Blog

Your Summer Reader: 7 Books for Better Business

Wednesday, June 17, 2015


 

Over nearly five years I’ve had the opportunity to consult and teach 100s of entrepreneurs and small business owners. In that time I’ve discovered two things. First, most of us (including me) were taught to be employees, not small business owners or entrepreneurs. And second, successful entrepreneurs and small business owners realize “they don’t know” and begin a continuous learning journey.

Incorporating new learning into our daily busy lives is difficult. One way to do it is to learn from others through books. The learning process needs to challenge you, take you out of your comfort zone and enhance your discovery process.

Here are some books to consider to add to your entrepreneurial library:

SELF-IMPROVEMENT

Choose Yourself by James Altucher

This is not your standard business book. This book is packed with the advice and inspiration every entrepreneur needs to build themselves and their core practices to face the challenges of the entrepreneurial lifestyle.

How to Win Friends and Influence People by Dale Carnegie

This books has withstood the “sands of time.” Although it was first published in 1936, it remains a best-seller today. Carnegie’s main premise is that “the person who has the technical knowledge plus to ability to express ideas, to assume leadership and to arouse enthusiasm among people—that person is headed for higher earning power.”

BUSINESS DEVELOPMENT

Business Model Generation by Alex Osterwalder and Yves Pigneur

This book reimagines how we think about business design. It provides a new framework (the “Business Model Canvas”) about how businesses create and capture value by integrating the components of a business structure, such as customers, distribution channels, partners, revenue streams, costs, key resources and the business’s core value proposition.

MARKETING

Influence by Robert B. Cialdini

This book explains the psychology of marketing and persuasion, which you can learn for using yourself or for defending yourself against.

ENTREPRENEURSHIP

The Hard Thing about Hard Things by Ben Horowitz

the journey. Horowitz’ book is filled with practical wisdom from the author, including the near failure of his own company.

LEADERSHIP

True North by Bill George with Peter Sims

Finding your True North is critical in both our personal and professional life. This book helps you discover your personal leadership vision, values and motivations. The authors interviewed 125 men and women on what they believe has made them authentic leaders. There is also a personal leadership development portfolio handbook that accompanies the book, which is a personal guide to help you develop your own authentic leadership.

CREATIVITY

Creativity, Inc.: Overcoming the Unseen Forces that Stand In the Way of True Inspiration by Ed Catmull with Amy Wallace

This book is written by the President of Pixar Animation and Disney Animation. This book is designed to look into what creates, drives and sustains an innovative culture.

OTHER IMPORTANT READS:

Is your list of summer reads growing? Share with us your business reading essentials.

Nancy Barnett is the CEO and co-founder of eL3, LLC and a business consultant for the Denver Metro Small Business Development Center.

[Photo by Josué Goge]

Taking the Lead: Tips On Making Your Business Take Off

Wednesday, May 20, 2015
Aerial_01

In business, the sky is the limit for Big Sky Aerial Technology—literally. This start-up company captures high-resolution aerial images for use in precision agriculture, allowing farmers to analyze the health of their crops.
Big Sky Aerial Technology founders Ron Lester and Jerred Lane.

Big Sky Aerial Technology founders Ron Lester and Jerred Lane.


Founded this year by Ron Lester and Jerred Lane, the idea to launch Big Sky Aerial Technology was inspired by the years Lester and Lane spent working with land and air-based remote sensing technologies in the Middle East.

“With some of the most amazing technologies being implemented for war, we wanted to take some of what we learned and work with it here at home,” Lester said.

But as the two started working on the business, they quickly realized that while they had plenty of experience on the technical side, they would need some help on the business side. That’s when they turned to Chamber affiliate the Denver Metro Small Business Development Center, where they enrolled in its LEADING EDGE business planning course.

We asked Lester and Lane what they’ve taken away from the course to start their business:

1. Moving from dream to reality is not an easy task.
Most entrepreneurs discover that the journey is not straight and sure; it’s more like a roller
coaster ride. “We can honestly say that in starting a business, we were lost in all the business formalities,” Lester said. While Lane and Lester have over 35 years of combined experience in aviation and engineering, when it came to actually starting the business and writing a business plan Lane says, “We had a long ways to go.”

An example of the infrared images taken by Big Sky Aerial Technology to determine the health of crops.

