Why should You become an Entrepreneur?

There are so many reasons not to become an entrepreneur. I am not going to list them for you, because if you are not an entrepreneur already, I am convinced that you know all of them. So I will try to point out two important reasons to become an entrepreneur.

Passion. Only if you are a really lucky man or woman, and you like something enough to love it, will you be able to dedicate your life to it. After thousands of hours of hard work you will start to generate great value and suddenly your passion will have become your livelihood. Someone will recognize the value and will be thrilled to pay a price for it. If you are ambitious you will create a company to deliver your passion to your market. Entrepreneurship just happened, as everything great in life. This is the best reason to become an entrepreneur: Your passion.

But what happens if you do not have a passion in life?

Do something that matters by solving a real problem. There are plenty of real problems in life waiting for a solution. If you can find one and figure out how to solve it by delivering great value at a competitve price, then you have the opportunity to become an entrepreneur. The size of your market will determine the dimension of the business and how to build it. Entrepreneurship that happens as an analytical process is a great thing in life. This is the other best reason to become an entrepreneur: To solve a real problem that matters.

Do you admire someone? Think about people whose passion led them to do something that matters by solving a real problem. Get inspired by them. You will find the path through their stories. Pay attention to their feelings, not to their skills. To grow as an entrepreneur you need to know about strategy, execution and leadership. You will need to provide the right balance between cash, people, strategy, execution and technology to your project. You will need all these skills, but don't forget to focus always on people's emotions. Then you will be able to solve real problems with passion.

Entrepreneurs - Top 10 Essential Entrepreneurial Traits

By Hilary Basile

Are you intrigued by the possibility of being your own boss and starting a business but not sure you have the right qualifications to be an entrepreneur? What are the characteristics of an entrepreneur? Although there is no single perfect entrepreneurial profile, there are many characteristics that show up repeatedly in successful business owners.
Following are the top 10 essential entrepreneurial traits that anyone who is interested in starting a business must possess:
(1) Independence:This is the most common denominator of all entrepreneurs. They want to seize control of their future; thus they decide to become their own boss instead of laboring under the gaze of a master.

(2) Persistence and Determination- The world of entrepreneurship is fraught with both success and failure. An important quality of a successful entrepreneur is the doggedness to continue pursuing a goal despite some setbacks and obstacles they may encounter on the road. This persistence and determination is fueled by a burning desire to achieve the goal of succeeding in the chosen field of business.

(3) Self-Confidence - Along with independence, an entrepreneur possesses self-confidence. They believe in their capabilities and makes sure that they will put in their best effort into their particular endeavors and likewise expect the best results from it. Belief in one's capabilities is very important in achieving any goal - especially in the world of entrepreneurship.

(4) Creativity-In the business world, you can not afford to be complacent and uncreative unless you want the competition to move up on ahead of you. Creative people are naturally curious, inquisitive, bright and highly flexible when thinking. They keenly observe their environment and have an eye for spotting new trends that could spark a business opportunity.
(5) Organized and goal-oriented:An entrepreneur knows the value of organization in a business endeavor. A good entrepreneur has the ability to consolidate resources.

(6) Visionary- An entrepreneur has a vision for his/her future.

(7) Risk-taking and Tolerance for Failure - A good entrepreneur realizes that loss and failure are inherent in any business endeavor. Thus, an entrepreneur must always be ready to make calculated risks and face whatever consequences accompany those risks. As in all fields of endeavor, the characteristic of a successful entrepreneur is in never giving up and in picking up the pieces and continuing the journey even if failure momentarily obstructs the way.

(8) Perseverance and Hard Work - These are perhaps two of the most important entrepreneurial traits.

(9) Commitment - An entrepreneur will not achieve success if he/she gives up at the first sign of trouble.

(10) Honesty and Honor - Another very important mark of a good entrepreneur is being honest and honorable in all business dealings and interpersonal relationships - whether it is between business partners, employees, peers or investors.

If you possess these traits, you may have the necessary skill set to become a successful entrepreneur.

Hilary Basile is a writer for MyGuidesUSA.com http://www.myguidesusa.com

A Profile of Steve Jobs - A Brief History of Steve Jobs and Apple

by Paul Suggett

Born February 24th 1955, and passing away on October 5th, 2011, Steve Jobs was co-founder, chairman and CEO of Apple Inc. His impact on the technology industry, entertainment, advertising and pop culture was vast, and he leaves behind an empire that is changing the way we all live and work.

The Beginning of Apple

It all started with three men - Steve Jobs, Steve Wozniak and Mike Markkula - who together in the late 1970's designed and marketed the Apple II series of computers. It was the first commercially successful line of personal computers, and led to theApple Lisa in 1983 - the first computer to use a mouse-driven GUI (graphical user interface). One year later, the Apple Macintosh was born (launched by one of the greatest ads of all time, 1984), and with it, the Apple legend began to grow.

The Fall and Rise of Steve Jobs

In 1985, after a long and drawn-out fight with the Apple board, Steve Jobs "left" the company that he helped create. Some say he was pushed or ousted, others say he left simply to pursue other projects. That being said, his next move was NeXT, a tech company he founded that specialized in higher education and business.

One year later, in 1986, Steve Jobs took a major interest in a small division of Lucasfilm Ltd. Focused on the development of computer generated graphics for animated movies, the company now known as Pixar was acquired by Jobs. It was a master stroke for Steve, who instantly saw the potential for the company (which we now all know as one of the greatest movie-making studios of our time). After many small projects and lots of trial and error, Pixar released Toy Story in 1995 (crediting Jobs as the executive producer) and the rest is history.

One year after the release of Toy Story, in 1996, Apple bought the NeXT company that Jobs owned, and asked him to come back in a leadership role. He was interim CEO from 1997 to 2000, becoming the permanent CEO from that point until his eventual resignation in August of 2011.

Steve Jobs and Apple Begin World Domination

When Jobs came on board in 1996, Apple was still very much a niche computer platform. Windows-based PCs were owned by the vast majority of consumers, with the higher-priced Apple computers mainly being used by the creative industries, including advertising, design and motion pictures.

