Thursday, October 28, 2010

Wise Advice

When you open a new restaurant, don't invite the politicians, invite the cab drivers.

Principles of Small Business

For the past 4 years or so, I have worked for a couple of different small roofing businesses. Along the way, I have learned a few things that I think are worth passing along.

1. Never pay full price for advertising. Advertisers make a ton of profit off of every company that advertises with them; they can afford to cut the costs and 'show some love' in order to get your business. So, make nice, sweet talk, and never, ever pay full price.

2. You have not because you ask not. If you want the sale, ask for it. If you want the customer to give you a referral, ask for it. And, if you want those supplies at a lower cost, ask for it. My boss has been invited over for dinner and lunch by his customers simply because he is likable, and he asks!

Another good example: We had an magazine advertiser who was selling a particular spot for about $1500. The boss asked for a discount and got it down to $1300. We then asked for a further discount and got it down to about $1000. That's a good discount! Well, my boss said, just for fun, ask him to lower it another $300. We did it more or less for kicks, and just to see what he would say. (This was all taking place by email) We thought he'd get mad, but instead he emailed back that he had discussed it with his supervisor, and he would give us the ad at $700! The point: We asked.

3. Most people are generally lazy, so ask two or three times. Why? Because, they will try to take the lazy way out rather than checking, making the phone call, reading the directions, etc.

Here's an example: I called over to Lowe's, and asked to talk to someone about roofing shingles. I asked the guy on the other end a question,

"Do you carry such and such shingle?"
"Um, no. No, I don't think so."
"Are you positive that you don't have it?"
"Um, yeah." (I still didn't believe him.)
"Would you mind walking down the aisle and taking a look for me?"

Sure, there was a risk that I would tick him off, but when he came back, he had to admit that the item was in stock.

The same conversation works with bank tellers, delivery men, and employees!

4. Test and measure everything! At the small roofing and siding company that I work for, we keep track of everything: advertising costs, leads per promotion, jobs per promotion, conversion rates, trends, etc.

I know that last month my salesman was given X number of leads, and that he converted that number to Y number of jobs, and that this brought in Z amount of revenue.

I know that those leads came from two flyers, a postcard, Angie's List, and passing out a business card at a restaurant. I know exactly how much those ads cost the company to generate, and what the profit was per job. (I love bean counting!)

Why is this important? Well, for example, we almost dropped our radio advertising. We had spent about $8000 in advertising with a particular radio station, but we weren't getting very many leads for our money; the boss wanted to drop them. But, I figured out that we had brought in about $40,000 in revenue over the past year from the radio station leads. With our profit margin set at 20%, after paying for labor and materials, we had made $8000 for the year year . . . from a radio spot that cost us $8000 for the year. We weren't making a profit, but we weren't losing any either.

Where we had originally planned on dumping the radio spot altogether, but after seeing the numbers, we decided to keep the spot, and the branding exposure that came with it.

5. Hire a Mentor and do what they say! The first small business that I worked for hired a business mentor (for $50,000!), but didn't implement any of the action steps that were suggested. The mentor in question had built and sold something like four or five businesses himself!

The second small business, where I currently work, is at least trying to follow through with our coach's recommendations. We've written out vision statements, mission statements, 90-day plans, 3 month goals, etc.

The difference is that one business is doing well, and one was avoiding calls from collection agencies. The Scriptures say, "Where no counsel is, the people fall: but in the multitude of counsellors there is safety" and "For by wise counsel thou shalt make thy war: and in multitude of counsellors there is safety." (Prov. 11:14, 24:6)

6. Get more training! It's the same reason that you hire a mentor: you don't know everything. So, when you think you know something, take another course on it. When you're an expert salesman, go to a seminar on 'closing the sale,' when you're an expert at roofing take a 'Top of the House' training class from Owens Corning. Never stop learning.

7. Frame it and hang it. Let others know about all this training that you've been getting.

I used to find it distasteful when I'd walk into someone's office and see a bunch of plaques on the wall. How egotistical, I thought. How self-promoting. Now, with my new boss, I've seen that he doesn't have to brag - the plaques do the talking for him. They are hanging in the foyer, and they say that he is a professional, he is well-trained, and he is knowledgeable.

The plaques are there to make sure nobody misunderstands his goofy side.

There are other lessons: Give the hourly employee opportunities to make more money (rewards and incentives), Give to charities and poor people, Spend more time on the hiring process so you don't have to fire them later on, Invest back into the business, and, Say, 'No' when you don't want the job, even if it will make you money.



What lessons have you learned from your job?

