What are the biggest mistakes small business owners make?

Creating an un-leveragable business model. Many small businesses depend upon the owner to wear multiple hats to make the business work. If the business model does not generate sufficient margin or revenues, the owner cannot remove these hats and take the business to the next level. I recommend testing all business models at http://businessmodelevaluator.com

There is a mentality that no one can do things as well as you can as the CEO, although in some ways this is true, is not a sufficient way to run a business. An employee may never care as much as you, however, employees also don’t have 38 other tasks to complete. Instead they have the flexibility to devote more time and attention to a task than an owner or President of a company may. Therefore, they will typically do a better job if the owner can let go of control.

Typically, entrepreneurs that feel “no one can do it as well as me” have hiring and training issues.  Bad hires and poorly trained people will always be worse than the entrepreneur.  Proper investment in training the right people is how to escape this trap.

Who is cut out for entrepreneurship?

I have seen many varied personalities be successful as entrepreneurs. You don’t need to be a gunslinger type personality to be successful. You have to be a calculated risk-taker and a hard worker – that’s it.

For most businesses, someone with a sales bias will be more successful than a purely operations-focused individual. Ultimately, there are two types of businesspeople- those who think that sales and marketing is the lifeblood of an organization, and those who think that sales is that annoying thing that gets in the way of what we REALLY do.  If someone is the latter, they should probably work for someone else.

Is entrepreneurship a good option for recent college graduates or career-changers?

For college graduates gifted in technology, entrepreneurship is a great option. Many examples exist of young entrepreneurs hitting it big: Mark Zuckerburg, Bill Gates, etc. The danger of going to work for yourself young is that you tend to learn lessons the hard way. I recommend working for another company for a few years and making your mistakes on their dime.

For career-changers, entrepreneurship is a great option. The biggest issue I have seen with this group is security related. This group is used to having the employer sweat the paycheck. Now that anguish is theirs. In some situations, relationships can be tested as spouses or significant others cannot deal with entrepreneurial uncertainty.

How can small businesses prepare for the next economic downturn?

You can’t, though there are several mistakes entrepreneurs make early in recessions.

• They think the recession or downturn will get better. Early in recessions, things get worse, not better.

• They don’t cut expenses fast enough or deep enough. Entrepreneurs need to take a lesson from big business on this one. Big businesses are much better about over-cutting in anticipation of issues.

• They feel guilty about letting people go. Your employees had a job before they met you and they will probably not retire from your company. You are not the only employer in the world.  It is admirable to have compassion for people you are letting go. However, many entrepreneurs jeopardize the stable employment of the remaining employees by keeping others on the payroll too long. The entrepreneur’s responsibility is to the ongoing viability of the organization and its people, not to provide employment.

Any other advice or words of caution for potential entrepreneurs?

• I see a boom in franchising and entrepreneurship. It is clear the corporate America would prefer as few “old people” as possible. The over 40 crowd costs much more than a 25 year old. Corporations have continued to improve the ability to operate with as few expensive old employees as possible. Once you hit 40, entrepreneurship is a great option to leave the corporate rat race.

• Entrepreneurship is the best job in the world. You can get paid extremely well, have complete flexibility, and have fun while working. Entrepreneurship can also be the worst job in the world. You can get paid nothing, feel like and indentured servant, and have inordinate stress. Make sure you have a solid business model and a good plan before you start.

About Jim Meuhlhausen:

Jim Muehlhausen CPA, JD graduated from Valparaiso University with a B.S. in Accounting, passing the CPA exam while still in college. While subsequently attending the Indiana University School of Law, he became the youngest franchisee in Meineke Discount Muffler history (1987-1991). After successfully selling that business, Jim founded an automotive aftermarket manufacturing concern. During his 9-year tenure, the company achieved recognition from Michael Porter of the Harvard Business School and Inc. Magazine in the INC 100 Fastest Growing Businesses. Over the past eight years, Jim has personally coached hundreds of business owners in more than 3,500 face-to-face coaching sessions and has clients in North America, Europe, Asia, and the Middle East. (www.51errors.com)

Related Posts:

• Five Jobs for Aspiring Entrepreneurs
• Great Minors for a Liberal Arts Major
• Hiring Trends for 2010 College Graduates

© Andrea for College, Career, Life, 2011. | Permalink | No comment | Add to del.icio.us
Post tags: business, entrepreneur

Feed enhanced by Better Feed from Ozh

The following post is contributed by

What is an Entrepreneur?

By definition, an entrepreneur is someone that is willing to take risks while starting a new business venture. As such, there are certain jobs that are most suitable for aspiring entrepreneurs. Following is a list of five of the best jobs for entrepreneurs.

