Sbt sept Issue by Small Business Today Magazine

SBT Houston Staff SEPTEMBER 2014

PUBLISHER SCOLUMN

Chairman John Cruise President/Executive Publisher Steve Levine Vice President /Associate Publisher/ Creative Director/Editor Barbara Davis-Levine Business Development/PR Bill Huff Jim Johnson Aaron Kaplan Lisa Lopez Paul Poloe Deborah A. Powell Intern Jesus Gonzalez Graphic Designer Lavinia Menchaca Photographers Gwen Juarez Contributing Writers

Helen Callier Barbara Davis Laquitta DeMerchant Mila Golovine Ruben Gonzalez Dawn Haynes Bruce Hurta Jeff Jones Jennifer Jacobson Craig Kaiser Aaron Kaplan Craig Klein

Hank Moore Mike Muhney Mayor Annise Parker Howard Partridge Christi Ruiz Rita Santamaria Gail Stolzenburg Alvin Terry Pam Terry Heather Warner Aimee Woodall

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

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

Phone: 832-419-2814 E-Mail: Steve.Levine@SBTMagazine.net Or Write: Small Business Today 5380 West 34th Street, Ste 230 Houston,TX 77092 See us on the web at www.SBTMagazine.net Free APP for Android & iPhone go to your APP Store and type in Small Business Today Magazine SMALL BUSINESS Today MAGAZINE IS PUBLISHED MONTHLY BY LEGACY PUBLISHING GROUP, LLC. 5380 WEST 34TH ST., STE. 230 HOUSTON, TX 77092 EXECUTIVE PUBLISHER - STEVE LEVINE: 832-419-2814 CHAIRMAN - JOHN CRUISE: 832-460-2020 www.SBTMagazine.net ADVERTISING RATES ON REQUEST. BULK THIRD CLASS MAIL PAID IN TUCSON, AZ. POSTMASTER: PLEASE SEND NOTICES ON FORM 3579 TO 5380 WEST 34TH ST., STE. 230 HOUSTON, TX 77092. ALTHOUGH EVERY PRECAUTION IS TAKEN TO ENSURE ACCURACY OF PUBLISHED MATERIALS, SMALL BUSINESS TODAY MAGAZINE CANNOT BE HELD RESPONSIBLE FOR OPINIONS EXPRESSED OR FACTS SUPPLIED BY ITS AUTHORS. COPYRIGHT 2012, LEGACY PUBLISHING GROUP, LLC. ALL RIGHTS RESERVED. REPRODUCTION IN WHOLE OR IN PART WITHOUT WRITTEN PERMISSION IS PROHIBITED.

From the Publisher

Steve Levine

Making an Expo “Work!” September greetings everyone!

have always loved the month of September. Growing up in Upstate NewYork, September signaled the end of summer (quite literally). There was a crispness in the air in the morning. The trees would start turning their magnificent array of colors and the sounds and smells in the air were quite different than the months prior. Obviously, living in Houston,Texas, September is more like an extension of August, with the exception of the anticipation of the fall home & garden shows, craft shows, and (of course) business conferences and expos. Several noteworthy conferences for small business owners and aspiring entrepreneurs in September and October are the Houston Minority Supplier Development Council’s Business Expo 2014 (www. hmsdc.org), September 24th & 25th, the Transportation Diversity Council’s 1st Annual Southwest Transportation & Infrastructure Summit ( www.tdc-ntl.org ), October 10, 2014, and the Houston Small Business Expo (www.HoustonSmallBusinessExpo.com), October 11th. Small Business Today Magazine is indeed proud to be a media sponsor of all three of these events. Whether you are an attendee or exhibitor at one of these or other business conferences this year, I don’t have to tell you that these conference and expos are huge investments for everyone (often requiring travel/lodging expenses, man hours, exhibit costs, promotional costs, etc., not to mention the price of attending the conference. They can be a huge waste of time and money or be a major catalyst to growing your business; it just depends on what your purpose of being there is and your goals for the conference. I am a veteran of hundreds of these both as an exhibitor and as an attendee.

Here is a list of some things that will make your attendance more profitable:

1. Set your goal as to what you would ideally like to accomplish. 2. Your pre-conference preparation will play a major role in your ability to reach those goals that you want to achieve while you are there. 3. Connect through social media with those individuals who you are counting on meeting there. Possibly arrange a pre- or post- meeting appointment. 4. Take the time to visit with all the exhibitors. Each are experts in their phase of your business and may have the answers to your immediate needs and/or be an excellent source of referrals. 5. “Be on a mission” while you are there. Take advantage of every opportunity to connect with everyone. You never know who may be in a position to aid your businesses growth into the coming year! 6. For exhibitors, engage as many attendees in conversation as possible. Look and act like you are there to do business. Conferences and expos can be an amazing source of business if you are committed to making them so! If you are attending HMSDC’s Business Expo 2014, please come by our booths 525 and 624 and drop your business card in the bowl for a chance to win a $2,200 multi-media package. We’d love to chat with you and you might also get to meet this month’s Cover Honoree, Martha Ceballos with ELP Enterprises Inc. Martha is one of the recipients of HMSDC’s “Emerging 10” awards and is on this month’s cover with that award. It is time to let you get started on this very special issue. Good Reading, Good Sales, and Great Success to You All!

Steve Levine

President/Executive Publisher, Small Business Today Magazine

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INSIDE SEPTEMBER 2014 EDITION HOUSTON

Making an Expo “Work”

The More You Learn, The More You Earn and Knowledge is Power

5 Undisputable Reasons to Overcome Email Resistance

Measure to Manage: Measurement & Data To Advance Houston’s Climate Agenda

Differences Between Arabic-Speaking Business Cultures: The Arabic Mosaic

Diversity is Important for Business

Client Conflicts – An Opportunity in Disguise

The Secret is the System Part 1 of a 2 Part Series

Dealing with Landlords…The Good,The Bad, & The Ugly

Ways Brokers Benefit From Offering SBA Financing to Buyers

Calculated Acts of Kindness: Putting Thought Into Giving Back

How to Become a Keynote Speaker

Business Networking & Sex – Not What You Think

Top 10 Ways to Maximize Your Experience at Small Business Training Events Part 2 of a 2 Part Series

Your Business’ s Silent Killer

Financial Astrology for September 2014

The What, When, & WhyAgreements, Applications, & Contracts

Entrepreneurs Tool Box- Beware of Legal Exposure with Joint Ventures

Martha Ceballos - ELP Enterprises, Working Hard for Her Success, Providing the Best Possible Service with Integrity and Quality in All She Does

HOUSTON SMALL BUSINESS EXPO SATURDAY OCTOBER 11 2014

HOUSTON NORTHWEST CHAMBER OF COMERCE

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Martha Ceballos ELP Enterprises, Inc. Working Hard for Her Success, Providing the Best Possible Service with Integrity and Quality in All She Does By Barbara R. Davis

Martha Ceballos has worked hard for her success. From the time she began in business, she has been relentless in providing the highest level of customer service. A firm believer in the old saying, “Long after the price is forgotten, the quality of service remains”, Martha practices what she preaches. If one were to look in the dictionary for the definition of quality and integrity, they would likely see a reference to Martha! Growing up as a first generation American in Fort Lauderdale, Florida, Martha was the second to youngest of four children born to her Cuban immigrant parents. Martha’s father had actually fought against Castro and in 1960 (just before the U.S. severed relations with Cuba) he immigrated to the United States with Martha’s mother who was pregnant with their fraternal twins. Martha’s entrepreneurial spirit was definitely influenced by her father who was the mercurial entrepreneur. He was always coming up with creative ways to support his family from owning and operating a construction company to owning an ice cream factory in South Florida. Who knew that one of his business endeavors would become such a catalyst for change in his daughter Martha’s life!

Martha is extremely proud of her relationship with the Houston Minority Supplier Development Council and to have been honored as an “Emerging Ten” recipient in 2013. Photo by Gwen Juarez Photography 6 SMALL BUSINESS TODAY MAGAZINE [ SEPTEMBER 2014 ]

Due to the poor economy in Florida during the late 1970s, Martha’s father moved to Houston and ended up working for a trucking company. Martha reminisced, “He packed us up and took us away from our lives in Florida and moved us into what I called the foreign country. When we finally arrived, we were shocked because we thought we were going to get out of the moving van and onto horses! We had no idea that there were cars here. We thought we were going to be riding in wagons and on horses.” Things were quite different in Texas than the lifestyle the family left in Florida. No longer was Martha being isolated in the Latin atmosphere she had been brought up with in Florida where

Martha and ELP Enterprises have many loyal clients who are friends as well. She is seen here with client/friend Sherree Speck of Speck Insurance. Sherree is also Martha’s insurance agent! Photo by Gwen Juarez Photography

chaperones accompanied her everywhere she went. Even though her father was a firm believer in his children assimilating into “Americans”, he still wanted to retain some of their Latin cultural customs. Unfortunately for him, once Martha had been exposed to a less regimented lifestyle free of chaperones, she had no desire to go back to the “old” ways. So, at the young age of 17, Martha decided that it was time to be on her own and with that she moved out. Knowing she had to work to support herself, Martha got a job at Gerland’s Grocery Store yet she still managed to attend classes at Katy High School. When she first tried to get a job at Gerland’s, she was turned down. Every day without fail, the determined Martha would ask the general manager if he would hire her. He kept telling her no until he finally gave in when he realized she wasn’t going to stop bothering him until he hired her! “After I finished high school and graduated, I continued working at Gerland’s for quite a few years because I really had no money to go to college. I didn’t know what I was going to do so I worked in different departments around the store. I’m a worker bee; I like to learn and do different things,” stated Martha. Eventually, Martha moved on and got a job as the receptionist at David Hobbs BMW, a new, downtown car dealership where a friend of hers worked. That is where she met Dan Ceballos who worked in the parts department. Their relationship progressed quickly and three months after they met, they began living together. It was love at first sight for Dan and told everyone he knew that he was going to marry Martha. A short eight months after they met, they were married and soon thereafter started a family together. Obviously Martha loves Dan as much as he loves her and they have been happily married for almost 33 years now! After getting married and living in Austin a short while, they moved back to Houston to be close to family. Dan continued

working in the parts department of a local car dealership while Martha stayed at home to care for their newborn baby. As is the case with a lot of young families, money was tight and became even tighter shortly after their firstborn child, daughter Melissa, was born. After staying at home for awhile, Martha got a job with an oil and gas company and Martha’s mother, who had always been a stay at home mom, helped take care of the baby. Martha worked for the company a little over two years and then an opportunity came about for her to work for a CPA firm. As it turned out, this new job would change Martha’s life and since then, she has never looked back! Working for an independent CPA allowed Martha the opportunity to grow as a person and learn from a business professional and entrepreneur. Without knowing, Martha was being mentored and exposed to a world full of business possibilities. She reflected, “While I was working as the office manager, the owner took me under his wing and taught me everything from running an office to operating all aspects of a business. I learned to prepare tax returns and keep bookkeeping records for clients. I wasn’t a math genius but I always loved numbers!” Martha continued, “My second daughter, Michelle, was born during the time I was working at the CPA firm. I was allowed a relaxed schedule and atmosphere so that I could pick up my girls at school and bring them back to the office and they would just hang out with me at work. It was such a great environment for me at the time because I was still young and I basically grew up there with a great mentor.” With an entrepreneurial spirit running deep within her veins, after working 16 years for the CPA firm, Martha knew it was time to move on. She was bored and needed a change. An opportunity arose with an acquaintance who owned a company that remanufactured toner cartridges. He wanted her to start up a company and become minority certified so they could do [ SEPTEMBER 2014 ] www.SBTMagazine.net 7

