Author: Pamela Swift

Categories
Legal

4 Steps That Small Businesses Can Take to Get the Most Out of Contract Renewals

By definition, contracts are finite agreements that usually include some sort of expiration date or end point. This means your company will have to do renewals on an ongoing basis.

If you don’t have a system for handling this function, you run a risk of undermining the long-term profitability and success of your firm.

Contract Renewals: No Trivial Matter

Given so much emphasis on sales, many business owners overlook the importance of retaining existing clients. This can lead to them to trivialize such tasks as contract renewals, which one might argue are the real lifeblood of good service companies.

Don’t make this mistake! Here are some of the reasons why contract renewals matter.

  • Cost-effective. It’s typically much more cost-effective to retain a client than to locate and acquire a new one. If you consistently renew existing contracts, this is one of the leanest ways to grow.
  • Predictable income. As you know, trying to predict your business income in the coming months and years with any sort of accuracy can be a challenging task. The more predictable you can make your contract process as well as the deals themselves, the better. Renewing your contracts comfortably ahead of the deadlines is one of the best ways to stay on track.
  • Better CLV insights. Whether you’re running simple accounting for your own peace of mind, or looking to acquire investors, it’s vital to maintain an accurate understanding of customer lifetime value (CLV). The more contracts you can reliably renew, the higher your CLV will be.

Four Tips for Improving Contract Renewals

If you want to stay lean and maximize internal resources and manpower, streamlining and simplifying your contract renewals is one of the best steps you can take toward achieving those goals. But how do you do it? Here are some four prime suggestions.

 

  • Set Up Proactive Calendars and Reminders

Many of the largest Fortune 2000 companies may have thousands of contracts in effect at any given moment. You probably don’t have that many in the works, but it’s entirely possible that you’re dealing with hundreds, or at least dozens.

No matter how organized and attentive your team is, it’s unlikely that they are able to keep track of absolutely every detail. It’s crucial for you to have calendars that provide proactive alerts that can remind you of upcoming contract renewals, among other things.

You’re much more apt to achieve an excellent contract renewal rate if you start 30 to 60 days in advance.

 

  • Use Contract Lifecycle Management Software

As your business scales upward and your contracts jump in quantity and volume, you should consider integrating contract lifecycle management software into your workflow. 

Contract lifecycle management solutions are designed to streamline every step of the contract process, including initiation, authoring, negotiation, approval, execution, management/compliance, and renewals. Because the program is largely automated, your team will be freed up to focus on the soft skills that make the management of contracts a lot smoother.

 

  • Identify Direct Contacts for Each Client

You can’t just swoop in at the last hour and expect a client to renew a contract … even if the customer is happy with the service you’ve provided over the life of the current agreement.

Relationships are vital for successful renewal rates, so you have to cultivate them from the beginning. Our best piece of advice is to identify a direct contact on the staff of each client organization, and build that relationship over time.

 

If you already enjoy trust and connection with a client before the renewal period approaches, you essentially have an insider/advocate within the customer firm who is apt to vouch for you when the time comes for the entire outfit to evaluate the contract.

 

  • Develop a Centralized Record-Keeping System

Few operational weaknesses have the level of negative impact on contract renewal rates quite like a lack of organization. When you let information or commitment deadlines slip through the cracks, this can kill both your awareness and negotiating power when renewal rolls around.

You need to be fully in-tune with everything that’s happening at every stage of the contract process. Make sure you have some sort of centralized record-keeping system in place.

This may be part of your contract lifecycle management platform. Or, for a small company, it could be something as simple as a collection of spreadsheets. Just make sure you’re doing whatever’s necessary to stay on track.

Take Your Business to the Next Level

In order to build a successful and growing business, you not only have to acquire clients, but you must retain them. Placing too much emphasis on the former without at least as much attention to the latter will run up your costs, waste time, and have a negative impact on the bottom line.

Take the time to develop a strategy that addresses how you pursue contract renewals and optimize it until you get the best possible results.

Categories
Franchise

What to consider before buying a gym franchise

The fitness industry is booming, thanks in part to the impressive variety of exercises and workout experiences available to consumers, and to the prevalence of fitness tracking tools that help users keep up-to-date on their progression towards optimal fitness. With so much happening in this industry, it’s understandable that budding entrepreneurs might consider investing in a fitness brand.

One way of investing in a fitness brand is by buying a gym franchise, thereby positioning oneself as a business leader and becoming a representative of an established enterprise. There are, however, numerous aspects of this endeavour that you must consider before you embark on it. Multinational fitness brand F45 Training has collaborated here to tell you what to think about before buying a gym franchise.

