Confessions from a Grassroots Entrepreneur

Interview With an Entrepreneur - Jennifer Walzer

2011-07-20T21:10:00.005-04:00

Jennifer Walzer says the best part of being an entrepreneur is getting to choose with whom you work.

Who: Jennifer Walzer, CEO and founder of Backup My Info!, Inc. (www.backupmyinfo.com), which provides online backup service for companies.

Q: When you were younger, did you think you were going to be an entrepreneur?

A: I was one of those kids on the streets selling lemonade, just always wanting to figure out a way to make things happen. And I think part of the reason why is that I looked at my father, who was an entrepreneur, and I wanted to be just like him.

Q: What are the benefits of being an entrepreneur?

IA: By far the best benefit is that I get to choose who I work with. I absolutely love the team of people who work with me. And obviously the benefits are great from a financial perspective. But at the same time, it’s not easy. Everyone says, “Oh I can start a business,” but until you actually do it, you never know what you’re getting yourself into.

Q: What are the cons of being an entrepreneur?

A: It’s really stressful, and it’s not easy. If it was so easy to start a business, everyone and their brother and sister would be doing it. I think one of the biggest challenges is that when you own a business, it actually can own you too. You either need to be in it to win it, or don’t do it at all.

Q: What traits do you see in successful entrepreneurs?

A: Without a doubt, they’re extremely passionate about what they do and have learned to put their ego aside. As an entrepreneur, you’re going to be faced with a lot of challenges. And if you think you’re going to have the answer to everything, you’re going to fail. I think a successful entrepreneur knows where his limits are and knows how to ask for help.

Q: What advice do you have for students thinking about becoming entrepreneurs?

A: Go and get an internship or figure out a way to work for someone you think has a really good business. And when you get there, get involved in as much as you can.

David Mammano is founder and CEO of NextStepU. (www.NextStepU.com).

Video interview with Kinko's founder, Paul Orfalea

2011-07-06T15:02:00.003-04:00

NextStepU founder and CEO, David Mammano, interviewed Paul Orfalea, founder of Kinko’s.

Mammano: What are some of the benefits that you’ve experienced as an entrepreneur?

Orfalea: Money. I was in my business for the money. I didn’t enjoy Xerox copying and printing and all that. I liked the money. There’s nothing wrong with saying you like the money. My best stores had the happiest workers and the most satisfied customers.

Mammano: You talk a lot about working on your business rather than in your business, can you expand on that?

Orfalea: A lot of people smoke cigarettes because they are in life, but if you’re on life you say “Oh I think cigarettes aren’t very good for me.” A lot of times when we are in life, we don’t realize what we are all about.

Mammano: Looking back now, would you change anything?

Continued with video at:
http://www.nextstepu.com/articlePage1.aspx?artId=3705&categoryId=4

Rumors of Print's Demise Have Been Greatly Exaggerated

2010-02-10T19:43:00.000-05:00

"Rumors of Print's Demise Have Been Greatly Exaggerated."

Cumulative results of recent ad readership studies conducted by Signet Research, Inc., indicate that print is not dead, but very much alive and well. Analysis of B to B publication reader preference for print, digital or online media showed an eye-opening majority still prefers print.

Cliffside Park, New Jersey February 5, 2010 -- In an effort to determine the preferred format of media properties in the B to B publication market, Signet Research, Inc., an independent market research firm, directly asked subscribers of B to B publications for their feedback.

The methodology used was the inclusion of a particular question in the Signet Research AdStudies, conducted over a period stemming from October 2009 through January 2010. The question was, "In what format would you prefer to receive (publication name)?"

The results showed an overwhelming preference for print publications. Three-quarters (75%), selected print as their preferred format, either in print only or a combination of print and a digital or online format, with over half (52%) preferring print only. In comparison, overall preference for a digital edition was 30%, with 14% preferring digital only, and for online content 12%, with 4% preferring online content only.

The results of this case study are based on 2,307 respondents from varying industries within B to B media. They include Government, Airline, Electronics/Technology, Automotive, Oil/Gas/Energy, Physical Science, and Food Service Industries.

About Signet Research, Inc :
Signet Research, Inc. has been a leading provider of market research serving the publishing industry for over 40 years. The company offers a wide array of AdStudies for print, web and e-newsletter ads as well as customized audience and editorial studies for print and web in the B to B and B to C markets.

For additional information contact:
Alexander Nanos, Project Director
Signet Research, Inc.
201-945-6903 ext. 11
www.signetresearch.com

Crash course on online advertising

2010-01-28T16:59:00.002-05:00

The past 10 years has seen advertising go from somewhat of a “wing it and see” approach to more of a real science. Today’s marketer can pinpoint her ad dollars to places where she only pays for prospects that have expressed interest.

This kind of marketing is exciting and amazing. But if you don’t know what you’re doing, it can be a waste of money. The good news is that you don’t have to be overly Web-savvy to run a Google AdWords program or to buy a banner ad.

Below are the basics to get your started. Remember, you get what you pay for. So you’ll pay more for a true lead than you will for an impression or click. Read on…

Cost per impression (CPI)/cost per thousand (CPM)
CPI and CPM are essentially the same thing. In its simplest form, you are paying for every set of eyeballs that see your ad. The standard is to measure by the thousand, thus the “cost per thousand.”

Imagine if your highway billboard company had a way to measure every person that drove past your billboard. They would charge you a set fee for every 1,000 people that drove by. Translated to online ads, this means you’re charged a set fee for every 1,000 visits to the page of the Web site where your ad runs.

Those 1,000 visits don’t necessarily mean 1,000 different people. Several people may have visited the page numerous times. Just like the billboard company would count the same car twice, cost per impression counts repeat visitors.

CPI is still a cost-effective way to do brand advertising online. Depending on the targeting of the audience, you might pay around $15 to $30 for every 1,000 impressions—not a bad price to make an impression with a targeted advertisement. Just don’t expect a ton of suspects or prospects from this type of advertising. It is purely for branding, so make sure your expectations are reasonable.

Cost per click (CPC)/pay per click (PPC)
This type of advertising costs a little more, but that’s because it has entered your funnel as a suspect. Visitors to search engines will click on an ad that comes up in a search query. (I am sure you’ve all seen paid ads on the right or top of your Google search.)

Advertisers can buy keywords that potential customers may be searching for. For instance, if a college is offering a new biotech major, it could buy keywords around this major—and even in the targeted region of your choice. Someone doing a search for “colleges that offer biotech” may encounter your Google ad, click on the ad, then get transferred to your Web site—ideally, a custom landing page that caters to their needs.

Advertisers usually bid on keywords. The more popular the word, the more expensive it is. Let’s say the word is semi-popular. It might go for $2 per click. Any time anyone clicks on your ad, you pay Google $2.

The good news is that search engines such as Google don’t use only price to determine what ads go on top. Its algorithm will also scan your site and balance your listing with its relevancy and how much volume you purchase with the search engine.

The bad news is that you pay $2 for each visitor who clicks, even if they leave your site a second later and you don’t get the chance to capture the lead. In fact, it may actually take 30 people to click before you get one person to fill out a form. That translates into $60 cost per lead. This takes me to our next point.

Cost per lead (CPL)
You’ll invest the most with CPL advertising because you only pay for actual prospects, or “deep funnel” names. Unlike CPM (where you pay for the masses to see your ad), or CPC (where you pay for suspects to visit your site), with cost per lead advertising, you pay for prospective customers who fill out a form. These prospects most likely:

Searched online for your product
Explored Web sites for the product
Read info specifically about your company or school
And after all this, was still interested enough to fill out a request info form and give you their name, phone, number and e-mail address (if not more).
They are waiting for you to contact them.

Advertisers pay various amounts for CPL advertising depending on their product, demand, industry, closing ratio and profit margins. For instance, our new company, www.BackToLearn.com, helps colleges recruit adult learners. We charge $50 per lead. If a college can enroll two of every 10 prospects we send them, that means they paid $500 for two students.

Some college marketers have balked at our $50 per lead price. They say things like, “I can buy keywords on Google for $2 per person.” But if it takes 20, 30 or more clicks to generate one lead from your landing page, that means you’re paying $40to $60 per lead. So the price of keywords can be deceiving.

A click is not the same as a lead for your school. Though CPC advertising offers value, the price is cheaper because the person is higher up the funnel than a CPL prospect. That’s an important difference. The CPC person is a “suspect”; the CPL person is a “prospect.”

Whether it’s a Google keyword purchase, CPC campaign or traditional ad, you’re going to pay less with CPC because you still have work do to make that suspect a prospect. CPL leads are delivered to you ready to go as solid prospects. That’s why they’re worth the extra investment.

On top of all this, I suggest you keep in mind that though some online CPM, CPC and CPL programs are awesome additions to the advertising world, they are not the panacea as stand-alone campaigns. It would be a big mistake to drop all of your traditional advertising (TV, radio, print, etc.) and fly solo with online only marketing.

To have the most effective results, successful companies continue to use all these media to create a “surround sound” to their advertising message.

I hope this crash course helped you navigate the “cost per” world. If you have any questions, please feel free to e-mail me at david@nextSTEPmag.com, or call me at
(800) 771-3117 ext. 11.

How customers complain in the digital age...

2009-08-31T07:30:00.002-04:00

Here's some incentive for companies to have superior customer service...

http://www.youtube.com/watch?v=5YGc4zOqozo

The Entrepreneur’s Survival Tool-Kit

2009-08-29T11:57:00.002-04:00

No entrepreneur is an island.

That is the theme of my success as an entrepreneur over the past 14 years of Next Step’s life. I surely did not do it alone.

Because of Next Step’s incredible team, Next Step Publishing just made the Inc 5000 list for the third year in a row (http://www.nextstepmag.com/press) and I am very proud.

As mentioned, it’s not just me and I should be caned if I didn’t credit our team. Without them, we would never have achieved such awesome growth. A good team is the most valuable tool in any entrepreneur’s kit. Without a smart, passionate and engaged team, most entrepreneurs wouldn’t make it past running a small, local business.

We grew from a small Rochester, NY company to a nationally respected resource because of good ideas executed greatly by…OUTSTANDING PEOPLE.

But how does a neophyte entrepreneur learn how to hire, support and grow an outstanding team that helps to create an outstanding company?

I recently thought about that question!

And as I looked back over the years to examine our success, I examined what resources I have surrounded myself with that have helped me to personally grow, hire well and maximize the team’s performance, all while adhering to our standards and core values.

I started writing down the people and resources which have allowed me to not be alone as an island in the rough waters of entrepreneurship. In my opinion, I have created a survival tool-kit for the passionate, humble and ever-curious entrepreneur who aspires to grow; both professionally and personally…

The Entrepreneur’s Survival Tool-Kit:

1) Verne Harnish
Verne founded EO – Entrepreneurs Organization (www.eonetwork.org). EO by far has been the most instrumental resource I have been a part of. It’s a global organization of more than 7000 entrepreneurs which hosts monthly forums (confidential support roundtables), local/global learning events, online networks/resources, executive education programs and much more. The things that I have learned and the people that I have met because of EO, have undeniably influenced the growth of our company in many, many ways.

Verne, is now the CEO of Gazelles (http://www.gazelles.com/), a company that works with growing companies and their leaders. He has also written a must-read book called “Mastering the Rockefeller Habits.” This book has become the operational DNA for our company and thousands more.

2) Ari Weinzweig and Paul Saginaw from Zingerman’s (http://www.zingermans.com/). These two guys went from starting a small deli in Ann Arbor to creating a vision driven, community business model that has many entrepreneurs spinning their heads with excitement! Instead of expanding their deli nationwide, they decided to create a Vision Statement detailing their future plans of creating a community of related businesses in the Ann Arbor area. The philosophies that helped them to become an Inc Magazine Coolest Small Company in America (http://www.inc.com/magazine/20030101/25036.html) are now taught in one of their spin-off companies called ZingTrain (http://zingtrain.com). I have been to their seminars and have implemented many of their practices in Next Step’s business model.

3) Jack Stack
The Great Game of Business (http://www.greatgame.com/). Our newest learning adventure at Next Step is Jack Stack’s philosophies on open-book management. He has co-written two books with Bo Burlingham, (one of my favorite authors as you’ll read below) about his experiences with open-book management and giving his employees a stake in the game for optimal success. The books are called “The Great Game of Business” and “A Stake in the Outcome.” His company also holds seminars about the process.

4) Bo Burlingham
Bo is an author and editor at large of Inc Magazine. I suggest reading all his books as soon as you can. There are the two mentioned above with Jack Stack and also “Small Giants” and “The Knack” (co-authored with entrepreneur and Inc. columnist, Norm Brodsky). I read Small Giants when it first came out and it profoundly influenced me. And still does. It truly reshaped my ideas about how to grow Next Step and it continues to be a rudder of my thinking. The book has gained so much popularity that there is now a Small Giants seminar at ZingTrain and also has spawned its own community (http://www.smallgiantscommunity.com/). “The Knack” is also a must read. Norm and Bo do a great job at detailing the tools entrepreneurs need to run a business but rarely learn! I suggest all entrepreneurs read it and the earlier the better.

5) Inc. Magazine
(http://www.inc.com/) If you can’t tell, I do love Inc. Magazine and hope it’s around forever. It’s the only magazine of its kind that really gets into the nitty-gritty of helping small business entrepreneurs grow their company. The magazine is always full of helpful stories of real-life entrepreneurs; their struggles, successes and more. If you don’t subscribe, just buck up. The subscription price is peanuts and the content is extremely helpful. Plus they have great events like the Inc. 5000 conference. I went last year and had a blast; plus learned a ton from great speakers like Jim Collins and Norm Brodsky.

6) The New York Times
Yes, that’s right! No, not the newspaper. Their blog! They started a new blog for small business owners and it’s actually very helpful. It’s called “You’re the Boss – The Art of Running a Small Business.” The reason it’s so good is because, first of all it’s run by Loren Feldman, a former editor of Inc. Online. Second of all, many of the blog posts are written by down and dirty entrepreneurs. Like my friend Jay Goltz. Jay is an amazing entrepreneur that dispenses awesome advice whenever he talks or writes. He calls himself “The Thinking Entrepreneur.” Probably because he makes you think! I also suggest you read Jay’s book “The Street Smart Entrepreneur: 133 Tough Lessons I Learned the Hard Way.” Read the New York Times blog at: http://boss.blogs.nytimes.com/

Another one of my favorite entrepreneurs, Jen Walzer is going to start writing for the NY Times blog too. Her business is www.BackUpMyInfo.com and she has some amazing stories to share we well!

7) I’ve also started to incorporate some other helpful players into my game plan:

a. Cameron Herold. Cameron has been intricately involved in exploding many businesses including 1-800-Got-Junk and College Pro Painters. He now has his own company called BackPocket COO (http://www.backpocketcoo.com/) and works with many entrepreneurs to help grow their companies. I have seen him speak many times, ordered his DVDs and will be working with him soon to run a strategy session for Next Step. He tells me that he has a book coming out in the near future too!

b. Simon Sinek. I saw Simon speak a few months ago and loved his message. His purpose is to help people find the “why” in their life and/or business. Once you find the “why,” you can more easily inspire action! His message is powerful. He has a great blog (http://sinekpartners.typepad.com/) and also a book coming out soon – (http://www.sinekpartners.com/book.html). Simon’s message is so powerful, I asked him to write for Next Step Magazine (www.nextSTEPmag.com).

c. Keith Ferrazzi. I saw Keith speak about four years ago when he had just finished his first book “Never Eat Alone.” His presentation was fantastic and touching. His story moved me. I am currently reading his new book called “Who’s Got Your Back” and so far it is outstanding (http://www.keithferrazzi.com/WGYB/). Keith also has a great blog that I suggest you subscribe to (http://www.keithferrazzi.com/blog/).

So there you go! If you incorporate these people and resources into your entrepreneurial life, your learning curve will be reduced by 75% - guaranteed! Ok, well I can’t guarantee that but I assure you, you’ll hit the ground running a lot faster!

The best way to incorporate them is to go to their seminars, read their books/blogs, watch their DVDs and meet them! As the late, great Earl Nightingale once said “All you need is the plan, the road map, and the courage to press on to your destination.”

Great article on health care reform from Whole Foods founder

2009-08-21T10:17:00.001-04:00

http://online.wsj.com/article/SB10001424052970204251404574342170072865070.html

There has always been blue Jell-O for students entering college this year

2009-08-18T14:42:00.005-04:00

As the founder of Next Step, a magazine for college bound teens, I am always amazed at how far away I am getting from being a college bound teen. Thank God for young employees!

The Beloit College Mindset List for the Class of 2013

Most students entering college for the first time this fall were born in 1991.

For these students, Martha Graham, Pan American Airways, Michael Landon, Dr. Seuss, Miles Davis, The Dallas Times Herald, Gene Roddenberry, and Freddie Mercury have always been dead.
Dan Rostenkowski, Jack Kevorkian, and Mike Tyson have always been felons.
The Green Giant has always been Shrek, not the big guy picking vegetables.
They have never used a card catalog to find a book.
Margaret Thatcher has always been a former prime minister.
Salsa has always outsold ketchup.
Earvin "Magic" Johnson has always been HIV-positive.
Tattoos have always been very chic and highly visible.
They have been preparing for the arrival of HDTV all their lives.
Rap music has always been main stream.
Chocolate chip cookie dough ice cream has always been a flavor choice.
Someone has always been building something taller than the Willis (née Sears) Tower in Chicago.
The KGB has never officially existed.
Text has always been hyper.
They never saw the “Scud Stud” (but there have always been electromagnetic stud finders.)
Babies have always had a Social Security Number.
They have never had to “shake down” an oral thermometer.
Bungee jumping has always been socially acceptable.
They have never understood the meaning of R.S.V.P.
American students have always lived anxiously with high-stakes educational testing.
Except for the present incumbent, the President has never inhaled.
State abbreviations in addresses have never had periods.
The European Union has always existed.
McDonald's has always been serving Happy Meals in China.
Condoms have always been advertised on television.
Cable television systems have always offered telephone service and vice versa.
Christopher Columbus has always been getting a bad rap.
The American health care system has always been in critical condition.
Bobby Cox has always managed the Atlanta Braves.
Desperate smokers have always been able to turn to Nicoderm skin patches.
There has always been a Cartoon Network.
The nation’s key economic indicator has always been the Gross Domestic Product (GDP).
Their folks could always reach for a Zoloft.
They have always been able to read books on an electronic screen.
Women have always outnumbered men in college.
We have always watched wars, coups, and police arrests unfold on television in real time.
Amateur radio operators have never needed to know Morse code.
Belarus, Moldova, Ukraine, Uzbekistan, Armenia, Latvia, Georgia, Lithuania, and Estonia have always been independent nations.
It's always been official: President Zachary Taylor did not die of arsenic poisoning.
Madonna’s perspective on Sex has always been well documented.
Phil Jackson has always been coaching championship basketball.
Ozzy Osbourne has always been coming back.
Kevin Costner has always been Dancing with Wolves, especially on cable.
There have always been flat screen televisions.
They have always eaten Berry Berry Kix.
Disney’s Fantasia has always been available on video, and It’s a Wonderful Life has always been on Moscow television.
Smokers have never been promoted as an economic force that deserves respect.
Elite American colleges have never been able to fix the price of tuition.
Nobody has been able to make a deposit in the Bank of Credit and Commerce International (BCCI).
Everyone has always known what the evening news was before the Evening News came on.
Britney Spears has always been heard on classic rock stations.
They have never been Saved by the Bell
Someone has always been asking: “Was Iraq worth a war?”
Most communities have always had a mega-church.
Natalie Cole has always been singing with her father.
The status of gays in the military has always been a topic of political debate.
Elizabeth Taylor has always reeked of White Diamonds.
There has always been a Planet Hollywood.
For one reason or another, California’s future has always been in doubt.
Agent Starling has always feared the Silence of the Lambs.
“Womyn” and “waitperson” have always been in the dictionary.
Members of Congress have always had to keep their checkbooks balanced since the closing of the House Bank.
There has always been a computer in the Oval Office.
CDs have never been sold in cardboard packaging.
Avon has always been “calling” in a catalog.
NATO has always been looking for a role.
Two Koreas have always been members of the UN.
Official racial classifications in South Africa have always been outlawed.
The NBC Today Show has always been seen on weekends.
Vice presidents of the United States have always had real power.
Conflict in Northern Ireland has always been slowly winding down.
Migration of once independent media like radio, TV, videos and compact discs to the computer has never amazed them.
Nobody has ever responded to “Help, I’ve fallen and I can’t get up.”
Congress could never give itself a mid-term raise.
There has always been blue Jell-O.
Beloit College - 700 College St. - Beloit, WI 53511 - 608.363.2000 - webmaster - Copyright © 2009

Dear Mr. President, Think health care, not sick care.

2009-07-30T07:06:00.003-04:00

Dear Mr. President, Think health care, not sick care.
Love, U.S. Small Businesses

President Obama is trying to rush a new U.S. health plan that would cover everyone in the country. Of course, once again, the people that have sacrificed and worked really hard will pay for it because they make too much money. It will have a huge negative impact on small businesses. Welcome to the new America – “Get penalized for success!”

Many small business owners will be the ones paying the bill not only for their employees but also in more taxes because as S-corps, their company’s profit puts them in the bracket to pay more; even though the total profit is often not what the owner takes home (in an s-corp, the owner gets taxed on total profit even though he/she may leave much of it in the company).

For the record, I am all in favor of helping my employees with their health care. Although it’s been getting harder to do so because of rising costs, my company contributes to employee premiums and HSA accounts. We switched to a high-deductible/HSA plan last year because of the rising costs.

We also participate in some of the nifty programs that our health insurance company offers. These programs are focused on rewarding healthy eating and lifestyle choices.

But if the President’s new plan passes, the burden will be even tougher. As it stands now, 60% of U.S. bankruptcies in 2007 were due to medical costs.

But don’t misunderstand me. I agree with the President. We do need a new plan. The current one is a race car speeding out of control. We do need change. But not like this.

Instead of trying to rush a new plan through the system before Labor Day, our government needs to take some time and think about the real problem. We’re treating sick people instead of helping healthy people. It’s not health care, it’s “sick care.”

75% of our health care costs are attributable to chronic and preventable diseases. And 40% of U.S. deaths are caused by lifestyle choices – smoking, poor eating and inactivity.

If small business and the wealthy are going to have to buck up more money, why should it be for supporting poor lifestyle choices and preventable diseases?

Instead, how about the money goes to programs that aim at intervening in patients’ lives, before they get sick. Our current system rewards people who are sick with pills and procedures. We are fixing what’s wrong instead of enabling what’s right.

