Today’s episode is going to focus on an interview I conducted with a business mentor of mine last week. We’ve probably done close to 50 of these in the past, but I’ve never written about it on the blog which is a bit strange. Luckily instead I’ve decided to simply relay this week’s talk to you guys. We talked about something really important and that was capital. Below is the basics of the talk.
Adam himself owns Blue Chip Supercar Hire – So knows a thing or 2 about keeping on top of capital and assets that have huge value!
Capital isn’t what most people think it is. For example if I have a chunk of money I can invest into a business people will understand that this is capital. And they are correct. But what happens if I instead just invest my time into the business, this is still a form of capital, as if I had invested my time in another method I might have actually gotten more money or at least would have used my time more wisely. So essentially what I’m saying is there is more than 1 type of capital. Your time and team are (in my opinion) the 2 most valuable forms. These should be looked after and utilised correctly!
Cash flow on the other hand is extremely important and is only cash. It’s what you get coming into the business and going out of it. This is so important and the number 1 reason why businesses actually go under or at least don’t grow for a very long period of time! Cash flow needs to be tracked and planned. For example if you have 90% of your cash tied up in stock… Then guess what? You need to sell that stock as fast as possible. But what happens if you need marketing costs? Or team member costs? There are so many more things than the product or service you offer. Plan your cash flow fully! Below is a great video on this and how to manage it for small business owners.
ROI or return on investment is business in a nut shell. How much you get out and the speed at which you get it out is essentially ROI. So say you put in £100k into a business and get £20k profit that year, then this is a 120% ROI… But its more complicated than this too. I could talk about ROI for days (not an exaggeration) but the primary thing you want to think about is the following.
When you are putting money into a business, is there a chance that it will either a.) Be tied up without a profit for a long period of time. b.) Lose all your money or c.) Make a low ROI. If any of these ring an alarm bell then you might want to consider investing your capital into another method.
Well as you all know sales = business. You make 0 sales you go out of business, I don’t care how good your product, service or idea is, sales is everything.
Generally the more sales you make, the more profitable your business will be. But there is also a lot more to it than this. For example nowadays people think they will set-up a business and sell to people through their online eCommerce a good social media strategy, maybe some PPC marketing and a strong search engine optimisation campaign is 100% enough to make a million pound a year business. Even mixed with having a local store can put you up into the 2-5 million revenue a year range.
But there is an easier and more effective way to get to these revenue figures and it is through targeting other sales and marketing channels. These aren’t anything new and the concepts definitely aren’t complicated but the results almost always work out positive when the strategies explained below are put in place correctly.
The channels that I personally recommend are the following.
1.) Affiliate programmes – Creating an affiliate programme to allow individuals to promote your products and get a certain percentage commission of every sale they bring in. Essentially this is free money as you have to do no additional work once the programme is created (you can even outsource the creation or use a professional company too, although they will take a commission as well.) But the profitability is very high. I recommend looking into Maxbounty as a potential network to work with.
2.) Amazon & Ebay – These are 2 channels that work extremely well for B2C products and service. You simply take the products you are selling on your Ecom store and list them on Amazon and Ebay. There are other types of these websites but these 2 are the biggest and most effect. There is a specific strategy behind this method and done correctly can make you thousands of additional sales. I’d recommend looking into an Amazon launch service before going ahead though.
3.) Social & Youtube – Youtube is probably one of the most under-rated commercial selling platforms. Create great videos and distribute them correctly and this will become one of (if not the most) effective marketing and sales channel for you. With millions of people viewing your content and becoming pre-sold before going on to buy what you are talking about.
So why are these channels so good? What makes them work so well.
Well it comes down to 2 main elements really. The first is setting up these channels might cost you a bit in either time or money up-front, but once they are set-up they are very automated or at least semi-automatic. This means you can spend more time on generating new business via other mediums or researching new product ideas, and generally doing the things that make your business grow and not just survive.
