Business Strategy , , , , 2 Comments

Limited Liability Company — Should Your Business Be an LLC?

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Going into business invariably entails lots of decision-making,  one of which will be to choose the legal structure of the business entity.  As you know there are three choices: Sole Proprietorship,  Limited Liability Company and Corporation,  typically S Corporation for Freelance consultants and small business owners.  Most Freelancers begin as Sole Proprietors and many remain there.  If business-related liability is not an issue,  then that is a perfectly acceptable choice.  About 70% of  US businesses are Sole Proprietorships.  However at some point in the life of your business,  perhaps as revenue and reputation grow,  it may be preferable to move beyond Sole Proprietor status.

At any time,  you may decide to operate your Freelance consultancy through an entity that limits your personal liability as the owner  (alone or in partnership),  decide that it’s worth the  $500.00 or so filing fee  (payable each year on renewal),  plus maybe three hours of attorney or accountant fees to make sure everything is done the right way.  Or maybe it’s not liability you’re worried about.  Maybe you feel that you’ll appear to clients and prospects more  “real”  and the legal structure is more marketing tool than liability protection.  Whatever your motive,  the matter of selecting your consultancy’s legal entity will present itself.  Should you structure your business as a corporation, or as an LLC? The answer to the question is— it depends.

Most Freelancers and small business owners are directed by their accountants and attorneys to the LLC.  It’s flexible and easy to set up and file.  Your state’s Secretary of State’s office will have a form online for you to inspect.  There may be one or several owners of the LLC,  but there must be a registered agent  (to receive mailings associated with the LLC entity)  who resides within the state.

A big advantage of organizing your business as an LLC is that you will receive protection from creditors of the business.  If the business owes money,  those to whom it owes money will not be able to come after personal property and other assets.   Moreover,  limited liability means that business owner(s) may not be held liable for debts that exceed their investment in the business.  For example,  if your investment in your Freelance operation is $5000.00 and you manage to incur business debts of $8000.00,  you are potentially liable for only the $5000.00.

Furthermore,  there is no separate business tax on the LLC.  All business income and expenses  “pass through”  to the owner(s) of the business,  who pay personal taxes only on the net profit,  based on the share of business ownership.  The owner of a single-entity LLC does not have to file a separate tax return for the business—all financial information is reported on form 1040.  Schedule C Profit and Loss for a Business must also be filed  ( you file schedule C also as a Sole Proprietor),  where one may deduct all of the allowable pre-tax business expenses,  i.e. advertising expenses,  travel and entertainment,  office supplies, etc.  You must also pay self-employment tax,  as do Sole Proprietors.

I was surprised to learn that an LLC can own property.  In fact,  if the property owned increases in value  (and it probably will),  your LLC will avoid the capital gains double taxation that regular corporations  (C Corporations)  would incur should the property be sold or the business entity liquidated.  Like business expenses and profit,  the capital gains would  “pass through”  to the owner(s).

One must be careful when doing business as a separate legal entity,  though.  Your LLC cannot become entwined with personal finances.  Keep your grocery store charges,  shopping sprees and personal vacations out of your business affairs.  Failing to do so will cause LLC status to be forfeited.  Moreover,   an LLC terminates if one of the owners retires,  resigns, dies or goes bankrupt  (remaining owners can form a new LLC).

The LLC works best in relatively straightforward businesses,  single- or multi-owner.  If your goal is to raise money to vastly expand your business,  then the business is advised to incorporate,  so that investors will have the security of holding stock certificates as proof of ownership stake in the business.  Ditto if you plan to take your company public.  I’ll be back next week with a look at incorporating your Freelance consultancy.

Thanks for reading,

Kim

Sales , 4 Comments

C-Suite Presentations

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Your diarist will present the workshop  “Become Your Own Boss:  Effective Business Plan Writing”  on Wednesdays October 10, 17 & 24 5:30 PM – 7:30 PM at Boston Center for Adult Education.  Perhaps you’d like to become a part-time entrepreneur,  maybe cater parties on the weekend while you keep your day job?  Find out how to launch your mini-business  http://bit.ly/RnyIBP .

The one thing you have to remember about the C-suite is that those who abide there are under pressure.  They must produce results,  hit a home run every time they come up to bat.  In order to produce results they must delegate responsibility,  delegate to those who have talent and can be trusted. They like people who meet deadlines.  People who don’t make major errors.

