NZ Entrepreneur Issue 11

NEW ZEALAND’S E-MAG FOR ENTREPRENEURS AND BUSINESS OWNERS

September 2013

The Search For Success Punakaiki Fund

10 Questions with

Nick Hindson of Market Share

Profile on #nzentrepreneur Tonya Callebaut Marital Marketing - Ideas to Advertise Effectively Ecosystem - The ICEHOUSE & SwipedOn

SECTION

Lee Bennett (left) and Steven Almond (right)

Red wine gets better with age.

Software doesn’t.

Unfortunately, time takes its toll on technology.

Microsoft will soon end security updates for: • Windows XP • Windows Server 2003 • Office 2003 Without these updates, you leave your organisation at risk of harmful viruses and business disruptions.

Ensure your business is future ready.

Visit microsoft.co.nz/getmodern for great deals on software upgrades.

2

Contents 4

From the Editor

6

The Search For Success

10

10 Questions With Nick Hindson of Market Share

14

Marital Marketing

16

Ecosystem: The ICEHOUSE

18

Profile: SwipedOn

20

Tomorrow’s Entrepreneurs

22

Profile: Tonya Callebaut - logajob

24 Lance Wiggs - Punakaiki Fund 26

IP In Action: Case Study - EROAD

28

Entrepreneurial Intelligence With Sandy Geyer

30

Parting Shot

Subscribe to NZ Entrepreneur for free!

ABOUT / Short and sharp, New Zealand Entrepreneur is a free e-magazine delivering thought provoking and enlightening articles, industry news and information to forward-thinking entrepreneurs.

EDITOR / Nick Harley ART DIRECTOR / Jodi Olsson GROUP EDITOR / Nick Harley CHIEF FINANCIAL OFFICER / Alastair Noble CONTENT ENQUIRIES / Phone Nick Harley on (021) 052 9770 or email nick@nzentrepreneur.co.nz ADVERTISING ENQUIRIES / Phone Jennifer Liew on (027) 4398 100 or email jenniferl@espiremedia.com

From the Editor

L

ADDRESS / NZ Entrepreneur, C/- Espire Media, PO Box 99758, Newmarket, Auckland 1151, NZ WEBSITE / www.nzentrepreneur.co.nz

ISSN 2253-5683

ife is already full of uncertainty, so I guess as an entrepreneur, you’re only adding a few more logs to the raging fire.

Many people simply cannot understand the mentality of an entrepreneur. They will ponder why anyone would take such crazy actions, chances and risks in their pursuit of success when you could just get a normal job and a high interest savings account.

These people probably mull over this conundrum as they line up for their weekly lotto ticket. Unfortunately, the odds are one in 3.8 million, they’re never going to win but they still play. They fail every week and have another go. Who’s the crazy risk taker here? Who has the better chance of success?

What if you did nothing? What if you had an opportunity and you didn’t leap on it? What if you wake up one morning and you wonder what happened and where all of that time went?

Wouldn’t you prefer to have at least tried?

Without action, nothing happens, zero. Whatever you want sure isn’t going to come and fall into your lap.

One day people will tell you how lucky you are, only you know it wasn’t luck at all, you just had the guts to go and make it happen for yourself when you could have done nothing.

That’s the difference. So roll the dice.

Nick

Email nick@nzentrepreneur.co.nz LinkedIn http://nz.linkedin.com/in/nickharleynz

4

NZ Entrepreneur is a GREEN MAG created and distributed without the use of paper so it’s environmentally friendly. Please think before you print.

Thank you!

NZ ENTREPRENEUR IS PROUDLY BROUGHT TO YOU BY:

5

ENTREPRENEURSHIP

The Search For Success

Richard Conway has just returned from visiting Google’s headquarters in San Francisco. He was there to attend the All Stars Summit, a chance to train, meet, network and hang out with the Google Engage team. It’s a long way from Richard’s humble beginnings and here we find out about the journey with his business, Pure SEO. 6By Nick Harley

I

The first year was a difficult one. I didn’t know a single person in New Zealand before I came here, so I was really starting from nothing. Fortunately, I had the support of my wife, whose wage as a social worker kept us going in the early days.

Taking the leap into entrepreneurship wasn’t such an easy decision. I have always had secure, well paid employment and making a decision to risk that financial security and back myself was tricky.

I am an optimist; the glass is always half full. I fully believed from the outset that the business would be a success. That’s not to say there were never any doubts or obstacles; I had to assimilate in a new country and survive on one income. We had several unexpected personal issues to contend with in that first year; the impact of which was exacerbated by the fact that we had no family located in New Zealand either.

have always been interested in running a business, it just took me a little while to get there.

My first job after university was as a venture analyst for a niche venture capitalist in London. I look back now and chuckle at the absurdity of me as a naïve 20-year-old making decisions that could ultimately result in millions of pounds being invested in high tech businesses.

Pure SEO was born shortly after I emigrated with my wife to New Zealand from the UK. I saw a gap in the market for a specialist search engine optimisation company. Most Search Engine Optimisation (SEO) companies in New Zealand were either website developers who attached SEO as an extra, or one man bands that used questionable tactics to get results.

My tactic to grow and develop the business is based around a recurring revenue strategy. SEO takes time to have an effect, clients therefore pay us a monthly retainer, this meant that every time we signed a new client the company’s monthly revenue would increase.

The name Pure SEO stems from that decision to keep a narrow focus and become the best in the SEO niche in New Zealand.

The strategy behind the business was to provide ethical, effective and transparent services removing the ‘smoke and mirrors’ that seemed to be synonymous with the industry. I have worked in or with SEO since 2002 and having worked on some of the world’s largest brands in some of the toughest markets (US, UK etc) I knew that this knowledge would give Pure SEO a competitive advantage.

One thing that helped in the early days was the fact that I was able to keep the costs to a minimum. I built the website myself (it was a sorry state, but at least I had something!) and only needed a computer, phone and Internet access to get going.

From there I seized any opportunity I could find to meet new people and networked like crazy. I also took advantage of Business Mentors New Zealand and other organisations to increase my network and knowledge base. Having a business mentor has been instrumental to the business and still remains so to this day.

From day one the strategy was to grow the agency with the ultimate goal of becoming the biggest and best in the industry.

I don’t come from an entrepreneurial background at all, I was always taught that I should study, get a good education and

Richard visiting the Googleplex in San Francisco

Left to right: Bill Farmer, Chris Massam and Simon Gamble

“

I am an optimist; the glass is always half full . I fully believed from the outset that the business would be a success. 7

“

SECT ON I Ithink of a

business as a journey; you must have a goal

move into paid employment. In what I refer to as “the middle class trap” I was encouraged to look for a job that offered good security, starting my own business was never discussed.

That’s not to say there are no entrepreneurial influences in my life. My grandfather’s brothers had successful businesses. One of whom I have fond childhood memories of who was very successful. He was a notoriously generous and philanthropic man, and anyone that spoke of him did so with a kind of reverence.

I was brought up to believe that a man is only as good as his word and that a handshake is as good as a contract. In the early days I did a deal which included a third party, we agreed verbally and with a handshake, that the income from the deal would be split 50/50.

