Monthly Archives: August 2017

Mistakes New Coaches Make In Business

Most Coaches start out in business for reasons such as, wanting to quit their full time job and be their own boss, or they want to gain the financial and personal freedom of being an entrepreneur, they also want to help people and make a difference in their life. No matter what the reason is, being a Coach is a fantastic profession to go in. However, what many Coaches don’t realize until they are in the beginning stages of their Coaching career is that starting a coaching business is not always as easy as it seems. Many Coaches struggle trying to make it work and trying to make that leap to a successful Coaching business. In this report I will share with you eleven mistakes new Coaches make that are holding them back from reaching their ultimate goal of having a successful business.

Mistake #1: Spending too much time getting ready!

Many Coaches spend too much time preparing themselves to get started. They work on their website, their marketing materials, finishing up their Coaching training, and focusing too much on “getting their ducks in a row” instead of getting out there and start Coaching. Many also feel that they are not ready to Coach because they think they are not good enough yet but to be honest, you won’t learn until you go out there and Coach. You will only learn how to make it better once you notice the mistakes you make while you make them or you realize that you could make some changes in certain areas but the key to becoming a good Coach is you must practice! Think about the time you started a new job, you didn’t prepare yourself for weeks or months to start that job, no you learned and got better by doing. It is all a learning curve.

Mistake #2: Don’t have a Coach that can guide them in the process

Every Coach should have their own Coach that can guide them to move forward and to help them get through the things that are holding them back. Especially if you are a new Coach it is extremely important to work with a Coach to help you move forward. Of course you can try to figure things out on your own and spend a lot of time and a lot of money on things that are not working. Where, if you would work with a Coach that has already been there and done it, and learn from them, you can get to where you want to be much faster.

If you are worried about not being able to afford a Coach, especially when first starting out, then consider this… how can you expect others to pay for your Coaching services if you don’t even pay for a Coach? Also, think about the amount of money and time you waste on things that are not working or trying to figure things out on your own? Some Coaches even work with you on the fees and some even agree on some sort of barter service.

Mistake #3: Don’t collaborate – they rather stay an army of one!

As a Coach, it is important to collaborate with others either in the same industry or they can even be in a completely different industry. Many Coaches think they are in business by themselves but the truth is that only when you collaborate with like minded individuals will you get to where you want to be… create an army of many rather than staying an army of one! Collaboration is the key to success because you can build business relationships, do business together such as webinars, seminars, workshops, even co-author a book, create products, and help each other grow. When you collaborate with other Coaches or experts in the industry they can promote you to their network and you can promote them to your network, that’s a win, win situation.

In today’s time and age you can even collaborate with individuals all over the world, and build your business on a nation-wide and even world-wide level.

Mistake #4: Doing too much training and not applying what they learn – Apply as you learn

Have you ever thought to yourself that you have to complete this one course before you can start, or you still need to take this course and that course, and maybe even this other course too? Too many Coaches get stuck in the “learning phase” where they take all sorts of different online courses trying to sharpen their skills or trying to learn more things that they can offer their clients but instead of applying what they learn, while they learn it, they continue taking courses without applying the things they have learned. They best way to learn something is by doing and applying the things you have learned.

How to Make Your Business Financially Fit

Steve is a successful business owner who takes his business very seriously. He focuses on growing his business and has several employees. People love his products and services and are sharing them with others. What Steve is struggling with is making his business financially fit. It seems like his business is always tight, and he is barely making it each month. Sound familiar?

This is what we hear from many business owners. They want to grow and be successful, but they are missing some tools to assist them in staying profitable. Here are four tools you can implement into your business to be financially fit.

1. Know Your Overhead Cost – It is easy to know what the cost is of each product or service you sell, but many business owners fail to include their overhead cost when figuring their numbers.

Profitable businesses know what their profit is on each product or service after their overhead cost is included. Overhead costs often include, administrative expenses like office supplies. Other expenses may also include marketing and advertising, employee related, facilities and equipment, vehicle related expenses, insurance, and tax related expenses.

Companies should know the percentage of breakdown related to each product sold, each procedure or job performed, or each service that is provided.

This allows the business owner to price their products and services at the right price. If the overhead cost is not included, it can cause the business to lose money on each sale that they are making.

2. Manage Your Cash Flow Regularly – Cash flow is so important for a financially fit business. If a company does not have a good eye on their cash flow, it can cause them to struggle every month.

Knowing what money you have coming in, and what money you have going out each week and each month will help you to know what you need to bring in each week to manage the bills that are going out.

It will also assist you with meeting goals like buying that piece of equipment that will make you more profitable or investing the money to increase overall profitability. Look at a statement of cash flows; a statement of cash flows will show you what money is coming in and what money is going out each month.

3. Pay Attention to Your Numbers Each Month -Waiting until the end of the year to get your bookkeeping in place for your tax accountant can be a very costly mistake. A financially fit business pays very close attention to how the business is doing on a weekly and monthly basis.

They know how much they need to make each week in order to be a profitable business. They also look at their financials each month to see what they need to do in order to improve the next month overall performance.

If a company fails to do this, they have no way of making important business decisions because they don’t know where they are at. Not know where your business is at will cause your business to fail. If a business isn’t growing, they are dying.

