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6 Ways To Fund Your New Business
I’m often asked: what is the best way to finance a new business venture. This question is usually followed by "So, do you ever invest in new business ventures?"
The answers, respectively, are: 1. there is no "best" way to fund a new business; and 2. I do invest in new business ventures, but darn it I can’t today because I left my checkbook in my other suit.
The truth is there are a variety of ways to finance a new business and which way is best for you depends totally o...
Companies Stifle Intrapreneurs At Their Own Risk
I've noticed an interesting trend lately. Usually the e-mail I receive in response to this column comes from rookie entrepreneurs or established business owners seeking my input on startup matters, financing, employee relations, general management and leadership issues, policy matters, etc.
Lately, however, many of the messages are coming from employees of medium-size and large companies who are growing frustrated at working in an environment that they deem (to quote one ...
The Reasons Why Most People Will Never Find Online Success
Q: Tim, I have spent the past few months trying so hard to start an ecommerce business. I have read virtually everything you have written. I have listened in on more than one of your teleconferences.
I have clicked and spent and clicked and spent and clicked and spent. I filled the laundry basket and sold on eBay. I became a Clickbank affiliate (I think I am an affiliate of almost the entire Internet).
I know that it's ironic that I want to make money on the Internet co...
What Does Your Website Say About Your Business?
Q: My business is very small, just me and two employees, and our product really can't be sold online. Do I really need a website?
-- Robin C.
A: Congratulations, Robin, you are the one millionth person to ask me that question. Smile for the cameras, brush the streamers and confetti from your hair and listen closely, because I'm about to answer for the millionth time what has become one of the most important and often-asked questions of the digital business age.
Before...
Is Bad Customer Service Killing Your Business?
It's time to beat the old bad customer service drum again. I know, I'm sick of beating the drum, too, but as long as bad customer service runs rampant through so many businesses I feel it is my entrepreneurial duty to bring it to your attention. So grab a pew and prepare to listen to the sermon I've preached before: bad customer service is the bane of business. If the Almighty smote down every business that dispenses bad customer service, the world would be a much friendlier,...
Protect Your Ideas With Copyrights And Patents
Q: Can you tell me the difference between a copyright and a patent? Also is that something I should let a lawyer handle for me?
A: A wise man once said, "The biggest difference between a copyright and a patent is the number of lawyers it takes to do the paperwork." There is a point to be made there, mainly that if this wise man had paid his attorney to copyright that tidbit of wisdom I probably would have had to pay him five bucks to use the quote.
Copyrights, trademar...
The Big Website Question: If You Build It, They Will Come?
Q: I recently launched a website for my sporting goods business. Do I need to do anything special to attract customers to my website? I know nothing about search engines and marketing as such. Please tell me where to begin.
A: That is a question that has been asked by every business person who has ever launched a website. If I build it, will they come? Of course they will -- if you've built a website that appeals to dead baseball players.
For those of you who didn't ge...
How To Handle The Occasional Oop-See!
Q: My company is really in hot water with one of our best customers. I can't reveal exactly what happened, but suffice it to say that we really dropped the ball and the customer is furious. I'm not even sure we can save the account. What's the best way to get back in a customer's good graces after making such a mistake?
-- Charles W.
A: Without knowing the full story, Charles, I can't give you a specific course of action, but let's start at the sharp end of the uh-oh stic...
Use Noncompete Agreements To Help Protect Your Business From
Q: One of my former employees has started a competing business and is calling my clients and trying to steal their business from me. Do I have any legal recourse against him?
-- Brad J.
A: I hate to break this to you, Brad, but unless this former employee signed a noncompete agreement while on your payroll, there is probably very little you can do to stop him from wooing your customers. You should discuss the situation with your attorney, but unless this person is also br...
Managing Employees Is A Little Like Herding Cats
Q: I started my small business about a year ago and it's grown steadily. I like having my own business, but I'm having a tough time managing people. I have 5 employees now and it seems like I spend half my time making sure they are doing what they're supposed to be doing and the other half of my time doing things they didn't get done. Things were much easier when I was a one man shop. Any suggestions?
-- Paul C.
A: Ah, Paul, welcome to the wonderful world of employee man...
