Calling All Entrepreneurs and Novice Small Business Owners

The economic climate outside is great for launching a small business and current owners are pleased with the results so far.

The top line is that small businesses expect increased sales as well as an increase in staffing.

According to Paychex Inc., coming out of the recent recession, small business entrepreneurship has played an important role in growing the economy. Based on a historical analysis of a subset of its small business clients (1-49 employees), Paychex evaluated the rate of small business entrepreneurship before, during, and after the recession and found that the rate of entrepreneurship grew immediately following the recession, peaking in 2012 and 2013, and then moderated, declining slightly until 2017 when it began to accelerate again.

Most significantly for entrepreneurial newcomers is that the majority of current small business owners would recommend starting a business today, according to Paychex. More than three quarters of small business owners (79%) would recommend starting a business today, while 21% would not. More than 70% of business owners describe today’s business environment as either better or the same compared to when they started their business.

Of those respondents, 46% said the business environment is better and 25% said it is the same. Only 26% of business owners describe today’s business environment as worse.

Business owners who started their company during or closely following the recession (4-9 years ago) were more likely (57%) to say the business environment is better today than when they started. Among those who started their companies 10-19 years ago or 20 or more years ago, only 44% and 32%, respectively, said the business environment is better compared with when they started their company.

This dovetails with another poll. US small-business owners are largely positive about their financial situations, according to a Wells Fargo/Gallup Small Business Survey conducted April 1-5. Seven in 10 owners describe themselves as “more optimistic than pessimistic” about the financial outlook for their business over the next 12 months with 84% saying their company’s financial situation will be either very good or somewhat good one year from now. And, almost eight in 10 owners describe their current financial situation as very or somewhat good.

Based on this positive outlook for 2019, it is only normal for business owners to increase their staff. More than half (55.5%) said they will be adding new staff, with only 2.6% lowering the number of employees in their organization. For the remaining 42.5%, 2019 is not a year they will be hiring.

The gross domestic product for the first quarter of 2019 was impressive, delivering an annualized rate growth of 3.2%. Along with that positive number, in April, the US economy added 275,000 jobs. This has driven the unemployment rate down to 3.6%, the lowest in 50 years (December, 1969).

For its part, the small businesses with 1-49 employees added 77,000 jobs. This is up by a considerable margin from the 6,000 jobs created in March.

Small businesses with 50-499 employees added 145,000 jobs while those with more than 500 employees added 53,000.

While owners are optimistic about the economy in the coming year they are concerned by challenges attributed to the talent shortage. The low unemployment rate is making it much harder for small businesses to find the talent they need. In the press release for April’s ADP report, Mark Zandi, chief economist of Moody’s Analytics, observed, “The job market is holding firm, as businesses work hard to fill open positions.”

A survey carried out by QuickBridge has revealed small business owners are optimistic about the coming year. In response to the question “How do you expect the U.S. economy to perform in 2019?” 59.9% of small business owners said they will see an increase. This was followed by 27.7% who said the year will remain flat, and the remaining 12.9% believed it will take a downturn.

In addition to low employment numbers (3.9%), wages are increasing, businesses across the board are hiring, and banks are approving record number of loans, a face that bodes well for small businesses. All told, these economic indicators create a positive environment for new businesses and those looking to expand.

The second QuickBridge question looked into what small businesses expect in term of sales for the year. A clear majority (83%) said it is going to increase, with 15% saying it will remain flat and only 2.29% indicating it will be a down year.

Small businesses face a host of challenges, but for this year securing capital took the top spot at 40.8% of the respondents. Increasing profits was next at 28.8%, growth at 22.7%, hiring employees at 20.6%, and new products/services was last with 11.5%.

Regarding financing or securing capital, QuickBridge asked: “How do you find the current financing process offered by online lenders vs. the process at traditional lenders?” Almost an equal amount found the process difficult and very easy at 24.5% and 22.8% respectively. The remaining 53.5% said it was fairly easy.

