Taking in the air

Year 2 Survive the first year.
Survival seems likely, as the usual stage in that first year is that you survive on your redundancy payout and live a frugal life but, you have not established yourself yet, people still don't who you are and will be missing out on business that would have been yours in normal circumstances. These are not normal circumstances. Regardless of the fact that 51% of the business registered in companies house (and these are only the limited liability ones) are SME's and the 90% of those have a turnover less than £50K per year; starting your own business is NOT a normal thing to do in the UK, most individuals work for someone else and that matters. Now we will probably reach the end of the year and have to do a set of accounts which will mark a steady downhill slide into the Tax and red tape abyss which constrains and bleeds most small businesses to death.

Enthusiasm

Year 1;
Okay so you think that you are really going to be the owner of a great business, making lots of money and giving you the life you that you have always desired. If you work hard and keep going there is a chance, a small chance that this may happen, but in the great scheme of things it is unlikely.

Most businesses fail in the first five years; in fact out of the 10 business that start up today in ten years there will only be one left. Now all ten companies start out wanting to be still around in the future and all ten invest the same amount of energy and money into their ventures with a view to being there. In the unlikely event that two survive it will not be through skill and knowledge but more like luck that keeps them there.
So let's refocus our aims a bit closer to home this is not taking the long view but something like one year as most people who usually don't know what they want for lunch the same day may not be able to cope with? I ask the question where is your one year plan if you don't have a ten year plan?

The first step towards the edge...

An explanation in general terms as to what Unfair Advantage is and what it is not why it is not Strategic Advantage or Critical Advantage or in fact Competitive Advantage why it is more powerful than all of these and why is costs so much less and makes so much more

Introduction

Most business fail in the first five years so let’s take a look at the way this might happen before we look at ways to stop it

Daniel Priestley

Last night I took a colleague to listen to a free seminar delivered by Daniel Priestley in Oxford. He is very inspiring and delivers a logical and sometimes scary view of the revolution that is happening all around us. Social Media and what used to be called Web2.0 is going to change the world and has already done so. Riots using blackberry messenger and twitter news coverage!
Collaboration and partnerships are the only way out of this so let's get together and create unfair advantage so we can all grow into the business people we wanted to be Unfair or what?

Waiting for enterprise to get going.

This is it then, the launch of the Local Enterprise Partnership in Southampton for the whole Solent region. WOW only hang on - the is no enterprise and no partnership so it's just local then. Well not even that really as the board members source stuff elsewhere. Pointless maybe useless undoubtedly.

Unfair What?

Take the idea that your offering is not particularly different to your competitors and that some of them are actually better at than you. Shocking eh? But realistically this is normal and what makes you different is YOU. The difficulty here is that this fact alone is not enough and if you rely on it you will almost certainly starve or get a job!

The Big What?

Where to start then?
Care Homes costs to keep one dementia patient for one week is approx £480 not bad considering the professional care and knowledge that all homes come under the remit of the Care Quality Commission oh yes. So why have the majority of local authorities set their rates at about £100 less than the cost?
Homes will close people will be left on their own in their own homes where the domicillary care is so short they can decide to eat or be clean but not both. The way we treat our vulnerable is a direct reflection on the sort of society we are. In this case we would be penny pinching bastards whose only concern is not to leave their children in debt. Hold on my parents generation left us in debt their parents left them in debt and so on. So let's be kind sell the children for medical experiments and euthanise the old folk.
It's the only kind thing to do.
Big Society or Big Balls Up -you decide!

Finally landed - mentally

After struggling through the week trying not take a nap while driving as the other drivers appear to have panic.
Meetings again with lots of really great clients. Confidence levels are again taking a dive as uncertainty raises it's ugly head. If we ran our businesses back tracking and uturning as much as those in charge of failing to give us all the confidence we so desperately need. No more real change in Schools - no real change in the NHS - no change in their best mates winning more and more contracts. Tender if you like but it won't get you anywhere.
I was explaining to a good client the theory of "unfair advantage" this is why parents pay grossly overpriced fees to schools that teach no better or no worse than ordinary everyday comprehensive state provided education that is free to all who require it.
If the client does not get unfair advantage what is the point of spending the extra money. Eton can claim unfair advantage just take a look at todays cabinet ministers now that's worth the money that is...

