My entrepreneurship – Page 2

Success in service industry: Retainers, recommendations and referrals

Knee deep in a service industry business, I’ve found a real, consistent rhythm of where financial success comes to these types of companies.

The act of selling products, of course, is like finding your Atman of the service industry, so, acknowledging that that is at the top of the pyramid and any kind of client work is the foundation, let’s look at what helps these service businesses thrive enough financially to ever endeavor to trial a product or two: the three “R’s.”

Continue reading Success in service industry: Retainers, recommendations and referrals

ONA 2011: conferences are good for more than just their sessions [VIDEO]

My colleagues Sean Blanda, Brian James Kirk and I learned plenty at the 2011 Online News Association conference in Boston, but we also did more touring and connected more with old friends and colleagues than last year. We even sneaked out to use the city's new bicycle sharing program and visit Fenway Park, among other sights. We were in Boston for the conference from Sept. 22-25. Photo by some lady who took the camera from her elderly father.

Sometimes, if not most times, what happens outside of the sessions can be what’s most valuable about a conference.

I learned plenty the traditional way at the 2011 Online News Association national conference, held in Boston this weekend Sept. 22-25, but I surely got more out of reconnecting with friends and colleagues from other markets, even more than I remember doing at past professional events. It also didn’t hurt that I dove more into Boston than I have while visiting elsewhere for work travel.

ONA has been a national convener among news innovation conversations for more than a decade, and more locally, I’ve been involved with reviving the Philadelphia chapter of the group.

Full disclosure: this year, I was able to attend thanks to the very generous support of the Center for Public Interest Journalism at Temple University and the Wyncote Foundation. I was able to attend last year with similar support from the William Penn Foundation, which has additionally funded the Transparencity reporting project I have led.

After a few years co-running a sustainable niche news site, participating in the online discourse around news innovation and attending events like ONA and others from the Aspen Institute, the University of Missouri and, yes, our own BarCamp NewsInnovation, I felt like attending the event was just as important to talk shop with others doing similar work across the country as it was to catch up on a lot of in-session conversations that felt less relevant to where we are professionally.

Tourism and good, smart friends aside, below I share what I learned in a conference’s traditional way.

Continue reading ONA 2011: conferences are good for more than just their sessions [VIDEO]

Shark Tank: 25 things I learned from watching the startup pitch reality TV show

Whether they are meant to be there or not, real business lessons are buried within the made-for-TV, startup-pitch-event-turned-reality-show Shark Tank, and despite the raised eyebrows, I love the program.

A rotating crew of five potential investors, billed as self-made millionaires, hear quick pitches from would-be entrepreneurs of varying skills, interests and levels of experience. Sometimes deals are made; sometimes those entrepreneurs walk away with nothing, aside from a little exposure.

This is not the first time I’ve talked about the show: last fall, I wrote about what the Knight News Challenge could learn from Shark Tank.

I watched most of last season and all of what has come out so far this year. I’ve got to thinking there are a few lessons to be learned from watching. Updated: Tech Crunch has a newer post offering lessons for the show.

Continue reading Shark Tank: 25 things I learned from watching the startup pitch reality TV show

Should your business use an independent contractor or hire a full-time employee?

Following President Obama’s much hyped jobs speech, small business owners have been discussing the direct ramifications for if his proposals were enacted by Congress.

My Technically Media colleagues and I were specifically interested in these details, as provided by the New York Times:

“The centerpiece of the American Jobs Act is an extension and expansion of the cut in payroll taxes, worth $240 billion, under which the tax paid by employees would be cut in half through 2012. Smaller businesses would also get a cut in their payroll taxes, as well as a tax holiday for hiring new employees.” Also: $4k to any business that hires an employee that has been looking for a job for six months.

Beyond the fact that those proposals aren’t actually in place yet, I wanted to share the basic, common reasons for why independent contractors and freelancers are still the way of the world, particularly in publishing.

Continue reading Should your business use an independent contractor or hire a full-time employee?

Selling Out: why some acquisitions are good and others are bad for Philadelphia business

Remember: I am an individual who is a technology reporter. These are my opinions and should not reflect those of my company Technically Media, nor its technology news site Technically Philly.

Online auction giant eBay bought for $2.4 billion King of Prussia-based e-commerce powerhouse GSI Commerce in March, and I spoke briefly about the deal on WHYY.

As NewsWorks reported, there was immediate concern about the loss of local jobs through contraction and restructuring. In my conversation, I pushed on the notion that there is important value for the region’s perception as a technology hub to have significant exits to point to.

This acquisition, I suggested, can be seen as a good thing.

