Latching On To The Wrong Part of an Idea

A small businessman has read about W. Edwards Deming and really enjoyed the idea that he was a self-proclaimed "insultant." The idea of being disruptively critical appeals to this businessman so much that he uses a brusque, arrogant approach to his clients, basically implying that they are not very bright if they don't use his services. Now Deming was an innovator and was certainly disruptively innovative, but the idea that "being insulting" was somehow his most important achievement really misses the boat.

Three Blind Managers

A restaurant had three owner/managers that shared duties on different nights. They all had different management styles, and didn't make any attempt to coordinate their approach to employees.

One waitress received consistently positive feedback from Manager One. Manager Two was often critical, taking her to task for some of the same things that Manager One praised her for. After a few months on the job, she asked Manager One for a raise. He said that she'd see an increase on her next cheque, but that didn't happen. When she asked Manager Two about it, he told her that none of her work justified a raise.

It's always difficult to report to more than one Manager. It's especially difficult when Manager One and Manager Two don't communicate with each other or even try to get on the same page. Managers often don't see how this stuff drives employees crazy.

Maybe You Don't Need a Plan

Working on business development for a company selling industrial LED lighting into the Saskatchewan market, their sales manager felt there was no need for a plan. "It's simple. Show a sample of the product. Do an energy audit. Ask for a pilot project. Then it'll sell itself. We don't need marketing. We don't need a plan. We just need someone to get out there, roll up our sleeves, and get to work."

That does make good sense and there is truth to the idea that you don't need a plan to succeed. Clearly, if you don't get out there to sell, the chances of success are very small. So, if you do get out there to sell, the chances of success are much better. But, if you do get out there to sell, and you also have the support of good marketing materials, and you know what your competitors are offering, and your prospects already have a warm feeling about you because of your local advertising and communications and sponsorships, and your sales people are approaching the most lucrative markets because you've identified them in your plan, then your chances of success are MUCH better.

So, maybe you don't need a plan. You can just roll up your sleeves and get to work. But if you come up against a competitor who's rolled up their sleeves AND also has a plan, they'll likely whup your pasty white tush. And, in business, that's not as fun as you might imagine.

So, yes, roll up your sleeves and get to work. But do it with the direction and support of a great plan. It's more efficient. It's more effective.

The Motivation Seesaw

I think all business owners have experienced swings in their level of motivation, their level of interest, and their confidence in the success of their business. It's different for each person, based on their personalities and the nature of their particular business, but I think it comes as a surprise to many entrepreneurs when they find that their confidence, their purpose, their motivation and their interest in the business ebbs and flows, sometimes dramatically.

• Owners of one software business were just about ready to give up after four years invested in marketing their product. They decided to stick with it for another six months, and if things didn't improve, they would put the company in maintenance mode and go on to other ventures. The market cracked wide open (in a good way) after a few more months and they went on for five more years before selling to a larger firm for a tidy sum.
• Owners of another software business continually felt that they were on the verge of success, that the breakthrough sale was just around the corner. For several years, they kept on marketing, continued development, and maintained a high cash burn-rate, but despite their confidence, they ran out of money, shut the doors and layed off all staff.
• The owner of a successful construction company was surprised to find himself bored, despite the great success of his company. Even though business was better than plan, by far, he found that he had lost all interest in the company and decided to move onto something else.
• The owner of another successful construction company also found himself bored. Considering his options, he decided to just be bored for a while and see what developed. After about a year and a half of very low motivation and interest, his interest suddenly rekindled and he found renewed motivation for what he was doing.

Don't expect that your motivation will be constant. Don't expect that your interest and certainty about your venture will be steady and true. Everything varies, including you. If you expect it, you'll deal with it more effectively.

Don't Waste Your Money on Placing an Ad

Many out-of-province suppliers are trying to make inroads into the busy Saskatchewan mining and resource industries, and many are not finding much success. So, to create awareness of their company, they decide to (wait for it...) PLACE AN AD. Then, they try to figure out where they should place it. Then, they invest $400 or $1,500 or $5,000 and sit back to wait for the orders to roll in. And they sit. And sit. And sit. And wait. And nothing happens.

