I have always been an entrepreneur at heart. It started when I was young with something I call the playground economy. The playground was where I discovered I could sell baseball cards, gum, candy, or other little things for a small profit. When I was younger, a few quarters represented a nice return on my investment of time and energy. To this day I run a small business and I enjoy finding ways to make money.

The dream of small business ownership

Many people dream of owning their own business. Who wouldn’t like to be his own boss and set his own hours, meet with other small business owners over a nice lunch that can be expensed, and deduct home office and other expenses? Add in flexible hours, the ability to work from home, and a low barrier to entry and you have the perfect business, right?

Selling the dream. The dream of owning a business or working from home is a dream that is sold everywhere. You see it on TV, hear it on the radio, and you can read about it in the newspaper and online. A Google search for the phrase “work from home” returns 330 million articles. Many of these “opportunities” come in the form of multi-level marketing companies.

What is a multi-level marketing?

Multi-level marketing, or MLM, is a business model that relies on independent representatives to sell products for a company. Instead of the company paying for advertising and promotion, multi-level marketing companies rely on individuals to spread the word about their company. In return, the individuals receive a commission on their sales (more on this later, as commission plans can be extremely convoluted).

Multi-level marketing goes by many names, including network marketing, direct marketing, referral marketing, matrix marketing, direct selling, pyramid selling, and more. You may also hear it referred to as a pyramid scheme, but pyramid schemes typically don’t involve a product and are illegal in the US.

How multi-level marketing works

Multi-level marketing relies on peer to peer advertising and sales. MLM companies believe the best way to create sales is through a trusted source. Word of mouth advertising is much more persuasive than a 30 second TV spot or a full page color ad. Multi-level marketing representatives try generate sales through personal contacts, sometimes through events such as parties, product demonstrations, etc.

Multi-level marketing compensation

Many MLM companies are incorrectly labeled as pyramid schemes, which are illegal. The reason many MLM companies are referred to as pyramid schemes is because the compensation “trickles up” and often results in higher commissions for those near the top of the chain. Many MLM companies offer additional incentives for recruiting new members to your “downline.” In some plans you can receive a commission based on the sales made by people you recruited, and some companies even require you to bring in a certain number of new members before you can receive compensation, regardless of how much you sell. This brings up an important point – many multi-level marketing companies have complicated compensation systems.

Types of multi-level marketing compensation plans

The first red flag I see with many MLM companies is the compensation plan. You can easily determine how much you get paid for most jobs. Your compensation is usually based on a salary, an hourly wage, a commission, a bonus, or a combination of these. But many multi-level marketing companies have confusing compensation plans such as:

• stairstep earnings
• binary compensation plan
• uni-level matrix plan
• forced-level matrix plan
• hybrid compensation plan
• breakaway compensation plan
• compressed compensation plan

To top it off, the compensation plan may also include special bonuses or trademarked terms like Extra Super Duper Star Seller Level Silver to denote your compensation level. If you understand what those words mean or you can decipher the graphics and multi-paragraph explanations of the compensation plan, then you are one step ahead of me – and the majority of MLM participants.

*Note: Many MLM companies require independent distributors to purchase a minimum amount of products, reach a certain sales quota, or recruit a certain number of new distributors to be eligible to receive compensation.

Common multi-level marketing products

Most multi-level marketing companies offer products that fill a need or a void in people’s lives. The three biggies in everyone’s lives are Health, Wealth, and Love. These three categories make up a large percentage of the products offered by MLM companies. The most common products are health foods and nutrition items such as vitamins, juices, and extracts; skin care products; financial products; exercise equipment; household items; clothing and accessories.

One common factor among some (not all) MLM products is the relative high price compared to comparable items you can purchase from a retail store. Most companies or MLM associates will claim the difference is in the quality or proprietary nature of the product. But it makes one wonder if the price difference is from the quality of the product or the fact that several people get a cut of the sale?

Money Merge Accounts. A common financial product sold through MLM companies are money merge accounts, which work to more quickly eliminate your mortgage. Some of these companies are legitimate, while others are not. I recommend reading about the  Pros and Cons of Money Merge Accounts for more information.

How MLM companies recruit new members

The products MLM companies sell work on the emotions of the potential customer. The same often goes for recruiting new distributors. The biggest selling point is owning your own business, setting your own hours, freedom from a boss or a schedule, etc. Many companies have large conventions that are more like pep rallies than seminars. It is not uncommon to see some of the top distributors flanked by high priced cars or pictured in front of their multi-million dollar mansions. The truth is that multi-level marketing is a lot of work and the vast majority of distributors earn less in commissions than they spend on membership fees, training products, and minimum purchase requirements. In many cases, MLM companies are selling the dream of becoming wealthy.

Question to ask before joining a multi-level marketing company

As with any business, it is important to understand the company, business model, products, threats, opportunities, and other requirements before joining. At the minimum you should be able to easily answer the following questions:

• The company. What’s the company’s track record and reputation? Is the company public? Has it been involved in any major lawsuits regarding its operations?
• The product. Which products does the company sell? Does it have the evidence to back up product claims? Is the product competitively priced? Does the product appeal to a large customer base?
• The business model and compensation plan. Do you understand the compensation model? Is there a cost to join the plan (many companies charge outrageous prices for administration fees and training materials)? Is there a minimum monthly sales commitment to earn a commission? Will you be required to recruit new distributors to earn your commission?

Examples of multi-level marketing companies

Wikipedia has a list of multi-level marketing companies which can be found here. The list includes many prominent and well-known companies that you may have heard of, including Amway Global (also known as Quixtar), Avon Products, Discovery Toys, Mary Kay, MonaVie, Pre-Paid Legal Services, Primerica, and The Pampered Chef.

