Many people spend hours mingling with other professionals or business owners during networking events, trade fairs or business conferences. You may collect a wallet full of business cards, but do you ever contact them once the event has finished? If not, you're certainly not alone. You may not feel comfortable dialing the number of a new contact without having anything to say.
Hence, I'm going to discuss some steps you should follow so you can utilise these valuable contacts at a later date. You have to remember that the steps you take before you actually follow up will determine how easy or difficult the task will be. If you want your new contacts to be available when you need them, take heed to the following 10 steps:
1. Direct Your Conversation To Meaningful Topics
Remember, you normally have a very limited amount of time to chat with other conference participants. Hence, you don't want to waste any time discussing non-important issues such as the weather. You can spend a few minutes breaking the ice, at which point you should move to more important topics. This will enable you to maximise your time spent with as many event participants as possible.
2. Inquire About Their Professional Interests & Goals
If you find initial conversations with strangers a bit awkward, you can always ask a question about the event you are attending. This will not only break the ice, but also lead the conversation in the direction you want. Two useful examples are "What did you find the most useful point you learned from today's conference"? or "What are you hoping to learn from today?" These types of questions will pave the way for more general questions such as their other goals or their profession.
3. Create An Excuse to Follow Up Soon After The Event
Another helpful tool is to create a reason for you to contact any new people you meet during a business event. For example, listen closely to the other person and advise them that you would be happy to send them a suggestion, call them with relevant contact information or email them a recommendation. This will make it much easier to contact individuals because they will be expecting to hear from you.
4. Create A Follow Up Reason That Creates Added Value
Make sure you find a reason to contact the other person that will actually add value to them, rather than just benefiting you. Hence, there is no point sending a person you recently met your company brochure or resume unless they have specifically requested these documents.
5. Obtain A Business Card With Complete Contact Information
Don't risk losing valuable contact information when networking by scribbling names, email addresses or telephone numbers on the nearest available slip of paper. You should always request a business card so you have many available methods to contact them.
6. Write Notes On The Back Of Your Own Business Cards
Instead of jotting down notes on the back of someone else's business card, try the reverse tactic. Make sure to write down some ideas or specifics that you will follow up with on the back of your own business card. This will jog the other person's memory when you decide to contact them at a later date. This is also an effective method of making you stand out in a crowd.
7. Make Sure You Contact Them Within 2 Business Days
If possible, you should follow up with your networking contacts within 2 business days. If you will be away for a few more days, make sure to call or email as soon as you return to your office. If you plan to be away for at least a week, you can send a short email message to explain that you enjoyed meeting them and will follow up when you return.
8. Don't Start Off Asking For A Lot
You risk scaring off new contacts if you start requesting big favours. Wait until you have established a more solid connection. Minor requests such as the name of a great real estate agent generally aren't a problem. However, larger requests such as an introduction to the head of their company or access to main customers should wait. Very few people are willing to risk their professional reputation for an individual they have recently met.
9. Continue To Add Value Whenever You Connect
If you establish yourself as an individual who continually adds value, you will quickly build up an extensive network of contacts. Continue to send information on relevant areas or offer your assistance if someone needs help or has a question. Another great way to build up your contacts is to send people customers who genuinely wish to purchase their service or product.
10. Be Specific & Provide Context When You Ask
When you're finally ready to request a favour or information, make sure you specify exactly what you require. Explain that you felt they would be the best person to contact. This reveals that you have taken the time to deliberately contact them which will increase your likelihood of receiving a favourable response.
Showing posts with label Steps. Show all posts
Showing posts with label Steps. Show all posts
Friday, August 31, 2012
Thursday, July 19, 2012
Five Steps To Planning A Successful Business Exit
A business owner's exit is a once-in-a-lifetime transformation. We're not talking about selling a house or a car. This is a complex process that requires the technical expertise of a team of trusted advisors. The key to any successful business exit is planning. It must begin with personal reflection on the part of the owner regarding what he or she wants out of the business exit. Only then can the owner, along with his advisors, design an appropriate exit strategy. The five (5) planning steps outlined in this article are designed to help business owners define their personal goals, understand all the transfer options and work with an advisory team to execute a successful business exit plan.
