By James Pruitt, Senior Staff Writer

The spark behind most small businesses transcends the profit motive. However, none of us can expect to make money while ignoring our clients. We all need to eat. At the same time, we also need fulfillment in our mission in life.

Let’s look at Elon Musk. He started his projects with the best intentions, then consistently found himself burned. Now, his projects have certainly amounted to a net positive for the good they’ve done in the world. At the same time, I think we could debate whether he’d do everything the same if given the chance for a do-over.

Few people go into a business enterprise with purely selfish motives. However, we rarely find companies with totally altruistic motives. We call those companies “nonprofits.”

A smaller company with a mission should find a community willing to share in its bounty. Perhaps this community may consist of “vegans.” Maybe “conservationists,” or maybe even “school board activists.” However, smaller companies should realistically balance their goals with their needs.

As one way to start, Veteran Small Business Owners should consider the causes they most care about. As a next step, consider your community, and what you may offer that community. Maybe you have gardening expertise. Maybe you can repair cars. You may have learned any number of trades during your time in the military. Never underestimate the power of your connections. Also never underestimate the power of your own convictions.

Involvement in the community can do wonders in expanding your business in the right direction. For example, the Danish firm Lego has teamed up with nonprofits to support Syrian and Burmese refugees. We all remember Legos not only from our own childhoods but also as we pick their detritus off the heels of our feet any time we walk around a child-centered household. Whoever came up with the idea for that toy was going somewhere.

Obviously, most of us are not Lego. However, smaller companies may use any of their own resources similarly. As the main point, smaller businesses, even home businesses, should use their offerings to reach out to their community. Brand loyalty itself can multiply your customer base. Maybe you have your own “Lego” idea that can engage your local community. 

Anything from your craftsmanship, your property, your trade skills, or even your good intentions may provide the seeds for a lucrative enterprise. One key word is “engagement.” Remember, your “goodwill” is marketable. Never underestimate the value of community connections. Also, never underestimate the value of time spent building these connections. Your own convictions and passions can launch your enterprise as much as any angel investor.

Smaller businesses often have products or services that may fit just right into the local economy. Rarely do small business owners reach the level of prominence of Elon Musk. However, good intentions do have value. In some cases, those good intentions may even propel a new business into prominence. New business owners should consider the resources they have and make the best use of anything they have to offer. 

VAMBOA, the Veterans and Military Business Owners Association hope that this article has not only been valuable but provided some unique perspective.  We work hard to bring you important, positive, helpful, and timely information and are the “go-to” online venue for Veteran and Military Business Owners.  VAMBOA is a non-profit trade association.   We do not charge members any dues or fees and members can also use our seal on their collateral and website.   If you are not yet a member, you can register here:  

https://vamboa.org/member-registration/

We also invite you to check us out on social media too.

Facebook:  https://www.facebook.com/vamboa

Twitter:  https://twitter.com/VAMBOA

Do not forget that VAMBOA members receive significant discounts on technology needs.   Check them out here: https://vamboa.org/dell-technologies/

By James Pruitt, Senior Staff Writer

The Pandemic proved one fact to consumers and businesses: Remote ways of transacting are here to stay. Coronavirus only accelerated existing trends. In other words, even nontraditional online strategies can work, in some cases better than the old ways.

Some of the newer trends are the following:

1.Working from Home

Many workers simply work better from home. Also, many businesses function better this way as well. For example, remote work can eliminate problems with the commute. Working from home can also ease the burden on employers in the recruiting process. Accountants, real estate workers, and IT professionals, for example, often can work from home, even as many other professionals cannot. 

At the same time, other companies do need in-house workers. In fact, many prefer them even when they can subsist with a remote workforce. For example, in-person work often makes feedback easier to give and receive, and facilitates team building and group work, even in industries where remote work is quite doable.

In 2022, we now recognize the possibilities of at-home work, although the permanence of the traditional employment model goes without saying.

2. Reaching out Remotely to Customers

The Pandemic was a boon for online companies like Amazon since customers found themselves confined as they sheltered in place. In fact, the Pandemic made clear to a wider audience the potential of online marketing. While brick-and-mortar enterprises will never die, these past couple of years has incentivized wider use of online strategies.

