Empress of Biz, Biz Tips; Pricing...thinking Like a business owner? Or a consumer?

One of the major obstacles we face in growing our businesses is learning HOW to ACCURATELY PRICE our product or service to make a PROFIT! 

There are several factors involved in making our pricing decisions. Some factors are logical and some are not. Today I want to talk about internal barrier that many small business owners have, especially women.

Trained as consumers from childhood on, we forget that we are business owners and we have to set our prices accordingly. When we set a price. we may secretly think" that's too much too charge and the PROFIT is too HIGH" and we 'lower the the price. 

The selling price of the product has to take into consideration, not only the costs of product, (labor, material, transportation,etc) but the costs of running the business and a profit. Without PROFIT the business does not grow and thrive. 

Another factor to consider is how women are use to sacrificing themselves and putting others needs first. This often leads to the owner taking a low salary or none at all. I ask my clients if you had to pay someone to do all that you do in the business how much would that be? Usually they laugh and reply, "a good deal more than I pay myself". 

Low balling your salary does NOT give an accurate cost of running your business. It does result in two negative results:

First, it does not SAVE money  It often creates personal cash flow problems. Which in turns creates problems with creditors and family members. 

Second,  it does not give an accurate picture of what it costs to run the business. And that leads to low ball pricing which leads to no profits and builds stress on the business

It is time to put a "true value" on your contribution to the business and give yourself a raise that is reasonable.   If you raise your salary  $1,000 a month that translates roughly into $5.00 an hour based on a 200 hour work month. And I know most of you work at least 260 hours a month. 

Remember you are a business owner, not a consumer. and its time to put yourself into the equation of success. 
Best wishes for a successful and growing business.
JoAnn R. ForresterS.I. Business Associates
412-440-6969

EMPRESS OF BIZ! Interviews Ralph Watson, community advocate, elected offical and Classic events host

EMPRESS OF BIZ! Listen! Learn! Prosper! - Live & Recorded Episodes:

From 1977 until 1987, The Honorable Ralph P. Watson was the youngest elected official (African-American or White) in both Allegheny County and the State of Pennsylvania. He remains the youngest elected official in Wilkinsburg history and the first African-American Democrat elected to the Wilkinsburg School Board. Having been elected to his first public office at  the age of nineteen this Elder Statesman has served the residents of the Borough of Wilkinsburg as an elected official within both governing policy-making boards to include the Wilkinsburg Borough Council. through 2006, he was an elected member of the Wilkinsburg Democratic Committee and remains the youngest former Vice-President of the committee.

 

     While remaining close to politics, Watson continues serve on community development boards and that focus on economic/business development he is currently a Commissioner serving on the Wilkinsburg Planning Commission. Passionate about economic/business development he has developed CLASSIC EVENTS! a public relations, marketing, business support group hosting a variety of community-based networking events that connect entrepreneurs to community stakeholders and elected officials.

 

     Watson will host two CLASSIC EVENTS!  during the month of May that are free and open to the public. On May 16, 2013 a BUSINESS/POLITICAL Networking Mixer will begin at 5:30 pm will be held at The Union Project 801 N. Negley Avenue Pittsburgh Pa., 15206. All political candidates asking for your vote  in the upcoming Primary election are encouraged to come to this meet/greet forum and answer questions from our audience. 

 

     On May 24, 2013 CLASSIC EVENTS! presents the next installment entitled: "Ladies  who Network" this event begins at 5:30 pm and will be held at Hosanna House 807 Wallace Avenue in Wilkinsburg and will recognize several outstanding ladies who have made significant contributions to our region to include:

*Darieth Chisholm, *Lynne Hayes-Freeland, *JoAnn Forrester, *Cecelia Jenkins, *Michelle Goodman-Jones, *Marimba Milliones, *Joanne Quinn-Smith and *Maryellen Sullivan.

 

     While both events are free and open to the public, vendor and ad-book space are available to entrepreneurs that would like to promote/showcase any product, organization, service or business. For further inquiry contact 412-723-2414 or e-mail: yourclassicevent@gmail.com.

 

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EMPRESS OF BIZ! Listen! Learn! Prosper! - Live & Recorded Episodes:

EMPRESS OF BIZ! Listen! Learn! Prosper! - Live & ; Recorded Episodes:

2013 09:00 AM EDT
Episode Notes: Did you know that family owned businesses in the United States have revenue of over 1 TRILLION dollars? We will be talking about family owned businesses their strengths and weaknesses. Join us and Listen Learn and Prosper on Thursday April 25, 2013 at 9am.
Cannot listen then...you can always listen later. 

