PREPARE YOUR BUSINESS FOR SALE
The Business Owner’s Life Raft – by Mark Corke
Good Morning Bloggers
For a while, with his permission, I will be posting articles from Mark Corke of Suitegum.
Mark is a Business Broker, who writes articles on, and runs seminars on “Preparing you Business for Sale”. Should you wish to register for some of Mark’s free articles and tips, Here is the link.
Both Mark and I are of the opinion that ensuring that your Business is Prepared for Sale at all times will ensure that your business always commands the highest value. It actually increases the value of your Business quite considerably.
Now consider this
Whenever I meet with another seller of a business I am asked the same questions:
How long will it take to find a buyer?
How will you avoid letting my customers, staff and / or suppliers finding out that the business is for sale?
What will happen if the buyer doesn't pay me?
How much will it cost me?
How do I stop the competition from finding out I am for sale?
What risk am I running with respect to SARS?
What do I do if I don't trust the buyer
How do I cancel my sureties?
Straight forward important questions; right? Well of course they are, and they all have good easy answers. But when I start asking the questions, and looking for essential documents always needed to Prepare your business for sale, there is almost always an embarrassed shuffle as the excuses are wheeled out. Sometimes it takes months to get the stuff. And all this while the owner is available to talk to any buyer who may be interested.
I cannot tell you how many times I have been asked to sell a business in a hurry.
"I will take any reasonable offer."
"I don't know how to run my wife's business, and I don't have the time."
"I'm getting divorced, and my wife wants the business."
"We've had enough, and we're going to emigrate. I need my money by December."
Why condemn yourself to this unhappiness? There is an easy solution, you know. What's more, it is so easy if you are already running your business in a slightly better than basic fashion.
Whenever I meet with buyers of businesses, they ask me the same questions: ·
How will the seller prove his turnover?
How does he arrive at that selling price?
What will happen if he loses his biggest customer?
Where is the value?
What are the opportunities?
How do I know that he's not a con artist?
Why is he really selling?
How do I determine the real fixed costs?
How do I deal with his staff?
How am I going to learn to run the business?
I'm not sure I trust the seller. How do I deal with this?
What other information can you give me besides all these numbers?
Why do I have to take so much stock?
The vehicles are all shot – do I need to take them?
What you really need to do in order to pump up your shareholders' life raft is start inflating it with tools you already have. Your raft will have all the answers any potential purchaser of your business is looking for.
And this is exactly what "Prepare your business for sale" will show you. Not only will it give you the tools to pump, but it will stock the raft with all the life surviving necessities, plus a few humble luxuries.
There is no substitute for building a relationship. Selling a business is not akin to selling second hand cars. We are changing people's lives here. Let's do it with some empathy and understanding. We are the experts, we do it every day. It is our duty to look after both seller and purchaser.
"From the signing and acceptance of the offer, until the final payment, Mark was constantly involved, and did not take the attitude that he had received his commission, and it was no longer his problem. Mark I salute you for the work that you did, and the friendship that we established." Len Birger
You know, sellers give us their all in order to make these sales work. We must give everything we have to make the deal go through as efficiently as possible, so that's what we do.
"I wish to express my gratitude to you for the for the efficient, honest and professional manner in which you brokered the sale of Jardine Foods. I will be recommending your services to friends and associates" Doug Jardine
I've been doing this for 17 years. I've made a point of learning more each year, so that we have 17 individual years of experience, and not the same year 17 times.
"If you are looking for a professional, Mark Corke from Suitegum is your man" Renier Richter
By following our techniques, nobody need ever know that your business is being sold, or in fact that you have prepared your business for sale, if this is an issue for you.
Great news for business owners who think their businesses will never be sold: Not only will your business be sold, but you will use the proceeds from that sale to improve your life and leapfrog your dreams to a higher level.
Join me for some good advice and solid pointers as to how you will create a life raft of opportunity in your business, ready to be launched at short notice.
"He is focused on the interests of both seller and buyer and is not hesitant to voice his opinion and offer sound advice. He is approachable and patient and it has been a pleasure dealing with him" Zoë Cohen
A while back a lady called me because she needed to sell her husband's business in a hurry. "Well then I need to talk to your husband", I told her.
Unfortunately, that wasn't going to be possible because he was lying in intensive care, having suffered a stroke, I was informed by a tearful and panicky wife.
It transpired that she did not know where the financial records were kept, had no idea of the contracts that were in place, and that was just the beginning of the nightmare.
Another business ended up, itself in intensive care, when the new owners eventually took it over because of the way it suffered after the old owner was diagnosed with cancer.
The shock and horror at the diagnosis, the mounting medical bills and the quickly deteriorating health of the owner had all conspired to leave his widow with a business worth little more than the auction value of the tools and equipment.
Sadly, less than six months before this calamitous event, the business would have been worth R3,000,000 to a buyer. But because the business was not ready for sale when the diagnosis was made, the owner had no choice but to place an ill prepared business on the market.
By the time the chemo and radiation treatment had taken its toll, there was nothing he could do, and when he died, there was nothing his wife could do.
Contrast these two events to the following: Last year a widow came to see me with her son. Her husband had died unexpectedly, leaving her with a flourishing business in a niche market. The business had been running for only eight years, but had always been kept in a state of readiness for sale.
The management team, although loyal, hard working and honest found themselves with a possible windfall at the expense of the widow, and offered her a price of R2M for the business. This would have solved many of her day to day problems of keeping tabs on a business which she did not really understand. Together with the life insurance settlement she would have been able to survive.
She came to see me to get some clarity on the deal. I went through some pointers on the business, and showed her how she could get R7,000,000 on the open market for her business, so well prepared had her husband kept the sale readiness file.
She settled on R6,000,000 with the management team who had a good empowerment element to their ranks, and are subsequently taking the business to even greater heights. Everyone has won, and she will never have to worry about her future.
Which scenario would you rather be part of? By subscribing to "Prepare your business for sale" you will be set to have a life raft able to give your family the same or better results in the case of your untimely demise.
A business we sold a few years ago had been on the market for a year. The owners and several brokers had been marketing it at R1,7M for a 50% share in the business. Using the techniques I am going to show you in "Prepare your business for sale" we made some small changes to the business, introduced an entirely new bracket of interested investor, and sold the whole business for R10,5M, only three months later.
The emigrating partner who had been relying on the proceeds of the sale to finance his emigration, found that he could leave some of his money behind in South Africa!
It is surprising how few businesses are prepared for sale, and it is sad to report that as a result, so many businesses are sold below par.
Do you feel under threat from the BEE revolution? Perhaps you're one of the rare breed of South African entrepreneurs who sees great potential for your business in BEE. Like most business owners, you don't know where to start, vacillating between two extremes: fear and optimism. You may have been able to avoid the issue up to now, but suddenly find your business has grown into the next bracket. Suddenly you have survival issues at stake. How do you grow and survive? I'll show you.
The BEE revolution is driving the values of most businesses down at a steady rate. In the face of this destruction of small business value, however, there are businesses being sold successfully at premium prices, either in part or in their entirety. Why does such a difference exist often between businesses of very similar characteristics, profitability, and prospects?
The answer lies in the way in which these businesses are prepared and presented for sale. And just as any product on a store shelf can be promoted better with some professional help, so can a business be well or badly prepared.
The fault lies in the hands of business owners, most of whom never consider selling their businesses until a few months before the event. In some instances business owners or their surviving spouses are forced to sell totally unprepared businesses in an environment of grief and total ignorance of the business itself because the late owner has failed to keep the business disposal preparation up to date.
All businesses should be in a constant state of readiness for sale. We live and work in an uncertain environment with new challenges being thrown our way constantly.
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Tuesday, November 18, 2008
Monday, November 17, 2008
MOTIVATION - DREAM TO REACH YOUR GOALS
MOTIVATION – DREAM TO REACH YOUR GOALS
By Nikki Viljoen of N Viljoen Consulting CC
Like most people who own their own businesses, I a very "goal orientated" and again like most people who own their own businesses, those goals can and have changed on a daily basis.
The below advice to put the goals into some sort of order of priority is something that, quite frankly needs to be done! The way that I find easier to do this type of thing is to have a 10 year, 5 year and then 1 year plan, and at this time I am referring specifically to the work arena.
Looking forward into my life and into the future for me, makes what I do and how I achieve those goals very important. So I take the most difficult of all and ask the question - what would I like to be doing in 10 years time. Where would I like to be in terms of my business and what would I have liked to achieve. For me these are the 3 most important questions and they are listed separately, with all the bits and pieces going on in rows beneath them.
Once that is complete, I tend to break it down and so here comes the 5 year plan. Looking at the 10 year plan, many of them are automatically achievable if certain of the other goals are met and brought to fruition, those do not get transferred to the 5 year list, but remain on the 10 year list. Again what is on the list is broken down into easier to achieve "bite size portions".
Again, once that is complete, I break things down and out of this the 1 year plan is born. As with the 10 year plan, many of the points on the 5 year plan are automatically achievable if certain goals are met and brought to fruition, those do not get transferred to the 1 year list but remain on the 5 year list.
I now have a list that is 'doable', even if it is somewhat daunting! Now for me, here comes the challenge. There may still be goals that are automatically achievable if other goals are met - these are split out from the others and listed to one side. The remainder of goals are then taken one at a time and what needs to be done to achieve each one is listed as a sub-heading under the goal to be achieved. These are then given a 'due date' by which they are to be completed - those due dates are diarized, and also put down into my year planner so that they can be seen at a glance. By checking my year planner on a weekly basis the task can be planned out into daily expectations and what I like to call "mini targets".
I now have a workable solution to something that at the beginning of the exercise, was a hugely daunting, frightening and quite frankly an over whelming task.
On a daily basis, use your diary, or a journal to record what you have done and what you have achieved or have not achieved and why. Apart from documenting your life, you are also cleansing your mind and settling emotions!
So what am I saying here . . . . Well basically it is this - If you want to be a success in life and/or in business, you have to have a plan! Issues need to be put into perspective. You need to achieve your goals, one little step at a time - remember the statement (I forget now who wrote it, but it is very true) that the greatest of journey's begin with a single step. Note it says step - not leap, or sprint or anything else that you may want to conjure up in your mind's eye.
At the end of the year, take your lists and look at what you have achieved. Now is also not the time to beat yourself up over what hasn't been achieved! I have no doubt that you have done this sufficiently during the course of the year. Remember daily goals have changed to accommodate ever changing needs and there are goals that have been achieved that were not even recorded or considered. Because of the changes there are also many goals that are now obsolete, so they now no longer feature.
Adjust your goals for the coming year. Take time out - I mean quality time with yourself, turnaround and have a look at where you were 12 months ago, what you have achieved and the journey that you have walked. Pat yourself on the back and give yourself credit for what you have done! Too often we are too busy bashing our own selves on the head because of what we haven't done, instead of congratulating ourselves and patting ourselves on the back for what we have achieved . . . more often than not with more tasks that had not been on the list than what were.
And remember . . . focus on the goal that is in front of you - don't gaze into the future and try and complete the 10 year plan in the 1 year space.
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za
By Nikki Viljoen of N Viljoen Consulting CC
Like most people who own their own businesses, I a very "goal orientated" and again like most people who own their own businesses, those goals can and have changed on a daily basis.
The below advice to put the goals into some sort of order of priority is something that, quite frankly needs to be done! The way that I find easier to do this type of thing is to have a 10 year, 5 year and then 1 year plan, and at this time I am referring specifically to the work arena.
Looking forward into my life and into the future for me, makes what I do and how I achieve those goals very important. So I take the most difficult of all and ask the question - what would I like to be doing in 10 years time. Where would I like to be in terms of my business and what would I have liked to achieve. For me these are the 3 most important questions and they are listed separately, with all the bits and pieces going on in rows beneath them.