business together. The plan was for Martha to go out and get accounts that were required to buy from minority classified businesses and she would in turn buy the product from the remanufacturing company to sell to her clients. Martha began working out of her house and started ELP Enterprises, Inc. as a woman owned business. She became certified with the city of Houston and the state of Texas. When Martha first started, she sold toner cartridges for copiers, printers, and faxes. Since then, with the help of Ruth Ann Barron, the company’s primary Corporate Sales Representative, Martha has expanded to include other products including the complete gamut of office supplies. In addition, Martha has grown the company by diversifying into other areas that include the oil and gas industry where she sells chemicals for the uphole drilling process. Martha is always taking advantage of ways to improve and expand her business. She became certified and affiliated with the Women Business Enterprise Alliance (WBEA) and the Houston Minority Supplier Development Council (HMSDC). In addition, she started regularly attending networking events and meeting people who could give her insight into opening new doors that would lead to new business. Through these events, Martha acquainted herself with procurement managers from large corporations like Shell and Exxon. She tried selling to these larger companies for a couple of years but without success. Finally, while attending a networking event, a procurement manager suggested that since their companies had existing contracts with vendors for products that Martha offered, she might consider trying an entirely different strategy by selling products unrelated to the office supply industry. So an opportunity presented itself and a door opened for Martha to start selling chemicals. She knew nothing about the oilfield industry or the drilling process. While previously working at the oil and gas company, she learned that it was a man’s world in that industry so she knew there would be challenges in this new venture. In spite of the obstacles, Martha continued to network fiercely as she promoted and introduced her new product line to anyone and everyone she met. Martha developed a business relationship with a manufacturer and with their support she has been able to provide a necessary product at a good value. “In addition, I have the advantage of offering my certifications to help my customers meet the needs of their set aside goals,” stated Martha. Even though Martha is a workaholic, she knows she can’t do it all herself so she continually works hard in developing strategic alliances with other small business owners. In such a cutthroat industry, Martha is shrewd enough to know that these strategic alliances make sound business sense. One of those special relationships is with Donna Cole of Cole Chemical. Martha explained, “When I needed help in the chemical side, I reached out to Donna. She is doing something completely different than I am 8 SMALL BUSINESS TODAY MAGAZINE [ SEPTEMBER 2014 ]

but at the same time, it is the same. She talked to me about the dos and don’ts when I explained to her that I had an opportunity in the chemical industry. I had an opportunity to attend the CEO Academy offered by HMSDC and Donna was involved with the classes. She is a great person.” Martha is also a cohort of Houston’s inaugural class of the Goldman Sachs 10,000 Small Businesses Program. The Program was an opportunity for Martha to realize what she could do to grow and progress her company. “I’ve met a lot of great people over the last five years who have really helped me and mentored me,” shared Martha. Through various mentors, Martha has gained valuable insight into business gains. One such mentor explained to Martha, “If you can devote a good five years to your business then your business will have a good chance to take care of you for the rest of your life. Don’t take no for an answer and keep on pushing.” Those are words of advice that Martha has definitely taken to heart. She gets a lot of nos but eventually, due to her persistence and determination, those no’s turn into yeses! Martha’s husband, Dan, has also been a really big supporter of her business endeavors. In addition, Martha has received invaluable support from people she met in the Goldman Sachs Program. John Whaley and Donald Rumer-Rivera, financial advisors for the program’s classes, were instrumental in guiding her through the task of making sound business decisions. Martha feels privileged to remain friends with other cohorts from her class including Renee McNeil, owner of Corporate Move Consulting, and Sheree Speck, owner of Speck Insurance and Financial Services. Martha has built close, personal and business relationships with like-minded women business owners including Jane Henry, owner of Xcution, Kristin Rickett, partner of Collaborative Engineering, Debra Crabtree, owner of Advantage Business Consulting, and Esther Halford, owner of Halford Busby Construction Consultants. Additionally, through her association with the Houston West Chamber of Commerce, Martha has developed special relationships with Sarah Cain, owner of Sarah’s Florist, and Kathie Edwards, owner of Westpark Communications. All of these ladies are powerful businesswomen and Jane, Sarah, and Kathie have also been cover honorees of Small Business Today Magazine. Martha shared,“I feel privileged and honored to be friends with such an astute group of women. We all try to do business with each other, and when we don’t have that chance, we at least try to mention one another when the opportunity presents itself. We can usually all be seen networking together at the same expos and conventions. We’ve also started a women’s only CEO round table and meet regularly. We are able to discuss everything concerning our lives and especially our businesses. We pat each other on the back and we are able to lean on each other. This in turn motivates us and helps us grow our businesses.”

At the center of Martha’s world is her wonderful family and her motivation for all the hard work she does. She is seen here with (from left to right) her daughter Michelle’s fiancé, Matt Floyd, daughter Michelle, grandson Austin, Martha, husband Dan, daughter Melissa, and Melissa´s husband, Adam Guggisberg. Photo by Gwen Juarez Photography

Martha loves to give back to the community. Not only does she mentor other women in helping them succeed in business, she has been very involved with the Houston Livestock Show and Rodeo for the past 15 years. Martha is quick to say that it is her passion. In fact, when the Houston Livestock Show and Rodeo starts, you won’t see very much of her. Last year, Martha was on three committees. She is the first to tell you that she is a volunteer junkie yet somehow she still manages to run a successful business! Through her involvement with various community associations and organizations, Martha has received many awards and recognitions but the one she is most proud of receiving is the E-10 Award from the Houston Minority Supplier Development Council in 2013. She has most recently been elected to the Board of Directors for the Houston West Chamber of Commerce. In addition, she is a member of the Houston Chapter of Executive Women International, a member of the Hispanic Chamber of Commerce, a certified participating member of the Women’s Business Enterprise Alliance, and a certified participating member of the Houston Minority Development Council. When she is not running her business, volunteering, or networking, Martha finds time to travel. She grew up swimming in the South Florida area and loves doing anything near the water. Her parents spoke to her in their native language her entire life so Martha is fluent in Spanish. In addition, Martha has instilled her Cuban heritage within her children who both know Spanish as well. Stronger than her passion for the rodeo is her love for her family. Growing up in a tight knit family, Martha is still close with her brother and sisters. Although Martha’s father has passed away, she talks to her mother by phone nearly every day sharing the day’s events.

Martha loves spending time with her family but the apple of her eye is grandson, Austin. She especially enjoys every minute she gets to spend with him. Martha also enjoys dining out, drinking good wine, and socializing with good friends. She elaborated,“I’m a social butterfly. I guess I just like being around people who are positive; they make me happy.” Of the four children that Martha’s parents had, she was the one who became the most independent because of her ability to think outside of the box. Always the go-getter and the most like her father, she loved going with him to the ice cream factory and helping clean at night. It was fun to her. Even at that early age, Martha recognized the pride of working for oneself. Martha stated with conviction, “It’s something that’s yours and you’re working for yourself instead of working for someone else. It’s just a good feeling so I don’t mind working 24/7 when I have to. It’s mine and I know I am taking care of my business the way I want it to be cared for and I know my customers are happy with me. They will tell you that I care about people and the bottom line is that I truly try to make people happy.” Everything Martha does she does with integrity and quality. She believes people really have forgotten about customer service but Martha has not. In fact, the level of customer service she strives to provide is the one thing she takes the most pride in. She works hard to provide her clients with the best price, the best product, and the best service. Last but not least, because she is such a loving, giving, and caring person success has been Martha’s reward.

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Martha’s “Women of Success” group meets monthly They meet to share success stories and to support each other’s businesses in any way that they can. Photo by Gwen Juarez Photography

Martha’s Best Words of Advice – Take Away Notes 1. If you are a woman owned business or minority owned business, I encourage you to get your certifications with the city of Houston and the state of Texas. Also, if it applies, you should become affiliated and certified with the Women Business Enterprise Alliance (WBEA) and the Houston Minority Supplier Development Council (HMSDC).

about keeping books. If you don’t know these basic business principles, you need to get involved with the Goldman Sachs Program or one of the entrepreneurship classes at HCC. You need to know how to hire and fire and surround yourself with the right people who are going to help you grow your business.

2. You need to network, network, network! You can’t stay at home and expect everything to fall into your lap. I’ve learned that people do business with people they know and like so it’s important to get out there and be recognized.

8. You need to have backup capital so when an opportunity presents itself, you have that financial security to take on that opportunity. Knowing and having a good rapport with your banker is also the key.

3. I believe a key way to keep growing is through education. The more you learn, the more you know. I received a scholarship with WBEA which allowed me to attend the Tuck School of Business at Dartmouth and participate in the TuckWBENC Executive Program. I also applied for and received a scholarship to the Goldman Sachs 10,000 Small Businesses Program. I am always on the lookout for leadership classes to take. There’s still a lot for me to learn.

9. You have to treat others the way you would like to be treated. That includes your employees. Provide the best customer service.

4. Surround yourself with the right people to help you grow your business. Get mentors. 5. If you are a woman and have children, sometimes you are going to feel guilty putting your job first but your children will appreciate it later when they are old enough to understand how you have sacrificed. 6. Have integrity in all you do. 7. If you don’t know how to run a business, go out and learn how. You need to know how to read balance sheets and 10 SMALL BUSINESS TODAY MAGAZINE [ SEPTEMBER 2014 ]

10. You need to let your employees be themselves. They can bring a lot to the table. I reward my team for their efforts. We go out and network together; we go to dinner together; and we celebrate together. It’s not just my ideas; everybody has ideas and we put everything in the pile and pick and choose what works and what doesn’t work. Sometimes its just trial and error 11. Volunteer. You need to give back to the community. Don’t just think about yourself; think about other people who truly need your help. If I’m sitting in front of someone and there’s an opportunity, I want to pass that opportunity to them. I think it’s the key. It’s not necessarily about the money. We are here today and gone tomorrow. Live it up today but take care of each other. 12. It helps to have a strong faith in your religion. I know I do!

EDITORIALFEATURE

The More You Learn, The More You Earn and

Knowledge is Power By Rita Santamaria

hese two statements we use on Champions School of Real Estate materials for our customers who are moving into a new career in real estate, mortgage lending, inspection, or appraisal. It works for every industry and every career if you take the meanings to heart.

to read, learn, ask questions, and implement your newly learned information, then you will gain self-confidence.

