Almost every business will be impacted by Brexit – positively or negatively. We can only make educated assumptions about what Brexit will look like and indeed when any transition arrangements may end. With a potential 2-year transition agreement, Brexit would happen in March 2021. Fortune favours the bold and businesses that can benefit from exporting should review their business strategy to achieve their maximum potential. If you don’t your competitors probably will. The good news is that there is a huge range of support available for businesses who want to start exporting or want to expand their exporting. When helping businesses review their strategy, I often ask if they export. The first answer is often no, followed by a, well we have sold this to here and that to there. They have become accidental exporters. If your business has recognised expertise or a niche specialisation then you will often be found globally via your web site even if … [Read more...]
5 Essential Sales Processes To Boost Your Business
Many small businesses fail to prosper because they don’t invest in developing repeatable processes and planning to help grow their sales. To follow are some essential sales activities to develop and repeat if you want to drive your business growth. 1- Develop a sales plan First and foremost, you need to answer the key sales questions regarding your business in a sales plan. What do you want to sell in the next 12 months How will that be split by month or quarter and over what distribution? What are the products or services that you anticipate selling? Who is going to be responsible for what in the sales plan? Then the softer more difficult issues Why will customers want to buy from you? How will you sell your product or service? Where and when will customers become aware of you? Where and when will they buy? And finally how much is it anticipated this will all cost? Once you’ve answered all of the … [Read more...]
5 Ways to Get Past the GateKeeper
New recruits making sales via ‘cold’ sales calls often struggle to take their generic sales training and put it into practice. If they are not trained professionally on how to make the pitch, they will lose calls and burn leads. Worse, they often make their company look bad if they managed to say where they are calling from before the callee hung up and won’t get a second chance for a while. Sometimes the caller may receive abuse, further reducing their will to make more calls, with their confidence dropping at an exponential rate. Here are 5 simple tips to helping your team get past the gatekeepers so they have a chance to convert to sales: Monitor the team, especially new recruits. Within days they may acquire bad habits that are hard to break, if left unchecked. You need to determine if they have an issue about making cold-calls, by listening and monitoring their behaviour whilst on the call: Train – Script – Monitor – Fine Tune – Interview – Retrain – … [Read more...]
Exit strategy and planning – Getting the most for your company when you decide to sell – Part 3
Part 3: Enabling issues which should be in place before a sale These issues will not necessarily provide a premium valuation, but the absence of them could lead to some discount in the valuation or might hold up a sale. • Shareholders agreement regulating the rights of all shareholders and ensuring that minorities can be included Key staff and directors service contracts ensuring that the management and technical know-how won’t walk out the door as soon as a sale is made Share incentive schemes locking in key personnel Employee contracts, handbook and policies ensuring all employment law and regulatory compliance issues are up to date • Supplier Contracts are in date and valid; beware “change of control clauses” which could very well reduce value or lead to specific warranties • Customer Contracts are in date and valid; beware “change of control clauses” which could very well reduce value or lead to specific warranties IPR, patents, trademarks, copyright, … [Read more...]
Exit strategy and planning – Getting the most for your company when you decide to sell – Part 2
Part 2: Getting to the highest valuation Valuation The valuation of your company is not a science, but is driven by market forces and your ability to present your business as a significant investment opportunity. To some extent this depends upon the buyer, but it also depends upon the wider economic environment, the state of your own market sector, as well as the state of your business. There are a number of principles that can be applied to valuing your business: • Earning Multiples – Normally based on historic and possibly forward projections for earnings, measured before depreciation, interest and tax, but adjusted for “average Directors” drawings. The range for this earning multiple can vary from less than 4 to greater than 10 and is dependent on many factors, some of which are mentioned below. • Net Asset Value – The book value of the company as declared in the balance sheet. In many cases owners may expect to achieve a premium when using this approach to … [Read more...]
Exit strategy and planning – Getting the most for your company when you decide to sell – Part 1
Part 1: Why planning is vital and the route to exit Exit planning is perhaps the most difficult yet most important period in the life cycle of Small Medium Enterprises (SMEs). It is an event that probably only happens once, yet has a profound effect upon the future life, particularly in retirement, of the owners. Research clearly shows that many owner managers fail to achieve full or fair value for their business during the exit process. The key reasons for this failure are: Unrealistic value expectations and timescales Poor preparation within the business prior to the sale Unwillingness to use professional advisors Inadequate resources allied to the exit process Planning for your exit strategy Planning a strategy to maximize the value of your business on sale requires careful advance planning. You should start considering the issues several years before you plan to sell. The actual exit process will take 6 to 12 months and may require varying degrees of … [Read more...]
Growth Vouchers – A New Scheme Offering Subsidised Advice to SMEs
This new scheme launched by the Government at the end of January is a £30 million fund that will enable qualifying small businesses to access expert business advice through an online Marketplace. Suitably qualified Business Advisors are registered on the Marketplace and you can choose one that is local to you, has the right expertise and has the experience. Growth Vouchers are worth up to £2000 but you will need to match fund this. You can of course spend more if required but the maximum provided by Government will be £2000. The funding is aimed at SMEs obtaining advice in five categories: managing cashflow, late payments, and negotiating finance; developing skills and taking on staff; improving leadership and management; marketing, attracting, and keeping customers; and making the most of digital technology. Vouchers can be obtained through a Government website and will be randomly issued to eligible companies. For further information and to see if you are eligible go … [Read more...]
