Business Partner: Look Before You Leap

Special Guest Post by:  By Nina L. Kaufman, Esq

Once upon a time, there was a fox that had fallen into a well. A thirsty goat ambled by and asked the fox if the water was good. The fox told the goat that he had never tasted such clear, pure, water in his life. The goat was so thirsty, that he went into the well to drink his fill, without thinking how he would get back out of the well. Once there, the fox suggested that the goat stand on his hind haunches so that the fox could nip up to the top, and then pull up the goat after him. The goat happily complied. However, once the fox climbed out of the well, he soon made off in another direction. “Wait!” cried the goat. “You broke our agreement! You promised to help me out of here!” The fox replied, “You have more hairs in your beard than brains in your head, Mr. Goat. Otherwise, you wouldn’t have gone down the well without thinking how you were going to get up.”

This Aesop’s fable tells us a lot about trust, collaboration, and – for the purposes of this article – having a plan. Plans are especially important when it comes to choosing a potential business partner. So often, the promise of “something new” (like new love) can make us blind to the realities, the quirks and the weaknesses, of the business relationship

For example, there are a number of entrepreneurs who have formed a new business entity with a co-owner without having worked out the details of how the business will be owned, what each owner will be expected to contribute, and under what circumstances each can leave the company. Each issue by itself could wreck the company if the owners can’t reach an agreement. That’s why having a business owner agreement – whether a partnership agreement for a partnership, a shareholders’ agreement for a corporation, or an operating agreement for an LLC – is such an essential first step . . . perhaps even more important than forming the company itself. You can always form a company after you reach an agreement with your co-owner. But dissolving a company because you can’t reach an agreement with your co-owners is, well, a sad waste of money and time.

David learned this lesson all too well. He and his potential business partner, Kevin, were eager to start an animation company. They had worked together at Disney Studios a number of years ago, got along well, and when the time was right, looked to each other for the camaraderie and “brain trust” they had shared in the corporate world. So they started to discuss the possibilities of setting up shop together and began negotiating the terms of a business owners’ agreement. They were trying to work out the company’s operations – who would be responsible for what – when Kevin decided to totally renovate his apartment. This, despite the fact that Kevin was not in corporate America drawing a salary, but an entrepreneur trying to build his business. “All my friends in corporate America were getting something new,” Kevin explained. “A new apartment, a weekend place in the country, a new car, a long vacation – I deserved something new, too.” The contractor made a real mess of the place, so Kevin had to deal with that situation. This put negotiations with David on hold for a bit. Negotiations resumed, but several weeks later, Kevin developed some kind of debilitating stomach virus.

Then, a special (and time-consuming project) dropped in Kevin’s lap, which took him to Tokyo for several months on assignment. Then, Kevin’s father suffered a terrible stroke, and Kevin flew to Wisconsin to spend time with him. David hasn’t heard from Kevin in over a year. “Thank God we didn’t actually start something,” said David. “I would have had to spend all my time chasing after Kevin and following up after him. I’m glad I took the time to try to negotiate the deal instead of rushing into it.” In other words, David looked before he leapt and, in hindsight, he didn’t like what he saw.

So what should you look at before deciding to go into business with someone else?

1. Do you really need to do this? What’s your motivation? Are you lonely working alone, or does this person really offer another skill set that you don’t have? Think creatively about whether you can get your real needs met in an employee or outsourced contractor situation . . . or by developing a mastermind alliance.

2. Be honest with your own strengths and weaknesses. Like #1, above, it helps to know yourself and how you need the other person to contribute. Are you looking for a financial partner? Someone to share the workload? Do you need a creative mind to balance your managerial one? What strengths and weaknesses overlap?

3. Don’t fool yourself. As with personal relationships, we may turn a blind eye toward certain behaviors because we really just want the relationship to work out . . . for reasons having nothing to do with the other person. David saw Kevin undertaking major financial burdens (in the form of apartment renovation), and doing so at a time when Kevin did not have a lot of disposable cash. And why? For the adult equivalent of “all my friends have [one].” Kevin’s financial irresponsibility was a definite warning signal. David was wise to keep his eyes open.

4. It’s never too late. Entrepreneurs often feel pressured to start a business right away because they might lose a competitive advantage, or the potential business partner might walk away. In some cases, you might be right that you can’t wait forever. Nevertheless, that doesn’t mean that rushing into a new venture is right for you, either. If David had rushed to form a company with Kevin, he would have found himself tethered to a company with an AWOL owner, and possibly incurring a lot more in expenses to either keep the company running or dissolving it altogether.

