“How Much Do You Charge”
The brand new annual yellow pages phone book had just come out (back when the yellow pages phone book was the main source to find a business phone number), and my company was listed under the event planning section for the first time. It had been a couple months since I opened my “doors” and I was so excited thinking customers would just pick up the book, discover me and call for business.
I remember eating dinner with my family when the phone rang in my home-based office, I answered it “Hello, Five Star Events, may I help you” just liked I had practiced. The person on the other line told me they needed assistance with an event and started asking me questions. My naivety as a young entrepreneur wasn’t apparent answering event questions until the person asked, “How much do you charge for your services?” I stuttered for a moment realizing I didn’t exactly know how to answer that question on the spot and came up with a much higher rate than I eventually came to use in those early business years. Being caught off guard and not prepared to give the proper response, the phone call ended and I never heard from the person again. The next day, a little bit wiser from the experience, I made an appointment with my business counselor to tackle the question and response.
It’s been sixteen years since that experience but it is still fresh in mind. It is still an important part of my sales job as an entrepreneur. How I handle the pricing question will make or break whether I land an event. I also hear the frustration by other women entrepreneurs running service businesses making sure they are priced correctly. Charging for a service is a balance between making enough money for our time, talent and experience versus the perception in the market for our type of service.
Next week and in early March, we have created three Women TIES events to tackle this issues – next week in Syracuse at a special three hour seminar on bettering our sales techniques which includes the “how much does it cost” question and four other important sales topics; one on March 2nd in Rochester focused on how to be the best salesperson for our company; and one on March 3rd in Albany on new wave marketing aimed at driving those new sales questions our way.
Today’s post is to remind you that two of the most important things you should focus or refocus on this month is your pricing structure and sales techniques. Has it been awhile since you analyzed your fee structure? How long has it been since you did competitive analysis in the marketplace? Are your sales skills rusty? Are you marketing the right way to drive new sales to your business? Do some serious thinking about these questions and focus on the ones that need improvement.
Gone are the days when eager entrepreneurs are waiting by their mailboxes to see their name in print hoping their phone rings. Gone are the days when guessing at our hourly rate makes any sense. We must be skillful women entrepreneurs who have done the research, marketed our businesses wisely and are able to tackle any sales question that comes our way. In the long run, it means more revenue and growth for our businesses.
Growing a Business with Virtual Assistance
Most women entrepreneurs I know become business owners because they are technically strong in a particular area. They decide to take their expertise and create a business to earn income. Many of them succeed quite well and after three years in business realize with persistence, constant networking, consistent marketing and outstanding customer service they’ve hit the wall because they have too many customers and too many potential sales opportunities in front of them. All of a sudden being the only person within the business to manage accounts, keep up with billing, promote successes, network for new business, becomes difficult. They start retreating and just maintaining what they have created to that point. Growth becomes impossible.
Luckily for some women, they discover the will to push past this problem and look for help. Finding a staff member or outsourcing business activities to other entrepreneurs rises to the top of their list. For some, finding a virtual assistant, from their own area or a different region, makes sense. Giving up the control, relinquishing some duties, and trusting another person to handle work is necessary for this type of business growth.
Next week in the Mohawk Valley, a Rochester women entrepreneur will help other women understand the value of hiring a Virtual Assistant. Ann Michael Henry of Mise En Place, will share tips in why women need one, how to find one, how to manage one, and how to grow a company with one. If you are a single entrepreneur looking for information on how to grow, please join us. To make a reservation, click on this special Women TIES link.
A special thank you to the Women TIES Mohawk Valley women entrepreneurs who help to decide on the quarterly luncheon topics, encourage other women to join them at the event, and promote women entrepreneurship in their area. Consider learning more about them or come to meet them next week. They are: Eileen Kent, Stories of a Lifetime; Julie Darling, Alzheimer’s Association; Linda Fake, Uniquely Yours; Mary Yoder, Chiropractic Family Care & Shaklee; Michelle Shauger, Primerica, Michaela Rosenberger, Romantic Ceremonies by Michaela; Sharon St. John, Small Business Development Center; Tracy Black, Pampered Chef; and Veronika Freeman, dotcalm.
Former Clients, New Sales Leads
Generating sales leads come from diverse places. Sometimes the lead generation comes from industry associations posting requests for proposals. Sometimes leads come from companies looking for specific vendors to do business with. Other times networking events or social activities trigger sales leads. All are good sources for recruiting new customers.
