Tradeshow Tip!

Use these helpful tips to make your time at the JAX Chamber Annual Trade Show on April 23rd a success!

The Ultimate Greeting–Your Handshake

By Carolle Vargas

We all know how important first impressions are: how we carry ourselves, our body language, dress, and appearance. When you meet someone for the first time, you are assessed before you utter a word. What people see, hear, feel and, yes, even smell, impact their first impression of you. All of this information is downloaded in seconds, and is not easily erased, if at all.

The handshake is a personal thing because we actually touch someone—the only time in business we actually touch another person. This ultimate greeting is conveyed with warmth and respect.

Be prepared. Your handshake is an extension of your personality. Polish this skill and truly shine when you present yourself.

8 Tips for a Great Handshake:

1. Be genuinely pleased to meet, greet, and shake hands. People see these sincere feelings in your eyes and smile, and they hear it in the words you use to greet them. Letting your eyes fall away while greeting with a handshake implies that you are not interested or something else is more important. It is disrespectful and people never forget how they feel when this happens. Anything missing from this important presentation will diminish, if not prevent, a great first impression.
2. Be prepared to offer your hand first. Keep your right hand free and ready. Business events are gender neutral; no need to see if a woman offers her hand first. Women, this is no time to be demure. Get your hand out there! Be aware of cultures where handshaking is not customary.
3. Squarely face the person you are greeting. Obtain a solid grasp by extending your hand–fingers forward and straight, thumb pointing to the ceiling. Aim for the palm of the hand and connect web to web (that space on your hand between your thumb and forefinger). Apply firm, but gentle pressure. Give two quick shakes from the elbow and release.
4. Take a cue and determine the best time to release if the person you are greeting lingers for a moment before releasing your hand. Remember, it’s just creepy to hang onto a hand too long.
5. Move around any obstacles so nothing stands between you and the person you are greeting. This gesture tells others they are important to you, and will win you points!
6. Shake hands when saying goodbye. Say a few words such as: great talking to you, it’s been a pleasure to meet you, hope we can meet again. Use warmth in your voice and eyes and you will be someone people will look forward to seeing again—soon.

Don’t Be This Person:

1. Bone crusher: this is not a sporting event or contest of strength. Not nice.
2. Dead fish: limp hands, fingers only, or otherwise wimpy handshake. Yes, it is perceived as wimpy.
3. Two-handed or gloved handshake: okay to use only when offering condolences. This can appear patronizing and will diminish your credibility. Best left to religious leaders and politicians.

Keep These Important Points in Mind:

• Hands Must Be Clean, Groomed, Warm, and Dry:

1. Clean hands are expected unless you are in the middle of a project that has you in dirt, grease, bread dough (hey, it could happen!), or the like. Not only should hands be clean for aesthetic purposes, but also for health reasons. Seeing someone sneeze into his or her hand and then offer a handshake is… well… disgusting. Clean includes fingernails.
2. Groomed hands mean hands that are manicured, professionally or done at home. If you have a condition that lends to warts or other scabs (yuck!), seek remedies, as these are definite turnoffs. Be sure nails are trimmed and hands are moisturized.
3. Warm hand, cold heart–or is it cold hand, warm heart? I say warm hands feel good! Unless you have just come out of the cold, be sure to offer up warm hands. That means keeping cold drinks (which also make your hands wet) in your left hand.
4. Dry hands are up there with warm hands. A wet handshake is as welcome as the “dead fish” handshake. Wet hands can come from cold drinks, ineffective hand drying, or excessive perspiration. Carry cold beverages in your left hand and grab an extra towel to ensure dry hands. If your hands tend to perspire, consider applying antiperspirant to your palms before an event.

• Rings: Zealous handshakes can make for painful handshakes when wearing overly large or multiple rings.
• Injuries: Shaking hands with someone wearing a cast or bandage is awkward and can be a turnoff. If your right hand is injured, offer your left hand. The other person will understand and appreciate the gesture. They will also be happy to not worry about hurting you.

Carolle Vargas is a business etiquette and international protocol consultant and owner of Your Etiquette Style. She is certified by The Protocol School of Washington®.  With more than 20 years in the customer service and training industry, Carolle brings to her clientele in-depth knowledge on what it takes to stand out in today’s market.

Carolle has extensive experience in the telecommunications industry where she developed and presented seminars in leadership and coached management teams. She worked domestically and internationally with colleagues and clients to promote successful and profitable relationships.

Top Five Things You Can Do to Legally Protect Your Company

By Jennifer A. Mansfield

Social media has had a vast and positive effect on business marketing. A quick tweet or Facebook posting can reach billions of consumers at almost no cost to the company.

Below is a list of the top five things your company can do to protect itself legally in this new communications world. This list is by no means comprehensive. But it can provide a useful jumping off point for getting your legal social media house in order–and potentially saving your company millions in liability.

1. Have a Security Plan–and Follow It.

New media present new means for a company’s employees, through wrongdoing or inadvertence, to release confidential or sensitive information. Hackers are also a constant threat. The improper release of confidential information can lead to unwanted publicity and legal exposure. Make sure your computer data is protected.

The FTC has taken the position that if a company is not taking reasonable steps to protect personally identifiable information (PII) in its possession, it is participating in a deceptive act under federal law. Are your company’s data–including laptops–encrypted? If the PII of your customers is too easy to access, you may be facing the FTC in the future.

Thus, due diligence in selecting and monitoring your IT security vendors is essential. Establish policies on how PII is handled and be sure the policies are followed. Technology continues to evolve at a rapid pace. Consequently, your company should review its IT systems and vendors on a regular basis.

2. Have an Emergency Breach Plan.

Notwithstanding all the efforts your company may make, hackers will always exist and people will make mistakes. Since a good defense is often a good offense, the company should plan for the worse case scenario–a breach. The plan should include a checklist of who should be contacted internally at the company, and who legally needs to be contacted outside the company. Create an emergency response team, including key personnel from IT, risk management, legal, and PR. Have key contractors in place BEFORE you need them, and a list of critical steps that must be taken to both mitigate the breach and complete the required legal notifications.

Having a plan developed before a breach could save both time and money later in the event a breach occurs.

3. Have Terms of Use and Privacy Policies for Your Websites.

Government regulations concerning advertising or communicating to others via social media can impose restrictions and regulation, as well as safe harbors from liability. Terms of Use and Privacy Practices govern not only how your company interacts with its website users, but are also tools to ensure that your company is complying with applicable regulations.

When drafting Terms of Use or Privacy Policies, keep in mind that according to the FTC, your Terms of Use and Privacy Policies are contracts between you and your website users. So, be honest and realistic. It might sound like great advertising to boast that you have the most up-to-date data security programs and procedures to protect your clients’ data, but is that a promise you can keep? How often would you be required to buy more software or hardware to keep that promise? If you have a breach, would an investigator conclude that your system was the “most up-to-date” available at the time of the breach? Terms of Use and Privacy Policies are not marketing tools; they are contracts. Careful thought must be taken when deciding what a company can promise to its social media users.

4. Have Employment Policies That Address Social Media

Employers are increasingly using social media to support their recruitment efforts and to research job candidates. But sometimes employers will receive information via social media that they cannot lawfully consider when hiring, such as race or religion. If the employer receives that information anyway, it must take steps to ensure that it does not base hiring decisions on the protected status. Company policies should be implemented setting out what information can be considered when hiring, and whether or when an Internet search will be conducted on candidates.

Social media posts on company sites also provide fertile fodder for disparate treatment claims. A mid-level manager’s discriminatory animus or statements could support a discrimination claim against the company. While employers should not be held liable for comments made on non-work related social media sites they don’t know about, they are potentially liable when they learn about harassing posts, but do nothing to stop the conduct.

Workplace use of social media can also bring federal labor law claims. Even in right-to-work states like Florida, the law protects employees’ discussions of the “terms and conditions of employment.” For this reason, the National Labor Relations Board has ruled in a number of cases that employers have violated the National Labor Relations Act by firing employees for their social media posts reacting to the terms and conditions of their employment. Likewise, the NLRB has found employee policies that violate the act when they can be interpreted to prevent or punish employees for speaking about the terms or conditions of employment with their coworkers. Therefore, even non-unionized companies should consult an attorney before firing someone over a social media post or implementing social media policies.

Companies should implement clear policies that address which employees can use social media in the workplace, what types of materials they may post, and that the company expects all employees to safeguard proprietary and private information at all times.

Employee policies should also include the proper use of intellectual property. Many people have the mistaken impression that if they find a photograph or video on the Internet, it’s okay to reuse it. But the copyright to any creative work on the Internet presumptively remains the property of the creator or the creator’s assignee. Companies, therefore, need to be careful before lifting material off the Internet and using it for themselves.

5. Train Your Employees Regularly

The above steps will be meaningless without training your employees. Company managers should be trained in employee privacy rights, laws against discriminatory communications in the workplace, federal labor relations laws, and other legal issues protecting employee communications. Appropriate Internet use on company time should become a regular part of new-employee training, and should be reinforced through company in-services and written internal communications.

With proper training and risk management, social media can provide a low-cost and reasonably safe environment for companies to expand their businesses and engage their consumers.

By Jennifer A. Mansfield

She is with the Data Security and Privacy Team and National Media Practice Team of Holland & Knight LLP and is resident in the firm’s Jacksonville, FL office.

by Michael Jones

Expansion, prosperity, contraction, recession.  The world’s economies move in great economic cycles that have continued their pattern since markets began to form.  Expansion, prosperity, contraction, recession.  Sometimes they move quickly, at others times more slowly, but always moving.  Expansion, prosperity, contraction, recession.  As often as these cycles occur, why don’t we understand them better than we do?

Large quantities of business innovation tend to occur during times of recession more than any other time in an economic cycle.  Is that because people are more creative when everything is crashing down around them?  No.  If you look at the research, there is little to no change in the rate at which new ideas are generated over time.  So what causes innovation to occur in patterns if idea generation is relatively constant?

Why does business innovation tend to occur in patterns?

During periods of prosperity, most would expect business innovation to be at its peak: money is flowing, confidence is high. But as it turns out, reality is somewhat bleaker.  During periods of prosperity, employment is also high.  The labor markets favor the employee, and the cost of innovation is very expensive.  At the same time, goods are in demand, production schedules are maxed out, and everyone is busy.  There is no time to focus on innovation.  Then the economy changes.

The economy rolls into a period of contraction.  The money supply starts to dry up; companies become concerned about cash flow.  Labor costs are still high, but buyers are starting to cut back on their purchasing.  Profits fall rapidly.  Innovation is the first thing on the chopping block.  No one is buying anyway, why create something new?  Then the economy changes.