Let’s stop providing disease care and start providing health care.

Good personal health care is an investment in one’s self and the nation. Prevention is a timeless notion and we need to get back to it. It's what parents have taught their kids for thousands of years. Somehow we have lost our way...

Prevention education - Our country’s health depends on it!

The Top 10 Things a Good CEO Should Be Doing

2009-07-08T16:29:00.003-04:00

Every year, our company Next Step Publishing (www.nextSTEPmag.com) goes through an employee review exercise. As most companies do, every employee gets reviewed by their manager but we add a few twists.

We have a huge place in the review for the employee to give feedback. Our goal is to see what we can do to help each person be the best they can be. And what better way to see how we can help than to ask?!

Another thing we do is allow each employee to offer feedback comments on each person in the company. These are pre-framed with questions to allow for constructive feedback and not pot-shots.

Since I don’t have a boss, I ask my managers to review me every year. And the entire staff is encouraged to offer anonymous constructive feedback.

So last year I got a comment that went a little something like this: “I really like Dave and love the company, but I am not sure what Dave does.”

At first this struck me as odd because I know I work my butt off and was surprised this person didn’t have a clear picture of what I do.

Then suddenly it all made sense and I felt good about it. In my thinking, a good CEO is not involved in the day to day details and the team may wonder what the heck he/she does.

A good leader is working from a higher altitude, making sure everything is moving forward. As Michael Gerber says in the E-Myth (http://www.e-myth.com/), a good CEO/Entrepreneur should be working ON the business not IN the business.

I learned from friend and entrepreneur Cameron Herold (www.backpocketCOO.com), success is determined by how well the CEO hires “how” (how to get things done) people while he/she focuses on “where” (where is the company going).

A good metaphor for an effective CEO/Entrepreneur is a duck. You see, a duck's head and body above the pond look calm and graceful; but if you look under the water, the legs and feet paddling like crazy! So a good CEO appears to be a calming, confident force but under the surface, he/she is kicking like crazy!

So to get back to that employee’s comment about not knowing what I do. I started to think about what I do and/or what I should be doing.

Here is the list I came up with.

1) Inspire. A fish rots from the head down. If the leader (the head) of a company doesn’t inspire the team, passion, creativity and loyalty will be non-existent.

2) Coach. A good leader doesn’t solve problems; he coaches his team to solve problems. Many CEOs think they need to play God and solve all the problems so they look good. Baloney. The leader will have more time to inspire, create and do more meaningful activities if he doesn’t have to solve every problem.

3) Watch over the finances like a hawk. This really should be #1, because no cash flow, no business. Nuff’ said?

4) Liberate Passion. A good leader natures, encourages and liberates passion. A bad leader squashes it by once again, trying to play God and thinking that all ideas must come from him.

5) Grow Leaders. A good CEO is not afraid to pass on the knowledge and plant seeds for future leaders. He is a teacher. The only way a company will grow is if there are future leaders with common vision and values.

6) Drives the Vision. As mentioned above, a good leader is the “where guy/gal.” She lays the blueprint of where the company is going. She does not necessarily describe how the company will achieve the vision; rather she sets the vision and leads the dream. Remember Martin Luther King, Jr. said, “I have a dream!” He did not say, “I have a plan.”

7) Communicate. What good is it having a vision and a dream if nobody knows about it? An effective CEO cascades her vision to the rest of the company on a regular basis. She develops a rhythm where the vision is discussed and communicated often. When the team starts to recite it back to the CEO, it’s starting to take shape!

8) Disrupt Comfort. My old friend and consultant John Engels (http://www.leadershipcoachinginc.com/) warns CEOs of company harmony. Many harmonious companies are about a hair away from bankruptcy. Why? Because when there is harmony, there is often passive aggressive behavior; meaning that nobody wants to rock the boat and discuss uncomfortable issues in the workplace. A good leader will poke and prod at harmony and make sure that it not a cover for discomfort.

9) Listen. Many CEOs love the sound of their own voice. Effective CEOs remember that God gave us two ears and one mouth; and that we should use them in that proportion. A CEO that does not listen to his team will have to be content with only getting a small portion of the complete picture.

10) Set the Culture. If a CEO takes short cuts, he will attract like-minded souls. If he guides the organization with morality, integrity, love, fun, creativity, loyalty and the ability to give candid, yet tactful feedback, he will create a company that produces super-uber cool products all while being an incredibly satisfying and ethical place to work.

So there you go. That is my ultimate job description. As with everything, it’s a work in progress but certainly is a great roadmap for success!

Responding to Discomfort

2009-06-12T15:22:00.001-04:00

This is a guest post from my friend John Engels. For more on John, go to: http://www.leadershipcoachinginc.com/

Responding to Discomfort-June, 2009

A client I will call Zach confided in me the other day that the most difficult relationship for him is the relationship with his boss.

“Have you told him that?” I asked.

“No I have not. That’s not comfortable for me.”

Another client, whom I will call Joan, related to me that her teenage daughter, an inexperienced driver, insists she should be given
permission to drive friends to social events on weekend evenings.

“I don’t want her to drive with friends in the car, especially on weekend nights,” her mother told me.

“Does Joan know what your position is on this?”

“No, if I told her she would go ballistic, “said the mom.

Have you noticed how often you avoid uncomfortable conversations and encounters?

For leaders, the consequences of side-stepping difficult yet important discussions can be particularly dire.

Dr. Murray Bowen, the eminent psychiatrist whose clinical research and ground-breaking ideas anchor our approach to leadership development, made the following observation:

“Less well-differentiated bosses are more inclined to make decisions based on the feeling of the moment than on principle and reality.”

Dr. Bowen’s term, “well-differentiated” refers to any individual’s degree of emotional maturity.

More mature leaders tend to operate from thoughtful positions rather than from automatic reactions.

We all fall prey to the knee-jerk impulse to avoid whatever feels uncomfortable.

This is an area of immaturity that each of us can work on.

The automatic reaction to duck discomfort can be countered by the following high-maturity strategies:

CALMNESS – when leaders can maintain a non-anxious presence, they are less susceptible to impulsive avoidance.

What routines help you stay calm? Do you go for walks, pray or meditate, vigorously exercise, take short breaks away from work?

A long-time client shared with me that talking with close friends helps him calm down.

Another gets up early and takes a half hour bike ride a few mornings a week.

Whatever works for you is what to do.

PERSPECTIVE – leaders who see with a wider viewing lens tend to be less threatened by discomfort.

Individuals who have observed or experienced real suffering will be better able to take garden-variety discomfort in stride.

The vastness of the universe, the fleeting nature of a single lifetime, the awe of the natural world, one’s gratitude for deep love – all these experiences keep leaders grounded and less fearful.

Leaders who are well-connected within their nuclear and extended families have a solid emotional base from which they approach the world. They are more likely to believe that an uncomfortable conversation is not a federal case.

CLEAR THINKING – from a place of calmness, the first thing leaders notice is a capacity to think more clearly.

Clear thinking produces questions and strategies that lead to better decisions.

Instead of automatically avoiding, thoughtful leaders ask:

“What’s in the best interest of the organization?”

“How can I engage this person I am uncomfortable with?”

“What tone of voice would be most productive?”

“What outcomes do I want?”

“What’s the worst that could happen if I initiate a tough message?”

Instead of hoping problems go away, leaders think to themselves:

“This is something I can handle.”

“I’m not going to let my discomfort stop me from doing what makes sense.”

“I’m going to give this person a chance to grow.”

“I remember past experiences with this - I always feel nervous going in and relieved coming out.”

“If I act with courage in this situation, I am teaching my employees and my own children to do the same. That alone makes it worthwhile.”

Discomfort has been called the necessary companion of progress.

The best leaders move towards and through discomfort instead of nervously looking for ways around it.

Copyright 2009 Leadership Coaching, Inc. All rights reserved.

What do Entrepreneurs and Grasshoppers have in common?

2009-06-03T06:24:00.003-04:00

My new entrepreneurial hero is David Hauser, founder of Grasshopper (formerly GotVMail). I just completed an executive education class with him at MIT as part of an EO-Entrepreneurs Organization program.

He gave a presentation on how he just re-branded his company and yes, it involved Grasshoppers. Chocolate covered ones...

So they changed the name of their company and needed a big splash. Their company services entrepreneurs on the go who need phone service, voicemail and call forwarding, etc... on the go.

David also has a goal of having people associate the word "entrepreneur" with "grasshopper." What better way to do that than to send 25,000 chocolate covered grasshoppers to influential business and media people around the country?

Yes, that's what he did. 5000 bags of five grasshoppers a piece smothered in chocolate. YUM!

It worked. He was on CNN, FOX, tons of newspapers, blogs and much more.... I am sure it added up to hundreds of thousands of dollars of advertising for his company.

Could it get any cooler than that?

But what, there's more!

The campaign was also a push to David's new video that supports the cause of entrepreneurs. This video is so amazing that it actually moves me to tears (almost). Whether you're an entrepreneur or not, please take a moment to watch his two minute video. It will give you hope for our country! And also make you wonder why the bailout money is going to paralyzed goliath elephant companies rather than innovative, nimble entrepreneurs...

http://www.youtube.com/watch?v=T6MhAwQ64c0

Way to go David. You are my new entrepreneurial hero!

Top 10 Reasons Print Should Remain a Vital Part of Your Marketer's Mix

2009-05-28T22:43:00.000-04:00

Considering that my company publishes a national magazine for college-bound teenagers, you might think the title of this article paints me as self-serving.

Maybe you think I am trying to preserve print because it’s our company’s core product. But even though our printed magazine brings in the lion’s share of our revenue, it’s not why I’m trying to convince you that print is still tremendously relevant.

Actually, our company is much more than print. We are a Web site, an online community, an e-mail marketer, an online newsletter. We have a social media presence, we instant message with our readers, and oh, we print a magazine, too.

But here’s something that may surprise you.

Besides delivering great content to our readers, branding opportunities and leads for our advertisers, our magazine is also an amazing traffic generator. In fact, our magazine is the number-one driver of traffic to our Web site. It’s like buying keywords, only better!

The magazine also drives traffic for our advertisers. Third-party research shows that 60 percent of our readers visit an advertiser’s Web site after viewing their ad in Next Step!

I am going to pitch this list to David Letterman for his show. But just in case he doesn’t pick it up, I’ll share with you my “Top 10 Reasons Print Should Remain a Vital Part of your Marketing Mix.”

10. Print provides differentiation. How many of the millions of Web sites out there have a print magazine to drive traffic to it? The vast minority, I assure you. Print vehicles provide a unique strategy to drive traffic to your online marketing.

9. Print offers incredible branding. Nothing makes a brand more recognized than a beautiful ad in a glossy magazine. A well-designed ad is an engaging experience for readers. And by the way, according to a recent MRI/Next Step poll, 55 percent of teens say they pay a lot of attention to print ads.

8. Print makes introductions. Print is a great party host because of the talent it has introducing readers to your brand. An effective print ad stands in the crossroads between readers and advertisers. And your keyword purchases become more effective if customers have already been introduced to your brand.

7. Print readers are focused. It’s hard to engage in other media when you’re reading a magazine. In the world of multitasking—where people are texting, e-mailing and listening to their iPod while watching TV—it’s hard to get noticed. But it’s hard to do anything else when you’re reading a magazine! In fact, according a survey done by Ball State University, magazines are the exclusive or primary medium 85 percent of the time they are used by consumers.

6. Print travels. A magazine is your companion wherever you go: your favorite chair, your bed, an airplane—even your bathroom. A laptop on the porcelain throne just does not offer the same experience.

5. Print sways trendsetters. “Influentials” (those who sway other consumers) are themselves influenced by print. Check out this influence ranking, from the MRI Survey of the American Consumer:

1. Magazines: 61 percent
2. In-store: 58 percent
3. TV: 55 percent
4. Newspaper: 53 percent
5. Radio: 44 percent
6. Free samples: 39 percent
7. E-mail: 26 percent

4. Print drives users to other platforms. According to the Retail Advertising and Marketing Association, 47.2 percent of shoppers are most likely to start an online search after viewing a magazine ad. Our own research shows that more than 75 percent of nextSTEPmag.com users type in the URL directly—which they likely got from reading the magazine.

3. Readers are receptive to print. Fact: People remember effective print ads. In fact, magazine ads have the second highest receptivity of any media, second only to TV. But try to “TiVo” a magazine ad!

2. You can pass along print, and it has longevity. Magazines get shared and passed on in households and among friends. And they stick around. Check out your own coffee table. Any magazines there that have been hanging around a few years? Have you ever tried to share a Web site in a dentist office?

1. Print is a lead-generation tool! Used correctly, print drives leads to your prospect funnel. Good print vehicles have a mechanism to deliver targeted leads to their advertisers. (Yep, we have one too.) So at the very least, consider print a unique, effective lead generation tool!

So there you have it, the top 10 reasons why print should remain in your marketers’ media mix! The world is changing fast, and you have to keep up. Your ability to combine the new with the proven will determine your success.

America’s schools need a Ctrl, Alt, Delete. (Reset)

2009-05-06T06:36:00.003-04:00

Last month, I wrote about how basic life and financial skills are not required to be taught in our schools. We continue to teach the same core subjects that were taught in the 1940’s. The world has changed tremendously but our street smarts have not kept up.

Here are some facts of how America has changed since the year 2000 (as reported in the January/February 2009 issue of The Atlantic Magazine).

Hours of video game per person/per year: 2000: 65 2008: 80
Personal Savings (% of income): 2000: 2.3% 2008: 0.6%
Consumer Credit Card Debt: 2000: $684 billion 2008: $966 billion
Gross federal debt as % of GDP: 2000: 58% 2008: 67.5%
Family Health Care premiums (average): 2000: $6438 2008: $12,680
States with obesity rates below 20%: 2000: 28 2008: 1
People without life insurance: 2000: 39.8 million 2008: 45.7 million
People in Poverty: 2000: 31 million 2008: 37 million
Inmates in custody: 2000: 1.9 million 2008: 2.3 million
Street Price/gram of Meth: 2000: $180 2008: $365
Hours of TV per person: 2000: 1502 2008: 1704
Market cap of GM (General Motors): 2000: $28 billion 2008: $3 billion
Market cap of Apple Computer: 2000: $5.5 billion 2008: $88 billion
* We love our iPods!

I see some trends.

Albert Einstein once said, “The definition of insanity is doing the same thing over and over again and expecting different results.”

I am not saying we need to remove science or math courses; we definitely need to produce more scientists and mathematicians from our country. But not everyone is going to be a scientist. But everyone needs basic financial and life skills in order to be a well functioning adult.

So why are we teaching courses that only a few will need and not teaching courses that everyone will need? I think it’s a good question that deserves an answer.

Our schools have basically been doing the same thing over and over again for a long time. It’s time for an overhaul so that our youth will be prepared for life; a life without credit card debt and health problems due to poor eating/lifestyle choices; a life where a person has the skills in order to implement a life strategy that involves saving money, proactive planning and a basic understanding of finance, accounting and life skills.

Here is my dream. At the age of 18, upon high school graduation, the average American knows:

The basics of money – Interest, compound interest and understands the destructive forces of personal debt. Money is a tool to be used.

The power of a good career – Taking the time to access one’s natural strengths and matching a career path to it. A secret to a fulfilling life is finding a purpose and a good career can often be a big part of this.

Banking – Being able to manage one’s finances, manage a checkbook, read a basic financial statement (most people will have a 401K/IRA but can they read and understand the where and how their money is doing?).

Ethics – Understanding integrity and the power of compound honesty. Knowing that there are no long term short cuts.

Budgeting – Creating one and living on a budget. Having a pro forma for life. Knowing what a pro forma is! Establishing credit and then using credit properly. Understanding that you can’t buy a $500K house on a $50K salary.

Food – Knowing the basics of good eating. Being able to cook some meals. Knowing the destruction that take place in one’s body over the long haul with bad food choices.

Overall health – Having an exercise strategy that becomes a daily/weekly habit.

Investing – Knowing about stocks, bonds, mutual funds and the risks that come with it. CDs and Money Market accounts. Planning for retirement.

Insurance basics – Understanding of health, car, home, disability and life insurance.

Imagine if your average American teen graduated high school with an understanding of these skills. How much better would you feel about our future?

Now imagine if today your average American had these skills. Maybe we’d be in a different place today?

I am not just venting here. I am actually going to do something about it. Stay tuned and/or e-mail me if you want to help. I can be reached at: David@nextSTEPmag.com

7 Stress-Busting Strategies Every Entrepreneur Needs Now

2009-04-20T21:58:00.003-04:00

This is a guest post from my entrepreneurial friend Maria Pascucci. She is a recovering stressaholic, founder of CampusCalm.com and author of Campus Calm University: The College Student’s 10-Step Blueprint to Stop Stressing & Create a Happy, Purposeful Life.

7 Stress-Busting Strategies Every Entrepreneur Needs Now

Why would entrepreneurs need stress relief? Between our golf outings and yacht parties, 2-5 pm Happy Hours and all those other fun things that the rest of the world envisions us doing on a Tuesday afternoon, aren’t we [cue the yawn] above stress? Well, any business owner working on deadline with 76 “urgent” emails in her inbox can safely say that entrepreneurs are not exempt from stress, or the havoc it wreaks on our lives.

Let me state upfront that stress isn’t bad. We all need a healthy amount of stress in our lives because it keeps us motivated and challenged as we try new things. But, when stress becomes overwhelming and we don’t know how to deal with it in healthy ways, that’s when it starts to interfere with our lives.

According to the American Institute of Stress, workplace stress costs more than $300 billion each year in health care, missed work and stress-reduction. April is National Stress Awareness Month. Today is the day to take charge over your stress. Here are seven strategies to help you out:

1. Surround yourself with positive people.
Entrepreneurs need a support network of positive people who understand the challenges involved in running a business. When I decided I wanted to launch a business, a few family members attempted to be supportive. My husband and parents were great, but many others didn't even try to get it. A former friend actually said to me, "Oh, you're just playing all day." A relative commented to my husband, "Everyone hates their jobs. Why can't Maria just go to work like the rest of us and deal with it?" Truly positive people are brave enough to be honest with entrepreneurs, while still being supportive and having a positive attitude.

2. Invest in a mentor.
In times of stress, turn to your mentors for inspiration, encouragement and wisdom. A mentor can inspire you to think bigger because she has been there and done that. A mentor wants to see you succeed and she's going to hold you accountable to your goals. A mentor will also help you get out of your own way to achieve success and happiness by helping you learn how to ignore your inner critic. Sometimes we sabotage our own success without even realizing we're doing it. You can find mentors everywhere. Look at your colleagues, community leaders (thanks Dave!) and professional organizations; read writers you admire. The possibilities are endless!

3. Avoid catastrophic thinking.
"Oh my God, sales are down for the month, my business is going under, I'm ruined, I'm going to have to uproot my family to my parents' basement and listen to my father tell me for the umpteenth time in between bites of mac ‘n’ cheese and hotdogs, "I told you that you should have gotten a real job." Sound familiar? Stop! 

4. Correct with rational thoughts.
"Okay, sales are down for the month. BREATHE! I'm going to gather my team together to discuss why this happened and brainstorm how we can boost sales for the coming months. Let's survey our customers and have them tell us exactly what they need from us. Then we'll find creative ways to deliver it. I'm going to see this temporary setback as an opportunity to develop resilience as an entrepreneur."

5. Develop resilience.
Successful entrepreneurs recognize that "positivity" is a personal choice. They realize that when they choose to see the gems life has to offer instead of the grime, they will be happier, healthier and more satisfied for it. Successful entrepreneurs choose to be resilient and then learn how to craft the tools that will allow them to build the businesses and lives they desire.

Suggestions: read books like The Resiliency Advantage and The Power of Failure

6. Love yourself.

Truly successful entrepreneurs recognize that self-love is the key to success. No, that doesn't mean posing in front of your bedroom mirror for hours and basking in the glow of your own vanity. It does mean making your body a priority. Like taking the time to nourish it with healthy food, getting adequate sleep and exercising. Practicing relaxation. Understanding that "me time" is a necessity, not a luxury that’s earned.

Be honest. Are you experiencing any of the following stress overload warning signs? :

1. Change in sleep patterns: too much or too little sleep
2. Change in eating habits: either too much or too little
3. Becoming angry over nothing or crying very easily
4. Frequent stomachaches, headaches or skin breaking out (yes, adult acne does exist, it sucks and chronic stress is the number one culprit)
5. Constant negative self-thoughts and anxiety over everyday things
6. Withdrawing from friends and loved ones.

If you’re really struggling to get your life and business under control, consider reaching out to a counselor or a life coach. Invest in your business by investing in yourself. From one high-achieving entrepreneur to another, I can tell you that good health is an achievement to be VERY proud of!

7. Practice gratitude.
We entrepreneurs work hard to invest our time, passions and strengths into our own businesses, those enterprises designed to help others while teaching us (thankfully) that we are so much larger than ourselves. I don't know about you but I remain grateful, awe-inspired in fact, for that realization every single day of my life!

**Check out Maria's site at: http://www.campuscalm.com/

I'm on TV!

2009-04-10T09:00:00.001-04:00

EOtv that is... Stands for Entrepreneur's Organization TV
http://www.eonetwork.org/eotv/Pages/EOtv.aspx
Skip to 5:57 for the good stuff :-)

Cool Entrepreneurial Tools

2009-04-07T06:12:00.003-04:00

A friend, Cameron Herold, the former COO of 1-800-Got-Junk, now helps entrepreneurs with his company called BackPocket COO. He has some helpful learning tools for entrepreneurs at http://www.backpocketcoo.com/. He is offering a 20% discount on his Leadership CDs to all my readers. Use this promo code: HSDC2009.

Business courses not relevant in high school? PART 2

2009-04-02T06:47:00.000-04:00

It seems like I uncovered an emotional issue two days ago when I wrote about the superintendent of Holley, NY wanting to get rid of the business department and its classes (see 3/31 blog entry).

I heard from business teachers and the regular folks alike, all with a similar message; how could this happen?

Well, I have learned more. The superintendent of Holley, NY is not the source of the blame. It's the New York State Board of regents. They make the graduation requirements and business is not one of them. The problem is that they would have to cut something else to fit in business class requirements.

Once again, not to knock today's (and 1940's) core curriculum; the world definitely needs scientists, mathematicians, history buffs and masters of the English language, but how much of these courses are relevant for ALL students? I mean when was the last time my knowledge of an endoplasmic reticulum (biology reference) came in handy? (I think just now, for this article).

