The TOP Performance Blog

Considerations on Selling Your Business

by David Chazin...

Whatever your motivation for selling your business, you'll only get one chance to maximize the return on your years of hard work. Do it the right way and you could get the price you want and reduce the impact of capital gains and estate taxes. Do it the wrong way and you might end up with a hefty capital gains tax bill and estate-planning headaches.

You can increase your chances of a successful sale if you coordinate your efforts and work closely with a financial professional from the very moment you start thinking about selling your business. A financial professional, with the assistance of a qualified appraiser, can help you place an accurate value on your business interest and provide the critical insight and expertise needed to steer you through a complex and time-consuming process.

Potential Buyers
Consider your potential buyers. Are you planning to place your business on the market for anyone who's interested? Or, do you want your business to stay within your family? If so, do family members have the means to buy it? Might your senior managers or other employees be interested in purchasing your business interest? Dealing with succession issues early in the sale process is important. Once you have, the next step is to determine the most advantageous way to sell the business. Here's a brief overview of some of these options.

Stock versus Assets
While buyers may prefer to buy assets, if you're selling an incorporated business, you generally can get a better tax deal by selling stock. In the case of a business asset sale, you may have to pay taxes twice - a corporate capital gains tax on the sale of the assets (at the same rate as for the corporation's ordinary income) and an individual income tax on any corporate distributions received by the stockholders. Selling stock, instead, allows you, as a shareholder, to pay tax only once, at the more favorable 15% capital gains rate. There is no corporate level tax.

Owners of small businesses can get an even better deal. If you sell your business interest as Qualified Small Business Stock (QSBS) and buy other QSBS, you may be able to roll over your gain tax free. (Additional requirements apply.) Alternatively, you can exclude 50% of the gain from your taxable income if you held the stock for more than five years and meet other tax law requirements. The remaining gain is taxed at a maximum rate of 28%. In general, gain qualifying for the 50% exclusion cannot exceed $10 million or 10 times the QSBS's base disposed of during the year (whichever is greater).

Installment Sales
With an installment sale, you ask the buyer for a downpayment and a note covering the balance of the purchase price. You report taxable gains as you receive payments from the buyer, rather than all at once in the year of sale. You also must report the interest payments you receive on the note as ordinary income. When correctly structured, an installment sale can "freeze" the value of the business at its sale price for tax purposes. So, if the business continues to increase in value, your estate will not owe taxes on any appreciation generated after the date of the sale.

Private Annuity Sale
Under this type of arrangement, the buyer of your business agrees to make periodic payments to you for life in exchange for your interest in the business. This approach guarantees you a lifetime income and is taxable to you under special rules. Moreover, the annuity arrangement removes the value of the business from your estate for tax purposes.

To help maximize your financial return on the sale of your business, consult a financial planning professional before you put your business on the market.

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David Chazin is a Financial Planner.  To learn more, visit: http://www.lasaramgmtgroup.com/.
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Improving your Marketing and Sales in an Economic Downturn

by Laura Baker...

Tough times don’t last, but tough people do.  It’s time for you to get out there in front of the clients, solidifying and building on existing relationships. 

Keep moving ahead with developing your business.  Each of us needs to reinvent our business in order to survive as we succeed as many of us see our business shrink to virtually nothing.  It’s time to start thinking outside the box and identify where your strengths lie and going for it.     

1. Network, network and more networking

Networking is the fuel that drives your business and brings sales.  People like to do business with people that they know, like and trust.  Networking is a great way to get to know more people, get them to like you and show them that they can trust you by helping them with their needs. 

You should make it a point to network two times a week – attend weekly groups, mixers, volunteer, social activities (sports, cooking, book clubs, boating, parenting groups, etc)   I know that might sound overwhelming to some, but it’s important to not make excuses and make time and there are groups that meet early in the morning, before breakfast, lunch, after work, in the evening or on the weekend. 

