Analyzing Your Business

In order to run a successful business, you need to have a reliable method in assessing your business, its resources and the environment in which it functions.  You need to be able to accurately identify its strengths, weaknesses, opportunities and threats.  The formal term for this process is called a SWOT (strengths, weaknesses, opportunities and threats) analysis and it’s a useful tool in gaining a better understanding of your business and its position in the marketplace.

The main objectives of a SWOT analysis are to:

¨  Identify what you do well;

¨  Recognize areas which need improvement

¨  Determine whether you are making the most of opportunities around you, and

¨  Analyze possible threats to your business

The best way to complete a SWOT analysis is to create a blank grid of four columns.  Across each column, write a heading for strengths, weaknesses, opportunities and weaknesses.  Then, list all relevant factors that fall in each category.  Do not be concerned if some factors appear in more than one box.  It is not uncommon to see a factor that appears as a threat could also be viewed as a potential opportunity.  For example, several new health clubs may open in your area.  Yes, this could be a major threat to your business, but it may also prove to be an opportunity as more competitors often boost the number of clients who would come to the area.  Some of those clients may see your business and decide to try it as well.

It is important that you be completely honest and realistic when performing your SWOT.  What’s the point of investing the time in doing the analysis if you plan on creating some vivid tale of the imagination?  You may not like to hear or admit to the things you discover, but ultimately you may find this exercise to be extremely helpful to the survival of your business.

Be sure to look at all factors, not just the big stuff.  Consider all issues impacting your business carefully no matter how initially insignificant they may seem to you.  You are also encouraged to take advantage of other people’s perspectives.  They can prove to be extremely insightful, particularly if they are not close to your business and can view things objectively.

After you have finished your analysis, be proactive and develop a game plan to build on your strengths using them to their fullest potential.  Additionally, determine how you can reduce your weaknesses; understand where your opportunities lie and how you can capitalize on each one presented to you. 

SWOT is an important part of developing an overall strategy that can analyze your business, its potential and put you on a path to prosperity.  While it is not a major decision making tool and shouldn’t be used as such, it is a useful guide for looking  at the internal and external forces that impact your business at that particular time.  Since a SWOT is not static in the sense that it will change as your business environment changes, using it as part of your ongoing business analysis can prove beneficial. 

2012 Las Vegas Opening Presentation

Listen in to the shorten version of the 2012 Annual Las Vegas Conference. 

 

Time Management Re-assessment

If you have tuned in long enough you should have come to the realization that managing your time is extremely important.  In fact, it is among the top 5 reasons a small business owners make it or bust.  So if you haven’t gasped the concept as of yet, it is time; time management is a big deal!  With that said let us assume that you have created a plan to manage your time.  That you have times allotted each week to train clients, marketing, relationship development, and business affairs (ie accounting, payroll, bill paying, etc).

What happens when you add another client?  Take on a new project? Or an unforeseen event pops up?  Have you developed the skills and commitment necessary to adjust to such situations? Obviously the addition of a new client is a good thing, taking on a new project can be seen as a good thing and certainly there are unforeseen events that are good things.  So, the question becomes how can you fit the new events into the plan?  It is because of reasons previously listed and other that you need to re assess the time management plan.

Here is how I approach the re assessment component of the time management plan.

1. The last week of the preceding month I take some time to evaluate my progress and prepare for the following month based on a couple of factors.  What did I and didn’t I get accomplished in the current month. What do I need to accomplish for the upcoming month.  When I am developing the plan I am using the template of the previous month to set things up. 
2. Once I have the basics set up then I re-assess my progress on a week to week basis.  Generally speaking I evaluate the week’s production on Friday before the end of the work week.  Then on Sunday morning I make the any needed adjustments to the upcoming weeks schedule.
   
3. Finally on a daily basis I am fine tuning the schedule.  Each day I have a to do list of what needs to be accomplished.  The list is broken down into 3 or 4 categories depending on the day.  For example: clients, marketing, follow up, business development.  99% of the time everything business related I can fit into the 4 listed categories.

