Make The Time To Diligently Plan Your Online Business To Ensure Success

As we continue with Part 3 of our series regarding how to “Avoid Becoming An Online Business Statistic”, if you’ve missed the other 2 installments and the introduction of this series you can easily find them in sequential order under “Past Articles” on the right hand margin of this page. Let’s pick up where we left off.

“The ability to discipline yourself to delay gratification in the short term in order to enjoy greater rewards in the long term is the indispensable pre-requisite for success.”~Brian Tracy

Essential Questions for Planning A Successful Online Business

After taking an inventory of your skills, abilities and passionate aspirations and after fleshing out the mission and passionate purpose for your business, you are now ready to create your business plan and complete your foundation. Your business plan must answer the following questions:

What is the problem you will solve, service you will provide or need you desire to meet for your target market?
Explain in detail how the business will provide that service or meet that need.
Describe in detail your target market (see video in training section on identifying your target market)
How will you reach them? What is your marketing strategy?
What are the best way for you to turn the solution, service or met need into a financial transaction?

Identifying with your target market is essential however you need to go far deeper and most unfortunately barely scratch the surface. Doing your due-diligence and gathering this information is key to unearthing the viability of a potential business idea. I don’t understand how anyone can run head-first over the entrepreneurial cliff without gathering this critical information before hand.

If for example, you have an online business opportunity to market then it needs to be more than “to help people be financially independent”. Or if you have an online business service it needs to be more in-depth than “to provide a service that helps other be successful”. This is where most who attempt a business plan totally falter and drop the ball because they neglect to be specific. Those are good opening mission statements however you will need to take the time to identify and communicate the obstacles, challenges and frustrations that you will eradicate through your deliverables. If you can’t identify the obstacle or pain that your business, product or service is designed to alleviate for your target market, there is no compelling reason for potential customers to be attracted enough to motivate their eventual financial commitment.

Staying with our previous example; if you’re marketing a business opportunity your opening statement might be: “To educate and empower others who desire a more fulfilling life to achieve financial independence by providing……”. There should then be bullet points describing how your business will be designed to solve the problems and meet the needs of your target market. You will then take each one of those bullet points and drill down, fleshing each out so that they specifically detail how you intend to carry out those efforts to support your overall mission and reach your goals. This same methodology should be utilized no matter what business you might be creating the foundation for and aspiring to launch.

The #1 Threat To Your Business

After you’ve identified the pain, challenge and obstacle of your target market and how your deliverables are positioned to eradicate and/or solve those issues, you’re then ready to specifically identify your action items. Your action items will constitute a list of objectives you need to have completed in order to bring the business into reality so that it is designed to meet the commitments you’ve detailed in your business plan. These action items will be divided into the same 3 categories you used when you first conceptualized your business.

Those that you desire to perform because you are passionate about which utilize skills & abilities you currently possess
Those you desire to perform but require self-education to acquire the knowledge needed to properly execute the action step so that it meets the listed objective
Those that you require or choose to delegate to accomplish because they either require expertise you do not currently posses or are not passionate about (usually both).

This is the #1 largest killer of online businesses in the first year so listen up folks. The key is identification of what you will passionately pursue, what you will commit to self education and what you will choose to delegate. So many fall into the trap of trying to do everything themselves but seriously, why would you put yourself through that self-imposed hell if you didn’t need to? I’ve found without a doubt that committing to this 3 category identification system combined with strategic partnering & delegation will prevent business owner burn out while at the same time, propel more businesses to be successful than any other single business strategy. The fact is that identifying what action steps you don’t want to be bothered with allows you the freedom to create the type of business that is custom fit for you.

There is another observation that I’ve found to be repeatedly proven true. At the start, most aspiring entrepreneurs have grandiose visions of the empire they desire to create predicated upon unrealistic expectations regarding scope of the functions they will have the time and expertise to complete while still enjoying performing those tasks. They are soon after punched in the stomach by the reality that they are doing too many things at or below average, while having the majority of their time spent completing tasks that do not fulfill them.

As they recalibrate their business plan they then dream smaller to fit their shrinking perception of their abilities, instead of dreaming larger through strategically utilizing the natural strengths of others to become successful. I’ve seen this cycle played over and over and spiral out of control like a home business owner circling a drain. Trust me; there is an enormous amount to learn in order to perform the action steps you are actually motivated to complete. Sentencing yourself to be a lone ranger has proven to be a recipe for failure.

Commitment To Self-Educate

Once you’ve identified what tasks you will perform, you immediately need to commit to identifying resources that will train, coach and educate you in those areas. If refusing to identify and allocate daily business functions and action steps effectively is the #1 cause of business failure, then refusing to truly commit to self-education to equip yourself to be successful in your passionate pursuit is the 2nd largest threat to your business.

