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  • Digg it UP - Advice To Manufacturers Creating A Business Plan

    Technician Incentive Plans
    A study of how a properly designed and executed Technician Incentive Program can reward your dealership with benefits beyond what you intended and how it is so important to the success of your service departmentBenefits of a well designed plan If you don’t have an effective Technician Incentive Plan in place you are missing out on one of the most powerful tools in your management arsenal to drive a high performance service department. Technician Incentive Plans, or TIPs for short, can be so powerful they can drive behavior far beyond what you might expect from an incentive plan. And if you already have one, maybe it is time for a tune-up to make sure your TIP is driving the behavior you need to develop a profitable service department and
    ady a manufacturer who is providing the same or similar product as yours to your prospective customers. They are skeptical as to why prospective customers with little or no time to investigate the options available to them and who are reluctant to upset their own customer base would change manufacturers.

    You can expect your potential investors to understand that your customers need to move product and generate higher margins. They expect quality and general customer support to be givens, the basic requirements to win business. Therefore, their focus will be on understanding how you help your prospective customers earn more money.

    To your potential investors, the biggest problems your customers face are products

    How To Write Your Business Plan
    A business plan is a document that summarises where you want to take your business idea from now and for the next 3 to 5 years, and most importantly, how you are going to achieve your goals - specifically.The actual document is a story describing the essentials about your business. Really, this is putting all your ideas down on paper so that either you can review progress over time or a potential investor such as a bank can instantly understand how you are going to achieve your financial projections and to assess the risk of lending you any capital.The length of your plan should be as long as it takes to describe the following :- where are you now with your business - where do you want to take it - how are you going to get t
    If you are a manufacturer wanting to use your business plan to attract investors, then your plan must do two things. It must:

    1. Comfort prospective investors with putting their money into your hands, and
    2. Show why potential customers will award business to you rather than your competitors.

    Earn the Trust of Skeptical Investors…

    Prospective investors want to select the best investments. For an investor, this means earning the highest return on their money for the risk they take. Besides their own research, they seek more specific information from business owners and entrepreneurs about potential investment opportunities.

    The major challenge to investors is deciding what is a good opportunity. Often asked to invest funds with little reliable information, investors have difficulty deciphering information about the various investment alternatives they are evaluating. This leaves them fearful of getting into an awful deal and skeptical of the deals being presented. In addition, time pressures often force investors to decide on investing in a business when their time frames don’t align with the business’ need for funding.

    To your prospective investors, the most important factors you must show are results and evidence. They simply want the opportunity that they enter to match the expectations that they have developed. They want to be educated about the investment opportunity and the investment options available to them. But, they won’t accept this education at face value; they want to see the evidence to support it. Even for niche businesses.

    When investors object to investing in a business, the objection is often of the “Educate me…” type. Tell me your story, show me your numbers, and then prove it. Prospective investors want information that they can validate, options and risks that they can see, and to be educated about your specific business. Moreover, they want to know why you and your team are the ones that can produce the projected results. If your business plan doesn’t address these “educate me” objections, it will fail to win the trust of your prospective investors. When that happens your plan will not get funded. Period.

    If you successfully win the trust of potential investors, then you must be able to…

    Show Why Customers Will Award Their Business To You Rather Than Your Competitors…

    Investors invest money in businesses based on the business’ expected cash flow. To create cash flow, you must first win business. That’s why it is important for your business plan to show investors why customers will award you their business at a price that allows you to provide investors a return on their investment.

    When potential investors begin evaluating your business plan, they are likely to be skeptical of your ability to consistently win business. In their minds, there is already a manufacturer who is providing the same or similar product as yours to your prospective customers. They are skeptical as to why prospective customers with little or no time to investigate the options available to them and who are reluctant to upset their own customer base would change manufacturers.

    You can expect your potential investors to understand that your customers need to move product and generate higher margins. They expect quality and general customer support to be givens, the basic requirements to win business. Therefore, their focus will be on understanding how you help your prospective customers earn more money.

