Tough Economic Times: Small Business

Be fair, attentive, and customers
will return.

A small business can survive tough
economic times by keeping a positive
attitude, not giving in to fear, and
involving employees in the
organization's decisions.

"I better sell, because gas
prices went up again!" You
blurted.

"Banks still goin' under."
A business partner pointed
out.

If you think the worse will
happen, your actions and
decisions will lead you to
failure. You'll sink deeper
into negative thinking. You'll
stop looking for leads, being
productive, and demanding
the best from employees.

Don't let your dream die
unnaturally. You worked
hard on building, maintaining,
your business. Don't
drop everything when
times are hard.

Besides, some businesses
are profitable in a recession.

You can't control what happens
in the recession, but you can
control how you react to it.

A positive attitude will have
you looking for new
opportunities.

Survive a recession by keeping
your customers happy. Let them
know you're in business. Find out
what their interests are. Would they
like contests? What do they like
about your line? Is a certain product
doing well?

Get rid of products or services
that you're losing profits on. Invest
in those products or services that's
showing a profit margin.

See if investing in a product
or service customers like is
feasible, profitable.

Continue networking. Your
focus is on the factors
you have control over. Meet
your deadlines.

Next, it's not uncommon
to feel fear in tough
economic times. Use the
fear, energy, to work toward
your business goals.

Talk to supportive
friends. People who
see the glass as half full.

The advice of friends or
relatives pressing you to get
rid of a your business should
be weighed against other
factors.

The recession will end, and
business will pick-up. A friend
should say.

Keep fear in its place by placing
a note on your computer, work-place,
mirror, door, bathroom, coffee pot,
and any other place you feel is
necessary.

A possible note: I'll look for
a new lead today. Or, power
networking is the goal today.
Another idea: The recession
will end.

Lastly, keep employees
informed of lay-outs. Allow
them to know information
before the actual down-size.

The work-place atmosphere
should be team oriented. Everyone
works toward the organization's
goals.

Employees will appreciate
it, and become loyal to
you, the business.

Have meetings often.
Let employees give their
advice on how to improve
profits. Allow them to give
recommendations on making
the work-place better, more
productive. What product or
service do they feel would
compliment your existing
product or service?

A small business can
survive tough economic
times by taking a common
sense approach. The above
steps will guide you.

Obama Makes the Case to Small Business for Health Care Reform by John Tozzi

Be fair, attentive, and customers
will return.

This week small business is a big part of the health care narrative the White House is pushing. Over the weekend the White House Council of Economic Advisers released its take on how health care reform will effect small businesses and their employees. President Obama made the case directly to small business owners in his weekly YouTube address below.

And on Wednesday, Christina Romer, the chair of the White House Council of Economic Advisers, will answer questions submitted by small business owners during a live chat at 3 p.m. ET. (You can submit questions here or on this LinkedIn discussion thread.)

Separately, Senate Democrats will hold a press conference Wednesday morning in Washington to make the case that health reform benefits small businesses. Members from the committees on Small Business (Mary Landrieu, D-La.); Health, Education, Labor, and Pensions (Jeff Merkley, D-Ore.); and Finance (Blanche Lincoln, D-Ark.) will be there. The HELP and Finance committees are drafting the two main proposals in the Senate. Politico reports that the Finance committee plan may drop the requirement for all employers to provide insurance. That would go a long way toward appeasing critics of the bill who say it’s too burdensome on business, like the NFIB.

It’s worth noting that in the YouTube address, Obama doesn’t touch on the employer mandate. Here’s how he describes the plan (starting about 2:10):

Under the reform plans in Congress, small businesses will be able to purchase health insurance through an “insurance exchange,” a marketplace where they can compare the price, quality and services of a wide variety of plans, many of which will provide better coverage at lower costs than the plans they have now. They can then pick the one that works best for them and their employees.

Small businesses that choose to insure their employees will also receive a tax credit to help them pay for it. If a small business chooses not to provide coverage, its employees can purchase high quality, affordable coverage through the insurance exchange on their own.