Step 1: Define the Personal Goals of the Owner
Since personal goals intertwine so closely with the daily existence of a private business owner, it only makes sense to begin with the basic albeit crucial question, What do I want to accomplish with my business exit? The answer seems obvious--make the most money after taxes and fees. Often, however, it isn't this simple. Owners have nourished and raised their businesses from infancy; they typically care a lot about who will take the reigns. Family members might also be involved in the business. Their fate will also be dependent upon what the business owner ultimately decides.
Aside from money, other motives for a business exit can include transfers to family, transfers to employees, transfers to co-owners, partial transfers to gain some liquidity today but still run the company's day-to-day business, or an initial public offering. The decision often comes down to a question of liquidity. A substantial source of liquidity outside the business makes for a much easier choice.
However, more often than not an owner's wealth is tied up in the business. The owner must therefore balance his financial and interpersonal goals in order to find the best possible exit strategy. Therefore, an assessment of the range of values for the business is the crucial next step.
Step 2: Understand that a Range of Values Exist for the Business
The value of a privately-held business depends largely upon who buys it. It's not as simple as watching the ticker tape for today's stock price. The type of buyer can impact both the price placed on the shares (or assets) of the business and the tax consequences to the selling owner. Value (net transfer price) is therefore a range concept.
Internal transfers to employees, family, and co-owners provide fewer dollars up front, but allow for greater control of the business, continued income, and flexible timing and tax characterization of payments to the exiting business owner. By contrast, External transfers to other industry players, financial groups, or by initial public offering command more liquidity up front while the owner relinquishes more control over the Company and the timing and tax characterization of payments. A closer examination of the transfer options can help an exiting business owner determine the right balance of money and control over the future of the business.
Step 3: Examine the Options Available for the Transfer of Shares
There are seven (7) primary purchasers of privately-held business stock (or assets). Below are listed the Parties to the Transaction and Types of Transactions Available (samples; not a complete list)
Internal Parties:
Employees - Employee Stock Ownership Plan (ESOP)
Charity - Charitable Remainder Trust
Family - Gifting Program
Co-owners - Leveraged Buyout
External Parties:
Financial Groups - Recapitalization
Industry Buyers - Acquisition (at Synergy Value)
Initial Public Offerings - IPO (at Public Market Value)
Based on the primary goals defined in step one (1), an exiting business owner chooses the party to whom the business will be transferred. That designee, once chosen, will determine the limits or expansion of the Value. At the end of this phase, the process comes full circle as the Value (after taxes and fees) is matched against the owner's goals. If the two meet as one, congratulations! A successful business exit strategy has been devised. Now it's time to execute.
Step 4: Provide Full Financial Disclosure to the Buyer
This step isn't going to be easy on the business owner. Assembling financial records and presenting them to a buyer/successor is a very time consuming, very personal survey of how the business is run. It can be huge psychological block for many exiting owners. Remember, any savvy buyer (or successor) to a business will need to understand the financial condition of the Company. When an owner fesses up to any creative accounting they may have employed over the years to help build wealth and reduce tax bills, the process goes smoother. Full disclosure is the best path to a seamless process. There is an old saying - if the truth will kill a deal, then there is no deal.
Not only that, but it may reward the owner in the end. Full disclosure is not about passing judgment, but instead affords the buyer (or successor) an opportunity to assess the business's true profit potential. The astute exiting business owner will recognize this in advance. Why? Because most creative accounting practices depress the profitability of a business. Clear those away and the Buyer will recognize a higher earning power and in turn a higher Value for the Company.
Step 5: Assembling the Advisory Team No One Should Go It Alone
Planning and executing a successful business exit strategy is a complex process that requires the technical expertise of a team of trusted advisors. It's not the time to take short cuts or pinch pennies. Time and money should be invested in assembling the right team of advisors; a successful business exit is more than worth it. It should be viewed as an investment in success.
We must understand that business owners are independent self-starters. If they weren't, their businesses wouldn't be so successful and we wouldn't be talking to them. But some of their strengths and characteristics can lead many business owners to attempt the do-it-yourself business exit strategy. This can create an unnecessary drain of time and money on both the business owner and their business.
A business owner's exit is a once-in-a-lifetime transformation. It is an important milestone that is sure to provide any business owner with one of the most challenging yet satisfying sense of accomplishments.
So remember, planning is the key to any successful business exit because a proactive approach to an Exit Strategy is the only approach to a successful Exit Strategy. If you've come to the end of this discussion, you're already ahead of the game.
