Let’s call it like it is:  Tough times ahead!  No, I’m not a doom-and-gloomer.  Far from it.  I am an optimist.  Besides, I truly love the challenge of tough times.  They seem to bring out all the best business instincts in me.  

All I’m saying is that it pays to be ready … mentally ready.  I know some SBOs who want to argue about how bad things could get.  Some nervously keep telling themselves that everything will be okay.  I hope so, too.  But they’d better not stick their heads in the sand and hope for the best.   

Just as bad are those biz owners who have already started wringing their hands and talking about how they may not survive, how the coming times will be worse than the Great Depression, etc., etc.  They’ve already quit and are climbing into the lifeboats, even before the Titanic has left port.   

I’ve always believed it was wiser to hope for the best, but plan for the worst. 

My position?  Keep one eye on the macro-picture (how Washington, Wall Street and the world are looking from week to week) and the other on the micro-cosm (your markets, products and competitors).  Then adjust your plans, dig in your heels, and keep on swinging.  And swinging.  And swinging.  No whining.  No excuses.  No alibis.

That way, if things get really bad, you are in the best possible position to weather the storm.  If things only get kind of bad for a short spell, you’ll come out this economic funk positioned to blow the doors off your competition and send your sales, your profits and your business to new levels.

For me, the formula is simple:  Work hard.  Make money.  Have fun. — jri 

“If a man gets tired and has a good alibi…

he’s likely to accept defeat.”

        –    Maxwell Perkins

What I Think: Routine customer service should be wind-and-go. At times, though, routine customer service doesn’t cut it. That’s when we either go the extra mile, or decide it’s not worth the effort and accept the consequences.

• How would you have handled the following situations?
• What, if anything, would you have done differently?

Example 1: I take my reading glasses on and off several dozen times a day. So instead of keeping track of where I’ve set them down each time, I wear them around my neck on a cord. I had one cord for a couple of years before it broke—a good run, I’d say. The first replacement broke within a week; the next was too long and got in my way: none others were available.

Googling the company took me to www.Chumspromotional.com.
Phoning the toll-free number, I explained the situation to a pleasant Customer Service rep, Sani Raabe, who immediately offered to mail me several other cords to try. I could reorder the one that worked best. 

Seven samples arrived in a hand-addressed envelope the following week. The first one I tried has been working like a charm ever since. I called Ms. Raabe to say thanks for her concern, and laud her first-class customer service!

Example 2: Ever notice how many adult women interviewed by the media sound like teenagers? Instead of pulling up their words from their mid sections, they speak from the roofs of their mouths. They may wizards in their fields, but aside from their parents and teenage boys, who pays much attention to teenage girls? 

The same goes for men who either don’t sound-off like they have a pear (pun intended) or shriek like banshees.

• One the one hand, a priest at our church simply does not project his voice, so unless you’re in the first few pews, you miss half of what he says.
• On the other hand, screamers like ubiquitous TV product-pusher, Billy May, has everyone within earshot wishing he’d just shut up!

Bad for business? Gee, Do You Think?  SBOs of both the popular genders need to know how they come across to customers over the phone and in person. How to find out? Ask your spouse, a friend or an employee. If the problem is impervious to self-help and self-discipline, invest in a voice coach.

Example 3: The past two weeks have not exactly been good ones for yours truly. First, as detailed in this space last week, my computer crashed and the hard drive had to be scrubbed of some nasty viruses before my programs and previously saved data could be restored. Ironically, a few days later we lost Internet service when my Verizon DSL connection went down for the count, and stayed down.  

Several calls to Verizon Tech Support brought no solutions, just a lame promise: “We regret the inconvenience, and will get back to you within 72 hours.”

Customer Neglect. That was last Thursday; it is now mid-afternoon the following Tuesday, and I’d still be waiting if I hadn’t gotten busy arranging new DSL and phone service from Verizon’s biggest competitor: Brighthouse.

Now that my new DSL service has kicked in, I can post this “Issue of Week” and my eblog, “Daily Grin.” But thanks to the juiciest example of customer neglect I can remember, both are just a tad late!

What Do You Think? Your comments are welcome. Have you registered?