How do you gain self-confidence? You do research in whatever it is that you need to know more about. If you take the initiative

ÂťContinued on Page 42

Letâ&#x20AC;&#x2122;s say you lack self-confidence in your communication skills. There are many classes in that area available including how to negotiate. We offer these through our Professional DevelopSelf-confidence is the key to claiming any job and keeping that ment Classes. The next step after learning the technique of job. When self-confidence in yourself or your activity is lacking, good communication is to practice what you have learned. people either fire themselves, or they may be asked to resign The more one can see the benefit of the knowledge they have by management as their lack of self-confidence is demonstrated gleaned, the more ready they are to try the same practices over through inappropriate work ethics and other obvious signs. and over.

12 SMALL BUSINESS TODAY MAGAZINE [ SEPTEMBER 2014 ]

EDITORIALFEATURE

5 Undisputable Reasons to

Overcome Email Resistance By Craig Klein, SalesNexus.com CEO

ending email to sales leads and current customers has proven to be a great way to drive sales. However, because of the “push” nature of the method, it gets a lot of resistance. Small to medium sized business marketers are afraid of resistance from sales leads and that can cause them to hesitate about using this powerful method to reach out to prospective customers. Let’s look at the facts about email marketing:

Email Delivery Has Changed

You may think of an email campaign fitting into one of two definitions – either it is a newsletter sent to people who want to hear from you – or – it is spam. WRONG! That way of thinking is extremely limiting…and misses the benefits of automated email campaigns as a fantastic advertising technology. Only recently have marketers figured out how to cross the chasm between those two definitions and it is directly linked to the technologies currently available. An online CRM can be fully integrated with email campaign delivery. With this marketing automation, it is possible to put the sales lead and the current customer in the center of a business marketing strategy. Emails based on consumer behavior are welcomed and nurture the sales lead until they are ready to purchase.

You may think of an email campaign fitting into one of two definitions – either it is a newsletter sent to people who want to hear from you – or – it is spam. WRONG! The daily time spent on email has actually increased in the last three years. Survey respondents were asked about their frequency of digital activities. In the category of “at least once per day”, fully 97% check their email daily. Other popular digital activities trailed this frequency with 83% using Text/SMS and 76% logging into Facebook daily. It pays to get your message where people are logging in most frequently.

Email Automation Duplicates Success

The old “set it and forget it” promise is not quite accurate in today’s world. Sure, you can craft your email content and plug it into your CRM software and it will deliver the emails automatically. It can all happen without any further effort. Many email delivery companies were designed to do just that.

What is different when email is integrated with CRM software is the ability to quickly and easily see what is working Consumers Have Changed in your email campaigns. When the email You might think that the move to more and automation is fully integrated with your more social media outlets would dilute the online CRM, reports will give you an alert power of email as a good marketing solu- when emails are opened and content is tion. A recent survey conducted by eMar- downloaded. Set up measurement metketer.com shows the opposite conclusion. rics and the data allows you to see exactly

what is working. Use this information to drive increased sales and tweak each of your email campaigns to fit what the sales lead wants to read.

Content is Not Always Written

Many would-be email marketers put off creating content. Taking time to sit down and craft written documents that appeal to customers is hard. Developing thoughts and ideas and then bringing them into a cohesive message for an email campaign can be daunting. The good news is you can create content in many other ways. It would take another article to completely cover all the methods for creating content. So for now, just focus on these two: 1. Sit down in front of a camera and tell your sales leads a little about what you know about them. Let them recognize that you feel their pain and want to offer them a viable solution. Be sure to make the video about them and not your company. 2. Ethically steal from others. If you give attribution to the original author/creator, people will be happy you spread their content to your email list of prospects. Not only does it give you a quick way to touch your customer, it also validates you as a source of information.

Customers Demand More

Marketing automation is your feedback loop to respond to sales leads and customers. After all, the people who make decisions to buy your product and service insist on being in total control of the buying process.

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EDITORIALFEATURE

Measure to Manage:

Measurement & Data To Advance Houston’s Climate Agenda By Annise Parker, Mayor of the City of Houston

ou can’t manage what you don’t measure. It is an old adage that remains true today. I believe that unless you measure critical success factors you cannot know if your plans and programs are getting better or worse. The City of Houston looks at three areas very closely when we are evaluating greenhouse gas (GHG) reduction progress: energy use, transportation, and waste. In the City’s 2007 Community GHG emissions inventory, 58 percent of GHG emissions came from the building and industrial energy sector, 32 percent from the transportation sector, and 10 percent from the waste sector. We have focused on those three areas to reduce our emissions, and with good success. The City’s municipal operations emissions have realized a 26 percent decrease from our 2007 GHG emissions inventory. We are very proud of that, and at the C40 Cities Climate Leadership Group Mayors Summit in Johannesburg, South Africa, I announced that the City of Houston will commit to a 5 percent GHG reduction in 2014 and 2015 for a 10 percent total reduction by 2016. We will get there by continuing energy efficiency retrofits and LEED certification in municipal buildings. Just this year, we committed to another $10 million project in our libraries. We will work to increase the purchase of renewable power for municipal buildings. We will utilize new technologies such as LED streetlights and/or smart energy tools to reduce energy usage. We will continue to expand the use of hybrid, electric, and CNG powered vehi-

extension of the existing Main Street Line opened to the public. The City has retrofitted 6 million square feet Once all new lines are open, Housand invested $60 million in ton’s rail will expand from 7.5 miles to 39 energy efficiency miles. With this $4 billion investment, the expanded light-rail system will be an essince 2008. sential element of the city’s plans to meet the transportation and environmental cles, but, as we talk about the future, let’s challenges of today and tomorrow. look at the past and see what we did to achieve our 26 percent decrease. In addition, we operate 400 diesel-hy brid electric buses which account for oneENERGY third of the fleet. The City has retrofitted 6 million square feet and invested $60 million in energy efHybrid and Electric Vehicles: The City ficiency since 2008. We are saving over 22 of Houston has the third largest municimillion kWh of electricity every year as a pal hybrid fleet in the US. Hybrids now result and our simple payback is less than constitute more than 50 percent of the 10 years. light-duty fleet. The City purchases green power which We have converted 15 Toyota Prius accounts for half of its annual demand, hybrids to plug-in hybrid electric vehicles. making Houston the number one munic- Most recently, the city purchased 27 Nisipal purchaser of green power in the U.S. san LEAF battery electric vehicles and we The City uses 623,000 mWh of green are purchasing another 10 in 2014. power per year. Each of these vehicles is estimated to save The City replaced the incandescent the city $7,000 in fuel and maintenance lamps at all of its 2,450 traffic signalized over a 3 year period. We estimate that the intersections with LEDs. The City is saving current fleet of 27 Nissan LEAFs will accrue over $3.6 million and reducing energy us- $110,000 in annual savings compared to inage by 9,821,496 KWh per year. ternal combustion engine vehicles. We benchmarked over 300 city facilities The City has also created an online and are monitoring their energy use inten- “green” car sharing program for municipal sity and we have completed 23 LEED cer- vehicles. Houston FleetShare is a motor tified building projects, with another four pool using electric vehicles and hybrids, projects in the pipeline for 2014. resulting in a 34 percent decrease in the size of the City fleet; 35,000 gallons of fuel TRANSPORTATION savings; and reduced emissions. METRO Rail: We are currently expanding our light-rail infrastructure, adding three Bike Share: The City started a bike share new light-rail lines. Late last year, a 5.3 mile program last year with over 250 bikes and

14 SMALL BUSINESS TODAY MAGAZINE [ SEPTEMBER 2014 ]

and tree waste thus increasing our overall diversion rate to 22 percent. And this past year we have expanded single stream recycling to 70 percent of residents. Having analyzed this data, though, we are not satisfied and thus are actively engaged in the procurement process to seek a better, more innovative approach. We are currently working with the private sector and Bloomberg Philanthropies on a unique commingled waste program that could divert 75 percent of the mixed municipal solid waste to reuse/recycling, composting, and clean fuel processes. Assuming we are successful in securing an approach that is feasible, we will reduce 3.72 metric tons of carbon equivalent per ton of WASTE In 2008, the recycling rate for the City of municipal solid waste diverted, not includHouston was a very low 2.6 percent. There ing significant reductions from vehicle miles are a number of reasons for that low num- traveled as a result of route optimization. ber, unique in some respects to Houston. Our current recycling rate has grown to 8 The City has committed and invested in percent, plus we now are composting yard many programs that reduce cost, improve

30 kiosks throughout downtown and adjacent neighborhoods. Houston B-cycle has had over 55,000 checkouts and 180,000 miles have been ridden in the first 9 months. Bayou Greenways 2020: The Bayou Greenways 2020 program will add 1,500 acres of new and equitably distributed green spaces that can also serve the function of flood control and storm water quality enhancement. The program will also complete 150 miles of continuous all-weather hike and bike trails that will meander through those greenways, greatly enhancing quality of life, and reducing vehicle miles traveled.

efficiencies, and decrease greenhouse gas emissions. We are more energized than ever to continue our work in becoming a more resilient city and prepare for changes to our climate. Houston has proven that it can maintain its title as the energy capital of the world while at the same time pursuing green policies that lift our reputation as a world leader in sustainability.

Serving since January 2, 2010, Annise D. Parker has been elected as the Mayor of Houston three times. She is Houston’s 61st Mayor and one of only two women to hold the City’s highest elected office. In 2010, Time Magazine named Mayor Parker one the 100 most influential people in the world. Mayor Annise Parker is a Steering Committee Member of the C40 Cities Climate Leadership Group and serves on President Barack Obama’s State, Local, and Tribal Leaders Task Force on Climate Preparedness and Resilience. She is also on the advisory board of Small Business Today Magazine. For more information, go to www.houstontx.gov/mayor/.