3. Importance of Social Media Influencers

Along the same lines, the Pandemic forced many of us to turn to social media for socializing. Significantly, influencers have gained more influence in a wider range of fields. A “nano-influencer” might promote a niche specialty or a unique service. A “micro-influencer” might have more followers but remains within a niche field, hobby, or profession. A “macro-influencer” probably has more than 100,000 followers and a wider range of influence. A “mega-Influencer” would have over a million followers and leagues of devoted fans hanging on their every word. Kim Kardashian would be an example of a “mega-influencer.”

These one-person marketing machines have gained more respectability and wider roles. Only recently have we seen their utility as an option for promoting new brands. 

4. Consumers Have More Options: Brand Loyalty Has Declined

Here is another economic trend that the Pandemic has accelerated. In the past, in-person businesses have had captive audiences. Businesses catered to their own communities. However, the online world has exposed us to a much wider range of options for whatever goods or services we might need. 

One of the saddest trends in economic history was the replacement of mom-and-pop businesses with chain stores in the early 1900s. The Pandemic has complicated this trend by driving home the indispensability of the internet. 

Small business owners shouldn’t fret. One benefit of this process is that now even they can compete with larger business owners simply because they have a wider audience, and better means to promote still better goods and services. This is bad for stores like Sears and Nordstroms, but good for Veteran Business Owners.

Conclusion

In short, the Pandemic accelerated trends that started decades ago. Now, any number of enthusiastic, charismatic individuals can become influencers or business owners. In other words, we have new techniques of marketing and new styles of entrepreneurship. These trends will continue, and while older ways of doing business will always stay relevant in this diverse economy, the newer ones are here to stay.

VAMBOA, the Veterans and Military Business Owners Association hope that part one of this two-part mini-series has not only been valuable but provided some unique perspective.   Stay tuned for the next article.  

We work hard to bring you important, positive, helpful, and timely information and are the “go-to” online venue for Veteran and Military Business Owners.  VAMBOA is a non-profit trade association.   We do not charge members any dues or fees and members can also use our seal on their collateral and website.   If you are not yet a member, you can register here:  https://vamboa.org/member-registration/

We also invite you to check us out on social media too.

Facebook:  https://www.facebook.com/vamboa

Twitter:  https://twitter.com/VAMBOA

Do not forget that VAMBOA members receive significant discounts on technology needs.   Check them out here: https://vamboa.org/dell-technologies/

By James Pruitt, Senior Staff Writer

The Age of Cell Phones has brought new challenges to the workplace, both for managers and their staff. Cell phones can distract managers, the employees themselves, and coworkers, and relevant policies should address all safety and productivity concerns.

Cell phones these days permeate society, and workers may see them as a necessity. Hence, blanket cell phone prohibitions may only hurt morale. Accordingly, managers should consider the right times and places, as well as the correct uses, for cell phones. Considerations may include safety, relevant work tasks, and proximity to other workers. 

For example, bans on cell phone use while driving go without saying. In these cases, employers may need to ensure the phones are not only off, but possibly even out of reach. Also, consider job tasks that implicate the privacy of others.

These safety concerns are the most obvious problems. Operators of heavy machinery, delivery people, and health care workers can not only sabotage their own work but that of others with careless cell phone use. Some companies in such cases may even go so far as to ban the physical presence of cell phones on the premises.

However, outright bans are generally unnecessary and often backfire. Absent a life-or-death situation, “reasonable use” should govern the management approach. After all, cell phones have become a day-to-day necessity, and have so thoroughly permeated life that strict cell phone policies could even damage employee retainment, not to mention everyday morale. Excessive bans are simply not good practice.

Employers report a 28% increase in mistakes after a phone call, and 75% of employers estimate that distractions slice over 2 hours of productivity from the workday.

Overall, employees should exercise proper etiquette with cell phone use. However, we all have our slips, foibles, and blind spots. Hopefully, workers know to turn off their ringers, take calls in private, and of course not take their phones into the bathroom. Finally, texting may replace loud talking on the phone. Habitual offenders may need a discussion with the boss.

As for concrete policy recommendations, the following common maxims could address any problems:

• Workers may not use work cell phones for personal tasks.
• Personal cell phones may not be used for work tasks.
• Due to the possible use of cameras, no cell phones should be used in proximity to confidential information.
• No use of cell phones for gaming or surfing the internet during work hours.