Here's my point: Today's core curriculum serves as a base for some people but not all. A class in understanding how basic financial principles work like how to read a financial statement, the power of compound interest, how banks work, creating a budget, understanding credit cards, tax basics and insurance basics would be valuable for ALL students! Who doesn't need to know that stuff? Why isn't this stuff mandatory in school? People really need those skills in life! We're teaching our kids a bunch of stuff they will never use while the core life stuff goes astray.

And you know what; kids love learning about this stuff! Whenever I am guest speaking in a school and talk about business skills, even the trouble maker kids' eyes light up!

Below is a course that is an elective in a local high school. It's beyond me why a course like this isn't mandatory. It's also beyond me why the superintendent of Holley, NY or The NYS Board of Regents doesn't think a course like this should be mandatory. If you look at the general publics' lack of basic financial and business knowledge, it's no wonder we're in a complete mess today.

Please take a look at this course below. Which would you rather have our high school learning about; these business/financial skills or endoplasmic reticulums? If you think this business class would be better for our kids, please contact the superintendent of Holley, NY and or The NYS Board of Regents.

MONEY BASICS
• Interest Basics
• Simple Interest
• The Power of Compound Interest
• The Time Value of Money
• Living With Inflation

CAREER PATHS
• Job Basics
• Career Exploration
• The Effects of Job Location
• Applying For a Job

TAXES & PARYOLL DEDUCTIONS
• Tax Basics
• Income Taxes
• Sales & Hidden Taxes
• Payroll Deductions

THE WORLD OF BANKING
• Banking Basics
• Keeping Banks Safe
• Banking Services
• Selecting a Bank
• Fringe Banking

LIVING ON A BUDGET
• Budget Basics
• Creating a Budget
• Maintaining a Budget

SPENDING DECISIONS
• Spending, Debt, & Credit
• Managing Debt
• Establishing Credit
• The World of Credit Cards
• Identity Theft

INVESTING FOR THE FUTURE
• Investment Basics
• Investment Risks
• Low-Risk Investments
• Stocks, Bonds & Mutual Funds
• Investment Taxes
• Starting to Invest

AUTOMOBILES
• Automobile Basics
• Purchasing a Vehicle
• True Cost of Owning a Vehicle

HOUSES AND HOMES
• Home Basics
• Preparing to Buy
• Closing the Deal
• Home Mortgages
• True Cost of Owning a Home

INSURANCE
• Insurance Basics
• Health Insurance
• Life Insurance
• Auto Insurance
• Home Insurance

RETIREMENT PLANNING
• Retirement Basics
• Social Security
• Retirement Plans
• 401K
• IRA and Roth IRA
• Retirement and Taxes

Business courses not relevant in high school?

2009-03-31T06:38:00.001-04:00

Now, I am officially worried about the future of our country.

The superintendent of the Holley, New York school district has proposed elimination of the business department. He did not replace the retiring department chair two years ago and now is firing the remaining two teachers. It appears that he feels that business is not a relevant enough field for the high school students of Holley, so he moving to eliminate it.

If I lived in that district, I would move.

Business skills not relevant in today’s world? What?! Is this guy living in some sort of fairytale bubble? Or does he just have an ax to grind? Maybe he failed Business 101 in college and is now getting even? I really can’t understand his thinking; and I am a pretty empathetic guy! While many high schools and colleges are adding more business/entrepreneurial courses, This superintendent has decided to move Holley’s core curriculum back to the 1950’s.

Don’t get me wrong, science, math, English and social studies certainly still have their place in today’s high school line-up, but so does businesses! Business and entrepreneursism are among America’s last unique competitive advantages. We certainly don’t make much anymore in our country. But at least we can still run the company and then work with the rest of the world to create the product.

I don’t know about you but I haven’t used too many of my high school trigonometry skills lately, nor have I dissected any frogs. What I have used is my public speaking skills, business writing and other business skills that I learned in high school and college.

Even if a student doesn’t enter directly into the business world, the thought process that business classes can create is extremely valuable. For instance, scientists are at an advantage if they can figure out how to bring their research to benefit the masses. This is usually done through a…..come on, say it with me….. A BUSINESS!

This superintendent is putting Holley, NY high school students at a great disadvantage to compete in the real world. I am surprised the parents in the district are not revolting. In my opinion, the school board should remove him and put in place a superintendent who is forward thinking and cares more about the skills that Holley, NY graduates will bring forth to the world.

TOP 10 Tips To Make Money In A Recession

2009-03-23T06:33:00.001-04:00

Tips from friend and former COO of 1-800-Got-Junk Cameron Herold:

http://www.youtube.com/watch?v=o1F9u3sPep4

Ultimate Customer Service

2009-03-18T21:04:00.001-04:00

We lease our company laptops from Dell Computer and have been very happy with them; as of until last week. Jan Resch, Next Step’s VP of Finance and HR got a semi-harassing call from a Dell customer service about our monthly lease bill.

He asked why it hadn’t been paid yet and wanted her to pay it over the phone to avoid collections. Collections?!

Here’s the rub; it wasn’t even due yet! The rep called on the 11th and the bill was due on the 15th. Also keep in mind; we have never been late with Dell. Our credit is perfect with them. Jan told the pit bull that the check was in the mail and she would not make the payment over the phone.

You would think that was the end of the story, right? Wrong. He called again this Monday, the 16th. Apparently, the check did not arrive yet. Maybe the Rochester to Austin route is slow lately?

This type of behavior led me to believe that either Dell is desperate for money or they have a really bad customer service rep. My hunch was the latter.

I am friends with Verne Harnish, the founder of EO – Entrepreneurs Organization (http://www.eonetwork.org/) and he now runs Gazelles (http://www.gazelles.com/). Michael Dell was one of the first EO members and Verne has remained friends with him.

Verne has always talked about how Michael is obsessive about customer service so I thought I would share this story with him. I encouraged him to pass on the experience to Michael himself because I thought he’d like to know. Most good entrepreneurs want to know about the good, bad and the ugly.

This type of feedback is always good to hear because a company can spend all the marketing dollars in the world, but it only takes one bad service experience to wipe out millions dollars worth of advertising.

So I shared my story with Verne yesterday. Guess what? This afternoon, I got a call from a woman named Carrie Perkins. She told me that Michael Dell heard my story and wanted her to call me as soon as possible.

*tear*

Ok, I’ll continue. Yes, I was touched, amazed, thrilled and many, many other awesome adjectives.

Carrie was a true pro. She has my account pulled up on her computer and could see that I have been a good customer for years. She could also see who this “harassing” rep was.

I had Jan come in and re-tell the experience. Carrie listened intently, made no excuses and apologized many times. She explained that this was not their policy and that this will be a “training experience” for the customer service rep in question. I hope “training experience” is not internal lingo for a firing because I believe everyone deserves a second chance!

Carrie continued to wow us and left us with her e-mail address and direct phone line. She said we can call her anytime about anything and she’ll get right back to us.

Talk about turning a negative into a positive.

Carrie, please know that I love you.

And I am love with Dell Computers again too.

Ten Thoughts For Business Leaders in 2009

2009-03-11T10:34:00.001-04:00

Ten Thoughts For Business Leaders in 2009
by Jack Smith (WPO St. Louis) of Collaborative Strategies, Inc.

1. Face, understand, and share the brutal facts (including the realistic worse case).

2. Be bold, (i.e., wake up every morning and ask: What is the boldest, most aggressive action and/or decision I could make today?).

3. Focus, protect, and plan around your strengths (e.g., key people, capabilities, and customers).

4. Prune everything that is weak, marginal, or unprofitable.

5. Have a six month supply of cash on hand or in clear view (at a minimum).

6. Raise and/or reset your expectations of employees and suppliers (e.g., hours worked, breadth/depth of responsibility, performance metrics, terms, etc.). Note: Use these difficult times to re-orientate your thinking and make your business stronger.

7. Communicate with and inspire/energize your people and your customers (e.g., positive recognition costs nothing and your ability to help absorb anxiety is greater than you think). Note: Get out of your office and on the phone!

8. Don’t think you have to go through it all alone. Most of the very successful CEO’s I know place considerable importance on having people outside of the firm that they can confide in.

9. Know that the years 2011, 2012, and beyond are likely to be some of the best years yet for your business in terms of growth and profitability (if you manage effectively in 2009).

10. Money has never been and will never determine who you are. You are…how you treat your family, friends, employees, business relationships, and what you do for charity, community, and our country.

Listen to WHAM Saturday at 10am!

2009-03-06T05:38:00.001-05:00

Tune in every Saturday morning at 10 am -- on WHAM 1180 AM-- for Eyes on the Future, a live, hour-long call-in show about working together to strengthen the area's economy and keep local business growing.

This Saturday (3/7), the show should be especially entertaining. That's right, I'll be on the show!

We'll be discussing how to start/maintain a business and what an entrepreneur should be thinking about during tough economic times.

The show will also stream live on WHAM's website, www.wham1180.com.

What’s Important for an Entrepreneur NOT to do.

2009-02-26T06:51:00.002-05:00

Often, entrepreneurs are so over-functioning that they feel the need to stick their nose in everything. It makes them feel good but is not necessarily what’s best for the company or its employees. They think that if their fingerprint is not on every little thing that comes out of the company, they are not being a good business owner.

The result is usually that the entrepreneur loses focus, becomes very fragmented and moves away from using his/her core strengths.

What’s worse is that he stands like a big tree over his employees and creates a shadow over them. And nothing grows well in a shadow. So, he stunts the growth of his biggest assets and therefore the company’s potential is never realized.

My dad’s cousin used to own a hair salon. He would spend about 10 minutes on my dad’s hair and charge him $20. This was with the “cousin discount.” This price used to bother my dad and one day he got the nerve to complain about it.

My dad said, “Fred, for $20 bucks you spend 10 minutes and barely cut anything off!”

Fred’s answer was classic. He said, “Sam, it’s not what I take off, it’s what I leave on.”

Nice answer I thought. And he was right. Fred could have cut my dad’s hair entirely off for the $20 but he would have looked terrible. Instead, he shaped it nicely and my dad had a handsome look!

I have learned to work this lesson in to my own business. I try to not “cut” too much into the responsibilities that belong to the talented people I have hired and work so hard to keep at my company.

It’s not about what I do all the time, it's about what I DON’T do.

It’s important to simply let my employees do their jobs. And they do them well! Especially when I give them the breathing room to do so…

My job is two-fold: To hire people much smarter than me in their respective fields and then get the hell out of their way so they can reach their potential.

It’s a win-win-win. The employee wins, I win and the company wins! Who can argue with that?

So, here’s a message to all those over-functioning entrepreneurs who think they have God standing on their shoulder guiding every move: Get the hell out of the way of your employees’ and company’s potential!

Remember, it’s not always what you do that counts; it’s often what you do NOT do that counts even more.

Facebook. A Roledex on Steriods?

2009-02-04T06:29:00.002-05:00

Are you on Facebook yet? If not, think again. It's not just for college students anymore.

I currently have 321 “really close” Facebook friends. And most of them are above 30 years of age! I have reconnected with a ton of friends from high school, college, post college, plus current friends and business associates. I have even met new friends on Facebook!

A lot of it is just fun stuff; reconnecting through photos, posts and writing on each other’s “walls.”

But there is some real value too. I now have a fair amount of my contacts all in one place and can reach them anytime and anywhere. I don’t even have to remember their email addresses!

It literally is a modern day rolodex. For all of you Gen Y’ers, people born before 1980 used to have this thing called a rolodex. It was a funny card catalogue type of contraption where you handwrote and stored your contact’s name, address and phone number. We would actually put it in alphabetical order and flip instantly in seconds to the person we needed to call! It was a modern marvel in its day…

Facebook is a modern day rolodex; on steroids.

This modern day rolodex actually has more than just names, addresses and phone numbers. It has the person’s profile, religious views, political stance, marital status, favorite music, photos, updates and much more!

I bet that if you were stranded in a city due to a cancelled flight, you could update you Facebook status to let people know and an old friend on Facebook from that city would see your update and let you sleep over. Who knows?

I have to admit it; Facebook is fun and useful. I love connecting with old and new friends on it. Not to taint it, but I have even done business on it. I couldn’t connect with a business contact through phone or email, so I “Facebooked” him.

You know what? He responded. Maybe there is such a thing as Facebook guilt?

Entrepreneurial Manic Depression

2009-01-11T12:30:00.000-05:00

I just read a post on the Tim Ferris blog by a friend of mine, Cameron Herold, former COO of 800-Got-Junk. It's one of the best descriptions I've ever read about the roller coaster ride journey of most entrepeneurs. He actually found a pattern for us crazies...

Here is his worthy attempt:

* Stage 1: The first stage of the concept is called “Uninformed Optimism”. At this stage on a rollercoaster, just getting to the top of the rollercoaster, you experience feelings of an adrenalin rush, characterized by excitement and nervous energy.

* Stage 2: The second stage is called “Informed Pessimism”. As you ride over the top of the curve you now have a bit more information. Feelings of fear, nervousness, and frustration begin to set in. Perhaps you even want to get off of it.

* Stage 3 – The third stage is called “Crisis of Meaning”. You’re past scared. You feel despair. It’s as if you’re standing on the edge of a cliff ready to jump, and you begin to think “Today the rollercoaster’s going off the bottom of the track for the very first time.” You feel helpless and you’re both terrified and frozen.

* At this point, you face a critical juncture. You can come off the bottom of the curve and crash and burn, which is when your business goes bankrupt, you lose your marriage, you start drinking, or you end up in a doctor’s office because of stress. Or you can come around the corner because you’re getting support at “Crisis of Meaning” and you can enter an upward swing call “Informed Optimism”.

* Stage 4 – Informed Optimism. You’re calm. You’re informed. You might even say you are cautiously optimistic.

And there are other insightful comments in the post too, like:

Marc Andreessen, co-founder of Netscape, once wrote:

“First and foremost, a start-up puts you on an emotional rollercoaster unlike anything you have ever experienced. You flip rapidly from day-to-day – one where you are euphorically convinced you are going to own the world, to a day in which doom seems only weeks away and you feel completely ruined, and back again. Over and over and over. And I’m talking about what happens to stable entrepreneurs. There is so much uncertainty and so much risk around practically everything you are doing. The level of stress that you’re under generally will magnify things incredible highs and unbelievable lows at whiplash speed and huge magnitude. Sound like fun?”

To read the full post, go to:

http://www.fourhourworkweek.com/blog and search for Cameron. Click on the title 'Harnessing Entrepreneurial Manic-Depression: Making the Rollercoaster Work for You."

You can also try here:

http://www.fourhourworkweek.com/blog/2008/10/03/harnessing-entrepreneurial-manic-depression-making-the-rollercoaster-work-for-you/

Learn more about Cameron at:

http://www.backpocketcoo.com/

Enjoy!!!

Real Resolutions = Steady Progress

2009-01-06T07:09:00.002-05:00

As an entrepreneur, I am always setting goals. Some of them are created when I am wearing my rose colored glasses and I later have to admit that the goal was unrealistic.

Other goals end up in disappointment because, although I made progress towards it, I didn’t reach it. So I would give up.

Some I actually make and I celebrate!

In my quest for goal making, I think I have discovered the key to never being disappointed – measure progress, not the end result. It could be slow progress but at least celebrate some forward movement.

Here’s an example, some of you may have read in September that I committed to losing weight. I even spelled out my plan of eating and exercise. My weight was 203 and I wanted to be 180 by January 1st, 2009.

Well, I didn’t make it. So should I be sad? Guess what? I am not. You know why? I am 190! I lost 13 pounds and am pumped!

So there are two things to celebrate: 1) I didn’t gain anymore weight 2) I lost 13 pounds! I feel more energetic and I’ll bet my cholesterol went down. I still want to get to 180 and I will. But I’ll enjoy the rest of the journey instead of giving up because I didn’t make my goal, which was probably over-ambitious anyway.

Slow, steady, consistent progress is the way baby…

Remember the story of the hare and the tortoise?

Speaking of books, I had set another goal that I was going to read 100 books by 2009. I also promised to report to you what books I read and let you know my thoughts about them. I am counting books that I read the old fashioned way and also audio books. I figure that if the information gets in my head one way or another, it counts!

So two things - I have altered the goal. I changed it to 100 books by the end of 2010 (I took my rose colored glasses off and reset the goal). And, below are the books I have read.

1) The Knack: By Norm Brodsky and Bo Burlingham. I reported on this book on an earlier post and I highly recommended it.
2) YOU: The Owner's Manual: An Insider's Guide to the Body that Will Make You Healthier and Younger: Michael F. Roizen, Mehmet Oz. This book is awesome. I really enjoyed it because it gave dozens of incredible tips of things I could easily change in my life to be more healthy. I have implemented many of them and some of the tips are responsible for my weight loss.
3) Truman: by David McCullough. One of the best books I have ever read. Truman was an amazing man who never veered from his principles. His story is quite the inspiration and lesson of how to live an honorable life. Plus McCullough tells a story like few others could. He wrote “1776” which I read last year and I plan to read more of his books.
4) The 21 Irrefutable Laws of Leadership: By Dr. John C. Maxwell. This was an audio book that I listened to a few years ago and just re-listened to last month. This book is the must for any leader that wants to continue leading and growing. Maxwell, while a very religious man, did not make this book overly spiritual, but rather more business based mixed with some good humor.

I am currently re-reading Victor Frankl’s “Mans Search for Meaning,” and also listening in my car to Stephen Covey’s “Principle Centered Leadership.”

I’ll report back soon on these!

Happy goals and remember, slow steady progress makes for long lasting habits and RESULTS!

Business with Integrity, Bernie Madoff vs. Arkadi Kuhlman

2008-12-22T05:32:00.003-05:00

After the scandals at Enron, WorldCom, Tyco and Adelphi Cable, I was hoping business leaders couldn’t stoop any lower. And, I was wrong.

Bernie Madoff has certainly taken the cake. And that cake cost $50 Billion Dollars. That’s a lot of cake! Think of one million. Then times that by one hundred. Then times that by 10. Then times that by fifty! And then by infinity!!!

At what point did he say to himself…..”Wow, this is getting out of control…” Maybe at 10 billion? Sounds like no.

I am not sure how people get to this point? I am guessing that most don’t start out that way. My guess is that Bernie probably started out a hard working guy with principals and integrity. But then something happened. Maybe he left integrity once and got away with it. Nobody noticed. Then he went for a little more, and a little more. Before he knew it, he started feeling comfortable out of integrity and became numb to the things that would make most people feel uncomfortable.

However, instead of dwelling on a scandal, I am going to tout the coolness of one of my new favorite business leaders - Arkadi Kuhlman.

He is the CEO of ING Direct. If you haven’t heard of it, check it out and find out why they are signing up 100,000 customers per month.

Besides being massively cool (he rides a Harley to work), he has founded an online bank with no fees, an awesome interest rate (2.75% on checking currently!), and the best mojo around.

This guy seems like the real thing and I have high hopes for him.

Arkadi recently irked many retailers and credit card companies by taking out an ad campaign urging people NOT to spend their money this season but rather save it. He wants Americans to get back their original old fashion values of saving responsibly. Wow, imagine that…

This guy has so much integrity that he actually turns customers away. If a customer doesn’t have the ING Direct values of financial responsibly, he will get fired. The customer gets fired!

Imagine that…. Having the courage to stand up for your integrity in the face of losing business. I am sure a business is much better off anyway when it can deal with customers that share its values; as long as the values are good!

So Bernie Madoff, shame on you for walking away from integrity and never returning.

Arkadi Kuhlman, hats off for being an example of what business leaders should be. Please don’t change?

For a cool video of Arkadi talking about saving go to:

http://home.ingdirect.com/about/about.asp

Santa Claus, St. Nick and Kris Kringle

2008-12-10T06:19:00.003-05:00

Ok, this has nothing to do with being an entrepreneur but I've often wondered why Santa Claus is also called St. Nicholas AND Kris Kringle. I have investigated...

St. Nicholas was a Bishop who lived in the fourth century AD in a place called Myra in Asia Minor (now called Turkey). He was a very rich man because his parents died when he was young and left him a lot of money. He was also a very kind man and had a reputation for helping the poor and giving secret gifts to people who needed it.

The most famous story about St. Nicholas tells how the custom of hanging up stockings to get presents in first started! It goes like this...

There was a poor man who had three daughters. He was so poor, he did not have enough money for a dowry, so his daughters couldn't get married. One night, Nicholas secretly dropped a bag of gold down the chimney and into the house. The bag fell into a stocking that had been hung by the fire to dry! This was repeated later with the second daughter. Finally, determined to discover the person who had given him the money, the father secretly hid by the fire every evening until he caught Nicholas dropping in a bag of gold. Nicholas begged the man to not tell anyone what he had done, because he did not want to bring attention to himself. But soon the news got out and when anyone received a secret gift, it was thought that maybe it was from Nicholas.

Because of his kindness Nicholas was made a Saint. St. Nicholas is not only the saint of children but also of sailors! One story tells of him helping some sailors that were caught in a dreadful storm off the coast of Turkey. The storm was raging around them and all the men were terrified that their ship would sink beneath the giant waves. They prayed to St. Nicholas to help them. Suddenly, he was standing on the deck before them. He ordered the sea to be calm, the storm died away, and they were able to sail their ship safely to port.

St. Nicholas was exiled from Myra and later put in prison during the persecution by the Emperor Diocletian. No one is really knows when he died, but it was on 6th December in either 345 or 352 AD. In 1807, his bones were stolen from Turkey by some Italian merchant sailors. The bones are now kept in the Church named after him in the Italian port of Bari. On St. Nicholas feast day (6th December), the sailors of Bari still carry his statue from the Cathedral out to sea, so that he can bless the waters and so give them safe voyages throughout the year.

How did St. Nicholas Became Santa Claus?

In the 16th Century in Europe, the stories and traditions about St. Nicholas became very unpopular.

But someone had to deliver presents to children at Christmas, so in the U.K., he became 'Father Christmas', a character from old childrens stories; in France, he was then known as 'Père Nöel'; in Germany, the Christ Child or 'Christ Kind. In the early U.S.A. his name was 'Kris Kringle'. Later, Dutch settlers in the USA took the old stories of St. Nicholas with them and Kris Kringle became 'Sinterklass' or as we now say 'Santa Claus'!

Many countries, especially ones in Europe, celebrate St. Nicholas Day on 6th December.

St. Nicholas became popular again in the Victorian era when writers, poets and artists rediscovered the old stories. In the new stories and pictures about him, his Bishops robes soon became the hat and coat that he wears today.

So, there you have it! Now you can sleep at night...

Merry Christmas!

Interview with an Entrepreneur

2008-12-02T16:46:00.001-05:00

At The Next Step Magazine, I get to interview some cool people. Here is a recent interview I did with Paychex founder, Tom Golisano that shares some advice for young people thinking about getting into business.

