Dear Felicia,

I recently launched an online classified ad service in California. However, I have not received the market response that I so desperately need to generate cash flow. I have used Twitter as a means to drive traffic to my website, but for some reason, I am not getting any posts to my site nor many visitors. Do you have any suggestions on how I can spread the word about my website? Thank you.

Courtney K.

via e-mail

Dear Courtney,

I feel your pain.  It’s a bummer to start a business with excitement and a belief that it is instantly going to take off only to find that you are not getting the response you expected.  Don’t worry though; you are not alone — nor are you the first or last entrepreneur who has had this experience.  In fact, successful entrepreneurship is basically successful experimentation.  The key is to launch your idea as inexpensively as you can so you can get market feedback and figure out what you need to change to build a customer base, or whether to scrap the idea all together and start over.  So you’re on the right path and you’re doing the right thing by not suffering in silence.

I believe there are a few reasons you are not getting the response you are looking for right now. Before we discuss them, grab a piece of paper and a pen. I want you to write down your responses to what I am about to ask you. Don’t analyze.  Just write down the first thing that comes to your mind.

Ready?  Here we go.  What do you think of when I say:

“Talk show?”

“Running shoe?”

“Fast food?”

“Classifieds online?”

Your answers may be slightly different than mine, but I bet if our answers don’t match perfectly that my responses would be your second choice.  My first thoughts were Oprah, Nike, McDonald’s and Craigslist. You know why?  That’s the power of a brand.  These entities have branded themselves so well and differentiated themselves so well that they stand out in my mind and the minds of millions of people.  Does that mean that other people and organizations in these same categories can’t be successful?  No, but it means they have to find another way to stand out.

Jerry Springer stood out by inviting the most ridiculous guests ever to his show. Reebok, Adidas and Converse haven’t done bad. Wendy’s and Burger King have managed to make millions despite having the golden arches as their competition. Also, Craigslist is memorable as a brand because of first mover’s advantage and ease of use.

So, I have three bits of advice:

1. On your site and in your marketing, make it clear in one sentence how you benefit the customer and how you are different:

Do you offer classifieds for only a specific product or category?  Are your classifieds only for a city or a specific neighborhood?  Why would somebody choose to post with you versus your already well-known and proven competitor, Craigslist?

2. Get word out about your site to your target market in every possible way:

Communicate your new, clear, differentiated brand message to your target customers at every turn.  You mentioned that you are using Twitter to get the word out.  That’s good, but it’s not enough. Use Facebook, too. Take flyers to local businesses that people frequent such as grocery stores, gas stations, restaurants and daycare centers (because I am presuming that your classifieds are for your local area). Also, the United States Postal Service just launched a new service called Every Door Direct Mail where you can send direct mail or postcards to specific zip codes.  This makes direct mail a lot more affordable because you no longer have to buy a mailing list.  Local post office locations are holding free seminars about the new service, so check their website to register for an informational session in your area to find out if this is a good fit for you to get word out about your classifieds site.

3. Show pictures and testimonials from people who have used your site:

In marketing there is a concept called “social proof.”  Once there is “social proof” or evidence that other people are using or doing something new and it has been accepted, then most people are more open to using or doing it too. This happens through word-of-mouth, so you need to actively find a few people in your local area who have stuff to get rid of and get them to list it on your site.  Once they list and sell their items, then show pictures and testimonials from these people as social proof that your site is a good place for other people to sell stuff too.  Maybe you can host a local “de-clutter” day.

Use these tips to enhance your brand and drop me a line at ask@feliciajoy.biz to let me know how it’s going.  Good luck!

Note: All advice offered in this column is for general information only.  Felicia Joy and The Atlanta Post are indemnified against any and all related claims.  Always seek the advice of licensed professionals before making business decisions.

Felicia Joy is a nationally recognized entrepreneur who created $50 million in value for the various organizations and companies she served in corporate America before launching her business enterprise.  She is often called on to discuss the ins and outs of entrepreneurial success and has appeared on CNN, FOX and in other national press.  Felicia operates Ms. CEO Inc., a business training and development company that helps women entrepreneurs achieve more success, faster — as well as Joy Group International, LLC, a business development and consulting firm. Send her your questions at ask@feliciajoy.biz or www.twitter.com/feliciajoy.

Dear Felicia,

I want to start my own toy brand. Where can I go to get finances, backers, and a grant within a year or so? Is my goal of having my product to market by the end of next year realistic?

Mechal Roe-Barber

via email

I have a kids fashion line and have just completed a proposal. How do I acquire funding?