Once that is complete, I tend to break it down and so here comes the 5 year plan. Looking at the 10 year plan, many of them are automatically achievable if certain of the other goals are met and brought to fruition, those do not get transferred to the 5 year list, but remain on the 10 year list. Again what is on the list is broken down into easier to achieve "bite size portions".
Again, once that is complete, I break things down and out of this the 1 year plan is born. As with the 10 year plan, many of the points on the 5 year plan are automatically achievable if certain goals are met and brought to fruition, those do not get transferred to the 1 year list but remain on the 5 year list.
I now have a list that is 'doable', even if it is somewhat daunting! Now for me, here comes the challenge. There may still be goals that are automatically achievable if other goals are met - these are split out from the others and listed to one side. The remainder of goals are then taken one at a time and what needs to be done to achieve each one is listed as a sub-heading under the goal to be achieved. These are then given a 'due date' by which they are to be completed - those due dates are diarized, and also put down into my year planner so that they can be seen at a glance. By checking my year planner on a weekly basis the task can be planned out into daily expectations and what I like to call "mini targets".
I now have a workable solution to something that at the beginning of the exercise, was a hugely daunting, frightening and quite frankly an over whelming task.
On a daily basis, use your diary, or a journal to record what you have done and what you have achieved or have not achieved and why. Apart from documenting your life, you are also cleansing your mind and settling emotions!
So what am I saying here . . . . Well basically it is this - If you want to be a success in life and/or in business, you have to have a plan! Issues need to be put into perspective. You need to achieve your goals, one little step at a time - remember the statement (I forget now who wrote it, but it is very true) that the greatest of journey's begin with a single step. Note it says step - not leap, or sprint or anything else that you may want to conjure up in your mind's eye.
At the end of the year, take your lists and look at what you have achieved. Now is also not the time to beat yourself up over what hasn't been achieved! I have no doubt that you have done this sufficiently during the course of the year. Remember daily goals have changed to accommodate ever changing needs and there are goals that have been achieved that were not even recorded or considered. Because of the changes there are also many goals that are now obsolete, so they now no longer feature.
Adjust your goals for the coming year. Take time out - I mean quality time with yourself, turnaround and have a look at where you were 12 months ago, what you have achieved and the journey that you have walked. Pat yourself on the back and give yourself credit for what you have done! Too often we are too busy bashing our own selves on the head because of what we haven't done, instead of congratulating ourselves and patting ourselves on the back for what we have achieved . . . more often than not with more tasks that had not been on the list than what were.
And remember . . . focus on the goal that is in front of you - don't gaze into the future and try and complete the 10 year plan in the 1 year space.
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za
Friday, November 14, 2008
WHAT TO DO WHEN . . . . You Want to Avoid Clashes with Emplyees
ARTICLE 15
WHAT TO DO WHEN . . . . You Want to Avoid Clashes with Employees
By Nikki Viljoen – N Viljoen Consulting CC.
For me prevention is always much better than a cure.
Here are a few tips that will assist in ensuring that there are a few less ‘clashes’ between employees and employers.
· Make sure that the employees that are in charge of ‘procurement’ of any kind, do not have private relationships with your suppliers.
This means that you should not have a staff member in charge of purchasing all of the stationary for the Company, who is married to someone who owns a stationary store. This is clearly a conflict of interest and could result in illegal ‘kick backs’ and the earning of unearned commissions. It could also end up meaning that your Company is paying bigger fees for purchases than you should be.
· Make sure that your staff members have written permission to carry business that is in competition to your own.
Now this is just common sense don’t you think? Staff members shouldn’t be doing anything on the side without your written consent. Make sure that whatever it is that they are going to be doing to earn extra cash, is not in competition with you and make sure that it is not going to interfere with their duties at the office.
· Employers cannot expect employees to perform illegal duties.
Be careful here. If you instruct the bookkeeper not to pay SARS for any reason, you are instructing said bookkeeper to break the law! Although the bookkeeper works for you and should be loyal to you and your company, you cannot expect the employee to break the law on your behalf. Make sure instructions that you give to your employee are within the boundaries of the law.
· Employers cannot expect employees to ignore their own legal rights in order to satisfy the interests of the employer.
Again, be fair – it’s your business and you can work as much ‘overtime’ as you like, but you cannot expect your employees to work excessive overtime. It’s not good for their well being and ultimately it’s not good for your Company. Overly tired employees make mistakes that could cost the Company dearly.
· An employee who is involved with a Trade Union’s first loyalty is to the Trade Union and not the employer, particularly where the law is protecting the employees rights and not the employers interests.
As much as this is a difficult one to swallow, it is the law! An employee, who is a Manager for example and who is also a member of the Trade Union, cannot be expected to inform on issues that were discussed in the Trade Union meetings. It is also illegal for the Employer to prevent someone in a managerial position to become a Union member. That said, Managers who are Union members can be disciplined in certain instances. For example if a manager was discovered, not disciplining his/her subordinates because they were fellow Union members, said manager could be disciplined themselves for not performing their own functions.
This is a very difficult one to constrict though, therefore if you have a situation where you feel that a Manager is not performing his/her duties because of Union issues, I would suggest that you contact an accredited Labour Attorney who will advise you on the case in question.
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za
WHAT TO DO WHEN . . . . You Want to Avoid Clashes with Employees
By Nikki Viljoen – N Viljoen Consulting CC.
For me prevention is always much better than a cure.
Here are a few tips that will assist in ensuring that there are a few less ‘clashes’ between employees and employers.
· Make sure that the employees that are in charge of ‘procurement’ of any kind, do not have private relationships with your suppliers.
This means that you should not have a staff member in charge of purchasing all of the stationary for the Company, who is married to someone who owns a stationary store. This is clearly a conflict of interest and could result in illegal ‘kick backs’ and the earning of unearned commissions. It could also end up meaning that your Company is paying bigger fees for purchases than you should be.
· Make sure that your staff members have written permission to carry business that is in competition to your own.
Now this is just common sense don’t you think? Staff members shouldn’t be doing anything on the side without your written consent. Make sure that whatever it is that they are going to be doing to earn extra cash, is not in competition with you and make sure that it is not going to interfere with their duties at the office.
· Employers cannot expect employees to perform illegal duties.
Be careful here. If you instruct the bookkeeper not to pay SARS for any reason, you are instructing said bookkeeper to break the law! Although the bookkeeper works for you and should be loyal to you and your company, you cannot expect the employee to break the law on your behalf. Make sure instructions that you give to your employee are within the boundaries of the law.
· Employers cannot expect employees to ignore their own legal rights in order to satisfy the interests of the employer.
Again, be fair – it’s your business and you can work as much ‘overtime’ as you like, but you cannot expect your employees to work excessive overtime. It’s not good for their well being and ultimately it’s not good for your Company. Overly tired employees make mistakes that could cost the Company dearly.
· An employee who is involved with a Trade Union’s first loyalty is to the Trade Union and not the employer, particularly where the law is protecting the employees rights and not the employers interests.
As much as this is a difficult one to swallow, it is the law! An employee, who is a Manager for example and who is also a member of the Trade Union, cannot be expected to inform on issues that were discussed in the Trade Union meetings. It is also illegal for the Employer to prevent someone in a managerial position to become a Union member. That said, Managers who are Union members can be disciplined in certain instances. For example if a manager was discovered, not disciplining his/her subordinates because they were fellow Union members, said manager could be disciplined themselves for not performing their own functions.
This is a very difficult one to constrict though, therefore if you have a situation where you feel that a Manager is not performing his/her duties because of Union issues, I would suggest that you contact an accredited Labour Attorney who will advise you on the case in question.
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za
Thursday, November 13, 2008
MARKETING - Losing the Plot
MARKETING
Losing the Plot
By Nikki Viljoen – Viljoen Consulting November 2008.
I am sure that at one time or another we have all sat in front of the TV, having watched the same ad, for what seems like the 100th time in the same hour and thought or even said “I’m sick to death of this Ad!”?
More often than not, the first time we saw the ad, it captured our imagination and if you are anything like me, you will have even, on occasion looked forward to, or even actively sought to watch it again and again – especially if it has had me in fits of laugher. But pretty much like a song that I went from wanting to listen to over and over again, I soon got tired of it.
Does this mean that the ad must be pulled or taken off to be replaced by another? Good heavens no!
The Company who owns that particular ad may have heaps of spare cash to indulge themselves in producing a new ad campaign, but the average small business owner does not and the old saying of “if it’s not broken don’t fix it” certainly applies here. If the ad or the promotion or the marketing campaign is making you money – for heavens sake don’t stop it or swap it for something else – that’s just losing the plot!
Sure if it is not working anymore, then by all means step up to the plate, but if the money is still rolling in, then you being bored with the ad, or the promotion or the marketing campaign is not a good enough reason to switch to something else.
Remember that what is old and boring to you is still shiny and new to your untapped target market. If it’s making you money, stick with it. When the results show that the money is no longer coming in, then it is time to change, but don’t change before the results are in.
One way to appease your growing boredom is to test the market with a new promotion and then tract these results. That way when your ‘old’ promotion shows in the results that it is no longer working and it is time to make a change – you have a brand new promotion to take its place.
So be clear about why you want to swap a promotion, make sure that it is about the results and not just your boredom.
Make sure you don’t lose the plot!
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za
Losing the Plot
By Nikki Viljoen – Viljoen Consulting November 2008.
I am sure that at one time or another we have all sat in front of the TV, having watched the same ad, for what seems like the 100th time in the same hour and thought or even said “I’m sick to death of this Ad!”?
More often than not, the first time we saw the ad, it captured our imagination and if you are anything like me, you will have even, on occasion looked forward to, or even actively sought to watch it again and again – especially if it has had me in fits of laugher. But pretty much like a song that I went from wanting to listen to over and over again, I soon got tired of it.
Does this mean that the ad must be pulled or taken off to be replaced by another? Good heavens no!
The Company who owns that particular ad may have heaps of spare cash to indulge themselves in producing a new ad campaign, but the average small business owner does not and the old saying of “if it’s not broken don’t fix it” certainly applies here. If the ad or the promotion or the marketing campaign is making you money – for heavens sake don’t stop it or swap it for something else – that’s just losing the plot!
Sure if it is not working anymore, then by all means step up to the plate, but if the money is still rolling in, then you being bored with the ad, or the promotion or the marketing campaign is not a good enough reason to switch to something else.
Remember that what is old and boring to you is still shiny and new to your untapped target market. If it’s making you money, stick with it. When the results show that the money is no longer coming in, then it is time to change, but don’t change before the results are in.
One way to appease your growing boredom is to test the market with a new promotion and then tract these results. That way when your ‘old’ promotion shows in the results that it is no longer working and it is time to make a change – you have a brand new promotion to take its place.
So be clear about why you want to swap a promotion, make sure that it is about the results and not just your boredom.
Make sure you don’t lose the plot!
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za
Wednesday, November 12, 2008
THE POWER OF NETWORKING - PART 87
THE POWER OF NETWORKING
PART 87
By Nikki Viljoen of N Viljoen Consulting CC
I have often been told that I am a ‘connector’. Now logic must tell you that in order for me to connect people there have to be a minimum of three people. You see, I have to connect one person to the other.
Stephen Covey says that we should “Synergise principals of creative communication.”
Scott Cundill says that this means “Business is very three dimensional and there will often be alternatives to a situation that are not very clear at first. If it looks like there are only two options, keep looking – it’s amazing how often a third option manifests itself to a dedicated mind.”
