Archive for the ‘Getting Started’ Category

Buying a franchise can be a smart way to open your own business without many of the pitfalls that come with starting from scratch. Successful franchises – Tim Hortons and Canadian Tire are two of the most well-known – offer you the independence of running your own business day-to-day while benefitting from:

· The franchisor’s recognized brand

· The franchisor’s established business system

· The power that comes from the franchisor being able to buy for a large group of franchisees.

Of course, there is a price tag associated with these benefits, including an initial franchise fee – which can sometimes be pricey – as well as regular contributions for advertising and media buying.

clip_image002

Vancouver-based franchise lawyer, Tony Wilson offers some tips if you’re considering buying a franchise as a way to start a business:

1. It’s not your brand: You’re not really buying but rather renting or leasing the franchisor’s name and know-how for the period of the agreement. If you walk away from the business in the future, all rights revert to the franchisor.

2. Due diligence: Just as you might speak to the neighbours before you buy a house, contact other franchisees in the system you’re considering buying into and ask if they’re satisfied, if they’re making money and if they would do it again.

3. Check the numbers: Carefully read all financial and other information from the franchisor and be sure to speak to your lawyer. Remember, these documents, even if they’re completely legitimate, are written for the franchisor’s benefit.

4. Don’t keep it in the family: Limit your exposure by avoiding entering an agreement where both you and your spouse have to guarantee the contract. It will only mean both of you can be sued if the business fails.

5. Follow your passion: Find a franchise that’s challenging, exciting and that you think you’ll enjoy being a part of.

You’ll find some fantastic franchising resources at inc.com, click here for a useful checklist of questions you should ask before buying a franchise and remember to visit the Canadian Franchise Association too.

  • Facebook
  • Twitter
  • Google Bookmarks
  • Delicious
  • Digg
  • Google Buzz
  • Share/Bookmark

By Ben Baldwin

Have you ever hired an employee who didn’t turn out like you expected? The good news is that you’re not alone. The bad news is that, if it’s happened before, there’s even greater reason for it to happen again now, given market circumstances. 

It seems that in these troubled economic times, posting even the most junior position receives a flood of qualified, unqualified and over-qualified responses from job seekers looking for work. 

It’s a sad reflection of the economic crisis unfolding on “Main Street,” that more and more people find themselves unemployed and looking for work – applying to any job posting for all the wrong reasons. 

As a business owner or manager, naturally, the question comes up – how do I take advantage of this situation and find the best candidates while avoiding the wrong ones? 

Having been in the employee hiring and development industry for over ten years, this question has been a driving force in what I do, and is more relevant now than ever before. 

Although there isn’t one easy answer, there are definite steps you can take to ensure that you’re on the right path to finding a candidate that “fits” your work environment and expectations. 

First, know what you want from your employees. Doing this may include writing down a list of the preferred personality traits and specific work experience you’re looking for. Managing your expectations and laying these out at the beginning benefits you, as the hiring manager, as well as your future employee. 

It’s important to hire for both today’s need and tomorrow’s vision. In other words, ensure that your candidate fits your immediate expectations, and will also bring value to your business and objectives in the future. If you can’t envision that the person sitting in front of you will still be with your company a year from now, it’s probably wise to thank them for their time and move on. 

While hiring, take full advantage of the resources available to you. Employee assessment reports, background checks… use as many tools as it takes to make your hiring experience easier and more accurate. Don’t try to be the owner, marketing manager, sales supervisor and HR manager at once; instead, seek out tools to help you in your hiring process. 

Don’t just settle. In times like these, when you have the luxury of receiving a diverse range of applications, take full advantage. Ensure that the person you are interested in does meet the requirements you’ve established, while at the same time bringing additional value to the table. 

And don’t make any impulsive moves by hiring someone based on one meeting. Ensure that the person still excites you during a second interview, after you’ve had time to sleep on it and digest your discussion during the first interview. 

Once you know what you’re looking for and have attracted those people, don’t be afraid to ask questions. In a world where people can obtain post-graduate degrees by answering their spam email, it’s important to confirm the accuracy of the information provided to you. This also means following up on references, as past employers can provide detailed information about an individual and their performance. 