Therefore,  if you happen to meet a C-level executive,  you must appear both talented and trustworthy,  as he/she defines it.  In general,  you must demonstrate that you know your stuff.  Demonstrate that you are able to produce results.  To do anything less is to disappoint,  to waste the exec’s precious time.  One must make a very good impression.

If you’re lucky enough to be invited to make a sales presentation to a C-level executive,  whether he/she is alone or with a team,  take the time to do things right.  Arrive early.  If you are there to demonstrate a product,  do a few test runs at home and do one also at the office.  In advance of your appointment,  ask the  executive assistant if there is a room you can duck into to do one more dry run product demo.

If you will present your service and will use Power Point,  do several rehearsals.  Again,  ask the assistant for early access to the conference room in advance of the meeting, so that you can set up the equipment and make sure it works and make sure that you can run it smoothly.  You do not want any A/V glitches and arrive one hour early if A/V equipment will be used.

When you do start talking,  cut to the chase.  It is politic to ask the C-level what he/she would like to hear first.  Plan to go off-script,  so know your material very well.  Expect lots of questions.  Anticipate what those questions might be and role-play answers.

C-level execs have many plates in the air,  opportunities to identify and evaluate,  stubborn problems to resolve and fires to put out.  They are thinking about seeds to plant today that will bear fruit three years down the road.  Make your presentation about how your product or service can beat the competition,  how to hang on to current customers,  how to win new ones and how to increase net profit.  In your presentation,  do address the problems they will have achieving those objectives and how your product or service will help them reach the goal faster,  more easily,  less expensively.

Bruce Gabrielle,  teacher of Power Point and presentation techniques and author of  “Speaking PowerPoint: The New Language of Business”,  says you should focus on painting a vision of a better future.  Once your exec is nodding at the your description of the vision—and ONLY after—should you address product or service details.  Cost will be less of a concern at this point,  he claims.

Gabrielle also notes that while most execs like Big Data and like the idea of making data-driven decisions,  they trust their gut and experience more than they trust numbers.  They like customer success stories. They gain confidence in you if their colleagues have used your product or service.  Have two or three  success stories that make you  shine ready to roll.  Introduce the stories first and then follow it up with any quantitative data that you have.

Be advised that your C-level exec will judge you by the quality of your presentation.  Consider it a test.  He/she will see whether you are authoritative and know your business;  will know how you handle pressure by your response to tough and unexpected questions being thrown at you;  will gauge whether you are trustworthy and credible.  In short,  your C-level will quickly figure out whether you are someone to do business with,  whether you are worthy of his/her time and money.  if you pass the test,  you will win his/her confidence and will be able to count on the exec’s full support.

Thanks for reading,

Kim

Business Strategy , , 1 Comment

Choose a Strategy to Make Your Strategy

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“Become Your Own Boss:  Effective Business Plan Writing”  will be presented by your loyal diarist on Wednesdays October 10, 17 & 24 5:30 PM – 7:30 PM at Boston Center for Adult Education.  Do you have a hobby that you’d like to turn into a profit-making business? Click and register to learn how  http://bit.ly/RnyIBP

 Responses from a recent Boston Consulting Group survey of 120 companies from around the world indicate that executives are well aware of the need to match their strategy making process to the specific demands of their competitive environments,  according to survey authors Claire Love,  Martin Reeves and Philipp Tillmanns of BCG.

But in practice,  many companies relied instead on approaches that are better suited to predictable and stable business conditions,  even when business conditions are known to be highly volatile.  Technological innovation,  social media and global uncertainty have conspired to make the business climate for nearly all industries less stable and predictable than in the past.  Business planning must reflect that reality and build strategies in response.

Love,  Reeves and Tillmanns identified four strategic styles:  Shaping,  Visionary,  Classic and Adaptive.  The first two styles are appropriate for major corporations that have the power to influence buying demands and habits on a massive scale.  Small business owners and Freelance consultants would choose between the latter two,  depending on the local business environment and practices in their industry.

Some industries are based on fast-moving,  changing market dynamics and furthermore,  uncertain economic times demand a more fluid and experimental approach.  In such environments,  long-term plans are essentially useless.  The Adaptive strategic style  is most appropriate under these conditions,  since it gives the business owner a roadmap to follow as goals and tactics are continually refined in response to shifting conditions.

