Self Made Magazine by Self Made Magazine

Is College Really Necessary for Entrepreneurs?

SelfMade Dream / Create / Succeed / Inspire

Women Entrepreneurs Who Inspire Us

F a l l / W i n t e r 2 010

VOLUME 1 • issue 2

28 46 61

FEATURES

Fifty Women Entrepreneurs Who Inspire Us

Top Blog Awards Twenty-Seven Inspiring Young Entrepreneurs

46 Every Issue

Publishers’ Letter MARKETING

57 2

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6 Entrepreneurs, It's Not about You! 18 Reaching the Masses One Person at a Time 20 Five Questions to Ask While Searching for a Co-Founder 21 How to Kick Butt and Take Names (Literally) with Your PPC Campaign 23 The Three Most Common Mistakes When Growing an Idea into a Business 24 Build a Better Marketing Machine 40 Five Simple Rules Every Networker Should Follow 56 Marketing with Meaning

57 How to Increase Prices Fearlessly 59 Branding is Far More Than Just a Logo 70 Using Social Media to Put a Human, Friendly and Helpful Face on Your Company

SELF-MADE PROFILES

10 Five Personality Traits of Happy Entrepreneurs 11 Entrepreneur Spotlight: Four Rising Stars Under 25 12 A Dream Transformed 13 The List: 100 Top Entrepreneurs Who Succeeded without a College Degree 52 Interview with Jeff Rosenthal of Summit Series

INTERNATIONAL SUCCESS

Britain's Top Entrepreneurs 2010

ONLINE STRATEGY

7 Six Steps to a Rock-Solid Online Reputation motivation

8 Thirty-three Quotes to Fuel the Entrepreneurial Flames perspectives

24 Dreaming the Future 71 Live, Learn and Let Go 72 When the Worst-Case Scenario Actually Happens 73 Why Your Brand Needs to Engage the Senses MEDIA 34 Aquarius: "Young Entrepreneur" - The Song and Music Video! 35 You Can't Do All of the Work All of the Time: Building a Team of Peers TECHNOLOGY

What Should My Web Site Project Cost

PRODUCTIVITY

36 Entrepreneurs, Do You Need to Say "No Thanks"”More Often?

80 38

Eight Awesome Tools Every Entrepreneur Needs

Five Legal Shortcuts No Startup Can Afford

Business Strategy

41 The Right Stuff: What Makes a Business Idea Great 42 Deciding When is the Right Time to Start a Business 55 Is College Necessary for Young Entrepreneurs? 60 The One-Page Business Plan: It Might Be All You Need 64 Startup Killers: Avoid Becoming a Statistic! 66 Five Things to Consider When Expanding Your Company 68 Tools for Managing Generation Y 69 Top Ten Tips for Starting a Business Now! 74 Ten Musts for Becoming a Negotiation Ninja 75 What Kind of Entrepreneur Are You? 76 Kick-A** Online Business Tips from A to Z 78 Stoking the Entrepreneurial Fire 80 Opportunities and Concerns for Green Entrepreneurs 81 How to Lay the Foundation to Start Your Business Via Online Marketing

Fall/Winter 2010 • SelfMadeMagazine.com

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SelfMade

Publishers' Letter

Volume 1 / Issue 2 PRESIDENT/PUBLISHER Adam Toren adam@selfmademagazine.com Matthew Toren matthew@selfmademagazine.com EDITORIAL Managing Editor Crystal Huckabay crystal@selfmademagazine.com Editorial Assistant Cassaundra Brooks cbrooks@selfmademagazine.com Editorial Interns Alana Stroud, Bill Raznik, Rachael Blume ADVERTISING sales@selfmademagazine.com Sr. Account Executive Eric Twohey 1.800.211.7608 ext. 1 designer/PRODUCTION VANESSA FRYER CIRCULATION Distribution Manager Mark Lokeli

Matthew Toren Publisher

Adam Toren Publisher

Hello again! We'd first like to thank all of you for the great response to our premiere issue last fall. After an unexpected delay, we are back and full of news, tips, business strategies, and entrepreneur profiles to keep you motivated, creative, inspired, and productive. This issue we take a look at fifty intelligent and driven women who live up to their title of entrepreneur and inspire men and women across the globe to follow their own entrepreneurial visions. On page 27 you'll find twenty-seven inspirational young entrepreneurs, all of whom are proving that age really is merely a number—you just need the drive, determination, and discipline to dream up a goal and follow it through to the end. In fact, we also list one hundred savvy entrepreneurs who achieved success without a college education. And you won't want to miss the top entrepreneurs of the year from the UK. The World Wide Web has in many ways become the way of the world. Flip to page 44 for our Top Blog Awards—you'll want to be reading some of these blogs yourself! To be the best online power you can be, turn to page 74 and read our kick-a** online business tips from A to Z, just one of many articles covering business strategy. We all know that marketing is a main staple of business, and we've plenty of material to help you best market your business during the mean winter months. Remember that getting your name out there is important—even if people aren't spending big now, your company's name—not your competitor's— will come to mind when they do. We're excited to focus on the topics that affect you entrepreneurs the most—because we're excited to see what you come up with next. Cheers!

SelfMadeMagazine.com • Fall/Winter 2010

Self Made Magazine is published 4 times per year for distribution aimed at small businesses and an entrepreneurial-minded readership.Statements, opinions, and points of view expressed by the writers and advertisers are their own and do not necessarily represent those of the publishers, editors or Self Made Magazine staff. Although Self Made Magazine has made every effort to authenticate all claims and guarantee offers by advertisers in the magazine, we cannot assume liability for any products or services advertised herein. No part of Self Made Magazine may be reproduced or transmitted in any form without the expressed written consent of the publisher. Publisher reserves the right to accept or reject any editorial or advertising matter at any time. All rights reserved. ®Fall 2010 Self Made Magazine.

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M a r k e tin g

Entrepreneurs, It’s Not about You! by Adam Toren

One mistake many entrepreneurs seem to make, especially online, is having a fundamental misunderstanding about how interesting they might seem to others. Yes, you are a fascinating creature. You

probably know how to bootstrap a business, build it from nothing, and burn the candle at both ends long enough to push your dreams to reality. Still, it’s not about you.

> "Whether you’re on Twitter, a blog or a fan page in Facebook, the number-one question you should be asking your prospects is, What can I do for you?" 6

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Social media offers a remarkable means for entrepreneurs to explode their businesses; but if handled poorly, those hours spent on online marketing could amount to little more than wasted time. Though social media is highly effective, it must always place the prospect, client or reader first. Whether you’re on Twitter, a blog or a fan page in Facebook, the number-one question you should be asking your prospects is, “What can I do for you?” Let’s take an offline example: business cards. It is common practice to hand out your business card within the first few minutes of meeting someone for the first time. You tell them what you do, then make sure they have a record of the exchange. What if you never gave out another business card again? What if you kept your card tucked inside your wallet and asked for theirs instead? You can allow them to feel important in the moment, then use the number on their card to follow up later. This simple action would make you far more memorable than most other people. Using the same principle online can make your business boom. Constantly think about what you can do for others and how your interactions will make them feel. Businesses are no longer reliant on the convenience of geography. Nowadays connections are far more important. The more people you know, and the deeper their bond to you or your business, the more you will create the potential to go viral with every new idea. A large enough social army, with a deep enough connection, can move virtual mountains. The best way to turn someone into your devoted fan is to go out of your way to make them feel important. Put yourself first by putting others first as well. 

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on lin e str a t e gy

6 Steps to a Rock Solid Online Reputation By Gabriel Shaoolian Your company’s reputation is its most

valuable asset. As founding father Ben Franklin once said, “It takes many good deeds to build a good reputation, and only one bad one to lose it.” Anyone contemplating doing business with you will go to Google or another major search engine and research you, your key executives and your company. What they find in the search results will determine whether you have a new client/customer or whether that potential client has been driven away by negative comments and an overall negative perception of you, your company and your executives. Unfortunately, social media has provided virtually everybody with the opportunity to publish online. That means that anyone with a grudge against you can attack you and your company online and those attacks—warranted or not—will show up in search engines. So, how does a company go about protecting its online reputation? The key is to use multiple online content platforms to get the (positive) word out about your company. While you can’t eliminate the negative statements about your company, you can overwhelm the negative reviews with positive ones.

1. Your Company Website

If your company doesn’t already have an online presence, then immediately build yourself a website. Your company’s website is almost invariably the first place your potential clients will go to check you out. Your brochure must put the best possible face on your company: • Impressive executive bios • Case studies • Testimonials • Charity work (if any) 2. Micro sites

Along with your main website, create satellite websites that are specific to the work your

company does. This gives more sites featuring your company’s name and more places for search engines to find you. Companies can create micro site for charitable work, for special events or for promotion of a new product or service offering.

cies about what is posted on them. Photographs of key executives drunk or there are offensive statements made by executives on the site, presents a very negative image to the outside world.

3. Your Company Blog

If you are running a company, then you almost certainly have expertise that you can share with others. You can do this by: • Blogging (and then seeking out industry websites that might link to your blog) • Commenting (find blogs that cover areas of your expertise and add your comments, your wisdom, your knowledge) • Become an expert on an industry website (websites are always hungry for meaningful content)

A blog gives you the opportunity to tell your story in the most positive way. It gives you an opportunity to put a “face” on your company. It gives you a terrific forum to: • Talk about new products • Tout success stories • Announce special deals • Talk about recent company developments More importantly, the blog will often show up as a secondary result below your main website on search engine result pages. 4. Social Media Accounts

Your accounts on each of these social media venues are not only searchable, but tend to come up very high on search engine results. Encourage your clients and customers to come to these accounts to keep up on what you are doing. This is another great avenue for pushing out positive news about your company. Use these accounts wisely. Effective use of social media sites can enhance your brand, attract leads, and even lead to direct sales. Misuse of these accounts can severely injure your band and your brand’s credibility and reputation. If your executives have personal social media accounts, then you should have poli-

5. Establish Yourself as an Expert

6. Press Releases

Whenever there is positive news about your company, get it out into the world. Success stories, new product lines, charity efforts… they are all worth promoting. Unlike traditional press releases that just went to major news outlets, online press releases go out to the Internet universe and are picked up by both search engines and online news aggregators. When it comes to your online reputation, it pays to be both vigilant and pro-active. Even if your company has never been attacked online, it makes sense to create a vast network of positive messages about your company. By flooding the Internet with these positive messages, any negative messages can be lost or at least well hidden.  Fall/Winter 2010 • SelfMadeMagazine.com

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m otiv a tion

33 Quotes to Fuel the Entrepreneurial Flames by Adam Toren

Quotes. Entrepreneurs are fascinated with them. They spark our creativity, motivate us to action, and inspire us to greatness. They offer us insights into the spirit behind innovation and genius. And they act as fuel to the blue-flame fire that burns deep within every true entrepreneur. The 33 quotes below are, in our opinion, some of the best of the best. They come from authors, poets, inventors, scholars, and entrepreneurs – all legends in their own rights. So jot them down on Post-it notes and decorate your workspace. Grab red lipstick and write them in sweeping letters across your mirrors. Pick your favorite and brand it on your… palm. The right words at the right time can be paramount to your success, so do whatever it takes to keep inspiration close at hand.

“If you don’t design your own life plan, chances are you’ll fall into someone else’s plan. And guess what they have planned for you? Not much.” – Jim Rohn, Entrepreneur, Author, Motivational Speaker “In life and business, there are two cardinal sins: The first is to act without thought, and the second is to not act at all.” – Carl Icahn, Investor and Entrepreneur “Do not go where the path may lead, go instead where there is no path and leave a trail.” – Ralph Waldo Emerson, Poet

> Those who try to do something and fail are infinitely better than those who try nothing and succeed. “A business has to be involving, it has to be fun, and it has to exercise your creative instincts.” – Richard Branson, Entrepreneur

“Do not wait to strike till the iron is hot; but make it hot by striking.” – William Butler Yeats, Poet

“Can anything be sadder than work left unfinished? Yes; work never begun.” – Christina Rossetti, Author

“I know the price of success: dedication, hard work, and an unremitting devotion to the things you want to see happen.” – Frank Lloyd Wright, Architect and Entrepreneur

“Destiny is not a matter of chance, it is a matter of choice; it is not a thing to be waited for, it is a thing to be achieved.” – Williams Jenning Bryan, Politician and three-time Presidential candidate

“Opportunity is missed by most because it is dressed in overalls and looks like work.” – Thomas Alva Edison, Inventor and Entrepreneur

“Watch, listen, and learn. You can’t know it all yourself. Anyone who thinks they do is destined for mediocrity.” – Donald Trump, Business Mogul

“If you work just for money, you’ll never make it, but if you love what you’re doing and you always put the customer first, success will be yours.” – Ray Kroc, Entrepreneur

“High expectations are the key to everything.” – Sam Walton, Entrepreneur

“The secret of success is constancy to purpose.” – Benjamin Disraeli, Author, Politician and Scholar

“The only place where success comes before work is in the dictionary.” – Vidal Sassoon, Entrepreneur

>Six essential qualities that are the key to success: Sincerity, personal integrity, humility, courtesy, wisdom, charity. 8

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“How many cares one loses when one decides not to be something but to be someone.” – Coco Chanel, Entrepreneur “A successful person is one who can lay a firm foundation with the bricks that others

throw at him.” – David Brinkley, Newscaster “I owe my success to having listened respectfully to the very best advice, and then going away and doing the exact opposite.” – G. K. Chesterton, Author “Those who try to do something and fail are infinitely better than those who try nothing and succeed.” – Lloyd Jones “I’ve missed more than 9,000 shots in my career. I’ve lost almost 300 games. 26 times I’ve been trusted to take the game winning shot and missed. I’ve failed over and over and over again in my life and that is why I succeed.” – Michael Jordan, Basketball Legend and Entrepreneur “Many of life’s failures are people who did not realize how close they were to success when they gave up.” – Thomas Alva Edison, Inventor and Entrepreneur “Not doing more than the average is what keeps the average down.” – William M. Winans, Clergyman

success: Sincerity, personal integrity, humility, courtesy, wisdom, charity.” – William Menninger, Entrepreneur “My will shall shape the future. Whether I fail or succeed shall be no one’s doing but my own. I am the force. I can clear any obstacle before me or I can be lost in the maze. My choice. My responsibility. Win or lose; only I hold the key to my destiny.” – Elaine Maxwell, Author “It is common sense to take a method and try it. If it fails, admit it frankly and try another. But above all, try something.” – Franklin D. Roosevelt, 32nd American President “You can’t build a reputation on what you’re going to do.” – Henry Ford, Entrepreneur “The young do not know enough to be prudent, and therefore they attempt the impossible — and achieve it, generation after generation.” – Pearl S. Buck, Author

“Six essential qualities that are the key to

> If you don’t design your own life plan, chances are you’ll fall into someone else’s plan. And guess what they have planned for you? Not much.

“It is on our failures that we base a new and different and better success.” – Havelock Ellis, Physician and Author “Whatever you can do or dream you can, begin it. Boldness has genius, power, and magic in it. Begin it now.” – Goethe “With courage you will dare to take risks, have the strength to be compassionate, and the wisdom to be humble. Courage is the foundation of integrity.” – Keshavan Nair, Author – Gandhi Biographer “To accomplish great things, we must not only act, but also dream; not only plan, but also believe.” – Anatole France, Poet “Only those who will risk going too far can possibly find out how far one can go.” – T. S. Eliot, Author “Some people have thousands of reasons why they cannot do what they want to, when all they need is one reason why they can.” – Willis R. Whitney, American Chemist “For every failure, there’s an alternative course of action. You just have to find it. When you come to a roadblock, take a detour.” – Mary Kay Ash, Entrepreneur  Fall/Winter 2010 • SelfMadeMagazine.com

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5 PERSONALITY TRAITS OF HAPPY ENTREPRENEURS By martin zwilling

A while back, when a startup founder men-

tioned to me that he wasn’t sure he had the personality to be an entrepreneur, I realized how important that insight was. My first thought is that if you are more annoyed than energized by expert advice, team suggestions, and customer input, then you should probably avoid this line of work. Actually, it’s more complicated than that, but that’s a good start. After working with entrepreneurs for almost a decade now, I have developed a good “radar” to quickly recognize personalities that will likely pass the test of investors, employees, and customers. But it’s easier for me to look in from the outside than it is for you to look out. So here is a list of personality characteristics which I believe are absolutely necessary for you as an entrepreneur to see in yourself. On the other hand, if you see any of these causing you stress and discomfort, you probably won’t be happy in the role of entrepreneur: 1. You enjoy being the visionary leader. Being able to envision what the business and the industry will be like in years to come is a skill that can guarantee that you will be around for the long haul. What makes most success stories in business is not totally reinventing the wheel, but leading the charge to make the current wheel better.

2. Risk energizes you. To really enjoy the ride in the world of entrepreneurship, you need to be able to sustain yourself outside of your comfort zone and have a sense of adventure. Startups never ever go as you anticipated. This is why you need to be ready to go “off the script” and improvise, and enjoy the thrill of victory when it works. 3. Actively seek others’ input. The quicker you learn not to take it personally

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(and it’s hard when it’s your business and your creation), the more successful you will be. You will always come across people that will criticize you, no matter how great or valuable your product or service may be. 4. Motivated yet patient. When you start a business, you need to have the frame of mind that this is what you want to do for the rest of your life. Most people want financial freedom, but they want results immediately, and that is not the case 99 percent of the time. Most successful entrepreneurs understand that overnight success takes years. 5. Jack of all trades. When running a business, you’ll be doing a little bit of everything. You have to be good but not an expert at everything you do, and you have to know when to be flexible and when to ask for help. If you are one to specialize in just one thing, then running a business might not be for you.

If you don’t fit into everyone’s personal view of an entrepreneur’s personality, please don’t be totally discouraged. Winning businesses have been started by people of every personality style. Yet overall, the facts are that about two-thirds of startups fail, so think hard before you ignore warning signs. I’m convinced that if entrepreneurs spent half as much time evaluating themselves and what makes them happy, as they do writing business plans, and visiting with attorneys and accountants, they would be winners far more often. More importantly, they would be doing what they enjoy, like Sir Richard Branson always seems to do. Life is too short to be going to work every day unhappy. Don’t forget your fun personality trait! Martin Zwilling is the founder and chief executive officer of Startup Professionals, a company that provides products and services to start-up founders and small business owners. Read more about Marty here. 

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ENTREPRENEUR SPOTLIGHT: 4 RISING STARS UNDER 25 By pete kistler I recently had dinner with Ankur Jain, founder of the Kairos Society of collegiate entrepreneurs and son of business mogul Naveen Jain. We got to talking about young entrepreneurs and what it means to create real change. Inspired by our conversation, I’d like to introduce you to a few successful companies, headed by passionate young entrepreneurs already changing the world with their ideas. 1. EMERGENT

Jesse Gossett, 23 (left); Jayson Uppal, 23 (center); Chris Jacobs, 21 (right); Jared Rodriguez, 23 (not pictured) Boston www.emergentgroup.com These guys are great–I’ve had the pleasure of meeting them a few times over the years. In a time when budgets are getting slashed across the nation, municipalities are finding the funds to transform their energy needs. And they’re doing it with the help of four young men who have built a business out of renewable energy and sustainable practices. Jesse Gossett, Jared Rodriguez, Jayson Uppal, and Chris Jacobs put together Emergent Enterprises in their final year of college, landing a consulting contract before they even graduated. With 30 clients right now, the firm is already showing profit while pulling in $150,000 in revenue with the number expected to almost double in the coming year. Rock on.

2. Invite Media

angel and venture capital, and they have created a business that is selling faster than it can buy, enabling it to scale rapidly. Started in 2002, the site became profitable in 2007. They now boast 1.25 million unique visitors a month and about $1 million a month in sales. Go Eric and Susan! 4. My Yearbook

Nat Turner, 23 (center); Zach Weinberg, 23 (right); Scott Becker, 23 (left) Philadelphia www.invitemedia.com Nat Turner and Zach Weinberg have seen what all of us have seen: banner ads splashed across every website known to man. But until now, if you wanted an ad on a website, you pretty much had to contact the site directly. Invite Media turns that around by being a onestop-shop for agencies and ad networks, make it far easier to orchestrate a wide-reaching campaign. Invite started with $2.5 million in venture capital, but Google latched onto the idea, and acquired the company June 3, 2010. Well played! 3. ModCloth

Eric Koger, 25, and Susan Koger, 24 Pittsburgh www.modcloth.com You might have thought the indie world stopped with movies and music, but Erin and Susan Koger have made it big in indie clothing. Pulling together a little over 3 million in

Catherine Cook, 19, and David Cook, 21 New Hope, PA www.myyearbook.com Catherine and David Cook had an idea: what if someone built a social network based on getting to know other people rather than connecting or re-connecting to real-life friends? They launched MyYearbook.com in 2005 at their high school in New Jersey, and geared it to high school students. It works by providing social games which people can play to get to know one another. Their brother Jack Cook had already run several Internet businesses, and provided them their initial money and advice (I empathize with the benefit of an initial friends and family round of funding!). They have since pulled together $17.1 million and 75 employees to run their business and are turned profitable. Two thirds of revenue is driven from advertising, with VIP subscriptions and sales of virtual currency making up the rest. Cheers to Catherine and David. Have a young entrepreneur in mind you’d like me to spotlight? Open up a discussion in the comments! Pete Kistler is the founder and CEO of BrandYourself.com, a web platform that businesses and individuals use to grow their online reputation and promote their services across the social web. Read more about Pete here.  Fall/Winter 2010 • SelfMadeMagazine.com

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A DREAM TRANSFORMED By Hazel Jackson My desire to take center stage and communicate was first witnessed at the tender age of 5. Armed with a blackboard and freshly learned skills at nursery, I took it upon myself to spread my knowledge with some of the less fortunate children in Lusaka, Zambia. My parents had told me that I was very lucky to go to school, as some families needed to select which of their children could attend school due to restrictions. I thought it was unfair that they could not go, and I was soon found “holding court” surrounded by a quiet circle of kids of varying ages. Later, this confidence was translated into school plays, as I developed my dream to be a famous actress. This dream grew until I was 16, when we moved back to England and I met my first entrepreneur. I was blown away by how exciting his life was and what he’d achieved by starting and growing businesses. In the space of a few weeks (or possibly days) my dreams changed, and I announced to my parents that I was no longer going to be a famous actress, but a famous business woman. I couldn’t quite lose the “famous” bit! After a very unglamorous start in classified telesales and various other sales-related roles, I started working in the advertising industry in London. In 1992, I was offered the chance to launch a product for a client in Dubai, United Arab Emirates. “Where’s that?” I remember asking 15 years ago. Little did I realize that this majestic city would be the launch pad for my dreams. Even though Dubai was little more than 30 years old, as a city it was inspirational. I just knew this was where I could make my mark, start my business, become famous! I ran out of excuses for the London agency to keep flying me back to Dubai, so I made a life-changing decision: I resigned, wished farewell to my friends and family and headed back out to Dubai to live my dream, all in the space of two weeks. I was afraid if I hung around too

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> I ran out of excuses for the London agency to keep flying me back to Dubai, so I made a lifechanging decision: I resigned, wished farewell to my friends and family and headed back out to Dubai to live my dream, all in the space of two weeks. I was afraid if I hung around too long people would SNIOP me (it means becoming Susceptible to the Negative Influences of Other People), especially as they kept reminding me I had no money, no business idea or plan, and nowhere to live! long people would SNIOP me (it means becoming Susceptible to the Negative Influences of Other People), especially as they kept reminding me I had no money, no business idea or plan, and nowhere to live! In order to live the dream, I needed to start it, but I still didn’t know what I was going to do. My business was shaped by a challenge I received from a prominent businessman in Dubai who owned the daily English newspaper. I confidently announced I could significantly improve his classifieds team and their sales results. He accepted and I delivered my first training program. I’d come around full circle –“holding court” with a team of brilliant ladies eager to learn the art of telephone sales. The results were hugely successful (despite the atrocious spelling in my first training manuals!), so my business was

born: delivering motivational and sales training to corporate clients. Over the last 15 years, it has grown from one naïve but enthusiastic person to a brilliant team of over 35 professionals with offices in Dubai and Bahrain, an impressive list of blue chip clients and a range of consulting and training services. I live my dream every day, owning my business, growing people and chipping away at becoming famous! I look forward to meeting you at the EO Tokyo University and Global Leadership Conference (GLC) in Dubai next year. If you know who I am, I’m on my way to making my dream of fame a reality! Hazel Jackson is Founder and Managing Director of Dubai-based Biz-Ability F2 LLC, a human resources solutions consultancy. 

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THE LIST: 100 Top Entrepreneurs Who Succeeded without a College Degree by Adam Toren

In another article, we address the question, “Is College Necessary for Entrepreneurs?” While there are certainly good arguments for both sides, it’s a fact that a college degree does not guarantee success. And there are countless determined entrepreneurs who have proven that success can be achieved despite a lack of higher education. We have compiled a list of 100 amazing “degreeless” entrepreneurs who have risen to the top. Some high-profile entrepreneurs you will recognize immediately, while others you may be discovering for the first time. Many of them didn’t complete elementary

school, and still more are considered high school dropouts. Their backgrounds and industries run the gamut; however, they all have at least two things in common: incredible success and no college degree. My brother, Matthew, and I aren’t on this list (didn’t want to toot our own horns… well, at least not too loudly); however, we count ourselves among the golden many who achieved success without attending college. Entrepreneurs at an early age, Matthew and I had already started six (toot toot) businesses by the time we graduated high school. We were both offered college scholarships, but turned them down–it was

clear to us that college was not in our future. Within a week of graduating high school, we bought a bar/café/billiards location, which we overhauled, re-branded and turned into a hot spot; and on the 12-month we sold it for a great profit. Of course, we have gone on to start several more businesses, both offline and online, and we have never once looked back. While we’ve listed our Top 100, we know there are hundreds (if not thousands) more entrepreneurs who have achieved success without a college a degree. Are you one of them? Let us know who we forgot by posting your comments below. Fall/Winter 2010 • SelfMadeMagazine.com

The List • Abraham Lincoln, lawyer, U.S. president. Finished one year of formal schooling, self-taught himself trigonometry, and read Blackstone on his own to become a lawyer. • Amadeo Peter Giannini, multimillionaire founder of Bank of America. Dropped out of high school. • ANDREW CARNEGIE, industrialist and philanthropist, and one of the first mega-billionaires in the US. Elementary school dropout. • Andrew Jackson, U.S. president, general, attorney, judge, congressman. Home-schooled. Became a practicing attorney by the age of 35–without a formal education. • Andrew Perlman, co-founder of GreatPoint. Dropped out of Washington University to start Cignal Global Communications, an Internet communications company, when he was only 19.

• Benjamin Franklin, inventor, scientist, author, entrepreneur. Primarily home-schooled. • Billy Joe (Red) McCombs, billionaire, founder of Clear Channel media, real estate investor. Dropped out of law school to sell cars in 1950. • Bob Proctor, motivational speaker, bestselling author, and co-founder of Life Success Publishing. Attended two months of high school. • Bram Cohen, BitTorrent developer. Attended State University of New York at Buffalo for a year. • Carl Lindner, billionaire investor, founder of United Dairy Farmers. Dropped out of high school at the age of 14. • Charles Culpeper, owner and CEO of Coca Cola. Dropped out of high school.

• Anne Beiler, multimillionaire co-founder of Auntie Anne’s Pretzels. Dropped out of high school.

• Christopher Columbus, explorer, discoverer of new lands. Primarily home-schooled.

• Ansel Adams, world-famous photographer. Dropped out of high school.