However, that all changed when the iPod came along in November of 2001. Out of nowhere, Apple was suddenly on everyone's lips. The idea that thousands of songs could be stored digitally on one small device much smaller than any Walkman or CD player was mind-blowing. Steve Jobs had spearheaded a product that literally changed the way music was played and shared.

Within a few years, Apple was the technology that everyone wanted to own. And then came the iPhone in 2007, which took Apple from a major player to the company everyone was trying to emulate. Overnight, the iPhone reinvented cell phone technology, and it was yet another crushing victory for Steve Jobs. His company, Apple, was the brand leader and the one leading the field.

In 2010, after many variations of the iPhone, the iPad was launched to an initially luke-warm reception. People didn't see the need for it, but Steve Jobs knew it was going to have a big impact. And it did. By March of 2011, over 15 million iPads were on the market.

Steve Jobs Loses His Fight With Cancer

The health of Steve Jobs had been in question since around 2006, when his gaunt, frail appearance and lackluster delivery were the focus of his WWDC keynote address. In actuality, Jobs had announced his condition (pancreatic cancer) to his staff in mid 2004. Between 2003 and his death in August 2011, Jobs underwent many procedures and therapies to try and beat the cancer, but it was too aggressive. He stepped down as CEO of Apple on August 24th, 2011, and died just a few weeks later on September 11th (the 10th anniversary of the attack on the Twin Towers).

Steve Jobs was a visionary, an entrepreneur, a savvy advertising client, and from what everyone who knew him has said, a good friend. He will be missed by many.

BOOK REVIEW: The High-Performance Entrepreneur : Golden Rules For Success In Today’s World

Book Summary of The High-Performance Entrepreneur : Golden Rules For Success In Today’s World

Highly readable, crisply written…inspirational reading for any new Indian entrepreneur’—Frontline Difficult though setting up a business is, becoming a high-performance entrepreneur is harder still. And yet, of the many thousands who try, there are those who go on to become successful; some even graduate to setting up companies that hold their own against the toughest competition, becoming icons of achievement. In The High-performance Entrepreneur, Subroto Bagchi, co-founder and chief operating officer of MindTree Consulting, draws upon his own highly successful experience to offer guidance from the idea stage to the IPO level. This includes how to decide when one is ready to launch an enterprise, selecting a team, defining the values and objectives of the company and writing the business plan to choosing the right investors, managing adversity and building the brand. Additionally, in an especially illuminating chapter, Bagchi recounts the systems and values which have made Indian IT companies on a par with the best in the world. High-performance entrepreneurs create great wealth, for themselves as well as for others. They provide jobs, crucial for an expanding workforce such as India’s, and drive innovation. In India as elsewhere, governments have become much more entrepreneur friendly than ever before and the rewards of being a successful entrepreneur are many. More than just a guide, this is a book that will tap the entrepreneurial energy within you. ‘The tips offered in the book can make all of us, businessmen and employers, better at our jobs’—Business India ‘[A] wonderful book which will go a long way in guiding aspiring entrepreneurs’ —Sahara Times ‘A guiding light to budding entrepreneurs’— ‘A must-read for all those who dream of building a great institution from scratch’ Free Press Journal.

About the Author:

Subroto Bagchi is Vice Chairman and Co-founder of MindTree Ltd. Till 2008, Subroto was its Chief Operating Officer, a role he stepped down from to become its Gardener. His work involves co-innovating with MindTree’s customers, tending the top 100 minds in the organization and serving its fifty communities of practice. He is also Chairman of MindTree’s Innovation Council. His earlier books, The High-Performance Entrepreneur (Penguin Portfolio, 2006) and Go Kiss the World (Penguin Portfolio, 2008) were best-sellers and received critical acclaim.

Subroto is married to writer Susmita Bagchi and they have two daughters, Neha and Niti.

(Source:Flipkart)

BOOK REVIEW:
Difficult though setting up a business is, becoming a high-performance entrepreneur is harder still. And yet of the many thousands who try, there are those who go on to become successful, some even graduate to setting up companies that hold their own against the toughest competition, becoming icons of achievement. In "The High-Performance Entrepreneur", Subroto Bagchi, co-founder and chief operating officer of MindTree Consulting, draws upon his own highly successful experience to offer guidance from the idea stage to the IPO level. This includes how to decide when one is ready to launch an enterprise, selecting a team, defining the values and objectives of the company and writing the business plan to choosing the right investors, managing adversity and building the brand. Additionally, in an especially illuminating chapter, Bagchi recounts the systems and values which have made Indian IT companies on a par with the best in the world. More than just a guide, this is a book that will tap the entrepreneurial energy within you.

(Source:GoodReads)

TOP 10 BUSINESS PLAN MISTAKES

An  Excerpt from 'Entrepreneur's INSTANT STARTUP GUIDE'

1-MISUNDERSTANDING THE PURPOSE: IT’S THE PLANNING THAT MATTERS, NOT JUST THE DOCUMENT. Planning is a process of setting goals and establishing specific measures of progress, then tracking your progress and following up with course corrections. The plan itself is just the first step; it is reviewed and revised often.

2-DOING IT IN ONE BIG PUSH:INSTEAD, DO IT IN PIECES AND STEPS. The plan is a set of connected modules, like blocks. Start anywhere and get going. Do the part that interests you most, or the part that provides the most immediate benefit.

3-FINISHING YOUR PLAN. If your plan is done, then your business is done. That most recent version is just a snapshot of what the plan was then.

4-HIDING YOUR PLAN FROM YOUR TEAM. It’s a management tool. Use common sense about what you share with everybody on your team. But do share the goals and measurements, using the planning to build team spirit and peer collaboration.

5-CONFUSING CASH WITH PROFITS. There’s a huge difference between the two. Waiting for customers to pay can cripple your financial situation without affecting your profits. Loading your inventory absorbs money without changing profits. You don’t pay your bills with profits.

6-DILUTING YOUR PRIORITIES. A plan that stresses three or four priorities is a plan with focus and power. A plan that lists 20 priorities doesn't really have any.

7-OVERVALUING THE BUSINESS IDEA. What gives an idea value isn’t the idea itself but the business that’s built on it. Either write a business plan that shows you building a business around that great idea, or forget it.

