Kievgid

These days, we’ve all heard people emphasize a new belief that’s been going round - that hard work has been replaced by smart work. The concept has begun creeping into every arena, including management training. After all, “smart” businesses seem to have a tendency to thrive, while the “hard working” one’s often have difficulty. However, this certainly isn’t a new gimmick or contrived tactic to win over customers; it has actually become a necessity for business survival these days. The idea of working smarter has - in all likelihood, emerged to bridge the widening gap between our ever-increasing desires and the ever-decreasing availability of our own personal time.

These two opposing forces require an optimum usage of our individual resources - be it our time or money. Hard work requires that things are “done rightly”, whereas smart work requires things to be “rightly done”. The primary philosophy behind each of these two methodologies may appear - at first glance, to be just a rearrangement of the letters and words, but the specific benefits and consequences which will result from following one or the other will likely be completely different. This is a clear and unmistakable shift from being “efficiently” to “effectively”.

At this stage, the line in the sand between these two pursuits gets blurred, because while our hard working methodology may go out of the way to procure resources or elevate the number of units being manufactured for the betterment of operations, smart working is all about managing energy, commitments, people and the physical environment in such a manner so as to utilise them in the most fruitful way possible, thereby achieving maximum output for any given amount of input.

As is evident from the easily seen benefits of “smart working”, business coaching experts agree that an individual is more likely to succeed by following this approach than by adhering to the “hard working” ideal. However, the irony of this is that a lot of hard work goes behind being smart. In other words, if you work smartly, it doesn’t mean that you can sit back and relax, expecting wonders to occur to your organization on their own - it requires very hard work. Whether working “Hard” or “Smart”, every workload in each instance can be managed by a proper delegation of tasks, and small initiatives can go a long way toward saving time in each methodology. So, we have to conclude that it’s a blend of these two approaches that most ideally serves our intended purpose - successful enterprising!

Alan Gillies is the Managing Director of the L2L Group, specialising in providing Executive Coaching, Training and Consultancy Services to Businesses across the Globe. Want to learn more about these business success strategies? Get Alan’s popular FREE Business Pack today!

You’ll come up with a great deal of questions when you begin actively pursuing purchasing a business. At present, you may feel that these questions alone represent an intimidating enough proposition, but additional attention at this point will aid you in deciding on the enterprise that’s best for you, and provide you with the best opportunity for becoming one of those unusually rare individuals who actually becomes a truly successful entrepreneur.

One of the first things that you should do is to consider your own abilities carefully. What are your strengths and weaknesses? You will honestly need to identify the weaknesses first, understanding how important these factors are, how you might deal with and overcome them and whether they represent a “showstopper” when it comes to certain categories of business. If you intend to own a business, it requires an array of abilities, some of which may be inherent, others might have to be learned and still more will require that you pursue a variety of professionals and advisers for help.

Ask yourself whether you are comfortable dealing with the wants and needs of numerous customers or have the ability to interact with a very wide range of personalities. Are you a people person? Or would you prefer operating a business which has a relatively small number of clients who represent a much more significant source of income between them?

When it comes to interacting with people, would you prefer managing a large number of employees, along with their individual requirements, schedules and personal issues? It may be that you would be happier in a one or two-person environment.

How many hours a day are you ready to give to the business? When you own a business, it usually ends up being an around-the-clock situation, and a lot of retail enterprises have quite long operating hours too. Would you prefer a 9 to 5 obligation?

Another important question to ask yourself – would you prefer a product or service based business? At this stage you should ask yourself whether you are happy handling large amounts of inventory or whether you would prefer to deal in a more intangible way.

Take a look at your strengths and weaknesses, again. Identify your areas of familiarity and whether you know a particular industry better than others. You may already be an expert within a particular niche, and when buying a business you should try and exploit every advantage that you have. Is there one industry that you are particularly excited about? It almost goes without saying that you should steer away from an industry that you least desire. Within your present and previous careers, is there a certain position that ideally suited you? If you’re inherently good at a particular role, look to purchase a business that allows you to capitalize on this situation.

Many people advise against this, but you could consider turning your hobby into a business. On the one hand, you will be especially motivated if this is something that you really like to do. Some would advocate that additional stresses and pressures involved when you own a business based on your erstwhile hobby will quickly lead to you losing the interest and passion that existed before. However, rarely does a hobby qualify you to run that type of business and so making sure you have the right skills to be successful are far more important than having a passion for the product. After all, it is the profit, not the product, that pays the bills and builds value when you buy a business.

How much money do you have to invest, or how much money do you have access to? Value a business or two and ask yourself whether you would be happier buying a struggling and maybe undervalued business, using your particular skills and time to turn the enterprise around, or whether you are looking for a steady business that is profitable right now.

The right business is the one that meets all your criteria and you should be enthusiastic and passionate about your final selection. Make sure that you bring in trusted accountants and financial advisors, never let your heart rule your head during the decision-making process and buy a business that is right for you, for the long haul.

Richard Parker is the President and founder of the prestigious Diomo Corporation - The Business Buyer Resource Center. His celebrated materials, seminars and consulting have encouraged thousands of aspiring business buyers from around the World to pursue their dream of buying a business.