Taking Your Business International
Q: I’m interested in doing business internationally. I have done some reading on the subject, but there is an awful lot to digest. Have you had any experience in this matter and can you suggest the best way to get started?
-- P. Granger.
A: Great question, Mr. Granger, though not one I’m personally qualified to answer since I have not had direct experience with international sales. So like any good columnist without a clue I can either make up something and hope it sounds...
What's The Best Product To Sell Online?
I wish I had a dime for every time I've been asked, "Tim, what's the best product to sell online?" I also wish I had a nickel for every blank stare I received when I answered: "That's simple: information." I'd have enough money to finance another startup or two.
As more and more entrepreneurs move to the Internet seeking their fortunes, "What's the best product to sell online," has become the number one business question of the decade.
The next question is always: "Why ...
The "Other" New Year's Resolution
Since this is my first column of 2004, I thought we'd spend a few minutes talking about those well-intentioned, though seldom kept promises we call New Year's Resolutions.
In addition to "This year I will lose weight!" and "This year I will stop smoking!" and the ever popular "This year I will stop watching reality TV!" one of the more common resolutions made by many folks this time of year is "This year I will start my own business!"
I call it "The American Dream Res...
The Thick Line Between Buddy And Boss
Q: One of my key employees is giving me trouble. He has started showing up late for work and has developed a bad attitude in general. The rest of my employees are complaining since they are having to take up his slack. I've tried talking to him, but he doesn't seem to listen. To make matters worse, he has become one of my best friends since I hired him five years ago, so firing him is out of the question. What can I do?
-- Allen B.
A: One reason I am so qualified to disp...
How To Create Your Own Info Product
In the last article we talked about why informational products are the best type of products to sell online. An informational product can be a digital book (known as an e-book), a digital report or a white paper, a piece of software, audio or video files, a web site, an ezine (electronic magazine), or a newsletter.
Any product that's informational, instructional, or educational in nature can be considered an info product.
If you missed last week's column you might wan...
Don't Fall For The Latest Internet Identity Theft Scam
Q: I use PayPal to accept credit cards for my online collectibles business. I recently received an email that my PayPal account was going to expire in five days if I didn't click a link in the email and give them my PayPal account information. Being naturally paranoid I decided not to give this information and I'm happy to say that my PayPal account did not expire. Was this a scam?
-- Brenda A.
A: Be thankful that your paranoia kicked in, Brenda, because you were about to...
How To Tell If Your Amazing New Product Idea Is Really Worth Gambling On
Q: I have a great idea for an amazing new product. There is nothing like it on the market and no competition that I can find. I think it will be a huge success and so does everyone I tell the idea to. I'm willing to bet the farm on this one. What do you think my chances of success are?
A: I'm a lousy poker player, mainly because I can't help grinning like the village idiot when blessed with a winning hand or frowning like a sad clown when dealt a dud.
I also never mak...
Online Payments Make It Easy For Your Customers To Buy
In the last column we discussed the process of credit card enabling your brick-and-mortar business. I pointed out that research has shown that accepting credit cards can help increase revenue and speed up cash flow. This week we will look at setting up an online payment system for your business website. If you think hooking up a brick-and-mortar location with a credit card system stymies most bankers, try asking them how to do it on your website.
The fact is most banks can...
Maintaining Your Business Website
QUESTION:
Should I build and maintain my business Web site myself or pay someone else to do the work for me? -- Wesley L.
ANSWER:
When you say, pay someone else to do the work for you, Wesley, I am going to assume that you are talking about hiring a professional Web site designer to do the work and not your next-door neighbor’s teenage son. If my assumption is correct, then read on. If not, go ahead and flip over to the comics section. You will get no good out of the adv...
The Internet Tax Man Cometh
Q: I was contacted by the city tax collector to say that my business is scheduled to be audited to see if I owe sales tax on items purchased on the Internet. Can they really make me pay sales tax on internet purchase? I thought you could buy things online tax free? -- Charlie B.
A: Sorry, but your local municipality is well within its rights to audit your business to identify items purchased online. The city can also demand payment of sales tax on those items if sales tax ...