Many companies think about advertising as an event; something you do once - you PLACE AN AD. And, they've heard that you have to measure results, so if that one ad doesn't produce results, they come to the conclusion that advertising is a waste of money. And, when approached as an event, it largely IS a waste of money. Placing one ad is generally a waste, an expense. Not an investment.

Instead, we need to think about what we would do, not to create awareness, but to maintain awareness of our companies. To maintain awareness, we need repeated little touches with the people we want as customers. They need to see us in a magazine, read an article about us in the paper, see our name as a sponsor at their industry golf tournament, see us speak at a conference, and get the feeling that we're part of the fabric of their industry, and their community.

To maintain awareness, we need to think of advertising as a continual process, a series of touches, nudges and reminders. We need people to know that "We're here! Remember us when you need ..."

Don't waste your money on an advertisement to create awareness.

Do invest your money in a methodical campaign to maintain awareness.

What's Your Problem?

If you're in business, you need to know what your problem is; what is the problem that you are in the business of solving?

T. Harv Eker, high-octane creator of Secrets of The Millionaire Mind, says that an entrepreneur is someone who solves problems for a profit. Good definition. The more problems you solve, the more profit you make. The bigger the problems you solve, the more profits you make.

When you realize this, and look at your business in terms of solving customer problems for a profit, you can't get to problems fast enough. Bring them on! Seeing problems as opportunities for profit is quite a bit different from seeing customer problems as a nuisance to be avoided.

One household appliance company kept hearing laments from their customers about how hard it was to get rid of their old clothes washers and dryers. Apartment dwellers especially had a problem, with no place to store their old appliances until they could hire someone to eventually haul it away. While the company had ignored this customer problem for years ("We're in the new appliance business, not junk hauling!"), an employee suggestion led them to consider the opportunity it presented.

They were delivering the new appliances anyway. They had capable staff onsite with the equipment needed to move appliances. They had space on the delivery truck, since they had just unloaded the new appliances. The staff were returning to the truck empty handed. The truck was returning to the depot empty. The company decided to offer a removal service, charging a small but highly profitable fee to haul away the old appliances at the same time as they delivered the new ones. They built a relationship with a recycling organization and a used-appliance outlet to get rid of the old equipment. The customer problem was solved, the company's profits increased.

How many more problems might they be able to solve?

• Customers have a problem unpacking, installing and connecting the new appliances. It's often pretty complicated and needs a good handy man to complete. Solve that problem with some cross training and a few tools, and you have an on-the-spot installation crew. More profit opportunity.
• Customers have another problem getting rid of all the packaging and large cardboard boxes from the new appliances. Solve that problem by taking the packaging back in the mostly empty truck. More profit opportunity.

So, next time your customers complain, or share a problem with you related to your business dealings with them, think about how you might solve that problem and turn it into profit. Because that's what entrepreneurs do.

Swimming Upstream

Do you ever despair about the effort it takes to make changes in your organization? To get results? Whether you're an economic development agency trying to attract businesses to your city, or a business owner trying to motivate your staff, do you sometimes get the feeling that there is some greater force that's trying to prevent your success? Are you swimming as hard as you can, but not getting anywhere?

We all work within systems, and our systems are part of larger systems. While our focus is usually on what we ourselves are responsible for on a daily basis, sometimes we need to expand our attention to the larger systems of which we are a part. Two examples...

In Northern Ontario, economic development agencies have struggled to attract and keep major industrial customers that are heavy users of electricity. The energy policy of Ontario sets electricity rates higher than neighbouring Quebec and other jurisdictions, so major industries like Cliffs Natural Resources ferro-chrome refinery are finding it hard to justify locating in Ontario. Even though other technical reasons might make Ontario an ideal location, the larger system of provincial energy policy makes it unattractive because of the electrical costs. So, while particular communities might have excellent economic development initiatives, they're swimming upstream against the province's power rate policies.

