Server: Netscape-Enterprise/2.01 Date: Thu, 18 Dec 1997 12:33:24 GMT Accept-ranges: bytes Last-modified: Mon, 15 Dec 1997 12:00:01 GMT Content-length: 11399 Content-type: text/html NationsBank Small Business Tips
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Partner Up
Partnering is a good small business growth strategy. But, it's not a quick fix for your ills. It's a long-term visionary strategy that you and your company must commit to. Here's a checklist to ensure partnership success:
  • Does this potential partner have an equal amount to offer the partnership?
  • Is their customer base as large or larger than yours?
  • Do they reach customers during your slow time?
  • Do they have resources you don't have - for example, database retrieval capabilities? Or an expert who can demonstrate your product with theirs?
  • Are they willing to sign a contract/agreement that explains the details of the partnership and how the partnership will be dissolved if it is not mutually satisfactory?


  • Hiring A Consultant
    If you're planning to hire a consultant to help your company, here are a few points to consider when you draw up a contract or "letter of agreement":
  • Who does the contract apply to? The legal names of both parties should be listed.
  • What services will be done? Make sure the consultant's duties are spelled out very specifically. If it's vague, you might not get what you want - only what the consultant thinks you want.
  • Term of service. Start and stop date of consultant's service should be given.
  • Fees and payment schedule. The letter should list the base fees and incentive payments, if any, that the consultant will be paid. Also list the agreed-upon payment dates.
  • Expenses. Decide if you will pay for related expenses in addition to the service fees, then put it in writing.
  • Support services. If you agree to provide office space, secretarial assistance, telephone service and other aids, put it in the contract.
  • Have an attorney review the final document. You'll want to make sure everything in the document is legal before you let your consultant review and sign it. The attorney may also suggest needed clauses, such as consultant's employment status, consultant's use of subcontractors, and confidentiality of your business practices and client lists.

  • Looking For Location
    If you're thinking of moving your business, choosing your new location may be your toughest decision. Here are tips to help you select the best site from your customers' or clients' perspective:
  • Know your target market - what products will you sell, and to whom will they appeal? Plan your location accordingly.
  • Visibility. Find a place where your business will stand out. Avoid being too close to a larger business like a department store - you might live off the overflow, or you might be ignored.
  • Know the competition. Research the neighborhoods you're considering. See if there are existing businesses providing exactly what your business will; see if there are other businesses doing unusually high sales in an area that isn't their specialty but would be yours. Also consider the possibility of future competitors moving into your area.
  • Be aware of future development. Make sure that the neighborhood won't undergo a major change that will take away most or all of its benefits. Conversely, a not-so-appealing area might be a gold mine if it is slated for re-development.
  • What's the area's image? The location should fit your budget and company image. Being in too-expensive an area can kill your bank account; placing your business in a "unique" location can make it stand out from the other companies.
  • Convenience. Is the location easy to find? Is there plenty of parking? Is it easy to access from the street? Take note of landmarks that will make it easy for you to give directions, and easy for customers to get to your front door.
  • Consider size and cost of space. Consider the room needed by your employees to work efficiently, the records, equipment and inventory you have to house, and the overall visual effect you want the place to have on customers. A space that's too large can make the store look empty even when fully stocked; a jam-packed building is an eyesore and a customer turnoff.
  • Consider neighboring businesses. Locate near complementary - not competing - businesses or services. Locating near certain businesses can increase your exposure to potential customers.
  • Review your lease. Before committing to a location, consider how long the space has been empty and who occupied it last. Check with building and fire inspectors to see if the place has been cited. Make sure heating, air conditioning, interior and exterior lighting, and the roof are all in good, working condition.

  • Stay Calm
    Problems are bound to develop in any busy establishment - conflicts between employees or between employees and customers or clients. Staying cool under fire provides a perfect opportunity to get to the bottom of a situation. People need to work through their emotions before they'll listen to what you have to say. Before you can suggest a resolution:
  • Find out what caused the conflict from the other person's perspective.
  • Don't interrupt or show emotion.
  • Listen patiently and attentively.
  • Don't get overheated or lose control.
  • Choosing A Medical Plan
    Getting ready to offer medical insurance to your employees or switch carriers? Here's information to help you pick a plan:
  • What does your work force look like? Insurance rates are based on your employees' demographics - age, gender, dependent status and medical history - and upon your line of business.
  • How much do you want to spend? Decide what portion of medical coverage your company will pay and what part will be the employees' responsibility.
  • What level of benefits will you provide? Will you provide full coverage, minimal coverage, or somewhere between? Remember - the better the coverage, the lower your employees' deductible. You might consider working with an insurance broker for quotes.
  • What type of health care plan? You have four choices: a Health Maintenance Organization (HMO), with a select group of physicians for your employees; a Preferred Provider Organization (PPO), with a wider range of physicians, more paperwork and higher employee deductible; a Point of Service plan (POS), which is like an HMO but with a wider network of doctors and higher deductible; or a Medical Savings Account (MSA), in which employees contribute to a savings account set up by the employer specifically for medical purposes.

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