John M. Leonetti
Step 1: Define the Personal Goals of the Owner
Since personal goals intertwine so closely with the daily existence of a private business owner, it only makes sense to begin with the basic albeit crucial question, What do I want to accomplish with my business exit? The answer seems obvious--make the most money after taxes and fees. Often, however, it isn't this simple. Owners have nourished and raised their businesses from infancy; they typically care a lot about who will take the reigns. Family members might also be involved in the business. Their fate will also be dependent upon what the business owner ultimately decides.
Aside from money, other motives for a business exit can include transfers to family, transfers to employees, transfers to co-owners, partial transfers to gain some liquidity today but still run the company's day-to-day business, or an initial public offering. The decision often comes down to a question of liquidity. A substantial source of liquidity outside the business makes for a much easier choice.
However, more often than not an owner's wealth is tied up in the business. The owner must therefore balance his financial and interpersonal goals in order to find the best possible exit strategy. Therefore, an assessment of the range of values for the business is the crucial next step.
Step 2: Understand that a Range of Values Exist for the Business
The value of a privately-held business depends largely upon who buys it. It's not as simple as watching the ticker tape for today's stock price. The type of buyer can impact both the price placed on the shares (or assets) of the business and the tax consequences to the selling owner. Value (net transfer price) is therefore a range concept.
Internal transfers to employees, family, and co-owners provide fewer dollars up front, but allow for greater control of the business, continued income, and flexible timing and tax characterization of payments to the exiting business owner. By contrast, External transfers to other industry players, financial groups, or by initial public offering command more liquidity up front while the owner relinquishes more control over the Company and the timing and tax characterization of payments. A closer examination of the transfer options can help an exiting business owner determine the right balance of money and control over the future of the business.
Step 3: Examine the Options Available for the Transfer of Shares
There are seven (7) primary purchasers of privately-held business stock (or assets). Below are listed the Parties to the Transaction and Types of Transactions Available (samples; not a complete list)
Internal Parties:
Employees - Employee Stock Ownership Plan (ESOP)
Charity - Charitable Remainder Trust
Family - Gifting Program
Co-owners - Leveraged Buyout
External Parties:
Financial Groups - Recapitalization
Industry Buyers - Acquisition (at Synergy Value)
Initial Public Offerings - IPO (at Public Market Value)
Based on the primary goals defined in step one (1), an exiting business owner chooses the party to whom the business will be transferred. That designee, once chosen, will determine the limits or expansion of the Value. At the end of this phase, the process comes full circle as the Value (after taxes and fees) is matched against the owner's goals. If the two meet as one, congratulations! A successful business exit strategy has been devised. Now it's time to execute.
Step 4: Provide Full Financial Disclosure to the Buyer
This step isn't going to be easy on the business owner. Assembling financial records and presenting them to a buyer/successor is a very time consuming, very personal survey of how the business is run. It can be huge psychological block for many exiting owners. Remember, any savvy buyer (or successor) to a business will need to understand the financial condition of the Company. When an owner fesses up to any creative accounting they may have employed over the years to help build wealth and reduce tax bills, the process goes smoother. Full disclosure is the best path to a seamless process. There is an old saying - if the truth will kill a deal, then there is no deal.
Not only that, but it may reward the owner in the end. Full disclosure is not about passing judgment, but instead affords the buyer (or successor) an opportunity to assess the business's true profit potential. The astute exiting business owner will recognize this in advance. Why? Because most creative accounting practices depress the profitability of a business. Clear those away and the Buyer will recognize a higher earning power and in turn a higher Value for the Company.
Step 5: Assembling the Advisory Team No One Should Go It Alone
Planning and executing a successful business exit strategy is a complex process that requires the technical expertise of a team of trusted advisors. It's not the time to take short cuts or pinch pennies. Time and money should be invested in assembling the right team of advisors; a successful business exit is more than worth it. It should be viewed as an investment in success.
We must understand that business owners are independent self-starters. If they weren't, their businesses wouldn't be so successful and we wouldn't be talking to them. But some of their strengths and characteristics can lead many business owners to attempt the do-it-yourself business exit strategy. This can create an unnecessary drain of time and money on both the business owner and their business.
A business owner's exit is a once-in-a-lifetime transformation. It is an important milestone that is sure to provide any business owner with one of the most challenging yet satisfying sense of accomplishments.