Similarly, the owners of an otherwise vibrant 25-person Saskatchewan company have been continually frustrated by employees who won't give that little bit extra to get jobs out on time. Their company, their payroll policies and their management approach operate within the larger system of Saskatchewan's labour standards where any work beyond eight hours per day is overtime, to be paid at time-and-a-half.

Applying this diligently, the company has required all overtime, no matter how small, to be approved in advance. The hassles of getting management micro-approvals for every little extra effort has evolved into a culture of clock watching, with everyone leaving when the official day is done. The managers are trying to foster teamwork and cooperation, but their staff have been swimming upstream against this inflexible administration of overtime, agains inflexible administration of Saskatchewan's labour standards.

When local economic development agencies identify provincial policies that affect their ability to attract companies, they need to work with that larger system to address those issues - in Ontario, the hydro energy policies. In the Saskatchewan example, when the small company's strict application of the eight-hour work day damages their entrepreneurial culture, they need to give some attention to the larger system of Sasktchewan's labour standards. They need to identify alternatives, either informally adding flexibility to the work day, or formally applying for a permit to average hours. They need to work on the larger system that's making it all but impossible for employees to willingly give that little bit extra.

In any case, recognize that all of your work takes place within some larger systems, and those systems can have large effects on your results. If you find yourself swimming as hard as you can and not getting anywhere, look outside your day-to-day operations to the larger system that you're working within. It's easier to make progress if you're not trying to swim against  a strong current.

How Do You Get Customers?

The owner of a small startup company was looking for advice on how to get customers. She had bid a few jobs and dropped off business cards at a few offices but hadn't yet gotten any clients. Her basic questions were "How do I get customers? Why won't they give me business?"

She had been on staff at a commercial cleaning company, had imagined all the money that the owner was making, and had taken a leap to make her own fortune with a commercial cleaning company of her own. Her answers to some basic exploratory questions showed a real lack of preparation:

• What services do you provide? - "We can do anything."
• Who needs these services? - "Every business needs us."
• What do you charge? - "Fifteen hundred dollars a month."

• Why should someone hire you? - "They need to hire somebody."

While desperately hoping that someone would give her business, she was making it very difficult for anyone to buy her services. She couldn't tell me, or a client, what services she offered. She didn't know how big or how small a client she could handle, or what kind of companies and buildings she'd be able to satisfy. She quoted a price, but without defining what services she would provide. And she couldn't give any reason why a client should hire them as opposed to someone else.

On the surface, this seems naive and ridiculous. How could a business owner be so unprepared?!

But, working with larger established companies, this type of answer is remarkably common:

• What services do you provide? An industrial machine shop claimed that they could do any kind of fabrication and repair for customers in any industry. No job was too big or too small! Really? You do jewelry repair AND build steam generators for nuclear reactors AND stamp out automotive body panels AND make surgical implants AND erect structural steel for commercial buildings? Define what services you do, define what services you want to do, and communicate that clearly to your customers.
• Who needs your services? A book keeping service was confident that every business could use them. The reality was that many of the companies they were talking to were either too small to afford them, or too large to need external help. The company advertised widely on the web, yet were really only familiar with the tax structures and regulations in their home province. Some companies are your potential clients, and some are not, whether based on size, geography, industry, or even philosophy. Figure out what kind of companies you want to work for, and go after them, don't waste your time with everybody else.
• What do you charge? Do you sell products, services, or productized services? Are your rates fixed or negotiable? Do you give discounts? Do you charge based on results, or based on hours worked, or based on a fixed fee? Is it clear to your customers what you will do for the price you'll be charging? Are your prices comparable to other service providers? Are you trying to be cheaper than everyone else, the same as everyone else, or do you price your services at a premium? If you don't know your prices, how do you expect your customers to understand them? How do you expect your customers to buy from you?
• Why should someone hire you? People don't generally give you business. You need to convince them that you can provide them with something more valuable than the money they will be paying you. They need to trust you, to believe that you can do what you say you will. The small cleaning startup had not prepared any references, marketing literature, price sheets or list of services. There couldn't provide anything that showed why they were different, why they were better, or why someone should hire them. So, no one was hiring them!