Empress of Biz, Biz tips..Business emergency plans..crucial for survival

Sunday Biz TiP: Reflection: One thing we do not like to do is think about what happens if......So the majority of us don't. Emergencies and bad things happen...as responsible and caring business owners we need to have an action plan when problems occur. Being prepared does not prevent disaster...it does help to cope, heal and restore.

This week I will be concentrating on some of the things you need to think of when problems occur.  Whether you are a home based business or  Walmart...life happens.  The right planning makes all the difference in the world.

First thing to do...LOOK AT YOUR INSURANCE POLICIES.  Home, business, personal, liability, car  etc.  Do you understand what the polices are saying.  IF NOT ....CALL  your agent and sit down with her and make sure you know your coverage and risks.

IF YOU ARE HOME based...make sure your office and all equipment is covered.  We often leave ourselves exposed and vulnerable.  

I cannot emphasize this enough  Make sure you understand your policy and risks.  

Empressofbiz, Biz tips Do you have the RIGHT combination to Manage

Do you have the RIGHT Combination to MANAGE YOUR Business 

and 

RAPID GROWTH?

JoAnn R. Forrester

Pittsburgh Business Times  Column April 12 

A company's growth and success is not only based on increased sales it is also based on the owner(s) attitude and ability to manage growth.   One factor that is not talked about enough is the attitude of the owner and how she responds to the constant pressure of growth.   

Some people just seem to have the right attitude during stressful times, they love the challenge; look forward to matching wits and finding ways to get the impossible done.  We know these people…they are the daring, the innovators, the risk takers and they are vital ingredient in the growth process.  Their “get it done attitude” energy and drive is needed…but for how long?  Their strengths may actually become their weakness.  Once the excitement is over they may become bored and lose interest in the daily tasks of running the business.  This problem has to be addressed.   The founder has to be willing to admit it where her strengths and weaknesses are and bring in the people who counteract the weaknesses.   It is a delicate balance between the rapid growth ‘Get it done Now people ‘ and the ‘’Let’s get this done right people”.  You want to keep the energy and enthusiasm going while making sure the company is delivering quality product or service. 

In the last thirty years we have seen many companies explode on the scene make a big splash, some with success and  others die an expensive death.  The famous success stories we know, Micro-soft, Apple,  & Google  etc., but what about your company?   Do you have the right combination of  innovation and stability to accomplish what you want? 

This is where you have to, NO MUST be brutally honest with yourself.  Answer these crucial questions.

1.       What you are building?

2.        Short term success or long term stability?

3.        What are your strengths? Weaknesses?

4.        What do you need to do to sustain the growth?

5.          And where do you plan to fit in?    Or not? 

6.         In ten years…is this the job you want?

There is NO correct answer here…only you know where you want to go.  What  is important, is take that time to answer the crucial questions above and build a plan that  will get you there.

For further guidance in helping you decide your exist strategy..give JoAnn Forrester a Call at S. I. Business Associates 412-440-6969.  We have been guiding businesses to success for over 30 years.  

Empressofbiz, Biz TiP...What is the ending for your business?

HOW DO YOU WANT YOUR BUSINESS TO END?  

Do you want to sell it?

Pass it along to your family or an employee?

Just close it?  

We spend a great deal of time planning to open our business...but very 

little on how we see ending it.  

 Your business can be your "nest egg for your retirement? 

It can be golden goose that gets you started on your next adventure

  Or it can be something that just keeps you busy and occupied until you decide to retire. 

 Each goal is  is different and requires planning and making different kind of decisions. 

If want to sell your business your strategy is different than those who are planning to keep it .  

One thing you will NOT DO.  Is  TAKE ALL THE PROFIT  of THE BUSINESS. 
YOU Need to build VALUE and net worth into the business. In other words...you cannot play the tax game with the business...gotta show it is worth something to get a good buyout.

Some additional factors to consider if your plan is to sell the business.

1. You need to determine what you have to sell. 
2. How much you want for it?
3. What type of person you would want to own it?
4. How long do you want to own the business?
5. Are you willing to "hold paper"? 
6. How long are you willing to help the new owner?


Selling a business can be a profitable venture for you and a good start for a new business owner...if you plan it right.

EMPRESS OF BIZ! Listen! Learn! Prosper! - Live & Recorded Episodes:

EMPRESS OF BIZ! Listen! Learn! Prosper! - Live &; Recorded Episodes:
Empress of Biz interviews Bonnie DiCarlo,CFP business women, community champion and well known political strategist on the Pennsylvania Court Systems. Most business owners are ignorant of the law and the court system that carries out the law, and ignore it... until something unpleasant happens  Then we are FORCED to learn an expensive and painful lesson. Learn how Court decisions from the Magistrate office to the PA Supreme Court do make an IMPACT  on your business, professional and business life. Listen, Learn and Prosper by the knowledge and experience of one of our leading political women and commentator, Bonnie DiCarlo