Tuesday, October 26, 2010

Labor Not to be Rich


Proverbs 23:4 gives some excellent advice for acquiring wealth. It says, "Labour not to be rich: cease from thine own wisdom."

We've seen that wealth is the fruit of a wise life, but we are to seek the root, not the fruit. Now, we see that laboring to get rich is the WRONG way to get rich. It seems like the right thing to do, but , as Solomon says, cease from thine own wisdom.

A study was done on a group of business owners. Some were in business because they loved what they were doing, some because they were very good at what they were doing, and some were in business for altruistic reasons - they enjoyed helping others through their business. Of these small business owners, 80% were still in business (and doing well) five years later.

Another group of business owners were in the business just to make a profit. They were laboring to be rich. They were more easily disenchanted. They made wrong business decisions, such as not investing in the 'ambiance' that customers enjoy because they viewed it as an unnecessary investment. The result? Only 20% were in business five years later.

What does this mean to us? God wants us to prosper. He also knows that life usually operates upside-down to how we think it operates, so he gives us instructions to help us out.

Listen to him. Enjoy your business. Be passionate, and others will be drawn to you.


What do you think?

Monday, October 25, 2010

The Universe is For Me

In Psalm 56:9, we find the declaration, "for God is for me." And Romans 8:31 ask, " If God be for us, who can be against us?"

God is on my side. The Creator is on my side. The One who yields all the power of the universe is on my side.

Think about that!


If the Creator is on my side, how could his creation be against me? If the Creator favors me, then certainly circumstances favor me! The universe blesses me because it is the tool of the Creator who blesses me.

"He that spared not his own Son, but delivered him up for us all, how shall he not with him also freely give us all things?" (Romans 8:32) "For all the promises of God in him are yea, and in him Amen, unto the glory of God by us." (2 Cor. 1:20)

All created things work together for my good, because the Creator of all things is FOR me!

Friday, October 22, 2010

God Will Do Anything for His Glory



God answers the prayer that accomplishes his will, that pleases him. For this reason, it seems easier to believe God for things when I'm teaching a Sunday school class, or being otherwise preoccupied with my Father's business. It also seems easier to have faith that God will provide things like the financial support for a short term missionary trip.

But God is not selfish. God gave his own Son to die on the Cross for us. That is, he put our wishes above his own. And that led me to this thought:

God is even MORE APT to do that which blesses us than he is to do those things that please himself.

Romans 8:32, "He that spared not his own Son, but delivered him up for us all, how shall he not with him also freely give us all things?"

Wow. How does that affect your view of an abundant life?

Thursday, October 14, 2010

Your Grace is Enough



I just heard a song on the radio:

Your grace is enough. Your grace is enough. Your grace is enough for me.




As I listened, I found myself disagreeing. I don't think that grace is enough, if by 'enough' you mean 'all there is.' There is a sense in which I used to view grace as an end unto itself, a finish line - once you're saved, you're done. Period. How many Christians are chained to their chairs by the lackadaisical, energy-sucking belief that they have received grace, but that they are not free to follow their hearts' desires?

Grace is not supposed to be the end, it is supposed to be the beginning. Grace unshackles us so that we can run, reach and strive for an abundant life. It is the gunshot that signals the start of the race. It is the door flying open before the thoroughbred. It is freedom, and it is rocket fuel.

I first came across the concept of empowerment when I worked for Sears in the '80's. My manager told me that I was allowed to make decisions that affected customers, and that there were no wrong decisions; that is, I would not be reprimanded in any way as long as I did what I thought was best. To be sure, I didn't believe him at first. There was no way that he was giving that kind of freedom and power to the lowest man on the totem pole. But he was! And, it gave me confidence and strength to know that he was! It made me a better employee.

Empowerment. That's grace. The freedom from failure. The freedom to achieve. Grace is enough. But, it is not meant to be the end. It is not meant to lock you into a pew or a ministry. It is meant to free YOU, not make you a clone. So reach, strive, and reign in life.

Attempt. Succeed. Rejoice!




I welcome your thoughts and comments. :)






Saturday, October 9, 2010

No Future, No Hope

I remember watching a show where some folks were hypnotized into believing that they either had no past or no future. Those with no past were able to function normally; they just didn't remember anything before the day of being hypnotized. However, those who had their future removed from them, immediately sank into depression. Their hope was gone, and so was their drive to accomplish anything.

In the Bible, Paul told us that 'evil communications corrupt good manners.' He was specifically referring to the heresy which states that there is no resurrection from the dead, and he logically explained how such a belief would lead to a corruption of right living.