The more people that you know, the more that you can get them to like you and show you that you can trust them with their needs.

2.  Sell your strengths: 

You can’t be the best at everything, you need to find the things that your really good at and expand on it.  You need to sell those strengths against your competition to gain the sale. 

 3.  Give it away:

Advertise the things that cost little or nothing or special services that you already do.  For example if you’re a caterer give dinner mints, special sauces with your breads, improve your food displays, offer a free signature beverage, a coffee bar, a chocolate fountain or inexpensive center pieces or décor.

4.  Become a Power Negotiator.

Learn to negotiate with your potential client and your vendors.  Currently your rental companies such as your rental companies have inventory such as beautiful linens, décor and serving pieces that aren’t being used.  Negotiate with your vendors to create a win/win situation for your clients.  Ask your vendors to upgrade your order for your client; you will come out looking like a hero.  Remember to take photos as well, upscale photos help sell your company.    

5.  Improve your Search Engine Optimization (SEO). 

Work with a web designer or SEO to find new or creative ways to generate more search hits.     

6. How do you communicate with your customers?

Look at how you communicate when you correspond with customers or potential customers.  Do you communicate in a timely manner?  Are you communications easy to understand? 

I’m in the process of getting a logo created and I started this over a month ago.  First, I asked a college from college who is a graphic designer.  I sent over notes and didn’t hear anything for 2 days.  I emailed and texted them to see if they had gotten the information.  They responded that they would call me back the next day.  Four phone calls and two weeks later I get a response from them.  They send a bid for $350 which I didn’t have an issue with.  I called two days later and still no response.  A week after that, I decided to go with another graphic designer who took four days from the time I found them and surprisingly they where ½ the cost of the other person.  I was going to go with the higher cost person, but they didn’t call back to me.  So my advise to you is follow up, follow up, follow up.    

7.  Build your online marketing presence.

The web is the new marketing tool of choice for the young and savvy business owners.  Social media isn’t dying anytime soon; learn to use tools such as Facebook, LinkedIn, and Twitter. 

All of these things might seem overwhelming.  There is barely enough time or money to run the business right now, but these tips won’t cost you very much to implement and you can take one item at a time each week.  The goal is to survive these hard times by being tough and going the extra mile to improve your sales.  Then when times are better in the industry, you will be ahead of your competition and ready to thrive. 

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Laura Baker is professional business consultant who specializes in new and or existing businesses in the hospitality and food service businesses.  To learn more, visit: http://www.lasaramgmtgroup.com/.
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Is Getting Big and Fat Making Us Sick?

by Jan Hickling...

Is there a connection between the dramatic rise in both obesity and diabetes?

In the U.S. and Canada, diabetes has increased more than 500% during just the last generation. More than seventy percent of adults and more than thirty percent of our children are considered to be either overweight or obese.

In spite of spending more than 30 billion dollars each year on diets and weight loss programs, the rate of obesity has tripled in this country in the past thirty years.

We need to learn a new lifestyle, not a new diet!

The Center for Disease Control (CDC) has projected that one-third of our children born after the year 2000 will become diabetic. If you're Black or Hispanic, nearly fifty percent of your children will become diabetic. Diabetes is the leading cause of amputations, kidney failure, neuropathy, adult blindness, and cardiovascular disease.

And if that isn't enough, type 2 diabetes is now a global phenomenon. The International Diabetes Federation has now predicted that the number of individuals with diabetes will increase from 240 million in 2007 to over 380 million in 2025. The greatest increase in type 2 diabetes is going to occur in Asia and primarily among the younger population.

It doesn’t take much imagination to realize what the diabetes epidemic will do to the health of the world and to our financial health.

Are we doomed?

Is there anything we can do to change these horrible projections?

I want to bring focus to the health concept that developing type 2 diabetes is really a choice.  In over 90% of the population, no matter what their family history or genetic makeup, diabetes is preventable.