For me, this is often what makes Networking such an exciting adventure. You see, I have no idea who I am going to meet and who I can connect them with. More importantly, I also have no idea who I am going to meet and who I don’t know, and who they are going to connect me with.
To make use of Oprah Winfrey’s “What I do know for sure” is that when I go to a Networking event, I will meet people, like minded people who are as serious as I am about doing the right kind of business and making a difference.
Why do you go to Networking events?
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za
PART 87
By Nikki Viljoen of N Viljoen Consulting CC
I have often been told that I am a ‘connector’. Now logic must tell you that in order for me to connect people there have to be a minimum of three people. You see, I have to connect one person to the other.
Stephen Covey says that we should “Synergise principals of creative communication.”
Scott Cundill says that this means “Business is very three dimensional and there will often be alternatives to a situation that are not very clear at first. If it looks like there are only two options, keep looking – it’s amazing how often a third option manifests itself to a dedicated mind.”
For me, this is often what makes Networking such an exciting adventure. You see, I have no idea who I am going to meet and who I can connect them with. More importantly, I also have no idea who I am going to meet and who I don’t know, and who they are going to connect me with.
To make use of Oprah Winfrey’s “What I do know for sure” is that when I go to a Networking event, I will meet people, like minded people who are as serious as I am about doing the right kind of business and making a difference.
Why do you go to Networking events?
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za
Tuesday, November 11, 2008
PREPARE YOUR BUSINESS FOR SALE - The Broken Record
PREPARE YOUR BUSINESS FOR SALE
The Broken Record – by Mark Corke
Mark is a Business Broker, who writes articles on, and runs seminars on “Preparing you Business for Sale”. Should you wish to register for some of Mark’s free articles and tips, Here is the link.
Both Mark and I are of the opinion that ensuring that your Business is Prepared for Sale at all times will ensure that your business always commands the highest value. It actually increases the value of your Business quite considerably.
A few weeks back Mike Pfaff told me that his old 100m record still stands at our old school. Given that he set the record in 1980, that’s impressive. He quickly added that his youngest son is running faster times at the same age than Mike ever did. And he starts at the same school in a few years. The die is cast, so to speak; and we wait. Nothing will give Mike more pleasure than to watch his boy take his record to pieces.
" The sports page records people's accomplishments, the front page usually records nothing, but man's failures. " Barbara Walters
Not that there aren’t enough records being broken right now. Every hour seems to bring new ones. Bourses around the world are recording record losses one day and record gains the next as we all start to suffer a major hangover following the gluttony of the few who thought they understood what they were doing.
You can be quite sure that unprecedented volatility is making a lot of money for derivative traders going long and short at once while covering themselves with generous stop losses. Fin 24 has had the following headlines in the last week:
The Times Square
USA Debt Clock ran out of digits as it clicked into 10 trillion notes a week back. And you think we have it bad? While that happened, Joe the plumber received a record breaking amount of free marketing around the world as the presidential circus went into top gear. Enough in fact to cast poor Joe into another tax bracket all together. How ironic was that? Try his web site. I wonder if it was someone else who happened to get lucky after last night's presidential debate, or if the real Joe grabbed the www.joetheplumber.com domain very quickly.
More banks were nationalized in the last week than in any other week in history. True to form South Africa lags the rest of the world in this regard, still with 100% of its banks privately owned despite the threats of 1994. A record slow response to the "Rooi Gevaar"? More irony.
The Pakistan Rupee hit a record low against the US Dollar earlier today alongside most emerging country currencies. The biggest over night drop on record for the good old ZAR, and the lowest since August 2002 as overseas investors suck all their money back home to prop up their own economies.
Last time this happened the value of exporters went through the roof, importers went down for a while until they learned how to make a profit out of passing their extra costs onto their customers while lagging the pull back, and retailers went out of business in an ugly mess.
Hope fades on Wall Street
Wall Street roars back
High anxiety still rules
Massive rally on Wall Street
Worst week ever on Wall Street
And you; what are you doing in your business to set new records? Are your records positive or negative? What plans are you making to take shelter or take advantage? Or are you running scared, hoping it will all go away?
My guess is that for exporters, there is a window of opportunity to sell their businesses at good prices in the next two months. Likewise for manufacturers of industrial products who’s customers are forced to import their products. Of course if you are not prepared for sale, that opportunity may pass you by. Perhaps you should consider joining our accelerated preparation program. The buyers with the “export mandate” are about to make an appearance from the holes they crawled into when the Rand strengthened in the early years of the decade. It will be nice to see them again.
And if you're near Monte Casino on Friday and have nothing else to do, why pop in and help set another record?
My friend Cathy Franconi and a large number of young nubile (and other) optometric practitioners will be attempting to set a record - let's see how many eyes they can screen in one day.
There is a corporate team challenge judged on which company brings the most employees for screening, the sunniest hat will win a pair of Oakley sunglasses, kids can have sports heroes sign autographs, more Oakleys will be won, celebrities will be in attendance, and yet more Oakleys together with a Montecasino prize worth R15,000 will be given away.
In sunny South Africa our eyes are exposed to so much UV radiation that we really should grab this opportunity to have our eyes screened, and enjoy the razzmatazz of setting a new record. I'll see you there? I sure hope so.
Cheers
Mark Corke
The Broken Record – by Mark Corke
Mark is a Business Broker, who writes articles on, and runs seminars on “Preparing you Business for Sale”. Should you wish to register for some of Mark’s free articles and tips, Here is the link.
Both Mark and I are of the opinion that ensuring that your Business is Prepared for Sale at all times will ensure that your business always commands the highest value. It actually increases the value of your Business quite considerably.
A few weeks back Mike Pfaff told me that his old 100m record still stands at our old school. Given that he set the record in 1980, that’s impressive. He quickly added that his youngest son is running faster times at the same age than Mike ever did. And he starts at the same school in a few years. The die is cast, so to speak; and we wait. Nothing will give Mike more pleasure than to watch his boy take his record to pieces.
" The sports page records people's accomplishments, the front page usually records nothing, but man's failures. " Barbara Walters
Not that there aren’t enough records being broken right now. Every hour seems to bring new ones. Bourses around the world are recording record losses one day and record gains the next as we all start to suffer a major hangover following the gluttony of the few who thought they understood what they were doing.
You can be quite sure that unprecedented volatility is making a lot of money for derivative traders going long and short at once while covering themselves with generous stop losses. Fin 24 has had the following headlines in the last week:
The Times Square
USA Debt Clock ran out of digits as it clicked into 10 trillion notes a week back. And you think we have it bad? While that happened, Joe the plumber received a record breaking amount of free marketing around the world as the presidential circus went into top gear. Enough in fact to cast poor Joe into another tax bracket all together. How ironic was that? Try his web site. I wonder if it was someone else who happened to get lucky after last night's presidential debate, or if the real Joe grabbed the www.joetheplumber.com domain very quickly.
More banks were nationalized in the last week than in any other week in history. True to form South Africa lags the rest of the world in this regard, still with 100% of its banks privately owned despite the threats of 1994. A record slow response to the "Rooi Gevaar"? More irony.
The Pakistan Rupee hit a record low against the US Dollar earlier today alongside most emerging country currencies. The biggest over night drop on record for the good old ZAR, and the lowest since August 2002 as overseas investors suck all their money back home to prop up their own economies.
Last time this happened the value of exporters went through the roof, importers went down for a while until they learned how to make a profit out of passing their extra costs onto their customers while lagging the pull back, and retailers went out of business in an ugly mess.
Hope fades on Wall Street
Wall Street roars back
High anxiety still rules
Massive rally on Wall Street
Worst week ever on Wall Street
And you; what are you doing in your business to set new records? Are your records positive or negative? What plans are you making to take shelter or take advantage? Or are you running scared, hoping it will all go away?
My guess is that for exporters, there is a window of opportunity to sell their businesses at good prices in the next two months. Likewise for manufacturers of industrial products who’s customers are forced to import their products. Of course if you are not prepared for sale, that opportunity may pass you by. Perhaps you should consider joining our accelerated preparation program. The buyers with the “export mandate” are about to make an appearance from the holes they crawled into when the Rand strengthened in the early years of the decade. It will be nice to see them again.
And if you're near Monte Casino on Friday and have nothing else to do, why pop in and help set another record?
My friend Cathy Franconi and a large number of young nubile (and other) optometric practitioners will be attempting to set a record - let's see how many eyes they can screen in one day.
There is a corporate team challenge judged on which company brings the most employees for screening, the sunniest hat will win a pair of Oakley sunglasses, kids can have sports heroes sign autographs, more Oakleys will be won, celebrities will be in attendance, and yet more Oakleys together with a Montecasino prize worth R15,000 will be given away.
In sunny South Africa our eyes are exposed to so much UV radiation that we really should grab this opportunity to have our eyes screened, and enjoy the razzmatazz of setting a new record. I'll see you there? I sure hope so.
Cheers
Mark Corke
PREPARE YOUR BUSINESS FOR SALE - The Broken Record
PREPARE YOUR BUSINESS FOR SALE
The Broken Record – by Mark Corke
Mark is a Business Broker, who writes articles on, and runs seminars on “Preparing you Business for Sale”. Should you wish to register for some of Mark’s free articles and tips, Here is the link.
Both Mark and I are of the opinion that ensuring that your Business is Prepared for Sale at all times will ensure that your business always commands the highest value. It actually increases the value of your Business quite considerably.
A few weeks back Mike Pfaff told me that his old 100m record still stands at our old school. Given that he set the record in 1980, that’s impressive. He quickly added that his youngest son is running faster times at the same age than Mike ever did. And he starts at the same school in a few years. The die is cast, so to speak; and we wait. Nothing will give Mike more pleasure than to watch his boy take his record to pieces.
" The sports page records people's accomplishments, the front page usually records nothing, but man's failures. " Barbara Walters
Not that there aren’t enough records being broken right now. Every hour seems to bring new ones. Bourses around the world are recording record losses one day and record gains the next as we all start to suffer a major hangover following the gluttony of the few who thought they understood what they were doing.
You can be quite sure that unprecedented volatility is making a lot of money for derivative traders going long and short at once while covering themselves with generous stop losses. Fin 24 has had the following headlines in the last week:
The Times Square
USA Debt Clock ran out of digits as it clicked into 10 trillion notes a week back. And you think we have it bad? While that happened, Joe the plumber received a record breaking amount of free marketing around the world as the presidential circus went into top gear. Enough in fact to cast poor Joe into another tax bracket all together. How ironic was that? Try his web site. I wonder if it was someone else who happened to get lucky after last night's presidential debate, or if the real Joe grabbed the www.joetheplumber.com domain very quickly.
More banks were nationalized in the last week than in any other week in history. True to form South Africa lags the rest of the world in this regard, still with 100% of its banks privately owned despite the threats of 1994. A record slow response to the "Rooi Gevaar"? More irony.
The Pakistan Rupee hit a record low against the US Dollar earlier today alongside most emerging country currencies. The biggest over night drop on record for the good old ZAR, and the lowest since August 2002 as overseas investors suck all their money back home to prop up their own economies.
Last time this happened the value of exporters went through the roof, importers went down for a while until they learned how to make a profit out of passing their extra costs onto their customers while lagging the pull back, and retailers went out of business in an ugly mess.
Hope fades on Wall Street
Wall Street roars back
High anxiety still rules
Massive rally on Wall Street
Worst week ever on Wall Street
And you; what are you doing in your business to set new records? Are your records positive or negative? What plans are you making to take shelter or take advantage? Or are you running scared, hoping it will all go away?