It is important that you adhere to a the schedule and avoid situations when possible that get you off track.  There are obvious situations that will pull you in another direction such as; a child getting sick or hurt, a pet getting sick or hurt. Having the plan in place will help you quickly get back on track when those types of situations arise.  However, for the other situations that may arise you need to ask yourself, is this important enough to derail me from the goals and objectives I have set for myself?

Think of the time management plan in terms of a plan you have created for a client to achieve their results.  The effectiveness of the plan you have created will be dependent upon the client’s ability to adhere to the plan.  When you notice there are struggles you tweak the plan to keep the client on track. You become an excuse eliminator. You need to maintain the same mentality when it comes to your business and time management plan.  The better you can adhere to the plan the more productive and effective you will become.  The more productive and effective you become the more time you will have to enjoy your life.  Remember your business should support your life.

Mind Set

Through my years of experience as a coach, trainer, athlete, and parent I have dealt with the issue of mind set on a daily basis.  My journey on the path to improving my own mindset came approximately 13 years ago when I went through a tough personal decision.  The decisions that followed lead me to down a path of self doubt, low self esteem, and questioning life as I knew it.  I have never been one to sit around and sulk for long periods of time but found myself with out motivation and direction for the first time in my life.   Something had to change.  I started by going to the library and meandering through the isles of books.  One book jumped out at me:  NO EXCUSES!

This book started me down a path of understanding the importance of cultivating a positive mindset.  I mention cultivating because it is truly an on going effort.  You can never get away from continuing to seek out ways to maintain and improve the mindset.   We are all prone to moments where we give into the dark side.  Moments where we are far more; negative in our thoughts, spiteful in our actions, or just down right rude. Cultivating a positive mindset will help us better identify the moments that are pushing us over to the dark side and permit us to take corrective actions or in the case you are on the dark side to recognize the destructive nature and take the appropriate actions to return to a positive mind set.

Since my digesting of the information presented in the book NO EXCUSES! I have been enlighten through may additional resource such as Think and Grow Rich, The E-myth, The Laws of Success, How to Win Friends and Influence People, If you don’t’ know where your going how will you know when you get there, and many others.

 

Here is what I have learned:

• Don’t ignore issues.  When you ignore issues they begin to eat at you and the more you ignore or procrastinate the less likely you are willing to deal with the issue as time passes you just hope it goes way.  The truth is, it isn’t just going to go away.  It will come back to haunt you.  So dealing with issues or at least addressing issues in a timely fashion will save you.
• Have Direction.  Know what it is that you want to accomplish.  What do you intend to accomplish as a result of your career?  What do you intend to accomplish this year? Month? Week? Day?
• Have a Plan.  This goes hand in hand with direction.  The plan provides the means to stay on course and headed in the desired direction.
• Read something Positive everyday.  Take 30-60 mins each day.  Preferable before you go to be to read something positive.  I have personally found that when I consistently do this that my creativity increases and I am more keenly aware of the opportunity that surrounds me.
• Partake in an active outside of your career.  You need a break from the day to day functions of the job.  Taking time to pursue hobbies or other outside interests serve as a means to recharge your mental batteries.
• Listen More and Speak Less.
• Challenge Yourself.  Try something new, don’t get comfortable, push the envelop and step outside of your comfort zone.
• Spend time with others who are successful.
• Be humble.  Admit when you have made a mistake and own your actions
• Most importantly take time to enjoy life

What Fitness Business Owners Should Know About Non-Compete and Non-Solicitation Agreements

The use of non-compete and non-solicitation agreements are becoming a staple in just about every business.  The fitness industry is no exception.  In fact more and more small fitness businesses are using non-compete agreements when hiring trainers regardless if the trainer is an independent contractor or an employee. 

Now I am by no means a legal expert and would strongly recommend speaking to a lawyer if you have specific questions regarding a non-compete and/or non-solicitation agreement.  So, don’t substitute what I am about to say as legal advice.

Although the two terms non-compete and non-solicitation are often used together they have two distinct meanings.  A non-compete agreement is a contract between employer and employee/IC whereby the employee agrees not to enter into competition with the employer after employment has ended.  The non-complete typically takes effect after employment has ended and will last for a pre-determined time set forth by the employer. The non-solicitation agreement restricts the employee from soliciting (a) employees or (b) customers of the business after departure.

