Valley Entrepreneur No. 3

Five Steps to a Financial Turnaround | The Effects of HB 500 on Small Business | Working Insights

Journal

Ten Years of WBC Why failure is the Stepping Stone to Success

Working Insights The Reward Of Being

CONSISTENT & PATIENT

Millennials as Young Entrepreneurs

THE QLUE QUEST

Contents

23 - 25 OWN YOUR JOURNEY: BUILDING A HIGHLY PROFITABLE, SUSTAINABLE BUSINESS 5 INTRO Maria “Charo” Mann Chief Executive Officer 8 - 9 LOCAL GOVERNMENT PROCUREMENT: WHY THE HASSLE IS WORTH THE TIME

by Leonardo Olivares 10 - 11 10 THINGS YOU HAVE TO DO TO ENSURE THAT YOUR WOSB GETS GOVERNMENT CONTRACTS 14 - 15 FIVE STEPS TO A SUCCESSFUL FINANCIAL TURNAROUND

by Bret L. Mann, 16 - 17 THE EFFECT OF HB 500 ON SMALL BUSINESS AND THE GROWTH OF BUSINESSES IN THE RGV

by Oscar Longoria 18 - 19 WHY BABY BOOMERS AND MILLENNIALS SHOULD CO-FOUND

by Taylor Brown

26 10 STEPS TO STARTING A BUSINESS 28 - 29 THE QLUE QUEST

by Devon Smittkamp MILLENNIALS AS YOUNG ENTREPRENEURS

by Maria Mann 36 - 37 UNDERSTANDING THE MILLENNIAL GENERATION 38 - 39 WORKING INSIGHTS

by Beth Ann Kaminkow

41 WESLACO NURTURES SUCCESSFUL ENTREPRENEURS 42 - 43 THE REWARDS OF BEING PATIENT & CONSISTENT 44 - 45 WITH GREAT OWNERSHIP COMES GREAT RESPONSIBILITY

By Miki McCarthy 48 - 49 THE IMPORTANCE OF NETWORKING FOR A SOLOPRENEUR

20 - 22 WHY FAILURE IS THE STEPPING STONE TO SUCCESS

3

SCI

The Women’s Business Center is your First Step to Success.

We are a non-profit organization offering prospective clients the guidance they need to achieve their dreams. Get the answers you need at the Women’s Business Center!

Financial Analysis Market Research

Loan Application Assistance

Mentoring Program

Business Workshops and Seminars

This Women’s Business Border Center is partially funded by the Small Business Administration (SBA) under cooperative agreement No. SBAHQ-12-W-0050. SBA’s funding is not an endorsement of any products, opinions, or services. All SBA funded programs are extended to the public on a non-discriminatory basis. Reasonable arrangements for people with special needs will be made if request at least two weeks in advance by calling at 956.380.2800.

Southwest Community Investment Corp Women’s Business Center 2314 W University Dr. Ste 230 Edinburg, TX 78539 956.380.2800 www.wbcrgv.org

Intro

MARIA “CHARO” MANN Chief Executive Officer

“The greatest danger in the times of turbulence is not the turbulence – it is to act with YESTERDAY’S LOGIC” – Peter Drucker Love this quote!!! And how truthful it is. Often we pretend to solve our challenges and move on to our future with yesterday’s logic, especially when it comes to adapting to “change”. Often, I see entrepreneurs struggling to fit business strategies that were relevant ten or twenty years ago, and landlocking themselves from new opportunities to make their businesses more efficient and operational.

The intent of this issue is to look at change with the vision of opportunity rather than challenge. We highlight a series of informative and thought provoking articles about generational changes as the baby boomers retire from the workplace and the millennials redefine it. We also highlight our local millennial entrepreneurs with especial focus on The Qlue Quest.

Apart from that, we also look at changes on state regulations such as HB 500 and their effects on small business. We also focus on the legislation that has helped Texas to be the friendliest state for small businesses and named as the top state for businesses.

On September 25th, the SCI - Women’s Business Center celebrated its 10th Anniversary with a bang among local leaders, entrepreneurs, small businesses, and community in general. We extend our heartfelt gratitude towards all those who attended, and the sponsors that made this possible. A special thanks goes to our Platinum Sponsor AT&T, and Gold Sponsors Lone Star National Bank and La Mansion Ballroom.

And of course, a very special thank you note to you - the reader, to whom this magazine is dedicated. With your support and entrepreneurial drive, we expect to turn the Valley into a place that inspires the creation, retention, and expansion of businesses in South Texas and beyond. Let’s do this together. Let’s do this the Valley way – a partnership for Regional Development

Chief Executive Officer Maria “Charo” Mann Creative Director Oriol Zertuche Art Director Bratislav Djikic Editor-in-Chief Isaul Carballar Contributors Leonardo Olivares Bret L. Mann Oscar Longoria Taylor Brown Devon Smittkamp Beth Ann Kaminkow Maria Mann Miki McCarthy SCIC Board of Directors Sarah Hammond Pedro Salazar Maria Hall Julian Alvarez Lucia Valdez Celine Schulz Ramiro Garza Nelda T. Ramirez Yolanda G. Salinas Advertising Sales: 956.369.9513 info@valleyentrepreneur.org 2314 W. University Dr., Ste. Edinburg, TX 78539

5

SCI

6

Alamo EDC is a Type B nonprofit corporation dedicated to the Economic and Community Development of the City of Alamo, TX. Visit us at www.alamoedc.org to learn about our Economic Development Incentives Revolving Loan Program Business Retention Expansion Program 715 E. Business 83, Alamo, TX 78516 (956) 787-6622 (956) 787-7766 Fax

COMMUNITY. EMPOWERMENT. INNOVATION.

7

Procurement

Local Government Procurement:

WHY THE HASSLE IS WORTH THE TIME With 254 counties, 1,216 cities, and thousands of school and other special districts in Texas, small and mid-sized businesses should not ignore the local government customer base when selling goods and services. However, navigating the public procurement process can be, well, perplexing. Don’t let it be.

8

Procurement state laws keep an eye on the dollars spent by the local governments. Most cities participate in buy boards like TXMAS and HGAC, and it’s worth the investment.

Most cities participate in one or more “buy boards,” such as Texas Procurement and Support Services Cooperative Purchasing Program (State of Texas CO-OP) or Texas Multiple Award Schedule (TXMAS). Another popular cooperative purchasing program is found in the Houston-Galveston Area Council (HGAC). Spending time on navigating procurement rules and buy boards is worth the investment.

Local Rules Aside from the state laws, cities with municipal Charters should also be consulted as most will have some requirements regarding the expenditure of local dollars. Typically, municipal charters establish an expenditure amount that requires approval by the city council. You may discover that this amount may be small since most charters were adopted in the early 20th Century (now I really feel old), and have not A hidden gem Because of its public nature, acbeen amended to reflect comprobably can counting for, and spending, it is a pounded inflation over 100 years be found if you … public process. Local governor so. These charters may also reknow where to ments must collect and account for quire that all warrants (ie, checks) look… a City Manager’s tax dollars they receive. Typically be approved by a city council administrative this involves the county appraisal – again an anachronism now authority board or the Texas Comptroller of unnecessary in modern municipal Public Accounts. Financial advisfinance. A hidden gem probably ers, bond counsel, and underwriters also can be found if you know where to look… participate when financing capital projects. a City Manager’s administrative authority.

Budgets must be filed for public inspection, This allows City Managers to spend a cerhearings on property taxes must be held tain amount under certain circumstances following strict statutory requirements. Budwithout additional city council approval. get hearings also are schedules and notice to the public must be given: Here is $1.00; It pays to register with local cities to here is how we received it; how we accountensure you do not miss any Requests for ed for it; how we invest it; how we will spend Proposals (RFPs) or Requests for Qualit. This process is not efficient like private ifications (RFQs). The City of McAllen business, but it is a public process meant to utilizes eBid Systems to manage their be accountable to the public. procurement process.

Private v. Public Procurement The often heard adage, “Government should be run like a business,” although appealing, is in fact misleading. Here is why. A dollar in your wallet or pocketbook is yours. It is private property. It belongs to no one else, and you may do with it as you please. Conversely, a tax dollar belongs to all the people who paid their sales or property taxes.

Statutory Requirements& Resources While state laws govern the assessment, levying and collection of sales and property taxes and the budgeting process, procurement state laws govern the maze on how local governments spend their dollars. The Texas Municipal League (TML) distilled these statutes to develop a primer on procurement with a Q&A format entitled, Texas Municipal Procurement Laws Made Easy.

It’s only has 104 Q&As! Even the primer is not easy, but worth the read.

The Texas Comptroller is a gateway for new small and mid-sized businesses looking to do business with state and local governments. A prospective business can register for certification as a vendor or a Historically Underutilized Business (HUB).

As you seek to grow your business remember that the state and many local governments established procurement programs specifically to support small business capture a segment of the billions spent in Texas. Just ask for help.

LEONARDO OLIVARES Leonardo Olivares is the City Manager for the City of Weslaco with strong experience in federal, state and local governments.

9

Economy

10

O T O D O T E V A H U O THINGS Y S T E G B S O W R U O Y ENSURE THAT S T C A R T N O C T N E GOVERNM 11

Procurement If you run a women-owned small business, you have plenty of opportunities to enter into business contracts with the government. You can explore various avenues with the help of certain government run programs. One such program is WOSB. What is a WOSB? If at least 51 percent of your small business is operated and owned by a woman or a group of women of US citizenship, you qualify to become a Women Owned Small Business (WOSB). WOSBs have several opportunities to sell to government agencies.

Here are the eligibility requirements: • The day-to-day operations of the firm must be managed by the woman.

• The woman must be in a position to make long term decisions for the firm.

• The woman must occupy the highest officer position.

• The woman must not work elsewhere.

She must work fulltime at the firm during regular working hours.

• Your firm doesn’t have to be in business for years. Brand new small businesses are also eligible for the WOSB program.

What is An Economically Disadvantaged Women Owned Small Business (EDWOSB)?

In the case of an EDWOSB, at least 51% of the business is run by economically disadvantaged U.S women.

Eligibility requirements for the EDWOSB program All eligibility requirements that apply to WOSB also apply to EDWOSB. There are some other requirements as well.

• The personal net assets of the woman have to be no more than $750,000. This excludes the woman’s ownership in her personal residence and business. Incomes used to pay business taxes or reinvested into the business are also excluded.

