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CYBERSECURITY THREATS: 7 STEPS TO HELP PROTECT YOUR COMPANY FROM MALWARE

A recent urgent FBI cyber-security warning has prompted companies to reboot their computer routers in order to prevent havoc from malware.

JUNE 08, 2018

The FBI released a cybersecurity warning in late May regarding malware originating in Russia. Known as VPNFilter, the government agency is urging anyone who uses a router to connect to the internet to reboot their router.

Since many businesses use routers, the malware poses a serious threat to companies.

“The FBI hasn’t made many statements with this level of urgency regarding cybersecurity, so this should be taken very seriously,” says Adam Levin, founder of CyberScout, a cybersecurity and identity management company. (He’s also the author of Swiped: How to Protect Yourself in a World Full of Scammers, Phishers and Identity Thieves.)

“This is the cyber equivalent of a hurricane warning,” says Levin. “Precautions are necessary.”

About Malware

“The word malware comes from mal, which means bad, and ware, which refers to software,” says Penny Garbus, co-founder of Soaring Eagle Database Consulting and co-author of Mining New Gold—Managing Your Business Data.

“Malware refers to destructive software intrusion,” Garbus explains. “It’s an attack on the data in your system or an attack on your system. Malware can stop you from using your internet access or equipment, steal your data or lock you out of it.

Don’t trust your internet provider to be your only guardian. Consider hiring a professional to add more layers of protection.—Penny Garbus, co-founder, Soaring Eagle Database Consulting

“Hackers and identity thieves use malware to insert themselves into your online affairs,” adds Levin. “Malware can target customer data, including financial records, and, in the case of a botnet, it can marshal your computer’s processing power and internet connection to help power illegal activities.”

Malware as a Cybersecurity Threat

According to the FBI, “cyber actors” working out of other countries (including Russia) have negatively affected hundreds of thousands of routers and other networked devices.

The malware enables hackers to watch and read the traffic that is moving through routers. In the process, they steal data, execute commands, block network traffic and can even “brick” a device, leaving it permanently inoperable.

“The negative effect of malware on company computer systems can be huge,” says Avi Chesla, founder and CTO of the cybersecurity company empow

. “VPNFilter is a variant of the black energy malware. That means it can, at the very least, do one or all of the following.”

  • Shut down your company router, which means no internet.
  • Create a DDoS (Distributed Denial of Service). This is an overload of a system so that it becomes inoperable to the owners of the system. Your company routers could become hijacked and launch such an attack without your knowledge on an outside organization.
  • Redirect your traffic to malicious sites, and then conduct various fraud activities against your company.
  • Demand ransom from your company based on the above actions.

Protecting Your Computer Systems From Malware

If you think your system is protected by basic updates and the like, think again.

“Targeting small-business routers with malware circumvents the most common protections applied to laptops and desktops, and most people don’t update their router firmware,” says Chris Calvert, co-founder and vice-president of product strategy for Respond Software, which provides automated cybersecurity threat protection.

In order to deal with the current potential threat to your router, the FBI advises rebooting your router as soon as possible.

The VPNFilter malware comes in three stages. The first stage consists of the malware waiting in your system for commands for malware downloads.

In the second stage after the downloads, the malware begins exploiting the device and doing harm. And in the third stage, the malware becomes harder to track and better at stealing information.

If your computer system has already been compromised and is in stage one, rebooting will disrupt the second and third stages. Doing this allows the FBI and your internet service provider time to curtail and hopefully remediate the situation.

“To reboot, call your Internet service provider [ISP] or go on the ISP’s website, where you should find rebooting instructions,” says Garbus.

After rebooting, it’s suggested that you disable remote management settings on devices and make sure that the router has new, strong passwords. Enable encryption when possible and update the router with the latest version of firmware.

Other Cybersecurity Tips for Protecting Against Malware

“While having anti-virus and anti-malware software and making sure they are appropriately updated are good protective measures, these tactics don’t provide complete protection,” says Levin. “Hackers work around the clock to find new ways to defeat them.”

Here are seven more cybersecurity steps you can take to protect your computer system.

1. Be hyper aware and vigilant. “Don’t click okay without reading the prompt,” advises Levin. “Also be wary of downloads that require installation and email attachments. Confirm with the sender that the attachment is legit.”

2. Practice good cyber hygiene. “Use long and strong, unique passwords, install a firewall and log out of websites when you’re no longer using them,” says Levin. “Also make sure the software on your devices is up to date.”

3. Use hardware and software firewalls. “If your company is dealing with customer data, you should have both,” says Garbus. “The same holds true if your company has a lot of financial data passing through the internet.”

4. Require documentation from offsite employees. “Ask remote users to share all of their certificate information with your company cybersecurity expert,” says Garbus.

5. Back up all company data. Use a document storage environment and back up software or hardware data.

6. Get expert assistance. “Don’t trust your internet provider to be your only guardian. Consider hiring a professional to add more layers of protection,” says Garbus. “When you do, ask a lot of questions. Have the cybersecurity professional write up processes and procedures and information on access. Get a description of your firewall settings. Also learn the process for rebooting the firewall.”

7. Reboot regularly. “The hardware firewalls and routers need maintenance,” says Garbus. “It’s good practice to reboot the system once a week.”

Project Link
Date: JUNE 15, 2018
© Julie Bawden-Davis

GOT AN INVENTION? HERE’S HOW YOU CAN TURN YOUR BRIGHT IDEAS INTO REALITY

If you think you have the next greatest invention on your hands, take a look at what business leaders have to say about developing your ideas and getting them to market.

JUNE 01, 2018

 

Business owners know that ideas are the lifeblood of a successful company. Those inspired discoveries that lead to inventions are some of the most vital. As National Inventors Month comes to a close, I spoke to quite a few business leaders about how to determine the viability of innovative ideas, protect them and get them to market.”Inventors are inherently problem solvers, and business owners deal with problems all day long,” says Gina Waldhorn, president of Quirky, a collaborative online invention community. “With necessity being the mother of invention, business owners are devising new products, services and software that help them run more efficient and productive businesses.”

Business Owners as Inventors

Entrepreneurs are often inventors, especially when it comes to technology, agrees Vinay Tannan, senior manager of global partnerships and licensing at RTI International. (RTI provides research and development and technical services to commercial and government clients. )”It’s not uncommon for business owners’ products or entire business platforms to be inventions,” he says.

Such is the case for Erin Finegold, founder and CEO of StingRay Shields. StingRay Shields is a patented technology designed to reduce and redirect wireless radiation away from the head and hand during cellphone use.

“I became concerned about cell phone radiation several years ago when my young niece was playing with my phone against her head for quite a while, and I felt the heat from the phone when she gave it back to me,” says Finegold. “I researched studies on cell phones, which revealed the potentially significant dangers of cell phone radiation. That prompted me to invent a durable, lightweight antenna system that minimizes radiation exposure.”

Two Types of Inventions

“There are two kinds of inventions—improvements on existing products and entirely new innovations,” says Eric Lupton, co-founder of L-Squared Technologies.

“Improvements are easier to market because people are familiar with the ideas,” he says. “Completely new products are more challenging, but offer more opportunity for the inventor.”

The route you pursue for launching your product should be in part dictated by the size of the prize and your appetite for risk.—Gina Waldhorn, president, Quirky

Lupton’s invention focuses on an unfortunate reality with a whole new approach to a solution.

“L-Squared Technologies has developed the silver-bullet solution to pediatric vehicular heatstroke deaths—children dying in cars after being abandoned, intentionally or unintentionally,” says Lupton. “The … technology eschews the idea that reminders are the solution and instead focuses on saving children by … cooling the car while simultaneously alerting bystanders that help is needed.”

Because of the constant breakthroughs in technology, inventions in this area tend to be new.

“In the tech space, reinventing and disrupting is a key component to entrepreneurship,” says Daniel Putterman, director at Kogniz, which produces the AICam. This surveillance camera uses artificial intelligence (AI) to identify people and threats in real-time.Inventions that greatly improve on existing products can also be successful, believes Kristian Tapaninaho, founder and CEO of Uuni, a portable wood-fired outdoor oven.”I created Uuni to solve a problem,” says Tapaninaho. “To make great pizza, I needed a wood-fired oven that could reach double the temperature of a domestic oven. Products on the market were large and expensive. I had ideas for how to create a portable wood-fired oven, so I sketched it out and prototyped it. The result was Uuni, which heats up to 932 degrees F in 10 minutes and makes incredible pizza in 60 seconds.”

Steps to Successfully Launching Your Invention

Once you’ve come up with an idea you think fills a need, there are several steps to see an invention to fruition.

1. Market analysis

“Market analysis is a critical first step to understanding the whitespace opportunity for your invention,” says Neel Premkumar, founder and CEO of FORTO, a ready-to-drink coffee shot.”It’s best if market analysis includes estimates of the number of potential customers, pricing, potential revenue per customer and a possible distribution model,” he says.

Premkumar also advises creating a working prototype and getting customer feedback so you can understand concerns and compliments for your invention.

Product market fit is essential, believes Adam Dodds, CEO and founder of Freetrade, a next-generation investment app providing users with free stock trading.”You can create something based on a smart insight or a nice-to-have feature,” Dodds says, “but if it doesn’t solve problems and add value on a deep level, then your company won’t be around for very long.”

Surveys work well to determine if inventions are compelling, suggests Waldhorn of Quirky.

“You don’t need to describe the product in detail,” she explains. “In broad strokes, present the problem you’re solving and how consumers would receive the benefit. For example, ask if they’d be interested in a dog leash that turns into a toy.”

The next step is to determine if there’s market potential.

“You may have designed the world’s most amazing stroller for triplets,” Waldhorn says, “but even if every single mom bought your product, you’d max out at selling 1,300 strollers a year, given the number of triplet births.”

“Nice ideas that solve only a few people’s problems result in failed businesses,” adds Nigel Parker, CEO of RashEndZ. “The wider the problem, the more people your product can help.”Parker’s product was designed in response to a neonatal nurse’s request for a skin-aeration liner that can be inserted inside a diaper to keep the skin dry and less likely to develop bedsores. The technology was expanded to incontinence garments.

2. Intellectual property protection

Once you determine that your inventions are worth pursuing, it’s time to protect those ideas.

According to patent law attorney Anthony Fussner of intellectual property law firm Harness Dickey, the sooner you protect your ideas, the better.”Because intellectual property is oftentimes the most valuable asset of a business, it’s important to begin the process of securing IP protection immediately,” says Fussner. “A patent is a monopoly or right to exclude others from making, using, selling, offering for sale or importing the patented invention for a limited period of time in exchange for a detailed disclosure of the invention.”

At this stage, except for market analysis, keep quiet about your invention, advises Mary Tiffin, founder and president of Mangata, which creates wearable safety lights.”If you have an invention, it’s best to keep it ‘under wraps’ until you have secured proper legal counsel and the various protections,” she says.

Invention Patents

Fussner explains that the U.S. currently uses a first-to-file patent system, which means that the person who files for a patent first holds the patent, regardless of the date of the actual invention. And many inventors and companies take that step to be the first.

“Patenting and protecting your inventions is urgent,” says Scott Relf, CEO and co-founder of mobile photo-sharing app Pikmobile.”It’s a difficult, lengthy process to get patents for inventions approved,” says Relf, who filed a patent application in 2013 that was approved in January 2018. “In addition to taking five years, it cost me $50,000. Throughout the process there was no certainty that the patent would ever be approved. Our company essentially has a patent on the future of social media—paid subscriptions in the newsfeed. It looks like all of this time and money will be worth it in the end.”

Copyrights and Trademarks

There are two other methods of protecting IP that are much less costly and time consuming.

“Copyrights and trademarks both protect intellectual property, but they protect different things,” says Ross Kimbarovsky, founder and CEO of crowdspring, a marketplace for creative and design services. (He should know: Before founding crowdspring, Kimbarovsky spent 24 years as an intellectual property litigation lawyer.)”Copyright protects creative works such as writing, art, music, movies, video games, software code, choreography and architectural designs,” Kimbarovsky explains. “Trademarks are names, logos, sounds, shapes, colors and even smells that distinguish the source of goods or services of one party from those of another party. For example, a computer software program may be copyrighted while the name of the software can be trademarked.”

Tips for Taking Your Invention to Market

There are many steps to launching a new product once you’ve determined it’s a viable idea. Here are some of the top items to keep in mind.

“The route you pursue for launching your product should be in part dictated by the size of the prize and your appetite for risk,” says Waldhorn. “If you’re ready to bet the farm on your inventions, raise funds, invest your savings or crowdfund so you can manufacture and market the product.”

If you’re not ready for such an investment, a licensing deal may be more appropriate, continues Waldhorn.

“This involves licensing your invention to a manufacturer or big brand in return for a royalty on every unit sold,” she explains.

Launching on Kickstarter worked well for Uuni founder Tapaninaho.

“Our campaign captured the imagination of customers and media around the world, so we were lucky to have an international customer base from the outset,” he explains. “We’d already sourced a factory to produce our product, so when the campaign ended after a month, we made our first run of Uunis. Orders kept coming in, so we ramped up our production plans and worked hard to meet demand.”

Whatever you do, keep the faith, advises Lupton.

“The best inventions are often thought to be terrible or crazy ideas by the inventor’s friends and family,” he says. “Don’t let other people discourage what you know to be true. At the same time, if you try and the market rejects your product, accept reality and consider adjustments.”

Work hard and stay focused on your goal, adds Tiffin. “Sometimes it takes a long time to become an overnight sensation.”

Read more articles on innovation.

Photo: Getty Images
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Date: JUNE 01, 2018
© Julie Bawden-Davis

Boosting Employee Productivity When the Summer Slump Hits

Boosting Employee Productivity When the Summer Slump Hits

Summer days can lead to a distracted workforce. But these business leaders share how they encourage employee productivity at this time of year. MAY 25, 2018 Remember the rush of freedom you felt as a kid when school let out for summer? Your employees are likely to feel that same rush when the days lengthen and get warmer. Unfortunately, that summer itch can negatively affect employee productivity. “Business tends to slow down in the summer,” says Nick Murphy, founder of Mid-America Careers, a Midwest-focused job search engine, and host of The Job Lab Podcast. “Business owners can and should anticipate some disruptions to normal operations, particularly when it comes to sales pipelines and the lifecycle of new deals.” The “summer slump” is common, agrees Mary Camuto, owner of MC Consulting and author of Make the Most of Your Workday. “You’ll see a slowdown when your employees—and hopefully you—take vacations; schedule long weekends; and experience related distractions like travel-related errands,” Camuto says. And it’s not just vacations that can hinder productivity during the summertime, adds Richard Milam, CEO of EnableSoft, which powers Foxtrot, a Robotic Process Automation (RPA) software. “Summer is full of distractions,” he says, “including disagreements among coworkers as to what temperature to set the air conditioner.”

Summer Slump Exceptions

Whether a summer slump occurs can also depend on the company culture, notes Summer Crenshaw, COO and co-founder of tilr, an employment placement company that uses blind matching technology. “Our company is located in the Midwest and can have problems with seasonal affective disorder affecting employee productivity in the cold months,” Crenshaw says.
—Nick Murphy, founder, Mid-America Careers
“In the summer months, however, we see a revitalization of energy and excitement amongst our team,” she continues. “Although more vacations are taken in summer, employees increase their efforts prior to taking time off.” “In certain industries, such as hospitality, summer can mean increased activity,” adds Jeremy Greenberg, founder of Avenue Group, which advises business owners, and CEO of Flyte Fitness, an exercise equipment and education company. “In either case, employees see friends and children taking time off, and, understandably, can feel a desire to reduce their workloads as well.”

Keeping Employee Productivity Up

Whether they’re vacationing or daydreaming about a day at the beach, summertime will affect your workforce in one way or another. Here are some tips for minimizing decreased employee productivity and making the most of this time of year.

1. Offer seasonal perks.

“Compressed workweeks, revised work schedules, flextime or shorter hours on Fridays can help employees achieve a better work-life balance and boost morale overall. And that can, in turn, boost employee productivity,” says Jay Starkman, CEO of human resources services purveyor Engage PEO. “If possible, create key performance indicators—KPIs—or metrics that your team can work toward Monday through Thursday so that Fridays can be shortened or taken off altogether,” Crenshaw suggests.

2. Communicate with your employees.

“The most effective way to mitigate a summer slump and resulting decrease in employee productivity is to maintain open communication with your employees,” says Greenberg. “Get a sense of how the summer months may impact work based on past experience and feedback from employees,” he continues. “Begin an open line of communication with employees to discuss topics such as vacation time, early departure days and working from home or remotely.”

3. Plan a company outing.

“Almost as popular as a holiday party, a company summer outing is still a staple in many workplaces,” says Starkman. “Think about organizing volunteer projects with a nonprofit this summer, or plan a more traditional company picnic to get your employees engaged and reconnected with their fellow colleagues and extended families.
“Be creative and let your employees be involved in the planning,” he continues. “Hold a fun event that people actually want to attend.”

4. Stagger vacation times.

Plan ahead so that vacation times don’t coincide—especially for key personnel. If your business is busy in summer, you can help boost employee productivity by having employees take trips at another time of year. That’s what they do at Express Glass & Board Up Service, a Miami, Florida hurricane preparedness company. “Last year when Hurricane Irma hit, two of my employees were out, and we struggled to complete our jobs,” says Yaniet Santos, the company’s owner. “We can’t afford to lose employees to summer vacations, so before our busy season hits in June, I let my employees take all of the down-time they need. Then we’re ready when/if hurricanes hit.”

5. Take advantage of the slowdown.

“The temptation during the summer doldrums is to let the time slip away,”says Mike Schultz, president at RAIN Group, a global sales training company, and author of Insight Selling. “Don’t let busy work or no work seize the day,” he says. “The summer is a great time to brainstorm, innovate and drive new initiatives. Inspire your employees to complete the proactive tasks they don’t have time for during busier times of the year.”

6. Accept some decreased employee productivity.

“Even when an organization is ideally optimized for the summer slowdown, there’s no control over customer or supplier schedules,” says Murphy. “A customer’s vacation plans may slow or even kill a deal here and there. This isn’t unlike what happens between Thanksgiving and New Year’s when it’s very difficult to move new deals through the process and close them as we’d expect to during other times of the year.”

Vacations Vital to Employee Productivity

Though vacations may cause a dip in employee productivity, it’s important that employees and owners take them. “Everyone needs a vacation, and business owners who support and encourage employees to unplug and recharge are likely to see those employees make up lost ground once they’re back in the office,” says Murphy. “To the extent that your business allows it, encourage employees to take a summer break,” agrees Milam. “Make it a real summer break that doesn’t include checking work email three times a day.” Taking a vacation that allows employees to completely unplug is a boon for your company, adds Camuto. “Breaks often lead to refreshed motivation, creativity, productivity and engagement,” she says. In order to make taking a vacation easier for everyone involved and preserve employee productivity, Crenshaw suggests focusing on cross-training. “Redundancy allows employees to take time off with an assurance that things will get done in their absence,” she says. “Also make vacation coverage assignments clear to employees standing in for team members, including priorities and deadlines.” At Keystone Insurance Services, if a staff member leaves for more than two or three days, the employee’s out of office voicemail doesn’t allow a caller to leave a message. “This tactic nudges customers into getting assistance from other team members, rather than waiting,” says owner Brent Thurman. “That way the employee doesn’t return to work with a mountain of voicemails or items to catch up on.” And if you’re going out of town, you can help things run as smoothly as possible in your absence by designating one key employee to run things, suggests Murphy. That way you can return refreshed and ready to be productive. Read more articles on productivity.
Photo: Getty Images
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Date: May 25, 2018
© Julie Bawden-Davis

12 PROFESSIONALS OFFER TIPS FOR HIRING COLLEGE GRADUATES

With students graduating from college across the nation, many employers are looking to hire fresh talent. Discover the pros and cons of hiring college graduates for your company.

MAY 14, 2018

 

Are you planning on hiring college graduates this summer? You wouldn’t be the only one.

According to the recently released Job Openings and Labor Turnover Survey (JOLTS) by the U.S. Department of Labor, the number of job openings in the U.S. increased to a new high of 6.6 million (645,000 more jobs than last year.)

That statistic might explain why, according to the National Association of Colleges and Employers, U.S. businesses plan on hiring four percent more college graduates this year.

I talked to 12 business owners who explain why they believe in hiring college graduates and their advice for taking advantage of America’s young, emerging talent.

Why Hire College Graduates

“Hiring college graduates isn’t an obligation or last resort for our company—it’s a necessity,” says Adriaan Zimmerman, co-founder and president of Colorado-based Ned, which creates natural remedies.

“The older senior leadership gets, the more apt we are to lose that intimate connection with what’s relevant in pop culture, music, art and technology,” says Zimmerman. “That’s why it’s important to tap into the abundant resources coming straight out of colleges.

“What these candidates might lack in experience,” he continues, “they make up for in direct exposure to what really matters to their generation.”

Bill Cahill, president of Beacon Plumbing, agrees.

“The world is constantly changing. One thing we don’t want is to become stagnant in the way we run our business and manage our employees and customers,” Cahill says. “Hiring college graduates who suggest changes that better the way our business runs saves us time and money and helps ensure future success.”

“My co-founder Eran Leshem and I have found that many graduates are in-tune with their instincts and intuition,” Shacked says. “That’s why we gladly give young architects the opportunity to suggest design concepts.”

College graduates’ familiarity with new technology and the constantly evolving digital landscape is invaluable.—Bo Lais, CEO, Lula

If you’re concerned about the possibility of hiring college graduates who are hoping to skip the necessary hard knocks and learning curves of the work world, don’t be.