Who: Tom Golisano, founder of Paychex
What he’s done: Golisano founded Paychex, which provides payroll and human resource services to small businesses. He ran for New York state governor, and he owns the Buffalo Sabres hockey team.

Next Step Magazine: Why did you decide to become an entrepreneur?
Tom Golisano: One, I thought I was capable of running my own business. I thought I could do it better than a lot of other people.

Second, I thought it was a much more secure situation than working for a large company. You work for a large company, and you could do a really good job, and your boss could do a lousy job, and you suffer the negatives of that.

Plus, the other thing about having your own business versus working for somebody is you can sell your business or you can pass it on to an heir. You can’t do that with a job. Or if you become physically or mentally disabled, you’re probably better off owning the business than working for somebody. So in many ways, it’s much more of a secure situation.

NSM: What are some traits of successful people?
Golisano: They look for people that have a problem or an issue, and a way to solve it and make money at the same time. That’s what entrepreneurs are: problem solvers.

NSM: What advice would you give to teens looking to pursue a career as an entrepreneur?
Golisano: Get a good foundation academically. Be an accountant. You’ve got to be able to read and understand financial stats. Get a good understanding of the world of sales and marketing. And I hesitate to say this, but sooner or later you’re going to need a lawyer. So find a decent one, one that knows what they’re doing and will charge you reasonable rates.

Most successful entrepreneurs come out of an industry that they’re in, and find a better way to do something within that industry. I think you have a far better chance of being successful if you are in an industry you know something about and have some experience in.

NSM: What are the pros and cons of owning your own business?
Golisano: For the pros, it’s probably the obvious: self-destiny, unlimited earnings, tremendous satisfaction and gratification that comes with doing it successfully.

The cons are you could lose perspective on your family, you work too hard and you run the risk of not being successful. You also run the risk of having a financial disaster, and that’s definitely a negative. It’s a little bit of a high-stakes game. Do I think it’s worth it? If you’ve got a good idea and you’ve got the gumption and the perseverance to make it work, go for it.

The Future of Print Media

2008-11-29T14:04:00.001-05:00

The world is changing because of the Internet. The businesses that will make the cut will adapt or die quickly. Print media is one of the most affected. Being a magazine founder, I really need to be on top of what a magazine is today. Is it just a printed medium?

Rupert Murdoch says it all in this speech captured below....

http://www.news.com.au/heraldsun/story/0,21985,24652174-664,00.html

Book Report - The Knack

2008-11-19T06:35:00.000-05:00

I have challenged myself to read 50 books by the end of 2010. That's about two books a month between now and then. I am counting books on tape (or iPod while I work out).

This willl benefit you because I will share my thoguhts about each book with you!

The first book on my journey was The Knack, How Street-Smart Entrepreneurs Learn to Handle Whatever Comes Up by Norm Brodsky and Bo Burlingham. I read the hard copy on a plane in about two hours. It's hard to put down!

I have been in business for almost 14 years and still learned a ton. It's a very practical, grassroots learning tool. Brodsky shares his real-world experiences to help entrepreneurs think differently. He went bankrupt in the 1980's and learned a ton about what to do, and what not to do. Norms writes that you can either learn from your own experiences, or his!

Save some time and learn from his.

The Knack should be taught as a course in every business college. Instead of academia, it's the real thing, based on a real entrepeneur's experience.

On a scale of 1-10, (1 being "use to start a fire" and 10 being "a "MUST READ"), I give The Knack a 10. It's very informative and a fun read. Burlingham really works well with Norm to extract his experienes and own writings into compelling learning experience stories.

How Great Leaders Thrive in Tough Times

2008-11-17T06:07:00.000-05:00

Chester Arthur, who served as President of the United States from 1881 to 1885, will never be regarded as one our great leaders. In fact, many Americans would be hard pressed to identify him as one of our presidents.

Arthur, who served after President Garfield was assassinated, may well have possessed the basic qualities of a great leader. But the time of his presidency was fairly stable, so he was never called upon to step up.

Tough times, on the other hand, are when great leaders show their stuff. If you look at many of the famous leaders throughout history, you'll notice they became famous because they navigated through seemingly impossible times. They held the flashlight at the end of the tunnel.

Legendary leaders such as Abraham Lincoln, Susan B. Anthony, Franklin Delano Roosevelt and, more recently, Rudy Giuliani come to mind. All were faced with incredibly complex or catastrophic situations. Instead of cowering in indecision, they reacted boldly and aggressively. They threw conventional wisdom out the window and developed their own playbooks on the spot.

So what does this have to do with entrepreneurs? In short, it's time to step up as leaders of your enterprises. Extremely difficult economic times are here and may be here to stay. You're time to shine is here.

So what is a business leader to do? The reflexive action is to take a hatchet to the budget, impose layoffs and halt all plans for growth. These steps are relatively easy to take, so leadership skills rarely come into play. And often, they are exactly the wrong things to do.

But great leaders know that only dead fish swim with the current. So they work harder to get through trying times, searching for more creative solutions and inspiring their coworkers to stay engaged. They also take some time to pause and think because they know they shouldn't react impusively. Only then do they act.
So how am I trying to live up to this leadership ideal? After pausing to think, I'm taking the following steps:

1) I asked my coworkers to help me look at our expenses and figure out where we can cut. Engaging the staff in this process is crucial. They need to understand that it's a time for sacrifice, and they'll be happy to be part of the process if you let them.

2) I'm looking for new opportunities that arise from the economic problems we're facing—new trends or market needs that will rise up because of the hard times.
3) I'm enhancing customer service to make sure the people who already love what we do don't slip away. It might be hard to find a lot of new business during a recession, so we need to work even harder to convince our current customers to sit tight?

4) I'm doing more marketing, not less. Many companies reflexively shut off their advertising efforts during tough times. I'd rather shut off the water supply than my marketing. With fewer customers in the market, we need to fight even harder for those that remain! Plus, if my competitors stop advertising, I'll get more bang for my buck in the ad market. And if the market is less cluttered, our marketing efforts stand a better chance of getting noticed.

Bottom line: Don't be depressed about the tough times ahead. Get excited and view it as an opportunity to test your skills as a great leader!

Chester Arthur would have relished the opportunity.

Blog issues...

2008-11-12T06:32:00.004-05:00

There have been some problems with the blogging software we use and they have not been sending out (if you are a subscriber).

So, you may have missed a blog entry or two...

But don't fret, click below to see what you missed!
And thanks to Next Step superstar Shelly Stuart for recognizing and fixing the problem!

http://www.nextstepmag.com/dave

Interview with an entrepeneur

2008-11-11T05:43:00.001-05:00

At The Next Step Magazine, I get to interview some cool people. Here is a recent interview I did that shares some advice for young people thinkinging about getting into business.

Who: Norm Brodsky, entrepreneur
What he’s done: Norm Brodsky is a veteran entrepreneur whose six businesses include a three-time “Inc. 500” company. He shares advice as a regular Inc. magazine contributor and is CEO of CitiStorage Inc. in Brooklyn, N.Y., an independent records-storage business. He has also partnered with Bo Burlingham and written a book called The Knack. I read it and it's awesome! Buy it at Amazon.com.
How to learn more: Read Norm’s column in Inc., or go to www.inc.com/magazine/columns/streetsmarts/index.html

NSM: What caused you to start your own business in the first place?
Norm Brodsky: I think that goes back to when I was in high school. My friends and I grew up in a lower-middle class family, and there was a consensus that we were all going to be rich.

NSM: What are the benefits of being an entrepreneur, and what are the downsides?
NB: Benefits are numerous: from being independent; setting your own standards, pace, hours; and of course, having the ability to earn a lot of money. A lot of those benefits are also downsides. When you work for someone else, you leave at 5 o’clock. When you’re an entrepreneur, you always take your work home.

It can be a very stressful life at times, and it’s not always as glamorous as it looks. Most people don’t understand, or care, what you’re going through.

NSM: What are the traits that you see in successful entrepreneurs?
NB: The trait of not quitting, ever. You can never give up as an entrepreneur. If their first business goes under, they start another one. If their seventh business goes under, they start another one, and so on.

Also, I see a lot of people that had tough times growing up be successful entrepreneurs. They have a trait of survival. I had to declare bankruptcy on one my first businesses, and it was a miserable experience at the time. But I learned from my mistakes and vowed not to repeat them in the future.

Another trait I see is not listening to the masses when they say something can’t be done. Successful entrepreneurs have the perseverance to see their idea through when others say it can’t be done. They never listen to the naysayer.

NSM: How can young entrepreneurs gain respect and be taken seriously?
NB: People like to be around successful people, whether they’re young or not. So to have an air of success is a very good thing, even if you haven’t “made it” yet. Additionally, people respect people who help in their community with charity, boards and things like that. Be seen at charitable events, and take an active interest in helping your community.

People will admire your confidence as long as it doesn’t cross the line of being a bragger. You can temper your bravado with the charity work and show people that you really care.

NSM: What advice do you have for a teen in high school who is thinking about starting a business?
NB: Develop your contacts. Every time a person asks you to do a favor and you can do it, just do it. What will happen is that you’ll develop a network of people that can help you later in life when and if you need them. The more you put in now, the more you’ll get out later.

Next Step has 2020 Vision!

2008-11-05T01:31:00.001-05:00

Last year, I met Ari Weinzweig, co-founder of the famous Zingerman’s Community of Businesses in Ann Arbor, MI. Ari and his partner Paul Saginaw have built many thriving businesses, all around common themes, including food and culture.

I asked Ari how they went from being just a small deli to creating a thriving community of businesses. He said it was all because of their vision. He and Paul, at a crossroads of whether to expand the deli nationwide or not, opted to grow within Ann Arbor instead and create a community of related and exceptional businesses.

The mission was to create a vision that described the company in 20 years. They did that and actually finished their vision years ahead of schedule.

Ari told me that the important thing to remember is that the vision is not how to get there but what it looks like. It’s a destination of where you want to be.

So, I came back to Rochester and started the first draft of Next Step’s 2020 vision. It’s for the year 2020 but also ties in nicely to having great vision! I asked my managers to dig into it next and then the rest of our coworkers. It’s been a collaborative effort that began more than six months ago.

The goals are simple:

1. It is inspiring? Does it excite and motivate?
2. It is strategically sound. Is it challenging but attainable?
3. It is well documented? Is the vision written well, handed out to the team and reviewed frequently?
4. Is it communicated effectively? Are we clearly and regularly communicating the vision to coworkers, customers and to the community at large in both direct and indirect ways?

The Next Step 2020 Vision is finally complete and I am very passionate about it! It’s very bold, yet very doable. If you’d like to take a look at it, e-mail me at David@nextSTEPmag.com.

I hope it inspires you to think about your own vision. It could be about your company or your life.

Engaging Budget Cuts

2008-10-16T06:08:00.000-04:00

I am not sure if you noticed but budgets are getting cut. Next Step Magazine gets most of our revenue from colleges, student loan companies and the military advertising. We have already seen the student loan companies disappear due to the liquidity crisis. As the recession deepens, we need to be prepared to feel the pain from other advertiser cuts as well.

So far, we’re hanging in there quite well. But often, it only takes a bad few months to reverse a small business’s success. So what is a maverick small business guy to do? (Ok, sorry, I just wanted to say maverick. Sometimes I feel so mavericky! Go to:
http://www.nbc.com/Saturday_Night_Live/video/clips/vp-debate-open-palin-biden/727421/ for more on being mavericky).

Anyway, what is the first thing a small business can do when facing a looming economic crisis. Obviously, cut the budget. The last thing you want to do it cut payroll and derail the moral of your coworkers. The first thing you want to do is to engage them in the process.

That’s what we did yesterday. We held a non-mandatory budget cut meeting. Since Next Step has an open book management philosophy, everyone knows every line item in the budget anyway. So about half the staff showed up to the meeting and offered their thoughts on what we can cut.

They shared great ideas and seemed to feel excited to be part of the process. They thought of things that I hadn’t. Their ideas ranged from postponing new computer purchases to having the staff volunteer to bake birthday cakes instead of the company buying them.

My role was to shut up and listen. Of course, that was not entirely possible but I think I did quite well!

Bottom line, I bet their suggestions will save us around $50,000 a year. That’s helps a lot! And it also helped that the staff was involved. Nobody likes heavy, top down decisions without being able to give feedback. Granted you can’t always implement every piece of feedback received, but the environment you will create by sincerely allowing feedback will be a cornerstone to a thriving workplace culture.

Eyes on the Future

2008-10-13T06:10:00.001-04:00

I went to the Rochester business pep rally called "Eyes on the Future" Friday morning and felt jazzed. Even though the Rochester and New York State economies are in the crapper, I left feeling hope. I always say that for a city our size, we do amazing things. And the thing I felt good about was the people that were there. We have some top notch people and leaders in our community. Kudos to Tom Ioele for putting the event together.

I feel confort knowing that Dennis Mullen, former head of Greater Rochester Enterprise is now the upstate president of the Empire State Development Corp. I am also grateful that we have a sensible County Execetive in Maggie Brooks who gets along with our Mayor, Bob Duffy. I have great respect for both.

And last but not least, it's been fulfilling to watch Governor Paterson become a leader. The role of Governor was thrust upon him and like Abraham Lincoln did, he is evolving into a leader for our times. I strongly disagree with his SUNY cuts but at least he is not hiding his head in the sand and seems to battling our state's finanacial crisis head on.

So, while I watch the news and stock market, I feel like we are approaching times of doom and gloom. The "Eyes on the Future" event was just the shot in the arm I needed to be reminded that at the end of the day, it all about people and great leaders getting us back on track.

We have them here in Rochester. Everything will be all right.

Bocce Ball and Business

2008-10-07T05:38:00.003-04:00

What do bocce ball and business have in common?

Not much. And that was the point of the staff at Next Step Magazine playing last month. My co-workers worked hard over the summer to get our back to school issue off the ground while also kicking off the new school year. It was time to have fun!

So we used the professional course at Nazareth College's Casa Italiana and had a bocce ball tournament. We had some great Italian food for lunch and of course, had cannoli for dessert. We even polished a few bottles of wine!

It was a great day. The weather was perfect and the bocce playing was superb.
Team Diana Fisher/Chris Roberts won the tournament and each took home some Italian liquor!

The point was to have a work day that was nothing about work. Just fun. We deserved it!

What does your company do for fun?

Making the Most of a Trade Show

2008-09-30T05:49:00.003-04:00

Have you ever been an attendee at a conference and gone to the exhibit area? You know, where all those trade show booths are and the vendors are standing behind them, ready to espouse their company's benefits to you?

I have been to many; and have been on both sides. I have been an attendee many times and even more so, a vendor.

What baffles me is that when I am an attendee and walk the exhibit booth isles, I see much aloofness. Many of the vendors don’t even look up because they are talking to their co-worker, checking their Blackberry and/or gazing deeply into their laptop monitor.

I am quite sure that this is not what their boss envisioned when he/she paid thousands of dollars for the company to be there.

What do these vendors expect? That potential customer will make a bee-line for their booth? Good luck with that....

No, an exhibit hall vendor must be very proactive in getting the attention of all the prospects walking by. Odd are, they don’t know much about your company and if you give a smile and good morning, they will do the same to you. Then a simple, "Have you heard of what our company can do for you?" will probably buy you at least a minute to reel them in a bit more.

The sales staff at Next Step Magazine and I were just in Seattle for a NACAC (National Association for College Admission Counseling) conference of college admissions and school counselor professionals. There were literally thousands of people there.

I have to say, I was very proud of my co-workers. We worked it hard. Nobody got by our booth without a hello and a smile. Hey, sometimes we were ignored but most of the time people would stop by and chat for a while. Then we were able to see how Next Step could help them with their job. We sucked the juice out of that conference and made hundreds of great new contacts. Plus connected with some old ones too!

I walked around a bit to see what the other exhibitors were up to. It never fails to amaze me, but most of the exhibitors barely looked up as I walked past them. I blame them for laziness but also their boss for not being clear about the expectations of a trade show.

Here are some good trade show tips that I found to get the most out a trade show:

Don't sit - The tradeshow environment is a tough one. I know that. By the end of the day your entire body feels weak and numbed. I also know that the next day you’d rather have your legs amputated than stand on them, but buck up! When you’re sitting, you look lazy and less approachable. In that state, lead-generating opportunities will pass you by like grandma getting passed on the highway.

Talking with other booth staff - Remember, this is not the break room and you’re not at the show to talk with “Joe." Save the conversation for the hotel later. Otherwise, if you’re in the middle of chumming it up, show attendees will not even try to interrupt your conversation to ask for information. The same goes for the cell phone as well; if you need to take a call, excuse yourself from the booth.

80/20 - Remember the 80/20 rule – listen 80% of the time and talk 20%. Many people, when put in the show situation, tend to “throw-up” on the attendees. You’ve seen it, I’ve done it. It’s just wrong. For example, the attendee asks a question, “Does your product do this?” Then you reply, “The product does this and that and my company was founded in 1912 by a farmer and a goose. I started working with the company when Carter was president. Boy, it was a hot summer.” You did nothing but point out that you’re uncomfortable being there. Listen to the customer. Process what they want to know, then respond with pertinent information. Wait, then ask if your response adequately answered their question. If you’re nervous, take a breath or two before speaking. You’ll be glad you did.

Train your trade show team - Trade shows are unlike other sales environments. Limited time and attention of attendees requires quick qualifying, and lead generating tactics. Make sure your staff is prepared and has a clear goal for each day.

Call them while they're hot - Sales staff frequently make the mistake of contacting trade show leads, months after the show. Make sure your sales staff has extra time and incentive to follow-up with all leads within weeks of your trade show exhibit.

Booth Love - Effectively utilize display accessories, banners, graphics, lighting, booth design, and materials to heighten visibility and drive sales.

The bottom line - For a successful trade show, make sure you are as approachable and professional as possible. Remember that at any given moment, you will be on center stage. The customer is looking at your booth and asking themselves, “Do I need what they have?” Then they’ll look at you and decide, “Do I want to work with them?” That is not a good time to pick your nose.

You only get one chance to make a first impression. At a trade show, you are making that impression on someone at every moment. How will you and your company be remembered?

Woodstock for Entrepreneurs

2008-09-22T05:52:00.002-04:00

I just went to the Inc. 5000 Conference in Washington, D.C. and it was an amazing experience! It was loaded with A+ speakers; most of whom have the top business books out today. I even got to have dinner with Ari Weinzweig, co-founder of Zingerman's Deli and Zingerman's Community of Businesses. He is a business mentor of mine and has become a friend. I love his personality, business model and willingness to share his brain!

I ran into Joe Mansueto, who owns Inc. Magazine and told him how incredible the conference was. He said they were trying to create an experience that could be described as Woodstock for Entrepreneurs. I think they did it! And they didn't even need all the drugs. The speakers were the drugs!

Motivaitonal conferences are great for many reasons. You get pumped up, you meet incredible people and of course to learn many things.

Below are some of the people that gave presentations. I suggest you read their books and/or check out their Web sites...

Jim Collins, author of Good to Great. www.jimcollins.com

Norm Brodsky, co-author of a new book called The Knack. http://www.inc.com/magazine/columns/streetsmarts/

Bo Burlingham, author of Small Giants, co-author of The Knack, editor at large of Inc. Magazine, more... www.smallgiantsbook.com

Seth Godin, author of numrous books including Purple Cow, Permission Marketing. www.sethgodin.com

Keith McFarland, author of The Breakthrough Company, www.breakthroughcompany.com

Ari Weinzweig, co-founder and CEO of Zingerman's Commununity of Businesses. www.zingermans.com

There were many more amazing speakers. For a complete list, go to:
www.inc500conference.com

Mr. Obama, If You Want My Vote ...

2008-09-15T10:29:00.000-04:00

This is the most exciting presidential campaign I can remember in my 39 years. The possibility of having an African-American man for President or a woman for Vice President speaks volumes for our great country. The USA is still truly the land of opportunity.

Both candidates came from modest means and are now poised to run our country. I think the Founding Fathers would be proud.

I consider myself an independent (I voted for Bush and I also voted for Spitzer. Ooops!). Call me a liberal Republican or a conservative Democrat, I have always voted for the person, not the party. I agree with the Democrats that we should have heart and help people in need. Obviously, I am also a big fan of education. I am on the side of Republicans when it comes to the people making things happen -- not the big government.

Until about a month ago, I was seriously vacillating about whom to vote for. I feel as though Obama and McCain are both good men of integrity and values. I'd have a beer with both of them! This is refreshing because four years ago, I wasn't jazzed about either candidate. Kerry put me to sleep, and I wanted to give Bush grammar lessons. Flippant response I know, but it concisely sums up my feeling towards the two men.

Obama and McCain also both have impressive stories. Obama's rise from nowhere illustrates that the American Dream is still alive. McCain's impressive record serving America in war, politics, and as a POW makes him a true American hero in my book. I think they both have good intentions for America and good hearts.

But as a small business owner, Obama just lost my vote. His tax plan is an assault on all S Corporations and sole proprietorships (most small businesses have one of these structures). His plan to raise taxes on households making more than $250,000 will increase taxes on most small-business profits in America. This is money that could be reinvested for company growth or raises.

To understand my point, you have to understand how an S corporation works. If an S corporation makes a profit of $300,000, the owner gets taxed on $300,000 regardless of whether the owner takes all of that money out of the company. So let's say the profits were $300,000, and I only take $100,000 out of the company this year. I still get taxed on $300,000! Even though it looks like I personally made some major dough this year, that's only one-third true.

Currently S corporations face a top tax rate of 35 percent. Under Obama's plan, the rate would increase to almost 40 percent. And it might not stop there. Many Democrats in Congress have proposed making all small businesses pay a 50-plus percent tax rate. This would kill the entrepreneurial spirit in America, in my opinion.

I realize that I am choosing to look through the lens of small business to make my point. That’s because it affects me personally (actually, everyone because of the damage it can do to the economy - can it get any worse?). I also realize that there are many more issues to look at, like the world liking us again (Obama wins here), national security (McCain), the economy (tough one since neither one has had to personally worry about payroll) and many more.

But I chose the lens of small businesses because we are one of the last unique competitive advantages America has. We are currently the back-bone of America. Take us out, and there goes the rest of what's left of our economy.

I worked very hard starting my business and consider the opportunity for me to do so, a part of the American dream. It wasn't handed to me. I came from modest middle class means and I have worked hard to create my success. My company, Next Step Publishing, now supports many families with a decent sized payroll.

I think it's a mistake to blame "the rich" because often it's not a rich person; it's just a small business owner trying hard to make a go of it and support some families and communities along the way. We don't need another wrench thrown on our spokes.