Finally, set aside some time to conduct this process thoroughly. The worst mistake you can make is to speed through the hiring process. This is almost certainly a strategy for disaster, and ultimately, will cost you more time and money in the end.

Always remember, hiring done right is a wonderful experience that results in a more productive and profitable work environment. Take advantage of the resources and tools available to you, and keep in mind that what you put into it is what you’ll get in return.

Ben Baldwin is a Co-Founder of ClearFit.  He has spent the last 12 years founding and growing two software businesses with clients across 5 continents. He specializes in helping companies with their hiring and selection. 

ClearFit is  a web-based tool that makes hiring easy for small businesses, by showing candidates and employers how well they fit.

  • Facebook
  • Twitter
  • Google Bookmarks
  • Delicious
  • Digg
  • Google Buzz
  • Share/Bookmark

It used to be that customers shopped pretty near to where they lived. But today’s Internet has made it possible for anyone to sell almost anything from practically anywhere.

While there are still some challenges to keep in mind with e-commerce – like taxes, shipping and privacy – most companies have come a long way to ensuring their online experience is relatively painless for businesses and their customers.

clip_image002

Joanna Krotz at the Microsoft Small Business Center offers up “8 rules to live by” for entrepreneurs who think they’re ready to sell their wares online:

1. Set up a hassle-free infrastructure: Companies like Microsoft have made it easier than ever for small businesses to set up an e-commerce site with products like Microsoft Office Live Small Business, a set of Internet-based tools that helps you do everything from creating product catalogues and shopping carts to calculating taxes and processing credit cards.

2. Functionality: Just like a bricks-and-mortar store, your aim is to present your product as clearly and effectively as possible. Keep your online shopping experience as simple and intuitive as possible and make sure your site has clearly marked navigation. Test out your site with people who have never used it and see how they react – a button or link that you think is obvious may not be to others.

3. Target your offerings: Online, store and catalogue customers all shop a bit differently. Do your homework, conduct focus groups and make sure you understand customer preferences. Never assume.

4. Keep it simple: Just because a website can be as big as you want doesn’t mean it should be. Graphic-intensive sites make loading up a site slow and too many pages and sections increase the chance customers will get lost and give up.

5. Content counts: You’ve likely already discovered there’s a right and wrong way to sell your product in the real world. The same goes for online selling too. Make sure product descriptions are crisp, photos are high quality and directions on how to buy and ship are clear. Consider hiring a professional copywriter and photographer. If the presentation looks or sounds amateur, prospective customers will assume what you’re selling is too.

6. Build trust: Online scams are rampant. Reassure visitors to your site that you’re the real deal and consider going through TRUSTe or Better Business Bureau Online’s screening and approval process.

For more of Joanna’s tips, click here: And this downloadable brochure offers extensive help on how to get started selling online.

  • Facebook
  • Twitter
  • Google Bookmarks
  • Delicious
  • Digg
  • Google Buzz
  • Share/Bookmark

Along with your business name, your logo and word mark your meaning and say a lot about your company’s personality. Like dressing well in an interview, a clean, smart and iconic logo won’t guarantee success, but a bad one can send the wrong signal to your potential clients.

Take for instance, Apple’s original logo:

clip_image002

Now there’s no way of knowing whether ditching this logo for the iconic apple with a bite out of it was key to the company’s success. But few of us would look at the logo above and think “progressive design and technology leader.”

Graphic designer Jacob Cass lists five important design elements that all good logos share. They are:

1. Simple: A simple logo design is easily recognizable and often features something unique.

clip_image004

2. Memorable: Simple logos, because they’re simple, tend to stand out and are easy to recall – something we can picture in our mind’s eye. Think of McDonald’s, Nike or BMO.

clip_image006

3. Timeless: None of us can predict the future, but when you look at a logo does it look too trendy? Are the font, colour or graphic too similar to other logos you’ve seen recently? AT&T’s logo from the 1990s was similar to a variety of other logos designed around the same time.

clip_image008

clip_image010

4. Versatile: An effective logo ought to work in different mediums – online, print, TV, point-of-sale – as well as in different sizes and either horizontally and vertically.

clip_image012

5. Appropriate: Are you designing a logo for a children’s product or a mutual fund? You can imagine a logo treatment for one audience or product wouldn’t work very well for the other.

