Strategy – Page 6 – Steve Pohlit

How To Strengthen Our Three Foundation Pillars For Optimal Success

I encourage you to decide right now to take action when any part of this article resounds with you. You see there is an amazing volume of content we have access to in multiple formats including: books, CD’s, videos, blogs, websites, email, seminars and even talking with each other to name a few. I have found that using a system for processing information in away that helps me retain what I want to have become part of who I am is the way for me to progress professionally and personally.

I have developed The Top Five System. This is an adaption of what I learned from Mark Joyner with his Simpleology System and The JT Foxx Organization where we use a daily Top 5 as part of how the business is operated and developed. I initially published an article that shows anyone how to get started with The Top Five System. The focus of this initial article was to encourage readers to use The Top 5 System for business development. I teach this process and incorporate this system in the coaching, mentoring and consulting division of The JT Foxx Organization.

I have found this system to be so powerful that I recently expanded the view of how it can be used to strengthen our Three Pillars for optimal success. This view which you are about to read is based on over five years of intensive research and the application of these principles to a successful business that I launched on January 7, 2009. That business is Manifest Mastermind.

With that launch I was already incorporating guidance on developing our Three Foundation Pillars. Members have been receiving continual detailed guidance on how to excel in all three areas. The Top Five System is a refinement of that work and is a simple way to to expand your success in business and in life.

I recently presented the first teleconference on The Top Five System for Our Three Foundation Pillars for the members of the JT Foxx Coaching, Mentoring and Consulting Group. Today I am introducing this idea to the public. Note there are only Three Pillars and The Top Five System is designed to focus our attention on not more than five (a handful) action steps. Everyone can manage those numbers. There are no more excuses. Let’s begin.

Our Three Foundation Pillars

1. Health

2. Relationships

3. Money

Everything in life falls within one of those Pillars. They are purposely listed in order of priority. Yes money is last. Health is first since without our health, nothing else matters.

Using The Top Five System For Health…An Example

1. Health Description…This would be the business description in the money pillar.

I am a healthy, energetic person who maintains my ideal weight. You can be more detailed in this description

2. Image Target…This would be the financial plan in the money pillar

I release 20 pounds that I no longer need.

3. Action Plan

I am adjusting my eating and exercise habits to achieve my desired image.

4. Time Line

I am releasing 1 pound per week by using 3,500 less calories per week or 700 per day.

5. Daily Top 5

These are the top 5 actions you plan to take to implement your plan of using 700 less calories per day.

This is an example and you should develop your own details based on you new health image which can include a lot more than weight. The key with each pillar is to have a clear picture of what you want to achieve and measurable action steps. With measurable action steps you will be implementing the Gold Formula which I will write about in a separate article.

Steve Pohlit

Managing Director
Top 1 Coaching, Consulting
JT Foxx Organization

Business Consulting, Executive Coach
Turnaround/Crisis Management
Temporary CEO, CFO, Controller Services
International Business Resources

Social Media Services
New Digital Media, Inc.

Twitter

Facebook

Linked in

MySpace

727-587-7871

Email

About: Steve Pohlit is a CPA,MBA and has been the CFO of several major domestic and international companies. Steve is The Managing Director of Top 1 Coaching/Consulting of The JT Foxx Organization. He is an expert business coach and consultant focused on building massive business profits and net asset value. He is very experienced with Internet marketing and social media marketing. All articles published by Steve unless specifically restricted may be freely published with this resource information.

The Business Profits Reported Next Year Are Created Now

The business performance goals you achieve for the next year begin today. In order to achieve business performance goals you must have ones defined.

If this seems perfectly obvious, then why is it that the majority of companies do not have an annual business plan detailed in financial performance terms. Hardly any business has the disciplined management system in place to manage the business to achieve financial performance benchmarks every week.

This is a summary action guide that should help your business performance excel :

1. Define the outcome twelve months from now that you expect. What are your targeted: revenue, profit and cash flow (takes into account investments in non cash assets). I recommend these goals be higher than your historical trend.

2. Define the business performance you need to achieve in the next two months by week to achieve your annual goal.

Steps 1 and 2 become the budget numbers for your business and step 2 is adjusted every week so you are always looking forward two months. Can be three but should not be less than two.

Part of Step 2 should be a cash flow projection. Again it is very important to have a budget for all these items including cash flow.

3. Once you develop your budgeted items then you track actual every week. Now you are in the position of addressing variances. Positive ones should be viewed as carefully as negative ones. You are either investing in more of what resulted in positive variances or address the cause of negative ones.

Since a CEO should be spending most of their time, meaning about 80% on marketing for growth, there needs to be a rationalized process in place where there is clear accountability for the operations in the other key areas of the business.

This process is a management system. If you are an international multi- billion dollar business or a single entrepreneur the principles are the same.

Sending you energy of health, happiness, prosperity

Steve Pohlit

Business Consulting, Executive Coach
Turnaround/Crisis Management
Temporary CEO, CFO, Controller Services
International Business Resources

Social Media Services
New Digital Media, Inc.

Twitter

Facebook

Linked in

MySpace

727-587-7871

Email

About: Steve Pohlit is a CPA,MBA and has been the CFO of several major domestic and international companies. Steve is a business owner and an expert business consultant focused on building profits and net asset value. He is very experienced with Internet marketing and social media marketing. All articles published by Steve unless specifically restricted may be freely published with this resource information.

Google Launching A New Operating System and You Say So!!! I Recommend Paying Very Close Attention

In the same week I received a message on a special report from the Motley Fool on what Microsoft is worried about and a message from Chris Lang on the new Google operating system that looks like will be launched in 2010. Chris does a great job summarizing the major benefits to this and now I understand what Microsoft may be a bit nervous about.

