Crecimiento empresarial Archives - Página 5 de 8

5 ways to shift into a home-based business model

4 de junio de 2020/en Sin categorizar, Crecimiento empresarial/por Lucy Reed, Guest Author

With more companies moving out of the office, here are some tips to shift yours into a home-based business.

Gone are the days when remote working was a novelty. Today, working at home is just as normal as getting dressed and going into the office each day. And if you are planning to shift into a home-based business model, you have fewer obstacles than ever. But that doesn’t mean there aren’t challenges along the way.

Here are five ways to get your home-based business set up and keep the momentum going.

1. Get your finances in order.

When launching any new business strategy, your first task is to ensure that you have the money to operate. But finding extra cash can be difficult, particularly if you’ve lost contracts and have dipped into reserve funds or even personal savings because of the pandemic. But there are ways to get financial assistance. Some organizations such as ZenBusiness, for example, have launched a COVID-19 relief strategy and are offering grants of $1,000 to select businesses.

Even if you miss out on a grant, there are more options to get working capital. If you have outstanding accounts receivable, for example, you may be able to get financed in as little as 24 hours from our team who can help select the right funding solution.

2. Handle the legal details now.

Legal paperwork

Regardless of what you do or where you’re located, all businesses must be set up with the right legal structure. If you are a freelancer, this may just be something as simple as adding income to your personal tax filing. However, anything more than a solo endeavor will require a legal strategy.

This might include having a business plan, partnership agreement, or terms of service in place before you get started. In the US, the Small Business Administration further asserts that you’ll need to register your business name, trademarks and domain. This helps protect you from competitors and legitimizes your presence in the business world.

3. Master marketing.

Social media marketing

Marketing may not come naturally to every business owner, but it’s a crucial element when launching and running your operation. Fortunately, thanks to the Internet, there are plenty of places to find relevant information on how to market your business. Optimally, you will identify your target customer and cater to them on their terms. To get you started, you can use a mix of social media marketing, search engine optimization and branding.

Related: 10 ways small business marketers can crush big competitors

4. Grow your team.

Think of your business as a garden. Once you have planted the seeds, you can watch it grow. But you can’t do it alone, and you will eventually need to place talent in areas where you may not be the strongest. Hiring remote workers is a smart option and one that will allow you to continue to operate from the comfort of home. But remember to prioritize collaboration and communication. Keep your employees up-to-date with what’s going on by sending out regular updates or collaborating on Slack and similar channels.

Critical to keep on top of here is salary and payroll. Even though employees are working remotely, it’s important to compensate them fairly so they stay motivated and rewarded for quality work. This also helps reduce turnover, which can increase your overall expenses. HRDirector even notes that a telecommuting employee may bring home around $4,000 more annually than they would in a traditional office setting.

Many business owners can run into challenges making payroll at certain times throughout the year. Liquid Capital financing options can also help you get over these hurdles.

5. Evaluate every day.

Evaluate data

Any size of business can benefit from performing routine evaluations. Even if you’re comfortable with what you are doing, it never hurts to dig in deep to make sure that your customers are happy and they are capitalizing on all available market opportunities. Routinely ask yourself questions about your direction, available resources and areas where you might improve. Failure to do so can leave you sitting stagnant.

To summarize, you have to start with financing. Without capital, it’s going to be exponentially difficult to get up and running. Next, make sure to take care of the legal aspects, learn how to market your business, and grow your team into a supportive organization that can help you move to the next chapter. Finally, never get complacent. Evaluate your business each day, and you’ll have many more opportunities to grow, even when running your company from a home-based office.

Next Up: 3 biggest financial challenges facing small business owners

At Liquid Capital, we work with clients who operate businesses in a variety of industries and office structures — whether from busy downtown buildings, the manufacturing floor, on-the-go or from their home office space. We’re business people ourselves, and our company is built on a network of locally owned and operated Principal offices. Whenever you’re talking to Liquid Capital, you’re talking directly to your funding source and a fellow business person.

Images from Pexels and Pixabay

21 effective ways to get more accomplished every day

22 de mayo de 2020/en Sin categorizar, Crecimiento empresarial/por Liquid Capital

Even the most productive business owners and entrepreneurs feel like they can (and should) get more accomplished. Here’s how…

What do the world’s top businesspeople do to be hyper-productive? How can they fit so much into each day, week and year to get more accomplished than the average worker? The answer often lies in the small tasks to stay focused on their goals, priorities and the outcomes that will consistently progress them to the next level.

