WELCOME

I've been thinking about this new year and what it means to an entrepreneur. Being one is most certainly a tough job and, pretty much always, only the strong survive. If you are an aspiring entrepreneur and you are of the opinion that life is fair, you will not survive.

With that in mind, I thought it might be helpful to list a few items for your new year to-do list. If you currently have a business or think you might make the plunge, these few things are applicable:

Have you ever read any marketing materials without the content urging the reader to reach out to new customers? I am a big fan of retention. Many owners are so focused on attracting new customers that they fail to remember the importance of keeping the current ones happy and satisfied. Not only that, wouldn't you say that the bulk of new customers come from the referrals of existing ones? It's a cycle you shouldn't break.

Consider an e-mail newsletter. This can be sent to your existing customers as well as prospects. An important note: familiarize yourself with the CAN-SPAM Act to ensure that your document is compliant with all regulations. Or you can consider an ad in this newsletter, AR Online, which offers a distribution to MBA members without much effort on your part.

Expand your reach and increase your value. If a customer bought from you once, that doesn't mean a lifetime commitment of sales. Consider what you're selling and if it needs improvement. Then look into new areas to target and new types of businesses that may need what you're selling.

And if you're just starting to think about your new business or would like a refresher on the nuts and bolts of it all, MBA is presenting Fired. What Next? A Blueprint to Start Your Own Business, a workshop of what it takes to be a business owner. Included will be the basics of starting, marketing without money, why you need a business plan, and other topics germane to entrepreneurship. Mark your calendar for February 23. Did I mention that it's free? Watch this newsletter or send me an e-mail for additional information as it becomes available.

Libby Beatty, Chair
MBA Board of Directors

NEWSWORTHY

News from the IRS

The IRS has released the 2010 standard mileage rates to help business calculate the cost of operating their vehicles. Beginning on January 1, 2010, the standard mileage rates for the use of a car (also vans, pickups or panel trucks) will be: 50 cents per mile for business miles driven, 16.5 cents per mile driven for medical or moving purposes, 14 cents per mile driven in service of charitable organizations. More details about the standard mileage rates can be viewed here.

The IRS has also released a newly-revised comprehensive tax guide to help taxpayers find breaks on their 2009 returns. Highlighted additions to the guide include new tax-saving opportunities like energy credits for homeowners and excise tax deductions for new-car buyers. The 308-page guide is full of links to help provide answers to tax questions.

Also, stop by the IRS website to check out the revised Virtual Small Business Tax Workshop offering updated content with interactive features and a new reference section.

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MARKETING

Suggestion Noted

Getting your customers' opinions is a great way to bolster retention and also a tremendous wellspring for innovation. A suggestion box is a simple and effective tool to gather customer opinions and data.

Methodology: The "open method" uses a blank form that is open for suggestions of any type. An "ordered method" can function as a survey where opinions about specific subjects are solicited.

Implementation: The box should be placed in a high-traffic area of the office or store, but in a place where people feel they have the privacy to express themselves freely. Employees should use gentle reminders to let customers know that their opinions are valued and how they can be shared. Try offering incentives like discounts or a gift card for those who take a minute to share their thoughts.

Response: You can't please everyone, but you can appreciate them. Appoint a customer service representative to respond to every suggestion with an e-mail or phone call to say "thanks." Be sure that good suggestions are implemented regularly.

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YOUR FINANCES

Shrink Bills Using Billshrink

Billshrink is a free cost-comparison site that can help save on things like gas, credit cards and cell phones. Start by answering some basic questions, and Billshrink will find the cheapest gas on your driving route, lower the rate on your credit card, etc.

Billshrink can also track market changes so when a better deal comes along you are alerted immediately by e-mail.

Because Billshrink is independent and has no incentives to promote one business over another, the company separates itself from other comparison services.

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FOR THE HOME-BASED BIZ

Projecting a Professional Appearance

Giving your customers what they want is only half the battle of a home-based business. The second half is about looking like you can get that job done. Here's how to make your business look as successful as it operates:

Seal of Approval: Joining a small business group, like Midlantic Business Alliance, is a great way to inject credibility into your business. Take it a step further by investing in a business card that displays your membership, and you've made a valuable first impression.

Toll-Free Number: A toll-free customer service number is worth the investment. It not only shows a certain level of professionalism but it lets your customers know that you are available to offer service to back up your products or services.