I have not seen Bill Gates or Steve Ballmer discussing this but I am sure they will soon as their shareholders will want to understand their plans considering this move by Google. Just think of this: $200 will operate very fast and efficiently. I wonder what the equipment and chip manufactures think of the pending development?

Watch the video, then pay close attention to my brief closing comments. These points are what you should be doing today to take advantage of what is available right now and to take advantage of this OS when it is released.

Notice how important Chris feels the Google Friend Connect feature is to the Google strategy. If you look to the right you will notice I use the Google Friend Connect application. How do you install this. Well I am happy you asked. It just so happens I did a video on this a while back and here it is. Wait before you watch it, make sure you read every word of this article as I close with some mission critical advice.

Now what is the one common element to all these features and benefits? Have you ever tried using an Google application that you have set up without your Gmail user name and password. Do you think that information might be very important to have very secure? I do and I recently paid a very heavy price for inadequate security and trusting this information to another. You now know what to do.

Sharing with all my readers the energy of peace, happiness and abundance

Steve Pohlit, Expert Business Consulting

Email Me, Steve Pohlit to schedule A No Obligation Consultation On Building Your Business Profits.Need more customers? Let’s discuss how to use cutting edge Social Media Marketing in the revenue building cycle of your business to drive your profits sky high. If your company is not growing revenue and profits, if your company is not cash flow positive Click Here for more information about Turnaround Consulting Services for Business In Crisis

Follow Me and I Follow You http://Twitter.com/BuildProfits

FREE Report:
How To Increase Business Profits by 30% or More in 90 Days or Less

Connect with me on Facebook Click Here

About: Steve Pohlit is a CPA,MBA and has been the CFO of several major domestic and international companies. Steve is business owner and an expert business consultant, direct response and social media marketing and social networking security expert . Steve is focused on helping companies improve their business performance. All articles published by Steve unless specifically restricted may be freely published with this resource information.

Marketing Is All About Traffic and Conversion

If you are in a for profit business you must have a continual stream of customers that buy what you offer. If you don’t have that working nothing else matters. Given that, what is your priority? Correct…Marketing!!

There are only three ways to increase revenue:

1. Sell more products or services to an existing customer

2. Sell the same amount of products or services to a customer at a higher price

3. Add more customers

When anyone visits your business that is traffic. When anyone who visits buys your offer that is conversion.

Recently, article posted here have been highlighting social media marketing for business. That arena is increasingly being used to generate traffic. I have helped many companies implement marketing programs that use a combination of tools including: a blog, a website, pay per click advertising, email marketing and more. These are all tools that work when used properly.

The landscape is changing with droves of people pouring into sites like Twitter, Facebook, YouTube and more. There are many people who claim to know why social media sites have become so popular but the reasons don’t matter. The facts are that there are huge numbers of people entering these sites and others like them for the first time each week.

Open up a Twitter account at Twitter.com and use the search feature at the bottom of the page and type in the keyword phrase social media. Then begin to click on profiles and discover how many people are referring to themselves as a social media expert.

Key Point: If your primary intent is to do business, having a growing network of connected people on Twitter or anywhere else for that matter means nothing if they are not buying your offer. You have traffic but they are moving on by and the conversion piece of the formula is missing. So when someone calls themselves an expert ask them to show you the profitable business they have developed using social media. Don’t be surprised at the lack of response.

We started from scratch and developed two businesses that are profitable and cash flow positive using only social media. Social media we used includes a blog for each business, and a network we grew on several of the larger social media sites.

There was a lot of work involved in doing this. I know because I did a lot of it and so did my business partner. Brian Campbell is the strategist on the detailed steps needed for this to work. Does this mean we are experts? It means we really have a lot of skills, and now systems, for building meaningful market share in important niche markets.

My Top Two Recommendations for Businesses Wanting To Improve The Effectiveness of Their Marketing

1. Building a contact data base is key. Effectively communicate with that list. This is not new and remains a foundation principle. It is still an alien concept for most companies.

2. Have a find tuned marketing plan, budget and return on investment monitoring in place and reviewed weekly and for some actions, daily. All activity must be focused on building traffic and converting that traffic.

Closing Comments:

The social media landscape is hot and getting hotter. But there are also other proven business development tools including pay per click, email marketing, print media, electronic advertising, trade shows and more. Each must be evaluated and tested in terms of benefit to your business. You can invest your time and that of your employees or outsource a lot of this. If you want fast results, outsource. If you do, again migrate based on priorities and test.

Sharing with all my readers the energy of peace, happiness and abundance

Steve Pohlit
The Profit Expert

Email Steve to schedule A No Obligation Consultation On Building Your Business Profits. Let’s discuss how to use cutting edge Social Media Marketing, Internet Marketing and Direct Response Marketing in the revenue building cycle of your business to drive your profits sky high.

FREE Report:

How To Increase Business Profits by 30% or More in 90 Days or Less

Is Your Business Strategy Largely Determined By How You Feel?

How we feel about anything is a great barometer for prioritizing an action plan. If you feel a major pain in your chest, the actionable options and the time frame for implementation are generally clear. However, once we move past a life threatening emergency, we have a tendency to not move as purposely.

Why is it that we often take a “let’s see what happens” approach? Actually there are many reasons. We rely on the news to tell us how we are doing. Currently the news reports the US is in a recession so we decide to accept that and feel bad. We also decide to live in fear. We fear lost sales and profits, we fear losing our business or our jobs and more. This feeling bad or feeling negative state results in us being “off our game”. Life a professional athlete, we don’t perform to our potential.

There a many companies in a hiring freeze and have indefinitely suspended pay increases even when they are deserved by a star person’s performance. The valued employees in place are asked to do more for the same or less pay. Businesses scale back on marketing programs, investments in technology and in general any spending that seemingly hurts short term cash flow and earnings.