Planning cycles may last only one year.  Initiatives are short-term,  quarter by quarter,  because making money is about what’s hot now.   Trendy hair stylists,  the hottest nightclubs and bars,  fashion forward retailers and entertainers from Lady GaGa to Nicki Minaj base their business planning on the Adaptive style of strategy setting.

Big data will not tell Adaptive style strategic planners what will be hot in six months.  On-the-ground brand representatives,  party promoters,  recognized style leaders and bloggers known to have credibility with the target customers give feedback on trends that might have significance,  that are ripe for a mini-marketing campaign that might bear fruit.  The Adaptive style planners then evaluate the trends and use the feedback to make informed decisions.

The Adaptive style encourages  companies to set up their organizations to test and roll out a variety of products and services as quickly and efficiently as possible,  constantly adapting in the light of sales figures and social media feedback.   Some strategies are bound to fail,  but numerous cost-conscious experiments made in quarterly or twice-yearly campaigns increase the likelihood of success and minimize losses when a trend is over-estimated.   Success is defined by carving out the best position in a volatile marketplace.

Setting strategy begins with an accurate assessment of your industry and local business environment.  Depending on the business conditions,  the Freelance consultant or small business owner would choose either the Classic or Adaptive strategy style when a planning session is in order.  From there,  it will be possible to find a path that will allow you to apply your unique expertise and resources to making the most of available money-making opportunities.

Thanks for reading,

Kim

Business Strategy , , , Leave a comment

The Strategy for Your Strategy

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“Become Your Own Boss: Effective Business Plan Writing” will be presented at Boston Center for Adult Education on Wednesday evenings October 10, 17 & 24 5:30 PM – 7:30 PM.  Do you wonder what you’ll do after you retire?  Evaluate and prepare to launch the business idea that you’ve been thinking about for the past few years.  Register at  http://bit.ly/RnyIBP

We’re at the threshold of the fourth quarter and it’s time to set yourself up for not only a strong and profitable ending for this year,  but also an auspicious beginning for 2013.  To make that happen,  you may choose to tweak your business strategy or perhaps make more substantive changes to roll out.  Change makes us nervous,  because we  enter uncharted waters.  Business plans look good on paper,  but what will reality bring? The impact can be unpredictable.  Freelance consultants can test a strategy relatively quickly,  but mistakes cost time and time is money.  Yet,  there are ways to improve the odds of achieving success.

Competitive advantage is derived from recognizing and responding to developments in your marketplace faster and more accurately than your competitors.  Strategy experts in Fortune 500 companies know that the strategy setting process must reflect the conditions of the marketplace in which one operates,  as well as your company’s influence within.  In other words,  minnows have different options than sharks or whales and the minnow’s strategies must reflect that reality.

Claire Love,  Martin Reeves and Philipp Tillmanns of Boston Consulting Group say that to effectively plan to succeed,  the business needs a strategy for making a strategy.  The trio have identified four categories of strategy setting:  Classical,  Adaptive,  Shaping and Visionary.  Small businesses and Freelancers would use one of the first two.  Think of Sony and IBM as two companies that had Visionary ideas that Shaped the global marketplace and influenced the habits of a billion consumers.

Classical is the strategy setting style recommended when operating in an industry and business environment that while predictable,  is nevertheless beyond the businesses’ ability to control or significantly influence.  Strategy planners analyze the current business situation and use that information to set reasonable business goals and identify the most favorable competitive market position that can be expected by leveraging available resources and advantages:  client list,  experience,  expertise,  relationships,  reputation,  etc.,  plus identify and assess barriers to entry.

The strategy planners then refine and strengthen competitive positioning through standard strategy planning techniques such as the SWOT  (strengths,  weaknesses,  opportunities and threats)  matrix and project the likely results elicited by the new strategy forward into successive quarters.   Goals and the strategies developed to achieve them might be followed for maximum three years,  or until changes in the business environment or within the business itself encourage the planners to set new goals and strategies.

Next week,  we take a look at the Adaptive strategy setting style.