Cass also points out that a logo doesn’t have to be literal. Nike’s doesn’t show shoes and Harley Davidson’s logo isn’t a motorcycle. In fact, he says 94% of the world’s top 50 brand logos don’t visually describe the company at all.

But sometimes, they sort of do:

clip_image014

Keep in mind too that while many logos include icons like a panda or a globe, it’s not required. A stylized word mark – Coca Cola is a classic example – can be just as powerful.

For a wonderful repository of logos from around the world, click here.

  • Facebook
  • Twitter
  • Google Bookmarks
  • Delicious
  • Digg
  • Google Buzz
  • Share/Bookmark

What’s in a name? Well, sometimes a lot. For instance, would Barry Alan Pinkus’s songs have made women swoon in the 70s if he hadn’t changed his name to Barry Manilow? And one wonders whether John Wayne could have ever gained the reputation he did with his birth name: Marion Morrison.

Choosing the right name for your business, just as those stars did for theirs, is an important exercise that shouldn’t be taken lightly.

If you can’t spend tens of thousands of dollars to hire a branding agency – and if you’re a small business, you probably can’t – Susan Ward at About.com  suggests you assemble a group of family, friends and colleagues to help you brainstorm a few possibilities. You can start with these questions and considerations:

1. Is the name memorable but easy to spell? You’ll want customers to be able to find you in the phone book or on Google. Says Ward: “choosing a business name such as ‘Crychalwellyn’ is a bad idea. Unique is good but difficult spellings are not.”

2. Does it call up an image in your head? “Generally, we are hard-wired to ‘see’ images when we read or hear language and incorporating a visual element into your business name can be a powerful aid.” Think of how suggestive ‘Twitter’ is of what the service provides.

3. Does it have a positive connotation? NameLab’s Ira Bachrach says even if a name is made up, like ‘Acura,’ it should bring to mind a positive image: “Although it has no dictionary definition, [Acura] actually suggests precision engineering [because the word segment ‘acu’] means ‘precise’ in many languages.”

4. Does it include information about what your business does? If the name you choose doesn’t automatically suggest what the business does – say, like the name ‘Bakeria’ might – it’s a good idea to incorporate a descriptor in the name like, for instance, ‘Smith’s Landscaping.’ Even Apple, which is now a globally recognized brand name, was until recently ‘Apple Computer.’

5. Is it short? Partly an extension of #1, you want your name to be memorable. Practically speaking, you also want it to be able to fit on a business card, on a sign, in an ad and – if it’s still available – as a URL.

Whale meat kabobs? Think carefully about how your business name might be interpreted

Whale meat kabobs? Think carefully about how your business name might be interpreted

Keep in mind, however, that as with all focus group/decision by committee type situations, the final decision ought to rest with you. You’ll need to be able to live with your enterprise’s new name. Make sure it’s something you’re proud of.

  • Facebook
  • Twitter
  • Google Bookmarks
  • Delicious
  • Digg
  • Google Buzz
  • Share/Bookmark

Getting a business loan or credit has always been challenging for small businesses. The upheaval in banking – especially in the US – has made lending ever more difficult for entrepreneurs. Difficult, but far from impossible. In fact, making it harder to get financing in some ways helps out the entrepreneur in the long run – if you’re not able to get a loan or credit for your business, there might be a few holes in your plan that you may want to plug up or rethink first.

clip_image002

Small business banking expert, Tom Burke, says, despite all the ups and downs in the market, the basics to approaching a bank for a loan are essentially the same:

· Have a detailed but concise business plan. Understand where you want your business to go and what Plan B is if things don’t go exactly as you expect. Come up with a most-likely scenario for the success of your business as well as conservative and aggressive options – your banker will want to consider all three.