• Coco Chanel, founder of fashion brand Chanel. A perfume bearing her name, Chanel No. 5, kept her name famous.

• Ashley Qualls, founder of Whateverlife.com, left high school at the age of 15 to devote herself to building her website business. She was worth more than a million dollars by 17. • Barbara Lynch, chef, owner of a group of restaurants, worth over $10 million, in Boston. Dropped out of high school. • Barry Diller, billionaire, Hollywood mogul, Internet maven, founder of Fox Broadcasting Company, chairman of IAC/InterActive Corp (owner of Ask. com) • Ben Kaufman, 21-year-old serial entrepreneur, founder of Kluster. Dropped out of college in his freshman year.

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• David Green, billionaire founder of Hobby Lobby. Started the Hobby Lobby chain with only $600. High school graduate. • David Karp, founder of Tumblr. Dropped out of school at 15, then homeschooled. Did not attend college. • David Neeleman, founder of JetBlue Airlines. Dropped out of college after three years. • David Ogilvy, advertising executive and copywriter. Was expelled from Oxford University at the age of 20. • David Oreck, multimillionaire founder of The Oreck Corporation. Quit college to enlist in the Army Air Corps. • Debbi Fields, founder of Mrs. Fields Chocolate Chippery. Later renamed, franchised, then sold Mrs. Field’s Cookies. • DeWitt Wallace, founder and publisher of Reader’s Digest. Dropped out of college after one year. Went back, then dropped out again after the second year. • Dov Charney, founder of American Apparel. Started the company in high school, and never attended college. • Dustin Moskovitz, multi-millionaire co-founder of Facebook. Harvard dropout.

• Colonel Harlan Sanders, founder of Kentucky Fried Chicken (KFC). Dropped out of elementary school, later earned law degree by correspondence.

• Frank Lloyd Wright, the most influential architect of the twentieth century. Never attended high school.

• Craig McCaw, billionaire founder of McCaw Cellular. Did not complete college.

• Frederick “Freddy” Laker, billionaire airline entrepreneur. High school dropout.

• Dave Thomas, billionaire founder of Wendy’s. Dropped out of high school at 15.

• Frederick Henry Royce, auto designer, multimillionaire co-founder of Rolls-Royce. Dropped out of elementary school.

• David Geffen, billionaire founder of Geffen Records and co-founder of DreamWorks. Dropped out of college after completing one year.

• George Eastman, multimillionaire inventor, Kodak founder. Dropped out of high school.

• Henry J. Kaiser, multimillionaire and founder of Kaiser Aluminum. Dropped out of high school. • Hyman Golden, co-founder of Snapple. Dropped out of high school. • Ingvar Kamprad, founder of IKEA, one of the richest people in the world, dyslexic. • Isaac Merrit Singer, sewing machine inventor, founder of Singer. Elementary school dropout. • Jack Crawford Taylor, founder of Enterprise Rent-a-Car. Dropped out of college to become a WWII fighter pilot in the Navy. • Jake Nickell, co-founder and CEO of Threadless.com. Did not graduate from college.

• George Naddaff, founder of UFood Grill and Boston Chicken. Did not attend college. • Gurbaksh Chahal, multimillionaire founder of BlueLithium and Click Again. Dropped out at 16, when he founded Click Again. • H. Wayne Huizenga, founder of WMX garbage company, helped build Blockbuster video chain. Joined the Army out of high school, and later went to college only to drop out during his first year. • Henry Ford, billionaire founder of Ford Motor Company. Did not attend college.

• James Cameron, Oscar-winning director, screenwriter, and producer. Dropped out of college. • Jay Van Andel, billionaire cofounder of Amway. Never attended college. • Jeffrey Kalmikoff, co-founder and chief creative officer of Threadless.com. Did not graduate from college. • Jerry Yang, co-founder of Yahoo! Dropped out of PhD program. • Jimmy Dean, multimillionaire founder of Jimmy Dean Foods. Dropped out of high school at 16. • John D. Rockefeller Sr., billionaire founder of Standard Oil. Dropped

out of high school just two months before graduating, though later took some courses at a local business school. • John Mackey, founder of Whole Foods. Enrolled and dropped out college six times. • John Paul DeJoria, billionaire cofounder of John Paul Mitchell Systems, founder of Patron Spirits tequilla. Joined the Navy after high school. • Joyce C. Hall, founder of Hallmark. Started selling greeting cards at the age of 18. Did not attend college. • Kemmons Wilson, multimillionaire, founder of Holiday Inn. High school dropout. • Kenneth Hendricks, billionaire founder of ABC Supply. High school dropout. • Kenny Johnson, founder of Dial-AWaiter restaurant delivery. College dropout. • Kevin Rose, founder of Digg.com. Dropped out of college during his second year. • Kirk Kerkorian, billionaire investor, owner of Mandalay Bay and Mirage Resorts, and MGM movie studio. Dropped out eighth-grade. • Larry Ellison, billionaire co-founder of Oracle software company. Dropped out of two different colleges. • Leandro Rizzuto, billionaire founder of Conair. Dropped out of college. Started Conair with $100 and hot-air hair roller invention. • Leslie Wexner, billionaire founder of a Limited Brands. Dropped out of law school. Started the Limited with $5,000. • Marc Rich, commodities investor, billionaire. Founder of Marc Rich & Co. Did not finish college. Fall/Winter 2010 • SelfMadeMagazine.com

The List

(continued)

• Marcus Loew, multimillionaire founder of Loews theaters, co-founder of MGM movie studio. Elementary school dropout. • Mark Ecko, founder of Mark Ecko Enterprises. Dropped out of college. • Mary Kay Ash, founder of Mary Kay Inc. Did not attend college. • Michael Dell, billionaire founder of Dell Computers, which started out of his college dorm room. Dropped out of college. • Michael Rubin, founder of Global Sports. Dropped out of college in his first year. • Micky Jagtiani, billionaire retailer, Landmark International. Dropped out of accounting school. • Milton Hershey, founder of Hershey’s Milk Chocolate. Fourth grade education.

• Richard Schulze, Best Buy founder. Did not attend college. • Rob Kalin, founder of Etsy. Flunked out of high school, enrolled in art school for a time, faked a student ID at MIT so he could take classes. His professors subsequently helped him get into NYU, they were so impressed. • Ron Popeil, multimillionaire founder of Ronco, inventor, producer, infomercial star. Did not finish college. • Rush Limbaugh, multi-millionaire media mogul, radio talk show host. Dropped out of college. • Russell Simmons, co-founder of Def Jam records, founder of Russell Simmons Music Group, Phat Farm fashions, bestselling author. Did not finish college. • S. Daniel Abraham, founder of SlimFast, billionaire. Did not attend college.

• Pete Cashmore, founder of Mashable.com at the age of 19.

• Sean John Combs, entertainer, producer, fashion designer, and entrepreneur. Never finished college.

• Philip Green, Topshop billionaire retail mogul. Dropped out of high school.

• Shawn Fanning, developer of Napster. Dropped out of college at the age of 19.

• Rachael Ray, Food Network cooking show star, food industry entrepreneur, with no formal culinary arts training. Never attended college.

• Simon Cowell, TV producer, music judge on American Idol, The X Factor, and Britain’s Got Talent. High school dropout.

• Ray Kroc, founder of McDonald’s. Dropped out of high school.

• Steve Madden, shoe designer. Dropped out of college.

• Richard Branson, billionaire founder of Virgin Records, Virgin Atlantic Airways, Virgin Mobile, and more. Dropped out of high school at 16.

• Steve Wozniak, co-founder of Apple, billionaire. Did not complete college.

• Richard DeVos, co-founder of Amway. Served in the Army and did not attend college.

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• Ted Murphy, founder of social media company Izea Entertainment. Dropped out of college. • Theodore Waitt, billionaire

founder of Gateway Computers. Dropped out of college to start Gateway–one semester before graduating. • Thomas Edison, inventor of the lightbulb, phonograph, and more. Primarily home-schooled, then joined the railroad when he was only 12. • Tom Anderson, co-founder and “friend” of MySpace. Dropped out of high school. • Ty Warner, billionaire developer of Beanie Babies, real estate investor, and hotel owner. Dropped out of college. • Vidal Sassoon, founder of Vidal Sassoon, multimillionaire. Dropped out of high school. • W. Clement Stone, multimillionaire insurance man, author, founder of Success magazine. Dropped out of elementary school. Later attended high school, graduating. Attended but did not finish college. • W.T. Grant, founder of W.T. Grant department stores, multimillionaire. Dropped out of high school. • Wally “Famous” Amos, multimillionaire entrepreneur, author, talent agent, founder of Famous Amos cookies. Left high school at 17 to join the Air Force. • Walt Disney, founder of the Walt Disney Company. Dropped out of high school at 16. • Wolfgang Puck, chef, owner of 16 restaurants and 80 bistros. Quit school at the age of 14. • Y.C. Wang, billionaire founder of Formosa Plastics. Did not attend high school. For more successful people who didn’t complete college, including actors, sports stars, and more, check out collegedropoutshalloffame.com 

IF IT Was EasY EVERYONE WOULD DO IT.

YOUR PEERS ARE WAITING - JOIN THEM. Every day, leading business owners rely on the Entrepreneurs’ Organization as their source for personal and professional growth.

Get connected today at www.eonetwork.org

Fall/Winter 2010 • SelfMadeMagazine.com

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Reaching the Masses One Person at a Time BY Scott Dorsey There’s been much talk lately about oneto-one marketing. The idea is to provide a unique product or service for each customer based on preferences or needs. True personalized marketing is not as difficult to attain as it might seem. One of the easiest ways to implement one-to-one marketing initiatives is permission-based email. The advantages of email are that it is simple to use and makes it easy to target individuals with relevant information. Since email is inexpensive, it can be used by both large and small organizations to create closer relationships with constituents, whether they are prospects, customers, members, partners, investors or employees. The Scotts Miracle-Gro Company is a good example of how personalized email can work. Their gardening newsletter delivers customized lawn and garden care advice from a single email template to nearly 750,000 customers based on geographic, climate and horticultural needs. Scotts dynamically generates thousands of individual recommendations based on the customer’s address, grass and garden type and variables such as weather and local growing conditions. JamBase is a niche music marketing company that provides tour dates, information, concert reviews, articles and links for thousands of improvisational bands worldwide. JamBase integrates their subscriber database with online marketing software and sends 10-15 specialized email communications each day to fans who count on them to provide timely information on concerts and events in their particular area. The engine that drives one-to-one email marketing is called dynamic content. With dynamic content, marketers can create a single email template that delivers unique, personalized emails to subscribers based on demographic and other information gathered from the customer. It all starts with the data to feed dynamic content. Marketers need good customer da-

SelfMadeMagazine.com • Fall/Winter 2010

> The Scotts Miracle-Gro Company is a good example of how personalized email can work. Their gardening newsletter delivers customized lawn and garden care advice from a single email template to nearly 750,000 customers based on geographic, climate and horticultural needs. Scotts dynamically generates thousands of individual recommendations based on the customer’s address, grass and garden type and variables such as weather and local growing conditions.

ta. Capturing data can take place over time through surveys, commerce data, customer service data, opt-in forms, user profile pages, etc. The simplest and most widely used data collection method is to ask for information directly from email subscribers when subscribers register for your email, at point of purchase or via a survey. This information includes: Contact information, such as email address, name, physical address and phone number. Basic demographics, such as gender, age and occupation. Preferences, such as interests, frequency and best time to contact Attitudinal information, such as survey responses that reflect viewpoints and opinions. Although it is tempting to collect as much information as possible from the subscriber immediately, this can backfire. Subscribers value their personal information. If too much information is required, people either lie or simply abandon the registration or purchase process. It’s best to start with three or four data

points: email address, name, title (Mr., Mrs., etc.) and geographic location. Requiring these elements usually does not impact completion rates but helps unlock key insights, such as gender. Following the registration process, this information can be used to append additional data attributes or to organize follow-up emails with surveys or additional questions. Each time your subscribers interact with your website or email program, you have another opportunity to learn additional information. Certain types of information can be valuable in driving relevant content but may be difficult to get unless appended, for example, number of children, income and home value. Only a few data points—typically name and physical address—are needed to append comprehensive demographic data to your file. If all this seems overwhelming, you can make great gains just by starting small—simply inserting a person’s first name into an e-mail can increase open rates by as much as 10 percent. Scott Dorsey Scott Dorsey is President and Co-Founder of ExactTarget, an email marketing service provider. Founded in 2001, the company now has more than 5,000 customers using its web-based, trackable, permission-based email marketing software. ExactTarget, was named to the 2006 Inc. 500 list of fastest growing companies. Scott can be contacted via email at scott@exacttarget.com. 

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I n t e r n a tion a l S u c cess

Britain’s Top Entrepreneurs 2010 By Adam Toren Each January, Management Today’s

comprehensive analysis of the vibrant entrepreneurial scene in the UK is eagerly awaited. The list should represent more of a celebration than usual this year as the list surely represents more than just a list of survivors in this brutal economy, rather those that have beaten the odds and risen without restraint to these successful heights. The list is compiled using a variety of factors including the wealth of the individual, the growth in turnover for the associated company during the past five years and the number of jobs created during the same period. Combined, these factors clearly define the most successful entrepreneurs. It’s interesting to note that, expressed as a whole, Management Today’s list has experienced a 200 percent increase in job creation over the last half decade and tripled combined turnover.

Mike Lynch Technology designed by Lynch’s company Autonomy is in use by more than 160 major corporations around the world. The software can be used across a range of market sectors and is based on content management approaches first suggested during the 18th century by a clergyman, Thomas Bayes. Fundamentally, the products allow a business to structure its unstructured data in such a way that it can give itself a competitive advantage. In existence since 2000, Autonomy has steadily recovered following an initial setback caused by the dot com bubble and Lynch is now quite comfortable with his estimated £215 million net worth. Ri c h a r d Ree d , Adam Balon and Jon Wright Once again,

innocent lookin g, unassuming college graduates rocket to the

top of the world of business, in this case a trio of graduates from Cambridge University. Their unusual and flavorful smoothies were a hit from the start and within 10 years the company has rocketed forward to account for 70 percent of the smoothie market in the UK. The company, Innocent Drinks, recently sold 20 percent of its shares to Coca-Cola and employs almost 300 people within the manufacturing and distribution operation. Each of the founders is estimated to be worth £55 million.

Ashley Head Worldwide experience in banking and payment processing throughout his career has clearly propelled Head to the head of his industry. Datacash is one of the top payment processing operations in Britain and, as executive chairman of its board, Head has had much to do with its 500 percent rise in turnover over the past five years. Success has accelerated due to the proliferation of retail sales online and there is likely to be increased demand for the company’s services through 2010 and beyond.

Andrew and Paul Gower Riding

Duncan Bannatyne Unlike some

on a wave of interest in multiplayer computer games, Andrew Gower’s invention, RuneScape has an avid list of followers throughout Britain and beyond. It is estimated that one million people subscribe to play the game every month in Britain, a creation of Andrew’s when he was an undergraduate in Cambridge University. He and his brother formed Jagex, a privately held company to administer the growth, and progress has been steady for the last five years. The brothers are adamant that they are not going to lose control of their brainchild and plan to expand into foreign-language countries soon.

Zuber Issa The son of immigrants, Issa entered the ranks of the self-employed at the tender age of 17 selling newspapers. While he may not have set the world on fire, his introduction to retail sales at this age was to set him in good stead. Now the owner of some 70 filling stations and associated shops in the northwest of England, Issa is estimated to be worth around £60 million. Most of the petrol stations were rundown and dilapidated when his company assumed control and each was renovated and subsequently branded by one of the major companies, Shell, BP, Texaco or Total. Euro Garages plans to double its size within the next five years.

other figures at the top of the entrepreneurial list, Bannatyne is himself a celebrity. He is well-known as one of the brash hosts of Dragons Den, a popular BBC TV reality show focused on up-and-coming entrepreneurs. Bannatyne Group emerged from a career including housing construction and fitness clubs and is now the largest independent operator of gymnasiums in the country. He has his finger in many proverbial pies, is a published author, a hotelier and owns numerous properties overseas. His net worth is in the region of £310 million. La u r e n c e G r aff

One of Britain’s most prominent businessmen and known as the “King of Diamonds,” Graff’s business, Graff Diamond International, continues to expand. Some of his business dealings are legendary and his organization now has 35 outlets around the world. Currently there are record prices for diamonds and this has undoubtedly fueled a five year rise in turnover of 249 percent. The man himself is valued at a conservative £2b.Britain continues to provide more than its fair share of inspiration and entrepreneurial spirit!  Fall/Winter 2010 • SelfMadeMagazine.com

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5 Questions to Ask While Searching for a Co-Founder BY Vimarsh Bajpai

Starting your business, espe-

cially the first one, is like starting a new life. If you are sure of what you want to achieve, you would soon find yourself thinking and talking about your startup all the time, as if you were living in a new world. This is where you need someone who could share your vision, help you strategize better and work with you to make the plan work on ground. This could be your first key employee, a mentor or better still, a co-founder. A co-founder is someone you can trust and fall back on. Some entrepreneurs prefer to tie-up with their old college friend or a colleague they know quite well, provided they have the right skills. Some bring their spouses or siblings on board, if they share the same vision. However, the worst thing that you can do to yourself and your startup is to make someone a co-founder only because he/she is “known” to you. Business is about hard facts and numbers; it is not a boat ride or a mountaineering trip. So, you need to be cautious as to whom you want for co-founder. A right co-founder can add a lot of value and make your entrepreneurial journey worthwhile, while a wrong one can rock the boat and leave you gasping for breath. If you are looking for a co-founder, ask yourself some quick questions:

1. Do you really need a co-founder?

Sometimes the uniqueness of the business makes it difficult to find the right person with whom you could share your vision. This is mostly true for businesses that are born out of creative skills. Take the case of a fashion designer wanting to start a clothing line or an architect wanting to design green properties.

SelfMadeMagazine.com • Fall/Winter 2010

be better to focus on the “skills” you are looking for. 3. How many is too many?

Having two or three co-founders works wonders, but a large team could make the things a bit difficult. Unless your startup is of the scale that needs several people working out of different locations, it is better to have a small team. This makes decision-making faster.

4. What skills are you looking for?

So, instead of getting the wrong person on board as a co-founder, it is always better not to have one. Instead, you can look for hiring a team of senior employees who would bring complementary skills to the table without you having to share profits with them. So ask yourself whether or not you really need a co-founder. 2. Is there an ideal co-founder?

The answer is “No.” Finding a co-founder is like looking for a life-partner. You may have a checklist of the qualities you want, but eventually he/she will be a person with both good and bad qualities. Instead of stereotyping the kind of “person” you want, it would

To zero in on a list of skills you are looking for in your prospective co-founder, you should first be sure of your own. If you are doing a technology startup and are great at operations, you might want to look for someone who would do wonders at marketing and sales. So you work on the product, while your co-founder goes about getting more business. Complementary skills are what you should focus on, so that each brings value to the table. Get to the drawing board and write down the areas where your startup needs that push. 5. Can you trust your co-founder?

If you have nearly decided on whom you want for your co-founder, this is a big question to ask. A business partnership depends a great deal on trusting each other, so choose only those with whom you would be comfortable sharing the minute details of your business. There could be times when some people around you might want to drive a wedge between you and your co-founder, in which case only a strong partnership based on trust would survive. View Vimarsh's bio here. 

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How to Kick Butt and Take Names (Literally) with Your PPC Campaign BY Scott Dorsey

When used properly, pay per click (PPC)

advertising can be a small business’s most effective lead-building and sales-generation tool. Paid search allows your company to show up at the top of the search results for targeted keywords that attract searchers who are in the final stages of the buying cycle. You can earn a huge return on your investment when you use PPC advertising the right way. Of course, there’s that one important phrase: the right way. Unfortunately, most PPC campaigns I see aren’t being done the right way at all. Companies are throwing away their money due to poorly written ads, generic landing pages, and costly mistakes that lose conversions. The good news is that it’s really not all that

difficult to run a good PPC campaign. Aside from choosing the right keywords (a topic for another post altogether), the success of your PPC campaign relies most heavily on your copywriting. This includes the copy for your ads and your landing pages. Copywriting tips for PPC ads

How can you write ads that make searchers click? Here are some good tips you should follow when creating your ads. 1. Implement keywords in your ads—Using keywords in your ads is important for a couple of reasons. First, it causes your ad to stand out because the keywords searched for

will be bolded in your ad copy. Second, it lets the searcher know that you have what they’re looking for. 2. Use powerful words—You need to use words that catch the searcher’s attention and force them to click on your ad. Examples of powerful words include: free, guaranteed, discover, today, limited time, improve, increase, exclusive, and you, to name just a handful. 3. Focus on what makes you unique— What’s your unique selling proposition? What’s the thing that makes you different from everyone else? Is it your guarantee? Your experience? Your prices?

Fall/Winter 2010 • SelfMadeMagazine.com

4. Tell the customer how he will benefit— Customers only care about one thing: How they will benefit by doing business with you. You need to clearly capture the benefits in your ad. 5. Have a call to action—A strong call to action can motivate searchers to wake up and click on your ad. Your call to action should be simple and clear, like “Get your FREE quote today.” 6. Ask a question—Leading questions can help draw searchers in, creating a sense of intrigue around your products and services. “What’s the secret to losing 20 pounds in 2 weeks?” Or, “Want to lose weight fast?” 7. Make them click to learn more—Adding an ellipses to the final phrase of your ad can let searchers know there’s more to be discovered when they click your ad. For example, “Read This Before You Hire a Web Designer…” 8. Test out different ads—Never stop testing out different versions of your ads. Sometimes, simply changing a single word in your ad can cause your click-through rate to jump through the roof. Always be testing! Copywriting tips for landing pages

Now that you know how to get people to click on your ads, the next step is to write landing pages that convert. Here’s how you do it. 1. Define conversion—What do you consider a conversion? Do you want people to buy immediately? Do you want them to fill out a form for a free consultation? Sign up for your newsletter? Figure out the one thing you want clickers to do, because this is how you will measure the effectiveness of your PPC campaign. 2. Have a clear call to action and repeat it— Once you’ve identified what a conversion is, you need to tailor your call to action around that. For example, if you want visitors to fill out a form for a free consultation, tell them to do so. That’s your call to action. I like to repeat the call to action about once every screen view so that people can always take action no matter where they are on your page. 3. Focus your headline on your strongest benefit—The headline is the first thing someone sees after clicking on your ad. It needs to be strong enough to convince them to keep

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reading. Remember, customers only care about what’s in it for them, so focus on your most important benefit in your headline. 4. Make your landing page easy to scan— Online users tend to scan content in an Fshaped pattern, rather than actually read it word for word. Use plenty of bullet points, subheads, short paragraphs, and bolded text to make your content easy to scan. 5. Make sure your landing page delivers on the ad’s promise—If your ad promises to tell people the secret to losing weight fast, your landing page needs to deliver on that. Unity between the ad and the landing page is essential for PPC success. 6. Don’t give readers too many options—A lot of people make the mistake of thinking that by giving their customers a variety of choices, the customer will be able to find something that works best for them. That’s not how it works. Too many choices actually cause the

customer to get overwhelmed, making no choice at all. 7. Use testimonials to gain credibility— Customers don’t trust you. It’s just that simple. But they do trust their fellow customers. By including testimonials from satisfied customers on your landing page, you can instantly boost your credibility. 8. Cut the fluff—Online users want information delivered as quickly and clearly as possible. Remove any unnecessary words and phrases from your copy as they can water down your main message. There you have it. That’s really all there is to it. You now have the information you need to start building a successful PPC campaign. Just make sure you do solid keyword research, and never stop testing different ads and landing pages. View Scott's bio here. 

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The 3 Most Common Mistakes When Growing an Idea into a Business BY JONATHAN KAY

Passion is an unbelievable thing. It’s often what motivates me to get up in the morning, and it's definitely what fuels me to be exceptional at my job. You need passion to start something new, to go above and beyond, or even to approach something in a completely original way. Passion is what differentiates a “Financial Analyst II” at Fidelity from Ryan Smith, the founder of TimeOff (a young innovator who works 9-5 to pay rent and 5 to 9 because he is an entrepreneur). However, as great as passion is and as far as it can take you…you have to be careful. Sometimes this energy and excitement can be blinding. Some people are so tremendously passionate, yet lack the ability to take ownership and really get things done. At times this can even result in overlooking an obstacle so simple, and right in front of you. Coming from someone who is so passionate that he earned the title of “Ambassador of Buzz”; I wanted to share a few insights and common mistakes I have seen entrepreneurs make when trying to take their idea and grow it into a business:

consumers aren’t buying just to buy anymore. You now need to be imperative. Your end user might be more worried about if they are going to make payroll next week, or how they are going to pay their rent. Make your value added proposition short, clear, and jump out at them. And if all else fails remember these wise words from Troiano: “Startups fail because the dog won’t eat the dog food”. 2. Hiring the best technical fit

Seth Godin makes a really interesting point in his new book LinchPin, that I think really helps drive this idea home “In a factory, doing a job that’s not yours is dangerous. Now, if you’re a linchpin, doing a job that’s not getting done is essential.” A linchpin is a single person or thing that is critical to the whole; a central source of stability and security. As you grow your company you will need to hire people who can help you accomplish your goals. It’s not always hard to find someone who is a technical fit for the job…but remember that you are an Some of the best advice I’ve ever entrepreneur, not been given was, "Just go out and do a factory owner. something...anything." You might fail. I Make sure that new hires are am not saying you are sure to succeed; your not only people however, what I can guarantee is that you like working with, but people you will learn something. who understand and see the same vision that you see. Make sure they identify 1. Trying to be interesting, and not imwith your core purpose. Surround yourself perative with linchpins and they will find a way to make I wish I could take credit for this one, but your business successful. I was lucky enough to learn this lesson from Michael Troiano, a brand/advertising expert here in Boston. People tend to think that be3. Waiting until things are "perfect" because their ideas are interesting they will sell– fore you launch but that is often not the case. Maybe 10 years We now live in a world where “failing fast” ago, interesting would have been enough, but is essential. By waiting to grow your idea into

a business and making sure every little thing is perfect, all you are doing is giving the rest of the world more of an opportunity to create something similar. Some of the best advice I’ve ever been given was, “Just go out and do something…anything.” You might fail. I am not saying you are sure to succeed; however, what I can guarantee is that you will learn something. You never know—what you end up learning might be even more valuable than the idea you started with. But if you never got out there and started something, you would still be sitting there just talking….and what fun is that? What mistakes have you made? What lessons have you learned along the way that made you who you are today? Jonathan Kay is the Ambassador of Buzz at Grasshopper Group. Read more about Jonathan here.  Fall/Winter 2010 • SelfMadeMagazine.com

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Build a Better Marketing Machine BY Eric Keiles I can honestly say that after working with

hundreds of entrepreneurs during the last 10 years, one of the critical mistakes they make is executing marketing tactics without developing a clear strategy. In fact, most entrepreneurs are fantastic at executing their product or service but randomly throw money into marketing tactics without taking the time to understand and develop their company’s position in the marketplace. Have you had this conversation with your team? “We’ve placed ads in this trade magazine before, and we don’t get any response.” Or, “Our online strategy is driving some people to our website, but nobody’s clicking through.” These are common occurrences that we experience when beginning an engagement. Our clients all have great products and services, but they don’t know how to deliver the message of why their product is different or, better yet, remarkable. One client was spending more than US$10,000 a month on a marketing mix of eight different programs. We realized that they were in the right places to communicate but were delivering a message that was way off base from what their clients needed to hear. After answering the following four key questions, we were able to help with a strategy to deliver the target marketing messages: • Who is your target market? • What problems do they have in purchasing the service? • What are your company’s solutions? • What makes you remarkable enough to do business with? In just 30 days, response switched from a source of disappointment to a source of multiple inquiries and prospects. In addition, we helped them change their thinking regarding the goals of their marketing efforts from, “We are going to get sales directly from our advertisements.” Instead, we helped them realize that their main goal is to build a prospect database. By knowing this goal, they can

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> Think like your customers and understand what pains or problems they have in purchasing your product or service. Your mission in marketing is to solve those problems, and empathy will go a long way in making the prospect feel assured that you can help. become even more targeted in their tactics moving forward. Using this simple change in your thinking, you can build a better marketing machine and dramatically increase your ROMI (Return On Marketing Investment).

chasing your product or service. Your mission in marketing is to solve those problems, and empathy will go a long way in making the prospect feel assured that you can help. 3. WHAT ARE THE SOLUTIONS?