5. Get it in writing. Mr. Goat didn’t think through what would happen if he went down the well. And many entrepreneurs don’t think through the possible permutations and options in starting a business with another. That’s why having advisors on board – legal, accounting, coaching, etc. – are so important in guiding you through this process. Putting your observations and desires in writing helps crystallize your thinking about the relationship.

Entrepreneurship is a calculated gamble. That’s why making sure you have a business owner agreement before you form the business is so important. If you “look before you leap” – especially when choosing a business partner – you can ensure that you’ll leap into abundance instead of a dry well!

© 2004-2009 The Legal Edge LLC. Nina L. Kaufman, Esq. is an award-winning business attorney, author, and speaker. Under her Ask The Business Lawyer umbrella, Nina offers easy-to-understand business law resources that protect small businesses and save them money. To learn more, and receive our FREE “LexAppeal” ezine, visit http://www.GreatBusinessLawTips.com  or contact Contact Us. This article is for your general information only. Be sure to consult with an attorney regarding your particular situation to make sure you get the specific advice you need.

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Does the ‘Real World’ Still Exist?

My vote is the latter.

Social networking sites like Facebook, MySpace, Naymz.com, LinkedIn and even the microblogging site Twitter all should supplement your daily personal and work interactions, and NEVER serve as a substitute for face-to-face encounters.

Sure, it’s a lot easier to log onto your favorite site, type for a few minutes – maybe IM someone or “send a drink request” via Facebook — than scraping off your car in the dead of winter to fight traffic, or take a train, plane, taxi or bus to meet someone.

But, I ask you to consider … what price do you pay for this comfort?

A friend’s hurt feelings? A confused client? Upset relatives?

Reading words on a screen, even with a video and/or audio element added, is and never will be the same as having a real dialogue in person.

Many times there are subtle nuances to communication and body language that “speak” far greater than actual words. How does this non-spoken “conversation” get conveyed online?

It can’t. But, worse, yet, often the message being sent and even its tone are misunderstood or misconstrued by the recipients.

Before you drop your Internet access, I’m not suggesting that you close your online accounts, and resolve to meet everyone in your network once a week or even monthly.

I am simply reminding everyone of the importance of a phone call and in-person encounter.

So, the next time you consider sending your former colleague a friend request, sit back, log off, and pick up the phone.

Or, schedule a visit the next time you’re in his or her neighborhood.

I guarantee you that the impact you make in reconnecting with this person in such a manner, will far exceed the actual cost of the call or gas in your car.

Nothing speaks volumes more than a real-life hug or handshake.

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Women and The Power of Red

For years, business women have been taught that if you want to look professional you must dress a certain way.  Conservative colors and fabrics remain a standard in business attire for men and women. We’ve been told that nothing makes more of a statement of your class and professionalism that a black, navy blue or gray suit.

But wait a minute.

It seems as though Secretary of State and fellow baby boomer, Hillary Clinton, is proving you can exhibit class and make quite a power statement as a woman in red.  During a recent breakfast meeting in India, Mrs. Clinton made her own fashion business statement by stepping out in a bright red business suit.

She was described as “looking radiant”  with “her short blonde hair neatly pinned back perfectly complemented her attire with the ensemble being completed with smart cream and black pumps that seemed more than adequate for the long day ahead.”

Kudos to Secreaty of State Clinton for telling boomer women it’s OK to step out of your comfort zone–as long as you do it with class and style.

Have you or would you ever wear a red suit to a business function?

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Add Video to Your Marketing Strategy

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Need a Coach?

Special Guest Post by:  Heidi Richards Mooney

No matter what stage of life you are in a coach can help you get to that next stage. It’s like losing 20 pounds, the first 10 are the easiest and then it seems we struggle in our attempts to loose the last 10.  One of the reasons may be that we have no one to share in the final victory, or we fear judgment about how long it is taking or we second-guess ourselves about what we need to do to reach our final destination.  A coach can be a cheerleader, a resource for more information, and a friend who doesn’t “judge” the what, why or how of our plans. And a good coach can help us make better decisions and celebrate our successes. 

