Blog Entrepreneur: Get Rich Slowly

This Entrepreneur is profiling Blog Entrepreneurs in a five part series in November. People who have found a niche online by providing information, education, and building a community of readers and followers to create a new kind of business model.

After accumulating $35,000 in consumer debt J.D. decided to do something about it; and he wanted to share his experience through a blog. J.D. Roth started Get Rich Slowly in April 2006 as an outlet and discussion as he tackled debt. The idea for the blog was born out of a post J.D. made on his personal site that attracted significant traffic.

J.D. grew up with a father who was a “Serial Entrepreneur”, and whose last venture employed J.D. after college. Not satisfied with his sales/marketing position he delved into hobbies, one of them being blogs and online communities. He had other blogs and has been involved and working on the Internet since the early 90’s. He had personal blogs and only thought of them as an interest and hobby. Since he launched Get Rich Slowly from a post on his personal blog he was able to start with a small built in audience.

So how does someone who likes to blog as a hobby and for fun become a business owner? Much like every other business owner, hard work, innovation, and some luck. J.D. started with a small audience, but fostered relationships online to build a larger community. He would not push the blog, but would bring it up naturally in conversation. He also wrote about topics he was passionate about. He found that when his content was the most sincere he would receive the most interest.

Get Rich Slowly was not started with a business plan or a marketing plan, but as an outlet and forum. It was not until a year into posting he realized there was business potential. J.D. has been able to leave his sales/marketing job and start a new one as a business owner.
Get Rich Slowly has allowed J.D. to tackle debt and help others find solutions to their financial questions. It took years of blogs and musings to find the right combination for success. It shows that if you are passionate about something that it can become a business. Make sure to look at for J.D.’s first book next year!

Take Away –
1. Content Is King – Readers will follow good content.
2. Become involved with an Online Community – Promote your business through an existing network.

Problems With A Home Office

I have an office that is 15 minutes away from my home. I have been debating keeping it because I am on the road and not in the office but several times a month. So I have taken a month to test out being at home. Most of the time it is great and convenient. There are drawbacks to the home office. Today as I rolled out of bed at 9:15 am I couldn't help but feel plagued by guilt. I realize that even when I worked in a cubicle I would usually not start working until then anyway. I just feel like I should always be working when I am home. I just wanted to start a pro's and con's list for having a home office.

Con's:

1. Less motivation in the morning to get started.
2. Unending guilt to always be working.
3. Less professional dress. I do not have to get dressed up so why should I is my argument?
4. Errands always get in the way. It is easy to make cleaning up a must do chore instead of the phone calls I need to make.
5. Personal and Business life have no boundaries. I was digging through personal tax documents this morning when I should have been working.
6. No sunlight. This is just my office, but I am in the basement and there is no sunlight, this is a long way from the corner office!

Pro's will be posted next!

Local Business

Finding a local business is often the first step for businesses. It appears to be easy and simple. Most often it is the hardest market. You know your local market better than anyone else, but you now have to think about it with fresh eyes. Where do people currently find your products or services? Where is your target market looking? How do you manage costs and find the right marketing and advertising vehicles?

1. Define your market - know who you are selling too.
2. Talk to friends - find out what they use to find and look up information
3. Take inventory of local advertising tools - pick up the neighborhood newspaper, scout out the local blogs.
3. Set a budget - Define how much you are willing to spend and fit into that space.
4. Track returns - put in tracking codes or qualifiers so you know where someone heard about your business.

I have found the best and most effective tools were the most reasonably priced. I have not seen a strong response from radio and television advertising for local and new startups. Be resourceful, talk to friends, and find your customers!

How To Build Cash Flow

Cash Flow has been keeping me awake the last three nights. I am worried I will not be able to make it out of the next three months. There is potential growth at the end, but making it there is what is worrying me. I am limiting my spending and tracking every penny. At this point I need to earn more. That is the hard part.
I have gone back to several prospects to determine a timeline and proposed payments. I know that this will get some money in the door, but it might not be enough. How do you increase revenue? What are the cash cows? I am trying to answer those questions and I juggle everything else.