Understand how your company provides solutions to your customers’ problems. If you can’t provide the solutions, marketing is not your main problem. The solutions your company offers should clearly match the pains and will be the basis for your marketing campaign. 4. DO IT REMARKABLY.

The most critical part is not only that you solve people’s problems but that you do it in a remarkable fashion. Don’t just say, “We are open late.” Instead say, “We are sensitive to working individuals and stay open until midnight Wednesday through Friday to fit your schedule.” By changing the way you package or position a service or product that you already provide, you can show your clients and prospects that you truly ARE remarkable! 1. UNDERSTAND YOUR TARGET MARKET.

Don’t just be a mortgage lender who does loans. Define your market in terms of the specific people with whom you wish to do business so that you can work strategically and focus your marketing dollars in that way. 2. UNDERSTAND THE PAINS AND PROBLEMS.

Think like your customers and understand what pains or problems they have in pur-

Eric Keiles Eric Keiles is the Chief Marketing Officer at Square 2 Marketing. This business practices Reality MarketingTM, a realistic way small- and medium-sized businesses can generate more revenue without the “fluff.” More information and free resources to help your business can be found at www. square2marketing.com or by contacting Eric, a member of EO Philadelphia, directly at eric@square2marketing.com. 

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Dreaming the Future BY David Ryan

At age 31, I have just sold my nine-year-old insurance business to live my dream. As entrepreneurs, we extrapolate, create and execute. We spend much of our time doing and orchestrating, but it all begins with one thing: To live the dream, one has to dare to dream. I think, as entrepreneurs, that’s where it all begins. Over the years, I’ve had more than one dream that I was eager to pursue—ideas that hit me and that I thought I could put into practice. Some that might have worked (such as a lawn ornament to cover gas meters) and others that were shot down by market studies (like my idea for an internal automotive garbage system to decrease litter). Sound familiar? But one day, even as I was pursuing one dream as an entrepreneur, another dream grabbed me—one that I began to pursue doggedly. It started as I was writing a journal for my newborn daughter. I wanted to create a journal so that she could reflect on my love for her and

use my experiences in guiding her own life, much as we do with experience sharing in EO. But, not long after I began to write, I recognized some drawbacks to my chosen format: I was uncomfortable discussing certain mature topics, in fear that she might read the journal at a young age; I was unable to contribute to the journal when traveling because I didn’t want to lose it; and I wasn’t comfortable allowing others to contribute, though their input would be meaningful, because the topics and information I had revealed were too personal. I had to find another way of preserving my thoughts, events and emotions and sharing them only at a time when I wanted them to

be viewed, but no immediate solution presented itself. I thought a time capsule might be a good way to go, but I didn’t want to worry with the mess of digging and burying and all that. As I pondered ways to accomplish my goals, I realized that, with today’s technology, the answer was quite simple: I would create an electronic time capsule. It took me two years. During that time, I realized that others might desire an electronic time capsule of their own, for something similar or for something that had not yet occurred to me. I decided to offer this service to the world, to families everywhere. From there, it was all business. I began the market study and finally launched www.electronictimecapsule.com in May 2006. For me, my dream isn’t about business so much anymore. It’s fortunate that I’ve been able to translate my passion into something that is marketable, but it’s about more than that. Living the dream for me right now is seeing my daughter’s time capsule account being filled with messages, photos and videos from myself and all the important people around her. I know that, when these messages are delivered to her in 30 years, she will be able to tap into something that many of us only dream of— her history, her family and her innocence. I sure hope I never stop dreaming. David Ryan David Ryan is the President of Electronic Time Capsule. David’s personal mission is to create and lead situations to enhance people’s lives. 

> Over the years, I’ve had more than one dream that I was eager to pursue—ideas that hit me and that I thought I could put into practice. Some that might have worked (such as a lawn ornament to cover gas meters) and others that were shot down by market studies (like my idea for an internal automotive garbage system to decrease litter). Fall/Winter 2010 • SelfMadeMagazine.com

Building a Forecast for a Lender Getting a Loan

You’ve done the “back of the envelope” math and your business plan makes sense, but you still need to convince a banker of that. As someone with specific business expertise, you need to build a sound, logical connection between the fluid business dynamics that you understand and the “black-and-white” world of projected financial statements. The challenge of capturing the financial implications of a hypothetical business situation is so overwhelming that it often stops people from pursuing new ventures. It shouldn’t. Using the proper approach, you can meet this challenge efficiently and effectively.

Building a Better Forecast Model

The biggest mistake that you can make is to just open a spreadsheet and start modeling the first thing that comes to mind. There are many different ways to look at the same business. Therefore, it is important to first build a framework that best articulates the dynamics of your business. In addition, the logic used to support your calculations must be defendable and conservative.

Step One: Establish a Framework

Even basic businesses can be examined in multiple ways from a financial standpoint. The most relevant financial dynamics should be broken out on the income statement, while less important factors can be articulated using supporting documentation. Consider a hypothetical company, XYZ Widgets (“XYZ”). XYZ provides maintenance services for existing widgets. They sign quarterly Services Contracts with their customers. XYZ has three customer types: Government, Private Sector, and Warranty Service for Widget manufactures. All three customer types have different sales processes and pricing. XYZ plans to expand by constructing a workshop in which it will build Custom Widgets. To do so, however, it needs a loan. XYZ’s optimal income statement has two revenue streams: its existing Services Con-

SelfMadeMagazine.com • Fall/Winter 2010

XYZ Widgets 2011 Forecast Income Statement

Supporting Schedules

Calculation Detail

tracts account, and its prospective Custom Widgets account. Clearly, the bank will be most interested in seeing the new Custom Widgets operation broken out from the existing business. The customer-type dynamic is addressed using supporting schedules for each income statement account. In turn, both revenue accounts have Government, Private Sector, and Warranty Service sub-accounts. Step Two: Develop Logic

After constructing a framework, you need to build a defendable story around these business dynamics. The appropriate method for calculating future revenue is based on a number of factors. In this case, forecasting XYZ’s Services Contracts revenue is relatively easy. XYZ has experienced stable revenue growth for four years and has a reliable customer base. In 2011, XYZ expects to lose some Services Contracts because certain customers will buy Custom Widgets. XYZ looks at their historical numbers simply reduces the number of quarterly contracts in future periods based on customer feedback. As with Services Contracts, XYZ constructs sales plans for Custom Widgets by customer-type (Government, Private Sector,

and Warranty Service). In the calculation detail, sales are estimated to come from two sources: “current customers” and “new opportunities.” This adds a degree of complexity that is not in Services Contracts but is necessary given that there is no track record for this new Custom Widgets revenue stream. XYZ has already estimated the number of “current customers” that will buy while calculating Services Contracts. “New opportunities” is calculated using a (# of leads) x (leads conversion percentage) equation. Developing a Framework and Logic

Has this article simply stated the obvious? It may seem so, but the reality is that most people just jump into Excel and start plugging away before engaging in a serious discussion concerning the framework and logic for each section of their projected financial statements. Having this discussion with the key decision makers up-front, while potentially painful, will lead to better analysis in less time. If done properly, this financial construct can evolve into a robust financial management system as your company grows. Author: Christian Wielage, Director of Business Development with PlanGuru. Using powerful, yet easy-to-use modeling features and analytics tools, PlanGuru builds financial projections in a fraction of the time required using spreadsheet software. www.planguru.com 

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50 Women Entrepreneurs

Who Inspire Us By Matthew Toren

While timeless favorites like Oprah, Martha Stewart, Mary Kay Ash, Debbi Fields, and Jenny Craig immediately spring to mind, there are hundreds more women entrepreneurs whose outstanding accomplishments inspire and motivate others toward success. In recognition of their amazing creativity, dedication, and spirit, we are honored and thrilled to present the following list of 50 Women Entrepreneurs Who Inspire Us. It is the ability to admire and learn from these strong women that keeps us all, men and women alike, passionate and focused as we persevere through all of the challenges life throws our way. 28

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Sarah Prevette Sprouter.com

An entrepreneur long immersed in the startup community, Sarah has a firsthand familiarity with the common pitfalls of early stage startups and a grasp of the tips and tools that foster success. Sarah is the founder of Sprouter.com, and the Twestival Organizer for Toronto. Paola De Leo Brightwide.com

Formerly of Amnesty International, Paola De Leo is the co-founder of Brightwide.com with actor Colin Firth. Brightwide.com is a platform where you can watch the best social and political cinema online. The mission of Brightwide is to Watch, Think, Link, Act. Diane Heavin Curves

With her husband Gary, Diane Heavin founded the fitness chain, Curves, in 1992. The chain has since grown into the world’s largest fitness franchise, with nearly 10,000 in over 70 countries. The company, which serves over 4 million members, is about strengthening women, as their motto states. Genevieve Thiers SitterCity.com

Genevieve Thiers is the founder of SitterCity.com, the $5 million Inc. 500 company that matches service providers with service seekers in the areas of babysitting, housekeeping, tutoring, and more. Based in Chicago, the site hosts over a million profiles and provides services coast to coast. Rhonda Byrne Author, The Secret”

Listed among Time Magazine’s 2007 roll of 100 people who shape the world, Rhonda Byrne is the author of

the wildly successful book, The Secret, and the producer of the movie by the same name. Additionally, Byrne is the founder of a television production company called Prime Time Productions. Louise Hay Hay House, Inc.

Known as one of the founders of the self-help movement, Louise Hay is an accomplished author and publisher. Her company, Hay House Publishing, has published books for some of the leaders in self-help, including Dr. Wayne Dyer and Jerry and Ester Hicks, selling millions of copies worldwide. Suze Orman Suze Orman Media, Inc.

Called a “one-woman financial advice powerhouse” by USA Today, Suze Orman is a New York Times best selling author of numerous financial books, a writer, producer, and one of the top motivational speakers in the world. She is said to be America’s most recognized expert on personal finance. Gina Rinehart Hancock Prospecting, Pty Ltd

As chairman of Hancock Prospecting, one of Australia’s leading mining companies, Gina Rinehart was the recipient of the 2009 Commonwealth Bank Business Owner Award, the 2009 Telstra West Australian Business Woman of the Year award. She has enjoyed numerous other business achievements as well and is credited with being the world’s first female billionaire.

Maxine Clark Build-A-Bear Workshop, Inc.

Maxine Clark served as the President and Chief Merchandising Officer at Payless Shoesource, Inc. prior to starting Build-A-Bear Workshop. The company has over 340 stores all over the world and has annual revenues of over $120 million.

Robin Koval Kaplan Thaler Group, Ltd

As co-founder of the Kaplan Thaler Group, Robin Koval is a marketing strategist and new products expert. Her marketing ideas include, the “Yes, Yes, Yes” Herbal Essences campaign as well as the famous AFLAC duck quack. Robin is also the best-selling author of several books on marketing. Rachael Ray Rachael Ray Digital, LLC

Rachel Ray is the Emmy Awardwinning host of three Food Network shows as well as her own daytime talk show. Additionally, she has authored a number of books and has a magazine, Every Day with Rachel Ray. Julie Aigner-Clark Baby Einstein

A perfect example of finding a need and filling it, Julie Aigner-Clark founded Baby Einstein in 1998 when she was unable to find educational videos for her infant daughter. After seeing revenues of nearly $10 million in 2000, Aigner-Clark sold her company to the Walt Disney Company. Nancy Evans iVillage.com

Nancy Evans is cofounder of iVillage. com: The Women’s Network. The company, begun in 1995, provides effective solutions to everyday challenges facing women in their many roles as professionals, parents, friends and partners. iVillage was acquired by NBC Universal, Inc. in 2006. Ashley Qualls Whatever Life

In 2004, at the age of 14, Ashley Qualls started a website called WhateverLife. com, which was designed to provide free Fall/Winter 2010 • SelfMadeMagazine.com

MySpace layouts and HTML tutorials for teens. The popular website, still true to its original theme, gets an average of 60 million page views per month from 7 million unique visitors. Caterina Fake Flickr cofounder

Caterina Fake is the cofounder of Hunch. com, a website that is building a ‘taste graph’ of the entire web, connecting people online with their affinity for things through personalized recommendations. She is also a cofounder of Flickr, a photo sharing service that was sold in 2005 to Yahoo for 8 figures. She is also the recipient of multiple awards, including being listed by Time Magazine as one of the world’s 100 most influential people in 2006. Lisa Druxman Stroller Strides

Stroller Strides, Lisa Druxman’s brainchild, was started out of a need for Lisa to stay fit right after having her first child. She started the business from her home in San Diego, and now the company boasts over 300 franchises nationwide. Catherine Cook MyYearbook.com

At the age of 15, Catherine Cook cofounded MyYearbook.com, a social networking site that enables its 20 million plus members to meet new people. Currently a student at Georgetown University, Catherine has been reported on extensively by CNBC, MTV, ABC News, Fox News, BusinessWeek, the San Francisco Chronicle, and CBS. Nely Galán Galán Entertainment

Nely Galán launched her company, Galán Entertainment, in 1994 to create multi-platform content, specializing in the Latino market. To date, Galán is the only producer to have simultaneous hit shows in English and Spanish in the U.S. Galán has also appeared as a contestant on Celebrity Apprentice.

SelfMadeMagazine.com • Fall/Winter 2010

Eilleen Gittins

Blurb.com Eileen Gittins is the founder and CEO of Blurb.com, a printon-demand publishing startup that went from $1 million to $30 million in two years. Prior to founding Blurb, Eileen was CEO of Personify.com, VP at Wall Data, and has lived and worked all over the world. Juliette Brindak MissOandFriends.com

One of the most inspiring stories on our list, Juliette Bindak founded her company, Miss O and Friends, at the age of 10. By the time she was 19, just last year, the company had a value of more than $15 million. She also published her first book at the age of 16, which has sold over 120,000 copies. Arianna Huffington The Huffington Post

Named as one of Forbes’ Most Influential Women in Media in 2009, Arianna Huffington is the founder of The Huffington Post. Prior to The Huffington Post, Huffington hosted a website called Ariannaonline.com. Her first foray into the Internet was a website called Resignation.com, which called for the resignation of President Bill Clinton. Carrie Wilkerson Barefoot Marketing Group

Carrie Wilkerson, known as The Barefoot Executive, is the founder of Barefoot Marketing Group, where Carrie and her network of experts have quickly become the definitive resource for work at home professionals. (Check out our interview with Carrie here.) Mari Smith MariSmith.com

Dubbed “the pied piper of the online world” by Fast Company Magazine, Mari Smith is a relationship marketing spe-

cialist and social media keynote speaker, trainer, and consultant. Mari believes that “there’s no such thing as competition, most definitely for the small business owner and certainly for the solopreneur, because there’s only one ‘you’.” Gabrielle Bernstein Gabrielle Bernstein Inc.

In her book, Add more ~ing to Your Life, Gabrielle Bernstein says, “My mission in this lifetime is to help guide my generation to shift their search for happiness from the outside to the inside.” Gabrielle is also the founder of Women’s Entrepreneurial Network, a non-profit professional organization that connects female entrepreneurs, and HerFuture.com, which connects women with mentors. Ali Brown Ali International

Recognized on the 2009 Inc 500 list and recipient of the 2010 Enterprising Women of the Year award, Ali Brown is a true entrepreneur. She quit her job in 1998 and was down to less than $20 when she wrote an e-book, and everything changed. She has since become a foremost authority in driving sales and marketing via e-mail publishing, and even publishes her own magazine, Ali. Gina Bianchini Ning.com

After Harmonic Communications, a company she cofounded, was acquired by Dentsu, Gina Bianchini co-founded Ning, an online platform for people to create their own social networks. Ning was launched in 2005 and has since raised over $104 million in capital and has become a top 100 global website and one of the world’s most valuable start-ups. Loral Langemeier LiveOutLoud.com

After reaching a net worth of $1 million, Loral Langemeier decided she would start Live Out Loud, a coaching and seminar

company to help others reach this same level of success. The company started small with one office in 2002 and within 5 years grew to a $19 million dollar company. She is also the resident money expert on the Dr. Phil Show. Daryn Kagan DarynKagan.com

After over 12 years on CNN, Daryn Kagen launched her site in 2006 to “Show the World What’s Possible.” Her site is dedicated to true, positive, inspiring stories of ordinary people who rise to do inspiring things. Daryn also speaks around the country and is an active philanthropist. Sara Blakely Spanx

2002 Entrepreneur of the Year Award winner Sara Blakely says on her Spanx website, “With $5,000 in savings out of the back of my apartment, a whole lot of Internet research, patent writing, cold-calling, lessthan-shy demonstrations for buyers, and a call from Oprah...Spanx was born!” Sara has also formed the Sara Blakely Foundation, which focuses on supporting and empowering women around the world. Amilya Antonetti Lucky Napkin

Because of a severe allergic reaction her newborn son had to synthetic cleaning products, Amilya Antonetti founded Soap Works, a company that produced natural cleaning products. After selling the company, Amilya started Lucky Napkin, a company that assists people in taking their ideas “from mind to market.” Paula Deen Paula Deen Enterprises

Cook, restaurateur, author, and Emmy Award-winning television personality, Paula Deen has won two Daytime Emmy Awards, and one of her restaurants has been honored as “International Meal of the Year” by

USA Today. Paula also owns the Paula Deen Savannah Beach House, and Paula Deen Home, a collection of fine home furnishings. Susan Handley Beijo Bags

Susan Handley first started designing handbags when she was ten years old. Now, Beijo Bags provides opportunities for over 1,000 independent sales reps all over the US and Canada to have fun and make money, selling top quality handbags and accessories. The company currently produces over $25 million in annual sales. Kate Everett Thorp Divine Caroline (Real Girls Media)

Named one of the Top 25 Women to Watch by Advertising Age, Kate Everett Thorp has masterminded a media network for women called Real Girls Media. She has received numerous accolades, including Real Girls Media being named on OnMedia’s Top 100 Companies list. Janet Rickstrew Tomboy Tools

After attending a Pampered Chef party 2000, Janet Rickstrew saw an opportunity for a similar concept with tools designed just for women, and Tomboy Tools was born. The company started with less than 1,000 square feet of warehouse space and now operates a 13,000 square-foot distribution facility on Denver’s West Side. Their Hammer Out Breast Cancer campaign has contributed hundreds of thousands of dollars to the Susan G. Komen Foundation. Doris Christopher The Pampered Chef

Inspired by her dedication to preserving the tradition of family mealtimes and driven by the spirit of entrepreneurialism, Doris Christopher founded The Pampered Chef from the basement of her suburban Chicago home in 1980. Within

20 years, the company had blossomed into a $700 million enterprise, and was acquired by Berkshire Hathaway in 2002. Elizabeth Cogswell Baskin Tribe, Inc.

Elizabeth Cogswell Baskin is the founder and CEO of Tribe Inc, a $5 million branding company working with national and global clients like UPS, Coca-Cola Enterprises, Chick-fil-A and Porsche. Since starting Tribe, Baskin has also authored Hell Yes! Two Little Words for a Simpler, Happier Life, as well as several other books. Gina Trapani Lifehacker

An award-winning author, blogger, and programmer, Gina Trapani was the founding editor of Lifehacker.com, a blog that offers ‘Tips and downloads for getting things done’. Her writing has appeared in the Harvard Business Review, Wired, PC World, Fast Company, Maximum PC, and Macworld magazines. Wired magazine awarded her its prestigious Rave Award in 2006, and in 2009 and 2010, Fast Company named her one of the Most Influential Women in Technology. Sarah Maria Break Free Beauty

Founder of Break Free Beauty, Sarah Maria is a body-image expert and entrepreneur who helps people love their bodies no matter how they look. Maria has trained with well-known teachers and physicians, including Deepak Chopra, Dr. David Simon, Wayne Dyer, and Jack Canfield, among others. Her book, Love Your Body, Love Your Life, published in 2009, has received rave reviews. Roni Lynn Deutch Roni Deutch, A Professional Tax Corporation

With huge amounts of student debt to her name, Roni Deutch opened up the Law Offices of Roni Deutch from a small, oneFall/Winter 2010 • SelfMadeMagazine.com

bedroom condo in West Sacramento over 19 years ago. She maxed out a credit card to pay for her first television commercial, which aired on the noon news in Sacramento. Today, Roni Deutch, A Professional Tax Corporation is the nation’s largest tax resolution law firm, and Roni, who contributes regularly in magazines and TV, is a recognized authority on US tax law. Vicki Donlan Author, Her Turn: Why It’s Time for Women to Lead in America

At a young age, Vicki Donlan exhibited entrepreneurial tendencies. She put on backyard circuses at age 7 and led neighborhood kids in a babysitting coup at age 11. As an adult, Vicki has started businesses in diet consulting, PR and marketing consulting, and publishing, profiling women in business over a multi-state area. She is a business coach, speaker, and author of the book Her Turn: Why It’s Time for Women to Lead in America. She also runs Women CEO Circles, providing peer-to-peer mentoring for women in business. Tamara Monosoff Mominvented.com

Tamara Monosoff is the founder and CEO of Mom Inventors, Inc., a company with three branded elements: consumer products with the Mom Invented trademark; an online community, providing information, interaction, and inspiration; and educational offerings for women entrepreneurs, produced by Tamara, a best-selling author, columnist, and consummate entrepreneur. Tamara has been honored with numerous awards, such as one of the Top 10 Influential Women of the East Bay, Small Business Person of the Year, and Woman Entrepreneur of the Year. Lesley Spencer Pyle HBWM.com, Inc.

In 1995, after the birth of her first child, Lesley Spencer Pyle founded HBWM (Home-Based Working Moms), a professional association and online community of parents who work at home and those who would like to. The company is comprised of six websites that help people realize their dream of staying home while making a living as an entrepreneur.

SelfMadeMagazine.com • Fall/Winter 2010

Lisa Stone BlogHer

In response to the question, “Where are all the women bloggers?”, CEO Lisa Stone cofounded BlogHer.com, the largest community of women who blog. A former executive producer and Editor in Chief/ VP, Programming for Women.com, Lisa is a leading expert on developing successful online communities and interactive programming for women. With 2500 unique blogs, BlogHer receives more than 23 million unique visitors per month. BlogHer also hosts the world’s largest conference for women in social media. Nancy J Price She Knows

In 1999, Nancy J Price co-founded SheKnows.com, one of the nation’s largest all-around women’s general interest Internet communities. In the midst of starting several businesses and launching several award-winning websites, Nancy also served as editor-in-chief of four national print magazines. She now serves as SheKnows. com’s executive editor. Liz McKinley Pinnacle Petroleum, Inc.

Liz McKinley founded Pinnacle Petroleum in 1995, after working in the petroleum industry for several years prior to that. Today, Pinnacle generates over $130 million in annual revenues and operates in a six-state area as a petroleum wholesaler and distributor. Liz has received a number of awards for her entrepreneurialism, including the Entrepreneur of the Year award by the National Association of Women Business Owners. Penelope Trunk Brazen Careerist

Penelope Trunk, former professional beach volleyball player and Fortune 500 company marketing department head, is the founder of 3 internet startups. Her most recent venture, Brazen Careerist, is a professional network and career management tool for next-generation profession-

als. Penelope’s career advice appears in more than 200 newspapers. Alison Maslan Alison Maslan International, Inc

Alison Maslan is an author, life and career coach, homeopath, international speaker, and founder of the Homeopathic Wellness Center in Encitas, California. Alison is also the creator and president of The Blast Off! Life Coaching Program, which she developed to help people learn to identify and release self-limiting roadblocks, and to share a solution- and strategy-oriented roadmap for creating more prosperous lives. Christian Rucker – The White Company

In 1994, Christian Rucker founded The White Company after identifying a gap in the market for beautiful, affordable home accessories in white. Originally a mail-order catalog, The White Company produces eight brochures a year, operates highly successful website, has over 450,000 customers, and has become one of the UK’s fastest growing multi-channel retailers. Melissa Greczy – Projected Gifted and The Doman Advantage

After taking a college course called Accounting for Real Estate Millionaires, Melissa Greczy knew that she would never be an employee again—and she hasn’t looked back since. She made her first million in real estate by the age of 23, and is the co-founder of both Project Gifted and The Doman Advantage. Doe Deere – Lime Crime Makeup

In 2009, NYC-based makeup artist and lifestyle blogger Doe Deere launched Lime Crime Makeup, a cosmetics company specializing in intensely pigmented, dare-to-wear lipsticks and eyeshadows. Since that time, Lime Crime Makeup has been featured on MTV Buzzworthy, Daily Candy, Nylon, InStyle, Elle, TeenVogue, and Heat (UK), and has developed an exciting celebrity fan list that includes Katy Perry, Cat Deeley, and Isaac Mizrahi. 

