Naz Daud asked:


Business management combines an interesting mix of theory and practice, and it is a particularly good topic for management and entrepreneurial types to study. Finding a business management style that suits your personality and the nature of your business is both important and worthy of time investment, as being self-aware and being able to identify strengths and weaknesses of various approaches will enable more effective personal development and ultimately more effective management.

While many have their own individual business management styles, these are traditionally broadly categorized into three main classes of business management approaches.

Autocratic Management

Firstly, there is what has come to be known as the autocratic approach to management, which installs more trust in the leadership as opposed to the individual staff. This involves pulling rank and leaves employees in no doubt as to whom the management is or what decisions are being made. Rather than engaging employees within the decision making process, this business management style typically concerns businesses that require direct, effective leadership to produce results, often under pressure of working in a tough environment. Upon hearing the term autocratic, many tend to visualise a dictatorial approach to management. While that is perhaps the case, it is seldom as strict as this and it is often a necessary management style, for example in the armed forces or in a high-paced trading environment, where there is no margin for deliberation and group consideration.

Democratic Management

Alternatively, there is a business management style known as the democratic style, where employees are effectively engaged in consultation before decisions are made. While some consider this to be more motivating and more enjoyable to work under, it does nevertheless have its own disadvantages. Giving employees a say may undermine the authority of the management, and may ultimately cause inefficiencies in the decision making process. It is also time intensive, and perhaps not as effective in larger organisations with thousands of employees. While of course at a board room level this kind of decision making goes on everyday, it’s one that works most effectively in slower paced business where decisions can be fully deliberated and considered.

Laissez Fair Management

An alternative to those two business management styles and the third main category is what’s known as the laissez fair management style. This is by definition a more hands-off approach to management, which puts the trust of running the business within the hands of employees themselves, and allows a greater degree of autonomy than would otherwise be the case. While this is strong in creative industries, some business people find that this style of management can lead to a fragmented approach to doing business and is less organised and perhaps less professional.

Whichever business management style you liken yourself to; there are advantages and disadvantages of that approach. What’s important is not that you recognise which of these categories you fall under, but rather that you’re aware of the improvements that can be made to make your management more effective and efficient while also improving the relationships you share with employees at all levels of the organisation.

Kris Nickerson asked:


“With the continuing explosive growth of e-commerce, small- and medium-sized businesses that are able to reap actionable information from a rich online platform are uniquely positioned to compete in the online marketplace,” says Michael Emaus, President and CEO of eEnterprise (www.eEnterprise.com), a global integrator of NetSuite, the world’s leading on-demand, Web-based business management software. “Today, e-commerce demands sophistication, in terms of the online shopping experience, which products are presented to customers, and how sales are tracked.”

According to the U.S. Department of Commerce, e-commerce sales rose to $25.2 billion during the first quarter of 2006, an increase of more than 25 percent over sales during the first quarter of 2005. Adjusted for seasonal variations, the first quarter 2006 growth of e-commerce over fourth quarter 2005 was more than double that of retail sales overall.

“Although online sales currently represent only about three percent of all retail sales, that number is sure to climb,” says Emaus. “It’s crucial that online retailers position themselves to take advantage of this trend. NetSuite business management software integrates a flexible e-commerce platform with the critical, real-time information e-tailers need to make sound decisions.”

With NetSuite, online retailers can easily increase sales by automating up-sell and cross-sell recommendations on the shopping cart page, as well as by allowing customers to purchase and use gift certificates and coupons online. “Because accounting is integrated into NetSuite’s e-commerce solution, a customer can shop with a gift certificate any number of times, until the balance is used,” says Emaus. “An e-tailer can even offer downloads for purchase, using NetSuite’s ability for password protection and license codes.”

Behind the scenes, NetSuite gives a business owner or marketing team real-time, actionable information that they can leverage to increase their exposure to potential customers. “Instead of simply seeing which paid keyword campaigns are driving traffic to the site, an online retailer can see which campaigns are generating the most sales revenue, and make adjustments as necessary,” says Emaus.

The same holds true for inventory management, since NetSuite allows just-in-time restocking by dynamically calculating reorders based on seasonal demand or historical sales data. “Successful e-tailers don’t have inventory sitting around, nor are they caught with an item out of stock,” says Emaus.

He continues, “NetSuite removes the limits imposed by a traditional Web architecture and provides the online retailer with a marketing powerhouse. Small- and medium-sized businesses simply don’t have the resources to support the in-house staff necessary to design and maintain the e-commerce solution that NetSuite provides. Best of all, NetSuite is a Web-based application that can ‘turn on’ fully supported global resources in about five minutes.”