8-FUDGING THE DETAILS IN THE FIRST 12 MONTHS. By details, we mean your financials, milestones, responsibilities and deadlines. Cash flow is most important, but you also need lots of details when it comes to assigning tasks to people, setting dates and specifying what’s supposed to happen and who’s supposed to make it happen.

9-SWEATING THE DETAILS FOR THE LATER YEARS. As important as monthly details are in the beginning, they become a waste of time later on. How can you project monthly cash flow three years from now when your sales forecast is so uncertain? Sure, you can plan in five, 10 or even 20-year horizons in the major conceptual text, but you can’t plan in monthly detail past the first year.

10-MAKING ABSURD FORECASTS. Nobody believes absurdly high ”hockey stick” sales projections. And forecasting unusually high profitability usually means you don’t have a realistic understanding of expenses.

What is the Role of an Entrepreneur in Economic Development ?

What is the Role of an Entrepreneur in Economic Development ?
by Chinmoy Kumar
The entrepreneur who is a business leader looks for ideas and puts them into effect in fostering economic growth and development. Entrepreneurship is one of the most important input in the economic development of a country. The entrepreneur acts as a trigger head to give spark to economic activities by his entrepreneurial decisions. He plays a pivotal role not only in the

development of industrial sector of a country but also in the development of farm and service sector. The major roles played by an entrepreneur in the economic development of an economy is discussed in a systematic and orderly manner as follows:

(1) Promotes Capital Formation:

Entrepreneurs promote capital formation by mobilising the idle savings of public. They employ their own as well as borrowed resources for setting up their enterprises. Such type of entrepreneurial activities lead to value addition and creation of wealth, which is very essential for the industrial and economic development of the country.

(2) Creates Large-Scale Employment Opportunities:

Entrepreneurs provide immediate large-scale employment to the unemployed which is a chronic problem of underdeveloped nations. With the setting up of more and more units by entrepreneurs, both on small and large-scale numerous job opportunities are created for others. As time passes, these enterprises grow, providing direct and indirect employment opportunities to many more. In this way, entrepreneurs play an effective role in reducing the problem of unemployment in the country which in turn clears the path towards economic development of the nation.

(3) Promotes Balanced Regional Development:

Entrepreneurs help to remove regional disparities through setting up of industries in less developed and backward areas. The growth of industries and business in these areas lead to a large number of public benefits like road transport, health, education, entertainment, etc. Setting up of more industries lead to more development of backward regions and thereby promotes balanced regional development.

(4) Reduces Concentration of Economic Power:

Economic power is the natural outcome of industrial and business activity. Industrial development normally lead to concentration of economic power in the hands of a few individuals which results in the growth of monopolies. In order to redress this problem a large number of entrepreneurs need to be developed, which will help reduce the concentration of economic power amongst the population.

(5) Wealth Creation and Distribution:

It stimulates equitable redistribution of wealth and income in the interest of the country to more people and geographic areas, thus giving benefit to larger sections of the society. Entrepreneurial activities also generate more activities and give a multiplier effect in the economy.

(6) Increasing Gross National Product and Per Capita Income:

Entrepreneurs are always on the look out for opportunities. They explore and exploit opportunities,encourage effective resource mobilisation of capital and skill, bring in new products and services and develops markets for growth of the economy. In this way, they help increasing gross national product as well as per capita income of the people in a country. Increase in gross national product and per capita income of the people in a country, is a sign of economic growth.

(6) Improvement in the Standard of Living:

Increase in the standard of living of the people is a characteristic feature of economic development of the country. Entrepreneurs play a key role in increasing the standard of living of the people by adopting latest innovations in the production of wide variety of goods and services in large scale that too at a lower cost. This enables the people to avail better quality goods at lower prices which results in the improvement of their standard of living.

(7) Promotes Country's Export Trade:

Entrepreneurs help in promoting a country's export-trade, which is an important ingredient of economic development. They produce goods and services in large scale for the purpose earning huge amount of foreign exchange from export in order to combat the import dues requirement. Hence import substitution and export promotion ensure economic independence and development.

(8) Induces Backward and Forward Linkages:

Entrepreneurs like to work in an environment of change and try to maximise profits by innovation. When an enterprise is established in accordance with the changing technology, it induces backward and forward linkages which stimulate the process of economic development in the country.

(9) Facilitates Overall Development:

Entrepreneurs act as catalytic agent for change which results in chain reaction. Once an enterprise is established, the process of industrialisation is set in motion. This unit will generate demand for various types of units required by it and there will be so many other units which require the output of this unit. This leads to overall development of an area due to increase in demand and setting up of more and more units. In this way, the entrepreneurs multiply their entrepreneurial activities, thus creating an environment of enthusiasm and conveying an impetus for overall development of the area.

(First published on: www.preservearticles.com)

The $100 Startup: Reinvent the Way You Make a Living, Do What You Love, and Create a New Future

by Chris Guillebeau

In The $100 Startup, Chris Guillebeau shows you how to lead of life of adventure, meaning and purpose – and earn a good living.

Still in his early thirties, Chris is on the verge of completing a tour of every country on earth – he’s already visited more than 175 nations – and yet he’s never held a “real job” or earned a regular paycheck. Rather, he has a special genius for turning ideas into income, and he uses what he earns both to support his life of adventure and to give back.

There are many others like Chris – those who've found ways to opt out of traditional employment and create the time and income to pursue what they find meaningful. Sometimes, achieving that perfect blend of passion and income doesn’t depend on shelving what you currently do. You can start small with your venture, committing little time or money, and wait to take the real plunge when you're sure it's successful.

In preparing to write this book, Chris identified 1,500 individuals who have built businesses earning $50,000 or more from a modest investment (in many cases, $100 or less), and from that group he’s chosen to focus on the 50 most intriguing case studies. In nearly all cases, people with no special skills discovered aspects of their personal passions that could be monetized, and were able to restructure their lives in ways that gave them greater freedom and fulfillment.

Here, finally, distilled into one easy-to-use guide, are the most valuable lessons from those who've learned how to turn what they do into a gateway to self-fulfillment. It’s all about finding the intersection between your “expertise” – even if you don't consider it such -- and what other people will pay for. You don’t need an MBA, a business plan or even employees. All you need is a product or service that springs from what you love to do anyway, people willing to pay, and a way to get paid.

