October 2022 - Page 4 of 12

Action Learning In The World Of Business

Action learning is a proven tool for realizing individual and organizational change. It combines knowledge that people have been taught with skills people have learned, after from experience. Action learning requires a supportive environment in which to thrive. Once established, it provides a valuable and powerful stimulus for continuous change, enabling organizations to grow and learn dynamically, rather than remaining static or fixed in one set of circumstances or perspectives.

However, it’s also a management development and training tool differed from the conventional approach in tat it focused on developing managerial skills rather than just increasing knowledge. It has been observed that major factors affecting a manager’s job performance were his or her skills- ability to do the job and attitudes- the will to do what is necessary to optimize effectiveness. This approach was designed to help managers as they worked to solve real problems. The learning and therefore the development of managerial skills are directly linked to the learner’s real needs based on actual experience.

Action learning is based on the concept: L = P+Q. Learning [L] comprises programmed knowledge [P] – things that people have been taught or that they have learned through experiences plus Questioning skills [Q]- the ability and willingness to challenge programmed knowledge using the stimulus of real life problems. Hence, people need the programmed knowledge that they have acquired over the years but, in the conditions of rapid change that we live in today, this is not enough for survival. People and especially managers, must also constructively question both themselves and those around them so that they can adapt successfully to the constantly changing world.

The basic idea of action learning is simple. Individuals are put in a supportive environment with a problem to solve and a facilitator who will encourage them to question their programmed knowledge and to test themselves and each other. The process of questioning and testing produces experience. Reflection on experience leads to learning. For instance, a child learns that the stove is hot, not by touching it- test, but through the pain that comes from the burn afterward- reflection. Learning is demonstrated if he or she does not touch the hot stove again.

Towards understanding action learning, there are key approaches and roles people develop by…

* Working on life problems,
* Being empowered to question what is happening,
* Trying out suggested solutions in doing things effectively,
* Stepping back and reflecting on what is happening and why,
* Sharing the experience with others who are also learning by doing.

There are two main models of action learning; which focuses on individual development, and the in-plant or organizational development model, which combines individual development with organizational change. Both methods use the same structure.

* The Problem- This provides the focus for the activity. It’s both the individual and a team problem- project.
* The Client- Is the person who owns the problem. This is someone who knows, cares, and above all can in-plant its solution if they wish to.
* The Action Learning Set- This is the place where participants meet to share their experience. It is the core of the program; the question and confrontation, challenging, and support which take place in the set provide encouragement and stimulus for individuals and groups to carry on.
* The Facilitator- Encourages learning through questioning, mirroring, challenging, and supporting. The facilitator is the gift in the oyster which creates the learning pearl.
* The Sponsor- Is the senior manager responsible for the program.

To harness action learning for individual development, there are several ways in which it can be used to develop individuals, including;

* The Own Job Model- This aims to enable individuals to maximize their personal effectiveness. Individuals take a problem into the action learning set and they meet at regular intervals over an agreed period of time with an external facilitator. The learning focus is on helping participants to develop the expertise they need to solve their own problems.
* The [P] Development [Academic] Model- This approach aims to maximize the learning opportunities presented while acquiring knowledge – programmed knowledge. The model combines the personal effectiveness development aspects of the own job model with the opportunity to acquire new learning. Sets are formed of people who have the same learning goals and have a dual focus, new knowledge coupled with personal learning.
* The In-Plant Action Learning Approach- While individual action learning programs are very powerful in bringing about individual change, they cannot change organizational culture. One approach to change this problem has been to apply the action learning method on an in-plant basis, using problems that exist within the company- real problems which it must solve. The approach uses the typical action learning structure, in which directors and senior managers are cast as clients, middle managers as facilitator, foreman and supervisors as fellows- action learning teams. The whole process is coordinated by external facilitator. Hence all managers and supervisors are involved in a change program at the same time. The main difference is in the application. The in-plant approach applies action learning to the total management structure of a company in a way which involves everybody.

Therefore, action learning relies on the team-working and facilitation processes which encourage questioning, empower participants to try something different, and lead to change. The heart of the action learning process is the group, supported by the facilitator. It provides a safe haven from which individuals can emerge to test themselves and return to share their experience, thereby encouraging and supporting change. Any team-working or problem-solving activity can be turned into an action learning program, through the simple addition of a facilitation process. Any personal development programs can be greatly strengthened by forming action learning sets and providing facilitation. Why not do it and maximize the value of your investment?

10 Things New Business Owners Must Know

Starting a business can be expensive and complex depending on what kind of business you start. A strategic business plan helps you address questions like, what are my capital resources, how will my product or service reach the market place, or how will I manage my day-to-day operations. These are very important issues for any start-up, and must be addressed, however there are other “must knows” that are just as critical to new business success.

The first, which is the proper business form to choose could have a significant impact on your bottom line. This is because different business forms are taxed differently. The various forms of business structures include sole proprietor, LLC, Partnership, S-Corporation, or C-Corporation. Each with their own set of rules, as it relates to how you pay taxes. The next consideration, whether I should get an Employer Identification Number (EIN) has been a popular topic among start-ups. Generally, regardless of your business form, applying and obtaining an EIN is a must. This is because during the course of conducting business you will most likely make certain payments that require information return(s). The forms used to report these payments must include the payee’s identification number.

