The Importance of Knowing your Competition

It’s a competitive world and nowadays there are more options than ever for consumers.  As a small business owner it is important to know who you are up against and what you can do to stay competitive in the market.  The best way to accomplish this is to know who your competition is and what they are doing.  Here are a few tips on how to stay in the know.

Use the Internet – Set up Google alerts and search for keywords that relate to your industry – or specific competitors – as well as your own company.  You will be kept informed anytime someone pops up in the news.  Also, use social media outlets such as Facebook, Twitter, and LinkedIn to see what customers and the general public are saying.  

Look within the Business – Check out the competition's website to see how they are marketing themselves.  Research who they have on staff and if they are hiring for any new positions. This will tell you how big the company is and what resources they have to run their business.  If they are hiring, you can examine the request and see who they are looking to bring on and for what purpose.  This also allows you to see what benefits and salaries they are offering so you can stay competitive.  

Ask your Clients – One of your best resources for learning about your competition is your customers.  Talk to them about who they have worked with in the past and what they liked and disliked about them, as well as what they are looking for in your business. Likewise, do this if you happen to lose a customer.  You want to know why they may choose to look elsewhere – better pricing, friendlier service, etc – and improve for next time.

Are you a rising new business less than a year old? Becoming part of the New Business Sponsor Program will provide you with the tools you need to keep a leg up on the competition. 

For more information you can trust, visit us at bbb.org/boston, like us on Facebook, or follow us on Twitter and LinkedIn.

Written by: Adam Koncius, Koncius Digital Marketing

Hiring Tips for Small Businesses

Running a small business can often be stressful and especially difficult to do all on your own. It’s important to surround yourself with trustworthy and hardworking employees in order to grow your business and take some of the pressure off yourself. Here are some tips for hiring the best employees.

Find the Right Fit – Look for someone who complements your work style. You don’t necessarily want them to agree with everything you do, but you also don’t want them challenging you every step of the way. Find someone who is a nice balance – you trust their opinions but they have their own ideas as well.

Take Your Time - Allow plenty of time to find the right personnel for your company and don’t just settle because you are in a time crunch. If you are desperate for extra help and don’t have time to search through all the applications and websites, consider using a temp agency. This way you don’t have to commit to anyone in particular and they may end up working out for you anyway!

Define the Position - Make sure you know exactly what you need the new hire to do. Clearly articulate their responsibilities and what you expect of them, as well as what you can offer them (benefits, vacation, etc). This is a two-way street, you want them to be happy working for you so they give you their best work. Consider being more flexible either with hours or allowing some time to work from home. This makes your company more desirable.

Search Outside the Box - Treat everyone you meet and speak with as a potential candidate. This doesn’t mean you are constantly interviewing but you never know who you will meet that might be perfect for a position in your company. Keep track of top contenders and their attributes – they may not work for your current needs but down the road something may open up where they are an ideal fit. Also, don’t put all the pressure on yourself or one person in the office to be the sole recruiter. Allow everyone on staff to keep an eye out for potential new hires as they already have a great idea of what it takes to work for your company.

Are you a rising new business less than a year old? Becoming part of the New Business Sponsor Program will help potential employees see that your company is a trustworthy and reputable business.

For more information you can trust, visit us a bbb.org/boston, like us on Facebook, or follow us on Twitter and LinkedIn.

Written by: Adam Koncius, Koncius Digital Marketing

3 Reasons to Read Online Reviews before Hiring Them

Before the advent of the Internet in the mid-1990s, people conducted business on a face-to-face basis or by speaking on the phone. Many times, customers could gather a lot of information about the integrity and reliability of a company by simply walking through the front door of the company's retail store or offices. When people realized the power of the internet, companies began doing more business online and personal contact was sacrificed. 

Advantages and Disadvantages of Doing Business Online One of the primary advantages of using the Internet to advertise and/or conduct business is the ability to efficiently and effectively reach more people. The related advertising costs savings for many businesses have been significant enough to help business owners expand into other areas with other services or products. However, nothing comes without a price. The price of interacting business over the Internet is losing the ability to get a gut feel for how a business operates. For many consumers, that's a significant disadvantage. 