4. Know Your Financial Ratios – Many business owners don’t know what business ratios they need to track in order to be profitable. Knowing the right ratios can help a business owner know what decisions they need to make to move their business in the right direction.

As an example, one of the ratios that a business needs to track is the current ratio. This ratio will help them track how healthy their business is. A healthy business will have at least a 2 to 1 ratio, so $2 in assets for every $1 in liabilities. If the business is carrying inventory, it is important to have a 4 to 1 ratio.

To determine the current ratio, take the current assets and divide them by current liabilities (Current Assets/Current Liabilities.) Once you have the current ratio, it can be tracked each month to determine if your company is moving in a good direction or if you need to make some changes in your business to move it in the right direction.

Implementing these tools into a business can make a huge difference on how profitable a business is. A small hinge on a gate can help a large gate swing back and forth, just as a small step in the right direction can make a huge impact on a business.

Ways To Make Your Business Work Harder

Many business owners are working so hard at their business that they fail to enjoy the rewards of being the business owner. If you are letting the life of your business overrule the business of living your life, then it is time to begin turning the tides.

Finding ways to make your business work harder for you and your family is the reason we all started our businesses in the first place. If your business is obstructing your efforts to enjoy life with friends and family, this is a problem. We all know a lot of work goes into building a successful business, but if it is consuming all your time, effort and energy… is it worth it?

Why this coordination is important:

Every time you find new ways to help your family benefit from the efforts of your business, your life balance and family life improves.

If your business consumes your entire life and your family life suffers because of it, your spouse and children may actually resent the time that you spend there. Even if it provides a great deal of income, the value of family and social life may be sacrificed.

Make your business help you, your family and your social life. You will be happier, healthier and live a longer more rewarding life.

5 Ways To Consider:

Consider paying children’s education expenses as wages for work

Many small business owners make a good living and have higher than average incomes. This can cause their family to qualify for little to no college financial aid when their children are ready to attend college.

If you are going to have to pay for it anyway, why not pay your children to help out at your small business. Pay them as an employee, contractor or consultant to do work for you and your business.

If you pay them enough to cover their college costs, you will receive a tax deduction for the cost of their college education by deducting their income from your business. They will be responsible for helping out with your business and they may surprise you with how much value they add to the business. New ideas, new technology, a new and different viewpoint might be just what your business needs.

Schedule family vacations around business travel

When a family vacation is something you’re considering, think about coordinating it around a work trip. Do you need to go to conventions, trade shows, seminars or other training for work? If you drive to go to those business activities, your gas mileage is tax-deductible regardless of how many individuals you have in the car with you. Does this conference or training trip require you to stay in a hotel? Your hotel expenses for that night can also be deductible regardless of whether you have your family with you in the room.

Scheduling family vacations around business travel can help make it more manageable. This allows you to enjoy time with your family or friends while also working on your business. Consult with your spouse or family to coordinate the two.

The Relationship Between Human Resource Practices And Business Strategy

The relationship between human resource practices and a company’s business strategy are aligned in many ways. The ultimate goal of the alignment is to use human capital as instrument to maximize the organization assets for the benefit of the stakeholders. Below are some of the relationship between human resource practices and business strategy.

STRATEGIC HUMAN RESOURCE MANAGEMENT

Human resource practices create the process for the development of employees’ knowledge and the skill-set across the organization to promote its core competencies that support and maintain its competitive advantage in the industry. The term “strategic HRM” is the new template in the management of modern organization that is anchored on the concept that the most valuable asset an organization provides itself is HR, since it is the tool that is responsible for the coordination and implementation of other factors of production that spurs corporate performance journals

The business strategy adopts by an organization is meant to showcase how it intend to succeed by using the factors of production at its disposal to build a competitive advantage, strategy-business. Business strategy helps to identify the direction that the organization wishes to go in relation to its environment. Human resource strategies manage human resource so that the goals set by the organization can be achieved. The focus is directed on what the business intentions are as they relate to human resource policies and practices. Therefore, how human resource is spread across the organization’s units and departments, motivated, managed and retained will affect the performance outcome after the business strategy has been implemented. The relationship between business strategy and human resource practices also would determine the organization competitive and performance outcome.

A glimpse into Oya Erdil & Ayse Gunsel’s ‘BUSINESS STRATEGY AND HUMAN RESOURCE STRATEGY- THE INTERACTION’ shows there is a relationship between human resource management practices and an organization business strategy, which also could be referred to as the business environment and organizational development. Another defining aspect of that relationship is the across the board acceptance that an organization’s human resource management practices have a link to the firm’s decision making process, in other words, the HR practices be closely aligned with the strategy of the whole business. While there is not much disagreement as pertaining to the relationship between HR practices and business strategy, there is a tendency not to acknowledge the deeper nature of the relationship. The theory of human resource management opined that should employees be considered and managed as a valued strategic asset, the organization in practice would be able to achieve a competitive advantage, and the outcome will be a superior performance. This again, means managing human resource in such a way that it will correspond to the business strategy, being that the goals and process of each of the strategy profiles are different.

According to Oya Erdil & Ayse Gunsel, this relationship is further entrenched when you look at how human resource practices are selected based on competitive strategy espoused by the organization. An organization that coordinates its business strategy and human resources policies and practices achieve a superior performance outcome than those that do not.