Cross Selling – Enabling Sales, Profit and Customer Loyalty
Cross Selling is the practice of selling additional products or services to existing or new customers. It can be used in conjunction with its close relative Up Selling that encourages the purchase of higher value products or services than originally considered. The benefits of Cross Selling are well proven in larger companies and UK SMEs can also use this strategy with excellent results. Cross Selling is an effective method to increase: Sales Profit margins Customer loyalty If your company designs, manufacturers or sells products, services or solutions to B2B or B2C customers via direct, indirect or digital channels it can benefit from cross selling to drive growth and profit. Cross Selling Nine Point Check List 1. Establish your objectives: Sales, profit margin, customer loyalty etc. 2. Understand what your customers buy from you and what they don’t buy from you and why (sales analysis + Customer Relationship Management information). Do typical customers buy … [Read more...]
Some tips on Business Networking – Part 2
Business networking is starting to be seen as one of the most effective ways of generating new business for companies. In Part 1 I outlined the basics of networking including how to prepare, and how to conduct yourself at the event. Part 2 gives more concrete suggestions as to what you should do when you are there. The strategy is to meet as many people as reasonably possible. The objective in each case is to establish whether or not there is synergy between you – whether you think some form of business relationship could be worthwhile. You are simply trying to answer this question. Once it is answered either way, you should move on as quickly as is polite and gracious. If the answer is 'yes' you should make sure you have the other person's contact details, so that you can get in touch in order to discuss in more detail what you can do for each other. Your purpose at a networking event should be to identify those people or companies where there is mutual interest. It is not is … [Read more...]
Some Tips on Business Networking – Part 1
Business networking is starting to be seen as one of the most effective ways of generating new business for companies. It is not normally expensive, but it can be quite time consuming. It is also daunting for the less extrovert doing it for the first time. However, even the most shrinking violet will gain confidence and effectiveness with practice. There are many different types of networking event and different times of day in which they happen. Most will let you try them out once or twice for a small fee. After that you will need to pay for full membership. This will be some combination of an annual fee and a fee per meeting. Once you have attended a few, chose the ones where you are most comfortable and have had the most success. Before setting out to an event you should make sure that you have your 'elevator pitch' - a short (approx. 30 seconds) overview of your business, that you can trot out when asked “what do you do”. It is best to have a few variations so that you do … [Read more...]
Entrepreneurs Succeed With Us
Peter Kelly a member of HCBA Co-authored this exciting new business book for SMEs. This book is a highly readable set of principles and actions, which will convert readily into increased performance and profits in your business. Entrepreneurs can sometimes struggle to meet the goals they have set themselves and may need help to create the high performance business of their dreams. The aim of Entrepreneurs Succeed with Us is to help such entrepreneurs get to grips with difficult to identify and resolve business-critical issues and kick-start growth plans to achieve their goals. These may include a successful exit strategy. The book has been written by a team of highly capable professionals who appreciate the pressures of an entrepreneur's day to day and longer term problems. Its content is designed to help them recover from difficult situations by getting to the root causes of their sleepless nights. Entrepreneurs Succeed with Us addresses a range of key issues that face all … [Read more...]
Innovation the key to business transformation
If you say the word ‘ Innovation’ to anyone their first reaction is likely to be ‘expensive.’ Talk to small businesses about innovation and their reaction is likely to be expensive R & D. Many people equate innovation with inventing a new product and usually equate it to unique product developments such as iPhone or iPad which would naturally cost hundreds and thousands of pounds. However true innovation when applied to business need not be expensive and can be applied to almost any part of the business. Innovation can mean a new business process or a different way of engaging with customers . Reducing the number of processes in handling orders for instance is innovation. Going from paper invoices to electronic invoices is innovation. Many business have gone from a bricks and mortar type business to largely on line. This too is innovation. Businesses that innovate tend to experience better growth, more profitability and by involving staff members in the process will have a happier … [Read more...]
Can you be a Sales Chameleon?
Never a truer saying; “People buy from People.” You may have heard this saying many times, however when you are selling to someone, how much time do you spend considering your prospective customer's buying criteria. I try and imagine what buying criteria my potential client uses when buying a car. A big clue is the car parked in front of the building! Do they like to know lots of product detail, do they want product specifications, if they bought a car, could they give you the specification of the engine, what make of sound system it has etc Do they want references of your work, if so provide plenty. So back to the car, do you think they are image driven? Perhaps they drive a branded German executive car! Do they simply buy off people, if they like and trust the person, they will buy from them. I am afraid in this instance; there is no clue in the car being driven. The real trick is to evaluate the type of criteria the person uses, when buying something, then change your … [Read more...]
Can you be a Sales Chameleon?