That doesn’t sound like the proposals already out from the Senate HELP committee and the House, which require companies over a certain size (either 25 employees or $250,000 in payroll) to buy insurance or pay penalties. It sounds a lot like a description of the forthcoming Finance bill in today’s Times:

The Senate [Finance] group also seems prepared to drop a requirement, included in other versions of the legislation, that employers offer coverage to their workers. “We don’t mandate employer coverage,” Senator Olympia J. Snowe, Republican of Maine and one of the six, said Monday. Employers that do not offer coverage may instead have to pay the cost of any government subsidies for which their workers qualify.

It sure sounds like Obama’s signaling that he’d sign a bill without an employer mandate, and that would help bring moderate Republicans like Snowe on board. (She’s also the ranking member of the Senate Small Business Committee — Landrieu is the chair.) The question then is how much push back from liberal Dems the plan would face, and that would likely hinge on other factors like whether or not there’s a public insurance option.

But for right now, at least, policy makers are focused on small businesses’ stake in health care reform, and the discussions this week may be crucial in shaping small business provisions in a final bill.

Source: http://www.businessweek.com/smallbiz/running_small_business/archives/2009/07/obama_makes_the.html

Also: Don’t miss this excellent graphic from the NY Times on how the proposals would effect different types of workers and business owners.

A checklist for starting a small business by Jamie Downey

Be fair, attentive, and customers
will return.

• Research the product or service you want to sell. Determine who your customers will be and how you will make a profit.

• Create a business plan. For many this is a difficult task. However, it is probably not as difficult as you think. You can search around the web for examples or shoot me an email and I can help you get a sample business plan to work from.

• Create a budget (this may be included in the business plan).

• Determine your capital needs (see your budget) and find the necessary financing to get the business up and running. For many start-up businesses, friends, family, home equity and your own checking account are often a significant source of their financing needs.

• Choose your business name and register it. Consider a trademark if you want to protect the name of your business.

• Open a company checking account. Contact the bank and make sure their requirements simple and their fees are low. I recommend contacting a local bank as they seem to work more closely with small businesses.

• Choose what type of legal entity you want to use; corporation, limited liability company, partnership or sole proprietorship.

• Determine if you need any federal, state or local licenses / permits.

• Obtain an Employer Identification Number. This may not be necessary if you are going to operate as a sole proprietorship and you have no employees.

• Obtain a sales tax number, if needed. This obviously depends on the product or service you plan on selling.

• Set up your record-keeping system. Your business will need to maintain adequate financial books and records. Small businesses often fail to devote the necessary time to this process and it comes back to haunt them in many ways; including on your taxes, payroll tax filings, obtaining credit from banks, etc.

• Choose a location for your business. A home office is very inexpensive to start and you will likely receive some tax benefits.

• Talk to your insurance agent and obtain adequate business coverage. Also consider your health insurance requirements.

• Create a marketing plan.

• Set up professional relationships. May be not at first, but over time you will need an attorney, a Certified Public Accountant, insurance agent and a banker.

• Obtain a business email address.

• Obtain your web domain and set up the website. If you have never set up a website, you might consider WYSIWYG software. It makes creating websites much easier and it only cost $40. Furthermore, you can try for free for 30 days.

• Find a mentor. SCORE is a nonprofit organization that is dedicated to educating and assisting entrepreneurs on the growth of small businesses. They will team you up with a mentor to help you facilitate your business.

Hacker jailbreaks the Iphone 3GS by Nick Farrell

Be fair, attentive, and customers
will return.

THE TEEN HACKER who unlocked the original Iphone claims to have created an app that can 'jailbreak' Apple's recently released Iphone 3GS.

George Hotz, 19, wrote a program called "purplera1n" which he says can install third-party software on an Iphone 3GS, even if that software is not approved by Apple.

It didn't take him very long to hack the device, which has only been available since June 19.