Another important consideration is deciding on your tax year. A tax year usually consists of twelve months. The IRS allows two kinds of tax years. The first is Calendar Year, which starts January 1 and ends December 31 of every year. The second is Fiscal Year. “A fiscal tax year is 12 consecutive months ending on the last day of any month except December. A 52-53-week tax year is a fiscal tax year that varies from 52 to 53 weeks but does not have to end on the last day of a month” (IRS pub 538). Though most start-ups choose the calendar year, it is good to understand the difference between the two. Once your business grows it may become prudent to switch to Fiscal Year due to many potential tax advantages they may avail themselves as a result.

The next three considerations include businesses owners knowing what type of federal and state tax they will be responsible to pay, which tax forms are you required to file, and how to properly account for employees, as it relates to taxes. The IRS requires different business forms to file different tax returns (Schedule C, 1120, 1102s, 1065) at different times during the filing period. In addition, depending on whether you have W-2 employees or independent contractor’s different type information return requirements will apply. You may also be faced with state and local sales tax payment and reporting requirements. It is also important because it has been argued to be one of the most troublesome areas for small business start-ups.

Finally, understanding the proper accounting method (cash vs. accrual), what business expenses are deductible, and which records to keep and for how long are the last three “must knows”. Depending on what accounting method you choose, you could be paying more in taxes than you should. Making this determination requires a good understanding of the accounting methods available and how those methods affect your specific situation. Understanding what expenses are deductible will assist you with proper record keeping, as well as help your tax professional maximize your credits and deductions. Remember, a tax pro generally is limited to information you provide. Tax professionals may understand the implications of certain deductions, but not know without your input that said deduction(s) apply.

Starting A Home Daycare Business

The childcare or daycare business has become a valuable part of modern society. Parents want a place they can leave their children while they are at work and be assured that their kids are in good hands. With this said, it is apparent that for anybody interested in running a home based daycare business or daycare center, the first priority must be the love of children. Their safety and well being must come before financial gains on your priority list. Starting a daycare center could be the best way to positively impact on the lives of the children and parents in your community. Obviously, in the long run, if properly planned, a daycare business is bound to be lucrative, but you are sure to enjoy the bond created between you, the children and their parents in decades to come, more than any financial again.

However, the love of kids cannot be the only requirement for starting a daycare business. As with any other business, especially small and home based business, several other factors must be put into consideration before jumping into the business. Let’s take a look at some of these vital requirements.

For a start, you really have to do thorough research. You have to know what you are getting yourself into, the pros, the cons and the prospects. Does your locality need another daycare operator? Will it be profitable in your area? Are those running the existing centers enjoying the experience? These are some of the numerous questions you need to get answers to. It would be a great idea to visit existing daycare centers; you could interview parents about what they think of the services they are getting, what they expected and also the operators about how well the business is thriving.

You will also want to learn about licensing and certifications required for running a daycare business. Some states will require that you get licensed while some others may not. You may also want to get First Aid, CPR or other kind of certifications. Even if these were not pre-requisites, they would come handy when the business gets into full swing. You never can tell what events could occur, it is always better to be prepared for accidents and eventualities.

There is also the personal side of the story. You need to consider if you want to run a home based daycare business or a daycare center. If it is going to be home based, do you need to modify or change your house to be make it child friendly, do you own a building or will you have to rent the required space. You should also consider what impact being with children all day long would have on you and your family. If you are not a natural child lover, a daycare business may be very demanding, as tending children requires a lot of love, understanding and patience. If you have growing kids yourself, the task may be more demanding, as you never can tell what impact the kids you are tending will have on your own children. However, if handling such things is not stressful for you or if you are stay at home mom that is seeking to supplement her income with the venture, then a home based daycare business might just the right thing for you.

As with any other business venture, a clear business plan would definitely impact positively on its success. You need a business plan to map out the viability or otherwise of the venture. You need to consider the initial capital and expense you will incur setting up the business, where these monies will come from and how you are going to recoup your initial capital plus profit. Your business plan will also take care of all necessary accounting and tax expenses, and even create back ups in case of accidents or other eventualities.

In all, the success of your business venture will be directly proportional to how well prepared you were before you jumped into it. Do as much research as you can, learn all you can find about children and their needs, what parents wish for their children and especially, a good business plan. It is never wrong to be well prepared, you will be better for it.

Advantages Of Building Bulk Email Lists for Marketing Your Business

Sending bulk email for acquiring new clients is a strong and effective marketing strategy. For businesses that are reluctant to even try bulk email marketing you might benefit from this read;

“The complaint I receive from many entrepreneurs, and marketers alike, is they have considered email list marketing for their advertising needs but have not found a good starting point I have found that that most first-time email marketers do achieve success within the first 30 days and ongoing email marketing only builds your email lists bigger and more relevant with each campaign sent”.

Email List Marketing Works For Big Brands, It Drives Traffic And Revenue

Let’s take a look at some recent stats that highlight why email list marketing is something to consider moving into 2016

Over 70 percent of marketers agree that email marketing is core to their business.
60 percent of marketers claim that email is a critical enabler of products and services, versus 42 percent of marketers in 2014.
20 percent of marketers say that their business’ primary revenue source is directly linked to email operations.
43 percent of businesses have email teams of 2-3 people.
74 percent of marketers believe email produces or will produce ROI in the future.
For 69.7 percent of US internet users, email is the preferred method of communicating with businesses.