Recently when I was asked by my alma mater to create a solicitation request for an annual fund drive, I was reminded of the importance of making sales calls to former customers, clients and associates. Alot of non-profit organizations create annual appeal letters requesting funding. Their lists are targeted into batches of current donors, potential donors and past donors. Their lists display one-time contributors, event participants, and repeat annual supporters. Often the organization’s focus is on donors who have given frequently or who have given large amounts of money. It makes sense the frequency and larger monetary gifts are noticed first. But there is always a large pool of past donors and friends of the organization that go unnoticed because they haven’t been connected to the association for awhile or haven’t donated recently. Although the communication may have cooled off, there is often a warm relationship that only requires alittle time and attention to get refueled.
Like organizations, business owners may forget about past clients. They might be a long time, repeat client from five years ago. A one-time client who was 100% pleased with doing business with us. It might be an individual we did a few projects with but forget to go back to for more business when other larger clients came along. If you are looking for some fresh sales leads right now, you might want to pay attention to past clients. You could generate new income by reconnecting with former customers.
Today’s post is meant to motivate you to make a list of old accounts worth reactivating. Review your client records from 1, 3, 5, or more years ago and see what names resonate with you. Perhaps there are clients you would love to work with again. Maybe there was a dynamic client who always connected you to new business. Possibly there is a company who has grown substantially and can hire you more frequently now. You don’t know until you reach out to them again. Sometimes finding customers seems hard – searching, scouring for leads and knocking on unfamiliar doors. But business doesn’t always have to be hard. It takes a smart entrepreneur to realize connecting with past, satisfied customers might be an easier way to generate new sales leads today.
Million Dollar Aspirations
I remember as a fairly new entrepreneur listening to a million dollar in sales business owner share her secrets in growing her company. She admitted that one day she had an epiphany as she turned away some new clients. Overcome with work, she simply couldn’t take on any more customers on top of her current client load and other managerial responsibilities. Her inability to delegate corporate tasks was hampering her sales.
After listing and categorizing all of her business duties – the big ones and small ones -she analyzed how much time she spent on each duty. After the analysis, she had a crystal clear perspective that she was handling too many non-revenue producing activities and not enough revenue generating ones. She knew at that point in order to grow her company, she had to hire help.
She admitted feelings of trepidation at finding and hiring someone that would work perfectly for her growing company. She acknowledged it took a number of interviews and hiring the wrong person to find the right staff member. But in the end, the risk, money and time she invested in doing so, gave her the freedom and time to grow her sales to over a million dollars. There wasn’t any other way she could do it, but to let go of some responsibilities to someone else.
Deciding to grow a company can only come from the heart of the entrepreneur. We know when the time is right or when circumstances are forcing us to change. We may do it because we’ll lose more if we don’t advance. We might choose to do it because we want to make more money. We may feel compelled to do it because the time is right in the market. We have to be really honest about the circumstances making us feel like we have to take a major change. Do we personally want more – more time, more money or more relief from work? Do we want to make our companies stronger and more financially successful? If the answer is yes, than now is the right time to make the plans and start the process.
Today take some time to reflect on your growth intentions for 2011. Are you ready for the challenge of expanding your business? Is it the right time in your life and in the market? Do you have the financial and human resources in place to support your growth plans?
If the answer is yes, seek the assistance you need to start on the way. It will take extra time, extra money, extra effort, and extra resources to grow. If the time is right for you personally, remember the stories of all the women who have grown their companies before you. They are brilliant examples of what hard work, smart decisions and risk are all about.
Golden Bridges
As an adolescent I was instructed by older and wiser women on proper personal and business etiquette. One of the most important lessons I heard repeatedly was “to never burn a bridge.” No matter how often a teacher sent me in the hall for being too talkative or a strict employer corrected me on the accuracy of my food orders, I was taught to keep my thoughts to myself, control my emotions and not burn any bridges. I benefited from this wisdom when my sixth grade teacher, the one who loved sending me in the hall, was the person who selected me for the elementary school graduation speech; and how my tough first employer helped me secure my first College food service job.
Once I became an entrepreneur there were many times when a really demanding client, an unappreciative vendor, or a vocal competitor tested the limits of my civility. But always in the back of my mind I could hear those wise women telling me to bite my tongue, take the emotion out of the moment, and think to the future. No matter how difficult the situations were, I remained mindful of that old lesson, saw the bridge, and kept looking forward.