When the client paid, the other company involved decided that they should keep 90% and give me 10%. In the end I managed to get 30% because I confronted the individual

involved face to face. Unfortunately, I learnt that without a written contract it is impossible to enforce any agreement like that.

Another lesson is to keep control of debtors. Unless you chase your debts you often get put to the bottom of the pile of payments. I have always had the ethos of paying my debts as, or before they fall due. Initially, I was not particularly comfortable chasing debtors and managed to accrue a large amount owed to me, but this impacts on cash flow which obviously impacts on business growth. I now have systems and people in place to manage the debtor payment process.

Lots of times, in the early days. I remember getting up at 11 am, sitting in my dressing gown thinking, “where am I going to get any business from?” Getting those first clients was very difficult, I had a terrible website that did not rank on Google (because it was new), I was in a new country where I did not know the best methods to start finding new business and I was being supported by a wife who was on a social worker’s wage!

There are always times when you start to think, it would be easier to be an employee, or why did I bother doing something myself. Fortunately these times are fleeting and most of the time I absolutely love running a business. I am a member of Entrepreneurs Organisation (EO), which is a global network of entrepreneurs, whenever I feel like this I can always lean on other members for support. I now think it would be a struggle to be employed by anyone else.

I think of a business as a journey; you must have a goal (end destination) and then plan how you are going to get there.

It may seem impossible at the start, but by taking small incremental steps, you will reach the target.

The Pure SEO team

8

Richard (left) with the other All Stars Summit attendies

Ultimately it comes down to a lot of hard work and learning from the experiences of those that have been there and done it. I surround myself with successful people, and I am always on the lookout for useful nuggets of information I can apply to my business.

I do not believe there is anything particularly special about me, there are far smarter, more motivated and more organised people. The biggest factor for my success has been to make that decision to leave a secure well paid job and go out on a limb and start something – it turned out to be one of the best decisions of my life.

I also love what I do; I get up in the mornings, answer emails on the weekends and never stop thinking about business strategy. It’s not because I have to – it’s because I choose to. I am in the privileged position of doing exactly what I want to do.

I am surrounded by business people every day, I think the country has a great entrepreneurial core, however, a lot of business owners are constrained by their own beliefs and worries – that is why we have so many one and two person companies here. New Zealand needs businesses that are not afraid to scale and tackle international markets.

I regularly meet inspirational Kiwi’s that have amazing ideas that have not been encouraged or facilitated to move into foreign markets. I think the government needs to continue to get behind business and offer the support and knowledge to elevate and grow them.

My tips for top entrepreneurs are: Make decisions and back them, if they are the wrong decisions you can always change the approach. As a business owner you have to make decisions every day, people (especially staff and clients) look to you for guidance and inspiration. If you are unsure yourself, how are you going to lead and motivate them?

Be open to learning and advice, in the last four years of

business ownership I have learnt a huge amount. I have had several official and unofficial business mentors throughout my time as a business owner and surrounding myself with these people has been one of the biggest influences on the success of Pure SEO. The motivation of these successful entrepreneurs has always been to help me and my business.

I do not always agree with what they say or suggest, but I can choose to take what I perceive to be the best bits and use them in my business.

There are lots of very successful people who are willing to give their time and advice to budding entrepreneurs. Tapping into their experience and knowledge can help avoid many pitfalls and speed up the growth of your business.

With everything I do I always ask the question; “would I like to be treated in this manner?” If the answer is yes, then I can move forward with the confidence that I am doing the right thing. New Zealand is a small place, doing something unethical or shifty for a quick buck is likely to come back and bite you.

I feel privileged to have a great team of people that have chosen to work for Pure SEO. Three years ago I was a sole trader, I now have 10 staff, some of whom have families, that rely on me and the business for income.

Building something from nothing in a new country where I didn’t know anyone is also a point of pride. The early days were difficult, but now we are organically growing at a phenomenal rate. It is always great to meet people in small businesses and large corporates alike, and when I tell them the name of my company, they respond with ‘we’ve heard of you’.

We currently have 125 clients, and I believe that every single one of them without exception would only have positive things to say about their experiences with us.

9

ISNETC ER W T VI IOE N

10 Questions with

Nick Hindson of Market Share Great businesses are started every day when people act upon an opportunity. We talk to to Nick Hindson of Market Share.

Tell us about your latest venture, Market Share, how did you come up with the idea?

Market Share started out as an idea to help business owners learn how to look at their business, understand it and manage it well. I had just closed down my first business at age 26 and I was reading Michael Gerber’s book ‘The E-Myth Revisited’ when it dawned on me that I wasn’t the only one facing this predicament. Thousands of want-to-be entrepreneurs open businesses each year with the dream of owning and running their own unique business.

The challenge for most is that they don’t know what they don’t know and they generally don’t find out where they went wrong until it’s too late to do something about it. There must be something we can do about this? I set out to find ways in which we could make a significant difference for all those people out there like me who aspire to running a successful business.

10

I found three ways in which to do this, the game is one of them. The Market Share game stemmed out of the industry I was working in at the time and I drew upon different ideas that I had come across to formulate one cohesive idea. The premise was that the game needed to emulate a real business with real business functions, situations and risk while the players formulated strategy to manoeuvre through the game.

The original vision is still focal to our mission, to grow our economy through business education, to help entrepreneurs build better businesses and to increase the financial literacy of our next generation.

What did you do prior to founding Market Share? Have you always been an entrepreneur?

I have always had a natural bent towards business and I do love the challenge to creating new ideas and then taking them to market. It’s just something I do, I can’t help myself. I have previously designed and manufactured lighting and furniture.

Nick and some colleagues playing the Market Share game I have also worked in office products and IT for several short contracts.

For the past nine years I have worked as the architecture & design manager for Hopper Developments and have been involved with the Pauanui and Whitianga Waterways and more recently the Marsden Cove development on Whangarei Harbour. Design is something I love and it’s a part of who I am. Nine times out of ten I wake up with ideas running through my mind, so I find that most of my ideas are formulated first thing in the morning. I heard recently that we are more creative when we are lying down so that would explain that!

What was the most painful lesson you’ve had to learn in business?

I would say that losing a business that you have been pouring your blood, sweat and tears into for years is the most painful, humbling and educational experience I have been through.

While there have been many lessons to learn over the years this one would stand out.

Business is a funny thing; you don’t just turn up on day one and find that you know it all. For most it takes years of trial and error to become a true leader in your business and in your industry. We are all still learning and I like to encourage people to continue learning no matter where they are in business. There is always something new to learn and master.

In my case the business failed because we grew too quickly and I didn’t have particularly good financial systems in place, so I never really knew where I was at. That side of the business has never really been my strong point so these days I ensure we have the right people around us to take care of this.

What are the three most important business skills you would advise up and coming entrepreneurs to develop?

First and foremost I would suggest any business person needs to know how to sell themselves and their products or service.

They may choose to employ sales people within the business, however the ability to communicate your ideas and have

others buy into them is really important.