You can certainly try to be all things to all people. You can choose to keep your pricing vague and unpredictable. You can hope people will give you business. But you'll probably be better off if you figure out what it is you do, who it is you do it for, how much you charge for it, and why you're better at it than anybody else.

Costs Don't Matter

Two comparable business owners were looking to purchase the same software package.

One focused extensively on the cost of the software, aggressively negotiating price, challenging the vendor's recommendations for training, and doing everything in his power to keep the costs down.

The other focused extensively on what the software could do for his company, looking at how it could free up time and resources, add capacity, and improve efficiency. Really looking at how much more money they could make by using the software.

Both ended up buying the software, but the second had far greater success with the implementation, even though he paid more for both the software and the training. Sure, it's important to manage cash flow, and not spend foolishly. But if a purchased solution is going to help your business earn ten times the cost of the solution, the question shouldn't be "got anything cheaper?" but "how soon can we start?"

The cost of a solution doesn't really matter. The value of the solution, in comparison to the cost, is what we ought to focus on.

The Struggle to Let Go

Whenever you delegate a task, hire an assistant, create a key new role, or transition your job or your company to a successor, there is always a struggle to let go. Here are five things that make it difficult, and some possible ways to address them.

1. They don't know how to do the job as well as you. This is a certainty, especially at the beginning. There is always a learning curve when someone new is brought in to do a task, but often the problem is not with the new person, but with what you've given them to work with. Do you have documented Standard Operating Procedures (SOP's)? Have you really captured the approach that you found successful in a way that the new person can use? Have you trained them? Have you mentored them? Have you let them try it on their own? Often, we get someone to do a job, and then hold them accountable to the standards in our heads, standards that they don't even know exist.
2. They do the job differently than you would. This is also a certainty, since they are not you. Unless the job is absolutely trivial, no two people will approach it exactly the same way. While standardization is important, and SOP's can help the transition, realize that different is not necessarily worse. It can be a significant threat to your ego if a newbie comes in, tries something different and it actually works better than what you've been doing and preaching for years.
3. You don't really want to let go. Especially in the case of retirement, or succession planning, it is very hard to give up control, and the associated feelings of importance, of influence, of being needed. Moving towards the next thing you are going to do can help take your mind off of the things that you are no longer doing, that somebody else is now doing. Changing your title to something supportive, rather than controlling, can indicate your willingness to relinquish the reins, and help you accept the change as well. Sometimes this takes some coaching or counselling, either professional or from a trusted colleague, to help you work through the emotions - much like dealing with grief.
4. They don't seem confident. They keep having crises that drag you back into they fray. They ask for your help, they ask for your advice, they just seem so young and inexperienced and, in comparison to you, they are. But they're also competent, and learning. Perhaps you need to pull back more, to force them to stand on their own. Or, perhaps you need to shift your thinking, and realize that asking a mentor for advice is not a sign of weakness, it's a sign of strength.
5. You don't want to follow. New people bring new methods, new inspiration, new systems, new requirements. If you've been handling a role your way for years, and it has worked well for you, it seems absurd to have to change just to match what the incoming whipper-snappers want to do. Sure, they might set up some fancy new software, or new scheduling methods, but it doesn't apply to you, does it? So, they end up making all kinds of workarounds to accomodate you - out of respect, out of necessity. It's times like these when you need to dig deep, accept your changing role graciously, and honor the systems and changes that your successor is trying to implement - out of respect, out of necessity.

Letting go isn't trivial, and often pushes a lot of your emotional buttons. But letting go is the key to allowing the organization to grow beyond just you. And the key to letting the new people shine.

Business Ain't Science

Some really interesting science-based companies were presenting their Exciting Investment Opportunities to a group of potential investors. Half of these really-interesting companies were wasting their breath due to a common and faulty belief - the belief that business is just about having good science, good products, good technologies. As they made their investment pitches to the business community, most of them talked about the science, as if they were presenting a technical paper to the scientific community.