My business may lose $8K to $12K next year over Obama’s plan. This is not a huge amount and is not really going to impact my lifestyle or my decisions. But multiply me by 25 million small business owners in American and now you’re not talking chump change. So now it becomes over principle. Would that money be better going to government or staying in the hands of small business owners who will reinvest it in the economy somehow. And couldn’t we find this savings elsewhere? Perhaps with cutting pork and unnecessary earmarks?

Mr. Obama, tear down this tax hike. (Then, I'll consider voting for you.)

Dave's New Weight Loss Plan

2008-09-08T05:42:00.003-04:00

Great entrepreneurship begins with a healthy body. Today, it all starts for me.

Everyone who knows me is chuckling right now because they have heard me declare my intentions to lose weight and get really healthy for years now. It usually happens on Mondays (wait, today is Monday!). I have had many different plans (schemes) to get healthy and lose weight and unfortunately my family and the patient folks at Next Step Magazine have had to endure my talking of these plans that go nowhere.

One of my favorite plans is when I went to Wegmans one day and bought a ton of different frozen vegetable combinations. I put them in the freezer at work and was going to defrost one a day for lunch. Sounds like a healthy lunch, right?

Well that was three years ago. Anyone for some frozen brussel sprouts? I think I may still have some….

Anyway, I am ready to start anew and have created a realistic plan (I hope) to conquer my health goals. This time I am serious. STOP THE INSANITY!

It’s not that I am massively overweight. If I lost 20 pounds, that would do the trick. I would be in the “zone.” My cholesterol would go down to a healthy level (so my doctor tells me) and I would have the energy I need to run a small business while raising a young family.

I figured I would create a vision of what it looks like when I have reached success. Then I thought I should create a strategic plan on how I’ll actually get there. To make me more accountable, I have posted the plan below. If you see me cheating, please whack me on the side of the head as hard as you can. The toughest part of this plan for me is giving up the glass of red wine with dinner every night. This has been a staple for me for years. Do they make a patch for this?

Anyway, here is the plan. If you have any suggestions, please feel free get in touch at David@nextstepmag.com.

Dave’s weight loss plan

Vision:
I am fit, trim and feeling massively energetic. My blood pressure and cholesterol are at healthy levels and I weigh 180 pounds or less.

Current:
9/8/08 = 203 pounds

Goals:
10/1 = 195
11/1 = 190
12/1 = 185
1/1/09 = 180

Strategic Plan

Exercise:
One hour a day, six days a week. Work-out video/treadmill/elliptical.

Breakfast choices:
Oatmeal
Wheat toast – dry
Egg whites
Fruit

Lunch choices:
Salad
Fish (baked or grilled)
Sandwich – wheat bread, low fat protein, no cheese
Fruit

Dinners:
Cut down on pasta serving size
Low fat proteins
Salad
WATCH PORTIONS

Other:
• 10am and 3pm snacks – almonds/walnuts, ½ Clif Bar
• No eating after 7pm
• No desserts
• No wine with dinner every night. (This saves 100 calories per night. 700 per week!)

Inc. 5000 Company!

2008-09-05T08:25:00.001-04:00

For the second year in a row, Next Step Publishing has been named an Inc. Magazine 5000 company! That means were one of the 5000 fastest growing private companies in the U.S.

I am proud to be on this list and give the credit to our employees who take their responsibility very seriously. They each take ownership of playing their role in helping students with their future.

Our customers and readers also deserve credit for without their support, we would not be around to celebrate!

One Month Vacation

2008-08-27T06:02:00.001-04:00

That’s right. I just got back from a one month vacation in Sicily.

You may ask how I did this. Isn’t hard to own a company and take time off? Don’t you worry about everything going to heck while you’re away?

Not for me.

Why? One thing. An awesome team.

The talent, skill, intelligence and commitment of the staff at Next Step are so strong that I didn’t even flinch about leaving for a month. Their roles are clear, I trust them and they don’t need to be micromanaged anyway.

The results we're clear. We made our summer budget and also our September budget while I was away. They are even throwing me a welcome back lunch tomorrow! God, I love them….. And am very proud.

In “Good to Great,” Jim Collins writes about that one of the signs of a great company is that when the leader leaves, the company stays on track and doesn’t falter. He writes that often leadership styles are based on gregarious, big egos and when this larger than life character leaves, the company’s momentum (and profits) goes down the tubes. So the company looks good for awhile, but not great long-term.

A friend asked me how I felt about the fact that they company did just fine without me. He was implying that my ego may have been bruised because I didn’t feel “needed” anymore.

I actually felt quite the opposite way. I felt smart for hiring such great people that can run the show without a bump in the road for a month. It’s the sign of a good leader when he/she can surround himself/herself and keep A players.

It also woke me up to the fact that I am needed less and less in the day to day details. They team does a great job at these. So this will give me more time to spend growing the company with new ideas and direction.

Geez, maybe next time I’ll take two months off!

FocusBerry

2008-08-19T08:15:00.000-04:00

I hate it when I am talking to someone and they keep on looking down at their Blackberry, iPhone, Treo or whatever gizmo device they are using to be 24/7 connected.

Unless he/she is an on-call doctor, which most business people are not, one does not really need to be disrespectful and look down at their device every three minutes.

I learned this the hard way. I was never one of those people (I hope!) that looked down at my phone every two minutes when I was one on one with someone. But I would check it in larger meetings when I thought nobody was looking or cared.

Wrong.

We had a sales retreat a couple of months ago and while I thought I was 100% present, some of staff members mentioned to me that they felt my focus was elsewhere. I asked where – and I got the answer I dreaded. My phone!

I felt terrible and stopped checking it in meetings immediately.

Jim Rohn, a great business philosopher says, “Wherever you are, be there.” That means if you are in a conversation with one person, 10 people, or more, just say no to your online connection and focus on the conversation at hand.

The people who are talking to you will appreciate it and you’ll be a better person because of it.

Next Step – Open book management!

2008-08-12T09:02:00.000-04:00

Two years ago only three people saw Next Step’s annual budget; me, our CFO and our accountant.

Last year, I opened it up to the whole management team. I wanted their insights and also for them to take ownership of their line-items. It worked well. Everyone took this role seriously and worked hard to make their budgets and/or cut costs.

This made me realize that if you have the right people on the bus, they’ll want to take ownership and make a difference in the budget. So then I started thinking, why not the whole company? If everyone is involved in making budgets and saving money, wouldn’t that be better?

Plus they’d have a better appreciation of what really happens with expenses, revenue and profit.

So I am doing it. Next year, the budget will be open to everyone and most will play a role in managing specific line-items. Jan Resch, Next Step’s VP of Finance suggested to gives bonuses to those who stay within their budget. And even bigger bonuses if they come below a budgeted expense. This will give everyone an incentive to be fiscally responsible. I love that idea and we’re doing that too.

One important thing though. I do not suggest making public everyone’s individual salaries. That could lead to much stress within a company. There is a way show the budget so that people don’t know each others’ salaries.

2008-08-05T14:19:00.000-04:00

How’s the family?

When you meet a successful businessperson, I would look to see if their success extends beyond business. Are they raising their kids? Are they happy? Do they lead an honorable life?

This was some advice given to me by Jay Goltz, a seasoned entrepreneur who founded The Goltz Group, which comprises Artists’ Frame Service, Jayson Home & Garden, and Chicago Art Source (www.jaygoltz.com). He is also the author of a book called “The Street Smart Entrepreneur.” You can check out Jay’s blog at http://blog.inc.com/boss-school/.

I recently met Jay at an Inc. Magazine Small Business Summit in Aspen, CO. I’ve read about his success before and was anxious to pick his brain for some entrepreneurial insights. I think he sensed that I am a lush for entrepreneurial advice and was very willing to chat about his successes and mistakes.

One thing he is very proud of is his successful family. Jay has three kids and a great wife and he puts their success and time spent with them into the formula for his own success. We were talking about all the “successful and famous” business titans covered in today’s media and were wondering what their families are like?

Many times a “successful” business owner will work and travel so much, his kids will grow up without him or his influence. Work is not a place to escape to and declare, “I am doing it for my family!” That statement is a bunch of bull. If you were doing something for your family, you’d be spending time with them.

I have often seen this with my own eyes. A business leader will be in all the right magazines and newspapers and look like he is superman, but then behind the scenes his kids are nowhere near being well-functioning.

Jay encouraged me to throw in “time spent with the kids/family” as part of my formula for success.

I agree completely. Success can not be lopsided. A truly successful entrepreneur will work hard to balance both family and work.

Thanks for the reinforcing advice Jay!

Ethics – A Unique Competitive Advantage?

2008-07-29T08:22:00.000-04:00

Ethics – A Unique Competitive Advantage?
In today’s massively competitive world, small businesses need every advantage we can get. Big businesses (especially public companies) are often focused on short term profits to please shareholders and Wall Street. That also means that they have to take short cuts in order to please their masters.

When one takes short cuts, ethics can become optional. Apparently Wall Street prefers short term profits over long-term results. Usually these tactics will catch up with the schemer(s). And their rear ends are handed to them in proper fashion (think Enron or even the current mortgage crisis).

The pressure for bigger companies to perform turns out to be an advantage for the small business entrepreneur. You see, we can decide to take the high road and act ethical in our decisions. In fact, we must. Often, we don’t have the budgets to absorb a poor decision. Small business entrepreneurs are usually one to two bad decisions from bankruptcy.

I run my business by ethics; not only because of the risk of the opposite, but because it just feels good. When you consistently act with integrity in all business dealings, the word gets around. Customers will want to do business with you and job seekers will want to work for your company. But the most important reason to be ethical (besides the highway to heaven) is internal. By acting ethically, your culture will shine with honesty. You’ll attract moral people and the aura of your highroad nature will guide the company’s decisions.

Once your employees see that you are uncompromising about your ethics, they will fall into place behind you. Believe me, it’s refreshing to see someone who talks the talk AND walks the walk.

But YOU have to set the example. There’s a Sicilian saying that translates to, “A fish rots from the head down,” meaning that if the leader is corrupt, so goes the whole organization.

A few years back, an employee of ours got caught doing some inappropriate things online at work. Other than this behavior, this person was a good employee. It would have been easy overlook this behavior because the good performance otherwise. But I didn’t hesitate in my decision. This person was fired at once.

Of course it was tough because I liked the person and it’s always a pain to hire, retrain, etc…. But I thought to myself, “What kind of message would I be sending to my team if I tolerated this behavior?” I would be telling them that rules and ethics can be bent if job performance is good.

No way. There is no gray area with ethics. The minute you bend the rules, you’ve just opened up your company culture’s Pandora’s Box.

Plus, when you’re ethical, it’s so much easier to sleep at night.

The Big Idea With Donny Deutsch

2008-07-24T07:05:00.001-04:00

If you can watch The Big Idea With Donny Deutsch tonight (7/24) on CNBC at 10PM, you'll hear a familiar voice. Mine! They are doing a show on how entrepreneurs can weather a recession and thanks to my new friend Cameron Herold (http://backpocketcoo.com/), I'll be calling in with a question!

Routine will set you free

2008-07-21T15:18:00.001-04:00

Manic entrepreneurs have a hard time focusing. When we do focus, it’s like a laser beam, until our ADD kicks in and pulls us to something else.

How do I work with my ADD and actually get thing accomplished? It’s all about routine baby. If I have a schedule and a list of things to do, it helps tremendously with focus and productivity.

Here are some tips I’ve learned through experience:

Schedule everything. If it’s important, schedule it. I actually even schedule time with my kids in the morning. If I didn’t, it might not happen in the am. My morning schedule looks like this:

5am – 6am: Read, write, improve my Italian with Rosetta Stone and catch up on some work/e-mails. I usually get to two out of these four.

6am – 7am: Exercise (I eat way too much, so if I didn’t do this, my fingers would be too fat to type this blog entry). Plus it helps with mental focus throughout the day.

7am – 7:30: Have breakfast with wife and kids.

By 8:15-8:30, I am at The Next Step Magazine offices.

This morning schedule really works for me, partly because I don’t leave it to fate; I schedule it!

Other tips include meetings. Have them! Have a weekly meeting with your management staff, reports, sales staff, etc… But make them as quick as possible. One hour max… That’s the meeting attention span of any manic entrepreneur anyway. I find more frequent, but shorter meetings to be very effective.

Another one: Check email only 2-3 times a day. It keeps you away from the email-quicksand. Also, the less you respond, the less emails you’ll get back!

Last but not least, be a list taskmaster. I am actually a list freak. I prioritize the things that I need to do, and I don’t start #2 until I finish #1. Otherwise, I’d be working on 10 things at once and nothing would get done.

Employee Carpooling

2008-07-15T06:48:00.001-04:00

At Next Step Publishing, we have 13 employees. Our office is in the village of Victor but much of the team is from the west side. We're talkin' Greece, Spencerport, Hilton and even Clarkson!

Needless to say, I am honored that they make the drive every day to Next Step. They are talented people that can certainly find jobs elsewhere, but choose to make the haul and contribute to the magic that is Next Step.

It hasn't been easy with the gas prices of late.

Lately, I am very proud of a decision that three of them made. They have decided to carpool! I love the maturity of this decision. Not only are they saving money and fossil fuels, but they are subtlety telling the rich oil mongers to kiss off! Plus from what I hear, there is some bonding happening in the car too.

This is a great example of what America used to be. We would react and sacrifice in times of trouble. For many years now, most Americans have lived in excess without thoughts of the consequences. We'll, the consequences are here my friend and it's time for us to work together and think. This will involve conservation and sacrifice.

Thanks to Jan, Lisa and Diana for the great example!

Bloggin' for Inc. Magazine!

2008-07-02T10:16:00.002-04:00

Yea baby!

The people over at Inc. Magazine liked my blog so much (or was it my dogged/annoying persistence?) that they have chosen my to be a blogger for their site!

So, starting soon, I'll have entries at http://www.inc.com/blogs/ too.

My thanks go out to Bo Burlingham, editor at large at Inc. Magazine. I met Bo last year and we have become friends. He hooked me up the appropriate people there and voila, I'm blogging for Inc. So thanks Bo!

I am really excited. My blog will continue to focus on my experiences as a bootstrapped, grassroots entrepreneur, who has to rely on the creativity, passion and loyalty of a great staff, rather than gobs of investor money.

It’s more fun that way anyway!

Sears - No More in 10 Years

2008-06-22T14:10:00.000-04:00

I predict that Sears will no longer exist in 10 years.

Question - have they updated their stores in the last 25 years? I am guessing no. If I ever feel like having a flashback of my Garanimal/Toughskin years of the 70’s, all I need to do is to take a stroll through their isles.

I can almost hear the theme of The Brady Bunch…Oh no wait, that’s The Partridge Family. Sorry.

Anyway, I say this not only because of the polyester plaid pants memories they induce, but because of their lack of customer service. Have you been there lately? Excuse my French, but it sucks! It almost like they don’t care.

The only time I enter Sears is for their portrait studio. Let me rephrase that – The only time I entered Sears was for their portrait studio. I have small kids, and my wife bought one of those “Super Saver” discount cards. Seemed like a good deal at the time…

I dreaded every time it was Sears photo time. They have one static camera bolted to the ground and the photographer is usually someone whose past photography experience is taking a photo of her friends at a recent high school party. I am willing to bet their employment ads say “No Experience Necessary.”

My kids were always a nightmare at the photo shoot because they wouldn’t sit still for their huge, non-moving camera. Ok, you could say this was my fault but doesn’t a talented photographer know how to make kids have fun during the photo session?

I would always bring my rosary beads and pray hard for just one photo to come out acceptable. Most of them usually had my daughter crying while my son was darting out of the photo area because he saw a germ infested teddy bear on the shelf that he wanted to play with.

Many times there would be a good three second period when both kids looked like angels. My wife and I would scream at the “photographer,” “TAKE IT! TAKE IT NOW!”

Inevitably she would be three seconds too late and the great photo turned into my daughter crying and my son darting away.

I used to have to change my cloths upon return home from those sessions because of all the sweat I created. The question always was, “Do I change my clothes before or after the stiff drink?”

Now, let me get back to why I think Sears is going bye-bye. First of all, I can’t understand why someone would go to Sears today instead of Target or Wal-Mart for the department store aspect of it and Home Depot or Lowes, for the home improvement aspect of it. Maybe price? Actually, that’s why we chose the portrait studio. But, people want more than price; they want service too. And they also don’t want to feel like it’s 1977.

Here’s a recent example of Sears pending demise. My wife showed up last week, as a walk-in, to get the kids’ photos taken. Sears says that walk-ins are welcome, so my wife actually believed it.

It was 10:45am. The woman apologized and said that she would not be able to take her in because of an 11:30 appointment. That was 45 minutes. More than enough time to endure the torture, right?

Wrong. The woman said that the photos could be taken within that time, but she would need more time to choose the photos and order. My wife said, “Ok, let’s take the photos now and then I’ll come back later to choose and order.”

The minion at the desk apologized again and said that it was not possible. Everything had to be done at once.

Wow, really hungry for that business, eh? These kind of dictates come from the “leaders” above her. And I can tell these “leaders” are really in touch with their customers. So accommodating…NOT. They might want to send their resumes to North Korea after Sears closes. I am sure Kim Jong needs some mindless, emotionless enforcers for his regime.

So, did my wife get mad? More like happy. You know why? Because after she stormed out of there, she walked around the mall and found a place called Portrait Simple. She walked-in and they were happy to see her. They kindly invited her in, made the kids smile and immediately started taking awesome photos. The photographer was a pro, not only in photography, but in customer service.

My wife said the kids actually had fun.

And the photographer did not have a camera bolted to the ground; rather a camera that she held, so was therefore able to move around and take tons of photos at will. The photos turned out great. We walked in yesterday to take more; as a family.

Portrait Simple is true to their name. The actually should be called Portrait Simple, Fun and Great Service.

They have new customers called the Mammano Family.

At Sears, you HAVE to take six different poses, otherwise they won’t sell you anything. I have a friend whose child is autistic, and wouldn’t sit still for the six Sears shots. The kid ran out after the third. Guess what? The mother was not allowed to buy ANY of the shots because her child did not complete the six poses. So instead of selling a mother lots of great shots from the first (only) three, she was forced to storm out, empty handed and massively upset.

Now this is just plain stupidity. When people are trying to give a company money and they won’t take it, well, that’s usually the beginning of the end.

Guess how may poses Portrait Simple requires you to take. None. It’s like they studied what Sears has been doing wrong in their portrait studio and decided to do the exact opposite.

I think Richard Warren Sears, founder of Sears must be shedding a tear.

Employee Volunteering

2008-06-11T06:29:00.001-04:00

At the beginning of this year, I asked myself, "How can I support the Rochester community better and also support my employees’ desire to get involved."

The answer was simple. Pay for them to volunteer!

In today's nutty world, it's hard to find/make time to volunteer. So my thought was that my team works during the day anyway and since these hours are already accounted for, why not let them use this time to give back if they want to.

So I gave everyone a paid week per year to go and volunteer in our community.

It doesn't have to be a week in a row nor do they have to use the whole week. They don't even have to do it at all. It's all up to them.

But at least I support it if they want to.

It's been quite the success so far. Some of our employees signed up for Junior Achievement, others are helping at Camp Good Days and Special Times, Literacy Volunteers and Rotary Sunshine Camp.

The benefits are tremendous. The organization in need is helped by our volunteers, the volunteering Next Stepper feels great to give back and I am pumped that I get to do this for everyone! We set up a volunteer wall in our office and post opportunities to get involved. Plus we encourage our team to post photos of their experience.

The world needs a lot of help but it's all starts right here in our own back yard. As the old Indian proverb says, "A thousand mile journey begins with one step."

Do you have a protégé?

2008-05-05T06:02:00.004-04:00

You have spent years following your dream and now you have created an awesome reality for yourself and others to enjoy. You also made some mistakes along the way too...

Why not share your past experiences and current knowledge with a protégé?

There are millions of dreamers starting a new journey today down an unknown path. The first steps are always filled with excitement but laced with fear and anxiety. Will the next step be on solid ground or a hole? Or a cliff?!

This journey is especially dangerous for a first time entrepreneur. Approximately 75% of new businesses fail their first year. It's a tough gig to create revenue, cash flow, sales, a new product, manage employees, regulations, taxes, etc... And if you have no experience with these things, it's easy to drown quickly.

Have you made it through this storm and lived to see year two? Year five? More?
Are you sharing this experience with a protégé?

I have been blessed. I have made it to year 13 so far.

Am I a genius? Far from... Someday I'll share my SAT scores for proof.

I was a B student but had a good work ethic. I always say I’m not that smart, I just work my tail off.

So how did I make it? It was a variety of things. A good idea, my dogged persistence, my sales ability but most of all, I have an uncanny ability to hire well. I surround myself with A players who complement or enhance my abilities.

Was it always smooth sailing? Yea, right. Of course not. Birthing a baby is not always pretty and either is birthing a business. You pray for beauty but it starts out messy!

It still gets messy but it's easier with a great team and 13 years of experience and momentum behind me.

Here's my point - I have learned a ton.

I have learned from my successes and my mistakes.

In my opinion, it would be a sin if I did not share these experiences with new entrepreneurs. If my experiences can help an entrepreneur create something beautiful, why wouldn't I try to help?

Recently I have taken this responsibility to a new level - commitment. I now view helping new entrepreneurs as a duty to give back. I have been blessed with a great business and an incredible work family. So, I have decided to add structure to my commitment to give back. Yes structure. That's a hard word for an entrepreneur to swallow, but in this case it's easy.

You see, I get something from helping them too - energy!

I have made myself available to four young entrepreneurs. They all know they can meet, call or email me anytime and I will be there to listen. I actually have a scheduled weekly call with one of them. She provides the agenda in advance and we go through it together.

Here is my current protégé line-up:

Marita Greenidge - a U of R Simon School student from Barbados who is launching a Barbados business magazine when she graduates. Marita and I have the weekly call together.

Joe Norman - graduating from SUNY Geneseo this month and is the Co-Founder and Editor in Chief of The VIP Profiles - http://notableandnewsworthy.blogspot.com/. He has some big ideas for the future that I am helping him cultivate.

Maria Pascucci - President & Founder of Campus Calm - http://www.campuscalm.com/ Maria is an incredible young entrepreneur and is helping young people in college manage stress.

Brenda (last name withheld) - Brenda still has her "real" job so she can't go public with her idea just yet. I am helping her develop a great idea for a new magazine. She has discovered a niche that is not yet being covered. That's hard to do these days!

And I talk to many others randomly per month.