An example of the infrared images taken by Big Sky Aerial Technology to determine the health of crops.

2. It’s more than just having a great product.


“You have to have a solid product that you understand and is in demand within your market range,” Lane said. LEADING EDGE Instructor Nancy Barnett, who also owns small business training firm eL3, adds, “It is necessary to identify what is happening in your market and understand how it is influencing both your customer and your offer.” For Big Sky Aerial Technology, Lester and Lane are confident
there is a demand for their product—which will both save the farmer money and reduce the amount of unnecessary chemicals sprayed onto soils. Currently only 5 percent of farmers use this type of technology, and interest in precision farming is continuing to build among the agriculture community. “Our customer base is out there,” Lane said. “[They’re] just waiting to have a system like ours that delivers a worldclass product.”

3. A solid business plan is a must.
Some businesses are able to bootstrap, while others require outside funding. “Either way, it’s important to have a well-thought-out strategy to execute,” Barnett says. Lane and Lester are in the process of laying out a well-defined business approach so they can “build a longterm sustainable business with a successful future,” Lester said. “While we are still encountering challenges along the way, with the help of the Denver SBDC we are able to overcome unexpected obstacles and continue on towards our goal of Big Sky Aerial Technology being a leader in the remote sensing industry.”

4. Just because you have a great idea, don’t expect banks to just give you money.
When you apply for a loan, lenders asses your credit risk based on the “5 Cs”—credit history, capacity, collateral, capital and conditions. Now that their business plan is complete, Lane and Lester are gearing up to talk to lenders, pitch at the Denver Metro SBDC’s Trout Tank, a triannual pitch event (the next is June 9), and get funded. “Once that happens, the sky is the limit,” Lester said.

5. Be ready to pivot. More than once.
“Just because you think you may have it down, start with an open mind and be dynamic, ready to tackle roadblocks that are sure to arise,” Lane said. Barnett adds, “Instead of changing your vision, which is more risky, you can pivot each component of your business model based on learning about your customers, the technology or the environment.” Eventually Lester and Lane hope to expand their company’s offerings to providing more imagery and sensor data with a fleet of aircraft.

While taking the 11-week course, they purchased their first aircraft, fine-tuned their brand and market position and continued working on sensor design and software processing. They plan to start doing business this summer.

“The next few years are going to be very promising for us,” Lane said. “Precision farming is the way of the future and we intend to help it get there.”

Alea Kilgore is the assistant director of the Denver Metro Small Business Development Center.

Turn Your Financials into a Powerful Management Tool

Thursday, May 29, 2014

How many of you have seen the ”Dave” Staples commercial? It shows “Dave” serving in all the positions of his company, asking “Dave” when “Dave” needs help. 

As business owners we serve in so many capacities, it is difficult, if not impossible to do everything well. When we get pressured, we get stressed. Negative stress (yes, there is positive stress) can cause exhaustion and illness often follows. Most of us have experienced that sinking feeling when we realize we are “in over our heads.”

When it comes to our financials we try really hard to get everything not only in the system, but in the right bucket. Time is often our enemy. Invoicing gets behind which can cause a cash flow crisis. The ‘taxman cometh’ and we might not be ready.

Whether we do our own books or have them done, we are ultimately responsible for the result. Although responsibly managing the ‘books’ was probably not the reason we started our business, it will be one of the primary reasons we succeed in business.

It all starts with organization. Chaos has no place in a financial system. It starts with a Chart of Accounts that actually matches the business and more importantly you, the owner. The second step is imputing good information and most importantly getting the data in the right place. Once these steps have been taken, you can then produce various reports on a regular basis. Those up-to-date reports can provide the information needed to find the answers to the following questions and more:
  • Are my products/services priced to make a profit?
  • What is labor actually costing me?
  • What are my true production costs?
  • Are my overhead costs under control?
With this financial information, you are now empowered to make key strategic business decisions based on fact not hope. Having access to these answers put you in the driver’s seat of your business. That control alone can bring down your stress level. Take action today to get control. If you need outside help, get it. Make sure if you get help with your financials, you stay involved in the process. Learn what you need to know about financial management, so even if you choose not to do it yourself, you can inspect what you expect and know it is being done correctly.
 

NEWSLETTER SUBSCRIPTION