Since the New Year, I have had three past connections surface with fantastic new business opportunities for Women TIES. They are bigger opportunities than I could have ever imagined but fate had a hand in rewarding my patience and business etiquette. I’m not the first woman entrepreneur to realize unexpected, fruitful opportunities appear when you least expect them. All of these new business opportunities are coming from relationships I established years ago when I was a young entrepreneur. Time ended up being my biggest ally.
Next week at the Women TIES Syracuse luncheon Jill Tietjen, Denver entrepreneur and author of “Her Story: A Timeline of Women Who Changed America,” will share the value of women networking with other women to change the world. Major historical events like the fight for the right for women to vote, the Underground Railroad, and the establishment by women of new business models were all accomplished through networking. Some of the biggest opportunities for these women came from relationships with other women. Jill will share some of these amazing networking strategies with us.
Today’s post is meant to remind you of the women in your life who are staunch supporters, key networkers or future collaborators helping you to change the world. They may be someone from the past whose bridge was never burnt or someone you met recently that instantly struck a chord with you. These relationships can be golden if we take the time to network and develop them further.
My Favorite Business Resources
Recently I was asked by a local newspaper to answer the following question: “What are your favorite tools and business resources?” I thought I would share my answer with my many blog readers.
Although I utilize social media to promote my business, attend conferences to expand my knowledge, and read books to further my education, I find other entrepreneurs have always been the best resources for my company.
Whether it’s at chamber of commerce events, strategic networking programs, small intimate focus groups, or one-on-one meetings, I have gleaned the best business advice from other entrepreneurs. Sometimes it’s a revenue generating idea that worked for them; at other times it’s advice on avoiding a major problem. Once in awhile, a fantastic new vendor or marketing resource comes from another business owner. Smart entrepreneurs understand the value in not being overly private with success strategies that can help other professionals.
Good fortune, usually in the form of new business or referrals, always seems to benefit the person who shares information. There aren’t a lot of unique business concepts worth keeping to oneself. By reaching out for advice and being a resource for others, an entrepreneur can drastically and positively help their company grow.
The Year of Risk and Reward
For the Chinese culture their New Year revelry originated with end-of-harvest celebrations when people would offer thanks to gods for good harvests and entreaty for a good crop in the following year. Traditionally, this holiday encouraged families to thoroughly clean their homes to sweep away any ill-fortune in hopes to make way for good incoming luck. Each New Year is named after one of the twelve zodiac animals for example on February 3, 2011, the Year of the Rabbit will begin. As women entrepreneurs, still in the infancy stages of this new business year, we have an opportunity to name our year; I challenge you to name it the Year of Risk.For the past two years we have been living in a frightened economic climate – one which produced worry and trepidation in the hearts of business owners. Most women entrepreneurs I know have survived this period but not with alot of gain. While staying in a conservative, holding pattern can keep a company afloat; it can’t stay that way forever. Being static eventually produces feelings of failure. Being too conservative in business for too long is like having the flu, if you lay in bed too long waiting out the pain, you lose the strength you need to get back on your feet. The longer you stay down, the harder it is to get up.
I think it is time for women entrepreneurs to claim this year as their year of risk – the kind of risk that makes you get out of bed with a little bit of nervous energy to move forward in a direction you’ve really wanted to go in. We each know what risk we have been avoiding – it could be small, it could be large – but it’s there standing in the way of feeling like we are moving, growing, expanding, breathing. Going backward has never felt fun, not even on a roller coaster. Forward movement is the only way to be exhilarated and progressive.
Today’s message is to encourage you to risk – risk small and risk big. Hire the person you’ve always wanted to hire. Take the extra educational courses you’ve needed to move your company forward. Invest some resources in improving your company. Add new product or service lines. Have more honest communication with your clients. Travel and meet new prospects. Add new technology. Attend bigger conferences. Expand your business network. Let Women TIES help you.
You can’t be in a holding pattern forever and either can your business. Maybe we need to do what the Chinese do and thoroughly clean our “house” sweeping away ill-fortune and worries in order to make the way for good incoming luck, riches and opportunities. Make this year the Year of Risk and challenge yourself every day to get up on your feet with new entrepreneurial energy and zest to grow your business. Do it without worry, fear or trepidation.
Serious Intentions
Around 1998 when I was leader of another women’s business organization, we had a presenter who made the audience take a short survey. The survey was trying to pinpoint the reasons women were beginning to become entrepreneurs. At that time, there were about 20 of us in the group as women were just exploring this new career option.