It is engineered specifically to offer contracting opportunities to women industrialists.

With this program, female small business owners can win government contracts.

12

• Other excluded assets include money reinYou can find a list of these industries at vested in retirement accounts and assets the Small Business Administration website: transferred within two years to immediate www.sba.gov/content/women-ownedfamily members for select purposes. small-business-program • The average of the adjusted gross income over the last three years has to In order to qualify for the EDWOSB probe $350,000 or less. Income used to pay gram, your program should meet SBA’s business taxes is excluded from this. guidelines for economic disadvantage. You • The market value of the woman’s assets can find these guidelines here: www.sba. (including the value of her busigov/content/women It’s important ness and her primary residence) to know your should be $6 million or less.

The WOSB program requires that worth. Before the federal government awards you apply, The program is designed to provide make sure you 5% of its prime contracting dollars more contracting opportunities to small businesses owned by understand your for women entrepreneurs. Thanks women. The WOSB program also capabilities. to this program, women who own provides a tool for the procuring small businesses can compete for agencies to help them meet their and win federal government contracts. minimum WOSB contracting goal. As a result the program creates and retains more All women owned businesses do not qualify employment opportunities for WOSBs. for the WOSB program. In order to qualify for the program, your business has to be How to qualify for the program? among the 83 industries listed in the FederIn order to qualify for the WOSB program al Register and WOSB Compliance Guide. sponsored by the federal government, at least These are industries in which firms owned 51 percent of your small business should be by women are underrepresented. owned by women. Every year, women-owned

list of 83 industries that come within the purview of the WOSB program.

the following URL: eweb.sba.gov/gls for more details.

Step 3

Step 5

If you want to self-certify your firm, you will have to register on the SBA website. You will also have to submit documents proving your WOSB status to the Women Owned Small Business Program Repository.

Step 6

Get certified as EDWOSB or a WOSB. You have to certify that your firm meets the eligibility requirements of these programs either through third-party certifiers or through self-certification.

Make sure you understand your target audience. This will take you a long way.

Self-certification doesn’t cost anything.

You can find a list of the approved third party certifiers on this website: www.sba. gov/content/women-owned-small-business-program

businesses in 83 industries are eligible to receive 5 percent of the government contracts.

The first step towards winning these contracts is to find out whether your small business qualifies to be a WOSB or an EDWOSB. If it does, here are ten things you should do to sell your products or services to government.

Step 1

Perform a self-evaluation. Evaluate your capabilities and capacity before applying for a contract. You should know exactly what you can offer the government. A thorough understanding of your goals and capabilities will increase your chances of winning the contract.

Step 2

Find out whether the products or services offered by your firm are included in the

The four organizations listed below have been approved as Third Party Certifiers by the SBA. • National Women Business Owners Corporation <http://www.nwboc.org/> • El Paso Hispanic Chamber of Commerce <http://www.ephcc.org/> • US Women’s Chamber of Commerce <http://www.uswcc.org/certification> • Women’s Business Enterprise National Council <http://www.wbenc.org/> Third party certification from only these four entities is approved by the SBA.

Step 4

Register your business in the System for Award Management (SAM). If you want to do business with the government, you will require registration. Visit the SAM website to register. Get a D-U-N-S Number. This is a nine digit ID for each physical location of your business. Visit www.bpn.gov/ccr/ default.aspx for more details.

WOSB Program Repository Documents that verify your eligibility for this program have to be submitted to the Contracting Officer at an online document warehouse.

Only the SBA, WOSB and the CO will have access to these documents. Visit

Find out who your target customers are.

You will have to research the market to find out which government agencies buy your products or services. You can find more information at the following URLs: Federal Procurement Data System (https:// www.fpds.gov/fpdsng_cms/index.php/ en/) or USASpending (http://www.usaspending.gov/).

Learn more about federal contracting requirements by reviewing the Federal Acquisition Regulation (FAR). Review FAR Part 19 carefully. You can find an online version of this here: https://acquisition. gov/far/.

Step 7

Explore opportunities to team with other businesses. This strategy will provide more federal procurement opportunities. You can, for example, partner with another firm that manufactures a product that complements your product.

Step 8

Develop engaging marketing materials In your marketing materials you should include a short summary of your products, your contact details, a quick overview of your performance in the past and small business certifications.

Step 9

Approach the right agencies. Have a meeting with the key personnel at the agency you want to target. This will give you an opportunity to introduce your business to them.

Step 10

Attend outreach events sponsored by agencies. Don’t waste opportunities to learn more about your target agency.

Attend events sponsored by them. This will also give you an opportunity to communicate with key personnel, and meet potential business partners.

13

Economy

Five Steps to a Successful Financial Turnaround A Case Study - The City of Weslaco, Texas Weslaco saw an increase in revenues in the early 2000’s. With the increased income, the city extended its financial resources. However, the times soon changed.

D“

etroit is broke, but it didn’t have to be. An in-depth Free Press analysis of the city’s financial history back to the 1950s showed that its elected officials and others charged with managing its finances repeatedly failed or refused - to make the tough economic and political decisions that might have saved the city from financial ruin.”, Detroit Free Press article published on September 15, 2013. There are times when Presidents, Senators, Congressmen, Mayors, Commissioners, Business Owners and Non-Profit Executive Directors know that the organization needs intervention but fail to start the process. Weslaco’s City Commission was not one of those. In 2010, the elected officials saw the downward trajectory and decided to save the long term financial health of the City from the same fate that Detroit experienced.

The Background

The City of Weslaco, Texas like many cities, businesses and non-profits in the early 2000’s experienced increases in revenues (property and sales taxes for the cities). In several years Weslaco was achieving double-digit annual increases. The City started hiring employees and extending financial resources to corporations, contractors, non-profits and employees. Times were good and the feeling was they would always be.

However, revenues slowed while expenses keep increasing. It got to the point

14

where monies were transferred from the Utility Funds to the General Fund just to have a positive balance. These amounts averaged $1,338,906 from fiscal years 2006-2009 above the 2010-2013 levels.

In spite of these transfers the General Fund Balance went from $5,146,678 in 1999 to a negative $213,081 in 2008.

STEP 1: Acknowledgement – Houston (Weslaco) We Have a Problem

In 2010, the City received a credit rating downgrade to BBB+ from Standard & Poor’s (S&P). This downgrade was after years of promising S&P that the City would implement the changes needed to improve its financial situation. Up until 2010, those changes were either not made or were never enough to have an impact on the finances. That same year the City Commission hired a new city manager and a new finance director and pledged to get the City in adherence of its 25% fund balance level.

STEP 2: Research the Numbers – How Do We Compare With Everyone Else

Weslaco has a population of over 36,000 people and general fund revenues of $21 million. The City researched twelve (12) similar sized and funded cities within the Rio Grande Valley and Texas. The data showed that Weslaco had the second

largest number of employees (331) of all the cities. The City also had $17,017,124 in personnel costs in fiscal year 2009.

STEP 3: Create a Plan

The City determined that it needed to reduce staffing levels to 250 employees.

To achieve this, the City created a voluntary separation program (VSP) to give all employees the opportunity to receive one week’s salary for every year of service with a five (5) year minimum and a twenty (20) year maximum if they would leave employment. If the reduced levels were not attained with voluntary measures, then a reduction in force (RIF) would be implemented. These reductions were projected to create a 25% general fund balance within a five year period while still giving the City the ability to purchase needed assets such as patrol cars, IT equipment

Financial Steps 1: Acknowledgement 2: Research 3: Plan Creation 4: Plan Implementation 5: Monitor and Revise

The City received its second credit upgrade from S&P (a total increase of three levels) to A+, the cityâ&#x20AC;&#x2122;s highest rating ever. The general fund balance at the end of fiscal year 2013 was $5,468,654, the largest balance the City has ever had.

City of Weslaco General Fund Balance $7,000,000 $6,000,000 $5,000,000 $4,000,000 $3,000,000 $2,000,000 $1,000,000 $0 $-1,000,000 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 unaudited

unlike Detroit which had permanently closed 66% of their parks four (4) years prior to filing for bankruptcy.

To date, Detroit has closed over 80% of their parks and upkeep on those remaining has been reduced.

STEP 5: Monitor the Results and Revise as Needed

and resources for the parks and streets.

In addition, the City determined that employee fringe benefits also needed to be reduced in the short term.

STEP 4: Implement the Plan

Fifty-four (54) employees or over 16% of the workforce participated in the VSP program.

This represented a savings of $2.3 million in employee costs per year. In 2011, twenty-three (23) positions were eliminated to reduced employee costs and an additional $1 million in savings. Operating and capital expenditures were limited and monitored on a regular basis. The retirement benefits were reduced from a 2 to 1 match to a 1 to 1 match. Revenues were projected at lower levels to force the City to maintain conservative levels of spending. While some services were reduced all parks remained open

Fiscal year 2011 was the first full year of the plan and as such was considered the transitional year with little financial impact expected. The City ended the year with a positive fund balance of $836,818. The second year ended with a $2,966,222 balance. The 25% fund balance was reached in 2013, a full two years early. This allowed the City to implement a property tax reduction of $.01 per $100 of valuation every other year until the rate was reduced from $.6967 to $.65. As the program started to achieve success, the retirement benefits were increased in 2012 to a 1.5 to 1 match and back to the 2 to 1 match in 2014. Non-union employees were given a $500 salary increase in 2013 and a one-time cost of living adjustment of $1,000 in 2014.

The Results

In 2013, the City received its second credit upgrade from S&P (a total increase of three levels) to A+, the cityâ&#x20AC;&#x2122;s highest rating ever. The

general fund balance at the end of fiscal year 2013 was $5,468,654, the largest balance the City has ever had. Fiscal year 2014 unaudited Fund Balance ended with over a $7 million surplus. The 2015 fiscal year budget includes a minimum wage of $10.10 per hour for full-time regular employees, a 5% increase for non-union employees, $1 million for capital improvements to the parks and $1 million for other capital purchases, a reduction in the base fees for water and wastewater and a one cent property tax reduction.

Applicability to Others

While all entities have their own unique circumstances, these 5 Steps can be used for cities, businesses, non-profits and any other entity that needs a financial turnaround or to improve their current entity. The question is will you be able to make the tough decisions if and when the time comes?