Even if you already have prediabetes or diabetes, it can potentially be reversed. You need to understand that developing type 2 diabetes mellitus is really a CHOICE.

I made the choice to change my life and you can too. It's simple and easy. The only hard part is making the choice to start.

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Jan Hickling is a Lifestyle Transition Coach specializing in healthy and weight release through personal development and education.   Learn more at www.GetHealthyReleaseWeight.com. 
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What If My Inner Critic is a Trained Assassin?

by Jennifer Manlowe, PhD, CPC...

“We need people in our lives with whom we can be as open as possible. To have real conversation with people may seem like such a simple, obvious suggestion, but it involves courage and risk." ~ Thomas Moore

It's not about "what if?" it's about "what to do when I’m sidelined by my inner critic(s)?" Here are ten things that I do and what I recommend you consider trying:

1. Make a list right now of your favorite five people who love and believe in you and will tell you the truth when you're being ridiculously pessimistic.

2. Keep their phone numbers by the phone and their emails next to your computer (and also saved in your cellphone, if you have one).

3. Use the above phone list or emails at least once a week to stay committed to the tasks that you have promised yourself.

4. Keeping your word to yourself builds self-esteem (integrity) and self-esteem helps you keep going when the going gets rough—when the naysayers/joy-busters in your mind (or life) get louder and meaner.

5. Avoid dream-bashers wherever they may hide. Too many times these are loved ones and family who feel afraid and, perhaps, a bit envious of your courage to "get out there" and risk not being liked by everybody.

6. Do one fun thing a day or writing will feel like a dreadful obligation that doesn't give back…this is a guaranteed obstacle that you can begin to plan for and, more importantly, avoid.

7. Reward yourself every 45-minutes that you are on the job of writing and publishing—have a cup of tea, a walk to the mailbox, a yoga stretch or two, make an appointment for a massage at the end of the week, or keep available frozen grapes and pop 'em in your mouth at various intervals. I've found this to be surprisingly satisfying, etc.

8. If you have trouble taking breaks, drink lots of water or other non-toxic liquids but do avoid alcohol while writing—most writers are orally-fixated and get sloppy and some have even fallen under the tyrant of alcoholism. Booze is often used to “get the juices flowing.” If you doubt this, take a look into the annals of literary history: think of Hemmingway, Faulkner, Capote, Fitzgerald, Sexton, Burroughs, etc.

9. Ask that inner critic what it needs. Say, “I see you and hear you. It sounds like you’re trying to protect me from being vulnerable or humiliated. Please tell me what you want me to know.” Then, like you’re talking to a three-year-old having a tantrum say, “I get that you’re upset and afraid. I totally understand that you want what you want NOW! And, today, we’re going to go home and make lunch together instead. I promise, you’ll feel so much better.” Get practice and watch what happens.

10. Commit to a good night's sleep—learn to hypnotize yourself or do a body scan, if that's what it takes. The reason to do this is that not only does it feel good for your whole body. It truly helps the creative juices flow.

What are some things you do to arrest that inner critic?

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Jennifer Manlowe, founder of Life Design Unlimited, is a life direction counselor and certified publishing coach helping people step out to authorize their lives.  Her books can be found at http://Authorizeu.com
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How to Approach Today's Home Loan Market

By Kyle Dane

Things have changed in our market, but not as much as many people think.

Here are some truths that I think everyone should keep in mind as they try to navigate this new world:

1. Make sure you can be reached by your loan agent in multiple ways and at all times.

A home phone, cell phone and email address are pretty much essential these days to make sure you can make decisions on locking interest rates and providing documents on a moment's notice.  Same goes for your loan agent, you should be able to reach them in all these ways too and at all reasonable times.

2. Do NOT compare the interest rate you were quoted or on the loan documents you're about to sign with the rate you heard on the radio or from a friend who just did their own loan.

Every loan is different and every borrower is different, and the interest rates reflect this.  You need to talk to a loan professional (even if it's a competitor) to truly compare apples to apples.