Especially when remote working, it can be easy to get distracted and out of the regular routine. Updating our work habits at home or on-the-go can bring focus back to our days, so we still have time for some rest and relaxation.

Here are 21 of the greatest tips that elite entrepreneurs and business pros do that have put them on top.

1. Get more accomplished with an ultimate to-do list

Create a master to-do list, not a variety of different lists in multiple formats and locations. Stick to one, preferably online that syncs across all devices and that is available when you’re offline — so even when you don’t have Wi-Fi you can keep adjusting your task list.

2. Prep every night

Start the night before by answering three questions for the next day: 1) What will you work on first thing tomorrow? 2) What do you hope to accomplish during the day? 3) What must get completed tomorrow, in priority? The answers should feed into your to-do list.

3. Your routine is key

Establish a daily ritual. For example, you may start your day by pouring a coffee, putting on instrumental music and reading your favorite newspaper online. Then move straight into your most critical task of the day. By mid-day, you may decide to always take lunch and a 15-minute walk, and on the way home you catch the latest podcast on your list.

4. Learn on the go

Speaking of podcasts, listening to them on your commute to or from work is a great way to research and learn. Don’t waste that time on Google or Candy Crush though, when you can be getting in some professional development time or improving an important skill. Listening to podcasts like HBR Ideacast and Outside In will get you thinking a step ahead of your competition.

5. Power hour

Schedule a “power hour” for the first 60 minutes of every morning — where you work diligently and uninterrupted on the most important task on your list. Avoid checking email and doing the little tasks that can veer you off course all day long.

6. Satisfy the stomach

Never ignore a rumbling stomach. This doesn’t mean you should satisfy every snack craving, but make sure you’re staying fuelled up during meal times throughout the day. Working straight through your day without a meal can be the ultimate crush to productivity. So scheduling those meals into your calendar can also be a nice reminder.

7. Get away to recharge

Get in a couple mini-breaks throughout the day, whether that’s just to step away from the computer for 10 minutes, or a walk around the block. Establish a “break habit” by scheduling them into your calendar or using an app to keep track of your time — and potentially to signal when a break is needed.

8. Emails can be your worst enemy

Enforce a personal email strategy, where you set certain times on your calendar to check email — and don’t spend any more time than allocated. Process the emails according to priority and pick up the phone for emergencies, rather than resorting to typed messages.

9. Time to tidy

Organize your workspace. It doesn’t have to look as clean as an office showroom, but your space should be tidy and uncluttered, which helps you focus on the tasks at hand. Nothing is more stressful than searching tirelessly for your office supplies, working files or phone when you need to get things done in a hurry.

10. Zero distractions

When you’re in true work mode, close down any distracting Internet browsers, email programs or other software. At the very least, minimize them from your computer screen so you won’t get the urge to click elsewhere.

11. A “social” reward

Treat social media like a reward. It’s easy to get distracted by eye-catching headlines and notifications on your phone, so shut those off and save the fun stuff for when you accomplish a task. Then, when you complete each major task, you can reward yourself with your favorite distraction — like a quick one-minute video of a cat being cute. Just make sure you shut it down after the reward to stay productive.

12. One task at a time

Stop trying to multitask. Studies show it actually can make you pay less attention and have troubles recalling information. You may feel like you’re getting more done, but in reality it could slow your performance down.

13. Just say ‘no’

Contrary to what you may have been taught, it’s not impolite to say ‘no’ to tasks that derail your productivity. You may want to help others out with their requests, but sometimes you need to decline their request in order to get your work done. By saying ‘no’ you can free up future time for something you really want to say ‘yes’ to — and that will be more fulfilling in the long run.

14. Like Costco for your calendar

Schedule time slots to work on things in bulk. Like many people, you may have had days where you jump so quickly from task to task that you never have a chance to sink into any of it. Instead, schedule multiple working time slots in one to two-hour segments throughout the day where you can have uninterrupted work.

15. Cut your low-value tasks

High productivity people follow the Pareto principle — 80% of your results can be driven by 20% of your effort. The key is figuring out what the other 80% of your effort is spent on, and then systematically delegating, deleting or diminishing those from your schedule so your day becomes more valuable.

16. High-impact times of day

Discover your productivity rhythm — that is, the time of day that you are most impactful. People can be classified into three categories: the morning crush-it, the high noon heavy hitter, or the night owl ninja. Find out which one you are and schedule your tasks accordingly.