A New Level of Trust It's quite remarkable that so many Americans are willing to transact business online. The amount of trust that comes with ordering goods and services without physical contact between parties has absolutely changed the way that customers interact with retailers and service providers. When you factor in the notion that most customers are going to offer up personal information and access to their credit/debit cards in the process, it elevates the need for trust far beyond anything that was ever required pre-Internet. Researching Before Buying It's sad to say, but there are far too many predatory companies operating in the business world, especially on the Internet. Unscrupulous businesses have been around for centuries, but the Internet provides a substantial curtain behind which they can operate. The fact remains that customers have an obligation to themselves and/or their businesses to do the proper levels of due diligence prior to purchasing goods or services no matter where they purchase them. This isn't a new notion. 

The Better Business Bureau has been operating since 1912. It's a non-profit organization that provides ratings for companies in almost every industry. That said, the Internet has made it easier to research companies via a wide range of other watchdog and review sites that provide information about companies and the way they conduct business. Best Ways to Avoid Commerce Issues If an individual is planning on hiring a company to provide services, they need to make sure the services offered come as advertised and that the people offering those services are qualified to do so. If they are looking to purchase products, they need to know the products being sold are real, reliable and come with some sort of guarantees and/or protection such as good customer service. Keeping in mind that no method is going to be 100% reliable, the three most popular methods for determining the reliability of a retailer or service provider are: 

• Word of mouth from friends, family or acquaintances. 

• Business ratings from organizations like the BBB and Consumer Reports. 

• Online reviews provided by review sites like Google Places, Yellow Pages, Yelp, Trip Adviser, etc. 

Over the past several years, online reviews have increased in popularity. According to BrightLocal's 2013 consumer survey, it was determined that 85% of Internet users were reading online reviews prior to hiring or purchasing. Also, it was reported that 79% of respondents say they trust those reviews. While online reviews are subject to some scrutiny for a variety of reason, they still provide a useful tool for choosing the best companies with which to do business. The three most important reasons to read online reviews are: 

1. Help Identify Potential Rogue Companies - If you see a negative comment or two about a particular company, you should take note and perhaps contact the company about what those reviews are saying. By doing this, you offer them a chance to explain prior to eliminating them as a prospect. If you see reviews that indicate a company might be involved in some type of unethical or criminal business practices, you should simply move on and find another company to use. There are plenty of reliable companies that provide goods and services in every industry. There is no sense in taking unwarranted risks. 

2. Gain Confidence in The Company's Reputation - It becomes quite reassuring when you consistently read positive reviews about a company with which you are considering doing business. When you hire a company under these circumstance, you are awarded great peace of mind that you are going to get what you're paying for as advertised. This helps provide great rationale for your hiring or purchasing decision. 

3. Time Savings - It might take a significant amount of time to call enough references and referrals. Also, the company is assuredly going to point you in the direction of only satisfied customers. 

Online reviews give you a place to go where you can read a number of diversified opinions in one place at one time. These reviews are being offered by folks who are freely taking the time to offer advice with nothing to lose or gain. This makes the decision making process easier to complete. When providers and consumers do business, some level of trust comes into play. The tools are in place to protect consumers if they know where to look and want to protect themselves. Online reviews are becoming the most prominent method for consumers to go for meaningful advice. This is a great tool that shouldn't be ignored. 

Bio: Brad Smith is CEO and co-founder of Rescue One Financial, headquartered in Irvine, California. Rescue One Financial helps individuals resolve unsecured debt during troubling times and have settled over $3.1B in debt. Brad's 18-year financial services career includes Wall Street with Merrill Lynch, where he helped pioneer the restricted stock diversification business at Morgan Stanley.

Smith still holds all of his licenses today (Series 7, 31, 63, and 65).

Hiring an Accountant

When dealing with your business’s money it’s crucial to find a reliable accountant you’re comfortable with.  Use these tips when searching for a trustworthy accountant and accounting firm.

Tips for Hiring an Accountant:

Get Recommendations.  Ask business colleagues, your banker, or other business professionals to refer a reputable accountant. You can also find trustworthy Certified Public Accountants (CPAs) through your state’s Society of Certified Public Accountants website. Always remember to check out every candidate at bbb.org to read reviews or complaints from previous clients.