“College graduates today are different than a decade ago,” says Matt Stewart, co-founder of College Works Painting, which provides house-painting services and hires college students. “Today’s college grads are Generation Z. Much of the entitlement has been lost. They come hungry to learn and perform and ready to assimilate. They also understand technology and the globalization of markets and bring a new view of how business should work.”

Benefits of Hiring College Graduates

Hiring college graduates can be a plus for your company in many ways. One of the most significant pros is their intimate knowledge of technology.

“The fact that college grads tend to be tech-savvy often results in innovation,” says Liz Wessel, CEO & co-founder of WayUp, a platform for early-career professionals to explore job and internship opportunities and receive advice. “We often ask our new grads for product feedback, because they’re so in tune with mobile apps. They provide excellent insights and ideas.”

Fresh perspectives are definitely welcome, agrees Bo Lais, CEO and founder of Lula, an app that connects homeowners to home service providers.

“College graduates’ familiarity with new technology and the constantly evolving digital landscape is invaluable,” Lais says. “It’s great to have innovative ideas and fresh perspectives brought to team meetings.”

Hiring college graduates can also be great for company culture, believes Aviva Legatt, a college admissions expert who founded VivED Consulting to assist students with the college admissions process.

 

“Colleges instill a sense of responsibility to a larger community and a willingness to collaborate and work hard to make a strong impact and positive impression,” she says. “Fresh grads are likely to be enthused about contributing to the larger organizational goals.”

If that isn’t enough, college grads may also energize your organization, adds Wessel.

“New to the working world, college grads come armed with positivity, gratitude and enthusiasm. The best employees are adaptable and think on their feet, and new college grads embody this more often than not,” Wessel says. “They bring fresh ideas to the table and ask questions that keep existing employees on their toes in the best possible ways.”

Tips for Hiring College Graduates

Since this is often a college grad’s first foray into the “real” work world, it’s a good idea to take a few special considerations in mind when hiring college graduates.

Hire to their nature. “Every position requires a certain type of personality,” says Brandon Wheeler, co-founder of Gulf Beach Weddings, which does wedding planning. “If [the position is] not in their nature, then it will never be a good fit.”

Consider culture fit. “To retain young people, it’s important to create an environment where people feel safe sharing ideas,” says Legatt. “Research shows that autonomy, mastery and purpose make for a meaningful job.

“In essence,” she continues, “you want to give people a sense of the larger goals of the company; give them the space to create in their own way and give them the tools they need to do the job well.”

Watch leadership style. “Leaders at all levels will need to ramp-up quickly with new leadership skills for this new employee cohort,” says Don Rheem, author of Thrive By Design: The Neuroscience that Drives High-Performance Cultures, and CEO of E3 Solutions, a provider of employee workplace metrics and manager training.

“Old style, top-down, punitive and transactional management styles are an anathema to recent grads,” he adds. “Most will recoil at toxic managers and workplace dysfunction.”

Check work ethic. “When hiring college graduates, I don’t look for ‘bright and precocious,’ ” says Joe Palumbo, president of Ice Dam Guys, a rooftop ice and snow removal service. “I look for grinders: people who’ve had every opportunity to give up on difficult things—and maybe took a wrong turn or two—but who have stuck it out.”

Be flexible. “Be open to applicants from slightly different college majors than you might typically hire,” suggests Dominic DeStefano, co-founder of City Strings & Piano, which offers in-home music instruction in various cities. “We’ve had tremendous success with hiring college graduates who had experience in the field, but didn’t have a degree from one of the programs we typically hire from. Their unique perspectives allowed them to be more open than other employees and connect with a wide range of clients.”

Foster learning and professional growth. “Whether it’s exposure to senior-level management, career-path programming, educational stipends or other perks, in order to attract and retain college graduates, make sure your company fosters a culture that supports professional development,” says Wessel.

Ask nonstandard questions. Considering that recent grads haven’t had career experience, it’s advisable to change your tactics when interviewing.

“I ask about past projects they’ve enjoyed and are proud of,” says Shannon O’Brien, founder of Whole U., a career development program. “Dig a little deeper about their true motivations, including what will keep them engaged and how to set them up for success within the company.”

Pay attention to writing skills. “Consistent grammatical errors, typos or generally incoherent sentences are not worthy of giving the benefit of the doubt,” says Zimmerman. “Written communication is too important in our digital age to hire a candidate who is poorly equipped in this skillset.”

Read more articles on hiring & HR.

Photo: Getty Images
 
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Date: MAY 14, 2018
© Julie Bawden-Davis

CYBERSECURITY THREATS: 7 STEPS TO HELP PROTECT YOUR COMPANY FROM MALWARE

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June 8, 2018
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A recent urgent FBI cyber-security warning has prompted companies to reboot their computer routers in order to prevent havoc from malware. JUNE …

GOT AN INVENTION? HERE’S HOW YOU CAN TURN YOUR BRIGHT IDEAS INTO REALITY

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June 1, 2018
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If you think you have the next greatest invention on your hands, take a look at what business leaders have to say …

Boosting Employee Productivity When the Summer Slump Hits

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May 25, 2018
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Boosting Employee Productivity When the Summer Slump Hits Summer days can lead to a distracted workforce. But these business leaders share how they encourage …

12 PROFESSIONALS OFFER TIPS FOR HIRING COLLEGE GRADUATES

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May 14, 2018
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With students graduating from college across the nation, many employers are looking to hire fresh talent. Discover the pros and cons of …

AI IN BUSINESS: HOW ARTIFICIAL INTELLIGENCE MAY BENEFIT YOUR COMPANY

Artificial Intelligence (AI) is becoming a vital tool for many of today’s businesses. Business leaders weigh in on how company owners may leverage AI in business.

MAY 11, 2018

 

From answering consumer questions to propelling self-driving cars, Artificial Intelligence (AI) is fast becoming an integral part of everyday life. And AI in business is no exception.

Many AI capabilities are being used to improve how businesses run. Private industry has invested in AI for some time, and now the government has joined the conversation. The White House recently held an Artificial Intelligence Summit to look at how AI will change the future of employment and, ultimately, the economy.

‘Living in an AI World’

“From Siri to Alexa to Watson, we’re living in an AI world, and the technology also affects business,” says Peter George, CEO of empow, a global cybersecurity firm.

“AI understands concepts and context,” George continues. “From the weather to the shop floor to robotic surgery, AI’s massive processing power is far faster than the human brain in computational ability and is progressing in conventionally ‘human’ areas like strategic thinking and inference.”

AI offers the opportunity for businesses to automate routine tasks so that humans can better use their time, providing higher value contributions.—Ellie Mirman, CMO, Crayon

AI is no longer the future—it’s here now, according to Mike Walsh, director of product marketing for Lever, which creates recruiting software.

“AI in business has become an integral, results-driven technology used in every industry and function, from manufacturing to marketing,” he says. “With HR and talent acquisition, for example, AI is becoming entrenched in how companies find, manage and evaluate candidates.”

Where You’ll Find AI in Business

AI fulfills a wide range of functions in the business world, notes Andrea Simon, a corporate anthropologist, who is CEO of Simon Associates Management Consultants and author of On the Brink: A Fresh Lens to Take Your Business to New Heights.

“AI is proving to be as transformative of our society as the invention of the printing press, the development of the steam engine, the introduction of machines to make clothing, the discovery of jet propulsion and the internet,” says Simon.

“AI is making headway in a wide variety of areas, including energy  and the financial services sectors,” she adds.

At the moment, AI in business is having its biggest impact on data-intensive industries, because the technology allows people to make more informed decisions, believes Joshua Gans, a professor at the University of Toronto and author of Prediction Machines: The Simple Economics of Artificial Intelligence.

“Informed decision making is why companies like Google, Facebook and Microsoft are AI powered,” continues Gans. “Other data-driven businesses like credit card companies and banks are in a similar position. AI is performing tasks such as enabling credit card companies to detect fraudulent transactions and block them without experiencing false positives that result in legitimate customers trying to use cards that don’t work.”

Benefits of AI in Business

David Thomas, CEO of Evident, an identity assurance platform for businesses, believes that AI in business will continue to offer many benefits.

“AI can help with everything from improving behavioral targeting to inventory management,” he says. “We’re starting to see features based on AI that eliminate repetitive or mindless tasks. This means we can expect productivity gains and much more effective competition at companies that embrace AI.”

AI in business is also important in the fight against cybersecurity threats, notes George.

“Those who work in security operation centers have a host of functions to perform when there’s a security breach. They must determine intent, identify the intruder, gauge the impact and neutralize the attack before real impact occurs,” he says.

 

“Considering there are millions of such events a day,” George continues, “it’s an impossible mission without the help of AI, no matter how many experts you throw at the problem.”

“Credit card fraud is a huge problem for us,” says Nate Lehoux, co-founder of PROVEIT, a trivia app where players compete in contests.

“We use AI to monitor and flag behaviors associated with fraud, and the platform continually self-adjusts as it assimilates and learns from the data our system feeds it,” he says. “It’s tremendously helpful as an early-warning system.”

Using AI for Marketing

There’s also great potential for marketing with AI.

“As a web marketer for 21 years, I’ve been blown away by the explosive application of AI online,” says Ross Dunn, CEO of StepForth Web Marketing Inc. “AI can easily be seen when shopping on Amazon, which creates a profile of what you like and shows new or related items you may desire. Chatbots are also already showing up on sites, and they’ll inevitably become nearly indistinguishable from humans in the future.”

Andy Bernhart’s company FirstDentist provides web design and marketing for dentists. He notes that chatbots are making a significant, immediate impact on sales and customer service.

“Chatbots can answer questions, provide sales suggestions and offer customer support,” Bernhart says. “I expect to see a lot more websites and social properties with AI-powered chatbots in 2018.

“We’re also seeing AI-powered content creation tools that can perform tasks like turning blog posts into short videos and social media posts,” he continues. “The products aren’t advanced AI, but it’s exciting to see where these technologies can go to make marketing and business tasks easier.”

AI Won’t Replace Humans

Despite the concerns about this occurring, machines can’t completely replace humans.

“AI doesn’t possess human judgment,” says Gans. “Even in applications like self-driving cars, humans need to program how cars will respond if, for instance, a pedestrian is crossing the street nearby.”

Dunn notes that the jobs lost by AI will be replaced.

“AI will supplant some positions, but new jobs will be created using the data AI provides,” he says. “In a future where AI is ubiquitous, the unparalleled ‘human touch’ will also come full circle and end up being sought after. This will result in new positions and business opportunities for less computationally capable humans.”

“There’s a lot of fear of AI in business taking jobs, but let’s look at Facebook as an example,” adds Ben Plomion, CMO of GumGum, an artificial intelligence company. “Brand safety is a big concern for many companies like Facebook. Monitoring social media sites for altered photos or incorrect news takes a powerful combination of people and machine, which is a common recipe of AI.”

AI is to meant to complement and enhance humans, adds Ellie Mirman, CMO of Crayon, a competitive intelligence company that provides marketers with insight.

“AI offers the opportunity for businesses to automate routine tasks so that humans can better use their time, providing higher value contributions.”

At the end of the day, robots and computers aren’t humans, notes Clare Cooper, executive director and head of Glocomms, a recruitment firm specializing in connective technology.

“Robots can’t shake your hand or look you in the eye or feel emotions such as empathy and sympathy,” she says. “That’s always going to be something you can only get from a real person.”

Read more articles on industry trends.

Photos: Getty Images
 
Project Link
Date: MAY 11, 2018
© Julie Bawden-Davis

EMPLOYEE RETIREMENT: 4 OPTIONS FOR OFFERING YOUR WORKERS A SAVINGS PLAN

Providing employee retirement benefits can help build loyalty among your staff and increased job satisfaction. But where can you start?

MAY 08, 2018

 

May is Older Americans Month. The 2018 theme is “Engage at Every Age.” While that can certainly mean remaining employed past retirement age, chances are your workers would prefer employee retirement funding that gives them the choice to stop working when the time comes.

According to the 2017 Retirement Confidence Survey (RCS), which polled 1,671 U.S. individuals 25 and older, three in 10 people stated they feel mentally or emotionally stressed about preparing for retirement. Another three in 10 reported worrying about finances at work, and more than half (52 percent) said that retirement planning programs would be helpful in increasing their work productivity.

“One of the main reasons people work is to provide for stable financial lives for themselves and their families,” says Marianela Collado, CEO and senior financial advisor for Tobias Financial Advisors. “Financially secure employees make for happy employees, which yields better results for the company.”

Encouraging Employee Retirement

Collado’s company works with clients on two ends of the spectrum—those nearing retirement and realizing they haven’t saved enough and those just entering the workforce and stressing about making ends meet.

“We tell clients and our employees that doing something in terms of planning for employee retirement is better than doing nothing,” she says.

With the decrease in pension plans and the increase in longevity, employee retirement is more challenging than it has ever been, but there are options for you and your employees.—Beau Henderson, retirement consultant

Being proactive about retirement planning is preferred over inaction, agrees Larry Ynman, owner of SOGO Wealth & Risk Management and past president of the National Association of Insurance & Financial Advisors (NAIFA).

Collado and Ynman are definitely on to something. The RCS

 

found that retirement confidence was tied into retirement plan participation. Those participating in a retirement plan were markedly more confident that retirement would be comfortable.

Employee Retirement Options

It used to be that many companies—especially larger ones—offered employee Defined Benefit Pension Plans. But such plans have steadily declined within the private sector in recent years.

“With the decrease in pension plans and the increase in longevity, employee retirement is more challenging than it has ever been, but there are options for you and your employees,” says retirement consultant, Beau Henderson, author of The 12 Steps to a Successful Retirement.

Simplified Employee Pension Plan (SEP IRA)

A Simplified Employee Pension (SEP)

plan gives a business owner the opportunity to contribute to his or her own retirement and that of employees’. The business owner contributes each year to traditional SEP IRAs that have been set up for each employee. Contributions can be for up to 25 percent of each participant’s pay.

A SEP has no setup fees or operating costs like conventional retirement plans. This option is available to businesses of any size. Employees are 100 percent vested and have ownership of all the money in their SEPs.

SIMPLE IRA Plan

Dean Catino, president and co-founder of Monument Wealth Management, has found that a SIMPLE IRA Plan, which encourages employees to participate and contribute, is the best option for his company.

“We offer a SIMPLE Plan to all employees with a three percent company match,” he says.

A SIMPLE IRA Plan(Savings Incentive Match Plan for Employees) allows employees and employers to contribute to traditional IRAs set up for employees. This plan is ideal for companies with 100 or fewer employees. It’s inexpensive and easy to set up and operate.

The employer must contribute each year to the SIMPLE IRA plan, either by matching contributions up to three percent of compensation, or through a two percent non-elective contribution for each eligible employee. With the latter contribution type, employees receive an employer contribution, even if they don’t contribute. Workers are always 100 percent vested.

Designated ROTH 401(k)

A designated Roth 401(k) is an account set up by the employer that holds after tax contributions. The employer must keep separate accounting records for all activity in the account.

This employee retirement option allows employees to save up to $18,500 in 2018, with an additional $6,000 for those 50 and older. Contribution withdrawals aren’t taxed as long as the withdrawal is a qualified distribution. Henderson recommends this option.

“By building a substantial nest egg in a Roth 401(k), employees are also able to protect themselves from one of the biggest potential retirement risks—future tax increases,” he says.

Defined Benefit Pension Plan

Yungi Chu, owner of HeadsetPlus.com, has had success with a Defined Benefit Plan for the last 13 years.

“My employees don’t have to contribute even a penny to the plan,” says Chu. “I make 100 percent of the contributions toward their employee retirement while contributing to mine.”

The catch, according to Chu, is that employees must stay employed for at least 24 months.

“The plan is tied to company profits and essentially works like a ‘stock option,'” says Chu. “The more the company makes, the more the employees are eligible to receive. It’s expensive to manage for the business owner, but I’ve found employees appreciate the plan—especially during a good year when they’re pleasantly shocked by how much money they get.”

A Defined Benefit Pension Plan can be a good employee retirement option for some companies, believes Steven Trytten, a trusts and estates lawyer who is also a CPA.

“A Defined Benefit Pension Plan allows much larger contributions for older participants,” he says. “Before deciding on such a plan, the business owner will want to evaluate how much he or she can contribute personally and compare that to how much he or she must contribute for employees.”

When Employees Fail to Contribute

Whether they’re living paycheck to paycheck or simply not thinking of retirement, it often happens that employees simply don’t contribute to their employee retirement accounts when it’s possible to do so.

“We’ve found that many employees, regardless of what you do or say, don’t invest,” says Scott Eichler, vice president of institutional wealth management at Newport Wealth Advisors and author of Don’t Play Chicken with Your Nest Egg. His primary job is crafting retirement plans for small businesses and their owners.

“If employees don’t invest, the employee retirement plan is simply an additional cost for the employer,” continues Eichler. “I suggest creating an auto contribution with step-ups over a three- to five-year period. The default setting is that the employee contributes and has to be proactive to stop contributing. We typically start at one percent and add another one percent every year until the employee is receiving a full employer match.”

Read more articles on hiring & HR.

Photo: Getty Images
The information contained herein is for generalized informational and educational purposes only and does not constitute investment, financial, tax, legal or other professional advice on any subject matter. THIS IS NOT A SUBSTITUTE FOR PROFESSIONAL BUSINESS ADVICE. Therefore, seek such advice in connection with any specific situation, as necessary. The views and opinions of third parties expressed herein represent the opinion of the author, speaker or participant (as the case may be) and do not necessarily represent the views, opinions and/or judgments of American Express Company or any of its affiliates, subsidiaries or divisions. American Express makes no representation as to, and is not responsible for, the accuracy, timeliness, completeness or reliability of any such opinion, advice or statement made herein.
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Date: MAY 08, 2018
© Julie Bawden-Davis

5 THINGS YOU CAN DO WHEN THE CUSTOMER SERVICE BAR RAISES YET AGAIN

With more companies providing over-the-top customer service experiences, learn what you can do to keep pace and even compete.

APRIL 27, 2018

 

When it comes to customer service today, the bar is constantly being raised. Just recently, Amazon began delivering packages to locked cars. The service is designed for people who are concerned about their orders disappearing from their front porches or getting swallowed up in their company’s mailroom.

Amazon is not the only retailer aimed at upping the customer service ante. Walmart Grocery

 allows shoppers to order online or via mobile app and have their groceries delivered curbside to their cars, or in some locations, doorsteps. Costco also introduced a home delivery service recently.

Unprecedented Competition

The move toward constantly elevating the customer service experience has created a very competitive atmosphere that hasn’t been seen before, believes Beth Davidson. She’s the owner of Dragonfly Shops & Gardens, a boutique featuring a mix of home and garden merchandise, personal items like clothing and jewelry and classes and workshops on a variety of topics.

“It doesn’t seem to be enough to have great customer service nowadays. Instead, you almost have to win at customer service,” says Davidson. “As a consumer, I understand the desire to have exactly what you want quickly and to be treated with respect in the process. But as a business owner, it sometimes seems like warfare for brick-and-mortar retail.”

Superior Customer Service a Necessity

The digital age is contributing to the fierce competition, according to Alex Ozols, owner of Personal Injury Lawyers San Diego.

“It’s more important than ever for companies to focus on customer service tactics, because we live in a digital age where every single transaction can be recorded,” says Ozols. “Whether it’s recorded by video, audio or just someone going into a review app and dropping a review right after the service—things trend quickly and can go viral.”

Companies that provide easy and efficient methods to transact and receive purchases are positioned to win in the future.—Erik Rosenstrauch, president and CEO, FUEL Partnerships 

The fact that today’s retail landscape is tapped in and connected does make it necessary to focus on customer service, agrees Davidson.

“All of the retail world truly is a stage nowadays,” she says. “Business owners are wise to keep that in mind when they interact with customers. When you’re talking to one client, you’re potentially talking to hundreds or even thousands.”

Customer Service Tactics to Help Stay Competitive

You might not have the need or bandwidth to deliver your products to locked cars, but there are a few tactics you can use to rise to customers’ elevated expectations.

1. Offer an experience.

Since Davidson sells items that can often be found online for less money, she doesn’t bother trying to compete with the digital merchants. In fact, she offers just the opposite.

“I’ve found that because of the anonymity of the digital revolution, people actually crave real-life experiences and a sense of community,” says Davidson. “That’s why they love coming to the shop to participate in hands-on classes that allow them to make a craft or plant a succulent garden. They enjoy coming with friends and family and laughing and having a good time. Such experiential shopping trips keep them coming back.”

2. Save customers time.

“Today’s millennial consumer, for the first time in consumer behavior history, values time more than price,” says Erik Rosenstrauch, president and CEO of FUEL Partnerships, a retail marketing agency.

“Shoppers today still demand low prices, but this decision driver is now number two,” says Rosenstrauch. “Time is the commodity that determines purchase habits and how customer service is evaluated.

“Those companies that provide easy and efficient methods to transact and receive purchases,” he continues, “are positioned to win in the future.”

To save consumers time, Rosenstrauch suggests using a variety of tactics.

“Leverage technology that consumers already use and understand. Extend services and tracking communication to mobile solutions,” he says. “Access payment methods that already exist and are hard coded into online or mobile wallets. Reduce friction along the purchase journey; from shopping, to ordering and finally to payment. Also provide a communication loop that provides information for tracking and delivery/pickup.”