Evil communications do corrupt good manners. In my opinion, the belief that the Lord Jesus could come back at any moment robs the believer of his future. I know, I've been there. I've sat in the pew and heard the sermons and songs tell me over and over that I have no certain future on this earth. I know young men who didn't go to college because, well, why bother? I myself have felt that way ~ Hopeless.

I personally don't hold to the very prevalent heresy which is known today as the imminent (i.e., could happen at any time) pre-tribulation rapture of the church. I used to, but then I spent over six months of intense research into both sides of this issue, and I came to the conclusion that it is not a biblical doctrine. Over the past five years, I have only become more convinced.

In order to be successful, you have to believe that you can set a goal, and that you have time to reach that goal.

What do you believe about your future?

Friday, October 8, 2010

Seen or Unseen


Is the real you your body? your soul? your spirit? When this body dies do you die? Or, do you go on living somewhere?

Are you visible or invisible? The real you is invisible. It is unseen. It is eternal. Does the invisible live primarily in the visible world, or the invisible world? Why would you assume that if you are invisible and eternal that your life is primarily lived in the seen world?

Your brain does not connect you with the unseen world; it connects you with the seen world. Your body is a vessel that transports the interface by which you (the invisible) connect with this world (the visible). Your brain is a lens through which the invisible you is able to see, feel, hear, smell and touch this world.

Your words ~ Are they visible or invisible? Invisible. Certainly the sound, the movement of air is visible, but your words are also powerful. They are unseen. They are creative. They begin in the invisible world and are completed in the visible world. They cross the bridge between thought and manifestation.

Is the Law of Attraction simply the invisible part of you operating in the invisible world to affect the visible world?

What do you think?

Monday, October 4, 2010

Seek the Root, Not the Fruit

If you want to have a bountiful harvest of apples, improve the health of your apple tree. Create the condition for a bountiful crop, and you'll get a bountiful crop. It's not about what you do to the branches, it's what you do to the root. It's not about polishing the apples, it's about feeding the foundation. One is superficial, the other is vital.

According to the book of Proverbs, wisdom is the principle thing. Wisdom and understanding are the root of a good life. Financial success is simply the fruit of wisdom and understanding. If you spend all your time pursuing the fruit, and ignore the root, then your crop will never increase.

Wisdom is seeing the REALITY of life. It is not found in what you think is going on, or what you hope is going on, it is reality from God's point of view; it is what is actually happening in your life. When you see things as they really are, you can take responsibility for them, and fix them. This is why the fear of the Lord is the beginning of wisdom.

And, why it is so necessary to a bumper crop of fruit.



Are you working on the root or the fruit in your life? Let me know!

Why? Why? Why? Why? Why?


It's so simple that a child can do it.

If you'd like to know the root cause behind something, ask yourself why five times.

The car broke down.
Why?
The alternator died.
Why?
The belt broke.
Why?
It wore out.
Why?
I didn't replace it in time.
Why?
I didn't keep a log book.

Ta da! You now have an action step to prevent this from happening again! Note that your action step came after you took responsibility: "I didn't replace it in time" and "I didn't keep a log book."

Behind every problem is a root cause, and behind every root cause is something that you can do once you take responsibility.

So, ask yourself, 'Why?'



Sunday, October 3, 2010

Financial Gnosticism


The small epistle of 1st John was written to combat the heretical beliefs of Gnosticism that were creeping into the church. The primary belief of the Gnostics was that anything spirit was good, and anything physical was bad. For this reason, they chose to spiritualize the incarnation of Christ. God could not have come in the flesh since all flesh was bad, they reasoned.

Of course, this was all wrong. Jesus Christ is God come in the flesh, and by coming as he did, he showed that our physical bodies are acceptable to God. Didn't God himself say of his creation that it was 'good'? (see Genesis 1)

Now, let's take a look at financial success, prosperity and riches. There is a commonly held belief among Christians that we could call Financial Gnosticism. These financial Gnostics believe that poverty is always good, and wealth is always bad. Well, actually, they believe that wealth is okay. After all, Solomon, David, and Abraham were all extremely wealthy, not to mention Job, Joseph, etc. It's the pursuit of wealth that is wrong.

But is that biblical?

God tells us that we shouldn't labor to be rich. And if that is our only goal, then we're just being greedy. But what about laboring so that we can be financially free? so that we can leave an inheritance to our children's children? so that we can owe no man anything but to love one another? so that our joy can be full? so we don't have to worry about creditors any more?