Check Credentials.  Find out if the accountant is a Certified Public Accountant (CPA). To work as a CPA, the accountant must obtain an undergraduate degree, pass an exam, and meet the experience requirements. A CPA must also participate in continuing education classes to remain licensed and certified, as well as, abide by certain ethical accounting standards.

Determine Size.  The size of the accounting firm you choose will depend on the size of your business and what types of services are needed. Large accounting firms have more resources, while small firms will be able to provide more one-on-one personal contact. Whomever you choose, be sure you feel comfortable with them because you will need to trust them with sensitive financial information.

Interview Candidates.  When interviewing candidates, it’s important to look for an accountant that has a vast amount of experience specifically in the area you need. Be sure to ask about the types of services they provide and which areas they specialize in. Some firms will be able to provide more in depth services, like financial planning advice, retirement planning, and employee benefit planning, while other firms may specialize in preparing tax returns and end of the year financial statements. Be sure to get to know the people who will be working with your account.

Request References.  Ask the accountant or accounting firm to provide references you may contact. Ask the references how often they are in contact with the accountant throughout the year. Ask what type of services the accountant provides for their business and if they are satisfied.

Discuss Fees.  Be sure to ask about service fees upfront. Find out if the accountant charges by the hour with an additional fixed cost or if they charge monthly. Get an estimate of the annual cost for the services you are purchasing and compare the bid with other accounting firms. Keep in mind you will usually get what you pay for, meaning an experienced accountant will charge more for their services, but will usually be worth the money.

Good Business Practices – Finding Professionals

When choosing professionals to help you, it is a good idea to interview several candidates and ask questions about their qualifications, fees, and references before deciding to work with one.

Lawyers

Most people check the yellow pages when seeking a lawyer, or ask a relative or friend to recommend someone. This may not be the best way to locate a skilled lawyer.

Look for someone who has experience advising businesses of similar size, ideally in your industry. Many bar associations have excellent referral services that can help you find a qualified lawyer, usually for a small.

Accountants

It’s important to find a good accountant for your business. Even if you maintain all your business records yourself, at some point, you will probably need to consult a professional about tax laws, loan applications, or other matters that affect your business finances.

Look for a Certified Public Accountant (CPA). You can get referrals from business friends. You can also locate such individuals through national or local CPA associations, which you can find through the Internet or phone book.

Licensing

Smart business owners understand that they have to obtain a license to operate when the law requires it. Since you are putting a lot of money and effort into your business, you don’t want to endanger it by failing to get something as simple as a license.

How do you learn about licensing? Consult a business adviser or the local association for your industry. You are likely to find information through the following government agencies:

City: Department of Consumers Affairs, Mayor’s Office, Economic Development or Business Development office

County: County Clerk or County Executive

State: Department of State, usually located in your state’s capital

Federal: Federal Trade Commission (FTC), and other federal agencies

How have you gone through the process of hiring professionals in the past?

The Cream of the Crop

With roughly 2 million college graduates expected for the 2013-2014 school year, there will be plenty of employees to go around. But with the shadows cast by the larger firms and corporations, it creates an uphill battle when trying to promote the great job opportunities in small business.

How can you compete with these business giants for the best employees?

First and foremost, you must stand out from your competitors in both your specific industry and the business industry as a whole. You can use these tips as a guide for attracting your desired graduates.

Job Boards. Using sites such as Indeed, Monster and even Craigslist. "These are one of the most effective ways to find fresh grads. To charm the right ones, write engaging ads. Think what specifically will excite these applicants most, and highlight that," explains Tom Gimbel.

Social Media. While many businesses are comfortably using various social media as a way to promote their products or services, it can be just as powerful of a tool when finding future employees. With a combination of sites such as Facebook and LinkedIn you can create a one stop shop for possible employees. With experience, hobbies, lifestyle and even personality highlighted it can be an easy way to pursue the best candidates for employment.

