please Leave a Message

  • Be polished and professional, even if all you have is your cell phone.
  • Use your phone system as a buffer. You may not always need to use the buffer, but when you do you’ll love it!
  • If you lack confidence and technique, the person on the other end of the line will see right through you. Be assertive and skilled, and callers will have no reason to think that you are anything but—even if your “organization” is just you and a laptop at a card table.

November 11, 2009
» Come Learn About SocialToo At LaunchUp

SocialToo.com - Your Companion to the Social WebI’m opening the books tonight on my company, SocialToo.  I’ll be presenting tonight at Launchup, an event compared to be a “community barn raising for entrepreneurs”.  The event happens every couple months and has featured such Utah companies as TodaysMama (whom I am an Advisor) and Entice Labs.  The idea is to allow each company a short time to present (I have 7 minutes), expose themselves in as transparent a manner as possible, then let the community ask questions and provide advice and help in helping that business grow.

Tonight I’ll be sharing all the details most businesses won’t share about themselves with SocialToo – yes, it’s a risk, but I am a big believer in transparency. You’ll hear about how many users we have, how much revenue we’re bringing in per month, where I see our weaknesses and strengths to be, etc.  I’ll show you a demo about how you can get set up with a SocialToo account and DM spam filters for Twitter in under 2 minutes with just the click of a button.

This week Launchup will also start bringing these entrepreneur features to the world with Ustream.  You can watch anywhere in the world on Ustream at http://www.ustream.tv/channel/launchup or on the main website at http://www.launchup.org/live.  The event starts at 6pm, and will also feature presentations by MuseBuzz and PageMass (which I got a demo of yesterday – I think bloggers are going to like this one).  Launchup is organized by Jeremy Hanks, CEO and founder of Doba.com, another Guy Kawasaki Advisorship company (as is SocialToo).  Come join and say hi!

You can read a brief Q&A I did for them at http://www.launchup.org/2009/11/09/socialtoo-qa/.


November 6, 2009
» From the depths of my hard drive: Reason No. 356 my logo is awesome

Simple Photoshoping of my company logo turns an otherwise crappy stock photo into digital wonder. Did this years ago but never had any use for it… until now!

November 3, 2009
» Porter’s Preface: Act Big, Behave Small

In this next chapter of Bootstrap Business, Act Big, Behave Small, Rich teaches the necessity of acting like a large organization when bootstrapping your start up business.

When Rich leaped from the corporate world into full-time entrepreneurship, he hadn’t intended to land in bed, but there he was, totally immobile and staring down the barrel of months of unadulterated bed rest. Days after quitting his job (and leaving behind his steady paycheck and benefits package), he snapped his Achilles tendon while playing basketball. Instantly, he was bedridden; his only option after the initial intense pain and discouragement was to build a company right from home. His wife and son wired up a computer with Internet access and off he went, starting the business while propped up on pillows.

After a month or two of crafting and building a model that worked while lying in bed, he brought in a partner and then an employee. The two of them would show up for work, check in with Rich— still in bed—and go down into a small office they had created in the basement. If they needed to talk to him, they headed back upstairs and into Rich’s bedroom.

Eventually, Rich healed enough that the big event of the day came to be his hopping downstairs to help coordinate his little group’s efforts. Though far from ideal, the situation worked. Since their company generated mortgage leads, they only needed a computer, the Internet, and a telephone to connect to both the lead generators and the lead buyers. Their leads rose in quantity, and soon they were servicing major mortgage brokers in the United States.

There was one especially tricky aspect in all of this: maintaining a professional image. The entrepreneurs weren’t the only people inhabiting Rich’s “office.” In addition to the two partners, the one employee, and the one wife, there were six children ranging from ages two to seventeen. Dad had to establish a special signal for when he received an important phone call. Even then, he could only forestall the banging piano, children’s laughter, teenage music, and other household noises for so long before they would resume. Rich would much rather have gone to an office away from the distractions and noise, but he had no choice. He didn’t want the business to suffer, but recognized that one major purpose of childhood is the joy of making large amounts of uninhibited noise. He also knew that for the business to come across as competent and professional, he would have to “act big.”