If you have an entrepreneurial itch or have always wanted to buy a business, is now the right time for you to act? In the current severe economic downturn, your first reaction might be negative, but note that wherever there is a threat, there is an opportunity and that many people have become very successful in times of seemingly dire economic news. Whilst you always need to be prepared to work long hours and make sacrifices when you own a business, you will need to have additional resources and an even stronger temperament should you consider buying a business in a recession.

One of the largest hurdles you’ll have to overcome involves financing. Don’t ever underestimate the actual volume of money that’s required to get a business up and running. Don’t just look at the numbers which you come up with when you value a business, but estimate how much it would cost you to operate the business for three years. Once you reach a fairly accurate number, quadruple it!

To achieve financing from a bank or other institution these days may prove to be an impossible task. The days of easy money are well in the past. You will need a very strong personal credit rating at the very least, but also probably have to put up a lot of cash and collateral. Banks and lending institutions are extremely cautions nowadays, and if they’ve any significant reason for concern they may cancel established lines of credit, even if the business has a perfect track record and an excellent credit rating. Make sure that you are not relying on the unknown too much.

Our current economic situation is perfect for negotiating seller financing, so use the fact that banks aren’t lending to your advantage and make sure that the seller has a vested interest in your ongoing success by having them carry the balance of sale.

Make sure that you identify a need for the product or services that you will be selling. It is not enough just to own a business, what you’re offering people has to be in demand. While many people seem to think that business of all kinds will shrink during the recession, this is not necessarily the case. There are certain types of business that will enjoy an expansion during a downturn and there are categories of business that can be classified as essential. Maybe you should buy a business which is “bulletproof” through a recession?

Don’t be intimidated by the idea of thinking outside of the box when it comes to purchasing a business. You may find the solution that will fit your needs perfectly. Whilst many might feel that the type of business you’re considering is foolhardy, you might consider that it represents additional opportunity. For example, whilst lawn care service might appear to be a luxury, many people are finding that they have additional pressures on their time and can least afford to spend hours in the yard themselves.

There’s one particular thing to bear in mind in times of recession however - do not let emotions come into the decision making process. Remember to use your head and ensure that when you’re ready to actively pursue a business for sale, you have the key fundamentals perfectly in place, can finance or have unrestricted access to finance to make sure that the business can operate for no less than three years. Be as diligent as possible when it comes to assessing the absolute need for your product or service, in bad times as well as good.

Richard Parker is the President and founder of the Diomo Corporation - The Business Buyer Resource Center. His inspiring materials, seminars and consulting have assisted thousands of business buyers with achieving their life long dream of buying a business.

There are quite a few advantages to purchasing a business that currently exists over owning a business that you have to start from “square one”. Here are a few things to carefully consider when trying to decide whether to purchase a business or a start-up enterprise.

FINANCING. A buy business proposal is much more likely to be approved by banks, rather than any kind of start-up enterprise, because of the business valuation data which is readily available. Therefore, you’re more likely to obtain financing to own a business.

TRACK RECORD. A business for sale has been up-and-running for a period of time. With a purchase business, you have historical data on past performance, the market, competition and its future growth potential. You can purchase a business as it is and restructure it to include your own ideas. As you already have a fairly good idea of the value a business retains, you can work on its weaknesses and make the most from its strengths.

SOLID ASSETS. When you value a business, assets are a key component. With purchasing a business, you’re obtaining essential assets that allow you to continue to do business as usual. As a purchase business turnkey operation, you don’t have any need of sacrificing additional time or money setting up a business. When purchasing a business, inventory is readily available and the business currently has the necessary employees and regular customers.

APPEAL. With a business for sale, you can select the one that particularly appeals to your personal interests or inclinations. Even though you buy a business already in existence, it can still be viewed upon as a startup because you are bringing your vision to the existing structure.

OPTIONS. Purchase business options range from rather small family-run enterprises to huge international organizations. You can also purchase business franchises. Regardless of which buy business route you choose, performing a thorough business valuation is absolutely essential. When you value a business, you can be assured that the price you are paying to own a business is fair.

VALUE. A business for sale brings a wealth of value. The buy business portfolio includes everything you need to continue on seamlessly with the business. The business valuation is an important step to ensuring you are getting a profitable enterprise. When you value a business, other factors beyond it being financially sound need to be taken into consideration, including tangibles and intangibles included in the sale. When you buy a business, you also need to decide if it’s a stock or asset purchase. All of these issues should be covered in the business valuation phase.

Unlike a start-up, when you buy a business, you are free from dealing with finding the best location, the costs of equipment and supplies, setting up vendors or suppliers, acquiring licenses and permits, hiring employees, establishing brand recognition, identifying industry competition, and the costs of marketing and promotions. But if you’ve always wanted to start a business yourself and experience all the nuances that go along with it, then buying a business might not be for you. If you prefer not to inherit someone else’s creation and own a business that you create yourself, then a start-up probably best fits your entrepreneurial personality. However, if you’ve always wanted to run a business, then a business for sale is your best option.

Richard Parker is the author of the How to Buy a Good Business at a Great Price series. As President and founder of Diomo Corporation - The Business Buyer Resource Center, his materials, seminars and consulting have helped thousands of business buyers realize their dream of buying a business.