This is why I’ve committed myself to training and coaching entrepreneurs to learn the proven best practices of online business building. I have found that if you are not challenged, motivated, coached and encouraged the commitment to self-education by online entrepreneurs wanes. This is why I’ve created systems of success and will continue to convey strategies of the online business high achievers to stoke that passionate fire and equip you for success.

Achieving emotional and financial fulfillment in your business is not a result of some magic potion but rather proven steps to success that need to be conveyed so that it is understood and demystified. It’s the same for Internet and an affiliate marketing business, online network marketing business or any home business started to earn money online. The bottom line is that your eventual long term success is not based on luck, or some roll of the dice. Those who are successful have painfully learned through trial and error which is why I’m passionate about guiding others through the pitfalls that have snuffed out the entrepreneurial flame of so many.

Conclusion

I say all this to encourage you to stay committed to equipping yourself to be successful from reliable sources of training, coaching and information. The patience, perseverance and passion to deliberately take these steps: to create a thorough business plan, to accurately allocate every action step, commit to self-educate and learn from your failures, WILL ensure your success…. It’s just a matter of time.

Your Coach & Fan

Patrick Daugherty

The”Biz Coach”

CEO of “Learn2Earn it now” Training & Support

Creator of [http://TheBizcoachBlog.com]

Author of: “The Success Steps For Building Wealth Online” [http://members.Learn2earnitnow.biz/ss] The step by step training program that teaches serious online entrepreneurs how to earn money online by launching an internet marketing home business. Learn SEO along with Internet marketing training, affiliate marketing programs, effective social media marketing, getting free traffic and everything you need to know to design any online home business opportunity to reach your goals. All the keys to earn money online are the same and we teach you all of them! You can also learn about how to get FREE coaching and support for your business!

Small Business Owners and Consumer Bankruptcy

Consumer Bankruptcy can help small business owners

As the economy is slow to recover, bankruptcy is becoming a reality for more and more Americans. Many are finding that their hard work is simply not enough to pull them through these tough times, including many small business owners. A common scenario that I see with my small business owner clients is that the fear of what would happen to their business has kept them from filing for so long that by the time they come see me, they are so over their heads with debt, they are struggling to feed their children and pay their utility bills. Bankruptcy law allows for debt relief while suffering financial hardship. To avoid the above scenario, small business owners need to be aware that they have options.

You, as a small business owner, must first distinguish whether or not it is your business that needs to file bankruptcy or if it is you as an individual that needs to file. If the debts are solely in the business’ name, and the business is incorporated or is an LLC, then the company itself needs to file for relief. The business has two options: Chapter 7 or Chapter 11. A Chapter 7 would be appropriate when the business needs to shut its doors and liquidate, or restructuring the debts would not be feasible. Note that if your business is a partnership, the business itself is not a separate legal entity from the general partners and they may be sued individually for the debts. A Chapter 11 is a restructure of the business’ debts and would be appropriate when a business could be profitable if it were not for the burden of the debts. In a Chapter 11, the business may continue to operate and remain in possession of its assets. The Debtor/business will create a restructured plan. Creditors whose legal rights are affected will be able to vote on the confirmation of the proposed plan. A Chapter 11 is a lengthy and costly bankruptcy and should be entered into with caution.

If you are a sole proprietor the business is an extension of you personally, so in this case a personal bankruptcy is appropriate. More often than not, in my practice even in the case of small business owners, it is the individual who needs to file for bankruptcy relief. In addition to a sole proprietor, a small business owner in an LLC or a corporation may also file personal bankruptcy with little effect on their business. The Debtor here has two options. She may file a Chapter 7 or a Chapter 13. Again, a Chapter 7 is a complete discharge of the unsecured debts. Something to keep in mind is that the creditors of an LLC or corporation will still be able to collect against that business entity, even though the individual’s personal guarantee will be discharged. Relief under Chapter 7 is appropriate when the individual’s income received from the business and all other sources falls below a certain amount set by the IRS. So, long as the business does not have substantial assets exceeding the state exemptions, a Chapter 7 is often the best route for a small business owner. It provides a fresh start for individuals so that they may focus on the success of their business.

A Chapter 13 is an individual reorganization and is appropriate when you may be behind on mortgage or car payments, have substantial assets – including assets of the business exceeding the exemptions, or when high income triggers a “substantial abuse” objection if filed under Chapter 7. Unlike a Chapter 11, the Debtor proposes a reorganization plan and the creditors must accept it without a vote. The plan will require future monthly income from the business, after personal expenses are met, to be paid into the plan. During the life of the plan, the Debtor is protected from her creditors and after the Chapter 13 plan is complete, many of the unsecured debts will be discharged. The debts of an LLC of corporation may not be included in the Chapter 13 plan, the 13 is solely an individual reorganization and will allow you to stay in business even if the business has assets and is not the source of the debt.

