Entrepreneur Spirit Caribbean: Issue 2 by Stacy Phillips

Demystifying the Stock Exchange. What’s in it for SMEs?

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Issue 2/2012 entrepreneurspirit.org

Innovator’s DILEMMA

When companies resist change

GET FUNDED Know Your Finance Options Branding

8 Tips for creating effective brands

PLUS:

Jamaican, Bajan & Trini Entreps.

ISSN 2227-1791

MEET

Nigel R Khan

From home office to thriving chain of bookstores this bookseller shares his secrets for success.

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Contents Inspiring innovation . Provoking growth

DEMYSTIFYING THE STOCK EXCHANGE T&T Stock Exchange CEO explains the benefits for SMEs.

JAMAICANS MUSIC.COM GOES MOGUL

From a pet project to over 2 million followers Alex Morrissey’s has made regional history with his Jamaicansmusic.com website.

44 EDUFOCAL JAMAICA By fusing education with online gaming 21 year old Gordon Swaby is making learning and exam preparation, fun and interactive for students.

30 COVER STORY

The Bookseller: Profile of a successful entrepreneur. Nigel R Khan on how he built a leading chain of bookstores.

46 SIPS OF SUCCESS

Barbados’ only mobile smoothie bar serves up delight and fun.

52 TROPI MULCH The makings of the Caribbean’s first premium brand of mulch.

LA ROSA COUTURE High end small batch garment production for regional designers.

50 CAFE MARRAKESH Is what happens when a Zimbabwean anthropologist and a Trini CSR join forces in catering.

4 EDITOR’S OUTLOOK 6 CONTRIBUTORS 8 TEAM ESC 10 NOTES TO EDITORS 12 BOOKSHELF 24 ASK A PRO 42 WI ENTREPRENEURS

14 BRANDING

26 TRAITS OF

40 WEB SECURITY

8 Tips for building an effective brand. By Acacia De Verteuil

SUCCESSFUL ENTREPRENEURS

16 INNOVATOR’S

& how you too can acquire them. By Stacy R Phillips

Tips for keeping hackers out of your personal information.

DILEMMA When great companies reject change. By Balraj Kistow

18 GOT FUNDING Assessing funding is very possible but you must understand your options. By Andy Salandy

By Shawn Mohammed

28 BALANCING ACT

54 PEOPLE

The importance of balancing family and business.

Critical to an Entrepreneur’s competitive advantage.

By Kimberly Gay

By Shane Ram

38 DOTTING YOUR

56 MARKET RESEARCH

DIGITAL Is

How to ensure customer satisfaction and retention.

Advice on maintaining an effective online brand presence. By Janessa Mckell issue . 2012

By Kheron Arthur

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Editors’ Outlook

Discover Your Entrepreneur Spirit

ver the last few months we received your words of encouragement, emails of congratulations and letters of endorsement all of which have fuelled our efforts. We take this opportunity to express our heartfelt appreciation and commitment to inspire you and provide information to aid your growth. We would also like to express our appreciation to the six issue one entrepreneurs and wish them continued success and also send a special thank you to the cover feature entrepreneur Michael Evelyn and his family. Together Michael and his family truly embody the essence of family in business. For this issue our writers were charged with the mission to help you discover your Entrepreneur Spirit and to embrace the idea that the growth we desire in business is limited only by the extent of our own efforts. With this in mind we turned our attention to the importance of our family lives, the dilemmas our innovators face and the fact that funding isn’t an insurmountable challenge once you realize the numerous options. We also went in searched of the spirit of innovation and discovered inspiring businesses in Barbados, Jamaica and Trinidad and Tobago, all of whom proved that entrepreneurship is alive and thriving in the Caribbean. Special attention was given to Caribbean stock markets,

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Cover Photography by Ki.ne.sis Studios

which are not traditionally seen as trading grounds for entrepreneurs. However, recent developments in Jamaica and Trinidad and Tobago have created a tremendous opportunity for SMEs. Inside this issue Mr. Wain Iton, Chief Executive Officer of the Trinidad and Tobago Stock Exchange elaborates on these new provisions as well as the benefits of private companies going public. Entrepreneur Spirit Caribbean would never be complete without our staple dose of inspiration. Nigel R Khan, an established bookseller, motivator and this issue’s cover feature personifies the word perseverance. He shares his life’s work, his challenges and how he has been able to develop a leading chain of bookstores in the English speaking Caribbean.

“Potential can be maximized if we are willing to go beyond our fears to overcome the norms and opinions of society, to hurdle the fabricated barriers of prejudice and to defy the naysayers.” -Dr. Myles Munroe. It is our hope that our contributions in this publication continue to be a source of inspiration and education toward greatness in Caribbean businesses. We also encourage you to patronize the featured entrepreneurs, all fourteen of them thus far and support their respective journeys. Some say “buy local” we say “buy Caribbean”.

EDITOR IN CHIEF / FOUNDING EDITOR: Andy Salandy asalandy@entrepreneurspirit.org

Buy, build or upgrade your business premises More staff, more equipment, more customers, but no more space. Are your business premises reflecting the image you wish to present to the world? You may need to: • Buy the property next door for your warehouse or parking • Expand or upgrade your existing premises • Design and build the perfect facility for your business

Ask about our Business Premise Mortgages: • Up to 15 years for repayment • Competitive interest rates • No maximum amount Call one of our Vice Presidents - Business Banking at 625-7288 • Trinidad East & Central/Tobago • Trinidad South • Trinidad North

We understand real estate lending. We help small, medium and large businesses upgrade, purchase and build their business premises.

Sharon Maharaj ext. 5768 Judy Kalloo ext. 6405 Patrick Kelly or Karen Chang ext. 2321 and 2351 respectively

Special conditions apply Subject to normal lending criteria The cost of borrowing will be made available upon application ® Registered trademark of Royal Bank of Canada. Used under licence

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. entrepreneur spirit caribbean . 5

Contributors

Shane Ram Shane is a Human Resource and Business Consultant, Coach and Author. He is an expert in strategic management, business management, human resource management, leadership development, organizational change, coaching, and ebusiness. With experience in the Energy, Telecommunications, Banking and Technology industries Shane has worked in the UK, South Pacific, Central and South America as well as several Caribbean nations

Acacia De Verteuil Acacia is a certified marketing professional from the Chartered Institute of Marketing. An avid socialite and philanthropist she is a member of the Limin’ Professionalz: The Syndicate and founder of Victory Artistry a company specialising in Carnival aesthetics and Caribbean fashion.

Kheron Arthur Graduate of the Arthur Lok Jack Graduate School of Business in Trinidad, Kheron holds a Master of Science in Marketing as well as a Bachelor’s degree in Agribusiness management from the University of the West Indies, St Augustine. He brings to ESC his own brand of flair and enthusiasm for business innovation and creativity.

Shawn Mohammed Shawn is a Director and Head of Systems at Kirton Communications Group Limited. He is an IT professional with ten years of successful, progressive experience in number of different network environments.

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Kurtis Hinds Based in Barbados Kurtis is a trained media practitioner with over 14 years experience. Having worked with top media houses in Barbados he branched out on his own 4 years ago and is now one part of the dynamic A-Team Productions Unit and while the fictional A Team’s job was to save the world, Kurtis’ plan is to take it over. His motto: Problems are great opportunities waiting to be discovered.

Balra j Kistow Balraj is a lecturer at the Arthur Lok Jack Graduate School of Business. He teaches courses in Caribbean and International Business Management, Financial Management and Accounting in the International Master of Business Administration (IMBA) programme. He holds an MSc. in Management Studies from The University of the West Indies, a BSc. Management Studies, and is pursuing the Doctor of Business Administration.

Janessa Mckell Janessa is a designer and brand enthusiast who conceptualizes and applies communicative themes and aesthetics within all of her advertising or branding projects. She has been a Graphic Designer since 2002 and has worked as a Senior Designer as well as Design Manager for numerous large and small organizations. She now sits at the helm of her own 6 year old brand management consultancy, greenInk Ltd.

Kimberly Gay Kimberly holds a Master of Science in Industrial Innovation Entrepreneurship and Management from the University of Trinidad and Tobago and she is also certified in Incubation by the Entrepreneurship Institute of India. Kimberly has a special passion for entrepreneurial development that is evident in her holistic approach and care for start up businesses.

Team ESC

Andy Salandy (Editor in Chief / Founding Editor) A Chartered Accountant by profession, Andy has over 10 years experience in banking, financial services, energy, tourism & hospitality, construction and project management. A member of the Association of Chartered Certified Accountants and the Institute of Chartered Accountants of Trinidad and Tobago, Andy is also a financial consultant for several regional organizations in the areas of small and micro enterprise development, strategic planning and anti-money laundering.

PUBLISHER

MAS Financial and Corporate Services Ltd. FOUNDING EDITORS

Andy Salandy Stacy Phillips EDITOR IN CHIEF

Andy Salandy CREATIVE DIRECTOR/ DESIGNER:

Stacy R Phillips (Creative Director / Founding Editor)

Stacy R Phillips

A Mass Communications Specialist with over 14 years experience, Stacy is a graduate of the Barbados Community College & the University of the West Indies, with degrees in Mass Communications and Linguistics. Currently a practising visual communicator, her career has spanned management, journalism, advertising, publishing, strategic branding, marketing and television production. She has also managed several SMEs both in Trinidad and Barbados and spearheaded advertising and philanthropic campaigns for large regional corporations.

EDITORS/ PROOF

Stefan Simmons Bernard Joseph PHOTOGRAPHY

Kinesis Studios Randy Richards Andrew Browne Nigel Thompson

Ki.ne.sis Studios (Photography) Kinesis Studios is a provider of photography and video services, primarily to the business community. Although the company is in its infancy stage, it is managed by directors well versed in running small to medium businesses such as the largely successful Yaisa Tangwell Photography. With a staff of 5 and a fast growing client base, Kinesis Studios is quickly becoming the next big commercial photo and video studio in Trinidad and Tobago. (In photo Keevan Chang On) Like them on facebook @ www.facebook.com/Kinesisstudios

CONTRIBUTORS /WRITERS

Safiya Noel, Crystal Gay, Kheron Arthur, Venishea Paynter, Janessa Mckell, Andy Salandy, Stacy R Phillips, Shane Ram, Kurtis Hinds, Roger Kirton, Shawn Mohammed, Kimberly Gay, Balraj Kistow, Maurice Xavier, Acacia De Verteuil.

CONTACT INFO

For all queries, marketing and advertising email: Info@entrepreneurspirit.org or call 1-868-221-0321. Randy Rich ards (Photography) A graduate of the University of Technology Jamaica with a BSC in computing and IT, Randy is a versatile creative having been involved in many activities from professional dancing, singing, playing guitar in bands, skateboarding and riding freestyle bmx. Pursing photography for the last three years, he specializes in commercial, fashion, portraiture, wedding and event photography. You can find Randy on Facebook: www.fb.com/randyrichardsphotography.com

ESC DISCLAIMER The copyright of ENTREPRENEUR SPIRIT CARIBBEAN MAGAZINE belongs solely to MAS Financial & Corporate Services Ltd. While every reasonable effort has been made to ensure the accuracy of all material published, Entrepreneur Spirit Caribbean cannot be held responsible for any errors or omission in the aforementioned content. Entrepreneur Spirit Caribbean is published by MAS Financial & Corporate Services Ltd., #50 Swami Avenue, Barataria, Trinidad & Tobago. No part of this publication may be reproduced in any form

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Andrew Browne (Photography)

by any means, electronic, or mechanical, including

A freelance photographer, Andrew’s passion for photography developed a few years ago when he was given an old Nikon 990 to use while on vacation. Since then he’s done work with several media houses in Barbados and has developed an eye for portraiture and event photography. His images aim to capture emotion, share a story and inspire response. Find Andrew on Facebook: www.fb.com/andrewbrownephotos

photocopying and recording for public or private use,

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Notes to Editors

AN E KEEPER Great initiative! Whenever I see the word “Entrepreneur” being used I am never quite sure whether that covers us professionals. I am a corporate lawyer with my own firm in St. Lucia… I looked through the mag from cover to cover and think you have an e-keeper!. Natalie

St. Lucia

A MUST READ Notes on ESC Issue #1

AWARE OF POSSIBILITIES I want to take the time to say that I have found your magazine to be extremely helpful and motivational. While reading your various articles on business entrepreneurship I became aware of the possibilities before me. I have no background/ qualifications in business but would like to educate myself in the topic. In your article, you mentioned of opening a business with love and passion in mind. I am only 20 years of age and know that I have my whole life to learn but on the other hand, I do not want to waste any time.