They spoke at length about the chemical compositions of their bio-products, while investors wanted to know the market advantages and ther strategy for entering the market. They charted graphs of technical tests, while investors wanted details about competitors, industry partnerships, barriers to entry, and supplier and distribution agreements. The Chief Science Officers spoke in technical jargon, while the audience expected discussion about return on investment and exit strategies.

One lesson is - know your audience and tailor your presentation to what they're looking for. The more important lesson though, is - having a good product is not enough. You are not investment-ready when you have a good idea, a good product, or good science. You are investment-ready when you have a good business opportunity, and that goes far beyond the science.

Six Saskatchewan HR Basics That Can Bite You

Recent discussions with a potential immigrant investor made us both realize how overwhelming all of the regulations and requirements can be for starting a new business in Saskatchewan. Ranging from provincial business registration, to city business licenses, from GST and PST to income tax and specific licensing issues for specific industries, there truly is a lot to learn. You want to make sure that you don't miss something that will come back to bite you later, and most of these something's have really sharp teeth.

After talking about general business, we got into specifics of hiring staff, and she commented on how much more regulation there was compared to her home country. She exclaimed, in broken English, "Workers treated very good here!" as we went through a few of the HR basics that can bite you when employing people in Saskatchewan:

1. Provincial Labour Standards outline annual holidays, hours of work, minimum wage and other employment rules.
2. Occupational Health & Safety (OHS) sets rules for safety in the workplace, including requirements for employee-driven Occupational Health Committees or Representatives, and penalties for safety violations.
3. The Worker's Compensation Board provides mandatory coverage and compensation for workers injured on the job.
4. Withholding and remitting Payroll Deductions, including Canada Pension Plan contributions, Employment Insurance premiums and Income Tax.
5. Workplace Hazardous Materials Information System (WHMIS) defines rules for safe handling of hazardous products in the workplace, and defines employer responsibilities for safety of employees.
6. The Saskatchewan Human Rights Commission protects people from discrimination based on age, ancestry, marital status, disability, religion, gender and other factors.

There are lots of other HR basics that are good business practice and nice-to-know, but make sure you know and understand how these six apply to your business - they're need-to-know.

If You Ain't First, That's OK

As I reflect a little more on the now distant memories of the 2010 Olympics, I'm left with the feeling that it's all based on a pretty harsh, arbitrary and ridiculous way of defining success.

Consider Devin Kershaw, Canadian cross-country skier. He trained hard, did everything right, performed excellently but was two one-hundredths of a percent slower than the winner Petter Northug of Norway in the men's 50km mass start. After more than two hours of full-out racing, he had crossed the finish line 1.6 seconds after Northug. This was good enough for ... fifth place. No medal. No reward. Just suck it up, be a good sport, demonstrate the true spirit of the Olympics and go home. Better luck next time. Two one-hundredths of one percent between first and fifth - not a big difference!


Consider also "Neutron Jack" Welch, the notorious CEO of General Electric who famously declared that GE would only stay in markets where it ranked a number one or two. This thinking pervades businesses today, at every scale, with everyone thinking that if they're not first, they're last. Vision statements are filled with some variation of:

- "the number one Asian restaurant in the city"
- "the world's leading cleaning chemical supplier"
- "the best furnace cleaning company in the province"
- "the best health care provider in the country"
- "the largest insurance provider"

Basically, we all seem to be setting out to be the best, number one, top of the heap.

I understand that this is meant to be inspiring; a sort of stretch goal to keep everyone on their toes and focused on "winning". But it has the same harsh, arbitrary, and ridiculous way of defining success that is used in the Olympics. Unless you are the best, you have failed. And this just ain't so.

At last count, there were thirty-one pages of Pizza ads in the Saskatoon Yellow Pages. Obviously, they can't all become "the best", and it seems a little foolish for them all to declare that as their intent. You can run a successful, profitable, satisfying business without being number one in your industry.

Focus on improving the concrete particulars of the daily work, keep getting better at doing whatever it is you do, and don't pretend that you need to be number one. In most businesses, being number two, three, four or seven is still a great place to be. Whenever you rank businesses or people against each other, there can only be a single number one, a single gold medalist. But there can be many very successful businesses.