Consequently, the bottom line for entrepreneurs and novice businessmen and women, is don’t be put off by temporary pitfalls and complications. Stay in the ring for all 12 rounds. Look for skilled marketers, salespeople and social media managers to grow sales.

Look for cost-free consultation from a host of sources like NJSBDC and SCORE and then listen to the cash register.

Businesses Get Rid of Straws to Be Sustainable & Grow Sales

In the ongoing campaign to rid the planet and local neighborhoods of unsustainable products, businesses have targeted a ubiquitous utensil – straws.

Seen everywhere in foodservice and hospitality establishments, these tools contribute to polluting the earth and waterways, causing harm to the ecology, animals, bird, fish and humans. They also make our global habitat unpleasant.

Large and small restaurants, hospitality businesses along with grocery stores are heeding the call and jumping on the sustainability bandwagon not only for the good of humanity but also for their companies’ bottom lines. And there’s nothing wrong with making money as you protect the environment.

Evergreen Packaging, a global leader in fiber-based packaging solutions, recently released a report based on data from the annual EcoFocus Trend Study, which forecasts key trends that will shape the American food and beverage industries in the near future. Now in its ninth year, the EcoFocus Trend Study examines how consumer attitudes, actions, preferences, and values are reshaping grocery purchasing decisions. The Responsible Packaging Shoppers (RPS) are emerging as a trend-setting segment of shoppers that should be reckoned with.

“The critical take away from the latest study and report is that there is a growing consumer group that is consciously making their purchasing decision based on packaging material, its perceived recyclability, and corporate commitments to sustainability. Through our work with EcoFocus Worldwide we are able to help our customers stay ahead of the most important trends and to make decisions based not only on the customer of today, but the customer of tomorrow as well,” observed DeWitt Clark, vice-president of sales and marketing North American Packaging for Evergreen Packaging. “Without a doubt, the consumer expectations we are seeing now will have a lasting impact on the shopping experience and the packaging expectations for many years to come. It is vital information for any leader in food and beverage sales at the grocery level.”

Of the general grocery shopper population in 2018, RSPs now make up 59%, which has grown 16 percentage points from 43% since 2013.

The trend line is quite evident.

This consumer segment believes that recyclable and renewable are the foundations for responsible packaging. The importance of packaging becomes even more prevalent when taken in the context of healthy foods and beverages. Responsible Packaging Shoppers insist on packaging that aligns with perceptions of the contents: healthy packaging for healthy foods and beverages, and recyclable packaging for natural and organics.

In other words, responsible packing shoppers are more likely to do business with your restaurant or hotel/motel if you shun straws and other unsustainable utensils.

Recently, a ferry company banned plastic straws, amid consumer ovations because straws on waterway vessels are quite likely to make their way into rivers and ocean.

USA Today reported that Marriott Hotels will be eliminating plastic straws from its 6,500 hotels within the next year. This is noteworthy not only because of the sheer scale of the ban, which will reportedly eliminate 1 billion plastic straws and a quarter-billion stirrers annually, or that hotels are sort of a ground zero for beverage consumption, but also because a significant number of these properties will be in beachfront locations and/or other areas of natural beauty.

Consequently, these are potential locations where plastics can easily escape the waste stream and make their way into the natural environment.

There’s much more to the plastics pollution problem than mere plastic straws. However, the speed at which plastic straw bans have taken hold around the world is an encouraging sign that when working together we, society in general and businesses in particular, can achieve consensus and sustainability, and decisive action on problems that once seemed intractable.

Additionally, supermarket Wegmans plans to reduce in-store plastic made from fossil fuels by 2 million pounds this year and seeks to eliminate 10 million pounds by 2024. The national chain is targeting packaging and other single-use plastics.

So far in 2019, Wegmans reports replacing plastic straws and drink stirrers with renewable fiber alternatives at all of their corporate work sites and 98 stores in New York, Pennsylvania, New Jersey, Virginia, Maryland and Massachusetts.