Secondly, I would suggest that good communication skills are important. Relating to your team, customers, partners and the business world in general will be a crucial skill to have for any business leader.

Thirdly and I would call this an attitude rather than a skill; is to have a level of tenacity that will not let you give up when the going gets tough. For all those seasoned business people out there, they know full well that you will go through some really tough times to get to the top in any area of business.

That said, I think if you talk to different people you’ll find that everyone will answer that question differently based on the areas of strength thatFrom they left feelto have helped getTim where right: Johnthem Banks, Alpe, Dan Alpe they are.

Being able to assess and manage finance around your business, being able to create and produce great products and being able to market your business and products are fundamental skills. I’ve heard it said that if you can manage finance, product and marketing well, that you’re on the way to building a great business. However, in the next sentence it was suggested that one person cannot do all three of these exceptionally well, so it pays to focus on the part you’re good at and let others do the parts that they are good at. This requires delegation, another skill that is vitally important.

Were there times you doubted yourself in building your business? If so, what advice would you give to those who have periods of doubt about whether or not they’ll make it?

In the early days of any business there will be times when you doubt yourself. I have certainly experienced that and there have been days when I’d like to have given up, jump on a plane and disappear to Fiji to bask in the sun on the beach.

However, I have some really big reasons for succeeding in this business and it’s because of these reasons that I’m able to stay focused and on track when I go through these times of doubt. I really like to back myself and I think you really need

11

SECTION

INTERVIEW to believe in yourself to achieve your dreams.

Don’t beat yourself up because you’re finding it tough and you’re struggling to carry on. It’s quite normal to have these feelings and it’s just part of your journey. I don’t know of anyone who is successful in business and found the whole journey easy and without times of trial.

Are there any entrepreneurs that you look up to, that have inspired you on your own journey?

Absolutely, we don’t achieve greatness without first learning from those who have gone before us. I have personally learned an incredible amount from the business leaders I have worked with, more recently that has been Leigh Hopper of Hopper Developments.

There are many business leaders whom I admire, Donald Trump, Sir Richard Branson, Warren Buffet and Bill Gates all come to mind and then there are those people like John C. Maxwell, Michael Gerber, Malcolm Gladwell, Steven Covey, Robert Kiyosaki and Dale Carnegie whose books have inspired me over the years. We have some amazing business leaders in New Zealand, like Sir Peter Leitch, Sir Stephen Tindall, Trelise Cooper, Karen Walker, Michael Hill, all of whom have achieved some amazing business results and have helped a lot of people in the process. I always admire someone who can build a successful business and then use their time, resources, money and influence to help others get ahead in life.

Funding is always a big talking point when it comes to building businesses in New Zealand. What do you think are the most important things to do when trying to get through that start-up phase financially?

The type of business you are starting up can make a difference to the sort of funding you will require. I would certainly recommend you consider rather carefully how you will fund your startup. I have found that startup businesses always cost more to get off the ground than you initially think. That has certainly been the case with the startups that I have been involved with.

In this case my wife and I have funded most of this

business ourselves with additional input from several of our shareholders. Selling shares in your business can help you raise the necessary cash you need to grow your business and it will usually also bring with it someone who has experience, talent, resources and contacts that will also help grow the business. If you are considering this option it generally pays to look for smart money, meaning you get someone who can add further value to the business beyond just investing their money. There are alternatives such as Venture Capitalists and Angel Investors, both groups have varied requirements around their investment and they will have varied degrees of involvement and expectations around their return on investment.

Generally speaking a lot of startups are funded by friends and family of the new business owner and this can be a good model if you have a strong idea and a solid business plan to execute and realise your goals. That said, be really careful that you don’t just burn all of your cash along with that of your family and friends in an under resourced, ill-planned and poorly executed scheme that was never going to work. That’s just going to place you in a whole world of pain and it can take you years to recover from this situation. Been there, done that!

Make sure you get good advice before you start and surround yourself with people who know what they’re doing, people who can give you the right advice at the right time. Also, make sure you have an accountant and set up some good financial recording systems so you can gauge where you are at with the finances.

Can anyone be a successful entrepreneur?

I believe we all have the capacity to be entrepreneurs. That might sound like I’m generalising, however, I think if you have the desire you can achieve anything. There has to be an element of passion for your industry for a person to take on building a business. This isn’t for the faint hearted and their passion and their desire will energise an individual to endure the course.

So, while most people could become an entrepreneur, most never find the passion to pursue their dream, which I think is a real shame. At the end of the day if you want it bad

Things are going well...

But is your back covered?

12

enough, you’ll find a way to make it happen. There are a lot of opportunities out there and you have a global market to work with. For instance, I could teach a 14 year old how to build a website, design a product, have it manufactured either here or overseas, have it warehoused, shipped and sell it to customers around the world. We need to be teaching our next generation how to think globally and train them with the skills to conduct business on a global scale. I believe we need to do this as a nation to remain globally competitive.

What do you think are the things New Zealand needs to improve upon when it comes to creating more successful businesses?

Global thinking! And as I was just suggesting we need to be competing in the world markets. Our market in New Zealand seems at times to have its limitations as far as scale is concerned and I believe we need to be exporting more and creating more intellectual property that we can leverage globally. New Zealanders are full of great ideas; we just tend to lack the knowledge and experience as to how to take these ideas to market. Hence, the need for more business education and further understanding as to what makes a successful business work.

Most people who go into business don’t have the time or are simply not interested in studying business and learning what it takes to be successful. This has to change and we need to start adopting a better attitude toward business and financial education if we are to lift our game. So, perhaps a board game is a good introduction. The Market Share game won’t necessarily teach you everything you need to know about business, however you do get to practice negotiation, manage risk, manage business resources and cash-flow while developing your growth strategy throughout the game.

Within the game we also encourage players to read the

business glossary, recommended business reading and online resources that we provide in the back of each game booklet. I like to think of this as a business education in a box, designed particularly for those who have no formal business education.

I do also like to encourage people to pursue their own path of education and to continue learning throughout their career, so we also provide a list of organisations that provide business education and support.

As I mentioned earlier, I think a good part of the problem is that most people don’t know what they don’t know, so business owners just end up getting blindsided by something they never saw coming. This is a thinking problem and if you can help people to think appropriately about business, then they may have a better chance of getting ahead.

What’s your biggest goal for the next 10 years?

Our biggest goal is to see Market Share in 120 countries.

This really is a game that has the potential to engage with audiences around the world. This would enable us to provide further educational resources to New Zealanders and help them learn how to set-up and run international businesses.

This idea is very possible and we just need to have more of our young people engaging with business studies at high school and encouraging them to consider business as a real career choice. This might seem rather capitalistic to some, however if we want our health, education, infrastructure, environment, arts, music and culture to thrive in New Zealand we need the appropriate economic backing to see it happen. We need people out there creating wealth for the country to be able to sustain a level of living that we like to enjoy as New Zealanders.

As I always like to say “find your purpose, live your dream!”

To find out more about Nick and Marketshare, visit their website at www.marketsharegame.co.nz

13

G SE etting C T I O N I t D one

Marital Marketing Something old , something new, something borrowed and something blue ....