17. Always be goal oriented

Never lose track of your long-term goals. Too often, we move from one thing to the next just trying to get through the day. But by integrating your yearly objectives into all your meetings and activities, you’ll be more prepared to cut unnecessary activities and keep your teams (and yourself) focused on the right priorities.

18. Positively priority proficient

As new tasks arrive, reprioritize with speed and ease. The trick is giving every task an A, B or C rating (or 1, 2, 3 if you prefer). The As will get ultimate priority as your most important tasks — so if a new B task comes in and you’re working on an A, that new B task can wait. But conversely, if an A task arrives, you better hop on it.

19. Make meetings count

Even when they’re virtual or on the phone, make sure your meetings are efficient and worth every minute — otherwise, they won’t be worth your time and you should cut them from your schedule. Every meeting must include an agenda with clear objectives, and schedule less important meetings into the second half of your day so you have more time in the morning to complete key responsibilities.

20. High gear afternoons

An hour and a half before the end of your workday, you have a perfect window of opportunity to kick your productivity into high gear. Get your affairs in order by checking your email and drafts folder, finishing those last messages and then completely closing your Inbox. Then, your last hour of work can be spent entirely undistracted.

21. Final 10 before freedom

The last 10 minutes of your day can set you up for a more productive tomorrow. Make sure your to-do list is finalized, clean-up your workspace, sign out of every app and program (including on your phone), and then do a brain dump — where you jot down anything left on your mind so you can go home with lighter shoulders and enjoy your night.

Featured photos by: Emmy E from Pexels, Julia M Cameron from Pexels, by Christina Morillo from Pexels, by Torsten Dettlaff from Pexels.

4 extra ways to get ROI from your web-based projects

10 de octubre de 2019/en Sin categorizar, Crecimiento empresarial/por Gloria Martinez, Guest Author

When you invest in your small business, making sure you get a solid ROI is always crucial. With web-based projects, you can take additional steps to ensure the benefits of those projects will be maximized.

Here are four ways (beyond the regular website tools) that can help enhance your web-based projects and ensure long-term success for your digital strategy.

1. Make your digital content more accessible

Consider using an automated transcription service to translate your audio or visual content into readable text for hearing-impaired consumers. This can help you reach a broader customer base by giving more people access to your content, products and services. ADA requirements in the US and accessibility rules in Canada can also apply to your site, so read through the regulations for your business, which could help protect you from lawsuits and costly legal issues.

When using an automated transcription service, you’ll want to limit background noise and utilize the highest quality audio to get the most accurate transcription. Using a service such as this will also allow your team to focus on other tasks, rather than filling up your schedule on this time-consuming process.

2. Hire creatively to help launch projects

When your business is growing, you may quickly need more staff. For web-based projects, you may be tempted to turn to part-time employees as a way to get help without having to shell out for benefits or bigger salaries. But when a part-time employee starts to work more often, especially when business picks up and project hours go well into overtime, it can be a tricky line to tread.

This is why many companies are hiring project-based help from gig apps instead. These part-time gig workers operate more like contract employees, but you can also find candidates on these apps who can fill permanent part-time positions, or even eventually full-time. This offers you a lot more flexibility, especially when project scope isn’t yet fully defined.

3. Turn to marketing pros to brand your business

Your web-based projects should also match your small business brand. Not sure what those standards are for your company? Then you might benefit from the services of a marketing professional who understand branding and how to tie that into your online presence.

Marketing consultant, Shane Barker, suggests that small businesses create a brand that sticks with customers and evokes strong emotions, and then ensure that brand flows through any online or social media presence. If that sounds too complicated to achieve alone, consider starting the search to hire a consultant instead.

4. Don’t overlook cybersecurity

Although you want people to know your business, it shouldn’t be because of a catastrophic data breach. Up to 60% of small businesses impacted by data breaches close up shop in less than a year after experiencing a major breach, and those that survive are left with thousands of dollars in recovery costs. So it is absolutely imperative that you protect any information that could be exposed to cyberattacks during your web-based improvements.

If you don’t have in-house IT expertise, one of the best ways to get help and assess your overall risk is to invest in cybersecurity consultant services. These experts can easily identify vulnerabilities that could leave your business open to an attack, help you create a strategic plan for preventing a breach, and save you valuable time in the process.

