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Save Money With Customer Satisfaction Surveys

When you want to know exactly what your customers (and potential customers) are looking for, there are plenty of different ways you can try to get that information. One of the easiest, cheapest, and best, though, is through surveys. Ask your customers what they want and need. What would they like to see your business do differently? How can you help them with their goals or serve them better? Is there anything you can do in order to keep them even happier than they already are?

By answering those kinds of questions, you’ll be more likely to tailor your business to your customers – and that’s going to keep them coming back because they appreciate what you’re offering them and they see that what they think actually matters to you. You should ask them to fill out customer satisfaction surveys. When they do, you’ll know what they’re looking for and how you can please them more easily. Then, target your promotional events and your advertising to what they’ve told you. You’ll spend less money overall, and your campaigns will also be more effective. It’s a great way to identify your niche market, as well, and make your customer service better.

These kinds of surveys not only promote the growth of your business, but getting a reputation as a business that cares means that your business will be more likely to stay around and continue to do well, even when times get difficult. Putting your money into your business is important, but putting it in wisely is a significant way to improve what you already have and move toward a bright future where your business sees continued growth and development – all for less money than you expected to spend. That’s a great way to help your business grow and to ensure that it remains popular well into the future.

Filed Under: Corporation, Small Business Tagged With: , ,

Considerations for Investing in the Business Idea of a Relative

It is a well-known fact that when economies become unstable, innovation ensues. Brilliant minds with no job and no prospects often create opportunities of their own. They might be struck with a creative business idea that can very well take off. If you are related to such a person, you may be in a deciding position: Should you or should you not invest in your relative’s business idea?  While each circumstance is different, you can examine the situation closely and ask yourself a few questions before parting with your capital.

Assessing the Business Partner

The most important consideration in assessing a business partner is determining whether he is someone you want to be financially intertwined with in the long haul. Is the relative trustworthy? Does he generally keep his word? Have you witnessed any warning signs in the past that might deter you from investing money in his business? Examples of warning signs might include an inability to keep a job or commit to one task for long. Another consideration is the ability to communicate clearly and effectively. These are qualities that a new business owner must possess to move his project forward.

Evaluating the Business Product or Service

Next, you’ll want to ask yourself if you truly believe in the value of the business product or service. Evaluating this might involve examining your own values. If you are a big advocate of truthfulness or integrity, you might be unhappy investing in a business that might engage in shady practices. Is the product or service in line with your personal values and interests?

Investing as a Way to Support a Relative

After assessing the relative and the business idea, you might decide to invest. Just remember, all business ventures carry risk, so be detached and hope for the best. In the end, money comes and goes, but harmonious relationships are valuable too.

Filed Under: Investment, Small Business, Spending Tagged With: , ,

De-Stressing the Small Business Process

Opening a new small business can be stressful. After all, you are embarking on a journey into the unknown and it can be stressful trying to make sure that everything works out for the best. While every small business owner is different, every business owner has the same worry and concern. Every business owner worries about what to do when it comes to business finances. If you are considering starting your own business, here is a look at some of the most important financial features that every business owner should focus on.

The first financial feature you should consider having as a small business owner is an accountant. Accountants can help you figure out where you stand when it comes to finances and what you need to do to get into a good financial state. Many small business owners hire an accountant for the first few years to guide them through the process and then will sever the ties as they learn more on their own.

The second financial feature you should consider is a lawyer. A business or financial lawyer is a must-have when trying to start a small business. A lawyer can help make sure that all your finances are covered on the legal aspect. They can also help you figure out the complex world of taxes.

The third financial feature you should consider is an emergency savings account. You can never know what will happen to your business and you need to be prepared financially. A small emergency savings account can provide you with funds should something unexpected happen. It is even recommended if you don’t have the money to start an emergency fund that you consider applying for a loan at GreatPlainsLending so that you can start an emergency fund.

Having some of these financial features will take some of the stress out of starting up your small business.

Filed Under: Investment, Small Business Tagged With: , ,

Play it Close When Investing Money

Money (reais)
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Investing in the stock market has a lot in common with gambling with one exception. Some card games can be won with mathematics. The stock market, not so much. For sure there are day traders with stories about making lots of money. What they’re not telling you is that they track every move of certain stocks, have four to five monitors running with different feeds and do absolutely nothing else. Theirs is a risky game that can win big or suffer a big loss with one click of the mouse. The wise investor knows to stay away from this type of stock trading.

Don’t even think about putting a dime into a stock until it’s been researched. How solid is the company? Who’s running it? What do their profits look like over a period of time? These are some of the smaller details that should be investigated before putting down a large amount of money into a stock. Knowing the ins and outs of how a business operates should be the driving factor. The ultimate outcome is to have a decent return on investment. Sticking with a sound business for the long haul has the potential to accumulate a nice nest egg.