BRET L. MANN, MBA, CPA is the former Finance Director for the City of Weslaco, Texas and he retired in November 2014 after achieving all of the goals he set when he started with the City in 2010. Mr. Mann is currently a Financial Management Consultant. bretmann61@gmail.com

15

Policy

The effect of HB 500 on Small Business and the Growth of Businesses in the RGV

O

ur great State of Texas has long been a hub for businesses and economic development. Most recently, that economic blaze has resulted in the rise of entrepreneurs and small businesses, which have developed throughout the state. In the Rio Grande Valley, we have been a great benefactor of small businesses and witty entrepreneurs who have launched their own businesses here, and seen them grow successfully.

The legislature first enacted the margins tax exemption for small business in 2009. Since its passage, Texas has been named the friendliest state for small businesses, it has led the nation in job growth, and it was named the top state for businesses by numerous publications. In 2010, the U.S. Department of Commerce reported that Texas created more jobs than any other state, and the Wall Street Journal credited the state’s low taxes and employer-friendly environment with helping make Texas the “job creation capital” of the nation.

Small businesses are the backbone of our state’s economy and contribute to our economic success. According to the U.S. Small Business Administration, small businesses significantly impact Texas’s economy. They represent 98.7 percent of all employers and employ 46.4 percent of the private-sector labor force. Small businesses are crucial to the fiscal condition of the state and numbered 2.3 million in 2010.

Additionally, Hilderbran’s bill extends the exemption to businesses grossing more than $1 million annually by creating a guaranteed $1 million deduction.A standard $1 million deduction means more tax relief for more small businesses. Right now, a business

During the 83rd Texas Legislative Session, many bills focused on small business were introduced to the legislature, and of those, the most significant is House Bill 500 which was drafted by Representative Harvey Hilderbran (R-Kerrville). This is a significant piece of legislation because it is estimated to offer up to $667 million in tax relief to Texas businesses.

House Bill 500 permanently exempts businesses with gross revenues of $1 million or less from paying the margin tax. The current exemption will expire at the end of 2014.

I know this tax exemption results in business growth and job creation. I’ve heard firsthand from small business owners how the exemption has allowed them to invest more in the community and bring on new employees. In passing this legislation, the tax exemption is now permanent and business owners can rest assured that they have this security long-term.

16

Texas is the friendliest states for small businesses and has been named as the top state for businesses.

could completely miss out on the exemption if they gross just over that $1 million mark.

Under HB 500, everyone is guaranteed at least a million deduction.

The tax overhaul also provides tax fairness by ensuring that the â&#x20AC;&#x153;cost of goodsâ&#x20AC;? deduction is offered to most businesses equally, not to just a few special interests. The bill changes how the tax is applied to specific industries, including businesses engaged in rental, auto repair, transportation, real estate and medicine.

Witnessing the success of businesses, especially small businesses, in the Rio Grande Valley is of great importance to me. Our region is growing and developing every day, whether it is a well-known corporate chain, or a small business, I am glad to see that we have created a hub for entrepreneurship and business With such in the valley. We are just starting a growth, to see this growth after the past the area has become recession, and I can only imagine a hub of how many future businesses we development. will have and the economic impact that will produce for our region.

I believe this legislation is crucial to the success of small businesses in our state and as such, I will always support bills that benefit our economy and business. I look forward to continue working on business issues with my constituents, fellow legislative colleagues, and with the thousands of business owners throughout our state.

OSCAR LONGORIA Oscar Longoria is a Democratic member of the Texas House of Representatives, serving since 2013

17

WHY BABY BOOMERS AND MILLENNIALS SHOULD CO-FOUND

by Taylor Brown

This e360 blog post is reprinted with permission from the Ewing Marion Kauffman Foundation

18

Baby boomers¹ are micromanagers, work hard, do not understand technology, are stubborn and want to destroy the planet.

Millennials² are lazy, entitled, tech savvy, want to save the world and don’t know how to communicate in person.

1 A person who was born between 1946 and 1964

² The generation born in the 1980s and 1990s, comprising primarily the children of the baby boomers.

A

lthough the generalizations of baby boomers and millennials vary, they do share one similar characteristic, they both share particular entrepreneurial characteristics. Millennials crave freedom and earning potential. Baby boomers have a desire to build something.

Both of these generations are finding jobs are hard to come by, and are putting their hopes in entrepreneurship as an alternative. Millennials are the most educated generation in history and the least employed. When the economic crisis hit, millennials struggled to find jobs, resulting in an average student debt of $29,400 (CNN Money). With nothing to do and nowhere to turn, many went on to further their education and some took a different route and decided to start their own businesses.

The Kauffman Foundation conducted a survey in 2011 that found that 27 percent of millennials are self-employed, 72 percent want to quit their jobs, and 35 percent

have started a business on the side. Baby boomers are reacting similarly by shunning their retirement for several reasons: they do not feel comfortable with their retirement sum, they want to start something of their own or they need additional income.

Why then don’t baby boomers and millennials co-found together instead of focusing on their differences? After all, baby boomers have shaped millennials by raising them as parents or grandparents, hiring them as employees and educating them as professors/ teachers. Millennials, in turn, have affected baby boomers as well by introducing them to new trends in technology that allow for global communication (Facebook, LinkedIn, Twitter) and green lifestyles that focus on less waste and greater reuse of the world’s products and services. Why then are both generations always griping about one another? Rather than cutting one another down, they should be building something up—with each other. Here are five stereotypes make baby boomers and millennials perfect co-founders.

Both of these generations are finding jobs are hard to come by, and are putting their hopes in entrepreneurship as an alternative

19

Revolutionary things cannot be made if you don’t try to do something differently.

Don’t be afraid of failures – just follow your heart.

20

Entrepreneurship

W

e learn more from our failures than from our successes. In fact, failures are lifelong mentors. While success gets over quickly, failures linger on and teach us many important things. The euphoria of success doesn’t last long. Failure, on the other hand, stays longer and can hurt both emotionally and financially. But on the bright side, failure provides insight. It gives you a great opportunity to discover what could have gone wrong.

Here are the seven ways to learn from your business failures: Failure is indispensable You make improvements when you try to do things differently. Organizations that show an unwillingness to fail are unlikely to make innovative products. It is by attempting things and making mistakes that we learn to build something truly revolutionary. We are a generation driven by the desire to succeed. We are afraid of failures, but the truth is that we need failures to succeed.

Failure emphasizes the need to take risks Businesses need to take risks to foster creativity and innovation. Failure reminds us that risk is omnipresent. It is everywhere and it has to be everywhere. There is a degree of failure in everything that we do.

Success leads to complacency Success makes us complacent. All of us strive to succeed. But if we win frequently, we will start taking success for granted. Failures, on the other hand, prompt examination.

They give you an opportunity to analyze your processes and identify what you missed.

Failure gives an opportunity to learn When things go wrong, it is natural to feel isolated and frustrated, but remember that you are not alone. Countless people and organizations failed before they went on to become stupendous successes. You should study why others failed and how they managed to tide over the crisis.

Failure does not always mean that something has gone wrong.

Failure does not always mean that something went wrong. Of course, that is one possibility but it is also possible that the product or idea was ahead of its time. In this case, you don’t have to repair it. Retooling is the key.

Failure puts an emphasis on the process A big mistake that many organizations make when something fails is that they put the blame on the people involved. But this

Broaden your perspective and look beyond the winning formula. This will help you find new solutions. search for a scapegoat will not take you anywhere. It is true that people have a hand in how a company operates, but processes are equally important. When something fizzles out, instead of putting the blame on your people, try to break down the process and see where things could have gone wrong.

Failure broadens your perspective Think about the last time you tasted success. It must have been a great feeling. You will definitely want to repeat those moments and enjoy them. Consequently, you will repeat the formula till it stops working, but this strategy will not help your long term goals or business philosophy. This is where failure can really help. When a winning formula stops working, you get a great opportunity to consider all possible means of solving that problem. This will broaden your thinking and will ultimately lead to bigger successes. This will also help you find solutions before another problem crops up.

How to Deal With Failures So failure broadens your thinking and helps you understand things better. But how can you make the best use of it? Here are some effective ways to deal with failure.

your failure, you will only enervate yourself.

Accept the fact that you have failed and forgive yourself. Now make an attempt to make sense of the situation. There are quite a few things that you can learn from your failures.

Take responsibility Don’t put the blame on your employees or clients. Maybe the problem stemmed from your inability to express your expectations properly. Maybe you didn’t bother to ask the customer what they really wanted.

Maybe you didn’t ask the right questions because you were eager to close the deal.

No matter what you do, don’t put the blame on your team members or partners. You will probably want to tell them that they have to change, but that is unlikely to help.

You can’t change them. You are the only person that you can change. Assume that they will remain the same. Now find out ways to make your next attempt successful by changing yourself. This will probably involve accepting more responsibility or learning a new skill.

Own up Own up to your mistakes. When a project fails, accept responsibility. Do a thorough analysis of the situation. Problems were probably there right from the beginning.

You might have ignored them.

You probably assumed that things would eventually work out. Maybe Dealing with fear and you chose to work with the wrong broadening person. Or maybe you were your vision is promoting your product on the easier than wrong platform. Very often the real you’d imagine. problem is not faulty execution, but making the wrong choice.

Give vent to your feelings It is okay to feel frustrated when you fail. Find someone you can share your feelings with. Most people find it difficult to talk about their failures. They don’t want others to discover that they have failed, but that mentality will do more harm than good. There is nothing wrong with failing. At least, that shows that you made an attempt.

Talk to other people who have tasted failure in the past. They don’t necessarily have to be your close friends or family. Someone you meet on the bus or at the café can sometimes offer more sensible advice than a close relative. Your family has a vested interest in your success. They may find it difficult to cope with your failures. As a result, you can’t expect them to give rational advice all the time.

Forgive yourself Don’t torture yourself. Yes, you are going to be angry with yourself, but if you brood over

Keep trying until you succeed Start working on it all over again. Your second attempt is going to be more successful than your first attempt for several reasons. If it is worth trying, it is worth trying more than once.

Don’t forget that you are attempting to do something that most people can’t even attempt. You are taking the road less traveled.

You may find bumps and potholes on the way. The journey may be risky. Face it. Keep going until you reach your destination.

21

Entrepreneurship Management Style: Baby boomers are known for micromanaging. Millennials are known for feeling entitled and will probably have a hands-off management style.

The best management style is not having one specific pattern. Rather, it is knowing what management style to use in a certain situation. You need to be able to adapt to the situation at hand within a company.

This means not always telling people what to do, and not always going with the laissez-faire approach.

