Public

Special Good Friday post: Buy a book and all proceeds go to the Royal Children's Hospital

Wed, 04 Apr 2012 22:06:00 GMT

No doubt you’re counting down the minutes ‘til the long weekend starts. So before you kick up your heels, here’s a quick opportunity to support seriously sick kids…

That’s right the Royal Children’s Good Friday Appeal is getting ready to go and so the team at Business Growth Leaders invite you to throw your weight behind the excellent cause. Here’s how…

Buy a $10 book & 100% of proceeds will go to the Royal Children’s Hospital

The book supply at BGL is in a serious surplus – i.e. we’ve got too many new books. To offload them the BGL book store will sell each title at less than RRP, cover the cost of shipping, and give all proceeds to the Royal Children’s Good Friday Appeal.

Now the books normally sell for $20 - $50 in book stores but in support of a great cause, each title will be sold for only $10... you do the math at how ridicously cheap these books will sell for. >> Go to store

Who benefits?

The kids: Since 100% of the purchase price goes directly to the Royal Children’s Good Friday Appeal, the kids are the real ‘winners’. So spend generously
You: You can’t beat the feeling of doing something which benefits others. You also can’t beat buying popular business books for $10 which normally retail for $20-$50 each

How it will work

Select a book in the mystery title* categories time, team, money or exit
Each title within the mystery title* categories 'time, team, money or exit' will be sold for $10 (RRP $20-$50)
During the checkout process, give a one line description of the type of book you’re looking for in the 'Shipping Instructions' field e.g. ‘manage time’, ‘hire team members’, ‘cashflow’
Allow 24 hours for titles to be dispatched (during a normal work week)

*a ‘mystery title’ is a book BGL selects on your behalf. Simply enter your area of interest in the 'Shipping Instructions' field during check-out and an appropriate book will be shipped to you.

Handling of funds

Each title within the mystery title* categories 'time, team, money or exit' will be sold for $10 (RRP $20-$50)
All funds generated in the mystery title* categories 'time, team, money or exit', will go directly to the Royal Children’s Good Friday Appeal on 13/4/2013

For more information, check out BGL’s Good Friday Appeal page or contact me through our contact page.

Give generously this weekend,

Geoff

P.S Don't forget to "like" BGL’s Good Friday Appeal page to spread the word amongst your friends and colleagues... Let's see how we, as a business community, can help.

Overdue bills rise by 20 percent in December Quarter

Tue, 28 Feb 2012 05:33:00 GMT

Why you need to rethink your debt collection strategy...

You’ve probably realised it already, but the bills you send out, and possibly the bills you’re meant to be paying are going unattended well past 90 days. A recent study revealed a 20 percent increase in unpaid bills amongst Australian businesses for the December 2011 quarter in comparison to the same time in 2010.

For small business, the 20% increase in unpaid bills represents a $1 million short fall in revenue each quarter. And is causing many (in my experience) to seriously reconsider where they put their money, the suppliers they keep, and inevitably the priority they place on bills they receive – and thus the cycle starts over again.

Now if you thought that was bad, spare a thought for those in the finance, insurance, and real estate sectors who currently give themselves a 50/50 shot of being paid after 90 days.

Debt Collection Strategy

I've been lucky enough to come across a 'soft' debt collection strategy. I call the strategy 'soft' because it is light hearted in its approach, whereby a literal piece of string and three letter series is used as the reminder to pay.

In my opinion, the 'soft' approach makes the process that much easer for you as the creditor and for your debtors because of its non-threatening nature. In saying that, the letters have enough weight to let your debtors know you are serious about wanting them to pay you. See below for instant access to the debt collection letters...

Action Steps:

Download/read the debt collection letter template. It’s a light hearted but effective strategy that is FREE for you to access. We’ve seen it pull good numbers on unpaid accounts so please reconsider they way in which you collect on unpaid bills.
I encourage you to not stop/cut your marketing spend in 2012. Advertising and marketing is the oxygen in your business. If stop it, you die. Without new customers your business will stop bringing in new dollars to replace those who leave or add to those who stay. So don’t stop promoting your business!

Need assistance

If you need help implementing any of the strategies in this article, call my office on 1800 899 722. Its absolutely free to get in touch with us, and I urge you to consider the possibilities in your business.

Statistics based on Inside Retail article, Businesses Taking Longer to Pay Bills

Twas the week before Christmas a D-I-S-C Tale

Mon, 19 Dec 2011 23:21:00 GMT

The hustle and bustle of Christmas shoppers is almost everywhere you look.

I have a few family birthdays this time of year, as well as the usual Christmas shopping, so I am forced in and amongst the crowds.

As I’ve been shopping, it amazes me to see how different people react in these 'pressure cooker' type environments.