Strive to be excellent, to be better than you were yesterday. And even if you ain't first, that's OK.

Credit Card Policy Loses a Customer

A man buys some expensive jewelry for his wife at a downtown Saskatoon boutique. The store policy was to accept certain credit cards but not others due to the different back-end fees charged to the store by different credit card companies. The man was on his lunch break, and was informed that the card he was using could not be accepted - did he have another? He put the diamond necklace on hold, walked back to his office, got another credit card and returned to the store to complete the purchase. Management was presumably happy with this, since the cashier had followed policy, the store had saved a few dollars in fees, and they had still made the sale.

Unfortunately, two years later, this man still freely shares the story of how mad he was at being treated that way, and how he will never shop in that store again. He is freely sharing the name of the store too (though I won't) and buys his jewelry elsewhere now.

Look at your policies from your customer's point of view, not yours. Striving for success through cost cutting can be very expensive.

Don't Kick the Bucket - Milking Cows and Building Trust

I remember milking cows at my Auntie Rosie's farm when I was a kid. It took an awful lot of tugs on that cow's milk-units to fill up the bucket - one squirt at a time. Then the cow would kick, and all that milk would spill across the barn floor. That bucket-kicking milk cow gives us a good model for understanding how trust works too.

Suppose you're reviewing an investment opportunity in a small business, doing due diligence on the deal and discussing the financial statements with the owner who is looking for capital. With a conspiratorial tone, the eager owner mentions that there have also been quite a few under-the-table cash deals so revenues are actually better than what was disclosed. Of course, he's trying to make the investment seem more attractive, but he just kicked over the bucket.

The purpose of the due diligence process is to fill up the bucket of trust, helping you feel confident that the deal you're considering is above board, without surprises, and fully disclosed. While the seller is being "honest" about the cash deals, he's really telling you that he'll lie whenever it benefits him. Run away.

Similarly, when someone tries to sell you something that is not in your best interest, run away. I've seen many companies using the buzzword of relationship selling, but using it as a means to push more products through the sales channel, without regard for what the customer wants and needs. Again, whenever you do this, you damage the trust that has been built up, perhaps over several years.

Trust. Keep it in the bucket.

Leader Standard Work

Visiting a small, privately-held food processing plant, the general manager treated me to a tour of the facility. Now this is a busy guy with lots on his plate, but what impressed me was the behaviour he modelled. As we entered the plant, he automatically got me a hairnet, in a calm assuming manner that was easy to comply with, even though it wouldn't look too good with the business suit I was wearing! I'm all for following good practice, yet a common experience in these situations is for senior people to act as if the rules don't apply to them and their guests.

I commented on this simple act of compliance with their food-safety and quality standards. His response showed that he recognized the importance of his role as leader; "It wouldn't look too good for the boss to violate the standards we set."

Going further, I inquired about getting a group tour for a professional association I'm involved with and his response was equally thought-provoking. "We don't do tours, except for customers or key contacts." explaining further that the risk to food quality from groups of unknown people was greater than the public relations or professional benefits that might develop.

The commitment to follow the standards, demonstrate the standards, and "live" the standards makes me think that this company is in good hands.

Delusions of Grandeur

Give your product an Italian name, price it very high, then justify the cost on the basis of how hard it is to make. This is a great strategy if you want to leave yourself vulnerable to someone who actually knows how to create a quality product.

At a home show, a stylish, seamless acrylic bathtub is displayed with a suggested retail price of over $9,000. The tub is attractive, and the vendor explains that they have to charge that much because it's very complex to create. "It's a unique mould. You are probably going to scrap five (during manufacturing) to get one that's perfect."

So, to make one of these tubs, they essentially have to make six, inspect them, and discard five because of flaws. You're paying a high price for their tub, not because it's "high" quality, but because they have a lousy manufacturing process, and pass the extra costs on to you.

We often confuse these delusions of grandeur with a truly quality product. When someone defends the price of their product (or service) because it is hand-crafted, reworked, flawed and inspected, these are all rationalizations for why it is expensive when it really doesn't need to be.