Trinidad

CONGRATULATIONS Congratulations on your very impressive ESC initiative. Dr. Springer

Barbados

GOOD

Brenda Trinidad

Good. Look forward to reading other issues. Morton

VERY IMPRESSED

United Kingdom

Hi, I saw your magazine in a dentist office and I was very impressed. How may I subscribe for it on a regular basis. Mark

Trinidad

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I purchased some books at Nigel R Khan book stores and received a copy of your magazine. I was not able to put it down since I started reading . Your magazine is a must read for entrepreneurs like myself I particularly enjoyed the testimonials from the 6 W.I. entrepreneurs ‘ very inspiring” Your magazine is a valuable tool. I look forward to issue #2. Lionel

issue 2 . 2012

GOOD GOING Good going, any initiative that supports entrepreneurs and an entrepreneurial spirit ought to be supported. Entrepreneur Spirit Caribbean does just that. Keep up the good work! Judith Trinidad

WELL DONE An excellent-looking magazine that is informative and innovative. Well done. Deborah United Kingdom

GOOD ADVICE This was a very well put-together magazine. I enjoyed the articles and garnered some good advice. I wish you continued success! Gillian Trinidad

we’d love to hear from you. :)

tes

our no Send y info @

to pirit.org reneurs p e r t en

GREAT MAGAZINE Great magazine - would be interested in having St. Lucian creative entrepreneurs featured. Finola St. Lucia

On Facebook: facebook.com/ESCmag Find us online @ entrepreneurspirit.org

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Bookshelf

Decoding the Mind, Business & Success 3 BOOKS THAT MAKE YOU THINK AGAIN

BLINK by Malcolm Gladwell

Decisions, decisions, decisions… Some decisions are easy... “Should I ride a roller coaster without a harness?” Some decisions are harder… “Should I accept this proposal from this supplier or the other?” Either way, all decisions require some measure of thought. How we think as individuals determines how fast we decide and if those decisions are the correct ones, and someone may make snap decisions, based on nothing more than ‘their gut’. This is a simple example of what Malcolm Gladwell discusses in “Blink”. He shows that there is actual science and fact to back up the legitimacy of making snap decisions, and illustrates that, done correctly the snap decision can always be the correct one. The human brain in all its wonder, actually knows which decision is right long before our conscious mind.

BUYOLOGY

TIPPING POINT

by Martin Lindstrom

by Malcolm Gladwell

In Lindstrom’s 2008 offering the acclaimed marketing guru explores the field of neuro marketing in an effort to understand why we buy and how our brain responds to marketing stimuli. Shattering preconceived notions to questions such as “What motivates us to buy?” and “Which gimmicks influences us the most?” He shares a series of cutting-edge experiments, which provided many interesting conclusions such as;

Tipping Point is an exciting exploration of why some ideas, behaviors or products start epidemics and other don’t. It also looks at ways to deliberately start positive epidemics of our own.

• •

•

Sex does not sell but distracts attention from products. Warning labels on cigarettes actually stimulate a smoker’s cravings. Successful brands function like religion. Traditional advertisements no longer creates viewer recall of a product. Subliminal advertising can be highly effective, etc.

Using a number of real world examples Gladwell illustrates three main principles of social epidemics. (1) The Law of Few. Here he attributes the success of social epidemic to the efforts of three types of people the connectors, the mavens and the salesmen. (2) The Stickiness Factor. This relates to the impact that something has. He elaborates that simple changes in presentation of an idea can make it more sticky in the minds of the receivers. (3) The Power of Context. Here he purports that social epidemics are sensitive to context, time and place in which they occur.

All books in our bookshelf are available from branches of Nigel R Khan Bookselllers. See opposite advertisement for more info on NRKB. 12 . entrepreneur spirit caribbean .

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The Falls West Mall Long Circular Mall Ellerslie Plaza Price Plaza Grand Bazaar .â&#x20AC;&#x2030; â&#x20AC;&#x2030;.13 Pricesmart Compound, La Romaine Gulf City Trincity Mall Henry St. Lowlands Mall,Tobago Warehouse, Marabella issue . 2012

entrepreneur spirit caribbean

Branding By Acacia De Verteuil

8 Tips for creating an effective Brand Branding is the key identifying factor of any product or service. The strength of your brand is dependent on several factors both internal and external to your organization. We have briefly explored some of these below:

Brand Naming

Consistency

A brand’s name must be appropriate to the company. It must appeal to the target market and capture the personality of the product or service being branded.

Brand name and design should articulate a single consistent message. It is important that even the smallest of companies develop and maintain brand standards. Brand standards are a set of design rules for your logo, slogan, graphics color etc and tie together and keep consistent the look and feel of all your marketing materials. It also aids in maintaining your brand’s individuality.

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Personality A brand should have a personality, if it were a person what type of person would it be and what type of people would it attract. Consumers make emotional connections to the products they buy. Personality is shown by colors, type of packaging, scents, textures, fonts, taste a various elements that go into creating the concept of the brand.

Color

Choice of color can go a long way to establishing a strong brand. Studies have proven that all colors have a emotional impact on the customer. It is important that this is understood in branding to ensure you are sending the right message to your market

Appropriate

Sensory Appeal

Brand activity must be congruent to the overall vision and objective of the company. It must fall in line with brand guidelines, target market and product or service concepts.

Paying special attention to and creating new and innovative opportunities for consumers to interact with the product or service can greatly boast your brand’s appeal.

Dynamic Though brands should not change with the season, they must change with the times. An old logo may seem safe, however in order to expand and to maintain relevance, brands must be able to seamlessly transform or progress to appeal to the ever evolving market and its players.

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Memorable

Whatever the brand, it must stand out! It must be unforgettable. Your message should be clear in your logo and tag line. It must radiate and be easily identifiable and must answer the customer’s question of “what is in it for me?”

PHOTO + VIDEO

ki•nestudios •sis Tel No: (868) 222-5963 Email: info@kinesisstudios.com issue . 2012 . entrepreneur spirit caribbean .15 Website: www.kinesisstudios.com

Guest Column By Balraj Kistow

The Innovator’s Dilemma WHEN GREAT COMPANIES FAIL TO EMBRACE AND UTILIZE CHANGE AND CHANGING TECHNOLOGIES.

odak, one of the leading names in photography, filed for Chapter 11 bankruptcy protection on January 19th 2012 in New York. George Eastman, a high school drop out, from upstate New York, founded the company in 1880 and began making photographic plates. By 1888, the Kodak name had been trademarked, and the company had introduced the hand-held camera as well as the roll-up film, where it became the dominant producer. Along the way they created famous cameras such as the Brownie, (launched in 1900 and sold for $1), and the Instamatic in 1963. A Kodak camera was used on the Apollo 11 mission in 1969 and was also used by the astronauts to film the lunar soil from only inches away, according to NASA. Its films have been used on 80 movies that have won Best Picture Oscars, according to the company. The name is so synonymous with photography that it is common-place to refer to great photo ops as being a “Kodak moment”.

MISSED OPPORTUNITY The Kodak company has dubious distinction, especially among

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business school students, as being the classic example of what can happen to companies who do not embrace change and fail to seize innovative opportunities. In 1975, one of Kodak’s engineers, Steve Sasson, worked on a project for 11 months to create the first digital camera. They continued to work extensively on digital and patented numerous technologies, many of which are built into the digital cameras of today. Their fatal error of judgment was that the company feared that the digital cameras would cannibalize its major film business and management, and according to

one past Kodak executive they “ensured that digital stayed in the closet”. The company eventually showcased it first digital camera, the DC40, in 1995, years before others would get into the digital game. However, they were so steeped in films and the cannibalization of films that they did not capitalise on their first mover advantage. Other companies such as Nikon, Sony and Canon quickly filled the niche, and by the time Kodak finally decided to rev up its digital effort in 2001 with its Easy Share line, it was seen as a lagging new comer to the market. By then its rivals were busy innovating over the years with enhanced features such as face detection, smile detection, and in-camera red-eye fixes. Kodak, while putting out competent products, was always following feature trends, never leading them. Here was a company who was digitally light years ahead of the competition and now struggling to even stay on par with the market.

THE DILEMMA The path of Kodak can be largely explained by what Harvard Business School scholar Clayton Christensen calls the innovator’s dilemma. In his book “The Innovator’s Dilemma: When New Technologies Cause Great Firms to Fail” he put forward three major findings:

(1) Sustaining technologies are different than disruptive technologies. (2) The pace of progress often precedes the market’s awareness of the need (3) Structures of companies color the choices and investments they make Sustaining technology is defined as the incremental improvement of established technologies. Disruptive technology is a new concept of value. Christensen contends that managers faced with disruptive technologies fail their companies when they let organisational forces overpower them.

PRINCIPLES OF DISRUPTIVE TECHNOLOGY Christensen proposes Five Principles of Disruptive Technologies, which can be related to the Kodak situation: 1. Companies depend on customers and investors for resources. Customers drive internal decision-making because companies are resource-dependent. For Kodak its bread and butter customers were in films. They saw anything that disrupted its films business as being bad, as executives were more likely rewarded on their performance in film. 2. Small markets don’t solve the growth needs of large companies. Large companies are not interested in small emerging markets, and they wait too long to enter. Digital technology was in its embryonic stages in 1995. The market was untested and did not promise

“Innovators need to find a customer need, a niche, develop the marketing, and create a new distribution model.” the growth needs that executives were supposed to meet. 3. Markets that don’t exist cannot be analysed. It is difficult to measure new-market potential and companies steeped in the known may write of these potentials as being unwarranted risk. 4. An organisation’s capabilities define its disabilities. An organisation is defined by its resources (people), processes, and values (RPV). New organisations spawn new processes aligned to new requirements. When integrated into the larger organisation, these processes are subsumed. New resources, especially people, plugged into old processes and values, do not constitute a change-capable organisation. 5. Technology supply may not equal market demand. The weaknesses of disruptive technologies are their strengths. These are not technological issues, but marketing to new needs. Like Kodak, many established companies do not foresee the market demand for the new disruptive technology and ignore it until it is too late. Microsoft’s decline in sales for its core operating system could be partially blamed on the company’s slow move toward the growing “tablet PC” market.

MANAGING DISRUPTIVE TECHNOLOGY How can companies manage disruptive technology so that they do not follow the path of Kodak, DEC and Sears? Christensen suggests

that companies should embed the disruptive technology in a new and different organisation. In this way they are better able to avoid the processes and values of the parent body but have access to the resources of the parent. Small entrant firms also enjoy protection because they are doing things that do not make sense to the industry leaders. As markets for disruptive technology are unknowable, managers should plan to learn and discover, not plan to execute. In this situation failures are more apt to occur. Companies should use trial and error to ensure that when failure occurs it is early and inexpensive. At the same time they should look for small wins and celebrate such. Having innovation in a small unit makes these wins more significant than in the larger unit. The disruptive technology should be aimed at new markets. Innovators need to find a customer need, a niche, develop the marketing, and create a new distribution model. The lesson of Kodak is relevant not only to companies but also to individuals. Many times we see the need for change but we are so comfortable in our own space that we ignore reality until it is too late. According to Thomas Friedman, “in the flat world of today what can be done will be done. The only question is would it be done by you or would it be done to you.”