Making it work properly. Job for Thursday.

Deciding what is important and what is superfluous can be difficult we all get sidetracked into doing the things we enjoy before tackling the more fundamental aspects if our businesses I would much prefer to spend time in front of potential clients than the laptop doing accounting but exactly how much damage am I doing to the end game?
The problem is that unless I can identify where the damage is I can't deal with it. Mapping the process goes a long way to identifying the gaps usually not skill gaps but attitude gaps or should I say head gaps.
I believe that ALL businesses should have at least one process map for each function. Not only does it make it easier to replace people who have left it can really help advisors to get to the problem areas quickly and more cost effectively (cheaper). So think on and plan stuff graphically (draw a nice picture of what you do why you do it and what you expect from it afterwards. There are loads of freeware stuff to aid you in this activity.

Holiday or Run Away

Well I am sat here on the plane on my way to a all expenses paid medical conference to Malta for a client. This is the sort of work I could so with more of. For a minute I had  a dejavu moment and nearly got on the plane to Dubai.  But then I might just be leaving the UK for a better life without the incessant whining of Dr Cable (everything we do was due to the last lot) and his cronies who are extra annoying this morning in their irritating well we listened and funnily enough Joe public didn't want their health service dismantled in the same way the lot before the last lot sold off the railways/gas/BT/mining industry/steel industry in fact all industry of any note leaving a nation of very very poor homeowners or very very rich council executives. No I'm just off for work and a few days jolly to lower the blood pressure. I have to stop now before my blood pressure makes my head blow up. 

Paul (Haley).

 

From my phone. 

All these holidays cripple the mind

Well here we are half way through this years bank holiday craziness.
Some of us are still working although I don't think anyone who loves what they do will consider it work. The sharp intake of breath around me when I set off this morning only goes to prove that the work ethic is straining a bit in good old blighty. Its probably straining everywhere now that we have the concentration ability of my cat Millie who spends twenty minutes chasing shadows and leaves that are about to attack her then falls asleep for the next hour before claiming it was a power nap just to get the energy to fall asleep properly later.
For anyone who works for themselves or runs a company that relies on them, knows that holidays are just the time the workers have off. To me holidays are a pain in the schedule as I lose rhythm and it is that much harder to get back up to speed. It also makes me the worst person in the world to spend a vacation with; constantly irritable and moving around.
Next time I am going to take a break by staying at work when everyone else is off - rest enough I think...

Been Thinking

You know we have all been encouraged to think Niche what's yours?
Mine is getting people to think clearly and understand where they are in relation to their dreams. Just thought I would jot that down.

Paul (Haley).

Travelling light.

Sitting by the dock of the bay

Okay okay so it shows either my age or excellent taste in music.
Contemplation is what it is all about.
I am reading "become a key person of influence" by Daniel Priestley and it's good. A beer a chicken salad and a book. As I keep saying to my esteemed clients get your mind right and work at getting things in order and worry less. The money will come in.
Tools you need for success:
1 resilience
2 resistance
3 reconstruction
4 redoubtability (not really a word but...)
5 redundancy

Now get off your butt and just do it if you can't talk to me.

Kind Regards,
Paul Haley.

On the move.

Focus on activity

Here we go again. The number of times that we are going through the same treacle. Marching up and down without ever knowing where we are going. Its like jogging through the fog at any time something can come up and smack you in the face. Who would do that? Why would we then not slow down and take a large intake of breath and just look around. We seem to slow up take stock and then critically look at those who are leading us about by the nose. Do they really know where they want us to be?
There are times when I really believe that they are a lot happier when we all have jute hoods over our heads that way the only thing we can see are our feet. We can shuffle neatly over the cliff edge like lemmings were thought to do. Unfortunately the press, rich govenment ministers and the banks would rather we didn't question where we are going and are treating us as if we don't know well enough when we are being wrongly advised.
The coalition government is very much like the old board of Equitable Life promising so much and delivering absolutely nothing but pain.