Maybe you've noticed well adjusted people (some you know well) go crazy or lose their cool over the smallest of things – and you didn’t see it coming?

Well I believe the stress of busy Christmas shopping centres forces the real personality/behavioural styles to come out...

So to wrap the year up, I am going to share a light hearted story of how different people shop using the DISC behavioural system (personality assessment), and you can figure out which type you and those around you are. It's scary how accurate it can be!

If you like the idea of a full online DISC assessment to better manage workplace behavioural styles you can register with us and get started.

Twas the week before Christmas a D-I-S-C Tale

Acknowledgement: The original author of this article is Success Performance Solutions http://www.super-solutions.com/

Twas the week before Christmas and all through the stores, everyone is scurrying and rushing toward the doors.

The sales staff is exhausted, the shoppers are spent, The businesses are hoping, they'll make enough to pay the rent.

But regardless of the holiday, one thing is for sure, To predict how a person approaches shopping, DISC will endure.

Over the next few days, millions of people will purchase goods and services-on-line, by phone, or in person using one of four DISC behavioural styles... There is no magic or hocus-pocus to identifying these styles. All you need to do is observe and listen. Here are a few examples of DISC shopping styles in action:

The high D behavioural style says...

"Only 1 day? What's the big deal? There's plenty of time left." D types love the challenge. Ironically, the remarkable emotion of D behavioural style is a short fuse - traffic jams, long lines, crowded stores and D types don't mix. Internet shopping is tailor made for these direct, results-focused individuals. Gift cards and certificates are near perfect because they are much more efficient and they believe you can't go wrong with cash or its equivalent. Then again, the D behavioural style might cajole his administrative assistant to make the shopping list, check it twice, and be Santa's little helper. It shouldn't surprise anyone that high D behavioural types are the ones doing last minute shopping on Christmas Eve. And if anything needs to be assembled, Ds pay someone to do the handiwork. High D behavioural types give gifts that identify with increased productivity.

The high I behavioural type...

loves the holiday season, and the shopping, parties, and crowds that go with it. Shopping is an event, a day out at the mall with friends and families - the more the merrier. The I behavioural type plans a shopping trip with the attention normally given to planning a wedding. Shopping begins early and centres on meals. After all, how can you possibly shop without a big breakfast, numerous breaks for snack and lunch, lunch, wrapping up the day with a sit-down dinner? By the end of the day, the high I behavioural type has had a great time regardless of the success of paring down the gift list. The High I person is optimistic. There's always time for shopping! The high I behavioural type is highly influenced by those gifts with the most attractive wrappings, even if what's inside is not always practical. You can be sure he/she's an I if you hear, "I just couldn't resist buying it. It had my name all over it. I hope you like it too."

The high "S" behavioural style...

favours handcrafted gifts and homemade food. Christmas shopping begins and ends early. This steady, methodical shopper makes lists, clip coupons, and maps out a shopping itinerary before leaving the house. Although Black Friday marks the start of the shopping season for most consumers, December 26th is the right time to get a head start on next year's shopping list. The S behavioural style kicks into high shopping gear right after Labour Day and with few exceptions, gifts are bought, wrapped, and shipped before Thanksgiving. December isn't a time for shopping but for making cookies and preparing Christmas dinner. On Dec. 16, the high S behavioural style thinks, "Only nine days until after-Christmas sales begin."

The high "C" behavioural personalities...

work to avoid big crowds and don't understand how anyone can leave shopping to the last minute. In many ways, the C and S behavioural styles share shopping preferences. But the gifts they choose differentiate these behavioural styles. S personalities give gifts with a personal touch; Cs seek quality. The more practical C behavioural type purchase gifts that will last, and makes certain their gifts have the best warranties. During September and October, they do research to find the best-made, highest quality and most reasonably priced gift. These logical analytical types prefer to give gifts with a proven track record and can't understand why anyone would waste money on this year's fad.

If any of these types seem familiar, that is because they are. DiSC is the universal language and dates back to....well as far back as Christmas itself. Find out what your personality style is by registering for a short online survey.

DISCover more about your personality, and those around you, by registering for a DiSC online behaviour survey.

Appreciate your best clients for around $10/month and still feel good about yourself

Thu, 01 Dec 2011 04:56:00 GMT

Finding the ideal gift or card for clients is never easy on a budget. The trouble of getting in the car (or searching the internet) and browsing from store to store to buy a decent gift is all too difficult and expensive – that is, if you don’t understand the power of appreciation.

Studies show that 67% of clients move on due to perceived indifference. In other words, your clients switch to a competing business when they are not appreciated by you. Coming into the Christmas season, I wonder how many of your clients know you appreciate them? Or, when the last time you told them you appreciate them was? Maybe your clients have forgotten about you?... remind them that you're there for them.