[ SEPTEMBER 2014 ] www.SBTMagazine.net 15

EDITORIALFEATURE

Differences Between Arabic-Speaking

Business Cultures: The Arabic Mosaic By Ludmila (Mila) Rusakova Golovine

ne of the most interesting and potentially lucrative places to do business currently is in the Arab world. From its massive oil reserves in the Persian Gulf and North Africa to the shipping hubs of the United Arab Emirates, the Arab countries are becoming ever more important for global trade and the energy that fuels it. Consequently, there is unprecedented interest in the region for both business and tourism. Nevertheless, one must be well prepared before engaging in business there. While it is true that the people that comprise the Arab countries do share a so-called common language, there are vast differences among them which must be considered. Although it is difficult to categorize completely the cultural differences between the Arab people, it is easiest to conceptualize them linguistically. Typically, those who speak a similar dialect lead a similar lifestyle with common customs and behaviors. While there is no single Arabic language, there is a version called Modern Standard Arabic which is the language employed in print and news media. It is also the language used in schools and spoken between Arabs from different dialectical regions. Then there are dialects that differentiated themselves from Classical Arabic in the past and are spoken at home and in their respective communities. The main dialectic groups are Gulf, Levantine, Mesopotamian, Egyptian, and Maghrebi. The countries, whose people speak Gulf Arabic, comprise the Arabian Peninsula and include: Saudi Arabia, Kuwait, Bahrain, the United Arab Emirates, Qatar, Oman, and Yemen. Since desert makes up most of these countries’ geography and the climate is fairly hot most of the year, the vast majority of

people wear long flowing robes. This is the traditional dress of the Bedouins or nomads that have inhabited the deserts of Arabia for millennia. Typically, the cultures of these countries are very traditional and conservative in both religious and political terms. Since the two holiest cities of the Islamic religion, Mecca and Medina, are located in Saudi Arabia, the religion permeates daily life and language. Before going to this region, you must be prepared to see people in traditional dress and hear religious references that you would not normally encounter. The next dialect is Levantine Arabic. This name is derived from the Levant, which is a term that includes all the countries that speak this dialect, namely: Syria, Lebanon, Jordan, and Palestine/Israel. Since water and vegetation are more plentiful in this area, cities are more abundant and there is more of an urban culture. Consequently, more people wear Western or European dress such as suits, slacks, t-shirts, or even jeans. This area is more heterogeneous in religious make-up than the Gulf States. While the vast majority of Levantine Arabs are Sunni Muslim, there are minorities of Shiite Muslim believers as well as Christian, Jewish, Druze, and Alawite groups, particularly in Lebanon and Syria. Due to Western dress, it is normally difficult to distinguish who belongs to which group, so you must be open to all possibilities. There is the Mesopotamian dialect to the East of the Levant. This version is spoken primarily in Iraq and Eastern Syria. Much like in the Levant, Iraq’s geography has rivers and vegetation which have led to an urban lifestyle. Moreover, for decades Iraq has had secular government, resulting in a more Westernized lifestyle for its people. While the people are primarily of Shiite Muslim faith, there are also minority Sunni Muslim

16 SMALL BUSINESS TODAY MAGAZINE [ SEPTEMBER 2014 ]

and Christian communities. So here again you must be careful not to assume someone’s religious identity before finding out. The most recognized Arabic dialect is Egyptian. Cairo, the capital of Egypt, is the Hollywood of the Arab World. It produces most of the Arabic films and TV shows in the region. Egypt is also the most populous Arab country with 86 million inhabitants and has a history reaching all the way back to the pharaohs. Consequently, Egyptians have a strong sense of national identity. While about 90 percent of the population is Sunni Muslim, there is a sizeable Coptic Christian population. Once again, caution must be taken in making any assumptions regarding religious affiliation. Finally, there is the Maghrebi dialect spoken in Morocco, Algeria, and Tunisia. The Arabic spoken here is radically different from the other dialects due to the distance from the original Arabic homelands and the area’s long history of French colonization. The European influence is significant here and the culture reflects it in its Western dress and attitudes. While predominantly Sunni Muslim, the population is not highly conservative in terms of religion. Although the Arab world is fairly complex, it does not have to be difficult to navigate. With an open mind and a willingness to adapt accordingly, you can come to appreciate the Arabic mosaic As a graduate of the Wolff Center for Entrepreneurship at the University of Houston, Ludmila (Mila) Rusakova Golovine, Founder, CEO, and President of MasterWord Services, Inc., started her company with a vision of seamlessly connecting people across any language, any time, and any culture. Mila can be reached by email at mgolovine@masterword.com, by phone at 281-5890810, or visit her website at www.masterword.com.

EDITORIALFEATURE

Diversity is Important

for Business

By Hank Moore, Corporate Strategist™

his year is the 50th anniversary of the passage of the Civil Rights Act of 1964.

Diversity is most important for business, the economy, and quality of life. I have conducted many diversity audits of companies and have seen corporate America embrace diversity in many practices, including the workforce and suppliers. Several years ago, we realized that specialized positioning and communications are necessary for social harmony and a global economy. We are a diverse population and the same ways of communicating do not have desired effects anymore. Diversity is about so much more than human resources issues. It means making the most of the organization that we can. It means being anything that we want to be. Diversity is not about quotas and should never be perceived as imposed punishment. By taking stock and planning creatively, we can and will embody diversity. The premise of multicultural diversity is ambitious and necessary to achieve. It is a mindset that must permeate organizations from top-down as well as bottom-up. If not pursued in a sophisticated, sensitive way, good intentions will be wasted. The following pointers are offered to companies who communicate with niche publics: • Seek and train multicultural professionals. • Contribute to education in minority schools, assuring that the pipeline of promising talent can rise to the challenges of the workforce.

writing and graphics quality will enhance the value of multicultural communications. As media does a good The old theory was that society is a job of showcasing melting pot. That philosophy evolved to multicultural events, note the salad bowl concept. In either, one elit positively. If thanked ement still sinks to the bottom. We must enough, media will connow see it as a mosaic or patchwork quilt. tinue to shine the light on Each element blends and supports others. Diversity is a continuing process where we multicultural diversity. keep the elements mixed. People believe that they are now think• Design public relations programs that ing differently and creatively about diversiembrace multicultural constituencies ty issues. In truth, they are really rearrangrather than secondarily appeal to ing their existing prejudices. To be diverse them after the fact. and united, societies must be sealed with • Interface with community based common purposes. groups, sharing in activities and civic service, to learn how communications We can be diversified and unified at will be received. the same time. We can remain culturally • Realize that minority groups are highly diversified. We still can and should work diverse. Not every Asian knows each together as a society. We all hold cultural other nor speaks the same language. values. One set is not better than another. There are as many subtle differenc es in every ethnic group as the next. Look at the issues and how they affect Thus, multicultural communication is the total person. Actions are always rehighly customized. quired. Good intentions and political cor• Realize that multicultural communica- rectness are not enough. tions applies to all. Black profession als do not just participate in African It is short sighted to ignore changes in American community events. Culti- society. It is good business to recognize vate cross-cultural communications. opportunities for practice development. In the Chinese culture, every crisis is first As media does a good job of showcas- recognized as a danger signal and always ing multicultural events, note it positively. as an opportunity for overcoming obstaIf thanked enough, media will continue to cles. In addition, every professional must shine the light on multicultural diversity. embrace a set of ethics. Sophistication in the gauging of public Hank Moore has advised over 5,000 client organizaincluding public sector agencies, small businesses, opinion will result in a higher caliber of tions non-profit organizations, and 100 of the Fortune 500. communicating. The demands of an ev- Contact Hank by phone at 713-668-0664, by email er-changing world require that continuous at hankmoore4218@sbcglobal.net, or visit his website improvement be made. Attention paid to at www.hankmoore.com.

18 SMALL BUSINESS TODAY MAGAZINE [ SEPTEMBER 2014 ]

EDITORIALFEATURE

Client Conflicts –

An Opportunity in Disguise By Aaron Kaplan

know that you have had the following happen to you on at least one occasion: a client calls you to complain that they are not happy with the professional services or product you provided. How do you typically handle such conversations? How much of the responsibility for what happened do you shoulder? How much do you reflect back onto your customer or client? What happens to your relationships going forward with clients/customers who have a negative experience with your business? It seems that consumer expectations and standards are getting higher and higher even though their demands often may appear completely unrealistic. When they express their discontent and unhappiness with your product or service, they may also project intense emotions and accusations that are not fair. And, to make matters worse, we live in an extremely litigious society, which doesn’t appear to be changing any time soon. Large corporations have the benefit of having entire legal departments replete with extremely talented lawyers to shield and protect them from legal liability stemming from customer conflicts and complaints. What are we as small business owners to do? After all, none of us are perfect. Our businesses are not perfect and our products and services are not perfect. Thus, I believe it is imperative as small business owners that we redefine conflict as a normal and natural aspect of life. Not only is conflict normal, but it’s purposeful. There are hidden opportunities inside conflict that can strengthen relationships beyond what is possible in only harmonious exchanges. When conflict is not manifested as anger, competition, or blame,

Remember good communication skills. Maintain eye contact, use “I” statements, Remember good identify feelings, and use active listening. communication skills. Maintain eye contact, use Use humor. Humor is great for breaking “I” statements, identify down negative emotions. Be careful to use humor appropriately, though. An easy feelings, and use active way to show respect in using humor is to listening. allow yourself to be the target of the joke. there are opportunities to learn about Take the other person seriously. While yourself and your business. When handled you may use humor with discretion, it is constructively, a deeper bond between you imperative that you take the other perand your clients is created. It takes some son seriously and demonstrate this with work to bring out this potential in conflict respect. but the rewards are worth the effort. Deal with the present. The past is the past Studies done on marital relationships and needs to be left there. Limit yourself show that it is not whether a couple fights to only discussing relevant, present issues. that predicts divorce but how they fight. For example, if one person bears all the re- Stay calm. It is more likely that your partsponsibility or the fight turns into a charac- ner will consider your viewpoint when you ter assault, one or both people will end up speak calmly. feeling lousy or resentful. The following are some simple ground rules to keep in mind Keep your arguments private. Resist the so that grievances do not become hurtful: urge to discuss your private conflicts with others. You will eventually work the prob Focus on the behavior or action, not the lem out but others may continue to carry person. People will universally defend anger or resentment toward the individual themselves when they feel attacked. They in question. are less likely to become defensive, and therefore more likely to listen, when you If you cannot agree, at least respect the present behavior/action-focused feedback. other person’s feelings and opinions. Say it respectfully. Disrespectful words Frances Willard once said, “I would not block communication and create wounds. waste my life in friction when it could be Hurtful words are long-remembered and turned into momentum.” Wouldn’t you make one less willing to share or be vul- want to do the same? nerable. Be specific. Do not generalize; avoid words such as “always” or “never.” Acknowledge specific behaviors and how they affect you.

20 SMALL BUSINESS TODAY MAGAZINE [ SEPTEMBER 2014 ]

Aaron Kaplan, Founder/Director of the Kaplan Project LLC, can be reached by phone at 832-831-9451, by email at AKaplan@thekaplanproject.com, or visit his website at www.thekaplanprojectcoaching.com.

EDITORIALFEATURE

The Secret is the System Part 1 of a 2 Part Series By Howard Partridge

n last month’s column, I talked about “GPS” – getting you from where you are in your business to where you want to go. GPS stands for Goals (where you’re going), Plans (how you’ll get there), and Systems (the vehicles that will take you there). Your business is a vehicle. If you have more than one business, you have more than one vehicle. A vehicle is a system or a set of systems. My good friend Michael Gerber, the world’s #1 small business expert according to Inc. Magazine, says “the secret is the system”. He recognized that all phenomenally successful businesses have effective systems. If you have staff, you are probably familiar with the story of “Somebody, Everybody, and Nobody”:

Somebody was asked to do something that was the job of Everybody. Everybody thought that Somebody was going to do it but Nobody did it. When Nobody did it, Everybody asked why Somebody didn’t do it. Somebody said it was the job of Everybody. Everybody said it was Nobody’s job, therefore, Nobody did it. Can you relate to this story? Even if you don’t have staff, systems are critical to your business. Here’s why -

•The key to profitable growth

Have you ever seen companies that grow quickly only to discover that more money is going out than is coming in? The bigger you get without systems, the more money is going out the door in reinventing every day.