To help reach its goal for this year, the company is collaborating with the Center for Sustainable Packaging at Rochester Institute of Technology to identify alternatives. Wegmans anticipates replacing some current packaging with materials made from plant-based renewable fiber.

“We need to ensure packaging is functional and performs as expected, which is key to reducing food waste,” noted Jason Wadsworth, Wegmans packaging and sustainability manager. “But, it must also use materials efficiently and responsibly, and be recyclable whenever possible.”

So it makes sense for large and small restaurateurs, hotel/motel owners and grocery store proprietors to look into substituting old-fashion straws for ecologically friendly ones and other sustainability products that will help the environment and build their businesses.

Actually, straws make up a small portion of plastic waste, but over-emphasizing efforts to get rid of them could inspire a more comprehensive approach to foodservice sustainability that would have a much greater impact than just focusing on straws alone. As off-premise sales continue to grow for restaurants, foodservice packaging will only proliferate, so it’s important that eateries invest in packaging that’s more sustainable from the start and help consumers dispose of it responsibly.

To further cut down on the amount of foodservice packaging that ends up as waste, restaurants and hospitality facilities should make sure they’re purchasing recyclable materials and disposing of them properly. A high percentage of restaurant operators report that they recycle, according to the National Restaurant Association’s 2017 Restaurant Sustainability Survey, which found that 29% of restaurants recycle rigid plastics such as cups, some 22% recycle cling wrap and other flexible plastics, and 65% recycle paper and cardboard.

If the straw ban and sustainable foodservice applications has attracted your interest, here is a partial list of products you can acquire now.

• Aardvark straws: paper straws rigid enough not to break down in your drink biodegradable and 100% compostable.
• Lolistraws: edible paper compostable straws, marine degradable, seaweed based.
• Harvest straws: these are straws made out of straw.
• Be organic glass straws: made in Bali, reusable and can be cleaned and sterilized.
• Stainless steel bendy straws: These stay cold while you drink your cold drink.
• Eco straws: in a wide range of materials including stainless steel, glass, natural bamboo and titanium.
• Silicone straws: non-toxic, food grade silicone.
• Ice straws: a mold allows you to make your own straws in the freezer. The mold is made of silicone rubber and will make six 8-inch straws of whatever liquid you like. (Won’t your lips freeze, though?)
• Noodle Straws: Extra-long pasta tubes that you can dispose of right after they ruin your drinking experience.

Sustainability can boost your business. So join the conversation or start one about small businesses and sustainability. Tell your trading partners, customers, media and local officials about your activity to help your neighborhood. You may be surprised by the number of people you will quickly attract as followers.

I’d also like to invite you to visit my Thought Leadership website:

http://thoughtleadership.yolasite.com/              

If you’re looking for advice on recruiting, company handbooks, immigration policies and other human resources topics, I’d like to suggest to you this interesting website:

http://hrtiebreaker.yolasite.com/

Scroll through my blog to read about more ways to promote yourselves and boost your outreach.

10 Great Mobile Apps to Boost Small Business Productivity

Every business owner is constantly looking for ways to boost his or her personal productivity as an owner/manager as well as the company’s.

This could be a demanding task especially if the proprietor is on the run without access to a computer, laptop or records.

Thanks to modern technology and the ubiquitous cell phone, small business owners have a wide range of productivity tools at their disposal that they didn’t have even a year ago.

However, surfing the Internet in search of these instruments that can organize, streamline, automate and keep owners on top of their companies is a time-consuming chore. Which tool is better than another, which one is affordable, which one is safe? These are just some of the questions that owners could struggle with.

Fortunately, a British website called Smarter Business has assembled a short, useful directory of mobile phone apps for budget-conscious owners that will satisfy their productivity quest and budgets.

Here are the 10 cheap Apps

Skype

Skype is an established and dependable communication platform. And best of all, you can make Skype-to-Skype calls anywhere in the world for free (yes, you’ll need Internet or Wi-Fi access, which you probably already have). With Skype video conferencing, you can bring up to 25 colleagues, customers and suppliers together and still not pay a dime.