Bill Willard is a freelance writer in Clearwater FL. He has been a high-impact writer and editor for over 30 years. In addition to his byline pieces, Bill’s beat includes ghostwriting and editing for businesses of all types and sizes, and professional practitioners and individuals. He also is a www.thefreestyleentrepreneur.com Contributing Author.

Visit his Website: www.writergazette.com/WillardAssociates.shtml.
Or contact him at billw15@verizon.net to sign up for his popular new eblog: Daily Grin.

=========================

As customers come and go through my repair shop, I’m amazed at the diversity of their habits. For instance, I had this customer I’ll call Jon. Jon drives a black BMW convertible, dresses in $800 suits, walks very vertically, and surrounds himself with an aura of entitlement. He’s an insurance executive in a small town agency downtown. Because of the aura he exudes, he’d be able to walk into the head offices of Aetna or Prudential without drawing attention to himself. The receptionist would probably mark him as a Vice President.

When he brings me a piece of equipment to repair, he wants it tomorrow, because he’s got a desperately important job to complete at home. I’ve visited his homesite on the north side of town and know that it really couldn’t make that much difference to the state of international affairs if he never cut his grass or raked his leaves: he lives behind a grove of trees and one can hardly see his place.

Jon always leaves my shop with, “I’ll come back tomorrow at the same time to pick up my machine”. He has no thought about the possibility that other customers might come first. As far as he’s concerned, there are no other customers. He must think I keep this shop filled with equipment to keep up the image of being busy. I need to practice fixing machines so I’ll be ready to fix Jon’s machine as fast and efficiently as possible. Oh yes, and since I’m fast and quick, that means I won’t charge much money.

Jon always wants a re-do on his repair job. Even though his little blower is ten years old and in need of replacement, he wants it to run better than new when it leaves my shop. “Well, I’ll take it home and try it, but if it doesn’t work right, I’ll bring it back for adjustment.”

This past week I lent him my own excellent blower to use for one day while I “adjusted” his mediocre blower. One week later, it became clear that he was using my blower to clear out the leaves for unimagined acres of forest. I didn’t intend for him to keep it so long so I drove to his house on the seventh night of the week: about 8:30 p.m. I knew he’d be home, hiding in his forest with all the lights in the house off. However, I could see the faint stirrings of light from his TV. I demanded the return of my blower. He obliged, but reluctantly: in his bare feet and silken lounging apparel.

The next day, he came to pick up his blower which I’d completely dismantled and reassembled to repair a loose cylinder head. “This doesn’t have much power. It starts better, but it just isn’t right.” “Yes, Jon, I know it isn’t like new. It’s over ten years old”. “It just isn’t right. I’ll try it and let you know.” The “let you know” part of this discussion is the “I’ll decide if your $45.00 bill is too high to pay.”

To relieve myself of the agony of chasing him for the $45.00, I said, “Take it. Don’t bring it back and we’ll call it even.” In other words, I’ll sacrifice my $45.00 for the assurance that Jon takes his future repair work elsewhere. I’m going to practice saying, “Please take your snowblower to Jake out on Vine Street. He’ll be able to repair your machine.” I don’t want to see Jon again.

On the other side of the spectrum, there’s Mr. Matruska on the east side of town. I took his snowblower, riding mower, and chainsaw back to him yesterday. When he saw the $272.00 bill for the three pieces, he reached into this truck glove box, pulled out three one hundred dollar bills and said, “I didn’t expect the job to be so inexpensive. Also, I’m really surprised you returned the work so soon. Keep the change. I’m going to give your business card to my son in Hammond. Do you pick up work fifteen miles east?”

To myself I’m thinking, “Thank you, Mr. Matruska. For your kind of customer, I’d drive to Chicago six hours down the road. Excuse me while I erase the unkind thoughts I’ve carried in my head for a couple of days about Jon, the entitled insurance man. You make my faith in the goodness of people grow. Thank you. Thank you. Again and again.

What kind of a customer are you?

–         Flute November 2008

P.S. And then there is the little wife who brings her husband’s chainsaw for repair. “We’re not sure we want to repair this old thing. If it costs more than $45.00, we’ll probably want to buy a new one. Be sure to call us with an estimate.”

When I discover that the sprocket has split in two, the fuel lines are broken, and the carburetor needs to be replaced, I call the husband, who says, “Sure. Fix it. Whatever it takes.”