Your business is a vehicle. If you have more than one business, you have more than one vehicle. A vehicle is a system or a set of systems. •Employees perform better

When your employees don’t have to depend on you to direct their every move because they have a system to work in, their performance increases.

• Fewer surprises

Have you noticed that human beings do weird things? The stuff people come up with sometimes is mind-boggling. Like the time one of my clients had an employee who wrecked a company truck. Instead of calling the owner and letting him know, he hid the truck behind his house and didn’t show up for work the next day. Of course my client didn’t have systems in place then. Now he does. Don’t leave it to your employees to try and figure out the best thing to do. Have a system.

• Keeps the owner in line

I don’t know about you but I like to change things, update them, and try something new from time to time (okay, okay, maybe a little more often than that!). As the owner, you may like to tinker with the system or decide which part of the system you feel like using that day. You must be the example and follow the procedures yourself if you want your staff to follow them.

Many years ago in my service business, I went out to do an on-site presentation for a prospective client. I assumed that the client wouldn’t buy and did not write up a proposal. Instead, I just quoted a verbal price and left. Sometime later, the prospect called to have the work done. My salesperson looked high and low for the paperwork and finally in frustration asked the prospect if she was absolutely sure that our company was indeed the one that did the presentation. “Oh yes,” she said. “A man drove up in a Lexus, looked around, and told me how much it would be!” Of course my sales agent knew exactly who she was talking about—me, the owner; the one who decided not to follow the system that day! And of course there’s another lesson there too; don’t judge a prospect; do the proposal! If you like to change things around and you have a team, they will be confused if you don’t inform them beforehand. In addition, customers may also become confused. When you change something, be sure to communicate it and update the system.

• A consistent service experience

When you have a system, the customer knows exactly what to expect. McDonald’s is the “poster child” for systems because you get the same hamburger in Tokyo as you do in Paducah, Kentucky. It may not be the best hamburger, but it’s the same hamburger. It’s consistent because they have a system. Howard Partridge, President of Phenomenal Products, Inc., is the author of 7 Secrets of a Phenomenal L.I.F.E. and 5 Secrets of a Phenomenal Business. You can contact Howard by phone at 281-634-0404 or visit his website at www.HowardPartridge.com. [ SEPTEMBER 2014 ] www.SBTMagazine.net 21

Photographer: Genera media

HOUSTON NORTHWEST CHAMBER OF COMMERCE

Heather Green Warner

nyone who has driven by the beautifully landscaped area along Cypress Creek Parkway in Northwest Houston can see for themselves the pride of those who live and work in this dynamic community. This area was not always as full of the color and vibrancy that exists today but with the help of the Houston Northwest Chamber of Commerce (HNWCC), improvements to the community are happening all the time! Founded in 1974, the Houston Northwest Chamber of Commerce celebrates 40 years of supporting business and community this August with a luncheon celebrating its mission,“Developing Successful Businesses and a Thriving Community.” The event features founding board members as well as those community and business leaders currently dedicated to a positive future for this fast growing area. The Chamber is comprised of over 750 members contributing to the economic development and job growth of both Northwest Houston and Harris counties.

Northwest Houston has a population of over 600,000 residents and is steadily growing. Soon, they will be experiencing new, exciting opportunities. Exxon-Mobil is in the process of building a campus there, rapidly bringing with it more families and businesses. Noble Energy is expanding their footprint in the community, bringing additional focus to the community. The opening of the Grand

The Houston Northwest Chamber of Commerce values member support. Chamber President Barbara Thomason is pictured here with Ms. Beryl Ramsey, CEO of Houston Methodist Willowbrook Hospital; Kathie Edwards owner of Westpark Communications; Tim Puthoff, CEO of Houston Northwest Medical Center; and Shah Ardalan, President of Lone Star College-University Park and incoming 2015 Houston Northwest Chamber Board Chair.

Parkway and the 249 Toll Road will afford even more access to the area, strengthening the already excellent transportation infrastructure this community provides to businesses and residents alike. In addition to thriving businesses and transportation expansion, Northwest Houston is proud to include cultural amenities that rival most of Texas. Located within this community is the Centrum with performances arranged by the Cypress Creek Foundation for the Arts & Community Enrichment, the Pearl Fincher Museum of Fine Arts, the Cypress Symphony, The Texas Repertory Theatre Company, and the Houston Dance Theater, to name a few. These organizations work together within the Northwest Arts Alliance to create a community rich in the arts. These unique amenities help the Northwest community stand out among other areas of the Houston Metroplex. Although the city of Houston is renowned for its cultural arts, the Northwest Arts Alliance members offers their own without a long commute downtown and high-priced parking. Residents can remain in their nearby area and enjoy a short drive to activities with family and friends any time or day of the week. There has been a veritable “education explosion” in Northwest Houston, which makes the area especially attractive to businesses and families. The impressive Lone Star College System which includes Lone Star College-University Park is one of a kind. Shah S. Ardalan, President of Lone Star College-University Park and Chair Elect for HNWCC (2015), has succeeded in developing an [ SEPTEMBER 2014 ] www.SBTMagazine.net 23

EDITORIALFEATURE

educational system that is different from any other in the country. Students share facilities with major corporations and can benefit from the many resources available there. Not only is Lone Star College-University Park the fastest growing college in the Lone Star System with over 90,000 students enrolled, it is the fastest-growing community college in the nation. Northwest Houston consists of five independent school districts including: Aldine ISD, Cypress-Fairbanks ISD (Cy-Fair ISD), Klein ISD, Spring ISD, and Tomball ISD. No matter which school district one chooses to send their children, they can be assured that all of the districts have some of the highest rankings in the state basic skills tests in reading, writing, and mathematics. One of the largest area employers and dedicated Chamber member is the Houston Northwest Medical Center, and Juan Fresquez, COO of Houston Northwest Medical Center, is the 2014 Chamber Board Chair. One of the key accomplishments during Juan’s year of leadership has been the development of Grow Northwest, the Chamber’s Economic Development Initiative. Grow Northwest is a campaign and a strategy to build upon the community’s successes and to advance the local economy. Fresquez describes the initiative as a silver lining of sorts. In a desire to develop opportunities for economic improvements and new growth, many leaders have come together. As a result, the Grow Northwest Initiative became a part of an overall strategic plan which includes: • The development of a Public Safety Program to guide such activities as business security audits, educational programs for crime prevention, and increasing patrols in commercial areas • Launching an aggressive Business Retention & Expansion Program to insure businesses have the resources they need to remain and thrive in Northwest Houston • Creating a dynamic Community Image and Marketing Campaign, placing signage to mark processional entrances into the community, and street signs with street addresses in major intersections Houston Northwest Chamber President Barbara Thomason is not only proud to be part of the landmark anniversary but is passionate and excited about the plans surrounding Grow Northwest. In January 2015, Shah Ardalan, President of Lone Star College-University Park, will assume the role of Board Chair and carry on the work of his predecessor to bring impactful change to the region. This year is definitely an exciting one for HNWCC members as there is so much happening in the area. Many businesses in the energy sector and health sector are locating there. These new primary jobs are giving way to a second tier of jobs in retail, personal, and professional services areas. 24 SMALL BUSINESS TODAY MAGAZINE [ SEPTEMBER 2014 ]

Barbara Thomason envisions a continued strong, growing economy in northwest Houston.

Whether a business is small or large, established or starting new, the Houston Northwest Chamber of Commerce is a great resource, serving the Spring, Klein, and Northwest Harris County region for over 40 years. To become a member of HNWCC or to find out more about upcoming events and activities including the annual CreekFest held every October

Contact them by phone at 281-440-4160, or connect with on FaceBook at www.facebook.com/HoustonNWChamber. For more information about Grow Northwest, go to www.GrowHoustonNW.com The Houston Northwest Chamber is located at 3920 Cypress Creek Parkway, Suite 120, Houston, TX 77068.

EDITORIALFEATURE

Dealing with Landlords…

The Good,The Bad, & The Ugly By Jeffrey D. Jones, ASA, CBA, CBI

ost small business owners will have to deal with a landlord or a landlord’s management company when seeking a facility from which to operate their business. This occasion can be when the business owner seeks their first location or when an existing business needs to be moved to another location. Seeking a new lease can be an exciting experience, but there are many pitfalls that need to be addressed when negotiating with a landlord. When leasing a property, it can be a free-standing building or a space in an office building, a business park, a warehouse, a shopping center, or a shopping mall. There are many common elements to a property lease but there can be some unique elements depending upon the type and use of the property. Some of these elements can be negotiated and some can’t. The following information will summarize the more common elements of a property lease and will address important issues that may need to be negotiated to be sure the business will not suffer due to specified restraints. The property owner can be an individual or a large investment company who may or may not be located in the same city as the property. When negotiating a lease, you will typically be dealing with a leasing agent who works either directly for the property owner or a management company who has been hired by the property owner to manage the property. Every lease will have Basic Lease Terms that include the location of the facility to be leased, size of the space being leased, the term of the lease, the rental rate, and the use of the facilities. Additional provisions will typically address the following issues: • • • • • • • • • • • •

Common Area Maintenance Fees Real Estate Property Taxes Real Estate Insurance Costs Utility Charges Trash Fees Merchant/Tenant Association & Related Fees Advertising Fees Sign Fees & Regulations Construction Costs Parking & Common facilities Uses & Restrictions Compliance with Laws & Safety Requirements

26 SMALL BUSINESS TODAY MAGAZINE [ SEPTEMBER 2014 ]

The property owner can be an individual or a large investment company who may or may not be located in the same city as the property. • • • • • • • • • • • •

Required Liability Insurance Regulation of Hazardous Materials Landlord’s Liens on Business Assets Landlord’s Rights of Access Restrictions Regarding Lease Assignment & Subletting Lease Default Provisions Sales of Premises by Landlord Hours of Business Operations Security Deposit Holding Over Provisions Relocation Option Broker Fees

The Basic Lease Provisions will be addressed in this article and the Other Lease Provisions will be addressed in a subsequent article. Basic Lease Terms include the following provisions: 1. Location – When leasing space in a building, one must take into consideration the type of business and use of the facilities. A retail business will want a high traffic and visable location, whereas a service business that has customer/client traffic will want an easy access location. A wholesale or manufacturing business will be concerned with a location close to its customers and/or near transportation facilities. 2. Size of the Facilities – The size of the space to be leased is typically expressed in terms of square feet. Factors that impact the required size of space will include the number of employees, the number of customers/clients who will be coming to the facilities, the amount of office space needed, and the amount of storage space needed. 3. Term of the Lease – Most landlords will not lease a facility for less than one year. On the other hand, most landlords will not want to commit to a lease longer than 5 years unless

EDITORIALFEATURE

itâ&#x20AC;&#x2122;s a free-standing building such as a McDonalds, wherein the lease term may be for 20 years. Most landlords prefer 3 to 5 year leases and will usually provide options to renew at the then current market rental rate. 4. Rental Rate â&#x20AC;&#x201C; The rental rate is typically quoted as a price per sq. ft. either on a monthly or annual basis. The rental rate will be stated either as a gross rent or a net rent. A gross rent means the tenant pays a fixed rental rate and the landlord is responsible for paying all operating costs of the property. Whereas a net rental rate is a base rate that provides the rate of return required by the landlord and the tenant then pays pro rata the property taxes, property insurance, and property maintenance costs. This is often called a triple net lease, because in addition to the base rent, the tenant pays all the operating expenses of the property that include taxes, insurance, and maintenance. 5. Use of the Property â&#x20AC;&#x201C; All leases will address the allowable use of the property and the restrictions thereof. It is import-

ant to review the uses and limitations of the property stated in the lease. Some leases will be subject to use limitations due to exclusive uses granted to other tenants. Some landlords may want to exclude the use of the facilities for businesses that may cause insurance costs to be high, personal preferences such as businesses serving liquor or sexually oriented businesses, and businesses that would generate excess traffic resulting in parking problems. Lease use limitations can sometimes be negotiated with the landlord to allow a specific use. Before entering into a lease, always read the entire lease and if you do not understand some of the lease terms hire an attorney to help you understand the lease and make recommendations on how to make the lease better for you and your business. Jeff Jones is the President of Certified Appraisers, Inc. and Advanced Business Brokers, Inc. located at 10500 Northwest Freeway, Suite 200, Houston,TX 77092. He can be contacted by phone at 713-680-3290 or by email at jdj@certifiedappraiser. com.