Restaurant Owner

Opening a restaurant is a very risky proposition. There are so many things that can go wrong that many new restaurants fail before they are a year old. Good management is the key to any restaurant’s success. As an entrepreneur, you must be able to handle day to day operations such as hiring quality employees, controlling food costs, marketing and attracting customers. Problems always come up whether you are running a fancy restaurant or a sandwich shop. Because entrepreneurs are usually quite adept at dealing with new situations and problem solving, they often are the best candidates for restaurant owners.

Technology

This is a wide open area that aspiring entrepreneurs can enter and have success. The overwhelming love affair that millions of Americans have with the latest technology gives the entrepreneur ample opportunity to fill a new need or improve on the way things have been done. Whether it is smart phones or computers, there are niches that need to be filled. Older people that have less experience with the newest technology need help setting up and operating equipment. Products break down and need to be repaired. These are just a few areas where an enthusiastic and energetic go-getter can step in and create a nice business.

Lawn Service Business

People always need their lawns cut and their garden tended. There are great opportunities for new businesses that help take care of homeowner’s yards. The major expense of this business is the purchase of lawn and garden maintenance equipment. You can start small with a lawn mower and some basic garden tools and as you acquire more business, you can buy more equipment. Much of the work is just hard, physical labor, but you also need to know the proper techniques for caring for a lawn or garden.

Errand Runner

People are very busy and don’t always have time to do all of the little tasks that need to be done. A budding entrepreneur might set up a service to do grocery shopping, drop off dry cleaning, go to the post office and other common day-to-day chores. You can do some direct advertising and also rely on recommendations from satisfied clients to expand your business.

Home Cleaning Service

Again, this is a service business that requires physical labor. To start out, you might have to do the vacuuming, mopping and other cleaning chores yourself, but as you grow, you can hire help. Eventually, if you get enough clients, you can put down the mop, hire cleaning crews and manage the overall operation.

When she’s not organizing parties, Louise Baker writes about online colleges at Zen College Life. She recently looked at where to get the best criminal justice degree.

Related Posts:

• Advice for Entrepreneurs from Jim Muehlhausen
• Great Minors for a Liberal Arts Major
• Hiring Trends for 2010 College Graduates

© Andrea for College, Career, Life, 2011. | Permalink | No comment | Add to del.icio.us
Post tags: business, entrepreneur

Feed enhanced by Better Feed from Ozh

Business Administration

A business minor will give you a foundation in accounting, marketing, and general management.  Whether you’re goal is to start work or to attend professional school, knowledge of the business world will be a great advantage.

Marketing

Many liberal arts majors pursue careers in marketing after college.  Having a minor in marketing can give you an advantage over the competition.

Human Resources Management

Human resources management is another common career choice for liberal arts graduates, particularly psychology majors.   Human resources management courses will teach you the business side of HR, while your psychology courses will help you understand the behavioral and emotional aspects.

Information Systems

Technical skills will be important no matter what career you choose.  Employers expect a certain degree of computer skills and an information systems or computer science minor will demonstrate that you’ve learned the basics.

Education

Although education is a common career path for liberal arts graduates, many are not prepared for the challenges of teaching.  By taking education classes, you’ll have a better idea of what to expect when you begin your teaching career.

Mass Media and Communications

A mass media and communications minor can be a great compliment for English major wishing to pursue a career in media or journalism.  See Adrienne Carlson’s guest post for career options for journalism majors.

To learn about more college majors and what jobs you can get with different majors, read the Book of Majors 2010 (College Board Book of Majors).

  Copyright secured by Digiprove © 2010

Related Posts:

• Good and Bad Reasons to Get a Liberal Arts Degree
• Jobs for Liberal Arts Majors: History
• Jobs for Liberal Arts Majors: English
• Guide to Changing Your Major
• Advice for Entrepreneurs from Jim Muehlhausen

© Andrea for College, Career, Life, 2010. | Permalink | 4 comments | Add to del.icio.us
Post tags: business, HR, liberal arts, majors, marketing, minors

Feed enhanced by Better Feed from Ozh

Today’s most in-demand, well-paying jobs require a college education.  But if you work full-time or don’t live near a college campus, a college degree may seem out of reach. Fortunately, there are reputable online schools that can provide you with the skills you need to advance in your career.

The online accounting degree program at Remington College will prepare you for a career in banking, international accounting, taxation, and many other business fields.  The accounting program at Remington College includes courses in leadership, business ethics, marketing, entrepreneurship, principles of taxation, managerial accounting, cost accounting, and advanced accounting.  In as little as 36 months, you can complete your degree and be qualified for a career in a variety of business specialties.