3. Be prepared to give your loan agent documentation of anything and everything, and to get them these documents fast.

Documentation, even over-documentation, is the new reality people.  Embrace it, because its here to stay, at least for the near future.  And don't expect your agent to know everything they're going to need up front.  That's just not realistic in today's market.

4. (MOST IMPORTANTLY) Make sure your loan agent is a partner in your dreams.

Your loan agent should know things like what you want and need in a home, how long you plan to live in your current or new home, and how likely you are to need cash for any large projects.

Your agent needs to know what your dreams are and buy into them so they can get you a loan that matches those dreams as closely as possible.  This is not as easy as it sounds and it's what separates a great loan agent from the rest (NOT interest rates and closing costs).  Your dreams are specific to you, and it's amazing how much a great loan agent can do for you when they become your partner in achieving them.

The great thing is that you can start this partnership even if you're NOT in the market for a mortgage right now.  I speak only for myself in suggesting that you call your loan agent today, this week, any time, to start building a partnership to achieve your dreams.

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Kyle Dane is with Northbay Home Loans & Real Estate Services Inc. in California.  For more information, she can be reached at 707-364-0200
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Stress Free Living With Ten Practical Tips to Save Time

by Linda Hampton (http://www.keytostressfreeliving.com/)

Are you stressed for time?  Do you feel like the number of hours in one day just isn’t enough for all your activities? 

Well, here are several practical ways that you can do to save time without making sacrifices:

1. Sticking to your schedule for the day.  There’s a lot to be said for being organized and strictly following your itinerary.  When you have it mapped out, you focus on the current task instead of worrying about keeping them all in a balance.  It’s a good idea to know all your family members’ plans too.  That way, you help each other out and nothing is set aside.

2. Planning meals for the entire week.  When you’ve listed down all the ingredients for the meals that you will prepare, it means that the grocery trip would only be done once.  Rushing to the store is avoided.  When you’ve planned your meal, it also means that you’re not as tempted to go to the restaurant.  You save both time and money as a result.  If you need some help with your planning, you can search recipes online.

3. Keeping lists.  Honestly, it feels so good when you cross off the items on your list.  Keeping a list helps keep you on track and lets you avoid making mistakes or worse, forgetting about a task altogether.  It lessens your worrying too.

4. Being organized.  This saves you the most time.  When you know where things are and how each aspect fits into the picture, you’ll get rid of the stress associated with your responsibilities.  Staying organized is the key however, since it’s very easy to get your things all in a clutter.

5. Getting errands done in a single trip.  To accomplish errands the most efficient way, get them all done at one time if possible.  You can’t imagine the wasted minutes or hours that are spent waiting for the next task.  When you interlace jobs with errands, you’re exposing yourself to the risk of getting distracted.

6. Delegating if you can.  There can’t be a way for you to accomplish all the tasks yourself.  Thankfully, we have family members and co-workers who can assist us.

7. Eliminating distractions.  Don’t do too much multi-tasking.  You will find that when you’re working on the computer, turning off the social networking sites will actually mean that you’ll have more time for them later on.  Doing so also has the desirable effect of maintaining the quality of your tasks.

8. Knowing when to say no.  Sometimes, you will be required to accomplish more than one person could possibly do.  I suggest that you decline properly and either delegate or reschedule the task.

9. Using idle time wisely.  When you’re commuting or waiting for a meeting to begin, there are many productive things you can do.  You can respond to text messages and emails, plan your report, or make the shopping list.

10. Grouping similar tasks.  If there are tasks that you can do simultaneously, then you better schedule them to be accomplished together.  While talking on the phone, there are chores that you can do.  Or you can rearrange and clean at the same time.

Saving time means that you can have more time for things that are most valuable to you.  Managing one’s time also means that you can keep your lifestyle.  Apply these ideas and you’ll soon find that you have a lot of time for yourself.