If you need more sales, Internet marketing provides a great opportunity to cost effectively reach new customers with great measurability.

As a technology based marketing channel, the online marketplace is constantly changing, providing businesses with the constant challenge of adapting to generate a sufficient return on investment. Mainstream online marketing channels are undergoing change right now so let’s examine how to leverage these opportunities and turn them into more sales.

Something Old - Old Mail Versus New Mail For many businesses their database is a valuable asset for contacting new and potential customers. In the last 15 years email has become a very popular marketing tool to reach the database quickly and cost effectively over traditional postal mail.

However, email marketers believe storm clouds are gathering on the horizon with Gmail’s recent innovation of splitting all incoming mail into Personal, Social and Promotional tabs. Early data provided by email provider Mailchimp suggests open rates have dropped by 6% which, if you are an ecommerce business, correlates to a significant drop in income from this marketing channel. Anecdotal

“

Mainstream online marketing channels are undergoing change right now 14

reports also point to the Promotions tab (where most email marketing ends up), now being nearly entirely overlooked by some email users in order to focus on the Primary tab. It may also only be a matter of time before other email providers follow Gmail’s lead.

Now’s the time to take stock and consider the following about email marketing. While it still offers significant cost and efficiency advantages, the overall open rates are usually in the 10% to 40% range with a healthy skew towards the lower end. This means that for some businesses, only 10 out of every 100 customers emailed may open it, leaving a huge gap in the communication channel.

Perhaps it’s time to reconsider traditional postal mail in addition to email campaigns, which undoubtedly costs more but offers the advantage of significantly higher open rates.

With open rates most likely in the 90% + range, you can be assured your promotional or informational messages do not get overlooked by your customers. The beauty of traditional mail also includes a tactile element that simply cannot be replicated by email, which in turn can boost response rates which are historically higher than email.

In the old English rhyme, something old represents continuity of the past moving to the future - many businesses should consider including traditional mail with clever segmented targeting which could provide a good return on investment if designed and executed well.

Something New - Remarketing Many businesses have switched to using Search and Display advertising on Google to reach a vast audience of potential customers and for good reason. Google’s market dominance in New Zealand is over 90% of all search engine traffic and while businesses jostle for position in this crowded channel there are new opportunities to grow market share.

One of the best opportunities provided by Google Display advertising is remarketing. Most potential customers spend time researching before committing to a purchase. Those

who visit your website while in research mode present a great opportunity to convert into a sale at a later date. And the old adage ‘it’s all about timing’ couldn’t be truer. So to capitalise on this opportunity Google have introduced a clever option called ‘remarketing’ giving businesses the ability to keep advertising specific products or services to a customer long after they have visited your site.

This is a powerful marketing opportunity as it enables you to stay top of mind and engaged with your prospective customer while they conduct their research, with tailored promotions based on what they’ve viewed on your site. The conversion rates have been demonstrated to be as high as 4 times a regular display advert meaning your chances of making a sale are significantly higher when you present a remarketing advertisement to a customer.

Something new represents optimism for the future and remarketing enables your business to harness future opportunities online.

Something Borrowed - Search Marketing Google Search marketing using Adwords is one of the most popular online channels and for good reason. Adwords offers a pay per click option enabling businesses to ‘bid’ for position at the top of Google and only pay when someone clicks on the ad. Given the dominance of Google Searches, this enables some businesses to generate significant income from this channel. With the popularity comes a downside as the model also consists of bidding for keywords which customers type in when searching for products and services. With more and more businesses switching on Adwords, the bidding price has increased significantly, in some cases by a factor of 10, leading to serious challenges with getting a decent return on investment.

Borrowing the advice of the great Kevin Roberts in his book Lovemarks, often it pays to go in a different direction to your competitors or ‘zig’ when others ‘zag’. While Google is the dominant Search Engine in the market with over 90% market share, there is another option provided by secondary players including Microsoft’s Bing network. While less than 10% of traffic uses the Bing network in New Zealand, the costs of this channel are significantly less - often less than 10% of the bid costs of Google Search. While I wouldn’t advocate moving entirely away from Google Search it could pay to introduce Bing Advertising to your online strategy.

Something borrowed represents borrowed happiness – and business owners will certainly be happy about paying less than a 10th of the price for each website visit.

Something Blue - Facebook Marketing With just over 50% of New Zealanders using Facebook it’s probably a wise move to consider this channel for your business advertising. As a user you may have noticed a growing trend of ‘sponsored’ stories appearing in your newsfeed. This is no accident as savvy business owners are

“

T here is always opportunity to take advantage of change to drive your business forward

using Facebook features such as ‘boost post’ to get their messages distributed to the Facebook community.

These posts come up in newsfeeds rather than the small adverts which feature down the side of the page.

If you have a business Facebook page you may be very interested in the marketing leverage provided by your fan base. I call this opportunity the ‘Facebook Reach Multiplier’ where you can multiply your fan base by a multiplier to get your total reach to fans, their friends and family. If your fan base is in its infancy and numbering around 100 likes you should, through the connections to their friends and family, have a total reach of around 100 times that number, or approximately 10,000 people.

While Facebook charge for the ‘boost post’ option, the cost to reach 10,000 friends and family from around 100 existing fans is going to be less than $50. If your fans are a good representation of your customer base then there is a good chance their friends and family provide a good correlation in buying behaviour. So next time you’re thinking about promoting your business try out the Boost Post option and watch how many thousands of people you can reach for very little cost.

Full Circle Marketing This year, more than ever, business success is being attributed to the use of multi-channel marketing, both on and offline.

Traditional post results in more open rates which can then drive more interest to your business’ online web presence. New solutions such as remarketing enable businesses to remain visible to their prospects from initial interest through until purchase. Going against popular trends creates cost effective opportunities and leveraging your Business Facebook Page helps build your profile.

While the online marketplace is constantly changing there’s always opportunity to take advantage of change to drive your business forward.

Stephen Beath is an award winning Ecommerce consultant and founder of online marketing agency Onmark. You can drop Stephen an email at Stephen@onmark.co.nz or find him on LinkedIn http://nz.linkedin.com/in/stephenbeath

15

E cos y ste m

The

ICEHOUSE

T

he Icehouse is a Business Growth Hub in Auckland.

advisors, customers, suppliers, co-founders and investors)

Named one of the top 10 technology incubators in the

4. A highly energetic and supportive environment to keep things going in tough times and celebrate the good times

world by Forbes magazine, The Icehouse helps Kiwis

start and grow businesses by providing expertise, networks and access to funding.

The ICEHOUSE was established in 2001 in recognition of the importance of SMEs to the New Zealand economy. Since then, the team has worked with more than 4,000 businesses, from start-ups, to established multi-million dollar companies.

The Icehouse offers programmes, coaching and mentoring for entrepreneurs in start-ups and established businesses.

Through the ICE Angles investment network the Icehouse connects start-ups into the investor community in NZ and internationally.

The Icehouse is also a powerhouse committed to changing the entrepreneurial landscape in New Zealand to create an environment that inspires, supports and celebrates business growth.