I make time for these people. Yes, I am crazy busy but like I said, I view it as my duty to share my blessings. I have intellectual venture capital to invest!

Plus the more I give of myself, the more I get. I feel incredibly energized and jazzed after talking with these new journey takers!

Now I ask you. Who are you going to help today?

Be on the cover of a national magazine!

2008-04-15T06:41:00.001-04:00

Next Step Magazine, a Rochester, NY-based national college-planning magazine for high school students, is looking for cover model volunteers. Think you've got what it takes? Send a head shot, name and age to Laura at editor@nextSTEPmag.com by MAY 2. We're looking for all types of looks, so don't hesitate to apply!

Or do you know someone that should apply? Pass this message on to them!

Ken Blanchard is Coming to Town!

2008-03-28T06:22:00.000-04:00

I am a member of EO - The Entrepreneurs Organization. It is a place for young entrepreneurs to learn, grow and meet other entrepreneurs. It's a global organization with more than 6000 members worldwide.

Since I started the local chapter five years ago, Next Step Publishing has grown from 2 people to 14 and our revenues have grown more than 500%. I have made the Rochester Top 100 list and also the Inc. Magazine 5000.

If you're a local entrepreneur, check out our site at www.eowny.org
You can also check out the global site at www.eonetwork.org.

But alas, I write today about Ken Blanchard, the guy that wrote that famous book called "The One Minute Manager." Well, he has now written "The One Minute Entrepreneur!"
We are bringing him to town on April 25. If you'd like to come, register at www.eowny.org.

Here is his official bio:
Ken Blanchard has had an extraordinary impact on the day-to-day management of millions of people and companies. He is the author of several bestselling books, including the blockbuster international bestseller The One Minute Manager® and the giant business bestsellers Leadership and the One Minute Manager, Raving Fans, and Gung Ho!. His books have combined sales of more than eighteen million copies in more than twenty-five languages. In 2005 Ken was inducted into Amazon’s Hall of Fame as one of the top 25 bestselling authors of all time. Ken is the founder and chief spiritual officer of The Ken Blanchard Companies, an international management training and consulting firm.Ken and his wife, Margie, live in San Diego and work with their son Scott and daughter Debbie.

I hope to see you there!

The Entrepreneurs' Strength (and curse).

2008-03-21T05:36:00.004-04:00

Otherwise known as the idea train, an entrepreneurs' way of thinking is her biggest strength and, if not carefully managed, could be her biggest curse.

I probably have a new idea every day. And at the time I have it, I usually get so excited that I think it's the next best thing. In my mind, at that time, I have just made Steve Jobs look like an amateur.

Ok Dave - whatever...

But, at the same time, some of my ideas are pretty good. I wouldn't have a successful business if they weren't. And of course, some of my ideas are....let's say, put on hold.

If I actually acted on all my ideas, my company would have imploded a long time ago. One can stretch a company too thin where it begins to lose focus. I started in this direction a few years ago. A member of my team made a comment to me that was very enlightening. She said, "I feel as though lately we are growing like a shrub instead of a tree."

It was a very powerful statement and made me think about pruning the shrub so we can grow like a tree again. And we have.

Now when I have ideas, I present them to my managers first to flesh them out. This can be a frustrating experience because entrepreneurs and managers think differently, thank God. If he's smart, the entrepreneur has surrounded himself with detailed managers who can say no to him when appropriate. Most entrepreneurs don't like their ideas to be grilled and possibly put on hold or nixed for the benefit of the company. So, he will give his managers the right to set him straight if the idea is not the best for the company at that time; or needs to be altered/killed.

Of course, I can do whatever I want within my own company. But in my mind, it's not my own company. If I don't have the buy in from management and the rest of the team, the idea will never take shape.

So here is my 10 step plan on how to entrepreneurs can deal with their ideas:

1) Marry well. Your spouse should be the first one to tell you if the idea has merit or if you're smoking something. You can save your team a lot of time if your spouse can nix the idea first. My wife has a special talent to see through my special "forest" and if I am in "DaveLand" with one of my ideas, she'll let me know. "DaveLand" is actually a great place! The sky is red and there is fun everywhere (and great food), but it's not for everybody...
2) Hire well. It's obvious, but some ego maniacs surround themselves with minion-like people. I have empowered my team to challenge me and let me know when I am getting off course. If I did not do this years ago, my idea train could have derailed the company.
3) Develop a process to discuss ideas with your management team. Form a R&D committee or just have a discussion at your weekly manager meeting
4) Explain the opportunity or problem to solve and see what they come up with first.
5) Present your thoughts at a very high level. Don't get tactical yet. Just the 50,000 foot view.
6) Be calm. Don't try to "sell" your idea. Stick to discussing the opportunity in a calm, rational way and let the conversation flow. If your managers feel they are being sold an idea, their BS meter may go off. This could really change the direction of the discussion.
7) Ask them to pitch the idea back to you. Then ask, "What does it look like when we, as a company, execute this idea really well and so that it doesn't strain the company?"
8) On a white board, brainstorm all the reasons why you shouldn't move forward with the idea. Then, list all the reason why it's a good idea.
9) Talk half as much as you listen. God gave you two ears and one mouth; use them in that proportion.
10) Be ready to walk away from the idea, or alter it.

It seems like a lot to go though, I know. Many entrepreneurs might be reading this and saying, "Bull! The reason I started a business is to do whatever I want, whenever I want!" That may work if you are a one man show. But if you have people working for you, you'd be smart to rely on their intelligence to guide you. Hopefully, that's a big reason why you hired them.

Another big reason to go through this process is the actual execution of the idea. Traditionally, entrepreneurs are builders of ideas but not always great at seeing them through. You'll need your team to embrace the idea if you expect them to execute it well.

Bottom line; make sure you allow really great passengers on your idea train who can help you drive.

Enjoy your ride.

Congress Fiddles While America Burns

2008-02-29T05:59:00.003-05:00

I am scratching my head lately at what Congress calls productivity. I question their priorities.

Here are some things that I am thinking our leaders should be working on:

1) Our educational system - other countries are investing in their youth while our schools are crumbling and closing. A recent educational ranking put our kids at 18th in the world. 18th? We're spending billions in Iraq and our kids are not the #1 on the list?
2) Savings - the government has to give us a "stimulus package" so that we can pump more money into the economy? Where is the "savings package?" The majority of Americans live paycheck to paycheck. Very different than 50 years ago...
3) The housing market - Foreclosure rates are up 40-50 % in the past year, much due to unscrupulous bankers feasting on a hot market and the naivety of some.
4) Credit - The average American has approximately $9000 of credit card debt; and no savings. You think the mortgage crisis is bad, just wait until this one falls out. The mortgage bankers will look like saints to the credit card companies.
5) Eating Habits - Americans are digging their graves with their mouths; eating the crappiest food ever made on earth. If you want to get a idea of how some restaurants are slowly killing us, read this article from MSNBC called "The 16 Secrets the Restaurant Industry doesn't Want You to Know" http://www.msnbc.msn.com/id/22220895/ It is a SCARY.
6) Behind bars - Did you know that now 1 out of every 100 Americans is behind bars? Annual prison spending went from $11 billion to $49 billion in 2 decades. This is called a "clue" that something is fundamentally wrong with our society.

We need leaders that will attack these issues with vigor and repair the heart and soul of America.

And here is what they are currently working on:

THE NEW YORK TIMES
By RICHARD SANDOMIR and MICHAEL S. SCHMIDTPublished: February 28, 2008

WASHINGTON — A Congressional committee asked the Justice Department on Wednesday to investigate whether Roger Clemens made false statements under oath about his suspected use of steroids and human growth hormone, strengthening the possibility that he could be charged with perjury.

Now, not to knock baseball. It's a great sport. One of my favorite childhood memories is meeting Hank Aaron in Atlanta and having my photo taken with him.

But let's call baseball what it is - a game. It's a game where men are dressed up in cute little uniforms, take a piece of wood and try to hit a ball with it.

Now I ask you, why the hell is Congress spending valuable time investigating baseball players?! Did I miss learning about the baseball branch of government when I was growing up?

Once again, God Bless baseball, but if the game were to stop forever tomorrow, America would be bummed, but we would go on. We would not shut down and the American way would not collapse.

My point is that Congress has many other priorities to work on. Our country is a freight train heading for God knows what and our leaders are interrogating Roger Clemens?

The spirit of Nero is living in Washington.

Business Brilliance from The Godfather

2008-02-22T06:29:00.004-05:00

Some say that I have an unhealthy obsession with The Godfather movies. Well, at least with the first two. And I can't entirely disagree.

I have seen them hundreds of times and still stop the clicker when I see a Godfather clip while flipping through the cable stations. "Leave the gun and take the canoli" gets me to stop every time.

I also own the DVD box set.

I think I realized I had a problem a few years ago when one of my employees disagreed with me on a customer conference call. I hit mute and said "Santino, never go against the family!"

He looked at me like I was a complete freak show.

Then I made him an offer he couldn't refuse and we were Ok with each other again.

But seriously, I think the reason I like the Godfather movies so much is because there are so many great business lessons in it. Ok, not the killing. That's not really a great lesson. But if you replace "kill" with "fire," well then, you might be on to something.

Now, on to Dave's top 10 list of business brilliance from The Godfather.

1) “I'll make him an offer he can't refuse” - Putting a gun to someone's head during negotiations is usually frowned upon in corporate America. But effective negotiating is still essential for getting ahead. If you can't negotiate well, you will have trouble getting ahead, so learn how to do it.

2) “Come with friendship, not with dollar bills.” Business is 99% about relationships. This is why business is done at meals, on the golf course, or in the case of Next Step’s saleswoman Amy Costanza, shopping for shoes with her clients. This form of bonding ensures that even if another company offers a better price, the customer will still go with you; the trusted friend who she spent “leisure” time with.

3) The Don's men understood the power of branding. They let others spread their name for them. It all starts from the top down, goes to the team and then the customers. When you get your customers spreading the good word, your brand just got made.

4) “Keep your friends close, but your enemies closer.” - Good advice for all walks of life but especially for the business owner trying to stay on top of his competition who is trying to undermine him. The best strategy to deal with these people is to not let them know you are their enemy.

5) “Never dishonor those who helped you” When someone helps you out, or stands up for you, thank him. You owe him one, even if he is too decent to tell you that. If you dishonor that person, others will take note. They will know that if they do business with you, they might very well be your next victim, and will steer clear of you.

6) “It’s not personal, it’s business.” Some people think Donald Trump invented this phrase. Sorry folks, it was the original Don. When you boil this phrase down, it simply means that if you have to make a decision, you need to emotionally detach yourself from it to make sure it makes the best business sense.

7) They’re flexible. They don’t stick with a product or service that isn’t profitable. Times change. Running alcohol during prohibition was profitable for only so long. Don Corleone was adaptable and changed his product line to adapt with the times while holding firm to his values.

8) They make it easy to buy. For those that did business with the Corleone family, it was a pleasure. They got a good product and were treated with respect. It was easy to do business with them because of the simplicity of their business model!

9) “Don’t discuss business at the dinner table.” A big thing in the mafia was not discussing business at the table. Give your family a break from business talk during the most important bonding time - dinner. Have fun and laugh with your kids. Teach them life’s lessons; not how to worry about business.

10) "Never go against the family." My reaction on that conference call may have a bit of an overreaction but there is some merit to this quote. Good bosses certainly encourage an open dialogue and encourage feedback. Great bosses surround themselves with "no" men instead of traditional "yes." men (and women). If they have their ego in check they won't have to surround themselves with a bunch of minions that bobble their heads all day long. But the important thing is that disagreements should be discussed internally. Otherwise the company looks confused and without a solid, firm direction.

I hope you have enjoyed my top 10 list of business brilliance from The Godfather. To be clear, I do not condone the violence that the mafia uses in their methods of "negotiation." But be honest, haven't you wanted to "whack" a coworker at some point?

Arrivederci,
Davide

My favorite company serves corned beef

2008-02-13T06:13:00.002-05:00

Besides Next Step, I'll put Zingerman's at the top of the list for favorite companies. (www.zingermans.com)

Haven't heard of it? It's the best deli I've ever been to. I can still taste the corned beef; in a good way! I am now a reuben convert.

Why is this favorite business? Because of how they've grown it. The owners, Paul Saginaw and Ari Weinzweig opened this deli in Ann Arbor, Michigan in March of 1982. The reason? They couldn’t find a good corned beef sandwich there.

Within 10 years, their reputation had spanned epic proportions. Big franchise people approached them, wanting to take Zingerman's all over the country. Most people would have taken the ride and gotten rich.

Instead, Paul and Ari stopped and thought.

These surmised that nobody would ever care as much as them about a sandwich. Did they really want sub-standard Zingerman's sandwiches across the country?

The answer was no.

Instead they created a vision for a company that included opening a community of businesses around the Ann Arbor area. And they have succeeded!

The called their vision the “The Zingerman’s Community of Businesses.”

Today, their businesses include a catering business, a bakehouse, a creamery, a coffee company, a restaurant, a catering business, mail order, a training company and more to come.

Ari and Paul still steer the mother ship, but there is a managing partner(s) for each business.

It's literally the coolest business in America - just ask Inc. Magazine!
http://www.inc.com/magazine/20030101/25036.html

I met these guys last month at one of their ZingTrain seminars (www.zingtrain.com)
It was the best training I have ever received.

It really added some clarity to Next Step’s future for me. Every successful entrepreneur at some point reaches a point where they ask themselves, "Do I sell? Do I raise money? Do I get into bed with evil venture capitalists?

My questions were answered.

Look for "The Next Step Family of Businesses" coming soon to your area.

My Favorite Blog

2008-02-05T21:02:00.000-05:00

Ok, I kind of need to be a little bogus right now.

I promised my thousands of subscribers (mom) that I would do a blog a week. Since I am leaving for a flight to NYC at 6am tomorrow and have tons of appointments when I am there and won't be back until late Thursday, I am going to drive you to MY favorite blog.

It's awesome and calming. And I am the furthest thing from a Zen guy, but the Zen Habits blog is great to soothe the soul!

Check it out at:

http://zenhabits.net/

Here's a really great one to help you have a peaceful, yet productive workday:
http://zenhabits.net/2008/02/17-unbeatable-ways-to-create-a-peaceful-relaxed-workday/#more-635

Wish me luck in NYC!

Stay Calm,
David

Zero Cost Branding is Myopic

2008-01-23T05:37:00.000-05:00

There is a movement in today's advertising world to get immediate results without doing any of the prep work of tradtional advertising.

I was asked to give my opinion about this new movement in an interview with Lisa Weiner from EDUInsight.com.

I am quite passionate about my opinion (in case you can't tell from the title of this blog entry).

To read the interview, click here:

http://www.eduinsight.com/archive/david_mammano.php

YEA!

2008-01-17T06:49:00.000-05:00

YEA! Stands for Young Entrepreneurs Academy and it's an incredible program that I teach at the University of Rochester every Tuesday from 4pm - 7pm. It's quite the commitment considering that I run a business and have a young family.

But it's all worth it!

The students are not college students. It is a special program for middle and high school students partly funded by a grant from the Kauffman Foundation. Some of these kids are 12!

The program is intense. From the get-go, we hit the ground running with massive amounts of business planning education infused into their young brains.

Then we brainstorm business ideas and the students choose a business and actually start it. Yes, they get their DBA's, create in-depth business plans, a designer makes them real logos and....... and this is big ... they actually get funding from investors.

That's what we did last night. We got 12 investors to buck up some money. We had a very official event hosted by David Koretz, CEO and Founder of BlueTie (www.BlueTie.com)

Then, in front of the investors and about 200+ family, friends and people from the community, the students pitched their business ideas. Imagine being 12 years old on stage pitching a business idea. Scary!

Well, my students did great! I am a proud papa today. They all got funded. Some got more than they asked for, some less. But the exercise of creating a business from scratch and pitching it live to real investors is an experience that will certainly shape these future business tycoons for the rest of their lives.

So here’s a big YEA! to my students... congrats!

And a big thank you to Gayle Jagel, the YEA! program founder for bringing the academy to Rochester and helping me tremendously every step of the way with this course. Remember, I am an entrepreneur, not a trained teacher. She has expanded the program to SUNY Geneseo and I am going to help her spread this program around the world! If you want to help in someway, contact me or go to http://www.rochester.edu/college/osp/yea.html

I also have to thank Heather Ziarnowski, the program director. She does a ton of the behind the scenes work and the program could not happen without her. She is in the class every Tuesday keeping me on track! Thanks Heather! That's a tough job....

Now ask yourself... "Have you helped a young entrepreneur today?"

America's Two Problems (And Two Opportunities for Entrepreneurs)

2008-01-10T05:45:00.000-05:00

In my opinion, America has been focusing too externally the past seven years instead of internally. Don't get me wrong, we do need to be on the lookout for those crazies that want America wiped off the face of the earth. But while we're looking out the door, the inside of our house is on fire.

I write about this, not because I am planning to throw my hat in the upcoming primary, but rather I see two issues specifically as problems that can be solved by entrepreneurs. Entrepreneurs always solve problems better than politicians anyway.

Once again, these are just my opinions. So you know they must be right. Here are the two issues that I think entrepreneurs can improve:

Eating Habits
Our eating habits have gone down the tube. Most young Americans rarely cook meals from scratch on a daily, weekly or sometimes even monthly basis. Fast food has become a substitute for fruit and vegetables. Obesity levels are at an all time high. More than 1/3 of our population is now classified as obese. Not good. As a society, we're not eating the right foods and over-eating the wrong foods. Welcome to the world of heart disease and diabetes to name a few of the consequences of being over weight.

The time is ripe for an entrepreneur to develop education programs that teach kids about healthy eating and cooking. One of the most satisfying things to do is to cook a meal from scratch and enjoy it with family and friends. If there were two of me, I would get into this business immediately.

Money Management
The average credit card debt of today's American family is more than $12,000. Not good. What ever happened to that good ol' saying "Live beneath your means." 50 years ago, the average American relied very little on debt to finance their life (besides having a mortgage for their house-which used to be a safe investment!). Today, if we pulled every credit card away from every American, our economy would collapse. So this means that our economy is completely dependent on consumers living beyond their means. Scary!

There is some good education work being done in this area. U.S. Bankruptcy Court Judge John C. Ninfo, II, has started a fantastic program called the Credit Abuse Resistance Education program - http://www.careprogram.us/. He is a full time Judge and does not make money doing this.

Once again, I think entrepreneurs need to come to the rescue and get our country back on track financially.

There are certainly many more problems with America - crime, drugs, erosion of family and more. But I see these two items above as items that can be changed dramatically with some good entrepreneurial passion. And solving these two problems may stop other problems too…

So, any entrepreneur reading this and wants to get something going, let me know how I can help!

My New Year's Resolution

2008-01-01T23:49:00.000-05:00

A blog a week! (At least)

Ok, I feel badly. I promised my millions of registered fans (Ok, thousands) that I would write my blog entries (Ok, hundreds) on a regular (Ok, my mom) basis.

I have been less than faithful in 2007 - with my blog entries. Now, because of Christmas break, my sleep is all messed up (along with my digestive system) and I currently have some time to write. And I declare right here and now for everyone (mom) to read, that I will commit to at least a blog entry per week!

I will start with a cheesy shortcut and recap my last 10 entries on how to create a high octane culture. If you like what you read, please subscribe to my blog through email or the other options located on the right hand column of this page.

If you already do subscribe, you can subscribe someone else. It makes a great gift! Your recipient will receive Mr. Miyagi level wisdom (at least once a week!) - guaranteed or your money back.

Now on the best recap of high octane culture tip you've ever read this year.

Top 10 Strategies for a High Octane Work Culture

#1 Employee Recognition
http://www.nextstepmagazine.com/blog/2007/07/creating-high-octane-culture-part-1.html

#2 Field Trips Baby!
http://www.nextstepmagazine.com/blog/2007/07/creating-high-octane-culture-part-2.html

#3 Performance Review - for the CEO
http://www.nextstepmagazine.com/blog/2007/07/creating-high-octane-culture-part-3.html

#4 Eat with the Best
http://www.nextstepmagazine.com/blog/2007/07/creating-high-octane-culture-part-4.html

#5 Make new employees feel special from the beginning
http://www.nextstepmagazine.com/blog/2007/08/creating-high-octane-culture-part-5.html

#6 Remember the kids
http://www.nextstepmagazine.com/blog/2007/08/creating-high-octane-culture-part-6.html

#7 Keep your company aligned
http://www.nextstepmagazine.com/blog/2007/09/creating-high-octane-culture-part-7.html

#8 It's all about the birthday
http://www.nextstepmagazine.com/blog/2007/10/creating-high-octane-culture-part-8.html

#9 Listening. Really Listening...
http://www.nextstepmagazine.com/blog/2007/11/creating-high-octane-culture-part-9.html

#10 Respect
http://www.nextstepmagazine.com/blog/2007/12/creating-high-octane-culture-part-10.html

I hope you enjoyed. If you did, please pass on the love. I want to have a million subscribers by the end of 2008.

Ok, subscribers beyond my extended family.

My next entry will be my thoughts on everything that's wrong with America!

Creating a High Octane Culture - Part 10

2007-12-05T13:04:00.000-05:00

In the classic movie The Blues Brothers, Aretha Franklin had high octane cultures all figured out. One word - RESPECT.

None of the other nine items on my list will matter if you don’t have respect for your team.

First of all, let’s assume that everyone on your team deserves respect. They work hard and are people of integrity. If not, then why are they with you in the first place? As Jim Collins says in Good to Great, get the right people on the bus, in the right seats, and get the wrong people off!

So, if someone is sticking out in your culture that doesn’t belong because of inefficient work or bad ethics then do yourself, your company and your other team members a favor and show the bum the door!

Ok, now assuming that you have the right people on the bus, in the right seats (meaning that your accounting person is not in sales), let’s focus on respect.

Without proper respect, you’ll never get people to drink your company’s Kool Aid.

So, how can you show (and get) respect? Here are some great ways:

1) Treat everyone the way you wish to be treated. Sound familiar? It’s kind of a golden rule from about 2000 years ago.

2) Don’t talk behind peoples’ backs. Don’t gossip or spread rumors. Nobody likes (or respects) a “chatty Jane.”

3) Be candid yet tactful. Americans have been raised to be nice and polite. Rarely does someone go against the grain and when they do, people feel uncomfortable and will slowly slip away from the conversation. Many companies have gone under because “harmony” was the “unwritten”rule #1. My rule – bag harmony and address what needs to be addressed. If someone needs a tough love performance review, bring it on! If it’s delivered in a skillful way, you’ll be doing the person a big favor. Clear messages are always helpful. It should never be a surprise to someone if they get fired. Good managers provide candid and clear discussions along the way.