The intent of using the non-complete and non-solicitation is to provide reasonable protection for the business.  When a fitness business owner hires a trainer there is an assumed risk that the business owner takes.  The primary risk is the effort and resources the business has provided the trainer to develop a client base.  If the trainer was to just up a leave and take the clients with them: this could lead to a devastating impact to the business because of the loss of income.  The use of agreements is permitted by the courts in an effort to protect the intellectual rights and any proprietary information the company has provided the trainer.

The use of non-compete and non-solicitation agreements vary by state.  In fact in California the use of non-compete agreements are deemed unenforceable.  However, most courts favor non-solicitation agreements.  Check with your local state laws for additional information.

Also important to note is that the terms of the agreements must be deemed reasonable.  Unfortunately, reasonable is a very loose term and if you end up in court it will be up to the judge to determine what is or isn’t reasonable.  Here is what you need to keep in mind.  The purpose of the agreement(s) is not to prevent the employee from working in their choosing career field and to limit their ability to earn a living.  So although the intent of the agreements are to provide reasonable protection for the business regarding their customers and confidential information, they also provide protection to the employee for his/or right to earn a living.

There is one last point I would like to make; the non-compete and non-solicitation agreements are generally in place for the position and time at which they were signed.  This means if you hire a trainer, and have them sign the agreement(s) and then later promote them to a management position the previous signed agreement(s) may no longer be in effect.  So, error on the side of caution and make sure to have trainers/staff sign a new set of agreements whenever there is a change is positions or status.

 

Self Esteem

I am not an expert on self esteem.  There are certainly others that have spent years studying and understanding the importance of self esteem.  But I would like to briefly chat about the importance of self esteem based on my experiences as a business coach.  At its very heart self esteem is directly tied to self respect and is defined as; confidence in your own merit as an individual person.

When it comes to working with new business owners the excitement of owning their own business is often overshadowed by fear and decreasing confidence as they begin learning the harsh lessons of being a business owner.  I often find myself encouraging owners by tapping into the motivation and confidence that directed them to opening their own business in the first place.  There is not perfect plan, no perfect business, and no perfect way of dealing with problems.  With that said the one thing that remains consistent when it comes to individuals who can make the plan work despite the shortcomings, ensure the business can be successful and to handle problems, is the confidence one has with in them.  The confidence to see beyond the immediate moment and to make decisions that are in the best interest of all parties involved is a key component to being successful both in ones personal life and in business.

Business owners that are not afraid to fail operate with far greater boundaries than business owners who are afraid to fail.  Don’t get me wrong business owners that don’t fear failure assess the risks being taking and certainly take risks that are more likely to be successful. Not quite the gunslinger mentality (at least not all the time).  The business owners who don’t take any risk have a tendency to restrict and then constrict their business to the point it suffocates.

The point in this brief article is this; self esteem is a vital component for every business owner, self esteem can be learned, so if you weren’t born with it, you owe it to yourself to seek it out.

Mental Gardening

When we are born we are born with a clean slate. Void of any presumptions and influences.  We are totally dependent upon our care takers.  Because of this early dependency our slate begins to fill based on the influences of our care takers.  Are we encouraged to take chances and risks? Are we prohibited in taking chances because of the fears of someone else? Are we bombarded by the word ‘No’?  Were we praised for good actions and decisions?  Were we criticized for poor choices?  The answer to these questions and many more is the information that begins to fill in our slate.  It is from these early influences that our current decisions are made.

