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Tag Archives: business financial help

When Less Money is More Money

Here’s a sad story about trying to get more money when the end resulted in far less money: A business was owned by two friends. The relationship soured and as a business advisor, I was attempting to facilitate an agreement for one partner to stay and the other to exit. The most probable buyer offered over half a million dollars. The other partne... Continue reading

Instant or Deferred Gratification?

There can be a tendency to celebrate short term business success too soon. Let’s say your business has a good month and you make a nice profit. Should you take a bonus? Should you reward yourself right away? There is a philosophy out there that says to wait – to defer to the future. This is based on the assumption that when a business does ... Continue reading

Managing Your Interest Rate Risk

It seems 'the crowd' is assuming that interest rates will remain as low as they currently are for a few more years. A year ago this was true also. And since then the rates have actually gone down! Although I can’t predict the future, there is one thing that concerns: Since banks go out and borrow the funds they loan out for fixed rate mortgages,... Continue reading

Pricing Strategy

Are you pricing to the 10% of customers that are never happy? When you look at your customer base in your business, they will typically range from your 'raving fans' to the 'will never be happy' group. When you look at your pricing, you might think you have to offer one price to all your customers. If your pricing strategy is a 'one size fits... Continue reading

Rent Some Money to Make Some Money

Have you ever heard the saying, ‘you need a quarter to make a dollar’? What if your business has the opportunity to purchase $100,000 worth of new product that can be resold at a 35-40% mark-up? Why wouldn’t you buy it?  One reason you might not make the purchase is you don’t have an extra $100,000. Even if you have credit available, s... Continue reading

Increase Profits by Learning to Say ‘NO’

Some business owners have trouble saying NO. This often costs them financially. Here’s why: 1) Customer selection criteria - Let’s say you have a current customer who consumes a lot of resources and also owes you money. If they want more credit to get more services, the correct answer is NO. You are already losing money servicing this account... Continue reading

A Simple Solution to Small Business Cash Management Problems

I was talking yesterday with a client who I consider to be the best at collecting money as a small business owner. Quite a few years ago he actually went to jail trying to collect money from one customer because he tipped a desk over on him! – He doesn’t recommend that approach. The secret to easy collections is the conversation BEFORE the sal... Continue reading

Motivation in Business

Eliminate the option of doing nothing! As a business advisor and coach, time and time again I discover success is less about ‘what you know’ and more about the ‘actions you take’. While it is true you ‘need to know what you need to know’, this knowledge is fairly easy to obtain. The problem is when the ‘option of doing nothing’ e... Continue reading

Improving Business Owner to Banker Communications – 3 Tips

Bankers speak one language – business owners speak a different one – when they get together without a translator, the result is usually frustration. Here are some tips I have accumulated from over 30 years of being a translator. 1) Don’t assume that logic or reason are important to the lender – The most popular argument to a banker when ... Continue reading