The second reason is you will get a different audience through these platforms. There are a lot of people who will go directly to amazon to search for a product for example, and even if you rank well for your keywords in Google, you will not be even getting in front of any of these people that go to the website directly. But if you are on both Google and Amazon then the chances of making the sale get that much better!
Today’s article is a bit different from the usual stuff and University guides and I didn’t even write it either but its something I want everyone to take a look and a think about as I know I’ve seen quadcopters and all that stuff all over University campuses in the last 6 months and the market is already growing to a huge level. So if you agree with me then have a careful read of the below.
Drones have been the newest trend today around the globe. In fact drone has been very helpful in many cases such as for security purposes and more. That is why drone market have grow so fast that even ordinary people are using it with their own purposes. Before drones are use by professional people for their job purposes and there are more reasons listed below.
One of the reason why drone market have been growing so fast is media. The drones have been very useful for media especially if they are airing very difficult places to reach. Also it gives viewers the best view of the places or scene that is restricted by the people. In films drones is very important as it improves the scenery of the movie it creates the excitement and intense in each scene being captured.
Another reason why drones is growing so fast is because of the demand of it in security purposes and law enforcement. Drones has been use in law enforcement such as searching for lost person after an accident, calamities or tragic happening. Monitoring large crowd to check the status whether it is still under control or not. The drones will flew to where you want it to fly to take aerial photography without taking a risk of any rescue personnel. This technology has been very helpful in many ways and making the job of the law enforcement very easy because of its use. With the use of drones you will have an idea on what to expect in the area you are going to search or survey, with that you will be prepared and equipped with the needed things before going to the actual place.
Real estate business is one the most invest by entrepreneurs, not only you will earn easy money but also you can easily sell them if you know how to market them properly. That is why drones are there to help you improve your marketing ads to have a saleable ads for your target market. Having a unique marketing style and advertisement will make your job easier as it will catch the attention of your clients even if they have not seen the actual place yet.
Another reason why drones are in demand in the market is because of the people travelling around the globe, for example what the owner of chose a drone always talks about. We always know that people are into travel and drones are the perfect gadgets to bring with you if you want to have unique picture of your trip. Drones will capture everything you want and into the place you want to view, which is unreachable. We all know that not all can be capture by just your ordinary camera or even if it is an expensive one, with the help of drones you can now have a wide capture of the view of the shoreline or falls and many more.
Doing business outsourcing is already one of the popular and mostly used kinds of businesses. It is a very helpful kind of doing business. As there are already a lot of people that can be hired in an instant. Doing outsourcing no longer is focused on the big accompanies but also in other small companies. Outsourcing is a great way to earn a large amount of income and that the people that would work for you can be found immediately but of course qualities should be there.
As early as still planning your own business you should already consider outsourcing. With that you should already be aware of how much this can affect your time and money as well. As this outsourcing can be time consuming, you still have to search for the best entrepreneurs outside that can help you well with your business. If you want to make your business grow you should be doing outsourcing as soon as you will realised this becomes a booming kind of business. So what can be the reason why you should be early in outsourcing your business?
You should look into the advantages of outsourcing your business because there is really a big opportunity online. You will still have competitors so always be creative and unique in doing your business outsourcing. Better research and do a lot of inquiry regarding business outsourcing and finally look into your own company if things will really be well with outsourcing business. Be present online and make the right choice.
This is going to be a post talking about what it really means and takes to start a business. If you’ve followed our SABU series then you know by now you should have your business idea, name, branding and everything set-up and you are essentially ready to get onto the business world map. But this article is a word of warning about the real effort that goes into business. the real lows, the suffering and effort that it requires is like nothing you have ever experienced before.