5 Practical Reasons You Should Consider Bulk Email Marketing for 2016

Let’s put aside the stats and data for a second and talk about the real practical reasons you should be sending email for your business.

Here is practical advice and what this author believes to demand from your email list marketing company;

Some bulk email software’s allow you to send an unlimited amount of email and it can be fully automated, and work in compliance with responsible email marketing practices and can-spam act of 2003 to remove opt-outs and non-deliverables, spam score checkers, and more features added automatically with any web based bulk email software platform.
With web-based software there is nothing to download or install, you can simply log into your online software account from anywhere to manage, send, and monitor your campaigns. This is an advantage as the email campaigns do not send from your internet connection or email account and you can add and remove domains and IPs for perpetual campaign longevity.
No setup cost and no contracts are almost expected these days; you want to choose a month to month billing that offers you the control to cancel at any time, but more importantly and a pro-rated billing system so you can upgrade or downgrade at anytime only paying the difference in pricing. This is very important as this will keep your overall costs under control and you can grow with your new sales strategy.
Purchasing email lists from a credible email list provider can allow you to choose targeted categories further for pinpointing your demographic before sending. This provides an excellent opportunity to try different categories that you might have previously overlooked with other advertising allowing you to realize new marketing opportunity.
Build exclusive opener and clicker lists. This is extremely effective as it builds new email list databases for future campaigns and is a great marketing strategy to implement right from the start. These contacts can automatically be added to new separately named email list databases and can build automatically for you each time you send an email campaign.

3 Things To Look For When Starting Email Marketing For The First Time

An email marketing campaign might be sounding more exciting by the second but not so fast! Well if you think you’re ready to dive into email marketing you might just be, however here are a few additional considerations to explore before you start sending out your first email marketing newsletter.

Email marketing is not easy requires some additional learning like any software. Excellent email marketing takes practice and just be to properly check your ad copy for spelling and grammar, formatting, and other errors. Always split test trying out a few different ads and subject headers then run with your best performer. Many make the mistake to blast out one ad to 100 percent of the list, break it up a bit and think more about longevity.
Basic feature you should demand from the email list, and bulk email Software Company you choose to send and manage your campaigns: No Setup Fee, Month to Month billing, Pro-Rated so you can increase/decrease the sending volume when desired, provides both email lists and email software under one brand, offers support and easy to contact via phone and email, a company with some online history and credibility. Choose your email marketing company wisely.
When shopping around be sure you choose a company that offers everything email marketing under one roof, this makes them accountable and provides consumer confidence. There are many companies that provide email marketing services, but most do not offer the email lists and ability to send using a web-based software all under one umbrella.

Now you are prepared for sending your first email campaign even if you’ve never done it before, throw caution to the wind and test it out for 2016.

Harness Your Entrepreneurship Potentials

By virtue of this meeting, I believe my audience are a crop of aspiring and emerging entrepreneurs who are ready to take their world by storm. So, I don’t see myself speaking to some young ladies and gentlemen (as the case is), but with young entrepreneurs who will grow to become business giants in few years to come. Then, you’ll remember but may not recognize this little giant standing in front of you – because he would have grown really big too!

Let’s thank God for ideas. But, if ideas were to equal entrepreneurship, everyone of you would have been great entrepreneurs, great inventors, great business men and women. Entrepreneurship is a subject that goes beyond starting a business and staying a business owner! It’s not about blowing your trumpet, giving yourself ego-centric titles: CEO, COO, OM, OPC, EFCC – because you have formed yourself into a company. No!

The bitter truth is that as profitable as entrepreneurship may seem, its venture is not for everyone. A senior friend once said to me in an interview discussion I had with him: “You need the right mind-set and skill-set. Don’t try it (entrepreneurship) until you understand these two!”

I want to sound a note of warning too. Entrepreneurship is not a plan B. It is not an alternative for those who couldn’t get white-collar jobs. Thank God for mouth-watering salaries; but entrepreneurship is not a choice you make because you could not secure employment at Shell or MTN! A prospective student, who makes a federal-owned Nigerian university his /her second choice of institution at the time of filling the forms, has already decided his/her fate!

Really, the increasing toll of unemployed graduates has forced many to look inwards. Ironically, this situation has its positives. In those days (as we were been told), as a graduate, you have an assurance of a good job awaiting you. But today, the reverse is the case! Even with your M.Sc or MBA, you may need to back it up with a professional certificate and several years of hands-on experience.

I do not care how many MTN, Shell or Chevron that has rejected your employment request; all you need is God to smile at your seemingly-looking small business. I see because giants arising from this meeting. You will go out there and storm your world!

What then is entrepreneurship? Who is an entrepreneur?

An entrepreneur is truly a unique individual. Entrepreneurs find it difficult or impossible to work for someone else, although they do work for their customers/clients. They are willing to put everything on the line for the passion and love of seeing their enterprise grow… and sometimes live with several failures.

An entrepreneur is one who has the ability to dream big. The entrepreneur has the qualities of a leader. A leader is one who knows what he wants. He is the one who created ideas, unique opportunities and conceptions. He is ready to take risks.