With the growth of online sales clearly outpacing traditional retail sales, NetSuite helps small- and medium-sized businesses level the playing field.

Luis Luarca asked:


Business management refers to one’s ability to manage a business effectively and efficiently while retaining profitability. But what does that mean? Anyone can ‘manage’ a business, right?

But do we really know how to manage a business? And if we do, what does that entail? Do you just run around your company telling people what to do or run to the bank and make deposits at the end of the each week? Is that business management?

If that is all it takes to run a business, why isn’t everyone a business owner? If managing a business is so easy, why are there consultants? Simple answer: business management is more daunting a task than we may think.

I have always said that no matter how large or small a company is, it is an overwhelming task to manage the everyday issues. We could all use a little bit of help.

Traditional business management, which is what I have studied and is the methodology I use when discussing business issues with clients, takes into account all aspects of running a business, large or small.

Whether it is a million-dollar company or a billion-dollar company, all companies run the same.

Traditional business management is pretty much self-explanatory; it is managing business through traditional methods that have been used for many years.

Those traditional methods incorporate three aspects: sales and marketing strategies, efficient operation and productions methods, and finance and accounting (SG&A). I believe all business owners should have some understanding of these areas of business and try to manage them as best they can. Most large companies focus on these areas in that they have the resources to pay employees who specialize in these particular areas.

For example, consider some of the largest companies in the United States like Home Depot, Starbucks and Dell. These companies require precise and expert management of their business operations at all times while maintaining a positive financial position for investors. These businesses pay full-time employees to function in the company in particular capacities.

When we look at small businesses in the United States, we have to ask, “Do small businesses have the financial resources to pay for similar resources such as a chief financial officer, or a qualified VP of Sales”? Quick answer: no! Actually, no is the only answer.

When we look at larger companies and how they manage their sales and marketing efforts, we find that larger companies have the financial resources to hire employees on a full-time basis who are experts in sales and marketing.

We can say the same for the third aspect of traditional business management, operations and productions. Once again, large businesses have the revenue available to have full-time positions for a general manager, a production manager, and sometimes, a Vice-President of Operations.

Again, small businesses rarely have the opportunity to pay experts full-time salaries, which could cost a business thousands of dollars annually.

So, now we know that traditional business requires the expertise of individuals in particular areas, such as finance, marketing, sales, production, operations, and management.

As a small business owner, can you pay the full-time wages of each of these employees? Do you have to hire all these employees in order for you to spend less time in the office worrying about business issues?

I have seen many million-dollar companies and I have seen a few billion-dollar companies; the only difference is that one pays for expert full-time employees and the other doesn’t. Obviously, the larger companies have the money to pay for expert employees, and small businesses don’t.

So how does the small business owner learn the basics of business management without paying for an MBA or spending thousands of dollars in annual salaries for experts?

Recently traditional business management had to make room for a new aspect of business: technology.

Through the years traditional business management has had to marry its strategies with the proliferation of technology where every business owner from Starbuck’s to Jim’s Auto has had to incorporate technology into its everyday operations.

The problem is that business believed that technology was going to be the solution for every problem, but it wasn’t until recently that business management thinkers realized that technology will fail if it is not implemented properly. That is, traditional business management must seamlessly marry itself with technology.

So, now you have this traditional business model to think of, and you also have to think that the model has incorporated technology. You see, managing a business is not as easy as it sounds. When you look at this business model I know for sure that you have never looked at your business in this way before. Believe it or not, graduate schools teach this stuff and larger companies obviously have the money to pay someone to think of this stuff, but what about the small business owner?

Small business owners do not have the financial resources to pay for this thinking and consulting companies for some reason; do not necessarily speak to the small business owner. Why not? Most consulting companies are always looking to fry the “big fish”, the 1% of businesses in the United States that can afford the phenomenal fees they charge.

Larger consulting companies do not have the time or the desire to speak to small businesses, nor will they change their fees which range over $400.00 per hour.

One of the comments I hear often in small businesses is, “Great idea, I wish I could get my people to do that, but I can’t expect them to change their ways.” I say, “You’d better get them to change their ways or you could be out of a job”!

Oddly enough, small business owners are reluctant if not skeptical in getting help for their business. To this day, I have yet to figure that one out. Why don’t small business owners look for help?

I firmly believe that business is business regardless of the size of the company, the annual revenues, or the number of employees. Keep in mind that the largest businesses in the world were once small businesses and today they are worth a great deal of money. All businesses “managed” their way to the top, regardless of the industry.