Acting big is different from behaving small. Although Rich’s scenario was extreme—and not ideal—the situation forced Rich into very small quarters and into acting like anything but a guy lying in bed with his employees down in the basement. As soon as he could walk and drive, Rich and his buddies moved into an office, but even then it was still just the three of them. To succeed in the early stages of entrepreneurship, do as Rich did: he kept his behavior frugal but prevented himself and treated his clients as though he were a serious, big-time business. And you know what? He became one!

October 27, 2009
» Aim, Aim, Aim, Fire

Once those rabbits jump, you need to figure out if the ones you have a shot at are going to make much of a meal. The danger of firing first is that you can get caught up in the hunt and lose sight of your objective. All that initial shooting is just to show you what’s out there. After you get some action, you must have the discipline to decide: which rabbit do I go for? Imagine yourself as a stealthy lion focused on one zebra and one zebra only. You’re ready to pounce and start chasing that one zebra. It’s the same with your rabbits. You need to focus on just one or two, rather than running all over the field after every last one. Simultaneously chasing them all is a surefire way to go home empty handed. Interestingly, the skill that it took to find the opportunities is the exact opposite mindset needed to transform one into success. It’s time to Aim, Aim, Aim, Fire!

I know another young, idea-rich entrepreneur whose ability to stumble across ideas initially fascinated me. He would think up a dozen different ventures at the drop of a hat and start to build one up a little. If another great idea didn’t take its place, he’d soon get bored and jump on the next big thing. This is the “a rabbit, a rabbit, a rabbit!” syndrome. He bounced from opportunity to opportunity but never exerted enough focused energy to make even one of his ideas fruitful.

One of my business associates uses an analogy to describe this that I love. Imagine that you are standing in front of four different soda machines. To get a soda out, you have to put four quarters in. It so happens that you have exactly four quarters. You approach the first machine, put a quarter in and hit the soda button. Nothing happens. You get frustrated and leave the machine, going to the next machine to stick in another quarter. You continue the pattern until you’ve dumped four quarters in four different soda machines.

Only then does it hit you—you’ve expended all your means and you’re still thirsty! So many people put their four quarters in four separate soda machines, then stand there pounding on the door and wondering why the soda isn’t coming out. If you want to drink from the deep, refreshing well of entrepreneurship, you must put enough focused energy at the right time into one soda machine.

I remember one really great quarters-and-soda machines moment. I was working at Mitsubishi Electric with a team that developed motherboards. Competition in the market was intense. To make its way through the thick underbrush, the team quickly investigated the market using the trusted Fire, Fire, Fire, Aim method. Ten to fifteen opportunities jumped up immediately, but some proved more valuable as we examined each rabbit. Even so, I recall how painful it was to mentally transition to the Aim, Aim, Aim, Fire mindset with all that plentiful game hopping around, just begging to be shot. However difficult it was to leave some of the rabbits behind, it was a critical transition.

More rabbits were to come. Through the team’s investigations, they wisely discovered a niche and established some barriers. It appeared that most companies were focusing on motherboards with frequent component rotation. Our team decided to target a more stable motherboard market for gear like medical apparatus, video game machines, and gambling equipment.

At the same time, Dr. Horne, my mentor and the worldwide head of Mitsubishi’s PC division, had established several strict parameters for us in accepting orders for the motherboards. Specifically, he mandated that we not accept orders unless they were at least $100,000. This was my first time in the role of general manager; while eager to earn my stripes, I wasn’t mature in the GM role. Although I agreed to the limit, I found it difficult, as our shooting had turned up plenty of smaller prey.

It frustrated me to no end that I had to let a number of lower contracts go by. How would we ever sell anything? Suddenly, my dismay quickly turned to exuberance as we landed a seven-million-dollar-per-year deal. Dr. Horne was right: waiting for the big fish was worth it. For all of the extra effort it takes to support a smaller client, you don’t get nearly as good of a payout. If we had tried to hook all the little fish, we would still be struggling for pennies that wouldn’t have even made a dent in our eventual catch.