The following people have something to say about entrepreneurship:

Alan Sugar: “An entrepreneur, if there is such a thing, is a born schemer and thinker up of things.”

Hunt Greene: “Everything is always impossible before it works. That is what entrepreneurs are all about – doing what people have told them is impossible.”

Michael Smurfit: “The entrepreneur is like an eagle… he soars alone, he flies alone, and he hunts alone.”

Tom Peters: “Entrepreneurship is unreasonable conviction based on inadequate evidence.”

The Nigerian business landscape consists of entrepreneurs who, despite their humble backgrounds, withstood the storm and are still standing tall in their pursuits.

Here is a list of some of them:

1. Mike Adenuga (Globacom)

2. Femi Otedola (Zenon Oil)

3. Aliko Dangote (Dangote Group)

4. Jimoh Ibrahim (Nicon Insurance)

5. Frank Nneji (ABC Transport)

6. Tony Momoh (Channels TV)

7. Tony Ezena (Orange Drugs)

8. Samuel Adedoyin (Doyin Group)

9. Alex Ibru (Guardian Newspaper)

10. Folu Ayeni (Tantalizers)

11. Dele Momodu (Ovation Magazine)

12. Otunba Gadaffi (DMT Mobile Toilet)

Let’s take a look at some of the most basic factors that has helped them come this far.

I. You need ideas: Ideas are your connection to the world of business exploit, and this can be gotten via inspiration. Ideas that fly to the high heavens have been the harbinger of the most successful businesses across the globe. Ideas are like good wine, they need no bush. All entrepreneurial ventures start from ideas. Therefore, you constantly need to be creative, innovative and resourceful. Never underestimate the value of an idea. Every positive idea has within it the potential for success if it is managed properly.

II. You may start small but think big always! As a start-up, you may not always have enough funds to start on a large-scale. More than 60% of new businesses within and outside Nigeria are usually faced with the challenge of start-up and running capital. Start with what you have. Starting small does not in anyway mean you are going to remain small. You are permitted to start small, but understand that you need to think big; “for as he thinks in his heart, so is he.” You need to paint a picture of your dream business in your imagination. You need to “act” as though you were managing a big company. This kind of feeling should reflect in all that you do – your communication, your dress sense, your business environment, etc. Starting small is not a crime, thinking and remaining small is. The Word of God admonishes us not to despise our little beginnings. He knows there would always be little beginnings! For many of us, it is a time to learn and be strong enough to cope with the challenges associated with big businesses.

III. Be creative and innovative: Your business cannot survive without some creative thinking. It amuses me how some business owners run their businesses as though they are the only enterprise offering a kind of product or service. You can’t afford to be lazy in your business approach or strategy. Constantly create an activity to make your business, products and services the news worth thinking or talking about. If there are 1001 fashion outfits in an area, aim at becoming the best!

Everett Rogers said, “Invention is the process by which a new idea is discovered or created. In contrast, innovation occurs when that new idea is adopted.” If you use yesterday’s tactics and strategies to manage today’s complex business challenges, you’ll go out of business tomorrow. Arthur Koestler also posited that “the principal mark of genius is not perfection but originality, the opening of new frontiers.”

You need creative approaches for managing current business trends and anticipating future ones. Ask yourself strategic questions. “What can I do to improve on my existing offerings?” Tom Peters puts it this way: “Ask dumb questions. ‘How come computer commands all come from keyboards?’ Somebody asked that one first; hence, the mouse.”

You have a creative mind – use it! You can’t read about creativity; you have to begin doing what every creative action requires – taking the first step into the unknown.

Do you have a new (creative) idea? Take action. Turn it into implementation, and inspiration into execution. “The way to get started is to quit talking and begin doing” (Walt Disney). As Ben Franklin once stated, “Well done is better than well said.”

IV. Search for relevant knowledge in your area of specialization and interest. Knowledge they say is power. The Word of God says, “a man is commended according to his wisdom… a man’s wisdom makes his face to shine.” Don’t think of decorating your home, shop or office with your degree certificate; instead, decorate your mind with current innovative strategies, techniques and trends that will help grow your business or career. Search out new pricing and sales techniques. The truth is that you cannot be better, bigger and more successful than what you have on your mind. Your actions and inaction can be traceable to your knowledge power; and your knowledge power determines your thoughts! Remember, “For as he thinks in his heart, so is he.” Creativity and innovation is 90% within and 10% without.

V. You need a defense against discouragement. As an aspiring or emerging business owner, you should have a mind-set that success does not come easy; not even in business. Usually at the onset, we brim with ideas for starting a business; the enthusiasm is high and we devote both time and energy for the success of the new venture. At this level of your business, you never really knew that on the flip side, business management means coping with stress, challenges, disappointments, failures, and outright rejections!

In a research study of two hundred and forty three entrepreneurs in Lagos, Nigeria; among the problems encountered by entrepreneurs, unreliable employees were the most critical. Weak economy, electricity shortages and unsafe location were also mentioned as obstacles preventing entrepreneurs from achieving their goals.

At every point of your business growth, you need to shield yourself from discouragement; you need to trust God for help and believe in yourself to stay strong till you conquer fear. As a small business person, I have been tempted on several occasions to apply for a paid job somewhere else. As a matter of fact, I have submitted applications for some! Owning and managing a business is not a light issue. You need to be aware of this from the onset. Business is life – don’t let it die in your hands!