We slide down the slippery slope into recession.  Purchasing collapses, weaker businesses fail, stronger ones cut costs and layoff personnel, unemployment is high, labor markets crumple, capital markets are dead. More companies fail.  The companies that remain are beaten down and many are struggling day-to-day to survive.  They have tightened their belts and reduced staff to the bare minimum for keeping the doors open.  They are time-broke.  There is no one left to innovate.  However, in the midst of all of this pain, we have a group of entrepreneurs that see the world differently.  Costs are low.  Labor is cheap.  Production schedules are looser.  Innovation is on sale.  What a fabulous time to develop all those new products that, during the good times, no one ever had a moment to consider.

Another group of entrepreneurs emerges. Rather than be unemployed, theses individuals decide to follow their long-postponed dream and start their own business.  They finally have the time to focus on it and costs are low.  They pour creativity into their business, developing new products, growing slowly, getting all of the bugs worked out waiting for the perfect opening when they will make their mark on the world.  Then the ecomony changes.

The economy expands, there’s light at the end of the tunnel, hope blooms, products start selling again, consumers start seeing all of these new products on the market and excitedly purchase them, market share shifts to the innovators that have caught the market’s attention. Revenue for the non-innovators falls, business models fail, more companies collapse.  What happened?  In the middle of an economic resurgence, how can long-standing companies be run over by young startups?

Innovation!  Innovation is about moving away from the safe and comfortable past and creating your own future.  As companies and products begin to slide, you have to reinvent yourself or die.  In order to innovate, you need to break out of old patterns and change the way you think.

How can companies change the way they think?

Breaking old patterns is hard–true innovation, harder still.  However, if we are to avoid the decline into product and company death, we have to be able to embrace and drive change and innovation throughout our companies.  We must transform our business models to capture the hearts and minds of our customers.  How then do we create a culture that excels at innovation?

Reward failure.  This may seem counterintuitive, but if your employees are out pushing the limits, trying to create change and innovation, they are sometimes going to fail.  The fastest way to stifle innovation in a company is to punish failure.  No one will ever take a chance again.  Instead, celebrate failure publicly and help everyone to learn from it and not make the same mistakes in the future.  This also encourages everyone to be honest about the effectiveness of their projects so that you aren’t pouring good money into bad ideas.

Fail faster.  The faster you can identify and stop a dead-end project, the less time, money, and other resources you will waste.  This means you should be constantly assessing and evaluating whether the projects you are working on are still good prospects.  Markets change, needs change, new information is discovered during the development of a project. Any of these factors can make a project no longer viable.  This isn’t to say that when a project becomes difficult, you should stop. Just take a step back, assess and ensure that you are still on the right track.

Get outside your box.  Businesses can become inbred in their thinking.  Reviewing your business from an outside perspective uncovers ideas that would never occur to those within.  Inbred thinking has many causes, but some of the most common include:

• Promoting only from within. There are good reasons to promote from within, however, periodically bringing in fresh ideas, by hiring experienced personnel from the outside, can help companies become more innovative.
• Only hiring from within your own industry. While direct experience can cut training time and learning curves, this is because everyone in an industry tends to look at issues the same way.  Hiring experienced personnel from outside your industry will bring in innovative ideas.
• Hiring industry consultants. Bringing in cross-industry consultants, who spend a good deal of their time in other industries, can bring a new perspective to the issues you are trying to solve.
• Lack of external perspective. Innovation starts at the top.  If the top leaders of a company can gain new perspectives on how other industries are addressing similar issues, they can ask much better questions and better drive innovation at home.  Consider joining a peer advisory board.  Cross-industry advisory boards have long provided a forum for business leaders to gain constructive, innovative advice before they start spending time, money, and other resources chasing issues someone else may have already solved.

Where do we go from here?

The economy is changing continuously.  How you respond to that change will determine how well your business prospers.  As Stephen Epner (John Cook School of Business) once noted,

“If we do not change, we will fail.

If we wait to change, we can only follow.

If we embrace change, we can succeed and lead.”

Where do you want your business to be?

The economy is changing, are you?

Michael Jones is the Owner of CEO Focus of Jacksonville, which provides business coaching, professionally facilitated peer advisory boards, and other support services to the Northeast Florida business community.  Previously, Mike worked as a consultant and a coach in many different industries in both the for-profit and nonprofit communities.

By Sarah Boren

Small businesses in the U.S. spend more than $60 billion a year on energy.  30% of $60 billion is $19.8 billion dollars that could be spent elsewhere in operations, retaining or hiring new employees, or buying a more energy-efficient piece of equipment.  That is a chunk of change.

Without sacrificing service, quality, style, or comfort, small businesses can save as much money, reduce pollution, improve their bottom line, and help with energy independence, per square foot, as large corporations, according to the U.S. Department of Energy.

So how do you cut utility costs by 10-30%?  EASILY!!!

First, look at your energy consumption over the last year (preferably two years if you have the data) and begin to figure out when and where you use the most energy.  If JEA is your energy provider, all you need is your account number and an email to set up free online access on their website which connects you to two years of data with graphs under “check usages,” and a free online energy audit assessor.

Second, obtain your Energy Star (ES) number so you can understand your consumption in relation to other businesses in your sector.  You can obtain an ES number in two ways: a) ES Target Finder or b) ES Portfolio Manager at www.energystar.gov.  To learn more, attend the free greenWORKs workshops on April 25^th and May 20^th (see sidebar for more details).  EXTRA INCENTIVE BONUS: If you do steps one and two and attend a greenWORKs workshop, your company will be recognized at the U.S. Green Building Council North Florida Chapter’s Annual Awards Party on May 23, 2013!

Third, perform a basic energy audit to figure out where to focus your efficiency measures.  You can do this in two different ways: a) appoint a green champion in your office to assess your energy usage by using tools and services provided for free in the community (e.g., free energy walk-through by your utility—all utilities by law are required to offer this; check out a free Home Energy Evaluation Kit from any Duval county library that has a “how to” guide and tools like watts up meters to assess energy usage; use your utility’s online energy audit assessor; search online for how to perform your own Energy Audit) OR b) pay for a professional audit [if you are in an old building, this may be prudent in the beginning of the process because the audit will provide prioritized actions and recommendations.]

Fourth, start with easy, no/low cost measures.  While there is no substitute for a comprehensive energy audit and analysis, you can start saving right away with the following measures:

• Turn lights and equipment ALL the way off when not in use.  Sleep mode still draws energy.
• Purchase energy-efficient products like ENERGY STAR qualified office equipment.
• Install lighting occupant-sensors in proper locations.
• Tune-up heating/air-conditioning (HVAC) system with an annual maintenance contract.  This will save on average 10% on your bill a year.
• Regularly change or clean HVAC filters
• Install a programmable thermostat (~$30 at a hardware store)
• Replace incandescent light bulbs with LED (preferably) or ENERGY STAR qualified compact fluorescent light bulbs (CFLs) wherever appropriate.
• Install light-emitting diode (LED) exit signs.
• Control the direct sun through windows in both summer and winter to prevent or encourage heat gain.

Fifth, continue to measure and track energy performance.  A free and easy tool to use to measure, set goals, benchmark, and track energy use and savings is the ENERGY STAR Portfolio Manager (www.energystar.gov/benchmark).

Start saving now!

By Sarah Boren, MEM, LEED AP BD+C and LEED AP Homes

Executive Director, U.S. Green Building Council North Florida Chapter & Green Team Project

www.usgbcnf.org

By Wally Conway

In a previous life, I was a Navy pilot. It was a great life, and I worked with wonderful people who were doing brave, fantastic things around the world. In a complex and dangerous environment like an aircraft carrier, you need to have teams of people working as one, or bad things begin to happen in large quantities.

The people onboard aircraft carriers are divided into two groups: those that make the ship float and those that make the planes fly. Those that make the ship float are known as ship’s company, and those that make the planes fly are with the air wing. During one tour of duty, I was assigned to the air wing staff.  The air wing staff coordinated the activities of the ten aircraft squadrons deployed aboard the aircraft carrier. It was while working for our air wing commander, Captain Jerry Norris, that I learned what has become my most valued rule as an entrepreneur.

Jerry Norris on the day of his 1000th aircraft carrier landing.

Captain Norris was quite a character. He was a fighter pilot with all the fixings: tall, handsome, and enough confident charisma to handle any situation… in the air, on land, or at sea. But the truth was, none of the eight officers on the staff considered Captain Norris to be the sharpest knife in the drawer, including me.

It wasn’t that things were not going well for the air wing or Captain Norris. It just seemed strange that an individual so apparently simple and relaxed could lead so effectively. You must understand that Captain Norris was in charge of the operations of nearly 3,000 men and almost 100 of the most complex flying machines on the planet. But fly we did, and we did it well. Our air wing was often singled out for acts of excellence.

It was during a short visit to Cannes, France that Captain Norris was to give me my lesson. Like so many of life’s lessons, the lesson was unintended. If there is one thing that flying fellows enjoy more than flying, it’s the telling of tales while ashore. And it seems nothing gets the mind flowing like the flow of beer. Our cups runneth over, as did our mouths!

The topic of the evening turned to how smart each of us was compared to our fearless leader. We were even so bold as to assert that he was only fearless because he did not understand what was going on around him. When in fact, we did not understand what was going on around us!

The good captain had been sitting quietly within earshot, and had heard every one of our comments on his lack of intellect. And as the confident, charismatic commander approached our table, we were certain that if we were shown mercy, we would merely be court-martialed. We feared that if the captain chose not to be merciful, we would be shot right on sight!

Speaking had gotten us into this predicament, so silence seemed the best choice now.

Captain Norris spoke. He acknowledged our belief that as his staff, we had among the finest minds in the entire Navy, in our specific specialty. He complimented those things that each of us had done since beginning our assignment with his air wing. Captain Norris offered that he had hand selected each one of us from the entire fleet, having to call in favors, make threats, and impose demands, just to have each of us work with him. We were there because he believed us to be the best, and he wanted only the best.

Seems he held us in the same regard that we held ourselves.

Then, Captain Norris spoke to the issue of intellect, specifically our perception of his lack thereof. He said, “The mark of a true leader is not one who gives orders, or feigns knowledge, but rather, one who plants the needed seed in a fertile mind so gently, that the subordinate believes the idea emerged from within.”

Continued silence.

Captain Norris was in complete control of our actions and always had been. He chose each of us knowing with certainty that in our specific areas of expertise, we were well beyond him. And knowing that in his area–that of building teams of the best and brilliant and then allowing them to take ownership of ideas–he was the expert.