All of these actions and more have a direct negative impact on long term results. When the news tells us things are getting better and we decide to be back “on our game”, we find valuable employees leaving for a better place to work, we find competitors who have become stronger rather than weaker while we were holding back and we find a shortage of excellent outside talent to help us with projects that are now coming out of hibernation.

Does this scenario sound familiar? If you are younger than 25 it may not. But if you are under 25 pay attention and maybe it will be you who will learn from the current economic experiences. Maybe it will be you who decides there is no law for us ever to be in an economic downturn. There is no law that requires us to feel bad or be angry about anything.

We have an opportunity at the start of each day to move forward or stagnate and eventually fade away. I suggest you decide right now to move your business forward.

The Top 5 Action Steps For Moving Your Business Forward Starting Today
1. Decide what revenue and profit before tax you want to report for the year ended twelve months from today.
2. Roll those numbers back to what you want to report one month from now and for each subsequent month for this next year. (It makes no difference when you are starting this. Use the twelve month horizon right now.)
3. For the next two months, roll the revenue and profits number back to what your business needs to do each week starting this week to hit your monthly target.
4. Translate your two month weekly and monthly targets into specific action plans with assigned accountability.
5. Measure actual vs. planned performance with close attention to your actual vs. planned cash position. Support and hold people accountable for performance.

Taking purposeful action is the key to moving forward. The alternative is to sit back read the news to find out how good or bad you feel. Your choice. (If you would like to discuss these steps and how I have helped companies effectively implement these for long term business performance improvement, contact me at 727-587-7871.)

Sending all my readers the energy of wellness, peace and abundance.

Steve Pohlit http://www.stevereports.com

Network with me on Facebook: LinkedIn: MySpace: Follow me on Twitter

Don’t Miss These Free Reports from my new business consulting site:

The Top 10 Action Stops That Will Make Your Business At Least 50% More Money in 90 Days or Less While You Spending Less Time Working Click Here For The Free Report

The Key Issues That Must Be Addressed Before You Buy Any Business of Any Size. Click Here For The Free Report

Steve is the President of International Business Consulting Resources. His firm specializes in guiding companies to rapid increases in revenue and profits with a sustainable growth rate. Don’t miss my FREE Report: How To Make More Money With Your Business Now and Long Term I am building my practice and welcome new client inquiries. Call me for a fee consultation at 727-587-7871 Remember many of my business building articles can be found at Steve Reports and my prosperity building tool (best tool ever for helping you manifest your goals and dreams) is The Prosperity Tool Chest and guiding articles posted very often at Prosperity Tip

Thank You Frank Kern.. You Are The Reason For This Video

An objective review of this video by almost anyone would say – don’t release it. I can come up with over a hundred reasons why this video should not be released. However, I look at Frank Kern. Have you ever watched any of his videos? Google him and take a look. Inspirational! If this guy can deservedly make 10 ‘s of millions annually with his style, I know I can provide 10 times that value. Love your style and valuable content Frank.

My message to you is this: if you wait until you like your own video, article, website, blog material before you make it public, it will never be public.

I founded YouTube Mastery on Facebook and YouTubeMastery.net I did that because video is huge and there is so much compelling evidence of how video is driving traffic to websites and driving up ranking in search engines, you would have to be nuts not to use it. OK and so there are a lot of people who are nuts. Video remains my number one marketing recommendation.

My primary business is coaching executives and restucturing companies for long term improvements in profit performance and asset management. The following video is the first in a series that describes my business consulting practice and as the series develops offers specific guidance as to what you can expect during a consulting engagement as well as valuable tips that will help your business make more money right now.

Sending all my readers the energy of wellness, peace and abundance.

Steve Pohlit
http://www.stevereports.com

Network with me on

Facebook:

LinkedIn:

MySpace:

Follow me on Twitter

Don’t Miss These Free Reports from my new business consulting site:

The Top 10 Action Stops That Will Make Your Business At Least 50% More Money in 90 Days or Less While You Spending Less Time Working Click Here For The Free Report

The Key Issues That Must Be Addressed Before You Buy Any Business of Any Size. Click Here For The Free Report

5 Steps To Stop Insane Management From Driving Business Into The Ground

As a reminder the popular definition of insanity is “doing the same thing over and over and expecting the different results”. Most companies continue to do business the same way and blame the economy and high gas prices on their declining business results when they should be looking in the mirror. There seems to be a strong undercurrent of “I am waiting for somebody to do something vs. I am responsible.”

The operative word here is most. There are sectors of the economy that have been hit by current conditions. I will leave that analysis to economist and academics. They have a lot more expertise in such matters and enjoy the intellectual debates of cause and effect. I have a laser beam focus on what individual companies can and should be doing to achieve their potential.

I am excluding from this article any company who is in serious cash flow difficulty. When a business gets to that point, crisis management… turnaround expertise is needed. MY firm International Resources does that work and we are very good at it. I always advise if you are in that situation, call me or a firm like mine right now as time is of the essence. My direct line is 727-587-7871.

What are “The 5 Steps To Stop Insane Management From Driving Business Into The Ground?”

1. Have a very clear profit plan at each line item of business performance. Measure actual performance against plan and have clear accountability for achieving the plan line item by line item. To implement this you must have timely, accurate and relevant information. No excuses…must have.

2. When people who are accountable for line item performance consistently fail to meet the stated goals, replace them. Period!

3. The number one function in a business that will be the subject of most of the excuses is sales. These excuses come from people who do not understand how to market to a consumer who places ever increasing importance on relationships. Why do you think the community building sites like YouTube, MySpace and Facebook are in the top ten most highly visited sites globally? According to Alexa, YouTube is 3 , MySpace is 6 and Facebook is 8 ) Every business must have a relationship driven marketing strategy and then implement it. See Relationship Marketing below.