Be focused. Be persistent. Be consistent. Be strong. Indeed, you can truly become a business giant! See you at the top!

The Dun and Bradstreet Paydex Business Credit Score

The main credit score used in the business world is known as a Paydex score provided by Dun and Bradstreet.

This number assess a business’s lending risk much the same as a consumer credit score reflects a consumer’s individual credit risk.

Paydex is essentially the business equivalent of your personal credit score.

The exact definition from Dunn & Bradstreet, or D&B is: The D&B PAYDEX® Score is D&B’s unique dollar-weighted numerical indicator of how a firm paid its bills over the past year, based on trade experiences reported to D&B by various vendors.

There are many BIG differences from a business Paydex score and an individual FICO consumer score.

Consumer FICO credit scores range from 350-850. The Paydex Score ranges from 0-100 with 100 being the highest score you can obtain.

Individual credit scores are calculated based on a number of factors.

The Paydex score is calculated based on only one single factor; whether a business makes prompt payments to its suppliers and creditors within the agreed upon terms of payment.

Most lenders and suppliers are looking for a score of 70 and higher. Having a score of 80 and above is very good.

Here is a breakdown of how the Paydex business score is calculated:

Payment Expectation

100 Expect payment may come early

90 Payments generally come within early

payment discount period

80 Payment is prompt

70 Payment comes 14 days beyond terms

60 Payment comes 21 days beyond terms

50 Payment comes 30 days beyond terms

40 Payment comes 60 days beyond terms

30 Payment comes 90 days beyond terms

20 Payment comes 120 days beyond terms

UN Unavailable

If you own a business, your Paydex score is essential in establishing new credit and continuing to build credit limits exceeding $100,000.

It only takes 60 days to establish a positive Paydex score. To start you will first want to apply for a

DUNS Number, a nine digit business identifying number, with Dun and Bradstreet.

The DUNS Number helps potential customers, lenders, and suppliers evaluate your business’s credit worthiness.

Once your DUNS number is established you will next want to find a merchant who will extend you credit and then report that credit to Dun and Bradstreet.

Once you have positive business credit report to Dun and Bradstreet you will have a positive Paydex score established.

You will want to then apply for more business credit and use it regularly. Make sure you pay all payments back early to raise your scores to 80 or higher.

You can easily and quickly establish a positive Paydex credit score.

As you continue to pay your bills timely your scores will continue to raise giving you the ability to qualify for credit in your business name.

What Is B2B And Why Choose This Business Model For Your Startup? B2B Vs B2C

Choosing the right business to start is something that nobody can tell you except yourself. Seeking the advice of others is simply confusing and is a waste of time. Ask ten business owners what they think as to which business to start and you’ll probably end up with fifteen different ideas because answering the Golden Question of Entrepreneurship often proves difficult to even the most seasoned business professional.

The ten answers that I can guarantee you’re not going to get are of the businesses that those entrepreneurs are currently in.

The process of choosing which business to start is often done incorrectly and does not factor in the experience level of the younger entrepreneur or lay a foundation for the first-time business owner to grow both personally, professionally and fiscally.

The issue with many business plans is that, prior to inception, they fail to take into account certain variables that can determine whether a business has longevity, such as search engine marketing competition, the hassle and entrepreneur’s inherent ability to recruit and manage outside manufacturers as various globalization factors will flood a market.

With the advent of the web and the multifaceted programming features of WordPress, many younger entrepreneurs have the ability to go into business for themselves very easily and very cheaply, but very haphazardly. What may be a cost-effective business now could be a nightmare waiting to happen.

Despite factors such as a cost-effective start-up that should be considered major tailwinds, why do so many of these businesses end up becoming a hobby alongside a full-time job?

The reason these companies fail is simplistic. Many entrepreneurs don’t venture into industries that are truly needed by the market. Things such as social media, online vacation packages, online dating and video production are not a necessity for businesses or the consumer to purchase and often prove a lot harder to break into than the business plan formula claimed it to be.

Laying A Structured Foundation For The First Time Entrepreneur

To mitigate a failed start, I have attempted to lay down some industry and target market boundaries from which the entrepreneur can safely use to pick a business that has a fighting chance from the onset.

For one’s first business, I always suggest that they start a company that sells services to other businesses rather than directly to the consumer. There are a few reasons as to why entrepreneurs should venture into “B2B” (“Business to Business”) service based companies as opposed to any form of “B2C”(“Business to Consumer”) company, “B2B” product-oriented company or strictly a web-based B2B firm.

Prior to getting into the reasons why the first-time entrepreneur should play within these boundaries, let’s define and give examples in order to clarify the difference between a “B2B” service-based company, a “B2B” product or web-based company and, finally a “B2C” company.

We are going to leave out companies selling into municipalities or educational institutions due to long sales cycles that are very complex, hard to manage and even harder to profit from.

What Is “B2C”? Defining the examples:

“B2C” – means that you are selling a product or service directly to the consumer as opposed to selling a product to service to another business.