Captain Norris asked what we had learned. My response: “I should never hire anyone dumber than I am.”

“You’ve got it,” he said. “Must have just emerged from within.”

By Wally Conway

Wally Conway is a graduate of the U.S. Naval Academy, retired Navy Pilot, licensed contractor, home inspector, energy auditor, media expert and entrepreneur who is the founder of HomePro Inspections. He can be reached at Wally@gohomepro.com

Trademark Protection

By Jack Gibney

A common mistake among business owners is failing to protect the assets of their business. There are physical, tangible assets, and then there are the more abstract, but just as important, intangible assets. One of the most frequently overlooked intangible assets is the trademark. There are trademarks for physical items, and service marks for service companies. Oftentimes, a business will use both types of marks without realizing their importance to the overall business plan or marketing strategy.

Most business clients that I represent have a variety of different marks that they may wish to protect. Additionally, many business owners unintentionally overlook the value of trademarks or service marks, and their importance. Trademarks are typically used for marketing purposes, and are used to associate a particular product with a consumer. Iconic examples are McDonald’s, Coca-Cola, Apple, and Windows, to name just a few. These trademarks are protected to prevent competitors from piggybacking on their efforts in order to sell their product. If you engage in any type of marketing plan, you want to be sure that your competitor will not be able to use your marketing efforts to their advantage.

There are many issues related to trademarks, but trademarks are typically used to build brand recognition. If your business is to build a brand, and most businesses want to do that, then you need to at least evaluate whether or not you need trademark protection for certain items. The trademark process itself is a relatively simple one in terms of the process of protection, but the first and foremost concern is whether or not the mark that you want to use is currently in use, or is so similar to an existing mark that the consumer would be confused. Your mark may not be identical to an existing mark, but if the examiner at the Trademark Office deems it “confusing,” the mark will be rejected.

There may be two marks that are currently in use, but if they are not promoting the same product or service, they are not regarded as confusing. Two examples of this are Delta for faucets or Delta for the airline, and Trident for gum or Trident for the submarine. A third example is the trademark Trump. Donald Trump owns the word Trump that he uses for gambling services, but there is another entity that uses the word Trump for a mobile barbecue. Because the marks are directed to different groups of consumers, no confusion is likely, and the marks were both approved.

Trademarks can be a single word, a phrase, a word with artwork, a design or logo, a jingle (the NFL owns the trademark for that familiar Monday Night Football introduction), or a smell. The evaluation of whether or not a mark is deemed viable is performed through a trademark search. The vast majority of searches are currently done online, and the Trademark Office has a database you can access easily and quickly for that purpose. A search can be done literally within hours.

Once you have decided that the mark is not currently in use and not so similar to any existing marks, the Trademark Office requires that you file the mark and show how the mark is to be used. The use of the mark should be specific to a product and cannot simply be used in advertising materials. In other words, it needs to be displayed on the can of Coke or the Windows box. Additionally, another consideration in receiving a trademark is to avoid the merely descriptive or generic. As a business owner, you are attempting to create something unique; a simple, generic mark runs counter to that idea.

It is not uncommon for a business to own multiple trademarks in order to protect multiple brands or services. A trademark is theoretically valid for the rest of time, with appropriate renewals of the mark being filed. The process to register a mark usually takes between nine and twelve months.

Once a mark is approved, the owner of the mark can then require competitors who want to use the mark, or a similar-looking mark, to cease all activity related to the mark. Unlike other types of intellectual property, a mark can be in use for many years and never be registered. If you are using a mark and fail to register it, and someone decides to register the same or similar mark after you have been using it, it will most likely restrict your ability to expand the use of the mark beyond a very limited geographic area.

The Trademark Office uses its own jargon, and it is important to obtain appropriate legal advice to help in deciphering the process. It is always advisable, when considering a trademark, to get an evaluation by an experienced trademark attorney, who may suggest changes to the mark. This will prevent wasted spending on brochures or advertising material if you find out that the mark cannot be used.

L. Jack Gibney is a native to Jacksonville and attended local school.  He accepted an appointment to United States Merchant Marine Academy and graduated from that college in 1979 with a B.S. in Engineering.  After graduating from the Academy he worked as an engineer and then returned to law school.  He graduated from FSU law school in 1984. He has been a Florida Bar Member since 1984, a Georgia Bar since 1985 and a Patent Bar since 2001.  Jack has been a sole practitioner since 1988 and currently concentrates his practice in the areas of intellectual property (primarily patents and trademarks) and private adoptions.

By Marguerite Mumford

For all businesses, disaster preparation is an essential part of the overall master plan. However, putting these plans in place is challenging. Many simply think they will never face a disaster. Still fresh in everyone’s mind is Superstorm Sandy. Events like these are a huge wake-up call and underscore the importance of being prepared. In the wake of Sandy, those without a plan, who were within a half-mile of the coast where the event occurred, are unlikely to be in business any longer.

Closer to home in the Jacksonville area, businesses are under the threat of hurricanes from June through November, and severe thunderstorms anytime. There are no shortages of reasons for having a disaster plan. In most organizations, the responsibility of disaster planning falls on property or facility management. Professionals in this field need to take the lead long before disaster strikes. Often, large portions of disaster or business continuity planning efforts are aimed at ensuring the protection of electronic data files, and access to uninterrupted electricity, telecommunications, and other utilities. However, a building’s structure, physical assets, and other contents must be accounted for, as well. Proper protocols must be in place to quickly recover from any structural damage to a property portfolio. This also includes establishing relationships with individuals who are experts at stabilizing damaged buildings, and post risk management.

Such experts should be able to mobilize workers, equipment, and have self-sustained power to get businesses back in operation as quickly as possible. The rationale for this is simple—a business that is down loses revenue, opportunity, and market share. Additionally, the facility’s leadership team can be supported by large-loss emergency services professionals who specialize in structural clean up and damage repair to commercial buildings.

With close to 50 years of experience in the residential and commercial property damage restoration field, Paul Davis Restoration is uniquely qualified to assist both in the planning and recovering from disasters. According to Marguerite Mumford, owner of Paul Davis Restoration of North Florida, whose staff works with many northeast Florida businesses, “Facility managers and their teams have an important role in disaster planning and response. They should have a thorough understanding of the emergency disaster plans of their local municipality to ensure compatibility.”

Mumford has definitely seen a shift in activity when it comes to taking this issue seriously. A large amount of Jacksonville area businesses have plans in place, but there are still many who don’t. For a disaster recovery plan to be successful, Mumford recommends that facility managers complete all necessary documentation, train staff, plan for the safety of building occupants, maintain contact information for all parties involved, and understand and communicate with insurance carriers. Disasters cannot always be avoided, but with a disaster recovery plan in place, damage and harmful effects can be minimized.

For more information, contact Marguerite Mumford at (904) 739-6047 or email marguerite@pdrjax.com. Visit the website at www.pdrestorationnf.com.

Marguerite and Michael Mumford – co owners of Paul Davis Restoration of North Florida since 1.1.99 – we have grown this franchise to be one of the 10 largest in the Paul Davis network across the country. Prior to purchasing this business Marguerite was the VP of Marketing Operations with Blue Cross Blue Shield of North Carolina and also has extensive sales and marketing experience in the computer industry.   Parents of two.    With the business are actively involved in the community.

By Craig Linn Ames

The People’s Court. Florida Statutes provide for a forum to air small claims in the County Court system before a Magistrate or County Judge. Sometimes the Small Claims Court is referred to as the “People’s Court.” This term of common usage harks back to a bygone era when business transactions and disputes among neighbors could be resolved by a justice of the peace using relaxed rules of civil procedures.

Small claims court is most often used to collect a small money award or to obtain the return of property. Equitable relief is available, but it is often not requested. A party may request a trial by jury, but this is usually impractical due to the cost, time delay, and the fact that juries are more unpredictable than judges. Court reporter services can be used to preserve the record for appeal, but it is costly. Typically, in a small claim, one does not want to pay for this service. So, the consequence of foregoing a court record means that the court’s decision is not appealable as to factual issues, since there is no record for the appeals court to review.

Filing a Small Claim. A small claim is limited to $5,000. Any person who is wronged may file a lawsuit without the aid of an attorney. When a case is filed by a layperson, the judge is not allowed, by court rules, to assist parties on court procedures to be followed, presentation of material evidence, and questions of law. The court may not instruct any unrepresented party on accepted rules of law.

Awards, Legal Representation, Recovery of Costs and Fees. Due to the court formalities and rules restricting court assistance, legal representation can be important. The biggest mistake claimants make in small claims court is failing to follow the specific instructions of the judge concerning what evidence will be needed at trial. Also, there can be a fatal technical flaw in the basics of the case which includes the elements needed to be proven. Attorneys can represent a party over the phone, without appearing in court, if the judge permits. If an attorney is used, the last claim in the complaint should be for attorney fees. The claim should state the plaintiff (the party bringing the lawsuit) has retained an attorney and is obligated to pay a reasonable fee for his/her services. The court can award actual damages, costs, and attorney fees.

Decision of Bringing a Suit. One must decide if it is worth the time, effort, and cost to go through the process. A person may end up paying damages to the other side. The court can rule the other way for many reasons. A case requires evidence acceptable in court, and proof of liability under an acceptable legal theory. In more complicated theories, such as negligence or implied warranty, a person can win only if the facts fit into legal definitions of negligence or implied warranty. Contracts may limit legal rights, provide for various conditions and terms, and may limit rights as to bringing suit. Various papers may have no legal effect.

Courts may allow recovery even if papers are lost or destroyed. Witnesses must have an objective opinion for admissibility. If there is a chance the claimant will be countersued, then advice of an attorney needs to be considered. Even if a case is won, the award must be collectible and actually received from the other party. A claimant should not sue anyone unless there is a meritorious or valid claim. If a suit is filed frivolously, the other party may place a judgment against you for all of the other party’s attorney’s fees and court costs.

Craig Linn Ames has over 40 years legal experience. He holds degrees in biology & law. He is a certified Risk Manager having served as Director of Risk Management of a Fortune 50 international company. He is principal of the Stacknik & Ames Law Firm with offices in Jacksonville & Tampa. www.craigthelawyer.com

Social media can mean many things to many people, but for employers, it can be an invaluable tool… and a source of great frustration. There are more than 480 million daily users of Facebook and billions of tweets a week. With such large numbers, it is not surprising that a growing number of employers use these platforms to grow their brand, recruit new employees, and keep tabs on the competition. Unfortunately, employers are also discovering the downside to social media and the difficulties managing not only their reputation, but also employee actions on the job and online, without violating federal laws and regulations.