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Finance By Andy Salandy

Got Funding! KNOWING AND EXPLORING SOME AVENUES FOR ACQUIRING FUNDING

re you in business or about to start, but you don’t have the finances required to make your dreams a reality? Fear not, there are many safe avenues to get the funding you need to realize your vision.

COMMERCIAL LOANS Commercial loans can be quite beneficial to businesses as they allow the business to receive a lump sum of cash at the onset with the ability to repay periodically smaller amounts over a long term. It gives the business the opportunity to manage its debts whilst having the funding necessary to acquire the resources for success. These are usually difficult to obtain from commercial banks as the risk of default is high because of the long term repayment horizon. Remember commercial banks grant loans with the funds we deposit and it’s the interest charged on these loans that enable them to pay us interest on our deposits. It is for this reason loans are seldom granted to persons who are unable to demonstrate the following key criteria;

LACK OF FUNDING Many of the most innovative business ideas are never started due to the lack of funding while others may commence with limited funds but the increased risk of failure as cash challenges become the norm. Contrary to popular belief and fortunately for Caribbean people there are several legitimate avenues for an Entrepreneur to obtain the necessary funding for his business plans. From commercial banks and credit unions; government entrepreneurial initiatives; venture capitalist and even your very own family and friends can be providers of finance.

OPTIONS The most common and first option explored by business owners is usually to obtain either an overdraft, commercial loan or some facility from their banker. The requirements for commercial banks are quite rigid but very necessary to not only safeguard the finances of their depositors but to also ensure that the intent for this facility will

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achieve the positive result for your business. It is important as a borrower that you ensure you are committing to the right type of facility to suit your need. For example to purchase a vehicle or machinery with funds obtained from a bank overdraft is a definite mistake. Bank overdrafts are short term high interest financing and are better suited for bridging the gap between product or service delivery and actual receipt of income. The rule of thumb with overdrafts is to ensure that the intent of its use will result in cash inflows to the business in the short term operating cycle.

(a) The ability to repay; (b) the ability to secure or provide collateral of at least 70% of the amount to be borrowed; (c) that the business owner has invested at least 30% of the finance required from his personal funds. The ability to repay is obviously essential. This is evidenced by many factors that include a feasible and carefully structured business plan, a sustainable activity, evidence of

“The first sign of an Entrepreneur’s commitment to their business is his or her financial investment. This is why it is advised that at least 30% of the required capital for any venture should be invested by the ownership.” knowledge and capability of persons involved and existing debt service commitments. The bank will also like to know that should you default for any particular reason that they have some measure of recourse hence the need for collateral that can be liquidated to recoup the amounts outstanding. It is lastly very important that business owners understand that it is crucial that they invest not only their time but also their finances into a business. You cannot reasonably expect a financial institution to seriously consider your business plan and loan application when your business plan’s financial requirement is for example $100,000 and your loan application is $100,000. What you are effectively saying is that you want the bank to bear all the risk associated with your business venture. The first sign of an Entrepreneur’s commitment to their business is his or her financial investment. This is why it is advised that at least 30% of the required capital for any venture should be invested by the ownership.

GOVERNMENT INITIATIVES Whether it’s the Jamaica Business Development Corporation in Jamaica; The National Entrepreneurship Development Company (NEDCO) in Trinidad and Tobago; INVEST SVG in St. Vincent and the Grenadines or BIM Ventures in Barbados Caribbean Governments have embraced the call for the support of Entrepreneurs. Understanding that financing can be difficult to access, one of the chief mechanisms used by central governments has been the provision of low interest loans or grants for start-ups and business expansions. These initiatives are tailored to the nationals of their particular territories and the requirements for access are usually very simplistic as compared to many other options.

VENTURE CAPITALIST & FAMILY Another option for sourcing financing that isn’t commonly used in the Caribbean is venture capitalist and structured investor agreements with family and friends. While these types of arrangements are less formal they do at times require a higher rate of return to the investor. Despite this an Entrepreneur has more flexibility in these types of relationships in the negotiation of the terms. I personally endorse the use of these types of agreements as they are creative business deals and offer both parties the opportunity to agree to terms to suit both their individual risk and return appetite while the Entrepreneur gains access to the required finance.

GOING PUBLIC Recently, entrepreneurs in Trinidad and Tobago joined their Jamaican counterparts when the SME Stock Exchange was launched. Many people view the stock exchange as a trading ground for large companies only. However, in 2009 Jamaica established its junior stock exchange and within two years saw eleven companies coming to market. Arguably this is one of the healthiest avenues for a business to obtain financing as cash is raised through the sale of the company’s equity. This means that the inherent business risk isn’t increased by financial risk as it would have been had finance been obtained through a commercial loan. The process for listing is challenging as one has to create a prospectus to get potential shareholders interested which is to be followed by an initial public offering or IPO for its shares. Be warned that stock exchange listing carries with it legislative and regulatory responsibilities and the company must establish a good corporate governance structure as there is now a responsibility to public holders of equity. Some may see this as a drawback but I will disagree as this mechanism will not only ensure equity holders’ interest is considered but also aid in ensuring the company is operated in a manner that increases its ability to succeed. These are merely a few of the many options and variations available and I encourage you to find the option that is best suited to your specific situation.

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Special

Feature

The

X Change Factor

Stock

Story by Andy Salandy • Photography by Ki.ne.sis Studios

Trinidad and Tobago Stock Exchange CEO Wain Iton explains how Caribbean entrepreneurs can raise finance on the stock market.

ccessing finance has always been a difficulty expressed by Caribbean entrepreneurs. Over the years various government initiatives have emerged to aid this challenge while lending agencies have crafted innovative and competitive facilities specifically suited to the various needs of the business community. With the launch of the junior stock market in Jamaica and the SME stock market in Trinidad and Tobago the region is now fortunate to witness the establishment and growth of what is being heralded as steps in the right direction for the Caribbean financial system. Entrepreneur Spirit Caribbean had the opportunity to chat with Trinidad and Tobago Stock Exchange, Chief Executive Officer Wain Iton at his Port of Spain office. Iton not only played a pivotal role in the establishment of the SME stock market in Trinidad and Tobago but he is also very familiar with the Jamaican junior market that was established in 2009.

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Special

Feature

ccording to Iton, “The stock markets provide capital for entrepreneurs who are serious about business and prepared to undertake the responsibilities of public listing. Whether for expansion or new business the market is here to fund.” In the current environment, there are limited capital raising activities in our regional markets, while at the same time, the banking system in Trinidad and Tobago is holding nearly $3 billion in liquidity. The SME market is one initiative we believe will provide an avenue for people to invest that money.”

five years being listed and a 50% holiday for the five years following. In 2009 when the market was initially established there weren’t any immediate takers but in 2010 with the introduction of the incentives we saw some serious activity with at least twelve companies being listed”

THE JAMAICAN EXPERIENCE The concept of a junior stock market first came to the Caribbean in Jamaica. The principal objective was to attract new capital and encourage new enterprises. The hope was that the junior market companies would act as a vehicle through which investors will come to the market, thereby businesses get their much needed finance and the stock market would see increased activity. Iton continued, “The junior market in Jamaica was distinguished by a special fiscal incentive by the government. At that time, Don Wehby, a private sector manager joined the government as a Senator and a Minister in the Finance Ministry. He was pivotal in piloting the incentive through cabinet. These incentives gave what we called small and medium sized companies (companies with capital between 50 million to 500 Million Jamaican dollars), the opportunity to raise capital, get listed on the stock exchange and enjoy the benefits.” “The Jamaican junior market incentives provided for a complete tax holiday for companies in their first

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the Jamaican model, having been General Manager of the Jamaican Stock Exchange from 1987 to 2004. With the Jamaican model as the template, Trinidad and Tobago varied the structure through the amendment to their Corporation Tax Act. These included the parameters for qualifying companies, which must have a capital base of TT$5 million to TT$50 million. Capital base refers to the company’s share capital, reserves and retained earnings. The Act also mandated that at the end of the initial public offering and before companies can access the benefits there must be at least 25 shareholders that own a minimum of 30 per cent of the share capital in issue. The Trinidad and Tobago Corporation Tax amendment provided for fiscal incentives similar to Jamaica. Companies accessing the benefits would enjoy a new Corporation Tax rate of 10%, which is a significant reduction from the standard 25%. This rate will be available for the company’s first 5 years of listing.

GOING PUBLIC, WHAT TO EXPECT

JA MODEL INFLUENCES T&T In 2011, Trinidad and Tobago’s Finance Minister, Winston Dookeran cited the success of the Jamaican junior market and indicated that a similar model would be enacted in Trinidad and Tobago. He made these announcements as part of his 2012 budget presentation that included the requisite amendments to the country’s Corporation Tax Act Chapter (75). This was after representations from the TTSE led by Iton who was very familiar with

Iton acknowledged that there is always the perception that when private companies go public the owners lose control. To this he responded “It is a myth that a company has to sell a significant portion of its shares. In fact 30% is the requirement , leaving a 70% holding for the original owners , thus allowing for significant control.” He continued “Companies must understand the benefits of public listing and the associated responsibilities. Given the nature of private enterprises the greater challenge for these companies seeking listing will be adopting corporate governance practices that would bring

12 STEPS TOWARDS STOCK MARKET LISTING Stock market listing is not a single event but a comprehensive process that companies must undertake when seeking to go public. (1) Selection of broker/dealer, legal counsel and financial accountants and advisors. (2) Selection of directors including at least two independents. (3) Preparation of business plan, feasibility studies and technical reports. (4) Preparation of Prospectus / Memorandum

about public confidence” Some of these governance issues include the inclusion of independent directors, regular board meetings, audit committees, and transparency. Additionally there is the requirement that quarterly unaudited and annual audited financial statements must be publicly disclosed after 45 and 90 days respectively. A practice few private enterprises may be familiar with. The associated cost of going public can also be significant as these include the relevant fees for issue, legal and consulting fees, brokers’ commissions and printing. “Generally the benefits of listing are endless,” Iton stated as he recalled a Jamaican company who after its first year listed on the junior market did a comprehensive review of their position. Not only did the company have long term funds for operations, but was able to acquire income generating assets, and was satisfied that

equity financing provided more favourable conditions than debt financing - something which was very familiar to that company. In addition, when debt financing was a viable option, better terms were secured. They also stated the tremendous financial benefit of the tax holiday stating “The perceived negatives such as loss of privacy, additional operating costs and dilution of ownership, have been minimal and are far out-weighed by the positives. In fact, while there has been some dilution of ownership, the additional value created, has meant that the value of our ownership interest is far more than it was prior to listing.” Consideration was also given to their non-financial benefits in that of improved public perception; increased long term prospects; and with the inclusion of independent directors they found that the evaluation process resulted in better decision making.

(5) Printing and issuance of prospectus for listing. (6) Filing application for listing with stock exchange provided that minimum requirements have been achieved. (7) Filing listing agreement with stock exchange. (8) Pre-sale meetings and pricing of shares. (9) Clearance for filing of final prospectus.

(10) Public sale and distribution of shares. (11) Filing of final listing documentation with Stock exchange (12) Posting of shares on stock exchange.

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Ask A Pro Featured Pro: Wain Iton, CEO of the Trinidad and Tobago Stock Exchange.

Can my Company go Public?

Why do The main reason for going public is companies to raise funds to increase working go public? capital, retire indebtedness or to

When should I take my company public?

