Small Business Today Magazine- April 2015 by SHARECA VALLAIRE

Business

Publisher’s Column

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APRIL 2015 EDITION HOUSTON

MAGAZINE

Chairman John Cruise President/Executive Publisher Steve Levine Vice President /Associate Publisher/ Creative Director/Editor Barbara Davis-Levine Business Development/PR Aaron Kaplan Shir Maxfield Graphic Designer Lavinia Menchaca Photographers Gwen Juarez Contributing Writers Patty Block Barbara R. Davis Mila Golovine Ruben Gonzalez Bruce Hurta Jeff Jones Bruce Hurta Hank Moore Howard Partridge

Christi Ruiz Rita Santamaria Kim Sawyer Gail Stolzenburg Holly Uverity Jack Warkenthien Heather Green Warner Aimee Woodall

Chief Advisor Hank Moore Publisher’s Advisory Board Shah Ardalan Helen Callier Sonia Clayton Donna Cole John Cruise Dirk Cummins April Day Dr. John Demartini Maya Durnovo Kathie Edwards Mila Golovine Dory Gordon Greg Grant David Holt Richard Huebner Bruce Hurta Jeffrey Jones Darryl King Sandy Lawrence Craig Klein

Wea Lee Hank Moore Lisa M. Morton Mike Muhney Leisa Holland Nelson Tony Noun Mayor Annise Parker Page Parkes Howard Partridge Susan Repka Maria Rios Grant Sadler Rita Santamaria William Sherrill Pam Terry Linda Toyota Jack Warkenthien Carlecia D. Wright Aaron Young

Phone: 832-419-2814 E-Mail: Steve.Levine@SBTMagazine.net Or Write: Small Business Today 5380 West 34th Street, Ste 230 Houston, TX 77092 See us on the web at www.SBTMagazine.net Free APP for Android & iPhone go to your APP Store and type in Small Business Today Magazine

SMALL BUSINESS Today MAGAZINE IS PUBLISHED MONTHLY BY LEGACY PUBLISHING GROUP, LLC. 5380 WEST 34TH ST., STE. 230 HOUSTON, TX 77092 EXECUTIVE PUBLISHER - STEVE LEVINE: 832-419-2814 CHAIRMAN - JOHN CRUISE: 832-460-2020 www.SBTMagazine.net ADVERTISING RATES ON REQUEST. BULK THIRD CLASS MAIL PAID IN TUCSON, AZ. POSTMASTER: PLEASE SEND NOTICES ON FORM 3579 TO 5380 WEST 34TH ST., STE. 230 HOUSTON, TX 77092. ALTHOUGH EVERY PRECAUTION IS TAKEN TO ENSURE ACCURACY OF PUBLISHED MATERIALS, SMALL BUSINESS TODAY MAGAZINE CANNOT BE HELD RESPONSIBLE FOR OPINIONS EXPRESSED OR FACTS SUPPLIED BY ITS AUTHORS. COPYRIGHT 2012, LEGACY PUBLISHING GROUP, LLC. ALL RIGHTS RESERVED. REPRODUCTION IN WHOLE OR IN PART WITHOUT WRITTEN PERMISSION IS PROHIBITED.

The Only Thing Constant is Change

t is the beginning of our 4th year publishing Small Business Today Magazine and just as we have done at the beginning of each anniversary, we like to improve it by updating it and making other changes. Unfortunately, as Barbara can tell you, I am not very good at dealing with change. Case in point: I still use the same “Day Runner” Organizer that I was given as a gift in April 1984. Thank goodness that they still make supplies for this at times outdated day planner! Yes, I use an online Google Calendar as well but prefer the old school, tried and true methods of keeping my appointments. Okay, it has been 31 years on the same program but it works for me. If I had my way, the magazines that Barbara, John, and I publish would never change! But after 35 years in publishing here in Houston, I can tell you that every year or two the look and feel of a magazine needs to change. It needs a fresher, cleaner look and feel to keep up with the preferences of our subscribers. Last April, in our 2nd Anniversary Issue, we changed the look of the Content Page, Publisher’s Column Page, Editorial Pages, and we moved the last two to three pages of the Cover Story from the back of the magazine to continuing right after the first two pages of the Cover Story. We felt that these changes were absolutely necessary based on the feedback of our subscribers and clients. In this, our 3rd Anniversary Issue, we are making our boldest changes yet to our logo, cover layout, and text pages. Some, such as the logo and the cover, you will recognize right away. Others will be a little more subtle. In the months to come, you can expect even more changes. We hope you like them and always appreciate your feedback! Again, I am not good with change but the world is changing and I guess I need to catch up! This month’s cover honoree, Ms. Paula Mendoza of Possible Missions, Inc. also embraces change. A lot of her success can be attributed to her ability to stay on top of her game by means of education. In turn, she inspires, mentors, and educates others to follow her pathway to success. Through Paula’s personal and professional journey, she has shown that it’s possible to accomplish the impossible by focusing on customer service and being passionate about making possibilities a reality for others. Good Reading, Good Sales, & Success to You,

Steve Levine

President/Executive Publisher, Small Business Today Magazine

INSIDE APRIL 2015 EDITION HOUSTON

FEATURES 03 Publisher’s Column

Dressing for Professional Success

Doing Business in Mexico

On the Cover

Paula Mendoza - Possible Missions, Inc.

Making the Impossible Possible through Customer Service

How to Honor the Past and Build Support for the Future

Your Next Step How to Take the CHILL Out of Cold Calls (Part 5)

Getting Organized: 7 Ways to Keep your Car Organized

From Ordinary to Extraordinary

Avoiding the 3 Types of Price Advertising

WBEA 2015 BUSINESS EXPO May 27, 28, 2015 Houston, tx

12 Factors that Kill a Business Acquisition After the Sale – Part 1

When the Small Business Lender Asks About Your Site Selection

5 Reasons to Build a Better Culture

Financial Astrology for April 2015

Proactive Cash Flow Strategies

Recognizing the Value of Celebration

30 Effective Networking Questions

GLOBAL SEVEN 2ND ANNUAL May 8 2015 Houston, tx

COVER STORY

Paula MendozaPossible Missions, Inc.

Making the Impossible Possible through Integrity and Customer Service By Barbara R. Davis and Heather Warner Green

ttaining success as a result of having integrity and a positive attitude may be a concept many people have heard before. However, Paula Mendoza, President and CEO of Possible Missions, Inc., exemplifies these traits in every area of her life. When Possible Missions began in 2001, Paula started out with only $100 in the bank. This year, her company is on track to exceed $10 million in both services and product sales. Through Paula’s personal and professional journey, she has shown that it’s possible to accomplish the impossible by focusing on customer service and being passionate about making possibilities a reality for others. Always appreciative of the tutelage and mentoring she received on her pathway to success, in turn, Paula has become an inspiration and mentor to others, especially Hispanic women.

Aldine area of Houston with her older brother and two younger sisters. Her parents were originally from Mexico and brought her up in a traditional Hispanic culture. She wasn’t allowed to date until her senior year in high school and even then it was very limited. She went to homecoming and then, later, the prom. Both of her parents were entrepreneurs and taught her the values of having a strong work ethic. Her father, Jesse Ruiz, Sr. was skilled in the upholstery craft and worked over 30 years on cars and trucks with his two brothers. They would travel to dealerships in a mobile unit and specialized in upholstering new and used cars. Paula’s mother, Janie Ruiz, was a licensed beautician. She owned and operated her own salon for 20 plus years.

Possible Missions, Inc. is an experienced project management company specializing in Project Management Solutions throughout all industries. With a proven track record of providing its clients managerial, technical, and administrative services, the Possible Missions team uses their strength in organization and structure methodology to strategically plan, execute, and complete projects within budget and on schedule. As a result, much of their work has come through their credibility, the reputation of their company, and word of mouth.

Early on, Paula would help her father with his record keeping. She learned to use spreadsheets to keep track of the bills and revenues. “I always wanted to work,” reflected Paula. Not surprising, Paula’s favorite subject in high school was accounting! Always self-motivated and hard working, Paula fondly remembers her very first job. At barely 15 years old, she worked at Scooby’s Fun Factory in the Greenspoint area. It was there she learned the foundation for crucial business skills including management, scheduling, and finances. She worked many, long hours morning, noon, and night and also double shifts on Saturdays and Sundays.

A native Houstonian, Paula came from humble beginnings growing up in the

After graduating high school, Paula didn’t think she needed to attend college.