There is also the personal side of stock investing. What’s the ultimate goal? Where is the money going to be used? There’s investing for retirement, or starting an investment program to eventually pay for a child’s college tuition. Each of these goals requires different strategies. Time plays an element in both, but a retirement may not happen for thirty years or more, whereas a parent has about 18 years in total. In both situations it’s a good idea to work with a stockbroker, one who has experience with long term strategies. Choosing the right stocks that can create a solid foundation for years to come pays off regardless of the goal.

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Filed Under: Investment Tagged With: , , , , , , ,

Tips for the Small Investor: How to Start Investing

Investing in stocks is a daunting prospect for the novice. Where does one start? How much money should be put in at once? What do all these abbreviations mean? The first thing to do is take a deep breath and relax. There are answers to all of the questions. Getting them may take some effort, it may require talking to different people, but it’s not an impossible task. Investing money doesn’t have to be scary.

The first step to take is to determine how much money there is to be invested. To begin with, leave the monthly operating budget alone. Every household needs to pay their priorities first, leave some aside for emergencies, and then consider investing if there’s something left over.

Putting money somewhere so it can earn on its own is most definitely a good thing. It may not make the investor rich, but it can provide a comfortable cushion when it’s needed. And it doesn’t take a lot of money to do so. There are mutual funds that can be started on as little as $25 a month. It may be that there’s a commitment period to the fund, but $25 is a small amount to find every month. It’s as simple as forgoing a trip to the coffee house once or twice a week. Which is better – having a cup of expensive java or starting an investment plan? Think about it. It costs about a quarter to make coffee at home while the money that’s saved can fund a retirement down the road.

There are many funds out there that welcome the small investor. Their service may not be as intense as someone investing thousands of dollars, but there is service nonetheless. They can provide answers to questions while providing guidance on where to invest money, and potentially offer a strategy for future moves.

Filed Under: Investment Tagged With: , , , , , , ,

Research Tips for Investing in the Stock Market

A large part of being a savvy investor involves research. For example, what kind of product does the business produce? Is it software or is it cars? What kind of financial history does the company present? Are there large periods of ups and downs or is there a by and large steady incline? What goes up, must come down, so the saying goes, but there is up and there is down. So much goes into making a decision, but there are a couple of basic concepts to start with

There’s an odd abbreviation in the stock world known as the price/earnings ratio, otherwise known as the P/E. This is the strongest indicator available for determining how strongly a company is performing. It’s a formula that uses earnings per share and divides that into the current stock price. How the number is arrived at has many variables involved, but it is a somewhat imperfect way to see how the company is performing. Use this information only as part of the decision making process. Making a pick solely based on the P/E alone can result in a lot of heartache.

Another helpful tool is what’s called an analysis form. This is a sheet of information that comes in handy while looking over financial reports from companies. A financial report is loaded with all kinds of arcane information, and not all of it is relevant to the task at hand. The form provides a kind of shorthand for the research, asking for only certain pieces of information. Doing so will streamline the process and give a more precise snapshot of the company through a selected time period. In turn this can help the investor decide if the current trading price is too high or not, and if it’s worth putting money into the stocks at this time or to wait.

Filed Under: Investment Tagged With: , , , , , , ,

Things To Research Before Investing In A Business

Business Plan in a Day book
Image by Raymond Yee via Flickr

It’s important to closely examine several factors before investing any money in a small or startup business. The possibility of promising returns can often make investors overlook risk factors. Before you are ‘sold” on an investment opportunity, take an objective look at the following factors.

Age of the Business: Start-up companies may not have a long track record of success simply due to their age. A business that has been operating for a substantial length of time, particularly if the business has been profitable, demonstrates that the business model is likely to be viable over the long term. A new company may be viable, but it has not yet proven its ability to weather seasonal changes or other external factors.

Experience of Key Players: Credentials are valuable and create credibility for investors. However, it’s important to look closely at actual experience in the industry. Some skills, such as management or human resources, transfer well between industries. Look closely to see if managers have a track record of management with similarly-sized companies. Other fields may require more specialized knowledge, and a prospective investor should examine the depth of stakeholders’ hands-on experience in a particular field. Years of experience in the same field as well as experience in different companies within the sector can provide a solid foundation for success.