3. Stay current.

“Consumer expectations and needs are constantly changing,” says Rosenstrauch. “The methods of the past will not deliver the experience and needs for the future. Every company must spend time evaluating the entire purchase experience and include searching/shopping on the front end, along with tracking, delivery and follow up on the back end.

“Technology must be grounded and merged with current tools that shoppers already use, as more does not always equal better,” he says.

4. Share true stories.

Because she can’t compete with the prices of online merchants, Davidson instead shares with her customers how unique the products she carries are.

“We tell the stories of our products and vendors,” she says. “For instance, we’re selling driftwood pieces that include sea glass. They’re from a store located in an area that experienced a devastating fire. We purchased the pieces from a shop owner in the area and are selling them. Many of our customers have bought the pieces because they’re beautiful, but also because doing so is helping the business owner.”

5. Know that it’s okay to say no.

American shoppers have become increasingly spoiled when it comes to customer service, believes Davidson.

“Being able to push a button online and return anything for any reason has caused a certain entitled mentality,” she says. “I’m often shocked what people want me to do, such as throw in free items just because.

“Customers aren’t always right,” she continues. “It’s okay to say no if a transaction is going to lose you money. You’re likely to find like I have that it might be black and white online, but in my store, it’s gray.”

Read more articles on customer relations,

Photo: Getty Images
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Date: APRIL 27, 2018
© Julie Bawden-Davis

HOW TO HELP SPOT AND MINIMIZE EMPLOYEE STRESS

Employee stress is a common problem that harms morale and productivity. These steps can help you identify and manage stress in your company.

Employee stress image

April is Stress Awareness Month, and that’s probably a good thing for your business. According to the American Psychological Association’s 2017 Stress in America survey of 3,440 U.S. adults, employee stress is pervasive. Sixty-one percent of Americans are stressed about work.

“Stress is present in many areas of people’s lives, and the workplace is no exception,” says Daniel Clark, CEO of Brain.fm, which produces music to help people focus and sleep better. “Stress distracts employees from getting their jobs done. The distraction can be a few minutes an hour, but compounded over days, weeks and multiple employees, costs employers millions in lost time and productivity.”

Employee stress may very well be at an all-time high thanks to today’s advanced technology, believes James Cassel, chairman and founder of Cassel Salpeter & Co, a midmarket investment banking firm.

“The internet and the assumption it fosters that one should respond immediately is a great stress for many,” says Cassel. “Employees face constant deadlines and expectations to move quickly, many times without the opportunity to really think things through. This can cause substantial friction.”

There is perhaps no greater inhibitor to an employee’s performance than stress, notes Jason Hall, founder and CEO of FiveChannels Marketing. “If employees are stressed, they’re not thinking clearly, their creativity is reduced, and they’re more prone to mistakes, all of which can negatively impact your company.”

Causes of Employee Stress

A variety of factors in the workplace can lead to employee stress. “Unreasonable and unreachable deadlines, toxic coworkers with bad attitudes and poor job fit for a person’s skills are the three most common driving factors I see that cause unnecessary stress,” says Brian McHugh, owner of McHugh Construction.

Offer employees an area where they can socialize and decompress during breaks. Sitting at a desk all day alone is not conducive to a relaxing and enjoyable work atmosphere.
—Bob Ellis, owner, Bavarian Clockworks

Tash Jefferies is co-founder of Hirekind.io, a company that helps women and people of color find their dream tech jobs. She believes that stress often leads to people leaving their positions. “Stress results when people work long days, experience high job demands (too many tasks and responsibilities) and a lack of a community of peers or executive level support.”

It was a survey of his employees two years ago that alerted Justin Goodman, president of Goodman Insurance Services, to the pervasiveness of stress at his company. “The survey was performed in person by an outside company, and the employees were guaranteed anonymity,” he says. “The results were pretty sobering. Most of our employees explained that their stress came from fear of not performing to company expectations. They also feared that I as the president didn’t understand some of the day-to-day challenges they faced.”

Identifying Employee Stress

Without performing an employee survey or looking at the statistics, how can you spot employee stress? Here are some signs that your workers are heading for anxiety and burnout.

  • Confusion. “If you know tasks have been explained thoroughly and clearly and employees show confusion, this is a sign of stress,” says Casey Thomas, co-founder of the Creative Soul Music School.
  • Change in behavior or performance. “Any real sudden change of performance and/or behavior is a good indicator that the job is getting to the employee,” says Lior Rachmany, CEO of Dumbo Moving + Storage.
  • Physical clues. “Changes in skin coloring, hair texture, redness of the eyes, consistent nodding off and lack of energy, failure to eat or overeating are common signs of stress,” says Jefferies.
  • Mood swings. “Stress can cause people to experience emotional roller coasters more frequently,” says Jefferies. “Be on the lookout for crying, anger, frustration, temper tantrums or any other disruptive emotional behavior.”

When an employee who is usually positive and outgoing suddenly seems overwhelmed and negative, suspect stress, according to Mike Grossman, CEO of GoodHire. “If someone is more withdrawn than usual or displays unusually aggressive behavior, these can also be signs of stress.”

6 Tips to Help Ease Employee Stress

  1. Create an open door policy. “It’s important to foster an environment where employees feel comfortable speaking to their managers about stress-related issues,” says Kareem Bakr.
  2. Openly discuss the issue. “The best thing leaders can do when they spot employee stress is to bring it to the surface,” says Heather Younger, founder and CEO of Customer Fanatix.
  3. Make expectations clear. “Prevent unnecessary stress by setting clear expectations about timelines and deadlines,” says McHugh.
  4. Provide opportunities to unwind during the workday. “Offer employees an area where they can socialize and decompress during breaks,” suggests Bob Ellis of Bavarian Clockworks.
  5. Ensure job fit. “Often, employee stress comes from someone being in the wrong role for the person’s personality type and abilities,” says Michael Maibach, CEO of Lab Society.
  6. Encourage decompression and community. “Find ways to create relaxed environments with an open communication policy and culture,” adds Nick Murphy, host of The Job Lab Podcast.
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Date: APRIL 20, 2018
© Julie Bawden-Davis

HOW TO HELP SPOT AND MINIMIZE EMPLOYEE STRESS

Employee stress is a common problem that harms morale and productivity. These steps can help you identify and manage stress in your company.

APRIL 20, 2018

 

April is Stress Awareness Month, and that’s probably a good thing for your business. According to the American Psychological Association’s 2017 Stress in America

survey of 3,440 U.S. adults, employee stress is pervasive. Sixty-one percent of Americans are stressed about work.

“Stress is present in many areas of people’s lives, and the workplace is no exception,” says Daniel Clark, CEO of Brain.fm, which produces music to help people focus and sleep better. “Stress distracts employees from getting their jobs done. The distraction can be a few minutes an hour, but compounded over days, weeks and multiple employees, costs employers millions in lost time and productivity.”

Employee stress may very well be at an all-time high thanks to today’s advanced technology, believes James Cassel, chairman and founder of Cassel Salpeter & Co, a midmarket investment banking firm.

“The internet and the assumption it fosters that one should respond immediately is a great stress for many,” says Cassel. “Employees face constant deadlines and expectations to move quickly, many times without the opportunity to really think things through. This can cause substantial friction.”

There is perhaps no greater inhibitor to an employee’s performance than stress, notes Jason Hall, founder and CEO of FiveChannels Marketing. “If employees are stressed, they’re not thinking clearly, their creativity is reduced, and they’re more prone to mistakes, all of which can negatively impact your company.”

Causes of Employee Stress

A variety of factors in the workplace can lead to employee stress. “Unreasonable and unreachable deadlines, toxic coworkers with bad attitudes and poor job fit for a person’s skills are the three most common driving factors I see that cause unnecessary stress,” says Brian McHugh, owner of McHugh Construction.

Offer employees an area where they can socialize and decompress during breaks. Sitting at a desk all day alone is not conducive to a relaxing and enjoyable work atmosphere.—Bob Ellis, owner, Bavarian Clockworks

Tash Jefferies is co-founder of Hirekind.io, a company that helps women and people of color find their dream tech jobs. She believes that stress often leads to people leaving their positions. “Stress results when people work long days, experience high job demands (too many tasks and responsibilities) and a lack of a community of peers or executive level support.”

It was a survey of his employees two years ago that alerted Justin Goodman, president of Goodman Insurance Services, to the pervasiveness of stress at his company. “The survey was performed in person by an outside company, and the employees were guaranteed anonymity,” he says. “The results were pretty sobering. Most of our employees explained that their stress came from fear of not performing to company expectations. They also feared that I as the president didn’t understand some of the day-to-day challenges they faced.”

Identifying Employee Stress

Without performing an employee survey or looking at the statistics, how can you spot employee stress? Here are some signs that your workers are heading for anxiety and burnout.

  • Confusion. “If you know tasks have been explained thoroughly and clearly and employees show confusion, this is a sign of stress,” says Casey Thomas, co-founder of the Creative Soul Music School. “In my opinion, confusion is the precursor to frustration.”
  • Change in behavior or performance. “Any real sudden change of performance and/or behavior is a good indicator that the job is getting to the employee,” says Lior Rachmany, founder and CEO of Dumbo Moving + Storage
     

    . “Changes for employers to look out for that indicate stress include lack of focus and attention to detail, taking longer than usual to finish tasks and showing up late to work.”

  • Physical clues. “Changes in skin coloring, hair texture, redness of the eyes, consistent nodding off and lack of energy, failure to eat or overeating are common signs of stress,” says Hirekind.io’s Jefferies.
  • Mood swings. “Stress can cause people to experience emotional roller coasters more frequently, sometimes on a daily basis,” says Jefferies. “Be on the lookout for crying, anger, frustration, temper tantrums or any other disruptive emotional behavior.”

When an employee who is usually positive and outgoing suddenly seems overwhelmed and negative, suspect stress, according to Mike Grossman, CEO of GoodHire, an employment screening company. “If someone is more withdrawn than usual or displays unusually aggressive behavior, these can also be signs of stress.”

6 Tips to Help Ease Employee Stress

Once you’ve identified that employee stress may be at play and the potential causes, it’s ideal if you can ease the stress so that everyone can have a better work experience. Try the following ideas to help reduce stress.

1. Create an open door policy. “It’s important to foster an environment where employees feel comfortable speaking to their managers about stress-related issues,” says Kareem Bakr, director at Selby Jennings, a recruitment company. “There’s often a stigma to admitting feeling overworked or overwhelmed. The first step to successful stress mitigation is establishing an open and accepting platform for people to feel comfortable sharing their challenges without being judged.”

2. Openly discuss the issue. “The best thing leaders can do when they spot employee stress is to bring it to the surface,” says Heather Younger, founder and CEO of Customer Fanatix, LLC, which provides coaching in leadership development and employee engagement. “Let employees vent, if they’re open to it. If they’re not forthcoming, make it clear that you’ve noticed a change in them and that you’re there to help.”

When you discuss the source of stress, you may even find that the employee’s state of mind has nothing to do with the workplace. “Employees have lives outside of work where stressors could be impacting both their home and work life,” says Jonathan Marsh, owner of Home Helpers of Bradenton, which provides in-home care.

3. Make expectations clear. “Prevent unnecessary stress by setting clear expectations about timelines and deadlines and follow up to ensure that the expectations are reasonable and that employees are able to meet those goals with a positive attitude,” says McHugh of McHugh Construction.

4. Provide opportunities to unwind during the workday. “Offer employees an area where they can socialize and decompress during breaks. Sitting at a desk all day alone is not conducive to a relaxing and enjoyable work atmosphere,” suggests Bob Ellis, owner of Bavarian Clockwork, an online shop that sells German cuckoo clocks.

“Find ways to create relaxed environments with an open communication policy and culture,” adds Nick Murphy, host of The Job Lab Podcast. “Whether it’s an employee lounge with beanbags and a Ping-Pong table or frequent team building events that get people away from their screens and out together in a relaxed environment—it’s important to encourage and support time to decompress.”

5. Ensure job fit. “Often, employee stress comes from someone being in the wrong role for the person’s personality type and abilities,” says Michael Maibach, CEO and founder Lab Society, which offers lab supplies and equipment. “It’s not easy finding the right set of tasks to suit each individual in a complex team with a lot of moving parts, but dedicating time to discover how to modify employee roles to better suit their personalities and skill-sets is well worth the effort.”

6. Provide workplace flexibility. “When possible, give employees the flexibility to choose the hours they work and to work from home if needed,” says Shane Green, founder & president of SGEI, a corporate training company.

Being open to giving employees some leeway in their schedules goes a long way toward a less stressful workplace, agrees Chris Padgett, co-founder and CEO of Fusion3 3D Printers. “Allowing workers to start a little later and leave a little earlier or work from home on occasion can have a positive impact on their overall quality of life.”

Read more articles on work-life balance.

Photo: Getty Images
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Date: APRIL 20, 2018
© Julie Bawden-Davis

15 BLACK BUSINESS WOMEN SHARE THEIR TIPS FOR SUCCESS

Black business women are a quickly growing demographic of entrepreneurs in America. These women explain how they keep moving forward despite challenges.

FEBRUARY 16, 2018

 

Created in 1926 by historian Carter Woodson, Black History Month celebrates the many achievements of African-Americans, including black business women and men.

If anyone knows the secrets to striving forward, breaking new ground and succeeding despite challenges, it would be African-American women. Black women are the fastest growing group of entrepreneurs, according to a 2015

“Being a woman-owned business is a task in itself,” says Teana McDonald, founder of marketing solutions company 3EConnections. “For black business women, the odds are stacked even higher.”

To gain even more insight and advice on how to overcome those odds to find business and personal success, I asked 14 more black business women about their secrets to succeeding in the business world.

Embrace Diversity

“Use your diversity as a competitive advantage and champion what makes you unique. Black business women are being sought after more than ever—from academia to corporate environments. It’s important for us to market ourselves well, highlighting our strengths and talents, while also keeping in mind that diversity goes beyond gender. The views, opinions and experiences of black business women could be the very perspective that drives business initiatives towards success.”

—Nicole Joseph, COO, Sharestates

 

Be Passionate About What You Do

“It’s not always about money. The money will come if you make your passion your business. Along these lines, it’s important to value your relationships. I spend a lot of face-to-face time with my clients. Customers stay with you when they know you care about them.”

—Marcia Jones, founder and president, Urban Connoisseurs

 

“Understand how your personality, strengths and natural abilities shape the work you do. This is most important, because it’s the foundation for having success that’s fulfilling and sustainable for the long-term. Too many entrepreneurs, including black business women, burn out trying to be something they aren’t. When you know what you bring to the table, you can decide what opportunities to pursue from a place of confidence, meaning and impact.”

—RM Harrison, CEO, RM Harrison Consulting and author of The Pivot Map

Know What You Want

“Happiness is the key to success. If you have a goal, dream or aspiration, your conviction to the end goal is what allows it to come into being. That being said, be clear about what you want. This allows you to say no with conviction and to then bring in more opportunities that are on target. The less time you spend contemplating something that doesn’t feel 100 percent right, the more time you have to identify desirable opportunities.”

—Cheryl Sutherland, founder, PleaseNotes

 

“Being decisive is very important when running a business. This is something I started intentionally practicing when I launched my company in 2013. I quickly realized not only was I making decisions for myself, but for my team and my clients. Being decisive assures your employees and builds trust. This leads to lifetime value for your customers.”

—Michelle Ngome, founder, Line 25 Consulting

 

Accept and Overlook Mistakes

“Understand that you will make mistakes, and change will not always come as fast as you would like it to happen. Your internal operations are where to start making positive changes first.”

—Cheryl Ingram, CEO and founder, Diverse City LLC

 

Be Intentional

“Have a goal/objective in mind and a solid, realistic reason why the particular goal was chosen. This is important, because haphazard thinking and bumbling through life do not result in success. Have a plan and work the plan. Also, keep your eyes open and stay humble with every success. You want others to respect you as much as you respect yourself.”

—Judge Marylin E. Atkins, author, The Triumph of Rosemary: A Memoir

 

“Decide what problem your product or service solves. Look at the benefits versus features. When we started Girls Gone Forex, it wasn’t so women could make money. It was so women could have the options and freedom to live life in a different way. Money is just the vehicle. Understanding why is what keeps people engaged and tied to whatever you have to offer. Having a clear understanding of what motivates people to buy will allow you to be of service while building a successful and profitable business.”

 

—Robyn Mancell, co-founder, Girls Gone Forex

 

Know Your Worth

“Don’t be afraid to ask. The worst anyone can say is no. If you don’t ask at all, you miss out on a lot of yeses. When you do get a no, take it with a smile. For me, no means not right now, but maybe later. I’ve had many situations where a no later became a yes when circumstances changed.”

—Tamara Anderson, owner, Sugar and Spyked

 

“After 10 years of business, I’ve learned to ask for what I deserve. You may not always get what you want, but asking is very important. It’s also OK to say no. You don’t have to say yes to every business opportunity.”

—Teana McDonald, founder, 3EConnections

Embrace Change

“Keep in mind that change is inevitable. I pay attention to business trends and markets, making it a priority to stay in front of the changes and not get left behind. Many small-business owners, including black business women, can be slow to change, but changing is necessary and required.”

—Shahara Wright, business law attorney and CEO, The CEO Effect

 

Be True to Yourself

“In your business, you will always have to jump higher, run faster and still maintain composure and charm. The best thing that you can do for yourself is to be yourself. Remember what made you successful. Don’t be afraid to think outside of the box, since that’s what got you this far. And don’t try to compete with the competitors—compete with yourself, it’s so much harder.”

—Ashley Hunter, president, HM Risk Group

 

Self-Promote

“Don’t be afraid to self-promote. Often, black business women have been forced to hide our greatness. Instead of hiding, toot your own horn. Share the work you’ve done. You’ll soon realize that the more you share, the more others will see the value in working alongside you and your business.”

—Stephanie Caudle, owner and founder, Black Girl Group

 

Seek Balance

“Avoid neglecting your health. Drink water, eat your veggies and stay active. It’s not about fitting into the mold; it’s about you being able to truly enjoy your success. Being successful usually comes with a busy schedule. For you to keep up with that, you need to be healthy. Along the same lines, work-life balance is key. All work and no play makes for a very boring and unfulfilled life. Make time for friends and family. Take a vacation or steal away for a few days to mentally disconnect. This will keep your energy up and your creative juices flowing.”

—Pamela Shand, CEO, Offer Stage Consulting

 

Learn from Failure

“Having a business is hard in general, but for black business women it still poses additional challenges. Beyond outside factors we can’t control, we wrestle with our own demons. Owning a business comes with extreme highs and lows. When you land a new client or close a deal, you’re on top of the world until something occurs to make you question your skill, worth or ability to succeed. It’s important to learn from failure and get back up. If running a business were easy, everyone would do it, but there is a reason you chose to run yours. It’s an unpredictable journey, but well worth it.”

—Bethanie Nonami, co-founder, Marley Nonami

 

Read more articles on leadership.

Photo: Getty Images
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Date: FEBRUARY 16, 2018
© Julie Bawden-Davis

COULD A NONTRADITIONAL IPO BE RIGHT FOR YOUR COMPANY?

These reasons may help you consider whether a nontraditional IPO could work for your company.

APRIL 13, 2018

 

When music streaming company Spotify recently launched a nontraditional IPO, the market paused to see how this unusual direct listing approach would play out. While the final results remain to be seen, there are obvious benefits to filing a nontraditional IPO that you can learn from as a business owner.

An initial public offering (IPO) refers to the first time a private company offers its stock to the public. Companies seeking capital to expand generally issue IPOs, as well as privately owned companies aiming to become publicly traded.

Features of a Nontraditional IPO

The unique feature of Spotify’s IPO is its nontraditional nature. During the event, the company didn’t use investment bankers or sell any company-owned shares. No banks underwrote the offering and there wasn’t a set price. Rather, investor demand resulted in the publicly listed price.

“Nontraditional IPOs like Spotify’s spurn the traditional underwritten IPO route for a ‘direct listing,’ which means company stockholders (including management) are able to sell directly to the public and no new money is being raised for the company,” says attorney Christopher Tinen of the business and litigation law firm, Procopio, Cory, Hargreaves & Savitch LLP.

According to Tinen, the approach is unique. “Most traditional underwritten IPOs result in a large influx of capital to the company and a ‘lock-up’ of sales by company stockholders for 180 days while the market settles,” says Tinen. “Typically, underwriters lock up founders and other insiders for 180 days to avoid an immediate price collapse.”

Benefits of a Nontraditional IPO

There are several upsides to a nontraditional IPO, according to Tinen’s colleague, attorney William Eigner, a partner at Procopio, Cory, Hargreaves & Savitch LLP. “The pros of a direct listing include no dilution to existing stockholders, immediate liquidity for selling stockholders and reduced costs of going public,” he says.

“Typically, IPOs are not an exit for insiders in a normal IPO, but a direct IPO does indeed provide an exit,” says Eigner. “Underwriters that facilitate most IPOs also charge a hefty fee for handling the IPO, but a direct listing avoids that cost.”

A nontraditional IPO can save a company a great deal of money, agrees certified financial planner Rockie Zeigler III. “A direct listing IPO can save companies an untold amount of costs by getting rid of the middlemen, which includes investment bankers, brokers and the normal IPO roadshow that occurs so that the company can really whip up support for the shares.”

For shareholders, not having to wait out the lock-up period before selling is another pro.

Drawbacks of a Nontraditional IPO

As with any business maneuver, a nontraditional IPO has its drawbacks. “The stock may not have a huge run up in price fresh off the listing, as there aren’t the usual players involved hyping the stock to their large institutional clients,” says Zeigler. “Early performance of the stock may suffer as well—but time will tell.”