Cooperative Investing

If my success depends on your success, we are cooperating. If my success depends on your failure, we are competing. The Saskatchewan Angel Investor Network, SAINT, which re-launched in Regina this week, is a great example of cooperation in the investing world.

SAINT brings together independent angel investors and connects them with business people that are looking for investment. On each deal, several completely independent investors band together to evalute the opportunity. One investor might be a lawyer, another a business consultant, one an engineer, and another a marketing professional. Each brings unique insights to the process, and increases the wisdom available to everyone in the group. While each investor is responsible for making their own decision, they work together to analyze the business plans.

If enough investors are interested, they create a deal with the entrepreneur. These deals are also cooperative by nature, in that the investors only win if the entrepreneur wins. The investors often take a seat on the board and add their expertise, contacts and advice to help the entrepreneur win.

Cooperation beats competition!

How To Create New Money

Step #1 - Solve Joe's Problems
If Joe is hot and thirsty, and you sell him lemonade, he'll pay money for your solution. If Joe doesn't have enough money, he'll go to the bank to borrow money. And, when Joe asks the bank for money, the bank creates new money on the spot. NEW MONEY! Just for your business! And you don't have to pay it back.

Step #2 - Improve HOW You Solve Joe's Problems
As you run your lemonade stand, you do things a certain way, and you earn a nickel. If you improve HOW you do things, by eliminating systemic waste and focusing all your efforts on what Joe really values, you earn a dime. Again, NEW MONEY! Just for your business! And you don't have to pay it back.

Step #3 - Repeat Steps #1 and #2
Look for more problems to solve, and better and better ways to solve them. Soon you'll be earning 50 cents, then five bucks, and then some day ... ONE MILLION DOLLARS!

I've run into many businesses and advisors that either don't know or don't remember how to actually create money, create wealth, create value. They focus instead on budget manipulations, funding sources, acquisitions, liquidations, cost-cutting, downsizing, outsourcing, and reorganizing; on shell games that move money from one pot to another; on short-term gains at the cost of long-term pain.

Instead, every day, get better and better at solving customers' problems, on adding value to your solution. That's how you create new money.

He Shoots, He Scores! Authentic Selling

Our son is a peewee hockey goalie and, as usual, we started the season with a trip to our favorite sports store. He'd outgrown his skates, and his stick was cracked, so we brought in all his gear to see what was still OK, and what needed to be upgraded.

An eager young salesman volunteered to help us and we were soon trying on goalie skates and asking him for his opinion about the size of goalie pads, different kinds of goalie pants, and how to choose a stick - we were hoping to get another year out of as much as we could. We'd gotten used to excellent, knowledgeable service at this store, and trusted that they would genuinely help us.

As we worked with him, our confidence and trust started to slip away - he wasn't familiar with how to do up the straps on the pads, didn't know how to attach them to the skates, and said things like "they look too small to me, you should maybe get the next size up", but with no explanation or reasons given. Hockey gear isn't cheap and we weren't eager to buy new stuff if we didn't have to. In fact, we were on the verge of leaving without buying anything to see if we could get better help somewhere else.

Thankfully, another salesman whom we'd worked with before walked by, and we asked for his opinion. This guy knew his stuff and showed us how our existing pads were too short to fully contain the knee, and exposed it to injury. He brought us some pads a couple inches larger than we had even been considering, helped strap them on, and showed us four or five points about how to size pads properly. He also helped choose a new stick, explaining a couple of different schools of thought on sizing goalie sticks. With his knowledge and expertise, we happily and confidently bought more gear than we had originally intended. Good for us, good for the store.

With the first saleman, it would have been far better if he'd just said he didn't know, and found someone else to help. Or help us only with the parts he really knew. He was trying to SELL us new gear, but almost lost us as a customer.

What the second salesman provided, and what we were looking for, was information and help to decide for ourselves what we needed to buy. It's a big difference. Authentic selling means knowing your offering inside and out, and working with your customer to see what will work best for them. Help solve their problem, and honestly help them buy the best solution, and they'll come back every season.