Why run a business naked?

by: Rebecca

May 27th, 2010

What would the world be like if we ran our companies naked? I try to adopt this approach as much as possible at Duport.  

 Reasons to run a naked business:

  • Resources

No one will borrow your chair anymore and you may even find your stationery is less likely to go astray.

  • Distraction

Top distraction technique for unpopular announcements.

  • Free tanning

Make good use of your computer monitor radiation.

  • Economising

How can you chip in for that birthday present when you keep your wallet in your trousers?

  • Time management

No more ironing or deciding what to wear in the mornings.

  • PR

Let’s face it no one will ever forget you.

  • Staff motivation

Casual Friday will have to take on a whole new meaning.

  • Saving the planet

Less washing and no requirement for air conditioning.

  • Health and Safety

No more working with hazardous substances.

(some ideas taken from Jokecentre.com)

There is a serious side to running a naked business. By this I really mean stop spending so much time protecting yourself, treat everybody equally and give information honestly and freely. If this is reciprocated you will work with staff, customers and suppliers to achieve amazing results. Naturally (get it) you need to exercise some caution with regards to how much knowledge could be passed on to your competitors. 

Does anyone else have any positive reasons for running a naked business, keep them clean please!

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Should I Take On A Business Partner?

by: Thomas

May 25th, 2010

should I take on a business partner

Two brains are better than one … or two many cooks spoil the broth?

Yesterday evening I finished work at around 10pm, and went for a well deserved beer with one of my business partners. My wife and children would already be sound asleep at this point. That’s another night I didn’t get home to see my 2 year old daughter and 6 week old son.

Our website design business is still in its infancy in many ways, but it has come a very long way since its rebirth last autumn.

  • We worked hard in the formative stages on producing a product that was a “no brainer” for our customers, but also one that would be viable for us.
  • The next stage was to prove we could deliver the web packages we designed.
  • The next stage was to work on building the volume of enquiries we got.
  • Then suddenly beyond our wildest expectations, the number of enquiries grew exponentially.
  • We had to increase our capacity to handle those enquiries, and the subsequent business. This meant recruitment and training.
  • We had to work on a strategy to manage our relationships with our existing customers amidst the madness. This meant careful prioritisation and basically working longer hours.
  • We had to work on a way to filter and share the enquiries that were coming through, so that everybody got a call back. We opted for Salesforce.com.
  • We had to implement a system to manage the accounts and billing. We opted for sage.
  • All the time we had to keep getting the job done, and dealing with the usual business administration.

Here’s the point:

The above developments have all occurred in an 8 month period, and there’s just no way I would have progressed the business this quickly alone.

Had I taken the view that I wanted a larger share of the profits and more control, it would have come at a cost to the development of the business, the number of times I get to put the children to bed and my enjoyment of what is now a very fun, energetic and exciting business.

I have been lucky. My business partners to date have included: My dad, a good friend and somebody who originally came to work for me.  Important qualities in your relationship with the person you choose are:

  • You have to be prepared to give honest criticism and to hear it.
  • Your relationship should be built on trust and respect, such that if things do go wrong, you can keep a clear head and act fairly at all times.
  • You have to learn that blame and praise is irrelevant. It’s all about making the business work.
  • You have to know the person that you are partnering is as committed as you, and similarly they will demonstrate it in different ways at different times. Everybody has good days and bad days.

I don’t have experience of starting a venture with somebody I didn’t know because to me it feels like too big a risk.

  • What if they aren’t as smart as you initially thought?
  • What if their commitment/interest/focus/attention shifts?
  • What happens if they don’t hold up their end of the deal (I guess that you become resentful about holding up yours)

Seth Godin wrote a nice article about finding a way to divide up a business with partners. Essentially you allocate a percentage of the business against deliverable (measurable) tasks or results.

i.e.

  • designing / implementing the product is worth 20% stake
  • getting the first 5 key accounts is worth 35% stake
  • task x is worth 15 % etc

If you figure out who is responsible for what at the beginning, and the value of that contribution in relation to the ownership of the business, it creates an environment where everybody is allocated a stake fairly according to effort and results. This can save resentment and disappointment further down the line.