Welcome Back

Iv'e been keeping my head down and holding my breath hoping that the coalition gets it nearly right unfortunately it is really getting it so wrong if I hold my breath any longer I will die a painful and untimely death.
I was hoping that some of the money handed over to the Irish and the Railway companies would actually come to some of us who know how to grow businesses and to make sure that we grow the economy and not destroy it and bring us all down into penury.
For God sake stop blaming someone else if I hear "the last lot left us in hell of a mess" I will have to slice off my own ears. Yes yes it was someone elses fault but deal with it life is someone elses fault.
Also why is this rush to pay off the debt so our Children don't have to be saddled with debt I believe that Tony Blair paid the last cheque to the Americans for the second world war loans so thanks Dad for saddling me with debt and thanks to the Bankers who also should find a proper job and stop stealing from me they are not the Government who are allowed to steal from me by law in fact it would be a dereliction of duty not to steal from me.

Keep listening to noise on the rails

the government is doing even the coalition as they like to call themselves seems less sure of themselves now that they cannot keep on blaming the last lot all the time about the state of the world financial situation as its getting boring now.
It's time move on and focus on what can be done to ensure that enough business is ocming in for everyone. Watch this space.

Changes and then more changes

I was going to start this narrative with another question but instead I'll start with an observation. Most humans hate change... not just fundamental mind numbing panicing forced eviction change but even the smallest of changes like moving furniture or losing a usual parking space. Minor stuff and no more than irritating really. So when huge uncompromising change comes along most people just freeze or burst into tears why is that? Change is as important in our lives as food or water. Our ancestors had the unenviable task of dealing with unknown changes every day. Now we know that the sun comes up every day and warms through (sometimes) so we can get on with doing stuff. I am against doing the same stuff today as I did yesterday as it's so mind numbingly boring it encourages self harm. I want something new every day and like some other people I know if it isn't a bit risky then I ask myself how do I make it so. Behind every change forced upon us by incompetent public school boys playing at running a government there is an opportunity to be found. So when I see change it fills me with energy and enthusiasm for the next great idea to come along. So don't just sit there change something, Moving the furniture about does not count...

Where is everyone going today?

Oh what a mess, the government are going to give all the NHS money to those at the "coal face" that could mean the patients or the doctors I believe that they mean the doctors which is a major worry as the last time I visited a doctor they had trouble remembering what day it was. Doctors are very good at what they do or should I say some of them are very good at what they do but the are NOT business people. They have been spoon fed money and respect for so many years they have forgotten what you have to do to earn a living I can see this one being a major disaster a sop to the so called liberals who no longer exist.
Business Link are being disbanded so where can companies now go for sub-standard advice and lack of ability now maybe they should merge doctors surgeries with business link offices and we can all avoid them whenever required.

Making my way back to you...

I have been working non stop recently dealing with the issues that come up in companies because they forgot to do their planning.
If all else fails planning should be a daily activity whether that is in the bath or during breakfast. If you do not plan your growth someone else will be planning your demise. A client had a phone call today asking if she had made arrangements for her own funeral. Well that would be forward planning to absolutely no effect whatsoever. Never plan your way to a quick end. I reckon that we should have no idea when we are going to die so planning for it strategically is a bit of cheek.
Take this on board as I read hundreds of business plans every year and most drive me to the point of suicide by page four so keep everyone including yourself interested and change your plan as often as you change your shirt. I was going to say underwear but then I know how grubby some business people have become.

Book reading time

I have been laid up with kidney stones, now thankfully removed, but during my moment of recouperation I have read the first few chapters of The E Myth revisited by Michael Gerberand. I heartily recommend it to anyone even considering setting up any type of business venture its so real its scary. Once you get over the americanisms and the jovial chumminess the facts speak for themselves. Get it and read it!!

Unfortuately read

I have just waded my way through the first part of The Black Swan. I have given up reading the rest as the style of the writer is painfull at best and self indulgent at worst. I found myself seriously considering suicide as the better option after page 150. Any author that decides to use the initial letters of his name as a reference to themselves is deluded in the extreme. I am sure that he has been lucky in the past probably from the left field or black swan area but as I trudged through the treacle that passes as interesting writing I wondered what on earth roasted black swan tasted like.
Won't bother with the rest of the book as it is handy for keeping the toilet door closed.