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Linda Hampton RN, MSN a Wellness and Stress Management Breakthrough Life Coach is the publisher of a free 5-part e-course full of revealing information to help you deal with the stressful changes in your life.  For more information, visit http://www.keytostressfreeliving.com/.
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Increase Your Profits

By Phil Barton (http://www.actioncoach.com/philbarton/)

When you hear people talking about sales goals, they’re almost always referring to gross sales.  “I want to do $1,000,000 in sales.  I want my company to grow to $10 million, $100 million, even a $1 billion.”
 
But, which is more important…gross sales, or net profits?   They’ve probably got it wrong.  

Shouldn’t the goal be to dramatically increase net profits…the money you keep after paying your expenses?  It just doesn’t go hand-in-hand that by doubling your sales you double your profits, does it?
 
In many cases quite the opposite happens.  Sales may increase, but the profits lag far behind.
 
Perhaps a better idea is to prune your business; stop calling on the unprofitable and time consuming accounts… so you can reduce your costs and dramatically increase your profit margins.
 
With these thoughts in mind, let’s consider the situation a business owner we’ll call John found himself in.
 
John owns a manufacturing rep company, doing nearly $6 million in total sales.  The manufacturers pay his company commissions of 30 percent, so his organization earns $1,800,000.   It costs him $1,500,000 to pay his 50 employees and other expenses, so John takes home about $300,000.
 
He has nearly 600 accounts, but the bottom two hundred don’t do much business with him.  They do, however take up a lot of the sales and service department’s time, effort, and attention.
 
Doing an analysis, John discovered his 200 smallest accounts spent only $500,000 with him… but took up over one-third of his company’s available time.
 
As he considered the implications he came to these conclusions:

• if he stopped calling on these small (bottom third) accounts his sales would drop to $5.5 million.
• his commission income would be $1.700,000.
• he could reduce his employee count and total costs by 1/3, to $1,000,000, saving $500,000.
• this would increase his share to $700,000 in income… an increase of $400,000.

Target Your “A-class” Customers
 
“Pruning” his business was the first step in John’s plan.
 
The second was to have all his people focus their efforts toward improving the quality of their service to their best, or “A-class” clients.   This was easy to do because they were no longer wasting their time calling on, and/or servicing the unprofitable accounts.
 
This meant his team could easily keep their best customers very happy… making them raving fans who referred lots of other businesses to John’s company… and they were just like the “A-class” clients who had referred them.  They were also able to find additional products and services they could sell to those “A” clients.
 
John and his sales team created a list of the top accounts they wanted to do business with... and went after them.
 
The attitudes and morale of his organization changed.   His sales people were making more money, and everybody was having more fun because they were spending their time, energy, and effort serving their “A” customers.
 
And with their new-found, free time, they’re now able to look for new opportunities and clients with the same profile as their best customers.
 
John is now setting his sights on growing his business to $8 million, and then $10 million in sales, by doing business with only the “best” clients... and figures he’s going to have much higher profit margins.
 
Growing Your Business
 
Here are three things you can do to make more money:

• prune your customer base and stop calling on those who take up lots of your time, but don’t do much business with you.
• give your best customers incredible, outrageous levels attention and service.  Under commit. Over deliver.
• Create a profile of your ideal or “best” client, then find more clients who match it.

You’ll have more fun, and make lots more money…

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Phil Barton is an ActionCOACH Business Coach in Colorado.  He works with business owners who want to make more money, while working less hours by systematizing their business.  For more information, visit http://www.actioncoach.com/philbarton/.
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How to Listen to Your Inner Self and Create Your Own Brand of Success

by Gary Jordan Ph.D.

These days, it seems like it's becoming harder and harder to be a human being rather than a human doing. 

"Action" is the buzzword of the day (every day)

In an article I read recently, the author was discussing the oft-asked question, "What are you willing to do to be successful?" The answer, she wrote, (as often expected from those of us serious about obtaining life success) was, "Whatever it takes."  She challenged this answer by adding, "…as long as you still love your life."  