6 SMALL BUSINESS TODAY MAGAZINE [ APRIL 2015 ]

She just decided that she was going to get out there and find a job. She explained, “I didn’t think about owning a business; that wasn’t my intent. I just knew I didn’t need to go to college, it wasn’t for me.” Her parents were very supportive of college but at that time, they didn’t know a lot about how to apply for college and look for scholarships. Paula was the first to even think about going. It wasn’t until she went to work in a law firm and saw a lot of the ladies working there who had been there for many, many years doing the same job over and over. That was when Paula had an epiphany and realized that she needed a higher education so she decided to attend North Harris Community College which is now called Lone Star College. Knowing nothing about financial aid (which she probably would have qualified for), Paula was fortunate that her parents assisted by paying her tuition and books the first couple of years During this time, a few years after graduating high school, Paula had a best friend who was a guy. He would always come over to the house and her mom allowed her to go out dancing with him as long as she was home by twelve. She never drank but she loved to dance. She would dance with anybody who would ask her from the moment she got there until she had to leave. Meanwhile, her friend would do his own thing. One night when she went out to a club, she was waiting to meet a friend there and walked by a guy who she had never met

before. He said something to her and that was it. They danced all evening and when Paula went home she told her mom that she had found the guy she was going to marry! After dating for nearly three years, Paula and that guy, Robert “Bobby” Mendoza, were married and this year they will be celebrating 27 years of marriage!!! When Paula and Bobby married, she had an instant family because Bobby had been married before and had a sixteen year old son, Robert, Jr. In addition, Paula was like a second mother to her youngest sister who was born when Paula was 20. She was very much of a pleasant surprise to Paula’s parents because they were in their 40s when she was born. Paula was delighted to be caring for her lovable baby sister who was three when Paula married Bobby. Her parents thought they were well past having babies so they were very pleased whenever Paula wanted to take care of her sister. Even though Paula wasn’t blessed to personally have children, she is quick to point out that all along she has had children and honestly feels that she couldn’t have had better ones. Paula refers to Robert, Jr. as her son and helped raise him until he left to attend college. “My son is great! We’re helping to raise our goddaughter, Natalie, right now who’s twelve and she has my husband’s and my heart,” said Paula proudly. Choosing to take the slow route, Paula wanted to work and make her own money. She started taking classes to get a legal secretary certification that was supposed to take one year; it took Paula two years. Then she decided to get an Associate’s Degree that was supposed to be completed in two years; it took her three years. All the while, she continued working because her mother had brought her up to be a very independent, strong woman. Her mother would tell her, “I want you to have a good, healthy, strong marriage but I want you to be able to take care of yourself as well.”

Paula was extremely honored to have been appointed by Texas Governor Rick Perry to serve as a member of the University of Houston System Board of Regents. Photo by Gwen Juarez Photography

COVER STORY

Meet the Possible Mission Team! They are what the company is made of. Shown from left to right are Jessica Alvarez, Sylvia Perez, Paula, Jason Jarry, and Arica Monterrey. Photo by Gwen Juarez

Paula and Bobby also supported his son through college. They were so proud when he graduated twelfth in his class at Reagan High School in the Heights. On top of that, he was able to get scholarships on his own. The funny thing is that as Paula continued her higher education after deciding that getting an Associate’s Degree was not enough, she began taking classes at the University of Houston Downtown where Bobby’s son was also taking classes!

learning about billable hours and what it took to run a business. In addition, she started attending a lot of networking events. As a result, she encountered other minority women through the different Chambers of Commerce and also began volunteering for them. She soon discovered that her social skills were also a great asset. “Actually”, remarked Paula, “I don’t think you get anywhere without mentors and without helping others.”

Fascinated with the criminal justice system, Paula worked hard to earn a degree in Criminal Justice. Accomplishing this was quite a feat because she did not feel confidant in the areas of mathematics and science. During this time, she participated with the anti-gang task force, volunteering and counseling in the juvenile justice system because she had wanted to become a Probation Officer. She also had thought about attending law school but talked herself out of the idea with thoughts many women struggle with, “I’m already married and working. Law school is expensive and I’m too old and not smart enough.” With remorse, Paula remarked, “I talked myself out of law school and now I could kick myself for it. It’s still on my bucket list.”

Soon after, Paula met Diva Garza who became one of her mentors. With great admiration and appreciation, Paula stated, “Diva leads by example”. Struggling through many trials, Diva became a strong business woman who eventually grew to be a self-made millionaire when she retired after selling her staffing company to Staffmark Staffing Company.” Diva was asked to become a consultant to Staffmark and one of the conditions Diva gave when she was asked to stay on was that Paula be hired for the position of National Director for Supplier Diversity. This positioned Paula to be in line for great success! Staffmark was, and still is, a well-established national company throughout the United States.

Paula’s desire to work full time led her in a different direction as she headed towards the administrative side of public relations and marketing. Once again returning to the business world, Paula worked her way up through several small companies,

It was during this time that Paula became involved with MWBE (Minority Women Business Enterprise). Most of the business involving Staffmark entailed vendors who were a part of this organization that included minorities, women, veter-

8 SMALL BUSINESS TODAY MAGAZINE [ APRIL 2015 ]

ans, and federally certified companies, etc. “I would go all over the United States working with their regional offices,” said Paula. “I was visiting with small businesses throughout the U.S. and working to establish partnerships between them and Staffmark. Unfortunately, it wasn’t happening and my reputation was on the line.” Even though it seemed like a beautiful opportunity and she was making pretty good money, Paula thought to herself, “I’m not doing anything; I’m not accomplishing anything. When I look at these small businesses, I’m not giving them anything that they need and I’m wasting their time.” So Paula said to her husband, Bobby, “I think I can do this on my own.” She gave herself six months and told her parents she was quitting her secure job at Staffmark to start her own business which was going to be an expensive and risky endeavor. In spite of their apprehensions, her entire family gave their blessings and support. Even when Paula decided she would leave the company, her integrity and positive attitude followed her when she gave her employer notice. To her surprise, he offered her 30 days with salary to continue working while starting up her own business! This gave Paula the time and confidence to get contracts lined up before going out on her own. Once again, Paula was blessed to have help from her mentors and supporters.

After the first six months on her own passed, Paula and her family were delighted that Possible Missions was doing so well. Paula’s strong passion along with her belief in being honest and always doing quality work has helped her in building an outstanding reputation. Much of her business has come from colleagues and by word of mouth. “Quality and customer service is the key,” explained Paula. “That’s our motto. If you don’t have quality work, you’re not going to get those word of mouth recommendations and you’re not going to get asked back.” Another motto Paula lives by is from a saying she heard along the lines of, “Not all work is good work.” In other words, taking on every job for the sake of having more money and business does not equate to quality business. Paula firmly stated, “Sometimes, as entrepreneurs, we think we need to take everything that comes our way no matter how much it pays! I don’t fault anybody for that because I am guilty of doing it, too. However, you start establishing a pattern with good clients who pay well and good quality work that you can then sell again tomorrow.”

Paula has received much recognition for her work and her community involvement. Nominated by Karen Gross of the U.T.M.B., Paula was recognized in 2014 by the United States Small Business Administration in the “Subcontractor of the Year” category. Photo by Gwen Juarez.

Paula explained what certifications she has taken to assure the quality of her company, “We’re in the service industry; we’re a project solutions firm. We will bid on any project that has a start and an end date. We’re ISO certified so that means our processes and our procedures are the same for every project.” In addition to Diva, there are two other important mentors in Paula’s life that she gives credit for her ongoing success. One is Massey Villarreal, a successful businessman who helps steer her in the right direction regarding what she refers to as the political front dealing with small business, minority business, and immigration issues. The other mentor who Paula has such a regard for is Richard Huebner, President of the Houston Minority Supplier Development Council (HMSDC). “I call him Mr. H.,” noted Paula. “I got to know Mr. H. and had done a lot of volunteer work with him. He was one of the first people I approached and he said he wanted to be one of my first clients.”

