Business Information for Entrepreneurs by an Entrepreneur

"Two-Minute Take-Away" Video Series

Find out the two things that your best prospects will do before they even ask you for a quote. Plus, learn how to spot a tire kicker within the first minute. Click the video below to watch.

Reams of books have been written about reducing and streamlining expenses for small business in order to increase net profits. However, staying solvent isn't the only goal. Most small businesses overlook money-making opportunities that can be generated through their regular expenses. A creative and clever entrepreneur can find ways to make a profit and develop revenue streams that are outside the normal business paradigms. Here are a few examples.

Turn Your Rent Into Cash

Do you rent an office or warehouse? Do you use every square foot of it? Many small businesses have extra space that just goes wasted. There are many other entrepreneurs, hobbyists, and work-at-home business owners who need just a little bit of space. Why not rent out that empty office, or build a little shop in the corner of your warehouse that can be rented by a hobbyist or small craftsperson?

Renting unused space helps to effectively reduce your total rent and gives you a little extra money each month toward your total revenue.

Advertise in Newsletters

You've read much on our blog about developing a company newsletter. A database with your customer contacts is a great asset you can use to stay in touch and notify past and current customers of special deals and company news.

Your database may also be an asset to an advertiser. The bigger your list, the more chance you can have at selling advertising space on your newsletter. Rather than keeping a newsletter as a marketing expense, it could pay for itself, or even run a profit, with the right advertisers.

Sell Old Equipment

If you have performed your depreciation correctly, your equipment can make you a little extra money as well. Computers can be quickly depreciated in a few years. Automobiles also have about a five year life cycle.

However, after you have completely expensed them, don't throw them away. Sell old automobiles. If they've been well maintained, there is always a demand for good used vehicles. Even older computers have a need in some home, either as a second back-up computer or a desktop for a child. These are just two examples. Consider other equipment that can be sold as well.

Of course, if you cannot find someone to buy the working equipment, you can donate it to a local charity, but make sure you obtain donation receipts for tax-deduction purposes.

Do you have a good lead system, but can't seem to translate those leads into sales? Many small business owners have a great advertising system, but focus so much of their efforts into creating catchy ads that they spend little time on follow up materials. Getting leads is great, but if you can't reel them in with your sales pitch and presentation material, then advertising dollars are wasted.

The general mindset is that small business owners feel their products or services speak for themselves. If they gain interest from a potential client through an ad, then the rest is just sealing the deal. However, a one-on-one meeting with multiple unrelated printouts or a website stuffed with unorganized information is simply not enough.

What do you need for a good follow-up sales pitch? Here are some essentials:

• PowerPoint - If you will make a sales pitch about your service or product, put it together in a well-organized PowerPoint presentation. Use no more than 15 to 20 slides. Keep each slide's information brief and succinct. This will help you communicate the benefits of your product or service.
• Product Sample - Try to bring a sample of your product. Show how it works with a demonstration. Seeing the product in action gives your potential customer a hands-on experience that can solidify a buying decision.
• Brochures and Handouts - This is where a lot of sales are lost. A poorly-written handout or sloppy brochure will not impress your potential client. Be sure your handout materials are written with professional sales copy in mind. Design them to look professional. If you have multiple handouts, consider combining everything, including PowerPoint printouts, brochure, and handouts, all into one little booklet.

Every piece of presentation material should represent your business in a professional style. Don't rely on a simple 8-1/2 X 11 printout. Have your presentation material professionally written, designed, and printed. The colors, images, and themes you use should represent your type of business. Be creative if you're an artist or designer. Keep it conservative if you're in financial advising. Having your professional set of follow-up presentation material will help assure that your lead conversion rate increases.