Examples of “B2C” product-based companies:

Ex 1: Selling t-shirts geared toward the individual consumer
Ex 2: Selling lipstick marketed toward teenage buyers
Ex 3: Selling custom skateboards

Looking Further Into “B2C” Product-Based Companies

Why do I recommend that the first time entrepreneur shy away from “B2C” product based companies?

For the seasoned entrepreneur with exceedingly strong fundamentals and monetary backing, there can be a lot of advantages in opening a “B2C” product-based company. If you look at companies and subsequent brands such as Abercrombie or Sephora, there is a lot of a money to be made in “B2C” product-based marketing if you hit a home run.

Though, the marketing, operations and other intricacies of these companies are well-above most seasoned entrepreneurs’ heads let alone the first-time start-up.

There are a few significant advantages that companies like Abercrombie enjoy and that falsely lure the first-time entrepreneur into starting a “B2C” product-based company. Two of these big advantages are that “B2C” product-based companies don’t have lengthy sales cycles like most “B2B” companies are likely to have, and that they can use their brand to justify significant pricing mark-ups.

However, just as there are many upsides to owning a successful “B2C” product-based company, there are even more deterrents to success for the first-time entrepreneur when opening one.

It is very hard to be considered a player in the “B2C” product-based world without a physical store location. When buying everyday goods, the consumer is going to tend to purchase from companies with actual stores as opposed to those with just websites. Consumers want to see and feel before they buy; it’s half the fun of shopping. The entrepreneur can attempt to have a store such as Macy’s sell their fashion products for them, however, as someone somewhat familiar with the fashion industry, this is a very long sales cycle and to get space from the Big Players is exceedingly competitive and often comes with the price tag of having to attend costly trade shows.

I have found that the marketing for “B2C” companies is very complex and often very expensive.Before even bringing their product to market, the successful “B2C” entrepreneur should be familiarized with the intricacies that make people open their wallet. Aside from the basic lists behind consumer buying that are readily found on the web, most drivers as to why Americans buy can be traced back to highly advanced persuasion tactics, pristine web design and sometimes costly celebrity endorsements.

The consumer buys on repetition. This means that the first-time entrepreneur, literally must beat their brand and its advantages into the head of the consumer before they are going to see any traction or credit card receipts. Accomplishing this can take a very, very long time. The consumer moves quickly for no one and the ability to stay level-headed throughout this pre-selling process (if it even comes to fruition), can not only leave the entrepreneur frustrated, but it can leave them writing a resume as well.

If the entrepreneur cannot afford a physical location that means that they have to gain the trust of the consumer to even a larger extent as people are very hesitant to give their credit cards to websites that they are not 100% familiar with. This is not always the case with the younger generation, however it is going to prove to be somewhat of a hurdle for anybody who is unfamiliar with Firefox.

If the entrepreneur is selling a product, he or she is most likely going to incur start-up costs such as warehousing, shipments, design and other fees from manufacturers that I can vouch firsthand can quickly add up.

Global competition is another headwind that “B2C” product-based companies have to contend with. Anybody, anywhere, at any age can manufacture competing t-shirts or could make and market the same exact custom skateboards. Because there is no human interaction needed with most B2C product sales, the competitive landscape immediately goes global. Another thing to remember is that when an industry goes global, the threat of losing money to intellectual-property theft skyrockets.

If the above didn’t deter you, here’s a good story for the “B2C” product-based aspiring entrepreneur:

In 2007, I got a call from a start-up company that sold yoga mats and the owners were looking to staff a sales representative. Based somewhere outside of Boston, the owners couldn’t afford a full-time sales representative nor could they afford my fees, therefore our conversation was not too lengthy.

However, about three months later and upon further review of the current competition in the industry, I determined that my search engine optimization skills would allow me to rank a website highly on Google for keyword phrases pertaining to “Yoga mats” and related phrases.

As quick as I was to pull the trigger on a new business back then, I was even quicker to pull the plug on this endeavor. It started when I began researching yoga mat manufacturers and quickly learned that to even have somebody produce a basic yoga mat, we needed to buy thousands of them… from China.

This was quite problematic for a few reasons. The first was that half of the manufacturers (particularly, the ones in the States) would not even speak to us because we didn’t have enough money to warrant them starting a new business relationship with. Second, we did not know where to keep these mats and, after shopping around, storage costs were very expensive.

Third, the storage companies charged exorbitant fees to ship the mats to the consumer. Finally, if we wanted to do custom yoga mats with custom art, we would have to manufacturer the mats ourselves because nobody wanted to print single mats for a new company.

Therefore, before the company was even off the ground, I was looking at a minimum fee of $20,000 in manufacturing, warehousing and upfront shipping costs as well as a warehouse full of unsold yoga mats and a website that ranked on the third page of Google.

Looking Further Into “B2C” Service-Based Companies

Examples of “B2C” product-based companies:

Ex 1: Dating services
Ex 2: Online travel services
Ex 3: Financial services

Why do I recommend that the first time entrepreneur shy away from “B2C” service-based companies?

Many “B2C” service-based companies are dominated by the big names in the industry. For instance, if you want to open an online travel company, you are going to compete against Expedia and you are going to have to make quite a compelling case as to why the Smith family should trust you coordinating their Honolulu vacation regardless of the bells and whistles you claim that you can deliver.