@bluejeanbandits

Via Twitter

Dear Mechal and @bluejeanbandits,

Eighteen months is more than enough time to get a business off the ground if you’re determined to do so, but life can happen so the amount of time you actually take will really depend on you.

As far as your questions regarding funding, well, that’s on every business owner’s mind—even for leaders of massive, multibillion dollar, publicly traded companies.  I have three ideas that may help you find the funding you need to get started.

1.     Gather money from every source you can think of including family and friends. If your friends and family are willing to contribute to your business endeavor, it may only be in small amounts since people are still feeling the pinch these days. But, little amounts add up. If you could get 50 people to contribute $25 to your business, that would be $1,250.  Before you brush that off as a measly amount, consider the fact that real estate mogul Barbara Corcoran turned a $1,000 loan into a successful real estate company that she eventually sold for $70 million. Or consider David Green, founder of Hobby Lobby.  He and his wife started their business by making and selling picture frames in their garage and at their kitchen table.  Today the business rakes in sales of more than $2 billion.  The key is to invest whatever amount of capital you are able to raise from family and friends — and other sources — into sales and marketing to make more money than you’ve spent and keep repeating the process.  For example, make five or ten of one of your toys or clothing items, sell those and re-up.  Once you’ve done that a few times and can prove that there is demand for what you have, start a wholesale program where stores pay you in advance for bulk orders.

2.     Get a U.S. Small Business Administration (federal government) guaranteed loan. The SBA has launched several new loan programs, including the Community Advantage loan.  The SBA doesn’t actually make the loans; rather, they act as a guarantor for up to 85 percent of a small business loan. This way, the bank making the loan knows that if for some reason the borrower defaults, they will recover at least 85 percent of their money from the SBA.  This makes it easier for small businesses to get loans because it substantially reduces risk for financial institutions.  The Community Advantage loan program was particularly created for not-for-profit and community based lenders to have the flexibility to lend to people who don’t have the typical collateral required by financial institutions, like a house.  Also, these community based lenders may know “the story” of these borrowers.  On paper, the entrepreneur may not appear to be a good risk, but because their business has cash flow and they have a local reputation for being responsible, the Community Advantage lender can make the subjective decision to loan the individual money for business.  The maximum loan amount is $250,000.  Check out the list of approved Community Advantage lenders and call the SBA at 1-800-827-5722 to get answers to your questions before you submit an application.

3.     Become an amazing storyteller. For creative projects like toys and kids clothing, Kickstarter.com might be your ticket — if you can tell a convincing and compelling story. The ingenious founders of this site, which has been operating since 2009, have created a platform where people who don’t know you can contribute to your project. That is if you can convince them to support you by sharing what you’re working to accomplish, why you’re launching your project, and what they’ll get out of supporting you (you are required to give rewards for each level of support, but the nature of the reward is up to you). Kickstarter has to approve your project before you can post it, but unless you violate their guidelines, most projects will be approved.  Contributors, or “backers” as Kickstarter calls them, can give as little as $1 up to thousands of dollars.  I have personally contributed a fair amount to two projects on Kickstarter, and I didn’t know either entrepreneur I supported. I simply liked their ideas, respected their grind, and I thought the rewards they were giving were cool. Recently funded projects have raised from $14,000 to $121,000. The most funded project ever earned nearly $1 million within 90 days.

I hope one or more of these ideas will work for you.

Grace & Peace,

Felicia Joy

Felicia Joy is a nationally recognized entrepreneur who created $50 million in value for the various organizations and companies she served in corporate America before launching her business enterprise.  She is often called on to discuss the ins and outs of entrepreneurial success and has appeared on CNN, FOX and in other national press.  Felicia operates Ms. CEO Inc., a company that helps women entrepreneurs achieve more success, faster — as well as Joy Group International, LLC, a business development and consulting firm. Send her your questions at ask@feliciajoy.biz or www.twitter.com/feliciajoy.

Dear Felicia,

How does a small business get and stay organized when it comes to administrative and miscellaneous tasks?

Nubia P.

via Twitter

Dear Nubia,

Administrative and miscellaneous tasks are a necessary part of business, but they sure can be big time wasters too.  If you are able to hire an administrative assistant who is primarily responsible for these tasks, or delegate them to a virtual assistant, then this will save you a lot of time — and make you more money — in the long run.  However, if you have to handle them for yourself until your business grows, then get disciplined about scheduling them as part of your day.

Here are four steps for maximizing your time and remaining organized to handle administrative tasks while running your business.

1.     Complete your critical or “must-do” tasks first: Identify your revenue-generating tasks and put them at the top of your daily to-do list.  Keep your list short at seven items or less.  You can keep a master list of to-do items a mile long, but keep that in a folder or Word file somewhere else.  Don’t use your long list as a daily guide because subconsciously, it is not good to end your day everyday with more things left to do than you have completed.  It is more psychologically rewarding to have a short list that you complete or nearly complete each day.