My guess is that for exporters, there is a window of opportunity to sell their businesses at good prices in the next two months. Likewise for manufacturers of industrial products who’s customers are forced to import their products. Of course if you are not prepared for sale, that opportunity may pass you by. Perhaps you should consider joining our accelerated preparation program. The buyers with the “export mandate” are about to make an appearance from the holes they crawled into when the Rand strengthened in the early years of the decade. It will be nice to see them again.
And if you're near Monte Casino on Friday and have nothing else to do, why pop in and help set another record?
My friend Cathy Franconi and a large number of young nubile (and other) optometric practitioners will be attempting to set a record - let's see how many eyes they can screen in one day.
There is a corporate team challenge judged on which company brings the most employees for screening, the sunniest hat will win a pair of Oakley sunglasses, kids can have sports heroes sign autographs, more Oakleys will be won, celebrities will be in attendance, and yet more Oakleys together with a Montecasino prize worth R15,000 will be given away.
In sunny South Africa our eyes are exposed to so much UV radiation that we really should grab this opportunity to have our eyes screened, and enjoy the razzmatazz of setting a new record. I'll see you there? I sure hope so.
Cheers
Mark Corke
The Broken Record – by Mark Corke
Mark is a Business Broker, who writes articles on, and runs seminars on “Preparing you Business for Sale”. Should you wish to register for some of Mark’s free articles and tips, Here is the link.
Both Mark and I are of the opinion that ensuring that your Business is Prepared for Sale at all times will ensure that your business always commands the highest value. It actually increases the value of your Business quite considerably.
A few weeks back Mike Pfaff told me that his old 100m record still stands at our old school. Given that he set the record in 1980, that’s impressive. He quickly added that his youngest son is running faster times at the same age than Mike ever did. And he starts at the same school in a few years. The die is cast, so to speak; and we wait. Nothing will give Mike more pleasure than to watch his boy take his record to pieces.
" The sports page records people's accomplishments, the front page usually records nothing, but man's failures. " Barbara Walters
Not that there aren’t enough records being broken right now. Every hour seems to bring new ones. Bourses around the world are recording record losses one day and record gains the next as we all start to suffer a major hangover following the gluttony of the few who thought they understood what they were doing.
You can be quite sure that unprecedented volatility is making a lot of money for derivative traders going long and short at once while covering themselves with generous stop losses. Fin 24 has had the following headlines in the last week:
The Times Square
USA Debt Clock ran out of digits as it clicked into 10 trillion notes a week back. And you think we have it bad? While that happened, Joe the plumber received a record breaking amount of free marketing around the world as the presidential circus went into top gear. Enough in fact to cast poor Joe into another tax bracket all together. How ironic was that? Try his web site. I wonder if it was someone else who happened to get lucky after last night's presidential debate, or if the real Joe grabbed the www.joetheplumber.com domain very quickly.
More banks were nationalized in the last week than in any other week in history. True to form South Africa lags the rest of the world in this regard, still with 100% of its banks privately owned despite the threats of 1994. A record slow response to the "Rooi Gevaar"? More irony.
The Pakistan Rupee hit a record low against the US Dollar earlier today alongside most emerging country currencies. The biggest over night drop on record for the good old ZAR, and the lowest since August 2002 as overseas investors suck all their money back home to prop up their own economies.
Last time this happened the value of exporters went through the roof, importers went down for a while until they learned how to make a profit out of passing their extra costs onto their customers while lagging the pull back, and retailers went out of business in an ugly mess.
Hope fades on Wall Street
Wall Street roars back
High anxiety still rules
Massive rally on Wall Street
Worst week ever on Wall Street
And you; what are you doing in your business to set new records? Are your records positive or negative? What plans are you making to take shelter or take advantage? Or are you running scared, hoping it will all go away?
My guess is that for exporters, there is a window of opportunity to sell their businesses at good prices in the next two months. Likewise for manufacturers of industrial products who’s customers are forced to import their products. Of course if you are not prepared for sale, that opportunity may pass you by. Perhaps you should consider joining our accelerated preparation program. The buyers with the “export mandate” are about to make an appearance from the holes they crawled into when the Rand strengthened in the early years of the decade. It will be nice to see them again.
And if you're near Monte Casino on Friday and have nothing else to do, why pop in and help set another record?
My friend Cathy Franconi and a large number of young nubile (and other) optometric practitioners will be attempting to set a record - let's see how many eyes they can screen in one day.
There is a corporate team challenge judged on which company brings the most employees for screening, the sunniest hat will win a pair of Oakley sunglasses, kids can have sports heroes sign autographs, more Oakleys will be won, celebrities will be in attendance, and yet more Oakleys together with a Montecasino prize worth R15,000 will be given away.
In sunny South Africa our eyes are exposed to so much UV radiation that we really should grab this opportunity to have our eyes screened, and enjoy the razzmatazz of setting a new record. I'll see you there? I sure hope so.
Cheers
Mark Corke
Monday, November 10, 2008
MOTIVATION - Forgiving Yourself
MOTIVATION – FORGIVING YOURSELF
By Nikki Viljoen of N Viljoen Consulting CC
It is said ‘that it isn’t always enough to be forgiven by others. . . . sometimes you have to learn to forgive yourself.’
This for me, in my personal capacity has to be one of my greatest challenges, and what often makes the challenge even greater is that often my transgression, is something that is only my perception!
In my experience, people are far harder on themselves than anyone could actually be on them. It is for this very reason that I tell most of my clients to let their staff perform their own Performance Appraisals – basically what that means is that they rate themselves.
I have yet to see a staff member rate themselves higher than what their bosses rate them and this is because the actual physical action of performing the appraisal makes them think about what they do and how they perform their duties. It makes them look at who they are and what they do, from a totally different perspective.
The outcome usually, is that they rate themselves far lower that what their employers rate them, and with the higher ranking from the boss, comes a different appreciation and respect for their bosses, which usually means a half way decent relationship between the employer and the employee – at least for a little while.
What is also very important to remember though, is that the employer now needs to work on taking that staff member’s lack of self esteem and turning that into something that is positive and that becomes a win/win situation for both parties.
It does highlight however, that as individual we are really very hard on ourselves – harder on ourselves than any other person and that most of our transgressions are perceptions in our own minds.
That said, I am still challenged by looking at my own demons and finding forgiveness for myself, by myself. I have discovered though that my demons are often quieted when I give myself credit for the things that I have accomplished and the good things that I have achieved.
So perhaps, therein lies the solution.
Remember to heap accolades and praise upon your head, for each and everything that you achieve or do well. Not just the big things, but the little things too. Things like every appointment that you make on time, each telephone call that you return when you say you will, each deadline that you meet and each and every person, in whose life, you make a difference.
Remember, you are the architect of your own life. Let that life be full of laughter and joy and yes . . . . even your own forgiveness.
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za.
By Nikki Viljoen of N Viljoen Consulting CC
It is said ‘that it isn’t always enough to be forgiven by others. . . . sometimes you have to learn to forgive yourself.’
This for me, in my personal capacity has to be one of my greatest challenges, and what often makes the challenge even greater is that often my transgression, is something that is only my perception!
In my experience, people are far harder on themselves than anyone could actually be on them. It is for this very reason that I tell most of my clients to let their staff perform their own Performance Appraisals – basically what that means is that they rate themselves.
I have yet to see a staff member rate themselves higher than what their bosses rate them and this is because the actual physical action of performing the appraisal makes them think about what they do and how they perform their duties. It makes them look at who they are and what they do, from a totally different perspective.
The outcome usually, is that they rate themselves far lower that what their employers rate them, and with the higher ranking from the boss, comes a different appreciation and respect for their bosses, which usually means a half way decent relationship between the employer and the employee – at least for a little while.
What is also very important to remember though, is that the employer now needs to work on taking that staff member’s lack of self esteem and turning that into something that is positive and that becomes a win/win situation for both parties.
It does highlight however, that as individual we are really very hard on ourselves – harder on ourselves than any other person and that most of our transgressions are perceptions in our own minds.
That said, I am still challenged by looking at my own demons and finding forgiveness for myself, by myself. I have discovered though that my demons are often quieted when I give myself credit for the things that I have accomplished and the good things that I have achieved.
So perhaps, therein lies the solution.
Remember to heap accolades and praise upon your head, for each and everything that you achieve or do well. Not just the big things, but the little things too. Things like every appointment that you make on time, each telephone call that you return when you say you will, each deadline that you meet and each and every person, in whose life, you make a difference.
Remember, you are the architect of your own life. Let that life be full of laughter and joy and yes . . . . even your own forgiveness.
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za.
Friday, November 07, 2008
WHAT TO DO WHEN . . . . You Are Not Sure About Workmen's Compensation? - Part 4
ARTICLE 14
WHAT TO DO WHEN . . . . You Are Not Sure About Workmen’s Compensation? – Part 4
By Nikki Viljoen – N Viljoen Consulting CC.
Well, here we are and it is crunch time. The registration is complete, the documents all sent in, the business assessed and it is all over – bar for the paying of course. Well you didn’t think that this was all going to happen for free, did you?
So here’s what happens next:
You pay within the required 30 days – no problem, except that you get to repeat the whole exercise all over again next year, but at least you can relax for a whole year.
You don’t have the money to pay: Well here, as in most aspects of life, there is a consequence or two or even several. This is what can, but is not limited to what will, happen:-
· The Commission may impose a fine on you (the employer)
· In the instance that an employee has an accident and the assessment has not been paid, the Commission may, in addition to the original fine, impose an additional fine that is equal to the payment that would have been payable to the employee.
If the you (the employer) still do not pay the assessment and/or the subsequent fines, the Commission is entitled to take legal action against you by approaching the Magistrates Court in order obtain the monies due. The Magistrate has the power to impose an additional fine as well as a prison sentence not exceeding one year.
As you can see from the above, this is serious business. Therefore, if for whatever reason you cannot pay it all up front, it is in your best interests to obtain permission to pay the money off in installments.
Should you have any additional queries, it may be a good idea to contact the Commission directly and/or seek assistance from a Labour Attorney.
Next week we tackle a brand new subject.
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za
WHAT TO DO WHEN . . . . You Are Not Sure About Workmen’s Compensation? – Part 4
By Nikki Viljoen – N Viljoen Consulting CC.
Well, here we are and it is crunch time. The registration is complete, the documents all sent in, the business assessed and it is all over – bar for the paying of course. Well you didn’t think that this was all going to happen for free, did you?
So here’s what happens next:
You pay within the required 30 days – no problem, except that you get to repeat the whole exercise all over again next year, but at least you can relax for a whole year.
You don’t have the money to pay: Well here, as in most aspects of life, there is a consequence or two or even several. This is what can, but is not limited to what will, happen:-
· The Commission may impose a fine on you (the employer)
· In the instance that an employee has an accident and the assessment has not been paid, the Commission may, in addition to the original fine, impose an additional fine that is equal to the payment that would have been payable to the employee.
If the you (the employer) still do not pay the assessment and/or the subsequent fines, the Commission is entitled to take legal action against you by approaching the Magistrates Court in order obtain the monies due. The Magistrate has the power to impose an additional fine as well as a prison sentence not exceeding one year.
As you can see from the above, this is serious business. Therefore, if for whatever reason you cannot pay it all up front, it is in your best interests to obtain permission to pay the money off in installments.
Should you have any additional queries, it may be a good idea to contact the Commission directly and/or seek assistance from a Labour Attorney.
Next week we tackle a brand new subject.
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za
Thursday, November 06, 2008
MARKETING - Preparation and then . . . . Nothing!
MARKETING
Preparation and then . . . . Nothing!
By Nikki Viljoen – Viljoen Consulting January 2008.
I was reading an article (and yes I do read, I don’t just write articles) by Martha Beck in which she said “To fail is divine she (Martha Beck) has repeatedly, and she has nothing to show for it except freedom, serenity, and a sure –fire recipe for success.”