In the meantime, a breed of so-called “customers,” better described as predators, is on the prowl.  These folks are more euphemistically referred to as bargain hunters looking to take advantage of cash-hungry business people.  They mostly bring bad business, and from my experience, bad business is worse than no business at all. 
 
They’ll drive you crazy, waste your time, and leave you with little if any profit.  Here are a few examples:

The thief.  This predator is looking for a freebie.  As a consultant, I’ve found that this is the prospect who wants to see the proposal, the outline and as much detail as possible before committing.  During lean times in my younger days, I’ve darn near given away the store in hopes of getting the contract.  More often than not, they took the idea and then did the project themselves.  What to do:  Call the thief’s bluff by saying something like, “I can give you a quote for preliminary research, which will be taken off the final bill if the proposal goes to contract.”  

The friend.  This is the customer who knows you’re in a cash flow crunch and tries to convince you that he or she is willing to help you meet your cash flow needs by taking product off your hands…at a loss.  What a pal.  What to do:  At the very least, split the difference.  Remember, this predator still needs your product, so turn the tables.  “I can’t give it to you for that price, my friend, but I will give you X percent off my regular price.  That way, we’ll both come out ahead.” 

The teaser.  This is a variation of the friend, but one that tempts you with the casual bit of information that goes something like this:  “Well, I only need one now, but I’ll in the market for another 50 by August 1…that is, if the price is right.”  What to do:  Explain that, “I can give you a fair and competitive price today.  Then, when you’re ready to act on the next 50, I know I can beat anybody else in the area.”

Everyone wants a bargain, but that doesn’t mean you have to let them roll you, pick your pocket, and leave you for dead in an alley.  Remember that the predator who shows up looking to squeeze you today will definitely return tomorrow, but only to squeeze you a second time.  Predators are not loyal customers.  They want just one thing — another deal that adds up to a win for them and a loss for you. 
 
That’s bad business…and that’s worse than no business at all. 
 
John R. Ingrisano
The Freestyle Entrepreneur
www.TheFreestyleEntrepreneur.com.

The Issue: Computers are indispensable business and personal communications tools, with the operative word being indispensable. When your computer system crashes (that’s, when, not if), the effect on your business and personal lives is that of a maliciously placed Monkey Wrench. But when that unhappy effect is caused by the Internet security systems that are supposed to prevent that very thing from happening, insult is added to injury.

WARNING! Beware of Internet Security Schemes

What I Think: I learned that bitter lesson late Monday last week, when one of the three internet security systems I’d downloaded in recent months based on impressive advertising claims proved to be less than I’d bargained for: a lot less.

In this case, I was running a “free” trial version of one that I’ll call “Monkey Shines Security,” and just that morning had decided not to buy the paid version. So when on receiving an online message asking for my money for the upgrade, I declined. An hour later, however, a Monkey Shines popup appeared warning that a virus had been detected on my computer, and suggesting removing it by clicking “Here” or phoning a Customer Service 800#.

Not only did clicking “Here” produce no result, nothing else worked either!  I couldn’t even get rid of that warning message! It just sat there insolently blocking three-quarters of my monitor , preventing access to any part of my computer system. When I dialed the 800-number listed, the Customer Service rep was no help.

The only thing to do was take the computer to someone who knew which end was up. The next morning I lugged my PC to a local computer store—owned and operated by an SBO who is a savvy computer tech. By mid afternoon the verdict was in: My computer was so riddled with viruses the only thing to do was to save and remove my essential programs; then get rid of the rest and scrub the hard drive before reloading my essential systems and loading new security and virus-blocking programs that the store owner trusted and knew to be effective. I told him to go ahead.

That was Tuesday; it was Friday before the work was done and I could retrieve my computer. I spent the rest of the day, a good part of the evening and the following morning restoring my programs and settings to something approximating their former selves.

I made those points to make this one:  Though he would not be quoted for attribution, the storeowner told me things that computer hackers do not want people to know:

• Many if not most online security systems have one main objective: taking your money; providing security is secondary. As we’ll see, some are even designed to hi-jack personal information and banking data!
• Hackers are so prevalent, malevolent and aggressive (and so adept at networking among themselves) that even nationally known computer security providers can’t possibly keep up with them. In fact one major brand is up to its ears in a class-action suit by users who’d been burned as I’d been, or worse.
• When a 1996 “Hackers’ Convention” in Roanoke VA left town, the city’s computers were so badly screwed up it took weeks and many, many dollars to set things right. Why did those little so-and-so’s do it? Because they could!
• Someone in Red China—reportedly at the behest of the government–recently hacked into the White House computers. It’s called “spying!”

