Family Businesses & Buyouts

$100 Challenge Update

This project is complete.  I have begun working on my presentation for next week.

Weekly Readings & Studies

Case Studies:  I reviewed a case study of the DAG group and the Rogers Family real estate investment business.

Discussion Boards:  I researched businesses that are for sell in the area that I live.  I found a tutoring franchise that looked interesting.  My husband and I have talked about owning a business before.  The reality of this would most likely take a lot of savings on our part.  There was another discussion board about being a consultant for a family business needing to identify a successor.  This case study made me think of my grandfather who owned a ranch.  It’s not a portable business so his options were limited.  A succession plan was very important to keep his business going.

Acton Hero: Erick Slabaugh

http://www.actonhero.org/celebrating-heroes/stories-of-heroes/index.php?hero=erick-slabaugh

This is such a poignant hero to study during this week while our studies are focused on family businesses. Slabaugh brought Absco to the number one slot in their field. Listening to his story solidified what I have thought about some of the difficulties of being a business owner.  Peers might look at you differently because you may not have everything they do and you have to live a different lifestyle, but the quality of life later on will be flipped.  Then people saw you were "lucky," not realizing all the work it took to get you to that point. Slabaugh came back to his dad's business when things seemed bleak.  He helped turn things around, bought all the equity in the company and built the business into something phenomenal.

My favorite quote from Slabaugh during the interview was, "Entrepreneurship is a wonderful way to go. If you choose to, it can be an adventure, but it also comes with a responsibility."  This is such a great quote because it can apply to all entrepreneurs. 

Crunch Time.......

….an all too familiar moment for me.  You’d think I would have learned my lesson by now.  I’m still looking to make my first sell of my Crane Earrings on my etsy.com shop.  If you stumble onto my blog, please check out my shop.  http://www.etsy.com/shop/SweetNSourOrigami 

This week, I've lower the price to $5.00 for each pair of earrings in an attempt to bring in some sales.  The costs for my supplies is relatively inexpensive and I will not be operating at a loss to sell at this price.  I’m not comparing myself to Roxanne Quimby, but something she said stood out to me, that as long as you can sell something for more than it cost to make it, you can keep a business going. Of course, that’s a very simplistic way of looking at a business plan, but in the end that really does matter.

Highlights from this week’s studies

One of the Acton hero’s we studied this week really made an impression on me, Catherine Rohr.  Her story of setting up the Prison Entrepreneurship Program was very inspiring.  I was deeply moved by her dedication to the program and the sacrifices she made in her life in order to get this program off the ground and running. I can’t imagine how fulfilling it would be to see these individuals find hope in their lives and find a way to create a business, especially when it seems like the world is against them.

The Harvard Manage Mentor topic was Process Improvement.  This was a little trip down memory lane.  I can truly see the value in the experience I went through as a manager when the office I was working at converted to Six Sigma processes.  Albert Einstein said, “Insanity: doing the same thing over and over again and expecting different results.”  This is the simplest way I can think of to define the importance of process improvement.  The world will continue to change around us, and in fact, not changing in business can not only yield no change, but it can decrease outcomes.

Tie a Knot & Start Climbing!

$100 Challenge & "Big Idea" Updates

• I'm feeling a little discouraged on my progress for my $100 Challenge.  I was able to purchase all the materials needed to get going, but I have not been able to get my listing up or work on marketing at all.  On a positive note, I was able to purchase the supplies needed to get started for $18. In an effort to avoid this same frustration this week, I have made a plan for what I want to accomplish, including a target day to be completed.
• By Monday-create at least 20 products and finalize plans for packaging (how to & print-outs to include).
• By Wednesday-take pictures of product and create online listing.
• By Saturday-make 5 local sales to encourage in person sales in addition to the eCommerce.
• My vision for my "Big Idea' is starting to take shape.  I have created an elevator pitch, that probably needs more fine tuning, but I have attached here for my pitch.  I received minimal feedback from my class members.  I was frustrated by the discussion board this week because it just seemed like an outlet for everyone to get a pat on the back.  It would be so much more beneficial to get solid feedback about what is missing.  Most of the people I gave practical advice to, didn't respond but I just hope that my advice helped. I am learning to get a thick skin to criticism and starting to realize I would rather have a complaining customer than a agreeable customer because then I know where I need to improve.

Weekly Reading Highlights:

Acton Hero: Phil Romano

This was a tough week for me.  I struggled being motivated and feeling value in what I have to offer.  Phil Romano's story was just what I needed to hear.  He has refused to be told he can't do something. Phil describes learning a lot when he was young.  Instead of slowing down when he got older, he put his learning and wisdom to use to accomplish great things and be productive.  From his business ventures to his art work, he is a creator.  From his example I learned that the greatest creation of an entrepreneur is energy and love for life and that spills into all other aspects of life.

http://www.actonhero.org/celebrating-heroes/stories-of-heroes/index.php?hero=phil-romano

Marketing

So, the trendy topic of planning continues this week as we studied more about marketing.  From my studies, here is the process that stood out to me the most (and in a very simplified version) for building an effective marketing orientation.

1. Analyze the market opportunities.
2. Develop a marketing strategy.
3. Create a marketing plan.
4. Put marketing strategy into action.
5. Evaluate the effectiveness of your marketing strategy and adjust it accordingly.

Although, I know we all grow a little weary of the phrase "The customer is always right," there is a degree of merit in a business owner understanding the importance of customer relations.  I am again reminded of what I learned when reading The Tipping Point.  There are key customers who can be considered connectors, mavens and salesmen that can cause a business to sink or swim.  These kinds of customers are very valuable to a business in terms of finding out what customers want and need.  They are also key in spreading the word about a new business or product.