So to summarise, there is no linear answer. Every business is different, every person is different. Your answer should boil down to:

  • What skills/input can your partner provide that you can’t
  • Can you find a share allocation you can be happy with (or a plan to distribute it based on contribution)
  • Can you find a partner you can trust?
  • What is the benefit of growing the business quickly vs. greater ownership of a slow-burner?
  • How valuable is your free time? (Much harder when you have children)
  • Are you the sort of person that can collaborate and share?

For me, I would always look to work a solution with a partner first. Share the risk, share the load, share the rewards, share the enjoyment and most importantly, share the inevitable headaches.

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Congratulations you’ve started a new life

by: Rebecca

May 24th, 2010

I was lying in bed yesterday contemplating the arrival of my second child in 2 months when I started to think about the similarities between the arrival of a new baby and starting a new business:

Am I good enough?

Before the birth of my first child I had many sleepless nights wondering if I would be good enough to raise a child. The pressure to be the perfect parent and the guilt associated with spoiling something with infinite opportunities and possibilities can be overwhelming. I hear similar sentiments everyday from budding entrepreneurs. The truth is you’ll make lots of mistakes and you’ll discover early on to learn from this and move forward. If you are committed you are good enough.  

Can I afford it/ is now the right time?

Sometimes we don’t get a choice and redundancy, like an unexpected pregnancy is a surprise. However, most of us spend time worrying about when the right time is to start and if you’re going to be really honest the wasted time is simply you losing the battle against your anxiety. Yes, common sense must be applied but there will always be a reason not to start right now.

I am yet to hear from someone who had the situation forced upon them that it wasn’t the best thing that ever happened. Like every parent you’ll find a way to cope financially because you have to.

 Mixed feelings of excitement and trepidation

You will experience constant waves of excitement and anxiety. You will have more time for the positive if you discuss and plan for your concerns.

Have a plan!

Most parents and business owners know that it’s rare we stick to our plans (I’m sure you’ve worked out I’m referring to birthing and business plans) but we must have a place to start and build from. Having a plan will ensure that you keep control and focus and it will give you more confidence.

Sleepless nights

The sleep deprivation experienced during the first few weeks of parenthood is not a fair comparison to starting a business but with children and businesses be prepared for many sleepless nights fuelled by concerns or exciting plans. 

Teething problems

With any great success you have to expect teething problems. We learn from our mistakes and you are bound to make most of them at the beginning when you have the least experience.

How much support will I get from partner/family/friends?

Some of us are luckier than others in this department. It is very important to consider how starting a new life will affect those closest to you. Quite often you’ll never know until you begin and learning to know who to share your success, excitement and problems with may be surprising. Jealousy from partners who have to deal with sharing your time or the success and attention of your new business is common.

Research/ Advice

Everybody has an opinion you can read a hundred books but the simple truth is that you will work it out for yourself. I am a firm believer in research and listening to others but use advice as a starting point to find what works best for you in your situation. Nobody knows what they are doing, despite appearances and bravado, but with time you’ll be dishing out plenty of advice yourself to those starting out!

Having experience of both I can honestly say it is terrifying to start either of these utterly life changing situations but once you begin you just crack on (there isn’t much time for worrying anyway) and at times it is tough but overwhelmingly it’s exciting and rewarding. Wouldn’t life be boring if we didn’t challenge ourselves?

Can anyone else think of some comparisons?

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How much money is enough?

by: Hannah

May 21st, 2010

How much is enough for you?

Running a business can be damn hard work, but it also brings some pretty massive rewards. One of which is being able to control your own salary!

But entrepreneurs surveyed by Barclays seem to be very relaxed about how much they get paid.

When asked about their priorities for running a company, money was way down the list of most common responses.

It seems that most people are more interested in the autonomy and control that comes with having your own firm, than in the financial rewards. Over half of those surveyed said that having direct control was the biggest motivation in starting a company, and 42% saw it as a way to improve their work/life balance.

But as far as money was concerned, entrepreneurs have very mixed ideas about how much is enough.