“In times of change, learners inherit the earth, while the learned find themselves beautifully equipped to deal with a world that no longer exists.” Eric Hoffer 

One of the questions you need to first ask yourself before working with a coach is this: “Am I coachable.”  I believe baby boomers are very coachable. Why?  We have had enough experiences to know what we want and what we don’t want.  We become more open to ideas as we grow wiser, especially in this day of lightning-speed change. We are likely more adept at working with others.  Most baby boomers I know are optimistic, courageous, have a great work ethic, want more quality relationships and more meaningful careers.  We have been the self-indulgent route, we have had money and lost money and had it again and know that money doesn’t buy happiness.  We are used to working outside our comfort zone and are able to bounce back from setbacks. We actually listen to our peers and even younger generations and will take their advice when we know it’s good for us.  And we are ready to realize our full potential. 

Coaching works best when you know what you want to get done.  As long as you are open to feedback and willing to create positive change in your life coaching works.

So what are the things you should consider when working with a coach? 

1. Someone who is willing to give you the time and undivided attention you need to reach your goals
2. Someone who understands your needs and most importantly your goals
3. Someone you know, like and trust
4. Someone who can help you assess your own life and get very clear about what you want to accomplish
5. Someone who will help you evaluate your goals and come up with a plan (and timeline) to achieve your goals
6. Someone who asks good questions and more importantly listens for the answers
7. Someone who holds your feet to the fire (keep you accountable)

Where can you find a good coach?  Ask! Ask your friends for referrals. Network and find out who is using a coach and what success she or he has had. Interview potential candidates.  Ask for a sample coaching session.  See if she or he is a good fit for you.  While you don’t have to think alike it is good to have someone with whom you are not constantly butting heads.  Just as it isn’t good to have someone always agreeing with you, it is also not good for your confidence to have someone who always points out when you are wrong. When you do a sample coaching session you will find out if the coach is “in tune” to what you are all about.  

Working with a coach can be a very rewarding and exhilarating experience. And at times it might even be frightening.  The right coach can help you discover your true gifts and talents. The right coach will help you face issues you didn’t want to or couldn’t face.  Working with a coach can help you no matter what your goals are; whether it’s to loose weight, make more money or live your ideal life. Working with the right coach can help you grow in ways you never thought you would (or could). 

©Heidi Richards Mooney – (a baby boomer) is a Professional Speaker, Business Coach and the Author of 8 books including: “Quirky Marketing ~ 365 Ways to Grow Your Business Using Zany and Non-traditional Holidays.”  She is also the Publisher of WE Magazine for Women. Stop by http://www.speakingwithspirit.com to get a FREE copy of Quirky Marketing, Chapter 1. 

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The Power in Your Voice

Have you ever given much thought to the fact that your voice is a part of your overall image?  Did you ever stop to think about the impact your voice has on others?   

I am talking about the voice you hear on your answering machine or voicemail – the voice you don’t recognize, don’t like, and probably find embarrassing. 

There are hundreds of websites devoted to women, women’s issues, women’s image, juggling career and motherhood, how to look younger, etc. The list goes on and on. Few of them of them, if any, regularly discuss the value of voice improvement.

I want you to imagine the following scenario:

• your voice is warm, rich, resonant;
• you sound more mature – not too old, not too young – ageless;
• your voice is continuing to improve with age when nothing else on your body is;
• your neck and shoulders are no longer tense or sore by the end of the day;
• you are able to control your nervousness in any form of public speaking;
• you no longer yell at your kids – you project – and they actually listen;
• you speak with color, with life, with emotion;
• you exude confidence;
• your self-esteem is positive;
• you like hearing your voice on your answering machine.

If any of these benefits are of interest to you, all it takes is some training to discover your ‘real’ voice, a voice that can captivate your listeners and improve your life in ways you never thought possible, both professionally and personally.

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Sexy is Not a Corporate Look

Summer time is here.  As women in business, that means we must be mindful, more than ever, of how we choose to dress to impress.

Barbara Pachter, a business etiquette expert and author of the NewRules@Work: 79 Etiquette Tips, Tools, and Techniques to Get Ahead and Stay Ahead (Prentice Hall Press), issues her comments on professional summer dress. She says ”sexy is not a corporate look” and warns that dressing seductively in the workplace can severely damage a woman’s credibility.

Although warmer weather is often to blame for unsuitable work attire, Pachter also blames inappropriate television role models, fashion designers and a lack of self-awareness as some of the reasons why many women dress seductively.

But she stresses, you can still be feminine—just without flaunting your figure.

The key, Pachter suggests, is to ask yourself what you may be drawing attention to via your clothing. “Are you promoting your ideas and your competence or your sexuality?