Deciding when to go public is a crucial point. In order to get the price you need, there must be investor’s interest and suitable industry and financial conditions. Working together with advisors, it can be determined when the conditions are right to make a public offer.

How much capital should I raise?

This is dependent on how much capital the company needs and the percentage of ownership that the owners want to relinquish to the public.

finance future growth and expansion.

Can my Any company can go public company Readiness to go public depends on: go public? 1. Real growth in combination with good earning potential. 2. An outstanding management team. 3. A need to obtain funds.

What are 1. Public disclosure: the corporation is obligated to the effects provide timely, continuous of going reporting of corporate public? information as required by regulatory agencies. 2. Directors’ roles are broadened by the responsibility to the public as they have to act in the best interest of all shareholders. 3. Significant company changes must be publicized. 4. Financial reporting required quarterly and annually.

Additionally, if the company is at the developmental stage where manufacturing marketing and technological viability has been achieved but it has not yet shown a profit, it may be the right time to make a public offering.

Advantages of going public?

2. 3. 4.

Company’s debt/equity ratio and net worth will improve and future financing alternatives will be enhanced. It improves liquidity. Share options become available to management and employees. Valuation of the company through the market for listed shares. Improved corporate image and opportunities for business as a result of public ownership. Provides a cost effective way to transferring ownership to successive generations of owners.

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Who decides the price of shares issued?

The issue price of the shares results from an agreement between the management and the broker/investment dealer who manages the issuing of the shares. The major factor though, is the marketplace. Other factors to be considered are the economic climate, projected growth, past earnings, and the types of securities i.e., whether they are common or preference shares.

NEED SOME SOLID ADVICE? Learn from the experts, just Ask A Pro. Our network of professionals are willing to share their knowledge and experience. Email info@entrepreneurspirit.org

Some see the glass half empty, Others see the glass half full, Entrepreneurs see endless possibilities! What do You See?

Dedicated to inspiring and educating, Entrepreneur Spirit Caribbean is also here to promote the best efforts and business interest of all Caribbean SMEs. ESC offers a free to distribute platform for regional readers to learn and know regional businesses and entrepreneurs. If there is a business feature you would like us to consider, email your interest, contact info and relevant details to info@entrepreneurspirit.org.

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“Inspiring innovation, Provoking Growth” issue . 2012

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Starting Points By Stacy R Phillips

Key Traits of Successful Entrepreneurs EXAMINING SOME OF THE MOST PREDOMINANT QUALITIES OF SUCCESSFUL ENTREPRENEURS. can use these few traits listed here (as they are many more) as a simple insight and compass into the direction you may need to go to reach your entrepreneurial goals.

ne day while travelling through Canada, I came across a pamphlet, which spoke about the characteristics of successful entrepreneurs. Being an avid lover of design my first reaction was wow that’s a cool brochure because of its unique presentation. My second thought was not as immediately liberating but left me pondering. “Do I possess the characteristics needed to be a successful entrepreneur? This question opened up a profound level of introspection for me but one I think every entrepreneur should ask themselves. As a result I began to look closely at and compare successful entrepreneurs. I also searched for commonality in traits not just among successful international entrepreneurs but also amongst the many successful entrepreneurs we have right here in the Caribbean. Being an entrepreneur represents the quest to reach personal and financial dreams while maintaining autonomy. An entrepreneur is not driven by mere job security alone but by a hunger for control over his or her career, life and ultimately future. That in itself is a basic indicator of an entrepreneurial spirit but it’s just the tip of the iceberg. A solid entrepreneurial spirit is built on a variety

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7 COMMON TRAITS OF SUCCESSFUL ENTREPRENEURS

of things such as talent, attitudes, mind sets and of course vision. Examining some of the most predominant qualities of successful entrepreneurs against a careful honest analysis of our own personalities can reveal much. It can be helpful in enabling us to discover the strengths we do have while encouraging us to develop the traits we need. We all have the ability to develop any of these traits and just like any successful enterprise it requires your ability to stick to it despite the odds. You

Passionate & Determined It is very uncommon, when reading about any successful entrepreneur, that you will hear them say they absolutely hate what they do. Actually it is quite the opposite and some entrepreneurs are insanely passionate about their field of interest. This passion is also what helps to fuel their drive to keep on going. They also require the acute resolve and willpower found in perseverance in order to reach their goals and achieve success.

2. Highly Confident All entrepreneurs have fears, it’s only natural but that doesn’t mean they can’t be confident about their business or their ability. An entrepreneur without a healthy dose of confidence will ultimately struggle to succeed. Many successful entrepreneurs may even come across as egotistical and arrogant but when you look behind the smoke you realize that their confidence is but a pivotal cog in

CHARACTERISTICS OF 4 FAMOUS their entire mechanism.

3. Energetic & Opportunistic Without those two traits, things could easily get mundane and tiresome. Successful entrepreneurs find ways to keep their energy levels up in order to do the many things they are required. Many times they may be viewed as busy bodies as they tussle too and fro managing hectic schedules. Also, successful entrepreneurs don’t wait for opportunity to knock they go knocking on prospective doors and create opportunities. They are proactive not “post-active”. 4. Adaptable & Optimistic Business is dynamic and challenges, obstacles and setbacks are all a part of the game. Human nature may cause you to be saddened by challenges and setbacks but your mentality and reaction toward them will determine how far you go. Successful entrepreneurs must be able to adapt to the changing nature of business and they must maintain their optimism by refocusing and reminding themselves of their goals and vision. 5. Problem Solver Successful Entrepreneurs are those who have found a unique way to solve a problem or answer a need whether it be a product, service or business challenge. They see challenges and problems as great opportunities and many believe

“Like anyone else, entrepreneurs have a huge variety of flaws… we’re all best concentrating on our strengths and finding people who can compensate for our weaknesses, rather than trying to do everything.” -Monevator.com.

INTERNATIONAL ENTREPRENEURS 1.

The Visionary E.g. Steve Jobs. These are entrepreneurs driven by a desire to change the world and the capacity to imagine how to do so. Jobs boasted the attention to detail of a reigning monarch, as well as a genius for design and consumers’ desires. Key Strengths: Imagination, egotism, seeing the big picture, attracting brilliant followers.

The Adventurer. E.g.: Richard Branson. If Branson had been born 600 years ago, he’d have been a tussle-haired knight with a winning smile, eager for his next campaign. It’s the excitement of execution that gets his blood going. Key Strengths: Bravery, energy, tenacity, ‘work hard / play hard’ culture.

The System-iser. E.g.: Henry Ford. Some people are brilliant at process. Henry Ford was an obvious example having pretty much invented the modern production line. Process is what turns brilliant prototypes into consistent profits. Key Strengths: Strategy and logic, attention to detail, employee management.

that the solution in always embedded in the problem. 6. High Risk Tolerance Being an entrepreneur can yield great rewards but with that potentiality comes great risk. Successful entrepreneurs do not run from risk or resort to comfort zones but they take calculated and instinctual steps beyond the norms in order to achieve their goals. They also soberly accept that failure is always a possibility but never means game over. 7. Avid learner Successful entrepreneurs are always finding ways to develop themselves and their knowledge base. They understand that as things evolve and grow so must they. They also tend to surround themselves with people who either know more than they do or who know things outside of their purview.

4. The Specialist E.g.: Bill Gates, Some people have a calling, a field they were born to do. (Gates) needed personal computers to unlock his brilliance. The world is full of specialists who turn their love and aptitude for a certain field, product or service into something we all rely on. Key Strengths: Dedication, motivation, knowing themselves. This excerpt was taken from “Types of Entrepreneurs?” by the Investor, with permission from monevator.com. Visit monevator.com/types-of-entrepreneurs for the full article.

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Personal Best By Kimberly Gay

The Balancing Act THE IMPORTANCE OF BALANCING FAMILY AND BUSINESS LIFE

any Caribbean businesses are started as a means towards an improved standard of living for their owners and their family. Despite the fact that family was at the core of the decision its role is often either severely overlooked or its potential greatly underestimated in the pursuit of success. Family businesses can be a force to be reckoned with once constructed with carefully defined roles and a balanced approach to business and life.

individually and collectively as business partners and as life partners.

FAMILY BUSINESSES

ENTREPRENEURIAL COUPLES Entrepreneurial couples possess a unique strength that few other business relationships may ever possess, which is a life partner and deep commitment that exists beyond the boardroom. However, this advantage requires management and a mutual understanding that they share two separate relationships which should not be allowed to negatively affect each other. The key lies in making expectations clear and setting appropriate boundaries. One must also recognize the nature of the relationship and not only respect it but also cater to it. For couples that enjoy doing everything together working as business partners can be effortless and serve to enhance their relationship. On the other hand, some couples may find that being business partners may be a bit too much

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togetherness and they may prefer to be able to say, “Honey guess what happened to me in work today?” Understanding how your partner thinks and operates is essential to the effectiveness of roles and functions within the business. By clearly defining roles and responsibilities this creates a sense of individual ownership and worth in the business. Couples should be warned against only spending time together on business matters and even though it is understood that startups require the sacrifice of longer hours to get operations going , a plan should be carefully devised to ensure that time can be spent both

Family businesses provide a solution to a major challenge experienced by many entrepreneurial efforts, which is business continuity and succession planning. Quite often the existence and future of a company is hooked entirely on its founder and there is rarely someone else within the business that is able to continue the company’s plans in the founder’s absence. Business continuity is a process. It is more than just transference of physical assets it encompasses transference of knowledge, skills, values, leadership and vision. The process is extremely important to develop and maintain customers’ loyalty as they will need assurance that the company’s goods or services will be available unabated by any unfortunate circumstance of key persons. Ideally a family business affords an entrepreneur a ready resource for business continuity through a spouse and children given their vested interest and emotional connection to the vision as opposed to a third party who may just see the organization as a place of employment or a means towards their own personal gain.

FINDING BALANCE Conversely not all entrepreneurs have the benefit of their family’s

“One must realize that as difficult as it might be entrepreneurs need to ensure family time is allocated on a regular basis. Children need their parents not a manager and spouses need a companion.”

direct involvement in the daily operations of their enterprise. As a result entrepreneurs are faced with the challenge of growing their enterprise as well as their families while understanding that both require his involvement, time and attention in different ways. Every enterprise requires the full devotion of its master. However, an entrepreneur must be ever cognizant of the fact that his family may not be able to always appreciate the attention the business requires. He must take the time to paint a vivid picture to his family and give assurance of their importance to the overall vision. Failure to do so can sometimes lead to frustration and a sense of disenchantment for a spouse and children who long to spend more time with their loved one. This frustration can also conflict with the entrepreneur who views long hard hours of work simply as efforts toward securing his family’s future. One must realize that as difficult as it might be entrepreneurs need to ensure family time is allocated on a regular basis. Children need their parents not a manager and spouses need a companion.

your spouse’s and children’s accomplishments just as you would appreciate when they celebrate your successes. Spending time with one’s family away from workrelated activities allows the family an opportunity to share love and provide affirmation. The role of the entrepreneur’s family is extremely crucial to his success as they provide motivation in times of great challenges and disappointment.

It is said that a house is not a home; likewise, making a living for one’s family is not the same as providing and enjoying it with your family. Take time to celebrate

Family can be your greatest champions and frontline cheerleaders, reminding you that your dream is worth pursuing. They continue to cheer you on in success and more

importantly lift you up when you find yourself in doubt and bewilderment. Whether it’s a situation of family in business or a balancing act between family life and business, the entrepreneur’s role is undoubtedly crucial as a visionary and an anchor, providing stability for family through business.