Technology Capabilities: I always find it amusing that the baby boomers get such a hard time for not understanding new technology. When if it weren’t for their generation, some of the most successful technology companies would not exist today such as Apple (Steve Jobs born 1955), Microsoft (Bill Gates born 1955) and Amazon (Jeff Bezos born 1964). Millennials grew up in the world that baby boomers helped create.

If these two generations worked together, imagine what could be created. Baby boomers and millennials working together would have strong product development with a conscious effort in developing to their customers’ needs. Mixing the realists and the dreamers can help create sound companies with a pension towards innovation and customer-driven adjustments.

Work Ethic: Baby boomers are known for these traits: hard working, walked 5 miles to school—uphill both ways—and have little or no work-life balance. Millennials are known for feeling entitled, expecting gratification and not wanting to put their time in but knowing how to work hard- not necessarily during office hours. If millennials and baby boomers co-founded together, baby boomers could give millennials a reality check on workplace expectations and behaviors, and the millennials could teach baby boomers the importance of stepping away from the office in order to clear mind drives and rejuvenate workers.

Environmental Regard: Baby boomers have a reputation for causing harm to the planet all in the name of providing for their families. Millennials want to clean up that mess. Which poses the question. How can we afford to make the planet greener? Boomers and millennials can work

22

together to create sound business plans that have an eye on the eco-friendly/sustainable model of the new world.

Communication Preferences: Baby boomers are great at communicating in person; millennials are great at communicating via device. The two can learn from one another and create a better communication balance (personal and efficient). We have all been in a meeting that can take up a significant chunk of our day. Those can be effective, but they can also be draining and to be frank, a waste of time. Both baby boomers and millennials can rely on their strengths and decide what is worthy of time and face-to-face meetups and what can be handled in an email-fashion.

For some individuals this sounds like their biggest nightmare. However, why would you want to co-found with someone who thinks the same way that you do? In a one of Noam Wasserman’s video segments on Kauffman Founder’s School, Should I Co-found? With Whom?, Wasserman uses his own dataset, finding that 84 percent of startups decide to co-found with two or

Baby boomers have shaped millennials by raising them as parents or grandparents, hiring them as employees and educating them as professors/teachers more individuals. Co-founders who often make the best partners are able to compliment one another’s weaknesses as well as fill in the missing human capital skills and expertise. While baby boomers and millennials certainly do differ, their stereotypes compliment each other spot on. This won’t work for everyone, but, if human capital, arguably the most important asset of the business, is leveraged, it could optimize the strategic vision of any company.

In focus

Own Your Journey:

Building a Highly Profitable, Sustainable Business

O

n September 25th, the Women’s Business Center (WBC), a program of the Southwest Community Investment Corporation (SCI), celebrated its 10th Anniversary with a bang among local leaders, entrepreneurs, small businesses and community in general.

The event included a training component that took place in the morning and a festive celebration in the evening. The morning event “Solving the Puzzle of Entrepreneurship” was held at Lone Star National Bank

Marty Hinojosa, Congressman Ruben Hinojosa, District 15th, Charo Mann, Executive Director for the Women’s Business Center

24

corporate office in McAllen, and included several successful local entrepreneurs, each highlighting an aspect of entrepreneurship. Among the presenters were Ms. Sonia Falcon, Senior VP for Commercial Lending from Lone Star National Bank; Dr. Karen Lozano from Fiberio CTO; Israel Rocha, CEO from Doctor’s Hospital at Renaissance; Edna Posada from SPA La Posada; Antonia Davila from AFLAC State Sales Coordinator; Isabel Garcia from Isabel’s Café; and Gracie Yarritu from Mary Kay Cosmetics.

The evening event enjoyed the special keynote address from Dr. Kathleen Connell (twice elected California State Controller), highlighting the importance of building a successful and sustainable business with the topic of “Own Your Journey: Building a Highly Profitable, Sustainable Business”. It was followed by a special recognition of the Wom90% of trained en’s Business Center 10th entrepreneurs Year Anniversary with that come to a special United States the WBC are flag presentation and women recognition by Congressman Ruben Hinojosa, and special State flag presentation and Proclamation by Rep. Oscar Longoria and Senator Chuy Hinojosa. To receive the special recognition on behalf of the center was Maria Mann, Executive Director of the Women’s Business Center.

Left to right: Dr. Teofila Ozuna, Dean of the School of Business at UTPA, Nacole Ricks, Program Assistant at UTPA, Gracie Yarritu, Senior Director for Mary Kay, Giselle Mascarenhas-Villarreal from Indigo PR, Yolanda Gonzalez, District Manager for Wells Fargo Bank, Dr. Kathleen Connell, CEO STEMACCEL, Sarah Hammond, CEO Atlas Electric & Air Condition, Charo Mann, Executive Director of the Women’s Business Center, Alma Ortega-Johnson, Area President for Wells Fargo Bank

The evening concluded with a special dance performance by Jenny Avellaneda and Luis Armas, worldwide champions of Marinera Nortena (a Peruvian dance), and a very special “High Tea” decor, great music, and amazing networking opportunities at the La Mansion Ballroom in Mission.

About the SCI - Women’s Business Center (SCI - WBC) Originally established in 2004, the SCI - WBC’s is an affiliate of the SCI. Its objective is to promote the growth of women-owned businesses by providing technical assistance, helping with access to credit and capital, and identifying federal contract and trade opportunities.

More specifically, the Center assists clients with business plan development, formulating financial projections, and conducting market & product research.

The Center is actively involved in providing business training and networking opportunities to its clients.

The Center is also actively involved in providing business training and networking opportunities to its clients. These are usually held throughout the Rio Grande Valley and consist of the Center partnering with ‘experts’ from both the private and public sectors who are willing to volunteer their time and efforts.

Representative Oscar Longoria, District 35, Charo Mann, Executive Director for the Women’s Business Center

The WBC has seen consistent increase in the number of trained entrepreneurs since 2004, representing over 7,800, from which about 90% are women entrepreneurs.

25

Entrepreneurship

10

Steps to Starting a Business

Do you find yourself daydreaming about what would make the best little bistro shop on the corner?

Or have you ever wanted to be your own boss? Check out these 10 steps to learn more about what it takes to get started.

Write a Business Plan

Register a Business Name

This written guide will help you map out how you will start and run your business successfully

Register your business name with your state government

Get Business Assistance and Training

Get a Tax Identification Number

Take advantage of free training and counseling services

Learn which tax identification number youâ&#x20AC;&#x2122;ll need to obtain from the IRS and your state revenue agency

Choose a Business Location

Register for State and Local Taxes

Finance Your Business

Obtain Business Licenses and Permits

Get advice on how to select a customerfriendly location and comply with zoning laws

Find government backed loans, venture capital and research grants to help you get started

Determine the Legal Structure of Your Business

Decide which form of ownership is best for you

Register with your state to obtain a tax id number, workersâ&#x20AC;&#x2122; compensation, unemployment and disability insurance

Get a list of federal, state and local licenses and permits required for your business

Understand Employer Responsibilities Learn the legal steps you need to take to hire employees

Source: The U.S. Small Business Administration. (2014, August 26). [Thinking About Starting a Business? Follow These 10 Steps to Starting a Business].

26

27

The Cover Story

The Quest

Written by Devon Smittkamp

The inside story of a start up that is taking the industry by storm: Meet the brains behind the brand

T

here’s a roller coaster at Minnesoa business for ourselves. We had drive, ta’s largest theme park called “The passion and an endless stream of creative Wild Thing”. As a child I would ideas that we knew we needed to act upon frequently attend this park and quickly. Our visions aligned from day one stare up in awe as the and we knew there was more in cart slowly rose to the highest peak. store for us beyond the horizon.

It was at this point that I would feel Our visions the butterflies begin to flutter and Fast forward a few years to August aligned from day one although I wasn’t experiencing the 2013. I received a call from John and we knew ride first hand I truly felt as though telling me he had moved back to there was I was involved. A bystander looking his hometown of McAllen and he more in store in, just waiting for his chance. was ready to pursue our long lost for us beyond passions in any way possible. The the horizon.

I grew older and then one day I felt time had come. It took very little ready to take the plunge. I hopped convincing for me to put in my two in line and stretched up on my tippy toes week notice and I flew down shortly after to in order to make sure I passed the devious make the valley my home. height requirement. I remember standing in line, those all too familiar butterflies had deAs experienced graphic designers we took cided to call my stomach home once again. to freelancing immediately and built our first I strapped in and held for dear life… brand, the GPGI Design Group, to provide the valley with fresh new designs and As an entrepreneur I often find myself in impeccable customer service. It wasn’t long these same positions. I stand what seems before our client list was filling up and the like miles below a peak, a goal, dreaming of the possibilities. I see the ups and downs laid out on the path and while they frighten me, they exhilarate me tenfold. We survey our options, calculate the risks and decide whether or not to take that same plunge.

Along each ride there are obstacles, twists and turns that threaten to end it all. But me? I keep my hands in the air and simply let it ride.

The entrepreneurial journey John and I have been on for just over a year now has truly been a test of character for the both of us.

We were two college freshmen attempting to find our way in the vast San Francisco cityscape when we met. We were both intrigued by the idea and opportunities of building

28

phone started to ring. We were in business!

A few months later we were in full swing and loving our new lives as first time entrepreneurs. Thirsty for more we hit the drawing board and the concept for Qlue quickly came to life right before our very eyes.

Based on a family tradition, Qlue guides users on location-based challenge adventures. They follow “Qlues” to real world destinations and complete socially engaging challenges at each check-in point in order to advance. A simple concept. It wasn’t long before we truly realized the scalable potential of the platform we were scheming up.

We have the opportunity to transform the way people interact with venues and cities alike in a revolutionary way.

We reached out to some personal connections and secured a few meetings in a humble attempt to find financing and get the ball rolling. We were blessed to meet a partner who understood our vision and was ready to dive in headfirst with us. While it wasn’t a terribly long time from the initial conception of the idea to receiving seed round funding, it was certainly not a cake walk. It was intimidating and scary the first time sitting at a roundtable and pitching an idea on paper without any history or proof of concept. Oh well, it’s now or never, right?

We will be set to launch early next year and can’t wait to prove to the valley, nation and eventually the world just what we can do as millennial entrepreneurs. nal and we received just over 900 entries in three days. The public seemed genuinely excited about Qlue and overall we had a great time interacting with potential future customers and clients.