What services do you provide to early stage businesses?

The Icehouse offers early stage business five key things:

5. A customised approach tailored to the needs of each individual person/team and business we work with.

Whether you’ve just got a business idea you want to explore or you want to fast-track your start-up, The Icehouse has a programme to suit your needs and goals.

The Icehouse currently offers three core programmes for start-ups: HATCHERY: Learn about the foundations of your business and make sure you’re prepared to tackle the opportunities ahead.

MARKET VALIDATION: Find out if your opportunity has the potential to become a global success before making significant investments INCUBATION: Start building, find a workspace and get cracking on the nitty-gritty of your business.

We also provide start-ups with connections to potential investors through the ICE Angels investor network.

1. Experienced mentors with backgrounds relevant to the start-up

Website: www.theicehouse.co.nz

2. Guidance, support and resources to help validate markets, define and develop products, secure the crucial first customers, develop funding strategies and more

Twitter: www.twitter.com/the_icehouse

3. Access to a vast NZ and international network (potential

Facebook: www.facebook.com/TheIcehouseNZ Email: startup@theicehouse.co.nz Phone: 09 308 6230

Start-Up Flash - news, events, tips, resources & stories for Kiwi start-ups Start-up Flash is a monthly email update for kiwi entrepreneurs and their supporters brought to you by The Icehouse.

The goal of Start-up Flash is to provide valuable information, tips and resources to Kiwi entrepreneurs and those who are considering starting their own business. Each month we share relevant news, events and useful resources and get start-up experts to share tips and tricks. Start-Up Flash aims to really engage and connect the start-up community in New Zealand by providing the opportunity to share information with each other including job listings, new product/service announcement, events and introductions to new start-ups.

Check out past editions of Start-up Flash here: www.theicehouse.co.nz/start-up-flash

16

case study: stray

“I’ve forgotten about reliability issues because there are none.”

Brett Hudson Operations Manager, Stray

Stray

Stray Limited is an adventure bus company taking travellers to out-ofthe-way places around New Zealand. We caught up with Operations Manager, Brett Hudson to talk about 2degrees and their business.

Adventure Travel 50 staff 41 mobiles Around NZ Joined 2012

Why does stray need mobiles?

Our tagline is “off the beaten track” so we’re not staying at your main destinations. We’re getting out there to the extremities of New Zealand and our sole way of being in contact with our drivers is through phone communications. We have changes happening all the time and we need to be able to contact our team in real-time.

What Was your old provider like?

There were large phone bills and if we had a problem like a phone outage it seemed they were either busy or they weren’t organised, and couldn’t get back to us. It was very frustrating and it became a constant problem within the business.

and What impact is 2degrees having?

It saved us $60,000 in the first year. In the second year, it’s going to save us that again. All this will go back into marketing campaigns or growing other parts of the business. The other impact is having an Account Manager I can get hold of to get solutions to my problems when I need them.

What difference do mobile devices make?

Our drivers are now able to use their smartphones and other mobile devices to show videos, photos and information about other tour packages and options available, like our operations in Thailand, Laos, Cambodia and Vietnam. We couldn’t do that before and it has made a huge difference. Of course, they’ve now got email and internet access too.

“You need damn good partners for successful business, and 2degrees I put in that category.“ Brett Hudson, Operations Manager

hoW is the coverage?

The coverage is fantastic. Regularly, I’m on road trips across New Zealand and off the beaten track and haven’t experienced issues with coverage. With our old provider there were a lot of black spots around Auckland and I don’t get those with 2degrees. And the bus drivers could be at Cape Reinga, they could be at Stewart Island, they could be down the West Coast; so in all sorts of different coverage areas and 2degrees works well for us.

3 x $89 plan

37 x $49 plan

1 x $149 plan

hoW reliable is the netWork?

Since I’ve been with 2degrees I’ve forgotten about reliability issues because there are none. Previously I regularly had issues.

I would be on the internet and it would drop out and when I sampled a 2degrees SIM card in there, I was amazed at the speed, how much quicker it was. I would regularly be on the phone with the last network and it would just drop a call. I don’t get that any more. As I said, the word reliability has disappeared from my vocabulary because it is so reliable.

For video case studies about Stray and other businesses who have made the move to 2degrees Business, please visit 2degreesmobile.co.nz/business

better 0800 022 BIZ (249)

2degreesmobile.co.nz

businesscare@2degreesmobile.co.nz

BUSINESS

17

E cos y ste m

“

SwipedOn Tell us about your business, what is it that you do?

SwipedOn is an iPad app which was created to solve one simple problem, would you know who is on the premises in the event of an emergency? SwipedOn achieves this by allowing employees and visitors to intuitively register attendance on the device. In an emergency, the emergency warden simply picks up the iPad to check everybody off accurately. SwipedOn is replacing the old office in/out board and visitor book with a modern, attractive solution.

There are a number of industries where accurate attendance/ evacuation management is a regulatory requirement. The app aids in health and safety compliance and as each movement is logged, streamlines the payroll process. Employees may even leave statuses for all to see, which assists in workplace communication. SwipedOn is currently used in a large range of industries - Offices, Warehouses, Retail, Construction, Superyachts, Boarding Schools, Military to name a few - and the list is growing weekly. Just recently SwipedOn has been announced as a finalist in not only one but three categories of the NZ Innovators Awards which is another great achievement.

What have you found to be the most challenging aspect of building your business so far?

The power of the App Store has been absolutely phenomenal and indeed surprising. We had a few industries in mind where it may apply, but never envisaged the range that have presented themselves to us. The largest challenge has been managing the feedback across these varied industries.

It has been a struggle to apply new features which appeal

18

Hadleigh Ford from SwipedOn

across the board. A Retirement Village has distinctly different needs to a 100m Superyacht. Although the core product provides the bulk of functionality, each vertical has its specific requirements and desired tweaks.

We have been very mindful not to pigeonhole the project by over targeting a specific niche’. We are currently developing exciting product augmentations being released in the next couple of months. These solutions will allow us to tick all of the compliance boxes in specific, scalable and targeted industries.

“ Residents relax in the ecentre kitchen

How did you get involved with The ICEHOUSE and how have they helped you and your business?

I had read about The Icehouse in the past and had always followed from the sidelines. I was just having lunch, when a friend mentioned The Icehouse was nearby. I popped up to enquire about the process and managed to speak with the right people right off the bat. For the record, I think they prefer a phone call or email first!

As the app was already live with paying clients, I started in the latter ‘Incubation’ phase. The Icehouse Incubation Programme firstly assisted in putting everything ‘in my head’ in an organised format on paper, which really helped establish where I was and where I wanted to be. The process certainly helped to refine overall strategy, establish market sizes and determine the ‘lowest hanging fruit’.

When early external interest and initial investment occurred, The Icehouse managed to assist in the decision making and due diligence process. They have a wealth of knowledge and staff that specialise in this area. I never really feel ‘lost at sea’ during the whole process.