Any small business project that requires time and money, including web-based projects, needs to provide a healthy return to be worthwhile. By leaving some room in your budget to invest in the right help and resources, you can boost that ROI and take your business to the next level.

Up Next: 5 ways technology can help your small business grow

Featured image by Tyler Franta on Unsplash

How outside services can enhance your business

26 de abril de 2019/en Consejos de negocios, Sin categorizar, Crecimiento empresarial/por Lucy Reed, Guest Author

The age-old wisdom that time is money holds true for today’s small business owners. However, finding ways to streamline without sacrificing quality can feel pretty challenging. We’ve pulled together some of the best free and paid service options for companies in the B2B arena, so you can enhance your business and improve efficiency without skimping on quality — ultimately boosting your bottom line.

Go virtual

Knowing you want to make improvements is one thing, but knowing where to make them is another. Start by taking a hard look at where you and your team spend time, particularly on routine tasks. Sometimes, the solution to many problems comes in the form of equipment upgrades. For instance, Chron.com points out that virtual meetings reduce travel time, improve communication, and allow for more effective time management.

Get financing

Of course, if funds are keeping you from investing in technology, there are financing options to help you make it happen. Many of our clients make use of invoice factoring to increase their working capital. Whether you’re running a startup, have a well-established company, or have struggled with accessing funding in the past, your trusted financial partner can help you find the right option for your company.

Build your brand

It’s no secret that brand recognition can be a key to success. Take the wide selection of soft-drinks for example. One glance at your choices and you may instantly gravitate to a favorite — and that might have a lot to do with the visible branding. While most companies never get to that stage of brand recognition, carving your niche out of the market is a realistic goal, and there are ample tools to help you achieve it.

An effective and recognizable logo is a great starting point, and for businesses just starting out, you can use logo design services to create your own. Whether hiring a professional designer, going the crowdsourcing route, or taking a crack at it, DIY style, your updated look should follow key design best practices to make it eye-catching and impactful.

Engage social media

Social media can seem like a mixed bag for small business owners. Posting about your company’s comings and goings can feel like a time drain, much less taking the time to respond to comments and inquiries you receive from interested parties. However, when it comes to getting the word out, Entrepreneur.com points out that business owners shouldn’t underestimate the power of social media.

It’s free and effective, and with a few well-chosen tools, you can stay on top of things without skipping a beat. There are even apps for building things like surveys and quizzes, creating animated videos, and increasing exposure through hashtags. It’s a great opportunity to build your brand with minimal investment.

Enhance customer satisfaction

You probably know happy clients help sell services and products. Not only does it keep them coming back for more, they are more inclined to tell others about you. What’s more, when they run into a problem, being able to connect with you about it promptly can sometimes make or break their experience. With that in mind, consider adding free apps to your repertoire that enables your customers to voice their needs, day or night, without adding to your workload.

Related: 4 ways to keep busy customers happy (without sacrificing exceptional service)

Keep sales flowing

A faster, more efficient, and highly effective sales cycle can mean putting more time and energy toward the next achievement. As a small business owner, this can sometimes feel tricky, as the personal touch is often what endears you to your clientele. Thankfully, there are numerous online sales tools that automate time-consuming, behind-the-scenes processes so you can make the most of interactions and building your customer base. From email marketing systems and task scheduling to automated reminders tailored to your clients, letting apps take on the grunt work can free up time and boosts sales.

Engaging outside services to enhance your business can take your business to new levels. Look out for where efficiency could improve your processes, ensure customers are happy, and get the word out about your company in effective ways. These smart strategies can grow your small business by leaps and bounds in no time.

Up Next: See 10 ways that small businesses can crush big competitors.

4 ways to keep busy customers happy (without sacrificing exceptional service)

29 de marzo de 2019/en Consejos de negocios, Sin categorizar, Crecimiento empresarial/por Lucy Reed, Guest Author

Image courtesy of Pexels

If you own a successful small business, you know what it’s like to have a busy schedule. Your customers are likely just as busy as you are, so it’s important that you find efficient ways to help them out. But not just any service will do when you need to keep customers happy.

To win your customers over, you’ll need to provide an exceptional experience that will keep them coming back. Here are a few simple tricks to make that happen:

1. Save your customer’s time with easy transactions

Since customers are multi-tasking as much as you are, your checkout process needs to be as smooth and simple as possible. In a retail store, that means investing in a terminal that allows you to accept all forms of payment (even NFC payments and chip cards) and then getting your customers through the checkout process in a flash. The Square terminal could be just the system you are looking for to improve your business operations and streamline transactions for your customers. For e-commerce sites, users will appreciate an easy checkout experience as well, so make sure they can fill their baskets and checkout with minimum clicks.