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Aquarius - "Young Entrepreneur" - The song and the Music Video! BY ADAM TOREN Entrepreneurs come in all shapes and sizes, from diverse backgrounds, in a variety of fields, and sometimes all a potential entrepreneur needs is a little support from those who are paving the way for the future generation of entrepreneurs. And sometimes a sign of a great entrepreneur is knowing when to ask for a boost– and knowing how and from whom to ask for it. We’ve received plenty of support, guidance, and encouragement on our own journey to entrepreneurial success, and we enjoy doing the same for others. We receive thousands of emails every month, and do our best to respond to each one. We were particularly impressed with one young music entrepreneur who contacted us through YoungEntrepreneur.com, and we hope you’ll be inspired by his story and his drive. We’ve had a passion for music since we were kids, and when we discovered Derrick Jones was from Phoenix, where YoungEntrepreneur.com is based, forming a business and mentoring relationship with him seemed natural. Derrick is a gifted R&B artist, and his talent is a big part of what inspired us to become part of his journey. Derrick Jones, who goes by his stage name, Aquarius, emailed us back in January with the following subject line: “CEO of Lady’s Man Entertainment independent label – Young Entrepreneur.” He briefly expressed his experience, his passion, and his goals, and asked

SelfMadeMagazine.com • Fall/Winter 2010

where he might get advice about getting investments in his independent label, under which he will soon be releasing his debut album. He had the determination; he just needed a little backing, guidance, and support. We were impressed by Aquarius’s music, and further impressed by his ideas and his drive when we met with him. We believe in what he stands for, and feel his passion for his craft–for his singing, songwriting, dancing, producing. That’s why we and our team decided to personally fund his studio time; help build his brand online through Facebook, Twitter, YouTube, and his own website; and coordinate and organize his debut music video shoot for his soon-to-be-hit, “Young Entrepreneur.” This venture means a lot to us—because it means so much to Aquarius. When he was 18, he broke from his R&B group, formed his label, and concentrated on writing the songs he felt were important for his first solo album. All of his songs come from his heart and his experiences, and he says the beat usually shows him which ideas will fit each track. “The thing I love about R&B is that you can put so many emotions and expressions into your music–make people listen and believe and feel what you’re saying, even be able to relate to it,” Aquarius says. One subject close to his heart–and something to which we can definitely relate–is that of entrepreneurship, and his single “Young Entrepreneur” expresses his desire to follow in the footsteps of other entertainers who have created more than music, of the entertainers who have forged their own paths and created new sounds in the music industry–those like the late Michael Jackson and the stylish Usher, who is pouring his own experience and influence into the career of the breakout pop singer Justin Bieber. “I want people to see where I came from,

how hard I worked to get where I am now–the struggles I’ve been through,” Aquarius says. He wants his listeners to understand that success doesn’t come easily; that it takes hard work and determination. Aquarius considers himself committed, driven, and never willing to give up. Those are the qualities an entrepreneur needs. Those are the qualities we look for and with which we can work. We believe in Aquarius because he believes in himself. And we are able to help him because he is willing to put in the effort–because he is bringing everything he has to the table. Check out the music video for “Young Entrepreneur,” at www.youtube.com/watch?v=hXomDV_AJNI. It is an anthem of sorts with which all of you, we’re sure, can relate. Try and spot us: we make our own debut hip hop music video appearance in the video! To hear more from Aquarius, visit his website at aquariuslive.com. Check for updates and look for his debut album to drop soon. We’re proud of his journey and are extremely excited to see his career really take off. “Being on stage singing is what I live to do,” Aquarius says. “It makes me feel so good to see the crowd showing me love.” Showing your fellow aspiring entrepreneurs a little love is sometimes all it takes to launch their careers. And you never know – one of them just might return the favor. If you like what you hear, you, too, can show your love for Aquarius by helping to spread the word! Comment on the embedded music video on YouTube, share this post with your Facebook friends and Twitter network, review his music on your own blogs – use whatever networking tools are available to you! If you’d like to show Aquarius some support, you can by downloading the song through itunes here: http://itunes.apple.com/us/album/young-entrepreneur/id385833648 

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You Can’t do All of the Work All of the TimeBuilding a Team of Peers By Andy McLoughlin When you first start out and found a company it goes without saying that, due to limited budget, you try your hand at every role within the organization and will find yourself stretched in every direction. As one of Huddle’s co-founders, I know only too well how you initially have to juggle successfully managing you organization, developing your product or service, marketing it and then ultimately selling it. At the time, you believe you’re doing a fantastic job in all of these roles. However, as your organization grows, you’ll soon realize that you just can’t do everything forever. If you want to have a company that’s going to be around for a long time, rather than be just another flash in the pan, you need to hire fantastic people and surround yourself with a team of peers. Building a great team is really hard work and you rarely get a chance to pick a team from scratch so you have to make it count. Here are my top tips for building your ideal workforce: • Don’t be afraid to say no – When recruiting people, meeting the perfect candidate is like falling in love. You’ve got to be able to imagine yourself spending all day, every day with that person. If you can’t see yourself working long hours with them or going for lunch and dinner with them, just say no. You’re better off waiting for ‘the one’ than hiring someone that you might have to say goodbye to three months later. • Hire people that are better than you – You should always hire people bet-

ter than yourself–you want to build a team of experts in their field–be it sales, development, product or marketing. When you hire great people, they will also attract other great people to your company. • Build a team of peers – Make sure that everyone is involved in hiring to foster a sense of family and buy-in. For example, when hiring for our development team at Huddle, we run a three-stage process. Firstly, the candidate goes through a 20-minute telephone

screen. The next stage is an hour-long paired technical test and finally a general 30-minute interview with members of the team. Following this interview, everyone that has met the candidate has to agree that they are suitable for the role. • Would you want to work in your office? – This is a question you should continually ask yourself. In order to attract the best people, you need to create a place that they really would like to work in–so start by making it a place that you would really like to work in. That means great people and great surroundings–it’s a win-win situation. Your staff will be happy, motivated and want to put in the hard work and hours necessary to get a job done properly. Think about investing in a good coffee machine and an office Wii, starting a table football league and creating a beanbag area where staff can socialize. Small things can make a big difference so try to eat together regularly and organize outings, which include employees’ partners. You want your team to bond and feel like a family. • Spread your net wide – The trouble with trying to find that amazing person for the job is you just don’t know where they’re hiding. Talk to all your friends and all your family

as recommendations are invaluable. Put job details out on Twitter and Facebook and use TechCrunch jobs, LinkedIn, Monster and other job boards. Industry events are also great places to meet potential candidates so get networking! • Be open – Make sure that everyone feels they are working towards the same goals. Publish your company’s targets and roadmaps, hold regular company-wide meetings so that everyone has visibility of what different teams are working on and, if your company is selling a product, make sure all staff are involved in testing it and giving feedback. • Dealing with recruitment agencies – To ensure that recruitment agencies don’t walk all over you, create a preferred suppliers list (PSL) with a maximum of five agencies and set a fixed rate (around 15 percent). You should also be explicit with your needs and demand the three best CVs that they have. Yes, building a fantastic team is hard work, but when you find the right people to join your company it will all be worth it. As co-founder and Global VP Business Development at Huddle.net, Andy McLoughlin builds global partner relationships. Read more about Andy here.  Fall/Winter 2010 • SelfMadeMagazine.com

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Entrepreneurs, do you need to say ‘NO THANKS’ more often? BY ADAM TOREN

Why do people say yes when they want to say no? Perhaps it’s ingrained in us from birth. Ever since we were kids, what was the one thing we hated to hear more than anything else? “Back to school!” Ok, but after that it was No. And our parents must not have liked saying it much more than we liked hearing it. That’s why they used phrases like, “We’ll see,” and “Go ask your mother.” The business version of “We’ll see” is seen as wishy-washy, though, and in business, passing the buck is looked down upon. So even those of us who aren’t habitual peoplepleasers will often say yes to spare feelings and protect egos, even if it means compromising our own productivity. Add to that the fear of upsetting a client or potential client, and we can quickly find ourselves saying yes to everyone. Inbox Overload

Do clients, contacts, and networking acquaintances send you email newsletters you never read? Do you automatically accept Facebook and LinkedIn friend, group, and fan page requests, knowing that they will lead to floods of unwanted inbox messages? Why don’t you unsubscribe? Why don’t you ignore or reject the requests and invitations? Not only do we worry about the potential of hurting someone’s feelings in these cases, it’s also likely you are worried about the impression unsubscribing will make. We can sometimes fall into the trap of thinking that turning people down–in any form–is bad business.

SelfMadeMagazine.com • Fall/Winter 2010

The truth is, it’s not bad business to protect your productivity by being selective about the things you say yes to. Saying yes to everyone isn’t doing anyone any favors–especially not you. All of us who send out newsletters expect a certain number of unsubscribes, and professionals don’t take them personally, because we’re all in the same boat. Who doesn’t get a ton of emails they don’t need? We all do. As for social media, the beauty of the “ignore” button is that no one knows when you press it. They don’t get an alert saying, “Bob just ignored your friend request. Clearly he hates you.” Also, many of those you’d like to ignore are the same people sending requests to everyone and their brother, so it’s doubtful they can even remember who they sent requests to! So don’t worry about being selective. Social media is a great tool for cultivating business relationships and should be used as such. Select those you want to get to know and politely decline the rest. It’s true that opportunity can be found anywhere, but there’s nothing wrong with narrowing down your contact lists to those most likely to result in mutually beneficial relationships. Managing the Yeses

Alright, you’ve committed to reducing the percentage of time you say yes, but you still find that your productivity is lacking? You’re not alone. After all, it’s not just email and social media we have to keep track of. We’ve got requests to attend webinars, trade shows, networking events, and a seemingly endless list of other “opportunities” to manage. So even after you decide to say no to more of these, it’s likely you’re still keeping track of a lot of activity. Oh, and you say you’d like to actually run your business some of the time as well? How do you manage it all? Try these ideas to keep your productivity optimized: 1. Hire a virtual assistant. From managing your email communications and social

media presence to sending out marketing materials and writing blog entries, a qualified virtual assistant (VA) can help with a wide variety of tasks. And with the number of people looking for work these days, coupled with the number of people interested in working from home–regardless of the unemployment rate–it’s possible to find a virtual assistant at a very reasonable monthly cost. At sites like VirtualAssistants.com, you can post a description of your needs for free, and you’ll receive several VA resumes to choose from. Be sure to ask for (and check) references, and writing samples, if applicable. 2. Use online productivity tools.

Whether you hire a VA or not, there are a number of online productivity tools to help you further maximize your time. Want to stay productive on the go without writing or typing? Try out Jott Assistant. This very cool service allows you to call a toll free number and “use your voice to capture notes and to-dos, set reminders and appointments, send email and text messages, and post to your favorite web services.” It also integrates with your iPhone, Blackberry, Outlook and more. Try it free for a week and see if it’s the right solution for you. Another great tool to help you keep track of your thoughts, meetings, to-dos, and everything else on your plate is Evernote. If you’ve ever been stuck trying to remember a great website you saw or the name of a contact you met at last night’s networking meeting, Evernote can help. As they say on their site, “Chances are, if you can see it or think of it, Evernote can help you remember it.” The best part about Evernote is that you get incredible functionality, and it’s free! Obviously there is a wealth of other productivity tools at your disposal in addition to these. The point is, don’t hesitate to get help in some form. Once you’ve learned to say no and manage your yeses, you’ll be amazed at how your productivity will soar. 

Tomorrow’s future starts today. Visit Kidpreneurs.org and put the power into your child’s hand.

Product Description

You've heard the saying, "It's never too late." We say, "It's never too early!" Even children can be introduced to basic business principles and the rewards of entrepreneurship. Our goal with Kidpreneurs is to outline some basic tools and strategies kids can use to gain some valuable experience in starting, managing, and growing a successful business venture. Through easy-to-understand basic principles and a creative approach, we outline some key techniques that will have a powerful and positive impact on your child's ability to understand entrepreneurship. Using kid-friendly design and illustration, we break down some of the major points of entrepreneurship, so your child can have fun as he or she learns. Also, your child will enhance his or her decisionmaking skills by trying out simple businesses as he or she grows up. Tomorrow's future starts today. Share Kidpreneurs with your children and help plant the seeds for a stronger future. As Seen in:

Book Details

Reading level: Ages 7-13 Perfect Paperback: 64 pages Publisher: Business Plus Media Group LLC Language: English ISBN-10: 0692004246 ISBN-13: 978-0692004241 SAN: 931-6647 Library of Congress #: 2009931114 Suggested Retail Price: $12.95 Published by

711 E. Carefree Hwy Suite 205 Phoenix, AZ 85085 1.800.211.7608 ext. 700 info@kidpreneurs.org

About the Authors

Adam Toren and Matthew Toren are the founders of YoungEntrepreneur.com, which has quickly become one of the largest social networking forums for young entrepreneurs in the world. These brothers have many teaching and research interests including marketing, business development, entrepreneurial emergence, entrepreneurial strategy management, business growth techniques, innovation, and new venture creation. One of their specialties is improving profitability of under-performing businesses with a unique bottom-line program. Matthew & Adam provide instruction in management concepts and finance to emerging and distressed small businesses covering all phases of operations. Enthusiasts for enterprise, their ideas are not only based on research, but also on years of hands-on experience.

Fall/Winter 2010 • SelfMadeMagazine.com

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8 AWESOME TOOLS EVERY ENTREPRENEUR NEEDS BY NAVID ZOLFAGHARI

As an entrepreneur you’ll constantly be looking for tools to help elevate your startup to the next level. These tools can play a pivotal role in brand development, business development, and even company efficiency. The list below (in no particular order) shows some of the services I use on a daily basis and with great results. Most of these services are inexpensive, if not free, and add a great amount of value to your startup. 1. Hootsuite Social Media Management

Through Hootsuite’s unique social media dashboard, you can collaboratively schedule updates to Twitter, Facebook, Linkedin, Wordpress and other social networks. Hootsuite helps organizations launch marketing campaigns, identify and grow audience, and distribute targeted messages across multiple channels. Price: Free Other notables: TweetDeck, CoTweet, Ping.fm 2. Google Voice - Phone Service

One phone number for all your phone numbers is basically what Google Voice (formerly Grand Central) is about. With Google Voice you can give out one number which will have all of your other phones redirected to it (home, office, cell phone). Price: Free, but currently you must be invited by another user. Other notables: RingCentral, Jaxtr 3. Basecamp - Project Management

Basecamp is a project management and group collaboration tool that features to-do

SelfMadeMagazine.com • Fall/Winter 2010

lists, milestones for important due-dates, file sharing, blog-style messaging, wiki-style writeboards, time tracking, and integration with the excellent group chat product Campfire. For startups with a lot going on, this is a great tool to help keep you on top of your projects and open loops. Price: Starts at free for a one-time project and then tier up depending on what features you need. Other notables: CentralDesktop 4. MailChimp - Email Marketing

Email marketing is an important component of any business. MailChimp allows you to customize email marketing campaigns from an easy-to-use interface. They offer list management, tracking and analysis, and custom HTML templates. Price: Free up to 500 subscribers and 3,000 emails a month, and pricing increases depending on the amount of subscribers. Other notables: FanBridge, StreamSend, AWeber 5. Get Satisfaction - Customer Support Forum

Get Satisfaction aims to help by leveraging your user community to handle most customer support issues. Get Satisfaction provides a forum where your customers can get answers to questions, solutions to problems, and submit feature and new product requests. Those answers and solutions are stored and searchable over time, cutting down on support costs and building trust with your userbase. Price: Starts at $19/month Other notables: SuggestionBox, UserVoice

6. Pitch Engine - Public Relations Application

PitchEngine is a social platform that makes it possible for PR pros, brands, and agencies to build and share digital, social media releases with their contacts for free. Price: Free Other notables: PRweb 7. Google Alerts - Brand Management

As an entrepreneur, it is important to know what people are saying about your brand and your competitors. Google Alerts is a great free tool that provides you with daily emails that display all the new results from the Internet that include the designated search terms. Price: Free Other notables: Monitter 8. Skype - Web Conferencing

Skype is a peerto-peer Internet telephone service that is free for Skype-to-Skype calls. The service allows Skype users to call mobiles and landlines, and vice-versa. This service is excellent for having meetings over the Internet where you can build a rapport. Price: Free Other notables: MightyMeeting, GoToMeeting, Freebinar There are lots of services out there that I may have overlooked, and if you know of some please post it in the comment section. Navid Zolfaghari is an Internet entrepreneur and visionary. CEO/Founder of TriFame and blogger at NavidZolfaghari.com. Read more about Navid here. 

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Five Legal Shortcuts No Startup Can Afford BY MARTIN ZWILLING

Although every startup is unique, there are certain common avoidable mistakes that can lead to legal complications, and jeopardize the long-term success of your business. I’m not suggesting that every startup needs a lawyer, but you should definitely pay attention, and not be afraid to consult legal counsel if any of these hit home with you. Like other environments, most legal issues don’t result from fraud, but from ignorance on specific requirements, or simply never getting around to doing the things that common sense would tell you to do. Here are some examples:

1. Failure to document a founder agreement at the beginning. This oversight can lead to the so-called “forgotten founder” problem. Early co-founders often drop out of the picture due to disagreements, and you forget about them, but they don’t forget about you and the verbal promises you made. Later, when your venture is trying to close on financing, or even going public, that forgotten partner surfaces, demanding equity. This problem can be avoided by incorporating immediately after early discussions, and issuing shares to the founders, with normal vesting and other participation rules. 2. Trouble with the IRS over founders stock value. Many startups delay incorporation until the first formal round of financing, which is too late. At this point your entity may already have several million in valuation, so the IRS will tax your shares value immediately as income, just when your cashflow is at its lowest. The solution again is to incorporate early, when founders shares clearly have trivial value, and filing an “83(b) election” with the

IRS within 30 days of the agreement. Then you will only have pay tax on the increasing value of your shares when they are sold. 3. Disclosing inventions before the patent application is filed. Entrepreneurs often put off the cost and hassle of filing a patent until first funding. Then they realize that they have talked to many people without signing non-disclosure statements, precluding a patent, or someone else has now beat them to the filing docket. There is no excuse for not filing at least a provisional patent early. This will hold your place in the patent line for a year, and the costs and time for this filing are much less. Even trade secrets need to be documented, and reasonable steps taken to keep them secret. Business plans and other documents should always be labeled as confidential.

4. Founders ignore non-compete clauses from former employers. If your new business is even remotely similar to that of your current or former employer, think hard about any written or implied non-compete agreements you might have. Do the same for every business partner or employee you may hire.

The best way to short-circuit this problem is to have a frank and open discussion with former employers, perhaps under the guise of asking them to invest in your venture. This is a smooth way to end the relationship, and get some money, or get their lack of interest documented in a note back to them. If a lawsuit is inevitable, better sooner than later. 5. Promising more to investors than you can deliver. Securities fraud is a hot subject these days, especially after Bernie Madoff. It’s not a good idea to take money from anyone, even friends and family, without an experienced investment attorney drafting or reviewing the agreement to make sure it complies with federal and state securities laws. This works to protect you from unscrupulous investors, as well as non-professional investors who may later say that your business plan was misleading. The best advice is to only take investment funds from people who can financially afford to lose, and who qualify as accredited investors. Overall, the biggest legal mistake that a startup can make is to assume that any legal problems can be resolved later. Finding a lawyer early is easy these days, through local networking or even online services like LawBidding. In reality, it will cost you much less to get it right the first time, when the stakes are still low, compared to the heartache and cost of correcting it later. Martin Zwilling is the founder and chief executive officer of Startup Professionals, a company that provides products and services to start-up founders and small business owners. Read more about Marty here.  Fall/Winter 2010 • SelfMadeMagazine.com

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5 Simple Rules Every Networker Should Follow by Matthew Toren

Networking has been around for just

about as long as business, in various shapes and forms. It can be an extremely effective, low-cost marketing strategy–when done correctly. Unfortunately, many people lose out simply because they don’t quite know the game. Don’t miss a great opportunity to boost your business! For networking success, always follow these simple and steadfast rules of play: Be genuine & authentic. People like to do business with people they like, and nobody likes a pretender. Savvy networkers can spot a false façade a mile away, and they instinctually steer clear. No matter how great you are, no matter how fantastic your product is, it won’t matter one bit if others feel you may have something to hide. Always stay true to your personality, represent your business honestly, and build genuine relationships with your fellow networkers. Authenticity will set you apart and leave a positive impression, which will encourage people to do business with you… instead of your competition.

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Listen more than you talk. Have you

ever met someone new–at a party, in the grocery store, standing in line for the movies–and they did nothing but talk nonstop about themselves? Did it make you want to run in the other direction? When networking, your mission should not be to prove how cool you and your business are. It should be to find out as much as possible about the person to whom you are speaking, finding a way to make a connection so a relationship can be built. The next time you meet up, whether it’s at another networking function or in person one-on-one, you should at least have some talking points so you can pick the conversation back up and continue building the relationship. Good networking relationships lead to trust, and trust leads to business.

Bring only five business cards to any function. There are many experts

who will disagree with this way of thinking. However, if you have ever attended a typical networking event and walked away with a stack of cards, you’ll recognize some truth in what I’m saying here. Thinking of

that stack of cards, how many of the people behind the cards can you actually remember? How many did you follow up with? How many did you actually do business with? For most people, that number is pretty low. Remember–networking is about building relationships. Reserve your cards for those people with whom you truly connected and plan on following up with. It’s always more important to make solid connections with a few, than meaningless connections with many. Don’t be that guy. You know the one. He goes around to every person in the room, intrusively of course, and shoves his business card in your hand. He interrupts your current conversation to tell you who he is and why you need to know him. And then, before you even have a chance to respond, off he goes to the next unsuspecting victim. Sound familiar? Don’t be that guy. Get on a first-name basis with the event organizer. I cannot stress this

enough: the most important person in the room is the one who brought you all together. Seek out the organizer (respectfully), strike up a conversation, and make the connection. A good leader will point you in the direction of some key people he or she feels you should know, and a really good leader will make the introductions personally. Once he or she knows who you are, what you do, and who you are interested in connecting with, you may even get some great referrals and postevent introductions. Want to know the best way to cement the relationship? Reciprocate. Encourage people you know to attend the leader’s events, introduce him or her to potential clients and alliances, and do whatever you can to help support his or her efforts. A good rule to follow with any networking connection. The bottom line is simple: Networking is a great tool, and can make a huge impact on your business. It’s up to you whether that impact is a positive one. 

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Busin e ss S tra tegy

The Right Stuff: What Makes a Business Idea Great by Adam Toren 91 million. That’s how many results come up when you search for the term business ideas in Google. Business ideas for Internet, business ideas for women, business ideas for beginners, home-based business ideas, lowcost business ideas–there are even websites dedicated to nothing but business ideas. It’s obvious there is no shortage on business ideas. But how can you tell the good ideas from the bad? Even more difficult, how can you tell the good from the truly great? Great Ideas Start with Passion

You could have the greatest business idea in the world, but if you don’t have passion behind it, you may be setting yourself up for failure before your idea even gets off the ground.

Billionaire entrepreneur and founder of Virgin Records, Virgin Atlantic Airways, other Virgin enterprises, Richard Branson, considers passion a key element in any successful endeavor. “Ideally, since 80 percent of your life is spent working, you should start your business around something that is a passion of yours. If you’re into kite-surfing and you want to become an entrepreneur, do it with kite-surfing.” says Branson. Why is that? Well, while it can be tremendously rewarding to start your own business, it can also be very challenging. Almost every successful entrepreneur will tell you they’ve faced difficulties that tested their faith and dedication. Passion for your product can be hugely motivating when obstacles stand in your way. Remember, too, that you’ll likely be thinking about your business 24/7. If you don’t love what you’re doing, it may be hard to stay focused and engaged, which could show through to your audience.

Great Ideas Solve a Problem

After becoming frustrated by the amount of time it took him to organize his personal finances using traditional programs, awardwinning founder Aaron Patzer launched Mint.com. The Baby Einstein Company was founded by Julie Agner-Clark because she wasn’t satisfied with the availability of products designed to help stimulate and advance the development of her baby. Rob Kalin launched Etsy in order to create a marketplace for people to exhibit and sell their handmade creations online. In most cases, great companies start out by solving a problem. If your idea fills a real void in the world, people will likely want what you have to offer. Great Ideas Appeal to Consumers

Have you ever caught yourself thinking, “I really wish my hair could look more like buttermilk”? Probably not. In fact, Clairol created a pretty big miss when they launched the product Look of Buttermilk Shampoo. While buttermilk might be really great for your hair, the name of the product leaves us wondering, “What exactly is the ‘look’ of Buttermilk?” Great business ideas not only fill a need, they appeal to a wide audience. To find out if your idea might be great, do some research. Ask your friends, family, associates, and network. If you find people giving you a blank stare, followed by a long pause, you may want to retool. Great ideas start with Great People

You don’t have to hold a business degree from Wharton, and you don’t have to have an executive team with years and years of experience waiting in the wings. The foundation of a great idea is made of strong personal values: passion, dedication, integrity, and authenticity. Be true to your colors and the rest will fall into place.  Fall/Winter 2010 • SelfMadeMagazine.com

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Busi n e ss S tra t e gy

Deciding When is the Right Time to Start a Business by Dan Wesley

Prospective entrepreneurs frequently delay action until the “right time” to start a business arrives. Ideally, the “right time” is imagined as a stress-free period when the usual problems and headaches of everyday life crumble away. Once this time comes, entrepreneurs believe, the struggle to get a business off the ground will be vastly easier. Although it’s impossible to pin down the right timing for every entrepreneur, some times are unquestionably more conducive to getting started than others. If you are unsure of when to begin your own start-up process, consider the following.

you can take the self-employment leap and never look back. None of this is to say you cannot start a business later in life. That said, you should be mindful of the barriers likely to be encountered the longer you wait. The older you are, the likelier it is that your existing lifestyle and obligations will hurt your business goals rather than help.

finances, why you are doing this and what you expect to accomplish. The timing will not be right until the two of you see eye to eye on each of these things.

Debt Levels

Spouse & Family

Age

(Beverly & Pack) There is no denying the benefit of youth to starting a business. For one thing, energy levels are naturally higher and easier to sustain during your 20s and 30s than during your 40s or 50s. Since the start-up period tends to be the most difficult and challenging, an inspired effort is needed. Additionally, younger people tend to have fewer long-term obligations and commitments. A college student in his early 20s, for instance, is unlikely to have a preexisting career obstructing his business goals. Clearly, it is easier to build a life around a business you already have than to restructure your life around one started later. By starting early,

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(makelessnoise) Another crucial ingredient in the timing of starting a business is your spouse and family situation. If you are single, there is no obstacle to worry about. But if you are married or dating, you must assess whether your relationship can withstand the lifestyle changes. Your new work hours could differ substantially from your partner’s. Money could temporarily be tight. Moreover, it will be an immense obstacle if your partner does not believe in venture. As a practical matter, starting a business is not feasible without the “moral support” of your significant other. Attempting to press on in spite of their opposition will lead to countless arguments that serve only to shatter your focus. Before plunging in, have a serious discussion with your partner. Cover everything you believe to be important about starting the business: your new projected work schedule, the impact (if any) on your

(TheConsumerist) Your debt to income ratio must also be taken into account. Some types of businesses (like restaurants) are extremely capital intensive and require high levels of debt financing. But starting such a business is not practical if you are already mired in debt. A person who is currently struggling to fight off credit card companies and repay student loans, for instance, is in no position to take on business loans. Lenders would not make the loans even if you felt capable of repaying them. Your first priority in this instance should be repaying what is owed. Once your debts are wiped clean, it will be a far more opportune time to get your company off the ground. There is also the matter of whether your personal credit score qualifies you for business loans. Though not all businesses are capital intensive, a great deal of them are and lack of credit constitutes a serious roadblock. Even if you do not anticipate borrowing a ton of money, you should exhaust every effort to raise your credit score.

Economics & Careers

(woodleywonderworks) Finally, you ought to consider both the overall economic climate and the career you will be passing up. As noted earlier, having a preexisting career makes the timeline of starting a business a lot hazier. It could be that your current career, while not particularly exciting or enjoyable, is quite lucrative and affords you a comfortable standard of living. If so, you must accept the risk that your business could involve a temporary downgrade in this area. At a bare minimum, you must ensure that the basic necessities of life (your mortgage payment, bills, utilities, etc.) will not be neglected. Taking a realistic and conservative approach, you could delay startup until you’ve saved enough to live on for six months or a year. The economic climate also warrants consideration. Ignore sweeping, melodramatic news reports about “the economy” as a whole and focus more on the economy as it relates to you. For instance, few sane minds would have concluded that late 2008 was the ideal time to start an investment bank or an auto dealership. There was no better time, however, to go into business as a foreclosure specialist or auctioneer. Summary

In sum, the “right time” to start a business depends entirely on your own circumstances. Above all, assess where you stand on each of these areas: age, spouse/family, debt levels, the economy and your career. If it realistically appears that there are more opportunities than obstacles, that is as close to it being the right time as you can ask for. About the Author: Dan Wesley is a staff writer for Credit Loan. Creditloan.com has been in the business of helping people with money problems for over twelve years. The site provides one-stop access to intuitive articles, reputable service providers and financial calculators. For example, loans come in so many varieties – from debt consolidation loans to payday loans. Creditloan.com can educate you and help you towards the right personal finance decision.  Fall/Winter 2010 • SelfMadeMagazine.com

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Busi n e ss S tra t e gy

From Startup to Sale BY Stephen Goldberg When it comes to owning a business, nothing lasts forever. Regardless of industry, every business owner will inevitably face the possibility of selling his or her business. Based on my 25 years of experience handling the sale of privately held companies, I’ve discovered numerous ways to maximize the valuation and marketability of a business. Here are 10 proactive steps to consider before beginning the business sale process: 1. Recast the Financial Statements

A company’s financial statements are typically prepared with a view toward minimizing burden. This tends to be at odds with what a business owner wants to show to a potential buyer in the context of a business sale. To enable a potential buyer to “read between the lines,” the financial statements must be “adjusted” to reflect the true profitability and discretionary cash flow that would be available to a new owner. I encourage my clients to analyze the general ledger and identify all expense items that can be restated or adjusted, thereby maximizing the price a seller will receive for the company. 2. Get an Independent Valuation

An independent valuation enables a business owner to get a sense of a realistically achievable value and confirm in advance whether or not it makes financial sense to sell the business. This step can eliminate time wasted on the business sale process. What’s more, properly understanding valuation at the outset will also prevent “leaving money on the table” by undervaluing the company or losing qualified acquirers by seeking an unrealistic price. 3. Consider the Tax Implications

It is crucial to understand the tax implications of a sale in advance. This will provide a realistic picture of the net-after-tax yield and help determine the most advantageous way to structure the sale for tax purposes. Many of our clients whose companies were “C” corporations were able to achieve an additional 25 percent after-tax yield because we informed acquirers in advance that a stock-sale structure was a requirement.