    To your potential investors, the biggest problems your customers face are products

    Will and Vision
    Remember Chux? The disposable diaper that took the market by storm in 1932?Of course you don't. Chux saw its product as a luxury item, and happily kept its little throwaway business to itself for almost forty years. Then Pampers came along in the 1960s, supported by a huge, mass-consumer vision with persistence to match, and blew Chux out of the market-transforming baby rearing forever.And everyone knows the legend of the two Steves-Jobs and Wozniak-who invented the personal computer in someone's garage. Only they didn't. The Altair MITS came to market long before in 1975. It's just that Steve Jobs had the mammoth vision of a computer on every desk; and Apple II became the first PC hit.I just finished reading a br
    s deciding what is a good opportunity. Often asked to invest funds with little reliable information, investors have difficulty deciphering information about the various investment alternatives they are evaluating. This leaves them fearful of getting into an awful deal and skeptical of the deals being presented. In addition, time pressures often force investors to decide on investing in a business when their time frames don’t align with the business’ need for funding.

    To your prospective investors, the most important factors you must show are results and evidence. They simply want the opportunity that they enter to match the expectations that they have developed. They want to be educated about the investment opportunity and the investment options available to them. But, they won’t accept this education at face value; they want to see the evidence to support it. Even for niche businesses.

    When investors object to investing in a business, the objection is often of the “Educate me…” type. Tell me your story, show me your numbers, and then prove it. Prospective investors want information that they can validate, options and risks that they can see, and to be educated about your specific business. Moreover, they want to know why you and your team are the ones that can produce the projected results. If your business plan doesn’t address these “educate me” objections, it will fail to win the trust of your prospective investors. When that happens your plan will not get funded. Period.

    If you successfully win the trust of potential investors, then you must be able to…

    Show Why Customers Will Award Their Business To You Rather Than Your Competitors…

    Investors invest money in businesses based on the business’ expected cash flow. To create cash flow, you must first win business. That’s why it is important for your business plan to show investors why customers will award you their business at a price that allows you to provide investors a return on their investment.

    When potential investors begin evaluating your business plan, they are likely to be skeptical of your ability to consistently win business. In their minds, there is already a manufacturer who is providing the same or similar product as yours to your prospective customers. They are skeptical as to why prospective customers with little or no time to investigate the options available to them and who are reluctant to upset their own customer base would change manufacturers.

    You can expect your potential investors to understand that your customers need to move product and generate higher margins. They expect quality and general customer support to be givens, the basic requirements to win business. Therefore, their focus will be on understanding how you help your prospective customers earn more money.

    To your potential investors, the biggest problems your customers face are products

    Delivering The Goods: Keeping Your Word In a World Which Often Doesn't
    Perhaps I'm just getting crochety. Then again, maybe not.First, I'm hardly old enough to be in the "crochety" class. And secondly, I've been feeling this way for about 30 years.My complaint? Delivering the goods. Or the lack thereof.Growing up, one of the things stressed in my family had to do with keeping your word. When you said you would do something, promised to make good on something, you did it. Or made every good effort to do so. Mostly, you delivered the goods. You showed up on time. Made the return phone call. Produced what you'd promised. Kept your word.Occasionally, circumstances simply worked totally against you and it turned out that what you'd promised wasn't possible. Still, you did all y
    y and the investment options available to them. But, they won’t accept this education at face value; they want to see the evidence to support it. Even for niche businesses.

    When investors object to investing in a business, the objection is often of the “Educate me…” type. Tell me your story, show me your numbers, and then prove it. Prospective investors want information that they can validate, options and risks that they can see, and to be educated about your specific business. Moreover, they want to know why you and your team are the ones that can produce the projected results. If your business plan doesn’t address these “educate me” objections, it will fail to win the trust of your prospective investors. When that happens your plan will not get funded. Period.

    If you successfully win the trust of potential investors, then you must be able to…

    Show Why Customers Will Award Their Business To You Rather Than Your Competitors…

    Investors invest money in businesses based on the business’ expected cash flow. To create cash flow, you must first win business. That’s why it is important for your business plan to show investors why customers will award you their business at a price that allows you to provide investors a return on their investment.

    When potential investors begin evaluating your business plan, they are likely to be skeptical of your ability to consistently win business. In their minds, there is already a manufacturer who is providing the same or similar product as yours to your prospective customers. They are skeptical as to why prospective customers with little or no time to investigate the options available to them and who are reluctant to upset their own customer base would change manufacturers.

    You can expect your potential investors to understand that your customers need to move product and generate higher margins. They expect quality and general customer support to be givens, the basic requirements to win business. Therefore, their focus will be on understanding how you help your prospective customers earn more money.