2. Be prompt and courteous with your communications

As a business owner, you know the value of your time, so place that same value on the time your customers take to connect with your business. Clear customer communication is what can really set a business apart from competitors, so invest time into making your communications a top priority. If your customers reach out via phone or email, be sure to answer promptly with courteous and professional replies. When those touchpoints occur via social media, your responses should be even quicker. Of course, you can decrease the need for multiple emails with a comprehensive FAQ page so your customers know exactly what to expect from your business and products.

3. Address customer questions and issues ASAP

Answering customer questions is pretty simple. Dealing with upset customers, however, can feel like a nightmare for small business owners. But with the right response, you have a chance to turn one negative experience into a point of growth for your business. You may even be able to retain that angry customer if you respond with humility and focus on fixing the issue, rather than fanning the emotional response. Just like other communications, this is an area where being social media savvy can save your business, and help you provide better service for your customers.

4. Realize that different customers have different needs

When dealing with customer issues and communication, it can be helpful to remember the golden rule… Treat your customers as you would also like to be treated. But it’s also important to know that not every customer will think, shop or behave like you. All people have different personalities, varied emotional responses, and diverse needs, so tailor your operations and service to fit your varied buyer personas.

For shoppers and business owners alike, time is precious, so make sure you use the time you have with your customers to build lasting relationships, and keep your most loyal shoppers coming back again and again. Focus on building those positive experiences, and your business will continue to grow and profit.

Smart social strategies that keep your customers coming back

21 de febrero de 2019/en Consejos de negocios, Sin categorizar, Crecimiento empresarial/por Lucy Reed, Guest Author

Image courtesy of Pexels

More than 50% of customers part ways permanently following a single poor experience. That’s a lot of pressure to make every interaction count, especially since the bar has been set so high — and people’s expectations are constantly on the rise. And because of new online platforms, namely social media, it’s even easier for customers to voice dissatisfaction — or jump ship altogether.

Whether you’re selling products online or just have a website to market your business, keeping a positive online presence will be a key to success for any modern business. It’s no surprise to find recent statistics indicating that e-commerce is booming in particular, and some experts predict the U.S. will see as much as $600 billion spent via the web in 2019.

Fortunately, there are many ways to capture those uplifting reactions online and showcase your client base singing your praises.

Build a user-friendly experience

As Oberlo points out, offering self-help content on your website can immensely improve your customers’ interactions. Think in terms of FAQ pages and a live chat on your site to allow your customers to quickly and easily find the answers they need.

Another idea is to reward customers when they provide feedback on products, such as offering monthly drawings for e-gift certificates. It’s a chance to show your customers their opinions matter and that you’re listening. Consider using a product review platform if you aren’t already, and respond to customers who aren’t happy with offers to resolve their concerns.

Add a personal touch

It’s all too easy to let technology expand the gap between you and your customers. Look for ways to assure your customers they matter as individuals. For instance, when they sign up for newsletters, make sure it’s a worthwhile experience for them by regularly providing educational articles, sending information on new products or deals, and sharing news about accolades, milestones, and community interactions that matter to them.

If you have more information on your clients, send a special offer during the month of their birthday, or send out personalized messages at the holidays. You might not be able to shake their hand and wish them well face-to-face, but reaching out tells them they are valued.

Be reachable in all ways

With social media, a customer can reach a thousand or more friends in a flash, telling the good or bad about your company. This offers you a huge opportunity to connect with your client base, since social media is a free opportunity to engage with your audience in a comfortable and convenient way for them.

As Fast Company explains, keeping on top of your social media presence means your customers stay interested and engaged. Respond to comments and questions, and share information which is relevant and timely. You can use a social media management app to simplify the task— just read reviews to find one that suits your situation.

Catch eyes and provide interaction

Keeping things lively on social media means you’ll boost attention and brand recognition for your company. There is an overwhelming amount of information on the web competing for attention, so interesting events such as a design contest can generate interest while entertaining your followers and encouraging them to share what’s happening.

To launch a similar online event, think of a product with broad appeal and invite your audience to create their own versions. For instance, if you sell coffee products, appeal to them by asking for unique concepts of an insulated coffee container. You can showcase the entries through various online avenues, in-house, and at events — sharing photos and notes about the entrants. Then let your customers vote for their top choice and even consider selling a limited edition of products in your e-commerce shop.

