bwagy

#26: Financial Buffer
Once you can, build up a three month buffer and keep it there, you never know what is around the corner, I know it’s tempting to invest that amount or use it for something, but the way I see it the return you get by having a three month buffer in case something goes wrong out performs the alternatives.

#27: Blog
Blog. Blogging is the #1 marketing tool. Use it to your advantage; like networking, blog with the intention of helping your customers, you don’t need to give everything away, but answer the common questions, share your experience, compare/contrast competitors, industry news. By helping your audience you build your brand, stimulate an otherwise non existent conversation and build a community.

#28: Avoid fixed costs
Avoid taking on fixed costs, keep everything variable, this helps avoid negative cashflows and ensures flexibility when you need to keep costs to a minimum.

#23 Charging
Forget hourly rates, charge value based fees.

#24 Tom Peters advice: meet the crazy people
Meet at least 1 totally new person a week for lunch, if possible do 5 new people, but at the very least do 5.  Take them to lunch, have a coffee, learn about their business, what they do, how you can help, share what you do.

You will learn a lot by hanging around new people, you gain zero by talking to people who already agree with you on everything.  This is my favourite way of building my business getting to know people.

#25 Invest in yourself
Invest in top tools, don’t skimp on yourself, if you use a computer, get a top computer.  Getting the top tools of the trade communicates to yourself and your clients you are serious.  (This isn’t always easy when you start out, but keep it in mind).

#20 Get clarity around your model
Decide early on, is this going to be a business I grow? or all about me? (ie this business is only ever going to be me). That reflects your company direction, decisions, operating model… future planning. Note you can change your mind about this, but at least have a direction initially.

#21 Build a board of directors
Build a board of directors, family, friends, clients, those who have an intrinsic interest in your business. Report to them cashflow, sales, metrics. Just having to report to someone will remind you of what you’re doing.

#22 Diversify revenue
Diversify your revenue streams, never have all your eggs in one basket, ebooks, retainers, speaking, courses, hourly work.

#17 Client Obsession: Turning clients into your sales team
Your clients are your best sales people, so look after them, obsess about their business, recommend their product to others.

#18 Referrals build a solid business
Your #1 business driver should be referrals! Why? Once you have a tight client base who know how you operate, what you deliver, they will naturally attract similar clients.

#19 Remember to say NO
Say no to clients. Forget the ‘i need cash asap’ and do things you wouldn’t normally do, maintain your focus and instead in tough times innovate. You will find much more reward in innovation than taking work that you don’t like. It doesn’t build your core business, doesn’t pay well, and isn’t growing anything.

#15 Follow up (and stay in your customers frame of reference)
Follow up! and follow up consistently. Remind your past clients what you offer, see if you can help them. One client of mine went through a court case so had no funds for several months. We cut the project back, I offered to help pro bono, if they kept writing blog posts I would keep putting them up, thus ensuring they maintained return on investment. You think that client is ever going to leave me?

#16 Think Long Term
Clients are for the long term. Do not rip them off, burn their business. Repeat clients pay more and earn you more due to efficiencies.

#17 Clients as your sales team
Clients are your best sales people, so look after them, obsess about their business, recommend their product to others.

#11 Invoicing
Charge 50% up front and collect. Never ever do the invoice at the end of the month collect the 20th of the following month. Only for continual work but never start out this way.

Small businesses are using you as a free credit limit. Charge 50% up front, this filters clients immediately to those with cash and reminds them of your importance. It will also motive you to get the job done when you have that first 50% in the bank.

#12 Pay your suppliers
Pay all your suppliers asap, nevermind their terms, if you can pay them straight away do it. Why? Suddenly you become their most valuable client and thus get top priority. It is good karma too, they are more likely to recommend you to others, hey i work with this great dude Ben…fantastic to work with.

#13 Link services to bottom line
Only offer services that can build someone elses business, link your services to real returns, in the current times it is a no brainer to invest in services that will grow your business.

#8 Exercise
Develop a weekly exercise plan, I suggest running (any other simple exercise good), the idea being to not only keep yourself fit but to give you time to detox away from the family, work, clients pressure.

#9 Health is now a top concern
Eat healthy. Huh you ask? Well when you run your own business it is all about you, you need to be physically healthy to do your job well, as when your not well you don’t earn.

#10 Be flexible
Get used to flexibility, running a business is not strictly 9 – 5, for the first 6 months you are likely to have to work up to 80 hours in a week. Hang in there though, it gets better, once your business grows you can decrease this to your comfort level. Mine is about 20 hours a week.