While a direct-listed IPO may not get all of the hype and fanfare as companies launching traditional IPOs, the cost savings may be substantial. For a new publicly traded company, those cost savings cannot be overlooked.—Rockie Zeigler III, certified financial planner

Volatility is also an issue, believes Tinen. “The lack of underwriters makes the offering highly volatile in the sense that there aren’t typical parties stabilizing the market or buying and holding shares in the company,” he says.

“In addition, the ability of essentially all stockholders to immediately sell to the public puts more selling pressure than usual on the company’s stock,” continues Tinen.

Despite the drawbacks of the nontraditional IPO, Zeigler sees the trend continuing. “Going forward, I think we may begin to see more companies list their IPOs in this manner. While a direct-listed IPO may not get all of the hype and fanfare as companies launching traditional IPOs, the cost savingsmay be substantial. For a new publicly traded company, those cost savings cannot be overlooked.”

Tips for Going Public

If you’re thinking about eventually going public, either with a traditional or nontraditional IPO, Eigner offers the following advice. “It’s a good idea to get accountants and audit firms involved as early as possible. Often, audits hold things up with the SEC or otherwise.”

Eigner also recommends that private companies mirror public company accounting and disclosure controls, corporate governance and other requirements before going public to ease the transition to being public.

And Eigner advises accessing well-respected institutional investors into your company as early as possible. “This will help increase interest from underwriters and the investing public when you decide to take your company public,” he says.

Photo: Getty Images

The information contained herein is for generalized informational and educational purposes only and does not constitute investment, financial, tax, legal or other professional advice on any subject matter. THIS IS NOT A SUBSTITUTE FOR PROFESSIONAL BUSINESS ADVICE. Therefore, seek such advice in connection with any specific situation, as necessary. The views and opinions of third parties expressed herein represent the opinion of the author, speaker or participant (as the case may be) and do not necessarily represent the views, opinions and/or judgments of American Express Company or any of its affiliates, subsidiaries or divisions. American Express makes no representation as to, and is not responsible for, the accuracy, timeliness, completeness or reliability of any such opinion, advice or statement made herein.

Project Link
Date: APRIL 13, 2018
© Julie Bawden-Davis

WHAT EFFECT CAN FAKE FOLLOWERS HAVE ON YOUR SOCIAL MEDIA MARKETING?

Having large followings is a major goal of social media marketing. But if those followers are phony, that large following can do more harm than good, according to experts.

APRIL 02, 2018

 

It used to be that customers trusted social media marketing accounts and readily engaged.

But now, because of the preponderance of businesses buying fake followers and engagement known as bots, people aren’t so ready to believe.

“Bots have become widely prevalent. They’re the pesky insects of the social media world,” says Jay York, senior digital marketing strategist at the public relations firm News and Experts. “Everyone knows they exist, but does their best to ignore them.”

The bot problem has been well-documented for years, adds Ryan Miller, CEO and founder of Etna Interactive, a web marketing agency catering to medical professionals in elective health care.

“Rather than taking an influencer’s number of followers at face value,” he says, “we often instinctively know the total comes with an asterisk.”

Social Media Marketing: A Relatively New Phenomenon

Historically, local businesses got their message out through the phone book industry, which did background checks prior to printing a business’s information, according to Jason Morgan, president of iLocal. (His company builds websites and handles online marketing for businesses in the greater Seattle region.)

“You couldn’t fake your way into the phone book,” says Morgan. “The industry had a strongly vetted system with sales reps on the streets, seeing businesses and meeting with owners.

Consumers find it refreshing and it builds trust when they connect with a real person who genuinely cares about the needs of the person on the other end of the computer.—Kyle Klement, chief marketing officer, Vet Marketing Firm

“Credit and background checks were required to get a phone line and an eventual listing,” he continues. “There was nothing fake about the phone book. It was the most trusted consumer archive around.”

Then came social media marketing.

“Grassroots internet marketing and social media distributors took the larger phone book model and formed thousands upon thousands of independent messengers online,” says Morgan. “Completely unregulated social media can do and say just about anything. The new age of online marketing is the Wild West, and it’s long been a ‘buyer, beware’ marketplace.”

How Fake Followers Harm Business

“The proliferation of fake followers is unfortunate for businesses striving to engage customers,” says Chris Rodgers, CEO and founder of digital marketing agency Colorado SEO Pros.

“Fake social media accounts hurt businesses, individual user experience and ultimately will create an atmosphere where people distrust information they’re consuming online even more than they already do,” says Rodgers.

Unfortunately, the doubt fake followers cast on social media marketing and accounts hurts lesser-known companies more than industry giants, believes York.

“If you’re a little-known business with 50,000 followers,” he says, “people might be more likely to assume you have fake followers than a well-known brand.”

Social Media Marketing Best Practices

So what’s a business to do about the lack of customer trust when it comes to social media marketing? These seven tips can help instill faith in your clients when they log on to your social media accounts.

1. Refrain from purchasing followers.

“Bots are a shortcut that does more harm than good,” says Kyle Klement, chief marketing officer for the Vet Marketing Firm, which provides marketing for veterinarians.

“Fake followers are designed to trick your audience into thinking that your business is more reputable than it actually is,” he says. “If your Instagram account has 50,000 followers, yet has trouble breaking 100 likes, your audience will catch on.”

2. Focus on social media engagement.

“The interaction you receive on your posts is much more vital to the success of your page than the number of followers you have,” says Klement. “An engaged audience is going to be more genuine than a purchased audience. The only way to continually engage your audience is to provide frequent and noteworthy content.”

3. Check for bots on your social media sites.

“If a brand is experiencing issues associated with fake accounts, I recommend tackling the problem head on,” says York. “Do a funny post or public service announcement calling out fake accounts. Be clear that you don’t condone them. If possible, monitor for bots and report them.”

4. Show that you care in your social media marketing.

“Consumers find it refreshing and it builds trust when they connect with a real person who genuinely cares about the needs of the person on the other end of the computer,” says Klement. “Business owners can do this by being proactive and listening to the audience. If there’s a common theme of questions customers are asking, go the extra mile to get that information into their hands.”

5. Be real.

“We always tell our elective health care clients that the best thing you can do on social media is to simply answer the question, ‘What’s it really like at the practice?'” says Miller. “Our clients post Snapchat videos in treatment rooms and show real results from patient transformations on Facebook. Increasingly, visitors also want to see why you do what you do.”

6. Be worthy.

“Remember that by following you, your audience has given you permission to market to them,” says Miller. “Post exclusive specials and news from the practice blended with information that educate followers.

“Take the focus away from your business and put it squarely on your audience,” he continues. “Ask yourself if they’ll get something out of what you posted—even if it’s a chuckle. If not, don’t post it.”

7. Be generous.

“We’ve found that one of the best ways to build a following for our clients is to run giveaways,” says Miller. “The best giveaways do three things. They build interest in your products or services, drive home a theme at the core of your brand and entice people to learn more about you.”

Read more articles on social media strategy.

Photo: Getty Images
Project Link
Date: APRIL 02, 2018
© Julie Bawden-Davis

WHERE ARE THE RESOURCES FOR WOMEN-OWNED BUSINESSES?

Women-owned businesses run into a funding and financing gap that can impede their success. Thankfully, there are quite a few resources available to them.

MARCH 29, 2018

 

Women’s History Month may be coming to an end, but women-owned businesses are just getting started.

According to the U.S. Census Bureau, 35.8 percent of businesses are owned by women. Yet many women business owners have a difficult time obtaining traditional bank financing for their companies. The Senate Committee on Small Business and Entrepreneurship’s most recent findings on barriers to women’s entrepreneurship found that “only 4 percent of the total dollar value of all small business loans goes to women entrepreneurs.”

Fortunately, there are resources, including financial assistance, available to women business owners.

“It’s important to set yourself up for success with your business by having tools and resources at your fingertips,” says Ezina LeBlanc, CEO of Ezina Omnimedia, Inc. and author of Make Money Now. “A business has many moving parts, and no one is an expert in all areas. So it’s important to establish relationships with mentors in the areas of finance, business management and marketing.”

Access to resources is everything when you’re a woman business owner, agrees Jamie Fertsch, owner of Xdesk, a customizable sit-to-stand desk.

“Back in 2012 when I built the first Xdesk in my living room,” Fertsch says, “I knew that having a network of mentors would significantly impact the success of my business. Xdesk wouldn’t be the profitable business that it is without all of the mentoring that I’ve received.”

Funding Assistance Lacking

“Financial resources—especially access to capital—can be critical to the success of a small business, yet less than 20 percent of small business bank loans are made to women,” says Gerri Detweiler, education director for Nav, which helps business owners build and monitor strong business credit for free.

Betsie Larking is CEO of HoneyLove, which produces shaping undergarments. She notes how funding ensured her success.

“I can say with 100 percent confidence that my company would have failed without access to funding that we needed to stay afloat,” says Arm yourself with resources so that when you hit a wall, you can send an email or pick up the phone and get an answer.

—Ezina LeBlanc, CEO, Ezina Omnimedia

The U.S. Small Business Association (SBA) offers microlending to fund buying a business and capacity-building loans. According to the organization, 48 percent of businesses receiving microloans are owned by women.

Loreen Gilbert is chair-elect of the National Association of Women Business Owners (NAWBO) Institute for Entrepreneurial Development Board, in addition to president and founder of WealthWise Financial Services. She’s been involved in microlending over the years and bought her company’s office building with an SBA loan in 2007.

“I would not have been able to buy my office building without the help of the SBA,” says Gilbert. “During the Great Recession, I also found out that the SBA had a program for a 0 percent loan up to $50,000 for five years. I had to make a lot of phone calls to find a bank that was supporting that SBA program, but I found one.”

Funding Alternatives

The following organizations provide funding assistance in various capacities to women-owned businesses.

  • 37 Angels is an organization founded and run by women business investors. They focus on providing startups with funding needed to grow and expand. You could receive up to $150,000 for product development, inventory and expansion.
  • For businesses that have been open for a minimum of three years with revenue less than $1 million, Eileen Fisher Clothing Company awards $100,000 to between five to 10 business owners each year to businesses that focus on environmental or social change.
  • In addition to a variety of funding programs for small-business owners, the SBA has an annual InnovateHER Challenge
     

    where women business owners can compete to win between $10,000 and $40,000 in prizes.

  • The Women’s Venture Fund
     

    helps women build businesses in urban communities. They offer mentorship, one-on-one classes and small business loans.

  • Office of Women’s Business Ownership
     

    (OWBO) has women’s business centers nationwide. At each location, you can receive training in finance, get business coaching and receive access to lines of credit.

  • If your business is humming along, yet you need help scaling, The EY Entrepreneurial Winning Women program helps women-owned businesses scale quickly with their national competition and yearlong executive leadership program.

Mentoring Equally Important for Women-Owned Businesses

“In addition to funding, I’ve found mentoring from other women business owners to be critical,” says Melissa Rogne, president and founder of Rejuv Medical Aesthetic Clinic.

“The first few years of business ownership can be very discouraging,” she continues. “You put in an incredible number of hours without any financial return. Having the support of others who have been there to assure you that you’re making the right decisions and that there is a payoff in the future is invaluable.”

Mentoring for women-owned businesses is essential, agrees Helena Escalante, creator of the business blog, EntreGurus.

“Mentors provide experience, expertise and valuable direction,” Escalante says. “They come in many forms, including classes and especially books.”

Bringing women together for a group mentoring experience that helps them grow their businesses is the goal of Julia Pimsleur’s upcoming Million Dollar Women Summit.

“Networking between women is very important, as often women feel lonely and isolated while building their businesses,” says Pimsleur. “Knowing that they have a tribe of other high-growth women makes it easier.”

Mentoring Organizations and Programs

There are a wide variety of mentoring opportunities for woman-owned business owners.

“You may be able to network with other like-minded business owners through professional organizations,” notes Ximena Hartsock, co-founder and president of Phone2Action, which coordinates phone campaigns. “For me, being a member of the Consumer Technology Association has been extremely helpful.”

It’s important to have mentoring/coaching support and resources to succeed, agrees Carolyn Lowe, a brand marketer, storyteller and connector.

“I’m reminded [of] this African proverb: ‘If you want to go fast, go alone; if you want to go far, go together.'”

Jen Brown, founder of the Engaging Educator, agrees. Her company is dedicated to helping women develop their communication style.

“Women need mentors in their corners at all times,” says Brown. “They can provide a ‘me too’ for many events, roadblocks and detours that women-owned businesses may encounter.”

National organizations that offer mentoring services to women business owners include the following.

  • The SBA has the Women’s Business Centers, Small Business Developmentand SCORE, which all offer valuable free and low-cost training and mentoring for entrepreneurs.
  • Women’s Step Up Network
     

    provides networking and mentoring opportunities for professional women, as well as helps young girls in under-resourced communities become the next generation of college-bound, career-focused professional women.

  • Another resource for mentorship is NAWBO. With chapters nationwide, this organization has offered business mentorship since 1975. Their goal is to propel women into greater economic, social and political spheres of influence.
  • Women Who Startup is a network of entrepreneurs who offer training and mentorship to help you build your company. They match you up with a suitable mentor where you can brainstorm and collaborate about your projects and ideas.
  • Astia focuses on helping women entrepreneurs thrive. Through the Astia network, women gain access to advisors and mentors to get feedback on their businesses and maximize their chances of success. (Funding is also available.)

“Whatever you do, don’t try to reinvent the wheel,” says LeBlanc of Ezina Omnimedia. “There are women who want to help you. Arm yourself with resources so that when you hit a wall, you can send an email or pick up the phone and get an answer.

“Women as a collective have so much information, and we love to share; it’s in our DNA,” she continues. “Find a group, find a mentor, and hang on and enjoy the ride.”

Read more articles on financing.

Photo: Getty Images
Project Link
Date: MARCH 29, 2018
© Julie Bawden-Davis

LAST-MINUTE TAX DEDUCTIONS TO CONSIDER FOR YOUR BUSINESS

April 17, better known as Tax Day 2018, is right around the corner. Do any of the following oft-forgotten tax deductions apply to your business?

MARCH 22, 2018

 

Somehow it happens every year. Tax day seems far away—and then it’s upon us. Tax day is April 17 this year. If your business is on a calendar year and you still need to file, you might want to consider the following last-minute tax deductions. Even if you’ve already filed, it’s good to plan ahead for 2018 taxes, especially in light of tax reform.

Time might be tight right now, but don’t rush through your taxes, advises Alistair Bambridge, senior partner at Bambridge Accountants.

“If you’re racing to get your tax return done on time, beware [of] sacrificing accuracy for speed,” he says. “Gather all of your financial records before you start. That will help you work faster and reduce the risk of overlooking something.”

Often Overlooked Tax Deductions

Taking a long look at your tax records is a good practice that can help you avoid missing any money-saving tax deductions.

“Deductions are often overlooked. Business owners don’t always realize that if there’s an expense incurred to benefit your business and you can show it, deducting that expense is often possible,” says author, speaker and wealth adviser Al Zdenek.

“For example,” he continues, “if you keep dogs in your office to calm clients, you might be able to deduct costs for the dog such as food and grooming.”

Avoid letting fear get the best of you regarding certain deductions that tend to attract audits. As long as you can prove the expense and have a reason the expense benefited your business, then the deduction is valid.—Al Zdenek, author, speaker and wealth adviser

Bambridge agrees. “The lesser-known tax deductions can add up to substantial tax savings,” he says. “For instance, you can reduce your tax bill by claiming the costs incurred in holding board meetings, taking educational courses and even discounts you give to customers. There are also deductions for smaller capital costs, such as staff uniforms.”

Here are several additional often overlooked tax deductions.

Cost-segregation. Cost-segregation allows a business owner who owns his or her own building to speed up the depreciation of the building. The immediate savings can be dramatic, according to Anthony Parent, founding partner of Parent & Parent LLP and IRSMedic.

Research & Development. “Most businesses conduct experimental research that would qualify for the R & D business tax credit,” says Parent. (He suggests asking your accountant for more details.)

Captive insurance. Essentially a form of self-insurance, captive insurance policies are used as asset protection tools, says Parent.

“When done correctly, a captive insurance policy can also be used for significant tax deductions,” he says. “While captive insurance companies were once the domain of large companies, new laws and products have brought down the cost to a point where it can make sense for smaller companies, as well.”

Mileage. Be certain to track all of your miles, including those to and from locations such as the post office and networking events, suggests Cindy Dillard, a tax strategist and founder of Small Business Accounting, Tax and Bookkeeping Service. She recommends using one of the many apps designed to track miles.

Reallocation of year-end payments. If there were payments made to you in late December for work in 2017, see if it’s possible to place those payments into 2018.

Home office deduction. “While the IRS is sensitive to the home office deduction, because many abuse it, it’s still a viable deduction for those seriously using their homes for business purposes,” says Zdenek. “Recently, I had an artist whose accountant did not wish to deduct her ‘studio’ cost in her home, due to possibly being questioned about it. It was clearly a viable studio and she made a profit, so she took the home office deduction and came out ahead.”

Even if you don’t have a home office, there are still deductions you can take of at-home costs associated with work, such as internet and computer services and reference materials.

Don’t let the possibility of an audit keep you from taking viable tax deductions, adds Zdenek.

“Avoid letting fear get the best of you regarding certain deductions that tend to attract audits,” he says. “As long as you can prove the expense and have a reason the expense benefited your business, then the deduction is valid.”

Besides the federal level, also consider your taxes on the state level.

“Since tax rules and regulations vary widely from state to state, there’s no one-size-fits-all solution,” says Jadon Newman, founder and CEO of retirement planning, real estate investment and asset management company Noble Capital. “Become intimately familiar with how taxes work in your state. You might find something you’ve been missing.”

Plan for the 2018 Tax Year Now

Considering there are tax changes because of tax reform, it also makes sense to plan ahead for the 2018 tax season.

“If you only think about your taxes when tax season comes around, you’re doing yourself a grave disservice,” says Newman. “Right now consider what you can do to prepare for next year. This includes keeping abreast of the tax reform, because there are still a lot of unknowns. The IRS has yet to issue guidance on specific pieces of the bill.”

You can help ensure that next year’s tax preparation goes smoothly by meeting with your accountant as soon as possible this year so that you can set up your general ledger to record and classify expenses according to the new tax laws, advises Bill Norwalk, tax partner-in-charge at the accounting firm Sensiba San Filippo.

“Your accountant can also let you know about any exceptions,” says Norwalk. “For instance, even though the deductibility of entertainment expenses has been generally eliminated with the tax reform, there are still exceptions that allow deductions. Knowing this ahead of time allows you to take advantage of such tax deductions.”

Read more articles on taxes.

Photo: Getty Images

The information contained herein is for generalized informational and educational purposes only and does not constitute investment, financial, tax, legal or other professional advice on any subject matter. THIS IS NOT A SUBSTITUTE FOR PROFESSIONAL BUSINESS ADVICE. Therefore, seek such advice in connection with any specific situation, as necessary. The views and opinions of third parties expressed herein represent the opinion of the author, speaker or participant (as the case may be) and do not necessarily represent the views, opinions and/or judgments of American Express Company or any of its affiliates, subsidiaries or divisions. American Express makes no representation as to, and is not responsible for, the accuracy, timeliness, completeness or reliability of any such opinion, advice or statement made herein.

Project Link
Date: MARCH 22, 2018
© Julie Bawden-Davis

BUSINESS LEADERS REVEAL THE WOMEN WHO INSPIRED THEM

Behind every successful woman are other women who have paved the way. In honor of Women’s History Month, these business women reveal their supporters.

MARCH 12, 2018

 

March is Women’s History Month, a time to look at how far women in business have come and to honor those forerunners responsible for that progress.

The women I spoke to for this article agree that their successes might not have been possible if it weren’t for the “women beneath their wings” supporting and encouraging them.

“Having women role models to look up to is a source of inspiration that’s essential to a woman’s career trajectory,” says Katelyn Coghlan, general manager at In It, who was inspired by her boss. “Female support proves that, although the road may be difficult, any woman can have it all.”

I spoke to a number of business leaders who credit a variety of women for their successes. Not surprisingly, moms head the list of women who have supported and encouraged women so that they can make their dreams a reality. Other family members, such as aunts and grandmas, have also helped make dreams come true.

Moms Offer Enduring Support

“My mother, a fulltime homemaker, told me at age 10 to get out of the kitchen. In her words, ‘You can always learn to cook—go out and do something to change the world.’ She encouraged me to follow my dreams and think outside the box. In the 1950s, women’s career choices pretty much included teacher, nurse, secretary and homemaker. I became a professional ballet dancer. I have also owned my own consulting business for more than 20 years and last year, at age 67, I raised the curtain on WorldWideWomen, a global hub of resources and connections for women.”

—Maureen Broderick, founder and CEO, WorldWideWomen

“Being raised by a strong, caring and hard-working mother inspired me to be an entrepreneur with the confidence that I also can be an incredible mom. As a child, I watched my mother work extremely hard as co-founder of my parents’ company while raising three kids. She educated my sister and me about how important it was to never let our gender hold us back. Seeing your mother run a successful company and household firsthand shows you how powerful it really is to be a woman (and how amazing we truly are).”

—Kate Alcaraz, co-founder, Beauty Advisor

“My mother has been the greatest influence in my professional journey. She and my father had their own business and always reminded my sister and me growing up that ‘average isn’t that interesting.’ The expectation was that we’d do our best at everything, because my parents were also trying to do their best for the family. They were honest in their feedback, but also supportive when things went well, helping to reinforce our self-confidence early on.”