At that time, HMSDC, an organization whose mission is to increase and expand business opportunities and growth for Minority Business Enterprise, had a small contract that was getting federally subsidized. Mr. Huebner felt Paula would be a perfect fit and provided her an office space to run her business. “I absolutely love that man to this day,” said Paula adoringly. “He has served as a corporate role model for me and taught me that just because we are a minority business that doesn’t mean we get a smaller piece of the pie. We always strive to do quality work but HMSDC steers us in the right direction.” Paula is continually giving back to the community so much that it would take days to list everything! Many of them involve education including the Association for the Advancement of Mexican Americans (AAMA) and the Sanchez Charter School that has had great success in their students graduating from high school. As part of AAMA, the organization’s goal is to inspire and empower at-risk Lati[ APRIL 2015 ] WWW.SBTMAGAZINE.NET 9

COVER STORY

Photo by Gwen Juarez.

nos to pursue their potential and achieve success. Now serving on the Board of Directors of the Houston Minority Supplier Development Council, Paula has come full circle with them! She also has served on the Board of the Houston Hispanic Chamber of Commerce. Paula feels very honored, blessed, and humbled to have been appointed by Governor Perry and Lt. Governor Dewhurst to serve on the CPA Board at a state level on the Texas Ethics Commission for six years and again appointed by Governor Perry to serve on the UH Board of Regents. As the first in her family to graduate college and become an outstanding entrepreneur, Paula’s mission is to help more Latinas in business. She explained, “I think a lot of us have learned the hard way but I have been fortunate to have so many role models along the way including my mom, Lolita Guerrero, Yolanda Navarro Black, and Gracie Saenz. I’m also so blessed to have the ongoing support and encouragement from my parents and husband, Bobby who has been by my side through all my endeavors.” Paula continues to succeed in business while keeping her desire to help others a priority. Her integrity and actions demonstrate how it’s possible to accomplish the impossible by focusing on customer service and being passionate about making possibilities a reality for others. Most of all, Paula is truly making a difference as a role model and mentor to so many. SBT

Paula’s Best Words of Advice 1. Be financially prepared. That doesn’t mean you need to have $100,000 in the bank; just prepare yourself for not getting a paycheck the first year. 2. Don’t expect work to fall in your lap. Business development is very difficult. You’re going to have to work hard to earn your work, the projects, or whatever you do. 3. Believe in yourself and think positive. If you have a mission, go for it. 4. Don’t overcommit yourself. Don’t take everything that comes along. It’s difficult to do but choose as wisely as you can. 5. Be firm with your clients about your pricing. Don’t give your business away. 6. Education is always the key. Learn a little about everything. Whether it’s QuickBooks, contract law, HR, or reading Small Business Today Magazine, continue to educate yourself. 7. Take time to care for your physical well-being like jogging or walking. It can help clear your mind. 8. Make sure to schedule time with your family. 9. Take vacations even if they are short getaways or long weekends. Put your phone away when you do. 10. It is very important to dress professionally, especially if you are a woman. As women, we are held to a much higher standard. 11. Make sure that your presentations are done professionally, too. Proof once and then again. 12. It’s important to treat your employees like family. Be flexible if they need to take time off early for a sick child or to attend a child’s event. If you can, give quarterly and annual bonuses that are based on customer satisfaction.

10 SMALL BUSINESS TODAY MAGAZINE [ APRIL 2015 ]

THANK YOU! Thank you to all of our clients and friends who attended the March 2015 Magazine Launch for IMPACT STONE DESIGN, INC.

For more information on how YOU can be part of our Launch Events and other monthly events, Please call Executive Publisher

Steve Levine at 832-419-2814.

EDITORIAL FEATURE

Dressing for Professional Success By Rita Santamaria

hat is considered to be appropriate professional attire in this global melting pot we live in? We need to remember, â&#x20AC;&#x153;When in Rome, do as the Romans doâ&#x20AC;?. That being said, the information below is with the understanding that this article is directed to those who reside in the United States of America. Therefore, my suggestions on professional dress would be for the office personnel in the United States of America. Many companies are requesting an informative and direct approach to employee dress. It has changed consider-

That being said, the information below is with the understanding that this article is directed to those who reside in the United States of America. ably over the years as our society has become more and more casual. Even while attending our churches and synagogues, the dress has taken more of a weekend, relaxed style. When your job is in sales and you are selling to the public, there are some guidelines that allow you to look professional while not overdressing for the

climate or client. Golf or collared shirts are good choices for men during the day. Loud prints or overly baggy shirts or pants are not good choices. Dress slacks that are not made of denim are the best daytime selection for men. Never wear a cap of any type while involved in your workaday world. Even if selling country property, leave the cap at home. If you are selling in the farm and ranch market, then wearing a hat, boots, and denim jeans are always appropriate.

ÂťContinued From Page 35

EDITORIAL FEATURE

Doing Business in

Mexico

By Ludmila (Mila) Rusakova Golovine

merican businesspeople looking to engage in international business ventures, one country stands out among all others - Mexico. First, the United States shares its entire southern border with the country. Second, there is already a longstanding history of business cooperation between our two countries. Last but not least, Mexico has the thirteenth largest economy in the world and it is only growing. All of these factors make Mexico an extremely attractive place to do business. Nevertheless, just because we are so close does not mean business etiquette is the same. There are subtle differences in Mexican culture that must be learned and adapted so that your business venture will be accomplished successfully.

ly formal meetings, so please keep this in mind. For women, dark business suits or dresses are preferable. If the meeting is taking place in a more tropical area, more casual dress is allowed such as pants and a light shirt. Regardless of the situation, you should try to look as formal as possible just to be on the safe side.

Upon meeting your Mexican counterpart, it is customary to shake hands. If the relationship has already developed between businesspeople, it is not uncommon for a woman to give a small kiss on the cheek or for men to give each other a short hug. Bear in mind that there is more physical contact in Mexican business culture. It is not at all uncommon for a Mexican businessman to touch his counterpart’s shoulder or hold him by The first issue is the concept of time. the arm. This is a friendly gesture. Any Quite simply, it is not viewed the same recoil will be taken as an insult and can way in Mexico as it is in the United harm the business relationship, so please States. Americans typically think of time adapt accordingly. as money but this not how it is considered in Mexico. Most Mexicans prefer to Your way of addressing your Mexican take their time believing that you work counterpart is also important. In Mexiin order to live and not vice versa. Punc- co, people usually have three names: the tuality is fairly lax. Do not be insulted if first name, the father’s last name, and your Mexican counterpart is a half hour the mother’s last name. As a rule, you late. This is a standard business prac- should address someone by the father’s tice. Nevertheless, you should always be last name with the appropriate title, such punctual to meetings. It is advisable to as in the case that the person is a docjust take this cultural difference in stride tor. It is incorrect to use the mother’s and accept it as part of doing business. last name. Typically American businesspeople will switch to first names very Your appearance is also important. For quickly upon the initial meeting. This is all meetings, you should dress accord- not done in Mexico where it takes longer ingly. Mexican businesspeople tend to for businesspeople to become comfortdress formally, especially in large cities able with one another. Wait until your like Mexico City and Monterrey. For men, Mexican counterparts give you leave to dark suits and ties are appropriate. Shirts address them by the first name. In this should be either white or blue. White way, there will be no ambiguity and reshirts are deemed necessary for extreme- spect will always be maintained. 14 SMALL BUSINESS TODAY MAGAZINE [ APRIL 2015 ]

Despite the cultural differences, Mexico is still a wonderful place to do business. The Mexican people are welcoming and enthusiastic to work with us. With just a little research, cultural sensitivity training, and patience, you can definitely prosper in the Mexican business world. As with all cultures, Mexican speech has certain specifics of which you should be aware. When speaking English, very often they will end a statement with “no.” Usually in English, this indicates that a question is being posed. This is not the case. Consequently, you will have to be very attentive and derive the meaning from the context of the sentence. Moreover, Mexicans can be quite humble and actually degrade themselves in statements. For example, they will usually say something negative either about their appearance, city, country, etc. Your polite response to this should always be a positive disagreement stating that the subject is actually quite nice. Body language is crucial when dealing with Mexicans. You must pay attention to it when negotiating because very often spoken language does not convey the actual meaning. For example, Mexicans sometimes say “no” meaning “maybe” and “yes” sometimes meaning “no.” This situation has to do with both politeness and negotiation tactics. The only way to discern the actual meaning is to observe how the person says the answer. The natural facial expression should be a good indicator.

»Continued From Page 35

EDITORIAL FEATURE

How to Honor the Past and Build

Support for the Future By Hank Moore, Corporate Strategist™

The Disney Corporation took advantage of an opportunity that would offer great marketing and positioning opportunities when they celebrated Walt Disney’s 100th birthday in 2001. Great organizations work tirelessly to celebrate and involve their customers.

great way to honor the past and build support for the future is by celebrating milestones such as anniversaries. This way, organizations can reflect on their heritage and accomplishments and in doing so, they are able to build and widen stakeholder bases and enable growth in the future. Companies that take the time to mount anniversary celebrations can have phenomenal results. One of these companies that I advised for was Uniroyal Tire Company. They wanted to sponsor a 40th anniversary in 1979 for Little League Baseball. My research revealed that their company had in fact been their first corporate sponsor when they were U.S. Rubber. A lot of people were not aware of their contribution including the younger generations of management, so this was a great opportunity for them to draw attention to their company and gain new clients. The Disney Corporation took advantage of an opportunity that would offer great marketing and positioning opportunities when they celebrated Walt Disney’s 100th birthday in 2001. Great organizations work tirelessly to celebrate and involve their customers. Some recent celebrations that drew acclaim and participation include Rice University’s 100th Anniversary Celebration in 2012, Star Furniture’s 100th Anniversary Celebration 2012, Houston Symphony Orchestra’s100th Anniversary Celebration in 2013, and the Port of Houston’s 100th Anniversary Celebration, 100th in 2014.