Many “B2C” service-based companies are too cyclical and thus advanced for the first time entrepreneur. When opening a first business, the entrepreneur wants to choose an industry that is in need regardless of economic conditions. Waiting for an industry to come back, then hoping to compete in it is not a solid business plan.

Many “B2C” service-based companies must compete globally just like their “B2C” product-based counterparts. As a first time entrepreneur, you are going to want to avoid this at all costs. For all intents and purposes, the fewer players in the game, the better.

If the first-time entrepreneur opens a “B2C” service-based company that is strictly web-based, the advertising costs are going to be astronomical. These days, Google advertising a.k.a. pay-per-click (better known as”PPC”) costs can quickly amount to five figure sums as single clicks can easily surpass $5 per visit to your website. This is not factoring in more advanced marketing costs such as your website’s bounce rate. Even further, this is not factoring in your conversion rate that essentially tells you how many clicks it takes to make a sale. Therefore, you could be paying up to $60 in advertising costs just to make a single sale of $130. The web is no longer a cheap place to advertise and more and more “B2C” service-based companies have turned to television because simply advertising on the web shows little to no ROI. Another thing to remember is that when it comes to “B2C” service-based companies, you can assure yourself that the top 10 ranked on Google will be competitors for life.

The first time entrepreneur will often make the mistake of marketing towards a consumer that is fun and hip, but has no money. For instance, coaching entrepreneurs and job seekers is fun, but entrepreneurs and job seekers, by definition, typically don’t have excess funds to spend.

Online Business at Home – What Do You Need to Start an Online Business?

Staring an online business at home is more than exciting. The hopes for profits, development and growth, however, can often lead to exactly the opposite. What you need to succeed is hard work and guidance on how to get a head start.

An idea and preliminary research are the first two things you need to start a business at home. You have to have a clear idea of what product or service you will provide and how. You have to do the necessary research to define your target market. These are the consumers you will be selling your product or service to. You have to research the competition as well. The research you carry out will help you decide whether to start a venture.

A business plan is the second thing you need for developing a successful and profitable venture. You should not assume that such a plan is only for large companies. It will be your general guide to development and growth.

Determine the purpose of your online business at home. Define your vision for the future. Decide where you want your venture to be in one year’s time, in five years’ time and in ten years’ time. Use this vision to set realistic goals. Then devise step by step mini plans for achieving these goals. Make sure you can allocate the necessary resources necessary for achieving each one of the set goals.

A marketing plan is another fundamental thing you need to get started. While the first plan is necessary to help you develop your online business at home, this one will help you run it and profit from it. A marketing plan is a strategy for promoting and selling your product.

Base your marketing plan on four factors. These are product, pricing, place and promotion. You have to figure out what your product will be like and how to package it so that it can sell well. You have to come up with a pricing strategy that will allow you to get good sales. Place has to do with where you will sell the product. Promotion encompasses everything from product advertising to press releases.

Investment is one of the most important factors you need for starting an online business at home. You have to decide how much money you need to invest in your venture and how much you can take out of your pocket. If you have to get financing from somewhere else, you have to consider the different options. It is also important for you to figure out how much time and work you will invest in your venture. As a novice internet entrepreneur, you have to find the right balance between your regular job and your online venture.

A website is the main technical thing you need to start an online business at home. Irrespective of the nature of your venture, you have to set up its virtual office. Find a domain name and register it first. You can build your own website using different paid and free tools and pay for hosting as well. You can have all of this done for you by a company. Choose the best option in line with your budget and business plan.

Registration, licenses and permits are other important things you need. Provided that you generate profits, you will have to pay taxes. If you are selling or marketing specific types of products, you may need special licenses and permits. Make sure you arrange all legal matters before you get started.

This is what you need to start an online business at home. You should work hard and smart in order to develop your venture. Remember that development is the key to success.

Feeling Stuck and Overwhelmed in Deciding Your Next Career or Business?

If you feel a bit stuck and not able to give your best, these are the factors that should come in the play to change this narrative and develop a high-performance work and a better healthier relationship with your career or next income opportunity.

Where is your Passion

Love for what you do is the sacred fire that drives you to start your own business every day. Making sure that your business is the expression of this fire is one of my pillars.

It is not the only one, mind you, to be able to make a business work, a business can work even without passion, but for me it is not the same thing I assure you, because having it pushes you to get up, to leave and to persevere.

Passion is linked to you, your values, your identity and your intention to manifest it through your project.

In your business, your passion will manifest itself through your value proposition, creating your offering; through the way you will work and the actions you will take to follow your direction; through your ambition, finding the necessary resources, without excuses, to get your business off the ground and grow; through your role, who you need to be to feel fulfilled and happy.

Passion makes you believe in what you do and pushes you to put 100% of yourself into building your business.

Your Time

Managing your time is another motivational factor that can push you to start your own business, I intend to transform the time dedicated to work and personal life into quality time.

Reconciling and defending with all one's strength this balance between professional and private life, without being forced to choose one or the other, especially if you have an ambitious project, is one of the main factors that have motivated me every day for about 20 years.

This factor is all the more motivating the more freedom is a value for you to defend and protect (to decide, to act, to create, to choose... ) and the less motivating the more you think it will be the solution to your mental and physical load, because in this case, be careful, it can only turn out to be an illusion.