Are multi-level marketing companies scams?

Some multi-level marketing companies have bad reputations for many reasons, including the proliferation of scams. Some people who join MLM companies also turn into salesmen 100% of the time. So you end up dreading your weekly dinner party because it turns into one long infomercial. Running a business is great, but alienating friends to try and make a buck is never cool.

But that doesn’t mean that all MLM companies are scams. A few years a friend of mine started his own company, which I later learned was a multi-level marketing company. He ended up doing very well with it, and continues to do well to this day. He gave me some information about it, but in the end, I decided it wasn’t for me.

Is Monavie a scam?

MonaVie is a multi-level marketing company that has been in the media often lately, with many people asking if MonaVie is a scam, including this article, is MonaViea scam?, and this article.

I encourage you to read these articles for more information, then visit the Monavie website if you are still curious about this business opportunity.

What does the FTC have to say about MLM?

The FTC recognizes there are legitimate and shady MLM companies and has strong warnings against pyramid schemes, which are illegal, and several other warnings regarding multi-level marketing companies. You can read their words in these two articles:

• The Bottom Line About Multilevel Marketing Plans.
• Lotions and Potions: The Bottom Line About Multilevel Marketing Plans.

Multi-Level Marketing Companies – Good or bad?

The truth regarding MLMs is this: Some multi-level marketing are legitimate and represent a unique opportunity to run your own business. But it is hard work. On the flip side, there are many MLM companies that are scams. Do your research before you sign up for any business venture.

My experience. I know several people who have been involved in multi-level marketing programs. Some of them run their independent distributorship as a full-time job, and I know people who do nothing but write a check to the parent corporation each month and wish for a better life. Much of the result depends on the legitimacy of the MLM company and the amount of work you are willing to put in.

~$~

Related Articles:

1. Improve Your Career With Sales and Marketing Skills
2. Are Money Merge Accounts a Great Way to Pay Your Mortgage Quickly, or Are They a Scam?
3. Self-Employed Retirement Plans: Keogh Plan

Today’s Entrepreneur Spotlight is Larry Deane, from Empty Cabin Media, a blog consulting and website design company. Many people know him as Glblguy, the former owner and writer for the personal finance blog, Gather Little By Little (Glblguy was the anonymous name he chose when he started his personal finance website).

Larry has been a good friend of mine for over two years now, and did the customizations to the Thesis theme I run on my site. You can read more about the design in this article. Larry recently sold his personal finance website, and is now concentrating on his blog consulting and design business. Today’s interview discusses his entrepreneurial pursuits past and present. I hope you enjoy getting to know Larry a little better!

Entrepreneur Spotlight – Larry Deane from Empty Cabin Media

Q Larry, thanks for agreeing to this interview, I know this is a busy and exciting time for you. Can you share with us a little history about the entrepreneur in you? Was Gather Little By Little your first business venture?

A Absolutely Patrick, and thanks for giving me the opportunity to do this interview with you.

Gather Little by Little wasn’t my first business venture. To be honest, we would need to travel back in time to when I was around 12 years old. I learned to do software development on the old 70s TRS-80 Model III computers. I got pretty good at it, and while my Mom was shopping at the mall, I would hang out over at Radio Shack and play on the computers. The store’s owner saw what I was doing and asked if I would be interested in writing some “demo” programs for them in exchange for free and/or discounted merchandise. Of course I gladly did this. I’d say this was really my first business venture.

At the age of 15 I started working in a pet store selling fish and aquarium supplies. I enjoyed the aquarium hobby very much and started keeping my own aquariums. This led to another small business I ran where I would set-up and maintain aquariums for family, neighbors and friends. I didn’t have too many clients, but the side money was nice and I enjoyed it.

I later returned to the computer industry while in college and ran a small business that fixed computers, installed hardware, and trained people on how to use computers. I didn’t have a great deal of clients, but it was fun and made me some extra money. My Dad still has one of the original business cards I had printed up.

Once I graduated, my entrepreneurial endeavors got put on hold for a while as I started a career as a professional software developer, got married and started a family. Even then I continued to talk to my wife about wanting to work for myself someday and maybe being able to start my own software company, aquarium company, etc.

In 2007 I decided to give blogging a try. I didn’t start Gather Little by Little as a business though. I initially started it to help others by sharing what I was learning about personal finance. Frankly I never thought anyone would really ever read it. Three months or so into into it I realized that I could potentially make money from it in addition to helping others…a win/win if you will. Sometime later, I realized that blogging could be the foundation for a real business.

GLBL started out as just a small site for me to really play with and soon bloomed into a site that gained 3000+ readers and generated a pretty decent supplemental income for me. In my mind, it was a huge success and also proof that I could make a side business work.

Q It’s interesting that you didn’t start GLBL with the intention of it turning into a business like it did. Do you think there is more opportunity for “accidental businesses” than most people think?

A Absolutely. I think there are many similar situations where people just started blogging to share information with the their friends or just exercise their creativity only to find that there was a much larger demand for their topic and content than they thought. That’s exactly what happened to me. I initially thought that magazines and “professional” media sites would always win. I mean they have professional writers, editors, proof readers, artists, etc. What I found though was that people really loved reading articles from “real” people. They loved reading personal stories about our lives and how we achieve goals or make mistakes.