2.     Schedule everything, including breaks for administrative tasks: Schedule your day with a generous amount of time for revenue-generating tasks because they are priorities.  In between these tasks, or as a short break from them, schedule 15 to 30 minutes for administrative or miscellaneous items, such as answering e-mail or returning calls.  Working in blocks of time like this has really helped me.  I have gotten to the point where I schedule everything, including time for interruptions.  I know this may sound a little rigid, but it takes a good bit of discipline and focus to build a business that pays for itself and pays you well so sometimes we have to upgrade our habits.

3.     Start your day with energy and focus: Every day before I start working I take a few quiet minutes to get centered.  I then check my BlackBerry calendar so I know what is ahead.  I also have my to-do list — written the day before — on my desk waiting to be worked through when I get started in the morning.

4.     Be honest with yourself and eliminate or minimize distractions: I have found that e-mail and telephone calls distract me a lot.  So now, I don’t check e-mail or make phone calls until I have done two or three things on my list.  This way I build momentum and it’s easier for me to get back to work after checking e-mail for 30 minutes or taking a call.  I also now put my BlackBerry on silent and leave it in my purse and out of reach while I am working.  If it is there on my desk, I have the tendency to keep checking it every two minutes.  This is so silly, but it’s what all these gadgets and the Internet have done to us!  Identify your time wasting weaknesses and set yourself up for success by getting rid of the distractions.

Unless you are naturally structured, when you first attempt to manage your time like this it will feel odd and you will stray from it. But eventually if you stick with it, you will form new habits and feel great about how much real work (not busy work) you are getting done and that will compel you to stick with it.

Grace & Peace,

Felicia Joy

Felicia Joy is a nationally recognized entrepreneur who created $50 million in value for the various organizations and companies she served in corporate America before launching her business enterprise.  She is often called on to discuss the ins and outs of entrepreneurial success and has appeared on CNN, FOX and in other national press.  Felicia operates Ms. CEO Inc., a company that helps women entrepreneurs achieve more success, faster — as well as Joy Group International, LLC, a business development and consulting firm. Send her your questions at ask@feliciajoy.biz or www.twitter.com/feliciajoy.

Dear Felicia,

Based on a podcast I sent out, one person asked me how much I would charge to motivate his teens.  I have never charged for it, but now I am attempting to market myself as a motivational speaker since I already mentor teens through my own organization.  How do I charge?  By the hour or in a lump sum? Also, do I send a brochure stating my services?

Daphne W.

via Facebook

Dear Daphne,

Kudos to you for attracting a business opportunity without necessarily intending to do so!

There are different models for growing a motivational speaking business so it’s really up to you.  Overall, people are still very money conscious these days, and they want to know exactly what they are getting and how much it costs.  So, it would be most effective for you to offer speaking packages.  Create a list of several topics you can speak on and come up with catchy titles for each topic. Then, list what the teenagers will learn after hearing you speak on the subject.  Set a rate for each speaking topic. This takes the guesswork out of it for you and makes it easy for people to buy from your business.

As far as sending a brochure stating your services–you can do that, but creating a blog with WordPress or another free service would be more effective.  This way, other people can find you. You can quickly and easily update your speaking topics and fees without having to print new materials each time. This way, you will have a place to create a library of your podcasts, which is what landed your first paid speaking opportunity to begin with!

By using your blog, you can also take advantage of free social media tools such as Facebook, Twitter and LinkedIn to grow your business.  You can post video snippets from your talks—and video is the fastest growing way to market any kind of business today.

You can keep your blog updated with thoughts on your current list of topics, as well as new topics that inspire you.  Writing your thoughts will make you an even stronger speaker.  Over time, you can take all those blog postings, get them edited and create a book, which you can then sell at future speaking engagements for an added cash flow stream.

If you want something tangible you can hand out where ever you go, opt for a clean, well-designed business card, and maybe a 4×6 flyer with strong brand messaging. Don’t include details like pricing, which could change. Give people a reason to go to your website. You can order 1,000 or more of the 4×6 flyers for less than $100. Just search “flyers” on Google for printing options.

Congratulations and good luck!

Grace & Peace,

Felicia Joy

Felicia Joy is a nationally recognized entrepreneur who created $50 million in value for the various organizations and companies she served in corporate America before launching her business enterprise.  She is often called on to discuss the ins and outs of entrepreneurial success and has appeared on CNN, FOX and in other national press.  Felicia operates Ms. CEO Inc., a company that helps women entrepreneurs achieve more success, faster — as well as Joy Group International, LLC, a business development and consulting firm. Send her your questions at ask@feliciajoy.biz or www.twitter.com/feliciajoy.