No matter what your industry or which methods you connect with customers online, ensure you provide excellent service, personalized connections, and create an online presence which is interesting and reachable. You’ll forge a solid foundation of positive feedback, leading to more referrals and keeping your customers coming back for years to come.

15 legendary entrepreneur quotes that will inspire any business pro

29 de noviembre de 2018/en Crecimiento empresarial/por Mark Glucki

Featuring Emily Clark, Guest Contributor

Every entrepreneur’s success, big or small, begins with a brilliant idea. If worries or anxieties held back the world’s top business people, we would have missed out on incredible things like the personal computer, Facebook, the iPhone and even Harry Potter.

If fear of failure has ever held you back from running your own small business, don’t worry – you’re not alone. 40% of entrepreneurs share that sentiment, and it can roadblock from taking on new challenges in their professional lives.

We hear time and again how many top entrepreneurs succeeded only after failing – often over and over on multiple projects. Remember that failure is the first step towards success. Instead of being intimidated, you can use that feeling as personal motivation. The key for these top entrepreneurs was to keep their nerves strong throughout the hard times, be calm and battle through.

When you’re in a tense situation and fear is staring you down, it’s worth imitating the pros who have walked a mile before you. Take the famous example of Steve Jobs, who converted his failures into a rebirth of Apple, launching the iPod to become the most successful and arguably adored person in the tech world.

In the following infographic, “45 Legendary quotes from successful entrepreneurs” brought to you by Total Processing, see how notable entrepreneurs like Jobs, Bezos, Huffington and Beyoncé have viewed their golden journeys and stared down this fear of failure. These legends are experts in their fields, and their inspirational quotes will surely provide motivation to take on any fear and define your own legacy.

Up Next: Get the «Podcast Hit List» for successful business owners and entrepreneurs.

Is crowdfunding the best option for raising capital?

30 de octubre de 2018/en Crecimiento empresarial/por Liquid Capital

If you’re considering launching a new product, solution or next-gen business idea, you might have heard that crowdfunding could be a unique way to garner attention and raise capital. But is crowdfunding the most effective way to get you the necessary funds, and are there potential shortcomings that you should know about in advance?

How crowdfunding works

Put plainly, crowdfunding is a way to collect a bunch of financial contributions instead of looking for just one large investment — commonly achieved via websites such as Kickstarter or Indiegogo. These sites often highlight innovative ideas that are brand new to the market — launching to a wider audience and getting exposure that would have been time-consuming and much more costly through traditional methods.

Most crowdfunding platforms use a rewards model, allowing would-be entrepreneurs to provide incentives in order to get the crowd to fund their concept.

The most common incentive is providing the product or service when it’s ready, without additional charge. Some entrepreneurs utilize a tiered structure, where a small contribution preorders the product while a larger one garners additional perks, such as a special edition item or even a chance to collaborate with the developers on its final design. For early adopter consumers, getting in on the ground floor for a new product would have a great appeal.

Once the incentive structure is in place, most sites set a time limit on the idea’s profile. Nobody wants to look through abandoned ideas, so the time limit ensures that investors are only seeing active projects whenever they look for something to back.

That said, not all crowdfunding sites require a rewards model be in place.

GoFundMe is one example of a popular crowdfunding platform with no incentive structure. Instead, backers pledge their support for causes that they believe in. Patreon is another platform that allows artists, musicians and other content creators to solicit monthly contributions to support their work, rather than a specific project. There are also a few sites that allow investors to purchase a tiny equity stake in the idea they are backing, turning the process into a more traditional investment.

Advantages of crowdfunding over other financing

The biggest advantage of crowdfunding is that entrepreneurs are generally allowed to hold on to their equity. Backers get a product in exchange for their contribution, leaving full control of the idea to the original developer. If the idea ends up being worth millions, this can prove to be very significant. It also allows entrepreneurs to maintain unquestioned control over their company’s day-to-day operations.

Crowdfunding also creates an instant customer base with a vested interest in a given concept. Backers pick projects to support because they think they’re cool — meaning that they want to have it first. They’ll often go to great lengths to help promote the idea to their friends, family and anyone else who might listen on social media. After all, if an idea fails to resonate with the masses the way backers expected, they lose this cool factor.