If you think about it, it makes sense. If you pick up a copy of say Money Magazine and read it, it’s pretty easy to walk away feeling like a complete financial failure. BUT, if you read blogs like you find the M-Network, you’ll feel at home and in good company. You’ll also realize that there are others out there just like you who are dealing with the same kinds of issues you deal with on a daily basis. My most popular articles on GLBL where one’s were I admitted mistakes and talked about how I was going to keep from doing them again.

Q As we mentioned in the introduction, you sold your website, GatherLittleByLittle.com. Did your design and consulting business play a factor in your decision to sell GLBL, and do you have any advice for anyone considering selling a website or other small business (valuation, money transfer, etc.).?

A Selling GLBL was an incredibly difficult decision, and yes, my design and consulting business played a large factor in that decision, along with many others. I sold GLBL for one primary reason though: to give me time to do other things I wanted to do. One thing everyone should know about blogging is that it takes time. To grow a successful and popular blog, you have to put a great deal of time into it. I did that with GLBL. But after writing for 2+ years about personal finance, I found myself repeating some of the same things…to be honest, writing on it was becoming a job. I certainly still enjoyed it, but I also had some other ideas in the back of my head I wanted to do. I found myself more excited about the new ideas then writing on GLBL. I’ve always been like that though. I start something, enjoy it for a while then move onto something else, sometimes coming back to it, other times not.

GLBL and the blogging community in general taught me a great deal about blogging and about how to build a successful blog. I began realizing I could use that knowledge to help others create blogs of their own. That is how Empty Cabin Media started. I started off just doing blog consulting and coaching, then branched out into development work and now offering full Wordpress hosting and support. Fortunately I jumped on the Wordpress Thesis theme bandwagon pretty early, and that has turned out to be 99% of my current development work. I would consider myself an expert at this point on the Thesis theme and I really enjoy making sites where you can’t even tell it’s using Thesis, like this one.

One of the interesting things with selling GLBL was how hard of a decision it was. I didn’t expect that. Over the 2 years I had really put a great deal of myself into GLBL and frankly developed a very strong relationship with my readers. I felt a personal attachment to them and the site itself. When trying to decide on whether to sell GLBL or not, those two things played a big factor. It was very important to me to not disappoint GLBL readers or let them down. I hope I didn’t do that. Many of the comments regarding the sale were very positive, but a few were really tough to swallow. Those still haunt me a bit.

As for advice on selling I do have some, but let me precede that by saying I’ve only sold one blog, so not even close to being an expert on blog sales. For evaluation, I used a 24 months of income rule. Meaning that the value of my blog was basically my current monthly revenue stream over the course of 24 months. I then added a premium due to rank, authority, and popularity. That became my asking price. While I can’t disclose the final sale price, I did end up getting very close to that in the end.

One suggestion I’ll provide for those that might consider selling their blogs or websites down the road is to keep meticulous records on both your traffic and income. Traffic is easy: just install Google Analytics as soon as possible. Income is a little harder. Fortunately there are many options. I started with a simple spreadsheet but now use Outright.com as it just makes things much easier for me (and it’s free!). Outright also integrates seamlessly with Freshbooks, the software I use for estimates and invoicing for Empty Cabin Media. Whatever you decide to use, make sure you track it monthly and by income source. Oh and keep it backed up and safe!

Q Blogging and web design are very different business models. What have you learned from running two different types of businesses, and do you have any related advice for others starting a business in either of these verticals.

A Yes, they sure are but there is also a great deal in common as well. The fundamentals of running a business still apply to both: record keeping, time management, marketing, employee/contractor management, etc. The key difference in the two models is clients.

With GLBL, I could write when I wanted to. If I didn’t want to write/post an article for a week I could, sure I might lose some traffic but I was the only one impacted. With my consulting business I can’t do that. I commit to deadlines and I’m expected to meet them. The other big difference is that with GLBL if I stopped writing, I continued to make money. Sure it might decline over time, but the income didn’t stop. With my consulting business, I get paid by the job in most instances, so if I don’t complete the work, the income stops.

Neither model is good or bad, just different.

As far as advice, for blogging here’s what I would suggest:

• Pick a niche to focus on that you are both knowledgeable about and enjoy writing on. If you don’t enjoy it, you won’t do it for long.
• Don’t wait, just start writing. Far too many people spend months trying to make their site perfect. Don’t make that mistake. If you think you have a good topic to write up, go reserve that domain name get your basic site set-up and start writing. Or better yet, let me do all of the set-up for you and all you have to do is write!
• Find other bloggers in your niche that are starting out like you. Partner with them, become friends and help each other grow. Much of the success of GLBL was due to the M-Network. As a matter of fact, you’re reading this because Patrick and I were in the M-Network together and became friends. Just like with any business, relationships matter.
• Don’t underestimate the amount of work. Growing a successful blog involves: writing, maintaining your site, keeping it fresh looking, marketing, participation in social media, and participation in your niche through reading other blogs and commenting on them.

My advice for starting a consulting/development shop is:

• Build a website that shows what you can do. If you haven’t done anything yet, do something for a friend for free. You can use that site as a testimonial for what you can do. Make sure you have a strong About page that tells your credentials and makes visitors understand why they should hire you.
• Participate in related forums and give information away free. This will get you noticed and help establish you as an authority. I did this by being very active in the DIYTheme forums for the Thesis theme. Most if not all of my current and past business came from readers of those forums.
• Create a blog. Make sure you have a blog on your site where you write articles about what you’ve done, are doing and shows readers what you can. Personally I even write up detailed articles that tell readers how to do cool stuff with Thesis for free. For example: Thesis feature box and Thesis Theme – Add another menu. Why do this for free? The articles draw readers to my site which in many cases convert to clients.
• Make customer service and quality your number one priorities. Customers are your bread and butter, and your business is only as successful as they make it. Don’t ever forget that.