Making the right choices

Waiting for change
In the last few hours, in between bouts of melancholic writhing, I have has the opportunity to reflect about the forthcoming UK elections. All the rhetoric and hot air on who has business support over which policies and who doesn't is a major slight of hand. Government of types shapes and sizes is generally loathed by business. We don't care who delivers the bad news but we want someone to stop the pain first then have the balls to do what's right not what is popular. I have rarely been popular but often right and do you know if we expect change then are we not the stupid proletariat!
Is it not better to know where our leaders are going to mess up than to fall for false promises that in our hearts we know can't actually happen. Floating voters are what's in it for me people and need their minds made up for them. Stop pandering to the mindless and focus on society. I know who I am definitely not going to vote for!

Sent from my BlackBerry® wireless device

Something I picked up from Chris Cardell

I have been following Chris for a number of years and his last email just about summed up the problems we have in encouraging businesses to survive. I have cut out most of the important stuff so here it is and thanks to Chris for putting so succinctly...
As business owners, we can never be good enough at following up with our customers.

I refuse to let a business owner moan to me about the economy until they have a multi step follow up sequence of 7-30 contacts (email, mail, postcard, telephone etc.) with everyone who comes into contact with their business as a potential or paying customer or client.

Funnily enough, when people do this, they tend to make so much money from increased sales, they just shrug off the Recession and stop talking about it.

As business owners, we can’t afford to make the big, costly mistake of not following up, because one way or another we pay good money to get leads, and if we let them disappear without them becoming customers, then it’s money we’ve wasted.

And just in case you have any doubts about how important this is, here are some scary statistics:

48% of sales people never follow up with a prospect
25% of sales people make a second contact and stop
12% of sales people only make three contacts and stop

It’s staggering, but only 10 % of businesses make more than three contacts. This means they’re losing a small fortune.

Because...

2% of sales are made on the first contact
3% of sales are made on the second contact
5% of sales are made on the third contact
10% of sales are made on the fourth contact
80% of sales are made on the fifth to twelfth contact

So if you’re like almost half of all businesses and make no more than one follow-up to your prospects... you’re leaving 98% of your income on the table for someone else to come along and pick up.

If that wasn’t bad enough, here’s why it’s even worse. Look at these eye-opening statistics about why people stop buying from businesses:

1% die.
3% move away.
5% follow a friend’s or relative’s recommendation.
9% find an alternative they perceive to be better quality or value.
14% are dissatisfied with the products or services.

And a massive 68% of people leave a business because of… indifference.

They take their business elsewhere simply because they do not feel valued.

Since you spend a lot of time, money, and effort to get a visitor to your business, if you let them leave because of indifference, you might as well be flushing £20 notes away.

They take their business elsewhere simply because they do not feel valued.

So, how often should you follow up? Most business owners I speak to follow up maybe once a month, if they use follow up at all. This is a mistake. You can quite safely send something once or twice a week.

See, it's not the quantity of stuff that annoys people. What annoys them is if it's boring, and nothing but requests that they buy something from you. As long as your follow up is friendly, personal, full of personality and fun, then you'll be fine.

There’s a golden rule in Marketing that will make you wealthy. Once you have someone’s details keep on following up until they either buy, die, or tell you to stop!

Enjoy

Blame everyone but yourself

Why is it that when I talk to business owners they need someone to blame; the government, their suppliers, the weather, their staff and last but not least their customers.
Whatever happened to service whatever happened to is there anything else I can do for you.
Throughout the ages people have been blaming everything from God to the spirits for their misfortune but only themselves for their good luck.
My take is that it is all my fault I take the blame for everything and every problem the difference is that I really don't care. I shall sleep soundly in my sleep knowing that I have bought the world to an abrupt halt.
If others care too much they should put a bit more energy into keeping themselves on top of the situation.
Take heed there are many of us out there who only want to do the best we can so beware of idiots and chancers don't argue with those that know better just sit back take it in and then take action...