While it is true that you can manage your time by having your own business, on the other hand your business can take control of your time and your life, especially at the beginning, so analyze well the meaning this factor has for you.

Your personal Challenge

You too have a personal story that you carry with you in the business you are creating, perhaps a problem experienced for a long time. Getting involved can be a really motivating challenge for you.

Finding the solution to that problem for yourself, because you have seen that the market is lacking or can be improved, may be the business idea that pushes you to create a business, because it can change the lives of others as well.

But be careful, before launching yourself check that the solution you have found for yourself resonates in the mind of a specific group of people and that it really solves a significant problem.

Once verified, the challenge of getting involved is a strong motivational lever to carry on your business, to finally feel fulfilled, to say "I did it, I succeeded".

Purpose

Having a concrete purpose that you want to achieve through your business is the most motivating factor, along with a passion for what you do, because it will help you move in that direction.

What do I mean? I mean having a concrete goal that goes beyond "I want to start my own business to travel more" or "to send my children to study abroad", or "to buy the house of my dreams", which is fine, indeed very well satisfy your desires, but after all this, ask yourself:

What do you want to achieve with what you create?

What contribution do you want to bring to others?

How will everything you accomplish with your business turn into something great for others?

Do you know why I say this? Because you don't have to be a lifesaving surgeon to contribute to the world.

In any area you want to operate with your business, you can do it anyway.

I'm not talking about "eliminating hunger in the world" or "eliminating wars", that would be great, but we don't have this power, I'm talking about something concrete that you yourself will be able to achieve because it will be in your power and will contribute.

The purpose of a successful entrepreneur is always something that goes beyond a purely personal economic return.

The sooner you will be able to identify that purpose, which will make you have a full heart once realized, the sooner you will have that energy and joy to get up every morning and look forward to starting work, doing something more every day to get off the ground. and grow your business and get there where you want to go.

Which of these factors is the most powerful and motivating for you to work on your business? Dig deep to learn more about yourself and unlocking your true potential so you can have the best performance and the best working experience.

Tips for Starting Your Own eBay Women’s Clothing Store Business

Launching your very own women’s eBay clothing store is a great way to begin a journey of financial freedom and independence while working from the comfort of your own home. Starting your own eBay women’s clothing store requires a bit of planning, preparation and some creativity to get your store off of the ground and running. The more you prepare to run your online store, the easier it will be once you begin to receive orders from those who are interested in the merchandise you have to offer.

Tips for Choosing Your Inventory

Determine what type of merchandise and inventory you plan to stock within your online eBay store before you begin searching for merchants that are right for your business. Create a list of the type of inventory you want to stock along with specific sizes you require for each piece of clothing or good you are interested in. The more detailed you are with your budget and specific about the type of clothing you want, the easier it is to work with merchants and wholesalers who provide what you need for the industry you represent.

Keep in mind any colors you want to offer as well as size charts from each vendor before you place any order to ensure you keep your customers as satisfied as possible when they make a purchase from you.

Finding the Right Wholesale Suppliers for Your Business

Finding the right wholesale suppliers is also necessary when you are shopping for a women’s clothing store on eBay. Finding a wholesaler online that caters to those who have eBay shops is highly recommended to purchase high-quality products and merchandise at a discounted price, especially when ordering in higher volumes. Shopping online to find the right wholesalers is a way for you to save time while also getting more access to hundreds and thousands of items depending on what you plan to sell to your customers.

Avoiding Shipping Nightmares

Avoid shipping nightmares when ordering any of your products wholesale by reading and reviewing all terms and conditions that have been put in place by wholesalers and other merchants you are using to purchase your items. Be sure to read the terms and conditions of all vendors you work with when operating a store of your own on eBay, especially if you plan to order items in bulk. You may also be able to find discounts from various merchants with the more you order in wholesale.

Importance of Pricing Factors

It is essential to factor in the pricing of your items and the markup you want to charge before launching your online eBay women’s clothing store. Consider the price you have paid for each item before marking it up and selling it to others. Additionally, it is also important to consider whether you are paying for shipping or requiring your customers to pay for shipping before setting a price for the merchandise you have for sale. If you plan to pay for shipping yourself, it is highly recommended to consider marking up the total cost of the item more to increase profit margin.

Consider Potential Fees

Whenever you have an eBay shop for women’s clothing, it is necessary to consider all PayPal and eBay fees you may encounter each time you make a sale or transfer your funds to different accounts online. Your eBay account may charge you for each sale that is generated, which is important to keep in mind when you are setting your prices online based on the amount of profit you are looking to generate in revenue altogether. Additionally, PayPal also takes fees depending on the type of merchant account you currently have as well as the number of sales you are making regularly. Read the terms and conditions of both sites before you begin selling your merchandise.

eBay Feedback Run-Ins and How to Keep Everyone Happy

Although you may ship your items on time and deliver a high-quality product, it is important to be realistic and to expect poor feedback from time to time, often from a difficult customer. It is essential to push for positive feedback from all customers to help negate any negative feedback you receive with your eBay account.

Learning all about the selling and marketing process of running an eBay store is a great way to get started in running a successful online women’s clothing business from home. The more time and effort you put into building your own eBay store with high-quality goods at affordable prices, the easier it is to build a loyal following of fans and potential customers for your brand.