What are the best things about working a t T h e I C E H O U S E ? There are a number of great things about working at The Icehouse. It is an inspirational workplace - with other exciting start-ups and positive, likeminded entrepreneurs to bounce ideas off. It is not just about sharing a working space, it’s also about sharing knowledge, achievements and inspiration.

The events that are constantly held at The Icehouse were invaluable. Business executives, entrepreneurs and university graduates all networking together. I also enjoyed being pushed outside my comfort zone at times, be it pitching or presenting, which was all done in a friendly and supportive environment.

The business may have arrived where it is today by accident, but The Icehouse really did help accelerate growth and direction. They also gave me the tools to apply ‘back in the real world’, post Icehouse. Once you have ‘graduated’ from The Icehouse, they have a vested interest in your performance. So it really is an ongoing relationship which helps maintain your businesses momentum.

Would you recommend other people to work with The ICEHOUSE? The Icehouse has a lot to offer start-ups and established businesses. It is not something I would suggest you go blindly into. I had the benefit of speaking to a mutual friend who went through the entire process, from idea to investment.

This was a dream result for him and he correctly stated that you only get back what you put into it. It is not uncommon for pot noodles or pizza to make a late night appearance at The Icehouse!

It is absolutely worth self-evaluating before approaching The Icehouse. It’s helpful to identify key areas where you or your team needs assistance. Be it help getting an idea off the ground or accelerating your current business growth. This will give them a good platform to work from and I have little doubt they will strengthen other areas too.

The team is also not afraid to say if your idea faces an uphill battle to get to market and provide level-headed advice. Often people talk to friends and family about new ideas, who are inherently supportive - this may end up costing a lot of time, effort and undue expense in the long run. Of course, we all hope this isn’t the case and we come out of these experiences with world beating, dynamic Kiwi businesses. The Icehouse has championed this for the last decade and it’s something I’m confident they’ll continue to set the benchmark on.

Find out more at www.swipedon.com

19

T o m o r r o w ’ s E nt r e p r ene u r s

Young Enterprise Terry Shubkin, CEO Young Enterprise Trust

T

his is a wonderful time of year for students taking part in Young Enterprise programmes, because it’s when they get to bring their projects to life. Our

Community Enterprise Programme sees Year 10 and 11 students form a team and pair up with a local charity to identify a problem. The students then brainstorm ways to solve that problem for the charity, and many then fundraise or work with local suppliers to make the project happen. It’s a great way for students to learn about the role that not-for-profit organisations play in our society.

Many students then go on to take part in our longestrunning programme, The Lion Foundation Young Enterprise Scheme. This is a year-long programme where students form a small business and create a new product

or service. We have seen more than 500 YES companies created this year, and each one has been challenged to make, market and sell a new product or service.

These students are learning skills that will last and equip them for the rest of their lives. Authentic learning, or ‘learning by doing’, gives YES students the chance to work with real suppliers and real customers. Of course, they don’t get to work on this business fulltime – they are managing the business alongside their other school subjects, homework, extracurricular activities and family responsibilities.

How have they performed under such intense pressure?

Incredibly well – check out some of the results in the story below.

Students Bring Ideas To Life

T

housands of students across the country have been hard at work this year in The Lion Foundation Young Enterprise Scheme. The programme has seen

over 500 new products or services brought to the market.

Gas Guardians is a team of three students from St Oran’s College in Wellington. The students have created colour-coded tags that fit around the fuel intake of cars to show whether diesel, 91 or 95-octane petrol should be used. The company researched materials and suppliers,

20

deliberately chose a New Zealand manufacturer and had the tags made from fuel- resistant nitrile rubber.

The tags are being tested by Thrifty Rentals and if successful, will be rolled out across the entire fleet of rental vehicles. While mixing 91-octane and 95-octane fuel won’t create a problem, Thrifty Rentals has seen a customer cause $13,000 of damage to a car by mixing diesel with petrol.

2

21

Food products are always a popular option for Young Enterprise companies and this year has seen a fantastic range of products produced. In the Bay of Plenty, Otumoetai College students have created a product called the #Nombar. The 35g bar is filled with locally-grown macadamia nuts, rewarewa honey, Heilala vanilla and kiwifruit, and is being sold at Nosh food stores as well as at local markets.

Young Enterprise CEO Terry Shubkin says students across the country came up with amazing ideas early in the year, but their ultimate challenge was to make their idea a reality. “These students have had to learn about prototypes and intellectual property; they have worked with designers, suppliers, wholesalers and retailers; and have seen their idea go from being words on a page to a real product generating an income. It’s a huge and steep learning curve to cover in just a few months.”

“

Its a huge and steep learning cur ve to cover in just a few months

Young Enterprise Trust is dedicated to growing a more prosperous New Zealand through enterprise.

Our aim is to ensure all New Zealand students participate in experiential enterprise education and financial literacy programmes. Young Enterprise also runs the Fairfax Media NZ Business Hall of Fame, which recognises New Zealanders who have made outstanding contributions to business and the community.

Support Young Enterprise Trust at Give A Little

T SAEKCI NTGI OT H NE P L U N G E

Profile:

logajob

Tonya Callebaut Profile by Nick Harley Each month, we talk to up and coming New Zealand entrepreneurs who have set about turning their idea into a real business. Here we speak with Tonya Callebaut about her company - logajob.

22

Briefly tell us about your business?

What is the big goal for your business?

I came up with the idea because I was mad enough to tackle a renovation project whilst I had young children.

The logistics of contacting tradies, which tradies to trust, waiting for their quotes, chasing them up, getting in touch with them when it was convenient for me, being able to take their phone calls when it was convenient for them etc. etc. So, Logajob is an online platform that brings together the homeowner and service provider to a more transparent place. No longer do you need to just ring the tradesperson with the largest Yellow Pages ad - Logajob is a Yellow Pages with personality - you’re able to research and review interested tradespeople. We are making a traditional process carried out within traditional business hours accessible to people 24/7 - pioneering new business hours.

The big goal is for Logajob to become a nationwide household name. It truly serves a purpose of saving you time, money and a lot of frustration so I want people to know about it and I want people to genuinely benefit from the service we have worked tirelessly to create. It is a business that is then easily ‘exported’ to other areas and we would look at expanding our Kiwi brand further afield starting with Australia.

What inspired you to take the plunge?

I have always had an element of ‘entrepreneurial’ blood in me. I worked in stock broking for many years and whilst I enjoyed what I did, it certainly wasn’t my passion. When

I began thinking about building Logajob, the thought of building, bringing together, creating something, helping people, adding real value, just excites me to such an extent that I realise, as hard as it is, it’s enjoyable for me and this means there’s a passion being fulfilled. I also of course wanted to own my own business so that I had the freedom and flexibility to also be a mom which is equally as important to me. Some things just make you ‘fire on all cylinders’ and being able to build a business that makes a lengthy difficult process achievable in four easy steps is incentive enough to take the plunge.

What have you found to be the most challenging aspect of building your business so far?