Even though your computer is infected, you may not realize you have a virus (or viruses!) until you notice something is not quite right. The computer storeowner described signs of trouble:

• A gradual slowing down of normal computer functions, such as system start-up and shut down and opening programs and files.
• Your printer doesn’t work.
• Unusual Error messages appear regularly.
• Your computer crashes regularly.
• Your computer restarts by itself regularly.
• Drives on your computer appear inaccessible.

What can you do to avoid trouble?

• Keep up-to-date anti virus software running at all times on your computer.
• Use a Firewall to keep hackers from breaking into your computer. Some good firewalls are Windows XP, Windows Vista , ZoneAlarm and Outpost.
• Never open email attachments from unknown senders, especially attachments with .exe extensions.
• Be careful opening an email attachment even from someone you know as they may not know it’s carrying a virus.
• Never allow employees to open ANY file attachments sent to company computers-the same goes for yourself and family members on your personal computers. Make that rule stick with suitable penalties.
• Keep up-to-date about recent threats through Internet research.
• Download only from reputable sites and avoid downloading files you can’t be sure are safe. These may include freeware, screensavers, games and any other executable files.
• Backup! Backup! Backup! No anti-virus product can guarantee a virus-free computer; new versions are cropping up all the time. And a backup system: “Carbonite” is a good one, and an excellent investment.
• Avoid computer systems claiming they provide “all the security protection you’ll need.” Install trusted anti-virus and anti-spy ware security systems from different vendors. What one misses, the other might catch.

Maybe most important: Find a computer repair business with at least a ten-year track record for smart, heads-up work and honesty. That’s what I did. Yet it was still a lousy week for business—with insult added to injury when the security I’d been trusting let me down; but I did learn a thing or two.

Saving the Worst for Last

Get set for the scariest Internet security horror story of all!  One or more viruses that can infect your computer system will then attempt to inflict even worse damage. Consider the following form sent by an unknown virus to AOL users, with an AOL logo at the bottom of the screen: 

Safety, Security & Privacy
Helping you have a more safe and secure online experience.

Dear AOL Member, your billing information is currently out of date and must be updated. Please take time to fill the required fields to avoid account cancellation.

First Name / Last Name / Address / City / Zip Code / Phone Number /
Card Number / Card Type /  Expiration Date / CVV2# / ATM Pin#
Bank Name / Routing Number / Account Number
Account Type / Driver’s License Number
Social Security Number / Mother’s Maiden Name / Date of Birth

Next (click here)

If that message ever makes it to your computer screen, clicking “Next” delivers all your personal and banking information into the hands of some very nasty people. Even for those wary enough not to click “Next,” that form cannot be removed without reformatting your hard drive.

Yes. It is that bad…and that sickening.

What Do You Think? Your comments are welcome. Have you registered?

Bill Willard is a freelance writer in Clearwater FL. He has been a high-impact writer and editor for over 30 years. In addition to his byline pieces, Bill’s beat includes ghostwriting and editing for businesses of all types and sizes, professional practitioners and individuals, and he is a www.thefreestyleentrepreneur.com Contributing Author.
 Visit his Website: www.writergazette.com/WillardAssociates.shtml.
Or contact him at billw15@verizon.net to sign up for his popular new eblog: Daily Grin.

Odds are high that you’ve heard the word ‘epiphany’ but never looked it up in the dictionary. Until the moment I started writing this piece, neither had I.
 
To save you the trouble, here’s the definition according to Dictionary.com:
 
e•piph•a•ny  : noun, plural -nies:
  A sudden, intuitive perception of or insight into the reality or essential meaning of something, usually initiated by some simple, homely, or commonplace occurrence or experience
 
I remember the day very clearly that selling life insurance became easier for me:

• The day I quit worrying about how to answer an objection with a canned response
• The day I realized that the clients/prospects had more to gain by seeing me than I did by seeing them
• The day the phone no longer felt like a 500 lb. weight when I picked it up to secure an appointment
• The day I quit acting as if I were a sales professional and actually became one
• The day I had my sales epiphany

The life insurance industry has a pet name for people whose agent has either retired or left the business: Orphan Policyholders. They are a good source of contacts for neophyte producers because it gives them someone to call on.