    To your potential investors, the biggest problems your customers face are products

    Discounting Your Way Into Sales Oblivion
    I don't even like saying the word d---------g. I have literally obliterated it from my dictionary with a black marking pen. I'll bite my tongue until it bleeds, before I say the word.Earlier this week Bernadette, my wife, and I went shopping . . . something I love to do. Just kidding! We were looking for a 3-piece plant stand for our deck. We found one in a catalog and went to the store to check it out.Bernadette always asks the sales person if he can do better on his price. You'd be surprised how much you can save just by asking.Sidebar! The word ASK is the most powerful word in a sales person's vocabulary.Back to what happened. We debated over two different pieces and made a decision. The piece we didn't select had a 30%
    appens your plan will not get funded. Period.

    If you successfully win the trust of potential investors, then you must be able to…

    Show Why Customers Will Award Their Business To You Rather Than Your Competitors…

    Investors invest money in businesses based on the business’ expected cash flow. To create cash flow, you must first win business. That’s why it is important for your business plan to show investors why customers will award you their business at a price that allows you to provide investors a return on their investment.

    When potential investors begin evaluating your business plan, they are likely to be skeptical of your ability to consistently win business. In their minds, there is already a manufacturer who is providing the same or similar product as yours to your prospective customers. They are skeptical as to why prospective customers with little or no time to investigate the options available to them and who are reluctant to upset their own customer base would change manufacturers.

    You can expect your potential investors to understand that your customers need to move product and generate higher margins. They expect quality and general customer support to be givens, the basic requirements to win business. Therefore, their focus will be on understanding how you help your prospective customers earn more money.

    To your potential investors, the biggest problems your customers face are products

    New Career; Coffee Franchise Options, Good or Bad?
    Are Coffee Shop Franchises a good business? Well consider the average Starbucks does over $80,000 per month. An interesting book primer to learn more about the coffee business might be “Pour Your Heart Into It” by Howard Schultz. It is worth a read and you can find used books on Amazon.com cheap enough, you will be glad you did.Of course Starbucks is not a franchise. Recently, I met the head trainer for one of their licensees; Sheridan Hotels which was putting 1000 Starbucks Coffee Shops in their Hotels. But for the average person you cannot become a licensee or franchisee in the United States. So, you will need to look for other options such as; Coffee Beanery, Caribous or It’s a Grind. Actually there are about 8 fairly good and growing options ou
    ady a manufacturer who is providing the same or similar product as yours to your prospective customers. They are skeptical as to why prospective customers with little or no time to investigate the options available to them and who are reluctant to upset their own customer base would change manufacturers.

    You can expect your potential investors to understand that your customers need to move product and generate higher margins. They expect quality and general customer support to be givens, the basic requirements to win business. Therefore, their focus will be on understanding how you help your prospective customers earn more money.

    To your potential investors, the biggest problems your customers face are products that stay on the shelf, don’t work properly, or carry low margins… situations that cost your customers money and the opportunity to make money on other products. Does your business plan show investors how you plan to solve these problems? It should if you want to capture their attention.

    Be sure to clearly explain why you can win over prospective customers who have extensive experience in dealing with manufacturers in your market space…customers who have “heard it all.” Your business plan has to reveal to investors how you’ll protect your products from damage during transit, guarantee their availability, offer a wide range of product selection, and modify the product as needed. In short, your business plan has to leave investors feeling confident that your product will be delivered as ordered, undamaged, on time, and working properly.

    You’ll also have to convince investors that you can overcome the biggest objections your customers will have in switching manufacturers, which from the investors’ perspective will involve product quality and your ability to deliver on time. If the product stays on the shelf too long or doesn’t work properly because of poor quality then that is a problem. If the product can’t be used or sold because it hasn’t been delivered then that is a problem.

    Prospective investors know that to win a customer’s trust you’ll have to show them quantifiable evidence that they can earn more using your products and that the risk of changing over to you is low. Since this is what it will take to win business, it is only logical that your prospective investors will want to see this same evidence before they invest in you.

    Points For Manufacturers To Address In A Business Plan

    In summary, if you’re a manufacturer trying to attract investors, these are the points you must address in your business plan:

    • How and why customers will earn more money doing business with you rather than your competitors.
    • How and why they will have less hassles and it will be easier for them to do business with you rather than your competitors.
    • How and why customers will face less risk doing business with you rather than your competition.

    When you address these points with verifiable evidence to support your position, potential investors will have to conclude that they would be foolish to invest in any other manufacturer but you.

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