—Pamela Springer, CEO, ORIS Intelligence

“My mom, Julie, who also happens to be my business partner, inspires me during Women’s History Month. She has a perpetual positive outlook that allows her to see solutions, rather than problems. She always said that a parent should give children roots and wings. Roots are a solid foundation from which to grow and wings develop the self-confidence to fly. I really feel like she has achieved this, as a business partner, mentor and as a mom.”

—Sophie Phillipson, co-founder, HelloGrads

“Inspiration isn’t only drawn from examples one is impelled to emulate, it can also be reactionary. My dear mother, a housewife who never worked outside of the home, was one of my greatest professional inspirations. I grew up witnessing how she needed my father’s approval for even seemingly inconsequential purchases and decisions. To me, her lack of independence was unacceptable. As a result, I resolved at a very early age that one day I would be a career woman and my own boss.”

—Jolie Balido-Hart, CEO, Roar Media

Aunts Make a Great Cheering Squad, Too

“My mother, Sandy Orrico, and my late great-aunt, Bea Osterman, both continue to inspire me during Women’s History Month. They are a huge part of who I am and what I’ve accomplished. My mom suddenly became a widow at 38. While battling MS, she raised me, a 9-year-old, all by herself. Before I was born, my Aunt Bea lost her husband to a tragic accident. Both of them, being strong and intelligent women, were forced to quickly learn how to make it on their own. At 38, I also became a widow. Had it not been for witnessing their strength and positivity through adversity, I’m not sure that I could have done all that I have in my life.”

—Laura Orrico, actress and president, Laura Orrico Public Relations

“My mother Felicitha Prempeh, aunt Mary Prempeh and grandmother Hannah Arthur, inspired me to open my own business and invent and promote the ChangePal brand. Growing up in Ghana, I saw them run a small retail store specializing in cookware, which is a competitive market there. Through innovation, coupled with excellent customer service, I saw the family business bloom. I knew that building the ChangePal brand from the ground up would take some work and innovation, but I only had to remember the perseverance and courage of these incredible women in order to forge on to success.”

—Dr. Mavis Prempeh Mbi, owner and inventor, ChangePal

Grandmas and Their Wisdom Also Rate Highly

“I continue to be inspired by my grandmothers, who though different, showed me anything is possible. My paternal grandmother was the first woman to graduate law school in Chile and practiced side-by-side with her husband in the 1920s. My maternal grandmother escaped from the concentration camps with her three sisters and husband. After an arduous trip to America, they were turned away at Ellis Island, forcing them to head south where they settled in Chile. They arrived with the clothing they wore and a newborn. My grandmother said she never cried once, despite living in one room with six people and checking garbage cans to feed the family. Though she’d lost a life of luxury in Romania, she smiled through it all, because they were alive and able to rebuild their lives. It’s incredible to think of their stories during Women’s History Month.”

—Sandy Rubinstein, CEO, DXagency

“My grandmother was the first registered nurse to work at the hospital where I grew up. She was at the beginning of the era where nurses began taking advanced nursing. RNs were rare and most women didn’t work outside the home. My grandmother died before my birth, but left a legacy that included me getting my RN and founding my company to bridge the gap for health care facilities between surveys and success.”

—Donna Rossa, CEO, Rossa, Rossa & Associates

Colleagues and Business Partners Offer Valuable Support

“As a female in the male-dominated field of surgery, I’ve found that it’s important to have strong female role models. Dr. Victoria Vastine and Dr. Betsy Hall-Findlay are two of several female plastic surgeons and business women I look up to. I have been encouraged by their ability to excel as surgeon leaders with fulfilling family lives. They have taught me that as a woman business owner, it is critically important to find a healthy work/life balance. This balance sometimes takes time to sort out, so patience and persistence are key!”

—Dr. Shruti Tannan, owner, Tannan Plastic Surgery

“I’ve been inspired by several women, including my business partner Bettie Spruill, as well as Rubye Erickson, who is like a second mother to me. I met Rubye in my twenties when I was new to the business world. She taught me how to dress, carry myself and present in front of audiences. Seeing her grace, poise, discipline and commitment to excellence inspired me to grow my business and reach more audiences.”

—Sue Hawkes, author and CEO, YESS!

Mentors Make a Difference

“Lynette Cayson has been the most inspirational mentor, leader and role model for me. Before she retired in 2016, we worked together for three years. She was always direct, honest, logical and made the best non-ego driven decisions for the business. She surrounded herself with people she felt she could learn from and regularly sought and respected the counsel of employees and other professionals. She always accepted responsibility and stood behind her employees. I respect and admire Lynette as a boss, a leader, a woman and a person. I am honored to have had the opportunity to work with her and to call her my friend.”

—Karie La Mountain, president, Cayson

“Sara Blakely is a huge inspiration to me. I was the winner of her Spanx Leg Up Award and was able to connect with her through that program. She is so honest about her career journey and has built an incredible brand. I love her ‘inventor’s spirit’ and the absolute pluck she had when starting her business from scratch. Leslie Blodgett, the former CEO of Bare Escentuals, also inspires me, especially with her example of using real people to share her passion for the product and create true brand evangelists. My personal mentor Diane Paddison has mentored me and gone to bat for me with the belief that my success will also pave the way for women who come after me.”

—Liz Forkin Bohannon, CEO and co-founder, Sseko Designs

 

Read more articles on leadership.

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Date: MARCH 12, 2018
© Julie Bawden-Davis

COULD THE TIGHT COMMERCIAL REAL ESTATE MARKET AFFECT YOUR BUSINESS?

Commercial real estate is at a premium, which means higher leasing costs and fewer options. Here’s how to find office space under these circumstances.

MARCH 02, 2018

 

Has your company outgrown its office space? You might want to look for a new location sooner than later. Like the residential market, much of the commercial real estate market is currently tight.

“Be mindful of your timeline if you’re six months out from a lease termination, or you’re running out of space,” suggests Tere Blanca, CEO and founder of the commercial real estate brokerage firm Blanca Commercial Real Estate. “Given that markets are tight, you need a long lead time to ensure you can get the best possible space and deal terms,” she says.

If you’re set to renew your lease, you may find the rates rise substantially.

“Tighter markets tend to be more landlord-friendly and have higher rates,” says Blanca. “Business owners renewing leases often get major sticker shock in tight markets.”

Faced with rising leases and a growing workforce, many growing companies that aren’t ready to move have to make do with their current space.

“When moving isn’t yet an option, maximizing space comes into play,” says Blanca. “Tenants may have to convert bigger spaces into smaller huddle rooms or take larger single offices and convert them to more open layouts with workstations for multiple employees.”

Why Finding the Ideal Office Space Is Important

Having the ideal workspace for your employees—one that offers sufficient space and desired amenities—can directly affect your bottom line.

“The reality is you spend more waking hours in the office than you do at home,” says Eran Roth, CEO and founder of commercial real estate investment firm iintoo. “Working in a space you like, with the right balance of privacy and social interaction, can make a huge difference in the motivation of the workforce and directly impacts worker morale, retention and overall feelings of compensation.”

Look at co-working options that allow rapidly growing businesses to move into amenity-rich commercial real estate spaces immediately.—April Zimmerman Katz, owner and president, The Zimmerman Companies

For retailers, the location profoundly affects sales, believes Katherine Jensen, principal of Jensen Consulting, which specializes in writing and auditing commercial real estate leases.

“A storefront in a busy plaza with complementary neighbors is going to help increase the potential for sales and your visibility,” she says.

On the other hand, office space and its location may also influence your employees.

“Certain features such as being close to the subway, parking on site or perks like discount gym memberships could be deciding factors for potential employees,” says Jensen

The ideal office space can be critical to the culture of an organization, adds April Zimmerman Katz, owner and president of The Zimmerman Companies, a property management company, and Versa LLC, a provider of shared work space.

“One of the most expensive tasks any owner or employer has is to find, train and retain talent,” says Katz. “Employees will look carefully at the home a company has chosen. If a space doesn’t feel inspired, it may be harder to expect employees to follow suit.”

Tips for Finding the Right Office Space for Your Company

Locating the ideal office space in a tight commercial real estate market does take some time and dedication, but it’s possible. Try these tactics.

1. Think and plan ahead.

“Focus on the space you’ll need in 18 to 24 months,” says Alex Cohen, chief commercial real estate specialist for The Alex Cohen Team. “Most office leases are five to 10 years in term. Many companies in the growth mode decide on an appropriately-sized space based on their anticipated head count within the first year of the lease. It’s far better to anticipate more long-term growth than to make do with overcrowded conditions or have to relocate.”

One way to avoid having to relocate when you do run out of space is to negotiate and incorporate into the lease terms a right to more space that may become available in the building, adds Jensen.

2. Consider employee preferences.

“Look at where your employees are living and commuting from,” suggests Blanca. “Then choose a space that makes the most sense for the maximum number of employees. There will be a resulting increase in productivity thanks to decreased tardiness and absences.”

3. Look at flexible office options.

A traditional office may not be the answer in a tight market, suggests Katz.

“Look at co-working options that allow rapidly growing businesses to move into amenity-rich commercial real estate spaces immediately. Co-working can offer offices that can expand and contract with business as needed and allow owners to get down to work.”

Will Mitchell is co-founder and CEO of Contract Simply, a payment system software company. He is currently leasing a small office through a co-working space, and will soon be moving to a larger space with a six-month lease.

“We’ll be getting a pleasant ambiance, a kitchen, comfortable furniture, new desks and chairs, conference rooms, a great location and plenty of parking,” he says. “Our plan is to look for a permanent location once we triple in size.”

There’s definitely a rise in popularity of co-working spaces and requests for temporary office space, adds Clate Mask, CEO of Infusionsoft, a sales and marketing software company, and co-author of Conquer the Chaos.

“The commercial real estate market is likely a contributing factor,” Mask says, “as is the desire for mobility as businesses and employees become more global.”

4. Consider your company’s Gross Rental Occupancy Cost (GROC).

“GROC is an important calculation new tenants often have no knowledge of,” says Jensen. “This number illustrates the percentage of your revenue being spent on your rental costs. Ideally, a successful business should land between 10 to 20 percent. In a tight real estate market, it’s important to know your budget before diving in and signing a lease.”

Read more articles on planning for growth.

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Date: MARCH 02, 2018
© Julie Bawden-Davis

HOW TAX REFORM MAY AFFECT YOUR BUSINESS

The Tax Cuts and Jobs Act is introducing some major tax changes. Learn how your business could be affected by tax reform and the new legislation.

FEBRUARY 26, 2018

 

For the first time in more than three decades, Congress passed a major tax reform featuring sweeping changes.

The Tax Cuts and Jobs Act aims to spur economic growth across the United States by adjusting tax structures for small businesses and corporations. Some of those changes may directly affect your business.

As with any tax reform, there are pros and cons, but the overall consensus from business owners I spoke to was a feeling that the tax reform could be a positive for many businesses.

“I was skeptical about the tax reform initially, but I’ve found that it’s a boon for my business,” says Paul Bromen, owner of mattress review site Upon A Mattress. “The tax savings and opportunity to keep more of the site’s earnings has enabled me to hire a full-time writer for the website.”

Improved Tax Situation for Many Businesses

The consensus coming out of the Small Business Administration is that the Tax Reform will benefit businesses. In an official statement, SBA Administrator Linda McMahon, commented, “I am confident that small business owners across the country will see increased opportunities for the development and expansion of their businesses in the upcoming years as a result of this important legislation.”

How much of a tax break your company will get depends on whether you are incorporated. Those businesses that are incorporated will have a bigger reduction in taxes.

Incorporated business tax reduction

For incorporated businesses (C-corporations), the most direct impact of the tax reform is a lowering of corporate taxes.

“Tax rates for C-corporations will be changed to a flat rate of 21 percent, compared to the current progressive tax system that has a maximum rate of 35 percent,” says Michael Chen, CPA, CEO and founder of Henry.tax. (The new tax rates are explored in a December 2017 post on the Journal of Accountancy.)

We expect the elimination of expenses will have some impact to smaller businesses. Such companies will change behavior to adapt to those rules.—Michael Chen, CPA, CEO and founder, Henry.tax

Carisa Miklusak, CEO of the recruiting and job placement company tilr, is already seeing a positive response to the new tax reduction.

“The tax ‘savings’ can be used for reinvestment back into the business or passed onto employees in the form of a percentage raise,” she says. “The latter practice has become popular at the beginning of this year with many companies, including my own. We’re sharing savings in the form of a blanket percentage raise. We feel that this recognition is likely to drive employee engagement, resulting in revenue that far outweighs the investment.”

Reid Carr, president and CEO at the marketing company, Red Door Interactive, echoes a similar tactic.

“Our company should get a benefit of a lower overall tax rate, which should increase our profitability,” he explains. “That means because we have an incentive plan for our employees based on profitability, they might see a bit more income from that program on a semi-annual basis.”

Pass-through business entity tax deduction

Unlike corporations taxed as separate entities, sole proprietorships, partnerships, S-corporations and LLCs are “pass-through” businesses taxed through business owners’ taxes. Many such pass-through businesses can now receive a 20-percent tax deduction, as indicated in Sec. 199A of the Tax Reform Act.

“If you aren’t in the personal service business and have employees, you may be eligible for a deduction up to 20 percent of the taxable income from that business,” says Chen. “For businesses that qualify for the 20 percent deduction, owners of the businesses will see significant tax savings at the personal level.”

There are income limits. You must make less than $315,000 per year as a couple filing jointly or $157,500 in individual income.

Jason Labrum, founder and president of Labrum Wealth Management, offers an example of how this might work with the tax reform.

“A business owner who makes $200,000 per year will be able to deduct 20 percent, or $40,000, which would lower his or her taxable income to $160,000,” he says. “If you assume a net effective tax rate of 20 percent, the $40,000 deduction would equal $8,000 in tax savings.”

Major Changes in Equipment Depreciation

Under the old tax law, many major equipment purchases were required to be depreciated over a number of years. That meant that business owners could only write off a small portion of the expense each year for tax purposes.

“With the tax reform, immediate write-offs of 100 percent of business equipment purchases are allowed. This makes the depreciation process unnecessary,” says Alexander Joyce, president and CEO of ReJoyce Financial, a wealth management firm.

According to Joyce, the provision located in section 179(b)(1) of the Tax Reform Act, allows for immediately expensing up to $1 million in equipment expenditures. Joyce feels that this could spur more investment in businesses.

“The eligible expenditures now include certain payments on rental-related property, such as roofs and heating and ventilation systems,” he says. “With this in mind, businesses that purchase significant assets in a year—especially for rental units—could benefit significantly.”

Reduction or Elimination of Certain Expense Write-Offs

Some expenses that you could write off prior, such as interest expense, state and local taxes and meals/entertainment expenses, have been be reduced or eliminated.

“The interest expense deduction is now limited to 30 percent of net income, although this doesn’t apply to small businesses with receipts less than $25 million,” says Chen. “Additionally, entertainment expenses are no longer deductible, and Net Operating Losses (NOL) are now limited to 80 percent of each year’s taxable income. The latter deduction can no longer be carried back prior years.”

Given the elimination of some tax benefits, it’s possible that business owners could see mixed results from the tax reform, believes Chen.

“We expect the elimination of expenses will have some impact to smaller businesses. Such companies will change behavior to adapt to those rules,” says Chen. “For example, if taking a client to a basketball game is less tax efficient, a great meal at a great venue may be substituted.”

If you have questions about how the tax reform legislation is going to affect your business specifically, you might want to consult with a tax professional or financial planner. A financial expert can help you maximize the benefits of the new legislation while reducing its drawbacks.

Read more articles on taxes.

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The information contained herein is for generalized informational and educational purposes only and does not constitute investment, financial, tax, legal or other professional advice on any subject matter. THIS IS NOT A SUBSTITUTE FOR PROFESSIONAL BUSINESS ADVICE. Therefore, seek such advice in connection with any specific situation, as necessary. The views and opinions of third parties expressed herein represent the opinion of the author, speaker or participant (as the case may be) and do not necessarily represent the views, opinions and/or judgments of American Express Company or any of its affiliates, subsidiaries or divisions. American Express makes no representation as to, and is not responsible for, the accuracy, timeliness, completeness or reliability of any such opinion, advice or statement made herein.

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Date: FEBRUARY 26, 2018
© Julie Bawden-Davis

HOW BLACK BUSINESS OWNERS ARE FINDING CAPITAL FOR THEIR COMPANIES

Funding for black business owners isn’t always straightforward. Discover how cash-strapped entrepreneurs have accessed the money they need to grow.

FEBRUARY 22, 2018

 

In November 2016, Stephanie Caudle lost her job in public relations. Employment prospects looked bleak, so she decided to start her own business. She soon launched Black Girl Group, a micro job site that taps into the gig economy.

Caudle’s company is an online freelance platform that connects African-American women freelancers to companies seeking to market and advertise to African-American communities.

To keep her business afloat, Caudle found—like many business owners—the need for working capital. Rather than turn to her local bank, she found success receiving capital through unconventional means.

“I won the Black Enterprise and Hiscox’s 2017 Small Business Pitch Competition,” says Caudle. “Such pitch competitions—often geared towards providing startups with seed money—give you the chance to win monetary prizes and get your business in front of people who otherwise wouldn’t know your company exists.”

Making a Way

Unconventional means of accessing capital are especially important for black business owners, believes Caudle.

“As black business owners, one of our largest barriers to success is lack of capital,” she says. “Because of this, it’s our primary responsibility to get creative and ensure we receive capital in unconventional ways.”

Alternative funding options for black business owners do exist. Once you start looking, you may be surprised at the opportunities available.

Eric Martin, co-founder of Black & Abroad, a cultural collective dedicated to celebrating and encouraging black travel, agrees.

“Black businesses, in general, suffer a much more difficult existence,” says Martin. “From limited access to seed capital, to trouble securing loans, to difficulty getting exposure, many of our businesses thrive in the gray area between operating costs and survival. In order for any business to thrive, there has to be adequate access to capital.”

Sufficient capital allows business owners to scale up, notes Steven Burton, CEO and founder of Perfect Tux, a formal wear e-commerce company.

“Having access to capital also keeps your business afloat during down seasons when cash flow is an issue,” Burton says.

Funding Options for Black Business Owners

Alternative funding options for black business owners do exist. Once you start looking, you may be surprised at the opportunities available. Here are some possible sources of operating capital.

1. Minority Business Development Agency (MBDA) Business Center

At the Minority Business Development Agency (MBDA) Business Center, minority business owners can talk to business experts.

You can speak to these experts about growing your business, including ideas and sources of securing capital.

2. 8(a) Business Development Program

The Small Business Administration’s (SBA) 8(a) Business Development program was created to serve minority-owned businesses. If you’re accepted into the program, you can qualify for funding, as well as receive business guidance and opportunities to contract and subcontract with other entrepreneurs.

3. Business Grants

A wide variety of organizations offer grants to African-American business owners, while others are open to all business owners. Here are three.

Prepare for Traditional Capital Opportunities

While obtaining capital through traditional funding sources is more difficult for black business owners, Burton of Perfect Tux believes that it can still happen. For that reason, his advice is to be prepared.

“I believe obtaining capital from traditional resources starts with education,” says Burton. “I suggest familiarizing yourself with the process and requirements of obtaining capital, i.e. being in business at least two years and having a solid business plan.”

Burton also suggests finding a local bank that deals with businesses and start building a relationship with the bank.

“I meet with the VP of small business loans annually in preparation for the day I need capital,” he says.

Read more articles on alternative financing.

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Date: FEBRUARY 22, 2018
© Julie Bawden-Davis

11 BUSINESS LEADERS SHARE HOW THEY STRIKE WORK-LIFE BALANCE

A recent study showed that people have difficulty achieving work-life balance. These entrepreneurs explain what works for them despite challenges.

FEBRUARY 09, 2018

 

Does this sound familiar to you? You finally manage to take a weekend off from work and become totally relaxed and reenergized. Realizing the value of striking a healthy work-life balance, you vow to work less and take care of your physical and mental health.

But then you find yourself back in the office running faster than ever.

If this sounds like your life, you’re definitely not alone. According to a February 2018 FlexJobs survey of more than 1,200 people that analyzed how work impacts overall satisfaction, only 30 percent of respondents report being satisfied with their work-life balance.

Eighty-six percent responded that work conflicts with their ability to take care of their health.

I talked to 11 business owners who have determined how to strike a healthy balance between work and the rest of their lives. They don’t always achieve a perfect balance, but they do find that the following tactics help them to live more balanced, healthy and satisfying lives.

Reduced Work Week

“Several years ago, we implemented four-day work weeks so everyone could take time to regroup, de-stress, enjoy more time with friends and family and care for themselves. Having employees who feel taken care of and appreciated makes me feel more balanced as a business owner. I also take a few weeks every summer to recharge my batteries, which helps to ensure a work-life balance.”

—Rhonda Allison, founder and CEO of Rhonda Allison Cosmeceuticals

 

Daily Time Off From Technology

“My husband and I charge our phones across the room, away from our nightstands. We start this at least an hour before bedtime and don’t check the phones again until an hour after we wake up in the morning. Being able to shut off in this way has actually increased our productivity at work while also helping us connect with each other at night. In the morning, I prioritize having breakfast with the kids, or squeezing in a workout or enjoying a relaxing shower before picking up my cellphone and tackling the hustle and bustle of the day.”