In case you planned to avoid sending a client gift/card this year I want to teach you an essential marketing strategy to keep your best clients happy. It’s a strategy I use it myself to gain referrals, move prospects along the sales cycle, and acknowledge some of my hardest working clients and their team.

The Strategy ... Send your clients a Christmas card (thank you card)

My proven sales & marketing strategy revolves around using seasonal thankyou cards, greeting cards and postcards to genuinely acknowledge someone. It just so happens that acknowledging a person tends to produce fantastic results for my business. Let me tell you about the system I use.

Specifically, I recommend using SendOutCards at http://www.sendoutcards.com/bizcoach as a leveraged option to do this. (See below for Complimentary Access - I’m paying for it :))

Apart from being a great customer service strategy, it is also super cheap (starting around 49 cents plus stamp) using my strategy. I have been using a system for the past 2 ½ years that allows me to send hundreds of personalised cards in under 10 minutes.

Fast facts:

Yes... they are real cards.
Yes... they are sent with a real stamp.
Yes... you can choose from over 15,000 standard designs from over 500 categories.
Yes... you can upload your own designs & photos on either the cover or inside.
Yes... you can scan your own handwriting & signature for use in the cards.
Yes... you can send gifts with the cards.
Yes... the system has a contact manager which you can use to automate reminders or cards for birthdays, anniversaries, plus ... other special dates and put the sending on auto-pilot.
Yes... they are cheap starting at 49cents plus stamp for a postcard or 98 cents for a greeting card.
Yes... send 1 or 1000 they are still the same price and can be individually customised.

Start Sending Christmas Cards for FREE

If you act and send a card (http://www.sendoutcards.com/bizcoach) of appreciation to your clients, you'll be top of mind and give your cash flow a real boost before Christmas.

To send a FREE card card, click here (http://www.sendoutcards.com/bizcoach). And if you're happy with that, for 49cents each you can start appreciating your clients. You can even add a gift! It will be posted with a real stamp the next day.

Just in case you are thinking you don't have time to show appreciation to your customers, think about how much time it will take to replace them and all the people they refer to you!

So go ahead now and send http://www.sendoutcards.com/bizcoach your top clients a card of appreciation.

Drop me a line at geoff@businessgrowthleaders.com.au if you have questions

5 Questions that will boost your sales conversion rate quicker than Nitrous Oxide in a Nissan Skyline

Thu, 01 Dec 2011 04:57:00 GMT

Today I want to give you five questions I use regularly in my coaching business to drill down on problems or issues in a client’s business AND help them find a solution. Maybe you've heard of them? Maybe you haven’t? But either way I promise you these questions are a must have in any sales, leadership, consulting or coaching role – in fact, if you’re in any kind of relationship you need to know these questions back to front.

How can five questions be so important?

Asking the right questions will help you understand the needs of your client or prospect and deliver rock star solutions. It ensures you know what they want – and they get what they want. It also helps you drag in new business because the net you cast catches every detail of their problem and positions you as the all knowing ‘hero.’ And finally it turns cold prospects into ‘yes’ decision makers because you helped them identify the current situation as a problem that needs fixing, now.

Let me give you an example.

Until recently, my wife and I had investments in a gym only five minutes down the road from our home. The gym catered for women who on the face of things had a generic problem: they wanted to ‘get fit.’ If you were new to the sales game, you might feel you understand their need because ‘getting fit’ sounds so, well… nice. But here's the bad news: Getting fit is something most of human society aspires to.

...Every New Years day we promise never to eat so much again, to quit smoking, to wake up at 5AM to make that gym session etc. All of these statements sound good, but none of them will motivate us to start or stick at achieving our goal. And in the gym we knew it better than most as we watched rate of unused year-long gym memberships increase and retention rates spiral down. So here’s what we did.

My wife trained our gym instructors and personal trainers on the five questions and discover what really motivated our female clientele. Within one week of implementing the questions we had some pretty astounding results. Women would cry and tell us how they need to lose weight so they could see their kids and grandkids grow up; others would say how they’d been bullied all their life because of their weight and now “enough’s, enough!” Now I ask you… do you think it had an effect on retention rates? You bet. It also lifted team morale as more clients began to achieve their goals.

So growth leader… will you test the 5 questions in your business? Action step: Print them out, memorise them and measure the results you get.

5 Questions

You’ll need these questions if you’re in a sales or leadership role.

What is your number one priority?
Why did you pick that one?
Is that important to you? Why?
What are the consequences of not having that opportunity?
Does that worry you? Why?
(taken from Allan Pease)

The Easy Way to Double Your Sales

Thu, 17 Nov 2011 23:01:00 GMT

Would you like to double your sales in the next six to twelve months?