Thanks for reading,

Kim

Sales , Leave a comment

Customize Your Selling Style

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I will present my workshop  “Become Your Own Boss:Effective Business Plan Writing”  on Wednesday evenings October 10, 17 & 24  5:30 PM-7:30 PM at Boston Center for Adult Education.  If you’ve been percolating a business idea that you’d like to launch, or would like to position for success the business you’re already operating,  please register at http://bit.ly/RnyIBP .

It should come as no surprise that  professional services clients approach buying,  in this case hiring a Freelance consultant, with their own agenda.  They are no different than you and me when we shop for a product or service.  Sometimes we know exactly what we want and other times we need guidance.  Some of us shop for designer labels that give us prestige when we flash the logo  (Prada, Jaguar).  Others like to get to know the owner and counter help at our favorite coffee shop and that relationship keeps us going back.

Jeff Tanner,  professor of sales and marketing at the Hankamer School of Business at Baylor University in Waco, TX,  recommends that you tailor your selling style to dovetail with the buying style of your prospect.  “We all  have our preferred selling style…..(but)  I don’t  always see  entrepreneurs trying to understand the need from the buyer’s perspective”.

Here are three more ways to successfully win a sale by tuning in to what motivates your prospect:

IV.   Tout your A-list clients

As William Shakespeare noted in “Othello”,  reputation matters.  Your reputation with other clients can make or break some deals.  If and when you get the chance to work with a prestige client,  be sure to get a testimonial.  That will be your springboard to the next prestige client.

Many,  if not most,  large companies will not hire a Freelancer who has only worked with small organizations.  They fear that the person does not have the capacity to adequately fulfill the job requirements.   No client wants to have egg on their face for hiring the wrong consultant.  Do what you can to leapfrog up the ladder by starting with small prestige clients and use those names as entree to the bigger fish.

V.     When service matters

For some clients,  it’s all about the quality of service.  What happens after project completion may be a concern.  Depending on your specialty,  it could be good business to devise some post-sale service packages that give clients some support as they implement or utilize what has been developed  (like a new website).

Project deadlines can also be an issue and producing a fast turn-around time may be especially important in winning an assignment.   Speedy response to post-sale questions may be at top of mind for certain clients.  To reassure those clients,  the guarantee of completing a project within a specified time frame,  or the guarantee of a response time,  may be written into the project contract or retainer agreement.

VI.    Close the deal now

Pay attention to your prospect’s body language to gauge whether he/she wants fast action.  If the prospect seems anxious to move forward,  by all means get on with it and cut to the chase.   Wrap up final details by confirming your duties,  the client’s expectations and any deadlines and get a verbal commitment to proceed that includes the project fee or hourly rate and start date.   Ask your newest client to send the contract ASAP and you may even offer to sign one immediately,  as soon as the mutually agreed-upon particulars have been added.

Thanks for reading,

Kim

Sales , , Leave a comment

How They Want to Be Sold

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When we figure out what makes a client want to become a client,  we can then make that person a client.  Does that sound too obvious?  It is and it’s true.  Before the meeting,  we must first realize that each prospect is an unique individual and so a cookie-cutter sales spiel will not work and second,  when we do get a chance to sit down with him/her,   we must learn what his/her priorities are and then sell to those priorities.  What will give a prospective client the confidence to offer you a contract?

Learning that involves listening skills and that means it’s wise to let the prospective client do most of the talking during your meeting.  All we have to do is listen and respond in kind.  George W. Dudley,  Chairman of the Behavioral Sciences Research Press in Dallas, TX,  recommends that to seal the deal,  it’s imperative to structure your sales pitch to cater to the trigger that will give you the green light.  Here are three common agendas that clients will have in mind as they evaluate whether or not they’d like to do business with you:

I.      Just the facts

If your prospect is detail oriented,  then tightly focus on what your product or service will do for him/her.  Think features and benefits plus credible third party support.  This type does not enjoy small talk or being asked a series of questions,  unless they serve to refine the needs and objectives of the project.  He/she has a very good grasp of the project scope and the expertise required for successful execution.  He/she has a high regard for quantifiable data and has probably researched not only you,  but also your competitors.  This person doesn’t want to be your buddy,  he/she just wants to get the job done by whomever can demonstrate a solid track record of results.