 I tried to get an appointment several times with one such individual—a farmer near Fort Dodge, Iowa—without success. I’ll refer to him as Roger in this piece.
 
I called him and said that I had important information about his policy. Roger blew me off; indicating that there was nothing to talk about and he didn’t have time. Not wanting to be a bother, I accepted his objection without a fight.
 
So it surprised me one day to receive a call from his wife indicating that they would like me to come out. That should have been a red flag but I was so happy to get the interview that he caught off-guard on the day of the visit.
 
After introducing myself and exchanging pleasantries, I asked Roger what he had in mind. His demeanor instantly changed from cordial to hostile. “This policy is what I have in mind! I’ve been ripped off and want to know what you’re going to do about it?”
 
Momentarily stunned, I became defensive even though I had no involvement in the matter. “What do you mean?” I stammered, “It’s a very good contract.”
 
“No it isn’t. The guy sold me a $10,000 policy and now your company is trying to tell me that it’s a $5,000 policy!”
 
Having prepared his file, I knew the problem. “Roger, this is a $5,000 Whole Life policy as it states right on the front page. However, it also had a $5,000 Decreasing Term Rider. Every year since you purchased it, the term has been slowly decreasing until what you now have left is the base contract.”
 
“That’s not what I was told by the guy who sold it to me.”
 
Asking about the agent, I learned that he bought it from a friend who was part-timer in the business and quit. That meant several possibilities:
 
1). The part-time agent had not a clue what he was selling;
2). He knew but did a poor job of explaining; or
3). He explained it well and Roger either didn’t understand or forgot.
 
Whatever the cause, he was venting his frustrations and I was his captive audience who had to listen. “You agents and companies are all alike, always ripping off the public!”
 
I tried for fifteen minutes to calm him down and discuss the situation rationally.
 
I did not succeed.
 
His wife was embarrassed by Roger’s tirade, understanding that he was killing the messenger (that would be me) who had nothing to do with the initial transaction.
 
That’s when my sales epiphany occurred.
 
Roger was in a mood to neither listen nor admit that he should have accepted my past requests to review his policy. He would have known how the contract worked and may have converted the remaining term.
 
I suddenly did something totally against my nature. Rather than debate the disgruntled client and make him even angrier, I slowly closed my brief case saying, “Roger, I regret that this has happened. I have no idea what the agent said to you. My only option now is to see what you would like to do. I tried several times to talk about this but you chose not to. I believe that it is in everyone’s best interest for me to leave.”
 
Total silence as I stood up, fully prepared to walk out the door.
 
“I’m sorry,” he said. “I shouldn’t take it out on you. Please sit down and tell me what I can do?”
 
It would be a nice story if I could tell you that Roger and I became best friends and he bought a million dollar policy. That didn’t happen.
 
What did happen is that we had a calm and fruitful conversation. He accepted partial responsibility for not keeping on top of the issue and I apologized on behalf of the company for the misunderstanding. We parted with mutual respect after discussing what he might do about his future insurance coverage. No decisions were made that day.
 
What also happened to me was of greater importance. It became perfectly clear that I knew more about the situation from the beginning than did the client. I could have been of great assistance had I been more persistent in getting that appointment. I could have helped him.
 
So what does that all have to do with you on the Sales Desk? My guess is that you’ve figured it out.
 
You can provide answers to agent problems that they might not even know they have.
 
If you pick up your phone with confidence, courage and a purpose for your call–you will be amazed at who will listen and how much they will appreciate you.
 
You are NOT bothering them. You are offering them an incredible opportunity to take advantage of your time, talent and expertise.
 
If I had been more authoritative the first time I called Roger, we both would have won.
 
Because I wasn’t, we both lost.

I venture to say that it’s the same with you. If your product or service is truly beneficial to your prospects—please have the courage to shout it from the rooftops and into the phone. At the very least, give your potential customer the opportunity to turn you down. Ask for the appointment and ask for the sale.