This shows that it isn't impossible to bypass Apple's wonderful built-in security features for the Iphone and it makes a mockery of the outfit's autocractic control of users.

It also means that users can run whatever they like on the gizmo rather than only what Steve Jobs says they are allowed.

Hotz released software that works with Windows-based computers and the latest version of Itunes, as well as the Iphone 3GS running Apple's latest Iphone 3.0 software. Over the weekend he released a Mac version, too.

Hotz got his first 15 minutes of fame two years ago when, at the age of 17, he became the first hacker to crack the Iphone's security so it could run unauthorised apps.

Source: http://www.theinquirer.net/inquirer/news/1432758/hacker-jailbreaks-iphone-3gs

Companies recall products linked to milk processor

Be fair, attentive, and customers
will return.

WASHINGTON (AP) — Food distributors across the country announced on Thursday they are recalling nonfat dry milk, cocoa and other products that are linked to a possible salmonella contamination at a Plainview, Minn., milk processor.

The Food and Drug Administration said late last month that Plainview Milk Products Cooperative was recalling instant nonfat dried milk, whey protein, fruit stabilizers and food thickening agents that it made over the past two years because they might be contaminated with salmonella.

Salmonella can cause serious infections, especially in children, the elderly and those with weakened immune systems. FDA spokeswoman Stephanie Kwisnek said on Thursday "there are no illnesses that we are aware of" and the agency is tracking distribution of the products.

The FDA has said none of Plainview's products were sold directly to the public. But the company sold their products to other distributors, who distributed them further, and also to manufacturers, who may have used them in their products, Kwisnek said.

Retailer Meijer Inc. announced on Thursday it was recalling one type of its Meijer Brand Instant Nonfat Dry Milk. The product was sold in Meijer stores in Michigan, Ohio, Indiana, Illinois and Kentucky.

CPI Foods Inc., of Dallas, recalled about 15,000 packets of nonfat dry milk. The company said the packets are parts of CPI Foods shelf-stable meal kits distributed to community service companies in Texas, Oklahoma, Arizona, West Virginia, North Carolina, Nevada and Kentucky.

Precision Foods Inc., of St. Louis, said it was recalling certain Madagascar Vanilla cocoa. The recalled cocoa product is labeled as Land O Lakes International Drinking Cocoa "Madagascar Vanilla." It was distributed nationally in retail stores and through mail orders, the company said.

Also announced Thursday was a recall by NOW Foods for products containing whey protein concentrate. McClancy Seasoning Co. recalled Alba instant nonfat dry milk products and various Alba snack shake mixes.

On Wednesday, East Coast grocery chains Giant Food and Stop & Shop also issued recalls of some of their dried milk products.

Source: http://www.google.com/hostednews/ap/article/ALeqM5iQJ6l3Y38myc2dnLRiOOWWGOPWYQD996ML202

Be an Expert, and Customers Will Find You by Zack Stern

Be fair, attentive, and customers
will return.

Your medium- or small-business can live or die by its marketing. One of the greatest angles costs you no capital. Establish yourself as an expert in your field by offering advice through websites and magazine trade articles. Readers will migrate to your business, and you can point potential customers back to the articles for an extra marketing push.

To get the best results, find publications and topics that fit. I know a therapist who has written about meditation for spirituality and yoga websites. He uses mindfulness in his practice and has built up a stream of clients who have found him through those articles. Consider these tactics for nearly any other service-based business.

You can get similar results--but it can take more work--building up your own audience. Many, local real-estate blogs, for example, give details about market conditions in a specific area. If the content is good, offering home-buying tips and tutorials, readers will associate that help with the author. If that author leaves a blurb about their day job, readers will seek them out.

In either case, be an expert about your industry, but don't shill for your business. Readers see through any overt selling. The real marketing comes after you help the readers and they seek you out. Make the connection then, and they'll see you as an expert, not a pitch-man.