With A Lease, The Devil Is In The Details
In the last article we looked at a few of the things you should consider before leasing that first office or storefront for your business. To recap, you should not only consider the old standard "location, location, location," but also consider things like sufficient parking, the number of employees who will be working onsite, and future growth projections. I stressed that it was important not to get caught up in the moment. You should take your time to find the space best su...
The Business Of Identity Theft
Q: I use PayPal to accept credit cards for my online collectibles business. I recently received an email that my PayPal account was going to expire in five days if I didn't click a link in the email and give them my PayPal account information. Being naturally paranoid I decided not to give this information and I'm happy to say that my PayPal account did not expire. Was this a scam? -- Brenda A.
A: Be thankful that your paranoia kicked in, Brenda, because you were about to ...
Taxing Ebay Part Deux
When my column on paying income tax on eBay profits ran it brought a wave of emails on whether you were required to report income earned from eBay sales to the IRS sparked a number of additional questions and comments from eBay sellers who were hoping that I could somehow validate that their eBay activities were mere hobbies instead of actual businesses and therefore not susceptible to IRS taxation.
Several folks argued that just because their little eBay hobby generated a...
If You Build It, Will They Come?
QUESTION:
I recently launched a website for my sporting goods business. Do I need to do anything special to attract customers to my website? I know nothing about search engines and marketing as such. Please tell me where to begin. -- Sean M.
ANSWER:
Sean, that is a question that has been asked by every business person who has ever launched a website. If I build it, will they come? Of course they will -- if you’ve built a website that appeals to dead baseball players.
...
Franchising Pros And Cons
Last week's question from Anthony R. on how to choose the franchise that would best fulfill his life-long dream of owning his own business sparked a number of emails from other readers wanting to offer their two cents on the subject.
Some folks offered helpful insights and suggestions on how to pick a franchise and a few things to watch out for, while other emails came from current franchise owners asking me to help them sell their operations to Anthony R.
Hmm, sounds l...
Don't Be Afraid To Give Problem Customers The Boot
Q: In a recent column you made the point that the customer is always right, which I agree with. However, in the same column you also said that it is sometimes necessary give problem customers the boot. If the customer is always right, at what point do you think they become so problematic that you should stop doing business with them?
-- Gary M.
A: That column brought a number of emails similar to yours, Gary, requesting that I clarify the line between "the customer is alw...
Teaching The Big Boys To Think Small
Last week I told you about a recent report from The Conference Board that has a lot of big company CEOs concerned about competition from smaller, more innovative and entrepreneurially-minded companies. To refresh your memory, The Conference Board's CEO Challenge 2004 reported that 87% of the 540 global businesses surveyed cited innovation and enabling entrepreneurship as priorities for their companies, and 31% considered these issues of "greatest concern.”
These CEOs unde...
How To Profit Using Ebay's Saved Search Feature
Did you know that eBay will help you locate products you can buy cheap, then flip for a quick profit? No? Then listen up, because I am about to let you in on a little known feature of eBay that can literally stuff wads of cash in your wallet in less than 24 hours.
This is an eBay tool that I use every day to locate products that I can buy and resell or buy cheap and keep for myself and my family. And the great news is you can use it, too.
What is it? It's eBay's Saved...
How To Create Multiple Streams Of Online Income E-course
Do you know what an E-course is? An E-course is an "electronic course" that you receive by email or take at a website.
An E-course is the modern day equivalent of the old correspondence course concept. The difference is that instead of taking the course by mail, you do it online or by email.
E-courses are one of the best ways to continue your education, especially if you are interested in making money online.
I love the E-course concept because it gives you the oppor...
How To Make Money As A Self-Improvement Guru
The self-help business is one of the fastest growing industries on the planet. If you go into any bookstore you will find that a multitude of shelf space has been dedicated to self-help and self-improvement books, tapes, and videos; everything from dieting and building self esteem, to improving your love life and learning to be a better parent.
The trick for savvy entrepreneurs is to learn how to make money with this growing industry even if you are not a self-help guru y...
Do I Really Need A Business License And Tax ID?
I've gotten quite a few emails recently from ebusiness owners who seem to think that just because their business is conducted online or from the comfort of home that the rules and regulations that govern brick and mortar businesses do not apply to them.
The ebusiness questions I get most often do not involve building websites or conducting ecommerce.