—Erin Halper, CEO, The Upside

Work-Life Balance With Meditation and Exercise

“The choices we make each day to maintain work-life balance have a lasting impact on how satisfied we are with our lives and health. It took me years to understand that it’s okay to give yourself ‘time off’ when you feel maxed out. Now I meditate each morning, try to work out at least two times a week and give myself brief breaks throughout the workday. Most importantly, I enjoy a nonnegotiable family and personal day each weekend.”

—Swarna Kuruganti, founder, The Clear Scoop

 

“You must take care of yourself to take care of others. Exercise, vacation, adequate sleep and eating well are all vital to preventing burnout. I also practice yoga and meditation. And I’ve been studying Judaism, which has a practice of 25 hours of disconnectivity, from Friday night to Saturday. I’ve been trying to turn off my cellphone to be present with friends and family. This practice is so liberating and helps greatly with work-life balance. It feels like an actual break from the ‘race.'”

—Nicole Liebman, commercial real estate agent, HUDSON RE

 

Quality Family Time

“Before starting my own business, I was in a high-pressure job that left me mentally rundown, physically sick and emotionally agitated. Now I wake up every day excited to grow my business and find as a result that I’m incredibly efficient. I exercise daily. I also cook breakfast for myself and my 11-month-old daughter and spend time with her. This quality time focused on her is a huge part of mentally setting me up for the workday.”

—Alice Kittrell, founder and CEO, Outgift

 

“Although I try very hard to separate work and personal time, I realize that work-life balance is the key. Owning a business means I can never truly turn off the work valve. Over the years, I’ve learned that if I want to be productive in my business life, I have to be happy, healthy and have peace of mind. I make it a priority to spend personal time with the people I love. I’m also interested in having a healthy mind, so I make sure to expose myself to positive thoughts, as well as healthy eating habits.”

 

—Miko Branch, CEO and co-founder, Miss Jessie’s and author of Miss Jessie’s: Creating a Successful Business From Scratch—Naturally

Travel

“For me, traveling is vital to my health and work-life balance. Some of my best ideas have arisen because of my trips around the world. There is a misconception that taking a vacation means you’re lazy. To me, it means that I value my health. I travel extensively, but I also work while I’m away. You get one life, and I like to live mine to the maximum.”

—Janice Schacter Lintz, CEO/founder, Hearing Access & Innovations

 

Scheduled Me-Time

“Work-life balance is about preventing burnout and realizing that your health is your wealth. That may mean waking up early and working out, meditating or journaling. I’ve found that inserting some ‘me-time’ into the schedule is crucial. It’s also important to be flexible.”

—Michelle Turman, CEO, Catalyst Consulting Services and author of Jumping the Queue—Achieving Great Things Before You Are Ready

Time Management

“Entrepreneurs pursue professional passions, which means they sign up for the what I refer to as ‘the thrill of imbalance.’ Imbalance doesn’t mean you can’t retain control, though. When you’re in charge of your time, you can navigate the white water of imbalance and remain productive, happy and healthy. I’m a fervent list-maker. Every evening I look ahead to the next day and write down no more than three tasks that MUST be completed, giving myself the freedom to prioritize and pursue other things on the fly. I do the same at the start of each month, each quarter and each new year.”

—Anna Zornosa, founder and CEO, Ruby Ribbon

 

Being Present

“I’ve found that you can attain work-life balance by focusing your attention wherever you are. If I’m at work, that’s where my attention goes. The same goes for my home life. To counter the hectic days, I make it a point to take my kids to school every single day, no matter what. The time I spend driving them is all about them. You want to be able to go home and do something you enjoy, whether it’s getting in a great workout at the gym, having game night with your kids or catching a movie with your spouse or significant other.”

—Gina Argento, CEO and president, Broadway Stages

 

“Seven years ago, I had an epiphany about my health. I realized that my life is the most important thing in my life. Staying fit makes me a better father, husband, leader and person. Once I decided to seek work-life balance and change my lifestyle, I felt empowered to achieve new goals and experience more purposeful living.”

—Adrian Kurre, global head of Homewood Suites and Home2 Suites by Hilton

Read more articles on work-life balance.

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Date: FEBRUARY 09, 2018
© Julie Bawden-Davis

U.S. POSTAL RATE INCREASE: 10 WAYS TO SAVE ON SHIPPING COSTS

From USPS to UPS, new postal rate hikes have led to higher shipping costs across the board. Learn how you can help keep shipping costs down.

FEBRUARY 02, 2018

 

If your budget includes shipping costs, the recent US Postal rate increase probably didn’t come as welcome news.

The price of a USPS first-class postage stamp increased from 49 cents to 50 cents. Overall, rates increased by nearly 4 percent. FedEx and UPS also raised rates recently.

“This year’s increase in postage rates will have a significant impact on our bottom line,” says Katherine Harvey, co-founder of bone broth purveyor Bare Bones.

“Roughly 80 percent of Bare Bones’ business is online, direct-to-consumer,” Harvey continues. “Shipping costs already comprise about 40 percent of our total expenses in a year—a huge line item. Unfortunately, the rate increases are not limited to the USPS—they’re touching every parcel carrier and logistics partner we work with.”

For Lisa Chu, owner of Black n Bianco, rising shipping costs have been increasingly challenging over the last several years.

“It’s become more difficult to compete with Amazon—especially with the free two-day Prime shipping,” she says of her online children’s formal wear retail business. “Profit margins for e-commerce businesses like mine are becoming slimmer.”

Ideas for Managing Shipping Costs

Given the fact that shipping costs are increasing across carriers, business owners may want to have an overall strategy for managing this expense. Here are 10 ways to keep shipping costs under control.

1. Offer free shipping and absorb the cost into your products.

“The best way to deal with increased postage cost is to offer free shipping and factor the shipping costs directly into the products,” says Chu. “Even if the shipping is not as fast as Amazon, online customers have become accustomed to free shipping. Absorbing the shipping cost isn’t a great business strategy, but if your business is in a competitive industry, you might have to do this in order to generate positive cash flow.”

2. Set a minimum order for free shipping.

Increasing the minimum amount of product required to qualify for free shipping can increase profitability, according to Harvey.

If it’s geographically feasible, it may cost less to have products delivered via a courier service.

“Doing this allows us to protect our margin by spreading the shipping costs across a greater number of products,” she says.

“Shipping three items to one customer is generally less expensive than shipping one item to three different customers,” adds Chu.

3. Check on box sizing.

Harvey notes that her company is revisiting their box sizes to ensure that they’re able to meet the needs of most customers with one parcel, as opposed to multiple parcels in a shipment. According to Harvey, this can save substantially on shipping costs.

4. Use USPS Flat Rate boxes and envelopes.

With the USPS flat rate boxes, you can ship whatever you can get into each box and envelope size. You pay the same fee no matter what, providing the items fit in the packaging. This can give you control over shipping costs.

5. Ship books by Media Mail.

If you sell books, Media Mail is your least expensive option. (Media Mail is a service specifically meant for sending “educational materials.”)

You’ll pay a fraction of the cost that you would otherwise. Just make sure to package the books well to avoid damage. Generally, the longer the shipping distance—such as across the country—the longer the time to destination.

6. Reuse packaging.

Saving on the cost of shipping supplies can save you a significant amount of money. Consider reusing packaging materials, including bubble wrap and packages. You can inform your customers that your company practices sustainability by recycling packaging. When preparing packages, also make sure to do so as efficiently as possible.

7. Use multiple carriers.

You may find that using more than one carrier gives you options that can save you money.

For example, you may find that lightweight, small items are often best mailed through USPS First Class Mail, which is often the cheapest option. For heavier, larger items, you may find that other carriers are a better choice.

8. Outsource your shipping.

In addition to the cost of shipping, the manpower and time to ship items can eat into your profits.

If you use a shipping company that ties into your shopping cart, you can cut down on overall costs. Though outsourcing by dropshipping may appear costly because of the fees, you may end up saving money in the long run. Because of the volume of packages they ship, fulfillment centers are generally able to negotiate lower shipping costs. (Outsourcing your shipping also means you don’t have to store your merchandise, which can help with overhead.)

9. Try zone skipping.

If you ship large products and shipping is expensive, you may want to try zone skipping. This refers to using a consolidation service that takes groupings of packages going to a certain geographic region.

One freight shipment of all of the items helps lower the shipping costs considerably. This only works if you have a high enough volume of products going to a certain region.

10. Consider using courier services.

If it’s geographically feasible, it may cost less to have products delivered via a courier service. Marc Gorlin is CEO and founder of Roadie, an app that arranges for drivers heading in a certain direction to pick up products and deliver them. “The result is a cheaper, easier, green-delivery service,” says Gorlin.

Read more articles on saving money.

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Date: FEBRUARY 02, 2018
© Julie Bawden-Davis

WHY HIRING OLDER WORKERS CAN BE GOOD FOR BUSINESS

Hiring older workers can help you leverage their invaluable talents and tap into their unique perspectives, according to these business owners.

JANUARY 29, 2018

 

When Chinese e-commerce giant Alibaba Taobao posted a job vacancy for a senior employee this month, 1,000 applications flooded in within 24 hours Business Insider reported.

Global business consultant Keith Martino has seen something similar occur in the U.S.

“Recently, one of my clients posted on his LinkedIn page an announcement regarding a part-time CFO position for a seasoned professional,” says Martino. “Within minutes, he received an avalanche of strong resumes. Twenty-four hours later he had 300, and they were still flooding in.”

Keynote speaker and entrepreneur Olga Mizrahi isn’t surprised.

“The baby boomer population is currently around 75 million; only slightly surpassed by millennials,” says Mizrahi. “People are staying in the workforce longer. Some remain for economic reasons, but many enjoy the intellectual and social benefits.”

According to the U.S. Bureau of Labor Statistics (BLS), in 2014, about 40 percent of people ages 55 and older were working or seeking employment. That number is expected to increase considerably through 2024, especially for people ages 65 and older.

Just as you wouldn’t discriminate regarding gender or race, be open-minded regarding age. Look at your ‘overqualified’ applicants when hiring and keep a talent-first mindset.—Olga Mizrahi, entrepreneur

The way transitional life strategist and reinvention expert Randi Levin sees it, baby boomers are changing the face of employment.

“With age comes wisdom, and with longevity seniors have the ability to craft second and third careers that showcase and highlight their unique talents and wisdom,” Levin says.

The Advantages of Hiring Older Workers

Given their years of experience and resulting breadth of knowledge, older employees can bring many benefits to a business.

“For an employer, hiring older workers is a significant win,” says Levin. “Generally reliable, seasoned and accomplished, older employees will usually have an intuitive, broad point of view of a business as a whole. They bring skill sets that younger workers may not have mastered yet. They’re the perfect candidates to train and mentor others.”

Experience counts, agrees Andrew Simon, a partner at the management consultant firm SAMC.

“Baby boomers come to the table with a rich set of experiences,” Simon says. “This includes 30 to 40 years of interpersonal skills that make them adept at dealing with unique situations and different types of people.”

Martino has spoken with many older executives actively seeking employment and agrees.

“The depths of the older workers’ experience are the stuff of which the American dream is built,” he says. “The quality of the available talent is staggering. There are former executives who have turned companies around and taken privately owned businesses public.”

“Older workers bring more experience and perspective to the workplace,” says Lynn Perkins, CEO and co-founder of the online service and mobile app UrbanSitter. “They may also be more reliable, with less chaotic schedules than their younger counterparts.”

An older worker may also wish to stay in a role longer, adds Mizrahi.

“The hiring process costs companies time, money and resources,” she says, “and there’s always risk in bringing on a new employee. Older workers may not be looking to climb the corporate ladder. Many just want stable, sustainable and reliable work.”

Older Workers and Part-Time Employment

Employers find when hiring older workers that they may wish to work part-time. The statistics point to this. According to the BLS, 40 percent of workers 65 years and older are employed on a part-time basis.

“Many older workers opt for part-time engagement at work that allows them the flexibility to care for grandchildren, travel, exercise and pursue other interests, while still commanding a paycheck,” says Levin. “This influx of part-time workers fills a void for many businesses that may have previously had a tough time finding and retaining committed, dedicated and educated workers willing to work part-time hours and various shifts.”

At UrbanSitter, there are many retired school teachers and nurses looking for flexible childcare hours, notes Perkins.

“With a large number of baby boomers wishing to stay in the workforce, even on a reduced schedule, this may help to offset some of the growing labor demand,” Perkins says.

Bringing Older Workers Into the Fold

If you want to optimize your company’s growth, Martino suggests taking advantage of the wisdom of older workers.

“The faster we can reintroduce this talent, experience and work ethic back into our workforce, the sooner we’ll inherit the accruing dividends of those who still have much to offer,” he says.

Martino suggests seeking out the brightest and most experienced retired executives you can find. Then you can explain the values of your organization and what you hope to accomplish as a company.

“Invite the retired executives to speak to your senior team and consider compensating them for serving on an advisory board for your company,” says Martino. “Ask them to meet with your high-potential employees, one on one. When appropriate, hire them for high-impact projects.”

Avoid making assumptions when it comes to hiring older workers, adds Mizrahi.

“Just as you wouldn’t discriminate regarding gender or race, be open-minded regarding age,” she says. “Look at your ‘overqualified’ applicants when hiring and keep a talent-first mindset. Champion the right skill set over the patience required when someone needs to learn workplace systems.”

When it comes to the generational differences that can occur when hiring older workers into a younger workforce, Perkins suggests focusing on commonalities.

“Baby boomers and Millennials often share values of social responsibility and workplace democracy,” she says. “They may differ in their comfort with technology and management styles. Give older workers time to learn new technologies and set up clear lines of communication and expectation. That will give the generations a framework in which to work well together.”

“As older and younger generations commingle in the workplace, the rules are being reinvented,” says Levin. “Each age group may seek something different, but they’re also making unique contributions. Such a mix of minds ignites and grows company cultures. We’re only just beginning to see how this age diversity strengthens and enriches the business environment as a whole.”

Read more articles on hiring & HR.

Photo: Getty Images
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Date: JANUARY 29, 2018
© Julie Bawden-Davis

WILL THE FACEBOOK ALGORITHM CHANGE AFFECT YOUR BUSINESS?

The latest Facebook algorithm change will focus on social interaction over business content. Experts share how you can retain your social media presence.

JANUARY 19, 2018

will significantly change its algorithm over the next several months. The move aims to increase interaction between friends and family, which was the original focus of the social media site. At the same time, the Facebook algorithm change will decrease posts from businesses and brands in news feeds.

If you’ve put a lot of time and resources into building your Facebook brand page, this news probably isn’t welcome.

“Businesses stand to lose the ability to get in front of people for free on Facebook,” says John Lincoln, CEO at digital marketing agency Ignite Visibility. “Some companies have invested hundreds, thousands or even millions to build these communities. Overall, [paying for] advertising is likely to increase to compensate.”

The Facebook algorithm change is a big move for Facebook, notes Warren Cohn, CEO and founder of HeraldPR, a public relations and digital marketing company.

“Years ago, Facebook moved away from the friends and family model and more towards an ad revenue focus,” Cohn explains. “This latest move flips that strategy on its head.”

Is There an Upside to the Facebook Algorithm Change?

The Facebook algorithm change doesn’t mean that business pages will be entirely excluded from the newsfeed, according to Jason Hsiao, co-founder of Animoto, a cloud-based video creation service that produces video from photos, video clips and music.

“Ultimately, this shift is about shedding the less-than-useful and less-than-relevant content that’s been creeping into the news feed,” he says. “Facebook is focusing on how people spend time on the platform to connect with the people who matter to them. So as long as businesses create relevant content that their communities care about, they’ll win.”

Focus on what message and content your community needs to know and/or cares about. Then use all of your available channels to deliver that message and content.—Jason Hsiao, co-founder, Animoto

“The latest algorithm change is designed to benefit users, not marketers,” she says. “But, let’s be clear. If there are no users, because they’re unhappy with Facebook, marketers have no one to market to anyways.”

According to Herman, the Facebook algorithm change aims to improve interactions between users.

“This means more conversations and dialogue, rather than passive views and casual reactions,” she says. “Going forward, comments will be the gold standard that public pages will strive for. If businesses create quality content that is relevant and valuable to audiences, then this update will actually benefit them.”

Navigating the Facebook Algorithm Change

While the Facebook algorithm change is inevitable, there are tactics that may help ease the transition for you. These steps can help your business continue to benefit from your Facebook presence.

1. Leverage Facebook ads.

“On a positive note, the ad targeting abilities on Facebook are better than ever before,” says Lincoln. “To compete, businesses can consider reducing the amount they spend on community building ads and increasing the amount they spend on promoting content.

“At the same time,” he continues, “it’s advisable to look into the many Facebook ad capabilities in addition to promoting content, including lead generation ads and website visit ads.”

2. Incorporate video.

Zuckerberg noted in his announcement that live videos have garnered a great deal of attention recently, and that video overall will continue to grow.

“For brands that haven’t done this yet, this is the signal to get on board the live video train,” says Miguel Lantigua, social media strategist at EMSI Public Relations. “Live video is a great way to engage with an audience. Facebook sees it as a more personal way to interact and will therefore continue to let businesses benefit from it.”

In order for businesses to have success with video on Facebook, Hsiao suggests focusing on content your community genuinely cares about and can benefit from.

“Smaller businesses have a unique advantage over big brands with this, because they often have a more niche audience or offering,” he says. “Businesses that focus on content their audiences want to receive and are willing to share will be winners in the long run.”

3. Combine marketing strategies.

Hsiao advises adjusting your mindset regarding various marketing strategies.

“Avoid focusing separately on your social media strategy, your email strategy, your website strategy, your blog strategy and your video marketing strategy,” he says. “It should be one combined strategy. Focus on what message and content your community needs to know and/or cares about. Then use all of your available channels to deliver that message and content.”

4. Focus on quality.

In his Facebook algorithm change announcement, Zuckerberg stressed quality over quantity.

“Businesses need to post less content on Facebook,” says Herman. “Gone are the days of posting for the sake of posting. If your posts are not high quality and valuable, don’t share them. Pages should also reflect positivity. Uplifting topics and helpful content will increase reach and engagement.”

5. Prioritize driving traffic to owned properties.

Any social network can announce changes at any time, believes Aly Jamison, owner of Jamison PR.

“That’s why websites and email lists are so important,” she says. “It’s a good idea for companies to have a platform that they can control.”

The golden rule of digital marketing is to avoid building a platform on rented online space.

“Your best bet is a website as your main designation online,” says Lincoln. “Invest in social media, but know that at any point you could lose that reach and traffic channel.”

Read more articles on Facebook.

Photo: Getty Images
Project Link
Date: JANUARY 19, 2018
© Julie Bawden-Davis

8 BUSINESS APPS TO HELP YOU ACHIEVE YOUR GOALS

Fifteen business owners weigh in on the business apps they rely on most to keep their businesses running and their goals in sight.

JANUARY 17, 2018

 

Ready to tackle your New Year’s resolutions? Fortunately, we live in a day and age when apps abound.

“With the right apps in your business’s corner, you can save time and work on your business, rather than in your business,” says Gene Caballero, co-founder of lawn care company GreenPal. “Streamlining the small tasks can help you focus on higher leverage activities.”

I quizzed a number of business owners regarding their favorite business apps. The following applications stood out among those I spoke to as the most helpful in terms of increasing and maintaining productivity.

1. Asana

Asana, a web and mobile project management app, helps teams track projects.

What business owners have to say about Asana:

“My team stays on task with Asana. We’re able to schedule due dates. This business app gives me the ability to see the company’s overall progress and make adjustments where necessary.”

—Geoff Hoesch, CEO, Dragonfly Digital Marketing

“Asana is a great business app for managing projects that involve several team members with varying deadlines. Instead of scanning countless email threads, all communication is neatly organized pertaining to the specific project. This promotes accountability, transparency and autonomy, which are all essential to working with remote employees.”

—Brandon Seymour, founder, Beymour Consulting

 

2. Expensify

Expensify automates the entire expense reporting process—from receipt scanning to expense reimbursement.

What business owners have to say about Expensify:

“Mileage can be a huge benefit when filing taxes. Expensify allows you to view and manage your company’s mileage expenses. You can run an expense report with the push of a button from your phone, compile reports and email directly from the app.”

—Angel Radcliffe, owner, CAS Consultants

“Expensify allows users to log and track any kind of expense. You can upload receipt scans, approve expense reports, create expense categories and keep up-to-date on expenses and travel itineraries in real-time. This business app has allowed my management team to stay on top of the expenses of their subordinates and make quick, easy changes to cut fat and trim costs. It helped us achieve our lowest-level expenditures ever in 2017, despite an increase in manufacturing and new hires.”

—Nate Ellis, owner, Maple Holistics

 

3. Google Drive

Google Drive allows you to share files, folders, photos and calendars all in one cloud-based location.

What business owners have to say about Google Drive business apps:

“Google Suite is the perfect all-in-one cloud system to help organize and collaborate on tasks in the office, especially if your office is remote like mine. Nothing is stored locally, so it makes it even easier to pick up and go, working with colleagues across borders and time zones.”

—Matt Bentley, founder and CEO, CanIRank

 

“I use everything Google to run my business. These business apps have helped me keep in contact with my clients, allow client access to files that are too big to be emailed, schedule meetings and even have conference calls and send text messages.”

—Christin Price, owner, Christin’s Bookkeeping

 

4. Intercom

Intercom is a customer engagement tool that allows you to interact with consumers on your website, inside your app, via social media or email.

What one business owner has to say about Intercom:

“With Intercom, we’ve inserted ourselves into our onboarding funnel and can reach and talk to customers and get real-time feedback during critical moments of the sign-up process. With this data and real-time feedback, we can make design or copy changes to improve our click-through rate and overall customer experience. We’ve seen a more than 40-percent uplift in conversion thanks to Intercom.”