A Recruiting Tool
More than eight in ten Fortune 100 companies use LinkedIn to attract and recruit talent. When spread across all companies, more than 55% are using social media in their recruiting process.

Targeted recruiting, along with identifying passive candidates, is made easier with social media.  Companies also promote their cutting edge brands, and increase awareness of their organizations by developing marketing strategies geared toward new employees, using all forms of social media. Employers also increase the quality of their new employees through social media.

It might seem simple to just log on and look up a potential employee on Facebook, but there are risks that must be considered. While looking for information on the candidate, a hiring manager may come across information or photos that are not job-related. When this information is used in the hiring decision, there is a greater risk of employment discrimination. The Americans with Disabilities Act (ADA) and the Genetic Information Nondiscrimination Act (GINA) prohibit discrimination in the hiring process. The problem with social media is that this protected information can be readily available to hiring managers.

To protect themselves, some companies will use outside social media data brokers to compile and report data on candidates, removing potentially discriminatory information from the report before it gets to the employer. Another law comes into play at this point: the Fair Credit Reporting Act. These data brokers are covered under the FCRA, much like a credit reporting agencies or a third-party company performing criminal background checks. Last year, Spokeo, a data broker, was fined $800,000 by the Federal Trade Commission for failing to protect consumers (candidates for employment) as required under the FCRA. The employer also has a responsibility to inform and gain consent from the candidate prior to requesting such a report.

A Marketing Tool

Social media has also become a vital resource for companies in building brand recognition with their customers, and gaining a greater online presence. Company Twitter accounts, LinkedIn profiles, and Facebook pages have exploded. But with this growth, companies have also found that a lack of planning on the front-end can cause huge headaches when an employee leaves the company, or posts something under the company name without authorization.

Planning must begin prior to creating a social media account. Factors to consider when creating a company sponsored social media account include:

• Who owns the account—the company or the individual who created it?
• How is the password maintained and who has access to it?
• Who is authorized to post under the account name?
• Who has access to the list of “followers,” “likes,” and “connections?”

Jumping into the social media realm without thinking through these issues can create a monumental public relations nightmare. Take the company PhoneDog, for example. A Twitter account was created by an employee, who used his name and the name of the company in the Twitter handle. This employee did a great job of building a following online for the company, and grew his number of followers to over 17,000! (Don’t we all wish we could do that?)

As sometimes happens, this employee left the company, and in the process, took his Twitter account and 17,000 followers with him. The company demanded the account password and access to the account, but the employee refused. PhoneDog then sued the former employee claiming:

• Misappropriation of trade secrets (taking the password)
• Conversion (another term for theft—claiming the list of 17,000 followers was a customer list)
• Tortious interference with prospective advantage (intentionally damaging the company).

The problem was that when the account was created, there was no policy about who owned the account, who had access, and what happens to the account if the employee leaves. The employee who managed the account claimed the account was a personal account and the company had no right to the account, the password, or the list of followers.

After sitting in the courts for a couple years, it was finally settled out of court for an undisclosed sum, but not until after a great deal of money was spent by both sides in attorneys’ fees. By the way, the employee’s list of followers has since grown to over 23,000 (under a new Twitter handle).

A Social Interaction Tool

According to a report last year by Proskauer Rose LLP, 52% of employers allow their employees to access social media sites (for non-business use) while at work. However, reports from the Society for Human Resource Management indicate that less than half of employers have a formal social media policy.

Without clear direction and guidelines, employers increasingly find themselves battling not only employees, but also federal agencies such as the National Labor Relations Board (NLRB). Employers can limit their employees’ access to social media when using company owned equipment. However, when they do allow it, and when an employee accesses social media on a personal device and off the clock, restricting what an employee can and can’t say is difficult at best.

The NLRB protects employees’ rights under the National Labor Relations Act, particularly in Section 7. Among other things, this section allows employees to discuss among themselves the working conditions at a company, also known as Protected Concerted Activities.

When an employer reads that two employees are talking about their salaries, or the hours they have to work, on a Facebook post, and then takes disciplinary action against those employees, he or she has probably violated these Section 7 Rights. The NLRB has taken a harder stance against employers when it comes to social media and the policies employers create.

Protecting the Company

It is becoming more difficult for employers to protect their own brand and image, but there are steps companies can take to reduce the risks.

First is to establish a social media plan. This plan should involve more than just the marketing department, but also human resources, and legal counsel. The reach of social media has an impact much greater than simple Facebook posts and promoting new products.

Second, create a social media policy. This policy should discuss employer monitoring of accounts, what is confidential, the privacy of others, ownership of the online identities, rules and guidelines about using the company sponsored accounts, how to report violations, and a disclaimer about the employees’ rights. This policy won’t mitigate the intent of Section 7 of the NLRA, but it can be effective if developed the right way and uses the right language. Of course, these policies should be reviewed by a professional, and should be updated as the laws and regulations become more clearly defined.

Social media has become a strategic and integral part of business. By developing a plan and clearly outlining and communicating a social media policy, employers can minimize their risks, and instead focus on the benefits of their new online presence.

Chad V. Sorenson, SPHR, is President of Adaptive HR Solutions and a Co-Founder of Talent Development Inc.  He works with organization to grow leaders and develop their workforce.  Chad is also President Elect of SHRM Jacksonville and can be reached at csorenson@adaptivehrs.com.

Small business will explode! Is your culture ready?

By Bob McKenzie

Many years ago, I saw a training video in which the moderator introduced himself as a “Futurist.” Instead of watching and listening to the video, my mind was then consumed by how I could get such a job. Now, about twenty years later, I remember the job title of the moderator, but nothing about the topic of the video. And with an extra twenty years of experience, I think I have a good idea of how the future of business will be.

The deep recession of the past five or six years has resulted in many businesses changing their direction or focus. “Too big to fail” is slowly but surely turning into “too big to work for.” Disenchanted with big business, many people are looking to either start their own business or work for smaller companies where their contributions are more visible. Many are staying away from the behemoth corporations all together. They are attracted to small firms where they have more of a feeling of being in control of their destiny. In addition, small business owners are typically much more passionate about their work, and put their heart and soul into it— every day of the week and every hour of the day. We all like to work for passionate people.

Therefore, my prediction is that small businesses will flourish, and we will see this change very soon. We are already seeing a significant uptick in small businesses being formed. Small businesses have always led in the creation of new jobs in the country, and they will be the catalyst that will drive the unemployment numbers down throughout the rest of the year and beyond.

Changes in the Demands of the Workforce— It’s All About the People

Many think it is our product or service that generates money. Nothing can be further from the truth. It’s the people we employ who will make us succeed.  It’s about the culture of our organization; one that demands respect, open communications, and a little flexibility.  In today’s business world, employees will stay and grow with an organization where they feel comfortable, have fun, and enjoy a feeling of independence, while being a part of a team that contributes to the success of the organization.

A Little Wild and Crazy Will Succeed

Most of us have heard of Zappos. It is a web-based shoe and apparel seller. CEO Tony Hseih led Zappos to be a company with over a billion in sales in just ten years. In 2009, it was sold to Amazon.com for $1.2 billion. All of the credit for this amazing growth is given to the rather offbeat culture in which the employees have fun and are actually enthused about going to work every day. Take a look at the Zappos values that are listed directly on Zappos.com. All of the people at Zappos live and work by these core values:

As we grow as a company, it has become more and more important to explicitly define the core values from which we develop our culture, our brand, and our business strategies. These are the ten core values that we live by:

1. Deliver WOW Through Service
2. Embrace and Drive Change
3. Create Fun and a Little Weirdness
4. Be Adventurous, Creative, and Open-Minded
5. Pursue Growth and Learning (http://about.zappos.com/our-unique-culture/zappos-core-values/pursue-growth-and-learning)
6.  Build Open and Honest Relationships With Communication
7.  Build a Positive Team and Family Spirit
8.  Do More With Less
9. Be Passionate and Determined
10. Be Humble

Zappos Value #2— Embrace and Drive Change

Here is an excerpt from Zappos’ explanation of this value:

“Although change can and will come from all directions, it’s important that most of the changes in the company are driven from the bottom up– from the people who are on the front lines and are closest to the customers and/or issues.

Never accept or be too comfortable with the status quo, because historically, the companies that get into trouble are the ones that aren’t able to respond quickly enough and adapt to change. We are ever evolving. If we want to stay ahead of our competition, we must continually change and keep them guessing. They can copy our images, our shipping, and the overall look of our website, but they cannot copy our people, our culture, or our service. As long as embracing constant change is a part of our culture, they will not be able to evolve as fast as we can.”

Read the last two paragraphs again and make sure all of the words sink in. Change is the key word here, and embracing change is critical for all employees. Without change, there is no progress. Resting on one’s laurels must be a thing of the past, as it will put you behind your competition. An atmosphere of continuous change will keep the competition wondering what you are doing.

Zappos Value #3— Create Fun and a Little Weirdness
When you go to Zappos’ HR page, this is the first thing you see:

“This ain’t your mama’s HR! Recruiting, Benefits, and Employee Relations keep this cruise ship afloat with fun, inventive ways of getting employees motivated and educated about the Zappos Family of Companies, their benefits, and the other fun stuff going on around here! They also take Core Value #3 very seriously.”

How many people can actually say they have fun at work?  Zappos is successful because of their culture and the willingness of all of their people to continually develop new and better ways of operating their business.

Fast and Furious Change

One obvious phenomenon is the lightning quick speed of change in today’s business world. Technical and social changes are made at an astounding rate.  This is another reason for small businesses to flourish. Changes must be made quickly. Companies that are too big to fail are also too big to change quickly. Who wants to work with a dinosaur company? It is amazing to know that many of those larger companies are still using DOS based computer programs. Too big to fail may also mean too expensive to make necessary changes.

The Solution— Ask Questions

It is time to take a good hard look at your company and answer these questions:

What is the “fun factor” at your place of work?

Is your culture one that engages employees continuously in your business results?

Are you stuck in top down business mentality that stifles creativity, teamwork, and open communication?

Do you really have open communications with your employees?

Can they speak to owners and managers about improvements in an open and honest way?

Do you have a set of values? If so, do they guide how you manage your business on a daily basis— or are they just a bunch of feel good words posted on your bulletin board?

Do your people work in a cubicle all day, being micromanaged?

Do you get the fact that your people are your only competitive advantage?

Tony Hseih gets it, and, more importantly, he got it over 15 years ago. Maybe his job title ought to be Futurist rather than CEO.

Stop Stereotyping

We often hear that this young generation, or Generation Y (or Generation Why?), does not have a good work ethic. This could not be further from the truth. All people, regardless of their age, will work hard when they like what they do. The thing that is different about this Generation Y is if they do not like what they are doing, they will quit. So, when they leave, say “thank you.” After all, why would you want someone who hates his or her job working for you?  And, if you have a high turnover, maybe you should take a look at how people are treated.