Never a truer saying; “People buy from People.” You may have heard this saying many times, however when you are selling to someone, how much time do you spend considering your prospective customer's buying criteria. I try and imagine what buying criteria my potential client uses when buying a car. A big clue is the car parked in front of the building! Do they like to know lots of product detail, do they want product specifications, if they bought a car, could they give you the specification of the engine, what make of sound system it has etc Do they want references of your work, if so provide plenty. So back to the car, do you think they are image driven? Perhaps they drive a branded German executive car! Do they simply buy off people, if they like and trust the person, they will buy from them. I am afraid in this instance; there is no clue in the car being driven. The real trick is to evaluate the type of criteria the person uses, when buying something, then change your … [Read more...]
Can you be a Sales Chameleon?
Never a truer saying; “People buy from People.” You may have heard this saying many times, however when you are selling to someone, how much time do you spend considering your prospective customer's buying criteria. I try and imagine what buying criteria my potential client uses when buying a car. A big clue is the car parked in front of the building! Do they like to know lots of product detail, do they want product specifications, if they bought a car, could they give you the specification of the engine, what make of sound system it has etc Do they want references of your work, if so provide plenty. So back to the car, do you think they are image driven? Perhaps they drive a branded German executive car! Do they simply buy off people, if they like and trust the person, they will buy from them. I am afraid in this instance; there is no clue in the car being driven. The real trick is to evaluate the type of criteria the person uses, when buying something, then change your … [Read more...]
Can you be a Sales Chameleon?
Never a truer saying; “People buy from People.” You may have heard this saying many times, however when you are selling to someone, how much time do you spend considering your prospective customer's buying criteria. I try and imagine what buying criteria my potential client uses when buying a car. A big clue is the car parked in front of the building! Do they like to know lots of product detail, do they want product specifications, if they bought a car, could they give you the specification of the engine, what make of sound system it has etc Do they want references of your work, if so provide plenty. So back to the car, do you think they are image driven? Perhaps they drive a branded German executive car! Do they simply buy off people, if they like and trust the person, they will buy from them. I am afraid in this instance; there is no clue in the car being driven. The real trick is to evaluate the type of criteria the person uses, when buying something, then change your … [Read more...]
The Sales person has no clothes….
Your next Sales person is quite an investment and a risk for your company.Nowadays there is a breed of Sales executive latin name "Executivus Technicus Commoditus". This species are found on trains, motorway service stations, or frequenting mass appeal TV shows.They can be seen playing with their latest electronic gadget, whilst conversing with another of their species on their smartphone.But, take these bits of modern technology away, how would they function? Would they find themselves from A to B? Would they know who to sell to? Would they be able to convince prospects of the merits of their product offering? Maybe, maybe not.The worry today is that sales people are too dependent on gadgets, and are spending less time on SELLING SKILLS.How many understand how to determine a clients needs? How many understand how to create a USP? How many just sell on price?Whilst the old days of hand writing reports, researching potential clients through libraries, or calling the office in from a … [Read more...]
Time to get back on the horse?
Over the last few weeks and months (and for some possibly years) we have been buffeted with bad economic news. If it is not the plight of the Euro, it is the unemployment figures or the deficit or many other pieces of informatioin that makes us all feel gloomy about our prospects. Well I say enough is enough! We cannot sit on our hands for ever waiting for market conditions to improve. Conditions will not improve till WE do something about them. I know many companies that have had good years throughout the recession (double dip or not) Why? They have gone out and got on with business. They have not cut their marketing budgets and some have increased them and fought even harder against their competitors. They have not listened to the doom sayers and they have made their own 'luck' Talking to a small company recently they were moaning about the state of the Euro zone. This intrigued me as they do not export and have no intention of exporting, they do not buy from outside the UK and … [Read more...]
18 Easy Tips To Maximise Your Online Presence
It never ceases to surprise me how many small businesses still do not effectively promote themselves on line. Many have a website but do not use this resource to its maximum advantage and many are unaware of the other ways in which they can promote themselves and their business. So here are a number of simple tips that can be used to maximise your online presence: Get listed in Google Places Google searches now prioritise local results. By entering your businesses details in Google Places, Google will be able to index your business and provide these details in searches improving your ranking and providing increased traffic to your website. 2. Get listed in appropriate directories There are many Online directories covering all types of businesses. One of the best known is Freeindex. In addition to a basic entry of all you business details you can enhance the listing and include links to your website. Most directories get thousands of hits a day and will provide traffic to your … [Read more...]
Should we do more to repatriate jobs to the UK
Are we missing a trick? Last week saw the US approving legislation to bring jobs back to America that had previously been outsourced to lower-cost economies. The measure is aimed at reducing America's 9% unemployment, and with the economic case for outsourcing no longer as compelling as it was 10 years ago this seems like a good idea. This begs the question - should we be doing more to repatriate jobs to the UK, to tackle our own unemployment? Bringing jobs back to America Congressman Frank Wolf reports that "legislation approved yesterday in both the House and Senate requires the Commerce Department to immediately set up a task force to examine what needs to be done to encourage U.S. companies to bring their manufacturing and research and development activities back to America’s shores. " "The department also must develop a list of “best practices” for states and communities to follow to help foster the repatriation of jobs that have moved abroad." Is this not happening already in … [Read more...]