4. Always be evaluating the market including on line competitors. I wonder if Microsoft, Yahoo and AOL in retrospect would have done anything different when Google first came to market? No company is immune from being seriously weekend by competition. I look at the drugstore landscape. I live in Florida where competition is very active particularly for pharmacy prescriptions. A new format of drugstores was introduced not that long ago by Walgreens, CVS, and others with positioning of buildings with 24 hour drive through pharmacies on high cost real estate. Two things have happened with those changes. Prices skyrocketed to pay for real estate and relationships with the pharmacy customer has almost become extinct. Within this landscape I am aware of several privately held drugstores doing very well because of their attention to customer relationships.

5. Don’t push a boulder up hill. Some companies were never meant to be. People start companies or buy existing companies because they think it is a good idea. The only opinion that matter is the market. If your business was not all that strong in the past and you are basically doing everything right, the best action to stopping the profit leaks may mean closing the doors. If you are not sure Contact Me.

Reality Business: The following examples are taken from just one day’s experiences – today.

1. I was talking with a former client who is now a good friend, who told me they have exposure on a large receivable as it looks like the customer is going out of business. After asking two questions I understood that procedures installed during the consulting project were ignored. Insane management. This happens all the time where people make exceptions to sound business practices and then wonder what went wrong. Follow well founded established policies and procedures without exception. Does that mean nothing will ever go wrong? No, but the surprises will be fewer and far between.

2. During a meeting with a very successful fund manager I asked him if there was any one or two things that he attributes to his success. We were specifically talking about clients who transfer portfolios of $250,000 and higher to him from other firms. He said: “just two things: first I have a “high touch” approach which cements the relationship. The markets have been unforgiving lately. I increase my meetings with clients when competitors are shying away from making calls to people whose portfolios have been hit. Second I have marketing funnel to my target audience that has consistently worked very well.” I am not writing the details as this is proprietary but I will tell you this – you don’t have to be a rocket scientist to figure it out.

3. I was invited to lunch at a very nice restaurant in Tampa. It has a fairly steep price tag for most of the selections. There were many tables available. Like nearly every other restaurant I have ever dined, regardless of price point, when I left they have no idea who I am and have no way of inviting me back. Insane management.

All in one day!!

Relationship Marketing:

I love talking about how easy it is for retail business to install a relationship marketing program. This is actually easy for every company, but most readers can relate to experiences with restaurants, grocery stores, dry cleaners, specialty shops and other retail stores. Just ask yourself when was the last time you received a thank you note, an incentive to come in for a special on a particularly slow day or a brief questionnaire asking you how they can serve you better? It happens. I listened to a story the other night about a business getting a fax every time it rains near the lunch hour from a nearby restaurant saying “It is raining. Our business will be slow today. Come in for a free Taco.”” Of course, nearly everyone will be buying more than one taco. But isn’t that cool and how hard is that to do?

Visit http://www.localretailmarketing.com for an idea on how you can begin strengthening your customer relationships. The information is free. My firm is not if you want us to do it for you. We get it done now which can be very valuable for you.

Accept The Responsibility and Take Action Starting Now!!

Sending all my readers the energy of wellness, happiness and peace.

Steve Pohlit
http://www.stevereports.com

Don’t Miss These Free Reports from my new business consulting site:

The Top 10 Action Stops That Will Make Your Business At Least 50% More Money in 90 Days or Less While You Spending Less Time Working Click Here For The Free Report

The Key Issues That Must Be Addressed Before You Buy Any Business of Any Size. Click Here For The Free Report

Marketing A Celebrity

Celebrity is defined by Mirriam-Webster as a famous and celebrated person. When I think of a celebrity, I feel that person is known by many people with diverse interests. Celebrities I am aware of generally fall into a perceived niche. Oprah for example promotes many different themes. She is a talk show host. Tony Robbins is a self development guide.

What happens when a celebrity who is well known in a specific area decides they are going to make a huge difference on a related but very distinct area of interest? For example, you are probably aware of several actresses who have increased the awareness in society of orphaned children by their posture and by personally adopting one or more of these children. Now they become well known for their personal interests and beliefs.

I have studied in general what several famous people have done outside of the area for which they became famous. I asked the question: by being famous did these people automatically gain acceptance in another area of personal interest? The answer is no. Even though celebrities have a following, when they move out of their arena of fame for them to be successful with their message they and their message needs to be marketed.

As I have worked through the development of a marketing strategy with a celebrity, I quickly realized that my primary mission was to present a plan that most people could understand. The focal point was the same one that I use with all my business clients. That focal point is simply “what is the goal?”. For business development projects the goal is usually defined as a targeted increase in revenue and profits in first 90 days and the establishment of new processes and procedures to sustain that growth rate. For my celebrity client we agreed on a twelve month measurement of success which is a bit of stretch.

Once there is “buy in” on the goal statement that includes a defined time frame for achievement the steps to achieve that goal can be identified and sequenced. This is no different than my advice to business owners which is the goal that you want to achieve three months or twelve months from now is achieved by what you do each day and each week. We set the goal, we define the steps, we measure actual vs. plan and act on the variances. That’s it.

When you do this kind of work, you learn a lot about the person and their support structure. This is true for a business and for a celebrity. It is natural to want to share this information with others and particularly those close to you. You cannot. The two attributes that are most important when working with anyone are credibility and trust. Your credibility comes from the value you are adding now and not from anything you have done prior. Trust is gained by respecting those areas of the lives of the people you are working with that need to remain private. If they choose to become more transparent with anything that is their call. So it is with my celebrity client. If ever my role is disclosed, it won’t be coming from me.

Sending all my readers the energy of vibrant health, happiness and prosperity.