Other policies may vary depending on the workplace, especially those related to safety.

Remember the importance of balance between the interests of employee, employer, and coworkers. Fairness dictates that no one employee neglect their work due to cell phone use. After all, some studies suggest that 55 % of distractions do come from cell phones. 

No one, managers or employees, wants to pry into a worker’s use of their own property. However, one worker who is always on the phone easily can burden the rest of the office, the business, and indirectly, customers. Hence, offices should implement clear cell phone policies as well as actively encourage mindfulness and good manners, while respecting reasonable use when necessary.

VAMBOA, the Veterans and Military Business Owners Association hope that part one of this two-part mini-series has not only been valuable but provided some unique perspective.   Stay tuned for the next article.  

We work hard to bring you important, positive, helpful, and timely information and are the “go-to” online venue for Veteran and Military Business Owners.  VAMBOA is a non-profit trade association.   We do not charge members any dues or fees and members can also use our seal on their collateral and website.   If you are not yet a member, you can register here: https://vamboa.org/member-registration/

We also invite you to check us out on social media too.

Facebook:  https://www.facebook.com/vamboa

Twitter:  https://twitter.com/VAMBOA

Do not forget that VAMBOA members receive significant discounts on technology needs.   Check them out here: https://vamboa.org/dell-technologies/ 

By James Pruitt, Senior Staff Writer

Small business loans help entrepreneurs build, maintain, or expand their companies. Getting a business loan for your company doesn’t always require walking into a bank and securing funds.  There are also a variety of online small business lenders to consider, which may have easier qualifications and faster applications.

Small businesses account for a significant chunk of American economic activity.  The United States Small Business Administration (SBA) estimates that there are 32.5 million small businesses across the country. While the nature of each one varies, many hold one major thing in common: the need for business financing.

Remember that loans don’t provide the only recourse. Money for a small business may come from any of many sources, including grants and lines of credit. Each option comes with its own benefits depending on the business owner’s circumstances.

As for loans, good terms can provide crucial growth fodder for your enterprise. However, smaller businesses need to do their homework before taking the plunge. Consider how much your business needs as well as your eligibility. Alternative lenders, such as OnDeck and SGB Funding, can provide support for new business owners without a strong credit history, but only in exchange for less favorable terms. 

Business owners may obtain good credit by:

• Signing up for a business credit card,
• Establish ongoing relationships with suppliers, which may include obtaining trade credit. Many suppliers may extend credit which they report to credit agencies.
• Ensure prompt payment of any debts. Also remember that if you choose to incorporate your business, the business itself transforms into its own entity. The credit agency’s relationship is now with the business rather than you personally.
• Carefully monitor your progress with each of the credit agencies.

As for the application process, lenders generally look for evidence of a strong, consistent cash flow. These lenders tend to ask for, at a minimum:

• A recent statement of profits or losses
• Personal and business tax returns going back 2 or 3 years
• Business plan
• Any legal filings, such as Articles of Incorporation
• Any business licenses you or the other owners hold.

Credit scores can vary, but a score of over 700 should ensure good terms for a loan.

When choosing a lender, consider the types of loans available. These loans may include:

For example, “franchise startup loans” can allow a purchase of a branch of a larger company. Some entrepreneurs may purchase a franchise office for a larger company such as Mcdonald’s, 24 Hour Fitness, or any of a variety of other larger companies.

A “professional practice loan” may provide an option for a Veteran who’s just finished school. Some business owners need startup money even after they’ve gone through graduate school and received a license. Think doctors, lawyers, speech therapists, nurse practitioners, accountants, and Certified Physicians Assistants. 

Yet another example: “working capital loans.”:  Short-term loans are meant to keep the enterprise running, often through a crisis or downtime. Several Pandemic-era loans rescued various restaurants and entertainment venues during lockdowns to keep them alive through those difficult months.

Some loans may specialize even further. Many lenders offer “equipment loans” for business owners who need specialized equipment to stay running. Examples may include restaurants that need specialized cooking equipment and clothing companies that may need embroidery equipment, looms, and other devices. 