[ SEPTEMBER 2014 ] www.SBTMagazine.net 27

EDITORIALFEATURE

Ways Brokers Benefit From Offering

SBA Financing to Buyers By Bruce Hurta

mall business real estate and small businesses themselves are often represented for sale by a commercial real estate broker or a business broker who will earn a handsome commission from the seller in the transaction.

How do brokers earn their commission?

They will use all of their resources to find the best buyer for the transaction. Usually for the seller, this translates into getting the highest price in the shortest time possible. Naturally, the broker must be a professional who has the ability to call upon many types of resources to make the transaction a win-win for everyone involved. One of the most critical resources is often finding favorable financing for the buyer. Small businesses and small business properties do not always receive the most favorable treatment from traditional institutional lenders. In the past, community banks almost exclusively served the credit needs of small business owners. Today’s environment has fewer community banks. There are more large banks that prefer working with middle market businesses and public companies over working with small businesses. The government-guaranteed SBA loan program, therefore, offers opportune financing to place in the tool box of commercial real estate brokers and business brokers.

Here’s why:

• Because participating SBA lenders receive a partial government guaranty as insurance against future loan defaults, SBA loans have lower down payments, longer repayment terms, and easier qualifying criteria than conventional bank loans. More approved loan applications translates into more closed transactions for brokers! • Small business buyers feel they can afford to acquire a small business or small business real estate based upon their own analysis. They really appreciate the broker who can help 28 SMALL BUSINESS TODAY MAGAZINE [ SEPTEMBER 2014 ]

Usually for the seller, this translates into getting the highest price in the shortest time possible. Naturally, the broker must be a professional who has the ability to call upon many types of resources to make the transaction a win-win for everyone involved. make it happen. If they are happy with a purchase made possible by SBA financing when their own bank could not even help them, they become a customer and referral source with that broker for a long time.

• Most brokers do not even think about earning a referral fee for the financing in a transaction. They just want to satisfy their client, get the property sold, and earn a sales commission. But what if I told you it is not unusual for a commercial real estate broker to earn 1% of the loan amount on loans up to $5 million for referring a client to an SBA lender? That can be a serious additional incentive to remember the SBA loan program for the client facing a roadblock at their bank! Maybe I should have titled this article “How to Increase the Broker Commission by 10-25%!” I could have but I wanted to emphasize the benefit to the broker’s client. That’s the real pay dirt!

You can learn more about SBA lending and small business finance on Bruce’s blog at brucehurta.wordpress.com. For more information about SBA real estate loans for small businesses, contact Bruce Hurta, Business Lending Manager at Members Choice Credit Union, at 281-384-2595 or by email at bhurta@ mccu.com.

EDITORIALFEATURE

Calculated Acts of Kindness:

Putting Thought into Giving Back By Aimee Woodall

n June, an anonymous donor using a Twitter account encouraged people to sit in the lobby of the cafeteria at M.D. Anderson Cancer Center and commit random acts of kindness. People showed up. They brought gifts for children, small cash donations and snapped pictures with the patients. That’s heartwarming, right? Our faith has been restored in humanity again! There is something about random acts of kindness that appeals to us; something that makes us want to click that share button on Facebook or perhaps start a Twitter account where we hand out money to strangers. It’s heartwarming, unique, kitschy, and it makes us feel good. But does it actually do anything? Shouldn’t we spend our time, if we actually cared as much as we say we do, planning a bit more? In the case of asking people to show up at M.D. Anderson on a whim, people had to be turned away because it could possibly put patients with compromised immune systems in danger. Random acts of kindness may make you feel good, but we’re here to tell you that the power of social media can be used to create real change and make everyone feel good. All you have to do is be a bit more calculated.

1.Find out who needs help.

Social media can be a great starting point to dig into what organizations or causes need assistance. Many nonprofits and social organizations will ask for help or donations through Twitter and Facebook and their websites should have an area with information on volunteering. The worst thing you can do is try to help an organization that simply doesn’t need the help. Focus your attention elsewhere — time is precious.

There is something about random acts of kindness that appeals to us; something that makes us want to click that share button on Facebook or perhaps start a Twitter account where we hand out money to strangers. It’s heartwarming, unique, kitschy, and it makes us feel good. 1. Reach out to the organization you want to partner with.

This may seem like a no-brainer but for some (see the previous example), it just isn’t. Many organizations will have restrictions, including legal ones, on how you can help. Look for a point of contact at the organization you want to help. Many of these groups need help but your help will be much more successful if there are open lines of communication.

2. Ask the organization what their needs are.

It might be great that you want to show up at 9 a.m. on a Tuesday to donate teddy bears for the children’s charity, but guess what? They are closed on Tuesdays and they just received a lifetime allotment of teddy bears from Toys R’ Us. Beggars can’t be choosers, we firmly believe this, but there are ways you can help more efficiently if you work with the organization collaboratively on what help best suits their needs. Approach them with an

idea, get input, and it can almost certainly be guaranteed that your efforts will be 10 times more effective than going at it alone.

4. Use social media to spread the word and gather volunteers.

Once you have met with the organization, assessed their needs, and developed a collaborative game plan, the real magic of social media can come to play. Social media, in many ways, has become the new community bulletin board. Utilizing the proper channels to gather a group through your own personal network and other engaged citizens in the community is how social media can become useful in this sense. You’ve got your plan; now assemble the troops and activate! It’s true that random acts of kindness have their place. They remind us of our humanity, inspire us, and, on occasion, initiate change. But we shouldn’t rely on the, dare we say it, lazy attitude of simply posting an inspiring link on our Tumblr or tossing a few quarters in the donation jar at a gas station counter. It’s time to get working. It is time to seek out inspiration. And it is time to plan some acts of kindness. Only this time, those acts will be less random and a lot more powerful.

Aimee Woodall is the owner of the Black Sheep Agency, a Houston-based creative agency specializing in non-traditional public relations, social media, and experiential marketing. Contact Amy by phone at 832-9717725, by email at aimee@theblacksheepagency.com, or visit the website at www.theblacksheepagency.com. [ SEPTEMBER 2014 ] www.SBTMagazine.net 29

EDITORIALFEATURE

How to Become a

Keynote Speaker By Pam Terry

f the thought of becoming a keynote speaker excites you, your next thought might be, “How do I get there? To clarify, a keynote speaker would be someone who is hired to wow the audience with their brilliance and delivery for about 45 minutes. Getting hired takes three things: 1) honing your craft as a speaker, 2) picking a niche, and 3) getting your name out there.

Honing Your Speaking Skills

First and foremost you need to have valuable content that makes a difference in people’s lives. Why? Because speaking is not about the presenter - it’s about the audience and what they will get out of it. Find out everything you can about them, what they want to know, and why. Then you can work on how to deliver the speech. Storytelling is a powerful way to get a point across. With a story, you can transport your audience to another place and time. Effective delivery includes: a) knowing your topic so you can give it without notes, b) preparing an outline so that you can stay focused, c) practicing it so that you can build your confidence and invigorate your passion, and d) using techniques that engage your audience so that they get the most out of it.

Picking a Niche

To be noticed, narrow your focus so that you can set yourself apart from the crowd of speakers. Can you apply your topic to a specific industry? If so, research that industry and learn everything you can about it. Offer to write guest articles/ blogs. Join any groups where your target market is and develop relationships within the industry. All of your marketing materials should align with your niche.

Becoming Known

With all that the Internet has to offer, it’s incredibly easy to become known. Yet it can be incredibly overwhelming; right? The key is that you need to 30 SMALL BUSINESS TODAY MAGAZINE [ SEPTEMBER 2014 ]

let your target market know that you are the expert in your field so that when you apply to speak at their conference they know you are a proven expert in their industry.

Initial steps for becoming known include the following:

• Have a professional looking website with a blog. • Create a speaker one-sheet that builds your brand for the industry you are targeting and make it available as a download from your website. • Start speaking by doing your own workshops, webinars, and teleseminars on your topic. This will build your community (followers), your brand, and your confidence. People will begin to ask you to speak at their events. • Blog about tips and solutions that offer real value. Post your blog title and link to select groups on Facebook, LinkedIn, Twitter, and Google Plus. You can add others such as Pinterest and YouTube. Social media is your “broadcast channel.” Use it. This will further cement your brand and expand your reach. • Find out the names of the meeting planners in your industry and join the groups they are in on LinkedIn, Facebook, and Google Plus and post in those groups. Comment and engage with any of their posts. This can lead to developing a connection to them on those sites. Follow them on Twitter and subscribe to their channel on YouTube. There are far more advanced steps for setting yourself apart which include being a published author, getting quoted by the media, having a video of you on your website, and much more. The best advice I can give you is to plan ahead, take consistent action, and be patient. Pam Terry is a keynote speaker, coach, and trainer. For more articles, please visit www.pamterry.com/blog.html. You can reach Pam at 832-276-4153 or pam@pamterry.com.