Porter’s Points – Aim, Aim, Aim, Fire

  • It will be hard to make the move from Fire, Fire, Fire, Aim to Aim, Aim, Aim, Fire. Set a limit in the amount of firing you will do; once you have hit your limit, start aiming and pick the best ideas. Focus on only one or two.
  • Always write down all of your ideas (Rich and I call this list the “parking lot”). If you reach your cease-fire limits on personal time, duration of the venture, or cash flow, you might be able to take a shot at some of your parked ideas.
  • Decide right now what kind of customers and orders you will accept. What are your requirements? Visibility? Sales volume? Sustained ordering? Say “no” to those that don’t fit.

October 22, 2009
» Fire, Fire, Fire, Aim

I grew up in a rural community and loved rabbit hunting as a teenager. Sometimes, it proved a tricky pastime. When I’d enter a field or wooded area looking for game, I didn’t always see my target right away. I had two options for finding a rabbit. The first involved sneaking stealthily around the bushes and shrubs, .22 at the ready, until I discovered my target. When I saw a rabbit, I could take careful aim and squeeze off a shot. Bingo. The long hunt was rewarded—assuming I found a rabbit to shoot. The second method involved casually sauntering up to any given field and rattling off 10-20 rounds into the bushes. No aiming required! But, boy, did it work!

While the first method might seem like a more traditional form of hunting, I found the second method to be wildly successful. Here’s the thing,
though: I wasn’t just firing blindly and counting on a random hit. This rapid-fire method, for the price of a little more ammunition, gave me useful information in much less time. I learned that shooting randomly into the bushes startled the rabbits, causing them to jump out of their hiding places. One rabbit’s jump made another pop up—and then another and then another—and then pretty soon that “empty” field was hopping with rabbits. Instead of spending all my time looking for just one, I had all sorts of choices. Rabbits were everywhere!

During my first five to seven years in business, I assailed the business world with the stealth and cunning I learned from my MBA classes. I quickly discovered there are many variables in business and in daily life, making it difficult to hit any target with your first shot. Frustrated by how my plans never quite worked, I accidentally discovered a way to change my strategy.

Inspired by my days spent hunting rabbits, I decided just to call up the competition and start acting like I was already in business. I wagered that all I had to do was get as many ideas to “jump” as I could. The new process didn’t involve long, thought-out planning, but rather demanded I go out into the market and actually test the myriad of back-burner ideas I had waiting. It worked.

In the early ’90s, new software releases came out every one or two years. Most software distribution was done on diskettes and CDs. A new release was a huge production that took serious project management, coupled with a forebodingly heavy process of developing, releasing, and updating the software. Then Internet distribution changed everything.

Different versions of software suddenly became available by simply downloading updates from the web, which computers were soon programmed to do automatically. Today, the Internet is so comprehensive that people simply develop a rapid-fire product and go live with it while still making changes. In today’s Internet-driven world, if you take a year to write a business plan, your opportunity is likely to pass you by.

Let’s say that you follow conventional tactics and spend six months preparing a business plan, researching the market, buttoning up your pro forma, and gathering your reserves. Meanwhile, the guy next door has a similar idea but forges forward with testing, releasing, improving, and updating his product.

By the time you’re ready to get down to the business of testing your idea in the actual market, your neighbor has been raking in profits for six months, figured out the “sweet spot,” released his seventh update, and firmly cornered his market share. Usually, the market moves faster than it would take you to line up all your ducks. The best way to qualify and quantify the market is by simply getting out in the field, firing off your ideas, and discovering what jumps out of the bushes.

Don’t misunderstand me: planning is an important event, even in the early stages. The question you must answer is, “What planning is essential for me to hit the ground running?” You only have two steps and then you’re off. John C. Maxwell wrote, “No one can wait until everything is perfect to act and expect to be successful. It’s better to be 80 percent sure and make things happen than it is to wait until you are 100 percent sure because by then, the opportunity will have already passed you by.”

In 2003, search engines were riding a tremendous wave. Several ideas jumped out of the field and I decided to shoot at the juiciest by creating a personalized search engine application. I very deliberately applied the Fire, Fire, Fire, Aim principle. My partner and I quickly dumped about $30,000 into our idea, which went belly-up in a few months. Most companies in that phase would have been out beating the bushes for venture capital, which would have taken writing a business plan and going back and forth with the VCs until we had enough to make it happen.