Have I got your attention?

The two strategies I am about to outline have been proven time and time again to result in an exponential increase in sales. I’m not talking about a 10%, 20% etc increase. I’m talking about a 100%, 200% or even 300% increase.

These strategies are easy to implement and do and yet very few do them. Most people are so busy chasing new customers that they miss out on the easiest sales of all – which you will make when you implement these two strategies.

Of course I’m assuming you have satisfied customers and they trust you. You have delivered what you said you would deliver and maybe even more. So here are the two strategies:

Strategy One: Nurture Your Clients

You need to put in place a strategy to transform your clients from satisfied clients to raving fans. Raving fans will ‘naturally’ rave about you to others and effectively become your unpaid salesforce.

Most make the mistake of thinking that because they have done a good job; their clients will become raving fans and tell others. Unfortunately this is not the case.

Your clients expect you to do a good job – that is what they paid you for. Statistics show that 14% of clients leave because they are dissatisfied with a product or service whereas 68% leave because of the way they were made to feel.

To turn a client into a raving fan requires that you make them feel good. It requires that you transform the relationship from transactional to personal fast. You need to show your client that you care about them as a person rather than as a transaction. Also showing your customer that you care about them once is not enough. You need to show them that you care about them repeatedly and consistently over time.

In order to show your clients repeatedly that you care about them, you need to develop a plan to connect with them on a personal level at least once a month. This could involve a combination of such things as non-business phone calls (just to see how they are doing), sending them some information to help them with their hobby, going for a non business lunch/coffee, sending them cards and sometimes cards and gifts (Thank you cards, Hi cards, birthday cards, holiday cards, appreciation cards, etc).

You will probably want to have a different “nurturing” plan for your “A” clients versus your “B” and “C” clients.

As a result of implementing this “Nurture Your Clients” strategy over twelve months your sales will increase from your clients and you’ll get more referrals and more sales from referrals.

Exponential growth can happen from implementing just this one strategy alone. However what is really powerful is if you also implement Strategy Two. And the probability of Strategy Two working will be increased because you have Strategy One in place.

Strategy Two: Proactive Offers

First start by identifying who are the clients that give you 80% of your revenue. Typically 20% of your clients give you 80% of your revenue in a year.

For each of these clients do a six and twelve month forecast of what they will probably need from you in products and/or services. Now come up with an offer that makes it very appealing for each client to commit to buying from you now what they will be buying from you in the next six and twelve months. What can you add that they will value to the extent that they will commit now rather than later?

Now present the two offers to them: a six month offer and a twelve month offer. Present it in such a way that they can see it is in their best interests to commit now rather than later.

You will be pleasantly – and very excitingly – surprised by the sales that will result (particularly if they know you care about them versus the transaction!).

Make it a priority to implement these two strategies so you can at least double your sales. Implementing them will I suspect cost you far less than what you spending to acquire new customers and it’s a much easier way to double your sales.

What are you waiting for? OK. Now here’s Your Task...

Implement Strategy One

Make sending cards part of your nurturing strategy. You can either do it manually – which is probably too cost and time prohibitive – or you can use a system.

The system BGL recommend and use extensively, is... SendOutCards.

Test drive it and send a card now to one of your “A” clients just to say “Thank You” for being your client. We’ll even pay for the card and the postage.

Yes. It’s FREE to try it! You can send a REAL card from the comfort of your computer for around $3 and it includes postage. You can even add a gift. Go to http://www.sendoutcards.com/bizcoach

If you’d rather send a REAL card for less than $1 plus postage or if you want to receive a percentage on all the cards and gifts you send and others you know send, you can watch a video demonstration at http://www.sendoutcards.com/bizcoach

Special Acknoledgement:

article written by Tessa Stowe. used with permission.

Why a system to follow up prospects will lift sales in your business

Tue, 29 Nov 2011 02:01:00 GMT

Hi growth leader...I recently came across these statistics about how frequently sales professionals follow up with their prospects. Now I must warn you... the stats are pretty damning and screams lost sales opportunity.

The statistics: how often sales people follow up sales opportunities.

48% of sales people never follow up with their prospects.
25% of sales people make a second contact with their prospect and then they stop.
12% of sales people make three contacts with their prospect and then they stop.
Only 10% of sales people make more than three contacts with their prospects.

Here’s even more ...

2% of sales are made on the first contact with a prospect.
3% of sales are made on the second contact with a prospect.
5% of sales are made on the third contact with a prospect.
10% of sales are made on the fourth contact with a prospect.
80% of sales are made between the fifth and twelfth contact with a prospect.