As we enter into adulthood it is our ability to look back on our youth retrospectively and learn from our experiences good or bad and move forward. Each of us has a choice regardless of upbringing.  It is the wise man who can look back on his life and sort out the good from the bad and take corrective actions to improve or enhance his position.  Taking this corrective action can be done through ‘Mental Gardening’.  When one thinks of gardening one tends to think about tending to plants (vegetable, flowers, and grasses) and create the best environment to permit the plants to prosper. When conditions are just right the plants grow with what seems like little effort.  When the conditions are poor one strives to improve the conditions. One may consult the local nursery, read how to books, speak with neighbors, and search the internet all in an effort to gain the knowledge on how to improve the conditions so that the plants can prosper.  The term ‘Mental Gardening’ refers to ones mind.  In order for one to be successful they must tend to their mindset just as a gardener tends to the garden.  When the conditions are right we can see exponential growth both personal and professional.  When the conditions are poor one needs to put the effort in to improve the conditions.  One needs to seek out information that will help improve the mindset.  Negative thoughts regardless of the cause can take the momentum quickly.  No one is immune to negative thoughts, but those who have invested the time into cultivating a positive mindset are more likely to overcome the negative thoughts.  They have a higher purpose and negative thoughts do not serve a purpose.

There are any number of ways to improve ones mindset which way is best for you, well that is part of the cultivating process.  However, here is the method that has worked best from me through the years.  When I am operating at peak capacity both personally and professionally I choose to read something geared towards self improvement for at least 30 minutes every day.  I am choosing to pursue activities outside of my chosen industry.  I choose to take an active roll in the lives of my family. Finally the most important things that I do is take time for myself.

Business Coaching

What exactly is a business coach? And more importantly what can a business coach do for you and your business?  These are two important questions.  First let us start with a brief understanding of a coach.  When the term coach first comes up for most of us this can bring back an instant memory of a youth sports coach, drama coach or even a music coach.  The job of the coach was to provide direction, guidance and a game plan to help us maximize our talents.  There is not much variation when it comes to the defining a business coach.  The job of a business coach is to provide direction, guidance and a game plan to help you maximize your talents.  In addition a business coach will provide resources and assets to expedite the learning curve.

Let us briefly review the topics of direction, guidance, game plan, resources and assets.

Direction is an area that we all need from time to time and as a business owner it is imperative that one has a sense of direction.  With all the obstacles and challenges that lie in front of each business owner, having a sense of direction will help you steer clear of any number of obstacles.  For these obstacles that one can not steer clear of a business coach is there to help you develop strategies to tackle the obstacles.  Direction is developed between the business coach and owner based on a clear understanding of what the business owner intends to accomplish.

Guidance is an extension of direction.  Once the business coach has a solid understanding of what the business owner intends to accomplish the business coach will tap into his/her experience to provide the business owner a readily available resource to help guide them through the easy and tough decision that lie ahead. Touching upon a few of the decisions, ‘When do I hire?’, “How do I expand?’. ‘Am I ready to expand?’, ‘How do I set up a compensation plan’ and ‘How do I handle a trouble employee/IC?’ are all questions every business owner will face.  These are but a sample of situations that a business coach can help you overcome.

A business coach will take the information obtained from the business owner and help them create a game plan to achieve success.  This is where things can get a bit tricky, it is not the goal of the business coach to create your business plan or directly give you the information to complete you business plan.  In fact it is not the business coach’s duty to give you all the answers.  There are some instances where the coach should give you the answers, but for the most part giving the answers doesn’t help the business owner in developing the confidence to make sound decisions and to grow their business.  If you are always given the answers one never learns.  Part of the growth of the business comes through the process or journey of exploring and challenging what the business owner already knows (or thinks they know) and provided direction, guidance, resources and assets to fill in the blanks. It is for this very reason that every business owner is different.  Each owner comes to the table with a different knowledge base and skill set.

Resources and assets are an important part of the arsenal for every business coach.  The information available in arsenal has been developed based on the experiences of the business coach.  The experiences both gained through personal experiences and coaching experiences.  It is through these experiences that business coach can deliver information that is both valid and applicable.  The resources and assets available through the business coach are geared specifically to maximize the time investment of each business owner.  Inefficient use of time is a wasted resource and something business owners can’t afford.

Getting back to the questions asking in the beginning; ‘What is a business coach?’ and ‘What can a business coach do for you?’  A business coach is a coach.  A person that will help you develop and solidify a sense of direction, to provide guidance through the good and bad times, to help you develop a game plan to achieve your goals and to provide resources and assets to help you maximize your time.  A business coach can move your business light years ahead of where you are right now.  A business coach prepares you to play game.