EDITORIALFEATURE

Business Networking & Sex –

Not What You Think! By Gail Stolzenburg

hen I was growing up, most women were homemakers and when they did get a job it was as a teacher, a secretary, or a nurse but seldom in sales. Today, the workforce is divided almost evenly and according to the U.S. Bureau of Labor Statistics, 12% of women in the workforce are in sales as compared to 11% of men in the workforce. With such a level playing field, one might think that neither sex is more successful at networking but that is not the case. As it turns out, women are! At a recent networking event, I observed men and women doing and saying things differently. A man crushed a woman’s hand, bragged about his business, and asked about doing business together, although they had just met. The woman asked what he liked about his business, if he had a family, who did he want to meet, and where else did he network. That story pinpoints the major difference between the sexes: Men are transactional and women are relational. I know this is changing but it’s moving much too slowly. Here is what I’ve learned over the years: Women want to discuss problems Women are comfortable expressing their feelings Women like to talk about issues Women build relationships Women are better at sharing a dialogue Women like to connect Women want to immerse you in their world This information is based on a survey that was conducted over a four year period of 12,000 business men and women (approx. 50/50 split) who were asked simple questions about business networking and sex. The study is explained in “Business Networking & Sex, Not What You Think” by Dr. Ivan Misner, founder of BNI and coauthor of “Networking like a Pro” with Brian Hilliard. For more information on the differences between the sexes and networking, one can gain insight from reading “Selling in a Skirt” by Judy Hoberman and “Men are from Mars, Women are from Venus” by Dr. John Gray. I was on stage with John Gray last year. My wife makes me correct that. Actually I was in the audience and John Gray selected me to be one of his examples. John 32 SMALL BUSINESS TODAY MAGAZINE [ SEPTEMBER 2014 ]

At a recent networking event, I observed men and women doing and saying things differently. A man crushed a woman’s hand, bragged about his business, and asked about doing business together, although they had just met. Gray says, “Understanding the opposite sex in a new and positive light is the key to building lasting business relationships for increased success!” Men can increase their success in networking with women by focusing on relationship building, dressing to please the female audience, and understanding that women are attending networking events to gain business not dates. Treat them professionally. Don’t hit on them! Men want to solve problems Men see feelings as a is sign of weakness Men like to get to the source of the problem Men demonstrate expertise Men are better at delivering a monologue Men like to compartmentalize Men want to give you just the bullet points Women can increase their success in networking with men by dressing professionally rather than wearing something that is more suitable for a date, treating networking as a business rather than as a hobby, and being more direct in asking to set an appointment to meet and discuss how they might benefit each other’s business needs. Stay tuned for next month’s column on the subject of Social Media Networking. Gail Stolzenburg, the Connector, can be contacted by email at Gail@GailStolzenburg. com, by phone at 281-493-1955, or visit his website at www.GailStolzenburg.com.

EDITORIALFEATURE

Top 10 Ways to Maximize Your Experience

at Small Business Training Events Part 2 of a 2 Part Series

By Helen Callier, President of Bradlink, LLC

n Part 1 of this 2 Part Series, the importance of small businesses being clear on their reason for attending training events and getting what they paid for were discussed. Also, information was shared that the days are gone when a small business leader can throw dollars out the window and not gain maximum return on their training investment. Each year there are hundreds of opportunities for small business leaders to fork over their hard earned dollars to use for training. To make sure your workshop investments are wisely selected and money well spent, below is a recap of Part 1 – The first 5 of 10 ways to maximize your experience at small business training events: 1. Be open to new ideas and perspectives 2. Punt the words “can’t, won’t and no” in the rear 3. Be fully engaged 4. Listen 5. Help other scholars Here now are the remaining five ways to get what you paid for when attending small business training events: 6. Think BIG! And have a Vision When asked during her seasoned years what was worse than being blind, deaf, and mute, Helen Keller responded to a young reporter by saying, “Having no vision.” Helen Keller touched the lives of many across the world. She visited with kings, queens, and presidents. In addition, she created an environment where millions of persons with disabilities could live fulfilling lives. While you are in a training event, think BIG and write a vision that when achieved, your small business will have cre-

When someone is helping you grow your small business and achieve your life’s dream, then saying thank you to your Instructor or the person assisting you shows not only respect but it also shows your heart of gratitude. “Gratitude makes the difference in all that you do in life.” - Dr. John D. Demartini ated a multitude of jobs and enabled your community’s economy to prosper. 7. Keep a journal While attending a training event that spans several days or months, writing in a journal can be helpful in capturing your truest thoughts about your small business and you as the leader. There is no need to be concerned about the length of the entry. The very aspect of getting your ideas, sketches, etc. on paper is powerful enough. And, once you complete your training event, your journal book becomes a valuable tool during your time of reflection and whenever you’re experiencing any hiccups as you continue on your path of fulfilling your small business goals. 8. Have fun and laugh – a lot! Laughter does the heart and body good. It releases any strains, pressures, and anxieties. It is a natural medicine that opens your mind and spirit to receive. So, laugh at yourself and enjoy a laugh with other scholars. Life is meant to be fun.

34 SMALL BUSINESS TODAY MAGAZINE [ SEPTEMBER 2014 ]

9. Work like a steam engine Often times, most persons attending a training event fail to complete the training assignment. They take the workbook to their office and, if it makes it inside their office, it then finds a new resting place on the corner of the desk that is soon to be covered with papers, tablet, and magazines. To truly maximize your experience during a training event, work like a steam engine. Take in new information like water; heat it up by completing the exercises that same day and then quickly apply the new information or tools in your small business. This steam engine learning and application strategy allows you to complete your training event with a growth plan or the particular tool you invested to receive. 10. Be grateful and say thank you When someone is helping you grow your small business and achieve your life’s dream, then saying thank you to your Instructor or the person assisting you shows not only respect but it also shows your heart of gratitude. “Gratitude makes the difference in all that you do in life.” - Dr. John D. Demartini That’s it for now on suggestions to maximize your investment and participation in training events to help develop your small business and you as a leader. Pick up your copy of next month’s Small Business Today Magazine or visit online at www.sbtmagazine.net to read how small businesses are transforming their communities.

Helen Callier is President of Bradlink, LLC, a technical services firm. She is a radio show host, public speaker, and the best-selling author of “Your Money is in the Follow-up”. For more information, call her at 281-3129981 or visit her website at www.yourmoneyisinthefollowup.com.

EDITORIALFEATURE

Your Business’s

Silent Killer

By Dawn Haynes

f you are over the age of 40, you may remember the public service announcements from years ago created to raise public awareness of high blood pressure or hypertension. It was during this time that it became dubbed “the silent killer”. Over the years, we have learned that untreated high blood pressure significantly increases the risk of heart disease and stroke—the first and third most common causes of death in the US. Hypertension can also damage the kidneys and increase the risk of blindness and dementia. This silent killer wreaks serious systemic havoc even as we remain completely unaware of its presence. And left untreated, any one of these side effects can result in death. Did you know that, quiet as it is kept, your business may have been or could be at risk for another kind of “silent killer”? This silent killer sucks the financial lifeblood out of our companies and has, based on one study, an overall economic impact to the tune of somewhere between $6 and $14.8 billion per year. It eats its way through approximately 10% of company profits via employee turnover; reduced morale; loss of productivity; lost time; negative impact on company reputation; increased medical costs in the form of sick leaves, health insurance costs; and worker’s compensation claims. In some instances, there are also increased legal costs and rehabilitation costs. It is a silent killer because one 2014 workplace survey found that while 72% of American employees are aware and acknowledge that it exists in the workplace and 48% of whom are either directly or indirectly affected, only 18% of all employers take actions to stop it while 72% either condone or explicitly sustain it because, sadly, it is not illegal. So, what is this silent killer and why aren’t employers more concerned? It is workplace bullying. And while a small percentage (5%) of employers actually actively encourage workplace bullying, I believe the overwhelming majority of employers treat it the same

36 SMALL BUSINESS TODAY MAGAZINE [ SEPTEMBER 2014 ]

It is a silent killer because one 2014 workplace survey found that while 72% of American employees are aware and acknowledge that it exists in the workplace and 48% of whom are either directly or indirectly affected, only 18% of all employers take actions to stop it while 72% either condone or explicitly sustain it because, sadly, it is not illegal. So, what is this silent killer and why aren’t employers more concerned?

way most of us typically treat the shortness of breath indicative of heart disease; the sudden severe headache that warns of a stroke; the change in urination that accompanies compromised kidney function; or the changes in reasoning and judgment that warn of dementia. They simply don’t see it as anything to be taken seriously or as being indicative of a bigger or more systemic problem - the kind of problem that, left unchecked, could have any number of dire consequences. You may be thinking,“I’m a solo practitioner”, or, “I’m not a bullying boss.” “So, why should I care?” Perhaps you should care because workplace bullying doesn’t always occur from the top down. But more on that next time; until then, wishing you continued small business success—safely! Dawn Haynes, the Toolbox Diva™, is the CEO, (Chief Empowerment Officer) of 2EmpowerU, (formerly Fight or Flight Self Defense). You can contact Dawn by email at dawn@2empowerU.net, by phone at 713-298-6301, or visit her website at www.2empowerU.net.

EDITORIALFEATURE

Financial Astrology for

September 2014 By Christi Ruiz, Business Spiritual and Intuitive Life Coach

ARIES (March 21 - April 20)

Make your financial decisions instinctively. That will assist you in economic growth and move you forward in your goals. Invest time on strategies for your financial plan. Watch for quick changes that you will need to make.

TAURUS (April 21 - May 21)

There are no challenges at this time with work and earnings as they will flow easily. Focus on creating relationships of influence. Do not try to buy friends. That will lead you only to frustration. Know that you can only truly rely on yourself.

GEMINI (May 22 - June 21)

There are many power struggles with those around you. For now, focus on your finances; the planets will move at a later date. This is a good time for new opportunities for any type of homebased projects and also opportunities for a summer home or second home.

CANCER (June 22 - July 22)

Mercury and Uranus can cause unpredictability in work or business. This will only bring new opportunities. Be ready to grasp the earnings. You will feel the assistance of Uranus bringing you success.

LEO (July 23 - August 22)

The Sun and Venus get together to bring moneymaking opportunities. If you maintain your focus and are diligent, the money will pour into your pot of gold. Seek mentors that you need. Do not be tempted to squander your money.

VIRGO (August 23 - September 23)

Now is the time for strategies on economic wellness. Investments need to be reviewed as well as loans and interest. Implement new ideas and turn them into action. Plant the financial seeds for next year.

LIBRA (September 24 - October 23)

Mars gives you the drive to start a new business or venture. Mercury will make you shrewd with

your investments. You may need to invest time in evenings and weekends for now but your reward will be that of financial stability later.

SCORPIO (October 24 - November 22)

Find and close all the financial leaks and hold onto your assets. You will be going through a rough ride until the end of October. New financial opportunities will arise at that time.

SAGITTARIUS (November 23 - December 21)

With the Sun and Venus working together in harmony, the finances will continue to flow without much effort. You will do well in having a balance between competition and ambition which will help you get the most out of this time cycle.

CAPRICORN (December 22 - January 20)

With Jupiter in your financial zone, windfalls, dividends, and loans will surprise you. Since opportunities will be coming so easily, be careful not to overextend yourself. Make your projections as investments for the future.

AQUARIUS (January 21 - February 19)

The Full Moon brings many financial blessings to help you end your money problems. Do not take this cycle for granted or abuse its power. If you do, you may end up in more financial straits than before the cycle.

PISCES (February 20 - March 20)

Be careful not to allow your ego to rule over your logic in your business and career relationships. Keep your nose to the grindstone and focus on releasing debt. Uplifting Jupiter makes a good influence with Uranus for your finances at the end of the month.