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The

Bookseller THERE ARE THOSE ENTREPRENEURS WHO ARE ABLE TO TURN PASSIONS INTO SUCCESSFUL AND SUSTAINABLE BUSINESSES AND NIGEL R KHAN IS A PERFECT EXAMPLE. Story by Stacy R Phillips . Photography by Kin.es.sis Studios

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ith a deep and reverent respect for books and for reading, Nigel R Khan has taken the simplicity of what he does (bookselling) and turned it into an iconic eightyear-old brand with 11 branches throughout Trinidad and Tobago.

Appearing Real (fear). Once you put that knowledge out there it is going to have a ripple effect.”

Driven by his vision, to not only sell books but to inspire and to motivate, Nigel believes he has found his purpose through bookselling and he views his role as not just a bookseller but also someone who can encourage and positively impact lives. A person with determination and focus, Nigel opened his first store post 911, at a time when economies were shaky and many people thought a new bookstore was a bad idea. Also, as if a confirmation to his many detractors as well as a source of panic for his father, Nigel’s first store opened in a mall complex which was new and still under construction. For many this was the absolutely worst location for opening a brand new enterprise but little they did know that this mall would eventually turn out to be the thriving mall it is today.

“For me the first secret of success is organizing. Make a plan, have a clear vision and listen to your gut instinct.”

“If you listen to negativity it can overwhelm you and discourage you and you could fall back. I didn’t listen, I had a plan and I wanted to stick to it no matter what.” Quoting from one of his many readings, Nigel views “FEAR” as nothing more than False Evidence Appearing Real. “There is no evidence to say you are not going to do well, none. Even now I get afraid of running a business, investing and expanding. I have asked myself why are you doing this, are you crazy but it is just False Evidence

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To Nigel’s credit, this ripple effect translated into his first store selling out after only three days of being opened. Crowds of people patronized the store; school libraries

ordered large quantities of stock off the shelves and by the end of the first day his store resembled a flower shop as many people had left flowers with good wishes. “My first store was a gift from karma. People say the good you do and the reputation you build can take you a long way. Many people over the years who had always wished me good made it a point to show up and purchase. On the day I opened there was a crowd waiting, we were all shocked. It was all synchronicity. Up to this day I am still in awe how everything happened. Its not one thing or one event but a multiplicity of events that came

together and brought about what Nigel R Khan Booksellers is today.” Even the enchantment of a successful grand opening can quickly fade when the reality of operations step in. Nigel was merrily running his way promoting and selling, when he suddenly realized he exhausted his operational cash.

“PEOPLE SAY THE GOOD YOU DO AND THE REPUTATION YOU BUILD CAN TAKE YOU A LONG WAY.”

Avid reader: Nigel relaxes with his latest book.

“I was like what, the bills due already, after that I was introduced to Mr. Overdraft and that’s when you realize how you need to manage your business. A business is alive, it’s an animal and when you put this in, you will get this out. Everything is closely related. I used all the capital I had, bought stock and filled the shelves. Only after did I realize there was something called

overtrading and organisational cash. My initial idea was to simply get all the books on the shelf and I forgot about the money needed to pay bills and keep the business afloat. I had to accelerate my cash flow with sales and learn how to estimate and guesstimate proportionately. By doing budgets I learnt how to keep the right ins and outs without over extending. Keeping

it narrow and keeping my margins thin. Sometimes you do get angry and have conversations with yourself where you will need to say, ‘listen you need to do this, hold it down or cut that out.’ Sometimes because of your passion it’s easy to be pulled out on a whim but you are forced to and need to learn to temper your passion. Sometimes you just need to know that some things

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can wait or aren’t needed immediately; discretion must be used.” An excellent storyteller, life enthusiast and realist, Nigel is a delightful mix of colorful stories and gems of encouragement and definitely always good for a laugh but his

“A business is alive, it’s an animal and when you put this in, you will get this out. Everything is closely related.“ entrance into the world of entrepreneurship wasn’t as friendly as one might think. After a family incident, which saw him walk away from fifteen years managing a Trinidadian chain of bookstores, Nigel was left to ponder his next step in life. For him, it wasn’t immediately obvious that bookselling was the way to go but through introspection and encouragement from friends he quickly regained his footing. “I went to my favorite place in the world, the Mount Plaisir Estate Hotel in the village of Grande Riviere on Trinidad’s northern mountain range. While there I asked myself who are you, and what do you like

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On the ground. Nigel at his South Trinidad branch.

to do? The answer was simple, I am Nigel R Khan and I sell books, I’m a bookseller. It was my moment of clarity. I knew I wanted to sell books. I also asked myself what is the purpose of opening a business and I realized the purpose of selling a book is noble, its education and its developing and growing people and providing a portal. That was exactly what I wanted to do.” After his revelation Nigel’s next step was to mobilize his forces. The NRKB store which is known today started in his guest bedroom, which he set up as an office, and every morning he would get up from his bed, dress and step into the room and into a business frame. He called publishers, worked on drawings and began to plan. “For me the first secret of success is organizing. Make a

plan, have a clear vision and listen to your gut instinct.” Nigel credits many of his friends for encouraging him into his own business. “My friends were always telling me they loved my home environment as I always kept it very inviting and through the stores I wanted to share with others what my friends experienced at my home. The layout of the store is built around my living room, the right music, the right fragrance and the right energy. Getting the right people is also important. When we hire we take a few months to find out if they fit into our culture. We want that when customers come into the stores they can relax and are not hassled. Readers are very particular, they would come in the display, the music, the store and the service must be right or they will walk right out without even

browsing a single book. I need to have it right. You will never find our staff asking, “Can we help you?”, they will say “Hi, if you need me I am here”. They will never stalk you, its uncomfortable. Our philosophy is come in, relax, if a book falls don’t worry we will get it. They may even ask you if you tried the coffee.” “Many people thought I was crazy to offer coffee and sofas but everything about my store, including our philosophy “The future of bookselling”, is not about taking someone’s money and sending

them through the door. It’s about nurturing, inspiring and getting a product built around books. Other stores don’t encourage reading in the bookstore, but that is crazy. We encourage reading, we want you there and we want you to read.

bookselling interesting. Every night before I go to bed I am up thinking about how to maintain the interest of our stores and ensure that when we open the next day there will be people who want our product and will come into our stores.”

“Decide what you want, sit, have coffee and relax. We don’t want your money now we want your subscription for life. Sometimes people say you are as boring as a book but we have turned that around. We are as exciting and as interesting as a book and my aim is to keep

Nigel’s vision to inspire and motivate has also transferred to the many activities sponsored by his company such as:

THE GIFT OF READING FOUNDATION:

“THERE’S NO EVIDENCE TO SAY YOU ARE NOT GOING TO DO WELL, NONE. EVEN NOW I GET AFRAID OF RUNNING A BUSINESS…BUT ITS JUST FALSE EVIDENCE APPEARING REAL (Fear).”

Caught between work and leisure. Nigel at his head office branch.

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Created to rekindle children’s love in reading especially boys. The Gift of Reading Foundation sponsors reading events, gives books to libraries and hopes to target and inspire people with multiple intelligences as well as to encourage reading among boys.

GUIDED READING PROGRAMS: Based on various reading levels, the Guided Reading Program gives children the freedom of tactile pleasure. The child is left alone with a series of books, if a book is too hard the child will move to next one and when something grabs their interest they will take it up. Slowly the children are baited with the book and guided up a reading list based within their interest line. The guided reading program is in partnership by the program’s developer Scholastic, the largest US publisher of children books.

THE NRKB BOOK MOBILE NRKB’s book mobile travels out to schools in areas without easy access to bookstores. The van turns into an exciting caravan with the aim of getting children excited about reading. At the end of the caravan a portion of the books are donated to the school library.

THE HAROON KHAN WHEELCHAIR FOUNDATION Created three years ago after Nigel’s father suffered a stroke. Nigel’s motivation for the foundation came after he noticed how several people were unable to afford wheelchairs for their loved ones. Named after his father, the foundation seeks to provide wheelchairs for those who cannot afford them. For more information interested person can contact Kerry Ann Bishop at 658-0792.

Nigel’s advice to Entrepreneurs Pray, believe in yourself. Sometimes your back will be against the wall... if you don’t have strong convictions you are in trouble.

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Above: One of the many NRKB store tiles featuring inspirational quotes.

“I BELIEVE WE ALL HAVE A PURPOSE A REASON IN LIFE, MINE IS TO INSPIRE!” issue . 2012

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Technology By Janessa Mckell

Dotting Your Digital is KEEPING YOUR DIGITAL BRAND PRESENCE CONSISTENT feel like you just re-started your machine every time you open the browser), they’re all watching you, and saving data about you or on your behalf.

or persons schooled in the Caribbean, there will be faint memories of penmanship class and having to practice our ‘cursives’. In business these days, we have to apply that same steady hand to ensure that our online efforts are neat, joined-up and all on the same line.

REPETITION MAKES PERFECT So, in case you weren’t aware, the opening analogy was meant to introduce the concept of brand consistency, but digitally. Much like staying on the line in our penmanship book, we have to make sure our businesses have consistent image everywhere that we are found. For some that are more techno-able than others, it’s easier to recognize the different areas that we might be lacking in this regard. I won’t leave you guessing though. Let’s start with email... let’s start with repetition. Letting your tag line, logo, sales message or contact details be seen in numerous places can be effective for the simple fact that visual repetition works. Don’t feel bad about employing one of the first things that we learnt to do on a computer - copy and (<--- fill in the blank). Copy or re-type the information from the bottom of your letterhead and make it your email’s signature, make sure that this same information is on your stationery, other print material

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and in your Facebook or Linkedin’s profile information. Look for other places where your company has an online profile or presence so that you can personalize them as well as make them consistent.

MISS DIGITAL IS WATCHING Back in primary school days, the teacher would often stand over us as we stroked our t’s and curley qued our q’s. Believe it or not, whether it’s Google’s integrated applications, Facebook’s never-deleted data or your browser’s cookies (those things that ensure you don’t

Once upon a time that used to scare me, but blehh...it doesn’t anymore. The thing is, I feel as though they’re doing me a favor by helping me keep my online activities synchronized. I just have to always remember that they (the abstracts in the vast endless sea called in internet) are in fact watching me. With that being said, please be careful what you type before you hit [Enter] as you may never, ever, ever get it back. Emails nowadays are never deleted or deliberately saved by their recipients, so opt for phone or in-person conversations when in doubt over whether you want physical records of the things you will say as this affects your brand AND your business, and ultimately your reputation which more importantly can underscore your bottom-line. Be careful what you say too , Be polite...ethical.

MY PEN IS LEAKING Did somebody say leak? Ugh, what a mess...A bad leak can negatively affect your brand’s reputation. Do allow good leakages from your company. I’ll explain. If you had ultimate control over what information was going to be spread about you, what would that information

be? As much as you can control this. As it is we’re already losing so much control over our information, especially with Google being able to search and find everything. Always be ready with well formulated information about your company that you can distribute to those eager to learn more, or for your business associates, fans or best clients to forward to their clients, friends or business associates. Think of it like a press kit, always handy for the sake of distribution. You wouldn’t want to hurriedly piece together a description of your business for some interested person and then press SEND only to realise it had bad grammar, bad spelling and a host of other non-relevant, boring or invaluable information. Be prepared for leaks or if necessary, let a copywriter put it together for you. For those new to the idea of press kits, press kits are basically a package of promotional material provided to members of the press or other relevant persons in order to effectively brief them about a product, service or any other necessary matter or person.