Source: http://www.washingtonpost.com/wp-dyn/content/article/2009/06/17/AR2009061703346.html

Hey, Just a Minute (or Why Google Isn’t Twitter) By Randall Stross

Be fair, attentive, and customers
will return.

Google moves faster than some of its critics think. But even if didn’t, the more important question is this: Do we really want Google’s search engine to swallow Twitter’s output as fast as it comes, without filtering, analyzing and ranking by authority?

“Real-time search begets real-time spam,” writes Danny Sullivan, the editor in chief of the Web site Search Engine Land.

Anyone who signs up to follow a particular Twitterer receives tweets instantaneously, as they are dispatched (when the system is functioning). Filtering is not an issue in such cases: The 1.77 million followers of Britney Spears presumably look forward to receiving every morsel of information broadcast from her account.

But if one wants to search Twitter for tweets about a topic — say, about Ms. Spears, but encompassing anyone’s tweet that happens to mention her — Twitter’s data fill an ocean in which it’s hard to find specific fish.

Twitter’s search page says, “See what’s happening — right now.” But Twitter’s database was not originally designed to be searched like Google’s was. Last year, in fact, Twitter bought another start-up, Summize, to provide it with search functionality.

Even so, search performance on Twitter is sluggish compared with the live tweet stream. Mr. Sullivan notes that Twitter’s search service does not consistently deliver real-time results: 20 or more minutes often pass before a given tweet appears in search results. At Google only hundredths of a second are needed to check its index when a search phrase is submitted. But to prepare, the company re-surveys the wide Web to update that index on a schedule that the company does not divulge. Some Web sites, like those of news organizations, are checked very often. Others await their turn in a rotating schedule of visits by Google’s crawler, the software that collects copies of Web pages.

Peter Norvig, director of research at Google, says that Larry Page, one of Google’s co-founders, has consistently pushed the company’s engineers to index the most active Web pages faster. When the frequency was increased to hourly, Mr. Page insisted that the interval be referred to as “3,600 seconds” to emphasize that it would be reduced further, which it was.

Google checks news feeds constantly but does not so easily pull in tweets. At a press event in London last month, Mr. Page was asked to comment on any plans that Google had to search Twitter in real time. After praising Twitter for doing a “great job” in showing information to users in real time, Mr. Page said he had long been pushing his search teams to index every second. “They sort of laugh at me and go, ‘It’s O.K. if it’s a few minutes’ old,’” he said. “And I’m like, ‘No, no, it needs to be every second.’”

A number of search start-ups have appeared recently that differentiate their offerings from older search engines’ by playing up their specialized focus on the real-time Web. For example, OneRiot, based in Boulder, Colo., covers Twitter among other social media, but it has an intriguing means of reducing Twitter spam: it does not index the text in tweets — it plucks only the links, reasoning that the videos, news stories and blog posts that are being shared are what others will be most interested in.

OneRiot follows the link, checks for spam by comparing the content of the page with the content of the tweet, and then uses its own algorithms to figure out where the link should go in its always-changing index of “hot” items.

Strictly speaking, this is not real-time processing. But checking links before adding them to the index seems to be time well spent.

Tobias Peggs, general manager at OneRiot, said his company could process, check and index a link within 37 seconds. When asked why he bothered to measure the seconds if it took 20 or more minutes just to receive searchable tweets from Twitter, he explained that the delays at Twitter’s search site did not affect his company’s search service, which receives the data stream at the same time Twitter’s own search engine does. Because one venture capital firm, Spark Capital, has invested in both OneRiot and Twitter, OneRiot has “access to Twitter data that other third parties don’t,” Mr. Peggs said.

GOOGLE crawls Twitter’s Web site — the frequency is not disclosed — to collect the same links included in tweets that OneRiot collects, and these may show up in Google’s search results. If Google were to negotiate direct access to the tweet stream that OneRiot enjoys, it presumably could move just as fast and match OneRiot’s lists, like “most shared today” or “today’s hottest videos.”

Source: http://www.nytimes.com/2009/06/14/business/14digi.html