Steve
http://irconsultinginc.com

Steve is the President of International Business Consulting Resources. His firm specializes in guiding companies and their employees to achieve their highest potential. Many of Steve’s business building articles can be found at Steve Reports and his prosperity building tool is The Prosperity Tool Chest

Email Steve or call him directly at 727-587-7871

Tony Robins Sues Stephen Pierce : Steve Pohlit Advises On Litigation

Stephen Pierce announced on his podcast today that he has been sued by The Tony Robins organization. Click Here for the full story.

Tony and Steve market very prosperous self help and self development material and each of them has had their respective life challenging situations that most people do not think about when they see or listen to their resources. So what happened?

I can share with you what I believed happened based on my experience with clients and my own experiences with attorneys which is significant. In summary, no matter what they say attorneys are in the business of generating fees. Let me restate that as I would like you to really get that point: Attorneys are in the business of generating fees!!

Outside of criminal behavior, which is not the topic of this article, I am not aware of an instance where a business matter cannot be first resolved by the two relevant parties. On the flip side of that in every instance where I have seen one party say: “I’ll just let my attorney handle this” what happens is a drawn out circus that double, triples, quadruples and more the cost of the matter.

Tony Robins vs. Stephen Pierce is a great example. Based on what I heard if someone from Tony’s office had simply picked up the phone or sent an letter requesting clarification from Stephen I cannot imagine this matter getting to the point of a lawsuit. However, an weakness in the Tony Robins organization allowed for a small matter to mushroom into a public spectacle.

So what would I do if I were Tony Robins?

Assuming what Stephen says in his podcast is true and it is hard to imagine him twisting the facts, I would immediately withdraw the lawsuit, issue an apology and dismiss the people who decided to take this action. I would take one final step and that is to make sure no legal action is taken without full disclose of the facts and my personal sign-off authorizing moving forward with the lawsuit.

What would I do if I were Stephen Pierce?

Nothing different. Stephen is broadcasting his position in this matter and if the lawsuit goes forward he will have to respond.

Summary Story and Advise:

I was at a board of directors meeting for a $10 Billion dollar company during which a very sensitive matter was being discussed. I will never forget the one side presenting what was clearly a well rehearsed point of view that was developed by lawyers. After the presentation, one very notable board member stood up looked directly in the eye of this other very powerful person and said Mr.____ I have achieved a measure of success in my life (which was an understatement) and if I had listened to my lawyers I would be out of business today.

I will never forget that day and placing that in context, there are times when we all should seek the advice legal counsel . However, I close with restating the point I made at the start of this article in a different way: I have never seen a business situation where the substantive points could not be resolved between the two parties first and then turned over to the lawyers for documentation. When business situations get turned over to the attorneys first, deals get killed, costs accelerate at warp speed and a lot of time is wasted.

If you are ever in a business situation where you feel you need the advice of an attorney, make damn sure you have received the best business advice first.

From my Prosperity Tip lessons:

May you experience your pure potentiality and live the life of your dreams.

Steve Pohlit, Business Development Consultant and Coach
http://www.stevereports.com

The Exact Steps Required To Turnaround A Business That Is Cash Flow Negative (In Trouble)

I have led companies in the retail, real estate, transportation and restaurant industries from near catastrophe to stability and profitable growth. Companies find themselves in a dire straits position for a multiple of reasons when the economy is strong as well as weak … more so when weak.

The current business climate is tenuous and an increasing number of businesses find themselves in a profit and cash flow crunch. If you or someone you know is in that position, time is of the essence. Literally every hour that passes is critical when a company’s profit and cash flow are on a downward trend. The faster action is taken to restore the business to a positive cash flow position, the more likely it can be further strengthened to renewed profitable growth.

The following steps are the major ones that I have guided clients through who have been in this situation:

1. Stop issuing checks until Step 2 and Step 3 are completed. The exception would be payroll and any utilities if you are at the point of being shut off if the bill is not paid. If you have a trucking company you have to buy fuel. If you are a restaurant you have to buy food. If you don’t have the funds to pay “life support costs and expenses” there are still options but they would have to be addressed on a case by case basis. You want to avoid getting to the point of not being able to pay the must have expenses. There is a wide variation of the definition of must have items. The clients I have helped were very surprised at the literal definition of “must haves” but they thanked me later.

2. Be certain as to your exact cash and liquidity position. You need a very accurate snapshot of the free cash in your bank account, the quality of accounts receivables and a precise accounts payable listing that includes all invoices. You would be surprised as to how many companies do not know their actual cash position, ignore problems in their accounts receivable balances and forget that oftentimes there are bills sitting in unopened mail and desk drawers.

3. Develop an eight week cash receipts and disbursements forecast and don’t leave one cent off of the disbursements list. If you are not sure how to do this, there is an example at 10 Minute MBA This is a core schedule that I implement with all clients and is very valuable when used properly.

4. Document an organization chart with each person’s position and compensation.

5. If the business sells a physical product, it is important to evaluate the inventory. You cannot sell what you don’t have and you can’t replenish inventory if vendors have shut you off.

6. If there are debt agreements in place understand all debt compliance covenants.

7. Identify all critical support functions. For example, the company’s internet connection, maintenance agreements on machinery and equipment and key licensing agreements if any.

The goal is to have an accurate picture of all the facts no matter how dismal they are. I can’t tell you how many times I have been blind sided by additional pieces of information that were very important in finalizing the turnaround plan.

What Actions Are Typically Taken Once There Is An Accurate Picture of Situation?

1. Cut all non- essential spending and payroll.

2. Implement a temporary reduction in pay for as many people as possible. That is always difficult and may be impractical if there is a union or a large hourly workforce. Every situation is different but normally payroll has to be cut and it is often delegated to the outside consultant to handle.