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4. Develop a Growth Plan

A well-thought-out and realistic plan for growth can greatly enhance the value of a company. It serves as a roadmap to expansion opportunities that a new owner could exploit with additional capital or other resources. The plan should assume that significant capital resources will be available after the sale and identify areas where historic sales were constrained due to capital limitations. It is likely that the acquirer will be better capitalized than the current owner and have enhanced capabilities to act on these opportunities. 5. Address Key Dependencies

Reducing key dependencies in a business can serve to increase the marketability and value of a company. Three key areas include customers, vendors and employees. Customer dependency exists when a high percentage of the company’s revenue is derived from a few large customers; vendor dependency results from difficulty finding comparable vendor replacements; and employee dependency exists when the business is highly dependent or held hostage by key employees or the existing owner. These dependencies create significant risks for an acquirer and can have a negative impact on valuation. 6. Look at Third-Party Financing

Ascertaining the likely level of financing available to an acquirer will help qualify potential buyers as serious prospects and determine if the necessary capital will be available to consummate a transaction. Not being armed with this knowledge in advance leads to wasted time and jeopardizes confidentiality with unqualified acquirers. 7. Carve Out Excess Assets

One method to increase a seller’s total financial yield from a transaction is to identify excess assets that can be converted into cash prior to a transaction without adversely impacting the business. Converting the “excess” inventory to cash prior to the closing enabled him to significantly increase his total financial yield from the transaction.

8. Research Likely Acquirers

It often makes sense to approach companies in a related business seeking additional sales or territories. These “strategic buyers” may have a strong desire to acquire a related business as a means of growing through acquisition, or because they may recognize the synergies that will result from the combination of the two companies. By identifying likely prospects, the search for an acquirer can be more tightly focused in a direction that can maximize the overall deal value. 9. Recruit a Team of Professionals

Before entering the uncharted waters of selling a business, selecting the right team is imperative. This includes a qualified CPA, an attorney with a background in corporate transactional work and an experienced mergers and acquisitions intermediary. All parties should meet in advance, since their efforts will need to be coordinated later in the process. This will ensure that all team members are on the same page and have a clear understanding of the goals and expectations of their mutual client. 10. Check the Current Sales Performance

An often overlooked area that has a major impact on the marketability of a business is the company’s current financial performance. The 12-month period during which the sales process takes place is a decisive one. If sales performance deteriorates during this period, marketability and value will be negatively impacted. Stephen Goldberg Stephen brings more than 20 years of merger and acquisition experience to the helm of Sun Mergers & Acquisitions. In addition to his work as a certified business intermediary, frequent lecturer and writer on merger and acquisition issues, Stephen has personally helped 200+ business owners of entrepreneurial mid-market companies implement successful business sale transactions. You can reach Stephen at sg@sunmerger.com. 

Fall/Winter 2010 â&#x20AC;˘ SelfMadeMagazine.com

TOP BLOG AWARDS BY ADAM TOREN

We recently started our new annual blog awards series where we’ll be recognizing our favorite blogs from a variety of categories. There are a lot of really great blogs out there that we at YoungEntrepreneur.com read and learn from on a regular basis, and our goal is to highlight these blogs so you too can enjoy and benefit from them. So far, we’ve handed out awards for the top blogs in Marketing, Social Media, and Success. This week, we’re recognizing the top 10 blogs in the Technology category. Technology is a huge part of our daily lives. As entrepreneurs, we rely on the latest technology to keep us connected and to streamline our business operations. And when it comes to covering the vast technological landscape, we don’t think anyone does it better than these 10 blogs.

Our selection process

In case you missed our previous round of awards, let’s quickly recap how it works. When we came up with the idea for distributing YoungEntrepreneur.com Top Blog Awards, we wanted to give these out to blogs we truly love. These awards aren’t about typical metrics (subscribers, comments, rankings, etc.), but instead, they’re about exposing the blogs we believe have the highest quality content and provide the

best overall experience for readers. Is this scientific? No. Subjective? Of course. But do we carefully scrutinize every option to ensure all award-winning blogs are truly special? You bet. So, let us give you a quick rundown of the categories we used to judge these blogs. • Visual Aesthetics—Let’s face it: It’s hard to get into a blog that still uses the default WordPress theme. Design matters, and it’s important for making new visitors feel comfortable. We looked for blogs that were easy on the eyes. • Quality and Consistent Content—Our favorite blogs are the ones that produce great content on a regular basis, rather than one good post to several filler posts. • Overall Experience—The overall experience includes everything from how the author interacts in the comments to how well posts are categorized so you can easily find the content you’re looking for. *Please note these blogs are not listed in any particular order. All 10 blogs are YoungEntrepreneur.com Top Blog Award winners and thus are equal.

SUCCESS | MOTIVATIONAL | TECHNOLOGY | SOCIAL MEDIA | MARKETING 46

SelfMadeMagazine.com • Fall/Winter 2010

TECHNOLOGY Top 10 Technology Blog Awards

And the awards go to...

understanding the most current industry trends. Twitter: @TechCrunch

TUAW Engadget

Engadget - For over 6 years, Engadget has been the go-to Web resource for daily coverage of gadgets and consumer electronics. Simply put, the team at Engadget is obsessed with technology, and it shows. You’ll find the latest news on cell phones, mp3 players, TVs, video game systems... you name it. If it’s happening in the tech world, Engadget has it covered. Twitter: @engadget

Gizmodo

Gizmodo - With over 100 million page views per month, Gizmodo is certainly one of the most popular tech blogs around. Most recently, the blog garnered worldwide attention after the editors got their hands on the iPhone 4 months before it came out. This led to a police raid on the editor’s home and one of the most controversial tech stories so far in 2010. Twitter: @Gizmodo

The Unofficial Apple Weblog - Love Apple? Read this blog. That’s really all you need to know. Twitter: @TUAW

MakeUseOf MakeUseOf - The thing we really love about this blog is how accessible it is. You don’t have to be a tech geek to make use of (get it?) the helpful tips they offer. From guides for securing a wireless router to tips for customizing your Nintendo Wii, the scope of this blog is huge and the tone is always friendly and easy to understand. Twitter: @MakeUseOf

LostInTechnology

Lost In Technology - Like MakeUseOf, Lost in Technology also offers great tech tips for people who want to get more from their phones, computers, and other gadgets. The tips are also very easy to understand and follow, and you get a lot of guides that you can’t really find elsewhere. Twitter: @KyleJudkins

TechCrunch TechCrunch - Over the past 5 years, TechCrunch has grown into an entire network of technology-focused websites offering a ton of content. The blog focuses primarily on the Web 2.0 sector, discussing technology start-up businesses. You’ll get the latest news and sharp analysis for

nology, earning it over 20 awards since the site launched in 1997. If you want to keep up with the latest tech news, this is the site to follow. Twitter: @slashdot

TechReview Technology Review - This blog is the online version of the oldest technology magazine in the world (the first Technology Review was published in 1899). Owned by MIT, the website "aims to promote the understanding of emerging technologies and to analyze their commercial, social, and political impacts." We like this site because it goes deeper into the effects of technology on the world around it. Twitter: @techreview

BGR

BGR (Formerly known as Boy Genius Report) – After writing for Engadget and Engadget Mobile, the internet personality Boy Genius started his own blog. You’ll find the latest news on cell phone, laptops, mobile devices, and other gadgets at BGR. We especially like the Rumors section. Twitter: @BGR

LifeHacker Slashdot Slashdot - Their tagline says it all, "New for nerds. Stuff that matters." The site features user-submitted news stories in tech-

Lifehacker - This award-winning blog shares smart tips and shortcuts for getting things done more quickly. With such a wide range of hacks, it’s no wonder this blog has been featured in Time, Slate, Wired, and many more. Twitter: @Lifehacker

Fall/Winter 2010 • SelfMadeMagazine.com

MOTIVATIONAL Top 10 Motivational Blog Awards

And the awards go to...

DailyGood DailyGood – What better way to start your day than with an inspiring quote, a related positive story, and simple action you can take to be a better person? DailyGood is a highly motivating blog, and we love it because it’s just so simple. It sticks to a single formula, so you know what to expect every day.

I Need Motivation Zen Habits Zen Habits – Slow down. Get rid of the clutter. Focus on the things that are truly important in life. Find happiness. This is what Zen Habits is all about. With nearly 200,000 readers, Zen Habits posts three articles a week on simplicity, health and fitness, motivation, frugality, family life, happiness, and much more. We love this blog because it helps you get centered and collected. Twitter: @zen_habits

Self Help Daily Self Help Daily – It’s comforting to know that someone out there cares… that there’s someone out there who wants to support you and help you love life. Self Help Daily is all about inspiring and motivating people to improve their life and simply smile more often. Sounds like a great recipe for success. Twitter: @JoiTaniaSigers

Today Is The Day Today is that Day – This online magazine’s mission is “to help people find happiness, contentment, health, and abundance in their daily lives.” And they do a darn good job at it if you ask us. You can find everything from inspirational quotes to money and prosperity tips to health and fitness advice. It just might be the most comprehensive blog on this list. Twitter: @DanAndJennifer

Success Begins Today Daily Affirm DailyAffirm – The power of positive affirmation shouldn’t be underestimated. Each day, DailyAffirm posts a new positive affirmation based on the month’s theme. Some of this year’s monthly themes include hope, love, peace, freedom, joy, and trust. Twitter: @JeanieMarshall

SelfMadeMagazine.com • Fall/Winter 2010

Success Begins Today – For 5 years, Success Begin Today has been offering personal development insight to thousands of readers around the world. We love this blog because the author, John Richardson, provides easy-to-understand concepts you can really put to use in your everyday life. Twitter: @success2you

I Need Motivation – Their mission says is all, “Improving and motivating people all over the world through simple, quality, and effective ways.” The blog offer a range of self-improvement tips and tools you can use to get more from life. It’s a useful blog for people from all walks of life. Twitter: @ineedmotivation

The Positivity Blog The Positivity Blog – A little positivity really can change everything. Positive thinking can give you the motivation to realize your full possibilities. From improving people skills to reducing procrastination, The Positivity Blog touches on a range of subjects, all designed to help you improve your life. Twitter: @positivityblog

Change Your Thoughts Change Your Thoughts – We really enjoy the concept behind this blog. That is: if you change your thinking patterns, behaviors, and beliefs, you can live the life you were truly born to live. This blog will push you to change your negative thinking and outdated beliefs, and those simple changes really can change your life. Twitter: @StevenAitchison

Vic Johnson Vic Johnson – Vic Johnson, a motivational speaker, shares his thoughts and insight in this powerful blog. He shows you how to maximize your personal growth, reach your goals, and live a fuller, happier life. Twitter: @FollowVic

MARKETING Top 10 Marketing Blog Awards

And the awards go to… Search Engine Journal Search Engine Journal—Search Engine Journal covers all things SEM related. The blog is updated a few times each day with the latest information on everything from PPC advertising to viral marketing. Search engine marketing is something all entrepreneurs and small business owners should look into because it levels the playing field between you and the big boys. Search Engine Journal can show you the most effective ways for reaching buyers searching for your products and services. Twitter: @sejournal

copyblogger Copyblogger—The tagline says it all. “Copywriting tips for online marketing success.” Great copywriting is the backbone of any successful marketing campaign. Great copy is what turns website visitors into customers. Every day, Copyblogger offers up new tips and proven methods for sucking readers in, earning their trust, and generating more sales. This blog is an absolute must read. Twitter: @copyblogger

Econsultancy Econsultancy—Since its beginnings in 1999, Econsultancy has grown to become one of the most widely read digital marketing blogs. The contributors are all very well versed in various aspects of digital marketing and online retail, offering you the latest reports and tips to make more of your

online presence. Twitter: @Econsultancy

Seth Godin's Blog Seth Godin’s Blog—Do I really need to tell you who Seth Godin is? If you haven’t read his blogs, articles, speeches, eBooks or books, you have a lot of great reading to do. The bestselling author was named “the Ultimate Entrepreneur for the Information Age” by Business Week, and in his blog, he shares entrepreneurial and marketing advice on a daily basis. We love Seth Godin! Twitter: @ThisIsSethsBlog

Revenews Revenews—Don’t worry, we haven’t forgotten about affiliate marketing. For more than 10 years, Revenews has been the go-to source for affiliate marketing news and strategies. The blog has a panel of authors who each bring something unique to the table. You’ll get to read tips from PPC experts, conversion specialists, mobile advertising gurus, and more. Twitter: @Revenews

Marketing Pilgrim

SEOmoz

Marketing Pilgrim—Launched by Andy Beal in 2005, Marketing Pilgrim covers all things related to internet marketing and online advertising. You’ll get access to the latest news on search and online marketing, with tips and tricks businesses of all sizes can implement. The thing we really like about Marketing Pilgrim is that they just go deeper into topics than anyone else. We always learn something new from this blog. Twitter: @andybeal

SEOmoz—What more can we say about SEOmoz that hasn’t already been said? Without a doubt, SEOmoz is the most recognized name in the industry. This blog continues to be a breath of fresh air in an industry that’s plagued by so-called experts doling out dangerous advice. Twitter: @SEOmoz

Danny Brown Danny Brown—Danny Brown talks about social media, marketing, PR and more on this exceptional blog. All entrepreneurs can benefit by learning how to engage consumers in a meaningful way in this age of social media marketing. Stop wasting time with social media, and start getting results. Twitter: @DannyBrown

Duct Tape Marketing Duct Tape Marketing—Duct Tape Marketing is written specifically for the small business owner. The tips in this blog help you find smarter, simpler, more affordable methods for marketing your small business. If “do more with less” is your mantra, you’ll love the Duct Tape Marketing blog. Twitter: @ducttape

Conversation Agent Conversation Agent—Valeria Maltoni helps businesses adapt to this new age of PR and marketing. The blog covers everything from social media marketing to PR, and most times, it talks about how all these different things intersect in this web 2.0 world. Twitter: @ConversationAge

Fall/Winter 2010 • SelfMadeMagazine.com

SOCIAL MEDIA Top 10 Social Media Blog Awards

And the awards go to… Mashable Mashable – Without a doubt, Mashable is the leading source for all things social media. This massive blog contains everything from the latest social media news to how to and guide books for getting more from social media. The blog was even named a Top 25 Blog of 2009 by Time Magazine. Twitter: @mashable

Chris Brogan Chris Brogan – Chris Brogan is the founder of a new media marketing agency that helps large and mid-sized companies connect with consumers online through the use of social media and other tools. On his blog, Brogan shares his tips and observations with readers on a daily basis, and we always come away from his blog feeling like we’ve learned something new. Twitter: @chrisbrogan

Social Media Explorer Social Media Explorer – One thing that makes this blog different is that it’s backed by a PR guy. As a result, the posts tend to come from a public relations point of view, educating companies on how to engage customers correctly online. Twitter: @JasonFalls

ChrisG ChrisG – ChrisG.com offers daily advice on the business of social media and online marketing. According to the author, the site’s goal is “to teach you ways you can create compelling resources, provide your audience more value, build trust and loyalty, and generate more rewards for yourself.” The posts on here are very in-depth and detail-rich, offering valuable information you can’t find anywhere else. Twitter: @chrisgarrett

Gary Vaynerchuck

Twitip Twitip – Take a wild guess what this blog covers? Twitip is devoted to helping readers get more out of Twitter. We love this blog because it’s one of the few sources that actually offers insightful, specific tips for using Twitter effectively, rather than the generic, vague tips (e.g. “Join the conversation!”) you find on so many other blogs. Read this blog daily! Twitter: @problogger

SelfMadeMagazine.com • Fall/Winter 2010

Gary Vaynerchuk – Gary gained notoriety by launching a daily video blog about wine. This landed him TV appearances on several popular network talk shows. On this personal video blog, Gary offers business advice and commentary on social media marketing and other emerging technologies. Twitter: @garyvee

Social Media Today Social Media Today – This blog teaches you how to develop your business and get quality leads through social media. You’ll find everything from discussion over the

intricacies of social media etiquette to common mistakes you might be making with your social media campaign. Once again, we love this blog because it offers specific strategies and information for those interested in social media marketing. Twitter: @socialmedia2day

Social Web Tools Social Web Tools – There are so many apps, social networking tools, widgets, and extensions out there, that it can be almost impossible to know which ones work and which ones you can use to improve your social media efforts. That’s why we just had to include this blog on our top 10 list. Social Web Tools reviews all of these different applications to let you know which ones are worth your time. Twitter: @socialwebtools

Social Media Influence Social Media Influence – This is a great resource for learning about social media best practices so you don’t sabotage your social media marketing efforts. You’ll also get insight into measuring campaigns properly and engaging your audience on a deeper level. Twitter: @socialinfluence

BlueGlass BlueGlass – BlueGlass is backed by some of the brightest minds in social media marketing. The blog offers news and expert insight from several names you may recognize, including Brent Csutoras and Dave Snyder to name just a couple. Twitter: @blueglassinc

SUCCESS

Top 10 Success Blog Awards And the awards go to...

and bettering your social skills. Twitter: @positivityblog

The Blog of Tim Ferriss

SCORE Women's Success Blog

The Blog of Tim Ferriss—We’ve always been firm believers in “Work smarter, not harder.” Tim Ferris is all about being successful by cleverly avoiding hard work while still getting the job done and not sacrificing quality. Tim Ferriss, nominated as one of Fast Company’s “Most Innovative Business People of 2007,” is an angel investor (StumbleUpon, Digg, Twitter, etc.) and author of the #1 New York Times, Wall Street Journal, and BusinessWeek bestseller, The 4-Hour Workweek, which has been translated into 35 languages. He has a lot of very inspiring stories to share, and his blog posts are all spoken from the heart. Twitter: @tferriss

Life Optimizer Life Optimizer—Life Optimizer is a complete guide to personal growth. According to the blog’s About page, “May people live below their maximum potential…(because they) do not optimize their life. There are aspects of life which can be made better and more effective than they are now.” The blog is updated on a pretty regular basis, and there are hundreds of archived posts you can browse through to get on the path to becoming a better you. Twitter: @lifeoptimizer

The Positivity Blog The Positivity Blog—Is it just me or have we become a really cynical society? The Positivity Blog is a very refreshing reminder of the power of positive thinking. It’s all about opening the door to new possibilities and finding new ways to improve your life. The blog has a clean, welcoming design, and it covers a wide range of success topics, including creating better habits, improving productivity,

SCORE Women’s Success Blog—Despite its name, this blog isn’t just for women. All entrepreneurs can learn a thing or two about achieving business success by following the very insightful tips and commentary provided here. It’s all about giving you the tools you need to live your dream of entrepreneurship. Twitter: @SCOREMentors

Success SUCCESS—This is the blog of SUCCESS Magazine which is not only inspirational but also instructional in taking a balanced approach to success by offering guidance and insight into improving one’s entire life. The SUCCESS blog team is extremely talented and committed to bringing their readers inspiring, informative and personal-achievement-based articles and posts. Twitter: @SuccessMagazine

Escape From Cubicle Nation Escape from Cubicle Nation—The tagline says it all: “From corporate prisoner to thriving entrepreneur. Pamela Slim posts on a weekly basis offering detail-rich posts with tips for becoming a better entrepreneur and even improving your personal life. If you’re a first-time entrepreneur or a corporate slave thinking about making the jump, this blog can serve as the perfect guide to your future success. Twitter: @pamslim

Lifehacker Lifehacker—Lifehacker is an award-winning blog (even before winning this award!) that’s devoted to making life simpler. It’s all about helping readers be smarter and more efficient. This is one of the rare blogs that

combines quality and quantity beautifully, offering more than 20 new tips each day for making life easier. Twitter: @Lifehacker

Dumb Little Man

Dumb Little Man—We know what you’re thinking “Wait a minute. I’m not a dumb little man (or woman)!” Don’t pay attention to the name. This blog is anything but dumb. The blog runs on guest posts from readers, so you get a really wide range of tips on everything from improving your productivity to saving money. There are more than 1,700 articles in their archive! That’s a huge database of valuable information you can learn from. Twitter: @JWhite

Pick The Brain Pick the Brain—Pick the Brain has been around for several years now, and it’s quickly become one of the top self-improvement blogs on the Web. The thing we really like about this site is it covers a huge range of self-help topics, rather than focusing on a tiny niche (e.g. Get rich quick!). Twitter: @PickTheBrain

The Self Improvement Blog The Self Improvement Blog—One thing that quickly sets this blog apart is that it’s authored by a woman with a masters degree in nursing and a doctoral degree in metaphysics. She’s also a certified hypnotherapist and has been practicing for 12 years. In other words, she knows her stuff, and she’s constantly sharing new tips for achieving happiness and improving yourself. Congratulations to our first set of YoungEntrepeneur.com Top Blog Award winners! Keep your eyes open for our upcoming awards in our next category. We’d love to hear about other blogs you think should be nominated for next year’s Top Success Blog Awards on YoungEntrepreneur.com. Fall/Winter 2010 • SelfMadeMagazine.com

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s e lf- m a d e pr ofiles

Interview with Jeff Rosenthal of Summit Series by Adam Toren > Traveling keeps us fresh; We’ve thrown off the bowlines, and spend our days exploring, dreaming and discovering new people, places and ideas. Not to mention that when you spend your morning bombing A-Z shoots on a snowboard or surfing private breaks in San Juan Del Sur, you are very motivated to get your job done when you get to work.

My brother Matthew and I recently had the opportunity to attend an exclusive event in Miami called Summit Series , and we were both blown away by the experience. Never before had we attended an event with such an amazing group of entrepreneurs–talented, motivated, forward-thinking. The kind of people who are making a difference and changing the world. If you haven’t yet heard the buzz about this innovative organization, you will. Summit Series hosts invitation-only events across North America for top young entrepreneurs, entertainment figures, and philanthropic leaders. One of Summit Series’ goals is to connect influential young entrepreneurs and inspire them to make socially conscious changes.

SelfMadeMagazine.com • Fall/Winter 2010

I recently caught up with Jeff Rosenthal, Chief Community Builder and Sherpa of Summit Series. In addition to his position with Summit Series, Jeff heads up Special and Private Projects for Black and Blue Jewelry in NYC, advises start-ups including DEOS Jewelry, One Blue Brick and Social Expeditions, and advises a number of major non-profits around the world. He served as the youngest floor staff member in the history of the United States Congress and played soccer for American University and the United States Maccabiah team. Incredible accomplishments, and all by a man still in his twenties. Adam: You are actively involved in the Summit Series, which my brother and I attended in Miami and loved every minute of. It is said that founder Elliott Bisnow chose two or three of his best friends to help him establish this program for young entrepreneurs. How does your friendship contribute to your working relationship? Jeff: Working with your best friends is incredible. One of the coolest things is 100 percent accountability; when one of my partners is assigned something or accepts a task, there is no follow up, the job simply gets

done. There is a tremendous level of respect between everyone on our team, and we know that our personal success is tied to the success of our partners so we constantly push one another to grow and succeed. Adam: Your job title is “chief community builder.” – What exactly does that entail, and could you share how you go about building your communities? Jeff: My role as Chief Community Builder aids in establishing the SS community. The first step is identifying the people, which is why I’ve been traveling full-time with the Summit Series team for the past 18 months. I curate the community based on two criteria 1) Does this person do truly awesome work? 2) Is this someone I can care for, someone who I would be friends with if they weren’t successful? We aren’t interested in short-term friendships, or pure networking; we want to associate with people that we genuinely want to help and spend time with. Our generation makes friends first, and we learn from one another through those friendships. Another big part of the community build-

ing process is creating mutually beneficial connections between Summit Series friends. I look to connect people who can help grow each others businesses, work on projects together, share knowledge, or simply just become good friends. I also prophesize some of the core tenants of the Summit Series philosophy whenever I can; promoting the ideas that we are all apprentices, with a lot to teach but even more to learn, and that giving unselfishly is the most selfish thing we can do. Adam: As you classify your occupation as a dream job and seem to have a lot of fun doing it, you also raise notable sums of money for charities. Tell us about this fund-raising, its achievements, goals and aspirations. Jeff: In 2009, Summit Series raised close to $1 million for charity. More importantly, Summit Series connects the top business minds in the world with some of the best non-profits, helping them operate more effectively, create movements, build websites, film movies on their causes.. FEED Projects, The United Nations Foundation, The Robin Hood Foundation, The Clinton

Foundation, UNICEF, Invisible Children, Grassroots Soccer, Falling Whistles, Charity:Water, I Am That Girl, The Pink Agenda, Universal Giving, Ubuntu Children’s Fund, and Tipping Point Community have either done events with Summit Series or are active members of the community. Bobby Chang X Invisible Children is a great example of this type of thing at work; Bobby is the co-founder of Incase, and one of the top industrial designers of bags in the world; he just got back from Northern Uganda, where he will be helping Invisible Children on their MEND bag line, bags produced by women in war-affected areas of northern Uganda. It’s interesting; when we started with Summit Series, we weren’t concerned about philanthropy or making a difference in the world. However, through exposure to the incredible organizations above and their ideals, we realized that cash is not the only currency in the world, and that helping others leads to a level of personal satisfaction unachievable through better margins or greater sales. Adam: Your lifestyle is quite nomadic! Where have you traveled to recently and where do you plan to go soon? I read that

you spend two months at a time in each destination. What do you try to achieve during each visit? Jeff: Yes, we’ve been on the road for some time now. In 2009, I spent significant time in Uganda, Nicaragua, Costa Rica, Argentina, Mexico; In the US, we lived in Dallas, SF, LA, NYC, Miami, Yellowstone, Montana, Aspen, and Washington DC. I’m currently living in Big Sky, Montana, and we are heading to Austin TX next, followed by NYC, SF and LA. Traveling keeps us fresh; We’ve thrown off the bowlines, and spend our days exploring, dreaming and discovering new people, places and ideas. Not to mention that when you spend your morning bombing A-Z shoots on a snowboard or surfing private breaks in San Juan Del Sur, you are very motivated to get your job done when you get to work. Adam: Do you have any plans to take the Summit Series to Europe or other international destinations? Jeff: Absolutely. Summit Series Europe, 2011. Fall/Winter 2010 • SelfMadeMagazine.com

Adam: History tells us that you were the youngest floor staff member of the U.S. Congress. What is it like to work within the halls of power, and have you taken any of this experience to heart as you interact with other young entrepreneurs? Jeff: Working for the Rules Committee on the floor of the House of Representatives was an incredible learning experience. It’s interesting; I was working on the Democratic side when they were the minority in the house, and only a handful of Representatives actively participated in Rules hearings and spoke on bills on the House floor on a regular basis... it’s no surprise that one of them was Rahm Emanuel, our current White House Chief of Staff. It shows that no matter what level you are operating at, it’s always those who continue to passionately put in the work who succeed in the end. Adam: What is it like working with former President Clinton?