Yet we all have a frighteningly huge fear of failure. The really crazy thing is that we fail on a daily basis, no matter how successful we are, we still experience failure on a daily basis. The missed or late arrival for an appointment. The missed or late deadline. The closed bank teller. They are all failures on our part, in one way or another. Even though we all fail on a daily basis, our fear of failure is so great that it often overpowers us and we go to great lengths to avoid it.
How do we try and avoid failure, well we prepare and organize and research and then we prepare some more, and we organize some more and then we do some more research and so it goes on! Pretty soon we are so busy preparing and organizing and researching and running around like lunatics, to prevent failure that we don’t ever get to the point of actually marketing. How sorry is that?
Think about a baby who is learning how to walk. No child that I have ever seen, got up onto his/her feet and walked after doing only the crawl for the better part of their lives. They all fall down and then with immense cheering and motivation and yes, even a little bribery I suspect, they get up again, only to fall down again. Along the way however, their tenacity pays off and they start to walk.
Starting a new business is the same, we all fail a little, adjust our thinking, pick ourselves up and get going again. Remember tenacity will pay off, but you still have to take that first step.
It is a good idea to remember two basic points, I would actually write them down somewhere where you can see them every day. They are:-
· Just because you are running around frenetically all the time, doesn’t mean that you are actually achieving anything. So Activity is not productivity!
· Just because you have this brilliant idea for a product or a service that you think you can sell one to every individual on the planet – you still have to sell the first one, before you can sell the rest! So make the first sale!
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za
Preparation and then . . . . Nothing!
By Nikki Viljoen – Viljoen Consulting January 2008.
I was reading an article (and yes I do read, I don’t just write articles) by Martha Beck in which she said “To fail is divine she (Martha Beck) has repeatedly, and she has nothing to show for it except freedom, serenity, and a sure –fire recipe for success.”
Yet we all have a frighteningly huge fear of failure. The really crazy thing is that we fail on a daily basis, no matter how successful we are, we still experience failure on a daily basis. The missed or late arrival for an appointment. The missed or late deadline. The closed bank teller. They are all failures on our part, in one way or another. Even though we all fail on a daily basis, our fear of failure is so great that it often overpowers us and we go to great lengths to avoid it.
How do we try and avoid failure, well we prepare and organize and research and then we prepare some more, and we organize some more and then we do some more research and so it goes on! Pretty soon we are so busy preparing and organizing and researching and running around like lunatics, to prevent failure that we don’t ever get to the point of actually marketing. How sorry is that?
Think about a baby who is learning how to walk. No child that I have ever seen, got up onto his/her feet and walked after doing only the crawl for the better part of their lives. They all fall down and then with immense cheering and motivation and yes, even a little bribery I suspect, they get up again, only to fall down again. Along the way however, their tenacity pays off and they start to walk.
Starting a new business is the same, we all fail a little, adjust our thinking, pick ourselves up and get going again. Remember tenacity will pay off, but you still have to take that first step.
It is a good idea to remember two basic points, I would actually write them down somewhere where you can see them every day. They are:-
· Just because you are running around frenetically all the time, doesn’t mean that you are actually achieving anything. So Activity is not productivity!
· Just because you have this brilliant idea for a product or a service that you think you can sell one to every individual on the planet – you still have to sell the first one, before you can sell the rest! So make the first sale!
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za
Wednesday, November 05, 2008
THE POWER OF NETWORKING - PART 86
THE POWER OF NETWORKING
PART 86
By Nikki Viljoen of N Viljoen Consulting CC
Dr. Renate Volpe, in her nugget cards entitled “Networking Tips” says:
“Introverts can network successfully too. They simply need to be more selective about where, when and with whom they associate.”
Quite frankly, I am always amazed when people look at me in absolute disbelief when I tell them this. Actually if the truth be told its then next bit of information that always gets them – you see I am an introvert! So now that everyone who fell down to the floor laughing has picked themselves up and dusted themselves off – the truth of the matter is that – I am an introvert! Ask my shrink if you don’t believe me.
I am really not comfortable with most people, I dislike crowds intensely, I am actually quite shy and given half a chance I would become quite a recluse.
I know that I have said, on more than one occasion that I am a natural Networker and on most levels that is absolutely true – here’s the thing though. Every morning when I get up, and I have to meet with people, I have to make a conscious decision about that. I have to have this chat to myself about how it is in the best interests of my business and therefore myself. It’s a motivational chat of great proportion and it is what gets me going and keeps me going for the rest of the day.
Absolute bliss, for me are the days, when I don’t have to meet with anyone and I can sit quietly at home and get on with my work or write what needs to be written and I can deal with people on the phone – if I have to. That really works for me in a ‘natural’ sort of way, I can just relax.
So, as an introvert, if I can get Networking to work for me in the way in which I have, what on earth is stopping you? Find a way that allows you to be comfortable in a Networking environment and get going – it will make a world of difference to your business and ultimately to yourself.
For more information on Renate, please visit her website at http://www.hirs.co.za
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za
PART 86
By Nikki Viljoen of N Viljoen Consulting CC
Dr. Renate Volpe, in her nugget cards entitled “Networking Tips” says:
“Introverts can network successfully too. They simply need to be more selective about where, when and with whom they associate.”
Quite frankly, I am always amazed when people look at me in absolute disbelief when I tell them this. Actually if the truth be told its then next bit of information that always gets them – you see I am an introvert! So now that everyone who fell down to the floor laughing has picked themselves up and dusted themselves off – the truth of the matter is that – I am an introvert! Ask my shrink if you don’t believe me.
I am really not comfortable with most people, I dislike crowds intensely, I am actually quite shy and given half a chance I would become quite a recluse.
I know that I have said, on more than one occasion that I am a natural Networker and on most levels that is absolutely true – here’s the thing though. Every morning when I get up, and I have to meet with people, I have to make a conscious decision about that. I have to have this chat to myself about how it is in the best interests of my business and therefore myself. It’s a motivational chat of great proportion and it is what gets me going and keeps me going for the rest of the day.
Absolute bliss, for me are the days, when I don’t have to meet with anyone and I can sit quietly at home and get on with my work or write what needs to be written and I can deal with people on the phone – if I have to. That really works for me in a ‘natural’ sort of way, I can just relax.
So, as an introvert, if I can get Networking to work for me in the way in which I have, what on earth is stopping you? Find a way that allows you to be comfortable in a Networking environment and get going – it will make a world of difference to your business and ultimately to yourself.
For more information on Renate, please visit her website at http://www.hirs.co.za
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za
Tuesday, November 04, 2008
PREPARE YOUR BUSINESS FOR SALE - More Questions than Answers
PREPARE YOUR BUSINESS FOR SALE
More Questions Than Answers
For a while, with his permission, I will be posting articles from Mark Corke of Suitegum.
Mark is a Business Broker, who writes articles on, and runs seminars on “Preparing you Business for Sale”. Should you wish to register for some of Mark’s free articles and tips, Here is the link.
Both Mark and I are of the opinion that ensuring that your Business is Prepared for Sale at all times will ensure that your business always commands the highest value. It actually increases the value of your Business quite considerably.
Most businesses don't sell for anything close to the value they should, and frankly... THAT'S JUST WRONG. Particularly when the owner isn't around to defend the value.
If you were to sell your business today, would you get true value for it? And if you were not around, would your loved ones be able to sell it for what it's worth? Do you really think they could? Do you even know what the real value of your business is? The simple truth is that businesses are often sold unprepared under unforeseen circumstances.
The unfortunate answers to these questions lie in the fact that most business owners never consider preparing their businesses for sale before a purchaser asks them to supply the financial statements, management accounts and VAT returns. No sooner are these supplied, than the prospective purchaser asks about the customer mix and debtor analysis. Another challenge all together…
At no financial cost to you at all, you can learn to prepare your business for sale so that at the drop of a hat you are ready to sell for 209% more than you believe it is worth today. An impossibly silly claim? Not at all! Businesses that are properly prepared for sale, well in advance of the event, and then kept prepared through a simple maintenance program, usually over a period of years, always sell for higher values, in quicker, cleaner deals, than if the business had not been prepared properly, or at all.
So why don't we prepare our businesses for sale?
Most sellers simply don't know where to begin. They know they need to present a profit figure, and they know that VAT returns will be used to prove the turnover. They hastily sketch out some cash flow forecasts based on improving “this” and implementing “that”. They are scared that their staff will up and go if they discover the business is for sale. They don't want their suppliers and customers to find out.
Any of this sound familiar to you? Do you fit the bill?
And so you do nothing until the buyer is sitting in the office asking awkward questions. At that point, of course, it becomes a bit of a mess, as the bookkeeper is called in, sworn to secrecy, and has all the pressure transferred to his shoulders. By the next morning even the cleaners and drivers know there is something afoot.
If I can show you how to pre-empt this entire debacle, and add value to your business, would you be interested in “Preparing your business for sale”? Well, of course you would. For no cost at all, I will help you to prepare a complete prospectus on your business, to be easily updated every month in less than an hour. You will learn exactly how to add value to your business so that both you and your buyer benefit from the improvements. You will be able to identify the elements in your business that savvy buyers are after, and show those elements to your best advantage. You will gain... oh never mind; I promise you that you will get so much value ...without paying me a penny!
Retaining the shareholding and a directorship provides the investor with a stable platform going forward. A dedicated part owner employee, if you want. But not any run of the mill employee; rather one who shares a common goal with the investor – maximize profits to grow the underlying value of the business as a whole.
And so they will become partners in a business, one who understands the intricacies of the industry, based on decades of experience, and another who is able to bring professional systems, cash flow, and door opening contacts in other markets. In addition the business will have a war chest which it will be able to use to make strategic acquisitions from amongst its suppliers, customers or even competitors.
“I will take any reasonable offer.”
“I don't know how to run my wife's business, and I don't have the time.”
“I'm getting divorced, and my wife wants the business.”
“We've had enough, and we're going to emigrate. I need my money by December.”
"My husband has had an accident. He says I must sell his business because it is going out of business. "
Why condemn yourself to this unhappiness?
There is an easy solution, you know. What's more, it is so easy if you are already running your business in a slightly better than basic fashion. By following our techniques, nobody need ever know that your business is being sold, or in fact that you have prepared your business for sale, if this is an issue for you.
Great news for business owners who think their businesses will never be sold: Not only will your business be sold, but you will use the proceeds from that sale to improve your life and leapfrog your dreams to a higher level.
Join me for a few minutes of good advice and solid pointers each week as I show you how you will create a life raft of opportunity in your business, ready to be launched at short notice.
Do not be caught unaware.
Do not be caught investing most of your life’s time in a business to keep the wolves from the door today, and to provide for your future tomorrow, when you have no idea of what a buyer would be looking for in a business today.
Do not be caught flat footed when circumstances such as illness or death dictate that you have to sell at short notice.
Wouldn’t that be sad?
All businesses should be in a constant state of readiness for sale. We live and work in an uncertain environment with new challenges being thrown our way constantly.
Instead of the formal presentation seminars, I have made the entire seminar available in a structured format through a no cost subscription base which will release seminar lessons on a weekly base to all subscribers. This means that if you wish to receive the seminar, you will have to register with your details, and then confirm them so that you can receive the lessons.
For subscribers who sign up now, there will be no charge. Simply follow the link to the Prepare your Business For Sale registration form.
I hope you get the most out of the series which is aimed at business owners who will sell their businesses some day in the future, as profitably as possible. Let me show you how in a series of easy to follow steps.
Cheers
Mark Corke
More Questions Than Answers
For a while, with his permission, I will be posting articles from Mark Corke of Suitegum.