I have seen numerous multi-million dollar businesses in every industry, to include contractors, restaurants, service companies, and manufacturing companies. And I have also worked for companies that are worth billions and billions of dollars. They all have one thing in common: They all run the same some just have more revenue than the other.

I have always said that no matter what you produce to sell, HOW you produce it is what is of paramount importance to the growth of your business.



Your business is not too small or too large for a review of its current business processes. I have not met a business owner, a president or CEO of a company who can tell me that their business is running so smoothly that they don’t need to change. That is simply not true.

The natural stirring of the U.S. economy is what causes the need for change in all businesses of all sizes and I guarantee that if you are not constantly rethinking your business strategies, your competition is.

Can you say that your business is flexible enough to manage your competition and stay ahead of the curve, or that your business can handle the daily economic fluctuations in the U.S.?



Ask yourself some of the following questions.

1.Have your total revenues gone up or down from last year?

2.Has your profitability gone up or down from last year?

3.Where is the next dollar coming from?

4.Are you tired of going to work?

5.Do you have adequate inventory levels?

6.How many employees report to you on a daily basis?

7.Do your employees actually do what you ask and expect of them?

8.Do you have a management team in place?

9.Is there business expenses you wish you didn’t have?

10.Does every employee in your company have a specific job function that justifies their labor burden?

11.Do you remember when owning your business was fun for you and your family?

12.Do you believe your company operates as smoothly and efficiently as it could?

13.Do you have a long-range plan?

14.Do your employees share your vision of the business?

15.Who do your employees go to when there is a problem?

16.If you actually met me, would you be able to tell me that your business doesn’t need to change, or that it is truly profitable?

If you are ready to move your business forward, get some help. Believe it not, the success of your business is important to this great Nation.

Business Local Listings asked:


To achieve financial independence, experts encourage even currently employed individuals to consider entrepreneurship. Setting up your own business, no matter how small, is touted as one of the best ways toward building the foundation for wealth. Those who are concerned about having a safety net need not take the plunge recklessly. One can start setting up a small business even while employed.  

Of crucial use to small businesses are credit card services and small business loans. The entrepreneur needs to know how to avail of these tools and how to effectively wield them for maximum business growth.

Credit Card Services

A small business would do well to get reputable credit card services in order to prosper in the current business climate. Availing of credit card services will enable it to accept both credit card and debit card payments. This is true either for brick-and-mortar businesses or internet based online businesses. After all, most consumers nowadays routinely use credit cards or debit cards for payment purposes. It only makes good business sense to be well-equipped for the needs of credit card users and debit card users as well as for the needs of customers who pay in cash.

Merchant services provide credit card services covering a wide range of solutions for the processing of credit cards and debit cards as payment options. These credit card services include traditional terminal equipment at point of sale, where credit cards or debit cards are swiped. It also includes software and high speed IP solutions for both traditional commerce and e-commerce. Credit card and debit card payments can, therefore, be accepted in person or through the internet, by phone or by fax.     

Small Business Loans

Any business – whether a small start-up business, a medium-scaled one or a big business company – will be needing an infusion of additional capital sooner or later. Additional capital is always needed for expansion, additional inventory, additional manpower, new systems, new equipment or a new physical layout.

Capital is not always easy to come by, though. The original investors’ personal coffers may have been emptied by the earlier outlays. Prospective investors may not be keen on shelling out funds in times of crisis. Businesses, therefore, have no choice but to seek business loans.

Getting business loans is a difficult process. Even small business loans are not readily approved. Be prepared to present a lot of documentation and paperwork. For small business loans, the proprietor’s personal credit history is taken into account and related references need to be submitted. Of course, the company’s financial statements are just as important in proving the feasibility of the business and its capacity to repay its business loans. Having a detailed business plan will show your business strategies and projections, demonstrating your business acumen.

Unfortunately, even with all the requirements completed, applications for business loans – including small business loans – are, more often than not, disapproved.

Solutions

Some merchant services provide a comprehensive solution for the needs of small businesses in relation to credit card services and small business loans. The set up is elegantly simple. A small business need only avail of the company’s credit card services to be eligible for merchant cash advances. These cash advances are actually small business loans, except that there is no need to go through the complicated application process for business loans. Repayment is made very easy and worry-free, too. A certain small percentage is built into the credit card processing rates to take care of the advances. This way, repayment is actually done automatically in a very affordable manner and according to income flow.

Small business owners would, indeed, be wise to look into these timely business solutions.

Business Local Listings asked:


Bad credit is one of the main reasons for bank loan denial. A credit score lower than 580 will most likely ruin your chances for a business loan. Multiple credit checks also lessens your chances for approval. And of course, a recent file for bankruptcy will ensure denial on your request.