Business Plan: The company’s business plan should demonstrate a viable business model as well as realistic goals. In addition to the business model, the plan should illustrate sustainability and the ability to handle contingencies and other unpredictable factors. A business plan should explain how the business will handle supplier challenges, market volatility and other scenarios. This shows that the plan’s creators have a firm grasp on the industry and have experience in dealing with similar challenges. A weak business plan does not address “what-if” factors such as cost increases or new technologies that may render its product or service inadequate or obsolete.

Filed Under: Investment Tagged With: , , , , , , ,

Simple Ways to Minimize The Risk Of Investing

Whether you are investing in stocks, mutual funds or small businesses, it is critical to weigh the risks against the possible rewards. Because higher returns are often associated with greater risks, always perform due diligence before committing your money to any investment.

Relying on advice from friends, other people’s experience, or even expert recommendations is usually not enough. There are many factors that affect the return on your investment, and other people’s experience with a particular stock may not produce the same results for you. Even if you turn to an expert for investment advice, it is still important to be aware of a company’s past performance and trends, and to assess the risks for yourself.

Always be sure to read the prospectus fully. A prospectus is meant to disclose the possible benefits and risks of an investment opportunity. If parts of it are unclear or seem misleading or inconclusive, pay attention to these red flags. There may be legitimate reasons for this, but it is up to you to determine if the investment is a risk you can afford to take.

Don’t be swayed by other people jumping on the proverbial bandwagon. Sometime an IPO generates a great deal of hype, but the numbers don’t necessarily indicate the possibility of the kind of return you need. Focus on the numbers rather than the emotions surrounding the “next big thing”. While it’s true that IPOs can provide fantastic opportunities, there have been thousands of companies that flopped, taking investor’s money with them in the form of worthless stocks.

Don’t be afraid to use your own common sense. If a business relies on certain commodities like oil, energy or corn, the prospectus should address how it will handle price increases or shortages. Uncontrollable factors like weather and natural disasters affect these prices, and will ultimately affect your return on investment.

Filed Under: Investment Tagged With: , , , , , , ,

Elements Of A Business Plan To Research Before Investing

One of the most important things to research before investing in a company is the business plan. This business plan is the outline of how the business will operate, the anticipated size and scope of the business, the potential profits and its viability in the marketplace. There are several key factors to examine to determine if the business plan is sound.

A good business plan will have a realistic assessment of the demand for the product or service. While the product or service might be innovative, it still needs to be marketable, which means affordable to its target market. The business plan should outline what kind of market research has been performed and by whom. The business owners should be able to substantiate their claims, and should demonstrate a thorough understanding of their target market. Sales claims should reflect an understanding of he business climate, and should not look like they were designed simply to generate investor interest.

A sound business plan will also address marketplace competition. Many product creators are so invested in their product development that they develop a distorted and inaccurate view of their competition. When researching a business plan, do not be afraid to question claims regarding competition, or to do your own research. Many business owners are simply not aware of competitors’ methods.

Never hesitate to ask questions regarding market research. If the business owners and stakeholders have conducted all the market research and analysis, it increases the chances that the results are biased and inaccurate. Also, if the company is unwilling or unable to engage outside consultants, you may need to investigate further. If they cannot afford to hire consultants or claim that they do not need objective analysis, it’s worth questioning why. Sensational claims that can’t be affirmed by anyone unconnected with the business should not be relied on heavily when making an investment decision.

Filed Under: Investment Tagged With: , , , , , , ,

The First Rule To Follow When Investing In A Business

When presented with a business investment opportunity, it’s important to realize that it is usually a very high-risk venture. In order to minimize the potential damages, investors should follow this very simple rule.

The first rule of investing in a business is never to invest more than you can afford to lose. Any funds used for this investment should be funds that are not already committed to a critical purpose. Since the odds of losing it all are fairly high, you should never use money that is in a 401(k) or retirement fund, a college savings fund, or money that is earmarked for a time-sensitive purpose, like a college fund, or down payment on a home or vehicle. Using retirement funds is especially dangerous for several reasons. If the investment does not pay off, you could lose a significant portion of a retirement fund that took years to accumulate. Even if you increase your contributions to the fund, you have lost the benefit of time. The passage of time is what makes a retirement fund grow through dollar-cost averaging. The amount you contribute each pay period remains the same when the fund goes through its highs and lows. It is the average return over many years that increase the fund’s value. Losing several years of contributions make the fund more susceptible to the normal lows of the market.

Even if you increase contributions in the future to replace the loss, the fact that you are several years closer to retirement means that you have less time to take advantage of the gains. Furthermore, if the market experiences a significant and extended low, you can lose most of the value of your retirement fund. Losing a large part of the principal means that you may not have enough money to afford retirement, a new home, or a child’s tuition.

Filed Under: Investment Tagged With: , , , , , , ,
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