Now, the Qlue journey has been far from a walk in the park. While on the outside it seems as though things are always rolling smooth, there are frequent stresses looming over us and obstacles to overcome on a daily basis. We are currently several months behind our development timeline and have had to postpone our valley beta launch numerous times. As first time entrepreneurs we have learned a lot about expectations vs. realities in the technology industry.

We shook hands and I distinctly remember a tingling feeling running down my spine. I was numb. I didn’t know what to say, how to react or how to handle my inner emotions.

We are pleased to say that we have recently This was the marker of a new chapter of partnered with a world class development our lives and we were eager to disrupt the team to build out and license some brand market. We began by employing a new, state of the art technology to We have the local development team and starttruly transform the way Qlue funcopportunity to ing initial social media marketing tions. We will be set to launch early transform the in order to get the word out. next year and can’t wait to prove way people to the valley, nation and eventually interact with Within the month we had over the world just what we can do as venues and cities alike in a 1,000 fans on Facebook, growmillennial entrepreneurs. revolutionary ing rapidly each day. It seemed way. as though the public was truly A few years ago John and I would interested in our concept and that have never expected to be in the only pushed us to move harder, faster. We position we are currently in. A few years ago continued internal growth, seeking out new I had no idea what “the valley” was and how opportunities and partnership connections such a beautiful community is tucked away in in a wide array of markets. Qlue is such a the depths of Texas. Life is all about finding versatile product that we didn’t quite know a path that makes you happy and excited to where to begin at first. wake up each and every morning. I am proud to say that the valley is where our path begins.

We ran our first public promotion at South

By Southwest (SXSW) Festival in Austin earTo follow us on our journey please visit lier this year. We hit the road with hundreds www.qluequest.com/blog of Qlue shirts and a free iPad Air set to reFacebook: www.facebook.com/qluequest ceive email sign-ups on the street and peak Twitter: @QlueQuest user interest. The response was phenomeInstagram: @QlueQuest

In Focus

Who Pays the Price for Lawsuit Abuse?

YOU DO.

Our justice system is intended to make people whole, not rich. Unfortunately it is too often abused by those who view our legal system as a lottery where even dubious claims can lead to a huge payday. We all pay the price when our civil justice system is abused.

- Lawsuit abuse costs jobs. Lawsuits and the threat of liability make it that much harder for employers to succeed and provide the jobs we need. We need more jobs, not more lawsuits.

- Lawsuit abuse hurts patients. Patients pay the price as doctors leave the state or stop practicing because of the fear of lawsuits.

- Lawsuit abuse costs families. Every lawsuit means higher liability costs that are passed along as higher prices on the goods and services we all need.

When it comes to lawsuit abuse, we all pay – and we all lose. That is why we can’t give up this fight now!

Bill Summers (1938-2009) considered CALA among the most important projects undertaken by the group now known as the Rio Grande Valley Partnership.

During the 1980s, the Rio Grande Valley became a magnet for frivolous lawsuits that ended in windfall awards for plaintiffs. The expense of fighting spurious claims threatened to push some businesses into bankruptcy, while others were forced to close because of skyrocketing liability insurance premiums.

In 1990, Sam Sparks told Alan Johnson, chairman of the Rio Grande Valley Chamber of Commerce, that the organization should do something to stop the barrage of lawsuits.

The idea was presented to the Chamber’s executive committee, which immediately approved the idea as a chamber project. Bill Summers, Chamber President/CEO, suggested the name, Citizens Against Lawsuit Abuse or CALA. Summers became the public face of CALA as the grassroots organization worked on its goals: to educate the public about the costs to consumers of out-of-con30

trol litigation, and to advocate for tort reform, changing state laws to make the justice system more reasonable and less costly.

“We wanted people to understand what lawsuit abuse means to…Mom-and-Pop businesses, to you and me as consumers,” Summer’s said. “All we’re talking about is putting back some common sense into our civil justice system.” Letters were mailed to every Valley business explaining CALA’s twoprong plan. Individuals and small businesses responded with contributions that ranged from $25 to $1,000 to further CALA’s goals.

Through radio interviews, billboards, and bumper stickers, CALA told the story that, “When it comes to lawsuit abuse, we all pay - we all lose.” Unwarranted lawsuits resulted in lost jobs and lost businesses.

The Valley medical community was hit hard by unwarranted lawsuits. In fact 86 percent of claims against Texas physicians resulted in no payment to the patient, however; the financial cost and impact to reputations were devastating. Doctors and hospitals gave enthusiastic financial and vocal support to CALA, which

caught the attention of the American Tort Reform Association. The group bought rights to the CALA name and began building statewide and national support. In 1995 the Texas Legislature passed civil justice reforms, followed in 2002 by tort reform which addressed medical malpractice issues. Texas emerged as a national model for reform.

Fighting Lawsuit Abuse Matters

Lawsuit abuse affects us all by reducing access to health care, driving up the cost of consumer goods, and limiting job creation.

Lawsuits can force doctors out of the exam room, leaving communities without the health care they need. We pay more for everyday products and services because of junk lawsuits. Employers look closely at a state’s legal climate when choosing a location to expand or relocate. When it comes to lawsuit abuse, we all pay – and we all lose.

Mission and History

CALA is a non-profit, grassroots coalition dedicated to educating the public about the

cost and consequences of lawsuit abuse, challenging those who abuse our legal system, and returning common sense and fairness to our courts. Created by citizens concerned about junk lawsuits and the price we all pay for lawsuit abuse, CALA is supported by small business people, health care providers, consumers and taxpayers.

Citizens Against Lawsuit Abuse (CALA) groups are located throughout the state.

Launched in Texas’ Rio Grande Valley in 1990, the CALA movement has spread across the country. In the Lone Star State alone, more than 25,000 Texans support CALA chapters in East Texas, Central Texas, Corpus Christi, and the Rio Grande Valley.

Citizens Against Lawsuit Abuse Rio Grande Valley Febe Zepeda, Executive Director P.O. Box 1499 Weslaco, Texas 78599-1499 Phone: (956) 968-3141 Fax: (956) 968-0210 Website: http://www.rgvcala.com

MRO Industrial Supplies Parts Suppliers Maintenance, Repair and Operation.

OMA INDUSTRIES LLC Tel: (956) 454-2599

omaindustries.com

Mill

32

lennials as

Young

by Maria Mann

Entrepreneurs

What are the key talents a young entrepreneur should possess - self belief, strong motivation to succeed, an open mind to grab opportunities, and perhaps a little bit of narcissism. Now think about the traits a typical millennial child possesses. Aren’t these the same set of traits? Yes, you are right! Millennials have an innate talent of becoming successful entrepreneurs.

T

he way they have been brought up and their technological know-how makes them born entrepreneurs.

Their lack of ability to stick to a job for a long duration of time inspires them to come up with a business set-up of their own, where they can do things the way they want. More and more millennial kids are starting up with their own setups and that too at a very young age.

Let’s find out how the millennial minds work when they manage free enterprises –

Listen to the Stats

Almost 900 millennials participated in a nationwide survey conducted by Lake Research Partners and Bellwether Research

in association with the Young Invincibles to find out the views of this generation regarding the current economic crisis and the prospect of entrepreneurship.

According to this survey, the millennial generation is pretty excited about entrepreneurship. Almost 60 percent millennials support the idea of starting an enterprise instead of searching for a job. Several members of this generation have already started one such venture.

To tell the truth, according to the current economical status of the country, we need a generation of entrepreneurs to create more employment throughout the nation.

Therefore, this generation’s keen interest in starting up new ventures is a positive sign for the economy.

Why They Want to be Entrepreneurs

The enthusiastic, positive-minded and idealistic generation of millennials, who are in their 20s and early 30s right now, see entrepreneurship as a form of freedom.

They do not like working in a regressive environment where their new ideas and working methodologies will not be appreciated by their employers. Therefore, they want a work environment where they are their own bosses, an environment where they can choose when they want to work and how they want to work.

“The only world I’ve known is a globally connected society that instantly connects and instantly communicates so the foundation of my business, and I’ll bet to say, the

33

Entrepreneurship

businesses of other millennials rely heavily on the internet. In fact, with eJucomm, my business day depends solely on the internet. I took a risk, an uncalculated risk, because I saw an opportunity. Everything I needed to start eJucomm was available on the web,” said Dalinda Alcantar, an entrepreneur. “It takes very little money to begin a business these days. I don’t need any brick and mortar. I just need an internet connection. I do know the importance of creating authentic relationships with my customers. I’m working on it. I look at the photos of past women business owners and they appear rigid and have a cookMariana Aguayo ie-cutter approach. I see myself and my generation straying away from the suits and being drawn to the value of people and pops up, they are ready with the undertheir solutions, instead of banking on their standing of the market’s needs to turn it professionalism. I have a Masters degree, into a business. Being an entrepreneur is but I feel we can learn everything from the doing something that you absolutely love. internet. I don’t think that the endless hours You don’t have to go “conquer-the-world”, spent in college decide our sucbut maybe just the market.” cess rate, like they did in the past.”

This is the A large number of millennials are generation of kids who Another entrepreneur, Mariana already doing some sort of side actively Aguayo added that, “From my gigs to earn some extra cash and participated perspective, an entrepreneur is to gain experience in that one field in all kinds of an innovator and marketer who that interests them the most. When co-curricular believes in himself and is resilient, a millennial achieves a certain activities agile, tenacious, and passionate. psychological maturity along with and got tremendous Entrepreneur enjoys marketing and some levels of financial security, appreciation selling and they grab an opporhe/she grabs the first opportunity for being tunity at the right time. They are to establish a start-up. They create creative and not afraid of the tides and they their own working environments different from navigate against the current to based on their personalities and the rest of the reach new frontiers. When an idea lifestyle. world

34

Dalinda Alcantar

What makes this generation so determined and goal-oriented is the fact that they were brought up in an encouraging environment by educated parents. This is the generation of kids who actively participated in all kinds of co-curricular activities and got tremendous appreciation for being creative and different from the rest of the world. They have their own set of dreams and aspirations and they want to turn their special skills and talents into illustrious careers.

Although this generation supports the idea of entrepreneurship, they also realize that it’s not an easy path to follow. But in the end, a majority of millennials believe that the advantages of starting up their own venture surpass its downsides.