There are seven kinds of anniversary reunions:

1. Pleasurable which includes seeing an old friend who has either done well, moved in a new direction, and is genuinely happy to see you too. These include chance meetings, reasons to reconnect and a concerted effort by one party to stay in the loop. 16 SMALL BUSINESS TODAY MAGAZINE [ APRIL 2015 ]

2. Painful. Talking to someone who has not moved forward. It’s like the conversation you had with them 15 years ago simply resumed. They talk only about past matters and don’t want to hear what you’re doing now. These include people with whom you once worked, old romances, former neighbors and networkers who keep turning up like bad pennies and colleagues from another day and time. 3. Mandated. Meetings, receptions, etc. Sometimes, they’re pleasurable, such as retirement parties, open houses, community service functions. Other times, they’re painful, such as funerals or attending a bankruptcy creditors’ meeting. 4. Instructional. See what has progressed and who have changed. Hear the success stories. High school reunions fit into this category, their value depending upon the mindset you take with you to the occasion. 5. Reflect Upon the Past. Reconnecting with old friends, former colleagues and citizens for whom you have great respect. This is an excellent way to share each other’s progress and give understanding for courses of choice. 6. Benchmarking. Good opportunities to compare successes, case studies, methodologies, learning curves and insights. When “the best” connects with “the best,” this is highly energizing. 7. Goal Inspiring. The synergy of your present and theirs inspires the future. Good thinkers are rare. Stay in contact with those whom you know, admire and respect. It will benefit all involved.

Ways to Learn from the Past: • Re-reading, reviewing, and finding new nuggets in old files. • Applying pop culture to today. • Review case studies and their patterns for repeating themselves. • Discern the differences between trends and fads. • Learn from successes and from failures. • Transition your focus from information to knowledge. • Apply thinking processes to be truly innovative. When we see how far we have come, it gives us further direction for the future. Ideas make the future happen. Technology is but one tool of the trade. Futurism is about people, ideas, and societal evolution. It is not about fads and gimmicks. The marketplace tells us what they want as long as we listen carefully. We also have an obligation to give them what they need.

When one reflects on changes, they see directions for the future. Change is innovative. Customs come and go but some should pass and others should stay. The past is an excellent barometer for the future. One can always learn from the past, dust it off, and reapply it. Living in the past is not good nor is living in the present without wisdom of the past. Apply history to yourself. The past repeats itself. History is not something boring that you once studied in school. It tracks both vision and blind spots for human beings. History can be a wise mentor and help you to avoid making critical mistakes. SBT Hank Moore has advised over 5,000 client organizations including public sector agencies, small businesses, non-profit organizations, and 100 of the Fortune 500. Contact Hank by phone at 713668-0664, by email at hankmoore4218@sbcglobal.net, or visit his website at www.hankmoore. com. Hank’s new book “Houston Legends” can be ordered at www.houstonlegends.net.

EDITORIAL FEATURE

Your Next Step

How to Take the CHILL Out of Cold Calls (Part 5) By Jack Warkenthien, CEO of NextStep Solutions

Selling is NOT Prospecting & Prospecting is NOT Selling

ess than 20 percent of the average sales professional’s week actually involves selling something! Said another way, a sales representative is being paid for one of five days a week and working free the other four. This low percentage may seem surprising since sales compensation plans pay for sales results not hours spent prospecting or a myriad of other administrative activities. As we continue our journey of taking the CHILL out of Cold Calls, you have two challenges to address: Increasing the amount of time invested in sales efforts and increasing the effectiveness of each selling hour.

Your Sales Funnel - TOF, MOF, & BOF

An ageless iconic symbol for a sales pipeline is the Sales Funnel. The beauty of a Sales Funnel is its simplicity and ability to tell a story in one picture. There are three distinct sections: TOF (Top of the Funnel), MOF (Middle of the Funnel), and BOF (Bottom of the Funnel). Allow me to explain and describe each component.

tivities needed to generate sales results. Now, if one hundred contacts were added to your TOF, you’ll gain one new customer/client from your BOF. To describe your MOF, for every 100 prospecting leads, you will have 15 qualified candidates. Of the 15 candidates, you’ll confirm 10 appointments. For every 10 appointments, you’ll generate 6 proposals. Finally, on average, one customer/client will be gained.

BOF: This is payday! You are compensated for your sales, not for your time spent in the TOF and the MOF, but for your time invested in the BOF. Sales are a numbers game and I challenge you to know your sales equation. In fact, if you can’t answer the question, I kindly suggest you run not walk to your company history Your mission, should you decide and figure out your answer: How many contacts must be dumped to accept (channeling my favorite TV show, into your TOF to be processed in Mission Impossible, from the seventies), is your respective MOF to finally fall to review and evaluate your current sales out of your BOF?

“

leads generation system and ensure you’re focusing on warm, hot, or even smoking hot leads instead of the cold/cool ones generated from cold calling. This is the only way you can increase the effectiveness of each minute invested in sales related activities.

TOF: Remember the statistics from the opening paragraph? In essence, 80 percent of time spent is working to fill the top of the funnel with leads sourced from phone prospecting, referrals, networking, marketing efforts, web inquiries, and other sources. The sales efforts needed here are dedicated to turning contacts (leads where no relationship yet exists) into candidates (qualified contacts with buying potential). Over time, you’ll need to figure out how much TOF it takes to ultimately deliver BOF results - customers and clients that fall out of the bottom of the aforementioned funnel. MOF: As each lead descends into your funnel, there are defined stages they pass through and each stage becomes a key metric or KPI (Key Performance Indicator). For example, let’s say that you are enjoying a record number of sales over the past few months because you finally quantified your sales ac20 SMALL BUSINESS TODAY MAGAZINE [ APRIL 2015 ]

Your mission, should you decide to accept (channeling my favorite TV show, Mission Impossible, from the seventies), is to review and evaluate your current sales leads generation system and ensure you’re focusing on warm, hot, or even smoking hot leads instead of the cold/cool ones generated from cold calling. This is the only way you can increase the effectiveness of each minute invested in sales related activities.

”

In my next article, I’ll teach you how to recognize your best source of leads. Have a terrific month and I’ll “see” you next time! SBT

Jack Warkenthien, CEO, NextStep Solutions, can be contacted by email at www.jwarkenthien@nextstep-solutions.com or call him at 832-344-6998. You can also visit his website at www.nextstep-solutions.com.

EDITORIAL FEATURE

Getting Organized:

7 Ways to Keep your Car Organized By Holly Uverity CPO®, Office Organizers

s you spend more time in your car while you are conducting business, it’s just as important to keep your car as organized as your office. It’s especially significant that you keep a clean and organized car if you drive with your clients. Would you buy a house from someone whose car was messy? Would you trust your next big deal to a vendor who had files all over her front seat? Your car should reflect the same professional image as your office so here are some tips to help you get started: 1. Less in = less clutter. Don’t carry into your car what you don’t need in your car; it’s not a dumping ground. Eliminate what you don’t need to transport and stop carrying files back and forth. Limit the food you bring into your car. Nothing is less professional than inviting a client into a car that has lingering food odors or crumbs. 2. Organize your files. If you must carry files, invest in a crate or file carrier. Small ones have handles so they are easily carried and larger ones can be belted into your passenger seat. While technically portable, they are designed to stay in the car and you simply move the files into and out of the container. 3. Use a trash receptacle. Any small container (small garbage cans, plastic cereal boxes, etc.) will work as a floorboard trash can. Alternatively, you can use a trash container designed for your particular car. Find the right container and use it. Any zip locking baggie also works great for food debris; everything is contained and you just toss the entire bag. 4. Empty the trash on a regular basis. Make it part of your routine to empty the trash each time you get gasoline or each time you exit your car at the end of the day.