It’s going to be a different workforce, and the change will come quickly. Are you ready?

Only time will tell if I can truly be called a futurist.

Bob McKenzie is certified as a Senior Professional of Human Resources (SPHR) and has over 35 years of human resources management experience. He currently is a member of the Society for Human Resources Management and is actively involved in the Small Business Resource Network and other community organizations. He can be reached at bobm@mckenziehr.com.

Like every business owner, when you start your own business, you are automatically enrolled in the School of Hard Knocks. And just like in any other school, you will learn a great deal about a wide variety of topics, you’ll get to hang out with some really cool people, and you’ll spend a lot of time, money, and resources paying the cost of tuition. Additionally, if any of your failures are public enough or spectacular enough, you may also lose your reputation and standing in the eyes of your target market.

Peer-to-peer advisory boards (also known as mastermind groups) are one of the best ways to lessen the cost of this tuition. Advisory boards are designed to give privately held companies many of the same advantages as a board of directors, without the governance components. Advisory boards are moderated by a professional facilitator, and typically meet once a month. A company owner presents information to the board about the different challenges and opportunities he/she confronts, and the board gives advice or feedback.

When business owners form boards on their own, they typically must pay the members a salary, equity, or some combination of both. And, they seldom have a professional facilitator. An advisory board allows the business owners to sit on both sides of the table: as CEO of their company, presenting to their board, and as a board member on each of the other companies’ boards. By forming shared boards, everyone gains the same benefits. They learn from each other and there is no cost other than the shared cost of the facilitator.

Additional benefits of joining a peer-to-peer advisory board include:

Better decision making for better results

It is well known that during the decision making process, the more diverse the talent base of the people involved in a decision, the better the results from that decision. Large corporations solve this problem with sizable, diverse senior management teams, and a board of directors made up of senior executives who have ownership interests in the company. Smaller companies, without these resources, must find other ways. By participating in a trustworthy, proven network of peer business owners, you can receive the diversity of input you need to make better decisions and obtain better results.

Improved clarity of direction and focus

As a business owner, you are constantly pushed and pulled in different directions. Customers, vendors, and staff are all trying to get their piece of your time. This can result in you getting buried in your business, instead of rising above and focusing on the strategic necessity of working on your business.

Membership in a peer advisory board ensures that a certain percentage of your time is dedicated to the strategic goals of the company. By sharing these strategic discussions with your board, you are forced to clarify your strategic direction. The board serves as a sounding board on which to test your strategy, before you start spending significant amounts of time, money, or other resources.

Increased accountability

Each month in a peer advisory board, you would discuss what you had planned to accomplish in that month, what you actually accomplished, and why there is a difference. This alone provides a level of accountability that otherwise is unlikely to exist.

For example, if you tell your board that over the next month you are going to update your business and marketing plan for the coming year, they are going to expect you to present the results of that exercise at the next meeting. Most of the members who were surveyed on this topic agree that it is easier to accomplish the task itself, than it is to admit to your board that you didn’t complete it.

Reduced isolation and increased confidence

Owning your own business can be a daunting challenge. You are frequently faced with opportunities and obstacles that can leave you uncertain and insecure. And yet, it’s difficult to find someone with whom you can confide. Your employees are looking to you for confidence, surety, and direction. They don’t want to see uncertainty and insecurity

The old adage “It’s lonely at the top” is never truer than in these times. However, you don’t have to go it alone. While peer advisory boards are definitely not a networking group, they do provide you with the opportunity to connect with your peers, in a professional setting, completing useful work. They give you a group who can share in your concerns and provide valuable feedback, without damaging your position as a leader.

Improved work/life balance

It’s easy to see that the best way to improve your life is to improve how your business is performing.  Entrepreneurs frequently get consumed by their business, and once buried, find it difficult to dig their way out on their own. Peer advisory boards help you cut through the challenges that are holding you back, and find a clear path to developing a more efficient and effective business. Improved business effectiveness results in your having more time available to enjoy your life.

At the end of the day, it comes down to results. Is your business producing the kind of results that you would like to see? Does the idea of having a support system of fellow executives who can help pull you out of the trees, so you can see the forest, appeal to you? Come join your fellow business owners in discovering a better way to solve these problems. Join a peer advisory board today.

Michael Jones is the Owner of CEO Focus of Jacksonville, which provides business coaching, professionally facilitated peer advisory boards, and other support services to the Northeast Florida business community. Previously, Mike worked as a consultant and a coach in many different industries in both the for-profit and non-profit communities. Mike has an undergraduate degree in mechanical engineering from the Ohio State University and an MBA from the University of North Florida.  Northeast Florida business owners can learn more about Mike’s peer advisory groups by calling him at (904) 504-7770.

For Super Savvy Landlords and Tenants Only!

By Wally Conway

Back in the commercial real estate buying boom, it was common for investors from across the country to purchase property in Jacksonville. It was also common for many investors to purchase buildings sight unseen. Due diligence concerning the building and grounds came in the form of a Property Condition Assessment (PCA). Property Condition Assessments are essentially more detailed versions of home inspections, and have similar value propositions.

It was during that boom time that I first met David Lee. David was a third generation commercial real estate investor from Studio City, California. He retained my company to perform a PCA on a 15,000 square foot building that was being used as a retail store. He used the PCA as a negotiating tool during the purchase of the building, and as an initial punch list for repairs and completion of deferred maintenance after closing.

David used the PCA much like scores of other commercial building buyers that I’ve worked with over the past 20 years. But then, David did something different!

When negotiating the lease with his prospective tenant, David used the PCA to benchmark the condition of the property. In a triple net lease, the tenant is responsible for all maintenance and repair expenses. It was important to David to have an objective documentation of the property condition at the start of the five-year lease. He felt this was a very simple way to protect not only his interest, but also be fair to the tenant. The tenant agreed and the lease was signed.

Using a PCA in negotiations between landlord and tenant is a risk and liability management tool that protects both parties. Why a tenant would ever enter into a triple net lease without a PCA escapes logic.  An unexpected expense for a new tenant, who oftentimes is also a new business, can crimp cash flow and cripple a business.

David showed his brilliance again, five years later. He retained my company once again to perform a second PCA on the same property in preparation for renewal of the lease. He intended to use the PCA to determine if the tenant had honored the terms of the lease regarding maintenance, repair, and condition. If the building was in as good or better working order then when originally occupied, David would reward the tenant with a favorable rent rate. If the PCA revealed that the tenant had damaged or failed to care properly for the property, David could demand repairs, increase the rent, or refuse renewal of the lease. The PCA put David in control.

Yes, there was an expense for the PCA, but it paled in comparison to the expense of litigating a disagreement or repairing disputed damages. David is certainly a savvy investor and landlord.

Could a tenant also be so savvy as to use a PCA for lease negotiations? Certainly.

Would documentation of the condition of the property before the lease was signed make for a superior negotiating position? For sure.

Could the PCA be used to reduce surprises and cost over-runs during tenant build out? Absolutely.

When it’s time to negotiate your next lease, as either landlord or tenant, consider a Property Condition Assessment. And remember this, the person who brings the information to the negotiation is the person who controls the negotiation.

By Wally Conway

Wally Conway is a graduate of the U.S. Naval Academy, retired Navy Pilot, licensed contractor, home inspector, energy auditor, media expert and entrepreneur who is the founder of HomePro Inspections. He can be reached at Wally@gohomepro.com

By Amy Calfee, Chief Listening Officer, Temerity Creative, LLC

I’m a providential entrepreneur. After two layoffs early in my career, I was literally pushed into the life of entrepreneurship. I’ve been “working in my bunny slippers” for decades, helping other entrepreneurs, small business owners, and organizations market their benefits. I’ve listened and learned, advised and consulted, cheered and applauded.

These hundreds of individuals have taught me about intention, motivation, purpose, and vision. Just like me, starting their business was the easy part. Like a new relationship, everything was shiny, full of potential, and energy was abundant—even if we didn’t know exactly where we were headed.

Working the business day-to-day becomes like a dance. I call it the “3-2 Cha Cha.” As your business becomes known, it pumps up confidence and a predictable cash flow: three steps forward. A focus on working in the business tactics versus working on the business strategy usually leads to longer sales cycles, more no’s than yes’s, or worse, saying yes to the wrong customer because cash flow is no longer as predictable: two steps back.

We’ve learned to be champion problem solvers. Resolve the dispute. Renegotiate the contract. Cover the phones. Close the deal. Make the customer happy—whatever it takes. There’s not much about our business that we don’t know. Yet, over time, original intention can be misplaced; isolation threatens motivation; clarity of purpose is replaced by “why am I doing this?” and vision–big picture thinking–lives in a secret notebook entitled “how am I going to get out of this?”

The business owner—you, me, and the guy faking the big smile next to you at last week’s networking event—can become T.R.A.P.P.E.D. by the business. For some, this condition is fleeting. For others, it can feel like a recurring roller coaster ride. Ignoring symptoms have produced a chronic condition. The cure begins with acknowledging what is, and then acting on what you know. Let me give you some examples of what I mean by T.R.A.P.P.E.D.

Tactical (vs. Strategic): Being strategic about marketing begins with a plan. The process requires you to “walk outside your own store” in order to see yourself through the eyes of your customer. Then you’ll know what they want, when they want it, and how they prefer to find out about it. One of the best examples of tactical thinking is buying just one ad with a weak offer in a discounted media outlet. This may sound silly, but business owners do this all the time “just to see what they’ll get.” They always get an invoice for the ad, that’s for sure.

Resistant (vs. Understood): Change can be difficult, especially when change happens to you. Some personalities thrive in ambiguity and are able to adapt on the fly. Others resist change because it requires more mental agility. An example would be the business owner who expects his/her sales team to make cold calls because a cloud-based CRM (customer relationship management) system is “too complicated.”  Ironically, poor productivity is more comfortable than changing processes and procedures for technology one doesn’t understand. Maybe it’s time to embrace change by learning something new and then leveraging the benefits.

Aimless (vs. Clarity): What you think about, you bring about. So decide where you want to go and set a course to reach just beyond your destination. Write it down. Make it measurable and specific. Be accountable to your team. Keep track of your progress and report it often. In a recent survey of participants in my marketing planning program, every respondent said that committing to a goal was one of their most empowering and clarifying decisions.