I remember being very surprised when the surveys were tallied and the presenter asked the group, “What do you think is the number one reason why women are starting their own businesses?” The answers ranged from making a lot of money to being their own boss to using their expertise differently and needing to bring in a secondary income. The presenter said, “Good guesses but the answer is flexibility. Women who are starting their businesses want the flexibility to be in charge of how and when they spend their time between their careers and personal life.” It might seem like a basic answer today but in 1998, women entrepreneurship was not popular and not viewed as serious as it is today.
Twelve years later I think flexibility is still a major reason why women run their own companies, but I also think women entrepreneurs have evolved and now choose entrepreneurship to create stable, sustainable, income producing ventures. We have to, and must remind ourselves, we need to make money with our businesses or we are just dabbling in a hobby.
At the beginning of a new business year, we have to be mindful of our intentions. We should ask ourselves the same question the presenter asked the audience, “Why did I choose to be an entrepreneur?” If your answer is to make more money, then remember it and set specific sales goals. If your answer is to create flexibility in your life, make sure you don’t get obsessed with working that you don’t take time for additional education, visiting your children in school or volunteering. If your answer is to produce a bigger enterprise that employees staff in the future, set a timeline on how and when you will advance in this area.
Today’s blog should inspire you to think about the real reasons you are a woman entrepreneur today. What do you really want out of this career? Are you taking your job seriously enough and creating more financial and growth opportunities for yourself each year or are you just getting by? Are you enjoying being an entrepreneur because you do want flexibility and a balanced professional and personal life? The question is “What can you do in 2011 to become the woman entrepreneur you want to be?”
My hope is today you identify why you choose this profession and make the changes you need to be living the career you intended this to be for yourself.
Personal Goals for 2011
This week I was asked by a reader at the Syracuse Post Standard what my goals were for 2011. I thought women entrepreneurs would enjoy reading my response since it pertains to them and their businesses. My response is below:
“As the economy slowly regains some momentum, my corporate and personal goals are to remain focused on helping women entrepreneurs expand their local, state and regional marketplace in New York. Now more than ever before, small to middle size companies across the state need to buy from and sell to each other to strengthen our economic regions. In addition, I hope with a new governor there will be a fresh outlook and renewed support to businesses all over the state.
Since a company’s success can’t be achieved without analysis and planning, I hope entrepreneurs reading this column will take time, like me, to analyze their 2010 figures, do some market and competitive research and update their business plan. I also hope they will travel across the state more often this year opening up new economic connections with other companies. We can achieve greater levels of individual and collective financial success by supporting other New York enterprises.”
Tips for Creating Effective Timelines
Today’s blog is a continuation of the December 27th blog on timelines. Today I offer three quick procedures on creating effective timelines for women entrepreneurs or their business projects. After 23 years of planning and managing multiple events with my company Five Star Events, I have a few techniques which have worked well for me. My event management company’s motto is “Success is in the Details” and you’ll see how I use detailed timelines to make events and business triumphant for myself and my clients. I hope it helps you.
Create Weekly Timelines
- Start by looking at the next week of business. Create a blank page on your computer and start filling in all the tasks you have to do until you can’t fill it up any more.
- Then take a look at the items and move them around in order – the most important rising to the top of the page, the least important to the bottom.
- Put work or completion dates to each task. Then reorganize them again in order of work or completion dates.
- Every morning when you start work, view the timeline and start with the most important items of the day. Don’t skip any – try to stick to the prioritized items. Sometimes you can bold or highlight the most important items to give them an even more visual sense of importance.
- During the day when you accomplish each tasks, erase them from your list.
- As your day progresses, you might have to add new tasks onto the list that come from completing the original items. That’s okay – it’s part of work and part of staying organized.
- At the end of every work day, review your timeline, move around priority items, add new ones, and have it ready for the next morning.
Create Project, Client or Event Timelines
For medium to large projects, it is wise to create individual timelines to keep you on track. Start by “dumping” as much information as you can that needs to be done for the project, event, or client onto a blank page on your computer. Then organize the tasks into days, weeks or month blocks. You can transfer individual project or client timelines onto your master timeline periodically to keep you organized.
As you work on the project, cross off timeline items and add new ones. Update the task dates and completion dates as time progresses.
Consider sharing copies of timelines with clients or staff if you think it would help them manage their side of a project
Create Event or Project Folders or Binders
Create individual event/project folders or binders for each client or major projects so you can keep important communication, contracts, timelines, and other items on file and easily accessible. You can also create a phone and email directory listing with client contact information, important vendors, or other client associates on a page at the front of the folder or binder for easy access.
The folders or binders will make staying organized much easier for you especially when you have multiple projects occurring.
Women TIES 