 

—Gene Caballero, co-founder, GreenPal

5. Slack

Slack is a group communication app featuring collaboration tools and services, including file sharing. It integrates with third-party business apps, such as Trello, Dropbox and Google Drive.

What business owners have to say about Slack:

“Slack has really helped us build a strong and connected team and foster a collaborative culture. With Slack we stay connected across the different teams and between our offices in Spain, San Francisco, Utah and the Philippines. It helps us to quickly communicate important updates, share files and improve internal communication and employee engagement.”

—Steven Benson, founder and CEO, Badger Maps

 

“Slack helps keep our team communicating without the cumbersome, time-consuming nature of email threads. We’re able to keep the team apprised of the latest developments, strategies and priorities, even in a fast-paced environment.”

—Peter Terani, founder, Terani Couture

 

“Slack has been a huge time-saver for our team and allows us to keep organized between multiple offices. We have channels set up by business function, like marketing, finance, PR, social media, sales (by office), etc. The contacts associated with those functions are on the chains. This provides a super easy way to direct communication to the appropriate channels.”

—Candice Simons, president and CEO, Brooklyn Outdoor

 

6. Toggl

Toggl is a time-tracking software that provides tracking and reporting services.

What this business owner has to say about Toggl:

“As a small-business owner, I believe that the right use of my time is the key contributor to my success. Toggl has been a great tool to help me make my working hours more efficient. Each week I get an email report from the app that shows my time allocation. I use it to make adjustments in order to focus 80 percent of my time on the 20 percent of tasks that have the biggest impact on my business.”

—Paul Koger, head trader and founder, Foxy Trades LLC

 

7. Trello

Trello is a web-based collaboration tool and productivity platform that organizes projects into boards. You can see on one screen what teams are working on, including the steps. Trello has business apps for Slack, Android, iPhone and Windows 8.

What business owners have to say about Trello:

“Trello provides complete communication on the tasks that individuals need to complete and in what order they need to be completed. This stops staff from focusing on low-priority work. It also allows me to check progress.”

—Adam Watson, owner and director of Hollywood Mirrors and Decorelo

 

“For product managers, Trello is an essential tool. The app can be used as a virtual whiteboard for ideas and tasks. Users can invite others to collaborate, and Trello can be integrated with other products for seamless workflow management.”

—Marcus Harjani, co-founder and COO, FameMoose

 

“Trello is excellent for mapping out linear processes in a highly visual manner. We plan on using it for two of our core goals for 2018: migrating to a new cloud-based CRM and structuring new employee onboarding programs.”

—Marina Byezhanova, co-founder and director, Pronexia Inc.

8. Zapier

Zapier is an automation tool that allows you to connect business apps like Slack and MailChimp so that you can automate repetitive tasks and move information between apps for easier workflow.

What this business owner has to say about Zapier:

“Zapier’s connectivity to multiple e-commerce platforms like Shopify and Amazon has made everything from accounting to customer analysis, to creating Facebook audiences, to sending out Mailchimp drip email campaigns a job for one to two people, rather than 10.”

—Sebastian Bryers, CTO, Ora

 

Read more articles on productivity.

Photo: Getty Images
Project Link
Date: JANUARY 19, 2018
© Julie Bawden-Davis

PAY PARITY: HOW BUSINESSES CAN MOVE TOWARD EQUAL PAY FOR MEN AND WOMEN

Iceland recently made pay parity the law of the land. Here’s how business owners can help their companies reap the benefits of equal pay for every employee.

JANUARY 10, 2018

 

Iceland just announced that pay parity between the sexes is the law for public and private companies. The country is the first in the world to impose fines on businesses that don’t ensure that men and women in the same positions are paid equally.

Though no laws are in place to guarantee pay parity between the sexes, American women are monitoring the topic closely, according to Georgene Huang. She’s the CEO and co-founder of Fairygodboss, an online community for women who wish to share workplace experiences and opportunities.

“On Fairygodboss, we hear from hundreds of thousands of women a month,” says Huang. “The income gap between men and women is a major concern among our community members and something that women are acutely aware of in today’s work environments.”

Author and corporate consultant James Nowlin, founder and CEO of Excel Global, notes the increasing attention being given to women’s standing in the workplace.

“Gender inequalities were a hot topic in 2017 more than ever before,” he says. “I think the same can be expected in 2018.”

Benefits of Pay Parity for Your Business

Equal pay is a positive for everyone, believes Nowlin.

“Pay parity implies equal opportunities between men and women in your company,” he explains. “Knowing there isn’t any gender bias causes female employees to excel while male employees know not to be complacent. Overall, pay parity results in increased motivation and performance.”

Equal pay can be important to the health of a business, notes Joel Klein, founder of IMBC, a marketing company.

“Implementing pay parity creates a positive work environment that improves the confidence of employees and in turn their productivity,” he says.

Lack of pay parity negatively impacts satisfaction and causes employees to search for employers who will recognize their skills with their wallets.—Christine Barney, CEO, rbb Communications

Paying women equally can also help you attract and retain top talent, adds Huang.

“Many women concerned about pay parity note that improvements in compensation would make them more likely to stay at their current employers,” she explains. “To attract and retain top female talent, it’s a good idea to examine your pay practices and pay women fairly and equitably.”

Fail to make pay parity a reality and you may find yourself recruiting and training new employees more than you’d like, believes Christine Barney, CEO of rbb Communications.

“Satisfied employees are the most important driver of the overall health of any business entity,” she says. “Lack of pay parity negatively impacts satisfaction and causes employees to search for employers who will recognize their skills with their wallets.”

Is Pay Parity the Wave of the Future?

Given the changes in the workplace in recent years, including the focus on improved wages, some business owners feel that we’re moving toward a time when widespread pay parity will become a reality.

“I think the transformation coming in the workplace will have a profound impact on labor, wages, benefits and engagement,” says Andrea Simon, CEO of Simon Associates Management Consultants. Her company applies anthropology theories and methods to help businesses grow.

“The trend of companies using freelancers is a good example of pay parity change. Women and men contract workers are competing on a balanced, if not level, playing field,” says Simon. “In the near future, women may find they have the power to command pay parity or even premium pay.”

Huang also feels that pay parity is just a matter of time.

“As the issue of equal pay continues to be discussed and more studies come out showing that equal pay is good for business, I believe we’ll reach parity in the future,” she says. “Women are outpacing men when it comes to higher education. They’re also becoming bolder in their negotiations. As a result, I think it will get more difficult for employers to have pay gaps between men and women.”

Tips for Bringing Pay Parity to Your Company

In order to move your company toward pay parity or to ensure that payment remains on equal footing, keep the following dos and don’ts in mind.

Do:

  • Be transparent with pay brackets and salary ranges. “At rbb, every employee clearly sees the salary track available to him or her, regardless of gender,” says Barney, who notes that they’ve operated this way since the company started in 2001.
  • Create career tracks that indicate what is required for every level and the corresponding range of salaries expected with each level.
  • Implement hiring policies designed to prevent gender bias, such as blind screening, (removing the applicant’s name from the initial screening process), advises Nowlin.
  • Nurture an inclusive culture. “Encourage executive level buy-in from male and female leaders,” says Oliver Cooke, executive director of Selby Jennings, which provides global recruitment for the financial services industry.
  • Provide equal on- and off-the-job training opportunities to both genders.

Don’t:

  • Allow compensation to be bottlenecked by a manager, advises Barney. “Compensation should be reviewed by a larger committee to ensure fair principles are being applied and individual biases or timing issues are reduced,” she says.
  • Focus on overnight changes. “Think about changes for the long term that look at the total compensation package, not just salary,” advises Barney.
  • Ask job applicants what they were paid at their last jobs. “In some states and localities this question is against the law. Asking this could cause perpetuation of pay inequality,” says Jay Starkman, CEO of HR service provider Engage PEO. “Even where it’s not prohibited by law, it’s still best to avoid this question.”
  • Think this is a simple matter of a salary increase for women. “Understand the significance,” suggests Simon. “There is so much meaning in the concept of pay parity. It’s almost as if core values of our society will be challenged. But the benefits for you and your workforce are exponential.”

Read more articles on hiring & HR.

Photo: Getty Images

The information contained herein is for generalized informational and educational purposes only and does not constitute investment, financial, tax, legal or other professional advice on any subject matter. THIS IS NOT A SUBSTITUTE FOR PROFESSIONAL BUSINESS ADVICE. Therefore, seek such advice in connection with any specific situation, as necessary. The views and opinions of third parties expressed herein represent the opinion of the author, speaker or participant (as the case may be) and do not necessarily represent the views, opinions and/or judgments of American Express Company or any of its affiliates, subsidiaries or divisions. American Express makes no representation as to, and is not responsible for, the accuracy, timeliness, completeness or reliability of any such opinion, advice or statement made herein.

Project Link
Date: JANUARY 10, 2018
© Julie Bawden-Davis

SHOULD YOU CONSIDER BECOMING A CASHLESS BUSINESS?

With the trend toward digital payments gaining traction, many see going cashless as the new standard. See if your company fits into this business model.

JANUARY 02, 2018

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In the payment world, a popular adage has fallen by the wayside. Cash is no longer king. The advent of cryptocurrency and a steady increase in credit and debit card usage has led to the increasing popularity of the cashless business.

Brick-and mortar businesses that have historically thrived on cash are making the switch to purely digital forms of payment. These include food service companies like salad fast food chain, Sweetgreen; Washington D.C.-based salad and sandwich restaurants, Jetties; and 2nd City restaurant in New York City.

Businesses going cashless may just be following the sign of the times. According to the Federal Reserve Payments Study 2016, total noncash payments increased 5.3 percent annually from 2012 to 2015. The number of credit card payments reached 33.8 billion in 2015 with a value of $3.16 trillion, up 6.9 billion or $0.61 trillion since 2012. This was the largest growth rate among the payment types.

David Johnson is CEO of Latium, a tasking platform that pays its users in cryptocurrency.

“As the global economy has evolved over the last few decades, we’ve seen a massive move from physical to digital business models,” he says. “To say cashless business is the wave of the future is a dramatic understatement. I doubt that cash will be used 20 years from now.”

Going cashless does appear to be gaining tremendous ground, agrees Laura Orrico, president of Laura Orrico Public Relations. She receives her payments digitally.

“Paying without cash is a much faster way of sending and receiving payments,” Orrico says. “In this fast-paced world, convenience is paramount, and digital payments are convenient.”

Potential Benefits of Having a Cashless Business

Business owners say that there are many positives to running a cashless business. Some of these benefits provide more convenience for your company, while other benefits may positively affect the bottom line.

1. Allows for faster, more efficient customer service.

Cash can slow down customer service, from customers digging around for cash to employees counting out change—sometimes incorrectly. Then the cash must be counted and deposited into the bank. You also need to have cash on hand to make change. This all can add to administrative overhead.

A credit or debit card transaction requires no counting and can result in a quick and efficient deposit into a business owner’s merchant account.

2. Reduces the possibility of theft.

Some companies that have switched to cashless have done so because of theft. They’ve found that not having cash on hand lowers the chances of robbery. This can help make the business safer for customers and employees.

3. Offers easier accounting.

When you go cashless, all of your financial records can be at your fingertips. There’s no need to sort, count and record cash and add it to debit and credit sales. Instead, you can quickly access your sales for the day.

You can also use accounting software to update your finances based on what’s in your bank account. This can give you real-time data as to how your business is really doing.

“With a cashless business you gain full transparency into every detail of how your business operates,” says Johnson. “This access to data and analytics allows you to make more informed business decisions.”

4. Appeals to customers who prefer to pay with credit.

The younger generations, such as Millennials, tend to be more likely to pay with credit.

If young and tech-savvy people are your target customers, this may work in your favor. Being a cashless business can set your company apart from competitors.

Potential Drawbacks of Running a Cashless Business

Like any emerging concept, there are potential negatives to running a cashless business. You may alienate customers who prefer to pay with cash. There are costs associated with accepting debit and credit cards, and there is the potential of chargebacks. You could also increase your company’s risk of credit card fraud. Using a service that mitigates credit card fraud and training employees to detect credit card fraud is advised.

7 Steps to Making a Cashless Business Work

To have a successful cashless business experience at your company, keep the following seven tips in mind.

1. Look at how your customers currently pay.

“Let the data tell you if migrating to a cashless business is the best move for your business,” says Johnson. “Don’t just switch because you’ve heard it’s a good idea.”

In addition to looking at the portion of your business that is cashless, think about how you could convert some of those cash customers to cashless.

2. Consider the costs of going cashless.

You may want to research several merchant services providers and determine if going cashless will fit into your budget. Estimate how much the additional costs for debit and credit transactions will be. Also consider how much it’ll cost you to do marketing about becoming a cashless business.

3. Poll your customers and employees.

Ask customers what they think about your company going cashless and compare their opinions. Also survey your employees for their viewpoints.

4. Communicate with customers about the switch to cashless.

Explain to your clients the reasoning behind your move to going cashless. Spread the message around via as many channels as you can, such as social media, in-store signage, email blasts, blog posts and word-of-mouth.

5. Make a gradual transition to cashless.

You’re likely to get less pushback if you make the change to cashless gradually. Rather than an abrupt switch overnight that leaves customers shocked, let clients know that in a certain amount of time the business will become totally cashless.

“Don’t rush into the process,” says Johnson. “Take your time integrating cashless options into your model. Make sure it’s a good fit and you have the right systems in place.”

6. Be flexible when you make the switch to all digital payments.

“Businesses can make the cashless concept work, as long as they’re flexible,” believes Orrico. “If you’re going to start accepting just credit and debit cards, then don’t insist on a minimum credit order amount.”

7. Plan ahead.

“Cashless business is a growing trend that isn’t going to stop,” says Johnson. “Even if cashless is not a good fit for your business model today, do yourself a favor and get educated about the space. That way you’ll avoid waking up and discovering that your business is failing because no one uses cash anymore.”

Read more articles on industry trends.

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The information contained herein is for generalized informational and educational purposes only and does not constitute investment, financial, tax, legal or other professional advice on any subject matter. THIS IS NOT A SUBSTITUTE FOR PROFESSIONAL BUSINESS ADVICE. Therefore, seek such advice in connection with any specific situation, as necessary. The views and opinions of third parties expressed herein represent the opinion of the author, speaker or participant (as the case may be) and do not necessarily represent the views, opinions and/or judgments of American Express Company or any of its affiliates, subsidiaries or divisions. American Express makes no representation as to, and is not responsible for, the accuracy, timeliness, completeness or reliability of any such opinion, advice or statement made herein.

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Date: JANUARY 02, 2018
© Julie Bawden-Davis

WHAT’S YOUR NEW YEAR’S BUSINESS RESOLUTION?

How do your goals for growing your company compare to others? Fifteen leaders each share one New Year’s business resolution they’re making in 2018. DECEMBER 27, 2017
Another new year is just about here. Your wheels are likely spinning and the ideas flowing when it comes toimproving your business. While you’re making your New Year’s business resolution list for 2018, it may help to know what’s at the top of the minds of other business leaders. You’ll see that each New Year’s business resolution that follows is unique, yet universal.

Increase Visibility

“I plan to invest in marketing, advertising and speaking to reach the people who need us the most in 2018. PantyProp grew by 400 percent in 2017 through word-of-mouth referrals only, because of the uniqueness of our product. We plan to scale by finding customers instead of waiting for people who need our product to find us.” —Crystal Etienne, CEO and founder, PantyProp

Encourage Teamwork

“My top 2018 New Year’s business resolution is better employee connectivity. We’ll work on structure for both formal and informal office connectivity. We’ve targeted this area after noticing that while our business may grow and scale, we can do so much more together. Bringing the office together as a team removes the ‘I’ or the ‘me’ and puts the focus on the ‘us.’ Such a focus instills ownership across company lines.” —Peter Strauss, founder and owner, The Strauss Law Firm and Hamilton Captive Management

Leverage Technology

“We plan to leverage technology to accomplish our mission of helping as many veterans as possible transition from military service to lives of purpose and hope. The key to this is improving our client/customer experience with a personalized portal that will provide self-assessment, self-paced training, tracking and referrals as needed.” —Karl Monger, retired U.S. Army Ranger officer; founder and executive director, GallantFew
“In a subscription business, it’s all about making it easy for customers to get the benefits of your software, fast. When we do this, customer success increases, sales increase and everyone wins. We’re going into 2018 with a mission to make it easy for our customers to get started with our software.” —Clate Mask, CEO, Infusionsoft “Our New Year’s business resolution as a company is to move forward with our vision of a digital, cultural and organizational transformation. We’re focused on innovation in our service offerings and expansion of our distribution channels, as well as transformation in customer engagement through use of new technologies. Achieving our digital transformation will strengthen our value proposition with service partners and boost productivity as the company continues to grow.” —Steve Upshaw, CEO, Cross Country Home Services
“Winegard has been in the antenna business for more than six decades. Our longevity in the industry is due to our commitment to innovating and meeting customer needs. That’s why we’ve evolved into a connectivity company, instead of solely a TV antenna company. We’re excited for 2018 as we launch our most innovative and complete product line for connectivity using our unique antenna expertise.” —Grant Whipple, president, Winegard Company

Explore and Experiment

“My New Year’s business resolution is for us to take more risks, specifically in service of our mission to take the pulse of the internet. Taking risks allows The Tylt to creatively explore new ways to serve our community, which we’re confident will have a huge impact on our business. Collaboration and collective experimentation allows us to step back and reimagine what our product can represent in a space where we’ve already been successful.” —Kyle Lelli, general manager, The Tylt
“At its heart, Absolut Art is an e-commerce business, but the product allows us to be super creative when we present in physical locations, which is a natural evolution. Now that we have the basics figured out, we can afford to be more playful and inventive with our offline experiences. We’re working on creating thoughtful and immersive offline experiences that will drive online interaction.” —Nahema Mehta, co-founder and CEO, Absolut Art

Focus on Customer Service

“In 2017, we focused on launching Smilo and creating a new brand that would deliver the most innovative and safe essentials for every step of childhood. In 2018, we plan to focus on the customer experience outside of the use of our products. One of our biggest areas of focus is shipping speed. We know where we need to be and will work diligently to make improvements for our customers.” —Josh Wiesman, CEO and co-founder, Smilo

Increase Reach and Profits

“My New Year’s business resolution is to increase my profit margin by 10 percent. I plan to do this by negotiating better deals with my manufacturers that allow me to scale faster. In the past, I haven’t been willing to get uncomfortable by negotiating better deals with my manufacturers. This year, I will overcome that roadblock.” —Cheryl Sutherland, founder, PleaseNotes
“The art of visibility and being seen as a thought leader is the new critical life skill. My New Year’s business resolution is to train 1,000 people through my comprehensive online school that teaches business owners to master the media and get visibility for their companies.” —Ashley Crouch, owner and founder, Appleseed Communications

Hire and Train Top-Quality Employees

“Our top New Year’s business resolution is to hire high-caliber employees so we can serve the fast-growing demand for Loftey’s service. Our main focus for 2018 is to build out operationally to make sure we’re able to serve as many New York City renters as possible. Our clients are helping spread the word. We want to make sure that anyone who comes to us can take advantage of our services.” —Ori Goldman, CEO and co-founder, Loftey
“In 2018, many CEOs will focus on hiring good people who share the vision and passion of their organizations. They understand that top-quality employees drive growth. The year will bring strong sales for most organizations, but it will be more challenging to find sufficient people with skills and talents, as the last of the baby boomers exit the workforce and reduce the available skill and talent pool.” —Shawn Casemore, speaker and author of The Unstoppable Organization and Operational Empowerment “Our New Year’s business resolution for 2018 is to be increasingly effective in equipping leaders to access the full potential of an untapped resource: their millennial salespeople and leaders. Coaching, mentoring and apprenticing Millennial workers is a win for everyone. Their new perspectives and insights give companies a competitive advantage.” —Danita Bye, sales and leadership development expert and author of Millennials Matter: Proven Strategies for Building Your Next Gen Leader

Celebrate Accomplishments of 2017

“I plan to congratulate myself and my team on our accomplishments. We’ve got some exciting things in the works for 2018, and I couldn’t have done it without the team. We’re all so focused on the next goal, sometimes we forget to acknowledge what we’ve achieved. We’ve built a great product for mothers that has made a really positive impact.” —Michelle Kennedy, CEO and co-founder, Peanut
Read more articles on leadership.
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5 REASONS YOU MAY WANT TO CREATE OR UPDATE YOUR BUSINESS PLAN

Now may be a good time to assess your company goals. Learn how to use a business plan to help keep your business focused and growing.

DECEMBER 26, 2017

 

December is National Write a Business Plan Month. As the year comes to a close, now may be a good time to take a look at your current plan and see if you’re on track for a successful 2018. This is also a good opportunity to update your plan or even create a new one.

For any type of business, having a plan is a good idea, advises Peter Strauss, an attorney, captive insurance manager and founder of The Strauss Law Firm.

“A business plan provides a strategic vision of both near-term and future goals and objectives,” he says. “The business plan lays out the strategy, sets the playing field and defines how to get the ball across the goal line.”

Benefits of Having a Business Plan

“A business plan helps you set clear goals that will ultimately lead to the success of your business,” says Lyron Bentovim, CEO of The Glimpse Group,

which assists early-stage entrepreneurs in the augmented reality (AV) and virtual reality (VR) industry. “Failure to create a plan can lead to haphazard decisions and unfocused day-to-day activities that could ultimately steer your business off-course or delay its forward progress.”