Not content to talk in generalities, Chris tells you exactly how many dollars his group of unexpected entrepreneurs required to get their projects up and running; what these individuals did in the first weeks and months to generate significant cash; some of the key mistakes they made along the way, and the crucial insights that made the business stick. Among Chris’s key principles: if you’re good at one thing, you’re probably good at something else; never teach a man to fish – sell him the fish instead; and in the battle between planning and action, action wins.

In ancient times, people who were dissatisfied with their lives dreamed of finding magic lamps, buried treasure, or streets paved with gold. Today, we know that it’s up to us to change our lives. And the best part is, if we change our own life, we can help others change theirs. This remarkable book will start you on your way.

(First Published on: GoodReads)

PROFILE: Chad Hurley's Success Story

Chad Hurley's Success Story
Co-Founder of Youtube

"There is no old media. There is no new media. There is one media with one common purpose: to inform, move and inspire the world through information, art and entertainment. Together, we can find a solution that will benefit everyone in this ecosystem, from consumers to advertisers to the content owners alike."

Nowadays, millions of people all around the world every day spend hours in front of their computers watching videos on the internet and commonly on YouTube. But who is behind this idea of genius? The people responsible for it are Steve Chen and Chad Hurley. This success story is focused on the amazing life and road to success of Chad Hurley and his enormous contribution to the world of Internet.

Born and raised near Birdsboro, Pennsylvania, Hurley showed his interests in arts during high school, which gave him a fine start for his light future and aroused his interest in computers and media. No wonder he was also a member of the Technology Student Association. Except his educational strength, Chad was into sports so he was a stand-out runner for Twin Valley High School's cross-country program. Hurley received his bachelor's degree in fine art from Indiana University of Pennsylvania and was ready to jump into the limitless business world.

His first chance to prove himself was by the time he was finishing college. He received an offer from PayPal to make the logo of the company which was topical for the next couple of years. While working there, he made a lot of new friends and some of them later became his employees and even business partners. After PayPal was sold, Chad used his bonus to finance his future project.

The success came soon as he founded YouTube, a video sharing website, in 2005. It quickly became one of the most famous online communities and was ranked as the 10th most popular website just a year after its launch. The journalist Scott Woolley said that the site was "at the forefront of a new video revolution on the Net. The upstart's birth coincided with a magic moment in the Internet history, when online video became cheap enough to give away." The idea of the two technology pioneers turned out to be such a revolutionary force and community-creating phenomenon, that in 2006 it was sold to Google for the stunning price of $1.65 billion. Thanks to his remarkable achievement, Chad was ranked at 28th place on Business 2.0 Magazine's "50 People Who Matter" list, which came out later the same year.

Today Chad is extending his activities in other spheres, so he was involved as a major investor with Team US F1 in Formula 1. Proud father of two children and beloved husband, Chad Hurley is not only the perfect example for successful young entrepreneur but a symbol of the balance between professional and personal life. His inspirational success story shows us what is like to be perseverant and purposeful. Hard work is always been rewarded so don’t wait, get started!

(First published on: www.boompedia.com)

7 Steps for writing a Business Plan

Start with a ‘story’ - ‘See the film in your mind’ about your venture – what do you want to do, how large do you want it to be, what will make you happy, what are your aspirations, etc. Imagine it as a business a few years down. This gives you a good view of ‘what you want to aim for’

Work out rough milestones and goals: Your long-terms goals and aspirations should then be broken into short-term and long-term milestones, which are the stepping stones to your eventual destination.

Think deeply of how you will implement it: This is the critical aspect of planning your implementation. This also gives you a view of the cost structures, the infrastructure & people needs, processes, etc.

Work out the ‘structure’ of an excel sheet: Now, after you have done the thinking, it is time to use
an excel sheet to evaluate if there is a business case in what you plan to do. Before you start entering
numbers, work out the ‘structure’ detailing every cost head and revenue stream.

Start working in the excel sheet – assumptions are critical: An excel sheet exercise with the
wrong assumptions is going to give you a very wrong direction, and perhaps wrong hopes. Be realistic.

Work on multiple ‘scenarios’: Life does not play out the way you plan it. Real life situation will be
different than your excel sheet plans. It is therefore essential for entrepreneurs to work out multiple
scenarios to see how the business will pan out under different outcomes.

Finally, articulate it into the ‘presentations’: Once your ‘Business plan’ is ready, you then
articulate it into different presentations. You can have an executive summary for introductions, a 8-10
slide ppt for first meetings and more detailed documents and presentations for follow-up meetings
where specific details are going to be discussed.

(Courtesy: The Hatch)

5 Ways to Set a New Company Up for Success

Starting your own business forces you to face your limitations, test out every idea in the real world and accept that sometimes what looked great on paper can be downright 

difficult to execute. But if you can, you should try your hardest to land an early success. After all, doing so can help boost your credibility, encourage potential investors and give you some money to build other businesses down the road.

So the question is, what can you do to encourage a more successful outcome? Here are five ways to set up your new venture for success:

1. Set low expectations. You may believe that your new product will change the face of the industry, and it very well might. But if you start talking up those expectations even a moderate success won’t measure up. By starting with a conservative approach, a modest success will be noticed and you will be perceived as even smarter than you are.
2. Start local. By developing and testing your idea or product in a local environment, you have substantial advantages from the start. Marketing and distribution costs will be much lower. Your most powerful network — that is, people you know — will be engaged, and you can do any polishing you need to do before spending big bucks on an untried process in a larger market. It’s also easier to get publicity locally, and, with luck, the buzz will spread as your company expands.