Note: many of these steps are implemented quickly. Even while the entire picture is still being developed. That is where experience with these situations is very valuable. Experts with turnaround experience know how and where to act fast.

3. With people you want to take the action one time and then meet with those that remain and explain to them what is going on and how it is going to be fixed.

4. Vendors on the accounts payable list will need to be called and given a date when they can expect a workout plan. This is not fun work even for an expert consultant. However, whatever needs to be done to save the business and restore profitability should be addressed.

5. If there is a sales staff, look to move those people to full commission status and if possible add to the staff with full commission as the compensation package. Be careful if out of pocket expenses are paid. They have to be limited and per diems in place.

6. Assign clear accountability for collecting receivables and put in place a three step collection process. In certain cases discounts are negotiated for paying early.

Notice all the emphasis at this point is on cutting expenses and build cash once that process is in place then

Work on your building business and profits plan. Make sure it is realistic and focused on the next 90-180 days. When that is drafted including the financial projections you are now in a position to negotiate with bank debt holders, capital equipment lease venders and other long term lease agreements in place.

Some clients may need to file for chapter 11 reorganization. This should be avoided at all costs since it is very expensive, time consuming and a major distraction. However sometimes it is the only available option other than shutting your doors. Chapter 11 is usually the best answer where selling assets, selling the business or parts of the business is part of the the turnaround plan.

I hope this helps and while it addresses many points there are always more depending on the business. The following is right from my Turnaround Consulting Site

Do you worry about running out of cash?
Do most of your key vendors have you on COD?
Have checks issued by your business bounced?
Are revenue trends decreasing and accounts payable increasing?
Have any of your valued employees left for a “better opportunity”?
Are you spending all of your time fighting fires?
Do you wake up at night fearing you will be out of business?
Do you fear you will not have enough cash to meet your next payroll? What about the next?
Are you thinking or have been advised that a reorganization of your business under Chapter 11 of the US Bankruptcy code may be the answer?

“If You Answered Yes To More Than One of These Questions, Then You Need To Call Steve Pohlit at 727-587-7871 Right Now. That Is My Direct Line. I Will Personally Determine If I Can Help You Solve Your Business Problems or Refer You To Someone Who Can. This Call Will Cost You Nothing and May Well Save Your Company.”

____________________________________________________________________

There are two reasons why companies ask me for business consulting assistance:
1. They know what to do but want an independent third party experienced business development consultant to drive the process as that approach demonstrates management’s commitment to achieving the goals.
2. Management understands the need for improved performance and understands they do not have the experience to implement what is required.
3. There is actually a third reason and that is where a business is in a crises situation and turnaround business consulting procedures need to be implemented fast. Nobody likes that situation, even the consultant. However, many companies can be salvaged with the right action. Think of the what goes into action when a person has a heart attack. Timing and action are the differences between life and death.

Be Well and Prosper,
Steve Pohlit
Business Development Consulting
Steve Pohlit has more than 20 years experience running very large and medium sized companies. Steve consults with clients to design and implement processes that will deliver improved business performance for the long term. Learn more about the process of Increasing Profits by 30% or More In 90 Days or Less by visiting 10 Minute MBA or you can call 727-587-7871 and speak with Steve directly. Have a question? Click Here To Visit Ask The Consultant

“That’s Not Good!!” Very Important Information For Business Owners, Internet Marketers and Small Business Owners

Situation Room:

Revenues nearly doubled in one year to more than $14 million. Profits hardly moved from the previous year which and those profits barely broke $0. When I reviewed this information with the founder of the business, he looked me directly and sternly in the eye and said “That’s Not Good!” We then went onto discuss the changes being implemented to posture the company for making money.

Today

Are those changes working? Too early to tell because I know from experience many companies never continue following what they are taught. They revert to the “way they have done business in the past.”

I am a business development consultant. I am not a permanent fixture in companies I help. I have a long list of companies that are successful. I have a shorter list of companies that are not. What is the difference?

Commitment!! If I show you “How To Increase Profits by 30% or More In 90 Days or Less” and that happens, you are happy. When I tell you what we just did must continue each day, week and month, you begin to think about what you have to do to make that happen and some people conclude they do not want to do that work. They would rather settle for mediocrity.

The Solution

It is harder to continue losing money than it is to make money. Think about it. When you are losing money, you not only have the work to do but you also have the draining worries associated with losing money. How do you think I know that? The solution is to make up your mind to be prosperous.

Now assuming you are losing money or not making the money you want, how do you change that? The companies I work with follow a proven program for success. How do I know? It has taken quite a bit of time and experience to identify the fundamentals of running a business that everyone can follow each day. Part of the experience was finding the people who run successful companies.

If you are using the Internet as part of your marketing strategy, who are you following. Right up front: don’t follow me except when it comes to blogs then read my Blogging for Profit Series – it will help you. So who should you follow? I pay attention to people who are obviously successful. When I met John Reese and had my picture taken with him outside his Lamborghini I knew he had achieved a measure of success and was delighted to have that opportunity of meeting him. He was gracious is very focused on sharing what works for him. John understands there are not limits to the amount of money in the world and if John Reese makes $20 or $200 or $2000 million, there are still millions and even more you can make. I highly recommend John’s material.

In 1990. I was in Aspen Colorado at a three day summit for people running companies owned by an investment firm. The hosts of that meeting were two brothers whose net worth was at least multiple billions of dollars (yes that is a B). The learning curve for me at that time was fast and furious. I learned very successful people have a very clear definition of their business, the direction of their business and profit goals are clearly defined and the support structure necessary to achieve their business goals is soundly in place.

To The Point

Today at the start of every consulting project I reach agreement with the owners and management team on the definition of their business and the near term revenue and profit goals. We then move onto growth rates and setting the procedures and processes in place for achieving those goals.