II.    Be an adviser

At the opposite end of the spectrum,  there are those prospects who don’t quite know what they’re looking for.  In that case,  you have the opportunity to educate.  Ask lots of questions about the scope of the project and show the client how you can apply your expertise to ensure that objectives are achieved.  As you help this prospect to make a decision, you may be able to up-sell.

III.  Make it personal

Some clients prefer to establish a relationship with their Freelancers.  Here is where you lay the groundwork for repeat business,  which is a beautiful thing.  Solid interpersonal skills are required and it may take some time to build trust and get your foot in the door.  It will be necessary to demonstrate that you care about the organization and that you’re willing to spend time on customer service,  answering questions,  training staff,  etc.  You must be attentive and not just in it for a quick sale.

More next week and thanks for reading,

Kim

Professional Development , Leave a comment

You Like Me. You Really Like Me!

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Everyone likes to do business with people they like and when given a choice,  we avoid doing business with people we don’t like.   Marketing expert Rohit Bhargava claims that in some instances,  likeability can trump professional  expertise in business situations.   In his 2012 book,  “Likeonomics: The Unexpected Truth Behind Earning Trust,  Influencing Behavior and Inspiring Action”,   he explains how we all can become more likeable ourselves.

In “Likeonomics”  Bhargava,  who led a marketing team at the global ad agency Ogilvy,  where he worked with clients such as Intel and Pepsi and who now teaches global marketing strategy at Georgetown University in Washington, D.C.,   discusses why some companies  and people are more believable than others and why likeability is integral to being trusted,  obtaining and retaining customers and making money.   He reveals five characteristics that make businesses and individuals more likeable to clients and customers:  Truth,  Relevance,  Unselfishness,  Simplicity and Timing,  neatly embodied in the acronym TRUST.

 Likeability  differs from niceness.  Those two adjectives have similarities,  but if you think about it,   you’ll realize that they are not exactly interchangeable.  For example,  nice people don’t like to upset anyone or contradict the prevailing opinion.   To avoid rocking the boat,   nice people  may not always tell the truth.  They like to go with the flow.

Nice people prefer to gloss over the uncomfortable truth because they loathe confrontation and don’t want to hurt anyone’s feelings .   Nice people want to liked.   Don’t get me wrong,  I like nice people.  I like people who don’t want to hurt my feelings.  The problem is,  nice people are often shallow people.  In my experience,  nice people do not have a backbone,  they definitely don’t have your back and in fact,  nice people are not ashamed to stand by and watch your enemies stab you in yours.

On the other hand,  likeable  people usually value the truth.   In fact,  likeable people can sometimes be rather blunt as they point out the truth of a situation.   Likeable people tend to be transparent and for that reason  they earn trust.  According to Bhargava,  trust and believability are at the foundation of being liked.  They are the basis of our most successful relationships.

Bhargava goes on to say that likeability is not the exclusive domain of extroverts and neither is it a personality contest.  Likeability is about being warm and approachable,  not about being chatty and outgoing.  When one is warm and approachable,  it is not necessary to engage in nonstop small talk in an effort to win someone over.

To be likeable,  all you have to do is be receptive to whom you meet and open to the conversation you’re having.  Be interested in the person you’re speaking with.  Listen and respond accordingly.   Believe it or not,  an excellent way to convince others that you are a great conversationalist is to listen and let the other person talk.

Bhargava further recommends that you keep your marketing message and sales pitch simple because that’s what people will respond to best.   Simple is easy to understand and navigate and evaluate and that is very important to busy people  (like you and me!).   When speaking,  limit  technical jargon and  fifty dollar words.  Don’t try to impress clients and prospects with your stunning vocabulary and encyclopedic knowledge.  Instead,  use clear and simple language,  to ensure that your message is understood and no one feels confused or intimidated  (this is not to be confused with dumbing things down).

Finally,  be honest and transparent about the services and products that you offer and your ability to meet the client’s needs.   As badly as you may need a contract in order to pay your bills,   it is far better for your professional reputation to turn down a contract if you know you cannot do the job.   Honesty demonstrates integrity,  creates respect and goodwill and will persuade that client to bring you in at another time to discuss a project for which you are qualified.

“Likeability is a skill—it is something we all universally can work on get better at”,  notes Bhargava.   Like the saying goes:  People do business with people they know and like.  They do more business with people they trust and respect.