Initiate the Contact. Graduates are often intimidated with the prospect of meeting and interviewing with so many employers. But by initiating contact with alumni networks and college career centers, you can begin the process of meeting potential employees earlier in their careers as interns, volunteers, and mentees. These more informal meetings allow for the creation of bonds and for their potential assessment in a much more laid back environment.

Secondly, looking to fill an open position is a two-way street. Often employers are under the impression that after posting a job, they should sit back and wait to be impressed. But to attract the best employees, you should be trying equally as hard to promote yourself. Using these tips will give you an edge when selling your company to potential employees.

Size. Depending on the size of the company many new hires often sit levels below the decision makers. By highlighting their opportunity to connect directly with leadership teams and owners in small business, it can create a great selling point for your position.

Growth. While it is common to ask potential employees where they see themselves in five years, showcasing your desire for them to take on more responsibility and pursue promotions in the future, creates a common goal.

Rewards. Be realistic the best graduates will cost the most, and many small businesses don't have the budgets to compete with larger ones. This is where you can get creative. Offering products such as an iPad or cell phone depending on the business can often be enough to sway a potential employee.

What are your feelings towards this new generation of employees?

Sources and Related Articles:

Business Case for Hiring College Grads

All Dressed Up and No Place to Work

Hiring a Business Consultant

Business consultants are great resources that can provide advice and guidance for your business ventures. It’s crucial to hire a consultant with specific experience who knows the industry forward and backwards. 

Use these tips as a guide when hiring a business consultant:

Do Your Research.  Before you start searching for a business consultant, be sure to determine your specific needs so you know exactly what to look for in a candidate. Ask friends, family members, and co-workers to suggest a business consultant. Check out consultants at bbb.org to read reviews or complaints.

Look at Credentials.  Ask consultants what type of business degree they have earned. Be sure to ask where they earned their degree and make sure it’s from an accredited institution. Although degrees are important, employment experience is even more crucial. Since you are hiring the consultant for business advice, you’ll want to hire someone that has first-hand experience running a business. Look for a consultant that has experience with your specific industry and dealing with your areas of concern.

Interview Candidates.  Once you have compiled a narrow list, meet with at least two candidates for an interview. Look for a consultant that shows organizational skills and professionalism. Ask if the consultant has prepared an outline that targets your specific business needs. If the consultant is associated with a business, ask if that may hinder their ability to cater to your needs in the future. Make sure the consultant clearly answers all of your questions and concerns. Think about if the consultant has relevant experience for the position but can also provide outside objectivity. Since it’s their job to help you, make sure the consultant is a good listener.

Request References.  A reputable business consultant will easily be able to provide testimonials from previous customers and a list of references you may contact. Ask the references about their relationship and experience with the consultant. Ask about the services the consultant provided and if the references were completely satisfied with the job that was done.

Review the Contract.  Be sure there is a written agreement with the business consultant. Make sure the agreement includes: the services the consultant will provide, when the services will be provided, and how much and when you will pay the consultant for their services.

What other tips can you offer?

Business Owners Guide to Seasonal Hiring

Summer is here and with it brings a multitude of teens, college students and many others looking for employment. Better Business Bureau reminds employers that hiring seasonal workers – regardless of age, involves following many of the laws and regulations that apply to full-time employees.

If you’re hiring seasonal employees, keep in mind:

• State child labor laws differ so it’s important to become familiar with what is allowed – and not allowed in regard to ages, restrictions and allowable types of work for youths and teens 9 and older. Check your state’s website fir specifics.
• Interns – paid or unpaid – should not be treated as replacement employees (even if just for a few months). Have specific tasks or activities designated just for them that would not ordinarily be done by a paid employee. Internships need to be for a specific length of time with no guarantee of a paid position later on.
• Be specific about the job, what it entails and how it should be performed. Don’t differentiate between seasonal and year-round employees, everyone should adhere to company policies and rules and everyone should have their own copy of the company handbook.

Provide safety training at the beginning of employment to ensure seasonal employees understand workplace risks and hazards and what to do if they’re injured on the job.

Seasonal and part-time employees are subject to the same tax withholding rules that apply to other employees.

What other tips can you offer about managing seasonal hires?