This process is provided to everyone interested in the complimentary mini-course How To Increase Profits by 30% or More In 90 Days or Less (Register Here). This course is as relevant for internet marketers as it is for billion dollar companies.

It all starts with a clear definition of what you want and what you are prepared to do. Once you decide, follow a proven roadmap. Do you think it is coincidence this blog is named “Roadmap To Extraordinary Profits”? By the way, over time certain of the tools and techniques used in achieving extraordinary profits are refined. Like you I pay close attention to the tools and techniques developed by experts to help your business. I frequently mention the people who continue to help me with their training. The experts on my list are there because they help me based on my interests and my intent on using what I learn for myself and clients.

For those who say their business is Internet marketing I say your business has to be more clearly defined. Ed Dale is applying “the buy em and flip em model” for web sites and has evolved from a number of business models. I think Ed has a clear definition of his business but I can’t define it. Brad Fallon has a very traditional business model with search engine optimization as the engine. Frank Kern who may be an idiot savant, has a clear business model of monetizing small niche markets. Dan Kennedy is a copywriter and direct response marketing guru. Bill Glazer is an information marketer. Dan and Bill also run the college of direct response marketing through their newsletters, seminars and information products. Ken McCarthy is an educator. His System Seminar teaches people. Ken spends some of his time and resources on non-direct teaching but he loves to teach and does a great job doing so. I could go on but you get the point. Look at any person that you view as success and generally what business they are in is clear. Don’t reinvent the wheel. Have a clear definition of your business and a clear measurable goal for your business. Then measure the progress frequently.

I cannot emphasize enough the importance of measuring progress frequently . I develop a key factors report for every company I work with that tracks progress. For example in a retail business we track sales and gross margin trends. In the contracting industry we track flow of requests to bid and make sure bids submitted and ultimately the work completed tracks with the gross margin goals. In those industries and all others where I do work we always have an annual plan of revenue, margin and profit. Again this is detailed in the currently free course How To Increase Profits by 30% or More in 90 Days or Less

Avoid thinking tools are your business. The Internet, SEO, direct response marketing, copywriting, niche marketing, video, podcasts, autoresponders co-registration, infomercials, and more are tools. Recognize these are tools and continually ask yourself what are the tools that will really help your business the most. Then as others point out so well, what are the activities that need your skills and which ones should be outsourced.

Allot of times I write for my own benefit meaning it crystallizes my own thinking and in order to write about a topic you need to have a level of experience with the subject matter. This article for example originated because I have not personally focused on a clear definition of my own business and I have not completed a clear financial plan with action steps for myself. I am now doing this and I am optimistic this will be my best year ever (and I have had some really good years.)

I wish you prosperous health, happiness and abundance

Steve Pohlit
Business Development Consulting

Steve Pohlit has more than 20 years experience running very large and medium sized companies. Steve now designs and implements processes with large and small companies that will deliver improved business performance for the long term. The latest successful on line and off line marketing techniques are part of the processes that are implemented. Most projects are self-funding within 90 days. The business then experiences a very high return on investment. Learn more about the process of Increasing Profits by 30% or More In 90 Days or Less by visiting http://www.stevepohlit.com or you can call 727-587-7871 and speak with Steve directly. Have a question? Click Here To Visit Ask The Consultant If you want to learn how to use a blog to build your business then register for the the free mini-course “Blogging for Profits” at Steve Reports.

"That's Not Good!!" Very Important Information For Business Owners, Internet Marketers and Small Business Owners

Today

The Solution

To The Point

I wish you prosperous health, happiness and abundance

Steve Pohlit
Business Development Consulting

Best Buy’s Results Only Work Environment Deserves High Marks. Here’s Why

Huge cuts in turnover.
Huge increases in productivity.

Those are the results reported by the departments of Best Buy that have focused on having people achieve work milestones rather than caring where the employees are when they get the work done. Many hardly ever show up for work.

The focus is on results and for many of the tasks needed completed at the home offices of Best Buy and now they are not.

With the change, employees love working for Best Buy. How do they know? Well when high turnover rates plummet to near 0 that is a pretty good indicator.

I can’t tell you how many times I have counseled CEO’s and Presidents moaning about otherwise outstanding employees not being able to consistently get to work at a prescribed time.My advice always is have clear definition of what needs to be done and when and then leave them alone.

Best Buy’s new rules are:
Don’t waste my time.
Don’t waste your time.
Don’t waste the company’s money.

Good rules!

Does the ultimate flexible schedule work for everyone? Well there are a few jobs where I have not figured it out. For example, I am writing this 40,000 feet in the air and I don’t think airlines can operate with pilots, flight attendants, mechanics and airport support showing up when they feel like it or not at all.

If you have abused your lifestyle and are scheduled for bypass surgery at 7AM in the morning, I don’t think you want to be prepped and then find your doctor decided to sleep in or go play golf.

Buying food at a grocery store or restaurant could be a challenge if the place is not open because people who operate those stores decide to go fishing.

But maybe there is more flexibiliy than what we think. What if there were an extra number of people employed and the staff worked it out. For example: Hey Judy I don’t feel like working this evening could you help me out? Judy says sure and the staffing for the restaurant is fine. The employees worked it out. Now if you are a store manager and you want some coverage the day after Thanksgiving, maybe your thinking is not in sync with the goal.

Before you start with the “but we cannot afford any extra staff” argument I ask you what does your turnover cost you?

I was in a long line at an “Oh My God” fast food restaurant (OK it was Burger King where they suck me in with their purported Angus steak burger that I like – hey Warren Buffet and Bill Gates like the value meal so back off.) To the point! The line was long and since I frequent this particular Burger King while working with a client near there, I cannot help it but I simply ask – what the hell is wrong here? The answer is always the same. This location like a multitude of other locations just like it pay their employees near minimum wage, their turnover is about 3000% a year and their lost sales are about $2,000 per day. By the way that is three quarters of a million dollars. I estimate one location leaves about $200,000 of profit on the table because of turnover and lost sales. I am I right – absolutely.