Costs

Fortunately, buying a franchise is not as costly or precarious as starting up your own business. The necessary infrastructure and equipment is already in place, and you’ll already have a substantial customer base. That being said, taking ownership of a franchise will involve quite a bit of expenditure on your part.

First there is the upfront fee, which essentially gives you the key to the franchise and officially makes you part of the enterprise. This fee is usually a hefty one, and paying it might require you to take out a loan. After assuming ownership of your franchise, there are other fees to consider, such as royalty fees, which you pay to your franchisor on a monthly basis in order to maintain your ownership.

The business model

You might see owning a gym franchise as a means of taking control and exercising your own influence over how that franchise is run, whereas the truth is that your franchise, along with all the gym franchises owned by the brand, is run according to a set business model. This business model dictates how every aspect of your franchise will operate, from services rendered to administrative processes. The reason business models are so important is that they ensure each and every franchise lives up to the brand’s image and the customer’s expectations. If one particular franchise doesn’t live up to those expectations, then the brand might be seen as unreliable.

In fact, a solid business model is often the reason why franchise operations are so successful. If a brand has expanded and now comprises a substantial number of franchises, then clearly the business model is concise enough to be replicated in different locations and is easy enough to teach to new franchisees and franchise employees.

Research

If you’ve got your eye on a specific franchise operation, then do your research before making any steps towards purchasing. There are numerous means of gathering information on your chosen brand. Your first step should be to talk to some of the brand’s current franchisees. Find out about their experiences working for the brand and for the franchisor. You might be able to gauge whether or not it’s the right fit for you. You could even go a step further and job-shadow a franchisee in order to gain a better idea of what the job entails.

You can also learn a lot about a franchise by having a look at the Franchise Disclosure Document (FDD). Writing for Forbes, Chris Myers notes that “every franchisor [must] develop a Franchise Disclosure Document…and provide it to every potential franchise buyer,” and that “the FDD exists for two reasons: to protect you as a candidate and to protect the franchisor against allegations of misleading claims.” The FDD will tell you, among other things, about the history of the franchisor, the economic performance of the franchise operation, and the nature of your role as franchisee, ie. what’s expected of you. It can also detail the kind of support you’d get as a franchise owner.

Taking ownership of a gym franchise is a brave step into the business world, but it mustn’t be taken with too much haste. First make sure your financial situation is stable enough, consider the fact that you’ll be acclimatised to a specific business model, and do as much research as you possibly can. When you feel that you’re ready to become a franchise owner, take the leap.

Categories
Finance & Capital

What Are the Steps to Forming an LLC?

Limited liability companies (LLCs) are extremely popular business entities for new entrepreneurs because they’re an ideal middle-of-the-road option. They provide you with more formal business architecture and liability protection than a simple sole proprietorship or partnership, yet aren’t nearly as complicated, expensive, or time-consuming as corporations. It’s important to review the LLC and S corporation differences since they are very similar but offer unique benefits. They’re treated as a separate business entity, granting their owners liability protection, yet are simple and flexible enough that they can suit most types of operations.

One of the biggest advantages of an LLC is that it’s incredibly easy to start one. The question is, how do you go about this if you’ve never done it before? 

Steps to Starting an LLC

LLCs follow different rules, and may need to comply with different procedures in different states. However, these general steps should apply in nearly all cases: 

  1. Pick a unique name and register your business. You’re going to officially register your LLC under a chosen name; this name needs to be completely unique for registration purposes. Come up with something clever you can build a brand around, possibly including your own name in the mix. Then, run a search with the state and see if the name is currently being used. If it is, you may need to come up with an alternative idea (or set up a DBA). Either way, you’ll need to register your business (and typically, pay a fee). 
  2. Create and file your articles of organization. Your articles of organization are a simple document that provides the state with key details they’ll need when managing details pertaining to your business. These are usually simple; for example, you’ll likely need to provide your name, address, contact information, and social security number (SSN), and similar personal information for any business partners you have. 
  3. Create an LLC operating agreement. Though not always formally required by state governments, it’s wise to create a formal LLC operating agreement with your business partners. This document will provide details about the nature of your LLC, and the relationships between all its partners. For example, you may decide to split official ownership of the business evenly between all your members, like 33-33-33, or unevenly, like 50-25-25, depending on their roles and responsibilities. This is also your chance to outline who is responsible for what. For example, you may only require some of your partners to work part-time. 
  4. Determine other required paperwork. In most states, the above steps will be enough to consider your LLC completely legitimate. However, you may be required to submit additional paperwork, depending on the state of your origin. For example, in Arizona and New York, you’re required to publish a formal notice of your business’s creation in a local newspaper. The nuances of state law can get complicated, so make sure to contact a local authority to ensure you’re in compliance. 
  5. Get your tax ID numbers. If your LLC has multiple members, or if you plan on hiring employees, you’ll need to get a federal tax ID number, also called an employer identification number (EIN). Depending on the state in which you’re operating, you may also need to get a state-level tax ID number. State tax ID numbers are commonly required of businesses selling taxable goods and services in the state. 
  6. Obtain the licenses and permits you need. Some states require businesses to have a license or permit to operate. Sometimes, these are regulated at the local level. Certain industries are more likely to need licenses and permits than others. Just make sure you’ve done your research and have any forms of certification that apply to your business in your area. 
  7. Be ready to file your annual report. Many states treat LLCs as hands-off as possible, but some require them to prepare and file an annual report. If your state requires this, familiarize yourself with the details of an acceptable annual report, and be prepared to pay an annual filing fee. 