Q What are your future plans for Empty Cabin Media or other business ventures? Do you plan on starting any more blogs or money making websites?

A That’s an excellent question and to be honest one I am still trying to work out. Ultimately I’d love to grow Empty Cabin Media into my primary business and do it full-time, but I’m not there yet. Doing so is tricky too as in order to grow it that big, it requires are large time investment. Something I just don’t have right now with 6 kids and a full-time job.

With that said though, my plans are to continue working with clients to develop awesome looking Thesis and non-Thesis based sites. I’d really like to continue to grow my Wordpress Hosting option as well, as I really think it could make it far more easy for non-technical people to start out from day 1 on a solid blogging platform that looks professional.

One new feature of Empty Cabin Media you’ll see soon are Thesis skins. These are custom Thesis files that you’ll just drop into the “custom” directory that will allow you to very quickly give you default Thesis site a slick look and feel. I have 3 or 4 almost ready to go and will continue to announce them. For now they’ll be free, but I would like to develop some more “premium” skins down the road and make them available for a reasonable cost.

As for blogging, definitely have a few things in the works there as well, so make sure you subscribe or keep an eye out for those as well. While they won’t be personal finance related, they will be about some other hobbies/interests I have. I’m working on getting the sites up and running now and hope to launch them soon. They’ll of course be based on Thesis!

Q Do you have any advice for budding entrepreneurs or bloggers?

A Sure do: Just start. I’m a huge advocate of just jumping into the “pool” rather than getting wet slowly. With any online business or venture, hesitation is time wasted. Start with the basics and grow from there, but JUST START!

Patrick, thanks so much again for the opportunity. It’s been a pleasure.

Thanks for sharing, Larry.

Do you have a unique entrepreneurial story to share? If so, I would love to hear it (please use my contact form). Unique stories, businesses, or other enterprises may be considered for future editions of the Entrepreneur Spotlight.

~$~

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Owning a small business is a lot of work, but it is extremely rewarding to see your creation become successful and bring in a steady stream of income. But your success can also make you a target for others who are looking for a shortcut.

As a small business owner, I realize the success of my business is due to many factors. One of those factors is the branding that goes into my business.

Branding is more than just a logo. It can refer to just about anything associated with your business, including the name of the business, slogans, logos, color schemes, typeset (think of the Coca-Cola logo), domain name, etc.

Your company branding is usually the first thing people associate with your business, and because of this, it is one of the  most important elements of your business. You need to protect it from people looking to either debase your standing within your industry, or use your good image to trick others into thinking their business is your business, and walk away with your customers.

How to protect your brand identity

The first thing you will need to do is identify the elements of your brand that are unique and should be protected. This can include things such as your company name, logo or symbol, and other distinct elements of your business. Once you have that list, think of the ways you can protect those elements. I am giving two examples of how to protect your branding, but this list is by no means exhaustive.

Trademarks. According to the United States Patent and Trademark Office, a trademark is a word, phrase, symbol or design, or a combination of words, phrases, symbols or designs, that identifies and distinguishes the source of the goods of one party from those of others. The ® indicates a mark that has been registered with the United States Patent and Trademark Office.

A trademark gives you certain legal rights to use and protect your trademark. To file a trademark, you must first make sure no one else has registered the trademark. You can search the government database, the Trademark Electronic Search System (TESS). After you do a preliminary search to determine your desired trademark is available, hire a lawyer. Seriously. There is a lot of paperwork, dotting the i’s and crossing the t’s. Protecting your brand is worth spending the money to make sure you do it right.

Copyrights and patents. Copyrights and patents are different forms of intellectual property protection. These links will take you to the United States Patent and Trademark Office definitions.

Domains. The internet is a wonderful place. But it is also full of opportunists. When you select a domain name for your business, consider buying the .com version, as well as the .org and .net versions of the same name. You may not need to buy all three versions of the domain for a personal blog if you do not intend to make it a business. But if you have plans on developing your website into a money making site, then you should consider buying the three main extensions.

I also recommend buying multiple domain names if your website can be easily mistyped into the browser. You can redirect multiple domains to your main site, ensuring no one else can piggyback on traffic that should have gone to your site. An example of this can be seen at the personal finance blog, SquawkFox, which is located at http://www.squawkfox.com/. The misspelling http://www.squakfox.com/ redirects to the correct page. Smart thinking, and solid brand protection.

You should also consider buying multiple domains to protect your brand identity if the words in your domain can be easily rearranged in a manner that could cause confusion if someone were to create a site in a similar vertical.

Don’t think you need multiple domains? A friend of mine recently discovered that someone purchased the .net version of his domain and set up a site that mirrored his. Based on how the other people did it, he most likely has some legal recourse. But in the mean time, it can cause confusion and loss of brand identity.

Domains are one of the cheapest forms of brand identity insurance. Domains are inexpensive – usually anywhere from $5-10 per year, depending on the company you use as a registrar and whether or not you have any applicable coupons. I always search for GoDaddy coupon codes when I register a domain, but it doesn’t hurt to shop around at other registrars such as Register.com.

Protect your brand, protect your company

The old saying, “an ounce of prevention is worth a pound of cure” rings true when it comes to protecting your brand. A small cash outlay upfront can save you an immense amount of frustration down the road, and possibly give you legal recourse against offenders.