Thanks for reading,

Kim

Administrative , Leave a comment

Ace the Thank You Letter

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The month of August seems to have put me on a business etiquette soapbox,  so I’ve decided to conclude the month with a few pointers on how to write a thank you letter.  In business,  one cannot underestimate the importance of expressing thoughts in writing.  It is important for a Freelance consultant to know when and how to properly thank a client or colleague.

Unfortunately,  many people get a little flummoxed by thank you letters.  We know we want to express our thanks,  but we don’t always know what to say.  We don’t want to sound too impersonal and neither do we want to gush.  Keep things in perspective by approaching thank you letters as acknowledgements and understand that they are not entirely different from the email that you write to a client to verify what was discussed and agreed upon in an important meeting.  Best of all,  thank you letters are a lot easier to write.

It is likely that a meeting precipitated the occasion to thank someone and it is best to send your thank you card or letter no later than 48 hours after that meeting.  Rather than sending an email,  show your business etiquette bona fides by using quality stationary or a business note card  (your own personalized stationary or cards have the most cachet) and sending your thank you via the postal service.   A thank you card will be hand written by the sender and a thank you letter will be typed and signed by the sender.  The tone will be friendly,  yet professional.

Begin you note or letter by expressing your gratitude for the meeting  “Thank you for meeting with me on_____”   or “I appreciate that you were willing to meet with me on_____”.   Next,  reference a key point or two that surfaced during the meeting,  such as the usefulness of information shared,  appreciation for a client referral or introduction made,  assistance or advice given,  etc.   I like to send thank you letters to clients when a project has concluded and thank them for awarding me the contract and letting them know how much I enjoyed working with them.  It’s all about relationship building and creating repeat business.

Thank you notes and letters are typically brief.   After you’ve stated the reasons for expressing your thanks,  move toward the close by thanking the recipient again  “Once again,  thank you for meeting with me…”  Set the stage for future contact with  “I look forward to working with you again…”;  “I look forward to seeing you at the _________Conference…”;  or whatever fits the context and your relationship.

Complete your note or letter with a salutation that suits you and the relationship you have with the letter’s recipient:

Best regards

Kind regards

Warm regards

Yours truly

Thank you letters are an important step in relationship building and maintenance and an important building block of your brand,  that is what you are known for and the image you project to others.  I suspect that many in business do not take the time to write thank you letters.  They may think about doing so,  but find the process intimidating.  They procrastinate and then decide that too much time has passed.  Now that the process has been deconstructed,  you’ll be ready to confidently and expertly write a thank you letter to someone who has come through for you.  It’s a small effort and it will be greatly appreciated.

Thanks for reading,

Kim

Administrative , , 2 Comments

Power Lunch Etiquette

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When establishing a relationship with a new or prospective client,  or sorting through a big and important project,  stepping away from electronic forms of communication and choosing to arrange an old-school  face to face meeting is the the most practical route.  So many vibes and nuances require that the parties be in the room together.   Inviting a client to leave the office for an hour or so,  away from various distractions,  is a smart move that will pay many dividends.  Lunch with a current or prospective client,  or with a colleague you’d like to know better  is invariably more productive and pleasurable than an office meeting.

I use here the example of  lunch,  but your client’s schedule may indicate that a breakfast meeting or afternoon coffee will be preferable.  If getting the client out of the office proves impossible,  offer to bring breakfast or lunch to the office.  It ‘s not ideal,  but I’ve found that a little food makes for a more relaxed meeting that sets the stage for candid conversations and relationship building.

Power lunch etiquette begins before the two of you sit down to eat.  It starts with the invitation.  When it is extended,  suggest two or three restaurants with good reputations that are convenient to the client’s office.  Welcome suggestions from your guest.  You’ll select the client’s choice of restaurant,  of course,  and remember to compliment his/her choice.  Visit the website,  peruse the menu and make a reservation if required.

Be sensitive to your client’s dietary requirements and preferences.  Whether or not there is a medical reason,  many people  (especially in the Northeast and the West Coast)  are following vegetarian,  gluten-free, vegan,  raw, etc. diets.  “As the host,  it is your responsibility to ensure that your client’s experience is pleasurable”, says etiquette expert Tina Hayes.  “Pay attention to details”.