Don’t get me wrong—the idea could have raised funding, no doubt about it. And with that kind of capital, we could have gone to trade shows, hired engineers, and whipped it out into the market only to discover that our idea wasn’t going to work—after two years of wasted effort and millions of wasted dollars. Instead, we shot thirty grand at a dead rabbit and moved on.

More than saving our time and a VC’s money, though, our one shot earned it all back. Even though our initial good idea was off on the market timing, our shooting did scare up a pair of juicy rabbits that became very successful ventures. We left the initial rabbit behind and had great success—and a lot of fun—chasing the other two down. The point is that we did something. Our original plan didn’t take off, but we got ourselves into a better situation because we were out and active in the market.

Here is one of Ron’s favorite quotes, from Jack London: “You can’t wait for inspiration to come to you.  You have to go after it with a club.”

In the early ’90s, I had a young man working for me who was a very intelligent chap, absolutely fascinated by business. After surveying his options, the young man decided he wanted to purchase some real estate and begin building his own little real estate empire. He met with me several times and picked my brain on what had worked for me. For some reason, even after all our counseling sessions, he never did manage to get around to making the purchases. Every time I checked in with him, he was hot on the trail of a new property, plowing through the numbers and doing the analysis. Ten years later, I still get calls from him about every other year, wanting to talk about real estate—and he
still hasn’t bought anything!

Does this kind of person drive you crazy? Don’t be one! In order to achieve success, you eventually have to quit plowing and start planting. Get out there and do something that allows inspiration to envelope you! You can’t hit anything unless you pull the trigger, no matter how much time you take to aim.

Porter’s Points – Fire, Fire, Fire, Aim

  • Call the competition and ask questions. You don’t need to tell them why you’re calling to find out what they’re selling and how they’re selling it. Talk to administrative assistants and secretaries. They are on the inside track and are often willing to share information.
  • Call potential customers and attempt to sell them your model—you’ll find out quickly if you have what they want. Don’t start with your most important target accounts. Start with the least important one and use the feedback to work out the kinks.
  • Ask advice from everyone you can. Chances are they’ll offer you an earful. Apply what you think will work and forget anything that has no value to your initiative.
  • Run a quick—“quick” being the operative word— model to see if your idea is viable, and then do another quick cash flow analysis to determine if the business can sustain itself. (See chapter3, “Power Tools,” for more about models.)

October 12, 2009
» Incredible: Unread email actually waits for you on your computer!

OREM, Utah — After four convenient but usually bad-habit forming years, I canceled my Blackberry email/data plan with T-Mobile last week. To my surprise, I was amazed that my email would actually wait for me on the computer, as opposed to following me around wherever I went. Now, if I’m away from my desk, my [...]

October 8, 2009
» Reminiscing about Provo411.com and Scraping the Course Catalog

One of my first web development projects and biz partnerships with Brian Stucki was Provo411.com. We were roommates at BYU and conceived of a website where students could share events -- parties, concerts, football games, etc. We were already in our beds for the night when the idea came, but we couldn't go to sleep before buying the domain. I think it was the first domain I ever bought. It was September 2002.

I developed a calendar in PHP and wrote a few scripts to scrape byucougars.com and retrieve the sports schedules. I also developed a WML app so Brian and I could add events to the calendar from our pre-iPhone mobile phones. I recall being at a party in south Provo, in a former dental office, and using my Nextel phone to add the party to Provo411. If you go back far enough, you can see events on the calendar. My brother Alan did the artwork.

I always wanted Provo411.com to have a course schedule alert system. Perhaps students would pay $3 to receive an email or SMS alert when hard-to-get classes had an opening. It shouldn't have been hard technically, but the publicly available course catalog isn't updated in real-time. I could have scraped the authenticated course catalog on Route Y, but BYU might have objected and it'd be a fragile business model.