3. Grab low-hanging fruit. Pretty much every product or service has at least one super-strong potential buying group. Focus your efforts on that group with everything you've got. Market, distribute and support them, and, chances are, your sales will soar. That win will encourage you to expand to more difficult buyer groups. The other advantage to this approach isn’t particularly fun to acknowledge, however. If the low-hanging fruit doesn’t drop into your hand the way you expected, maybe there are problems with your business that you haven’t foreseen. You can find that out before you do a full market push.
4. Start with a single, likely client. Suppose your product would be a great fit for a variety of retailers such as Costco, Sam’s Club, Walmart and Target. It might be tempting to go after all of them at once, hoping that one will pop. This choice scatters your energy, and, if you fail, you have nowhere to go. Instead, choose only one possibility; the one you think is most likely to say yes. Visit the stores, determining where your product would belong and how much shelf space would be needed. Research their customer base and determine which customers would be the most interested and why. Consider options such as Costco’s road shows where you don’t get permanent space but instead have a week to sell what you can — moving from one location to another. Put together a presentation that shows you did your homework. Your chances of a yes are improved by this approach, and, if the answer is no, find out why and use that feedback to hone your presentation to selection No. 2.
5. Partner with another successful firm. Suppose a complementary and not competing company has the visibility and attention you want for your company. See if you can come up with a temporary partnership that will allow you to benefit from their strengths. For example, if your company offers a revolutionary knee brace for runners, talk to a local shop that caters to that group about offering a presentation on your new product. Consider giving the shop owner 50 percent of your sales dollars. It may be a wash for you in terms of revenue, but you've gotten your product in front of real customers.

What other tips would you add to this list? Let us know in the comments section below.
(This story originally appeared on 'Young Entrepreneur')

9 Ways to Beef-Up Your Business Skills on the Cheap

MATTHEW TOREN

In a perfect — albeit creepy — world, all entrepreneur-hopefuls wouldn’t need to mess with getting an MBA. Their business acumen would be engrained. That’s true to some degree. Some people can, as they say, sell ketchup popsicles to people wearing white gloves. But it’s hardly common knowledge to know how to manage employees or keep track of expenses or even devise a marketing plan.

For that, you need an education. But you still don’t necessarily need an MBA. Here, we break out nine low-cost, limited-time programs and offerings to help you get a toehold on the basics of business:

1. Community college courses: Audit courses if you can. After all, you’re there for information, not a degree. Want to make sure the instructor meets your goals? Try going to the class one night the semester before and ask to sit in. Most faculty will let you do that once. Or ask students how competent the instructor is. The website RateMyProfessors.com may also be helpful. Not interested in next Tuesday’s content? Skip class. Once you have the syllabus you can redesign the course to fit your needs. You’re auditing, remember?
2. Seminars: Sometimes these activities can get expensive. But if you look around, you can often find less expensive takes on the same topics. How do they do that? The seminar host is hoping you’ll buy CDs and books. Although you should prepare for some sales activity in the program, you don’t have to buy anything to get good basic information for a song.

3. The internet: Ted talks, blogs, websites (like this one) are loaded with information you can use. Make a list of areas where you feel weak and create your own training program. By searching on one topic every couple of weeks and taking notes, you’ll be surprised at what you can learn.

4. Magazines: These can be a rich source of information on business in general or your specific industry. Some of the industry-specific subscriptions can be expensive, but they’re worth it. If you’re not sure if the content will be valuable, check the magazine’s website to see if they have an accessible archive of back issues or ask for a trial subscription.

5. Build your own learning group: Do you have friends who are entrepreneurs or small-business owners who feel the same lack of business knowledge? Create a roundtable of them scheduled every couple of weeks. You can take turns exploring and sharing information on a topic or invite an expert to join you for the evening to answer questions.

6. iTunes U: This can be a terrific resource to hear from some very savvy people, often free or at a low cost. Download talks and listen while jogging or driving. Ivy-league professors have lectures available — both audio only and video. One online reviewer said: No dress code, bathroom breaks whenever, phone calls and texting are allowed. Only complaint is that my classmate meows sometimes, but that’s not really a big deal.

7. Local associations in your field: Many industries have associations that meet regularly, with speakers presenting on subjects that may interest you. As far as annual dues go, you should think of it like this: For the cost of a few lunches, you can stay on top of industry issues and learn more about business — not to mention, network with people in your industry.

8. Books: There are some great books out there on entrepreneurship, and many of them can help provide insights on how you can improve your business skills. I have one suggestion for you (shameless promo here) Small Business, Big Vision: Lessons on How to Dominate Your Market from Self-Made Entrepreneurs Who Did It Right. If we didn’t think it was a valuable book, we wouldn’t have spent the time and effort it took to write.

9. Just do it: Yeah, I know, stolen from the shoe folks. But jumping into the fire is going to teach you a lot. If you’re not sure what you’re doing, just do the best you can. Because after all, it is your business and no matter how much you work to learn, you’re the one responsible for your decisions.

What other resources would you suggest? Let us know in the comment section below

How do we know that we are ready to launch a start up with a product or service?

There is a saying “If you have 10 hours to cut a tree, spend 8 hours sharpening the axe”.
Similarly, launch when you know you have all the competencies and the resources required to run the business. I.e. when you have worked out your business plan, evaluated the business case, spoken to customers and are convinced that the value proposition makes sense to them,

when you have tested the product, when you have understood the dynamics of marketing & sales, when you have evaluated the cost of acquiring customers, when you have identified – and somewhat validated – all the assumptions that you have used in your business plan…. that is the time when you are ready to launch. And of course, you need to ensure that you have the required capital to sustain the business till you either (a) hope to become self sustaining of (b) when you hope to raise external capital – whether as a loan from banks/family/friends or as risk capital from angel investments/ VC/family & friends. HOWEVER… despite all this, and even after you are ready, you will have to evaluate what is the best time to launch. E.g. if you are selling something to schools  which they will use in their classrooms, launching in the middle of a school term may not be prudent.