Confirm the meeting time and place with your client/guest and the reservation with the restaurant the day before.  Exchange cell phone numbers in case one of you is delayed.  You will arrive at the restaurant 10-15 minutes early and give your credit card info to the host and request a quiet table that is suitable for talking business. Then wait in the reception area.  When your guest arrives, turn off your phone so that you won’t be interrupted.

As a general rule,  it is inadvisable to immediately plunge into a business discussion as soon as your guest arrives.  Be prepared to make small-talk and have a couple of non-business topic sready,  to allow both of you to relax and get to know each other in a different context  (avoid politics or any other potentially controversial topics).  Let your guest know that it’s OK to order a drink if he/she likes and if you’re meeting on a Friday,  that just may happen.  If your guest orders a drink,  you may also order one.  If your guest abstains,  you do the same.

Wait until the meal has been ordered and beverages have been served before easing into the business talk.  Focus the conversation around your guest and give him/her a chance to open up.  Do that by asking about business,  projects that are in progress,  what’s on the drawingboard for the future.  then inquire as to how you can help and what needs must be urgently met.

Be mindful that you must pace the discussion and be respectful of your guest’s time.  Plan on 75-90 minutes for the average business lunch and 45-60 minutes for breakfast or coffee meetings.  When finished, express your appreciation for the client’s time.  Send a written thank you note (not an email).

Thanks for reading,

Kim

Professional Development , , , Leave a comment

Get Your First Impression Right the First Time

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Congratulate yourself.  You were lucky enough to get a good referral from one of your clients and you’ve been invited to meet with your newest prospect.  Because you’re smart enough to know that first impressions set the stage for success in any relationship,  you want to get this right. 

Allegedly,  there is research that shows a prospect will decide whether he/she might be willing to work with a Freelance consultant within five seconds of their initial encounter.   To get the most of those precious few seconds,  why not do some preparation to make sure that your first impressions do the job for you—and not on you!

Keep fit

Good health gives you a glow that makes you appear more attractive and competent.   It’s not necessary to emulate a runway model or ironman triathlete.   Just follow some sort of fitness regimen that suits you,  whether it’s 3-4 hours/week at the gym,  biking or walking to work,  or maybe playing in a softball or volleyball league.  Regular exercise brings many benefits,  including more restful sleep,  decreased levels of stress and higher self-esteem.  

A diet that includes plenty of fresh fruits and vegetables and modest amounts of protein and carbohydrates,  about 60-100 ounces of water each day and limited alcoholic beverages  is the other half of a good fitness regimen and will make you look alert and capable.  Top it off by getting seven to nine hours of sleep each night and abstaining from nicotine.

Visual signals

Like it or not,  everyone makes snap judgments based factors such as looks,  weight,  hair,  jewelry,  make-up,  facial expression and more.   Be sure your visual signals  communicate that you are the type of person your prospect will want to do business with.  Always look sleek and professional,  neither too casual nor overly formal.  If possible,  find out what the company dress code norms are before  your meeting.  However,  even if the company dress code is jeans and polo shirt,  you must do a little better  (think business casual in that instance).

Good greeting

Your greeting consists of your smile,  your words and your handshake  (or bow, as appropriate).   A smile conveys that you are pleasant and approachable.   The words you choose for your greeting should be appropriately formal and never too informal.   Your handshake should be firm and neither limp nor crushing.   Lastly,  make sure that you use the appropriate honorific:  Mr.,  Ms.,  Admiral,  Captain, etc.,   to demonstrate that you’ve done your homework and know how to address your prospect.

Smart agenda

A huge part of  first impressions hinge on whether you seem confident in yourself and what you have to offer.  Your prospect will sense whether you are prepared for the meeting,  or if you’re just winging it.   Therefore,  it’s important to know what you’d like to accomplish in the meeting.   A few days before the appointment,  start jotting down possibilities and come up with three or four reasonable meeting objectives.   Preparation radiates a poise that communicates credibility and competence.

Rehearse entrance

Now that you have all the components for creating a winning first impression,  give yourself the benefit of a dress rehearsal.   Practice how you’ll enter the room  (or if the prospect comes to you,   how you will stand and greet him/her),  how you will express your greeting and how you will shake hands or bow.   Rehearse it until you are comfortable with all aspects,  including the goals of your meeting agenda.  If possible,  videotape it and critique.  Good luck!

Thanks for reading,

Kim