Is an LLC Right for You? 

LLCs are advantageous business entities for many businesses, but they aren’t right for everyone. For example, if you’re an amateur freelancer and you’re making a few hundred dollars a month with your side hustle, it may not be worth the time or effort to create and maintain a formal LLC. Conversely, if you’re planning on creating a business with potential to grow to a national scale, something bigger and more protective like a corporation may be more appropriate. 

Make sure to spend time writing and developing your business plan, regardless of how you’re leaning. Your business plan will help you outline your goals and future plans, giving you context you can use to make a better decision on your organizational structure. It’s also going to sharply increase your chances of success once you begin operations.

Categories
Entrepreneurs

How Entrepreneurs Get Successful

Being an entrepreneur is one of the most difficult things you can do. Most people settle for the comfort of working for someone else and collecting a paycheck. The truly brave people go off into the wilderness and try to make a business for themselves. They fight hard every single day working 12 hours and try to sell to others. It is a difficult prospect and usually involves pain and suffering. Even in all of this, most people simply don’t have what it takes to run a successful business and end up failing. The failure rate of new businesses is 95% after five years. This means that the majority of people just can’t make it.

A successful entrepreneur is someone who has gone through this process and has come out better on the other side. It requires some of the most grueling and difficult living possible. When you are an entrepreneur, it requires you to sacrifice so much of your time while other people are out partying and enjoying themselves. The journey of an entrepreneur is one of the loneliest roads you could ever take in your life. You will walk it alone and when you are finished, everyone will say they were there with you all along. It can also be done through unconventional methods. For example, the Iraqi dinar is something many people are investing in in order to be successful.

Being Able to Silence the Doubters

Everyone who goes into business as an entrepreneur has doubters. The entire world will keep telling you that you shouldn’t risk it because you will fail. In the end, it is up to you as an entrepreneur to silence doubters and prove them wrong. The only way to do this is to continue on the path and work successfully to build the business you try to have. For every setback you have, you must continue on the path for getting it ever happened and pressing on. You need to be confident even in the face of failure. When the doubters see that you are doing well, then they will start to give you more compliments. Eventually, when you are successful, they start telling you that they knew you would be successful all along. It can be a difficult journey for you, but there is no better feeling than being successful and silencing all your doubters.

Failing and Starting Over Again

A difficult part of being an entrepreneur is failing and having to start all over again. However, it is a part of the process and you should not get yourself down when that happens. It is rare to be successful with your first business. Most people go on a journey and fail forward until they have built a successful business that people will tell their friends about. Once you have failed enough, you start to see patterns and realize what works and what does not work. Another part of doing business is also being able to invest your profits whether in the stock market or back into the business. Sometimes you want to invest in other assets that can grow independent of you.

Making Smart Decisions for Growth

Growing your business can be difficult. Knowing how to grow your business sustainably is a critical part of how things work. You are required to grow your business if you want to sell it in the future. Most people won’t want to buy a business that has not had a significant growth period. They want to see that you are consistently moving forward with the business and that means showing them sustainable growth. The smartest decision you can make is to simply gain new customers over time while building new products that people will love. Once they see that you are delivering high-quality items, they will want to tell their friends and your customer base will expand without any marketing. Marketing is another thing you need to master as this is a critical skill in building successful businesses.

Building What People Want

Ultimately, the most important thing about successful businesses is being able to build something people want. Every entrepreneur knows that the key to success is providing value to people. The best thing you can do is to continually search for things that people want to buy.

Categories
Sales & Marketing

Neil Patel Digital Review: What Do You Get for Your Money?

Professional marketers and entrepreneurs alike read Neil Patel’s marketing blog for ideas and tactics, and use the marketing tools like Crazy Egg and Ubersuggest that he helped develop into the category leaders that they are today. Neil was named an Empact100 entrepreneur by the Obama White House, and has been honored by the UN and Forbes, among others.

All of this led to a great deal of excitement in 2016, when Neil founded Neil Patel Digital, together with business partner Mike Kamo.