Dear Felicia,

I am a firm believer in education and reading to keep your mind going. I truly want to open an African American bookstore. I am wondering if you can give me some suggestions on how to get started with this. I would like to have children’s books, fiction, and Christian books. If you can give me some type of insight on writing a business plan, I would greatly appreciate it.

Osarka L.

via e-mail

Dear Osarka,

We are kindred spirits.  I love reading and I love books!  For me, they never ever get old. But times are a-changing fast. Digital books are on the rise so please consider that as part of your business planning. Borders, a billion dollar bookstore chain, has not made a profit since 2006, [while] its competitor, Barnes & Noble, has remained profitable by embracing the digital book marketplace.

There’s good news in this for you: changes in the book market are creating niche opportunities for independent bookstore owners.  For example, last month, Time.com¹ reported that Greenlight Bookstore in the Fort Greene neighborhood of Brooklyn had $1 million in sales in 2010. This was due in part to understanding their local niche and stocking what neighborhood customers wanted. Plus, they focused on local authors and events.

The co-owner of Greenlight is listed in the article.  E-mail her to see if she would talk to you for 10 minutes.  Before doing this, write your business plan (use the templates on SCORE’s website if you need to).  Going through that process will clarify some of your ideas, give you a better sense of your local market, give you a real idea of what your startup costs could be, and compel you to think about marketing strategies.  The plan won’t guarantee your success, but it increases your chances by at least 30 percent. Also, you’ll have better questions to ask the entrepreneur who has created a success of her bookstore in New York.

Once you’ve done this, e-mail the Greenlight owner. Guarantee her in the e-mail that if she is willing to talk to you that you will stick to 10 minutes and not a minute more.  Schedule the time to talk, have a list of your top 5 to 10 questions ready, call her on time and make sure you don’t ask any question that you could have figured out on your own with a little research.  Keep your eye on the clock while you’re on the phone with her. Start wrapping up the conversation when you’re down to nine minutes.  Send her a handwritten thank you note in the mail on the same day.  If you can afford to do so, take a trip to New York and visit the bookstore.  Spend a day there and see what it’s like.

Let’s talk about more things you can do to improve your chances of long term success with your bookstore.  Go to an existing bookstore near where you plan to open yours, and ask 100 people why they go to that bookstore (it may not be to buy books; maybe free wi-fi and delicious coffee attracts them). You can also also ask them what the bookstore is missing.  This may take you days or weeks, but the effort will be worth it. You will see patterns in the answers you get that will reveal valuable marketing insights before you even get started.

I also want you to list every conceivable cost for opening your bookstore and think of ways to eliminate or reduce that cost for your first 12 to 36 months of business.  For example, start with a smaller space and negotiate a few months of free or significantly reduced rent.  Buy your shelves and fixtures used from a Borders that is going out of business or on Craigslist.  Go down your entire list with this approach.

One more thought I’d like to share with you, Osarka: create and execute an aggressive sales and marketing plan that is going to bring multiple streams of cash through your door every single month.  Answers from those 100 people — and the conversation that you can hopefully have with the Greenlight owner — will tell you what books people want to buy and what they want besides books.  Make sure you offer it.  Something as simple as renting your store as an event space before and after your hours, or offering how-to workshops to aspiring authors could create more cash flow that will keep you afloat while you grow the business.

Grace & Peace,

Felicia Joy

Source:

¹ Time.com – E-Books: Why Barnes & Noble Avoided Borders Fate

Felicia Joy is a nationally recognized entrepreneur who created $50 million in value for the various organizations and companies she served in corporate America before launching her business enterprise.  She is often called on to discuss the ins and outs of entrepreneurial success and has appeared on CNN, FOX and in other national press.  Felicia operates Ms. CEO Inc., a company that helps women entrepreneurs achieve more success, faster — as well as Joy Group International, LLC, a business development and consulting firm. Send her your questions at ask@feliciajoy.biz or www.twitter.com/feliciajoy.

Dear Felicia,

How can I have a successful non-profit?  I want to love my career but make money doing it as well. There seems to be no money in social work alone.

Lauren G.

via Facebook

Dear Lauren,

You didn’t describe your idea of success or indicate how much money you want to make so I’m not sure what your goals are; but, I’ll base my answer on the general population.  The amount of income needed for financial comfort is different for everyone, but researchers have found that $75,000 per year is the “happy salary” for most people. So, let’s use that as a standard.