The Right Lawyer For Entrepreneurs

I am currently in the process of closing out my year for the business and am trying to find a couple key documents. I do not seem to have records of them. I contacted my lawyers office yesterday in the early afternoon. At the end of the day I received a phone call from the head lawyer inquiring what my call was about. It was an eight minute conversation that left me feeling like lawyers might be the worst people on earth.
I understand that some lawyers can help people. I listened for eight minutes as this lawyer tried to tell this entrepreneur about our faults and why this was our problem, all of which I knew before I made the phone call. The funniest part of the conversation was when the lawyer told me my lack of detail. I understand and under other conditions would not think of it, but I happened to be looking at a corporate tax return, which they filed under a S Corp. This would not be a problem but, we happen to be a C Corp. It is hard to take criticism for detail when your own firm is not capable of the same detail.
This process just made me think more about Entrepreneurs and how no one is going to help your process. No one has admitted any mistakes sense I have started my business. It also made me realize in order to run a business you have to look at the details as much as the big picture. The big picture is easy for me to see and more fun for me to deal with, but the details will bring the company down. I left the conversations asking, what makes a good lawyer?

Google Test

How to rise in the Google Ranks?
1. Links.
Entrepreneur
Entrepreneur
Entrepreneur
Entrepreneur
Entrepreneur
Entrepreneur
And
Entreprenuer
This Entrepreneur

Can I get higher? I'll let you know!

Entrepreneur Tax Lessons

I am completing year end taxes for my business. I have a bookkeeper and an accountant. My bookkeeper has been helpful, and my accountant I have had minimal contact with. I learned earlier this year that my accountant sent in the wrong federal tax id number this year (2009), so my state taxes were filed incorrectly.

I was trying to complete year 2009, when in the middle of finding two expenses I was sidetracked by the IRS. I was told about missing filings between the years 2002-2005. There has been no filed completed and shows no record of one every being made. After an hour I hung up the phone.
At the end of the day I was contacted by the State Revenue office notifying me of fines due.

I believed that paying bookkeepers and accountants kept them doing the right thing. I was wrong. They are not liable for any fines. Make sure to double check any work and take control of your business.

Entrepreneur Motivation

"The mind is not a vessel to be filled, but a fire to be lighted." - Plutarch

Taxes and Entrepreneur Love Story

For some reason my company has been set up as a C Corp, which will be discussed later. Additionally, it has been set up on a different calendar than the January-December calendar. This means that July 31st, is the end of my year. Which means that I am scrambling to complete my year end taxes.
This is obviously not my favorite time. I am going through every expense and trying not to kill Quickbooks. I have figure out that Quickbooks is not to be used by a new user. It is meant to be used by and Accountant or Bookkeeper.
I just quickly wanted to talk about how much taxes can weight me down. I thought I would not have to worry about taxes, but they are a real downer. I have had to classify all of my expenses and in the middle of this try to figure out how I am going to to pay and when I am going to pay my expenses. Putting me knee deep in a cash flow problem. Here are some things that I have learned.
1. At the end of each month reconcile your accounts, it makes it easier at the end of the year end.
2. Go to your local library and check out some tax and accounting books so that you know what is going on.
3. Ask as many questions as you can from your bookkeeper and accountant. They should have to explain everything.
4. Seek counsel. References are not enough, how do you know your accountant is doing the right thing?
5. Take a deep breathe. It will be okay and you will be able to cover your liabilities just take a deep breathe and it will all be under control.

Good Luck!

Entreprenuer 101

This Entrepreneur has started the business. Now what? Someone asks for identification of insurance. A Google search provides a list of some insurance providers will lead you to some options. Once you get the Insurance company on the phone they will ask for your Tax ID. If you are like my sister you have a look of shock on your face. Tax ID, who me? Every company, even yours needs to be registered with the government. They just love you that much they want to make sure they can help, I mean, take some money. Don't call a lawyer, unless you have a friend who likes to give out free advice. Again log on to your computer and do some digging.
For New York State a quick google search provided me with the state link New York Registration.

It does take some work to get through all of the information, but for $150, you can have a registered LLC! Now you just have to get that pesky Insurance company back on the phone and proudly announce your Tax ID number.