An entrepreneur duo of Devon Smittkamp and John Rios-Zertuche said that, “As two millennial entrepreneurs who met in silicon valley, we tend to see things a little different than the others. While there is an obvious path that society encourages us to follow, we boldly chose to follow an unknown path. Throughout the past year, we faced obstacles and dealt with situations we could have never foreseen. We’ve taken (calculated) risks and even chances, based on our gut feelings. We have also celebrated small successes as a team and grown together in countless ways. While we learn

lish their own business set-ups in the next five years. This percentage also includes those who have already started with their independent ventures. Millennials understand that a lot of risk is involved in setting up a new business, which is why they prefer to gain some experience first. They start working towards their ultimate goal while they’re still in school or college.

This helps them understand the nuances of the industry they’re interested in. For example, young writers and authors start working via online platforms like Elance and Odesk where they easily earn up to $20-$30 an hour.

By employing this strategy, the millennials are making money while they’re still studying or doing a full-time job. It is estimated that within the next two-three years, these workers will be in a position to quit their regular jobs in order to start their own enterprises.

Millennials Will Bring the Change

more and more about the business world, we realize that the most rewarding and gratifying aspect of entrepreneurship is what you learn about yourself. “

What Plans Do Millennials Have for the Future?

According to a study, more than 50 percent of the members who belong to this generation are looking forward to estab-

This generation knowingly or unknowingly aims at bringing a wave of change in the way people work and pursue their careers. This inclination towards following a new pathway has been fuelled by the current political scenario, falling economy and their disbeliefs in traditional norms.

The internet is their most powerful weapon. They make use of online platforms like skill-sharing portals, crowd-funding websites and other online market places to get the initial resources required to lay the foundation of their ventures.

This confident group of youngsters aims to introduce work ethics based on a different set of priorities. The millennials won’t sacrifice their true passions in name of stable Sara Gonzalez, Nathan Villarreal, Joshua Tyree, Joshua Villarreal, Luis Trevino

According to a study, more than 50 percent of the members who belong to this generation are looking forward to establish their own business set-ups in the next five years jobs. They will do something they truly believe in, even if that choice generates enough money or not, because happiness is their prime motivation. “Why stick around in an office where you can’t even wear the clothes of your choice?” is the kind of mindset this generation lives with.

Luis Treviño, a strong believer in fate, said that, “entrepreneurship is about taking our destiny into our own hands. It comes with the freedom to define a culture unto ourselves which pushes us forward. We’re passionate about creating work that makes an impact. We are carving a path so that our future employees, friends, or colleagues may be able to easily navigate in our footsteps. Entrepreneurs are the modern conquistadors who are discovering, seeking fortune, and adventure, despite great strife along the way. In short, it’s about chasing your dreams and making them a reality.”

Conclusion

Since a large number of millennials are attracted to the idea of entrepreneurship, more and more universities and institutions are coming up with professional courses.

Florida International University is even considering introducing an ‘entrepreneurship course’ that’ll be compulsory for all the graduates. In order to work hand-in-hand with this group, companies need to change their existing policies. Either they can introduce changes in their work environment by inducing more independence or they can adopt the policy of making smaller teams for achieving a set of goals. The idea is to give millennials the freedom they desire and respond to. Employers need to listen to what they have to say since these youngsters are capable of producing fresh, innovative ideas on everyday basis. A bunch of broad-minded organizations have already started to implement these changes in order to incorporate the young talent.

Management

Understanding the Millennial Generation With the work fields becoming battlefields, the millenials have an edge because of their resourcefulness. But is it easy to work with them?

W

e all know how much our previous generation loves to give orders while comfortably sitting on their leather chairs, wearing their favorite crisp white shirts with complementing ties. This generation of baby boomers is hardly aware of the fact that soon their working methodology is going to be under attack by the millennials.

The Rise of the Millennial Generation The term millennial is used to describe an entire generation of kids born during 1982 to 2002. According to the experts, there are about 80 million millennials who are now all set to overtake everything the baby boomers hold close to their hearts at their workplaces.

These kids believe that they are special since they have been fostered by their devoted parents in a very encouraging environment.

Millennials enjoyed a lot of attention from their parents as well as educators. They used to play in leagues where everyone emerges to be a winner. They got appreciation even for just participating, irrespective of the result of the competition, which makes them super confident and motivated.

Kids of this generation have either completed their education or are on the brink of doing so, hence they are all set to replace the members of their previous generation.

Archetypical Traits of a Millennial • This generation is completely different from all the previous generations as they were introduced to technology in all its forms at a really early stage in their lives.

36

• They were brought up in a safe and exceedingly positive environment, and for them, Latinos are the biggest minority fragment instead of the African-Americans.

• Millennials were raised by the most educated moms as compared to any of their previous generations.

• A typical millennial child handles multi-tasking efficiently and is expected to switch at least 6 careers in his/her lifetime. No wonder they are usually drawn towards varied environments.

• Educating them was not simple since they have a completely different set of goals and expectations from their educators. K-12 institutions are still trying to figure out the ways to motivate the kids from this generation.

How They Work These days, our work fields are nothing less than battlefields, where everyone is trying to climb the ladder of success. In this race, millennials seem to have an edge because they are extremely resourceful, as this is a generation of tech-freaks. They possess all kinds of gadgets which help them in multitasking.

profiles and they like to remain connected with one another via emails, chat messengers, and text message services. But this doesn’t mean that they are foolishly buying gadgets without any concerns. They are well aware of the pros and cons each technology brings with itself.

• Kids of this generation are quite close to their immediate family members. They help their family and friends in times of trouble and are not afraid of seeking their help either. But religion is something that is not on their mind. They confess that they do not have any religious affiliations.

Some say this generation is one of the most powerful generations ever, while some others conclude that it is nothing but an assembly of disobedient and unreformable workers.

• Also, you can’t expect them to stick to a strict dress code or other such work ethics. You have to accept the fact that they’ll roam the corridors of your office in trendy clothes and casual footwear.

As a Manager, How to Deal with Don’t expect the Millennials Education and Money Matters the millennials to devote • As a manager, you must be wonMillennial generation aims to themselves for dering how you would handle achieve more degrees than any the company workers from this generation. other generation would have since their The trick lies in building strong dared to imagine. For them, priorities are relationships. The millennial education is one of their main crystal clear to generation values relationships priorities, but this motivation is not them. since they are family oriented driven by the desire to earn a lot people. They like to remain conof money. In fact, their drive to get nected with their peers by meeting them in better education comes from their family person or via internet. Therefore, the best and friends. Millennials like to earn money, way of engaging them in an activity or a but only because it helps them do what service is by establishing a relationship they really want to do in life. with them, where they find it interesting to communicate with you.

Some Additional Facts • As explained earlier, technology is their • Remember that while laying down the main weapon. They use it to connect with foundation of this relationship with your the world in many ways. Almost 50 percent millennial worker/subordinate, you need to of millennials have active social networking be a psychoanalyst as well as a diplomat.

• They support globalization and the new work reforms which are being introduced everywhere. This generation finds outsourcing of jobs, incoming of immigrants, and automation practices a positive change.

• This generation likes to keep an eye on the political scenario and global current affairs like no other generation would have. Again, technology helps them in keeping up with everything.

• The ultimate goal of their lives is either to become famous or to become rich, but not by practicing old-fashioned business tactics. Their priorities in life are clear to them and they are well prepared to achieve their set goals.

• Speak with them politely, almost as if you are their counselor or a therapist. You can’t proclaim that you are not happy with the way they work. Craft your words carefully around them and make sure you are giving them their space.

• Don’t expect the millennials to devote themselves for the company since their priorities are crystal clear to them. In all probabilities, they won’t agree to spend all their time and energy for the success of your venture. For instance, they’ll straightforwardly tell you that they have to hit the gym at 5 o’clock and there’s nothing you can do about it. They plan their schedules around such activities since these activities/motivations are more important to them for their survival.

37

Marketing

O

ur industry is funny in that certain words and concepts become the latest obsession. It’s almost like the way fast- fashion fads become the must-have look of the moment. Insights is one of those hyper-used words. We are data-mining for them; deep diving for them; anthropologically exploring for them; crowd- sourcing for them; quantitatively polling for them; neurologically testing for them; swarming for them; social listening for them; and the list goes on.

That’s not all bad, but the fact is that insight without execution is nothing more than a good dream. Execution is what turns insight into reality... and the dirty little secret is that not all great insights lead to great execution.

Truth be told, an insight is only as good as the execution it drives. Unfortunately, it sounds a lot less sexy to value execution more than insight—isn’t that putting more significance on the tactical versus the strategic? The answer is that one without the other limits the possibility and potential of both. Insight that delivers move-the-needle execution, or execution-driven insight, is the unit of analysis of good branding.

Even more important, when the discipline is shopper marketing and the environment is retail (virtual or physical), the metric of effectiveness must be a change in behavior. We are designing for someone to take action.

Our goal is to influence purchase. It is not enough simply to measure reach, penetration, frequency, awareness and perception.

This raises a question of what defines shopper marketing more: the insight or the execution? In shopper marketing, insights come from a unique understanding and intersection of shopper mindset and behavior, the retailer (points-of-purchase), brand, category, and culture. This is a lot to marry. Mining an insight from this complexity can often lead to an even more complex execution.

Procter & Gamble has done an incredible job of capitalizing on the insight that moms of athletes feel an enormous sense of personal pride when their children make it to the Olympics. P&G’s campaign recognizing and thanking moms for the sacrifices they made for their child’s Olympic dream creates a memorable narrative that has yet to materialize as a revolutionary shopper-marketing execution.

Translating this insight into a shopper insight and execution can take this campaign

38

WORKING INSIGHTS

to the next level. The Olympic program reinforces P&G’s relationship with moms, but further execution-driven insight is needed to extend this to a purchase-driving success.

All moms long to be heroes in the eyes of their family, and returning from a shopping trip with the right brands is one way she accomplishes this. Implementing a holistic shopper program along mom’s entire journey to purchase P&G brands can be the next evolution of this platform.

This speaks to an additional complexity: Is the focus on the consumer, the shopper, the buyer, or all three? Is the context at home, on-the-go, at retail or all three? This is what happens when we are talking about an omnipotent shopper in an omni-channel world. No longer can insights come from one area of the company and then be handed off to another group to determine the execution plan—and to yet another group for implementation.

erful are the great seducers who wield their insights like magic wands. The best way to guard against this “danger” is by explicitly envisioning the execution. Taking the time to map-out the implementation of insights helps determine which insight will deliver the biggest impact and results. Execution pulls the curtain back on insight. It introduces a disciplined approach Digital shopping to determine the best insight. has certainly

Today’s omni-channel retail environment requires a comprehensive understanding of a person’s what, how and why—in the context of their routine brand purchases—to identify an execution-driven insight.