Google Drive

Google Drive has a suite of business applications, communication and storage solutions in one platform. And just like Skype, these features are free.

The Google cloud platform allows you to collaborate with your staff no matter where they are. You can sync across emails, edit documents in real-time, and use the 15GB of free storage to archive the work.

If you need more storage, you can get 100GB for only $1.99 per month or $9.99 for a terabyte. How much is a terabyte? A lot. 1,000GB.

FreshBooks

Tracking your T&E and other expenses is a tedious but needed part of running a small business. With FreshBooks, owners can track all invoices, expenses, projects, and even your time spent on projects.

The app also lets you automate your workflow so you can save time by eliminating manual processes. The company has 70 new app integrations to make FreshBooks work seamlessly with many popular apps.

The price depends on the number of clients, starting at $15 per month for five billable clients.

Hootsuite

As I have written in the past, social media is a must for many small businesses. Hootsuite is a social media managing platform which brings your channels together under one roof. The app lets you schedule your posts, report on your online presence, gather content and measure performance.

As with many helpful apps, Hootsuite also has a free version, but the premium tiers have extra tools for managing and monitoring your social media efforts.

MailChimp

Email is still one of the best communications tools for business. Mail Chimp has automation features designed to simplify the process of sending emails. Whether you are launching a limited or large marketing campaign, MailChimp has the tools for creating, managing, and tracking the performance of each email.

Even the free version gives you 2,000 subscribers and 12,000 emails per month, which undeniably is a lot. The $10 Grow plan ups those options to unlimited subscribers and emails.

Expensify

Some companies require regular expense reporting. Expensify is designed to specifically tackle these business tasks by simplifying this monotonous process. The app scans your receipt, automatically transcribes the details, applies for reimbursement, and creates a report outside of the office.

The cost is free to the end user, but the person approving the reimbursement will pay $5 per submitter/ month.

Asana

Managing teams has become much simpler due to digital technology. Asana is a work management platform which brings all team members together. Department heads and other leaders can manage, plan and structure projects by setting priorities and deadlines and sharing details in one place.

A free version can bring up to 15 team members together. And the premium tiers have more features, including more team members starting at $9.99 per user/month.

Wix

A website is the digital storefront of any business. Wix is a DIY web builder with drag and drop functionality for quickly and easily creating a fully functional website. Wix features allow business owners to create a website with its Artificial Design Intelligence or the Wix Editor. This includes the ability to add advanced functionality such as mobile optimization, SEO, e-commerce, and more.

You can create a free Wix website, but the paid packages, which start at $4.50 per month are well worth the investment.

Prezi

If you’re still using PowerPoint, Prezi has an innovative platform for creating engaging and interactive presentations. The canvas-based tool uses a drag and drop interface to create timelines, historical references, and chronological data. At the same time, Prezi is able to track how users are viewing and where they are engaging most.

The personal standard tier starts at $5 per month, with the plus going for $15 per month.

Dropbox

Last but not least. Dropbox is an extremely powerful and essential sharing tool for today’s businesses.

It lets you store and organize all your files for easy access. And you can share the files with your clients and interact with your team from virtually anywhere. Dropbox is also a great tool for storing your important information. The free version gives you 2GB of space and for $20 per month, you can get as much space as your team needs.

This list of beneficial apps for small business owners is not exhaustive. Even those listed here have helpful and useful competitors. The point is that help for a busy small business owners is at the end of your arm and your fingers. Don’t overlook it. And you have a starting point.

Also, as with all software and social media applications, while they are basically easy to maneuver don’t give up on them if you get stuck. Stay with them, work them, practice. You’ll get the hang of them and boost your productivity.

I’d also like to invite you to visit my Thought Leadership website:

http://thoughtleadership.yolasite.com/              

If you’re looking for advice on recruiting, company handbooks, immigration policies and other human resources topics, I’d like to suggest to you this interesting website:

http://hrtiebreaker.yolasite.com/

Scroll through my blog to read about other topics, promote yourselves and boost your outreach.