Merchant Account: Using a credible and secure means to accept online payments is a huge asset to a small business. Many online shoppers won't even consider purchasing from you if you don't use a recognized merchant account provider.

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HUMAN RESOURCES

Managing Office Productivity

Keeping your staff motivated is about more than setting deadlines and pushing for results. It takes a positive attitude and a subtle guiding hand. Here's how:

Delegate Tasks: By giving trusted and capable employees some of your more administrative duties, you can reduce your workload while challenging your employees to step up to the plate. It will help them feel appreciated as a trusted member of the team.

Breaks for Health: Breaks are proven to help rest and refocus the mind while reducing stress and increasing productivity. Encourage your employees to make healthy choices by providing them with a place to get some fresh air and exercise or by simply providing healthy snacks.

Rewards: Small, cost-effective rewards are great ways to keep morale up. Pizza parties, gift certificates and recognition awards go a long way towards keeping employees motivated. Remember to reward yourself too, because it's your energy and motivation that inspires those around you.

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IT

Metrics Made Easy

Tracking the metrics of your online business can be a time-consuming and tedious task considering the amount of real-time data that can be extracted from the web. Metricly is an application that reads and combines user metrics to create easy-to-use dashboards and graphs to view in real-time. Drawing data from financial systems, web analytics, CRMs systems and your own custom data sources, Metricly does all the grunt work for you.

The application will even make recommendations based on your metrics, suggesting which metrics to keep an eye on. There is also a community that allows you to compare metrics with other users. Metricly is still in private beta, but you can request an invitation on their landing page.

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NEW MEMBERS

When our member base increases there is more of everything: more creative networking, more benefits and more experienced, enthusiastic business owners. All move our members toward growth, success and the entrepreneurial spirit.

Click here to meet our newest small business partners.

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COMMENTARY

Where Are the Funds?
Stimulus Funds Not Flowing to Micro Businesses
By Stephen Markowitz

Small business owners and start-up participants are complaining to Midlantic Business Alliance that they are frustrated in their attempts to tap into the stimulus funds which have been ballyhooed by the Administration. Large banks, the greatest recipients of our unwilling largess, seem similarly unwilling to put the welfare they received from the American taxpayer back into play. While there are some small business loans that have been granted, they do not seem to be going to start-up or micro ventures. These are the kinds of loans that people who have been fired from their careers will need. And the American landscape is dotted with these people at the current time.

With unemployment above ten percent and projected to still be above eight percent next November, the urgent need of dollars for start-up ventures should be obvious. Instead we are again hearing of non-responsiveness from the United States Small Business Administration (SBA) and banks. These folks and this Administration are playing with your money and their claims of great concern for the health of the small business community now need substantiation.

In particular, members have complained about the lack of response by the SBA to requests for stimulus money available under the American Recovery and Reinvestment Act (ARRA). Phone calls do not get returned and staff seem uninterested in the micro business environment.

MBA has a checkered relationship with the SBA. At one time it was a regional resource center for the SBA, and at a later date it campaigned for the closure of that agency when it determined that not a single one of the thousands of MBA members had successfully negotiated a loan or loan guarantee. MBA is ready again to deal with a bureaucracy if it is unresponsive to your needs. Call or e-mail MBA if you have a story concerning failure to obtain loans or loan guarantees from any of the stimulus programs currently in existence. MBA will mediate the matter on your behalf.

You are entitled to, at the very least, an equitable opportunity to receive back some of the funds that you were forced to supply to banks and government agencies by the Administration. Allow MBA to help you do just that.

Stephen Markowitz is chief executive officer of The Administrators, Inc. His column Commentary appeared for 15 years in The Alliance Report, MBA's printed newsletter. His comments reflect his views and not necessarily the opinions of the board and staff of Midlantic Business Alliance. Contact him at SMarkowitz@TheAdministratorsInc.com.

MBA EVENTS OF INTEREST

Fired. What Next?
A Blueprint to Start Your Own Business

Don't wait to register for this major event addressing one of the nation's most pressing issues: small businesses - start ups, keeping the momentum and succeeding.

Tuesday, February 23, 2010
9 AM to 2 PM
Marple Township Building - Broomall, PA

Click here to register or request more information

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Unless specifically indicated, MBA does not intend mention of companies, products or services discussed in this publication to be construed to be endorsements. The information in this publication is offered as examples that may be useful to our small business readers. Please consult with an industry professional before implementing any of the tips or subscribing to any of the services described above.