Mark is a Business Broker, who writes articles on, and runs seminars on “Preparing you Business for Sale”. Should you wish to register for some of Mark’s free articles and tips, Here is the link.
Both Mark and I are of the opinion that ensuring that your Business is Prepared for Sale at all times will ensure that your business always commands the highest value. It actually increases the value of your Business quite considerably.
Most businesses don't sell for anything close to the value they should, and frankly... THAT'S JUST WRONG. Particularly when the owner isn't around to defend the value.
If you were to sell your business today, would you get true value for it? And if you were not around, would your loved ones be able to sell it for what it's worth? Do you really think they could? Do you even know what the real value of your business is? The simple truth is that businesses are often sold unprepared under unforeseen circumstances.
The unfortunate answers to these questions lie in the fact that most business owners never consider preparing their businesses for sale before a purchaser asks them to supply the financial statements, management accounts and VAT returns. No sooner are these supplied, than the prospective purchaser asks about the customer mix and debtor analysis. Another challenge all together…
At no financial cost to you at all, you can learn to prepare your business for sale so that at the drop of a hat you are ready to sell for 209% more than you believe it is worth today. An impossibly silly claim? Not at all! Businesses that are properly prepared for sale, well in advance of the event, and then kept prepared through a simple maintenance program, usually over a period of years, always sell for higher values, in quicker, cleaner deals, than if the business had not been prepared properly, or at all.
So why don't we prepare our businesses for sale?
Most sellers simply don't know where to begin. They know they need to present a profit figure, and they know that VAT returns will be used to prove the turnover. They hastily sketch out some cash flow forecasts based on improving “this” and implementing “that”. They are scared that their staff will up and go if they discover the business is for sale. They don't want their suppliers and customers to find out.
Any of this sound familiar to you? Do you fit the bill?
And so you do nothing until the buyer is sitting in the office asking awkward questions. At that point, of course, it becomes a bit of a mess, as the bookkeeper is called in, sworn to secrecy, and has all the pressure transferred to his shoulders. By the next morning even the cleaners and drivers know there is something afoot.
If I can show you how to pre-empt this entire debacle, and add value to your business, would you be interested in “Preparing your business for sale”? Well, of course you would. For no cost at all, I will help you to prepare a complete prospectus on your business, to be easily updated every month in less than an hour. You will learn exactly how to add value to your business so that both you and your buyer benefit from the improvements. You will be able to identify the elements in your business that savvy buyers are after, and show those elements to your best advantage. You will gain... oh never mind; I promise you that you will get so much value ...without paying me a penny!
Retaining the shareholding and a directorship provides the investor with a stable platform going forward. A dedicated part owner employee, if you want. But not any run of the mill employee; rather one who shares a common goal with the investor – maximize profits to grow the underlying value of the business as a whole.
And so they will become partners in a business, one who understands the intricacies of the industry, based on decades of experience, and another who is able to bring professional systems, cash flow, and door opening contacts in other markets. In addition the business will have a war chest which it will be able to use to make strategic acquisitions from amongst its suppliers, customers or even competitors.
“I will take any reasonable offer.”
“I don't know how to run my wife's business, and I don't have the time.”
“I'm getting divorced, and my wife wants the business.”
“We've had enough, and we're going to emigrate. I need my money by December.”
"My husband has had an accident. He says I must sell his business because it is going out of business. "
Why condemn yourself to this unhappiness?
There is an easy solution, you know. What's more, it is so easy if you are already running your business in a slightly better than basic fashion. By following our techniques, nobody need ever know that your business is being sold, or in fact that you have prepared your business for sale, if this is an issue for you.
Great news for business owners who think their businesses will never be sold: Not only will your business be sold, but you will use the proceeds from that sale to improve your life and leapfrog your dreams to a higher level.
Join me for a few minutes of good advice and solid pointers each week as I show you how you will create a life raft of opportunity in your business, ready to be launched at short notice.
Do not be caught unaware.
Do not be caught investing most of your life’s time in a business to keep the wolves from the door today, and to provide for your future tomorrow, when you have no idea of what a buyer would be looking for in a business today.
Do not be caught flat footed when circumstances such as illness or death dictate that you have to sell at short notice.
Wouldn’t that be sad?
All businesses should be in a constant state of readiness for sale. We live and work in an uncertain environment with new challenges being thrown our way constantly.
Instead of the formal presentation seminars, I have made the entire seminar available in a structured format through a no cost subscription base which will release seminar lessons on a weekly base to all subscribers. This means that if you wish to receive the seminar, you will have to register with your details, and then confirm them so that you can receive the lessons.
For subscribers who sign up now, there will be no charge. Simply follow the link to the Prepare your Business For Sale registration form.
I hope you get the most out of the series which is aimed at business owners who will sell their businesses some day in the future, as profitably as possible. Let me show you how in a series of easy to follow steps.
Cheers
Mark Corke
Monday, November 03, 2008
MOTIVATION - Responsibility
MOTIVATION – RESPONSIBILITY
By Nikki Viljoen of N Viljoen Consulting CC
The quote today comes from Abraham Lincoln who said : “You cannot escape the responsibility of tomorrow, by evading it today!”
Actually this very topic came up with one of my colleagues yesterday. He is an entrepreneur – ‘a visionary’ he calls himself. His usual take on things to do with business is to get the business going – get it up off the ground and running and then look at things like registering it as a company or for VAT or PAYE or even get the books done or the policies and procedures put into place.
Personally, I really think that that is a stupid idea! I can just see everyone’s eyebrows raising and throats being cleared.
Ok, let me explain myself – so you’ve started business with this really brilliant product, that is unique to you. You’ve started on your own and pretty soon you have to employ someone because you just can’t keep up with demand. Before you know it, you’ve had to employ 10 people, you’ve moved premises three times and you now have to rent a warehouse to distribute from and you want to go national. Orders are pouring in and you really don’t have the capital to meet the demand of this growth spurt.
You go to the bank for a loan and here is where the whole thing begins to go pear shaped. You see you are still trading as a Sole Proprietor, so there is no Financial History on your Company, you don’t have a business plan never mind financials or projected sales or anything for that matter. No bank, or in fact an investor of any kind will lend you money without the right information.
To make matters worse, you seem to have employed a ‘rotten apple’ type individual who is hell bent on stirring up trouble and at this point you can’t do anything as you have not issued anyone with a Letter of Appointment and you are not registered with PAYE, UIF or Workmen’s compensation. Said individual keeps threatening to go to SARS and/or Department of Labour to report you, which would probably result in a SARS audit, which could become hugely costly for you as you are way over the minimum for VAT and you’re not registered for that either!
Pretty much a disaster, I am sure you will agree. So now it becomes a race against time trying to get all the documentation done and registered and you’re running around like a mad person trying to put out some fires (in terms of SARS and the Department of Labour), whilst simultaneously trying to light other fires (under the rear ends of the red tape bureaucrats in said financial institutions who grant loans) and still trying to meet your deliverables and manage your company.
Not a good place to be. Now if you had started in the correct manner by registering your company, then getting your financial stuff in order with a proper bookkeeper/accountant in place to give you monthly management reports, your bank accounts – just by themselves would have given you financial history that would be working in your benefit right from the beginning.
Then issuing Letters of Appointment to staff as you employed them and putting policies, procedures and templates in place to protect yourself from ‘rotten apple’ type employees who try and hold you over a barrel, would all have resulted in a completely different type of scenario.
Which situation do you think would have been easier?
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za.
By Nikki Viljoen of N Viljoen Consulting CC
The quote today comes from Abraham Lincoln who said : “You cannot escape the responsibility of tomorrow, by evading it today!”
Actually this very topic came up with one of my colleagues yesterday. He is an entrepreneur – ‘a visionary’ he calls himself. His usual take on things to do with business is to get the business going – get it up off the ground and running and then look at things like registering it as a company or for VAT or PAYE or even get the books done or the policies and procedures put into place.
Personally, I really think that that is a stupid idea! I can just see everyone’s eyebrows raising and throats being cleared.
Ok, let me explain myself – so you’ve started business with this really brilliant product, that is unique to you. You’ve started on your own and pretty soon you have to employ someone because you just can’t keep up with demand. Before you know it, you’ve had to employ 10 people, you’ve moved premises three times and you now have to rent a warehouse to distribute from and you want to go national. Orders are pouring in and you really don’t have the capital to meet the demand of this growth spurt.
You go to the bank for a loan and here is where the whole thing begins to go pear shaped. You see you are still trading as a Sole Proprietor, so there is no Financial History on your Company, you don’t have a business plan never mind financials or projected sales or anything for that matter. No bank, or in fact an investor of any kind will lend you money without the right information.
To make matters worse, you seem to have employed a ‘rotten apple’ type individual who is hell bent on stirring up trouble and at this point you can’t do anything as you have not issued anyone with a Letter of Appointment and you are not registered with PAYE, UIF or Workmen’s compensation. Said individual keeps threatening to go to SARS and/or Department of Labour to report you, which would probably result in a SARS audit, which could become hugely costly for you as you are way over the minimum for VAT and you’re not registered for that either!
Pretty much a disaster, I am sure you will agree. So now it becomes a race against time trying to get all the documentation done and registered and you’re running around like a mad person trying to put out some fires (in terms of SARS and the Department of Labour), whilst simultaneously trying to light other fires (under the rear ends of the red tape bureaucrats in said financial institutions who grant loans) and still trying to meet your deliverables and manage your company.
Not a good place to be. Now if you had started in the correct manner by registering your company, then getting your financial stuff in order with a proper bookkeeper/accountant in place to give you monthly management reports, your bank accounts – just by themselves would have given you financial history that would be working in your benefit right from the beginning.
Then issuing Letters of Appointment to staff as you employed them and putting policies, procedures and templates in place to protect yourself from ‘rotten apple’ type employees who try and hold you over a barrel, would all have resulted in a completely different type of scenario.
Which situation do you think would have been easier?
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za.
Friday, October 31, 2008
BUSINESS OPPORTUNITY IN JOHANNESBURG SOUTH AFRICA
Viljoen Consulting and the Soweto Chamber of Commerce (SOCCI), in conjunction with the Youth Group of Companies (YGC) and the ANC Women’s League forum will be holding a ‘Business Opportunities’ day at Ubuntu Kraal, late January.
The idea is to get anyone and everyone who has a product for sale that they would like to sell on a Distribution type basis, on board. On the day they will (at a cost) do a presentation of what they sell and hopefully there will be people there who are interested in ‘opening’ their own little business as distributors and/or include the products that they like into their already established businesses.
So far, I have managed to get the following people on board:
Gerard Kavonic – Vox telephones
Nigel Hamilton – Home 911/Office 911
Pam Hill – Hillsteam water
Talitha Nawn – Sportron
Robyn MacLennan – Body & Soul - Bling Water
George Laszlo – Herbal Life
Patrick Laverty – Jiguja
Karen Cox – The Gardener
Victor Das Neves - Microsolve
In my opinion this will be a win/win situation for both the people who we would be creating jobs for as well as those who need to get their products out there.
If anyone is interested in participating, please contact me on 083 702 8849 or nikki@viljoenconsulting.co.za
The idea is to get anyone and everyone who has a product for sale that they would like to sell on a Distribution type basis, on board. On the day they will (at a cost) do a presentation of what they sell and hopefully there will be people there who are interested in ‘opening’ their own little business as distributors and/or include the products that they like into their already established businesses.