~$~

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My wife and I recently sold one of our websites – no not this one! Several months after I started blogging, my wife decided she wanted to try her hand at it to see what she was missing. I think she was afraid she had lost me to the world!

My wife was in the medical field before she became a stay at home mom, so she started a health and nutrition blog. After close to a year of blogging, my wife decided her blog had run its course and it was time for her to hang up her blogging hat. That left us with a website that had value and was earning money, but was otherwise stagnant.

Why we sold our website

My wife put a lot of heart into her website. She shared her personal story, she had a substantial number of subscribers, and her blog was starting to earn a profit. However, she was no longer interested in writing new content and decided to move on. Because her site shared her personal story, she didn’t want to sell it. So we left the site up and continued earning a minimum amount of income through advertising.

Her business started losing value. The best time to sell her site would have been when she stopped writing, or shortly afterward when traffic and income were at their peak. After she stopped writing new articles, traffic and income started slowing down considerably.

After almost a year of dormancy, I asked her again if she wanted to sell her site. She was more open to discussing it and we finally agreed that we would sell it if we could get a reasonable price. I also told her we could use the money to start a 529 college savings account for our daughter, an idea my wife liked.

So I contacted a few people and came to terms with a friend who purchased the site and is now creating new content. Because the blog was already an established site and domain, I am positive it will improve in terms of traffic and income in relatively little time. I can’t share the terms of the deal, but it was enough that we feel we received a fair price, and low enough that the buyer should be able to turn a profit.

Bottom line: We sold the website because it was an asset that had more potential than we were realizing and it would continue to diminish in value unless it was nurtured.

When should you sell your business?

Many small business owners will face this question at one point or another. Your business may grow too big for you to handle, you may no longer have the expertise or desire to run it, you may get an offer that sweeps you off your feet, or you may simply wish to move on. Quite simply, there are as many reasons to sell your small business as there are types of small businesses.

Some reasons you may consider selling your business:

• Time. Running a small business takes a lot of time, and selling your business can give you more time for other pursuits.
• Money. Cash out; sell it to someone with the capital to expand it; sell it to fund another venture; etc.
• Life events. Death, divorce, birth, moving across the country, and a host of other personal reasons may tip your hand toward selling.
• Decreased performance. Decreased sales and revenue could be a good reason to sell your business. Sometimes a change in ownership can breathe new life into a company.
• Growth. A period of growth can be a good time to sell because it is more attractive to buyers. Growth may also make your business too much to keep up with.
• Partner wants to move on. Sometimes one or more partners can buy the remaining interest in the company, other times the entire business needs to be sold.
• Other opportunities.

There are no clear cut answers regarding the best time to sell your small business, and because each small business is unique, it isn’t possible to cover every example. Just make sure you do your research and make sure you are selling your business for the right reasons.

Have you sold a business? I’d love to hear about it.

~$~

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Jeff Rose is an Illinois Certified Financial Planner and co-founder of Alliance Investment Planning Group. He is also the author of Good Financial Cents, a financial planning and investment blog. You can also learn more about Jeff at his website Jeff Rose Financial.

At the beginning of the year, after being in our temporary office for all of 2007, we had the pleasure of moving to a beautiful brand new office. I’ve had the pleasure of moving apartments several times while I was in college, but moving an office is an entirely different experience. There are many things that you have to plan ahead for to make sure that your day to day operations are not affected by the big move. Here are seven things to help you prepare if you’re ever looking to move offices in the near future.

1. Line up the movers.

Having five completely furnished offices and not having any type of large moving truck to get going, we knew that we were in for a treat trying to get everything moved over in one piece. We were lucky enough to strike a deal with the business that we order most of our office supplies through and secured two movers and a box truck to get going. The rate was very very affordable and better yet, these guys were professionals, so they were able to move all of our stuff in a timely fashion without any scrapes or major catastrophes for any of the furniture.

2. Call the phone company ASAP.

Since our business is pretty imperative to have an open line of communication with our clients, and we knew that once we moved, we wanted to make sure that it was a seamless process where we could pick up right where we left off without missing a beat. By calling the phone company two months in advance, we were able to set up the exact dates that the move was going to happen. This is very imperative, especially if you have a business that is very customer oriented. You don’t want to miss that potential phone call that could end up going to the competitor down the street.

3. Don’t forget about the DSL.

In our case, our phone service was a different provider than our Internet service. Just like our phone service, our DSL is very very imperative to our day to day operations. We were able to call the Internet service provider two months prior as well to make sure that everything would be a seamless transfer.

4. You’ve got mail.

Whenever moving offices, you can’t forget about having your mail redirected to the new address. One thing that we were told by the post office is that if we had changed our address then the mail will be redirected to the regional office which would be in St. Louis. This then would have our mail delayed anywhere from three to four business days. We knew that if the mail was redirected up the regional office that it would cause a delay in our day to day operations. We instead opted to keep the mail going to our old location since our location was a temporary office building that would still have a receptionist to receive our mail. We then just had all our records and updated to the new address and continued to pick up our mail at the old location for the first month. This was to ensure that we would keep all our mail coming and not miss out on anything.

5. Plan for additional needs.

Moving into an office there is always the little things that you don’t think of that you need until you actually move in. At our old office we didn’t have to have furniture for a waiting room, conference room, bathroom, etc since it was a shared office space. With the new office we had to furnish these on our own. We knew it was imperative to set aside money to take care of any unexpected expenses that we would incur with the new office.

6. Don’t forget to tell your customers.

Similar to the “Save the Date” reminder cards that many soon to be newlyweds will send out prior to actually sending out their wedding invitations, we sent out two letters letting our clients know of the move. The first was just giving the heads up that the move was getting ready to happen and the second letter was letting them know that the move was official and we were now in our new building. We wanted to make sure that we gave enough of a heads up so that they were not in the dark by our new move.