SelfMadeMagazine.com • Fall/Winter 2010

Jeff: We hosted a Summit with President Clinton in 2009 where we awarded him the first Summit Series Catalyst Award. President Clinton is inspiring; a brilliant man, a true public servant, someone who gives of himself unselfishly at the core of his being. He is a tremendous role model in a precarious world. Adam: Can you share some info on the next summit coming up in May? Jeff: Washington DC May 13–16, be there. Adam: By many standards, you have accomplished quite a lot so far in your life. What words of wisdom can you offer aspiring young entrepreneurs who want to achieve the measure of success you have achieved? Jeff: Sure. First and foremost, get off the couch. If you want to see something new

or improved in world, its up to you and you alone to make it happen. No one will do it for you. Second, make sure that you enjoy the work that you’re doing, that it aligns with who you are existentially. If you are concerned about the environment or public health, you probably will not be happy opening up a McDonalds franchise. Third, focus. Take positive steps to see your goals-determine where it is you want to be, and take small, incremental steps to get yourself there. Fourth, always approach any situation as the apprentice. The smartest of us humans still know nothing; we all have a lot to learn. And if you take this approach while asking the people around you for help, if you remain humble, people will go out of their way to see you succeed. Lastly, give of yourself, your knowledge, and your connections unselfishly, without any concern of if the favor will be returned. Giving unselfishly is the most selfish thing you can do, as it always comes back around. Those who spread love get love back. 

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Busin e ss S tra t egy

Is College Necessary for Young Entrepreneurs? by Adam Toren Let’s face it. We live in a world where in-

formation can be found online for just about anything. What can’t be found online can be found in books, and what can’t be found in books can be found through internships, jobs, and mentors. This leaves a lot of young entrepreneurs wondering, “Is college even worth it?” Ask around and you’ll find conflicting answers. Some will tell you it’s necessary in order to gain the skills you need to succeed. Some will tell you it’s necessary to build character. And some will tell you not to waste your time. Survey says… Most studies tend to indicate that college-educated people end up making more money in their careers than those who are not, but how does that translate to entrepreneurs?

> What do you hope to gain from attending college? Are there specific skills you know you need? Can you learn those skills by working at a job, finding an internship, researching online, or finding a mentor? Manager, Customer Service Representative, and Administrative Assistant. The Outrageous

Every year more than 2 million high school students enroll in college–1 in 3 drop out after their first year. This collectively wastes $9 billion dollars a year. With the amount of money spent on getting an education at Sarah Lawrence College in Bronxville, NY, you could purchase a brand new Ferrari F430. The average college freshman spends over 10 hours a week partying; over 9 hours a day engaged with media and technology, including games, cell phones, TV, and social networks like Facebook; and only 8 hours a week actually studying.

The Good You will make important friends and valuable contacts. A large part

of your success in business will depend on who you know, and who knows you. College provides you with an opportunity to cross paths with potentially thousands of people.

Should I or Shouldn’t I?

You will gain a depth of knowledge.

While you can learn just about anything on your own, college can speed up the process, making it faster and easier to learn the skills you’ll need throughout your lifetime.

A college degree could open doors for you. Potential business partners, inves-

tors, and clients will look at your education and experience, and may use it as a determining factor when deciding whether or not to do business with you. College is fun. There is nothing quite like the experience of college. Your time in college will be among the most memorable days of your life, and you may regret missing out later in life.

The Bad College is Expensive. Average tuition,

room and board for a 4-year degree is around $80,000. Two-thirds of all students graduate with an average of $23,000 in debt, and 39

percent say it will take them 10 years to pay off their debt. Consider that you will need money to start your business, which may be hard to obtain when you are starting in the red. Time-Commitment. More than half of college students require 6 or more years to finish their degree. That’s a long time to wait to start your business! Going to college requires commitment and dedication, and you’ll need to be in it for the long haul. Non-relevant courses. In order to graduate, you’ll need to take some courses that may not be relevant to your interests and passion. Some say you can never learn too much, but will you ever use this knowledge again? Studies say 4 of the 10 most popular majors include Social Sciences, Psychology, Communications, and English. Popular careers of these majors include Retail Store

The question isn’t whether college is necessary for entrepreneurs, but rather, “Is college necessary for you?” Before making the decision, try asking yourself the following questions: Do you already know what you want to do with your life? Have you already begun building your company? What is your learning style? Do you learn best by being “taught”, or by teaching yourself? Are you a visual learner, or do you learn best by listening? Do you have a history of excelling in school, or did you struggle? What do you hope to gain from attending college? Are there specific skills you know you need? Can you learn those skills by working at a job, finding an internship, researching online, or finding a mentor? Consider the answers, and then do some serious soul-searching to really determine what’s best for you. Unfortunately, there is no one-size-fits all answer to this question. Just do what you feel is right, trust in your decision, and never look back.  Fall/Winter 2010 • SelfMadeMagazine.com

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MAR KE TING

MARKETING WITH MEANING by Lisa Promise

"Marketing with meaning" , coined in

The Next Evolution of Marketing by Bob Gilbreath, can be defined as bringing value to clients (potential and existing) through your marketing tactics. What does this mean for a business? Is offering a product or service enough of a value of itself? MerriamWebster provides several definitions of the word value: “a fair return or equivalent in goods, services, or money for something exchanged; relative worth, utility or importance; something (as a principle or quality) intrinsically valuable or desirable.” Marketing with meaning is about added value. With today’s bombardment of billboards, commercials, and online pop-up ads, people are being interrupted more frequently with less valuable information. What consumers need and what they perceive they need can be very different, and marketers have long since played off of this. If you can market in a way that offers an unexpected and appreciated additional service, that will be valued. Does that mean offering a free sample of your product to prove its worth? Is that an article or newsletter sharing information once reserved only for paying customers? Small businesses often have less money to invest in their marketing,

You’re learning about the writer’s expertise, while not having to invest anything other than time. That in turn can provide the confidence to invest more fully, all with neither party paying a dime. If you’re interesting and engaging, people will read what you have to say. Not only will they read it, but they’ll be eager for it and they’ll share it with others. But, you can’t just say something; you have to say something of value that will bring people back for more. A blog is a great way to start, and it shows your potential clients that you’re knowledgeable about your field. Next best is the ever-growing world of Facebook. People thrive on being connected; six degrees of separation has never been more true. The greatest thing about Facebook is the viral ability. With the options of “like” and “share”, one person finds out about a local restaurant or hair salon, and 5 minutes

The greatest thing about Facebook is the viral ability. With the options of "like" and "share", one person finds out about a local restaurant or hair salon, and 5 minutes later, their entire friend list of 500 knows too. but are willing to invest the time. One of the easiest and most cost-efficient ways is by utilizing social media. YoungEntrepreneur.com blogs are an example of this, as you’re gaining information about topics that may be useful to you, while getting to know authors as people rather than businesses.

SelfMadeMagazine.com • Fall/Winter 2010

later, their entire friend list of 500 knows too. Most small businesses aren’t targeting a small niche, but have mass appeal. Appeal to that mass with free publicity. Taking the Facebook status to the next level is Twitter. What’s the allure of typing a single sentence and having people desperate to know your

latest update? Who cares if you just had the greatest lunch at the diner down the street, or need to get your carpets cleaned after your kid spilled grape juice? Interestingly enough, small businesses care. By targeting keywords locally (think “carpet” or “lunch in Boston”), you can find potential customers with a click of a button. There are certainly additional social networking sites, though the first three are a great starting point. MySpace seems to have done wonders for up-and-coming artists, but I don’t know that I’d recommend it for the local electrician. LinkedIn is also an excellent networking site, and I encourage you to create a profile so you can connect with old colleagues, new friends, and get your name out there. When it comes to social media, invest the time and go viral. With a blog focusing on your small business specialty, a Facebook page featuring customer testimonials, and a Twitter account advertising your latest deal, you’re well on your way to growing your customer base. The key to marketing success is to add meaning and offer value, and all other things equal, you’ll find yourself strides ahead of your closest competitor. 

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MAR KE TING

How to Increase Prices Fearlessly by Chris Blanton Have you ever worked at a business that increased prices? If so, you were probably bombarded by customer questions and complaints. Explaining the increase becomes so tiring many just absorb any price increases, preferring to take the path of least resistance. But what if you learned how to raise prices while avoiding the headache? Most entrepreneurs who work with consumers have to deal with the issue of price constantly. As a result, they often become worried their pricing is too high. But what would you say if I told you most companies price their offerings way too cheaply? People are willing to pay their perceived value. If a customer thinks an item that you list at $2,500 is worth $5,000, they’ll buy it. If it costs $6,000, they won’t. If it’s $4,000, they’ll still buy it but it will take them longer to decide. If it’s $4,500, they will take even longer to decide. The closer the perceived value is to the price, the longer a prospective customer will take to consider.

The graph above reflects the value a set of clients place on a hypothetical item that sells for $3,000. Each bar represents the perceived value of the client. Point A reflects your listed price, and Point B shows the perceived value of each client. You can see that each client values the item differently:

Client 1 might feel the item is worth $6,500 and Client 2 might feel it’s worth only $5,200. Yet Client 3 may value it at $5,750. The most pricesensitive client is Client 2 because the bar goes right up to point B without surpassing it. So B is the maximum you could charge without losing clients, and the highlighted area between A and B is the potential extra profit on all sales you can earn if you raise the price to B. As Point A gets closer to Point B, Client 2’s price resistance will increase substantially. But even if your most price sensitive clients are paying your list price readily without grumbling, doesn’t it make sense that you aren’t charging enough? Legally, you can’t charge different people different prices for the same thing. However, you want to adjust the price so it is closer to the minimum perceived value of your customers. Raise prices easily with the Grandfather Technique. A great technique my firm devised to increase prices while keeping clients content we called the Grandfather Discount. Here’s what you do: • Immediately raise prices across the board as needed. • Notify your current clients that because they’re such loyal clients you’re granting them a grandfather discount under the old rate for six months • Charge everyone the new price, but add

a line item discount equivalent to the price difference for your loyal clients. • At the expiration of the grandfather period, remove the discount. That’s all there is to it. During this grandfather period, whenever your client purchases something they’ll see the new item price on their invoice, but after the discount they’ll read the same amount they’ve always paid. They won’t complain about the increase because you’re doing them a favor by agreeing to a grandfather discount so they aren’t paying the new price yet. But each time they repurchase they’ll be reminded of the new price and they’ll have time to get accustomed. They’ll subconsciously revise the value upward in their minds over time to reflect this higher price. After the grandfather period, remove the discount. Because you’re removing a discount instead of increasing the price, your client will feel benefited, not penalized. So there won’t be any latent resentment. Further, because you increase prices right away, any new business will be at the higher price. So all sales to new customers will add to profit immediately. You might even find some clients stock up before the price discount expires. So raise prices if warranted and start making more money instantly. This simple technique can improve your bottom line rapidly, even in a recession. What experience do you have with raising prices in your business? Share with the community in the comments below! Chris Blanton is the author of Ingenious Business, a blog where he shares proven innovative techniques that companies of all sizes and sectors implement to tremendous profit. Read more about Chris here.  Fall/Winter 2010 • SelfMadeMagazine.com

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Te ch n ol og y

What Should My Website Project Cost? By Gabriel Shaoolian, CEO and Founder Blue Fountain Media Virtually every business owner-no matter what the size his or her come to the realization that a Web presence is absolutely necessary. Your competitors are on the Web. Your clients are on the Web. Most importantly, your potential clients/customers are on the Web. Your company’s website is your storefront. It is often the first exposure a potential customer has to your business. Just having a website is not enough. Your website must present your brand in the best possible light. The design, content and functionality are all key elements to engaging your visitors, while an integrated online marketing program is essential to attracting such visitors in the first place. Once the decision has been made to create a new website or redesign a current website, businesses must make the decision as to how much they are willing to spend. What is a reasonable price? If you Google “Web Design,” you will find companies offering $500 websites or even $199 websites. When new clients come to our offices, they are often surprised to learn that a sophisticated e-commerce Web project can cost tens of thousands, even hundreds of thousands of dollars. So, how can a person know how much to spend? This is actually the wrong question. The more important questions to ask are: • What am I trying to accomplish with my website? • How will my website enhance my brand? • What are the bottom-line numbers I’m trying to achieve through my website? A poorly-designed and -engineered site will not only do little to bring clients/customers to your site, it can damage your brand and reputation, thus jeopardizing relationships with current clients/customers. So what factors go into the cost of a Web project? The first factor to consider is the quality

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> The design, content and functionality are all key elements to engaging your visitors, while an integrated online marketing program is essential to attracting such visitors in the first place. of work you’ll be receiving. Great websites are created by great professionals. Look for a company with highly trained and experienced designers, managers and developers. These people are paid for their time, much the same as professionals in any industry. Where does the time go? Planning: At the outset of the project,

time is invested in learning about your current business, checking out the competitive landscape and understanding the precise ways in which you want your website to work for you. If this stage is not given proper at-

tention, the project is doomed to fail. Technical specifications: How sophisticated is the functionality you are seeking? Are you looking for e-commerce solutions? Advanced reporting options? Customized content management systems? Many of these features require complex engineering. Design specifications: How much customized design are you looking for? Are you content to have the same basic design for all of the pages of your site, or are you looking for unique design elements for each of the sections of your site? Marketing strategies: How much traffic are you looking to drive to your site? Search engine optimization, online marketing and social media marketing all require time to strategize, implement and monitor. A well crafted marketing program can be expensive, but the returns can be enormous. Maintenance: How much attention do I want to give to the site once it has been launched? Ongoing SEO, site analytics and adding features and functionality require investments of time and money, but can do a great deal to bring in further revenues. The amount of time and effort spent in all of these areas can vary greatly from client to client. Every client has different requirements. It is critical to find a Web design, development and marketing company you have confidence in. Meet with them. Talk with them. Test them. If you are fortunate enough to find a group you are comfortable with, then decisions about scope and price become much easier to make. 

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m a r k e tin g

Branding is Far More than Just a Logo by Matthew Toren portant than what falls under the eye. Using Social Media to Boost Your Profits

Many entrepreneurs quickly learn how

essential great branding can be to building a successful business. These days it is no longer necessary to have an established brand with a massive budget to make untold sums of money. Web 2.0 has ushered in the opportunity for a single person or small group to create their own “global micro-brand” for the first time in history. Yet in a way, this means that branding has never been more important. The branding of your business provides instant communication to your customers. It is a quiet promise that should never fade. However, there are quite a few misconceptions as to what branding entails, and branding discussion is usually focused on the visuals. Your brand is not your slogan, logo or jingle advertising the merits of your company. The branding of your business is all about the set of standards and expectations your

company sets for its customer base. Though visuals are indeed a component of branding, they are only physical representations of a business’s core philosophy. A business attempting to develop an idea for their branding should ask themselves these key questions. • What is it our company does? • What is it we would most like for our company to be known for? • What does our business stand for? • What is the quiet promise we are making to every customer? Logos are important, as is proper marketing, but there is nothing more essential to your business than what people say about you, from the lips of one customer to the ears of another. Who you are, what you do, and how you do it, are the things that help define your brand. Word of mouth will always be more im-

Twitter, Facebook, Digg, StumbleUpon, WordPress, Blogger, Delicious, YouTube; all these social media sties have one thing in common: they can help improve the health of your business. Consumers are turning to social media for advice on goods and services, to recommend local businesses, and to voice complaints about poor customer experiences. Though the thought was unheard of just a few years ago, these days social media websites can make or break your business. Businesses today often attempt to go viral on social media websites for easy and cheap (or free) advertising and marketing. They combine YouTube video presentations, WordPress blogs, and status updates on Twitter and Facebook to keep their target audience informed and engaged. One of the great advantages of social media websites are that they are free to sign up, have few restrictions, and are wildly popular. Even if your business pays a virtual assistant to drop comments on blogs, Tweet promotions and industry news, and submit blog posts to social sharing sites like Digg, these efforts are likely to lead to increased website traffic and sales. For some Web savvy consumers, finding a business on Twitter or Facebook is a definite vote of confidence. Utilizing social media to promote your business shows that you are current with the needs of today’s consumers and are up to date with industry trends. Social media, when leveraged properly, can help you build your professional brand, gain the trust of your target audience, and promote your goods and services cheaply. While many businesses shy away from social media because of a fear of the unknown, utilizing social media to the fullest extent benefits today’s businesses-both online and offline.  Fall/Winter 2010 • SelfMadeMagazine.com

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BU S INES S str a t egy

The One-Page Business Plan-It Might Be All You Need By Matthew Toren One of the common things you’ll hear from people when you say you’re going to start a business is that you need to write a business plan. And there is no doubt that planning is a vital part of the process when starting out. You need to know where you’re going and how you plan to get there, and that’s exactly what a business plan should spell out. The problem is, many would-be entrepreneurs have never written a business plan, and are overwhelmed at the very thought of it. Sure, you can find “how-to” resources online that will spell out all the sections and what they should contain, but none of the examples are going to match your business and your circumstances exactly, and if you have a unique business model at all, good luck finding a decent resource. Depending on what you read, you might think you need to come up with 30-50 pages of meticulously thought-out, detailed material, including comprehensive financial projections, market studies, contingency plans, and more. So it’s no surprise that the idea of having to write a formal business plan has kept some budding entrepreneurs from taking the leap into business ownership altogether. As I mentioned, you do have a lot of options for help if you buy into the conventional wisdom that a formal business plan is an absolute necessity. For starters, there are several hundred books on the subject, ranging from the “For Dummies” version for about fifteen bucks, to Bankable Business Plans for Entrepreneurial Ventures for $95. Or you can download some slick software, like Palo Alto Software’s Business Plan Pro for $100-$200. If you want to go all out, you also have the option of hiring a firm like Portland Oregon’s MasterPlans to create a plan for you, for an average of $1,500-$4,000. Let’s be clear: if you’re in need of start-up financing, you will need a more formal business plan, and it might even be worth shelling out hundreds or even thousands of dollars and spending plenty of time to create one. Even then, though, some bankers will tell you less is more, at least initially. When it’s time for your proposed loan to go to committee–or to whoever the decision makers are–they want to see everything. But when you first present the idea to your financier, they’ll just want enough to help them decide whether it’s worth taking it to the next step. If you don’t need major financing to get your business going, even if you might need it down the road, and if you’re dreading the idea of creating a formal business plan, take heart. A study undertaken a few years ago by Babson College has some good news for you. The study, entitled Pre-startup Formal Business Plans and Post-startup Performance, looked at 116 businesses started over an eighteen-year period,

SelfMadeMagazine.com • Fall/Winter 2010

from 1985 to 2003, and here’s what they found: The analysis revealed that there was no difference between the performance of new businesses launched with or without written business plans. The findings suggest that unless a would-be entrepreneur needs to raise substantial startup capital from institutional investors or business angels, there is no compelling reason to write a detailed business plan before opening a new business. Does that mean planning is unimportant? Again, no it does not. It means you can actually start planning to run your business… planning to do business, rather than planning to plan to do business. It has been said that a goal with out a plan is just a wish. I definitely advocate putting together a well-thought-out, written plan. But for most businesses, that can be as little as a single page. Welcome to the one-page business plan! Your plan should have the following elements, all of which should be able to fit on one or two pages: Vision – Your vision talks about what you’re building. Whether it’s to dominate your market or simply be the best at what you do, this one-to three-sentence statement tells your company’s future. Mission – While your vision tells the end result of your efforts, your mission statement talks about why your company exists. It talks, in a general sense, about how you will accomplish your vision. Objectives – This section can simply be a list of bullet points stating your business goals. These items might be, “Generate $100,000 in revenue this year,” or “Hire a full-time assistant by the end of the third quarter.” Don’t worry about detailed specifics in this section; just list end results. Strategies – Your strategies tell how you’ll meet your objectives. Without going into great detail, list bullet points, such as, “Build a strategic alliance with the Chamber of Commerce to increase local visibility,” or “Maximize gross profit by utilizing co-op advertising with select vendors.” Action Plans – You’ll still use bullet points here and won’t be overly descriptive, but these listed items will have dates tied to them and offer more specifics than your strategies. Examples are, “Move to Greenway Business Park office onNovember 1,” and “Negotiate bulk rate pricing with XYZ Supply beginning March 15.” This one-page plan, like any good business plan, is a fluid document and will change as your business changes. If you do go for financing at some point, this plan will provide a starting outline for a more formal plan. And even then you don’t have to fret too much. (Check out GrowThink’s innovative Ultimate Business Plan Template software for an easy-to-use, effective way to create a professional business plan to take to any financial backer.) Unlike the kind of plan you put together for financial institutions, the one page business plan is light, practical, and easy to refer to. You might even consider keeping it posted on the wall above your desk to remind you where you’re headed and how you’re going to get there. 

27 Inspiring Young Entrepreneurs By Matthew Toren One of the fantastic things about the Internet is that there is no such thing as age discrimination when it comes to being successful online. It doesn’t matter if you’re 13 or 83–you have as much chance as anyone to become rich and famous through your online efforts. To prove the point, here are 27 young entrepreneurs who are making their dreams a reality through online business. Juliette Bindak, 20

MissOandFriends.com Juliette Bindak founded her company, Miss O and Friends, a site for girls, by girls, at the age of 10. By the time she was 19, just last year, the company had a value of more than $15 million. She also published her first book at the age of 16, which has sold over 120,000 copies. Juliette is a true inspiration to any teen, pre-teen, or adult looking to start an online empire! Twitter: @MissOandFriends Pete Cashmore, 24

Mashable.com From the Mashable site: “Pete Cashmore is the 24 year-old CEO and founder of Mashable. com, a Technorati Top 10 blog worldwide. He founded Mashable in a small Scottish town in 2005 at age 19. In 2009, Cashmore was chosen as one of Inc Magazine’s 30 Under 30, Forbes’ Top 25 Web Celebs and the Huffington Posts’ Top 10 Game Changers 2009.” Twitter: @petecashmore and @mashable Michael Dunlop, 21

IncomeDiary.com Michael Dunlop started his first profitable website when he was just 16 years old. Now, at the ripe old age of 21, Michael is truly living what he calls the Internet Lifestyle. Michael’s blog is all about helping others achieve this same dream. Through interviews with some of the true thought-leaders in online marketing, as well as instructional content, Michael brings great information to anyone looking to become a pro blogger. Twitter: @michaeldunlop

Adam Horwitz, 18

AdamHorwitz.tv 18-year-old Adam Horwitz says on his site that he has a goal to make a million dollars a year by the time he’s 21. All signs point to that becoming a reality. Adam started out in Internet marketing at the age of 15 and has become an expert in the areas of affiliate marketing and PPC (pay-per-click) advertising. Now he makes money teaching others to make a living in these areas. His blog is full of informational videos, tips, and lots of goofy stuff that might not make you a better entrepreneur, but just might make you laugh. Twitter: @AdamHorwitz

Jonathan Mead, 23

IlluminatedMind.net Full-time blogger and life coach Jonathan Mead delivers a steady dose of inspiration and how-to content on his blog, and through his popular e-books, Reclaim Your Dreams, and The Zero Hour Workweek — How I Liberated Myself From the 9 to 5 by Getting Paid to Be Me. At just 23, Jonathan has figured out the “secret formula” for becoming a successful entrepreneur by sharing his story and expertise through blogging. Twitter: @jonathanmead Fall/Winter 2010 • SelfMadeMagazine.com

Kevin Sproles, 25

Volusion.com Kevin Sproles started designing websites at the age of 16. After receiving lots of requests for a shopping cart solution, Kevin, with very little money and a great deal of perseverance, started coding shopping cart software. Now, at the age of 25, his company supplies the most award-winning e-commerce solution online to over 100,000 entrepreneurs as well as to major companies. Twitter: @volusion Catherine Cook, 20

myYearbook.com Since co-founding myYearbook with her brother in 2005, at the age of 15, Catherine Cook and her team have raised over $20 million in capital and have grown the site into one of the largest US social media sites with over 20 million members. The site makes meeting new people easy by introducing members to innovative social games that are all tied together by a single virtual currency called “Lunch Money.” Twitter: @myYearbook Aaron Levie, 24 Dylan Smith, 24

Box.net Aaron Levie originally created Box.net as a college business project with the goal of helping people easily access their information from any location. Box.net was launched from Aaron’s dorm room in 2005 with the help of co-founder, and now CFO, Dylan Smith. Aaron is the visionary behind Box’s product and platform strategy. He has spoken about content and collaboration tools at events such as Accenture Global Summit, South by Southwest, and Svase. Dylan has been instrumental in Box.net’s growth and development since starting the company with Aaron. Twitter: @levie & @boxdotnet Sam Lessin, 26

Drop.io After graduating from Harvard, Magna Cum Laude in 2005, Sam Lessin

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started Drop.io. Drop.io is a simple, private, real-time, sharing, collaboration, and presentation site where users can upload files of any kind and have the ability to access, share, and edit those files from any Internet-connected computer. Sam is also the co-founder of SocialGreat.com, a location-based social media site with a growing user-base. Twitter: @lessin Gurbaksh Chahal, 27

gWallet.com Gurbaksh Chahal has an amazing entrepreneurial story. After dropping out of high school in San Jose at age 16 to start ClickAgents, a performancebased ad network, he grew the company for two years, at which point it was acquired by ValueClick in a $40 million all-stock deal. His next venture, another ad network called BlueLithium, was acquired in 2007 by Yahoo! for $300 million cash. Gurbaksh started gWallet, a virtual currency platform for social media, in September of 2009. In 2008, Gurbaksh published his memoir in a book called The Dream. Twitter: @gchahal Nat Turner, 23 Zach Weinberg, 23 Scott Becker, 23

InviteMedia.com Nat Turner and Zach Weinberg had the idea for Invite Media, a buying platform for online display media, while in college. They, along with Scott Becker and Michael Provenzano, launched the company in 2007 and have since landed millions in venture capital funding. Invite Media is the first “universal buying platform” for display media, and their board of directors includes those involved early on in such companies as Real Media, Tacoda, Strategic Data Corporation, and Right Media. Twitter: @natsturner, @zachweinberg (protected tweets), and @scottbecker Eric Koger, 25 Susan Koger, 24

ModCloth.com High School sweethearts Eric and Susan Koger founded ModCloth, an online clothing, accessories, and décor retailer in 2002, while they were freshmen in college. The company has since grown to over 100 employees and more than $15 million in annual sales. What sets ModCloth apart from other online clothing

retailers is their focus on connecting with customers through various social media outlets. Twitter: @Eric_ModCloth & @SusanGKoger Ryan Allis, 25

iContact.com Ryan Allis is the co-founder and CEO of iContact, a leading provider of email marketing tools for small businesses. Ryan has built North Carolinabased iContact from its start in 2003 to its current size with more than 175 employees, 50,000 customers, and $28 million in annual sales, while raising $10.8 million to grow the firm. Ryan is also the author of the book Zero to One Million, which reached the Wall Street Journal Bestseller list in 2008. Twitter: @ryanallis Matt Mickiewicz, 25

SitePoint.com Originally called Webmaster-Resources.com, Matt Mickiewicz founded what is now known as SitePoint in 1998. The site has grown to be one of the most visited sites on the Internet with half a million newsletter subscribers. Matt is also the founder of 99Designs.com, a community-based site where those in need of design expertise can connect with designers of all disciplines to fill their needs. The site currently has over 180,000 members. Additionally, Matt is co-founder of Flippa.com, a site that facilitates the buying and selling of websites. Twitter: @sitepointmatt Milun Tesovic, 25