They are more what I call the "Do I Really Have To" line of questions, such as:
"Do I really have to get a business li...
What Is The Best Selling Ebay Book Of All Time?
As a bonfide eBay expert and junkie, I read every eBay book that comes down the pike. Some, like Tim Mina's new book, "The Online Auction Expert's Bible to Selling on eBay," are excellent and should be read by anyone interested in selling on eBay.
Others are not so excellent, and that's putting it kindly.
I really can't say which one is the best selling eBay book of all time, but I can tell you there is one book in particular that I have been recommending for over a ye...
How To Create Your Own Ebay About Me Page
Regular readers of this newsletter and my newspaper column know that I am a big fan of eBay's About Me Page feature. This is a special page you can create as part of your eBay account that is linked from your eBay ID (with a little About Me icon).
You can use your eBay About Me Page as a sales tool. Customers can click on your About Me icon to get to your About Me page, which you can set up to include information about you, your interests, and even links to your website.
...
It's All Up To You
Well, folks, we've made it to the end of the year and what a ride it has been. 2005 was a great year for me personally and professionally. I saw my business grow almost as fast as my kids. Both gave me great joy and just enough trouble to keep me on my toes.
I heard from people this year who were making tremendous progress building their eBay and online businesses and I heard from others who were just getting started.
I heard from people who were thriving and I heard f...
Why A Good Credit Score Is Important To Your Business
Do you know your credit score is?
Do you even know WHAT a credit score is?
Don't feel bad.
Most people don't.
Your credit score tells lenders the type of borrower you will likely be based on your credit history. Scores in the United States run between 300 and 950.
The higher your score the more likely is it that you will be approved for loans at favorable rates and payment terms.
You might think your credit score is not a big deal unless you are trying to g...
The Time To Consolidate Your Student Loans Is Now
I don't know if you're a fan of financial guru and radio show host Dave Ramsey, but I certainly am.
I listen to Ramsey every day and find his advice to be based on common sense principles for getting out of debt and building wealth.
One thing that Ramsey recommends is that if you have high interest student loans, you should refinance and consolidate them now to lock in a reduced interest rate and lower your monthly payments.
Other financial pundits agree. Most agree...
What Do Your Business Emails Reveal About You?
I am a huge fan of email. In fact, if you do business with me the bulk of our communication will not be through the telephone, but via email. Email is quick. Email is convenient. Email takes less time than long-winded telephone conversations. Most importantly, email gives me an electronic record of my communications with clients, employees, partners, and vendors; which makes it easy for me to refresh my quickly-aging memory by easily referring back to our electronic conversat...
Please Don't Buy Anything From Me
This has been an interesting week. My company has thousands of customers around the world, so my team and I are used to dealing with customer support issues and do everything possible to make sure every customer gets exactly what they paid for.
And 99.999% of the time our customers are extremely happy.
Then there is that other .001%...
This week I had one customer threaten to hunt be down and shoot me like a dog.
Another said that if she could get her hands ar...
Which Affiliate Programs Do I Personally Recommend?
I personally receive over a dozen checks and commission payments every month from various affiliate programs that I promote.
Last month, those checks totaled more than $10,000 and some months they have been as high as $25,000.
Given my success as an affiliate marketer, I'm often asked what affiliate programs I personally recommend.
The answer is easy because it's actually a pretty short list.
First, let me explain what an affiliate program is.
Affiliate prog...
The Entrepreneur's Checklist
I was asked the other day what personality traits I thought were important to entrepreneurial success. I immediately gave my preprogrammed reply about passion and dedication and hard work. After taking some time later to ponder the question a little deeper (I normally operate in shallow waters), I came up with a more detailed checklist for entrepreneurial success. This is by no means a definitive list, but I'd be willing to bet that if you don't have at least a majority of th...
Santa: The Consummate Entrepreneur
Most people think Santa Claus only works one night a year. Nothing could be further from the truth. Sure, product distribution takes place on one magical night, but Santa's operation runs year round and is one of the largest manufacturing and distribution operations in the world.
You've probably never considered the fact that Santa is the CEO of a large organization that not only distributes a vast assortment of products throughout the world, but does so in a single night...
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