A collapsible crate can work well to keep the items in your trunk from shifting while you’re driving. You can use it for personal items (groceries) or work items (sales materials, client files, etc.) When it’s empty, it folds down flat. Any box or bin will also work; the object is to keep your items from moving around in your trunk. 5. Compartmentalize. Using small compartmentalized containers like small fishing tackle or jewelry boxes, you can store lots of items in a small space. Depending on the size of the container, you can place it in the center console well, under your seat, or even in the trunk. 6. Contain the items in your trunk. A collapsible crate can work well to keep the items in your trunk from shifting while you’re driving. You can use it for personal items (groceries) or work items (sales materials, client files, etc.) When it’s empty, it folds down flat. Any box or bin will also work; the object is to keep your items from moving around in your trunk. 7. Organize the glove box. A large cosmetic bag works great to keep small items (eyeglass repair kit, lotion, small pad of paper and pen, car manuals, lint brush, etc.) together so when you grab the bag, you’ve got the item. SBT

Office Organizers is The Entrepreneur’s Organizer. Founded in 1993, they work with business people to create solutions for their organizational challenges. Contact them at 281.655.5022, www.OfficeOrganizers.com, or www.fb.com/OfficeOrganizers. [APRIL 2015 ] WWW.SBTMAGAZINE.NET 21

EDITORIAL FEATURE

From Ordinary to Extraordinary

By three-time Olympian, Ruben Gonzalez

ould you like to learn how to become an Olympic Champion in your professional and personal life? Read on and you will. The mental processes that will make you a champion in sports are the same mental processes that will make you a champion in business and in life.

My name is Ruben Gonzalez. I’m a three-time Olympian in the brutal sport of the luge. Most people don’t know what the luge is. In the luge, we hurl ourselves down the mile-long, icy bobsled track while lying on a tiny sled. We reach speeds from 80 to 90 mph and we don’t even have any brakes! Is that crazy or what? I’m not just a three-time Olympian; I’m a lifelong student of success and peak performance. Over the years, I have read hundreds of books and listened to thousands of tapes about what it really takes to succeed in business and in life. I also listened to and did everything my Olympic Coach told me to do. As a result, I’ve come to the conclusion that success in sports, business, and in life is pretty simple. Success comes down to finding an arena that you are suited to play in, having the courage to get started, having the courage to not quit, and along the way having the attitude that you are willing to do whatever it takes for as long as it takes. Only then do you start experiencing massive success. Success is simple but not easy. It takes a mental toughness and that’s what I’ll be writing about in all of my future articles...how to become so mentally tough that you become like a guided missile

If someone like me can make it to the Olympics, then anyone, anywhere can use these principles to reach their dreams as well. I’m not an athlete.

I did a little research and started looking for a tough sport, a sport with a lot of broken bones so there would be a lot of quitters and I could make it to the top simply by outlasting everyone else. That’s how I picked the luge.

that has its coordinates set and will not miss.s

Four years and a few broken bones later, I was competing in the 1988 Calgary Olympics. I went on to compete in Albertville in 1992 and Salt Lake City in 2002. That’s three Olympics in three decades! In Salt Lake City, I was 39 years old competing against 20 year olds and everyday somebody in the Olympic Village would ask me if I was a Coach!

These success principles will work for anyone, anywhere, anytime. What that means is that they will work for you, right now, no matter where you are in life. If someone like me can make it to the Olympics, then anyone, anywhere can use these principles to reach their dreams as well. I’m not an athlete. I can’t jump high, I can’t run fast, and I’m not particularly strong. In fact all, throughout school, I was always the last kid picked when they were choosing teams in P.E. Can you relate? Even though I’m not an athlete, I realized my Olympic dream three times and it wasn’t because there was anything special about me. I’m an ordinary person, as ordinary as they come. I’m just like your neighbor. The only reason I made my dream come true is that I consistently and persistently followed some universal success principles. Principles you can follow to win more too. When I was 21 years old I was watching the 1984 Sarajevo Olympics on TV and saw tiny Scott Hamilton win the Gold Medal in figure skating. Scotty inspired me. I said to myself, “If that little guy can do it, I can too! I’ll be in the next Olympics. I just have to find a sport!”

22 SMALL BUSINESS TODAY MAGAZINE [ APRIL 2015 ]

Why am I telling you all this? To make you understand that ordinary people like you and I can accomplish extraordinary things. To make you see that reaching your dream is possible. You can reach your wildest life goals and dreams. If you want something bad enough and are willing to follow some success principles, success is just a matter of time. In the next months I’ll share with you the principles of success and how to condition your mind for greatness by using the same mental training techniques Olympic Athletes use. I recommend you re-read these articles and even use them in your training meetings. If you do, this will truly be a Gold Medal year for you! SBT Ruben Gonzalez is an award-winning keynote speaker and the author of the critically acclaimed book, “The Courage to Succeed.” His experiences as a three-time Olympian and as the owner of two businesses give him a unique perspective on how to conquer the corporate struggles of today. For his free 10-Part Success eCourse, visit www.StartWinningMore.com or contact him at 832-689-8282.

EDITORIAL FEATURE

Avoiding the 3 Types

of Price Advertising

“

By Howard Partridge

ne of the worst things you can do in marketing is advertise price before value is proven. The most common type of price advertiser is the one that advertises a ridiculously low price but never intends to honor that price or there is only one in stock at that price. These price advertisers could also be categorized as a “bait n’ switch”. They bait the prospect with a low price to get them in the door and then once the prospect is generated, they switch them to what they really want to sell. In the worst case, the company would even refuse to offer the low price service which is totally a deceptive trade practice. Do you have bait n’ switch operators in your industry? The bait n’ switch advertiser is only one of three types of price advertisers. The second is what I call the value choice. The value choice, unlike the bait n’ switch is a legitimate business model but has intentionally positioned itself as the lower price alternative. Think of how Southwest Airlines began in business.

They intentionally positioned themselves as the low price alternative and they were very focused about running their business model accordingly. Not offering meals on their flights, their point-to-point routes, open seating, and the revolutionary “10 minute turn around” policy have helped keep their costs down so they can offer lower fares and still make a healthy profit. This model doesn’t work for a small business that doesn’t have the scope or infrastructure that a large company has. This brings me to the third type of price advertiser. The third type of price adver-

He can’t compete with their margins. He doesn’t have the management infrastructure, the capital, the brand image, and the television commercials that the larger company has.

”

tiser is the small business that doesn’t have the management infrastructure, the reach, and cannot handle the volume that a larger company can. Let’s think about a plumbing company. If a plumber were a smaller operator, why would he want to match the price of a bigger operation? He can’t compete with their margins. He doesn’t have the management infrastructure, the capital, the brand image, and the television commercials that the larger company has. His revenue is generated by his sweat. Therefore, even though the overhead is lower, this person should charge more rather than less. The key is that this plumber must understand what differentiates him from the larger firm which we will get to in a moment. Let’s look at a comparison between the smaller operator and the larger company. For example, let’s say this is the income statement of the larger firm: $5M Income -$2.5M Cost of Sale =$2.5 M Gross Profit  -$2.0M Fixed Expense (40%) =$500k Net Income

24 SMALL BUSINESS TODAY MAGAZINE [ APRIL 2015 ]

If a smaller operator who billed $200,000 has the same cost structure that produces a 10 percent margin, he would end up with $20,000 in profit. Not cool! And that’s what is happening in small businesses around the world every day! Obviously, there are lots of variables in this scenario but the point is that you can’t compete with the larger company on price. Instead, the smaller operator should charge higher prices and leverage the benefits that a smaller operator can offer. So, the saddest cases of all the price advertisers are the small, independent business owners who just copy the big companies instead of understanding how to position themselves differently. The bottom line is that price advertising attracts price shoppers. So don’t do that! Be intentional and educate yourself on your price point. This is a very important concept for smaller companies to understand. It’s not in the volume with any company; it’s in the profit. It is terribly important as independent business owners to understand this because we don’t have a national brand to generate leads for us. We have an entirely different set of benefits to offer which are worth far more. Next month, I will share how to dominate your market and get rich in the niche. Until then, be phenomenal SBT

Howard Partridge, President of Phenomenal Products, Inc. and International Business Coach, is the author of 7 Secrets of a Phenomenal L.I.F.E. and 5 Secrets of a Phenomenal Business. Get a Free CD that reveals the 5 Secrets of a Phenomenal Business by visiting his website at www.HowardPartridge.com/SBT.

EDITORIAL FEATURE

12 Factors that Kill

a Business Acquisition After the Sale – Part 1 By Jeffrey D. Jones, ASA, CBA, CBI

his article is not about cases where the buyer knowingly purchased a failing business and was not able to successfully turn the business around or change the concept but rather this article will focus on those transactions where the business was profitable prior to the sale but failed shortly thereafter. The following is a review of 12 factors that commonly lead to the failure of a business:

1. Poor purchase price and terms of deal

There are many transactions that take place between sellers and buyers without the involvement of business brokers such as sellers who sell to an employee or relative. Without professional help, these types of buyers often agree to a price and terms that almost guarantees failure. In many cases, the sellers set the price based on their own needs and then agree to finance the purchase with a low down payment and a short term note payout. This results in a high monthly payment that the buyer cannot pay when business is slow or cash is needed to handle unexpected repairs. The seller then begins the foreclosure process and the buyer who has very little investment in the business steals what he can and departs. Seller financing is often used to finance a business acquisition especially when the business records are insufficient to meet a third party lender’s requirements. The key to seller financing is for the seller to get a significant down payment, say 25 percent to 40 percent, and then a payout that the business can afford to pay. Typically, it takes five years with current interest rates being 6 percent to get monthly note payments low enough wherein the profitability of the business can afford to pay the buyer a reasonable salary and the note payments.