If you are a part of that 90%+ who are not adequately staying in touch with prospects you probably have a myriad of reasons why you are unable to do so. And those reasons are probably not because you don't know that you should. You're probably not following up with prospects because:

You don't have the time.
You don't have a system.

Well now you can have an easy-to-use system that will take you almost no time to implement and will allow you to build strong sales relationships with your prospects and your customers. I would love to share that system with you. We call it the 'magical referral card system' and it's a system that I have been using myself recently with amazing results.

You can find out more about the system by watching short referral video. (Just ignore the cheesy voice over)

You can try it out for yourself and send a free card with my compliments*. (when you arrive on the page click the link on the top banner). Disclaimer: Yes, I love this product so much I am a distributor.

Alternatively if you would like a private demonstration, or if you have any questions about the system, please email me using the Business Growth Leaders contact form. Please include your phone number.

"Business owners looking to retire may be surprised by how little their business is worth"

Wed, 21 Sep 2011 23:12:00 GMT

The BizExchange Index
A report on Australian Private Business Values

A report on Australian private business values reveals the sale price of your small business is likely to reduce due to a "new wave" of retiring business owners.

Shocked? As a growth leader, chances are, you are not.

Recently Business Growth leaders published an article on preparing your business for sale, its importance in a saturated market, and the two types business buyer. Our business experience and research told us that without solid, consistent financials and a business that runs without you... you have a slim chance of finding a buyer or getting the price you want. You can read the article here:

Article: Who will pay more for your business?

The BizExchange report confirms our beliefs about the marketplace.

The report found an emerging trend of Baby Boomers looking to sell their business. Describing it as a "flood", the report points out the increase in business listings is a major factor in the falling value of businesses. From other research we know that around 60% of Australian businesses are owned by Baby Boomers so any trends in this age group will impact the whole of the market.

Looking forward however, researchers say there is no guarantee this trend will continue; that whilst baby boomers are hitting retirement age, they may look at falling business values and decide to stay in business. But either way this doesn’t paint a pretty picture for small business owners.

On the one hand, you can sell your business and risk a lower price (if your business is not a consistent performer that runs without you). For example, The BizExchange tells us there are businesses selling for less than a year's earnings!!

And on the other hand, you can stick it out; chew into your retirement plans and muster the energy for the next 5-10 years of business. Are you ready and willing to do that?

Here's how BGL interpreted the report:

The oversupply in business listings between March 2007 and September 2008 reduced business values by half
Prices stable in 2009 and 2010. Fluctuations due to varying degree in the quality of businesses for sale (i.e. businesses without strong balance sheets earned a lower price)
BizExchange predict a "new wave" of businesses will hit the market as baby boomer's prepare for retirement
The price of micro businesses will subsequently be "dragged down"
Higher volume of private business sales (evident in lower sale prices.)
Increase in businesses selling for less than a year's earnings
Small business look to owner operators as a potential buyer
Gen x gen y unable buy businesses due to high levels of debt, high house prices, and an inability to access superannuation savings
Spoilt for choice, business buyers expect tight due diligence and strong balance sheets

Google Express: Penny Wise, Pound Foolish

Wed, 21 Sep 2011 07:15:00 GMT

If you’re looking to kill some of your yellow pages dollars on online marketing, here’s one product that’s probably not for you.

Today I wanted to share the Growth Leaders notes on a new local online advertising medium for small business, Google Express (AWExpress).

It's just been released this year and its biggest advantage is its simplicity (hence the word 'express') in comparison to its big brother, Adwords.

The target market for AWExpress is you, small business, as the platform won’t chew up hours in setup time, and it doesn’t require a huge budget or a whole bunch of knowledge to get started.

As far as Google is concerned, all you need do is complete four information fields, have a minimum of $50.00 and be a local business. So let’s look at the four information fields Google requires you to fill in for your ad.

Your category/industry
Your ad headline
Your ad description
Where to send people (web address)

Looks pretty simple doesn't it?

But like any online platform there's some serious leg work being done in the background. Let's look at what you get in exchange for your dollar.

It's easy to see why small business will love this product. It's fast. It's easy. And the normal financial barriers to online advertising (if you hired an Adwords specialist), are nonexistent. However its simplicity also presents a serious drawback for those looking at online advertising as a serious long-term marketing tool.

Here's what I mean. Behind any Google ad are keywords. Keywords are the terms people use to find your ad. For example, John Smith is looking for a car mechanic in Box Hill. Mr Smith will open up Google and type in 'Mechanics in Box Hill'. So in this example Mechanics in Box Hill is the keyword.