As people spend more time online and replace physical with online activity, their expectations shift accordingly. A shopper insight can be executed differently in an online ecommerce space than is possible in the physical environment.

Take a “sneaker freaker,” for example. The insight into a consumer’s obsessive anticipation of a limited- edition sneaker is dealt with very differently online versus in-store.

The sneaker freaker’s expectations shift accordingly, and so must the execution. The same insight will drive different executions in these two environments. The same is true for a vitamin shopper in drug, convenience, health store, grocery and mass retail. The insight maybe the same, but the execution must vary to meet the shopper’s expectations differently by channel and trip mission.

Other times the execution may need to shift because the insight differs by channel.

When I buy paper towel in 7-Eleven, a very different insight is at the core of my purchase than when I buy paper towel at Costco.

This is also a good example of the obvious, straightforward nature of insights and executions based on human truths. Some of the best executions come from simple insights.

There is no need to get overly fancy and slick if the execution comes from a very real and relevant insight.

The biggest impact of shifting shopper expectations is the rise of ecommerce and the digital devices that aid shoppers. When an online shopping experience can deliver new and meaningful value in engagement, convenience, product information and interaction, we must rethink how we execute against expectations in the physical environment.

given marketers an idea about their shoppers’ behavior, making the retail environment better than ever.

If online shoppers are used to seeing new merchandise the moment they return to a website, the bricks-and-mortar store should deliver a similar (if not further enhanced) shopping experience. A good example is Victoria Secret. Many VS shoppers buy both online and in-store. The online experience changes the shoppers’ expectations based on what is possible online, placing new demands on creating a more compelling reason to visit the physical store.

The pressure is on the execution even more than the insight, although both are critical to delivering on the shopper expectation.

While digital shopping technologies make shopper marketing more complex, they give marketers an unprecedented view into human behavior throughout the purchase journey. Leveraged well, this leads to implementation and execution that have never been done before in the retail environment.

This is exactly what Ron Johnson has had in mind for JC Penney: Enhance the shopping experience and deliver new value to shoppers through the use of technology, a designed retail eco-system, and an improved store environment. He and the JCP team are not lacking in insights, just in execution.

As JCP shoppers hear the buzz of a new vision, there is an immediate expectation of an improved retail experience. However, it is not enough for this change to take place in a handful of stores if people only experience their own store location, where the change may not have yet occurred. There’s no question that JCP has valid insight into how shoppers feel aboutthe constant bombardment of sale circulars and fliers. However, the execution did not take into consideration the long-held beliefs, perceptions and ingrained behaviors associated with this value-based buying behavior.

There’s a cautionary tale here about the powerful seduction of insight. Equally pow-

Just like strategy, it is about choice. Just like strategy, it is about consistency and focus.

Just like strategy, it is made in implementation. There aren’t right or wrong strategies, but there are better/best choices. Once a choice is made, the most important element is the action taken.

Every brand marketer commits significant resources to understanding how consumers perceive their brands. It is equally important that they have the same understanding of the assets and equities that influence shopper choices. When there are multiple insights, one must prioritize. This is when the economics of insights matter. An insight that is too expensive to implement will not work. The execution must drive return-on-investment. The result must cover the cost of discovering insights as well as the cost of the execution.

Effective shopper programs deliver value beyond the product itself. They are focused on the experience of buying and using the product — not just communicating the product’s features and benefits.

The simpler the design, the better the results. Begin with a vision for the execution that solves a shopper need and overcomes a barrier. There is sure to be a solid shopper insight at the core of it. If possible, take a test-and-learn approach. This is even easier and more feasible online.

Execution-driven insight is a marketers and brand’s strategic aspiration.

BETH ANN KAMINKOW is president and chief executive officer of TracyLocke. A strong advocate of insights-inspired marketing programs, she is a pioneer in strategic-planning research methodolo- gies.

Contact: bethann.kaminkow@ tracylocke.com or (203) 857-7616.

39

40

One Region One Voice One Center

Weslaco nurtures successful entrepreneurs Abstract Ms. Sarah Cuadra was born and raised in the Rio Grande Valley. Her parents owned and operated a photography studio that was located next to a local thrift shop where Sarah’s love for books emerged. She managed the book section at the thrift shop and found herself at the library during most of her adolescent and teenage years. Sarah graduated from Mercedes High School in 1996 and was awarded a scholarship to attend the prestigious Brigham Young University in Provo, Utah where she received a Bachelor of Arts Degree in International Development in 2000. After graduation Sarah fell in love, got married, and found herself torn between finding a job and starting a family.

As destiny would have it, she and her little one would stroll into a local bookstore in Weslaco years later that was looking for new management. This marked the beginning of Sarah’s journey to entrepreneurship.

Introduction Ms. Cuadra agreed to run the local bookstore but found herself at a crossroad when the store closed six months later.

Should she buy the store from the owner or start her own business? With help from a newly found business partner, she decided to venture out on her own.

Sarah found a beautiful space in historic downtown Weslaco and knew this was what she was looking for; it was cute, quaint, and centrally located. In 2001, at the young age of 23, Sarah opened The Storybook Garden on South Texas Boulevard inside the historic Villa de Cortez hotel.

Business Centered in the Rio Grande Valley

Findings Ms. Cuadra opened The Storybook Garden because of her passion for books, education, and entrepreneurship. She wrote her own business plan and went to the bank where she recalls asking the banker why he had approved her loan. His response was something Sarah will never forget, “...if it fails, you have the rest of your life to pay us back because you’re so young.” In 2003, Ms. Cuadra took her passion a step further and began working at Weslaco ISD as a teacher in Roosevelt Elementary’ s gifted and talented program; all of this while raising two little girls.

The Storybook Garden was recently awarded a grant from author James Patterson who started a $1 Million campaign to bring attention to independent bookstores and bolster their efforts to inspire children to become lifelong readers last September.

Implications “My business is a family affair and I do it for them,” says Ms. Cuadra. The Storybook Garden is a success because of the help Sarah receives from her loving family - her parents, husband and sister all assist in the day to day operations of the store and in the coordination of many events throughout the year. When you come from an entrepreneurial family, 21st Century business fundamentals like operations, logistics, marketing, and social media management come natural to everyone.

Conclusions “I love Weslaco because it is a great community to raise a family and because we have a true historic downtown district. My bookstore is a destination for everyone in the Rio Grande Valley because Weslaco is centrally located.”

Ms. Cuadra is the Weslaco Advantage. www.thestorybookgarden.com/blog http://www.thestorybookgarden.com

Call The Economic Development Corporation of Weslaco at 956-969-0838 or visit www.weslacoedc.com for more information on how you can be a part of the Weslaco Advantage

THE REWARDS OF BEING

PATIENT& CONSISTENT Ever since our childhood, we have been told that patience is a virtue.

If it is indeed a virtue, what is its reward? What can individuals and organizations gain from patience?

There are plenty of things.

42

Strategy

P

atience helps you build a great relationship with your employees and followers. Being patient and consistent is a must if you want to negotiate successfully and achieve your goals. Let’s see how patience can change your life personally and professionally.

What are the advantages of being patient and consistent?

Patience helps build your reputation. If you want to build a successful organization, you should master the skills that will set you apart from your competition. If you are driven by impatience, you can’t lead. Your impatience will eventually lead to the demise of your career goals. No one will listen to an impatient person. No one will want to work with you. In the same way, organizations that do not understand the importance of patience cannot succeed.

You can’t build a successful company overnight.It takes time and a great deal of patience. Many entrepreneurs give up within the first one or two years of starting their business. If they waited a little longer, they would be able to reap rich rewards.

But their impatience forces them to give up. They don’t realize how close they are to success. Being a successful leader and building a great organization is impossible without mastering the virtue of patience.

Here is how to build a reputation as a successful leader

Patience produces remarkable results. Look at all the successful organizations. They invest in their people. They build strong employee engagement. They know their people are their biggest asset. Needless to say, they spend time and money on honing their skills. Their first priority is getting the work culture right. Customer service comes only second. They understand that if their people are happy and satisfied, they will be motivated to work harder. All that motivation will ultimately encourage them to deliver better service to the customer. Patient dedication is necessary to develop employee engagement. You can’t build a brand overnight. It takes time. Before building a great company, you have to build a team of achievers. This requires patience.

Patience leads to better recognition

Patience brings its own rewards. This includes more sales, higher profits, and improved customer satisfaction. You can’t master patience without understanding the real causes of impatience. Impatience arises

from lack of control, lack of planning, lack of understanding, and unrealistic expectations.

Once you learn to control these issues, you will be able to claim the rewards of patience.

Patience is your biggest resource

As a business person, you are always looking for ways to improve the performance of your company. You can buy the best talent and the smartest business plans, but none of these can be a substitute for patience.

Patience is one of those virtues that will stand you in good stead.

It is not easy to master the art of being patient. But as a leader, you have no other choice. You are supposed to make smart decisions based on sound judgments. Kneejerk reactions will not produce any good results.

Seek guidance from a trusted person

You can’t have the answers to all questions.

Your patience can wear thin if you feel that the problem is too big to solve, but don’t use your authority to push it away. If you fail to solve it, it can return later. When you grow too impatient to solve a problem, seek guidance from a trusted confidante.

They should be able to provide you with the needed perspective.

Patience brings its own rewards.

This includes more sales, higher profits, and improved customer satisfaction.

Practicing Patience

Patient leaders tend to be far more successful than others. There are several ways to practice patience in the workplace. Here are a few things you can do.

Listen attentively and ask questions

Patient leaders are great listeners. They ask questions - lots of them. If you really want to solve the problem, you can’t be in a hurry. Ask for input from your team. This may throw up valuable insights. Enjoy the problem solving process.

Having a positive attitude is equally important. It is not easy to smile when you are under tremendous pressure, but if you can manage to do it, you will leave a very positive impression on others. Your positive attitude will also encourage others to practice patience.

See Things from the perspective of others Don’t be judgmental. When things go wrong, it is easy to throw the blame on others, but make sure to not commit that mistake. Be objective and analyze the situation thoroughly. Successful leaders don’t let their personal preferences cloud their judgment. This allows them to see things from the perspective of others.

If you lack energy or enthusiasm, you may get impatient and lose your control. Be bold enough to deal with the situation and wise enough to resolve it. Work towards a solution by helping your team members connect the dots. This will help you build trust.