· Analyze your finances and have an accountant help you by preparing business projections that can show your financial institution how you intend on repaying.

· Make sure your personal credit is healthy too. With little else to go on, banks may look at your personal credit history, financial statements and tax returns as a good gauge of your ability to manage your business’s money.

· Demonstrate you know your business and understand the environment and industry you’re operating in.

As well, Burke says, consider the industry your small business is tied to:

“Industries tied to consumer discretionary spending [are tough]: restaurant, retail to a certain degree, service hospitality. These industries have been hit more than others. We don’t see a lot of startup manufacturing now, unless it’s a startup that’s already got government contracts.

“On the other hand, professional services is a fast-paced, growing area: medical, legal, accounting. Anything that has to do with a professional license or degree seems to be doing better.”

Finally, be honest.

“People sometimes try to hide details because they think it’ll harm their application, but it’s amazing what people may have done in their past that may not impact their loan request.”

For additional resources, check out the Government of Canada’s Canada Business Services for Entrepreneurs website and blog.

Do you have any additional concerns about getting credit? Send us your questions and we’ll be happy to try and find answers for you.

  • Facebook
  • Twitter
  • Google Bookmarks
  • Delicious
  • Digg
  • Google Buzz
  • Share/Bookmark

One benefit of working for a large company is there’s an accounting department to do “that.”

By “that,” I mean all the number-crunching paperwork that most of us know little about and are happy to leave in the hands of someone else – until we’re a small business owner and that someone else is us.

One of those tasks is, inevitably, payroll management.

clip_image002

Intuit succinctly describes payroll management as activities in two areas: payroll accounting and administration:

· Payroll accounting includes calculating employee earnings and withholding funds for taxes and other deductions like Employment Insurance and Canada Pension Plan premiums, recording those activities, preparing tax returns and reporting the results to federal and provincial revenue ministries.

· Payroll administration includes non-accounting tasks like managing employee and payroll information and compliance with federal and provincial laws.

Whether you handle payroll yourself, choose to outsource it to an accountant or payroll service or use payroll accounting software like QuickBooks Payroll, reporting and paying payroll taxes are ultimately your responsibility, so it’s important that the process be handled on time.

For more help and guidance in the maze of payroll responsibilities, including an online calculator and payroll tables, you can visit the Canada Revenue Agency’s website and the federal government’s Canada Business Services for Entrepreneurs site. The Canadian Payroll Association is another useful place to help you get started.

  • Facebook
  • Twitter
  • Google Bookmarks
  • Delicious
  • Digg
  • Google Buzz
  • Share/Bookmark

By Rachel Swiednicki

You’ve done all the legwork, furnished your new small office and are finally ready to open for business. It’s in your best interest as a small business owner to hold a grand opening ceremony; not only will an event like this help you market your new business to residents, it’s also a great networking opportunity for meeting other local business owners and associates.

j0430638Grand Opening tips:

Contact your local newspaper, radio station and television station. Issue a media advisory three days prior to your big day. This will allow news outlets enough time to arrange for a reporter/photographer to be at your event.

The media advisory should include: your company logo, release date, location, grand opening date, why a reporter or the public should come down, time of the ceremony and who will be there – the main attraction.

Invite local dignitaries to your ribbon-cutting ceremony: your local MP, the mayor; if your business identifies with a certain field, try inviting a local celebrity – for example, if you are in the restaurant business, host a celebrity chef, a name that people will recognize in the papers. You may have to pay a small fee for this celebrity, but it will pay off in local marketing.

Create incentives for people to attend, such as a percentage off merchandise or services: 10% OFF or Buy One, Get One FREE or Enter to WIN a _________.

Good luck with your Grand Opening ceremony!

 

Rachel Swiednicki is a professional communicator, with ten years of experience in the communications industry. Eight of those years were spent as a journalist before moving into a career in public relations/corporate communications.

  • Facebook
  • Twitter
  • Google Bookmarks
  • Delicious
  • Digg
  • Google Buzz
  • Share/Bookmark