In Google AWExpress, the system allocates very generic and non-editable keywords to your ad. For example (using the above example), Mechanics Box Hill. Now this can be OK if you live in a small area with few competitors, but if you live in a large area with dozens of business like yours, you need to find a way to differentiate your offering. For example cheap car service Box Hill or fix ford engine Box Hill. Google AWExpress won’t allow you to do this.

In an effort to streamline Adwords, Google have taken away one of the most powerful tools in the kit. It is impossible to find a niche in your market without keywords as you'll be fighting for the same online users as every other 'mechanic' in your area. So where does this leave you?

Headlines and landing pages become even more important. You'll need to know the offer that excites your online market and communicate it in short, buzzword rich headlines, and landing pages that convert (generate a lead, sale, booking, subscription etc).

No matter how set-and-forget you want (we all want :)) online advertising to be, you can’t get away from the basics. Yes, you will need to invest time. And yes, you will need more than a template understanding of what makes your target market tick.

Summary

The simplicity of AWExpress is hypnotic. It sucks you in on the promise of a return for very little time and cash investment. The reality is you still need to know online advertising basics, put them into practice, and do it all without the use of keywords. This is ridiculously hard and frankly not worth the effort.

Here are a few alternatives...

You can create a Google Places account. It’s free, targets local users, and places your 'ad' close to the top of Google search results. Click below for a Google Places Guide. {module_literature,i,56800}
You can take a free, step-by-step online course on Google Adwords (the complete advertising platform). To be taken to the course, click here: Google Adwords course.
If all this sounds too much for you, I currently help a few clients in Google Adwords and would love to chat about the opportunities out there for you. Click here to be taken to our contact form.

Who will pay more for your business? The two types of business buyer

Mon, 22 Aug 2011 01:45:00 GMT

Ever wondered who will buy your business, which ones will pay more, and then where to find them?

In this article I will introduce the two types of business buyer. You’ll learn what motivates them, and which of the two types will pay more ... orders of magnitude more. But of course to attract and present an irresistible offer to the buyer who pays more, you’ll need to have the right kind of business.

So let’s get started so you can identify the type of buyer you’ll ultimately attract.

The two types of business buyer: Financial buyers & strategic buyers.

The two types of business buyer defined:

Financial Buyers – A financial buyer generates a return on their investment by continuing the business and/or by generating additional gains by improving or enhancing the current business.
Strategic Buyers – A strategic buyer leverages the acquisition to create significant gains in their own business in some combination with the new acquisition.

(inspired by the work of Tom McKasKill)

In a financial sale the value is created through its inherent profitability.

Anyone who has sold a business through a business broker will know the broker will generally position the business for a financial buyer (because they don’t know your business or its hidden value). The big downside is; a financial buyer places less strategic value in your business, pushing down the offer he/she makes.

In a strategic sale the value is created through its ability to leverage your business into their business.

Because the strategic buyer can leverage your business into their business, thereby creating a bigger upside opportunity, they will often pay more for your business.

For example a pool manufacturing business buys a pool chemical company. They can immediately sell more chemical to their existing pool customers as opposed to someone else’s. The pool chemical business unit can also promote pools to its customer base. This strategic sale would generate much more profit than a financial purchaser who acquires for profit and doesn’t have the leverage as the strategic buyer.

Of the two types of buyer, a strategic buyer is the ultimate kind of buyer if you want a greater return on your business asset. However, not all businesses will realistically seize the interest of strategic buyer. So to better understand who your business will attract, I’ve included a few key points.

You will be looking for a financial buyer for your business if:

Your business/product has low strategic value
It has a low competitive advantage
There are many similar businesses to yours
Buyer will buy to consolidate or run as it is
If business/product offers little in synergy to buyer

It makes sense to be looking for a strategic buyer if:

Your business/product has high strategic value
It has considerable competitive advantage
It is unique, hard to copy or extensive intellectual capital or IP
Your underlying assets of competencies can be leveraged by a larger corporation

Looking to set your own business up for an exit via sale?

Business Growth Leaders work with business owners like you to maximise the value of your business asset.

Our organisation works with you to reduce business risk, thereby making your business more valuable to prospective purchasers. Ideally we work with you and your team using a coaching format designed to achieve a more profitable, stable business that gives you options for your future, as well as the businesses.

Our clients have found the coaching process to work well in that it allows for the longer term development of the business. For many business owners we have worked with, they like the results of building a profitable business while working less; placing them in a strong position to keep or sell the business.

For more information, contact our office and an accredited coach will show you how coaching can work for you.

Disclaimer: We are not business brokers, real estate agents or seeking a listing of any type. We work with business owners to maximise the value of their business asset.

Here is a method that’s helping business owners hire the right employee, first time

Mon, 22 Aug 2011 02:13:00 GMT

To recruit means to enter the battlefield of strategy, cunning and possible ‘retreat’ if you find you hired the wrong person.