Do It All Entrepreneur

I am less than halfway through a book that advises the way to success is to outsource everything. Push back and make sure someone takes care of every aspect of your life. I have a real life example this week why this book is full of crap. I currently have a bookkeeper. Said bookkeeper has been very helpful and useful. This week I had requested the tax Id number while I was away from my desk. I was provided the wrong number. I then sent that number off and was told it was the wrong number. I thought this can't be. I then pushed back and realized that the number was wrong.
Not only had she provided me the wrong number she had also provided the state and federal taxes with wrong numbers. My taxes have been filed incorrectly all year. I about had a break down on the highway on a Friday afternoon. How can my taxes not have been filed? What are the fees going to be? How much interest are they going to charge me?
I had to take a deep breathe and realized that I needed to take more control. I need to be in control of the books and accounting. I need to make sure the correct information is filed. I cannot take the advice of my current book. I cannot allow other people to run my business because no one cares about This Entrepreneur like me.

Cash Flow Mangement

One of the most difficult processes for a start up like myself has been cash flow management. At times it seems like management is an overstatement because there not much there. At other times I don't know how I ever worked in an office. Managing the differences and influxes of money has become a frequent discussion. I have recently taken some steps to help control and curb some of the ups and downs. I first went through all of my expenses and tracked them. I have done this personally and decided to do it with my business expenses. I tracked every penny and then figured out where I was spending my money. I was able to see what I could trim out as well as plan for the next several months. Having the ability to plan gave me a little more control. The process I do not have control over is when my clients pay their invoices. I have thought about implementing an early payment plan, but for now just think I will have to learn to be patient. My bottom line is that I have to make more, and control my costs as I try too. I just need to make sure as I get there I don't run up my cards on the way to the board room.

Family Business

I have worked independently and with family on new ventures. I have had mixed results. I still talk to my family and did not let business come in between us, but I have seen it build a wedge and also mend relationships. Working with family can be very difficult because you can get away with more than in a typical relationship. As long as both sides work to create a stronger business it usually works well. When the two work against each other or do not separate their work enough problems start to pop up. I have bulleted some quick pieces of advice for the Entrepreneur working with family.

• Set Boundaries - make sure you know when you are working and when you are not and stick to those times.
• Separate Responsibilities - Do not hover over each other and create tension. Instead separate the work and make sure each other brings their unique skills to the projects.
• Communicate - Talk about being frustrated, or upset, and happy. Make sure everyone knows how you feel and what can be done to affect that.
• Put Family First - Making money feels great, but loosing family is not worth it. No matter what make sure your family takes precedent over the invoice.

Family businesses can be the most successful businesses because who else can you trust like your family? Make sure to talk about it early and often. Don't let lines of communication close, and always look for new ways to show appreciation and grow the business.

Blogger or Wordpress?

First no matter what site you use for a blog first think about why you are posting. Are you trying to draw people to your website, sell something, or just inform? After knowing what the focus of your blog is now you need to find the best host. There are several blog hosts, but Blogger and Wordpress are the two largest.

• I have found that Wordpress has more custom features and can look and feel more like a webpage.

• Blogger seems to be more user friendly however. Blogger takes less time to start up.

• Blogger does have more restrictions.

• Wordpress has more templates.

No matter what blog site you use find your voice and find the best template for your purpose. I have used Blogger because has a faster set up process, and I am not a designer so I do not have the capabilities for extreme customization.

Linking Up

My Venture Pad, a new and exciting venture for Entrepreneurs. What I like about the site is that is is an open forum. Anyone can post once they have created a post. I support anything that is open, and this does a good job of highlighting new posts and some of the best posts. There are some notable authors. It is a site to be added to any blog roll for tips and hits for getting a business started and growing.

What Can the SBA do for This Entrepreneur?

The SBA is the Small Business Administration. It is an organization set up and run by the United States Government. The mission is to help build and grow businesses. The SBA can provide valuable resources for an Entrepreneur, but is not the right fit for everyone. Below are a few opportunities from the SBA.

