NHSBDC Business Tips

Use Facebook’s powerful ad-targeting tools

If your company has a Facebook Business Page, you should certainly be using Facebook’s paid advertising options to promote the page or certain special posts you’ve made to it. Facebook paid ads can be highly targeted, meaning you’ll reach the Facebook users you most want to reach, and these ads can be relatively inexpensive compared to other forms of paid advertising. In fact, you set yourself a budget which can be as little or large as you like, and use the ads until your budget runs out. (Click here to read all about how Facebook paid ads work.)

Did you know that you can also create ads that are specifically designed to reach Facebook users who have recently visited your website?  This is an excellent way to capture people who’ve already shown interest in your business—they’ve clicked onto your website for one reason or another—but who have yet to discover your Facebook page in order to “LIKE” it.  Let’s say your website features a section in which you are selling several products.  That page has a specific website address (a URL) that you can program into Facebook and then, by adding a bit of code back at that selling page, customize an ad that promotes those for-sale items, or some other aspect of your business.  The idea would be to find those recent visitors to your website and, while your website is fresh in their minds, remind those visitors of what you do or how your company or products can help them. Don't worry.  The Facebook ad creator section will walk you through the process.  

Do you use any of these productivity apps?

As a small business owner, you know there are never enough hours in the day. This article by Lionel Valdellon gives a handy summary of 10 SmartPhone apps designed to make you more productive.  Here’s a summary of our favorites:

1) Distracted by Facebook or Twitter when you should be writing a marketing plan? Use TabZolo, a Chrome extension, to lock down every other tab you might have open in your browser, keeping you focused on the one site you might need to be using. Don’t worry. You can easily get back to all those other windows with one click.

2) “8tracks (browser): is a website for listening to (or assembling) playlists of audio tracks of every genre of music imaginable. Do a search for playlists with tags such as "focus+work," "study," or "productivity" to find curated music that may get you in the flow. Or check out our two favorite playlists: Relax to Infinity and Welcome to the Grind.

3) Hush—for Mac Users—lets you temporarily mute all the bells, whistles and notifications you might already have programmed for those rare times when you really just want to work and not know what else is going on.

The rest of the list contains some apps designed specifically to help you focus on writing, or to give yourself something to listen to if you’re one of those persons who concentrate best with some background noise.

What productively apps do you use? Share them here on Facebook.

 

Predatory lending happens to businesses, not just individuals

Charles Evans of the company Corporate Turnaround in New Jersey brought this phenomenon to our attention:

It can be tough to get a loan to your small business ever since the economic crash of 2008.  One among many unfortunate results of this tight market is a growth in the “merchant cash advance” industry, which has allowed businesses to “borrow” against future credit card purchases by their customers based on the company’s existing credit card sales.  The money was then paid back by the funding company taking a larger cut from future credit card sales and, sometimes, adding processing fees on top of that, thereby confounding the business’s need for cash. 

Today this process has morphed into cash advances against a company’s cash flow in the business checking account.  In other words, a company can “borrow” against its deposits into that account, and then pay that back through automated daily or weekly withdrawals back to the funding company. It can sound like a good solution, but often isn’t.

The interest and accumulating fees, etc. on cash advances can amount to 25 percent of principal! A business might need this kind of cash influx to bring in a new product for fall selling in early summer, and has high hopes for its success when the right season comes around. A construction company might need to purchase materials far in advance of the actual build and payment dates on a certain project. Both of these examples are good reasons to use this kind of cash advance method. Bad reasons to use it include when the company just has a need to “get by” or to pay other creditors. That sets up a vicious cycle and businesses who engage in this kind of borrowing too often or under very adverse conditions can find themselves deeper and deeper in a financial hole.  This article from Saddle River Financial suggests professional advice is best when a business finds itself in this kind of cycle.

Starting your own business? Here are some frequently asked questions

We found this article from ExpertsAllBusiness.com to be helpful as a reminder of the kinds of questions our business advisors get all the time.  Top question among them is which type of business to form—a C Corporation, a S Corporation, an LLC, a partnership or a sole proprietorship? Read our article here: http://nhsbdc.org/node/70

 

Here’s a quick list of FAQs, with answers: 

1) How much should I capitalize (invest) in my business to start?

The quick answer is “as much as you can afford”, but another way to look at it is to have the ability to go 6 to 9 months without any income.

2) Will I likely get Venture Capital?

It’s possible, but highly unlikely. Speak with one of our business advisors.

3) How should I name the business?

This can be done any number of ways, including hiring a consultant to help.  Try, first, doing a Google search, then a search at the New Hampshire Secretary of State’s office to see if a name you like is taken.

4) Do I need a lawyer to start a business?

It's wise to consult an attorney. Each situation is so different. We also recommend talking with an accountant to go over your tax implications. 

5) Do I need a  business plan?

Yes, yes, and yes. You can begin this process here at NH SBDC by taking our online e-course or use our Business Plan Online tool.

Finally, we recommend you take our Starting a Business in New Hampshire e-course.  

Budgeting software can help you stay on track

If budgeting for marketing is not your greatest skill as a small business owner, you might be helped out with one of several online (cloud-based) software options, according to this article from the 60secondmarketer.com.You might be surprised to learn that some options are free.   

It’s important, of course, to have a complete handle on your business’s finances and budgeting overall, but too many small businesses will launch a marketing or sales campaign without taking a close look at what they want to buy for the campaign and to what end.  The following options are meant to be low-cost or free and relatively easy for you to use for just such a project. They are designed for personal finance planning, but will work well for business projects.

• Mint: Remotely hosted and free, Mint is super easy to start, links to your existing accounts, automatically updates and helps with planning and budgeting.
• Outright: Now owned by GoDaddy, Outright has a clean, crisp, readable interface with comprehensive charts and graphs that make tracking a snap.
• Budget Simple: Although only the paid version comes with a mobile app, the free version contains most of what you’ll need to build and maintain a budget.