Around a quarter of the respondents thought that up to £50,000 was a fair reward for their work, and another quarter considered £39,000 enough.

But 19% stated that taking home just £15,000 was enough to keep them happy.

It just goes to show that for some people, the job you’re doing is as much a reward as the wage you get for it.

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Worst PR examples

by: Rebecca

May 20th, 2010

There’s no such thing as negative press; what a load of rubbish! I accept that notoriety amongst certain celebrities has earned them significant revenues but that’s just personality prostitution.

The rest of us see loss of reputation and negative press as disastrous to our businesses. We all make mistakes but unfortunately the attention we receive for our failures, in our society, is magnified.  The dilemma is, that we need to learn from our mistakes to make progress.

When I’m dishing out yet another personal critical review I like to remind myself that companies with lots of money and expertise often get it badly wrong. Here are some classic PR mistakes and well publicised examples: 

Product issues

Toyota recoils over recalls

The brand has been badly damaged and reputation of Japanese car makes ruined by the recall of over 8m cars.

Persil’s rotten lot

Persil Power was meant to clean clothes at lower temperatures but it soon emerged that its new catalyst attacked certain dyes in clothes beyond repair. Pictures soon circulated of rotting clothes.

Bernard’s birds get flu

Sales plummeted and several countries banned UK poultry imports following an outbreak of bird flu at the Bernard Matthews farm. The brand struggled to recover. 

Poor planning 

Extra time at Wembley stadium

The new building was a year late and 400m over budget.

Opening of Terminal 5 at Heathrow

BAA hoped to put an end to “Heathrow hassle” but upon opening made it a great deal worse with one in five flights cancelled.

Ikea Stampede in Edmonton

20 people needed hospital treatment following the midnight opening of the new store. The 6000 shoppers, entertained by fire eaters and stilt walkers, were turned away after just 40 minutes when security fled and ambulances arrived to treat customers with heat exhaustion and crush injuries.

 

No understanding of target audience

Ratner’s owner jokes his product is rubbish

500m was wiped off the value of the high street jewellery chain after its owner claimed its goods were substandard. During his infamous speech he stated a sherry decanter was cheap because it was “total crap” and that his earrings were cheaper than a prawn sandwich but wouldn’t last as long.

Topman at Topman insults customers

Topman’s chief was quoted branding its customers as “hooligans” and claimed that its clients only wore suits for court cases.

Barclaycard chief loses his credit

Barclaycards top exec was quoted saying that smart customers should steer away from credit cards.

(examples above taken from various telegraph.co.uk articles)

Can anyone else think of any big PR disasters that I can console myself with when I am confronted with another learning experience!

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A Business Opportunity

by: Peter

May 18th, 2010

Dear Sir

I wanted to pass on this great opportunity as soon as possible. It has come to my notice that there is a significant team building opportunity that might transform Beacons into a nationally recognised brand. At the top of the organisation there is a small group of enthusiastic people who have merged their management teams to form a single entity.

While at the surface this is completely harmonious I believe there is a significant amount of team building required to turn this bon ami into a genuine working team structure. At this level the opportunity is probably no more than 20-40 individuals. There may be some need to be flexible about expenses but no doubt your adaptability in this situation should result in your efforts being honoured!

Moving on and following undoubted success at this level there are 300-400 members of the newly formed team that require immediate help and this may take many months to complete. I understand that the target date for completing the project is May 2015 by which time I anticipate you will have undertaken a roaming series of bonding events and team training that will be required all across the UK for not less than 13 million people.

If you would like me to make contact on your behalf I have a couple of contacts that I can put you in touch with.

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How to create the best PR

by: Rebecca

May 17th, 2010

  • Exceed your customer’s expectations
  • Look after your staff
  • Learn what journalists want and how they want it
  • Position yourself as an expert by providing: opinion, information or carrying out research
  • Announce something
  • Organise an event
  • Do something unexpected (PR stunts).

Learning how to create the best PR takes time and commitment. Each of the points above could have several chapters written on them alone. Personally, I am always impressed by creative thinking and thought it would be interesting to draw your attention to some of the best PR stunts I have heard about. It might get your own creative juices flowing! 