FULL STOP In conclusion, be deliberate about having consistency throughout your online and offline presence. This builds your business through creating an image of stability. This also assists with building your credibility, since every time you change an image, typeface or tag-line, it seems as if your business starts afresh. Customers trust longevity. On an average, a consumer will have to be exposed to at least three brand impressions to recognize and take notice of your brand. In order to facilitate this, you should ensure that everything sent out from your company has the same look and feel, so that it continues to repeat itself enough to be remembered. Being online should not be a haphazard process, but should be an extension of planned efforts offline. Every now and again, look through all your marketing material (website, brochures, callcards, email signature, Facebook profile, and the list goes on) and audit them to ensure that they’re all on the same line and are connecting the dots. No computers were harmed during the production of this article

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Technology By Shawn Mohammed

Basic Website Security 7 TIPS FOR SECURING YOUR VALUABLE ONLINE DATA

4. Place index.htm files in all your directories. Placing a blank “index.htm” or “index. html” in every directory on your web site prevents thieves from viewing other files located in the same directory.

ith advances in automated hacking programs, every website is a target. You don’t have to be a large bank or online retailer to be the target of a cyber-hacking attempts. Failing to protect your website and its contents makes you very vulnerable to intrusion, and your users exposed to vicious malware and trojans. Personal data (names, addresses and credit card information) can be exposed by hackers, identities stolen, and confidential business documents placed in the public domain. Below are some tips to help diminish the possibility of your website being hacked. However if this does occur immediately contact your web hosting company.

PROTECTING YOUR WEBSITE FROM HACKERS 1.

Choose STRONG Passwords. A good password contains at least 8 characters with a mixture of letters (upper and lowercase), numbers, and special characters. Also change your password regularly.

2. Keep your software up to date. Make sure that the software you have installed such as WordPress, SMF, PhpBB, or any other are always up

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5. Use secure 3rd party scripts and add-ons. Think before uploading/installing widgets, plug-ins, and other modules onto your website. Third party scripts or any other code you install are written by unknown developers under unknown circumstances. Be sure to research any code you want to install that you didn’t write yourself.

to date. Subscribe to update notifications from the creators of these software or create a Google Alert to notify of the same. 3. Use encrypted services. Consider using encrypted services over non-encrypted ones. For example use SFTP instead of FTP. If you have a webmail application, host it on an SSL-enabled port. Use SSL encryption for anything that requires the transmission of personal information.

6. Make your own backups. Back up all your data regularly. Don’t rely on your web host to keep a backup for you. Make backups of your website and save them on an external hard drive or similar device. 7. Choose a reliable web hosting company. The best line of defence against a potential hack attack on your website is to make sure you have a reliable web hosting provider. Ask for security audit reports for their data-center.

ESC MAGAZINE ONLINE

www.entrepreneurspirit.org ADDED VALUE • ADDED VISIBILITY • ADDED REACH

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Jamaica

W.I

Entrepreneurs

Jamaicans music.com Alex Morrissey is quite the young entrepreneur with a Facebook following of 2 million, his three year old website retails and promotes the dancehall and reggae music of over 800 artists. This 23 year old’s operation has grown from a pet project in his dorm room to one employing 4 staff writers and 8 full time DJs for the site’s 24-hour radio station. WHAT IS JAMAICANSMUSIC. COM? Jamaicansmusic.com is a website dedicated to cataloguing and recording the history of Jamaican music and the artists who have made this music popular. From mento artist to dancehall artists; our aim is to try as best to create an encompassing database of Jamaican music and Jamaican music artists. Features of the site include a brief history of the different Jamaican music forms, sample audio tracks, videos, artists’ bios and our very special Jamaican music store.

HOW DID JAMAICANSMUSIC.COM BEGIN? Jamaicansmusic.com began as me trying to build websites. It was my little pet project. While studying industrial design at the Art Institute in Fort Lauderdale I wanted to find a way to feel more at home so I created a website with the intentions that anytime I needed to listen to Jamaican music I’d just go to my website. Soon after I noticed traffic to the site and people began emailing me saying what a great site and asking me to add to it. It just grew from there.

AT WHAT POINT DID THE SITE BECOME A BUSINESS VENTURE? Not right away. At first I was like this is a lot of work. Then I created the free membership to make it easier for people to add things themselves. Eventually I started

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to look into how to make money from the site and advertising was the easiest way and now our main way. A year later I began focusing on how to make it into a business and I started to look at similar websites and make sure my site had everything they had and more.

HOW DID YOU GET LICENSED TO SELL MUSIC? We partnered with Universal Records out of New York as they already have the distribution rights for many of the songs. We get all the rights through them as well as a percentage of the sales.

WHAT IS THE TRAFFIC TO THE SITE LIKE? Jamaicansmusic. com has three hundred and fifty thousand (350,000) unique visitors every month with top countries including Indonesia, France, Japan, Argentina and the UK. Our Facebook page has over two million followers originating mostly from Indonesia, Mexico, Colombia, Argentina, Canada, United States and the UK.

WHAT CHALLENGES HAVE YOU FACED IN LAUNCHING YOUR BUSINESS? I believed I concentrated too much on trying to get the site popular in Jamaica and I think it was the wrong approach. If you look at other businesses in Jamaica and the Caribbean as well as other trends, things seem to get popular after other people from outside the Caribbean take interest. It was only after Indonesia and these other places took interest then others were like “oh hey check this out”.

WHAT’S NEXT FOR JAMAICANSMUSIC.COM? Very soon we will be launching a music database from the 1950’s to current. We are also launching a yearly music scholarship to help those who can’t afford it, to study music, drama or dance. The scholarship will be available for Jamaican nationals of

any age. We will also be rolling out a mobile version of the site, which will be compressed and drive more mobile users to the site.

ARE THEY ANY OTHER BUSINESSES OR PROJECTS YOU ARE WORKING ON CURRENTLY? Last year I started another business with my business partner Jacquie Juceam. The company is called Social Sector and we do social media services and consulting for pretty much any brand or person. So far our clients are Digicel, current 100-meter world champion Yohan Blake, ATL motors and Victoria Mutual Building Society (VMBS) Bank.

WHAT ADVICE WOULD YOU GIVE ENTREPRENEURS? Nothing is impossible. I didn’t think I would reach this far so fast. When you believe in something try it. If you fail maybe it is not the right time, try it again and you just need to have that passion and don’t do anything that you don’t enjoy. It is only because I love music that I stayed up all hours of the night to make this work.

See Facebook.com/ jamaicanmusic for more.

“When you type in Jamaican music ours is the first site that comes up. Its funny because when I started friends said with hundreds of other Jamaican music websites out there it was impossible for us to get to #1 but now we are!” STORY BY STACY R PHILLIPS PHOTOGRAPHY BY KI.NE.SIS STUDIOS

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Jamaica

W.I

Entrepreneurs

Edufocal

WHAT IS EDUFOCAL? Edufocal is an online social learning tool for students at the GSAT (Primary) and CSEC (Secondary) school Level. Edufocal is in a sense akin to the video game Pokémon. Students pay a subscription of 200JMD (approx. 2.31 USD) per month or 2000JMD (approx. 23.11 USD) per year either by credit card online or by purchasing codes from over 3000 locations in Jamaica where phone cards are accessible.

HOW DOES EDUFOCAL WORK? After registering, students begin at level one and as they progress the questions become harder. Answers earn students experience points, which enable them to advance through the levels. If a student reaches level 65 he/she becomes an “Expert Student” and have the option to create questions for other students. These questions will be revised by our team and posted once approved.

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Challenging the status quo, 21-year-old Gordon Swaby has a solid vision behind his two-year-old Company. Innovating the way students learn Gordon’s Edufocal program is a fun educational tool for primary and secondary students preparing for exams. Gordon is building a legacy that he hopes will be felt and remembered not only in Jamaica but also throughout the Caribbean. The “Expert Student” feature is an attempt to mimic peer tutoring in schools. As other students begin to use these questions and improve, Expert Students receive what are called Credit Points. These Credit Points are the virtual currencies for Edufocal. Expert Students can either accumulate their credit points to buy a variety of items such as iPads or smartphones from the Edufocal online store or they can use credit points to earn cash. We also have a leader board feature where students are consistently ranked and those who are ranked #1 are awarded prizes and scholarships.

HOW ARE TEACHERS INVOLVED WITH EDUFOCAL? The teachers are the ones who create questions for Educfocal and as a result they are paid a commission which is based on three factors. (1) How often they submit questions. (2) How well students are doing on

questions submitted. (3) How each teacher is rated by students. These all determine how much a teacher is paid at the end of the month.

WHAT MOTIVATED THE EDUFOCAL PROGRAM? I consider myself someone who has foresight and at sixteen I wrote something I called my life wireframe which contained a series of things I wanted to do. One of those things was to create a company before I left college. One night a cousin messaged me about an idea he said I inspired. The idea spoke about game mechanics and teachers being a part of it. After looking it over I realized it was a viable business idea and I immediately began to develop and push the idea. Our unofficial mantra is “challenging the status quo.”

WHAT’S YOUR BACKGROUND PRIOR TO EDUFOCAL? My background is basically writing and

website design & development. I used to write for the Jamaica Gleaner’s Youth Link and I also used to have a popular site called Advanced Gamers that I eventually merged with my current Edufocal developer and shareholder Shane Shipston. Shane is an amazing Canadian developer, we have never met in person but we have worked together on various projects over the last ten years.

“Because I am young I constantly have to prove myself because people think ...you are not able to do what is required but that is far from true.

CAN EDUFOCAL BE USED IN OTHER COUNTRIES? Definitely. The roll out plan for Edufocal is Jamaica, the Caribbean then the rest of the world. It is country specific regarding the scholarships, codes and Jamaican specific giveaways , which students in other countries would not be able to access but it can still be used for its main educational value.

AS AN ENTREPRENEUR WHAT CHALLENGES HAVE YOU FACED THUS FAR? Not being taken seriously because I am young. I constantly have to prove myself because people think you are young and inexperienced and therefore you are not able to do what is required but that is far from true. Also, the greatest disappointment for me is that the people I thought I could depend on disappointed me greatly while surprisingly the people I thought were acquaintances were the people who helped me the most. You are always depending on people, no man is an island and no man stands alone. At the end of the day we need to understand that if something is your idea then you are the one who has the greatest amount of excitement and interest in it and no one else will because it is secondary to them. At the end of the day you have to push through.

WHAT ARE YOUR FUTURE PLANS FOR EDUFOCAL? I am currently putting together a board of directors because a good board gives advice, guidance and accountability to a company. Also I am building the company to be sustainable even without me and I am putting my succession plan in place. It is a legacy I want to leave and in the next 5 years I want us to be listed as a public company on the Jamaican junior stock market.

WHAT ADVICE WOULD YOU GIVE ENTREPRENEURS? You can do it while you are young; as people get older they become more risk adverse. Also, have good mentorship and a solid foundation so when you are having your down days those mentors can encourage you to push on and strive for the best. Go to facebook.com/EduFocal for more.

STORY BY STACY R PHILLIPS INTERVIEW & PHOTOGRAPHY BY RANDY RICHARDS

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Barbados

W.I

Entrepreneurs

SIPS Smoothie Bar A novel twist to an established idea successfully propelled two young Barbadian Entrepreneurs into being owners of Barbados’ leading smoothie bar. 27-year-old business management graduate Corey Mc Clean and his business partner 25-year-old Christian Thorne are the powerhouse team behind SIPS, a mobile smoothie bar.

“Be less scared about sharing your ideas with people, chances are no one is going to do what you are talking about.”Christian

WHAT MOTIVATED YOU TO OPEN A MOBILE SMOOTHIE BAR? Launching the smoothie bar evolved out of a perceived gap in the market for real fruit smoothies rather than those made from fruit concentrates. We began in 2008 but our mobile unit didn’t launch until early 2010.

WHAT WAS IT LIKE GETTING YOUR IDEA OFF THE GROUND? For six months we tested and refined

Above: A delicious treat prepared for us. Below: As appears in photo, Christian & Corey.

the concept at outdoor festivals and events gaining customer feedback. At the end of this period we set up in a fixed location and operated from there while we tested the mobile concept as we operated from a stationary van.