I would like to take her challenge even further. 

First of all, let's look at the question itself.  It asks, "What you are willing to do," not what (or who) are you willing to be, in order to be successful in life.  Society places an intense focus on external achievement as a measure of success (money, recognition, status, etc.).  Along with that is the push for us to constantly market ourselves, our business, our website, our blog, etc.  It's not hard to see that it becomes all too easy to lose sight of how to be rather than how to do.  We all know there is surely no lack of things to do.  

I would propose to you that learning how to be is equally, if not more, important than learning how to do! 

It's important to know when to stop, when enough is enough, when getting, achieving, conquering, no longer has a place on the priority list.  We can all learn to recognize success in life as being comfortable within one's skin, with the journey one has taken, and with the friendships one has made and sustained.

Defining success as a human being rather than a human doing requires the ability to tune out the constant barrage of external demands on time, talent and resources.  It requires the ability to turn inward, to reflect, and to determine with one's own internal set of values and standards what is worthwhile and what is a waste of the precious resource of time.  It means defining a life of success based on quality rather than quantity.  

Recently my wife's 99-year-old aunt passed away and left a lesson for us all.  She was a dear, sweet and loving woman who had truly mastered "being."  Her wish for her friends and family, as quoted from her memoirs was, "That we become content with just being.  It is not a matter of trying to fulfill a social role; it is a matter of becoming wisdom itself." 

So where do we begin?  How do you learn to slow down and just take it all in? 

Try this exercise.  For the next five minutes:

• Stop. Breathe. Listen. Rest.
• Reflect on who you are in this moment.
• Identify three internal measures of success for yourself.
• Listen to your inner values and where they're guiding you.

When you take the time to live right now, in this very moment, you allow yourself to reconnect to your true self and gain the wisdom to let go of the things that, in the end, really don't matter, and to cherish those things that you take for granted.

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Gary Jordan Ph.D. is a clinical Psychologist in Texas. 
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How to Ruin Your Business Reputation

by Michele Pariza Wacek (http://www.michelepw.com/)

A while ago, I got an email from one of the "gurus" I follow and it shocked me.  The gist of it was this person wanted to trade services for a household item.

To say it floored me would be an understatement.

What was worse was a few days later this person started sending emails promoting their coaching program.  How could anyone who had gotten the "trade" email even consider signing up for their coaching program?

Now this was a pretty obvious blunder, but there are other, smaller blunders, you might be making that are hurting your business reputation and your ability to attract clients.  But first, I want to make something clear.

The problem isn't that you're struggling right now.  That happens.  It's the nature of business and every seasoned business person knows it.  Businesses will lose money or be flat from time to time.  There's no shame in it, you just need to keep doing something about it (i.e. marketing, analyzing your offerings or your target market to see if you need to make a change, etc.)

The mistake happens when you make this too transparent.  I'm not saying you should lie and say business is great when it's not. (In fact, please DON'T lie. That's another way to hurt your business reputation big time.)  But (and this is ESPECIALLY true if you have a service business) don't make it obvious you're struggling.  No one wants to hire a consultant who isn't busy.  In the back of people's minds is the worry if the consultant isn't busy they must not be good.  So you MUST not come across as too eager or that you have too much time on your hands.

No matter how desperate for customers you are, you must get that under control.  People will sense desperation and either run from you or try and take advantage of you.  Neither is all that good for you (either your business or your psyche).

So what can you do? 

Here are 3 tips to help you stay strong no matter what's going on in your business:

1. Keep marketing.

Now is the time to step up your marketing.  You have the time, why not write extra articles so you have them "stockpiled" when you do get busy again.  Now might also be a good time to do a promotion but do NOT say it's because business is slow.  Find some other creative way to do the same thing (for instance, maybe you have a "back to school" special, now that the kids are back in school you have some extra time to take on an additional client or two.)  Or your promotion can be around a product or a group program.  (Having a promotion around your product or group program doesn't carry nearly the social stigma of pedaling your service.)