My brother Michael recently came home from his mission and started school at CSN. The business classes he wanted were full, so I put the old "course schedule alert" idea to the test with some new tools -- Ruby and Mac OS X's speech. Here's what I came up with:

RUBY:
  1. #!/usr/bin/env ruby
  2.  
  3. # a list of course call numbers to check
  4. call_numbers = %w{ 46405 46407 46409 46411 46415 46413 53252 53254 53256 53258 53260 53262 53268 53270 53272 53274 46423 46435 53276 46443 }
  5.  
  6. # auth_token obtained via Firefox+TamperData while my brother logged into CSN
  7. auth_token = "123456789012345"
  8.  
  9. say "Checking"
  10.  
  11. call_numbers.uniq.sort.each do |call_number|
  12.     c = `curl -si -d CONVTOKEN=#{auth_token} -d AUDITT=N -d CALLT=#{call_number} -d CONTINUE=Continue "https://bighorn.nevada.edu/sis_csn/XSMBWEBM/SIVRE04.STR"`
  13.     print "Call number #{call_number}: "
  14.     if (c =~ /<p class="p5">([^<]+)<br\/>/m)
  15.         if $1.strip.empty?
  16.             puts "May have openings\n"
  17.             3.times {say "Michael, class number #{call_number} may be open!"}
  18.         else
  19.             puts "#{$1.strip}\n"
  20.         end
  21.     else
  22.         puts "could not find message"
  23.         say "Help. I cannot access the C S N website."
  24.         return
  25.     end
  26.     sleep 5
  27. end
  28.  
  29. # Ouput an audible message via Mac OS X's speech function
  30. def say(message)
  31.     `say "#{message}"`
  32. end

We set this to run every 15 minutes on the living room iMac, and we turned up the volume. Every 15 minutes we could hear "Checking" from the computer. A few hours later we heard the script announce that a class had opened up. Michael, I'm still waiting for my $3.

October 7, 2009
» Custom Communication Apps

My brother and business partner Gabe will be helping to lead a discussion on FreeSWITCH and Asterisk at the the Utah Open Source Conference tomorrow.

Gabe is the CTO of our small startup company (Izeni), and our team has built, and continues to build, some pretty cool projects based on these (and other) open source telephony technologies.

Some of the recent FreeSWITCH customization projects we’ve built for our clients include a custom call center that can handle up to 100 concurrent agents on commodity hardware, and a distributed SIP load tester that’s capable of pushing thousands of concurrent SIP calls (suitable for stress testing extremely large telephony infrastructures).

But those are just 2 examples of the many ways a company can customize a free software phone switch to enhance their current products or services with open source telephony. Whether you need a hosted IVR (Interactive Voice Response) solution, or just some method to bridge phone calls, record calls, make outbound calls, etc; FreeSWITCH and Asterisk are up to the task.

Anyway, if you’re in Utah and are interested in learning more about Open Source telephony, you should come by tomorrow to check out the discussion. You can also can review the (expansive) FreeSWITCH and Asterisk feature sets. And if you need some phone-related development done for your company, that kind of work is highly specialized, easy to outsource, and right up our alley. We’d love to help!

Along those same lines is something that’s been on my mind lately: I’d be interested in starting a Utah FreeSWITCH Users Group, originally meeting in only in Utah Valley, but hopefully spreading as the FreeSWITCH project comes into more common usage. If you’re local and would be interesting in participating (or leading), please let me know.

And if you think of some way you’d like to have your product interact with phones, text messages, even IM –that’s just what we do. We’d love to help you work through it –even if it’s just to help you see what’s possible.

» WSG Meeting this Thursday Night (October 8 at 7PM)

We’ve got a great event planned this Thursday night. See you then! Here are some details:

When: October 8 at 7:00PM
Where: 374 TNRB at Brigham Young University

BizTech: Building Your Business by Outsourcing – Chad Bennett

FastPitch:
* JiveJive – Cahlan Sharp jivejive
* SelfCritic – Ellis Atwood
* LucidChart – Ben Dilts LucidChart

OpenSession:
* 1-minute ideas (All)
* Discuss ideas

Meeting Sponsors:
Want to help? email sponsor@webstartupgroup.com

Share/Bookmark

October 2, 2009
» Why Theo Epstein Rocks

Successful people, consistently successful people, understand the difference between process and results. A recent article in the Boston Herald about Theo Epstein, the general manager of the Boston Red Sox, shows that Theo understands this principle well. It is the primary reason behind the consistent competitiveness of the Boston Red Sox since the beginning of the Epstein Era. I love this team more than ever because it has become such a model of scientific excellence, marketing genius, innovative management, and patient execution.