7. Make the announcement.

When it comes to your business you want to make sure that customers know how to find you . Once you are in your new office and things are settled in, it is time to let people know where you are at. Send a letter out to prospects. Do press releases in your local newspaper and inform all your networking channels and media outlets about your new location. That way business will continue on as planned and you will be able to enjoy your new office.

Have you moved offices recently? What was your experience?

~$~

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Running a small business is a lot of work, especially if it is a one man job. Somewhere between playing CEO, secretary, technical support, CFO, lead marketer, copy-writer, and office funny guy, you are bound to run into something you either don’t know how to do, or something that someone else can do much more efficiently. When that happens, it’s a good time to look into outsourcing the work.

Knowing when to outsource work

I love running my websites. It’s an excellent creative outlet, I’m constantly learning something new, and I’ve met dozens of great people. As a nice bonus I’ve been able to turn my websites into a business and make a few bucks along the way. But I haven’t had all the answers and I haven’t been able to do it alone.

Realize you can’t do it all. When I started this website a little over 2 years ago, I had no clue how to run a website, create graphics, design a website, manipulate databases, etc. I struggled to try and do it all. For the first year I had an ugly site, struggled to write articles, network, and learn everything else that goes along with running a site. It wasn’t until I got in with a great network of other bloggers that I learned it’s OK to ask questions and rely on other people for help.

Recognize your strengths and weaknesses. In the early days of running my business pretty much everything was a weakness as I struggled to learn everything I could about running a website. As I continued to build my sites I began to learn which areas I was strong in and in which areas I needed help. Now that I have a good understanding of my strengths and weaknesses, I don’t hesitate to go calling on help – even if that means opening the checkbook.

Don’t focus on the cost, focus on value. If you’ve read my site for awhile you know how much I love saving money. I love finding deals, making money, etc. It’s a part of who I am. But I let that distract me in the early days of running my websites and I focused on how much money I could save if I just did it myself. I was often able to get things done, but it usually took longer and the results were often lacking. The cost in terms of hours spent, frustration, and lower quality job made me realize that the better value would be to outsource some tasks. Less frustration, quicker turn around, and higher quality results are worth spending money on.

Reinvest in your business. My websites first started as a hobby and I was reluctant to put too much money into something that was generating a positive return. After I began making money from my websites, I decided that the only way to take my sites to the next level was by reinvesting some of my income. And learning to outsource tasks to someone more efficient than me was the first step. Reinvesting in my business was the second best business decision I ever made. The best was starting my business.

Now I prefer to outsource when possible

It took me a long time to realize I can’t do it all and it took me even longer to realize that the solution is often to outsource work. Now I try to play to my strengths and outsource in areas where I am weak. You may find it also makes sense to outsource mundane or repetitious tasks, or tasks where a professional is clearly needed.

Here are some examples of when I have recently outsourced work for my business:

Taxes. I understand the basic concepts of self-employed retirement accounts, and I have a solo 401k. I also understand deductions, expenses, income, etc. But when you put it all together, throw in business and tax planning, add personal taxes, and place a deadline on it, things get more complicated. Instead of struggling through the tax codes, I determined it was in my best interest (and sanity) to hire an accountant to do my business and personal taxes.

Blog theme design. My knowledge of web design is limited. I know basic html and css, but not enough to custom design a theme. I could probably learn most of it, but it would take more time than I am willing to invest, and more importantly it would take me away from my family and core business functions. I contacted Larry at Empty Cabin Media to help custom design my Thesis theme. Larry also offers blog coaching and consulting and is a pleasure to work with.

Interested in the design of this website? Be sure to read about my theme design.

Blog logos. I don’t have an eye for design, and I am not skilled when it comes to designing logos or working with Photoshop. Thankfully, I know someone who is. Pete is a good friend and he also designs website logos. He designed the logos on Cash Money Life and Money Saving Deals, and I have contacted him to design the logos for several more sites that I run.

Blog consulting. I recently had to upgrade my web hosting service.  I used LunarPages for the last two years, but my websites finally outgrew their shared hosting service. I decided to move to Media Temple when I determined I needed a new host, and so far the move has worked out great. The problem was that I didn’t know how to move all the associated databases and information to get it set up properly and minimize downtime. Again, I could probably learn, but I was in a time crunch and decided this was a task best left to outsourcing. Ms. Crafty @ BlogCrafted offers blog consulting, blog setup, blog migration and other services. She was a great help in keeping my websites running during the transition, and I couldn’t have done it without her.

Outsourcing is one of the best business decisions I’ve made

There are only so many hours in the day that one can devote to their family, business, recreation, etc., and you need to determine how much time and effort you are willing to spend on your business. Outsourcing costs money. But so does time. In the long run, outsourcing may prove to be the least expensive and most efficient option.

~$~

Related Articles:

1. How Much is Your Time Worth?
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I was recently approached by another blogger and internet marketer about launching a joint venture. The idea behind it was great and I could tell by his enthusiasm and my initial enthusiasm that we were on to something that could turn out to be very special.

There were few, if any barriers to entry. All we needed to do was buy a domain, start a blog, and market it. But the more I looked into the opportunity, the more I realized that while this idea had merit and could potentially do very well, everything didn’t add up.