Fortunately, there is no reason for despair if you belong to this group of people. There are now available alternatives for getting a small business loan, regardless of your bad credit. It is important, however, that you understand your circumstances before jumping into these alternative means for a business loan.

You can opt for an unsecured personal loan in such cases. But before you do, consider these factors first. One, how much do you need as a business loan? Factor in the numbers and come to a close estimate of how much you really need. Two, how much can pay each month. You have to note that personal business loans often have higher interest rates per month and if you’re not careful, you might become more in debt than you actually were, before the business loan. And three, will you be making minimum payments? Avoid making minimum payments because it actually costs more in the long run.

A business cash advance is also one way of securing the money you need. A small business loan through cash advance is  relatively an easy process to go through as compared to borrowing money from a bank. Most small business, even if they do have good credit, have often little asset and property. This is what makes business cash advances a good alternative for small entrepreneurs in need of immediate money. The only important thing your business should have is access to credit card services (i.e. you accept credit cards for transactions). You just need to have your business’ credit scores established. The best way to do this is to separate your personal credit from your business credit. It is recommended that you control most, if not all, of your business credit needs from only one of two credit card service providers so you have better chances at getting approved quickly. Lastly, your business will need to have gained $2,500 to $4,000 as minimum credit card sales per month.

Most cash advance providers base the amount of business loans by average monthly credit card sales, and of course, your actual need for capital. A business cash advance as a business loan is recommendable because the processing time for approval of your business loan can be as short as 3 days. Since newly opened small  businesses encounter a lot of time constraints with suppliers and clients, easy and immediate access to additional funding is always a plus. Furthermore, cash advance as a small business loan now comes easy with the help of the internet. You can apply for a business cash advance online and have it approved the next day. The business loan will be directly deposited into your account once it is approved.

Use your small business loan to purchase new equipment, marketing, pay debt or taxes, or pay the payroll. Banks and big lending companies are now not the only way of getting a small business loan for your immediate business needs. Fast, online cash advance is now the new means of making your business grow and compete in whatever market you are thriving on.

Business Local Listings asked:


Setting up a home-based business may be a more cost-effective alternative to setting up a major company, but it may still drain the limited resources of a small business owner. To keep the business going, small business loans will definitely be necessary. These can be availed of through credit card services. This article will show you how.

First, you need to set up your home based business. Do your research on the type of business you want to establish. Find out what licensing and zoning requirements you need to meet and ensure that you meet them all. Do not attempt to cut corners here.

Get the services of an accountant, even if only on a consultancy basis, to help you set up your books and records correctly from the start. Ask for help in determining deductions so that you can plan on your business expenses. Establish a routine for keeping strict records of all income and expenses right from day one. Keep all business related receipts, invoices, client records, bank statements, bank deposit slips and canceled checks.

Being home-based, you need to set aside a particular place in your home just for your business. Make sure it can accommodate all the necessary equipment. Check that you have the appropriate electrical outlets and have them installed if needed to avoid overloading your system. Set up rules to keep the area insulated from household noise and disturbances.

Have a business phone installed that is separate from your residential line. Avoid having your children answer the business line. Install an answering machine to take calls when you are out or occupied.

Get a post office box so that you can use that address in your official stationery and other documents, keeping your business profile professional. Hold client meetings in rented conference rooms or set business meetings in good restaurants.

One of the most important steps in setting up your home-based business is to acquire credit card services that will enable you to accept credit card payments and debit card payments. These credit card services provide all the necessary software and hardware for you to be able to process payments in person, online or by phone. This step alone already expands the customer base that you can access.

Credit card services will also serve you well once your home-based business begins to feel the need for additional capital. When you need to get small business loans, you will not have to approach banks which are most likely not sympathetic to small home-based businesses.

The need for small business loans usually comes when the home-based business is already at least a year old. At such time, your home-based business would have created an average monthly credit card sales record with your credit card services company. You can refer to that when you approach your credit card services company for small business loans, sometimes called cash advances.

Credit card services do offer small business loans to their clients based on average monthly credit card sales, without the need for any collateral. The aforementioned average monthly credit card sales guarantee your company’s capability to pay the small business loans. Payments will be automatically deducted as a percentage of future credit card sales. This arrangement frees you from worrying about the amortization for your small business loans, too.

As soon as you pay up your small business loans completely, you are automatically eligible for new small business loans for as long as your home-based business is getting a good monthly average in credit card sales. With the help of credit card services, you can continue to expand and grow your home-based business.