Prideful (vs. Confident): Allow me to step on my own toes here as a reminder. We don’t have to be the smartest person in the room. In the world of business, especially high-end and technical services, we often conflate knowledge with leadership, projecting a false sense of pride and calling it confidence. Yes, we like to do business with confident people and visa versa. But my assertion is that for many business owners, saying “I don’t know” doesn’t make you weak (to your team or your customers), it makes you honest. People like, trust, and admire honesty.

Possessive (vs. Engaged): A bumper sticker comes to mind: “If your competition doesn’t know what you do, neither do your prospects.”  I’ve noticed how business owners often hide their greatest advantages for fear their competitors will copy them. In a recent conversation with a local landscaper, he discussed with me his special method of trimming flowerbeds. He knew none of his competitors were achieving the same results. He carefully trains his crew, and actively promotes this difference to prospects. Guess what? He retains nearly all of his customers.

Excuses (vs. Sustained): After back surgery last year, my doctor released me to swim. I joined a local masters’ swimming program that meets three days a week, 5:30 – 6:30 a.m.  I eventually trained my way up to 3600 yards per week. Yet, after four months, I quit because I became “self-distractive” with no plan to keep the work (and the early morning motivation) fresh and relevant. Thinking strategically helps us create processes and systems that can be integrated throughout our day-to-day operations. Consider an incremental approach to implementing your marketing strategy. Train yourself up.

Debt (vs. Systems): When you started your business, were you thinking about how you were going to get out of it? Why would you? This was something about you, your passion, big idea, or expertise. Now what? If you relegate the marketing function to the expense column, without a strategic system to back it up, you could be missing opportunities, or worse, accumulating debt. Consider marketing as an investment to be monitored and measured, to add real value to your brand and eventual selling price. Marketing is an integral part of your exit strategy or succession plan. Steven Covey called it “starting with the end in mind.” You can start today.

So whether you’ve recently jumped into the entrepreneurial sand box with the rest of us kids, or have grown your small business to a multi-million dollar enterprise, you can avoid and even escape being T.R.A.P.P.E.D. by your business. Listen carefully to your customers and act on what you learn. You may even need to exercise a little courage. Your next bold move doesn’t have to be big and audacious, it just has to be the next, best step.

Amy is Founder and CLO (Chief Listening Officer) of Temerity Creative, LLC, a marketing coaching and consulting practice for entrepreneurs and small business owners who are ready to be bold, be themselves, and build a meaningful brand.

You can request a connection with Amy on Linked In: www.linkedin.com/in/amylynncalfee. Include “business advantage” in your message.

By Mary Fisher

Your company’s success on the Internet is closely tied to how well you understand and implement Search Engine Optimization techniques. Google Juice is the value that Google assigns to each element on your website, that helps position it on the search engines. While there is no perfect recipe, knowing the proper ingredients to Google Juice will give you the greatest shot at a high-profile presence on the Internet.

Let’s look at some of the ways in which you can optimize your site for better search engine ranking without paying thousands of dollars to Google.

Google Rules When It Comes to SEO
Search Engine Optimization, or SEO, is the art of pushing your website ranking higher on the search engines. Google makes the rules on the Internet, since 70% of all Internet searches are done using Google search engines. And so, we must follow the rules or subject ourselves to banishment from rankings. If you employ SEO techniques Google doesn’t approve of, they may simply delist your website entirely, and then no one can find you in Google. This can happen to any business. If you don’t want to be in Google purgatory, it is imperative you have an experienced and knowledgeable company handle your SEO.

Google likes to mix it up and regularly change the way in which it ranks websites, without telling us what it is doing. One thing is for sure, however, linking your website via the other websites that Google owns—YouTube, Google Places (maps), and Google + (Google’s answer to Facebook), has become increasingly important.

Your Domain Name (URL)
Include good keywords and avoid acronyms or hard-to-spell words. The suffix “.com” is preferable to any others. Use words in your domain name that people would use to search for your company, and it will provide the most Google Juice of any technique listed (such as www.JacksonvilleRacingBikes.com).

The Page Title
Every single page of your website needs a unique title containing important keywords that pertain to that particular page’s content or main topic. This ensures that every page of your website can be seen by the various search engines.

Lots of Backlinks
These are links to your company’s website from other websites, particularly those that are pertinent to your industry. A lot of Google Juice is given to backlinks (sometimes called inbound links) that come from popular websites that have a high number of visitors, and are relevant to your business. Have your website listed on directories like Manta, Merchant Circle, Hotfrog, Bing Local, Yahoo Local, and Google+ Local.

Internal Cross Linking
Create hyperlinks from keyword phrases from one page of your website to another.

Keyword Rich Text
Use keywords and phrases in your text that the average person would put into the search engine to find your site, such as your products and services. Target different keyword phrases on each page. Don’t forget to include, on your homepage, the geographic regions you serve and your current business physical address. (You would be surprised how many addresses are not up-to-date.)

Bold Subheads

Each and every page of your website should use properly coded bold subheads in the verbiage using important keywords. Good examples for a retail fish market are:  We Sell Only Fresh Mayport Shrimp, Fresh Oysters Available on Fridays, Retail Seafood Sales, and Fresh Seafood Daily.  Also, make sure your Webmaster codes your bolded subheads as <h1> headers.

Photo Alt Tags
Place alt tags on every photo on each page of your website. For example, an alt tag on a photo that shows an interior designer measuring a wall might read, “Measuring a wall for wallpaper.” That way, if someone entered that description into Google, that company’s photo would appear in Google results and someone might click on it.

Meta Description
This is a short description of your business, which shows up in Google’s search. It must be succinct as Google will only show about 140 characters. For example, if you Google my company name, the meta description you will see on Google is:  Mary Fisher Design, 24-year-old Jacksonville, FL, graphic design, web and advertising agency. Brochures, logos, web sites, search engine optimization.

Refresh Text Often
Update your website regularly with changes such as new awards, staff changes, testimonials, news releases, and new services.  Adding a blog to your site and posting often is a great way to keep it fresh.

Link to Social Media Sites
Internet users expect to see links to main social media sites such as LinkedIn, Facebook, Twitter, and Google+. Update your contributions to these sites three to five times per week, and your spot on Google and Google Places will reflect it by moving you higher in rankings.

Slow-Loading and No-Loading Pages
Make sure your site is fast-loading since it helps populate quickly and rank higher, particularly on mobile devices. Google now down-ranks slow-loading websites. Also, you never want to design your website, or any part of it, using Flash.  Not only does Google have a difficult time cataloging a Flash website, but the site cannot be viewed at all on iPhones or iPads.

A Warning on Graphics
Do not put important text inside of graphic elements on your website. Here’s why: Google cannot read them, and so it cannot help your rankings. If you can highlight copy with your mouse on your website, then it is text—which is good. If you cannot, then it’s most likely within a graphic element—which is bad, and needs to be changed.

Expect about two to three months before you see results of your efforts on Google.

Mary Fisher is CEO of Mary Fisher Design, a 24-year-old marketing, design and web development firm. She is a past president of AIGA (the Professional Association of Design). Fisher was named “Women in Business Entrepreneur of the Year“ for 2007 by Women Business Owners of North Florida.

Resolve to Make More Money!
But Is That What You Really Want?

With two decades of New Year’s business resolutions behind me, I’ve noticed that most business resolutions begin with efforts to increase gross revenue. That sounds sexy and fun, and it’s often the easiest to impact, but in some situations, it can actually cause profits to plummet.

I say, resolve to be more profitable; THAT’s where the real money is.

Those line item expenses between gross revenue and gross profit, that’s where the money is made. The challenge is to target line items that have no impact on production, personal income, or profit. An easy item to target is a reduction in energy expense.

I’d like to share a story with you about my buddy, Barry. Barry’s business is in a 3,800 square foot building in Jacksonville. The activities in Barry’s building are predominately administrative, with some storage. There are no freezers, smelters, or other big machinery. Yet, Barry spent $7,662.34 in electricity the previous year.

That’s over $600 per MONTH!

Barry wanted to reduce his electric expense, but because he was leasing his building, he was interested in expense reductions that were no cost or low-cost to implement. Barry decided to have an Assessment of Energy Reduction Opportunities (AERO) done for his business (basically, very similar to a residential energy audit).

Depending on the building and business being assessed, expense reductions range from 10-30%, with 19% being the average savings. In Barry’s business, an average reduction would yield an annual savings of $1455, with a potential savings of $2298, all without significant capital expense.

An expense reduction that happens without a capital expense drops right to the bottom line as profit. Barry likes profit! He was also open to the idea that buildings don’t consume electricity, the people in them do.

Implementing Behavioral Energy Change (BEC) is the most cost effective strategy to reduce the energy expense line item. The AREO report documents where energy is being consumed, while the implementation of BEC empowers the people to capture those savings without significant capital expense. It is the empowerment of profit!

An AREO report identifies all the opportunities for reductions and prioritizes them based on their calculated Return on Investment (ROI). An ROI above 20% is a very sound investment, but Barry’s priority was no capital investment. With no investment, even the smallest of savings yields an extraordinary ROI.

So the challenge was to chase Barry’s energy consumption a dime at a time, looking for any and every opportunity for reductions that could be had without expense. There were dozens!  One in particular shows how easy it can be to increase your profit by implementing behavioral energy changes.

Barry’s building had a 50-gallon electric water heater, the same type that most of us have in our homes. The AERO calculated that Barry was spending $510 per year heating water for the rest room. I suggested to Barry that he install a $75 timer on the water heater for a calculated energy savings of $300 per year, a 400% annualized ROI. Barry switched the water heater breaker off, stating he wanted all the savings, and none of the hot water!

If only every expense reduction were so simple.

The combination of changes that Barry made as a result of the AREO assessment totaled $2314 profit to the bottom line, with a 30.6% reduction in electric expense. Barry’s only upgrade expenses were bulb changes in some lighting fixtures.

Your business probably has energy expense reduction opportunities similar to Barry’s, even if you don’t want to give up hot water. Be like Barry; take advantage of an AERO to seek out energy expense reduction opportunities that can be inexpensively implemented to increase your business profits.

Back to New Year’s Resolutions: resolve to increase profits!  And if your plan also includes an increase in gross revenue, isn’t it nice to know the energy expense to capture that growth did not grow as fast your revenue? And that means even more profits.

Now that’s a New Year’s resolution that makes me happy!

By Wally Conway

Wally Conway is a graduate of the U.S. Naval Academy, retired Navy Pilot, licensed contractor, home inspector, energy auditor, media expert and entrepreneur who is the founder of HomePro Inspections. He can be reached at Wally@gohomepro.com

Where should you invest your money and resources?