Analyzing a business opportunity with a  SWOT Analysis

A SWOT anaylsis is a way to perform a strategic business analysis. It stands for Strengths, Weakness, Opportunities, and Threats. To do a SWOT analysis, you make a quadrant on a sheet of paper and brainstorm all the possibilities for each of the four categories.

For this opportunity I came up with this SWOT Analysis (My SWOT was actually longer, I only used top level results as examples):

• Strengths: Excellent idea in an under served market; there is a need for this type of website.
• Weaknesses: No business plan in place; we have knowledge, but are not experts in niche.
• Opportunities: Possibility to establish an authority site in the niche.
• Threats: We aren’t experts in the niche, so it may be easy for an expert to surpass us.

A SWOT Analysis can be applied to many situations, including your business, career, educational opportunities, and even your personal finances. Personal finance example of SWOT Analysis: Strengths, Weaknesses, Opportunities, and Threats.

Other factors to consider along with SWOT Analysis

Is there a market for the business? This was one of the biggest strengths to the idea. We both strongly believed there is a market for this type of site. Neither one of us have found a good example of what we had in mind. The opportunity is rich for someone to create an authority site in this niche.

Have a strong business plan in place. As I mentioned, the idea behind the site was excellent. But as we discussed the details of how it would be run and what each person would be responsible for, I came to the realization that a good idea does not equal a good business plan.

We had a good understanding of who would use the website and how it would be used, and we knew how we could make money from the website, but we did not have a clear understanding of each person’s responsibilities. Before long, it became evident to me that while the other party brought the initial idea to the table, I was going to have to do the bulk of the legwork.

Know your strengths and weaknesses. I have a good understanding of what my strengths and weaknesses are related to the internet and blogging, and after talking to the other person and examining his work (which is very good by the way), I realized that too many of our strengths and weaknesses were aligned. Most business partnerships work out better when each partner brings a separate set of skills to the table. But our skills were very similar and we were deficient in several places – potentially creating a weakness to the business.

Don’t spread yourself too thin. This was the biggest hindrance for me. I currently run this website and several others, and I have a full time day job. I love running my websites, but with my current obligations and a baby on the way, I simply don’t have time to take on another project – even though this one has merit.

Recognizing when to pass on an opportunity

This was one of those times that I felt it was best to take a rain check on this opportunity. I believe we could pull it off if we both had the time in our schedules, some solid preparation time, and a strong business plan. But right now those things didn’t line up just right. This is a great idea and opportunity, it’s just not the right time.

~$~

Related Articles:

1. Knowing When to Outsource
2. When Should You Sell Your Small Business?
3. Multi-Level Marketing – Business Opportunity or a Scam?

After months of searching for a new theme and design for my site, I finally pulled the trigger. Cash Money Life got a face lift today, and I couldn’t be more pleased with the results. This site is still a self-hosted WordPress blog, but the theme is now a customized version of Thesis, one of the most popular WordPress themes available.

Thesis – Premium WordPress theme

Thesis is a great theme for WordPress. I chose it above other premium themes because right out of the box, it is simply the most flexible and robust theme available for WordPress. Thesis is great for SEO, easy to use, highly customizable, and features full support and a rabid user base.

Here are some more reasons why I chose Thesis:

Support and user forums. Thesis comes with free updates for life and Chris Pearson, the core designer behind Thesis, is passionate about keeping Thesis at an elite level. There have already been numerous updates and enhancements to its functions and capabilities. Pearson listens to Thesis users and incorporates many requests into the feature list. Thesis also has a support forums where users can post questions, hacks, and anything else Thesis related. It’s a great way to solve your questions in as little time as possible.

Flexibility. Thesis allows users to make quick changes from inside their WordPress dashboard. Want to have 2 columns or three columns? No problem – change the settings and hit save. Want to change the font or font size? Simply select the size and style from drop down lists and click save. There are many other features that are easy to incorporate this way. Here are some examples of what other people have been able to do with

Hooks and code. Thesis has a simplified method for delivering code. The core files are kept in one set of files and customizations are kept in a separate file. That makes it easy to make updates to the core code without having to worry about losing any customizations. Hooks are a simplified way of delivering the code in an efficient manner that makes Thesis a little faster and more efficient when running queries.

Thesis cost. Thesis isn’t free, but it is very affordable when compared to other premium themes. A single use license only costs $87, and a developer’s license costs $164. The difference is that a single use license can only be used on one url, and a developer’s license can be used on as many urls as you own. Since I have more than one website and plan on using Thesis more than once, it makes sense to buy the developer’s license. Here is more information about purchasing Thesis.

Want more info on Thesis and it’s capabilities? Check out these links:

• About Thesis — Find out more about Thesis and the DIYthemes philosophy.
• Thesis Demo Site — See the Thesis Theme in action!.
• Thesis Gallery Showcase — See killer customizations from around the Thesis community!.
• Thesis Testimonials — See what our customers are saying about their Thesis experience!.

Customizing Thesis

I am not very good when it comes to customizing themes, thankfully, I know someone who is – Larry from Empty Cabin Media. You might also know him as Glblguy, the blogger over at Gather Little by Little. Larry’s business focuses on blog consulting and blog coaching. In addition to blog consulting and coaching, Larry specializes in customizing Thesis themes for bloggers such as myself.

Larry was a real pleasure to work with and was able to handle all of my design requests and even added a few improvements and recommendations along the way. I don’t hesitate recommending him to anyone who needs a shot in their arm to improve their blog or their blog’s theme.

Customized Blog Logos

The new logo you see at the top of my site was done by Pete from Logos for Websites. He also designed the 125×125 graphic that is used at the end of my posts. Working with Pete was a pleasure and I have contracted him to design several more blog logos and banners for other other websites and projects I am working on.

