Profitable Ideas Cont.

-Test a product before buying alot of it.  Sometimes others don't think it is as great as you do.  The key to being a good buyer is testing then exploiting those products that passed the test.

-A new business that starts out with a surplus of cash is more probable of succeeding than one that starts on a shoe string budget.  The reason is that a business incurs more expenses than most anticipate.  Further, to get a new venture off the ground requires a serious investment in marketing and advertising.

-Cheap advertising normally doesn't work.  Expensive advertising doesn't always yield incredible results.  The key is to test before making a long term commitment.

-The best source of advertising is your own customer list.  It is the most targeted and will return more on your investment than nearly any other source.

-It is very difficult for a "hobbyist" to make a lot of money in a business.  The reason is because they are limited to the only what they can produce.  They normally can't produce enough by themselves to generate large amounts of cash flow.  It is much easier to buy merchandise and resell it.  You then can spend your time selling.  Manufacturing generates product; selling generates cash flow.

-You can never have enough of a great product.  Imagine a grocery store running out of milk.  How much money would they lose daily, by the hour, by the minute?

-The most money is made on a new product/concept in the first year.  That is when the creator or business is the most excited about it.

-There comes a time when you can't grow without hiring employees.  There are exceptions, but in general to take your business to the next level will require employees.

-Don't mix family and business.  Read that again.

-Don't hire anyone you can't fire.

-Good people in the wrong jobs won't be successful, they will only frustrate you.

-Hire employees based on skills and experience.  Test their skills before hiring them.

-The job market is overflowing with potential workers but scarce on skilled individuals that produce excellent results.  Pay up for skilled workers, they won't work for crumbs.

-Remember there is risk in what you are doing no matter how comfortable you get.  Work to minimize risk, but it will never go away.

-Managers must give employees written job requirements and goals.  It is the only way to be fair, consistent, objective and to be able to measure productivity.

-Trust must be earned.  Be wary of employees that want you to blindly "trust" them and are offended by you checking their work.  It is your business and your house on the line.  Never apologize for responsible management.

-Most mistakes made are due to carelessness and could have been prevented by double checking.

-You need to be able to quantify/track an employee's work performance.  When we started doing this we were surprised at the results.

-Quality is everything.  Don't settle for mediocrity.

-Negativity will wound if not kill a business. 

-Don't promote corporate welfare.

-We have had up to 4 interviews with candidates prior to hiring them.  What would the results be if most people got married after 1 or 2 dates?

-We have missed countless birthday parties and family get togethers over the years.  It is part of the sacrifice of owning your own company.

-There is a better way out there.  You have to learn from those who have already been successful.  Avoid asking people you really like for advice on topics which they have little to no experience. 

-You must be teachable, always.

-Some of the best interviewers are those that have been out of work for over a year.  There are jobs if you want to work.

-Importing is not for the faint at heart.

-Burnout is part of the entrepreneurial process.  How we deal with it determines the longevity of our journey.  The sources of burnout can normally be changed.  It is amazing how you feel once you change the source of the problem.

-If you don't have written procedures in your company, you don't have control or predictable and consistent results.