By Cathy Garland

Technology investment decisions may seem daunting to a small or medium business owner. There are many options and vendors anxious to get their solutions into your environment. It’s easy, however, to make decisions that you come to regret without a clear plan of how technology will be used to support and advance your business initiatives.

In the late 1990s, software vendors started churning out products that transformed business computing. Technologies such as email, and databases that stored a multitude of data, were seen as innovations.  Today, it’s BYOD, data warehousing, and the cloud. The many flavors of each can be mind boggling if you’re unsure of technology initiatives, or unless you have a strong technology partner who can assist.

There are multiple questions to be answered in order to be confident of technology investments:

• What is the purpose of the purchase? Is it meant to run the business or build the business?
• What is the true “all-in” cost to purchase and support the investment? (Don’t forget training for staff and support)
• What is the lifecycle of the purchase?
• What is the ROI? Calculate hard and soft costs.

So, where do you start? With investments that either:

• Replace or reduce manual effort
•  An analysis should be performed regarding how much effort is required to fulfill a task, as well as the likelihood of errors.
  •  If you buy a piece of software that replaces a task that takes 15 minutes per day – where is the payoff?
  •  If you buy a piece of software that replaces a task that takes 10 hours a day – the payoff is more obvious.
  • There are utilities and other software applications that automate manual processes, which are cost effective and provide a hands-off approach.
• Ensure business continuity,
  • What is the cost of downtime? How long can you be down before you suffer a financial loss?
    • How do you know your systems are down? Are you alerted so you are able to notify customers (if needed), or do your customers inform you?
  • What is the loss of reputation worth? How do you evaluate this item?
  • Do you consider outsourcing IT Support?
• Help your company grow,
  • Don’t get so caught up in running your business that you forget to work on building your business.
  • Don’t forget that technology exists for a reason. A number of the solutions are tried and true business innovators that can put you in a positive light with your clients, existing and potential.
• Protect your assets
  •  Individuals and businesses buy insurance policies as a matter of business practice. Technology “insurance” also needs to be considered
    • Backup solutions provide insurance against data loss
    • Security solutions provide against data breaches
      • Redundant systems provide against hardware failure

What you should avoid:

• Cool fads that offer little or no business return,
• Expensive solutions that promise to change your whole process flow, but are unclear on the details,
• Vendors that don’t mirror your attitude about business investment and risk,
• Bleeding edge solutions, unless you can absorb the potential cost of mistakes and delays,
• Solutions that have no lifecycle documented or appear to be under-capitalized.

While you could miss out on the latest new and imaginative solutions by avoiding these types of technologies, you have to temper what will help with your business focus, and what could distract your resources, and offer little if any return.

Technology and Companies that support small business efforts:

Categories:

•  Freeware/Shareware – There are a number of solutions out on the market that are free and referred to as freeware or shareware. Be careful that if you choose to use these types of software in your environment that: 1) they don’t have hidden Trojans or malware, 2) The licensing allows for free use within your environment.

A few years ago, Winzip was on most corporate desktops. It was downloaded by corporate IT departments because it was a great file compression tool. The only issue was that if you read the licensing agreement, it clearly stated that if you used Winzip in a corporate environment, it was not free.  Microsoft eventually included a file compression tool free with their operating systems.

• Focus on SMB Market – There are technology companies that have divisions focused on the SMB market. They offer competitive pricing for solutions. Microsoft has done a great job of absorbing technologies that complement their core offerings.  Utilities such as Netmon and Filemon are free tools, as well as hundreds of others that Microsoft offers. Dell purchased Quest, which has excellent IT management tools.
• Choose a locally based technology partner- Invest your time and efforts into forming relationships with technology partners who are either local or members of your Chamber of Commerce. These companies will take a vested interest in your success.

In short, don’t allow the technology area to overwhelm you. Take a measured approach to technology, such as you would with other business decisions. Run your ROI calculators, limit your scope, and pick strong partners. You’ll have a greater chance for success with your business initiatives by making smart technology choices.

By: Cathy Garland

Cathy has worked in technology for 29 years with the focus being infrastructure operations. Having worked in the telecommunications, legal and financial services industries, Cathy draws upon her process-oriented mindset to assist companies with implementing technology risk frameworks. From PCI to SOX, Cathy has experience in implementing, assessing and guiding companies to a suitable risk footprint. She can be reached at cgarland@cgsolutionsofjax.com

Dr. Don Capener, Jacksonville University’s new dean of the Davis College of Business, is planting roots and looking at ways to branch in the future.

For the last 11 years, Capener was Monmouth College’s vice president for strategic planning and a member of its political economy and commerce department, and even though Dr. Don Capener wasn’t looking for a career change, the offer Jacksonville University made was too tempting not to take.

“I was happy where I was,” says Capener. “I was a vice president, had responsibilities, extended family in the area — lots of reasons to stay — but for my development and for the opportunity for my family to grow and experience what we felt was a great part of the country was too tempting. When the offer came in, we accepted.”

The same day this interview took place, Jacksonville University (JU) held a press conference to announce its new president, Tim Cost.

“In a way I feel personally responsible,” jokes Dr. Don Capener. “Jacksonville University was so pleased with the search consultant that found me; it hired them to find the new president.”

Unique background

Capener isn’t like some who have been in academia or higher education his whole career; he spent the first 18 years of his career working as an entrepreneur.

“I’ve had a payroll and I’ve had those responsibilities for the livelihoods for the people who work for me,” says Capener. “It was both a great responsibility and a great honor because it gave opportunities to a lot of folks who otherwise would be working in an area that maybe they didn’t want to work in. It also gave an opportunity to be with a high-growth company and to get to do some of those things they always wanted to do.”

Capener’s business background blended with his higher education experience makes for a unique background, and a better understanding of what is needed to move forward.

“I see a great future for Jacksonville, and that was one of the things that attracted me,” says Capener. “When you are a dean of a business college, you want to know there’s going to be business opportunities for graduates, guest speakers, internships and possible support for the business college and for the business school — and all of these things were in place here.”

Up for the challenge

From the time Capener was hired to the time he started at JU, was a span of about eight months. In that time, he was able to do a lot of thinking about his vision for the business college and planning for the future.

One of the things he finds “wonderful about JU, but also challenging” is the competitive market with other colleges, such as Florida State College of Jacksonville (FSCJ), that have similar degree or program offerings in business and aviation and a great cost advantage over JU.

“We can’t just be a little bit better; we have to be a lot better to attract more students,” says Capener. “We have to have a great value proposition, and I recognize that.”

Looking to small businesses

With about one-third of JU’s graduates working a few years in the industry where they want to start a business and then go out on their own, or immediately go out and start a new business, Capener feels it is very important to integrate the small business community at Davis College.

“I would be hesitant to tell small business owners how to run their businesses, except I’ve been a small business owner,” says Capener. “I understand entrepreneurs on a very deep level and it’s one of the reasons I love having them in my classroom.

“I am able to relate to them and ask them the kind of questions that I think bring out stories that help students figure out their bridge to what their calling is and why and what it is they want to enjoy doing or love doing.”

In just his first few months of starting, Capener has already had several small business owners speak in some of the classes he teaches, including Liz Grenamyer of Catering by Liz, Carole Poindexter of Baker Distribution Co., Matt Kane of Greenshades Software, Ed Burr of GreenPointe Holdings, and Jim Dalton of the Dalton Agency.

“These owners have spoken in class and talked about their challenges and issues,” says Capener. “I’ve offered both myself and the ‘faculty’s intellectual capital’ toward helping our alums and friends of JU to be successful.”

Networking and beyond

“We see all these things as being integral to being involved in the small business community,” continues Capener. “We want to be a forum for seminars, events and workshops, and provide other opportunities for people to network.

“We are involved in a number of different organizations that do that sort of thing and we support those organizations and with both human capital and in some cases, sponsorships,” says Capener.

These organizations, alums, friends and the like form a very strong network, mostly because they believe in what JU did for them individually and they want to give back.

“They want others in the network, as well as Jacksonville, to grow to the prominence that we believe is possible in a tightknit business community with thought leadership and, of course, a lot of enthusiasm and energy,” says Capener.

Measure and achieve success

With a tagline like, “We measure success in terms of our graduates and their ability to not just earn that first promotion, but a lifetime of promotions,” you know they are looking to their students’ success.

“We help you find your ‘calling’ in life —your purpose; why you get up in the morning and go out and do the things you do beyond earning a paycheck,” says Capener. “We help you find and discover that, and then we nourish your aspirations and passions to the degree that I feel like we are the ones fanning the fire so to speak.”

Capener says one thing that helps people achieve success is its culture of helping one another and helping others. “We do that on an individual basis,” says Capener. “We try to help our folks be successful — not just in their education, but through a network of supportive folks who are interested in mentoring others and have the experience.

“Yes, they need a paycheck, and all of us do, but it’s what motivates and inspires them to do more than satisfactory or more than the minimum,” says Capener.

Looking to the future

Even with 30 successful years of the executive MBA program, JU and the Davis College of Business still look ahead. One of the new things they are exploring for 2014 is a program which will help those that may have gotten their MBAs 20 years ago get reeducated.

“They didn’t have all of the computer-based and statistical modeling, analytical tools and business analytics that we have today,” says Capener. “This will help someone who wants to refresh his or her education and not have to go backward to achieve it.”

And Capener will be around to make it happen. In the last five years, JU has had three deans at the college, but Capener isn’t going anywhere anytime soon.

“We’ve had three deans that have all served less than two years, and the college has had a lot of turnover. “The deans maintained a home outside of Jacksonville and never really fully became a part of the Jacksonville community,” says Capener. “I’ve done completely the opposite. I’ve built a house, my wife is working, my kids go to Duval County schools — so I’ve really jumped in to both our community and to the area.

“We’re making new friends and doing all that the things that you would expect someone to do who is not just dipping their toes in the water but making a commitment,” says Capener. “I think for the success of the business college we need committed leadership at all levels.”

Wendy Bautista is a contributing writer and editor for Advantage Magazine. She can be reached at 904-222-8140.

Extending Credit to the “Right” Customers

Many times, clients come to me wondering why their customers did not pay them, and what went wrong in their screening process. For businesses providing goods or services on credit, it is essential that their receivables are up to date and the customer information is current.  Small business owners often fall into the trap of being the good guy and adhering to the theory of “the customer is always right,” causing them to skip the steps necessary to protect their businesses. I want to share some of the mistakes that my clients have made, in order to demonstrate ways that you can safeguard your business.

First, when a potential customer comes through the door (and I am referring to a business customer, such as corporation), before you do business with them, make sure they sign a contract or a credit application.   If you intend to allow them to pay on credit, make sure you have all of the information you need to protect your business.  Much like applying for a credit card, you want all of their information.  Most importantly, you want to make sure they will pay you back.  As a business practice, the motto “the customer is always right” can be damaging at the beginning of a relationship, if it means you go along with the new customer’s refusal to give you what you need to protect yourself.