An effective plan can help you accomplish the following.

1. Provide a clear course of action for the future.

A well-conceived business plan maps out the steps you need to take to reach the goals you wish to reach.

When you’re in the midst of doing business, it’s easy to forget where to steer your ship. Following your plan can provide you with clear vision and direction.

2. Secure funding.

If you require an infusion of capital for your business, a business plan is generally a necessity. Potential investors need to see that you have a solid plan that has a good chance of protecting their investment.

The constant review of where you’ve been and where you want to be are vital in the deployment of what will ultimately be a successful business venture.—Peter Strauss, founder, The Strauss Law Firm

“Any company trying to raise money from angel investors, private capital or applying for bank loans requires a business plan in place,” says Mirela Mitan, CEO and founder of skincare company MMXV Infinitude.

3. Identifies areas for improvement.

“Having a business plan can alert you to gaps or discordance between what you want to achieve with your business and any weaknesses or resources needed to succeed,” says Mitan. “A company’s business plan provides a way to force entrepreneurs to focus and think through all of the key elements needed to make the business successful.”

4. Helps you plan for the upcoming year.

One of the best aspects of creating or revising a business plan at the end of the year is its ability to help you plan for the next 12 months.

“End-of-the-year business planning provides business owners the perfect opportunity to reflect on the year’s past successes and failures, look forward to future developments and typically is the appropriate time from a financial standpoint to plan budgets and allocate resources accordingly,” says Strauss.

Looking closely at your business plan allows you to zoom out and analyze your business, believes Courtney Reum, co-author of Shortcut Your Startup and co-founder of M13, a brand development and investment company.

“Look back on the year and ask yourself what’s going well in your business? List your points of strength and weakness,” Reum says. “Prioritize the list, and then come January you have a quick and dirty roadmap for improving your business.”

5. Enables you to analyze the last 12 months.

The end of the year is a good time to take a “hard look at your business plan in terms of how the past year went,” says Bentovim. He suggests asking the following questions to further analyze the last year:

  • Did you stick with what you’d planned? If so, how did your business fare?
  • If you missed goals, how did that impact your overall business?
  • What adjustments are needed to make the next year even more successful than this year?

Contents of an Effective Business Plan

A good business plan contemplates all aspects of your business, advises Strauss.

“The plan will include the hardware, infrastructure, office building, computers, marketing collateral, equipment and software, as well as the employees required to carry out the company’s objectives,” he says. “A business plan should also outline your financial position, including your assets and liabilities.”

Mitan suggests thinking of the parts of your plan like pieces of a puzzle.

“Completing the puzzle will help you see the full picture of how it would be best to conduct your business in terms of your goals,” she says.

A business plan generally includes:

  • a description of your company
  • your mission and vision statements
  • your market
  • a description of your products and services
  • product development specifics
  • your sales, marketing and financial plans
  • an overview of your management team and organization

When developing your business plan, Bentovim suggests asking a key question.

“When you came up with your dream business and decided to turn it into a reality, what did you want to accomplish?” he says. “Ultimately, your plan should show how you plan to work towards and accomplish your overall goals. It should illustrate your direction and vision for your company, the market, how you plan to attract any necessary financing and include details on the strong and solid team behind you.”

But the work doesn’t stop once you have a well-thought out business plan.

“Writing a business plan is the first step, but actual implementation is the most important step,” says Strauss. “The constant review of where you’ve been and where you want to be are vital in the deployment of what will ultimately be a successful business venture.”

Read more articles on business plan.

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Date: DECEMBER 26, 2017
© Julie Bawden-Davis

HR EXPERTS ON THEIR HIRING AND RECRUITING PREDICTIONS FOR 2018

Looking to increase staff in the new year? Learning what’s on the horizon in terms of hiring and recruiting can help you attract top-quality employees.

DECEMBER 18, 2017

 

If you’re planning on growing your company in 2018, hiring and recruiting are probably on your to do list. In many cases, attracting and retaining the best talent is the key to elevating your business to the next level.

Before you begin the hiring and recruiting process, it may help to look at the state of the hiring and recruiting landscape. What are job seekers looking for today? And what’s required for luring top talent to your business?

The following human resources experts weigh in on what to expect in the coming year when it comes to hiring and recruiting.

A Highly Competitive Hiring and Recruiting Landscape

According to recent reports from the Bureau of Labor Statistics, the unemployment rate recently dropped to 4.1 percent.

“The U.S. economy is essentially at full employment,” says Nick Murphy, CEO of Mid-America Careers. “That means that the top talent your company is targeting are almost certainly employed elsewhere.”

Pete Lamson, CEO of JazzHR, agrees.

A potential employee’s impressions of your organization will directly affect whether the person accepts your job offer.—Leela Srinivasan, CMO, Lever

What Are Employees Looking for in a Job?

In order to lure top talent away from their current jobs and snap up desirable employees in between positions, it helps to understand what matters most to job seekers.

“Talented professionals have alternatives,” says Murphy. “In addition to competitive compensation, they’re choosing where they want to work from a whole host of options.

In addition to a healthy salary, potential employees seek the following top three attributes.

1. Flexibility to work where and when they want.

The percentage of job candidates citing flexible work options continues to rise every year, believes Lamson.

“Nowadays, a majority of workers say they don’t need to sit at a desk to get work done. Many younger employees, including Millennials, expect flexibility, because the technology they’ve grown up with has liberated them from offices, desks and traditional work hours,” he says. “Flexibility continues to be valued as a benefit similar to health coverage, vacation time and parental leave.”

When interviewing, it’s a good idea to ask candidates what traits matter most to them in a job, adds Andrew Machot, CEO of New Town Connections and a former executive recruiter.

“If a job candidate mentions family, flexibility and scheduling, the possibility of working from home is most likely something that would be a great incentive to this candidate,” he says. “If the person is a millennial who enjoys spending time volunteering and traveling, consider offering ample vacation time or the ability to work remotely.

“The more company owners get to know their candidates,” he continues, “the better job they can do offering custom fit benefits that match what job seekers really want.

2. Work within a company culture they believe in.

“Job seekers want to work at companies with cultures they believe in amidst environments where they can make a difference,” says Kerry Alison Wekelo, managing director of human resources and operations for Actualize Consulting and author of Culture Infusion.

“Aligning their career growth with missions they can get passionate about in an environment conducive to their work-life balance is critical to today’s job seekers,” Murphy agrees.

The dynamics of the work world have changed considerably, which has increased expectations, adds Leela Srinivasan, CMO of Lever, which produces recruiting software.

“Businesses have never been more transparent,” she says. “Thanks to the internet, it’s easy to peer behind the scenes at companies you’re interviewing with to see what their employees and customers say.”

In the midst of all this transparency, today’s job seekers want to feel some connection to the place they work.

“Potential employees are searching for alignment and meaning,” says Srinivasan. “During hiring and recruiting, candidates want to feel like they will belong and have every opportunity to succeed. And the better candidates will want to have high impact.”

3. Specialized positions designed just for them.

“Job seekers aren’t just looking for a ‘job,’ they want a career,” notes Andrea Lechner-Becker, co-founder and chief strategy officer at Six Bricks, an experience-based learning platform.

“Potential employees want career advancement featuring highly specialized roles with specific job descriptions and titles,” she says. “New employees are too fickle to finesse a role or wait for a better fit. They’ll just go somewhere else that ‘gets them.'”

Tips for Effective Hiring and Recruiting

To gear up for the competitive hiring market and help ensure you land the most desirable employees, it’s a good idea to improve your hiring and recruiting processes. The following tips may help.

Streamline hiring and recruiting. “It’s easy to get bogged down with repetitive tasks or overloaded with resumes. If your goal is to reduce the time spent on administrative tasks so you can focus on potential employees, appropriate software is the key,” suggests Lamson.

Improve speed-to-hire. “Long, drawn-out recruitment processes are one reason candidates reject job offers,” says Lamson. “They might accept another offer, lose interest or even decide your organization isn’t as professional as they would like. Make things run more quickly by ensuring that your hiring and recruiting processes stay focused.”

Ensure diversity. It’s advisable to examine your hiring processes for unconscious bias, as diversity in the workforce continues to become a top priority for employees and employers.

“Consider if your job postings and application forms could prevent people with diverse backgrounds from applying,” says Lamson. “For instance, many companies are removing gendered and exclusive language from applications, while others are using ‘blind resumes’ that don’t require name, age or gender.”

Employ predictive analytics. “During 2017, we saw predictive analytics emerge as the next frontier,” says Lamson. “Rather than relying on gut instinct, recruiters are using a more scientific approach to decision-making. This is transforming HR operations and boosting business outcomes by enabling better hiring decisions and reducing employee turnover.”

Make the recruitment experience as pleasant as possible. “When the balance of power rests with job seekers, pulling off an incredible candidate experience is vital,” believes Srinivasan. “Instead of showering potential employees with swag, consider that it’s more about how you make candidates feel when they interact with your company. A potential employee’s impressions of your organization will directly affect whether the person accepts your job offer.”

Read more articles on hiring & HR.

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Date: DECEMBER 18, 2017
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3 WAYS TO BECOME THE GO-TO EXPERT IN YOUR FIELD

Cementing your status as an expert can help you grow your business opportunities. These 3 tips will show you what you need to do to help get there.

DECEMBER 11, 2017

 

One way to help increase business and attract attention is to become an expert in your field. When potential clients seek the help or products you provide and your name pops up, you may be able to reap the benefits of the exposure.

“Expert positioning aligns you with the best-of-the-best in your industry,” says business and brand specialist Debbie Allen, author of The Highly Paid Expert: Turn Your Passion, Skills and Talents Into a Lucrative Career by Becoming the Go-To Authority in Your Industry. “An expert is recognized as an authority who knows in-depth knowledge about a specific subject. Such individuals solve problems, and when they offer invaluable solutions to make pain go away, people pay top dollar for their advice, wisdom and expertise.”

When you establish yourself or your business as a leading authority in your industry, clients reflexively seek your assistance, which can help drive repeat business and recommendations, says Kristi Marsh, founder of Choose Wiser

 

and author of Little Changes.

It can be surprisingly easy to become a go-to expert today. “There’s never been a better time to launch yourself as an authority,” Allen says. “The internet, social media, video marketing and the print-on-demand industry have made it entirely doable.”

Welcome to the New Marketing Model

If you’re interested in how to become an expert in your field, consider embracing a new marketing model. “Expert marketing that positions a business owner or entrepreneur as the go-to authority focuses on offering valuable, free information in the form of videos, articles and media, rather than the push of advertising and selling one-on-one,” Allen says.

The bottom line? You may have to give before you can receive.

“Becoming an expert means taking on a level of responsibility to support others with your knowledge,” says Allen, who notes that this doesn’t mean offering people a cookie cutter get-rich-quick scheme.

Customers and clients want authorities to look up to and to learn from. There has never been a better time to become an expert in your field.—Linda Scott, owner, eFrog Press

“True experts are those who offer personalized, proven solutions and give people lasting results,” she explains. “Authorities offer valuable assistance, not only from their heads but from their hearts. They share their wisdom freely, and in the process they get paid well in return.”

To excel at becoming a highly paid expert, it’s important to lay the groundwork, which can stem from education-based marketing. Consider trying these three tactics that may help you become an expert in your industry.

1. Establish yourself as an author.

Publishing can be an excellent way to claim authority in your field and become the go-to expert, says Linda Scott, owner of eFrog Press, a one-stop shop for entrepreneurs who want to self-publish.

Start with a blog, suggests Scott. “Blog what you know. Writing original, regular posts on subjects in your area of expertise showcases what you know and gives you an opportunity to find your writer’s voice. Comments from readers to your posts help you understand where you need to clarify your message and, even more importantly, what works.”

Develop a blogging schedule and do your best to stick to it. In addition to being good for SEO, regular content shows your readership and potential clients and customers that you’re serious about your specialty. Blogs also allow you to build a community that is interested in you and your work. From this community and on your website, you can develop a list of newsletter subscribers. Try sending out regular newsletters that also contain your expert tips and insight.

Your blogging community may include some super fans. Such individuals are devoted to you and your cause and will actively spread the word about your expert status. Super fans tend to share with friends and family more than average fans. They’re generally active on social media and are likely to share your blog posts to a wide audience.

You can make sharing your expertise easy for all of your fans by keeping an active presence on social media. Posting your blogs when they’re published is another good way to become an expert in your field.

If you create categories for your blogs and keep adding detailed posts, you may soon have enough chapters to put together a book. “When you can say you have literally ‘written the book’ on a subject in your field, you immediately gain expert status,” Scott says. “Forevermore, ‘author’ will be added to your introductions at conferences and speaking engagements. Online reviews on Amazon and Barnes & Noble will further increase your credibility and exposure, and posting your book cover on your website is a subtle reminder to all who visit that you know what you’re talking about.”

Books that feature a problem-solving format can be a good choice for developing expert status. For instance, you could write about how to become an expert at a particular topic.

If the idea of writing a book overwhelms you, keep in mind that short books are preferable to many readers. “Concise, well-written books that distill a topic into easy-to-read language are preferred,” says Scott. “You don’t need to write a 400-page manual. Books that are 100 pages can allow you to become an expert in your field.”

Writing not your strong suit? Consider getting the assistance of a ghostwriter or editor. “Poorly written communication can backfire,” advises Scott. “You won’t look like an expert if your writing has grammatical errors, typos and is hard to read.”

2. Become a communicator.

Speaking is another opportunity to establish yourself as an expert—so consider accepting every chance you’re given to present. Also, try hosting your own live events, both online and offline. It can help if clients and customers actually hear you speak, but it’s almost as beneficial if people are aware that you regularly speak on your chosen topic.

In addition to public speaking, Marsh advises, “share educational tidbits, tips or lessons through video blogs or vlogs. The combination of your storytelling or speaking style, along with value-added tips, can solidify your image as an expert. It used to be that this opportunity only came through being interviewed on television, but sharing through video messaging is now affordable, easy and under your control. The result is educational, informative tips that are shareable by consumers.”

Podcasts offer another opportunity to appear as the go-to expert in your field. There are a wide variety of niche-driven podcasts, so it’s possible you may find one in your area of expertise. Such podcasts are presented to targeted audiences containing followers who are likely to be interested in you and your subject area. Most podcasts are open to guests. Appearing on a podcast gives you the opportunity to pick up more fans and readers for your blog, books and newsletters.

To further cement your status as a go-to expert in your field, consider starting your own podcast in your specialty. When creating a podcast, focus on providing entertaining information that educates, informs, inspires and motivates. While you want to do some promoting, it’s important that the listener gets something of value from listening.

Whenever and wherever you present, always take your book with you, Scott adds. “Bookmark a short, interesting passage to read aloud, either on the podcast or during your speaking engagement. If your book is a work-in-progress, or even if it’s still in the conceptual stage, remind audiences of your expert status by saying, ‘In my upcoming book on …'”

3. Rebrand and refocus when necessary.

It’s possible that the current setup of your business may not lend itself to you becoming an expert. This may mean you’ll need to shake things up a bit by rebranding or refocusing your business. For example, if you’ve spent 20 years in the carpet cleaning business and want to launch yourself as an authority and become an expert, you could reposition yourself as a carpet cleaning expert who teaches other carpet cleaners how to run a successful business, Allen explains. “Essentially,” she says, “you take off one hat—running a carpet cleaning business day to day—and put on another hat as a thought leader and expert.”

In order to effectively rebrand to highlight your expert status, it helps to look closely at your product or service and how it relates to your target market. For instance, if you run a bakery, what sort of customers do you attract? Are they health-conscious and looking for baked good alternatives for individuals with sensitivities? In that case, you can promote yourself as a healthy baker. If you run a florist shop and have a high percentage of bridal orders, you can become a bridal flower expert.

The bottom line is that your business has given you unique expertise that makes you the go-to expert in your field. “Be proud of that expertise and capitalize on it,” suggests Scott. “Chances are there’s no one else with the unique spin you have on your business and in your field. Customers and clients want authorities to look up to and to learn from. There has never been a better time to become an expert in your field.”

A version of this article was originally published on August 20, 2014.

Read more articles on branding.

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Date: DECEMBER 11, 2017
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12 COMPANIES ON THE DOS AND DON’TS OF GETTING HOLIDAY GIFTS FOR CLIENTS

The end of the year is when businesses get holiday gifts for clients. These entrepreneurs explain the value of gifting—and how you can do it well.

DECEMBER 07, 2017

 

The holidays are here and gift-giving has officially launched. As a business owner, you’re probably wondering about the value of holiday gifts for clients. The consensus among the business owners I spoke to is that spreading holiday cheer is well worth the time and expense.

“Customers are what keep your business alive, so it’s always important to give back, especially during the holidays,” says Gabe Larsen, vice president of InsideSales Labs, the research arm of sales and marketing company InsideSales.com. “Gift-giving raises your status with clients and helps them perceive you positively. Most importantly, it creates an opportunity to communicate.”

Etiquette expert Arden Clise is an author and president of Clise Etiquette. She believes that getting holiday gifts for clients is always a good idea.

“Giving clients gifts is a nice way of saying thank you for their business,” Clise says. “It’s the ideal opportunity to let your clients know you appreciate and value them.”

When you work closely with clients, gifts can also give you an opportunity to personalize your working relationship, notes Alex Pollak, CEO and founder of ParaDocs, an events medical services company that staffs events across the country.

“Holiday gifts for clients aren’t a necessity,” Pollak says, “but they are a nice gesture for people who you may interact with on a day-to-day basis.”

Potential Holiday Gifts for Clients

When it comes to getting holiday gifts for clients, many business owners agree that it’s all about the thought put into the selection process. According to these owners, ideal holiday gifts for clients are those that:

1. Downplay branding.

“The best client gifts are unique, useful and personal, and keep branding to a minimum,” says Traci Pichette, founder of Pumeli, which provides curated and custom gift boxes for corporate events and everyday occasions.

“If recipients feel like they’ve received an advertisement versus a gift,” she continues, “it can have the opposite intended effect and leave a negative impression of the brand.”

Gift-giving raises your status with clients and helps them perceive you positively.—Gabe Larsen, vice president, InsideSales Labs

That said, there can be tasteful ways to include branding in your holiday gifts for clients.

“If you feel strongly about putting your logo on the item,” says Clise, “make it small and unobtrusive.”

2. Make it personal.

Unique and memorable holiday gifts for clients are what Marla White seeks each year. The owner of PR company White Handed looks for personal gifts that have meaning.

“One year I took copies of my client’s first scripts that were made into films and had wreaths made from them,” says White. “Both screenwriters were so touched, and they actually have them up in their office year-round.”

“The more personalized the gift, the better,” says Erin Walter, co-founder and CEO of Nuphoriq, which specializes in marketing for catering and event planning companies. “For instance, we sent a business book to a client and included a treat for the person’s dog, who is often mentioned during phone calls.”

“Gift giving for clients often comes down to your relationship with them,” says Naman Kumar, founder of Airo Health, which produces an anxiety tracker designed to build mental strength. “True, it’s a professional relationship, but you’re still dealing with a human.

“Being personal has its limits, though,” he continues, “Only give gifts that reflect something you’ve observed during your interactions with the person. Checking a client’s social media for ideas, for instance, is crossing the line.”

 

3. Illustrate special meaning.

Memorable holiday gifts are also meaningful, believes Justin Lavelle, chief communications officer for online background check company BeenVerified.

“My top picks are planting trees in your clients’ names, which helps the earth and honors your customers,” Lavelle says. “Similarly, you can donate in their names to charities they support. Or give them a book that influenced and inspired you. Write a brief note about why the book is one of your favorites.”

Holiday Gifts for Clients Dos and Don’ts to Keep in Mind

Knowing what sort of holiday gifts to get for your clients takes some thought. The following pointers may help guide you in the right direction.

Do:

  • Include a note. “Communication matters,” says Larsen of InsideSales.com. “Gift recipients are most likely to respond to handwritten notes.”
  • Be sensitive to client circumstances. “Consider dietary concerns, as well as cultural or religious affiliations,” advises Walter.
  • Deliver the gift, when possible. “Now that we’re in the age of online shopping and gifting, it means a lot when you hand deliver a hand-wrapped gift, or have it messengered over,” says Pollak.
  • Consider making your holiday gifts. Idan Cohen is CEO and co-founder of GROW, which produces intelligent gardening products. “This year I gifted clients my homemade hard apple cider, which I make every fall from my apple trees,” he says. “I think nothing says you care like a homemade gift.”

Don’t:

  • Over-give. “This applies to the amount of gifts given or the price point,” says Walter. He believes that clients may think you charge them more just to be able to afford extravagant gifts. “Over-giving can cross boundaries and lead to an awkward dynamic,” agrees Cheryl Sutherland, founder of PleaseNotes
     

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  • Give gifts with negative connotations. “Avoid things like perfume,” says Sutherland. “You don’t want the recipient wondering if she smells bad.”
  • Be cheap. “Inexpensive gifts reflect poorly on the company sending the gift,” says Larsen.
  • Beg for a thank you. “Avoid emailing or calling to ask if the client received the gift. If it stood out, your client will respond,” says Raven Thomas, owner of the business consulting company Phoenix Effect Group and the online confectionery gift company The Painted Pretzel
     

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​Of course, you won’t look like a Scrooge if you don’t give your clients gifts this holiday season. But why not look generous? Taking the time to give your customers thoughtful gifts may encourage them to think more of you and your business.

Read more articles on customer relations.

Photo: Getty Images
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Date: DECEMBER 07, 2017
© Julie Bawden-Davis