The peanut protest

A student spent two weeks pushing a peanut across London, to Tony Blair, using his nose  to protest against student debt.

The Womens Institute calendar girls

A group of women in a Yorkshire branch of the WI posed naked for a calendar to raise money for leukaemia. A movie and stage show as well the calendar sales have raised millions.

Best job in the world

Tourism Queensland advertised “best job in the world” – a caretaker for one of the islands of the great barrier reef. This included a £70,000 salary and a luxury villa for 6 months. The applicants had to generate interest by asking the public to vote for them. Tourism Queensland not only employed the most enterprising and creative individual for their marketing team but got their message out all over the world from the candidates attempting to get votes for their applications. Genius.

Doves real beauty campaign

Using real women instead of models on their most recent campaign generated a 700% boost in sales. 

Lotus faceless people

Lotus placed people with prosthetic skin covering their facial features at key events. The people wore black carrying the message that you are no one until you own a Lotus.

Walkers do us a flavour campaign

Walkers challenged the public to come up with a new flavour of crisps. There were over a million entries and the winners saw their creations of chili chocolate, onion bhaji, and cajun squirrel turned into reality.

Naked Gail Porter on the Houses of Parliament

FHM projected a 100ft naked image on the Houses of Parliament. 

Fathers for Justice

Members from this campaign group dressed as super hero’s and scaled famous buildings to draw attention to their protests. 

Madonna kisses Britney

The Madonna and Britney kiss at the MTV awards dominated the media for days. 

Blue smarties

The removal and reinstating of blue Smarties by Nestle to promote their commitment to removal of artificial ingredients.  

The human billboard

An engineering student glued himself to a billboard in London to promote his book “this diary will change your life” in order to fund himself through university.

(Taken from taylorherring.com)

Can anyone else remember any good ones?

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Best and worst companies during the travel chaos

by: Rebecca

May 13th, 2010

As discussed in my last entry I was astounded at the short sightedness by the majority of companies seeking to limit their costs and even capitalise on the recent travel chaos rather than creating invaluable great PR.

My husband and I were congratulating ourselves on how lucky we had been to fly out of Heathrow an hour before all the airports were closed. Increasing concern replaced our smugness , with every passing day, as we heard more shocking and appalling tales of the treatment of stranded travellers. We began to appreciate the potential gravity of the situation we were now in. This transcended to panic by the end of the week when our fears were confirmed, that we too had been stranded in Dubai with our one year old son.

I feel unable to name and shame, on our website, the well known companies that we discovered had dumped their customers with no help or empathy, or even worse the ones that sought to capitalise from them.  I will name the companies I had a direct experience with.

My PR shame list

As we were independent travellers our insurance did not cover us. Imagine how much extra business an insurance company would gain from advertising that they were the only company that did pay out!

Travel companies hid behind the “act of God” clause in their terms and conditions. I was appalled to hear how passengers travelling, with well known operators, had been dumped and told to sort the problem out themselves.

Hotels and car hire companies increased their rates by as much as three times to capitalise on distressed and stranded passengers. I also understand that many refused to refund customers or allow them to alter their dates.  A bit of empathy with their customers would have gained more credibility then could ever be achieve by expensive advertising campaigns. So many businesses promote themselves on their customer service and this was the opportune time to prove it.

I appreciate that this is a pretty unique situation but there was simply no excuse for the poor information and lack of sympathy from these businesses to their most valuable assets, their customers. Even though the airspace had been reopened I could not get through to any representative at Royal Brunei. The website claimed that all confirmed flights were leaving as scheduled.

Our airline, being international, had no legal obligation to get us back home for “acts of God”. Our flight was confirmed but Royal Brunei still left us waiting at an empty check in desk before sending out a terrified, lone representative, an hour late to advise us all that they had given our seats away.

The only word to describe the airports was chaos. I simply couldn’t believe how rude and aggressive some customer service staff I encountered were. At the airport, in Paris, staff had misplaced our pushchair. This was particularly distressing for me as, by this point, my son had not slept for a day and I faced a 15 hour wait for my next flight with a writhing, exhausted one year old. A mother in tears did not evoke any kind of sympathy so my husband was forced to create such a fuss security had to be called. Only then did we get any help!