In doing so, I raised the ire of Old City coworking space Independents Hall co-founder Alex Hillman, who told me he felt strongly that growing companies in Philadelphia was a lot more important than selling out to bigger players elsewhere.

This post is going to argue that we’re both right.

Continue reading Selling Out: why some acquisitions are good and others are bad for Philadelphia business

Steps to incorporate a business in Philadelphia (or elsewhere)

Last month, I described the process of dissolving the Technically Media general partnership, so I wanted to close the loop by quickly sharing our process for incorporation.

Mostly, this was a lesson in paying for a lawyer — doing it (mostly) right is worth paying. But I also wanted to share a few lessons I learned and some resources I used.

Why we decided to incorporate: (a) I expressed concern that as a new homeowner, I wanted greater protection from liability for our work (like liable or breach of contract concerns), and, as an added benefit, (b) we wanted to be W2 employees of our company, for the credit value of guaranteed payments. Moving forward, we also recognized (c) the benefit for the possibility of hiring employees.

Find the steps and resources below.

Continue reading Steps to incorporate a business in Philadelphia (or elsewhere)

Don’t try to sell for the first year but have a plan for what you’re doing to sell

I’ve been thinking lately about advice I’d give others about starting a niche product or, really, what I’d do differently myself.

In doing so, I’ve focused on business rollout timeline. The social sites of the web 2.0 world have developed something of a reputation around building audience first and a business model second. It’s a plan that I myself remember doubting, but I wonder if I was just being naive.

It takes time to develop what you are, which certainly will dictate how you’ll fund it. Last month, I shared some of my favorite pieces from Gary Vaynerchuck’s book ‘Crush It. He shared some in there that is relevant here:’ “I didn’t make a peep the first year and a half of doing [the wine tasting video podcast] show. I didn’t try one biz deal ever,” [p. 92].

He was busy building the audience. The best marketing strategy, he adds, is just caring. So build a community and then figure out how to fund it.

It still worries me, I’ll admit, but it’s the ultimate trial pitch. Don’t waste energy selling into something that isn’t there. Instead, focus on increasing users, creating community and building engagement and, if the community develops, then figure out how to pay for it. If the community doesn’t develop, well, then, the project didn’t work out and you move on to your next.

That said, particularly in news, you damn well better have a good sense of what you intend on making money on. Make the business plan, but make sure there’s something real there before you dawdle on doing something about it.

Looking back at Technically Philly, it took us about a year and a half before we made a dime. That’s not for lack of trying and, admittedly, it was probably ideal that we made some cold calls and started conversations because we had to learn the basics first. But, now, when I give advice, I think it’s that give your project a year to grow on the side — keep the day job — before going all in.

I reserve the right to morph this line of thinking, but that’s where I am now. Whatcha think?

News needs to make more money on the popcorn

A friend recently told me that everyone should have at least one good analogy every few months.

He’s already heard my Journalism needs a catering business spiel, in which I suggest meaningful, public affairs reporting needs to be an audience or reputation grower for something more profitable. That is, if journalism is the low yield equivalent to a coffee shop, to really succeed, it needs a back-end catering service that really supports sustainability.

So I returned to another I tried passing: movie theaters don’t necessarily need more people in the seats, they need more people in the seats buying snacks. Because, the thinking goes (though hell if I actually know this to be true) that snacks and soda are much more profitable than your movie ticket. News needs to make more on the popcorn.

Meaning, simply chasing more eyeballs for more advertising hasn’t felt like a real strategy to me for at least a couple years now. Instead, we should be curating audiences of greater value, who are more engaged and, one way or another, help fund our work.

Technically Philly does about 22,000 unique monthly visitors, which is a fine number but nothing any big player would take notice of. But in that raw number, we are cultivating a community that comes to events [that attract sponsors], hires people within the community [and pays to use our jobs board] and, we think, will be interested in some form of membership that will offer free access to these and other opportunities [that help support the service we provide our engaged community]. In turn, we even fine haven’t an engaged and connected community has brought in some passive advertising [and resulted in actually successful campaigns] and other related funds.

Getting more people in our theater is great — and as we build community that is happening — but a bigger audience isn’t as interesting to us as a more loyal, more engaged audience, preferably one with popcorn.

Reading: Improving Sales, The Excuse Department is Closed

We at Technically Philly have had many short stops with sales help, making it one of our most prominent failures. Like many startups, we found that the three of us did the best sales, particularly when we were getting started.

I came across one of the better summations of why and what one could learn from working with sales people in a startup environment:

I boil it down to this: sales people are sales people. They are the lifeblood of many companies yet they are different than the traditional technology startup DNA so the ways that you hire, motivate, compensate and assess performance of these individuals will be different. Obviously to understand a “class” of people you have to make broad generalizations. Here are mine.