WHEN DID YOU MAKE THE DECISION TO GO MOBILE? When the hunt for a “brick and mortar” location was proving too difficult we decided that an unorthodox approach was what we needed. We simulated the conditions of a vehicle, tested the operation, found that it was truly possible and decided to launch the first mobile unit.

WHAT WAS THE RESPONSE LIKE AFTER GOING MOBILE? Though there was an extensive amount of sensitization that was necessary, brand loyalty grew quickly as the word spread. The response has always been good. When we started going out to the boardwalk in Bridgetown people immediately started to respond positively. Then we started going to various offices around the country.

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WHAT IS AN AVERAGE DAY FOR SIPS LIKE? The average day starts about 5 a.m. we get the van ready and at 7 a.m. we post our schedules on Blackberry bbm and Facebook before hitting the road from 8am where we go office to office until 4:30 p.m. Then we station one of the vans on the Boardwalk in Hastings until 7pm. The fascinating thing about being mobile is that inbetween breaks the vans are able to stop at various places to restock ice, ice cream or supermarket supplies if they run low from over active sales.

WHAT WAS THE INSPIRATION BEHIND THE BRAND’S IMAGE? The brand is designed to evoke perceptions of quality, attention to detail and fun.

AS ENTREPRENEURS, WHAT ARE THE BIGGEST CHALLENGES YOU’VE FACED IN SETTING UP AND RUNNING YOUR OPERATION? Initially one of the biggest challenges was setting the brand apart from what people were accustomed to and had grown tired of in terms of product quality and service. Another challenge was the occasional mechanical trouble with the vehicles. We had to educate ourselves in order to be able to repair the vehicle within a realistic cost range and we learned how to balance vehicle repairs against the amount of money made from sales.

WHAT TYPE OF PRODUCTS DOES SIPS OFFER? We sell a selection of smoothies, milkshakes and health shakes. Our smoothies are made with real fruit, our milkshakes with lots of ice cream and toppings, and our heath shakes are made with various cereals and grains. We also sell real fruit juices like

***Above: SIPS of life. Beach goers enjoying refreshing treats in Hastings Barbados.

mango, golden apple (aka Pomsite) lemonade etc.

WHAT MAKES SIPS UNIQUE? Characterized by vibrant colors and upbeat music from our vans, Sips offers great tasting speciality drinks in a fun and engaging environment. Also we can get anywhere we want whenever we want. We go everywhere and we try to create a closer connection with people while maintaining a high quality. Also, the mobility and the relationships we build with our customers. We are friends with a lot of our customers as opposed to this just being a job so that’s why we have a lot of repeats. We place an emphasis on the social interaction between customers and ourselves and the brand with the intention of making it more than just a transaction between “faceless and nameless” persons.

WHAT ADVICE WOULD YOU GIVE TO ENTREPRENEURS? Christian: Couple all your ideas with the potential pitfalls of introducing your set group of ideas to the market. Balance the pros and cons before you do anything and talk to a lot of people. Be less scared about sharing your ideas

with people, chances are no one is going to do what you are talking about. Work very hard, don’t listen to the negative things people may say and just do what you need to do, and more to get the job done. Corey: Ensure that you explore and examine all possible components of your product and know your market (locally and internationally) inside out. Fully develop your concept and then pare it down to the bare minimum and take it to market as quickly as possible. Make incremental improvements over time and adjust your plan based on market response. See facebook.com/sipssmoothiebar for more. STORY BY KURTIS HINDS PHOTOGRAPHY BY ANDREW BROWNE & ***SIPS SMOOTHIE BAR.

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Barbados

W.I

Entrepreneurs

La Rosa Couture For Rozana Moseley, over a decade of experience in garment manufacturing culminated into the reality of her owning her own high-end apparel manufacturing company. After purchasing the factory at which she had worked as an employee for many years, Rozana now manages the business with her husband Ryan, an entrepreneurship and business development advisor. WHAT LED TO LA ROSA COUTURE? Prior to being owned by my husband and I, the factory was owned by a British designer who acquired the operation from the previous owners who managed a company called Dingolay & Co. I worked for both companies eventually becoming the Factory Manager for apparel operation. After the owners decided to sell the company and move back to the UK, I was offered the opportunity to purchase the factory. As the company was up for sale, I saw that the only place for me to go was upward and through the help of

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the Caribbean Business Enterprise Trust Inc. (CBET) and the Barbados Entrepreneurs’ Venture Capital Fund, we were awarded the necessary financing to purchase the business and commence the new company.

EXPLAIN THE ROLE OF BIM VENTURES? BIM Ventures (Barbados Entrepreneurs’ Venture Capital Fund) is a partnership between Caribbean Business Enterprise Trust Inc., the government and the private sector of Barbados. For companies to be

eligible there must be a Barbadian who is heading the project. BIM Ventures funds the project 100% with shared ownership between the venture fund and the entrepreneur and after a seven-year period the entrepreneur can seek to purchase BIM ventures’ shares. BIM Ventures also assigns a shepherd who acts as a counsellor, assisting with various aspects of business development.

WHAT IS LA ROSA COUTURE’S TARGET MARKET? We focus on catering to the needs of the local and regional designers. Most existing garment manufacturers are usually into mass production, but we cater to small batches production. Moreover, for years we have heard designers pine that they need a Caribbean apparel manufacturing facility, which produces highend clothing comparable with international standards. We exist to fill that void. The Barbados Manufacturing Association, through its Executive Director, has assisted us greatly by referring their clients to us. We

“Companies should value their staff and seek to provide an enabling environment, which promotes camaraderie and commitment among the team...” also cater to the local hospitality industry and luxury tourism industry by providing a wide range of uniforms for staff. Our company has made and is still making strides with various other clients such as boutique owners who are looking to create their own clothing lines as well as Barbadian and regional designers. We have done samples for a leading Trinidadian fashion designer who offered exciting reviews regarding the standard of our work as compared to ones she acquired in New York. We also work closely with a very talented and young and upcoming Bajan-Trini designer Janelle Forde of J.Angelique Clothing who owns a boutique and is also a contestant on the popular TV series “Mission Catwalk”.

WHAT CAN LA ROSA COUTURE OFFER THE REGION? The Caribbean’s fashion sector has a great deal of potential. However, in order for the fashion sector to succeed, there is a need to have a complete value chain that connects designers and clients, locally and globally. La Rosa is already playing a key role in that value chain process

Left: Hive of activity: Seamstresses at work in the factory. Above: Rozana goes over designs with a worker.

and has a great deal of potential to play an even bigger part.

WHAT SERVICES DOES LA ROSA OFFER? We create sports-wear, kits for sports teams, resort and swimwear, casual wear, formal wear, uniforms for the hospitality sector, executive work wear and bags. These products can be designed and graded to cater to any size. We possess the capacity and resources to take an idea from a drawing on paper, pattern or existing garment, make modifications or design adjustments and produce the styles for international retail and fashion line launches.

WHAT ADVICE WOULD YOU GIVE ENTREPRENEURS? Ryan: Pursue something that you love rather than something that you see and think you can get done. If it’s not your passion then with the slightest challenge you may call it quits. However, if it is your passion you will move heaven and

earth to get it done. Also, people need to take the time to research the background of an industry. Moreover, Caribbean entrepreneurs have relied for too long on government handouts and the current recession has negatively impacted many businesses due to the lack of financial support. Emphasis must be placed on innovation and finding inexpensive ways to get their businesses more visible. Rozana: You must love what you are doing. The transition to business ownership was easy because it was something that I love. Also, companies should value their staff and seek to provide an enabling environment, which promotes camaraderie and commitment among the team. See facebook.com/pages/La-RosaCouture-Inc/274690115887467 for more.

STORY BY STACY R PHILLIPS PHOTOGRAPHY BY ANDREW BROWNE.

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Trinidad & Tobago

W.I

Entrepreneurs

Café Marrakesh A delicious secret for many, Café Marrakesh is nestled in the Simplicity Shopping mall, on Murray Street in the capital city of Trinidad and Tobago. Owned by husband and wife team Bret Bulling and Terri Grice, Café Marrakesh offers a cozy lunchtime getaway with an incredibly tasty and health conscious menu. So how did a Zimbabwean anthropologist and a Trinidadian customer service specialist end up in the culinary industry? As Bret explains, it was simply through identifying a need. HOW DID CAFÉ MARRAKESH COME ABOUT? After deciding to get into our own business we weren’t sure at first what to do then realized that there wasn’t any place to go for a decent lunch salad or healthy lunch at an affordable price. Seeing a gap in the market we thought it was a business that could work so we decided to give it a go.

WHAT WAS IT LIKE GETTING THE BUSINESS OFF THE GROUND? Initially we started off with a delivery service from home,

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which we launched purely on US$84 of Facebook advertising. In three days we had more orders than we could handle and in the three weeks that followed the orders were too much to handle from our home so we starting looking for a suitable location. Seeing an ad in the newspaper about a new mall we checked it out and it was perfect for us. It also provided us with an in house market, as there were hair salons, spas and stores with an already established clientele passing through.

WHY THE NAME CAFÉ MARRAKESH? It was purely a design consideration. Terri is an avid designer and loves interior design. She wanted to do something different which was unique to the market. She wanted something cozy and after some research we decided on a Moroccan theme while I created the logo, menu and all the graphic design work.

WHAT MAKES CAFÉ MARRAKESH UNIQUE? The fact that Terri and I are here. We know a lot of our customers by name and we see the

Fun Facts about Café Marrakesh People’s 1st Reaction: Wow, this is amazing!

Above: Choose your dressing. Above Right: Winding down after a hard day Bret and Terri take a break in the dinning area of the cafe. Left #1: Jacket potato stuffed with smoked salmon, topped with cheese & grapes with a side of fresh salad. Left #2: Hard at work behind the counter. Left #3: Immune Booster smoothie.

“This operation is special because of its character and replicating it could be a risk, which could make it into a faceless chain. So we will... wait till the right opportunity comes up before we attempt to replicate...” same people day in and day out and get to know them personally. It makes Cafe Marrakesh quite unique. Also, because of the decor and who we have behind the counter customers feel at home and because of that people are very forgiving if we make the odd mistake.

BIGGEST CHALLENGES? Finding suppliers for the kinds of meals we want to provide as well as fluctuating produce prices which can sometimes go up as much as five dollars more at any given

time. However, the way we dealt with that is by trying to shave off as many extra operational costs as possible. For instance we don’t buy plastic bags and many customers will collect their bags and bring it to us this also helps the environment. We always look to keep cost down without affecting the quality of food or the quality of the service.

WHAT ARE THE PLANS FOR CAFÉ MARRAKESH? We have thought about expanding but the food market is really saturated at the moment especially as it seems to be an easier income earner option in this economic downturn. There is a huge amount of competition and in terms of having a physical outlet, location is key. The entrepreneurial side of us wants to scale up and take it places but we may actually try something different. This operation is special because of its character and replicating it could be a risk, which could make it into a faceless chain. So we will hang on and wait till the right opportunity comes up before we attempt to replicate.

WHAT ADVICE WOULD YOU GIVE ENTREPRENEURS Learn as many skills as you can before you start your own business. You don’t have to go to university to do so and you can find many tools to teach yourself the basic skills and understanding before you set out. Go to cafemarrakesh.wordpress.com for more.

People’s #1 Regret: That due to work or other reasons they are unable to visit the café as often. They usually come back and apologize to Bret and Teri for being away so long. Signature Dish: Moroccan Salad. A cold salad topped with hot roast potatoes, lamb and feta cheese. Signature Smoothie: The Immune Booster. Packed with immune boosting blueberries, banana and milk. Customer Service: Bret and Terri know many of their customers’ orders by heart. Age of operation: 2 years Bret & Teri: They have 2 kids. Bret, an ex diplomat was born in Zimbabwe and is an Anthropologist by training, he is also a marketing specialist and graphic artist. Teri is half English half Trinidadian but at heart she is Trini to the bone. A former customer service professional she is now dedicated to making Café Marrakesh a home from home for all her customers. She is also a fine artist and loves interior design.