So far, I have managed to get the following people on board:
Gerard Kavonic – Vox telephones
Nigel Hamilton – Home 911/Office 911
Pam Hill – Hillsteam water
Talitha Nawn – Sportron
Robyn MacLennan – Body & Soul - Bling Water
George Laszlo – Herbal Life
Patrick Laverty – Jiguja
Karen Cox – The Gardener
Victor Das Neves - Microsolve
In my opinion this will be a win/win situation for both the people who we would be creating jobs for as well as those who need to get their products out there.
If anyone is interested in participating, please contact me on 083 702 8849 or nikki@viljoenconsulting.co.za
WHAT TO DO WHEN . . . . You Are Not Sure About Workmen's Compensation? - Part 3
ARTICLE 14
WHAT TO DO WHEN . . . . You Are Not Sure About Workmen’s Compensation? – Part 3
By Nikki Viljoen – N Viljoen Consulting CC.
You are now registered with Workmen’s Compensation and are in the process of submitting your Return of Earnings, but somehow though, you don’t feel that the tariffs used to calculate your assessment is 100% correct for what it is that you do. Is there anything you can do about it? Of course there is. As in most things in life – not everything is a 100% fit!
The Commission has the authority to vary the rates that apply to your specific Company based on a whole bunch of criteria.
What you need to do now is get a Commissioner involved to do an assessment on your Company. If the Commission is of the opinion that your business is structured and set up in such a way to make it highly unlikely that any accidents would occur and that if, per chance there was an accident, that it would be highly likely that they would occur far less often and be of a far less serious nature, than in another similar business, the Director General of the Commission may allow your business to be rated at a much lower rate.
Be aware though, that in life, as there is an ‘upswing’ so too there is a ‘downswing’, because if the Commission finds that you are not really as organized or safe as you thought you were and that in fact it is far more likely that your staff will have more accidents and more serious accidents than in another similar business, they also have the right and the responsibility to increase the rate that you would have been charged. So make sure that you have all of your ducks in a row!
Payment of the annual fees are due and payable within 30 days of the receipt of their ‘Notice of Assessment’. Should you have cash flow problems however, you can make arrangements with the Commissioner to pay the assessment fee in installments.
Currently there are 3 acceptable payment methods – they are cheque, direct deposit and internet banking.
If you pay by cheque, the remittance advice part of the notice of assessment must be included with the cheque. Don’t forget to write your reference numbers at that the back of the cheque.
Paying by direct deposit means that you will have to make a trip to ABSA bank, however payment can be made at any branch. If possible use the deposit slip that is attached to your notice of assessment as it already has all your reference numbers printed on it. If you use a generic deposit slip though, remember to write your reference numbers on the deposit slip. Always retain your deposit slip as proof of payment.
When paying by internet banking, be sure to include all the relevant information that is required by your Financial institution as well as the correct reference number of your assessment.
The banking details of the Compensation fund are always included with your assessment.
Next week we will look at what happens when you fail to make payment.
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za
WHAT TO DO WHEN . . . . You Are Not Sure About Workmen’s Compensation? – Part 3
By Nikki Viljoen – N Viljoen Consulting CC.
You are now registered with Workmen’s Compensation and are in the process of submitting your Return of Earnings, but somehow though, you don’t feel that the tariffs used to calculate your assessment is 100% correct for what it is that you do. Is there anything you can do about it? Of course there is. As in most things in life – not everything is a 100% fit!
The Commission has the authority to vary the rates that apply to your specific Company based on a whole bunch of criteria.
What you need to do now is get a Commissioner involved to do an assessment on your Company. If the Commission is of the opinion that your business is structured and set up in such a way to make it highly unlikely that any accidents would occur and that if, per chance there was an accident, that it would be highly likely that they would occur far less often and be of a far less serious nature, than in another similar business, the Director General of the Commission may allow your business to be rated at a much lower rate.
Be aware though, that in life, as there is an ‘upswing’ so too there is a ‘downswing’, because if the Commission finds that you are not really as organized or safe as you thought you were and that in fact it is far more likely that your staff will have more accidents and more serious accidents than in another similar business, they also have the right and the responsibility to increase the rate that you would have been charged. So make sure that you have all of your ducks in a row!
Payment of the annual fees are due and payable within 30 days of the receipt of their ‘Notice of Assessment’. Should you have cash flow problems however, you can make arrangements with the Commissioner to pay the assessment fee in installments.
Currently there are 3 acceptable payment methods – they are cheque, direct deposit and internet banking.
If you pay by cheque, the remittance advice part of the notice of assessment must be included with the cheque. Don’t forget to write your reference numbers at that the back of the cheque.
Paying by direct deposit means that you will have to make a trip to ABSA bank, however payment can be made at any branch. If possible use the deposit slip that is attached to your notice of assessment as it already has all your reference numbers printed on it. If you use a generic deposit slip though, remember to write your reference numbers on the deposit slip. Always retain your deposit slip as proof of payment.
When paying by internet banking, be sure to include all the relevant information that is required by your Financial institution as well as the correct reference number of your assessment.
The banking details of the Compensation fund are always included with your assessment.
Next week we will look at what happens when you fail to make payment.
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za
Thursday, October 30, 2008
MARKETING - Duplicating Efforts
MARKETING - Duplicating Efforts
I am no expert on marketing – that said, common sense and logic must tell you that most marketing techniques have already been tried and tested through time.
I am pretty sure that many people will tell you that it is really important to be innovative and creative with respect to your marketing efforts.
To add to that I am also pretty sure that you are hugely excited about your very new and unique widget and/or product, or if your widget and/or product is not new, the unique spin on why your product and/or service is different and why people should your product and/or service rather that anyone else’s.
It is really very easy to get caught up in the hype and the emotional excitement of the whole thing, but the bottom line is that your focus should be on the results that come out of the marketing.
Whilst it is not a good idea to copy other brands out there (you won’t see Pepsi doing the exact same marketing as Coco Cola, for example), it would be a good idea to have a look at the basic idea of your competition are doing. Look at the structure of the marketing exercise and what kind of campaign they are using. What does the advertisement do and who is the target market? Is the advertisement appropriate to the target market and so on. So you can use the same kind of formula as the basis for thinking out and developing your own strategy.
So the better idea for great marketing is not trying to ‘fry your brain’, to think of new and innovative ways in which to market yourself and/or your product – but to use the old and trusted methods of marketing.
Keep your focus on the results and choose a winning formula as apposed to a wildly creative formula as your marketing approach of choice.
Wednesday, October 29, 2008
THE POWER OF NETWORKING - PART 85
THE POWER OF NETWORKING
PART 85
By Nikki Viljoen of N Viljoen Consulting CC
Strange as it may seem – well to me anyway, many people who go to Networking events, really don’t understand how to Network or even what their objective is.
Most people usually join or attend a networking event in total desperation. It’s often the ‘last ditch’ effort to keep their businesses alive.
That is not necessarily a bad thing, as long as they then Network effectively.
The problem arises of course, when they come purely to sell their widget and/or service and that is all that they are focused on.
Sadly at this point all that happens is that they foist their attentions on everybody at the meeting and/or event, telling those that are polite enough to listen, how wonderful said widget and/or service is.
Please believe me when I tell you that this is not going to work and they will leave, sadly disillusioned about Networking and Business and probably life in general too.
Networking is not just telling people what you have to offer – it is also about listening to what other people have to offer. It’s about asking questions in order to understand what the other person does so that you can see who to refer them to. It’s about answering questions, openly and honestly so that the other person can understand what you do in order for them to refer you to others.
It’s about building relationships.
If you go to a Networking event purely to sell – you will fail!
I go to Networking events to meet people who are like minded and who are serious about business, and who want to form collaborations or engage in dialogue to explore opportunities that are mutually beneficial.
I go to Networking events to develop relationships that I know will bring about a lot of work for me and for everyone else in my ‘circle of influence’.
Why do you go to Networking events?
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za
PART 85
By Nikki Viljoen of N Viljoen Consulting CC
Strange as it may seem – well to me anyway, many people who go to Networking events, really don’t understand how to Network or even what their objective is.
Most people usually join or attend a networking event in total desperation. It’s often the ‘last ditch’ effort to keep their businesses alive.
That is not necessarily a bad thing, as long as they then Network effectively.
The problem arises of course, when they come purely to sell their widget and/or service and that is all that they are focused on.
Sadly at this point all that happens is that they foist their attentions on everybody at the meeting and/or event, telling those that are polite enough to listen, how wonderful said widget and/or service is.
Please believe me when I tell you that this is not going to work and they will leave, sadly disillusioned about Networking and Business and probably life in general too.
Networking is not just telling people what you have to offer – it is also about listening to what other people have to offer. It’s about asking questions in order to understand what the other person does so that you can see who to refer them to. It’s about answering questions, openly and honestly so that the other person can understand what you do in order for them to refer you to others.
It’s about building relationships.
If you go to a Networking event purely to sell – you will fail!
I go to Networking events to meet people who are like minded and who are serious about business, and who want to form collaborations or engage in dialogue to explore opportunities that are mutually beneficial.
I go to Networking events to develop relationships that I know will bring about a lot of work for me and for everyone else in my ‘circle of influence’.
Why do you go to Networking events?
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za
Tuesday, October 28, 2008
PREPARE YOUR BUSINESS FOR SALE - The Grape and The Watermelon
PREPARING YOUR BUSINESS FOR SALE
The Grape and The Watermelon - by Mark Corke
Good Morning Bloggers
For a while, with his permission, I will be posting articles from Mark Corke of Suitegum.
Mark is a Business Broker, who writes articles on, and runs seminars on “Preparing you Business for Sale”. Should you wish to register for some of Mark’s free articles and tips, Here is the link.
Both Mark and I are of the opinion that ensuring that your Business is Prepared for Sale at all times will ensure that your business always commands the highest value. It actually increases the value of your Business quite considerably.
I watched my nephew reach for the last grape on the plate that had a little earlier held bunches of the fruit. His sister stretched across and took the grape from under his nose. .
Just then my sister came out of the house with a very large watermelon. The grape was forgotten as both kids moved from one leg to the other, little hands clasping the edge of the table as the giant fruit was sliced thickly and then further dissected, the juice running off the cutting board and soaking into the table cloth. The kids ran skipping and laughing into the garden, each with a handful of the sweet juicy pink flesh. Both were happy and satisfied. And when we left that evening, watermelon was left over, everyone having had their fill.
Chin dripping wealth
It makes me think of how many small businesses remain small and stuck in a rut because the owner is hell bent on being the owner of the grape, sharing with nobody, but hoping that by some miracle this grape of his will transfer into a plum or even a peach.
I have been doing some sitting with a small business of late. Actually I sit with a lot of small businesses, but this one in particular is about to make the transition from peach to watermelon, having recently grown from juicy grape. How so?
A little while back we were asked to sell the business. Through our investigations into the value of the entity, it became obvious that although the business had been enjoying a tremendous growth, it could not do so any longer without significant investment. And so our approach to various purchasers includes telling them that they should be prepared to invest several millions, over and above the purchase price.
There are half a dozen interested parties, all looking at different options based on a common theme: The owner likes his business and wants to stay on board as an employee. The business is profitable, but reinvests most of its profits each year into its own growth. The business is well established in its own vertical market, but cannot break into other markets because of a poor empowerment scorecard. The owner wanted originally to sell all his shares, but has realized that a bigger future awaits him if he retains his shareholding to some extent.
And that is the key: If he remains a shareholder and director in the business, he will transfer his whole peach into a chunk of watermelon which he will be able to finish only with great greed.
Retaining the shareholding and a directorship provides the investor with a stable platform going forward. A dedicated part owner employee, if you want. But not any run of the mill employee; rather one who shares a common goal with the investor – maximise profits to grow the underlying value of the business as a whole.