The juggling act! I am a mother of two small children and the constant juggle between business hat and mommy hat can take some getting used to. On top of that and because of that, one needs to work many evenings and late hours and this can naturally lead to exhaustion which in turn leads to a grumpy mother and the cycle is quite hard to get on top of. The ‘roller coaster’ ride is another challenging aspect - the highs can be so exhilarating but the lows can feel quite shattering and the energy that’s expended on going through and attempting to stabilize those emotions can be challenging. Building a business in the ‘online’ arena has been extremely challenging for me too having had no previous experience. I like to have full control over things and this is one element where I have to put full trust in my developer - it’s as much about building a successful relationship as it is about building a successful website.

What keeps you going when you feel like giving up?

I can see the big picture very clearly and I won’t rest until others have had a chance to see and experience it. I guess sometimes you just get that feeling that you’ve come too far, invested too much time and energy and the passion carries you. My dad who’s sadly passed away always used to tell me “never throw good money after bad” but I’m fortunate that I’ve been able to ‘trial’ this model along the way and it’s awesome to see that people do see the benefit of a service such as this. I’m a goal orientated person and only feel completely satisfied within myself once my goals are achieved and this is one of those goals - giving up and not succeeding is just not an option.

What advice would you give to any people reading this who are thinking of starting a business?

My main piece of advice is that you can’t start a business expecting it to be easy - it really is hard work and the hours are much longer than if you were being employed by someone else usually because you never really ‘knock off’, you think about it 24/7 so you really have to be prepared for all that time that occupies your head space. This then leads very easily into my next piece of advice which would be that you really need to feel some form of passion for what you are doing in order for it to really succeed. Too many times things will feel too hard but if you are passionate about it, the determination is stronger and the workload feels lighter.

Website: www.logajob.co.nz Facebook: www.facebook.com/logajob

Would like to tell our readers your own story? Get in touch with Nick at nick@nzentrepreneur.co.nz

23

SECTION

Punakaiki Fund T

he Punakaiki Fund is seeking to raise $20 million, with the ability to accept oversubscriptions of up to an additional $30 million, to invest in New Zealand’s

vibrant internet and technology sectors.

Punakaiki Fund intends to invest in early stage and emerging New Zealand internet, technology and design-led growth businesses, generally well before they reach the public markets. The minimum investment for the offer is $2,000, making an investment in Punakaiki Fund accessible to a wide range of New Zealanders.

Lance Wiggs Capital Management (“LWCM”) will manage Punakaiki Fund’s investments. Principals of LWCM, Lance Wiggs and Chris Humphreys, bring extensive experience of founding, investing and advising emerging technology, internet and design-based companies.

“We want Punakaiki Fund to be the investor of choice for founders of the next generation of innovation-led New Zealand companies,” says Lance Wiggs, a director of Punakaiki Fund, an early advisor to Trade Me and an investor in Vend. “We see ourselves as part of the startup and growth stage business community, and we intend to work collaboratively with founders before, during and after investments. We expect to offer very fair and simple investment terms, and, like the greatest investors, are committed to investing for the long term and so are not looking for premature conversations about exit strategies.”

“We are confident in the number and quality of privatelyheld high growth companies in New Zealand. We also see that any well-diversified portfolio should have a mix of asset classes, and believe that Punakaiki Fund is essentially alone in this space for public investors,” said Lance Wiggs. “This is unashamedly a high risk, long term capital return investment category, and we are not offering short term dividend streams. We will aim to focus on investing where we can help founders and management teams steadily build toward the billion dollar businesses that the late Sir Paul Callaghan rightly identified that New Zealand needs.”

“

The economic potential for New Zealand from innovation based growth is exciting

hands-on experience with early stage companies. Lance has been very actively involved as a founder, advisor and investor in the target internet, technology and design-led sectors, and his networks will drive Punakaiki Fund’s early investments.”

Punakaiki Fund has not sought assistance from the Government-backed Venture Investment Fund (NZVIF), with Wiggs adding, “We’ve therefore given ourselves the ability to operate far more effectively and simply, and see this as a strong competitive advantage when it comes to investing in what we think are the best companies.”

The directors note that there is no guarantee that a liquid market will be created through this facility. Potential investors are advised to read the Offer Document carefully before making any investment decision and to consult an authorised financial adviser for investment advice. None of the persons named (nor any other person) guarantees the offer or the shares.

Read more at www.punakaikifund.co.nz

“The economic potential for New Zealand from innovationbased growth is exciting, and Punakaiki Fund aims to help accelerate that growth, and help write a new generation of business success stories”, says Wayne Hudson, one of Punakaiki Fund’s two independent directors.

Sandy Maier, also an independent director says, “Lance Wiggs and Chris Humphreys bring strong financial and business qualifications and experience, but, unusually, also have

24

Lance Wiggs

$89.99

SO YOU THINK YOU’RE AN ENTREPRENEUR?

www.marketshare.co.nz

HERE’S YOUR CHANCE TO PROVE IT TO YOUR FRIENDS

FREE POSTAGE AND HANDLING IN NZ

AVAILABLE AT

AGE 12+ PLAYERS 2-4

CHALLENGE YOUR TEAM IN A GAME OF MARKETSHARE

BUILD THE BIGGEST BUSINESS AND WIN!

Grow your business and win more customers, generate income and build the most profitable company. Strategize to outwit your opponents and dominate the marketplace! Be the first to go international. There’s a lot to learn about business, so why not get started now?

• Learn to Manage Money • Learn to Negotiate • Manage Risk • Develop Strategy • Asset Planning • Develop Arithmetic

WHAT PEOPLE ARE SAYING ABOUT MARKETSHARE...

DEAN PAYN

LLOYD GUTTERIDGE

JORDAN RUSSEL

ANTHONY

ONLINERESULTS.CO.NZ

HEAD OF BUSINESS STUDIES

MYTECH

WHANGAPARAOA COLLEGE

“Market Share is an extremely fun and competitive game that will get the room off their seats with emotions, but at the same time provoke the passion and education required to excel as an entrepreneur in every day real business. I love it!”

“Market Share is a game that teachers can use not just on a Friday afternoon, but as an essential part of the learning process. You really are getting a game that satisfies a number of key areas.”

“I really enjoyed my experience of playing Market Share. It was more than entertainment, I played it with other business owners and professionals and it also helped create great topics of conversation for our specific situations.”

"It brings out the competitive nature in you, you’ve got so much to learn from it, it’s a no brainer, you’d definitely play the game again.”

MARKET SHARE INTERNATIONAL LTD • PO Box 314128, Orewa, Auckland 0946 TEL: (09) 427 0295 or 0800 BIZ GAME (0800 249 426)

www.marketsharegame.co.nz

COPYRIGHT © 2009 - 2012 MARKET SHARE INTERNATIONAL LTD

25

I P / I nno v a tion

Case Study:

EROAD

True - devising solutions to road transportation taxation isn’t the sexiest job around. But it’s an area where one Kiwi start-up is streets ahead and poised to take its technology to the world.

E

ROAD has been hard at work developing systems to help fleet-management businesses handle the costs and complexities of New Zealand’s Road User Charges

(RUC). Under the system, trucks calculate the distance they travel and pay an ongoing licence fee to help fund road maintenance costs.