MetroLyrics.com Started in 2001, while Milun Tesovic was a Vancouver, BC high school student, MetroLyrics is now the most popular music lyrics site on the Internet. Metrolyrics gets more than 32 million unique monthly visitors and is the sixth most popular music site on the Web. Milun was named the 2009 National Student Entrepreneur Champion by Advancing Canadian Entrepreneurship (ACE) Canada, and received the Simon Fraser University Entrepreneur of the Year Award in 2008. Twitter: @miluntesovic

Derek Johnson, 25

Tatango.com Derek Johnson was bit by the entrepreneur bug early in life, starting his first business of selling candy bars to fellow students at recess by the age of eight. Derek, a self-proclaimed workaholic, puts in 100+ hour workweeks to help fulfill the vision of Tatango.com. Originally launched as networkText.com in 2007, Tatango has since facilitated the sending of tens of millions of text messages to groups of varying sizes, through their simple-to-use group texting platform. Twitter: @TheDerekJohnson David Karp, 23

Tumblr.com Started by David Karp in 2007, the Tumblr platform now has 4.2 million users and has landed $5.5 million in venture capital. Tumblr is a free online service that lets you effortlessly share anything. Users can post text, photos, quotes, links, music, and videos, from their browser, phone, desktop, email, or wherever they happen to be. To date, Tumblr has facilitated over 500 million posts of all kinds. Twitter: @davidkarp

Zhang Rui, 30

Mosh.cn Zhang Rui is founder of Mosh.cn, one of China’s largest social networking websites, a site that has taken China’s young people by storm in the past few years. Unlike other social networking sites, one focus of Mosh is to encourage face-to-face meetings among its members. As the site is in Chinese, not much information could be obtained directly, but as of 2006, the site had 300,000 users and was growing at over 700 users per day. If the rate remained steady, they should be at well over a million users today. Twitter: N/A Kevin Rose, 33

Digg.com In the fall of 2004, Kevin Rose withdrew $1,000 out of his account and paid a freelance Web developer $12 an hour to mock up a webpage, and purchased some server space for $99 a month. He then paid $1,200 for the domain name digg.com, and the project began. Today Digg has over 40 million users, and Kevin’s net worth is estimated at over $60 million. Rose also co-hosts a weekly podcast Diggnation with Alex Albrecht, where they

discuss the top stories from Digg.com. Twitter: @kevinrose Jake Nickell, 29

Threadless.com With $500 and an idea for what Jake Nickell thought was going to be a side project, he started Threadless.com 10 years ago. Today, the company has turned into what Jake describes as, “a global t-shirt phenomenon.” The site features t-shirt designs submitted and voted upon by its thousands of members. Jake also recently invested in Graphic.ly, which provides an immersive social experience and marketplace around digital comics and associated merchandise. Twitter: @threadless Andrew Gower, 31

Runescape.com As founder of Jagex, Ltd., Andrew Gower wrote the code and developed the concept of Runescape with his brother Paul in 2001. Today Runescape is the number-one free multiplayer game on the Internet with over 150,000 players online at any given time, and Andrew shares with his brother and estimated net worth of $217 million. Twitter: @OfficialJagex 

Fall/Winter 2010 • SelfMadeMagazine.com

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Busin e ss S tra t egy

Startup Killers: Avoid Becoming a Statistic! by Adam Toren

We’ve all heard the bleak statistics about startup failures. In fact, according to a recent study by the SBA, a mere 44 percent of new business startups can expect to still be doing business just four years later. Even when we eliminate businesses that were closed by choice, due to retirement, the owner moving on to something else, or another planned exit strategy, then ignore non-traditional “business opportunity” type businesses, where commitment levels are notoriously low, the statistic is still daunting. If you’re not strong of heart, these numbers alone could be enough to make you want to throw in the towel before you even begin. Don’t give up just yet, though. While there is nothing you can do that will guarantee success, planning for likely obstacles can dra-

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matically decrease your chances of becoming part of the grim stats. Common Startup Pitfalls, and How You Can Overcome Them 1. Family matters. Starting a business is

going to affect your family. Whether you’re trimming your household budget to cover startup costs, taking time away from home to tend the store, or converting the extra bedroom into an office, your family will likely need to make some adjustments to accommodate your new venture. Key to success: Get them involved. Even if your new business isn’t the type where the kids can help in daily operations, just keeping everyone in the loop will go a long way toward mutual cooperation. From the beginning, let your

family know what you’re doing and what sacrifices you’ll be asking of them. Listen to their concerns, and even their advice. Remember, they aren’t likely to be as euphoric about your new venture as you are, so they might just add some needed objectivity. Talk about the changes you’re making, and avoid family matters sinking your business dreams. 2. Isolation. Entrepreneurs, by nature, are independent people. We love the idea of being “self-made.” Be careful not to isolate yourself though. Especially in the beginning stages of business, we can easily get caught up in all that needs to be done and forget the importance of staying connected. Key to success: Network, network, network. The old saying is true: what you know isn’t as im-

4. Plate overload. A startup entrepreneur

has a lot on his/her plate no matter what. But one thing that will take the wind out of your sails and kill your startup before it ever really gets off the ground is becoming overwhelmed with all you have to do. Even if you’ve gone through the process of proper planning and you’ve thought your startup through completely, it’s unlikely you thought of everything. So while it looks on paper as though you can handle everything as a one-person shop, it doesn’t take many unexpected fires before you begin to feel like you’re in over your head. Key to success: Delegate the veggies. Sticking with the “plate” metaphor for a moment, let’s assume the “veggies” are those tasks you’d rather give to someone else. They’re boring, they’re tedious, and they take you longer than anything else, because they just aren’t what motivates you. Another way to look at it is, those tasks that are not directly contributing to building your business. For example, accounting is completely necessary, but if accounting isn’t your business, someone else should be doing it. If employees aren’t part of your plan, consider a virtual assistant for those tasks that are distracting you from your core responsibilities. Whatever you do, don’t let an overflowing plate kill your business.

portant as who you know. Don’t try to go it alone. In between your other activities, make time to network within your business community. You’ll find valuable contacts to help you with everything from advice on your logo and website, to the best ways to find suppliers and clients. Once your business is going strong, don’t give up networking. You’ll benefit from learning new marketing strategies, staying current on business trends, and building lasting relationships that are invaluable as you grow. To find local groups that meet regularly, check out Meetup.com. 3. Productivity destroyers. It’s a warm,

sunny day. Your friend calls you up to invite you to a 2 o'clock tee time. You remember point number 2 above, and think, “Well, I don’t want to isolate myself, and heck, I’m my

own boss, so why not!” Hold on a minute. There will be a time, if you do what it takes to make your business successful, when you can take it easy and slough off for the afternoon. While you’re in startup mode is not that time. Key to success: Make and stick to a schedule. Especially when you’re first starting out in a new venture, planning and scheduling your time are critical. Don’t let distractions pull you away from what’s important to you. Also, you’ll want to be sure to organize your work area, use prioritized to-do lists, and implement a scheduling system to keep track of appointments and contacts. Even if it’s just Outlook or the calendar in your Blackberry, putting your to-dos and appointments in something other than your head frees your mind to focus on your business and keeping it healthy.

5. Money matters. Just as starting a business is going to affect your family, it’s also going to affect your pocketbook. Hopefully, it’s a positive effect, but not usually for a while. If you’re expecting to make a killing right off the bat, just know that it is not typical. That’s not to say it can’t happen, but it would be foolish to count on it. And nothing will kill your business and your enthusiasm for it faster than the worry and strife that comes with running out of money. Key to success: Expect the best, and prepare for the worst. You know the statistic–The number-one reason startups fail is lack of capitalization. The key is to balance your optimism about the success of your business with the reality that there are likely to be ups and downs. Even in best case scenarios, business is cyclical. So simply plan for those cycles. Make sure that you have enough reserve to get you through the lean times, and don’t spend like a drunken sailor during the good times. Plan ahead, save, and spend wisely, and you’ll get to don that eye patch soon enough! 

Fall/Winter 2010 • SelfMadeMagazine.com

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Five Things to Consider When Expanding Your Company BY Reid Carr > When considering an acquisition, both parties involved may wonder if it’s better to grow organically or completely merge with another firm. We learned that it’s important to weigh the options. Breckenridge Communications’ experienced team of six had been working together for years, and possessed extensive and current market knowledge. It was easier for us to keep them in place and work with them than to uproot a team well-versed in the San Diego market and ship them to Colorado.

When it comes to building a company from

scratch, most entrepreneurs create a list of goals they hope to accomplish within a certain time frame. One of the biggest and frequent goals is to achieve consistent growth. There are innumerable ways to do this—including organically—but in my company, we decided to take a different approach. Last year, our Internet Presence Management (IPM) firm, Red Door Interactive, acquired a business in a wholly different geographic market. Our goal was to expand our company and provide essential Web services to a starved market. By acquiring Breckenridge Communications—a multimedia business in Denver, Colorado, USA—we were able to do just that. Here are five critical points we considered before acquiring this new business: 1. Determine your value proposition.

When deciding where to expand, we researched whether our services were unique and valuable within prospective markets. For us, Denver was an attractive prospect because no other IPM firm existed in the region. What’s more, our online strategies served as a compelling and competitive advantage. Since our approach resonated in our home location of San Diego, California, USA, we felt the prospects of it appealing to

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Denver-based companies were significant. By doing our research and analyzing the pros and cons of locations, we found a hot spot for our business. 2. Learn to replicate the business model.

Attempting to take a formula and transfer it to a new city can be a daunting, but necessary, task to ensuring a successful acquisition. It’s essential for an established business model to be secured early on and a new destination selected where the business has the ability to flourish. In our case, we spent seven years fine-tuning our business model with the intent of expanding it in a new market. Breckenridge Communications saw the benefits of increased efficiencies and profitability by adopting the processes for the Denver market; integration was not only possible, but welcomed by all parties. 3. Find a cultural fit.

When searching for a business to acquire, we closely examined the team, even more so than the company’s client base. Finding people who could embrace and foster our company culture was necessary for the acquisition to succeed. To that end, we’ve learned it’s important to focus on the experience of team members and ensure their skills are compatible with the company’s stated mission and core values. Acquisitions tend to fail more often because of the incompatibility of both organizations’

cultures. We had to make sure that was not the case with us. 4. Decide whether to build or buy.

When considering an acquisition, both parties involved may wonder if it’s better to grow organically or completely merge with another firm. We learned that it’s important to weigh the options. Breckenridge Communications’ experienced team of six had been working together for years, and possessed extensive and current market knowledge. It was easier for us to keep them in place and work with them than to uproot a team well-versed in the San Diego market and ship them to Colorado. 5. Believe it will happen.

Growing a company in a new market can be a terrifying, yet exciting, process with many lucrative benefits. When going through the acquisition process, it’s important to believe it will work. We’ve realized that when you grow anxious over the minor details, you can lose sight of why you’re making the deal in the first place. It’s best to follow your gut and have faith. Reid Carr Reid is the president of Red Door Interactive, an Internet Presence Management firm based in San Diego, California, USA, with additional offices in Denver, Colorado, USA. He can be reached at rcarr@reddoor.biz. 

Fall/Winter 2010 â&#x20AC;˘ SelfMadeMagazine.com

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Tools for Managing Generation Y BY Kent Lewis ideas by management. In fact, Gen Yers prefer to be a part of the decision process. In their day-to-day work, they also like to work the best way they see fit. Meaning

Opportunities

Also referred to as “Millennials,” Gen Yers are sociable, talented, well-educated, collaborative, open-minded, influential and achievement-oriented. Born between 1980 and 2000, they’re the first generation to be surrounded by digital media. I’ve discovered their traits include optimism, goal-orientation, civic-mindedness and inclusiveness— all attributes one desires in an employee, especially when it comes to business opportunities. Challenges

As with any generation, Gen Y employees offer a handful of challenges. I’ve noticed there is the general distaste for menial work, minimal skills for dealing with difficult people or situations, impatience and a general lack of experience and (sometimes misplaced) confidence. Additionally, they tend to have unrealistic expectations, compounded by the inability to consistently meet or exceed those expectations. Environment

I’ve noticed that Gen Yers require a positive work environment. They also appreciate a little fun, excitement and irreverence to lighten the day-to-day workload. In my company, we’ve incorporated happy hour on Fridays, monthly potlucks and quarterly field

SelfMadeMagazine.com • Fall/Winter 2010

trips for this reason. Similarly, Gen Yers are environmentally conscious. I’ve found that “going green” can be a great recruiting tool. Community

Along with being environmentally aware, Gen Yers are also socially oriented. This means that they are accustomed to being organized in teams, making certain no one is left behind. Similarly, Gen Yers prefer to work with people they like, and they are very community–focused. I make it a point to provide one volunteer day per employee, per year. Growth

It’s not that previous generations lack ambition or drive, but Gen Y blows the bell curve. They are particularly growth-minded, which means they expect a clear career path, training and other professional development opportunities. I have found it wise to outline growth opportunities and how individual contribution will make a difference. Gen Y appreciates (if not expects) personalized rewards, in addition to group-based rewards. Empowerment

Due, perhaps in part, to their wired nature, members of Gen Y prefer to conduct their own research in order to make informed decisions. As such, they prefer not to be “sold”

Gen Yers are particularly focused on deriving purpose out of their profession. As such, they expect a workplace that is challenging, collaborative, creative, fun and financially rewarding. One way I create meaning in a job is to demonstrate the impact of Gen Y’s output, and how it moves the needle for my company. I’ve discovered that companies that are inherently compartmentalized or do not provide opportunities to socialize are at a disadvantage. Structure

Creating an organizational structure that works for Gen Y is tricky. Members of this generation enjoy flexibility and a dynamic work environment, which seems counter to a highly structured corporation. At the same time, their lack of experience and confidence can wreak havoc on an unstructured company. One solution is to empower leaders with honesty and integrity to communicate the company mission, vision and purpose. Communication

I’ve learned that a clear and concise approach to communications is critical to retaining Gen Y employees. In my company, I set expectations up front, outline objectives, provide necessary training and manage expectations. I also embrace technology as an element of corporate culture, as it is a means of sharing company information and fostering collaboration. Kent Lewis Kent is President and Founder of Anvil Media, Inc., a search-engine marketing (SEM) agency. He is also an adjunct professor at Portland State University. He can be reached via e-mail at kent@anvilmediainc.com. 

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Top 10 Tips for Starting a Business Now! by Adam Toren Okay, let’s have a show of hands! Who

here is tired of hearing about a recession? I thought so—nealry everyone. If you think that our 24-hour exposure to news channels has helped to exacerbate the recent downturn and that those analysts just tend to overanalyze, then you are not alone. Regardless of how we have endured this journey, it is time to focus on the new year and the new decade upon us. Now is as good a time as any in history to start a new business and it has been proven time and again that a new enterprise can really flourish as it emerges, like a phoenix, from a recession. Here are some top tips to consider when starting a business on the heels of a rough economy.

1. You gotta have a plan. You might be

tempted to look at business in general and marketing in particular through the eyes of the latest technology, but you still have to have a well thought out and documented plan. You have to be realistic as well and use all resources available to do your research. As we know, there are no excuses for poor research, as the Internet offers us such a wealth of information.

2. Think outside the box. People may tell you that there are no new ideas, just revisions to existing concepts. Either way you look at it, the idea has to be innovative and it has to have a fresh angle–a USP. Ask some confidants for their input from a neutral perspective. 3. Have you got the time? Time manage-

ment is such a crucial skill for entrepreneurs and you should really spend some of that precious commodity in understanding and implementing various techniques to get this right. If you are totally focused, then you can find the time necessary to understand how much it takes, especially when launching a brand-new concept.

4. Communicate. Figure out how you are

going to get that message across. You will hopefully have come up with your USP, but you must know how to drive those people out there to purchase your product or service. You must give them a compelling reason to spend the money with you and must be able to practice the very fine art of selling effectively.

5. Over deliver. Going above and beyond

may seem like a sensible approach to running a business, but if we are truthful few of us actually practice it consistently. Over delivery will almost certainly lead to a solid relationship with a client and you should treat every one of them in this way. Wordof-mouth, references and referrals will show if you do.

6. Get your mentors lined up. If you are saying to yourself, "Wait a minute, I don’t have any mentors," then you are misinterpreting. Mentors can be good friends, family members, even existing clients. Capitalize on the counsel of people who are experienced in business, marketing, PR, sales, in one facet or another of what it takes to make it as an entrepreneur. 7. Leverage all your assets. You never know how rich you are until you actually sit down and count it, and we are not necessarily talking about money, although you can certainly leverage your finances to help you move forward. Key contacts, referenc-

es, business relationships and associations can all be leveraged in one way or the other through the creative mind of the ardent entrepreneur–you. 8. Ride the wave. Technological developments are arriving at breakneck speed, as the world of communication as we know it is changing through the resurgence of social media platforms and personal communication devices. By using and keeping on top of all the tools available to you, you can really boost your efficiency. 9. Allocate time for research. When

we are really busy with client work and marketing efforts, we tend to think of any time “surfing” as wasted, but you should set up time every day to check in with known experts and resources available to you, helping you to lay on the cutting edge of your industry. You can quite easily set up email alerts, RSS feeds and keyword driven assets to help you absorb this information very effectively.

10. Motivate. There are many naysayers and you will definitely come across them. This is one of the biggest enemies that an entrepreneur faces–a lack of confidence, self belief or motivation. We can all suffer from it from time to time and you must identify it as a danger. Don't give up. Focus on that tangible goal, that one that is in your nottoo-distant future. Break a leg!  Fall/Winter 2010 • SelfMadeMagazine.com

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M a r k e tin g

Using Social Media to Put a Human, Friendly and Helpful Face on Your Company By Gabriel Shaoolian, CEO and Founder Blue Fountain Media

Social media in 2010 reminds me a lot of where the Internet was in 1996. Back then, there were plenty of companies that believed they didn’t need to have a Web presence. They were satisfied with their current status and had no interest in venturing into foreign territory. Many of those companies ended up digging themselves into holes it took years to climb out of. Today, there are just as many companies that can’t be bothered with social media. The common assumptions? • Social media is for kids • Social media serves no business purpose • Social media marketing isn’t as effective as traditional marketing Social media has grown exponentially in recent years and there is no sign that the growth is slowing down. As of the end of 2009, there were a combined 142 million social networkers on the top 10 social media sites. There are over 100 million users on Facebook alone! What can social media do for your brand? It can: • Attach a “human face” to your company • Engage customers in meaningful conversation • Engage visitors by having them contribute content • Provide immediate customer service • Inform the public about new products and services… and special offerings • Putting a “human face” on your company When people walk into your business, they are engaged with other human beings. When they enter your online business, social media can re-create that kind of “human” interaction. One brand that does this exceptionally well is the Marriott hotel chain. Marriott CEO Bill Marriott blogs regularly on a variety of topics. He talks about his

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travels, his customers, his employees. Readers actually feel as if they know him. This translates into greater brand loyalty… and more revenue. Another way to put a human face on a company is through video. YouTube has become the Web’s No. 2 search engine. Ford Motor Company CEO Bill Ford effectively communicates with the public through a series of videos. Some are about cars, some about Ford employees, and others about Ford’s community outreach programs. In all the communications, though, Ford comes off as a “regular guy” and not as some fat-cat CEO. Engaging Customers in Meaningful Conversations

Businesses can’t afford to be arrogant. In the age of social media, businesses must be open to discussions with their customers. It is important to find out what they like, what they hate and what fresh ideas they may have. Starbucks has taken this to heart with their “My Starbucks Idea” program. The program doesn’t just invite suggestions. It keeps a detailed list of visitor suggestions that were implemented by the company. This way, visitors can see that their voices are being heard. Engage Visitors by Encouraging Them to Contribute Content

Another way of engaging the public is to have them contribute “content” to the social media site. A great example of this is Burberry, which created the “Art of the Trench” website to engage customers and potential customers. The public is encouraged to take photographs of people wearing Burberry trench coats and then upload them onto the Burberry site. Visitors then can vote for their favorites and discuss which coats they like and which ones they don’t. This kind of “stickiness”… content that keeps visitors on your site… results in great-

er customer loyalty…often translates into greater sales. Provide Instantaneous Customer Service

Another advantage of social media is that it allows companies to instantaneously deal with customer service issues. This can be done directly, by offering clear channels for customers to register complaints, concerns and suggestions. This can also be done proactively, by monitoring what people are saying about your brand online. JetBlue Airways has been ahead of the curve in using social media-especially their Twitter account-to provide information and answers quickly. They advise of delays, weather issues, flight cancellations, etc. so that their customers know what to expect long before they arrive at their gates.

Provide Exclusive Offers and Discounts

You don’t have to be a huge company to use social media to attract customers, serve customers and increase sales. Shoppers Vineyard, a New Jersey liquor retailer, uses social media to provide information on new products and sales. They also offer exclusive discounts to their online followers. Check out how they use Twitter to make immediate sales: The links provided go directly to Shoppers World’s e-commerce functionality, meaning that revenues are just one click away from their Twitter account. Any business that ignores the 140 million social media users is a business that doesn’t deserve to succeed. Companies of all sizes can leverage social media to enhance their brands, attract new customers, serve current customers and to generate nearly instantaneous ecommerce. No matter what the size of your company or how long you’ve been in business, social media can be leverage to enhance your bottom line. 

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Live, Learn and Let Go BY Mark Moses Several years ago, I was building my business and starting to see my first flush of success. We were comfortably profitable, excited about our potential and heading for big things. Unfortunately, life threw me a few curveballs that threatened everything I had worked hard to cultivate. Here is what happened, and how I learned to simply live, learn and let go.

that required emergency surgery. We were suddenly plunged into an unfamiliar world, and we felt far outside our comfort zone. Within hours, I was in contact with members and doctors who could help us with the vital decisions that had to be made. With their support, we were able to face the problem head on. I’m happy to say that Mason’s brain surgery was successful, and now he is happy and healthy as ever.

Mutiny at Work

My business partner and best man in my wedding, who I had hired when he desperately needed a job, quit our company to open a competing business two blocks away. Worst of all, he took 80 percent of our employees, leaving me with a shell of a business, empty offices, a marketing campaign I couldn’t support, huge financial losses and a family rift that would never heal. Faced with the decision to fold or fight, I chose to fight. That decision, coupled with what I learned in the rebuilding process, taught me a lot about myself and how to survive a business catastrophe. The first thing I learned was that the sun will come up tomorrow. No matter how bleak things seem, life goes on. It’s what you choose to do about your circumstances that define the outcome. The second thing I learned was to trust my instincts. There were some red flags early on, but I never listened to myself. After all, he was my best friend, and best friends don’t betray you, right? Wrong. Business is business. The third thing I learned was the importance of communication in the face of crisis. Communication with my remaining employees and in my key relationships was instrumental in the recovery of my company. When I created a plan to get us back on top, I made sure everyone knew what it was. I

Facing the Future

asked my advisors to question the assumptions in my plan to make sure it was airtight. I also made sure every employee knew where we were going and what we needed to do. Soon, the phones were ringing, the offices were full and business was moving forward again. A Family Affair

I had fixed my struggling business. We were back on track, and we were stronger and more successful than ever. I shouldn’t have been surprised when life threw me another major setback. This time around, though, it was a personal catastrophe, and it hit hard. Our four-year-old son, Mason, was complaining of headaches. My wife and I thought it was vision related, so we had him tested. What we learned changed our lives forever. Mason was diagnosed with a brain tumor

While the business crisis was crushing, Mason’s health risk was what really put life in perspective for me. Since his recovery, I have sold my business and not looked back. Today, I spend my time engaged in activities that are deeply meaningful to me: spending time with my family, advocating for children’s fundraisers and speaking about my experiences around the world. Having dealt with traumatic events on the personal and professional front, I’ve learned it’s best to live, learn and let go. Doing so will ensure you maintain a healthy and productive life. There will always be surprises, but it’s how you learn from the experience, accept it for what it is and apply it down the line that makes all the difference. Now, in everything I do, I have fun and strive to make a difference. That is the greatest form of success. Mark Moses Mark is a coach, speaker and Ironman tri-athlete who uses his experience with crises to educate business leaders around the world. He has won Ernst & Young’s “Entrepreneur of the Year” award and the Blue Chip Enterprise award for overcoming adversity. You can reach Mark at mark@markmoses.net 

> My business partner and best man in my wedding, who I had hired when he desperately needed a job, quit our company to open a competing business two blocks away. Worst of all, he took 80 percent of our employees, leaving me with a shell of a business, empty offices, a marketing campaign I couldn’t support, huge financial losses and a family rift that would never heal. Fall/Winter 2010 • SelfMadeMagazine.com

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When the Worst-Case Scenario Actually Happens BY Adam Robinson

I started my business in 2004. By the middle of 2007, sales had grown to US$4 million a year. I had 21 employees, a great culture and was a leader in the emerging Recruitment Process Outsourcing (RPO) industry. I had my sights set on the Inc. 500. Being an upstart business outsourcing company means that you have a small number of customers who generate a huge percentage of your revenue. In my case, I had two clients on multi-year agreements, which together made up 75 percent of my company’s business. Furthermore, running an outsourcing firm is incredibly capitalintensive. Combine a cash-tight business model with 300 percent growth, and I was one late-paying customer away from coming unglued. But with long-term contracts in place at these two large accounts, naively, I wasn’t too concerned about losing either

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of them. I spent my time worrying about growth. In October 2007, I lost my largest customer, which accounted for 40 percent of my company’s revenue. They had announced a merger with a rival. Before I could wrap my head around it, my second largest customer used a loophole in my contract to back out. In the span of 60 days, I had gone from a revenue run rate of US$4 million a year to an annual run rate of more than US$1 million. I had US$3.8 million a year to run the business. It was December 2007, and the proverbial “worst-case scenario” had just happened a week before Christmas. Faced with the prospect of a total personal financial meltdown, I came up with a path to get through this self-caused catastrophe. It wasn’t pretty, but I didn’t have any choices. Decisions are easy when you’re

backed into a corner— I had to stop the bleeding immediately. We went from 21 employees to 5, overnight. I cancelled every cancelable contract with non-core vendors, and I called my other vendors and explained my situation. Surprisingly, nobody pulled service. I learned what it means to have good suppliers. I then called my bank and told them the news. Since our receivables were going to plummet—and my line of credit was secured by 80 percent of A/R—we were on our way to be unsecured on our US$650,000 line of credit. Amazingly, they agreed to a 12month forbearance. I learned that telling your bank the bad news is the right approach, no matter how much it stings. My firm has since stabilized, and we’re doing well now, despite the near collapse. While it’s been a tough journey, I learned a lot about running a business in the process. For example, I learned that for most entrepreneurs, revenue growth is largely meaningless if it’s not profitable. Thin margins always catch up to you. Second, I learned that cash flow forecasting is a core competency of any successful entrepreneur. Finally, I learned that I really am cut out for this line of work, despite my own constant self-doubt. You can’t learn this stuff in a book. You have to live through one or two worst-case scenarios to know what you don’t know about being an entrepreneur. I’m glad that “managing a liquidity crisis” is no longer on my list. Adam Robinson Adam is President of illume, a training and consulting firm that helps companies find and hire top talent using theaward-winning Ionix Hiring System, which he developed in 2004. Adam is a noted recruiting industry expert and speaker. He can be reached at Adam.Robinson@illumallc.com. 