Make a difference don't make a noise

If you are gripped in the knowledge that the world is coming to an end and that scientists are not always right then start making a noise. The whole of the world seems to be clinging on to the idea that one group of people know a whole lot more than everyone else. This is unlikely to be any form of government anywhere in the world.
I would like to know why is that polititians make a whole lot more sense when they have left office than they ever did when they had the opportunity to make a difference. Try to ignore the cynic in me for a moment and take a look at this whole "iraqi trial by the press bollocks" that is going on at the moment. I would like every person out there to convince me that every thing they thought or did last week was for the common good of their fellow man! No? oh dear now you are to blame.
I would like you to remove your skin and roll around in the salt and lemon until we are all satisfied that you have suffered enough because we have suffered so much by your unthinking and selfish acts... What are they well - who knows because I sure as hell don't!

I've been thinking

I have be with a few clients recently who have been looking for quick fixes.. something that is not possible in my world. If a company is desperately wanting to save money now then the quickest and by far the easiest way is to sack 50% of the staff. The impact won't be felt until the end of the year but you will have achived immediate savings.
Nothing you do today will affect tomorrows sales or the next days or in fact this months it may have some influence in six weeks time but to be totally effective you need to plan much more in advance. The reason that you have no sales now is because you did nothing about it three months ago.
Sitting on your arse will not help. Get on with it decide what needs to be done and do it.
If you don't someone else will and you will become superfluous.
Can't help you today but can help you today for two months time.

Sno's gone

So the snow has receded and the brains of the major political parties have gone into the same dirty slush. Thinking in a clear and coherent manner has been replaced with child like burbling and dribbling over everything from Iraq to the Banks and the thought of everyones Eton Fag taking over as Chancellor scares the hell out of me the guy can't add up his own expenses never mind the need to count well enough to make sense of large and unwieldly economy!
Oh crap.
I have been listening to business owners that feel that getting through the recent difficult set backs as being a success in its own right... Sorry to tell you but that was the least we can expect from you as failure was only for those who borrowed n against a dream they were unwilling to work for.
Performance is about doing better than you ever thought possible and actually planning for that outcome a bit like Schroedinger's cat if you don't plan for out planning then you are wrong and if you do you are wrong - its there but it isn't.
Welcome to the real world I think!...

Why I hate the weatherman

The weather is not something we have any control over neither are many other things in our lives so why oh why do we try so hard to bring some order to the chaos. We are by nature beast that are supposed to hunt and take risks but the continual blame culture we have nurtered is damaging everyone.
Taking care not to damage anyone else is each individuals own responsibility not that of Government or Social Services or anyone else we like to apportion blame on.
The painful self flagellation that is going on in London at some hearing is just such a point the inability to accept reality is upon us all.
Paedophiles and Murderers do not hide behind every bush and we are not all out to "get" each other at every turn.
Start off by being accountable for your actions and don't look for someone to blame when things go wrong its your fault live with it!

Christmas is over now lets get on with it!

I've been hearing lots about how we are all doomed for the next 400 years and that if we don't do something about Recession/Global Warming/Badly Behaving Children/Moaning Adults we are never going to be proper human beings again. Absolute rubbish: I think we should hark back to the old days - days of high infant mortality, starvation, cholera and drunkeness (hang on apart from the degredation bits its no different than it was things must have gotten better.
I say to all my clients stop moaning and prevaricating just get on with it and do something anything is better than nothing

Employees need a change

You can tell when we are getting more confidence about the economy because the first opportunity to take a little risk is upon us. Most employees stay put when there is a downturn and hang on in there. Most bosses know this instinctively so they start flexing their muscles and when the boss says it's tough out there he is just re-enforcing his employees desire for stability.
I will let you into a secret... There is no stability never has been and never will be! It really is just what you can make of things.
Now that the winter is in full swing and that people believe they may survive the economic and weather onslaught for another year (even though they have survived it for all of their life so far) its time to brush up the CV to snap back at the boss and to engage in a bit of pro active dreaming.
In my view its time to stop hibernating and sheep walking and start your own business. One thing to always rememeber is that you can never get sacked for looking at dubious websites at work if you are your own boss.
So think on and get a bit uppity with the boss. You're moving on up as Curtis Mayfield would have you believe...