You are right. Typically, social work is not a high-paying career choice where you can make $75,000 or a six-figure income.  But I have good news for you.  In business you can get creative and find a way to make your circumstances work for you!  Look for trends, which are a key to wealth.

For example, if you want to stick with social work, look for trends in social issues.  What issues are impacting people who have the means to pay you for help if you figure out a way to eliminate their issue or reduce the impact? Let’s take autism — a developmental disorder that is being diagnosed in a lot more children.

Parents of autistic children have more to do to care for their children, and if you listen to their stories, sometimes they are exhausted and have nowhere to turn.  They also don’t seem to have a central source of credible information for how to help their children as they grow older.

With your education and background, you are probably sensitive to the needs of others who are in fragile situations. Could you create a national network of support groups for parents of autistic children and charge an affordable monthly membership fee?  You could provide parents the latest medical and lifestyle information to make life easier for their family and create monthly support group meetings where they can connect with others locally who are facing the same challenges.  Or, you could market your service to pediatricians who specialize in autism and show them how they can offer it as a valuable service to the parents of their patients, which will grow their practices.

At $8,500 per month you would earn more than $100,000 in revenue per year, and you would only need 340 members nationwide paying $25 per month to earn that amount of money.  This is just one example of how you can use trends and entrepreneurship to do work you love without having to sacrifice your lifestyle in the long run.  Don’t get me wrong; you will have to sacrifice in the beginning because it takes time to learn how to grow and manage a business, but if you are willing to put in work on the front end, you could build something lasting and fulfilling long term.

Grace & Peace,

Felicia Joy

Felicia Joy is a nationally recognized entrepreneur who created $50 million in value for the various organizations and companies she served in corporate America before launching her business enterprise.  She is often called on to discuss the ins and outs of entrepreneurial success and has appeared on CNN, FOX and in other national press.  Felicia operates Ms. CEO Inc., a company that helps women entrepreneurs achieve more success, faster — as well as Joy Group International,LLC, a business development and consulting firm. Send her your questions at ask@feliciajoy.biz or at www.twitter.com/feliciajoy.

Dear Felicia,

How can I have a successful non-profit?  I want to love my career but make money doing it as well. There seems to be no money in social work alone.

Lauren G.

via Facebook

Dear Lauren,

You didn’t describe your idea of success or indicate how much money you want to make so I’m not sure what your goals are; but, I’ll base my answer on the general population.  The amount of income needed for financial comfort is different for everyone, but researchers have found that $75,000 per year is the “happy salary” for most people. So, let’s use that as a standard.

You are right. Typically, social work is not a high-paying career choice where you can make $75,000 or a six-figure income.  But I have good news for you.  In business you can get creative and find a way to make your circumstances work for you!  Look for trends, which are a key to wealth.

For example, if you want to stick with social work, look for trends in social issues.  What issues are impacting people who have the means to pay you for help if you figure out a way to eliminate their issue or reduce the impact? Let’s take autism — a developmental disorder that is being diagnosed in a lot more children.

Parents of autistic children have more to do to care for their children, and if you listen to their stories, sometimes they are exhausted and have nowhere to turn.  They also don’t seem to have a central source of credible information for how to help their children as they grow older.

With your education and background, you are probably sensitive to the needs of others who are in fragile situations. Could you create a national network of support groups for parents of autistic children and charge an affordable monthly membership fee?  You could provide parents the latest medical and lifestyle information to make life easier for their family and create monthly support group meetings where they can connect with others locally who are facing the same challenges.  Or, you could market your service to pediatricians who specialize in autism and show them how they can offer it as a valuable service to the parents of their patients, which will grow their practices.

At $8,500 per month you would earn more than $100,000 in revenue per year, and you would only need 340 members nationwide paying $25 per month to earn that amount of money.  This is just one example of how you can use trends and entrepreneurship to do work you love without having to sacrifice your lifestyle in the long run.  Don’t get me wrong; you will have to sacrifice in the beginning because it takes time to learn how to grow and manage a business, but if you are willing to put in work on the front end, you could build something lasting and fulfilling long term.

Grace & Peace,

Felicia Joy

Felicia Joy is a nationally recognized entrepreneur who created $50 million in value for the various organizations and companies she served in corporate America before launching her business enterprise.  She is often called on to discuss the ins and outs of entrepreneurial success and has appeared on CNN, FOX and in other national press.  Felicia operates Ms. CEO Inc., a company that helps women entrepreneurs achieve more success, faster — as well as Joy Group International,LLC, a business development and consulting firm. Send her your questions at ask@feliciajoy.biz or at www.twitter.com/feliciajoy.

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