Assess the situation in a realistic way

A patient leader can evaluate the tension points carefully. Understanding how others deal with them may reveal insights that can help you anticipate the unexpected. But none of these can be a substitute for being empathetic. Show your care and concern for your employees. Don’t take sides. A leader has to be unbiased and patient. These two qualities will help them find the opportunity in an adversity.

Do not run away from responsibility.

Leaders are often impatient with their employees who don’t deliver satisfactory results or follow instructions well. The next time you face such a situation, conduct due diligence.

It may be your fault. If you can patiently deal with such situations, you will be able to diffuse tension and find more effective ways to solve the problem. Be accountable. This will also help you earn respect.

Leaders have high standards. They have equally high demands. Make sure that your expectations are not too high. If you know your people well, you will be able to identify potential problems in advance. Try to figure out what motivates other people. When you face a problem that tests your patience, use it as a great opportunity to assess your goals, strengths, and weaknesses. By practicing patience, you can become a more resourceful, composed and compassionate leader.

Patience produces remarkable results. Look at all the successful organizations. They invest in their people.

43

With Great Ownership Comes

Great Responsibility 44

Management

P

Property ownership is a great thing, but it comes with a set of responsibilities. Have you got what it takes to own property?

roperty ownership is a right a financially and need to sell fast? If you need passage and part of the American a quick sale, your REALTOR® may suggest dream. With ownership comes listing below market to move the property responsibilities such as paying quicker. Are you residing in the property you property taxes on time, insuring want to sell? Do you have a place to relocate the land against damage and maintaining to if your property sells? Depending on your the appearance of your property. situation, you will need to plan your Sometimes the stress and strain next step ahead of time.

Selling of property ownership can cause real estate owners to sell. As a former EcoIn addition, the existing use and its can be a nomic Development Director and future use needs to be considered. problem if the now REALTOR®, one obstacle to What municipal zoning ordinances owner has selling real estate is the unrealistic are in effect that will govern the use unrealistic expectations some owners may of the subject property? Before adexpectations have about the value of their propvertising that a property can be used erty. Here are a few misconcepas commercial, due diligence needs tions some owners may possess: to be performed to ensure that applicability of a zoning change. Just because • My home sits on a busy street and should a residence is located on a busy street does sell for more money as commercial; not mean that it can be zoned commercial.

• I know my neighbor across the street sold The Planning and Zoning Department would his property for a lot of money. So, I’m not be the best place to inquire about the potengoing to settle for less than that; tial uses for a particular property.

• Since my property is on the Expressway, it is worth millions of dollars; Another consideration should be the • I should get 3x what I paid for the property. existing improvements the property possesses. Let’s continue with the example When the conversation begins in this of a home on a busy street. Luckily, the fashion, it takes more work to list and adjacent property was zoned commercial sell the property. The real estate market and a change of use may be applied. fluctuates and the value of a home or price However, the existing use has been per square foot for commercial property is residential. The existing infrastructure is determined by comparable sales that occur residential. Converting to commercial, within a six month window. Some agents a business may need to have water and may consider sales within that year to sewer lines resized to accommodate appropriately determine the market value. future growth or the construction of If this value does not coincide with owner’s new structure. The expectation that the expectations, chances are the owners will property would automatically sell for decide not to sell or try to sell on their own. more while it lacks proper infrastructure is another misconception.

According to a publication produced by the Texas Association of Realtors entitled Tips In conclusion, there are many important facfor Selling: 20 Reasons to Hire a REALtors that determine the value of the property.

TOR®, “a recent [National Association of Utilizing a REALTOR® is highly recommended REALTORS®] survey found that only 11% of to assist you and ensure that you meet your sellers nationally ended up selling by owner.” legal obligations. In addition, establishing FSBO properties do not garner the same the proper market value for your property exposure than properties listed with a REwill be achieved with a REALTOR® because ® ® ALTOR . A REALTOR will have much more they have access to the comparable sales. access to market your property via Multiple They are experienced in the market and have Listing Services, property databases and a much broader range in advertising your networking with other brokers and agents. property. Lastly, determining how to market Whereas an owner typically will have only a your property to achieve the best sale should yard sign and a random newspaper ad as be entrusted with a professional. means of exposure. This is not to say that FSBO cannot be achieved. It is to say that using a REALTOR® is a better bet.

MIKI MCCARTHY Before selling property, determine your financial position to establish a timeline.

These questions will determine how you position your property for sale. Are you hurting

REALTOR First American Realty Co. miki@firstamrlty.com www.firstamericanrealty.com

45

In Focus

46

Change Your Day, Change Your Life Why SwissJust?

• We have more than 80 years of natural wellbeing as our foundation.

• Just products have gone far beyond the Swiss borders and are sold in more than 35 countries with $500 million in annual sales. You can feel confident representing products with a solid history of success!

Just products work!

• Aromatherapy is an ancient therapy that uses aromatic essential oils to promote the health and wellbeing of your body, mind and emotions.

• Once essential oils enter your body through direct application or inhalation, the essence of the plant goes to work.

I’m a consultant by accident…Yes, literally! I was introduced to the products just about 3 years ago, and since then I’ve been living wonderful experiences in every aspect of my life, especially in the area of group leadership. It’s been like a domino effect of one great experience after another. Would you like to join me?

• Natural, aromatic essential oils are present in all Just products to help you look better, feel better and live better… naturally.

Our time is now!

• Baby Boomers want products that enable them to age gracefully and healthfully.

• Teenagers and young adults are very much in tune with natural products and aromatherapy.

• Nowadays, everyone desires products that help them feel better, less-stressed and more balanced.

People are more open than ever to the products we have to offer!

Maria Luisa Bazan Guajardo Team Leader 956 243 2948 marialbazang@aol.com www.mcallenmarialuisabazan.swissjustusa.com 47

Marketing

The Importance of

Networking For A Solopreneur

Successful entrepreneurs understand the importance of making the right connections. Besides helping you overcome the loneliness and fatigue of being a solopreneur, the right connections will help you form great business alliances.

This makes networking vital for the growth of your business.

Y

ou need lots of time and dedication to build a successful business. A network of professional friends will keep you motivated. Also, when you surround yourself with successful people who have similar goals and ambitions, you will also become successful.

But that is not the only advantage of networking. Actually, networking is just the beginning.

Networking increases your knowledge base

Networking gives you an opportunity to share knowledge and ideas. Whether it is expressing your opinion or asking for feedback, networking helps you expand the horizons of your knowledge. This will help you see things from a new perspective.

Within the group, you may also find people who have gone through situations similar to yours in the past. This will give you a great opportunity to learn from their experiences and avoid common pitfalls.Here are some benefits:

Brings opportunities

Networking will bring a lot of opportunities, but you canâ&#x20AC;&#x2122;t predict when or how these opportunities will present themselves. It could be in the form of referrals, partnership offers or requests for your products or services. It

48

is important that you seize the opportunities when they present themselves.

Helps build connections

When you network, you also get to make connections with the people in their network. If they are impressed with you, they will readily refer you to a friend who might need your service.

Donâ&#x20AC;&#x2122;t forget that networking is not a one-way street. You should also be willing to refer people in your network. This will strengthen your relationship with them.

When you promote them, they will readily promote you. It is that simple.

Networking increases your confidence

Regular networking will give you an opportunity to meet people and talk to them. This will increase your confidence. A successful business person will have to make connections and communicate with people so this is an attribute you have to possess.

It enhances your profile

Networking makes you visible. When you attend social and business events regularly, people will start recognizing you. Offer useful tips and information to people who need it. This will increase your reputation as a reliable and knowledgeable person.

This will also help you get more referrals and leads.

How to Network

Perhaps the easiest way to start networking is to join a social networking site. Sites like LinkedIn and MySpace are excellent for business networking. You will find plenty of ‘offline’ clubs as well.

A vast network of professional friends will help you grow your business. Here are five ways to leverage your business network.

Seek Referrals

Your clients would know a lot of people who need your service or product. Feel free to ask them for referrals. It is perfectly allright.

You should also ask them if it is okay to use their name when you introduce yourself to a potential client. People listen to their friends and colleagues. They are more likely to hire someone who has been referred by them.

Needless to say, referrals increase your chances of getting the job.

Use Testimonials

Your clients are your best advocates. They have tried your service and are happy with it. Ask them if they are ready to provide testimonials about your service. They are more likely to agree because they too want you to succeed. It justifies their decision to work with you. The testimonial could be as simple as a quote or it can be a case study that explains how you solved their problem.

After you have obtained the testimonial, you should find the best ways to use it. Don’t forget to publish the testimonials on your

site. You should also look for websites or publications that are interested in publishing the case study.

Attend Industry Meetings

Face-to-face interactions are still important.

By attending industry meetings and conferences, you get to meet people and build relationships with them. If your trade has a national or regional association, you should join it and participate in meetings. If you are promoting your service or product locally, you should join the chamber of commerce in your area and attend their meetings.

Attending meetings can be costly and therefore you should identify ways to boost your visibility and participation. You should seize speaking opportunities or organize a workshop.

When you

expand your business. Since blog posts appear in search results, you can attract a lot of people to your blog by posting interesting and useful articles. A blog can also enhance your credibility.

Be Social

Social media websites are a great platform to build your network. Join online networking communities and connect with people who share similar interests. However, before jumping onto the social media band wagon, you should understand how it works. While all sites allow you to meet people, they don’t serve the same purpose. LinkedIn is a good site to grow your professional network. Twitter can complement your blog. Combine your social media strategy with other tried and trusted networking tacsurround yourself Start a Blog tics. You will grow your network with successful people who have Most entrepreneurs who are serias well as your business. similar goals and ous about their business already No matter what mode of networkambitions, you have a blog. Those who don’t ing you choose, remember that will also become have one are planning to launch diversity is the key to building a successful one, and that is not surprising. great personal network. If you are Your blog is a great platform to only networking with people comshowcase your products and skills. It gives ing from similar backgrounds, you will not people an opportunity to know your prodget the desired results. You should broaden ucts, services, and business philosophy. your network because you don’t know who Blogs allow people to comment. This is a knows whom. great way to start a conversation with your You should also stay in touch with the potential clients. You should also try other people in the network. Don’t approach them ways to make your blog interactive. This only when you need their help. It isn’t about will help you build new relationships and who you know. It is about who knows you.

49

SCI

Your first step to success!

956 380 2800 www.wbcrgv.org 52