Here are 7 suggestions from Barbara to ensure your business wardrobe stays professional, regardless of the weather:

1. No Cleavage—Period. I am amazed that I need to tell women that cleavage is not appropriate for the office. And it’s not!

2. Avoid Short Skirts. Showing too much leg (even really good ones) is never an appropriate way to dress for the office. Avoid high slits and keep your skirts no higher than the top of your knees. When the skirt is significantly above the knee, the knee becomes a visual anchor and draws people’s attention down to your legs. Is that where you want people to look?

3. Make A Smart Decision About Stockings Michelle Obama usually doesn’t wear them, but should you? Some offices require them, others don’t. Stockings provide a cleaner, more finished look, but they are not always necessary in today’s business casual environment. Stockings won’t help an outfit that shouldn’t be worn to work in the first place. And the issue becomes moot when you wear pants. But the appearance of your legs should be considered. Legs with lots of veins, scars, moles or very pale skin are usually better covered up.

4. Less Really Is More The less skin you show, the more professional you’ll be, so no exposing your belly, no see-through tops, and no spaghetti strap tops. (And, ugh, no thongs showing from the tops of your pants. We just don’t need to see it!)

5. Stay Away From Skintight Outfits Your clothing needs to fit, and not overemphasize body parts. Fabrics bulge and buttons pull when the item is too tight.

6. Shoes Count People notice shoes. It’s one of the little details that add polish to your professional presence. No flip flops or sandals. It’s not the beach; it’s work. One manager said, “I do run a casual place, but when a job candidate showed up for the interview in flip flops, I just couldn’t hire her”

7. Know That Sex Appeal Has It Limits. If your road to success is being based on how sexy you look, you are dooming yourself to failure. Eventually you won’t be able to compete.

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Barbara Pachter is the author of numerous books, including The Power of Positive Confrontation ($14.95, paperback, Marlowe & Co.) and When the Little Things Count…And They Always Count ($13.95, paperback, Marlowe & Co.) second edition.

Pachter is a speaker and coach specializing in business etiquette and communication. Her client list features major organizations worldwide, including Microsoft, Pfizer, Cisco, and Genentech.

For a free copy of Pachter’s communication e-newsletter, Competitive Edge, go to www.pachter.com. or you can check out her blog at www.barbarapachter.blogspot.com

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What is Your Marketing Soul Plan?

Every woman in business needs a marketing plan if she wants her business to grow and become successful.  Your plan should outline details of what you want to achieve and how you plan to achieve it. 

According to Business Coach, Kendall SummerHawk, there’s something called a Marketing Soul Plan—which is just as vital.  Here are some tools Kendall says you need for this particular plan:

Marketing Soul Plan Element #1: Clarity

There is no virtue in trying to help women entrepreneurs who don’t value what you do. Instead, choose a tribe of women entrepreneurs who are hungry and eager to have their problem solved and are generous in paying for that help.

Marketing Soul Plan Element #2: Money

Who else wants to be a Spiritual Millionaire? I do, and I am well on my way to achieving that goal with my woman-owned business. If you’re one of those woman business owners who have been holding back from allowing money to flow abundantly into your business (and hence, your life) then it’s time to do some soul-searching to clear out your old money stories.

Yes, it’s okay to be spiritual and rich… so how much do you want to make in the next year? Choose a number to include in your Marketing Plan that is both a stretch and realistic. Write it down, and then decide how much you want to create every 90 days and write those numbers down too. Stay focused on your Marketing Plan numbers as you decide how you spend your time each day.

Marketing Soul Plan Element #3: Boundaries

The road to success isn’t paved with good intentions (or affirmations); it’s lined with great boundaries that honor you and your Soul’s Divine Mission. What are five boundaries that you’ve been soft on? Those are costing you big time in lost focus, lost income and a lost sense of your own personal power. List them out in your Marketing Plan along with one small action you, as a woman entrepreneur, are a commitment to taking to clean up each of them.

Marketing Soul Plan Element #4: Perfectionism

Perfectionism is fear in disguise. It’s simply a smoke-screen that women entrepreneurs’ egos create to keep them playing small or hiding out. Include in your Marketing Plan this statement: “I agree, commit and promise to take action before I feel ready, before I feel that I know enough and before I know how it’s all going to turn out!” Then do it and see how much you leapfrog ahead of where you are now.