(First published on 'The Hatch')

by MATTHEW TOREN There’s a big difference between visitors and customers. The logic is simple: Would you rather your startup have 10,000 monthly visitors to its site with a 10 percent sales conversion or attract the attention of 100,000 visitors with only a few finally deciding to buy from you? This question, as simplistic as it is, remains a big source of frustration for many online entrepreneurs. They often invest a lot of time, energy and finances to drive traffic to their sites, only to find out these people are not even the ones they want to fish out in the first place. So how can you steer clear from the many traps of aimless traffic generation? Here are five tips: 1. Be a problem solver. You have to admit that at least part of business success has to do with the timeliness of your products or services. You must answer people’s needs. The key is settling into a business that has problems you really love to solve, with customers whose pressing needs you are very good at addressing. When you’re able to identify your niche, you don’t only go out there to earn, you have a unique passion and an offering that suits the needs of those people. 2. Get into your customers’ psyche. People buy not only because they need things, they often buy to satisfy something deeper in them. It’s often the feeling they associate with a product that they finally make the decision to buy. Everybody needs a pair of shoes, but not just any shoes can satisfy that need. This is when branding, reputation and customer service come into play. In fact, this is why there is marketing in the first place. Get into what excites and interests your target market. This is the only way you can tailor-fit your campaign to the people who would not think twice of paying for what you have to offer. 3. Where are your customers? In online marketing, determining how your market interacts with the Internet is very important. It gives you leads to “where” they are online. Online behavior can point you to what sites they frequent, the social-media networks they prefer, the news they’re more likely to read and so on. If you know where they are, you can be sure to focus on places you need to have a commanding presence. This assures you of a steady stream of traffic of ready-to-pay customers, and it prevents you from effectively barking up the wrong tree. We all know how costly and time consuming that can be. 4. Do you really know them? To really pinpoint who your target customer is, you’ll want to dig in deep… find out how they tick, if you will. The key is to learn about them, even change with them over time. So basically, this means you can’t just buy one customer list and operate off that in perpetuity. You’ll need to continuously find out about your target audience. Are they reading things you should be reading? Do they shop at stores you’ve never heard of? All of these puzzle pieces could fit together and help you identify the bigger customer picture, if you’re willing to spend time accumulating them. 5. Close in on the deal. Once you know your customers and understanding where they are and how they think, you can specifically design an online marketing campaign that appeals to those people who would love to pay for your products or services. By being a problem solver, you’re forced to know yourself and understand your brand’s strengths and weaknesses. But understanding who you want to engage with online really seals the success of your business. What customer-targeting strategies would you suggest fellow entrepreneurs follow? Let us know in the comments section below. (First published on :youngentrepreneur.com)

BY MICHELLE GOODMAN

Nikhil Arora, 25, and Alejandro Velez, 24, didn't plan on being mushroom farmers. In 2009, during their last semester at the

university  of California, Berkeley, Arora lined up a corporate consulting job and Velez nabbed one in investment banking.

But a lecture on sustainability in a business ethics class changed all that. Their professor mentioned that he had heard it was possible to grow edible mushrooms in recycled coffee grounds.

"No one had ever taken that idea and done anything with it commercially," Arora says. Intrigued by the idea, the students took to Velez's fraternity kitchen, where they set up 10 paint buckets of used coffee grounds fertilized with oyster mushroom spawn. Ten days later, they had sprouted their first crop.

They conceived a business, fueled by a $5,000 prize from a campus innovation competition that allowed them to buy a van and rent a 200-square-foot warehouse. "At that point, that was like giving a million dollars to us," Arora recalls.

Two weeks shy of graduation, Arora and Velez nixed their plans to join corporate America. They spent the summer couchsurfing and giving themselves a crash course in urban farming, tweaking variables like humidity, airflow and temperature. The investment paid off. That October, they sold their first mushrooms to Whole Foods Market in Berkeley. "We still have that invoice on our wall," Arora says.

Soon they branched out into manufacturing and distributing indoor grow-at-home gourmet mushroom kits using recycled coffee grounds as "soil"; this became the basis for their company, Back to the Roots. "We started off doing the fresh mushrooms, then both the mushrooms and kits, and now just the kits," Arora says. "We were almost out of business doing both ... realizing they are very different operations--consumer-branded product vs. fresh produce--and we had to pick one to really execute."

Today, Back to the Roots operates out of a 10,000-square-foot warehouse in Oakland, Calif., selling its DIY mushroom kits to 2,500 retailers internationally, including Whole Foods, Safeway, Home Depot, Loblaws in Canada and Three-Sixty in Hong Kong, as well as directly to consumers online. Revenue reached $1.3 million in 2011 and is projected at $5 million this year. Consumer purchases of the $19.95 mushroom kits through the company's website account for 20 percent of all revenue.

To produce the at-home kits, Back to the Roots collects at least 40,000 pounds of used coffee grounds each week from 30 Peet's Coffee & Tea locations. This spared landfills 1 million pounds of coffee grounds in 2011; this year, Back to the Roots is on track to recycle 3.6 million pounds.

Arora and Velez take pride in having grown their sustainable food business organically, without VC or equity funding. To date, their most substantial cash infusion has been $125,000 in prizes from business-plan competitions, including two worth $50,000. To help ensure their employees share their enthusiasm, the owners divide half the company's profits among the 31-person team at year's end. "It's a fun way to align everyone to the same goal," Arora says. "We're all growing together. We really want to build a lifetime, generational brand."

(First published on entrepreneur.com)

5 Tips for Targeting Your Ideal Start-Up Customer

by MATTHEW TOREN

There’s a big difference between visitors and customers.

The logic is simple: Would you rather your startup have 10,000 monthly visitors to its site with a 10 percent sales conversion or attract the attention of 100,000 visitors with only a few finally deciding to buy from you?

This question, as simplistic as it is, remains a big source of frustration for many online entrepreneurs. They often invest a lot of time, energy and finances to drive traffic to their sites, only to find out these people are not even the ones they want to fish out in the first place.

So how can you steer clear from the many traps of aimless traffic generation? Here are five tips:

1. Be a problem solver. You have to admit that at least part of business success has to do with the timeliness of your products or services. You must answer people’s needs. The key is settling into a business that has problems you really love to solve, with customers whose pressing needs you are very good at addressing. When you’re able to identify your niche, you don’t only go out there to earn, you have a unique passion and an offering that suits the needs of those people.

2. Get into your customers’ psyche. People buy not only because they need things, they often buy to satisfy something deeper in them. It’s often the feeling they associate with a product that they finally make the decision to buy. Everybody needs a pair of shoes, but not just any shoes can satisfy that need. This is when branding, reputation and customer service come into play. In fact, this is why there is marketing in the first place. Get into what excites and interests your target market. This is the only way you can tailor-fit your campaign to the people who would not think twice of paying for what you have to offer.