2. Refuses to develop a relationship with the customers

A business only exists because of its customers. When you take over the business, the customers do not care that you are overwhelmed by the workload or that you do not really understand their question. What they care about is that you call them back within a short time. They need to vent and obtain some satisfaction for their complaint. However, you do not like confrontation or unhappy people. Therefore, you do not talk to them. Within a short time, they will be gone. In addition, with them goes your opportunity for success. Make two things a priority: Number 1 - Go see or have a meaningful contact with every customer within 30 days of purchasing the business and 26 SMALL BUSINESS TODAY MAGAZINE [ APRIL 2015 ]

A business only exists because of its customers. When you take over the business, the customers do not care that you are overwhelmed by the workload or that you do not really understand their question. Number 2 - Return every phone call within 24 hours or less. If necessary, make sure your assistant or secretary makes the return call. Be certain that your new customers know that you are thinking about them. This is vital and is one of the main reasons these new business owners fail. They do not understand that operating a business is essentially a people-to-people enterprise. If they fail to develop the relationship with the customer, the business will fail.

3. Replaces key employees

Frequently this action occurs. The new owner takes over and within a few weeks has a falling out with one or two key employees. They just paid a staggering sum for the business and did not expect the employees to be insubordinate. Nevertheless, the new owner forgets that the experience is new for the employees as well. So rather than work through all the newness, it seems more fitting to replace the insubordinate employee with a handpicked confederate of their own. In one case that I worked on, within two months the new owner had replaced the chef with over six years of experience and the entire wait staff. Without realizing it, he had replaced every person that all of the customers and vendors had grown to think of as ‘the business’. Many of the customers who knew the staff by name no long felt comfortable coming to the restaurant with mostly new employees. As a result, sales dropped by 50% from prior levels. Within five months, the business declared bankruptcy. A business acquisition can be a great way to get into a business or expand an existing business. Avoid the above factors that can lead to failure and enjoy the benefits of being an entrepreneur of a profitable business. Next month will be Part 2 of the 4-part article on the 12 Factors that Kill a Business Acquisition After the Sale. SBT Jeff Jones is the President of Certified Appraisers, Inc. and Advanced Business Brokers, Inc. located at 10500 Northwest Freeway, Suite 200, Houston, TX 77092. He can be contacted by phone at 713-680-3290 or by email at jdj@certifiedappraiser.com.

EDITORIAL FEATURE

When the Small Business Lender

Asks About Your Site Selection By Bruce Hurta

ow important is the site selection process for a small business owner? Whether the business owns or leases its business facility, why does the small business lender (including lenders for the SBA government-guaranteed loan program) ask about it? We’ve all heard that the success of a business is all about “location, location, location” so that’s why the lenders ask. The lender knows that your choice of location will directly impact your ability to generate income which in turn will repay your SBA loan. Different types of businesses require different types of locations. The challenge is finding the most cost-effective opportunity in the market in which your business must compete. Many retail businesses will need to pay the most for their real estate expenditures just because those are the locations where they will find their customers. On the other hand, a manufacturing business may compete well by locating on cheaper real estate that is closer to its low cost labor source. Its customers may require an efficient delivery system for the product they purchase instead of a more expensive or convenient location. Often, one of the biggest expenses on the profit-and-loss statement which a small business lender must evaluate is the business’s monthly lease or ownership expenses for their real estate.

The best approach for addressing a lender’s evaluation of the business’s repayment ability is to be prepared with good answers for their inquiries. When they ask about lease expenses or when you document the assumptions in your financial projections, be prepared to justify the cost of your business’s facility. Convince the lender with data, research, and facts that your site selection was carefully orchestrated to compete in a cost-effective way in your market with your 28 SMALL BUSINESS TODAY MAGAZINE [ APRIL 2015 ]

Different types of businesses require different types of locations. The challenge is finding the most cost-effective opportunity in the market in which your business must compete. particular customers, suppliers, and service providers. Convince the lender with your thorough and effective business plan for managing your business. Small business and SBA lenders must document your loan file with all their investigation and analysis of the feasibility of your loan request and probability for repayment of the loan. Give the lender the ammunition to do so and they will “show you the money!” In conclusion, we are fortunate to live in an age of data, and there are many commercial real estate professionals whose credentials will match the needs of different types of small business real estate. Many industry trade associations and other industry professionals maintain comprehensive databases of useful location and demographic data to support your site selection process. Many government entities such as SBA, SCORE, and Small Business Development Centers have research libraries and free advisors for small business professionals. Do your homework before approaching your small business lender. Show the lender your research, facts, and figures. Let the lender know you have adequately addressed the issue of “location, location, location” in your site selection process for your small business. Remember that the research that is good for the small business is also good for the small business lender! SBT You can learn more about SBA lending and small business finance on Bruce’s blog at brucehurta.wordpress.com. For more information about SBA real estate loans for small businesses, contact Bruce Hurta, VP of Business Lending at Members Choice Credit Union at 281-384-2595 or by email at bhurta@mccu.com.

EDITORIAL FEATURE

5 Reasons to Build a Better Culture By Aimee Woodall

ulture’ is one of corporate America’s favorite buzzwords. Like ‘synergy’ or ‘proactive’, this five-dollar word aims to encompass all that makes a company special by showcasing things like break room Ping-Pong tables, complimentary gym memberships, and Fun Friday ice cream socials. Culture has become shorthand for perks but it shouldn’t be. Perks are a great way to get new employees in the door. But how do you keep them there? That’s what culture is for. Think of it this way: Perks are your sizzle; culture is your steak. Culture is the environment you offer, the feedback you solicit, and the comfort level your employees have in approaching you with ideas. Beyond that, it shows your staff the flexibility, collaboration, and strength of purpose that you can offer them long term. You build a culture because you care about your people and recognize that they are people! Employees need support, harmony, and autonomy in their work environment and the best employers provide that because they are people too. Still need a reason to start building a better company culture? Here are 5 business benefits you get when you put your people first:

Loyalty

Employees who feel trusted and who are given opportunities to grow tend to be a lot happier at work. They also stay put the longest. Loyalty means much more than seeing the same faces around the office. Those who stay for the long haul also put out higher quality work than their short-timer counterparts.

Retention

A great culture means employees are invested in staying and less money is spent replacing them. In addition to putting out better work, loyal employees save the company major dollars due to the reduction in turnover. High turnover lowers productivity and causes the remaining staff to be overworked which affects your business negatively but it also has tangible costs as well. Interviewing, training, and recruiting can eat up 150 percent of a tenured employee’s annual salary which takes

Innovation comes through understanding and improvement based on a deep knowledge of the company. money directly out of your profits.

Reciprocity

Employees who genuinely enjoy and love being connected to their jobs represent your brand well. They turn into evangelists, preaching the gospel of your company to their peers, both online and off. This naturally extends the bandwidth of your marketing and PR departments by adding voices to tell your story.

Creation and Innovation

Innovation comes through understanding and improvement based on a deep knowledge of the company. An open, collaborative culture that allows employees to ask questions gives them the ability and the latitude to find ways to improve their work or the company’s operations.