Marketing Soul Plan Element #5: Receiving

There’s no point in practicing gratitude and attraction principles if you aren’t also practicing receiving. If you believe that the universe wants to give to your woman owned business then you must be skilled at receiving. So where do you start to practice receiving? How about starting by raising your fees, asking for a referral or even just accepting a compliment with a gracious “Thank you?”

Kendall SummerHawk, the “Horse Whisperer for Business” delivers savvy ways for entrepreneurs to turn hectic businesses into 6-figure successes. Get her “7 Quick and Simple Tips to Brand, Package and Price for More Money, Time and Freedom” at http://www.kendallsummerhawk.com.

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Women Can Do Anything

Launching a new business or growing a part time one into a full time company, takes a lot of focus, determination, inspiration and skill. Focus and determination must come from within, but fortunately inspiration and skills can come from the internet. Women Can Do Anything has recently launched three new features for women in business to promote their businesses online. Although it was founded in 2001, the site now offers an entirely free site to business women.

Business women can submit articles to the site to showcase their expertise and to help other female entrepreneurs start their own businesses. They can submit to a number of different categories from Building Wealth to Personal Development.

“The site has a relatively high ranking with Google” says Tracy Matthewman, owner of Women Can Do Anything, “which makes it a valuable choice for women to promote themselves through our business directory and event calendar.”

The site also profiles successful women to show others that it can be done and to hear the challenges and successes of others who have gone before them. Business women can also submit their own stories to share the news of a product launch, a case study, a new method of growing their business or even their own personal discoveries.

Today a business without a web presence is sure to suffer. Sites like WomenCanDoAnything.com provides an easy way to expand that presence absolutely free.

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http://www.WomenCanDoAnything.com Women Can Do Anything is an online community for business women and female entrepreneurs who are looking for free ways to promote their business. Business women: promote your business in three ways: submit articles, business directory and event calendar.

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You Have the Right to Relax

For many women in business, being busy is sort of like a bragging right–the hustle and bustle of life in the fast lane is a marker of success in your career.  But research on stress suggests that the best way to trul succeed in life is to master the art of RELAXATION.

You have the right to relax.  If you don’t learn how ro do it, it can take its toll on your health, personal and professional relationshops, productivity and overall well-being.

Relaxation is free and not only can save your helath but also your sanity.

Here are some tips:

Figure out what’s fun:  Define what relaxing means to you and go do it.  It could be a bubble bath, a long walk, prayer and meditation, going to the gym or doing absolutely nothing.

Schedule some down time:  Learn how to enjoy being alone with yourself.  Turn off the computer, your cell phone, iPhone, iPod and discover what happens when you’re not distracted by external forces.

Recognize when stress is winning:  Whether stress comes from work, family or elsewhere, it’s bad for your health.  When it starts gaining ground in the form of headaches, insomnia, or arguments, it’s time to take a break and re-group.

Keep your eye on the prize:  Think about what relaxing will do for you–and focus on the rewards.

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Is Your Tank Empty or Full?

As a woman in business, it’s not unusual to be like the energizer bunny who keeps going and going and going.  But at some point, you’re going to run out of gas. 

How do you know when it’s time to stop what you’re doing and give yourself a well- deserved rest?  Some people keep pushing themselves until they have no more push left in them.  That’s called burn-out.  You’re basically running on fumes

When you find your enthusiasm for what you’re doing starting to diminish, that may be the sign that your tank needs to be re-filled.  Here’ are some suggestions:

Get some much needed rest.  In order to really know what kind of rest you need, you need to tune into your own heart first, and see where your tank is at.

Start with some Remembrance. That’s always the best way to tap into your own heart, and take stock of where you’re at.

Then, feel your inner “tank.” Are you full (had enough input to last you a while)? Or, are you empty (can’t feel much left inside, thirsty for something new)?

This is a subtle distinction so you should give yourself the time you need to feel where you’re truly at. And be aware that one can masquerade as the other.

If you still have trouble figuring out what level your tank is at, try this: 

Take the idea of going to a bookstore, the library, or a mall perhaps.  Hold that idea in your heart while you remember for a minute or so. How’d that feel?

Take the idea of being alone on a walk (park, beach, wherever). Or running, biking, swimming, etc. Or playing with a dog, or blowing off steam in your favorite way. And hold that idea in your heart while you remember for a minute or so. How’d that one feel?

If the bookstore/new idea brought peace to your heart, then you could use some filling. If the alone time/steam-blowing did the trick for your heart, then it’s emptying that should be your agenda.

The important thing to remember is we all need a break to rejuvenate us.

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