To start I want you to watch a very powerful video by Gary Vaynerchuk that I think most business people can relate to. Gary if you don’t know is now an extremely successful businessman who owns VaynerMedia, amongst other shares in huge companies, he predicted snapchat’s explosion and is one of the top social media marketing guys on the planet right now. I really enjoy his content and this is a powerful video that you need to watch on “the overnight success”
The grind is generally your first 100 days in business, but it can only last 10 days, but it can also last 10 years. It is the 12 hour days, day after day that you have to put into your business. Remember Mark Zuckerberg and Facebook? Of course you do, but what you might not know is that Mark’s story depicted in the social network was actually not all that accurate, when Mark was asked what he thought of the movie he stated:
I liked it, but I don’t remember that much partying. I remember the long 20 hour days and nights fixing bugs.
If Mark Zuckerberg, one of the youngest (if not the youngest) Billionaire in the world had to hustle and grind, then you can be sure that you are going to have to! All of those businesses that seem like they came onto the scene in a few weeks or months took years of planning, capital raising, heartaches, errors and who knows what else! Some notable examples: Airbnb & Uber…. Huge companies now, 5 years ago simply ideas. In that 5 years these companies did enough work and put enough effort in to be in the position they are in now. Do you have that in you? If not then don’t waste your own time and just get your degree and go and climb the corporate ladder!
Most businesses are made in 100 days, and it is usually down to the passion of the individual rather than the amount of money they generate. If you generate 30 sales in 100 days you might earn a few hundred bucks. But if you’ve built systems that keep generating you these sales for the rest of your business’s life, then technically you haven’t only earnt a few hundred quid, instead you have built a business that you can profit from for years to come. This is callsed passive residual income and there is alot to discuss about it in the world of business and its something we will be looking at in the coming future, and article entirely on system, passive income and which route is best for you. A.) The Generic build it big and large business. or B.) the Soloprenur.
There are numerous business owners that can come up with a good name for their business, but there are also those that have difficulty trying to come up with a name, even if they have written a lot and seem to be disappointed with it. Coming up with a name for your business means a lot. Getting the right name will turn your company or business the talk of the town. Getting the wrong one will make your business doom to failure. The name should convey the value, uniqueness and expertise of the service or product that you have come up with. You will find the experts will tell you that business names that are abstract. This is because when it is abstract, the owner or founder of the company will then create the purpose of the business, thus giving it an image to the name of the business. There are others who think that the name of the business should be an informative one so that when the customers read it they know immediately what the business is. There are others that believe in coined names, which is a combination of made-up words because they are easily to remember compared with names that makes use of real words. However, there are people who think they are forgettable. However, taking a look at reality, naming your business will be appropriate if it is done with marketing strategy.
If you have a difficult time coming up with a name, you might want to consider hiring an expert to help you with it. It is a complicated process for a number of people and hiring experts is highly recommended to those who are in the field in which the company may have a great influence in the business’s success. Naming firms is where you should hire the experts. They have these elaborate systems made in creating names for businesses and that they know their way really well, especially when it comes to trademark. Names should be unique, so it must not violate the trademark laws. Even if your name has just two letters of the word and that the sound is almost similar to the ones that are already existing, you are likely to be filed a lawsuit from the one who had the trademarked name first.
However, hiring experts can take a heavy toll on you, especially when it comes to costs. Having the name of your business handled by professionals can get as expensive as $80,000, just coming up with the name. This includes the graphic design and many other identity work, which is already a package, yet this is only in general sense. Sometimes your name might be so obvious you don’t need a branding agency. For example if your business is renting Ferraris then call your business that (exactly what these guys did with great success). You might find other naming firms to be more expensive. You will also find others that offer as little as $50, but if you want a quality advice from experts, you might want to consider hiring them since it can save a lot of money in the long term.
You can do your own naming if you are convinced you can do it, but don’t forget about trademark to avoid being sued. Alternatively you can hire a branding company, such as: http://thebrandingdivision.co.uk/ (disclaimer, I am affiliate with these guys.) to sort this out for you, but this can be time consuming and expensive.