Admiration

Companies that offer an enviable company culture are envied. They get recognized in the media, enjoy the placement on lists, and win awards for their innovation and creativity. Think of Google, Whole Foods, Patagonia, and the like; each is enshrined as one of their industry’s leaders in culture and they are brands people want to be associated with because of it. While competitors can copy your product and services, they can’t touch your one-of-a-kind culture. It’s a way to set your business in a class above others in your industry. It’s a way to lead and to recruit the best and brightest in your field. When you create an inspiring place to work, people are going to work for you and work with you, giving your business an edge that no one can duplicate. SBT Aimee Woodall is the owner of the Black Sheep Agency, a Houston-based strategic branding agency specializing in cause-driven marketing, public relations, social media, and community outreach. You can contact Amy by phone at 832-971-7725, by email at aimee@theblacksheepagency. com, or visit the website at www.theblacksheepagency.com. [ APRIL 2015 ] WWW.SBTMAGAZINE.NET 29

EDITORIAL FEATURE

Effective Networking Questions By Gail Stolzenburg

etworking is the single most effective strategy used in building your business. So when you are at one of the networking events, what do you say when you meet someone for the first time? Most people will tell you to have a good ‘elevator pitch’. Dale Carnegie’s advice was to spend 70 percent of the time listening and the other 30 percent asking questions. Show a genuine interest. A great communication technique is a term called ‘focused attention’. First, make sure the person is willing to talk with you. If not, go on to the next person. We have all heard the acronym FORM – family, occupation, recreation, and mission (or money). When we start asking those questions, people sense you are following a script. Consider asking these open ended questions, and remember, the sweetest sound to someone is their name so use it often and at least five times. Besides, it will help you remember it for the next time you meet. Everyone asks, “What do you do?” Next, include their name and ask, “(Their name goes here)”, “How did you get involved in your business?”, “How long have you been in that business?”, “What did you do before?”, “What do you like best about what you do?”, “What is your biggest challenge?”, and “Where else do you network?”. Those questions show that you have a sincere interest in their business and allow you to ask more probing questiong like, “What advice would you give to someone starting in your business?”, “What is one thing you could do today that would make a major difference in your success?”, “What significant changes have you seen in the industy?”, “What trends do you see coming?”, and “What is your unique selling proposition?”.

30 SMALL BUSINESS TODAY MAGAZINE [ APRIL 2015 ]

If you have determined there are ways you can help each other, set up a time for coffee or lunch by asking, “It sounds like we have a lot in common. Then you can get more into their personal life with, “What do you do when you have nonworking time?”, “Is you family involved with those activities?”, “Where did go to school?”, and “Have you lived in Houston all your life?” And finally ask, “When I meet someone else, what questions would I ask them to see if they might be interested in your business?” If you have determined there are ways you can help each other, set up a time for coffee or lunch by asking, “It sounds like we have a lot in common. Would it be possible to get together next week for coffee and see how we can help each other build our businesses?” Set the date and time. Then give them a gift such as some networking tips or a list of networking events they might like to attend. And, remember to send them a “Thank You” note. By helping others develop their business, you will develop mutually beneficial relationships that may last a lifetime. So, ask questions, listen, and be interested instead of interesting. SBT

Gail “The Connector” Stolzenburg’s new book, “CONNECTIONS: Contacts to Clients”, was just released. For more information, Gail can be contacted by phone at 281-493-1955, by email at Gail@GailStolzenburg.com, or visit his website at www.GailStolzenburg.com

EDITORIAL FEATURE

Financial Astrology for

April 2015 By Christi Ruiz, Business, Spiritual, and Intuitive Life Coach

ARIES (March 21 - April 20) Mars and Mercury are influencing you this month to work hard and party even harder. Jupiter comes in on the 17th until the 20th to bring you the ability to make money. Jupiter will also assist in helping you focus and to plan for your ambitions. Pluto has regenerative power in your career zone on the 21st and 22nd. Pluto will also assist in refilling your cash coffers this month.

VIRGO (August 23 - September 23) Investments will be very attractive this month but you must be very cautious. Much due diligence will be needed since Pluto is influencing you. Uranus and Mercury are in your savings zone and will also make you hesitate on that investment. The emotional Lunar Eclipse will tempt you to take a risk on that investment but your economic intuition will give you the control to say no.

TAURUS (April 21 - May 21) Generous Venus is in your income zone that is influencing your spending with friends and lovers. Saturn will be in your resources zone on the14th. Then Neptune will come in to influence your friendship zone with new friends on the 19th. Mercury enters your earnings zone on the 30th which will allow you to use your creativity to earn the money that you need to resolve any holes in the dike.

LIBRA (September 24 - October 23) Dynamic Mars and strategic Mercury are in your shared resources zone so you must keep your focus on the money trail. Neptune is in your work zone on the 12th and 19th to assist in getting done what needs to be done on time. Pluto will be in your family zone on the 21st and 22nd which will assist in providing a major financial boost. Friends could however drain your resources when Mars and Jupiter enter in your social zone on the 17th.

GEMINI (May 22 - June 21) Networking will increase your earnings potential due to the extroverted Sun and social Mercury in your social zone. Pluto will be in your savings zone on the 5th and the 7th which makes this a good time to come up with a new plan. The networking will bring you many moneymaking inspirations and motivations. Mars will give you the inner drive along with Pluto on the 21st to get things done.

SCORPIO (October 24 - November 22) Saturn is slowly traveling in your earnings zone and assisting you in paying off the debt incurred from all of your hard work. Venus will enter your credit zone but be very cautious. Debt can deplete your resources quite rapidly. Strategic Mercury and Saturn will be influencing you on the 2nd to assist in creating money to pay off debts. Mercury enters your financial zone on the 30th and will give you a more realistic view of money matters.

CANCER (June 22 - July 22) Your career has had many setbacks but this month Uranus will appear to assist you in your work strategy to get you to the top of your career. The dynamic Sun and shrewd Mercury are in your success zone so take advantage of it. Jupiter will be in your earnings zone that will enhance your ability to build up your savings account for future down times.

SAGITTARIUS (November 23 - December 21) Be very cautious of emotional involvements that will be influencing your self worth and net worth. Also, be cautious of emotional involvements that will be high maintenance. Emotional Pluto will be influencing you in your earnings zone. Industrious Mars and problem solving Mercury will keep the coffers filled. Pluto will assist in the work sector to your benefit on the 21st and the 22nd.

LEO (July 23 - August 22) Mars, shrewd Mercury, and the enthusiastic Sun are in your Career zone bringing you great achievements. Neptune, the maker of dreams, will enter your financial zone on the 12th, 19th, and 29th. This will give you the ability to attract powerful financial supporters, colleagues, and a good team to ensure your success. Make sure you are ready with a good business plan. 32 SMALL BUSINESS TODAY MAGAZINE [ APRIL 2015 ]

CAPRICORN (December 22 - January 20) The generous Sun and thoughtful Mercury are in your home zone along with benevolent Jupiter. Jupiter will be in your shared resources zone on the 2nd and 6th which will guarantee you success and money this month.

ÂťContinued From Page 35

EDITORIAL FEATURE

Proactive

Cash Flow Strategies By Patty Block

enry Ford once famously said: “Vision without execution is just hallucination.” I love this quote because it’s funny and it’s true! While revenue production is the core goal for every business, the real magic is in understanding and managing your cash cycle. You can’t execute without cash. Many small businesses struggle to appropriately price their services, define their billing and collection terms, and manage the cash flowing through their companies. If you are not developing and implementing cash strategies, you are leaving money on the table.

Early warning signs of cash flow problems: • • •

• • •

You struggle to pay your bills. You are afraid to hire staff because your revenue is irregular. You may be charging too little and over-delivering on services, so client accounts are not profitable. You have trouble collecting what is owed from clients. You are embarrassed to admit you are in financial trouble. You suffer so much stress around money that you can’t focus on strategic issues for your company or for your clients.

Consequences of ignoring the early warning signs:

• You have unsteady revenue. • Your relationships with clients and vendors suffer. • You are unable to attract or retain high-quality staff. • You have unprofitable accounts. • Your personal and business credit suffers. • Your company growth is stunted.

accounts that are separate from your operating account and don’t touch the funds until you pay the required taxes. Obtain There are many things you can do to short-term operations financing if needed. speed up your cash cycle, enhance profitability, and gain control of your finances. 5. Obtain a Business Line of Credit. You It can be as simple as establishing a pro- can only get a line of credit or loan when active billings and collections process or you don’t need it. Plan ahead and have as complex as changing your pricing and this safety net in place with the added boreducing expenses. nus that it can help you build business credit. Compare terms and rates between banks and with credit unions. Proactive Cash Flow Strategies: 1. Launch ‘Collections Monday’. Sched- ule courtesy calls to clients before the 6. Carefully Track Use of Company payment is due. Ask if they received the Credit Cards. Set limits on all cards used invoice and whether they have any ques- by employees. The federal Credit CARD tions. Name it something clever such Act protects consumer credit cards but as ‘Collections Mondays’ and get in the excludes those used for business and debit habit of making these calls. Email is for cards. You may have significant exposure to fraud and theft with company credit and cowards. Pick up the phone! debit cards. 2. Keep Your Cash for as Long as Possible. Prioritize payments to ven- 7. Outsource Important Compliance dors and maximize the time allowed to Functions Such as Payroll. Leave the pay. Stagger payment dates so you don’t headaches to the experts who will process have significant cash flying out of your payroll, collect and pay your payroll taxoperating account all at once. Maintain es, and ensure reporting compliance. It is your good relationships with vendors worth every penny. and negotiate terms when possible. As a small company, you have an advan3. Get to Know Your Banker. Ensure that tage in spotting trends from real data and all of your bank accounts are federally in- real market experience and making decisured. Meet with your banker regularly to sions that you can implement quickly. This establish a strong relationship. Think of gives you a competitive edge especially the banker as your advocate. against larger companies that often strug gle with bureaucracy and chain-of-com4. Stop Using Sales Tax or Payroll Tax mand. Ensure you have the cash to execute Money to Float Your Operations! This on your vision. SBT is dangerous on so many levels. Your ex- Patty Block, President of the Block Group Inc., empowers women posure to potential penalties, fees, and in- business owners to develop a creative business model, navigate tranterest along with a significant waste of your sitions, and design smart business solutions. She can be contacted time and resources should stop you in your by phone at 713-826-0302, by email at pwblock@theblockgroup. tracks. Deposit funds into additional bank net, or visit her company website at www.theblockgroup.net. • •

Your company reputation suffers. You suffer emotional stress.