How much great PR would have been gained by companies going to the airports offering free services, care and assistance for stranded passengers? What an easily missed opportunity 

Some companies, however, behaved superbly and proved to be real champions of customer service.

My PR fame list

Our knight in shining armour came in the form of Air France. Whilst the poor Royal Brunei representative was fighting off customers like a swarm of angry wasps, we jumped at the opportunity when Air France offered to get us to Paris on a flight leaving in 30 mins. They did not charge us, they processed our tickets quickly and efficiently, their customer service at check in and on the flight was outstanding, and they upgraded us to business class and gave my son his own seat. Not only this but they sorted a flight to Heathrow and arranged for our luggage to be waiting for us. Other passengers told us how they had also been rescued by Air France from all over the world. They are my customer service hero’s!!!  I will from now on always try to use them and endorse them at any opportunity. 

I was also pleased to discover that the company I used for airport parking “Heathrow Drive Fly” were offering customers full refunds, or changing dates and not profiting from extended stays.

Good PR does not come from announcing a new product or service and pestering journalists with dull press releases. It comes from going beyond what a customer expects, standing out from the competition and smart, creative thinking. Excellent customer service at Duport is our priority and my faith has been restored that we are not alone in our genuine care for our customers.

Can anyone else shame or fame a company?

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How did they manage?

by: Peter

May 11th, 2010

Last weekend I had great time in Cornwall and while I was there I visited the Lost Gardens of Heligan. In the head gardeners room was a register showing the weekly earnings of some of the 25 or so gardeners who worked there in 1902 and I was not at all surprised to learn that even the most senior ones only earned 4 shillings a day, which is if you don’t know £1 per week.

This clearly fulfilled my expectation of worker exploitation because £52 per year was not much of a wage even then. So today I decided to look at how that compared with earnings in 2010. Well £52 per year in 1902 equates after inflation to about £5000 per year today which is about the level at which you start to pay tax in 2010 and also near the level of basic benefits and also of our state pension. It’s also true that very few families in 1902 had more than one adult earner in the home so the total family income was effectively limited to something like £5000 in today’s money.

For many people this was probably as good as it got for all of their life and yet we are all here to prove they made a go of it in difficult circumstances. Hard as the next few years’ looks from here in 2010 I don’t think any of those gardeners at Helegan in 1902 would be daunted by what lies before us and neither should we. Without any NHS, pensions or a welfare state these people made it through difficult times and the worst we can expect is a reduction in what we are used to.

They did it because they helped each other and perhaps that’s the answer for us in 2010. The question that gives rise to is how do we get people to pull together today rather than look for scapegoats in our own cynical age. I have an idea but I’ll save that for another blog.

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What is PR?

by: Rebecca

May 10th, 2010

Simply defined PR is your reputation. It is how others perceive and talk about what you do and what you say. Your reputation is not only how the public perceives you but also how your staff views you.  Having a well known, good, reputation will not only ensure you continue to attract lots of business, you will also attract and retain the best employees who then create and strengthen your reputation and the cycle continues….

A great reputation is not gained through expensive sales and marketing strategies. True, these will bring customers to your door but if you do not meet their expectations you will quickly loose their business as well as that powerful, word of mouth recommendation we all strive for. 

As society we tend to focus on the negative and your mistakes are disproportionally more costly. Harsh but true, your reputation will be discussed more frequently if it is negative rather than positive.

PR is not advertising, you do not pay the media to talk about your company. Getting the media to talk about your company in a positive way is far more difficult (and the real art of good PR) than a juicy piece of negative press the journalists know we all love.  

Having first hand experience of the recent travel chaos I was astounded at the wasted PR opportunities by the majority of companies directly involved. Astonishingly this is at a time when certain businesses desperately need to increase their creditability amongst their customers and staff.

I know the problems have cost billions but did anyone account for the cost of the terrible PR.  How can these companies be so short sighted especially when they spend millions on sales and marketing? 

How do you ensure that you create a positive reputation?

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