Pete’s logos are high quality and very inepensive when compared to most logo designers. Not only that, but he has a very fast turnaround time! If you are looking for a new blog logo, banner or graphic, I encourage you to check out Pete’s website – you’ll probably recognize quite a few logos he has designed!

~$~

Related Articles:

1. Weekly Roundup – New Theme Edition
2. Knowing When to Outsource
3. Roundup – Upgraded Thesis Edition

Now that you have an idea for a blog, your niche, the desire, and a domain name, you need a webhost to host your site. Most new bloggers only need a shared hosting package, which means your website(s) will be on the same shared server as many other websites. This is the most economical and practical solution.

As your blog or websites grow in terms of traffic, required storage space, bandwidth used, and other factors, you may need to pay for a more robust hosting service. But for now, we’ll look at some bargain hosting packages, which will be more than sufficient. And for my money, the best shared hosting service is LunarPages, which is the host that my websites are currently on.

The best web hosting option for blogs – LunarPages

Why Lunarpages? LunarPages is very inexpensive, reliable, easy to use, has good customer support, lots of free software, one click software installations (important!), and a long track record of success. I have been with LunarPages for 2 years now and have had very little downtime on my sites, which for shared hosting is very good. Here is a little more information about why LunarPages is my favorite option.

LunarPages features:

• $4.95/mo (12 or 24 month plans)
• Free domain with 12 or 24 month plan
• Unlimited storage space and bandwidth
• Unlimited add-on domains, subdomains, and parked domains
• Unlimited e-mail accounts
• Ecommerce options
• CPanel, Fantastico, and more
• Tons of software support
• Tons of free software
• Excellent customer service
• 30 day money back guarantee
• Sign up for a LunarPages web hosting package
  

LunarPages is upward scalable. Should you outgrow the basic hosting plan, you can opt for one of LunarPage’s more robust hosting packages, which range from $10/month and up, depending on the plan and your needs. You won’t outgrow LunarPage’s hosting options anytime soon.

Other hosting options. As I mentioned, I have been very happy with LunarPages – bang for the buck, I think it’s the best option. But I also have friends who have had good success with their shared hosting plans, most namely with Blue Host, Host Monster, and Host Gator. These webhosts offer similar services in terms of software, add-on and subdomains, and other features. However, they may be slightly more expensive than LunarPages, and I haven’t used their customer support. But my friends swear by them, so I figured I would mention them. Take a look at all the plans and purchase whichever plan is the best for you.

~$~

Related Articles:

1. How to Start a Blog for Fun or Profit: Hosted vs. Self-Hosted
2. How to Start a Blog for Fun or Profit – How to Choose a Domain
3. How to Start a Blog for Fun or Profit

Congratulations for making it this far in starting your blog. Now you you know which topics to write about and have decided to use a self-hosted blogging platform, you need to choose a domain name. Your domain will be with your site forever and it is a very important factor in the success of your blog. These tips should help you find the perfect domain name for your new blog.

How to choose a good domain name

Your domain is your website’s calling card – it will be one of the first things people recognize and it will be with you for the life of your blog. The difference between a good domain and a poor domain can mean many more repeat visitors. That is why it is so important to get it right the first time!

Qualities of a good domain. A good domain is something that will be relatively short, easy to remember, and more importantly, easy to type. Branding is another factor to consider – popular sites such as Google and Twitter are made up words. If you do this well, you might be on to something. If not, you might find your domain in the next section – poor domain names.

Qualities of a poor domain. A poor domain may be hard to remember, have complicated words or spellings, be confusing, and may use excessive numbers or dashes in the name. Be careful when using a made up word; while Google and Twitter were mentioned as good examples of made up words that succeeded as brands, there have been thousands of made up words that died a slow, lonely death from lack of visitors.

.Com, .net, .org… What’s the difference? In the hierarchy of the web, .com extensions are the most common and most favored, followed by .org, .net, other country codes (.co.uk, .ca, etc.) then other extensions. Always try for the .com first, then if it is not available, try for the .org, or .net. Try to avoid the .info extension, as many of these are used by spammy websites and infomarketers.

Where and how to purchase a domain

I purchase my domains from GoDaddy because they are easy to use and usually among the cheapest options (but not always). I have also used Register.com to register domains. GoDaddy and Register.com also offer hosting packages, which you will need to get your site up and running. Another option for registering domains is through your webshost, but many people prefer to keep their domains separate from their host. If you don’t mind having your domain and host in the same place, stand by for the next installment, in which I will discuss LunarPages, which offers a free domain with the purchase of a 1 year hosting package – that might save you a few bucks!

Use GoDaddy coupon codes. I always use GoDaddy coupon codes when I purchase domains. I have saved hundreds of dollars over the last two years just by adding a GoDaddy promo code before I submit my purchase.

Brainstorm and try different options. When you visit GoDaddy you will see a box to input your desired domain name. Enter it and click the submit button and GoDaddy will check your desired name against all registered domains. You may find your first choice is taken – if so, keep trying variations or other domains until you find what you are looking for. When you find your desired domain name, go to the checkout, and don’t forget to use your GoDaddy promo code before you purchase it!

Next up – Hosting!

Now that you have your blog topic and domain, we will need to discuss hosting options. For most people a shared hosting package will be the best option. Stay tuned!

~$~

Related Articles:

1. How to Start a Blog for Fun or Profit – Choosing a Web Host
2. How to Start a Blog for Fun or Profit: Hosted vs. Self-Hosted
3. Protect Your Brand Identity