Archives for September 2013

Cycles

Cycles

The Equinox ceremony is over and fall is upon us. All businesses have cycles and being clear about the cycles of your business is important in how you plan and deal with said cycles. All industries have cycles and I would be surprised if you found that your business in not affected by these ever changing cycles.

So the ups and downs of cash flow can often be related to industry cycles even if remotely. So step back and look at your cash flow and see if some cycle is at play as part of your challenge. If you find some indications that indeed a cycle is at play then what can you do about it? I recommend some planning as absolutely necessary.

Nature in her wisdom created Seasons, the cycles of life if you will, for a purpose. These seasons are of course, natural occurrences, and as such are something we can get ready for and prepare accordingly. Fall is here; we pack up the summer clothes and get out the fall and winter clothes. No big deal, unless, you don’t have fall or winter clothes.

So planning for business cycles, whether seasonal or not, becomes one of your jobs as an owner of your business. In the retail setting these cycles are partially what drive business: holidays are where the money is made. But for most service businesses these holiday cycles are a nuisance rather than a gift. A business must put some cash aside from the good times to deal with the lean times. I know, too obvious, and yet often not done by the small business venture.

Does your business even have a reserve account for emergencies? Many a sleepless night can be avoided by following some fiscal discipline when times are ‘good’. Bigger small businesses have banking relationships or funding sources that may be helpful through tough times once or twice. But eventually even they have to plan better for cycles. To be successful the old adage still rings true: “It’s not how much money you make, but rather, how much money you keep that makes the difference.”

Keep on keeping on…

Going the Distance

Going the Distance

Most of us in the USA have heard this phrase, “to boldly go where no man…etc.” in reference to just about any adventure. Starting a business is not like going into the unknown and yet “unknowns happen.”

I’ve started several businesses over the years and I can assure you that there are always challenges you don’t expect. Aside from natural disasters, the most challenges new businesses have either are with cash flow or personnel issues and sometimes both at once.  In former blogs we have gone over how to approach some of the issues and no matter how much you plan still you will be surprised.

So how to handle ‘surprises’ that are not wanted or expected can be a useful skill. If your business is maintaining good or even Okay cash flow then the issues one needs to handle will be the ones created by those that work for you or with you or those whom outside your business you depend on in one way or another. Sometimes, more than you might want to recognize the “issue” you are troubled by may be a problem not created by someone else but by you.

Take a breath and take this in, we often create our own challenges and sometimes others help us do that or maybe simply throw fuel on the fire for whatever reason. It can be hard to see our part in a situation when the heat is turned up and time is an issue. But this is what we need to do. Stay calm. Stay centered. Stay ready to be flexible while working out a resolution that is fair to all. Of course, sometimes an employee will break the rules and or not learn from their mistakes. It is difficult to let some go once you have gone to all the trouble to vet them in the first place. But this should be the last resort in most cases of incompetency. Sometimes things just don’t work out, and relationships are one of the hardest things to ‘work out’.

In business there can be a middle ground where everyone is OK and ‘wins’ in one way or another. This should be the goal. Giving people a way to “save face” as my Japanese friends use to advise, is a good strategy.  But sometimes confrontations will need to be resolved by letting someone go. If at all possible always let someone go with some from of Grace. What is Grace? Well how would you like to be told you are not going to make the team? Be gracious and yet firm. Have specific reasons and give constructive feedback. No matter how upset the other person may be you can afford to be gracious even if you are terribly disappointed.

Keep on keeping.

We are on a journey…

We are on a journey…

In Mararet J. Wheatley’s latest book, So Far From Home, the reader is taken into the world of right now reality and after that sober encounter then shown a map of how to approach the future. Becoming a warrior for the soul is her approach and it’s an intriguing and challenging idea.

In business one traditional approach is to think that you are at war with the competition. That approach would have you overcome the competition with superior service, products, and with style. Your brand is the brand people must want etc.

I’m from the school that believes that war is not the answer and never was never will be but rather finding ways to cooperate and to compete with yes, great service and products but also with an eye towards fulfilling the customers’ needs.

No doubt business can be a struggle at times and feel like a battle…a battle for survival. Being embattled by the challenges of owning and running a successful business is pretty ‘normal’. So here is the link back to Wheatley, she is saying that we need to build our inner and outer resources to deal with the massive changes coming. She goes into what she means by that but here I will just say that as a business owner you must develop supportive relationships with as many people as you can. Also, you would be well advised to develop your interior strengths as well.

Your resilient character will do more to sustain you than you can imagine. Be confident and be smart about what you are undertaking. Be humble and be open to constructive criticism. Be flexible and yet be true to your values and to your vision. Be grateful at all times and show your gratitude often to those supporting you and your vision. Be a leader by example and acknowledge those around you who take initiative to get things done.

These are simple ideas, easily written down but sometimes easily forgotten.  Keep a way to remind yourself what’s truly important and start your day with a smile on your face. As Mr. Jobs said the joy is in the journey not the destination.

Keep on keeping on…