Consumers are increasingly looking for products online, so an active digital presence can really help grow your brand, build awareness, positive sentiment and make consumers more likely to choose you in the future. And since crowdfunding is generally conducted entirely online, entrepreneurs can foster a meaningful relationship with their audience via multiple channels in creative ways that don’t have to cost an arm and a leg.

Disadvantages of crowdfunding over other financing

The time limit is essential for crowdfunding platforms to maintain a fresh inventory of ideas, but many of the downsides are tied to this restriction. Most platforms utilize an ‘all or nothing’ model that prevents entrepreneurs from keeping any of the money they collect if they fail to reach their stated goal. Failing to meet your goals can turn the entire endeavor into a costly waste of time.

Underestimating the capital needed can prove even more disastrous. Once an entrepreneur keeps a backer’s money, they are legally and ethically obligated to provide whatever incentive was promised in exchange. If they’re unable to deliver, the resulting litigation is likely to prevent the company from ever getting off the ground.

Some entrepreneurs see crowdfunding as a shortcut, but be warned it will take just as much (or more) preparation, business planning and effort to convince your backers. The digital-savvy and hyper-selective audiences demand a complete business plan detailing what their money will be used for regardless of how much they invest.

The online component of crowdfunding also requires business owners to live online and build support for the duration of the campaign, leaving little time for other duties. There are professional agencies that help manage crowdfunding campaigns, but using them adds to the costs that crowdfunding platforms already deduct from the money raised.

Not for everyone

Crowdfunding is a relatively new and potentially thrilling way for would-be entrepreneurs to raise money, but it’s not right for everybody.

Before you get started, look at all your funding options to determine if you have the right resources in place (time, money, expertise) to venture into a crowdfunding model. Talk to other business owners who have had successful (or unsuccessful) online campaigns and ask them for tips on getting started. Investigate the various crowdfunding sites and learn which ones will give you the appropriate platform to connect with your audience.

This process is just a starting point, and it can get a lot more complicated — so it pays to do your homework before jumping in headfirst. Once you’ve made an initial assessment, it’s time to get deeper into your analysis to choose a platform, crunch numbers and treat the crowdfunding just as seriously as you would any other business lending opportunity.

10 Avoidable Mistakes That Could Doom Your Startup

11 de octubre de 2018/en Crecimiento empresarial/por Mark Glucki

90% of startups fail. It’s a new world of business, and only the strongest new companies will survive. So how do you avoid startup doom?

Sometimes failure comes down to sheer bad luck or influences beyond an entrepreneur’s control, but in many cases, it can come down to the same simple mistakes that companies make time and time again.

Here are 10 common errors to avoid if you want your business to last the distance.

1. Inadequate Market Research

It doesn’t matter how remarkable you think your product is if the market doesn’t agree with you. Very few startups offer an innovation that can truly revolutionize a space, so before you spend significant money on development and marketing, be sure your market research is up to scratch. Don’t waste time and resources on a white elephant with no demand.

2. Insufficient Startup Funding

All startups need to have a realistic plan for how they’ll operate until revenue starts to flow reliably. Almost always, this means having sufficient initial funding in place to see you through the first lean months or years, whether that’s through your own investment or via a third party funding partner.

3. Unsuitable Partner Choice

As vital as funding is, it’s a mistake to go into business with a partner just because of the capital they can inject. For long-term success, you also need to have a matching vision, common aims, and complementary skill sets.

4. Poor Customer Care

If gaining and retaining customers isn’t your number one aim, your company will struggle to develop any momentum. Providing great customer care and an excellent experience is a non-negotiable requirement for success.

5. Ignoring Revenue Needs

Especially in tech sectors, it seems fashionable for startups to focus on building a product range and a user base while leaving revenue worries until later. This rarely works out well. If you don’t have a strong, actionable idea about how you’ll generate revenue as you grow, gaining more customers could actually be a fast route to failure as your costs quickly outstrip your income.

6. Poor Budget Control

Never let costs get out of control in your quest for growth. Losing sight of the importance of healthy cash flow is a big mistake — no matter how many other metrics you use to measure success. Unless you have investors with extremely deep pockets (who aren’t focused on ROI), you need to keep a steady eye on the bottom line.

7. Getting Overly Enthusiastic

Hopefully, your startup will be a rapid success, but it’s all too common for entrepreneurs to become too enthusiastic at the first signs of substantial profit. It’s important to keep a level head, press on with your strategy, and continue making sensible business decisions rather than letting that enthusiasm get the better of you.