4) Listen. Really Listen. Don’t just nod your head. Ask questions.

5) Show sincere appreciation for a job well done. This can’t be faked. “Great job with that dusting!” won’t work. When someone really works hard and does great work, sing it loud and proud! A person’s greatest need is to feel appreciated. So make it happen when they go above and beyond. Guess what? They’ll want to do it again.

6) Adopt servant mentality. We are all here to help. How can you help your superior, your customers and also your direct reports? Leave the ego at the door and don the attitude of servitude. A good leader leads by serving; ultimately serving the needs of the company. And the greatest need of a company starts with employees that feel respected.

These are just a few ways to show respect. I am sure you can find many more. In fact, all my other tips on creating a high impact culture involve respect.

Respect is the first ingredient in the recipe for high octane culture. With respect, you will foster loyalty, creativity, ownership, passion and strong work ethics. What more could you ask for out of your team?

Creating a High Octane Culture - Part 9

2007-11-13T05:30:00.000-05:00

How present are you in the moment? Do you listen? I mean, really listen?

Last evening, I dropped my son off at soccer practice. Now, this wasn't regular soccer practice; he is four years old.

It was more like 10 little headless chickens on crack running after a ball while screaming like Indians who just located General Custer and we’re ready to kick some white man's booty.

In other words, it was awesome.

How awesome is it so see youth before it is corrupted by manners, self-consciousness and volume control etiquette?

They were having the time of their lives and I was so into being a dad at that moment; just watching. I was proud, happy and shucks, I may have even felt a tear (if I wasn’t so manly).

I looked around at the other dads and moms, hoping to share this moment and revel in our tremendous commitment to good parenting.

Instead, I saw something quite disturbing. And geeky as all hell.

Most of the parents weren't even watching their kids. They were staring like little minions into their Blackberrys, cell phones or whatever text messaging/e-mail mailing device they had.

I was in disbelief! They were missing a magic hour in their kid's life. What, to send to text to their friend to say, "I can't believe Jessica Simpson is dating Owen Wilson?" (yes, you heard it here first).

Well, whatever the e-messaging was, it must have been very important. I am sure they were all doctors emailing emergency prescriptions.

I felt sorry for these distracted parents. They were really missing a connection opportunity with their kid. I thought, “How in God's name did my dad watch my soccer games without a blackberry?” It must have been tough. Oh, the sacrifices he made...

Anyway, how does this relate to a having a high octane culture at work?

Listening baby.

Have you ever nodded your head at employee/fellow co-worker and really pretended well that you cared?

Well, maybe not you. But it happens.

Here is my challenge to you. LISTEN. Really Listen. FOCUS. Really focus. BE IN THAT MOMENT. Suck the juice out of that moment.

When you ask someone how their weekend was and they say "fine," demand more. Say, "No really, how was it? What did you do?" And then really listen to the answer.

Maybe you'll have a story to relate? But at the very least, you just won some respect from the person because you truly showed them that you were interested in them (Dale Carnegie 101!).

When one of my employees tells me on Friday what they're doing over the weekend and then on Monday I ask how it went, I often get a look like, "Wow, he was actually listening to me."

Bottom line - a man's attention span lasts about three seconds. A woman's is seven. So beat the odds and make yourself tune in! Be intent on connecting with that person. Be committed to being in that moment.

You'll be a better grounded person and also have a lot more fans around the office.

And may God let a cell tower fall on you if you check your Blackberry while someone is telling you about their weekend.

Creating a High Octane Culture - Part 8

2007-10-23T05:24:00.000-04:00

Ok, I am getting back to my High Octane Culture series. Sorry for the manic direction of my blog lately. I have had many writing ideas pop up during this series... Welcome to my entrepreneurial world!

Here is Part 8 - BIRTHDAYS!

Ok, you might be thinking that this is an obvious one. You do the cake thing for your team, right? That's nice, but why not make it even more special? Afterall, a birthday is a person's most special day. Make them feel special by taking him/her out to breakfast or lunch too!

As a bonus, they'll get some quality time with you; and you with them. You'll find that in the hectic pace of the office life, it's hard to find an escape to truly catch up with your prized team members.

Not only will they appreciate the free meal and the special recognition, you'll get to know the person ever better, as a person outside the workplace. I love these meals out because it allows me to connect and be able to show the birthday boy or girl that I do truly care about them.

So, on their birthday, I take them out to breakfast or lunch and then about 1pm at the office, we do the company cake thing. We even have an ex-TGIF waiter who can lead us in the birthday song!

And I never ask my female employees their age...

Core Value Love Fest!

2007-10-03T06:43:00.000-04:00

What are your company's core values? You have them right? And they are not just phrases that the CEO liked and made everyone adhere to, right?

Core values are alive within a company on their own. You can't make them up. There are there. You just have to recognize them, document them and continue to live them.

Next Step's are:

Next Step Core Values

We aim to WOW!

We’re accountable.

We Do Whatever It Takes.

We’re helpful.

We looked inside the guts of Next Step and these are what we saw.

Yesterday, at our monthly meeting (which we call our monthly huddle), we went around the table and everyone took turns at sharing an example of when someone at the company had recently exhibited a core value.

Me, being the passionate, love fest kind of guy that I am, loved it! It brought out great examples of how everyone at the company innately lives out our core values everyday.

So, at your next monthly meeting, go around the table and have everyone give examples of who is living your core values and what they did to show it recently

It will be a core value love fest! There may even be even a group hug afterwards...

One is the cart, one is the horse. Which are you putting first?

2007-10-02T06:36:00.000-04:00

All advertising comes in two types: brand and campaign. Brand is the horse. But wait. First, consider … The world is full of shortcuts.

Overweight? Take a pill. Feeling down? Take a pill. Need to increase your college’s enrollment? Skip the hard work of branding and start demanding leads. Yes, it seems the world has adopted an “I want it now!” mentality.

But as Zig Ziglar says, “The easier way is not usually the best way.” Quick fixes only last so long. Sooner or later, you’ll pay for haste and be forced to do the work required for long-term results.

The difference between branding and lead-focused campaigning is pronounced and relevant here. Branding builds awareness and nourishes loyalty. Branding takes cultivation and time.

A campaign, on the other hand, generates reader action. You’re asking for participation, a response. For some colleges, a campaign is seen as a quick fix, a way to get leads fast. But if you’re not willing to spend time and money building your brand, why expect good leads?

Imagine you’re surfing the internet, and you see a banner ad for a new car called the Aglio. You’ve never heard of an Aglio, and there is no photo or information in the banner. All you see is, “Drive a new Aglio—click here.”

Would you click? You have no brand association with Aglio. It means nothing to you. Nobody has taken the time to introduce you to the car or the company, and you’re a busy person. The Aglio hasn’t given anything to you, so why would you give anything back?

The way of the competitive market, whether you’re a car company or a college, is to put in the effort to brand before you demand leads.

Building brand

The way to start building loyalty is by investing in brand advertising. Like many investments, you will not see returns right away. But like most good investments, you will see good returns over time.

Mary Pitts, undergraduate marketing director at the University at Buffalo (SUNY), understands the power of brand advertising. “The goal of brand advertising isn't necessarily to get the consumer to do anything immediate. Rather it builds an image in the customer’s mind, so that next time she is considering a purchase decision, the company's products and services will be top of mind,” Pitts explains. “The effects of this type of advertising are not directly measurable. But they can be quantified over time in brand awareness studies.”

Are you tempted to skip the hard work?

Patience to brand is often missing in today’s “I want it now!” environment. The rush to bypass brand advertising and go directly to campaign or lead-driven advertising is pronounced at colleges eager to get the most applications, the best prospective student pool, the most leads possible. When you skip the brand advertising and go straight to counting leads, you’ll lose every time.

For example, can Farmer Jones yell at the dirt to produce corn? First he cultivates the field and gets it ready for seeding. Then he plants the seeds and fertilizes them. He waits patiently for the seeds to take, for he knows that in time, his field will be filled with tall plants.

He knows that he can’t harvest anything without doing the hard work first. If he (and you) were to skip the hard work and merely demand results, all he’ll end up with is dirt.

Bill Sliwa, vice president for enrollment management at Lees-McRae College, likes to spend time with the prospects that are a good fit for his college. He is a believer in brand advertising.

“Lead generation is worthless to the admissions funnel if you do not own your brand,” Sliwa says. “You must first position yourself in the marketplace and know what your product is and who it will attract. Otherwise your leads will be suspects, not prospects. You’ll spend more money mailing to them than they will yield. First class mail and viewbook publications are costly. We have to know that our leads are truly prospects. We can’t spend time and resources on soft leads.”

Need more proof of the necessity of branding? Have you heard of Coca-Cola or McDonald’s? Of course you have. Yet they still advertise. They constantly keep themselves at the top of your mind through branding.

You can coast only so long without good brand advertising. Without proper management, your brand may develop itself. That is rarely a good thing. Do you want to be in control of your brand’s image, or would you rather have your competition define you?

Transitioning to a campaign

After you’ve invested in your brand advertising; when your market knows your brand and its promise, you should add campaign advertising. With your product and company known by your prospective clients, they may be ready to learn more.

Good campaign advertising warns up the reader and asks for his hand. A good campaign asks the reader to take action. Clip a coupon. Make a phone call. Book an appointment, Click here. Visit there.

Brand advertising nourishes the overall image. Campaign advertising is the heavy lifting.

Bob Bailey, COO of Partners & Napier, a Rochester, N.Y., advertising agency, says “A strong brand that is smartly positioned and consistently keeps its promises will help make the tactical campaigns much more effective in all measures.”

This blog entry was an article I wrote for the The Greentree Gazette, a magazine for professionals in higher education. You can view their site at http://www.greentreegazette.com/

Creating a High Octane Culture - Part 7

2007-09-06T05:34:00.000-04:00

Does your company need an alignment?

When your car needs one, it means that both wheels are not moving in exactly the same direction. Therefore your car has a difficult time moving forward.

Maybe your company is having a difficult time moving forward?

Thanks to Les Rubenovitch, a trainer I brought in, we executed some incredible habits that keep Next Step aligned.

Here's what we do.

Have a quarterly theme.
Instead of everyone focused on different initiatives at the same time, we're all focused on one per quarter. It is publicly displayed (see our foot-o-meter above). This quarter, our theme was cash in during the summer. Summer is usually a slow cash flow time for us, so we created a new system of billing that gets the cash in sooner.

Reward
Set a big celebration when you reach the goal. There’s nothing like have something exciting to rally around.

Daily Huddles
Everyone in the company should be in a daily huddle. A huddle should last no more than 10 minutes. In the huddle, people report what's up for the day, any places their stuck and a daily metric that they are in charge of for the company. At Next Step, we start with a manager huddle, then each manager huddles with his/her reports. This way, info cascades through the whole company, every day - therefore creating daily alignment! You’re probably saying that there is no way you have time for a daily huddle. I said the same thing. Today, I can’t imagine life without my daily huddle. It's my daily company heartbeat! For more on daily huddles from Verne Harnish the founder of YEO and Gazelles Inc., go to: http://www.gazelles.com/columns/Daily%20Meeting.pdf

Weekly Manager Meetings
I not only have weekly individual meetings with each manager, we also take one hour and have a manager meeting together. Always make sure you go into your meetings with agendas. We take turns making them.

Monthly Huddles
This is your company-wide meeting. We do a complete huddle (what's up, where are you stuck, metric report). Then we cover company happenings, an idea generation session and vote for the DWIT (Doing Whatever It Takes Award).

Quarterly Retreats
The management team goes off-site once a quarter and digs deep into finances, strategy, planning and develops the next theme. Sometimes, we'll get a facilitator.

For more on alignment, go back to http://www.gazelles.com/. Verne Harnish really is the guru on this concept and I have adopted many of his philosophies with great success.

Happy huddling!

I interupt the "Creating a High Octane Culture" series to introduce to you the next President of the United States

2007-08-27T19:52:00.000-04:00

You heard it here first.

The next President of The United States is going to be Bill Richardson.

This, coming from a registered Republican and a guy that has a non-sexual crush on Rudy Giuliani.

Yes, that's right. I saw this guy speak over the weekend and he was the most down to earth guy I have seen in the race so far. I really connected with this guy! He was speaking from the heart, not just saying whatever he needed to say in order to make people happy in the moment.

Ok, I am not going to make a video in which I star as the Richardson Guy. I am just saying that I actually could hang with Bill.

He's a regular guy. I could imagine him at my house without any pretense. I might even be able to tell a dirty joke or two!

He has all the experience necessary - He's been a Congressman, Diplomat, Ambassador to the United Nations, Secretary of the Department of Energy and Governor of New Mexico.

Here's his platform:

A national security that is tough & smart
A military second to none
A firm commitment to building diplomatic alliances
To defeat terrorism
To promote freedom
To alleviate poverty
To stop global warming
To make our nation safer and our economy more fair
To make health care and college more affordable
To energize America w/ energy independence
To guarantee a dignified retirement for all Americans

How can anyone disagree with that? It even sounds Republican! (are there really two parties anymore, anyway?)

Just add to the list "Stop America from becoming the most morbidly obese country in the world" and I think we're all set.

My Republican friends are going to shoot me (they are members of the NRA), but let's face it, the two parties are not that different anymore.

It's time to vote for the person, not the party.

Here's my prediction:

My friend Rudy - His family is going to ruin it for him. You know there's trouble when his own daughter gives her allegiance to Barack Obama on her MySpace page.

Hillary and Obama - They duke it out so badly that nobody has any respect left for either of them.

Mitt Romney - His perfect hair turns out to be a toupee and his Superstar Ken doll cover is blown.

All the others - They haven't won before and guess what, they're not going to win this time either

Well, there you have it, straight from the grassroots entrepreneur’s mouth.

Maybe you disagree with me? That's Ok. It's America! You can do that and I won't shoot you.

But, in November 2008 when Bill wins, I'd like you to give me a call. I promise I won't say "I told you so."

But that may just be a campaign promise.

Go Bill!

Creating a High Octane Culture - Part 6

2007-08-22T06:25:00.000-04:00

Emerson said it best in his quote, "What is Success?"

"To laugh often and much;
To win the respect of intelligent people and the affection of children;
To earn the appreciation of honest critics and endure the betrayal of false friends;
To appreciate beauty, to find the best in others;
To leave the world a bit better, whether by a healthy child, a garden patch or a redeemed social condition;
To know even one life has breathed easier because you have lived.
This is to have succeeded."

I take the second sentence into the workplace - "To win the respect of intelligent people and the affection of children."

One of the best ways to win the hearts and minds of people is to sincerely get to know their kids. I am lucky, I love kids. I have two of my own and sometimes my wife will send us all to time-out.

I can easily slip back into my youth and relate to them. Many times, I enjoy the company of kids more than most adults. I certainly have an inner child that refuses to give up. Just ask my employees about my remote controlled fart machine. But that's a different story.

The most important thing in your employees' lives are their kids (if they have them). Get to know them. It's a three way benefit between the kid, you and your employee. Plus, they're just so darn cute.

If one of your employee's child comes in the office and he is running around the office looking for you, then you've got that employee for life. I mean come on, what better judge of character is there than a child? Children have the best radar for good hearted people. They also can detect slime pretty quickly too.

Here's what I recommend - buy birthday gifts for your employee's children. I do this for all my Next Step kids. Right up until they are 18. Then they get a card after that.

They get the gift in the mail on their birthday. Think the kid will have a positive association about mommy's workplace? Plus, what's more fun than putting a smile on a child's face?

Graham Robert's 4th birthday is coming up this Sunday. He is the little guy in this post.

Happy Birthday Graham! (check your mailbox today). :-)

Creating a High Octane Culture - Part 5

2007-08-14T06:49:00.000-04:00

Do it right from the beginning.

Have you ever started a job and nothing was prepared for you? Maybe you showed up and your new boss was like "Oh hey, that's right, you start today." And then you sit around most of the day feeling like an ass.

Your desk is not prepared. You can't sign into your computer. You don't even have an e-mail account yet. Maybe you get to sit in on some meetings just because the boss can't think of anything else for you. And you feel like a nuisance.

How special does this make you feel? Not very?

Well unfortunately, that kind of welcome is called "orientation week" at many companies. They wait until you show up to get their act together.

At Next Step, we realize that if you hit the ground running with a newbie and make them feel incredibly welcomed and special from day one, then your chances of success are 1068% better. We researched it and everything.

Ok, no research. We just think it's no brainer.

Here's the formula:
Make someone feel special = they will worker for you and stay forever.

And you thought E = mc2 was ground breaking.

Here are some of the things we do the first couple weeks:

1) Throw a party! We have a company-wide lunch so everyone can meet the newbie.
2) Have her desk completely organized with a key to office, paper, pens, the computer passwords working, e-mail working and a list of everything she'll have to know to navigate the office.
3) Develop an orientation schedule. Newbie sits down not only with HR and gets the standard employee manual orientation, but with each employee individually for at least 15 minutes. Newbie will learn what that person does and also gets to know him/her a bit.
4) CEO takes newbie out to lunch. This is where I get to tell my start-up story. You know, when I bought my first desk at OfficeMax and assembled it in my bedroom and then started making sales calls. In my opinion, the "history of the company" talk creates an appreciation of how we got where we are today. It endears newbie to the company and makes him realize that this is someplace special. Plus he feels special because the CEO bothered to take him to lunch!
5) A "Your Company" Way presentation. I present a Next Step Way PowerPoint to newbies that details what it means to be a Next Step employee. Every company develops its own culture and DNA. We certainly have ours and I am very proud of it. At Next Step, we all know what it means to be a Next Stepper. One doesn't have to ask if it's OK to do something. We all just know if it's a "Next Step" thing to do or not. We have a very distinct culture, and if you're not living it, you'll stick out like a sore thumb.

6) Develop a "how to" manual for newbie's position. We had a new sales person start yesterday and today he will get a copy of "Next Step Sales Boot Camp." It's 24 pages and was written by the managers and me. If newbie has any questions, he can also refer to the manual first.

And of course, he can always come to us. He'll realize that after day one.

Creating a High Octane Culture - Part 4

2007-07-31T05:56:00.000-04:00

Eat with the best!

Many company leaders spend a lot of time working with their weakest links. Managers often have high hopes that if they spend more time with a non-performer, he/she will improve.

Good luck.

My experience tells me that, with a push, a non-performer can only go from bad to OK and this is temporary at best.

Why waste time with someone who can only be "OK at best?"

Here are my thoughts:

First, let your non-peformers go. They are obviously in the wrong place and are not a good fit. You'll be doing yourself and THEM a favor.

Second, focus on making your great people outstanding! This is a much better use of your time.

Often, the top performers are the most ignored. Management may think these top performers are humming right along and do not need help/support. Meanwhile, they begin to feel underappreciated and may start to look for another employer who appreciates them.

I say, eat lunch, drink coffee with the best! It's the best use of your time! The company will realize much more revenue, and be much more fined tuned, if you can help your best people perform even better.

The difference between poor and Ok, does not translate much into profits. The difference between great and outstanding does.

I took Amy Costanza out for coffee last week. She is a great saleswoman who has the potential to be outstanding everyday. We had a great talk and I feel that we really connected. Guess what - she had a record breaking week last week. Coincidence?

I am taking Theresa Santa out for coffee this morning. She is another Next Step Magazine top performer. Dare I predict that she'll have a great week?

When you take your top performers out, tell them how much you appreciate them - in a sincere way.

And then in a candid, yet tactful way, coach them on how they can move to the next level in their game. For great coaching skills, contact John Engels at http://www.leadershipcoachinginc.com/. They don't come any better than him.

They'll love the appreciation and feedback - and so will your profits.

Now, go schedule a lunch or coffee with a top performer!

Creating a High Octane Culture - Part 3

2007-07-26T05:42:00.000-04:00

The third step in creating a high octane culture is having a performance review – for the CEO!

If you're the leader of a company, who reviews you? Of course, you are probably thinking that everyone "gets" you and your company is some kind of special "utopia land."

Why in the world would you need a review? You have this special talent that enables you to connect with people, therefore providing the perfect work environment for your employees and customers, right?

WRONG!

I am going to guess that your perception of your leadership vs. your employee's perception is at least, slightly different.

So it's time for your employees to give YOU a performance review. Have your managers gather the results and present them to you as a team.

Got ego? Lose it.

Many company leaders are too full of themselves to be subjected to feedback. Hey, open up baby. You'll only being doing yourself a favor.

I did it last month. It was the most enjoyable punch in the stomach I ever had.

I found out what I'm great at and what I suck at (according to my staff). The rub is, they were spot on! I couldn't deny anything!

I learned I should spend more time with/on sales, engaging with clients/partners and more public speaking. I'm the relationship guy! I can sell anything to anybody! But most importantly, myself.

And it's all good because my products are good, and I am good! (no snake oil salesman here folks...)

I also learned that I should get my finger out of general operations because I get in the way of them.

It was all constructive, relevant feedback and nobody took any pot shots.

Here's the catch. You have to insist to your managers to bring it on. Don't let them hold anything back.

Laura Hammond, one of Next Step's VP's asked me the week before my review, "Hey, some of this feedback is not so pretty. And, you can fire us. Are we safe to tell you the good, the bad and the ugly?"

I told her I would fire them if they DIDN'T give it to me straight!

As a result of my review, I created a new job description for myself and have found a good groove.

So there is step three - review the CEO!

For previous steps, go to:
http://www.nextstepmagazine.com/blog/2007/07/creating-high-octane-culture-part-2.html

Step four - coming soon....

Creating a High Octane Culture - Part 2

2007-07-19T06:32:00.000-04:00

In my most recent post (http://www.nextstepmagazine.com/blog/2007/07/creating-high-octane-culture-part-1.html), I wrote about Step 1 on creating a high octane culture and shared an idea of how to celebrate recognition.

In this post, I share Step #2 - FIELD TRIPS BABY!

Remember those field trips in elementary school? They were the bomb! You got to miss school for the day and do something cultural around your town. Maybe it was the last time you visited your local museum?

You also got to fluff off for the day and laugh with your friends.

I remember visiting Rochester's local planetarium in second grade. I got in trouble because my friends dared me to ask the speaker if there was life on “Uranus.” That went over well. Detention was fun the next day. And my parents loved the letter home…

Ahhh....the memories.

Bring em' back!

After our big back to school September issue deadline, we celebrate and go on a whole day field trip. We've gone rock climbing, wine tasting, to museums, etc... And there is always a big lunch involved.

They're fun, full of camaraderie and a great change of pace. There is no big yellow bus but we still feel like 3rd graders on a field trip!