Remington College Online offers accessibility, flexibility and support for non-traditional students.  Your courses, including lectures,  will be available 24/7 through the Moodle user platform.  You’ll be able to communicate with your instructors and other students through a discussion forum and user community links.

As an online student at Remington College, you’ll also be able to choose ebooks over paper-based textbooks for some of your courses.  Using the eBrary learning resource, you can create a personal bookshelf and add research tools.  The InfoTrac learning resource will give you access to an article database of over 75 million articles from a variety of publications. You can highlight, bookmark, and download the articles whenever you need them.

If you want to try out online learning before making a full commitment, Remington College Online offers a free orientation session where you can familiarize yourself with the online learning environment.  Your orientation will include a welcome session, policies and procedures, a section on research and writing, strategies for success, and information on getting help.

For more information about the online accounting degree program at Remington College, visit the Remington College website to request more information or to talk to an admissions representative.

This post is sponsored by Remington College Online.

  Copyright secured by Digiprove © 2010

Related Posts:

• What's a Useful Degree?
• Top Ten Most Flexible Degree Choices
• Accelerated Learning a Great Option for Adult Students
• Advantages of an Online Degree
• Don’t Let Student Loans Ruin You

© Andrea for College, Career, Life, 2010. | Permalink | No comment | Add to del.icio.us
Post tags: business, college, degree, education, online, Remington College

Feed enhanced by Better Feed from Ozh

Update: Latest hiring trends for the Class of 2010 (from MSNBC): Dim job outlook brightens for the class of 2010.

Summary:

• 5 % increase in hiring of 2010 graduates over 2009 graduates
• most in-demand majors :  accounting, business administration, computer science, engineering, and math
• Survey shows only 40% of graduates have offers, compared to two-thirds of graduates in 2007

—————————————————————————————————————————————

Original Article:

College graduates faced a tough job market in 2009, but will 2010 graduates face similar challenges?  Although layoffs have slowed down,  unemployment is at a 26 year high and a recent survey conducted by Michigan State University’s Collegiate Employment Research Institute doesn’t offer a lot of hope to college seniors.  The survey shows that hiring for 2010 graduates is predicted to decline by 2% from 2009.

According to MSU’s survey, large and medium-sized companies plan to decrease hiring, while smaller companies plan to hire more graduates.  Statistics and environmental science are the most in-demand degrees, but one-third of employers would consider graduates with any degree.  Regions with the most job growth are the South Central, Northwest, and Southwest.

Despite the negative survey results, many companies are thriving.  A great example of growth in the technology industry is Intelius Screening Solutions, a leading provider of on-demand employment and drug screening solutions to thousands of businesses throughout North America. The company has experienced growth of 578% over the last five years and has added over 100 people to its workforce.

I spoke with Intelius Screening Solutions General Manager, Todd Owens, about hiring trends for 2010 graduates.   Mr. Owens advises recent graduates to focus on growing industries such as healthcare, education, energy, and technology.  He also suggests that graduates be open to relocation, since some areas are experiencing job growth.  In addition, graduates should look at the Inc. 500 list of fastest-growing private companies for ideas on where to apply.

The greatest differentiator for businesses over the coming years will be customer service, says Mr. Owens.  Sales, account management and customer service jobs are great choices for recent graduates with any degree.  Young workers are ideal candidates for such positions because of their energy and enthusiasm.  According to Mr. Owens, new graduates are a great investment for the future  because they have a willingness to learn and to take on a variety of roles.  He says that this is the best time to be entering the workforce because today’s young, eager, and educated graduates will be well-positioned for the next expansion.

So what should graduates do to improve their chances of finding employment?  Surveys and experts indicate that graduates should focus on smaller companies.  They should also be open to moving to regions where hiring is improving.  Employers are looking for flexibility, so job-seekers need to demonstrate the ability to take on a variety of responsibilities.   Read Getting from College to Career: 90 Things to Do Before You Join the Real World
for more advice for life after graduation.

  Copyright secured by Digiprove © 2010

Related Posts:

• Top Sites for Employment Trends and Statistics
• Getting the Most out of a College Job Fair
• Tips for Using Job Boards
• OneWire.com Surveys College Career Counselors
• Job Numbers: What Really Matters

© Andrea for College, Career, Life, 2009. | Permalink | 2 comments | Add to del.icio.us
Post tags: advice, business, economy, employment, jobsearch, trends

Feed enhanced by Better Feed from Ozh