So Best Buy understand the cost of turnover and they apparently understand the importance of no comprise to achieving defined performance goals. I hope Best Buy continues to have huge success with this program. My only question is from a competitve advantage point of view, I have no idea why they let this program be published by Business Week and others. I would have advised leaving their competitor in a bigger cloud of dust before acknowledging the success of this program.

Be well and prosper,

Steve Pohlit
Business Development Consulting

Steve Pohlit has more than 20 years experience running very large and medium sized companies. Steve now consults personally with clients to design and implement processes that will deliver improved business performance for the long term. Most projects are self-funding within 90 days. The client then experiences a very high return on investment. Learn more about the process of Increasing Profits by 30% or More In 90 Days or Less by visiting http://www.stevepohlit.com or you can call 727-587-7871 and speak with Steve directly.

Best Buy's Results Only Work Environment Deserves High Marks. Here's Why

Best Buy’s Results Only Work Environment Deserves High Marks. Here’s Why

The focus is on results and for many of the tasks needed completed at the home offices of Best Buy and now they are not.

With the change, employees love working for Best Buy. How do they know? Well when high turnover rates plummet to near 0 that is a pretty good indicator.

Best Buy’s new rules are:
Don’t waste my time.
Don’t waste your time.
Don’t waste the company’s money.

Good rules!

If you have abused your lifestyle and are scheduled for bypass surgery at 7AM in the morning, I don’t think you want to be prepped and then find your doctor decided to sleep in or go play golf.

Buying food at a grocery store or restaurant could be a challenge if the place is not open because people who operate those stores decide to go fishing.

Before you start with the “but we cannot afford any extra staff” argument I ask you what does your turnover cost you?

Be well and prosper,

Steve Pohlit
Business Development Consulting

Pohlit Advises Gurus Wanting To Take Their Business To The Next Level

John Reese announced his plan for income.com He openly discussed his life of opposite extremes. On one side he has all or most of the material possessions that have been his life’s dream. On the other side, he clearly struggles to enjoy life and details the stress of determining which projects and opportunities should receive his attention each morning.

Ken McArthur issues an email to his list discussing this month’s project which is thinking. Ken outlines the issue he and nearly every on line guru is thinking about. What is the next step?

I have operated at the executive level of companies with revenues ranging from $3 million to $1.6 billion. One company I purchased with a partner had annual revenues of $50 million. One of my consulting clients started with one store and today has sales exceeding $12 billion dollars. Currently I spend most of my professional time continuing to work with companies of all sizes helping them achieve their businsess performance potential. These experiences lead to a clear understanding of what is required to take any business to a new and better level of performance.

Before that outline I have to warn you that what you are about to read is considered by most to be frightening. It is frightening not because of what is disclosed but what is required. Here it is!

1. Define what business you are in. I have seen examples recently of well known people deciding to change their business focus. There is nothing wrong with that if there is a clear definition of the business model along with a transition plan from the current model to the new one. Part of that plan must include a backup plan of keeping the engine running in the vehicle that funds the business now until the new engine starts. The new plan should start like the old one didn’t which is with a clear definition of revenue and profit goals.

2. Once defined, there are four (4) A Priority Functional Areas that need to be addressed whether you do it yourself, outsource them or hire staff. In order of importance:

A. Closed Loop Management Information System. This is a process of accounting for the actual performance vs. plan of all key components of your business. Notice this is listed first. Also notice in order for this to work, there needs to be a measurable plan in place at the right level of detail.

B. Business Development or The Engine. This starts with a plan that defines what it is you are marketing, to whom and how you are going to reach them. It also defines the resources required to implement that plan and track variances from plan.

C. Infrastructure Leadership and Accountability. At the infrastructure level of every successful business you will find highly skilled and dedicated people who know what they are expected to do and are rewarded consistently for doing it. They are part of the team and are not independent contractors.

D. An Absolute Fixation on Achieving Revenue and Profit Targets and Optimizing Liquidity (cash).

Currently it takes an average of six months working with a well established company several days every week to get them back on track by teaching them how to achieve the above four foundation pillars. Even when a company goes through that process, 80% of them fail to continue what they learned within one year. The remaining 20% go on to achieve results that place them in the top 10% of their industry. Why do 80% fail? Alot of what is involved in operating a world class business involves following a disciplined management process which is not an attribute ingrained in most entrepreneurs.

Can an entrepreneurial based business that has achieved a notable measure of success go to the next level?

Absolutely!

It all depends on their willingness and commitment to implementing a disciplined approach to running their business. Look at Yahoo, Ebay, Google and many other successful enterprises. These are companies starting with an idea. At some point behind the curtain you will find an executive and executive team who rationalized the business model and maximized the value of that model.

Of all the on line experts I pay attention to, there is only one other person who consistently demonstrates the skills needed to guide those wanting to go to the next level. I define the next level as a currently successful business with revenues of at least $5 million and net profit before tax of 10%. (If your net before tax is less than 10% then you need another consulting toolbox – the “fix it toolkit”).

Wal-Mart is the largest retailer in the world selling everything that everyone else sells. Wal-Mart, Target, and others make it easy and economical for alot of people to buy what they want. Studying the information products, marketing tools and more that are being offered during the tail end of 2006 you find a lot of similarities. It will be interesting to see in the next couple of years what gurus successfully re-engineer their business model to deliver what the entrepreneurial and small business communities really need to achieve their respective business and personal goals. Ones that do, will be at the next level and will have more fun doing it.

Steve Pohlit
Business Development Consulting