2. Don't answer your phone.

Yes, you heard me.  Let voice mail pick it up or keep your virtual assistant on to return phone calls.  Busy people don't sit by the phone willing it to ring.  You need to get your mind off your phone (or your inbox) and on to drumming up customers.

3. Don’t drop your fees.

Your fees aren't the problem.  Something else is the problem.  Either you aren't marketing enough or your target market isn't the right target market for you anymore (or you need to tweak your offerings or something else is going on).  But the moment you start dropping your fees or doubting yourself is the moment you'll start down a vicious downward cycle.

Now, this doesn't mean you can't put together a lower priced package and promote it. That's fine and it may be a smart business decision. But to lower your hourly rate -- not a smart move.

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Michele Pariza Wacek is a Marketing strategist and owns Creative Concepts and Copywriting LLC, a copywriting and marketing agency.  She helps entrepreneurs become more successful at attracting more clients, selling more products and services and boosting their business.  For more information, visit  http://www.michelepw.com/. 
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Should You Buy A Business? A Brief Self Test

By Peter Siegel MBA (www.BizBen.com)

Climbing unemployment rates are driving an unprecedented number of people to seek self-employment by purchasing their own business for sale.

Whether that's a smart or a foolish economic plan depends on the individual--whether he (or she) is suited to the challenge and responsibility of business ownership.

Good performance in a corporate setting doesn't necessarily require the same characteristics needed to succeed as a business owner.  And some traits thought to be assets for one who is self employed, may actually be liabilities in today's economic environment.

If you think business ownership may be the solution to your economic needs, ask yourself if you possess these three characteristics needed for business success.  But first, consider what are thought to be key ingredients for success as an entrepreneur.

Prospective business owners who think they need to have a high tolerance for risk might be advised that it actually can be riskier these days to sign on as an employee than to have your own company.  And the idea that the best self-employed people are independent thinkers does not coincide with a description of successful franchise owners.  In that type of enterprise, it's often advantageous to be good at carefully following a business plan provided by others.

What then, are the characteristics of a person who is likely to do well as a small business operator?

1. Broad Perspective:

In many companies, employees are encouraged to focus on their particular jobs and not think too much about how their functions impact the work of others in the organization.  That attitude is a detriment to a business owner who has to pay attention to detail, but also must keep the "big picture" in mind at all times.

2. Persistence:

Another behavior commonly needed in a corporate setting is satisfying the boss--carrying out his or her wishes, even if one disagrees.  Meanwhile, the successful business owner is balancing the sometimes-conflicting requirements of customers, employees, vendors, landlords and government agencies.  That calls for a level of tenaciousness usually not tolerated from employees.

3. Willingness to sacrifice:

People who think that business ownership entails greater freedom than a 9-to-5 job, are in for a surprise.  Individuals in business for themselves, whether lone-operators or those with a staff, will tell you that they spend more time working than they did as employees and that some benefits of employment, such as a steady paycheck, may not be available to the man or woman in charge of a small business.

Success at performing your duties while working for others might condition you to be a good employee, but provide poor training if you want to own your own business.

Before singing up to purchase a franchise or independent company, or to start an enterprise from scratch, ask yourself how your personal characteristics correspond to those needed for successful self-employment.

When possible, learn what it takes to be successful as a small business operator.  Check out resources such as my free webinar for business buyers on October 21.  (link for information is below)

And ask yourself if you are able to conceive the "big picture," if you are known to be persistent--even if you have to override objections of others, and whether you are willing to make significant sacrifices to insure survival of your business.

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Peter Siegel MBA is a nationally known blogger/author & consults small business buyers & small business sellers of California businesses.  He launched BizBen.com in 1993, & adds 200 offerings daily to the site's 7000+ featured businesses for sale.
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