No, financial success is not against God; if done correctly, it actually reveals the Father's heart in us. Our Father is very wealthy, isn't he?

And who can fault me for wanting to be like my Dad?


The Law of Attraction: Is the Universe Trying to Replace God?

I have a red flag inside me that starts waving whenever someone says that the universe brought them something. I want to tell them that it was actually their loving and generous heavenly Father, not the universe. I don't want some impersonal universe trying to replace a personal God. It bothers me.

But, are the two mutually exclusive?

The Lord Jesus taught us in Mark 11, "That whosoever shall say unto this mountain, Be thou removed, and be thou cast into the sea; and shall not doubt in his heart, but shall believe that those things which he saith shall come to pass; he shall have whatsoever he saith."

That is a command: 'Be thou cast into the sea!' It is not a prayer. There is no petitioning of your heavenly Father, no intercession, no fasting; just a simple command in faith. It seems to leave God out of the equation, but it doesn't.

So, how does the mountain get moved in the sea? Could it be that God has created the universe to operate according to principles and laws? Could it be that we are to ask for certain things, but we are not supposed to ask for other things? Could it be that some things are in our realm of control?

Again, the farmer may pray that the Lord blesses the work of his hands, but many farmers simply plant corn and reap the benefits because they are operating according to the laws of growth and harvest.

Perhaps Napoleon Hill, et al. , was not seeking to replace God the Father, perhaps he was trying to explain natural laws that were put in place by God the Giver?

The Universe Will Give It to You

One of the most New Age-y concepts of success is the Law of Attraction. First promoted by Napoleon Hill, and made famous by the movie The Secret, the Law of Attraction seems to imply that if I think about something long enough, it will come to me.

Well, that's partly true. Consider the following scenarios:

If you install solar panels on your new home, will the universe bring you electricity? If you install a water wheel on the river behind your house, will the universe bring you power? If you sit under an apple tree long enough, will the universe bring you an apple? f you're a pretty girl, and you go to a dance, will somebody eventually ask you to dance?

The universe, God's creation, is as giving as its Creator is. Gravity brings things to us. The four winds bring things to us. If we set a trap and wait, we can catch the food and clothing that creation brings our way.

So, perhaps that Law of Attraction is not as New Age-y as it appears at first glance. The major proponents of this Law, all say that you can't just sit back, you have to work along with creation or it won't happen. Isn't that what a farmer does? He has a vision of a field of corn, and he sets out to make it happen? Eventually, the laws of creation fill up the empty earth with acres of corn.

I just keep thinking that the millionaires and billionaires who teach the Law of Attraction (Robbins, Assaraf, etc.), can't all be wrong. Perhaps their understanding is flawed because of the New Age-y verbiage that is associated with this idea? If somebody taught that departed tree spirits brought apples down from apple trees, would that make gravity any less real?

Or could the vocabulary simply be wrong?


Friday, October 1, 2010

If You Help Enough People Get What They Want

Zig Ziglar is famous for saying, "Anybody can have what they want, if they just help enough other people get what they want."

With this in mind, I started thinking about some large and/or quickly growing internet-friendly companies.

Groupon is a newer company that is based on the fact that Customers want discounts and Vendors want quality leads.

Angie's List is based on Customers wanting to know something about a contractor before they hire them, and on Contractors wanting quality leads.

Facebook is based on Customers wanting to stay connected with friends and family, and on Vendors who wanting to advertise in a good location.

Google is based on Customers wanting to make use of the internet's vast resources, and on Vendors wanting to advertise where a lot of people are.

Squidoo is based on Customers wanting to express themselves through writing, and getting paid for it, and on Vendors looking for a great place to advertise.

(Wikipedia really needs to start accepting ads LOL)

Youtube provides a place for Customers to express themselves through video, and now they've contracted with Kodak who wanted to make it easier for their customers to upload video taken on Kodak cameras.

Self expression, discounts, knowledge, ease of use, etc., these are all things that customers want. I think that with a little thought, it shouldn't be too hard to perhaps create relationships/links that haven't been done before.

Project: Take 100 pieces of paper and write on them the needs that Customers have. Take another 100 pieces of paper and write on them the needs that Vendors have. Now pick one from each stack at random, and ask yourself if you know of a company that is meeting that 'couplet' of needs. When you find a unique, out-of-the-ordinary 'couplet,' ask yourself what would it take to make it work?

That's my thought. What's yours??


p.s. Our company recently worked through "99designs.com" to hire a web page designer. Another excellent example of a website that connects people with a certain skill with those who need their talents.