[ APRIL 2015 ] WWW.SBTMAGAZINE.NET 33

EDITORIAL FEATURE

Recognizing

the Value of Celebration By Kim Sawyer

Another important aspect of our psychology as human beings is that we also can’t help having a survival system. Thank goodness that we have it and that it operates so well when we truly need it. There is, however, an inherent and unavoidable side effect that can be very problematic to our sense of life.

hat is a celebration really? Is it a party? Is it the loud exclamation of “Yay!”? These are examples of celebration but what does the concept really mean? Most of us have only a very vague emotional idea of the real meaning yet the ritual of celebration may be one of the most important ingredients for our success as human beings in every aspect of our lives. It’s all about value. What are values? Why have values? What is their purpose? Very basically, value is anything that each of us has decided contributes to our living a good life. It is the fundamental motivator; it’s what drives us to move and act toward things. A value is anything that a person acts to gain or keep. If I’m not acting to gain or keep it, it is not really a value to me, regardless of what I may proclaim. We have all heard the dictum, “If you want to know what someone truly values, look at their checkbook and their calendar.”

A celebration is a ritual – a ritual about value. A celebration is any thought process, activity, or conversation whose purpose is to acknowledge, grasp, appreciate, and experience the impact and meaning of something or someone valuable in our lives. Think about it; every form of celebration you can remember or think of has this as its essential common characteristic. All the other details are just different variations and applications. So, why have a celebration? Why have we evolved this ritual in a myriad of ways in every society and every culture? Here’s my theory: It’s about our basic underlying, overall mindset toward life. I refer to it as our ‘sense of life’. I am convinced that our ability to enjoy life and function well requires us to maintain a fundamentally benevolent sense of life.

As humans, we all have a sense of life. We can’t help it; we are wired that way, and all of us have a primary set point somewhere on the plus/negative The purpose of value is to guide us toward success spectrum. It has evolved, mostly subconsciously in life as we each define it. It is one thing to value over the years, by our experiences, decisions, choicsomething; we can value a multitude of things. But es, and actions. It can be changed but very slowly how am I to decide which are the most important? with a lot of hard work. In addition, all of us can have I look at every moment of life as an investment de- our moment to moment experience of our sense of cision. Of all the things I can chose to do with my life sift up or down around that set point in response assets (time, money, energy, attention, love, service, to our circumstances and actions. principles, etc.), which one will generate the most Another important aspect of our psychology as of what I value in return? human beings is that we also can’t help having a surWe believe that success as a human being lies in vival system. Thank goodness that we have it and creating the most of what we value most (wealth) that it operates so well when we truly need it. There during our lives. Therefore, making that choice in is, however, an inherent and unavoidable side effect the right way is the key success factor in life. Value that can be very problematic to our sense of life. is the very stuff of life. Stay tuned for Part 2 of this 3 Part Series where I explain this side effect and the nature of its negaSo how does value connect to celebration? Well, let me start with the idea of ‘ritual’. A ritual tive impact on our effectiveness at living. SBT (secular or spiritual) is any activity or conversation that is primarily meant to shift the state of mind Based in Houston, Texas, Kim Sawyer is a highly respected executive coach, or state of relationship for those who participate in business facilitator, and engaging professional speaker. To find out more about it. Rituals can be welcomes, goodbyes, beginnings, Kim’s firm, theWeathSource, visit his website at www.theWealthSource.com. You can also contact Kim by email at kimsawyer@thewealthsource.com. endings, honorings, oaths, vows, and so forth.

34 SMALL BUSINESS TODAY MAGAZINE [ APRIL 2015 ]

»Continued From Page 12 Dressing for Professional Success Women should wear dresses, skirts, or slacks with blouses, jackets, or sweaters. Revealing tops, tank tops, and halter tops are considered inappropriate office attire. No denim, Bermuda shorts, or Capri pants should be part of a salesperson’s career wear. When in doubt, always remember to dress better than you would for an athletic event. Men should never wear the following for work: tank tops, tee shirts, mesh shirts, warmup pants, sweat pants, blue jeans, gym shorts, or any athletic wear.

»Continued From Page 14 Doing Business in Mexico Despite the cultural differences, Mexico is still a wonderful place to do business. The Mexican people are welcoming and enthusiastic to work with us. With just a little research, cultural sensitivity training, and patience, you can definitely prosper in the Mexican business world. SBT As a graduate of the Wolff Center for Entrepreneurship at the University of Houston, Ludmila (Mila) Rusakova Golovine, Founder, CEO, and President of MasterWord Services, Inc., started her company with a vision of seamlessly connecting people across any language, any time, and any culture. She can be reached by email at mgolovine@masterword.com, by phone at 281-589-0810, or visit her website at www.masterword.com.

Ladies should never wear the following in the workplace: tee shirts, halter tops, cut-offs, sweat pants, warm-up suits, blue jeans, tennis wear, shorts of any kind, or low cut tops.

»Continued From Page 32 Financial Astrology for April 2015

Shoes should always be in good shape and shined. Never, ever wear flip-flops of any kind during your workday.

AQUARIUS (January 21 - February 19) Take charge Mars, attentive Mercury, and nurturing Sun are all in your home zone. Philanthropic Neptune will enter your earnings zone on the 12th, 19th, and 29th encouraging you to give and assist others. Be cautious. By the time Neptune has entered on the 19th you may not have any money left even for yourself !

Even in our more casual society, there is a customer expectation as to the appropriate attire of their salesperson. More companies are reverting back to the basics with specifics on what to wear and not wear due to their customers becoming aggravated and the consequent loss of sales due to the poor judgment of the salesperson. When in doubt, dress up and not down, and you will always be making the correct decision. SBT Rita Santamaria is the owner and CEO of Champions School of Real Estate which was founded in 1983 and is a five time Pinnacle Award Winning School. The Champions School of Professional Development was founded in 2012 and has grown in a short time to be a leading development venue for individuals and companies. For more information, visit their websites at www.ChampionsSchool.com or www.TheChampionsProfessional.com

PISCES (February 20 - March 20) A moody Lunar Eclipse in your financial zone will make you feel very unhappy about your unstable money situation. This situation forms a T square with an unstable Uranus that will continue this condition. The Sun and Mercury are influencing your income zone requiring you to keep working harder and becoming more resolute about obtaining career success. Saturn is in your career zone teaching you the lessons that you need to learn. SBT

Christi Ruiz is a business, spiritual, and intuitive life coach. She uses her skills to assist with one’s success in real estate, business, and personal matters. In addition, Christi’s many years of experience working for banks and mortgage companies gives her an extra edge in understanding the world of finance. You can contact Christi by phone at 713-773-0333-O or at 281-904-2658-C. Her website is www.christisportals.com and her email addresses are christiruiz722@gmail.com and christiruizchristi@yahoo.com. [ APRIL 2015 ] WWW.SBTMAGAZINE.NET 35

APRIL 2015 EDITION HOUSTON

ADVERTISERS INDEX

04 27 13 12

3rd Annual Benefit Betties Ball

02 31

Global 7 Awards

All Peoples’ Funeral Home Brian Keith Productions Champions School of Real Estate

Gwen Juarez Photography

Houston Minority Supplier Development Council

INSIDE BACK COVER

25 13 INSIDE FRONT COVER

23 31 13 36

Nerium Anti-Aging Cream

27 31 15

Prosperity Real Estate Group

BACK COVER

Howard Partridge

Joie De’ Linens

17 27 01

LiftFund Main Street Chamber of Commerce

Nurture Massage & Bodyworks Paradigm SES Paul J Franzetti, Attorney At Law Rush Med Pharmacy SalesNexus

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Today Radio Show The Bougainvilleas Virtual Intelligence Providers WBEA Expo 2015