Bill Sheridan—SHERIDAN WRITES, LLC        www.sheridanwrites.com

Judging by the volume of mail generated by the October 20 Issue of Week, “Getting Your Bills Paid” is a red-hot topic for small-business owners! So this week, instead of spouting off what I think, we’re going to share ideas from a reader about how SBOs can get their bills paid despite the lousy economy.

What You Think:

Peter Bowen, Bangor, Northern Ireland, emailed to suggest the following: …Fortunately, most clients pay on time or early. But the few that don’t can drive business owners up the wall! Before trying the online equivalent of punching them in the nose, think about the people who owe your business money and how you manage new client relationships from day one. Then answer these questions:

• Do you check their credit and trade references?
• Do you find out how a client’s payment process works?
• Do you specify when and how you want payment?
• Do you get a watertight contract signed before starting work?
• Do you take a deposit?
• Do you get confirmation that the work you do is satisfactory?
• Do you invoice promptly; are your invoices accurate?
• Do you remind clients before the due date?
• Do you follow up on overdue invoices within 3 days?
• Do you keep following up?

If you do all of that and still get stiffed, perhaps it’s time to stop running your business as a hobby.

We SBOs are often so keen (read desperate) for business, we’ll do things for clients without getting the basics in place. We hope they’ll be as honest about paying us as we are in delivering value to them. We work on trust and are then deeply offended when someone proves to be untrustworthy!  Go figure!

That’s how so many SBOS end up solving today’s problem (too little business) by creating much bigger problems tomorrow: not being paid for the work we do. What we need is a set of rules to protect our businesses from our own enthusiasm–a way to improve cash flow and reduce bad debts.

I’m not suggesting that you send Ugly Mike around with his baseball bat. But I do suggest adapting the kinds of things that work for larger companies. For example, a system that lets your debtors know you’re as serious about getting paid as you are about the quality of the work you do.

Letting the System Do the Work

When times are tough, even people with the best intentions can have a hard time juggling bills. However, that doesn’t mean we can or should let them slide—even for a little while. It’s bad for business, and sets an even worse precedent.  Out-of-sight, out-of-mind is very real: people pay attention to what’s in front of them. That means you need to be there at the right time with the right message.

You won’t offend clients by asking for timely payment in the right way. People have come to expect businesses of all sizes to send a series of gently escalating reminders when they’re late in paying their bills:

• A polite reminder arrives few days after the due date.
•  If they still haven’t paid, another reminder is mailed a couple of days later.
•  The next letter has red writing across the top.
•  If that fails, it’s time for a final demand and then off to court for default judgment.

That’s the heart of the system, and the system does the work. It’s turnkey, automatic and impersonal; but it’s also relentless in looking after your business interests. It takes the emotion out and leaves you confident that you’re doing the right thing. It will improve your chances of being paid on time and reduce bad debt. Moreover, by managing invoices before they’re overdue you’ll improve cash flow while showing clients that you’re serious about your business as they, no doubt, are about theirs.

If you’ve been looking for a system like that, try going to http://www.getting-paid.com/
You’ll find an easy-to-use automatic invoice-chasing system for small and medium-size businesses. It’s like having an in-house credit manager for the price of dinner for two! No more wasting hours of productive time fuming at people who don’t appreciate your work!

Pete Bowen fell in love with business during the first week of primary school, when he realized he could make and sell eye-pokingly sharp wooden swords. It took about 3 days for the teachers to shut him down but ever since then he’s loved small business and enjoyed the company of small business owners. His primary interest now is in using technology to automate the repetitive tasks that have to be done to make your business tick. Business owners get much better results when they’re driving the business rather than being the engine (When they don’t let running their business interfere with running their business!). Pete has a degree in civil engineering and is married with 4 children.

What Do You Think? Your comments are welcome. Have you registered?

Bill Willard is a freelance writer in Clearwater FL. He has been a high-impact writer and editor for over 30 years. In addition to his byline pieces, Bill’s beat includes ghostwriting and editing for businesses of all types and sizes, professional practitioners and individuals, and he  is a www.thefreestyleentrepreneur.com Contributing Author.

 Visit his Website: www.writergazette.com/WillardAssociates.shtml
Or contact him at billw15@verizon.net to sign up for his popular new eblog: Daily Grin.