Check with the direct lender before considering any of these types of loans. Overall, different lenders provide different pathways to obtaining funding. A good relationship with the direct lender and an inquisitive approach to interactions with that lender could make all the difference. Getting the right information at the right time provides the best long-term outcome with a commitment to a small-business loan.  

VAMBOA, the Veterans and Military Business Owners Association hope that this article has not only been you have enjoyed this second and final article in this mini-series and that it provided you with some valuable information. 

We work hard to bring you important, positive, helpful, and timely information and are the “go-to” online venue for Veteran and Military Business Owners.  VAMBOA is a non-profit trade association.   We do not charge members any dues or fees and members can also use our seal on their collateral and website.   If you are not yet a member, you can register here:  https://vamboa.org/member-registration/

We also invite you to check us out on social media too.

Facebook:  https://www.facebook.com/vamboa

Twitter:  https://twitter.com/VAMBOA

Do not forget that VAMBOA members receive significant discounts on technology needs.   Check them out here: https://vamboa.org/dell-technologies/

By James Pruitt, Senior Staff Writer

Remember the importance of the Small Business Administration, SBA in facilitating economic transactions for Veteran Small Business Owners. The SBA can facilitate loans as well as grants and lines of credit. Starting with the SBA, they can also assist Veteran Small Business Owners to find the best direct lenders.

The Small Business Administration often provides the first point of contact for funding. As for loans, the SBA can provide leads for the direct lenders most willing to provide government-guaranteed small business loans.   They can help with the next steps in forging a relationship with the direct lenders who will be your direct contacts after obtaining these loans. Best of all, the SBA tends to cap the APR to prevent the gauging of small business applicants.

Still, the terms may vary depending on government programs, and the direct lenders themselves have their own terms in their negotiations with the SBA.  Annual Percentage Rates, APRs for these loans may range from 4.5% to 35%. Let the buyer beware, shopping for the best deal through the SBA is not always a simple process.

In other words, it is the lenders themselves who finally determine the terms for any loans they grant you. These terms often depend on a vast range of factors such as your industry, your personal circumstances, and your financial situation. Some special SBA programs may consider veteran status, race, national origin, gender, or any number of other factors.

In the end, the SBA guarantees these loans. However, the small businessperson’s contact remains with the lender. Lenders may include banks, credit unions, and any variety of financial institutions the government has deemed worthy. 

Remember your direct contact will be a private institution. They, rather than the  SBA,  hold final discretion regarding the approval of your loan.

The SBA may serve as a crucial first contact for Veteran Small Business Owners seeking not just loans, but also grants and lines of credit. However, obtaining loans is a multi-level process. The private institution administering the government program will be your ongoing first contact. Becoming acquainted with the private institution itself is a separate process from getting to understand the SBA program that guarantees the money.

Veteran Business Owners need to maintain closer contact with their direct lender. Even with SBA-backed loans, the direct lender provides information about the terms of the loan, especially in the initial negotiation process. Remember that the direct lender may have different loan programs for franchise business owners, those seeking equipment loans, and loans seeking short-term loans, including following natural disasters or emergencies. 

In our next article in this mini-series, we delve into the process of interacting with your direct lender. Short of an actual default, after obtaining a loan, your interactions with the SBA itself will likely be minimal. 

Interactions with these private lenders involve their own set of challenges. Additionally, the full range of private options vastly out scopes that of government-guaranteed loans. The wild frontier of purely private loans may not provide the same safety and may require more information beforehand without the safety net of a federal guarantor.

VAMBOA, the Veterans and Military Business Owners Association hope that part one of this two-part mini-series has not only been valuable but provided some unique perspective.   Stay tuned for the next article.  

We work hard to bring you important, positive, helpful, and timely information and are the “go-to” online venue for Veteran and Military Business Owners.  VAMBOA is a non-profit trade association.   We do not charge members any dues or fees and members can also use our seal on their collateral and website.   If you are not yet a member, you can register here:  

https://vamboa.org/member-registration/

We also invite you to check us out on social media too.

Facebook:  https://www.facebook.com/vamboa

Twitter:  https://twitter.com/VAMBOA

Do not forget that VAMBOA members receive significant discounts on technology needs.   Check them out here: https://vamboa.org/dell-technologies/