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Why Your Brand Needs to Engage the Senses BY Adam toren Why do people buy? It’s a question companies have been asking since the beginning of commerce. Do people make buying decisions based on the facts? Can you truly expect the customer to be rational every time? Or is something else going on that influences the buyer’s behavior? Are there emotions involved in making a purchase? And can these emotions be stimulated by the senses? Neuromarketing, an emerging science, seems to suggest the latter is true. In his book Buyology, Martin Lindstrom asserts that “roughly 90% of our consumer buying behavior is unconscious.” Lindstrom’s brain scanning studies have found that our brains automatically make buying decisions for us, within fractions of a second. We don’t even realize what’s going on or why we do what we do (we think we know, but what we say doesn’t always match what our brain does), but the simple truth is that buying isn’t really a rational decision at all. Sure, facts and figures play a role in the process, but ultimately, buying is an emotional decision based on a number of factors, including stimulation of the senses, especially sight, sound, and smell. Sensory Branding

A growing number of companies have discovered it requires more than a logo to connect with a customer. If you want to truly bond with customers on an emotional level, you must stimulate the senses –as many of them as possible. In particular, sight, smell, and sound have been found to be powerful. This concept is called Sensory Branding, and it’s used by numerous companies across the world. You probably don’t even realize it, but some of your favorite brands deploy stealth tactics to stimulate your senses. That new-car smell, or the sound a can of Pringles makes when you open it are just a couple of the subtle sensory stimulations brands use to reel customers in and to keep them coming back. Let’s go over each of the senses and talk about some brands that leverage each sense to connect with their customers. Sight

What’s the first thing most brands do to separate themselves from other companies? They cre-

ate a logo. The logo has long been thought to be the face of the brand…the thing consumers use to connect with a company. Lindstrom’s studies have actually found the logo has declined significantly in its effectiveness. No longer is it the most powerful thing in advertising. In fact, it’s one of the weakest. Consumers’ brains just don’t get engaged when they see corporate logos. However, that doesn’t mean sight isn’t a powerful sense. There are other visual cues you can use to bond with customers. For example, you could have a unique looking product that makes customers take notice. Think of Apple’s line of products. When you see an iPhone, you know what it is. Even if you don’t see the Apple logo, you know it’s an Apple product. It’s a smashable brand, meaning if you smash it into a bunch of tiny pieces, you can still look at the fragments and know it’s an Apple. You can also associate your products with stunning imagery. Think of the connection Corona has created between its product and the beach and limes. Does your brand use visual imagery, besides your logo, to connect with customers? Smell

Did you know Abercrombie and Fitch uses a distinct smell to lure customers into their stores? It’s true. All Abercrombie stores have the same distinct fragrance pumping through them. And the smell is also outside the store, triggering a connection in customers as they walk by the store. Suddenly, you want to go in the Abercrombie store, even if you hadn’t planned on it before. One of the key findings of Lindstrom’s studies is that visual images (your logo, products, storefront, etc.) are far more memorable and powerful when paired with another sense, in this

case smell. A powerful image with a distinctive smell can engage customers on a deep emotional level, creating a marriage between them and your brand. It’s like the smell of McDonald’s fries. So many people walk into McDonalds with the full of intention of not buying fries. But once that instantly recognizable smell goes into their nostrils, they just have to get them. Do you have a product that can engage the sense of smell? Sound

Visual images are also more powerful when paired with a certain sound. Did you know potato chip companies and cereal companies spend millions of dollars testing different types of chips and cereals to achieve the perfect crunch sound? Sound can absolutely influence behavior. Think of the old experiment of Pavlov’s Dog (no, I’m not suggesting consumers are like dogs). Pavlov used certain sounds –some believe it was a bell –every time he fed the dog. Over time, the dog would instantly start salivating as soon as it heard the bell, because its brain connected that sound with dinner time. The Pringles chip can makes a fresh popping sound whenever you open it up. This sound is mostly manufactured, and is supposed to give the appearance of freshness. Think about commercial jingles. You might find them cheesy and annoying, but the best jingles can lock a brand into the customer’s memory, making them more inclined (whether they realize it or not) to do business with that company. What kind of auditory cues can your brand use to further engage customers? Now, I know I focused much of this article around sight, smell, and sound, but taste and touch can also be used to create memorable brands. Think about when you go shopping for clothes. Don’t you touch the shirts to get a feel for the fabric? What about when you shop for a digital camera? Do you pick it up to see how it feels? And I don’t even need to tell you how much we love certain tastes. Most people will find a meal they like at a restaurant and stick with it because they know the taste they love.  Fall/Winter 2010 • SelfMadeMagazine.com

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10 Musts for Becoming a Negotiation Ninja BY Adam Toren

As an entrepreneur –and in life in general–it pays to be a great negotiator. The best negotiators buy for less, sell for more, and generally get their way more often, whatever the situation. Whether we’re dickering over lease terms, supplier pricing and turn-around times, advertising rates, or where to go for dinner tonight, we’re in the position of a negotiator quite often, so being good at it can pay off in many ways. What’s funny is that most entrepreneurs describe themselves as great negotiators and even insist they’re better than most. Obviously everyone can’t be better than everyone else, so chances are at least half of us can use a lot of help. And even if you’re a master negotiator, there’s always room for improvement. So here are 10 ways to improve your negotiation skills–and maybe even become a Negotiation Ninja!

3. Leave some room

1. Prepare well

5. Let your creativity blossom

When it comes to negotiation, preparation is more important than just about anything else. The party in a negotiation who is best prepared is the one most likely to win, hands down. This means, first of all, knowing exactly what you want–your bottom line. It also means knowing as much about the other party and what they want as possible. When preparing for a negotiation, write it all down. You’ll do better with written goals.

2. Set the stage

For a negotiation to go your way, you need to make sure everything is in place for victory. That means, the right people are at the table, and all the necessary forms, samples, demos, facts and figures (as applicable) are at the ready. Also plan your side of the agenda well by starting with easy issues. The more you can get the other side saying “yes” early on, the better your chances.

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Having your first proposal accepted might sound like something you’d wish for, but it’s actually not a good sign. To avoid leaving money or power on the table, ask for more and leave room for negotiation! Likewise, it’s almost never a good idea to accept the other side’s first proposal.

4. Display generosity

Sometimes the best way to get something is to give something first. Reciprocation is human nature, as is the desire to work with people we like, so when you give concessions, you’re more likely to get them from the other side. The best concessions are those with a high perceived value but that don’t cost you much–or anything at all.

While planning is critical for successful negotiation, flexibility and creativity are also important. Follow your plan, but know when to think outside that plan for the good of both sides. Always be thinking of ways to improve the outcome for all concerned. The people on the other side of the table will appreciate it, and you just might end up with more than you bargained for–in a good way.

6. Know when to open your ears and close your mouth

Skillful negotiation isn’t about aggressively overpowering your opponent with your knowledge or bullying tactics. Asking plenty of questions and listening more than talking will not only relax the other side, but might just result in your learning something valuable.

7. Win without making them lose

We’ve all heard the sometimes overused term “win-win” when it comes to successful

negotiating. But just because it’s overused doesn’t mean it’s not valid. Rather than harming a potentially valuable future business relationship by making your opponent feel or look bad, be gracious, even if you know you’ve won a huge victory. 8. Be honest

As in anything relating to good business, honesty is the best policy. Negotiating isn’t about lying or tricking the other side. If you aren’t honest, it will almost certainly come back to haunt you. And if you gain a reputation for insincerity, no other negotiation skills will save you.

9. Exercise patience

Negotiating effectively takes time. Short cuts will often lead to your giving up or getting less than you would have by exercising patience. So take a deep breath and don’t rush it.

10. Find a sounding board

Depending on the type of negotiation and what’s at stake, emotions might be very high on both sides. To help you see through the emotion and focus on facts and substance, have a trusted advisor at the ready. This advisor can be an attorney, business associate, or just a close friend, and it’s a good idea to discuss the negotiation with your advisor beforehand and, if possible, while in progress. Ok, so now all you need is a mask and really cool sword, and your ninja training is complete! Seriously, though, negotiation skills are vital in business, so never stop learning. And the best way to learn is through experience. What negotiation experiences have you had, and what have you learned? Share with the community in the comments! 

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What Kind of Entrepreneur Are You? BY GARY WHITEHILL

When it comes to entrepreneurship, it’s worth noting that not all small business owners are created the same. It goes a little deeper than personality, though. The type of entrepreneur you are can have an effect on how successful you are at starting a small business. In this article, we look at several types of entrepreneurs, and the pros and cons that go with each particular type. Read on, and figure out which one you are, and how to make the most of it. The Gung Ho Enthusiast

This type of entrepreneur has an enviably enthusiastic attitude to their small business venture. The trouble is, they probably also have unrealistic expectations, and think that their new business will become the best thing since sliced bread overnight. That rarely happens. Keep the enthusiasm–it’s what keeps many entrepreneurs going when things get tough. But be a little more realistic. It’s better to have conservative expectations, and exceed them, than to aim too high, and miss your goals.

The Passionate One

These entrepreneurs are driven by one thing and one thing only–a passion for their business or industry. While they may be the best in the business at what they do, they probably lack business acumen, or even the inclination to tackle tasks like administration

and finances. Passion is great–it’ll make going to work feel like anything but a job. However, business requires you to do the tasks you don’t like so much, too. Aim for balance, and you should be fine. The Business Veteran

they lack the skill to sell it, or run a company. Ideas are the lifeblood of entrepreneurship. If you’re not too great at taking them from concept to product, however, enlist a partner who is. A well-balanced team, made up of an idea person and a doer, is the entrepreneurial dream team!

Business veterans are usually older entrepreneurs, who have been around the business block. While they have the skills and knowledge to make a business work, they may shy away from technology and other more modern approaches to business. That can mean a lot more intensive labor. Using your business knowledge to build a company is a great idea. Just make sure that you combine all that skill with modern timesaving methods and technologies. If you’re not comfortable with that, hire a team that are, and while you take care of the business, let them take care of the tech.

The Philanthropist

The Lone Wolf

I’m sure there are plenty of people out there who could add a few types of entrepreneur to this list. However, the fact remains that all entrepreneurs have strengths and weaknesses, and those strengths and weaknesses will determine how your business does. If you haven’t seen a description that suits your entrepreneurial style in this list, then why not sit down with a piece of paper, and list the areas where you are strong, and what needs work. Then, come up with ideas to get around those weaknesses, and capitalize on the strengths. Anybody has the potential to succeed as an entrepreneur. Being honest about what you can and can’t do is the first step however, so figure out where you need a little help, and then go out there and find it. It’ll make starting a small business that succeeds a whole lot easier. As a successful, under-30 serial entrepreneur, Gary Whitehill’s game-changing endeavors have been featured on television and in magazines and newspapers across the nation. Read more about Gary here. 

This type of entrepreneur tries to do everything, and be everything to everyone, all by themselves. While it’s great to know every aspect of your business inside and out, no man is an island, as they say. If you try to sustain the lone wolf approach for too long, you’re toward one end: burnout. If you can’t afford to hire staff to help you full time, find people or companies to whom you can outsource. This is especially true for mundane tasks–after all, your time is worth more than that, isn’t it? The Ideas Guy or Gal

Another type of entrepreneur is the one who is brilliant at coming up with excellent new ideas, but not so great at putting them into practice. Either the idea never makes it off the drawing board, or it fizzles out along the way, because

This type of entrepreneur usually spots a need for industry in his or her community or elsewhere, or finds a way to help communities by starting a small business of some kind. While helping people is great, your first goal as an entrepreneur is to have a profitable business. Don’t let your need to help cloud your business sense. Find a balance between helping others and helping o grow your business, and you can achieve all of your goals.

What Kind of Entrepreneur Are You?

Fall/Winter 2010 • SelfMadeMagazine.com

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Kick-A** Online Business Tips from A to Z BY MICHELE WELCH

Running an online business is a bit like learning the alphabet... Well, maybe not that easy. However, if you incorporate these key tactics, you will increase your chances of having a successful business.

cquire and Apply – All the knowledge in the world won’t make a difference if you don’t apply what you’ve learned. Make it a point to apply at least one tactic every time you learn something new.

uest Blogging – Start creating relationships with websites that accept guest writers. It’s a powerful technique that can drive targeted visitors to your website.

eadlines – Study the art of copywriting. Creating captivating headlines won’t make or break you, but they will increase your CTR (click-through rate).

usiness Planning – It is vital to your business success to set goals and plan out how you intend to achieve them. The plan will be your roadmap to success, so plan strategically and effectively.

nbound Link Building – Inbound links are links generated from websites other than yours. It is an extremely effective offsite SEO strategy that can increase your site’s page rank and popularity. Creating great content, article marketing, guest blogging and networking are just some ways to help increase your inbound links.

ontent is King – You’ve probably heard this a thousand times before, but here it is again: create high quality content so that others will feel compelled to link to your site.

irectories – Submit your site to directories like Google, Bing, Yahoo Explorer, dmoz.org, and blog directories to increase the likelihood of your site showing up in SERP’s (Search Engine Results Pages).

ngage your Audience – Visitors are buying a brand called YOU, and as a result order your products and services. So engage and encourage them to participate and be a part of your community.

ile Transfer Protocol (FTP) – Utilize this tool to upload and download your website files to and from your server quickly and safely.

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oint Ventures – Success is going to be determined by those you connect with. JV’s allow you to support each other in your business ventures and move you forward in a more powerful and expedited manner. eyword Research – Make use of Google Keyword Tool to research how users are conducting searches for relevant keyword phrases in your industry. Then incorporate the search results into your copy.

ist Building – I’m sure you’ve heard, “the money is in the list”. Well that’s kind of true. However, a more accurate expression would be, “the money is in the relationship you create with your list.” Create a relationship with your prospects by setting up a newsletter sign-up form on your website, and then start emailing them valuable content and product recommendations.

arketing – Believe it or not, building your website and adding products and services is the easy part. The hard part is creating a marketing plan that will drive prospects to your site and have them follow through with a call to action. Developing a solid marketing plan will be a key element in the success of your business, so work feverishly on it.

etworking –To build relationships, leverage social media sites such as Twitter, Facebook, YouTube and LinkedIn. This will work in conjunction with your marketing plan.

ptimization – For maximum results, optimize your site’s performance by evaluating its speed, web design, SQL query (retrieval of information from your database) and marketing campaigns.

PC Campaign/Advertising – At some point, you may want to consider incorporating a PPC Campaign (pay-per click) into your marketing budget to generate highly targeted traffic to your website. Track results periodically to ensure that you are getting a return on investment and adjust your campaign accordingly.

uick Screen Capture – If you are working on tutorial-based articles, Quick Screen Capture is a tool that allows your reader to see what you are working on. It’s also a handy way to add depth and interest to your copy.

SS – Stands for Really Simple Syndication. Implementing an RSS feed in your website is a powerful way of syndicating your content. There are many benefits to add an RSS feed with the top being:

allowing your content to reach a much wider audience.

earch Engine Optimization (SEO) – Utilizing smart and strategic SEO techniques can improve your website’s ranking in search engines thus increasing your return on investment. Start adding a variety of techniques, such as keyword implementation, and track its efficacy.

arget Marketing – Get clear on who your target market is, how to gain access to them, what their problems are, and how you intend to address those problems.

nique Selling Proposition (USP) – Determine what will be different about your product or service that’s going to give you a competitive advantage over your competitors and market the heck out of it!

irtual Assistants – At some point in time it may be worth the expense to

outsource medial tasks allowing you to focus on growing your business instead of maintaining it. Websites such as Freelancer, Elance and VWorker allow you to hire professionals at extremely affordable rates.

ordpress – This is one of the most popular content management systems available. It’s an SEO-friendly website out of the box. If you haven’t done so yet, look for a way to incorporate this software into your business.

ML Sitemap – This is a file of all your site’s URLs and ensures that search engines know what pages to include in their database. Once you’ve created an xml sitemap, start submitting them to search engines such as Google, Yahoo!, Ask.com, and Bing.

ouTube – Video marketing continues to increase in popularity with YouTube still being the market leader. Look

to see how you can implement video to maximize your marketing efforts.

eal – Although this is more of a mindset than an action, it’s crucial to the success of your business. Have the devotion and commitment to implement your vision with fierce velocity! The A to Zs of these business tactics is a comprehensive list to help you maximize the success of your online business, reinforce your branding efforts, increase your traffic and ultimately resulting in sales! Have you uncovered any useful tactics or tricks of the trade that you would like to share with the community? Your contributions are always appreciated and helpful. Michele Welch is a Personal Coach and Online Business Advisor. She shares online business tips with those looking to start their own online business ventures, through her blog. Read more about Michele here.  Fall/Winter 2010 • SelfMadeMagazine.com

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Stoking the Entrepreneurial Fire by Adam Toren

It might have happened yesterday or ten years ago, but at some point, you felt it. As an entrepreneur you have–perhaps many times– felt that spark of inspiration and the rush that goes with it. That feeling that tells you in your gut that you’re onto something, and nothing’s going to stop you. Still, no one ever said starting and running a business was easy. Even first-time entrepreneurs recognize that challenges and obstacles are part of the deal when you’re in business for yourself. Indeed, these trials are exactly what many of us thrive on. The ability to overcome barriers and persist when others would quit is what makes entrepreneurs a special breed. But what happens when that initial spark starts to become a fading memory as the challenges mount? Whether you’re trying to get on track or stay the course, we can all use a little help sometimes to make the magic happen.

Use these tips to keep your fire burning strong: 1. Plan your work, and work your plan. Much of the discouragement that

entrepreneurs face, especially while starting their business, or during a period of sudden growth, can come from feelings of being overwhelmed. With some businesses, this is seemingly constant. For example, if you have a business where strict deadlines are the norm, you might feel like there isn’t enough time in the day to get everything done. One way to avoid, or at least greatly lessen, the pressures that might

be dampening your entrepreneurial drive is to stick to a plan as much as possible. This isn’t about your business plan–although you’d better have one of those, too. It’s about a daily action plan that will keep you focused, not only on the details of your day, but on the big picture as well. A great way to devise such a plan is to look at your BHAGs (Big, Harry, Audacious Goals) and work backwards. Ask yourself, what do I have to do on a daily basis to achieve my objectives? Once you have the answer to that question, build your daily plan around those activities, and hire out or delegate as much of the other stuff as possible. 2. Embrace change. The

only thing that never changes is the fact that everything changes. No matter how wellthought-out your business plan is; no matter how sure you are you’ve thought of every contingency; the unexpected will arise. Whether it’s a turn in the economy or a new technology that changes the face of your industry, sooner or later something will happen that you did not plan for. Often, the difference between thriving and

>You have an opportunity to control what goes into your mind, and if what you choose to focus on is positive, uplifting, and motivating, you’ll be able to overcome obstacles more easily, ignore the negativity of the world around you, and keep your spark alive. 78

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withering in these situations is an ability to embrace change and make it work for you. So rather than feeling beaten when things don’t go as planned, think of how this new or different set of circumstances can work in your favor. When you approach change this way, you’ll be surprised at what you can come up with. It might even ignite a new spark you would never have recognized otherwise. 3. Guard against negativity from within and from others. It is difficult, if not im-

possible, to keep any spark alive while drowning in negativity and cynicism. Unfortunately,

it’s often our own friends, family and peers who are guilty of feeding us negative energy. The answer is to think for yourself, stay focused on your dream, and get away if you need to. It’s a matter of priorities. No one is suggesting you turn your back on a life-long friend and never speak to

4. Fortify your mind. The self improvement

movement has been in full swing in our culture for 35 years now. Out of that has come enough material to keep you surrounded by positive words for the rest of your life. A search for the term “self improvement” on Amazon.com yields over 60,000 books, not to mention DVDs and audio programs

> Do just once what others say you can’t do, and you will never pay attention to their limitations again. them again; but if they’re the type of person who only focuses on the negative, you have to decide if it’s worth spending less time with that person in order to stay in the frame of mind necessary to reach your goals. Or just keep in mind what James Cook said: “Do just once what others say you can’t do, and you will never pay attention to their limitations again.” If it’s in your own nature to look at the world through pessimistic eyes, go to the next paragraph…

in MP3 and CD formats. If books and audio aren’t enough, you can find countless seminars, retreats, workshops and camps, all designed to infuse your mind with positive energy and purpose. The point is, you have an opportunity to control what goes into your mind, and if what you choose to focus on is positive, uplifting, and motivating, you’ll be able to overcome obstacles more easily, ignore the negativity of the world around you, and keep your spark alive.

5. Let history guide you. Every successful

person, from the Wright brothers to Walt Disney, to Thomas Edison, Bill Gates, and even Google founders Larry Page and Sergey Brin have experienced setbacks, disappointments, and internal doubt. And if any of them had given up, our world would be a very different place. The great part? They weren’t special. What they had, more than anything else, was a belief in their dream, an ability to focus on their goals, and, most importantly, a sense of perseverance that pulled them through when they needed it most. And none of those qualities are reserved for a select few. We can all access them. Whatever you need to do–whether it’s reading an inspirational book, staring in the mirror and giving yourself a pep talk, or sitting on a rock meditating–as often as possible; try to get back to that original feeling you had when the spark first hit. That will keep you going through any challenge you face. No matter what the world throws at you, you do have the power to push through. Now, go do it!  Fall/Winter 2010 • SelfMadeMagazine.com

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Opportunities and Concerns for Green Entrepreneurs BY KALEN SMITH

Green business is undoubtedly one of the biggest topics in business, economics and politics right now. Understandably, it has brought along both a lot of hype and skepticism. There are plenty of reasons why both points need to be considered. Entrepreneurs considering starting a business related to green energy need to fully understand the opportunities and threats before making their decision.

Green Bubble Coming?

There seems to be little doubt that green business is necessary to make the changes we need to be successful. However, the hype may have gone overboard and we may be headed for a “green bubble.” At the end of the twentieth century, the dot-com bubble cost investors and entrepreneurs hundreds of millions of dollars. While the information

Why Green?

One of the reasons green business is such a hot topic is that it may be necessary to sustain an economic recovery plan. Most analysts are trying to forecast when the recovery will be possible. As natural resources become increasingly scarce, it becomes more difficult to refuel the industrial initiatives necessary for a real turnaround to be possible. Also, after the BP disaster it is possible (but not certain) that offshore drilling may lose favor in the near future. Even a temporary shift in social perception may have a profound long-term effect if it inspires immediate change. Whether we favor change or not, we may need to accept that green business is going to be essential to rebuild the global economy. It might even be necessary for our society to function at all. Consumers who choose to support the green movement are typically more concerned for the environment than the recovery plan. This has helped create a growing market for green products. Many consumers now insist on purchasing products that have a green label on them. Outrage at the disaster in the Gulf is likely to cause even more panic and consumer sensitivity (although this particular concern is likely to last only while it remains a major current event).

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to jump onto the green wagon without researching the market and the opportunities therein. I recently discussed one of the concerns with entrepreneurs trying to enter the wind energy industry. On the surface, creating a wind farm sounds like a great idea. It produces renewable energy and provides an income source with few operating costs beyond maintenance. Fantasy vs. Reality

revolution was a wonderful transformation for managing business and reaching consumers, too many businesspeople got carried away in hype which ended up ruining them later. Green business will arguably have an even more profound effect on our society, but we may be repeating history as we jump into it headfirst. Businesses are often ready

In a fictitious world, entrepreneurs can easily set up a wind farm on any vacant piece of land and begin making money. Unfortunately, there are very few sites in the United States that have wind speeds high enough to be feasible for harvesting wind energy for commercial applications. If wind energy is recognized as a huge opportunity, most of these sites will probably be bought out by larger companies trying to secure the market. If entrepreneurs are planning on getting in on this market, they should move fast before their opportunity is gone. Green business obviously provides a unique opportunity that smart entrepreneurs can take advantage of. The only advice I can give is to approach it just like any other when you are creating a startup. Don’t let your head get carried away with hype like everyone else does any time we head into an economic bubble. Do your research to fully understand the trends associated with it before you invest all your time and money in a project that may not yield the outcome you are looking for. Kalen Smith is the founder of Engineer-aBusiness, a provider of business-to-business services and informational products for developing technology businesses. Read more about Kalen here. 

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How to Lay the Foundation to Start Your Own Business via Online Marketing BY KEN SUNDHEIM

Many people have a big misconception that they have to quit their job to start their own business. In reality, it is perfectly doable to start a new business while you are still working. I highly recommend that anybody starting their own business gives themselves a year to start getting online exposure before leaping into anything. Laying down the foundation for online marketing success is most important. These days, if you are not online, you will struggle to be truly successful. My site gets hit around 400 times per day (not bad for a niche industry!) Because of all the traffic we get from our website, we now have so many incoming leads that we can choose which clients we want to work with and which clients we would like to avoid. In this economy, this is not something that many companies have the luxury of doing. That being said, let’s get started. First, I recommend that you start your own business, as opposed to buying a franchise or becoming a reseller. Subway is not in the business of making you rich. Yes, some manage to do it. If it was a foolproof plan, however, everybody would own one. To avoid having to deal with manufacturers, begin a service business. Also, think locally. When you are just getting started, don’t try to compete on a national level. Start small and work your way up little by little. If you take care with each step in the process, a few years down the line you’ll be ready to launch a much larger campaign and your competitors won’t know what hit them. Lay down the foundation to get ranked highly on Google so your business can last for years to come. Follow these guidelines to make sure you do it right: 1. Pick a domain name that describes what you do. Do not name your company

after your last name. Name it after the product or service. When I began my firm, I did not know this and it took me a while to get

Google’s authority on a particular subject. Now, my site gets around 400 hits per day, though I feel this could have been achieved far more quickly if I had chosen a domain based on the service I was providing. Only use .com domains, and shorter names are better than longer ones. To give you an example of how important this is, Google “NYC Sales Recruiters.” Look at a company by the name of Sales Expert Executive recruiters. They have a template-based 10-page website. Then, look at mine. We have 170 pages of articles written about sales recruiting. That is how much weight the search engine puts on domain names. It took me nearly a year to learn how to beat them in most categories. 2. Brand your company for Google.

Start out with what are called long-tail keyword phrases. Long-tail keyword phrases are 5 words. When I began to learn online marketing, I went after words like “New York City sales recruiters.” Then, as time progressed, I began going after shorter keywords and the traffic to my site increased. 3. Study how to build backlinks to your website. There are tons of articles out

there telling you how to do this. Building backlinks to your site is very important, and at first, should be done gradually. Right off the bat, the best way to build links is to submit your website to several website directories. The main ones are www.business.com and www.dir.yahoo.com. It’s well worth the money. Then, begin a blog and frequently update it with posts. Have HTML links

with the keywords you are going after pointing back to your site. Also, write interesting articles and submit them to online article sites such as Ezine. Writing is the key to gaining backlinks to your site and is the most important facet of online marketing success. However, when submitting your first articles to these sites, make sure they are perfect. If you mess up on the first few, the editors will dismiss your subsequent efforts. 4. Keep track of your site’s progress.

You should begin to see an increase in website traffic and your Google page rank start to climb. Make sure people can contact you through the website. There is no better way to gauge your success with online marketing then how many clients are coming in. So, that’s opening your own business, in a nutshell. Depending on the industry you choose and the product or service you are selling, you will run into your own unique problems and obstacles. Figuring out how to get past them, however, is just part of the fun. Ken Sundheim is the founder of KAS Placement, which is a 5-year-old company with nearly 10 employees and growing at a very rapid pace. Read more about Ken here.  Fall/Winter 2010 • SelfMadeMagazine.com

SelfMadeMagazine.com â&#x20AC;˘ Fall/Winter 2010

Fall/Winter 2010 â&#x20AC;˘ SelfMadeMagazine.com