So, Tip #2 for a High Octane Sales Culture – CELEBRATE WITH A FIELD TRIP!

And make sure everyone has a buddy - we don't want anyone to get lost. :-)

Creating a High Octane Culture - Part 1

2007-07-17T06:26:00.000-04:00

I am most proud of the culture we have created at Next Step Magazine. My staff is the best anyone could ask for. They are hard working, loyal and take ownership of their positions.

Our claim to fame is that nobody has ever quit (that I have wanted to stay). Sure, I have had to let some people go, but my core team has stuck with the ship. That's means the world to me.

It's true - by 5:00pm, 99% of my company assets are gone. They have left the building until the next morning.

One of my proudest (and humorous) moments, was when my cousin stopped by Next Step to visit. He was astounded at how loyal and happy the staff was. I walked by as he was talking to a staff member. He asked her if she would take a bullet for me. She said, "We'll, I just had a baby, so now that I am a mother, I am not sure if I would take the bullet, but I would push Dave out of the way and get braised by it for him."

That's big! An employee would get braised for me! Now THAT'S loyalty.

So how does Next Step crate such a culture?

Read on and stay tuned. I am going to tell you about the ten top things we do to create a high octane culture.

Number one is below. Please check back for the remaining nine.

#1 Strategy for High Octane Culture

Recognition!

A person's greatest need is to feel appreciated. And it has to be sincere appreciation. No saying, "Hey Susie, great job picking up that paper clip. You really scooped that thing up!"

It has to be real. When a team member really does a great job and/or goes above and beyond the call of duty, give him/her sincere public recognition. You'll be reinforcing good habits and encourage repeat behavior.

Your employees want to work hard. They want to go the extra mile for you. But if they feel that nobody is watching or nobody cares, that passion gets doused.

At Next Step, we have what's called a monthly DWIT award (Doing Whatever It Takes).

At the end of our monthly company-wide meeting, everyone anonymously votes for the DWIT. I count the votes and announce the winner. It's a suspenseful couple of minutes. Especially for me!

One time, I was on vacation and the staff chose me. I was touched and honored, but forbade them to vote for me again. It's about them!

Anyway, the DWIT winner gets a gift certificate to anywhere they want, a great parking space near the entrance, their name on a plaque and their photo posted near the entrance with a flattering description of their most endearing traits.

It's a nice way to feel appreciated for the whole month.

The DWIT is a Next Step original idea but feel free to steal it. It's easy to implement, fun to do and makes a difference.

Check back soon for #2 Strategy for High Octane Culture!

The Future of Local Retail

2007-07-09T07:14:00.000-04:00

“Go Back to Home Depot.”

I can’t believe she said that to me.

Being a grassroots entrepreneur, I always try to support the local businesses. Especially the local retail shops and restaurants… (You won’t find me at Olive Garden).

So this spring, when it came time for my wife and I to buy plants, instead of going to Home Depot or Lowes, we went to Bristol’s, a local place right near my house.

We bought four beautiful plants to put outside our door. They all had equal sun and were watered the same.

One died. The three remaining plants flourished.

I brought the dead one back to Bristol’s with the receipt. I thought that since Home Depot takes anything back, anytime, Bristol’s would at least try to give me an exchange to make a happy customer and compete with the Goliath up the street.

Wrong.

They told me I had to come back the next day to speak to Margaret. She wasn’t in at that time.

So, I went back the next day and explained my situation to Margaret. She told me that I must have not watered it enough. I explained the other three plants are doing well and asked why would this one die?

Then she accused me of repotting it. I showed her the Bristol’s sticker on the pot and squashed that excuse.

Then she said there was nothing she could do. She told that if they replaced every plant that someone killed from lack of water, they would go out of business. (Wait, I thought we already covered the water excuse…)

I told Margaret that this is a shame because I really like to support local businesses and with her attitude and “policy” she was making it difficult.

Then, I tested her for a response. I almost know she was going to say it, but I wanted to hear it for myself.

I said to her, “Geez, I really love shopping here but your policy makes it tough because I can buy something at Home Depot and return it for any reason.”

“Well, maybe you should go back to Home Depot then.”

Yep, she said it.

She had a loyal customer that had been shopping there for years, standing right in front of her and she told him to go Home Depot.

Unbelievable.

Well, there’s my story of my last visit to Bristol’s. It’s a shame, because they have nice stuff. I live one mile away; I am 38 and probably spend $500 a year there. If I continue to live here and live to 75, that’s $18,500 they just threw away.

And I know a ton of people. There goes some good word of mouth advertising too.

I wonder how many $18,500 customers Margaret has thrown away.

My point is not to throw Margaret or Bristol’s under the bus. (Or under the topsoil?)
I simply want local retail to survive. Nothing makes me more unhappy than when I go into a town and the only restaurant choices are Cracker Barrel, Denny’s, Bob Evan’s and Applebee’s.

I want to underdog to win!

Margaret won the battle and lost war.

If that was my store, I would have empathized with the customer, found a suitable replacement and thrown in some plant food for good measure. My goal would have been to have that customer leaving with a huge smile on his face.

I would have wanted him to have felt “WOWED!”

Why? Because he would come back often and talked about his experience to others.

He may have even written about it in his blog….

The only way local retail will survive is to make the customer feel so special. A special feeling that one can’t get at big box stores. They can remember names, birthdays, etc…

But more importantly, they have to stand behind their product.

My Home Vacation

2007-07-05T06:36:00.000-04:00

I am attempting to take a home vacation this week.

I envisioned hanging out in my backyard with my kids and swimming a lot. The problem is that the weather has not been ideal and instead, I find myself cleaning windows, trimming landscape, edging the driveway, washing the cars and tinkering around the house.

I'm restless as hell.

I have decided it's hard for me to take a whole week off to stay at home and do nothing. I am like a fish out of water.

There may be something wrong with me. Most people enjoy having time to do nothing. It drives me crazy. I need a mission or I start to feel something inside of me, ready to explode.

Maybe I'll take the family to SeaBreeze today (local amusement park). But then again, it's supposed to thunderstorm today.

Next time I take a week off, I think I need to go away someplace and really BE ON VACATION.

Now, I am going to work-out and burn off some of this combustible material inside of me before it explodes.

My New Friend George

2007-06-27T06:11:00.001-04:00

Last month, I drank from the fire hydrant of entrepreneurial knowledge.

I am part of an organization called EO – The Entrepreneurs Organization (http://www.eonetwork.org/). It’s a place for us manic entrepreneurs to learn, grow and bond with other kindred spirits of the same ilk.

EO puts on a program called The MIT Entrepreneurial Masters Program (formally called The Birthing of Giants).

It was fours days of intense learning from great speakers. They brought in top business consultants like Verne Harnish (the founder of EO and now founder/top dog of Gazelles, Inc. http://www.gazelles.com/), other business book authors, entrepreneurs and my new friend, George.

George is George Naddaff. He’s a legend. They call him “The Franchise Guru.”

You may have heard of some of his businesses – Boston Chicken, Sylvan Learning Centers, Mulberry Child Care Centers/Living and Learning Schools (now Kindercare) and many more.

George is now taking on the obesity problem in the US.

He started a new franchise called KnowFat - http://www.knowfat.com/ (they are changing the name to UFood Grill.) It’s a healthy lifestyle grill aimed at providing good food that Americans are now used to, but in a healthy way. For instance, instead of deep frying their french fries, they "air cook" them with hot air.

He had more energy than all 60 of us combined in the classroom. I loved this guy!

Oh, and by the way, George is 77.

I felt so inspired by his presentation that I called him about an hour after his presentation. He works in Boston, so I figured he would be back in his office by then. :-) I really wanted to meet with him.

And I did. I flew back to Boston about two weeks later we met for more than three hours.

I learned more from George in three hours than most learn in a two year MBA program.

I turned on my recorder and just listened. He gave me such great energy and inspiration – energy that I needed. You see, I am actually getting restless with the day to day operations of Next Step. I don’t want to sell, but I don’t want to continue on my current course either. I need some drugs, and my drug of choice is building business ideas….

More to come on that in my next blog entry…

But back to George.

I have made a new friend. I gave George a big hug when I left and felt like a met a soul that I once knew in a past life.

We will keep in touch and I will hopefully continue to learn from the master.

My question to you – where do you go to learn and get energy? Do you have a George?

Sponge Bob and My Managers

2007-06-22T06:21:00.000-04:00

What does it mean when two of your top managers watch Sponge Bob Square Pants? Seriously. Let me know. I am dying to know.

On Monday, I was flying to NYC with them for a conference called "What Teens Want" (http://www.whatteenswant.com/). On the plane, we were all in one row and I was in the middle seat. I was reading my business journal when I glanced up to see what they were watching (we were on JetBlue).

Laura Hammond, Next Step's girl-wonder VP/Editor in Chief was watching Sponge Bob cartoons.

Chris Roberts, Next Step's VP/Guru of Marketing and Interactive was watching…. Sponge Bob Square Pants.

The weirdest part - neither of them knew what the other was watching. Pure coincidence.

What does this mean?

These are smart, hard working professionals, both watching a sponge with square pants. Hmmm….

Have I driven my managers so batty that they need to turn to Sponge Bob for solace?

Does Sponge Bob provide some sort on hidden inspiration that I am not aware of?

Do they work so hard that watching Sponge Bob gives them a needed break - maybe like bubble gum for the brain?

Or, is it simply that Sponge Bob is hilarious at any age and I just need to lighten up and start watching?

I'll try. Right after I finish reading my business journal.

David vs. Goliath

2007-06-15T06:46:00.000-04:00

Yehaa! We won!

I just got back from Association of Educational Publishers Distinguished Achievement Awards in Washington D.C..

Next Step Magazine was nominated for Periodical of the Year in the young adult category. These awards are known as the "Academy Awards of Educational Publishing,” and helps to recognize the year’s most outstanding material in the field of teaching and learning.

The cool part was being nominated. The outstanding part was winning and beating out the three esteemed finalists - The New York Times Upfront, Scholastic Art and The Wall Street Journal Classroom Edition!

Imagine that - Next Step beats out those behemoth companies....

It just goes to show you that having a ton of money doesn't necessarily give you the resources to be the best. Sometimes, all it takes is good ole' fashioned creativity, hard work and a small but awesome team!

Congrats to my awesome team…

The case against cost per lead

2007-06-06T06:28:00.000-04:00

I am against advertisers judging media buys strictly on cost per lead success, and here's why -

IT'S INCOMPLETE.

Cost per lead metrics give no credence to a well designed advertising campaign. For instance, I may be in the market for a car. Maybe I saw a billboard, a TV ad, a magazine ad and spoke to a friend about the car.

When I walk into the dealership, I won't say, "Hi, I just saw your billboard, your TV ad, your magazine ad and spoke to my friend, so therefore I am ready to buy your car."

That just doesn't happen. What happens is that in a good marketing campaign, with effective ads and a targeted mix of media, each ad becomes part of the push that moved the prospect to buying.

I spoke to a longtime client yesterday. I love this guy and he loves Next Step. Let's call him Hank.

Hank renewed his advertising for the next school year because he knows Next Step works well for him. But the "people upstairs" are breathing down his neck about "the number of leads" he gets from each of his media buys.

He said the "people" are always saying it's not enough.

I asked him how do the "people" account for all the Next Step readers who just saw his good ad and called, went to his web site or e-mailed? (We don't get credit for those).

He thought that was a good question.

Then I asked Hank how his year was. He said "Incredible - a record!"

I then asked him for part of the credit. Next Step was one of only three advertising vehicles Hank used.

Hank gives me the credit. He gets it. He knows that all good advertising can't be tracked by lead. It's the "people upstairs" that we need to worry about.

All they see is a number (leads). They need to start looking at a different number - Hank's record year. That's the metric that really matters.

I get quite passionate about cost per lead in my recent newsletter. For more cost per lead ranting, please go to http://www.brand-university.com/.

Wherever you are, be there

2007-05-29T05:54:00.000-04:00

One of my favorite business philosophers, Jim Rohn (www.jimrohn.com), says the simplest yet most powerful sentence - "Wherever you are, be there."

So stupidly simple, yet so important!

Practically speaking, he means, if you are work, be AT work. If you are at home, be AT home. And if you are on vacation, be ON vacation.

It's hard to enjoy the pleasure of your family on vacation while checking your Blackberry.

It's hard to focus on work, if you are thinking about a project that needs to be done at home.

And it's hard to be a good father/mother/husband/wife at home if you are checking e-mail constantly and catching up on work (that is why I am writing this blog entry while my family sleeps!).

I thought about Rohn's phrase this Memorial Day Weekend because I thoroughly enjoyed it with my family. We swam, we went to the parade, we went to the park, we cooked, we went to dinner at a friend's house, we did chores together - it was a blast!

I didn't send one e-mail. I didn't use my remote desktop to tap into the office once. For three whole days, I dismissed myself from work and focused on my family and it was great. My mind is clear, I feel refreshed and ready to go.

I am a new man!

Thanks Jim Rohn!

Trade Show Love

2007-05-22T06:07:00.000-04:00

When you are an exhibitor at a conference, often the attendees view you as a necessary evil. They need your money to put on the conference but God forbid if they actually have to talk to you!

I was at a conference last week and was made to feel like a king. Thanks to NYSTAA - New York State Transfer and Articulation Association. They get it.

When I walked in to the conference with all my boxes, etc, there was a warm welcome by the organizer, people ready to help me check in and get my bearings and a sincere appreciation of my being there. I felt truly welcomed!

NYSTAA invites the vendors to their meals, their parties and we even play bocce ball together! Last year, I was the reigning champ (With Tom Fletcher, an actual attendee)!

So THANK YOU to NYSTAA for not making the vendors feel like lepers. We appreciated it. Other conference I go to that make one feel special are NYSACAC, NACAC and SUNYCAP. There are many more I am sure that my staff attend.

But, I hear stories all the time, that some organizations will take your money, put you off in a corner and pretend that you don't really exist. Bag these conferences. You don't need them anyway.

We're paying good money for a booth, sponsorships and scholarships. At the end of the day, we need to establish and maintain relationships for this investment.

If a conference organization takes your money but doesn't make you feel like a king, drop it and spend the money on more productive things.

A Healthy Entrepreneur is a Good Entrepreneur!

2007-05-08T05:50:00.000-04:00

I am committed to working it out and do it three to fives times a week. I am also committed to eating. You could probably say I am committed to over eating - but not by choice. I just LOVE food!

So when my doctor said that I was about 25 pounds overweight, my blood pressure was a bit high and my cholesterol was bit high too, I decided it was time to make a change. I figured that it's a lot easier to fix these things at age 38 than 58 when everything is even higher.

So now I am committed to really making something happen with my health. I have been talking the talk for years. Now it's time to walk the walk (or run the run?). This time will be different because I have a realistic plan that I can do forever!

My plan consists of real oatmeal for breakfast with fruit. This will lower my cholesterol. I go out a lot for lunch, so it gets tough sometimes. I have decided to not even open the menu for that is when temptation starts! I just ask the waitress what salads they have with chicken or salmon.

Then for dinner, I try my hardest to have portion control. And no desserts. My wife is trying to eat well too, so this has helped. Last night we had a salad with tuna fish and it was delicious - and healthy!

Plus I am working out more and harder.

At my last doctor's visit, I was 205. That was about two months ago. I just got on the scale and I am 192. So, slowly but surely. They say that's better anyway. You'll have more luck keeping the weight off if you if lose it slowly.

Wish my luck! My goal is 175.

Are Entrepreneurs Artists?

2007-05-04T05:36:00.000-04:00

I was being interviewed recently by Maria Pascucci from Campus Calm (http://www.campuscalm.com). Maria has a great company that gives students helpful advice about handling stress and personal well-being. She's a fellow Western New Yorker and I am a big fan of hers.

Her interview of me was for a book that she is writing. Her goal was to obtain some my "pearls of wisdom" as far as what makes a person happy. She must know that rarely is there a happier person than a successful entrepreneur. :-)

She asked me an awesome question. Its awesomeness didn't hit me until later, but when I started thinking about it, it was the best question I have ever been asked.

She asked, "Are you an artist?"

Having no ability with a paint brush whatsoever, I initially answered no. But then I got what she meant. Maria wanted to know if entrepreneurs consider themselves creative artists in a way that doesn't involve paint.

I thought about it for awhile and then exclaimed “yes!” I told her that she hit it on the head! Yes, I feel like an artist! Business is my canvas and my brush stokes are my readers, employees, customers, ideas, design and more.

Serendipitously, the next week I was reading Small Giants, By Bo Burlingham (http://www.smallgiantsbook.com/) and he wrote about his former boss, Bernie Goldhirsh, the founder of Inc. Magazine (http://www.inc.com), my favorite mag...

In an interview, Bernie described being an entrepreneur as, "...the entrepreneur is like an artist, only business is the medium of his expression. Artists who create art, dance or music contribute so much. This is what the entrepreneur is. He’s like the artist in the business environment, he creates it from nothing, just blank canvas. It’s amazing."

Bernie died a few years ago of a brain tumor. I wish I had got the chance to meet him. Maybe he is with me somehow and that's why I got so excited about Maria's artist question.

See you later. I am going to work on my masterpiece...

~ David “Picasso” Mammano

Where have all the small business leaders gone?

2007-04-30T05:39:00.000-04:00

In Lee Iacocca's new book, "Where Have All The Leaders Gone?" Iacocca questions much of what is going on in the USA today. He explores everything from the war in Iraq to childhood obesity and wonders if we have any leaders today capable of continuing America's greatness. His insights are eye-opening and downright scary. I hope his book becomes required reading in every high school because it is not only a synopsis of everything wrong with our country today but good ideas on how to reverse the current trend of higher waistlines and lower math & science scores.

Anyway, I tried to relate much of Iacocca's thoughts into my own business and asked myself, "Am I a good leader?"

Well, I guess you'd have to ask my employees, but here's what I believe makes a good leader. A good leader:

1) Does not try to solve every problem but rather teaches others to solve their own. This takes time and practice.
2) Truly loves his/her employees and they know it. If a guy came into the business and started shooting, the leader would take a bullet for an employee. They know this too.
3) Keep his ego in in back pocket. If you have to tell someone you're a leader, you're not.
4) Is one of them. A good leader will not ask something of an employee that he would not do on his own. They know this too. The kick is that, if the good leader in empowering effectively, he will rarely have to do these things.
5) Focuses on his strengths and surrounds himself with people that fill in his gaps. Most importantly, he actually listens to these people.
6) He works with others to find their strengths and has a skill that brings out their strongest potentials.
7) During the tough times, is intense and passionate, while simultaneously calm and cool.
8) Has values, moral and integrity and employees know it. People have a hard time following someone who says one thing but does another.
9) Can give honest and tough feedback, in a helpful, learning way. He doesn't beat around the bush, yet he doesn't intentionally try to make the person cry either.
10) Knows when to slow down and finish something before moving onto the next big thing.
11) Surrounds himself with people that challenge and question everything. Has a cadre of “no” men and women.
12) Has a mastermind alliance. This is an informal group of other leaders that he can contact for advice, inspiration and mentorship.
13) Always learning. He's the geek with business books on tape in his car and on his iPod. He attends classes and workshops to improve his skills. He joins organizations that can help him grow as a leader (Like EO - Entrepreneurs' Organization) and he reads in his field every morning.

Those are my thoughts on leadership on this Monday morning at 6am. I'll e-mail them to Lee Iacocca and see if he can add any...

Giving Back

2007-04-28T08:23:00.000-04:00

There is a new book out called “The Secret.” You have probably heard of it. I think the stuff in it is great, except I don't think it's much of a secret. I have known for years, that the more goodness you put into the universe, the more it gives you back.

When I started The Next Step Magazine, I was so grateful to have the opportunity to start a business, I felt the need to give back right away. I had always thought about volunteering at Camp Good Days and Special Times, a local camp for kids with cancer. I decided that within one minute I would find a phone book and call to volunteer. It was one of the best experiences of my life.

I originally thought it would be a very sad experience; considering that many of these kids had terminal cancer. But I never felt more alive. These kids were playing, laughing and running around like they did not have a problem in the world. I thought to myself that I would never complain about any of my "pressing problems" again. This experience has also left me with little patience for healthy people who incessantly complain about how "tough" their life is. I want to smack them and say "Get a grip you fool!"

And sometimes I do. I also have fewer friends than I used to, but that's another post.

Anyway, the point is that I feel it is my duty to invest some of my success in others. I feel so incredibly lucky to be here in a country where anyone with a good idea who wants to work her/her posterior off, can start a successful business and create the life they desire for themselves and their family. How lucky is that? That's not possible in most countries!

To show my gratitude, I have become involved in many volunteer and fund raising activities. Just yesterday, I volunteered my day to a city elementary school and did J.A. for a Day (Junior Achievement). Once again, it not only made an impact on 20 fifth graders, it left me feeling incredible!

To be clear, I am not saying that you should give back only to feel good or get more out of the universe. That sounds rather selfish! Those outcomes are just icing on the cake. The core of what you are doing is filling in the pieces of the world that need you, and it turn, the universe will give you the pieces that you need when the time is right.

There is nothing worse than a successful person that does not give back. I assure you their success is fleeting.

If you liked the "The Secret," I suggest you read some of the original writings on this subject. I suggest "The Strangest Secret" by Earl Nightingale, and "The Greatest Secret in the World" by Og Mandino.

I leave you with the question, “What deposit are you going to make in the universe today?”

The theme of my blog

2007-04-27T05:51:00.000-04:00

Welcome to my first official post! My mission in writing this blog is to give insights to real world of small business. Too often we hear stories of huge colossal companies and it's hard for "Joe Regular" to relate. I mean really - how interesting is it for you to read about two massive companies merging to create millions of dollars for the shareholders and the CEOs, then only to find out that it made no sense for those companies to merge so they split apart again?

Do those stories really affect you? Probably not.

In my blog, Confessions of a Grassroots Entrepreneur, I will talk about the real experiences I have with my small company. You'll feel my passion, hear about my frustrations and challenges and ride the roller coaster of small business with me.

Some days are great. We were just named a finalist as Periodical of the Year by The Association of Educational Publishers. The other finalists are The New York Times/Upfront Magazine, The Wall Street Journal for Teens and Scholastic. Not bad company, huh?! The day I heard that news was a GREAT day.

Some days are not so great. Like when payroll is due on Friday and on Thursday morning, you're praying for checks to come in so you can make a deposit. Those days are not so good!

So welcome to my world. Whether, you're one of our student readers of Next Step, an advertiser, an aspiring or current entrepreneur or just visiting, I'll hope you find this blog useful, interesting and inspiring to you!