Are you judging your personal, professional, and organizational results on a superficial basis? Do you just ask, “Did it work?” When the results are great, people celebrate. When the results don’t meet expectations, people panic or start pointing fingers. I think that’s the typical response. Very much like the New York Yankees under the reign of King George Steinbrenner. It’s the reason why turnover was so horribly high, Brian Cashman and Joe Torre being the exceptions.

Process over results. You should be asking, “Regardless of the results, did we go through the right process?” Design the right process and you can confidently stick to it. The results will still be highly uncertain but you won’t blame yourself for random effects outside your control. You’ll also be able to stay faithful to a good process despite less than stellar results.

September 30, 2009
» How to Survive a Social Media Guru Explosion

Everybody seems to be a “social media guru” these days. Like a real world sausage-fest, the “guru-fest” on Twitter and Facebook where four out of every five members claim to be some sort of ninja, jedi, maven, strategist or expert cannot possibly be a good thing. I exaggerate but echo chambers are not productive. What’s an earnest social media consultant to do?

Before you read on, you should know that I wrote this post only for those folks who are totally committed to the social media “industry” and intend to make a difference and long term careers out of this.

The Service Industry Cycle

Great, you’re in a service industry. This happens to every service opportunity. Something new and exciting happens and a few people move quickly to capture the opportunity. Others see money being made, mistakenly think it’s easy money, and then flood the scene.

We’ve reached that tipping point. We now have too many social media gurus.

How did we get here? The lowest barriers of entry ever before seen in history – except maybe for the world’s oldest profession. Anyone can build a website for little money and tell the world he is now a “social media guru” who will show clients how to navigate social networks. Even more absurd, he can go on a social network like Twitter, set up for free, and tell other members of the social network of his expertise. That’s like going to a hospital and having a fellow patient tell you he can cure your ills.

Plus there isn’t some lazy way to verify the quality of a guru like we have for accountants with CPAs, financial analysts with CFAs, or even clever business people with MBAs.

The Sameness of Promises Problem

If you want to be a successful social media consultant, you need to understand the Sameness of Promises problem. Every social media consultant promises the same thing - increased traffic and eyeballs, more buzz (whatever that means), higher search engine rankings, more followers, etc. By merely promising great results, there is no way to differentiate yourself and stand out from the guru crowd.

Now is the time to grow. To do this, you need to do something drastic, something different.

The Consultant as Curator

Fire your clients. Not all your clients, just your bottom 20% clients. Yes you do need to prioritize your client list. You need to be prepared to do this once a year. Your client list probably conforms to the 80-20 Rule: the top 20% of your clients is responsible for 80% of your revenue or profits. Your bottom 20% clients probably account for less than 5% of your revenue or profits.  You might actually be losing money servicing them.

Why fire your clients? When the promises you make are the same promises every other social media consultant makes, prospective clients have little to judge you on. Your client list is one of the few things competing consultants cannot copy. The quality of your client roster will signal to prospective clients if you’re truly a guru. Think of yourself as a curator of a gallery or museum. You’ve got to constantly clear space for bigger and better projects.

Bottom Line

None of this matters if you cannot execute and deliver on those cookie-cutter promises. But I’m assuming you’ve got the chops. I’m also assuming you want to grow and succeed in this business. You have a finite amount of time in a day. In order to get better clients, you have to free up time by firing low priority clients. I’ll leave you to define low priority. Maybe the readers of this blog can help. What are some ways you define low priority? What would make a client less important going forward?

Image Credit: Eric Weaver at Brand Dialogue

September 23, 2009
» Top 9 things Rudy teaches as a motivation speaker

I heard Rudy Ruettiger speak this month as a guest at a neighboring university. Not only does he have a great story, he’s a great motivational speaker. Admittedly, I went because I love his movie—the greatest sports film ever made. But I stayed for his choice commentary on life, guts, and optimism. These are the [...]