3. Where are your customers? In online marketing, determining how your market interacts with the Internet is very important. It gives you leads to “where” they are online. Online behavior can point you to what sites they frequent, the social-media networks they prefer, the news they’re more likely to read and so on. If you know where they are, you can be sure to focus on places you need to have a commanding presence. This assures you of a steady stream of traffic of ready-to-pay customers, and it prevents you from effectively barking up the wrong tree. We all know how costly and time consuming that can be.

4. Do you really know them? To really pinpoint who your target customer is, you’ll want to dig in deep… find out how they tick, if you will. The key is to learn about them, even change with them over time. So basically, this means you can’t just buy one customer list and operate off that in perpetuity. You’ll need to continuously find out about your target audience. Are they reading things you should be reading? Do they shop at stores you’ve never heard of? All of these puzzle pieces could fit together and help you identify the bigger customer picture, if you’re willing to spend time accumulating them.

5. Close in on the deal. Once you know your customers and understanding where they are and how they think, you can specifically design an online marketing campaign that appeals to those people who would love to pay for your products or services. By being a problem solver, you’re forced to know yourself and understand your brand’s strengths and weaknesses. But understanding who you want to engage with online really seals the success of your business.

What customer-targeting strategies would you suggest fellow entrepreneurs follow? Let us know in the comments section below.

(First published on :youngentrepreneur.com)

How Social Entrepreneurs Who Need Money Can Get Noticed

by CATHERINE CLIFFORD

Do good business owners seeking funding should target investors looking to put their money to work to make positive social or environmental change. But how to get on their radar?

One new way to make your company known to these “social investors” is through a new online searchable database for social entrepreneurs. It’s called GIIRS, short for Global Impact Investing Rating System. It analyzes a company’s social and environmental performance and rates it against peers. The initial analysis costs between $2,500 and $15,000, depending on your business size. Companies with less than $500,000 in revenue may be able to negotiate special pricing, according to the GIIRS website.

Less than a year old, the database is being used by an initial group of about 20 investors and 60 private equity and debt funds. In 2013, any investor will be able to buy a subscription. The database is the product of B Lab, a Berwyn, Pa.-based nonprofit behind the B Corporation certification for benefit corporations, a class of corporation that has a general benefit for society as well as for shareholders.

There are other ratings services for particular industries, like Planet Rating for global microfinance organizations, but what makes GIIRS unique is that it includes ratings of the social and environmental impact of companies across all sectors, geographies and sizes.

Curious? Here’s a GIIRS FAQ for entrepreneurs.

How does GIIRS work? Interested investors can search through the online profiles of companies seeking capital to find those that fit their criteria. Also, GIIRS partner organizations work to raise awareness of and capital for socially and environmentally beneficial companies.

GIIRS investor subscribers range from large institutional investors to foundations to wealthy individuals — and search the network of registered companies for those that fit their specifications. Currently, the GIIRS rating system includes about 250 companies. So far, GIIRS investors have been primarily interested in buying equity in early to growth stage companies, not startups seeking seed funding.

How do I get a GIIRS rating? To be rated, you have to complete the GIIRS assessment, a test to measure your company’s social and environmental impact. The initial assessment, completed by filing out an online form, should take between an hour and an hour and a half. Then you will have to spend about an hour on the phone with a GIIRS representative to go over your assessment.

You will have to pay for the rating before it can be finalized. And before you are sent a copy of your GIIRS Impact Report you’ll have to deliver a slew of documents for verification. Randomly, one in 10 companies that obtain a GIIRS rating will be selected for a more thorough review, where a third party will look at your facilities, talk to employees, and go over extra paperwork.

How will GIIRS help me get capital? Clarity and visibility. There is a growing interest in sustainable or impact investing. U.S. investors would be willing to put up to $650 billion into sustainable investing today if there were more reliable research on the niche and clients demanded it, according to a recent report from Hope Consulting, a boutique firm in San Francisco. However, financial advisors aren’t always confident on how to make recommendations about what kinds of social enterprises to invest in, the report notes.

Financial services firms are spending a lot on their own research on social entrepreneurs and impact investing. If we can help make investing in these companies less expensive, then it is another way we can facilitate a greater amount of capital flowing to these companies, says Beth Richardson, director of the GIIRS program.

As a social entrepreneur, what has your experience been like looking for investors?Leave a comment below and let us know.

(First published on :entrepreneur.com)

How to be Profitable From Month One

by  LOGAN KUGLER

Scott Weiner is a self-described "Android nut" who has always upgraded to the latest and greatest smartphone. When he traded in his previous phone for the new Samsung Galaxy Nexus in late 2011, he loved everything about it. Except for one aspect.

"The thing is as slippery as if it's got grease on it," says the web entrepreneur and former employment lawyer from Fort Lauderdale, Fla. "I think I dropped it three times in the first week. So I ordered a bunch of cases to see if one would solve the problem, and I was pretty dissatisfied. I thought, Why don't I start selling cases?"

In April, Weiner did just that, launching DBA Cases, a company that sells and now designs premium Android smartphone cases constructed from high-quality materials such as an impact-resistant polycarbonate, a polymer that is also used in bullet-resistant glass and fighter jets. (Weiner says he plans to manufacture cases for the iPhone 5 this year.)

His first shipment of 750 units nearly sold out within a month, grossing $2,450. That may sound like a small number, but it was definitely something. More important, he was learning the business; he quickly built a sterling reputation among customers, secured a $20,000 investment and then launched phase two: manufacturing and distributing 8,250 cases for the hot-selling Samsung Galaxy S III. (10 million units of the phone were sold within two months of its release.)

Turns out, mobile phone cases are big business. According to a report from industry research firm NPD Group, case sales grew 28 percent to 23.4 million units between 2010 and 2011, with revenue up 57 percent to $661 million. That said, it's not a business for the faint of heart. Because pre-release information and rumors about upcoming phone models can be incorrect, it's a costly possibility that case-makers could have to scrap entire manufacturing runs.

Knowing the danger of bad information, Weiner didn't rush his homework. Over the winter, he methodically scoured reviews of every Android case on sites like Amazon, eBay and Alibaba. Then he went deeper to find out what the bestselling handsets on eBay were (Amazon doesn't publish such numbers). Weiner ordered and hand-tested many of the cases he researched.

He also searched eBay to determine how quickly phone cases dropped in value. He discovered that prices start in the $12 to $15 range, then drop six to 12 months after release. However, they usually bottom out at $8. This told Weiner that, at a minimum, he had to figure out a way to make a profit on an $8 case.