EROAD’s innovative on-board unit (OBU) technology eliminates the risk of non-compliance or interference with measuring devices, and helps companies better manage their fleet.

An electronic dash-mounted unit replaces the old mechanical axle-mounted device used to monitor wheel rotation and calculate distance travelled. Multiple sensors, including GPS, in the OBU measure and cross-check location for accuracy. The data is then sent via the mobile network to secure websites where firms can monitor their RUC and purchase licences.

Additional tools include electronic log books and digital maps with real-time vehicle information. Companies can also calculate fuel consumption, vehicle emissions and idle/stop time. The results: more efficient dispatching, better route planning, timely maintenance, and improved cash flow.

Following an intensive R&D phase, EROAD’s technology went commercial three years ago and now captures around

26

24 percent of New Zealand’s RUC. Chief technology officer Bruce Wilson says creating a system that was reliable and accurate has been the focus.

“Our goal is to help transport companies manage their fleets and compliance obligations. We developed everything from scratch - all the distance-recorder hardware through to the web-based application. We’ve worked hard to ensure the system is scalable, so we can manage the expected business growth and guarantee availability of the network.”

But it hasn’t been an easy road. Before being able to market its technology and operate commercially here, EROAD had to obtain regulatory approval, have new legislation passed and work closely with the Ministry of Transport and NZTA. The significant time and revenue it invested in that part of the process, not to mention product development, has made it essential to have a robust intellectual property strategy to protect its ideas and systems. Early on, EROAD turned to intellectual property specialists AJ Park for advice.

“What’s unique about EROAD is the fact they even conceived the idea and decided to take on the challenge of turning it into reality,” says AJ Park partner Matt Devine. “They had to identify the problem and then try to solve it, versus the oftenused business model of creating something and taking it to the market.”

Devine says discussions around IP strategy have always been a key component of his work with EROAD. “The team at EROAD are talented, energetic and passionate; and they’re very receptive to our ideas and advice. They’ve built the company from the ground up, and overcome many hurdles - not just the usual ones of needing capital and developing good technology, but they’ve also had to get regulatory approval to replace the existing system with their product. That’s required a lot of belief in their idea.”

EROAD values the outsider’s perspective that AJ Park can offer, says Wilson.

“Startups and small companies need good, cost-effective protection, and AJ Park works with us to achieve that.

Matt has been excellent. He gets what we’re doing, helps us understand theoIP this and can decode the real J inlandscape, risks in protecting or not protecting.”

After securing a patent for its core idea, EROAD needed to look carefully at protecting some of the techniques

related to making its technology secure and tamperproof.

“Our focus wasn’t simply on getting patents but also on advising EROAD on the best way to safeguard their trade secrets,” says Devine. “In terms of their IP strategy, we recommended using New Zealand as the springboard and having a strategy that could be taken to other countries.

It was about working in steps, but with the bigger picture in mind.”

The export opportunities for EROAD are immense.

“This year is about growing our business internationally,” Wilson says. “The rest of the world is crying out for this type of technology. We recently signed up a significant fleet in Australia and we are going commercial in the US later this year.

“The shortfall in funding for road maintenance is a growing problem in the US and in Europe, where they’re looking for innovative technology partners like EROAD to work with.”

Written by Deirdre Coleman, this case study was featured in issue #46 of Idealog.

Photo courtesy of Tony Nyberg.

NZ Entrepreneur Club is a supportive community group for individuals who are currently in the process of building new businesses and startups. We get together on a regular basis, face to face (where possible) to talk about entrepreneurship, business, marketing and success in life. Come along to our next meetup!

Wellington

Palmerston North

Next Event - Monday 14th October - 5:30 PM

Next Event - Saturday 2nd November - 5:00 PM

For more information visit: www.meetup.com/The-Entrepreneur-Club-NZ

For more information visit: www.meetup.com/NZ-Entrepreneur-Club-Palmerston-North

Jono Rowe

Nick Harley

Jono Rowe

If you are interested in helping to organise regional entrepreneur events in your area then please contact Jono or Nick for details.

27

PS E ER C STOI O NN A L T RA I N E R

Entrepreneurial Intelligence with Sandy Geyer How do I relax and stop myself from burning out?

By Sandy Geyer I tend to fall into the trap of working too much on my business and often burn myself out. I can’t seem to switch off from it on the weekends and evenings, and I repeat the burnout cycle over and over again. How can I learn to switch off from work more often and keep a good balance?

I

believe that many entrepreneurs are achievementoriented people, and that therefore we need to relax with success-oriented activities. Assuming that our planning

is in place and that we are following a predetermined road map whilst measuring feedback to signal action adjustment ratios, we do need to find a way to disconnect and rest or we become overwhelmed and unfocused.

There is a saying about how worry doesn’t take the problems out of tomorrow but it does take the energy out of today, and as entrepreneurs our todays are our most valuable and available resource. I found that distraction worked very well to combat the negative drain of worry and constructive distraction worked even better. By constructive distraction I mean an activity that occupies the brain and body, ultimately relating to, and strengthening, the entrepreneurial venture in a positive way.

I envy entrepreneurs who can unwind whilst reading a novel, listening to soft music, and slowing down their pace to contemplate life, the universe, and everything in it—but these type of activities are just too mild to stop the constant riot going on in my head. I would catch myself staring into space with a book in my hand, and after realising on more than one occasion that the book had been upside down for over an hour, I gave up.

It finally dawned on me that I was going to have to find a way to relax that required the same flat-out pace I was comfortable with.

I found that physically demanding sports such as windsurfing released much of my stress in the early days of our business

building whilst simultaneously serving my love of achievement, and that I could involve my family in various sporting activities, too. Instead of stressing during the weekend and arriving back at the office alienated from my family and twice as exhausted, I would arrive back refreshed, my brain fully available, recharged and raring to go. Solutions previously unseen would almost jump out of nowhere as my mind refocused after clearing out the overload. My husband was really supportive of these kinds of activities as he realised after years of saying, “Try and relax” that I could only relax when I really was “trying,” and I have met many other entrepreneurs with this kind of wiring.

Any activity that demands 100% commitment and focused attention is considered “constructive distraction” in my book and is well suited to the high-achieving entrepreneurial mind that often needs a more extreme method of relaxation to facilitate and bring the best thinking to the business. A less physically demanding form of constructive distraction—and well suited to rainy days or injury downtime—would be reading material suited to enhance our thinking processes and knowledge base. These can include any types of self-development books that direct our attention and inspire our thinking.

In each issue Sandy will be answering commonly asked questions from new entrepreneurs.

If you have a question for Sandy to do with entrepreneurship, building successful businesses or the challenges and difficulties faced by entrepreneurs, email the editor at nick@nzentrepreneur.co.nz.

Sandy Geyer is an entrepreneur and mentor and teaches the principles of entrepreneurial intelligence (EnQ), to entrepreneurs in New Zealand, Australia and South Africa. You can visit Sandy’s website at www.enqpractice.com

28

29

“

SECTION

Even if you don’t have the perfect idea to begin with, you can likely adapt.”

Victoria Ransom

30