Free Online Training - There are several online presentations and training opportunities by visiting the SBA online. There are also local SBA offices that provide training.

Small Business Loan - Perhaps the most used is the SBA's loan system. The SBA provides business loans. There is an application and process to follow. These loans may work for you, but look closely, and avoid any loans if they can be avoided.

Free Start Up Kit - The SBA can provide you with a free start up kit. Be careful because as a government run organization these forms are not set up to be read quickly, but can provide valuable information.

The SBA is a powerful organization, and it is good to see the government supporting small business. There are local offices all across the United States. I would just suggest tread lightly and really evaluate the process before taking on a loan from the SBA.

Entrepreneur Mentorship

Entrepreneurs have to learn to use all of the resources available to them. Mentors can provided much needed support and ideas to drive a new business. An Entrepreneur can find a local Mentorship program, or often times will reach out to a friend or family member. Here are a few things to remember when you are looking for a mentor and what to do to successfully build the relationship.

1. Give them all the details of your business - make sure they understand your objectives and ideas.

2. Be open to suggestions - As an Entrepreneur it is often hard to take advice from someone on the outside, but listening is often the key to success.

3. Set up a weekly meeting or conference - I have walked away from several meetings thinking, "I wish I had more time with them," make the time and get it scheduled.

4. Show them appreciation - Their time is as valuable as yours make sure to respect it and treat them accordingly.

If you do not know a mentor or would like to find one contact us and we will you in touch with an organization or person. Make the first step, look for help, and build your company.

Managing Entreprenuer Risk

Risk is inherent when the monthly paycheck is no longer direct deposited. Starting your own business you are accepting a certain level of risk. Managing those risks is the Entrepreneur's goal. An Entrepreneur is the eternal optimist, but at some point in time, usually when the bills come in there is a level of reality that needs to be addressed. The best source is an Entrepreneurs network of friends and family. Take the time to sit down and discuss where you business is. Think about what other alternatives there are, what you might be missing, or what you are doing well. Make sure before you max out your credit cards you have a thought out plan and goal and steps to get there. Do not just think about making 100,000 per year, but think about what needs to happen to get you there. Manage risk and build a better business.

Not A Straight Line To Success

I have found that being an entrepreneur is not a straight line to success. I have read a lot of articles and studied Entrepreneurship in college, and now that I am on my own I have realized how many misses there will be before the success. I thought that with an education and some experience I would be on my way. I was wrong. I have found that there is not one path to Entrepreneurship. Some people work three days a week, work after noon. I was so used to working in an office and 9-5 that I have had to get used to working when I am most efficient and also when it is most needed. I still conform to the 9-5 mold and make sure to get all the work done for the day before I go to bed, but I am learning more and more that I am not a morning person, and that the afternoons are the most effective time for me. Entrepreneurship is about matching your personal skills with the business. I think I just thought that meant I could do whatever I wanted. In a sense I can do whatever I want, but that does not mean that I will get paid or have any money. Entrepreneurship for me is about finding a balance.

How To Create A Network

Networks are often the grounds to start a business. Before an Entrepreneur sinks his savings into a venture it is often talked about at the dinner table. These people serve as your Board of Advisers. They can provide fulfilling information and feedback. These may even be your first customers. I have never been great about hounding my close friends and family. I do however let them know what I am doing or thinking about doing. I think their support is necessary. They are not going to be there the late nights, but they can help you through difficult situations. Here is what I have done to create a Board of Advisers:

1. Made a list of trusted Friends and Family

2. Made a list of business associates

3. Made a list of area business resources

I took a week to compile the list and make sure I did not miss anyone. Often you are in contact with friends and family every day but you may not know what resources are available in your area. I searched Junior Colleges, and and Small Business Organizations. After I compiled my list I made an email chain. I put them in the bcc box so they could not all see each other. I then stated what I was planning or have already started. I sent them a link to my website and asked for their feedback or if they knew anyone who might be interested in my service to pass it along.
I will say it takes courage to send this out. You are putting yourself on the line. Take a deep breathe and just start talking about what you are doing. People are excited to hear about new developments, and after the first one it will become a lot easier.