8. Poor Hiring or Collaboration

There is a common image of a lone wolf or maverick entrepreneur, but the truth is that any successful business relies on hiring high-quality staff and working with skilled third parties when necessary. Trying to do everything yourself isn’t the best use of your entrepreneurial talents.

On the flip side, if it’s not working out with a staff member or third party relationship, you should have no qualms about rectifying the situation before too much damage is done.

9. Fear of Delegation

Once you have high-caliber staff in place, you need to trust them to do their jobs. Many driven entrepreneurs struggle with delegation, but it’s essential for serious growth. If you constantly micromanage your staff, expansion is limited by the number of hours you can put in personally.

10. Lack of IP Protection

Lastly, in the rush for growth, many businesses fail to properly protect their intellectual property. Patents, trademarks and copyrights are all essential. If others can replicate the core aspects of your business without any legal barriers, you can be sure that someone with deeper pockets or a larger existing customer base will eventually move into your space.

If you have the entrepreneurial frame of mind and a winning business idea, it can be tempting to go full throttle towards growth and success. However, it’s vital to learn from the mistakes of others and take a little care along the way. Avoid these common errors and you’ll stand a much better chance of being in business for the long haul.

Should I Accept Bitcoin in My Business? (Part 2)

24 de septiembre de 2018/en Crecimiento empresarial/por Mark Glucki

Cryptocurrency & Blockchain: Hype or the New Reality? (Part 2)

Bitcoin and other cryptocurrencies are based on the underlying blockchain technology that comes with safety, anonymity, and a lot of confusion. Read Part 1 of this story to learn what blockchain is all about.

Digital currency prices are even more temperamental than the stock market. They can increase or decrease unpredictably over a short period of time due to their young economy, novel nature and often-illiquid markets.

But if you invest or accept crypto at the right time, you can see huge gains.

Like any other investment, you should do your homework before purchasing any cryptocurrency. The same goes for accepting Bitcoin or other crypto for goods and services.

If you don’t know much about this new currency model, then educate yourself until you are certain that it’s a valuable trade for your business. And make sure your business can stay afloat even if you lost all of that cryptocurrency.

Be warned that many «experts» who provide crypto advice are more concerned with enriching themselves than helping beginners, so it’s best to stick to unbiased data until you really know what you are doing. To start, CoinMarketCap.com is a great unbiased source for nearly any token’s price, historical value and planned circulation. You can learn a lot by following these trends online.

Should I buy or receive crypto?

Before jumping into cryptocurrency, keep a few points in mind:

Never keep your business savings in cryptocurrency. View it like you would a high-risk asset.
If you receive payments, you’ll probably want to quickly convert them to your local currency to avoid any unpredictability with the market.
If you keep your currency in crypto, know that there are risks — don’t keep anything in these digital wallets that you aren’t willing to lose.
Transactions cannot be reversed. According to Bitcoin.org, transactions can only be refunded by the person receiving the funds. “This means you should take care to do business with people and organizations you know and trust, or who have an established reputation.”
Cryptocurrency is still not an officially recognized currency. “Most jurisdictions still require you to pay income, sales, payroll, and capital gains taxes on anything that has value, including bitcoins.”

How do I open a digital wallet?

If you’re still interested in owning cryptocurrency or accepting it in your business, you first need a «wallet» — which is your account.

Crypto wallets consist of two random strings of characters. The first identifies your account on the public blockchain, making it a username of sorts. The second is your «private key» — a password that must be inputted before any transaction to ensure that you are the only one who can use your account. Experts generally advise keeping your private key a secret to limit unauthorized use of your account.

Once you have a wallet, you need to choose a “cryptocurrency exchange” to facilitate your crypto purchase.

An exchange is like your cryptocurrency trading site — a place where you can buy, sell and trade digital currencies. Many exchanges are online sites, but some can also be brick-and-mortar locations.

CoinBase is a popular online choice for beginners due to its intuitive interface and the ability to fund your purchases with a credit card or bank account. Its selection is limited, so many crypto enthusiasts ultimately graduate to another platform such as Bittrex or Kraken.

The future of blockchain

Digital currencies are a complicated subject that can fill many textbooks, blogs, forums and conference agendas for years to come, so don’t rush into any decision just to jump on a bandwagon. You may miss a bit of the ride, but at least you’ll know what route you’ll be taking.

Only time will tell if crypto will change the financial landscape as we know it…

Missed part one of the story? Read it here.