Mobile phone case sales grew 28 percent between 2010 and 2011.

While conducting his research, Weiner stumbled on an opportunity to get in the game with less risk: He discovered that a popular mesh case wasn't being sold for Samsung's Galaxy Nexus or Galaxy Note smartphones, both of which were still new to the market.

"I found the factory that made the mesh case and ordered sample cases for the Galaxy Nexus and the Note," he says. "I liked what I saw, but I didn't want to take a tremendous risk." So he ordered 600 pieces for the Nexus and 150 for the Note.

Weiner then sold his cases on Amazon for $11.50 each. His total cost per unit came to roughly $5.75--well within the $8 price floor.

Selling through Amazon was part of Weiner's larger strategy. The online retailing giant handled his order fulfillment and payment processing, even with his relatively minuscule product inventory. And he used the site to focus his marketing efforts. He knew from his engagement with Android power users on product forums that Amazon was usually the first place people went to purchase a good-quality case online.

Through the forums, Weiner sold a few cases and asked the buyers to post reviews on Amazon. Because of his cases' high quality and value, the feedback was sterling. DBA Cases catapulted into Amazon's top 100 for the product category, in turn boosting exposure and sales.

By May, a month after launch, Weiner had the confidence to begin looking for a factory in China that could manufacture cases of his own design for the new Galaxy S III. Through a sourcing agent, he eventually found a few factories to produce and ship 8,250 units to follow the release of the new phone.

"Throughout this whole process, I learned that if you want to start a company that is going to be a brand-name company, you can't be greedy," Weiner says. "There are many companies out there that are not growing as fast [as mine] because they sell phone cases for $30 or $40. I'm selling a better-quality case for less, because I don't want torip people off."

30 Days to Profitability
Follow this timeline to achieve quick success

T minus 6 months

Research your market. Talk to the best customers in your business category. Try to test as many of the competition's products as possible. Do it again three months later to see if any new products, shops or competitors have emerged. Scott Weiner of DBA Cases went to Amazon for reviews, eBay for sales numbers and Alibaba to find manufacturers and wholesalers to contact.

T minus 3 months

Decide how big you need to be. Figure out a minimum number of units you need to sell that will prove your concept and make the process worth your while. Your number depends on your available investment and your product. In Weiner's case, the fact that many Chinese factories require minimum orders of several hundred units was the deciding factor.

T minus 1 month

Find a middleman for the heavy lifting. Use a fulfillment service or intermediary such as Amazon or a wholesale distributor to handle the operational side of inventory, shipping and payments. This way you can focus on marketing the current line and working on future products to fill the pipeline. Yes, these middlemen will take a healthy cut of your revenue, but if your concept works, they'll be ready to scale up quickly to keep the business growing. You can always renegotiate later.

T minus 3 weeks

Spread the word. Find out where the most valued customers in your business congregate (think online forums, review sites, trade shows, conferences, events and informal meetups where influential customers talk shop), and start publicizing and seeding your product on their home turf.

With any luck you'll build a backlog of good reviews and pre-orders before your full product line hits the market.

(First published on: entrepreneur.com)

4 Ways to Triumph Over Your Fears and Get Things Done

BY CHRISTOPHER HANN

In her book Master Your Fears: How to Triumph Over Your Worries and Get On With Your Life, psychologist

Linda Sapadin presents an action plan for addressing your fears, including the following key points that can be applied to the business world.

Change how you think: Undertake an action you've been thinking about taking, without regard for the result. "For the entrepreneur, it could be that you want to contact someone who could be helpful. What if he blows you off? It doesn't matter. The goal will be to take the action, not the outcome," Sapadin says.

Change how you speak: Use positive rather than negative language. "I tell people to say it even if [they] don't believe: 'I can do this' vs. 'I can't do this'--that's fear-talk rather than calm-talk. Develop a habit of using calm-talk even if your first reaction is fear-talk," she advises.

Change how you act: When you're not sure, fake it. "You don't have to feel confident on the inside to look confident on the outside," Sapadin says. "Many accomplished people feel shaky--terrified--but they go on to do what they do."action is fear-talk," she advises.r the result. "For the entrepreneur, it could be that you want to contact someone who could be helpful. What if he blows you off? It doesn't matter. The goal will be to take the action, not the outcome," Sapadin says.

Change how you use your body: Sapadin likens the body to a circuit breaker--don't overload it. "As you're feeling fearful, your body is tightening up," she says. She recommends relaxation exercises such as deep breathing, yoga or meditation. Better yet, get away for a long weekend.

(First published on entrepreneur.com)

Top 5 Ways to Build Credibility for your Small Business

Be Yourself, Provide Value, and Help Others

1. Become an Expert in your Field

The more you know about your business, the more your customers will trust and believe in your product or service.

Learn the ins and outs of the business as much as you can and share your knowledge with customers.

2. Be Everywhere

Sponsor events, donate to charities, and get your face seen around the community as well as online. Create videos, tutorials, advertisements, and helpful content related to your niche.

3. Be Transparent

Always be honest with your customers and potential clients. Transparency builds trust and enables people to become more comfortable in spending money or investing in your business. Don’t pretend you are someone you aren’t. Just be yourself. Want to know more about me?  I’m just your average guy loving life in the Mountains in Bozeman, Montana. I enjoy a good beer at the brewery, taking a day off for a powder day at the local ski resort, and spending time with my family and friends. My goal is to continue to build my businesses and some day become a millionaire.

4. Be a Helper:

While turning a profit is your ultimate goal, it is important to be as helpful as possible while starting and running any business. Go out of your way to help all of your customers and invest time and effort (especially in the beginning) into providing as many resources as you can to help customers. Sometimes this means creating and giving away lots of free stuff or content in order to build trust with your customers and get them to believe in your company.

5. Be Consistent

As a young entrepreneur (27) I've gone through my fair share of businesses and found out that you have to be consistent. Keep your message consistent, build your brand effectively, and strive to build the business each and everyday. You can’t focus on a business for one week straight and then take two weeks off. Be there for your customers, continue to create new products/services, and keep your message and branding consistent across the board.