If overwhelmed with debts, a small business owner has options and will not be required to shut its doors. Bankruptcy can be a powerful tool to help you through these financial trying times and achieve a fresh start.

In August 2009, Jennifer was promoted to an associate attorney at Wagoner Maxcy Westbrook, P.C. She joined the firm in 2007 as a law clerk after her first year of law school. Jennifer has worked with hundreds of families in bankruptcy and finds it rewarding to ease the financial burdens of her clients. Jennifer received her Bachelor’s degree in history and music performance from Missouri State University in 2002. In May of 2009, she received her Juris Doctor from the University of Missouri – Kansas City School of Law. During law school, Jennifer was the Vice-President of the Art Law Society. She was also a member of the Student Bar Association, Delta Theta Phi legal fraternity and participated in the trial advocacy program. Jennifer interned for Legal Aid of Western Missouri, the Public Interest Litigation Clinic and was a Guardian ad Litem.

Know About Small Business Liability Insurance

Every business, whether it is big or small, wants to survive, sustain and make profits. But business of any type or size is unpredictable and may get into losses due to unwanted or unexpected circumstances like natural calamities, fire, theft or other riots. It is very difficult for small businesses to protect their occupation or business if they face adverse situations with their meager budgets. Many small businesses perish as they fail to cover these losses. So, it is very important for businesses to have a risk management system for their business to protect themselves against unforeseen losses.

Insurance, considered as a critical part of the risk management system is the only way for small businesses to protect themselves. Today, there are many types of insurance policies, of which Liability Insurance is considered to be the best one for small businesses as it provides compensation for the fines associated with liability cases.

It covers following risks:
Liability insurance protects a small business from loss or damage to the maximum extent. Business liability insurance options are very useful for businesses as they cover the business property, claims for injuries by employees and visitors, employee compensation and many more. Some of the common types of liability insurance for small businesses and their coverage are explained below in detail.

Business property insurance
Business Property Insurance, as the name itself indicates covers the business property of the small business. Its coverage includes the building or buildings in which you do business, carpeting, curtains, outdoor signs, property of others etc. If you choose a right business insurance property, it covers all the important equipment such as computers, machinery, supplies, stock etc.

Professional indemnity insurance
Professional Indemnity Insurance, also called as Professional Liability Insurance or Errors and Omissions’ liability insurance, is an extremely important consideration for small professional businesses that are in service industry. They are exposed to a wide range of claims that may include areas such as errors, omissions, professional neglect, falsehood, breach of confidentiality etc. This insurance protects businesses from the claims made by clients against the delivery of poor service. This type of insurance is generally purchased by professionals such as a doctors, lawyers, engineers, architects, brokers, financial advisers, accountants, consultants, building contractors, and attorneys etc. who run their own business.

Product insurance
Product insurance or Product Liability Insurance protects the business owners from the lawsuits filed against them for manufacturing or producing defective products. This type of insurance is very useful for small scale manufacturers or importers. This liability insurance protects small businesses in case a person is injured or died using a product manufactured or developed by the business.

Employment practices liability coverage
Employment Practices Liability Insurance covers small businesses against claims by employees or business associates when their legal rights are violated. This insurance policy protects employers against breach of employment contract, deprivation of career opportunity, discrimination, mismanagement of employee benefit plans, negligent evaluation, sexual harassment, wrongful discipline or termination etc.

Excess liability coverage
Excess Liability Insurance, also called as Umbrella Liability Insurance or Commercial umbrella insurance provides additional protection to any of several other policies that a small business might hold. It protects businesses when an accident or similar claim exceeds the amount of their existing liability coverage, which may include medical costs or other claim payments.

Workers’ compensation insurance
When an employee gets injured at the workplace, it is the employer who is responsible for the payment of medical bills. Sometimes these medical bills may run into thousands of dollars, which can be very burdensome for the small business owners to pay. The workers’ compensation insurance kicks in during these kinds of situations. The workers’ compensation policy provides wage replacement, medical, and rehabilitation benefits to the employees who get injured on the job.

Other insurance
Apart from the above mentioned insurance policies, there are many other insurance policies that help small businesses such as:
• Auto Insurance – to cover the company vehicles,
• Health Insurance – to protect employees when they are sick,
• Crime Insurance – to protect business against employee fraud,
• Key Employee Insurance – to protect small business against the loss of their key employee etc.

All businesses may not need the same type of insurance. In order to determine a perfect liability coverage for your business, you need to carefully consider all your needs and risks involved in your business. With a good insurance policy, small business owners can have peace of mind and focus on their business knowing that their business is well protected.