It’s not easy. Most applicants present well and possess the ‘skills’ for the job. But how do you know if applicant A, B or C is the right person for the role and your business? And how do you spot ‘trouble’ a mile away? Here’s how:

If you want to recruit the right person, hire on attitude not skills

The biggest mistake business owners make is hiring on skills and then firing on attitude. Skills are only skin deep, but attitude determines how well the surface skills will be applied.

For example, if an applicant’s attitude towards “being orderly” is poor, chances are you shouldn’t hire them to be your bookkeeper.

To get you thinking about the kind of attitude based questions you need to ask, here’s five sample interview questions for you.

5 sample attitude based questions:

Would your past supervisors say that you are orderly?
What does “being orderly” mean to you?
Would those who know you best say your word can be trusted? Why or why not?
What are some legitimate reasons to miss work?
Would your previous supervisor say that you were good at following instructions? Why or why not?

If the American Government was in Small Business

Mon, 08 Aug 2011 23:24:00 GMT

Well its mid morning here in Australia and it “appears” that a debt deal has finally been struck in the USA.

So that means everything is now OK, right?

Not so much. Even if it passes Senate approval today, it’s made of 100% Grade-A bullshit.

Here’s the deal from what I can gather … America will officially max out its credit card today, unable to pay its bills unless the credit limit on that card is increased.

Normally, a REAL business would do two things if they found themselves in this position…

Drastically cut spending in dramatic and meaningful ways… Typically that includes firing employees, closing down locations, halting future development, etc…
Fire the leadership team who put the company in that position.

And that’s exactly what America should be doing…

But here’s what just happened, and it’s much worse than you thought…

In order to justify increasing the debt limit, and therefore placing the US deeper into bankruptcy, Washington didn’t make ANY real spending cuts… All they did was promise to spend LESS than they were planning to spend in the future…

Success Story: How to transition the family empire into a profitable business

Wed, 27 Jul 2011 04:23:00 GMT

Just mention the words ‘family business’ or ‘multiple directors’ and the average business owner will probably say “yikes ...as if business isn’t hard enough!”

But this week a super coaching client is sharing his thoughts on how his family business... with multiple directors (four in fact)... is finding success with the help of his coach. You’ll hear the unique challenges he and his family have gone through, and the simple but profound kind of successes he’s hit along the way.

His name is Pat Sgro and this is his story.

Client overview

Business Name:Suregrip Ceramics
Business Type:Family business
Directors:Bill, Pat, & Gerrard Sgro
Location: Geelong West
Description: Sources and delivers high quality tiles to retail and trade clients
Website: http://www.suregripceramics.com.au
Coach: Geoff Currie

Q. Who is Suregrip Ceramics?

Based in Geelong, the Sgro family have made a living out of providing premium quality tiles to clients with an eye for detail. Initially beginning as tilers, the Sgro’s have emerged as a strong family business with a unique offering – helping retail and trade clients find the perfect tile in a town known for anything (like Ford, Rip Curl, and the Geelong Football club) but classy tiles.

Pat said:

“[My dad and brothers] were building a small business that was sort of organically happening... they were buying their own materials (as tilers).... and bit-by-bit, more and more people found out they were getting the good materials in...

The business just started to grow from there.”

The gradual rise in demand for quality tiles made it clear the Sgro boys were on a winner. But despite their success, the business was “slow” and “taxing”...

Q. What problems did Suregrip Ceramics have?

Pat said:

“It took us years to figure stuff out. Figuring things out as business owners, figuring things out as far as how to run a business profitably; and how do you run a business with family? How do you do it with four partners?

We got to a point, and we realised... things were slow and taxing, [and] we all sort of went ‘we can’t keeping doing this’ because we’re not making any decisions, nothings getting done.”

Things weren’t getting done because...

“We had blurry lines between roles and responsibilities. We had a lack of leadership, [and] getting other people in on the business at the management level to try and help was tricky because you’re dealing with people seeing how you’re operating behind closed doors... [and we were] operating just as if you would when you’re teenagers at home with your parents.”

That means the Sgro family were unknowingly running their business like they ran their home. Dad made a suggestion and the boys listened or ‘rebelled’...

“[My brothers] will easily become overloaded with tasks and work to do without saying ‘no, I need to get my own work done.’ So simple things like that where they see it as their dad is asking them to do something – [and] they want to please their dad – so they just say yes...

But the reality is they can’t possibly manage all these things... I’ve seen it in other environments, you know ‘to please the boss’ and that’s fine, but there’s that added dimension... it’s my dad and I want him to be proud of me.”