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

[ SEPTEMBER 2014 ] www.SBTMagazine.net 37

EDITORIALFEATURE

The What, When, & Why -

Agreements, Applications, & Contracts By Craig Kaiser

new White House report, Making in America: U.S. Manufacturing, Entrepreneurship, and Innovation (6/2014), states that new technologies are making it easier for entrepreneurs to turn their ideas into products. In fact, the U.S. is manufacturing at its fastest pace in over 20 years. According to Forbes Magazine, Houston ranked as the No. 1 city for manufacturing jobs with San Antonio at No. 4. Retaining the value in this expansion of innovation requires the effective use of agreements, applications, and contracts.

Certain questions should be answered throughout the cycle, from R&D through taking the finished product to market, including: Before the birth of any new innovation -

• Who will own the new innovation? (company, inventors, investors) – assignment agreement • Is the inventor contracted to another party by way of previous agreement? • If the inventor is an employee, did he/she sign an agreement giving that company rights to their innovations? • If no longer employed, is inventor contractually obligated to relinquish innovations for set time to prior employer? • Is there a need for secrecy to preserve the innovation value? (employee, vendor) – trade secret/NDA • If new company owns the innovation, is its leadership structure defined? – corporate papers • Is there intellectual property to protect? - patents, trademarks, copyrights, trade secrets

Preparing the innovative product to hit the market -

• How will the product be marketed and to whom? - sales team, distribu-

Many a company has met its demise before taking flight due to lack of clarity on ownership. torship, wholesale, licensing, each an agreement Will this innovation be branded? New Company? - trademark filing Website? - file copyright Manuals? – file copyright Planning on exhibiting or selling the innovation? - Do not talk about your innovation at a conference or in an article for publication prior to filing a patent application. Are there liability or warranty issues? – protected by agreements

• • • •

•

After the product has been introduced -

• Are there Improvements to the original innovation? – file patent • Is there any infringement on your registered trademark, issued patent, or copyright filing?

Here are just a few examples of what can happen if innovations are not properly protected:

1. Trademarks

By failing to file for trademark protection on a name or mark, another party could file an application for your name or mark and, once issued, prevent you from using your own unprotected name in commerce and forcing you to re-brand. Simply filing a company name with the state when setting up a business does not mean you own it.You do not own the name.

2. Theft

Even though you pay an employee to

38 SMALL BUSINESS TODAY MAGAZINE [ SEPTEMBER 2014 ]

develop an innovation or product, inadequate contractual relationships may allow the employee to steal and sell it. Failure to maintain secrecy in a trade secret that is developed and not obtaining assignment of rights or non-compete terms can all result in an inability to protect what was developed from misuse. Not only could you lose your innovation but you could also lose the time and money that went into its development in addition to the time and costs of a court battle. Likewise, an unscrupulous vendor not under the proper contract could take your idea and sell it to a competitor.

3. Loss Due to Confusion

Many a company has met its demise before taking flight due to lack of clarity on ownership. Poorly defined ownership and leadership roles can result in hopelessly deadlocked organizations that are unable to move forward. Defining and documenting roles and rights well prior to investing the resources and realizing the value is essential. Any company should have a trusted corporate counselor who is capable of helping think through the questions above and providing strategic advice. Timing is critical. Engaging legal advice early versus reacting late can identify business options, increase the value of a company, and save the company both time and money. As a corporate lawyer and counsellor for the past 28 years, Craig Kaiser, Managing Partner and Corporate Legal Counsel for Phillips & Reiter, has served as a trusted legal advisor to a broad range of businesses, delivering practical legal advice to organizations worldwide. Craig can be contacted by phone at 713-7846800, by email at ckaiser@outsourcegc.com, or visit his website at www.outsourcegc.com.

EDITORIALFEATURE

Entrepreneurs Tool Box-

Beware of Legal Exposure with Joint Ventures By Alvin E. Terry, MBA/Business Consultant

wo business owners with a synergistic business relationship realize that if they combine resources and skill sets they could be able to capture a share of two markets and add value to other businesses and consumers as well. “What a great idea,” they thought amongst themselves. “Let’s form a joint venture, fulfill a niche in the marketplace, and attack.”They believe that they can reap the benefits of an untapped revenue source, add value, and create a win-win situation for all.

Scenario:

• One company has the expertise in technology to reach all kinds of businesses by engaging not just through social media but engaging in all available media avenues and already established business platforms. • The other company has seasoned management expertise with many years in banking, finance, and consulting. The company was engaged in teaching small businesses how to succeed and avoid failure. On the surface, it seems to be a perfect match but in order to move forward they mutually agreed to form a joint venture and become a legal entity. The ground rules were drafted with clearly defined areas of responsibility. One company will serve as the management and financial side of the venture and the other company will serve as the operations and technical side of the daily operations. One side brings a sales team of independent contractors ready to sell their combined products and services. Suppliers have been identified and service agreements are in place. A product catalog is printed and the combined website has been updated

with great graphics, music in the background, multiple purchase options, and a shopping cart. Delivery systems of the products and services have been set up and they are ready to start the marketing phase of the business. This takes from 60-90 days to set up and implement. A new office location has been found in a “Class A” office building and a one year lease has been entered into with multiple renewal options. The new office buildout takes 3 weeks. Anticipation of growing a successful business is the primary focus at this time. A business plan is written which will serve as a road map for all to follow. At this point a lot of man hours, intellectual capital, and finances have been invested. Those are investments that cannot be recouped. All is well, so that it seems. One of the joint venture partners suddenly experiences a family emergency with a life-threatening outcome. That partner decides that the emergency should take priority and decides to go out-of-state to focus on and give support to that situation. The remaining partner understands and decides to have patience before launching the marketing and sales campaign. The key component is the sales team which needs hands-on training and guidance on a daily basis. This is the responsibility of the now out-of-state partner who assembled the sales team. That partner seems to think that the sales team can be successful through morning sales meetings which will include directions and email instructions that will include inspiration and motivation. The other partner does not know the sales team members and cannot get any feedback from any of them in the form of weekly meetings.

40 SMALL BUSINESS TODAY MAGAZINE [ SEPTEMBER 2014 ]

This does not work for the sales team because that partner is not physically present. Enthusiasm dissipates, communication feedback from the sales team evaporates, and the sales team vanishes. The away partner decides to permanently move outof-state and disconnects all forms of communication. The remaining partner is stuck with the lease and all of the outstanding bills because of personal guarantees.

“Lessons Learned”

• Have “Key Man Insurance” just in case one partner becomes incapacitated. • Have Business Interruption Insurance. • Have adequate funding in the bank to cover all expenses for that venture period. • Hire a business attorney to draft the venture agreement. • Get a banker involved. • Obtain personal and business credit reports. • Check business references for both parties. • Obtain current bios and résumés. Then check them out. • Do not form any type of business based on trust and a person’s word with a hand shake; those days are gone. A joint venture is exactly what it says; it is a venture but it still is a business that can have other business responsibilities tied to financial obligations. I sincerely hope that this message will serve as inspiration and education for you as a small business owner. Alvin E. Terry, MBA, President of Dynamic Business Builders can be contacted by email at alvin.terry@ rocketmail.com or by cell at 713-392-9107.

»Continued From Page 12 The More You Learn, The More You Earn and Knowledge is Power Perhaps you are not sure about speaking up in a meeting, at church, or in any group situation. Take a class in public speaking and learn the techniques that allow your brain and body to work together in tandem to relieve the nervous jitters. Learn the correct posturing for public speaking and then, practice, practice, practice! Being in front of a group and speaking easily adds credibility and strength to your image. When in the situation of being interviewed for a new position or a promotion, having a steady voice, not being shaky, and having posture in the right position, you have just added extra strength to your getting the new promotion. When you embark on a new career, you need to know all about the job requirements and what typical tasks are involved in that area of business. Reading, asking questions, and training will allow you to understand the day-to-day expectations, demands, and benefits of that career. When you have this knowledge, you feel more in control of yourself during your working hours. The team of associates you interface with will feel the confidence you demonstrate and they too will know that if they are away from the office, you will help keep everything running smoothly. Everyone appreciates a person who demonstrates self-confidence. The more you learn, the more valuable you become and the more valuable you become, the more you earn. Knowledge is power in that it allows you to become the “go to person” for your customers and team of professionals. The person with the knowledge is the one a company never wants to lose. Rita Santamaria is the owner of Champions School of Real Estate and Champions Professional Development. For more information, go to www.ChampionsSchool.com. Champions School of Real Estate since 1983 and 2013 BBB Award for Excellence in Business.

42 SMALL BUSINESS TODAY MAGAZINE [ SEPTEMBER 2014 ]

»Continued From Page 13 5 Undisputable Reasons to Overcome Email Resistance They spend hours in research for every purchase. In fact, in the B2B world, multiple decision makers are doing research and can make or break your ability to influence. With email marketing as part of your sales process and the CRM involved in the delivery, data, and dissemination of information, you can deliver the individualized experience your sales lead demands. Without this level of marketing automation, it would be almost impossible to give them what they want.

Craig Klein is the founder/CEO of SalesNexus.com which is a leading provider of CRM, email marketing, and lead generation solutions for business-2-business sales teams.

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32 Aaron Kaplan-The Kaplan Champions School of Business Project, LLC Development

22 CALM-Cheesecake Champions School of Real Estate Ala Mode 12 1 Champions School of Business Digital Cloud Services 25 Development Elite Limo Houston 17 10 Champions School of Real Estate Gibson Pharmacy INSIDE Dosey Doe 31 BACK COVER 12 G7 Gwen Juarez Photography

31 Juarez Photography Houston Custom Gwen Wall Coverings 44 INSIDE MinorityHouston Houston Supplier Minority Supplier BACK COVER Council Development Council Development 19 23 Kaya Redford Coaching Houston Northwest Chamber ofSuccess Commerce 22 23 Landmark Houston Northwest Hospital Hospitality Group 25 /Mr. Peeples Restaurant Howard Partridge 31 17 MJWJ Talk Radio MJWJ Talk Radio 39 Main Street Chamber of Commerce 44 SMALL BUSINESS TODAY MAGAZINE [ SEPTEMBER 2014 ]

SEPTEMBER 2014 EDITION HOUSTON Methodist Hospital

33 My Body Restore Main Street Chamber of 41 Commerce Nerium 33 14 MasterWord Services RushMed Pharmacy 35 35 My Body Restore Sales Nexus 43 35 NAWBO Seamless Industries/Small Business Expo 4 35 NicholasEarth Printing Small Business Today BACK 29 Nerium Magazine Radio Show COVER 34 Sales Nexus Sunshine Personnel Solutions

BACK Small The Bougainvilleas Business Today 27 COVER Magazine Radio Show Transportation Diversity Council 2 19 Sunrise Custom Home USA Cabinet Company Ltd 17 33 Terry Bruner Law Firm Virtual Intellegence Providers 35 4 WBEA Xerox Corp (Full Page) 11 INSIDE Westpark FRONT COVER Communications Westpark Communications INSIDE FRONT COVER