Now businesses can employ Neil Patel’s marketing services directly. You can find positive Neil Patel Digital reviews  from huge clients like Amazon and Google, but if you’re thinking of hiring Neil’s marketing agency, you probably want to know more about what exactly you’ll get for your money, before you make a commitment.

Having gathered details from reviews published by his customers around the web, we’re here to answer that question.

Pricing

Given that Neil is such a rockstar marketer, it’s not surprising that he charges rockstar prices. But the agency’s clients insist that his pricing is also very fair and balanced. There are flexible payment plans, and you can choose between a monthly or annual contact, depending on what works best for your cashflow situation.

Furthermore, the price you’ll pay is tailored specifically to your needs and is fully transparent. You won’t be forced into paying for a huge package if you don’t need or want it. Instead, you’ll receive a customized pricing proposal that lays out exactly which services are included in your contract.

It’s important to know that working with Neil Patel Digital means signing up for at least one year, so it’s not for the commitment-phobic. The long contract time is so that the NP Digital team can create and implement a long-term marketing strategy instead of short-term fixes.

Services

Neil Patel Digital follows Neil’s own marketing approach, which is to take a holistic view of the entire process. As a result, you’ll find that his team specializes in a whole set of interconnected marketing services:

  • Social media marketing. This includes a targeted strategy for the biggies, like Facebook and Instagram, as well as niche platforms where you can establish a powerful brand reputation.
  • SEO. This is one of Neil Patel’s biggest strengths, and it’s reflected in the priorities of his team at NP Digital. SEO and content marketing services are combined, since they feed off each other.
  • PPC. Another key element to marketing campaigns at NP Digital. You’ll get assistance in developing paid ad campaigns that cover social media, apps, and search engine ads, to beat ad-blockers and audience apathy.
  • Strategy and funnel development. Expect expert analysis of your existing funnels, advice for maximizing complex business and marketing channels, and guidance on identifying new paths for conversion.
  • Email marketing and lead capture. Although this is provided by Hello Bar, another of Neil’s companies, the level of professionalism and results are still high. You’ll enjoy expert support to grow your email list with valuable new contacts.

You can request assistance with just one of these areas, but it’s best to take the complete marketing package so that the NP Digital team can harmonize every aspect of your marketing efforts.

You’ll really be getting a single marketing strategy that has several elements to it, since it’s inevitable that your PPC ads also impact on your SEO tactics, your social media and your email content overlap, and that SEO, PPC, social, and email campaigns are all involved in your marketing and sales funnels.

Underpinning all these marketing tactics is content marketing. Your marketers at NP Digital follow Neil’s own precepts by beginning with your content, which is the foundation for all your digital marketing campaigns. If your content is not quite all it could be, the dedicated NP Digital professionals work with you to strengthen and improve it, so that you can use it to drive down costs for PPC, boost your SEO rankings, and employ it as a reliable springboard for overarching marketing strategy.

Workflows and Processes

The proposal generation and onboarding processes at NP Digital are exemplary. You won’t get any hard sell here. Instead, the strategy work begins before you even sign up or commit to paying a penny.

The team starts by giving all your marketing efforts a thorough overhaul, ripping apart your email campaigns and social media posts, finding weaknesses in your SEO choices, and spotting missed opportunities for PPC. Prepare yourself to face up to every mistake you ever made in your content marketing, because you’ll be assessed by an unforgiving judge.

However, it’s all for a good cause. Neil Patel Digital’s team identifies everything that could be improved, and they send you a detailed list, complete with recommendations for changes and projections for estimated traffic lift, conversion lift and ROI once those changes are implemented.

You’ll get a full description of how they will increase SERP rankings, monthly traffic, and your overall revenue.

You’ll only get a pricing proposal and a contract after this process is complete. The model does make it hard to get a quick price quote, but it also enables you to feel confident about the service you’re about to pay for and helps ensure that NP Digital has properly understood your company’s needs. If you’re not happy with their assessment of your marketing requirements, you can ask them to think again, or simply walk away without any charge.

Once you’ve signed the contract and begun payments, the real work begins. At Neil Patel Digital, the focus is on long-term results, which means that it takes around six months of improving content, fine-tuning SEO keywords, redeveloping funnels, and refining PPC ad elements before clients see a significant uptick in traffic and conversions.

Neil Patel Digital Delivers Long-Term Results

Wrapping up on this review of Neil Patel Digital,  it’s clear that with the company’s holistic marketing approach, your money doesn’t just bring you marketing advice and guidance. All the marketing elements impact on each other to boost revenue and profits for the long term.

It takes time to finish improving each piece of the puzzle, but once SEO, PPC, email, social, and content are all working together as part of a well-thought-out marketing strategy, they have an impact which is greater than the sum of their parts.