So remember, planning is the key to any successful business exit because a proactive approach to an Exit Strategy is the only approach to a successful Exit Strategy. If you've come to the end of this discussion, you're already ahead of the game.
John M. Leonetti
Thursday, June 21, 2012
Getting Over Your Break Up The Five Steps Of Recovery
Just as there are stages of grief when mourning someone who has died, there are also steps that must be taken when getting over a break up. One woman whose first husband died and second husband divorced her said that it was actually easier getting over the death of a husband than it was recovering from divorce. That is because there's societal support when someone dies, but you are supposed to go about getting over break up on your own.
First: You should do is sit down and write a long letter to your ex. Pour out your heart. Share the experiences you had together. Tell him or her why you loved them. Put on paper how you feel about the break up. Call them names. It's okay to emote in this letter because no one is ever going to see it. That is because you are going to light a candle and burn the letter over the candle's flame. There are not many rituals that go along with breaking up, but this one can help you on the road to emotional recovery.
Second: You need to arrange to exchange stuff. If you have been in a relationship of any length, you probably have some stuff of his at your place and he's got your things at his. You probably want much of this stuff back and he or she is equally eager to get theirs. Work out a time for a mutual exchange.
If there are things of your ex's that aren't going to be exchanged, either box them up or throw them away. Don't leave your ex's toothbrush lying around the bathroom because it will only remind you of them as you are trying to go about getting over the break up.
Third: It is also a good idea to box up any gifts your ex gave you for a time. Wearing a watch that your ex gave you will make you think of them every time you check to see what time it is. That's just not a good idea when getting over a break up.
Fourth: There are sometimes financial matters that need to be straightened out when getting over a break up. If you owe your ex money, try to either pay it off from your own funds or get another loan to pay it off. If you have a checking account together, work out how you are going to divvy it up and then go to the bank to close it.
What you should be seeing is a pattern of closing out the parts of your lives that you shared. This is essential to getting over break up.
Fifth: After you have done what is necessary, agree to have no contact for thirty days. This will allow you to start building separate lives. You shouldn't call, text, email, or meet the other person during this time. You may even want to agree that some places such as a specific bar or even a given church belong to one party or the other during this month long period.
After you have had time to begin building a separate life, you will be able to interact more normally once again. This is a difficult time, so give yourself the space you need in order to go about getting over a break up.
Getting over a break-up, even an amicable one, can be a lonely road but you just have to get through each step and each day one at a time.
First: You should do is sit down and write a long letter to your ex. Pour out your heart. Share the experiences you had together. Tell him or her why you loved them. Put on paper how you feel about the break up. Call them names. It's okay to emote in this letter because no one is ever going to see it. That is because you are going to light a candle and burn the letter over the candle's flame. There are not many rituals that go along with breaking up, but this one can help you on the road to emotional recovery.
Second: You need to arrange to exchange stuff. If you have been in a relationship of any length, you probably have some stuff of his at your place and he's got your things at his. You probably want much of this stuff back and he or she is equally eager to get theirs. Work out a time for a mutual exchange.
If there are things of your ex's that aren't going to be exchanged, either box them up or throw them away. Don't leave your ex's toothbrush lying around the bathroom because it will only remind you of them as you are trying to go about getting over the break up.
Third: It is also a good idea to box up any gifts your ex gave you for a time. Wearing a watch that your ex gave you will make you think of them every time you check to see what time it is. That's just not a good idea when getting over a break up.
Fourth: There are sometimes financial matters that need to be straightened out when getting over a break up. If you owe your ex money, try to either pay it off from your own funds or get another loan to pay it off. If you have a checking account together, work out how you are going to divvy it up and then go to the bank to close it.
What you should be seeing is a pattern of closing out the parts of your lives that you shared. This is essential to getting over break up.
Fifth: After you have done what is necessary, agree to have no contact for thirty days. This will allow you to start building separate lives. You shouldn't call, text, email, or meet the other person during this time. You may even want to agree that some places such as a specific bar or even a given church belong to one party or the other during this month long period.
After you have had time to begin building a separate life, you will be able to interact more normally once again. This is a difficult time, so give yourself the space you need in order to go about getting over a break up.
Getting over a break-up, even an amicable one, can be a lonely road but you just have to get through each step and each day one at a time.
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