When gathering the necessary information about a potential business customer, the basics are obvious: exact name of the company, officers, address, phone numbers, and credit references. Why exact? If you end up suing them, you know exactly who to name in the suit—not what they call themselves or their fictitious name, but the legal name of the company.  If they do have a fictitious name, get that too.  Once you gather this information, verify it on sunbiz.org.  It is critical for you to know exactly who you are dealing with in order to check someone’s credit worthiness.

Some less common, but very important pieces of information that you will need before extending credit, or even deciding if you want to do business with a company are: length of time in business, corporate structure of the company (is it an LLC, an LLP, an Inc.?), FEIN number (do they even have one?), parent company if any, and banking information.

Let’s go back to sunbiz.org, a website that I highly recommend to every business as a tool to check the credibility of a potential business customer.  You can use this free tool to verify the name of the corporation or other entity, its officers, and years in business.  You may discover things that do not add up.  For example, you may discover that the officers previously let the company dissolve and then reinstated it, or they have not filed the annual report for the year, so the company was administratively dissolved. These can be early warning signs.

The length of time in business is also indicative of the stability of the company.  If corporation ABC has been in business for 5 years, it tells me that, at least at a first glance, they are more stable than someone who incorporated 2 weeks ago or 1 year ago.  It’s also a good idea to search sunbiz.org by an officer’s name. You can see if that individual recently owned a company with a similar name that was dissolved, and then decided to start over. What does that mean? In most cases, it means that the other company was not successful, and the owner decided to start over, leaving the debts and liabilities behind.  It is also important to know exactly what corporate entity you are dealing with, if any, since different consequences apply to corporations, LLCs, and partnerships both in terms of liability, and in terms of judgment collection.

When it comes to contracts, make sure you have one drafted by a lawyer, or at the very least, have it reviewed by one. The worst scenario is one where you could have protected yourself upfront and did not because you thought you would never end up in court. Please remember this happens to numerous people.  Don’t be one of them.  Protect your business.

I want to point out some very basic ideas about contracts and credit applications to keep in mind. First, if you sue someone on a contract or credit application, in order for you to recover attorney’s fees, they must be provided for in the contract or the credit application.  This holds true with interest on the collection amount as well.  If you just say “interest” in general, or don’t touch on this subject at all, the interest rate is statutory based on Florida Statute 55.03, which changes every year.  However, you can include a provision for 18% interest per year or 1 ½% per month to ensure you get the amount of interest you desire.

The best way to improve your chances of collection is to ask for a personal guarantee.  It lets the other party know that you mean business.  This puts their personal assets at risk, which means they will take the commitment to pay much more seriously.

These are just some basic ideas and they do not constitute legal advice.

Kate L. Mesic is the President of Mesiclaw, specializing in commercial collections and criminal defense.

(904) 388-4030

kate@mesiclaw.com

www.mesiclaw.com

What you can do to sleep more soundly

Provided By:  Stephen Strum MBA and Dallas Hempstead CFP CLU, Northwestern Mutual

When it comes to American business, often it’s the largest companies that garner the most attention. It’s no wonder that many people think these corporate giants are the most important enterprises in our economy. But of the estimated 29.6 million businesses in the U.S. today, the vast majority – more than 98 percent – actually has fewer than 100 employees.¹

Are these companies operating in the shadows of their larger brethren, or do small businesses carry their own weight?  Consider the facts.

America’s unsung heroes

According to the most recent U.S. Department of Commerce and Bureau of Census data, small businesses employ just over half of all private sector employees; they pay 44 percent of total U.S. private payroll; they’ve generated 64 percent of net new jobs over the past 15 years; they create more than half of this country’s nonfarm private gross domestic product (GDP); and they produce 13 times more patents per employee than larger firms.²

The fact is the United States depends on the health and ingenuity of these small businesses for its overall economic growth.

But as small business owners breathe new life into our economy, a number of issues keep them up at night – namely, how to keep their operations secure and growing even in the face of the ever-changing pressures. Among their concerns are how best to:

1. Attract, retain and incent top quality talent
2. Mitigate and manage risk
3. Create a solid succession strategy, and
4. Meet their business obligations without sacrificing their personal financial security needs.

Finding and keeping employees

While the struggle to acquire top talent is certainly not a new challenge for small businesses, the ever-increasing competitive landscape is making the “talent factor” a defining point in a company’s ability to grow.  That’s because the success within each stage of a business’ development depends on the experience, knowledge and skill of its employees – in other words, its human capital.

Is Your Business Keeping You Up At Night

Offering a benefits package tailored to the business can help attract, retain and incent those key people.

Group health is the insurance plan most employees request – it’s also one of the most costly. However, it’s possible to customize a plan to fit both the needs of your employees as well as your company’s budget. For example, many small employers offer a plan that requires some level of cost-sharing, allowing them to provide health coverage while retaining some control over costs.

Life, disability and long-term care insurance programs are becoming more prevalent among small businesses.  They can be provided by the employer or offered via payroll deduction, which enables you to build goodwill among employees without incurring the cost of an expensive benefit program.

Of course, one of the other most requested benefits is an employer-sponsored retirement plan – it’s also one of the most beneficial in terms of employee retention. By providing a way for employees to save for their own future, a qualified retirement plan may also increase the chances they will make a long-term commitment to the business.

Protecting what you’ve built

For most business owners, the business itself is often their greatest asset. If something happened to you or your key employees, how would your business continue to operate? Without proper planning and protection, the disability or death of an owner or key employee could seriously cripple the business you’ve worked so hard to build.

Overhead expense coverage can provide the benefits you need to meet business expenses such as rent, payroll, utilities, taxes and maintenance costs in the event you become disabled.

Similarly, key person insurance can help your company weather the disability or death of a key employee.  It can provide the funds you need to pay debts and provide working capital while a suitable replacement is recruited and trained. In many cases, key person insurance may be required as collateral for a business loan.

Is Your Business Keeping You Up At Night

Finally, property and casualty insurance can pay benefits to repair or replace buildings, equipment and data damaged or destroyed in a natural disaster; while liability insurance can provide resources to satisfy personal injury or property claims.

Passing the torch

All owners leave their businesses one day.  You have the best selection of options for creating an exit strategy if you get started before that day arrives. The creation of a thoughtfully prepared and properly funded business continuation plan is a crucial part of the process – one that:

• Sets clearly defined goals for the owners and their families,
• Establishes a fair market value for the business,
• Formalizes a written buy-sell agreement, and
• Maintains adequate life and disability insurance to fund the agreement in the event of an owner’s retirement, death or disability.

Business and professional needs are intertwined

For small business owners, business and personal financial security is often interrelated. With so much of your worth tied up in your company, it’s doubly important to have a plan that takes into account all of your financial security needs.

That’s where an integrated approach to your business and personal concerns can help you sleep more soundly by addressing key questions, such as:

• When my kids are ready for college, will I be ready financially?
• When I decide to retire, will I have the resources to afford the lifestyle I want?
• How can my business fund my retirement?
• If I become sick or injured and can’t work, what will happen to my business? To my family?
• If I die, will my family be protected financially?

The value of a trusted professional

It can be difficult to know if you’ve done enough to ensure a secure financial future. The expression “it’s lonely at the top” is often very true for small business owners. A trusted financial representative can help.

Is Your Business Keeping You Up At Night

The key is to work with someone who understands what it takes to run a successful business and that has access to a team of specialists with expertise in risk management, employee benefits and business succession planning.

Working with you and your other advisors, he or she can coordinate a team approach resulting in a thorough understanding of where you are today and a strategy to help get you where you want to be in the future.

^{1, 2}      SBA Office of Advocacy, Frequently Asked Questions, Updated September 2009

Article prepared by Northwestern Mutual with the cooperation of Stephen Strum and Dallas Hempstead.

Stephen Strum

Employee benefits are offered through Strategic Employee Benefit Services™, a nationwide program of Northwestern Mutual.

To contact Stephen Strum and Dallas Hempstead, please call (904) 505-8852, e-mail them at stephen.strum@nmfn.com  or visit his Web site at http://stephenstrum.nmfn.com/

Not all products mentioned in this article are offered through Northwestern Mutual.

A recent article in “Bank Info Security” http://www.bankinfosecurity.com/fraudsters-target-bank-employees-a-5269?rf=2012-11-09-eb&elq=7cc1647406704dd7bc60a34c9d54e8b0&elqCampaignId=5063, tells of a breach disclosing hundreds of thousands of customer’s records. Experian, the credit reporting group, revealed that the reason for the breach was due to lax security at a credit union’s IT department. This has to be especially vexing to those customers who then had to monitor their credit and lose sleep at night about the potential impact to their finances, present and future.

In IT, there has to be a balance between effort required to do your job and reward for discouraging data loss. The balance depends upon the potential liability to the company for data loss.

While it’s difficult to insure a breach will not occur, there are some basic fundamental safeguards an IT department can take that will create a layered security approach and deter a breach from having a payoff.

• Create, follow and periodically test adherence for policies and procedures that support an established risk appetite
  • Separation of Duty
  • Implement Least Privilege Principle
    • Establish a reporting system for certain Privileged Account uses and insure review is performed on a regular basis
    • Create multiple logins for system administrators with access to vulnerable environments
    • Require management approval for privileged account creation
    • Work with system vendors to establish granular permission requirements
    • Where possible, limit the scope for system accounts
• Beginning with development, consistently follow a documented and socialized SDLC (Software Development Lifecycle) – including using either masked data or non-customer data for testing environments
• Establish periodic security and risk training for IT employees
• Establish architectural guidelines with management sign-off on any system changes that modify security parameters
  • Include a review by selected Security personnel
  • Include a sign-off from business to insure they are aware of security changes to applications
• Use Role-Based Access Controls
• Limit data transmissions from end user subnets
• Secure all data transmissions containing customer data
• Limit and monitor physical access to sensitive systems
• Implement an Incident Response Team to insure consistent response in the event of a breach.
• Implement a strong problem management/resolution process. Although this is not specifically security-related, it supports a consistent business approach to issues.

For the most part, none of these are expensive requirements. They do require a mature process attitude but there are a lot of positive benefits that come from this attitude including improved system availability, less overtime for IT staff and most definitely an improved technology risk footprint.

These steps will compliment and support a rigorous risk attitude in an environment where data loss could be costly. At a minimum, they instill a disciplined approach to managing the IT environment. You never go wrong by emphasizing this type of approach in IT.