And so they will become partners in a business, one who understands the intricacies of the industry, based on decades of experience, and another who is able to bring professional systems, cash flow, and door opening contacts in other markets. In addition the business will have a war chest which it will be able to use to make strategic acquisitions from amongst its suppliers, customers or even competitors.
In the meantime the seller becomes a director and in fact remains as managing director, meeting with his new directors on a monthly basis to review the management accounts, and plot the way forward towards a common goal of maximising their wealth.
Finally the plan comes together our friend when the investor exits in three or four years’ time. At that stage the business will be worth four times its current value, making his share then much more valuable than the whole he has today. And that will be a real retirement gift!
Too many South African sellers of businesses are hell bent on an “all or nothing” strategy, when a bit of patience is able to produce the real fruits of success at a time when years of seller experience can complement buckets of resources to produce real wealth. The short sweetness of the grape or the luscious juicy chunk of watermelon? Your call.
Cheers
Mark Corke
The Grape and The Watermelon - by Mark Corke
Good Morning Bloggers
For a while, with his permission, I will be posting articles from Mark Corke of Suitegum.
Mark is a Business Broker, who writes articles on, and runs seminars on “Preparing you Business for Sale”. Should you wish to register for some of Mark’s free articles and tips, Here is the link.
Both Mark and I are of the opinion that ensuring that your Business is Prepared for Sale at all times will ensure that your business always commands the highest value. It actually increases the value of your Business quite considerably.
I watched my nephew reach for the last grape on the plate that had a little earlier held bunches of the fruit. His sister stretched across and took the grape from under his nose. .
Just then my sister came out of the house with a very large watermelon. The grape was forgotten as both kids moved from one leg to the other, little hands clasping the edge of the table as the giant fruit was sliced thickly and then further dissected, the juice running off the cutting board and soaking into the table cloth. The kids ran skipping and laughing into the garden, each with a handful of the sweet juicy pink flesh. Both were happy and satisfied. And when we left that evening, watermelon was left over, everyone having had their fill.
Chin dripping wealth
It makes me think of how many small businesses remain small and stuck in a rut because the owner is hell bent on being the owner of the grape, sharing with nobody, but hoping that by some miracle this grape of his will transfer into a plum or even a peach.
I have been doing some sitting with a small business of late. Actually I sit with a lot of small businesses, but this one in particular is about to make the transition from peach to watermelon, having recently grown from juicy grape. How so?
A little while back we were asked to sell the business. Through our investigations into the value of the entity, it became obvious that although the business had been enjoying a tremendous growth, it could not do so any longer without significant investment. And so our approach to various purchasers includes telling them that they should be prepared to invest several millions, over and above the purchase price.
There are half a dozen interested parties, all looking at different options based on a common theme: The owner likes his business and wants to stay on board as an employee. The business is profitable, but reinvests most of its profits each year into its own growth. The business is well established in its own vertical market, but cannot break into other markets because of a poor empowerment scorecard. The owner wanted originally to sell all his shares, but has realized that a bigger future awaits him if he retains his shareholding to some extent.
And that is the key: If he remains a shareholder and director in the business, he will transfer his whole peach into a chunk of watermelon which he will be able to finish only with great greed.
Retaining the shareholding and a directorship provides the investor with a stable platform going forward. A dedicated part owner employee, if you want. But not any run of the mill employee; rather one who shares a common goal with the investor – maximise profits to grow the underlying value of the business as a whole.
And so they will become partners in a business, one who understands the intricacies of the industry, based on decades of experience, and another who is able to bring professional systems, cash flow, and door opening contacts in other markets. In addition the business will have a war chest which it will be able to use to make strategic acquisitions from amongst its suppliers, customers or even competitors.
In the meantime the seller becomes a director and in fact remains as managing director, meeting with his new directors on a monthly basis to review the management accounts, and plot the way forward towards a common goal of maximising their wealth.
Finally the plan comes together our friend when the investor exits in three or four years’ time. At that stage the business will be worth four times its current value, making his share then much more valuable than the whole he has today. And that will be a real retirement gift!
Too many South African sellers of businesses are hell bent on an “all or nothing” strategy, when a bit of patience is able to produce the real fruits of success at a time when years of seller experience can complement buckets of resources to produce real wealth. The short sweetness of the grape or the luscious juicy chunk of watermelon? Your call.
Cheers
Mark Corke
Monday, October 27, 2008
MOTIVATION - Keep Going
MOTIVATION – KEEP GOING
By Nikki Viljoen of N Viljoen Consulting CC
It is said that you can keep going long after you think you can’t!
So many times we have heard, and no doubt said ourselves – “I just can’t go on anymore!” Sound familiar? Yet somehow we always do.
From my own perspective it is at these times that I understand that I need to ‘step back’ from the situation, remove the emotion and the drama, the perceptions and the expectations and look at the cold hard facts.
Often it is my perception that has become skewered by the what is happening around me. Often I am just too close to the issues and have lost my focus or have become caught up in the emotions of those around me.
I am sure that I am not the only Small Business Owner out there (SMME) who loses focus from time to time and this is not a good thing for any individual.
We constantly worry about deliverables, cash flow, stock, clients who don’t pay or clients who can’t seem to make up their minds. Then there are the clients who want nothing, but then at the 11th hour expect you to perform near miracles to get the work done on time. Sourcing new clients and accommodating old ones can take the steam out of any engine and as people who perform all the tasks in our businesses, it is easy to forget, just for a moment you understand, that we are not superman or superwoman, but in fact ordinary men and women who have decided to live extra ordinary lives.
So when everything becomes over whelming and the walls start closing in – take some time out – even if it is only half an hour. Get out of the office or the store. Get up off you chair, switch the phone off, walk away from the computer. Brew yourself a great cup of coffee, take a walk or even a long bubble bath and just relax. Re-group and then go back to the problem at hand.
Many times, quite miraculously a solution will have appeared. You will be surprised just how often, when you think that you just cannot go on, that something, someone intervenes and life becomes sweet and full of promise.
Remember, always have fun and never give up on your dreams!
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za.
Friday, October 24, 2008
WHAT TO DO WHEN . . . . You Are Not Sure About Workmen's Compensation? - Part 2
ARTICLE 14
WHAT TO DO WHEN . . . . You Are Not Sure About Workmen’s Compensation? – Part 2
By Nikki Viljoen – N Viljoen Consulting CC.
So now you have registered and as required you need to send in your ‘Return of Earnings’ – what on earth is that.
You see, unlike most of the other ‘insurance’ legislated requirements, Workman’s Compensation is calculated and paid for on an Annual Basis. Let’s have a look at the requirements.
When are employers required to submit their return of earnings?
The W.AS 8 is the form that deals with the Return of Earnings, and this must be completed and submitted by no later than 31st March each year. Once again the form can be downloaded from the Department of Labour site at http://www.labour.gov.za or from me (mail me on nikki@viljoenconsulting.co.za).
The return has to include, but not be limited to the following information:
- The amount of earnings paid by the employer to their employees, during the period from the 1st day of March the preceding year, up to and including the last day of February the following year. In other words it works exactly along the same dates as the tax year. For example on the 31st March 2009, the amount of earnings paid by the employer during the period 1st March 2008 to 28th February 2009.
- Should the employer have opened the business between these date as ‘estimate’ needs to be submitted.
- In all instances the Accountant must sign off to indicate the correctness of the information.
- Should the employer have more than one business or more than one premises, the Commission may require the employer to issue separate returns for each place or type of business.
- Any other information required by the Commission.
The amount that is required to be paid is based on an Assessment fee.
What is an Assessment?
The salary bill, together with the Assessment tariff will produce the Annual Assessment fee.
Let me back it up for a moment.
Logic will tell you that someone who works in an office, quietly without having to drive around or be exposed to dangerous chemicals etc will have far less chance of getting hurt at work than say someone who drives a Construction Crane or who works at a Chemical Factory. So there are different tariff’s for different jobs and they are based on the risks associated with the type of work that is being done.
The Assessment fee is calculated by the following formula.
Assessment fee = total workers’ pay, divided by 100 multiplied by the assessment tariff.
Logic must also tell you that there are many individual types of jobs that are exempt from being assessed as they carry very little if any kind of risk.
Who is exempt from being assessed?
In terms of the Act, the following institutions are not required to be assessed. These are, but not limited to:
“
· National and provincial spheres of government, including parliament;
· A local authority who has obtained a certificate of exemption from the Workmen’s Compensation Act;
· A Municipality that has received an exemption;
· An employer who has, with the approval of the Director General, obtained from a mutual association a policy of insurance for the full extent of his potential liability in terms of the Act for all employees employed by him.”
Well I say that is pretty clear – so if you employ anyone, including yourself, and you wish to become exempt – you have to apply and receive a certificate evidencing the exemption. Exemption is not automatic.
Next week we will have a look at when the Commissioner vary the tariff of assessments, when the employer must pay and ‘how to’ pay.
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za
WHAT TO DO WHEN . . . . You Are Not Sure About Workmen’s Compensation? – Part 2
By Nikki Viljoen – N Viljoen Consulting CC.
So now you have registered and as required you need to send in your ‘Return of Earnings’ – what on earth is that.
You see, unlike most of the other ‘insurance’ legislated requirements, Workman’s Compensation is calculated and paid for on an Annual Basis. Let’s have a look at the requirements.
When are employers required to submit their return of earnings?
The W.AS 8 is the form that deals with the Return of Earnings, and this must be completed and submitted by no later than 31st March each year. Once again the form can be downloaded from the Department of Labour site at http://www.labour.gov.za or from me (mail me on nikki@viljoenconsulting.co.za).
The return has to include, but not be limited to the following information:
- The amount of earnings paid by the employer to their employees, during the period from the 1st day of March the preceding year, up to and including the last day of February the following year. In other words it works exactly along the same dates as the tax year. For example on the 31st March 2009, the amount of earnings paid by the employer during the period 1st March 2008 to 28th February 2009.
- Should the employer have opened the business between these date as ‘estimate’ needs to be submitted.
- In all instances the Accountant must sign off to indicate the correctness of the information.
- Should the employer have more than one business or more than one premises, the Commission may require the employer to issue separate returns for each place or type of business.
- Any other information required by the Commission.
The amount that is required to be paid is based on an Assessment fee.
What is an Assessment?
The salary bill, together with the Assessment tariff will produce the Annual Assessment fee.
Let me back it up for a moment.
Logic will tell you that someone who works in an office, quietly without having to drive around or be exposed to dangerous chemicals etc will have far less chance of getting hurt at work than say someone who drives a Construction Crane or who works at a Chemical Factory. So there are different tariff’s for different jobs and they are based on the risks associated with the type of work that is being done.
The Assessment fee is calculated by the following formula.
Assessment fee = total workers’ pay, divided by 100 multiplied by the assessment tariff.
Logic must also tell you that there are many individual types of jobs that are exempt from being assessed as they carry very little if any kind of risk.
Who is exempt from being assessed?
In terms of the Act, the following institutions are not required to be assessed. These are, but not limited to:
“
· National and provincial spheres of government, including parliament;
· A local authority who has obtained a certificate of exemption from the Workmen’s Compensation Act;
· A Municipality that has received an exemption;
· An employer who has, with the approval of the Director General, obtained from a mutual association a policy of insurance for the full extent of his potential liability in terms of the Act for all employees employed by him.”
Well I say that is pretty clear – so if you employ anyone, including yourself, and you wish to become exempt – you have to apply and receive a certificate evidencing the exemption. Exemption is not automatic.
Next week we will have a look at when the Commissioner vary the tariff of assessments, when the employer must pay and ‘how to’ pay.
Nikki is an Internal Auditor and Business Administration Specialist who can be contacted on 083 702 8849 or nikki@viljoenconsulting.co.za
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