STORY BY STACY R PHILLIPS PHOTOGRAPHY BY KI.NE.SIS STUDIOS.

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Trinidad & Tobago

W.I

Entrepreneurs

TropiMulch WHAT IS MULCH? Used in agriculture and gardening, mulch is a protective cover placed over soil to retain moisture, reduce erosion, provide soil nutrients, retard weed growth, inhibit certain plant disease, beautify, and also minimize the need for watering especially during the dry seasons. Tropic Mulch uses raw wood discarded from woodwork shops to create mulch. This wood is usually burnt as garbage which also creates air pollution.

WHAT PROMPTED YOU TO GET INTO PRODUCING MULCH? I have always been interested in the environment and finding ways I could do my part to help the

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An environmentalist by calling and a teacher and research chemist by trade, owning and developing the Caribbean’s first premium brand of Mulch was only natural for Tropi Mulch Managing Director Lionel Seucharan and now Tropi Mulch is quickly attracting the attention of regional distributors. environment. Then through growing my own food and doing landscaping at home I found mulch very expensive to buy, especially in the quantities I needed. One day a colleague and I were in a gardening store when we saw a small chipper shredder, it was at that moment my colleague looked at me and said, “Lionel you have all the raw material home to make mulch so why aren’t

you doing it?” Those words hit me like a sledgehammer. I knew it was true.

WHAT WAS YOUR PROCESS IN GETTING STARTED? After the experience in the store I immediately started to do research, examined wood shavings, looked at the coloring process, looked at what

customers cry faulty product. There is functionality and a science behind Mulch. I also hope to make Mulch affordable by offering no more than 13.50 USD per bag retail.

WHAT WERE SOME OF THE CHALLENGES YOU FACED? (1) Mulch production is very labor intensive and one of our challenges is to find effective methods of simplifying production. We are currently testing and perfecting processes.

local and regional competition there was and tried to work out the viability of the venture. I kept researching for close to a year and even got valuable information from a large producer of Mulch in the USA. It was just the push needed to realize this was doable. I then rented equipment, did samples, gave to friends with gardens and listened to feedback.

AT WHAT POINT DID YOU SEE A MARKET FOR YOUR PRODUCT? I found where there was a need. Trinidadian mulch had a hard time competing with international mulch because not much thought went into the local process of creating mulch. I also noticed that both regional and foreign makers didn’t say much on their labels about the contents of the bag or even how to use it. Many people use mulch incorrectly and there are usually no instructions on the bags to guide them. As a result when the mulch doesn’t t work many

(2) The second challenge was what I call an attempt at corporate assassination. A large Trinidadian company took interest in my product. They offered to purchase my mulch and distribute throughout their outlets. I was asked to prepare samples and a presentation for their agricultural department for the final sign off. Weeks passed and no one called, nor was I able to reach anyone by phone. One day I paid them a visit only to be told I did not know what I was doing and they even said they would not be interested in my product now or ever. I was crushed but said thank you and left. I seriously began to doubt myself until a Dominican agriculturist, who’s also a friend of mine, advised me and helped me get the mulch tested and verified. That was what I needed to prove what I knew and reinvigorate my journey.

WHAT WAS THE INITIAL RESPONSE TO THE PRODUCT LIKE? Dismal! When I started I could not afford colorant so many plant shop owners refused to even look at the product even when I offered to leave free samples. Now after two years we are up to one thousand bags a month with nine distributors, several landscapers and we are also currently lining up distribution in Barbados and other Caribbean nations.

WHAT’S IN THE FUTURE FOR TROPI MULCH? Making the process green. We are looking into using biodegradable bags, converting our machinery from diesel to bio oil as

“Many people use mulch incorrectly and there are usually no instructions ... to guide them. As a result when the mulch doesn’t work many customers cry faulty product. There is a functionality and a science behind mulch..” well as using solar dryers to dry our dyed product before packaging. Also as part of our corporate responsibility we hope to partner with stakeholders in the green revolution to increase environmental awareness. We have had discussions with various Trinbagonian environmental organizations and we have also been able to reach out to the next generation of entrepreneurs in schools.

WHAT ADVICE WOULD YOU GIVE ENTREPRENEURS? Once you believe it, conceive it and make it happen. Sometimes launching into something scares you and sends you back into the hole but be confident and determined and believe in yourself. Go to facebook.com/Tropimulch for more. STORY BY STACY R PHILLIPS PHOTOGRAPHY BY KI.NE.SIS STUDIOS.

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Human Capital By Shane Ram

PEOPLE ABSOLUTELY CRITICAL TO THE ENTREPRENEURIAL COMPETITIVE ADVANTAGE

is not a one-off phenomenon; rather, it’s a continuously evolving process and needs a favorable environment to initiate and prosper.

any entrepreneurs repeat the mantra that ‘People are your most important asset’ but most don’t really understand why and how to manage and optimise their people. Most entrepreneurs do not employ HR professionals in their organisations and when they do they are often relegated to an administrative role. All entrepreneurs should be seeking a competitive advantage but many do not understand the concept and more so how their human resources contribute to their competitive advantage. Continuous innovation, efficiency of use of assets and customer service are key to competitive advantage.

ESSENTIAL INGREDIENTS

human resources are critical to competitive advantage and profitability.

LIP SERVICE VS CUSTOMER SERVICE Entrepreneurs also give lip service to the importance of customer service to achieving a competitive advantage. Great customer service is absolutely essential to achieving a competitive advantage and people are the primary deliverer of customer service. This is another reason why the human resources, and more so the right

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INNOVATION Innovation is also critical to creating and sustaining a competitive advantage. Despite the advent of artificial intelligence etc, only people can innovate. Continuous innovation helps a company not only to mitigate the challenges thrown up by the business environment but also to make the best use of new opportunities. This goes a long way in keeping the organization ahead of its competition and also keeps it fit to fight new entrants but innovation

Human Resource is an essential ingredient for any organization, big or small and is a must for the success of a start-up. For any start-up, clear defined policies and procedures are required to govern the workplace and hence it’s advisable for the entrepreneurs to have a good understanding on different aspects of the HR function. Defining smart HR policies can make the organization more efficient and prevent common business problems. Usually, HR practices are the last thing on the agenda of start-ups, but it is often realized that organizations using best HR practices from the beginning have a higher productivity and stronger market performance, relative to their competitors. People are the assets that companies absolutely and categorically can’t do without.

THE RIGHT BALANCE During the first phase of business entrepreneurs experience major challenges in managing the workforce. HRM within growing SMEs shifts from an operational focus on people to a more strategic focus. Throughout the process of evolution, entrepreneurs need to find the right balance of HR

practices, formalization, delegation and training. Thus, HR plays a pivotal role in the success of any entrepreneur but as an entrepreneur you also need to know HR practices inside out - everything from answering employee questions to determining the benefits package you offer to your employees.

“Organizations using best HR practices from the beginning have a higher productivity and stronger market performance, relative to their competitors. People are the assets companies absolutely and categorically can’t do without.” Entrepreneurs need to invest in manpower planning in order to match the structure of the organization and manpower as it saves them from facing serious challenges like HR Compliance and Legal issues. Whether it’s a small or a big organization, HR Compliance is very important at the initial stage. Entrepreneurs who rely only on formula-based thinking, traditional rule of thumb and reactive behavior will hinder their progress. Human resource management practices are critical for encouraging entrepreneurial behaviors. Now the bigger question – which of these particular practices: recruitment, selection, training, development, performance management, job design, evaluations or rewards- are most conducive to fostering the entrepreneurial spirit?

Would you trust your BUSINESS to just any professional in a suit?

Thought Not! Why then trust your Accounts to anyone but a Chartered Accountant Chartered Accountants are highly trained professionals that are of immeasurable value to the development of any business.

Tel: 868.623.8000 . Email: icatt@tstt.net.tt Fax : 868.627.7087 . Web: www.icatt.org

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Marketing By Kheron Arthur

Necessity of Market Research ENSURING CUSTOMER SATISFACTION THROUGH MARKET RESEARCH

and services that will be of value to your potential customer.

aribbean businesses often under estimate the enormous potential to be gained through market research. I know that some of you may be thinking that all you need to do is make your product or service available and customers will purchase it regardless of price, location or quality. Unless you are Apple Inc. with products such as the ipad, iphone and ipod, this is not always the case. Most fortune 500 companies such as Wal-Mart, Toyota and Coca Cola have conducted extensive market research that has enabled them to get an understanding of their customers. Questions such as who are your customers? What do they want from your product? And where are they located can all be answered from careful market research thereby enabling you to develop a product your customer wants and increasing the opportunity for sale.

IDENTIFYING GAPS Structured market research can also assist in identifying gaps and opportunities that may exist within your chosen industry. Car manufacturers, Hyundai and Kia, conducted extensive market research in 2008 towards discovering the factors that will attract customers by focusing on what they wanted in a time of

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The first step is gathering this information from the population of your potential customers. There are many research techniques that can be use to achieve this namely surveys, focus groups, observations, and field trials. Surveys. These are questionnaires that are used to gather information on consumers’ attitudes and behaviour. The larger the population the more reliable your results will be as a representative of your average customer.

recession. The result showed factors such as reasonably priced vehicles of world class manufacturing quality with excellent warranties. The use of this information enabled the change in both automotive brands that we now see today where Hyundai’s sales soared to 5.74 million vehicles worldwide during 2010, placing 4th behind Toyota, GM and Volkswagen.

BUILDING CUSTOMER LOYALITY Building revenue and customer loyalty is all about knowing your customers buying habits, needs, preferences and using that information to develop products

Focus Groups. This form of research involves studying behaviours or responses by having an organised group of participants discuss a particular topic or product within a controlled environment. These sessions are usually conducted at neutral locations, using videotaping techniques or tape recorders to record the discussion session. An example of this was done by Malta Carib of Carib Breweries, Trinidad and Tobago before they launched Xtra- Malt onto the market. In order to capture consumer information on existing and potential Malta products, focus groups were formed throughout Trinidad comprising mainly Malta drinkers. At these focus groups, participants were led into structured discussions by a moderator dealing with experiences and sampling of Malta products.

Observation / Field Trials A good way to understand and gather research data on how well consumers would respond to your product is by placing it in selected stores to test customer response under real-life selling conditions. The information gained can help you with regards to product modifications, price adjustments or package improvements. Also it helps you the entrepreneur to strike up good relationships with the store owners and customers. The execution of market research is as important as selecting the appropriate method to obtain the information you desire. Few Caribbean business possess internal marketing specialist with the capabilities and resources to deliver market research and analysis. Fortunately there are several organisations within the region that offer these services that then affords you the opportunity improve your products and service.

THE HARD TRUTH

“Research is about people. To better understand them, we can look and listen. Watch how they behave in a shop, analyze what they are saying on Twitter, read what they write on their blogs and newspapers. ..” -Emmanuel Bellity, CEO, Opismart. Market research is cumulative and provides long-term benefits to a business. If you truly aspire for greatness in your business, then it is time to dive into some market research towards understanding your customer and knowing what you can do to win their satisfaction.

Market research can be costly, in relation to time, money and resources but Caribbean companies must understand it is only with market research that they can have the value added advantage on the market. Market research works in tandem with your marketing and advertising arsenal, which should all be viewed as a matter of corporate security. Efficiently done market research and your overall marketing strategy can ensure you sales revenues are maintained and increased and can even positively boost your position in the eyes of the consumer.

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