Q. What coaching solutions did Pat’s family business look at and ultimately reject?

Pat said:

“I’ve dealt with other [coaches] before and there was an instant sense of there’s something shady going on here...

There’s a lot of airy fairy kind of things going on... it needs to hit the road and it needs to make sense.”

Q. Why did Pat’s family business choose Geoff Currie and BGL as their coach?

Pat said:

“I literally spent about two years looking around at different ... ways coaching was being delivered to the business owner. I was actively looking for somebody, and I had a couple of different people lined up. [But] I got contacted by Geoff; made the appointment, [his team] sent the information out and I showed dad.

Dad and I had already been meeting regularly on business development type topics... And because we were passionate about what we’re doing, we could switch off and go ‘how do we do this thing?’ "

Q. How did Geoff Currie and BGL deliver coaching to Pat’s family business?

Pat said:

“Working with a coach it brings all your processes to the front of your mind.” Instead of just tackling whatever comes up, or whatever bites you at that particular time, you focus on taking actions that move your business forward, says Pat.

And as for the cost structure?...

“The cost structure, it’s fantastic. It’s basically like having somebody else on staff and that persons job is tell you exactly what you’re doing wrong, to encourage you in the areas that you’re doing things right, and to look at your weaknesses as a leader and build you up. Those are things that Geoff does.”

Q. What results has Pat’s family business seen since working with Geoff Currie and BGL?

Pat said:

“One system for example I spent the best part of a week following my dad around with a clip board. I would simply observe.” He was really efficient in some areas and other areas not so much, so we needed a solution that would save time, says Pat.

“So one simple change we put in place saved us about an hour and 15min a day. So you multiply that by the whole year and you go ‘there’s a lot of time saved.’ It’s almost an extra day a week saved in simple labour hours; and that came from spending some time with Geoff, with the coach.”

Q. What would you say to someone looking for a coach?

Pat said:

“I meet people often and I watch them operate in their own business. Some people you don’t mention it to because they’re not ready for it; other people are clearly ready for a coach, they just need some direction.

Those people ... I ask them the question, how much time do you spend on this business? Are you really passionate about it? And if you get a couple of answers in the right direction and you realise they are doing the best they can and actually do need the next steps, I say without any hesitation you must speak to a coach. You must at least go down that road, because the benefits that can gain from working with somebody who see’s your business from a different angle who gives you perspective on things... it’s ideal.

You really should have a coach.”

Want this kind of success in your business?

Geoff Currie is available to chat over a coffee and help you get the business you imagined you would. Stop dreaming about it, and start living it. Call 1800 899 722 today.

Like to know more about Geoff Currie and his business coaching company first?

Get a free copy of the Business Growth Leaders eMagazine here

Where to get small business help - The owners perspective

Wed, 27 Jul 2011 03:04:00 GMT

This week I caught up with a pretty amazing coaching client who swears by the results he's seen from working with a coach. His name is Patrick Sgro, from Suregrip Ceramics, and here's just one of the astounding ways he benefits (VIDEO - just sit back and watch).

So how about you?

Are you keen on running a tight business that works for you and not the other way around?

Are you interested in building a business asset that's worth a dime to potential buyers? Do you want to find improvements in the way you lead AND help your team reach their potential? Do you simply want to make more money than you're currently getting?

If you've answered YES it's time you called a business coach!

At Business Growth Leaders, we believe you need the right person to help you achieve your dreams so we're giving you a FREE 'think tank' session.

What that means for you...

It's kinda like - try before you buy. You'll get the chance to chat with a coach and see if its right for you and your business. And regardless of whether you want to commence coaching in the long-term, you'll walk away with strategies and tips to take your business forward.

Zero cost - FREE! No commitment for further business consultations.

1800 899 722

Or click here to contact a coach via the online form

The 8 crtitical plans for a productive, motivated team in your business

Fri, 22 Jul 2011 03:48:00 GMT

The quote that is ringing loudest in my head right now is the old Kellogg’s tagline “It’s the simplest thing in life that are often the best”. Below are my top 8 areas to focus on to develop a productive, focused team.

Is having no documented and shared plan in your business simpler than having one ….my experience says no. Seeing teams without direction and focus stresses them and the owners…while severely limiting the business. The owners are trapped into micro managing their teams…which the completely the opposite to what most owners are wanting to achieve.

Make your life simpler … make sure your business has as many of these in place as you can and most importantly; the team know about them.

90 Action plan for the business
An organisation chart
Each team member has daily todo lists.
Their own personal 90 day action plan
A position description
A default diary
Procedures & policies
Feedback from you.

These don't need to be complicated, in fact I would urge you to keep it simple and non complex. To quote another famous product slogan "Just do it!"

Here’s to simplicity in systems.