The 3 Most Important Reasons Why It’s OK to Keep Your Day Job

A year ago in April, I obtained my first LLC. Any business owner would agree with me this is the first milestone in becoming a true entrepreneur. Oh, I had business ideas dating back to 1994, and I always envisioned myself as “my own boss.” But I couldn’t validate my dream until that day last April when my business license arrived in the mail, and I said, “Well hot damn, I have something now.”


But obtaining an LLC - or officially launching as a sole proprietorship or even going as far as forming your first real corporation - does not make your business successful. In fact, that is only the first baby step in a long string of trials and errors, networking out the wazzoo, revising your business plan a few dozen times, and testing your market before you can actually take the plunge.

Now, some folks will craft a meticulous business plan over 6 – 9 months, bring in a few experienced MBA-type partners, lay all the groundwork, and then launch a large corporation under the premise that they’ll be in debt for a few years. Over time, these are probably the companies that will make multi millions of dollars eventually, and everyone will enjoy the financial fruits of their efforts. But let’s face it, the average American entrepreneur is more like me – a bright, modestly educated, independent bootstrapper who has always felt the need to own something but is mostly feeling her way around the entrepreneurial environment. Does that describe you, too?

Upon receiving my LLC and revising the first draft of my business plan, I decided to keep my day job. You see, I’ve never done this before. I think I know how, and I know I’m smart. I have 20 years of working experience in everything from marketing to sales to management, and a great sense of intuition. For years, I’ve been reading entrepreneur books, magazines, and blogs. I started a masters program in leadership development. I seek out business owners and grill them on how they became so successful. So, I’ve laid the groundwork for my future role as an entrepreneur, but learning the skills is not the same as practicing the skills. And I could sure use the practice!

And while I’m practicing, it’s likely I won’t be very profitable. So, I collect a paycheck every Friday for a job well done, working for someone else. And I squirrel away a little bit of time each night to bring my dream to life. Do I work hard at my day job? You bet I do. I wouldn’t dare consider doing anything at all regarding my own business while I’m on someone else’s clock. While that’s not fair at all to the person who’s writing my paycheck, it’s also not fair to myself. If I believe in my business – and I do – then I should give it my full concentration during a time when I can (i.e. in the evening). And if I believe in myself as an intelligent, hard working, innovative professional, then I owe it to my current employer to give it my best efforts every day. Now, I realize that sounds very high-horsish, and maybe a little bit of horse-manurish, so let me break it down for you in a way that’s more practical:

1. Beginning the day you receive your LLC, you will revise your business plan. And then you’ll revise it again. And again. And again. You will do this because as you float ideas out into the professional stratosphere, you’ll gain a sense of what can work and what definitely won’t work, and you’ll begin to see which areas of your business can be the most profitable and also which areas of your business you feel the most passionately about. Until the process is taking place, there’s no way in hell you’re going to start making money. And sweetheart, money makes the world go round. (Your paycheck, on the other hand, is 100% profit).

2. You need time to network. The more people you tell about your business idea, the more input you’ll receive on how to be successful. First and foremost, you’ll learn if people like it, or if they think you’re crazy. They might like it and think you’re crazy, in which case, you’re on the right track. More importantly, you’ll have an opportunity to meet people who can truly help you, not just by providing advice, but perhaps by becoming partners over time. Having a partner keeps morale high and helps you stick to deadlines and action plans, because you feel accountable to someone besides just yourself. You’ll also need time to either find or test potential clients. If you’re providing a product, put it into the hands of your customers – sample it – and get their feedback. Tweak what needs to be tweaked, and when you get a glowing review, document it as a testimonial. If you’re providing a service, begin accumulating a lead list – a strong database of potential clients which could and would use your services when they’re available – and ask them if they’ll talk to you when your services are ready. If you see a high level of interest there, you’re onto something.

As a side note in the networking category, one thing you can do for yourself right away is set up and begin using your social networking accounts, such as a facebook fan page, twitter feed, digg and delicious bookmarking services, and a professional blog (yeah, like this one). So while you’re still getting your feet on the ground, you’re building your contact list and a network of people and businesses that would enjoy working with you.

3. Follow your competition and the trends. While you’re still working your day job, your biggest competitor is out there right now moving and shaking. He will have great successes and famous failures. See what works for him, and follow what’s hot. You could stand to learn a few things while you’re getting paid by someone else. Once you leave your day job and officially launch your business, you’ll immediately look for revenue, and in the scramble, you may not have as much time to follow and learn what’s working for others just like you. Of course, you’ll always need to keep an eye on the competition and the trends, but it’s especially important as you’re developing your plans, so concentrate on that before you take the plunge.

Good ideas marinade. They swirl in your brain for months or even years before they become something truly great. Yes, life is short, and there’s no time like the present. I really do believe that as much as you do. But starting a business can be risky, and there’s nothing wrong with stepping into it slowly, carefully, intelligently. In speaking with entrepreneurs since my first business idea in 1994, the one most important thing I’ve learned is that owning a business is not as easy as waking up one morning with a good idea, quitting your job, and becoming a millionaire. Quite the contrary, it takes years of blood sweat and tears – and a tremendous sense of satisfaction and accomplishment – before one can look in the mirror and say, “Well hot damn, I have something now.”

*Here's a great article from Entrepreneur Online that I read last week on this same subject which provides even further insight. These folks know what they’re talking about… so it’s good to feel validated:
Go Ahead, Start That Side Business:  3 entrepreneurs offer tips on how to have a full-time job, sideline business and a great life.

If you live and work in the Main Line suburbs of Philadelphia, and are interested in coworking with other entrepreneurs like me and you, be sure to visit our website at http://www.themalvernsocialclub.com/.

It's Official, Coworkers! If we can build it, the banks will finance it.

I got the exciting news today that The Malvern Social Club, LLC is eligible for enough lending to officially open our doors by this Fall.  One catch:  We need a list of possible residents who would rent desk space either part time or full time (with no commitment necessary).  If you are looking for a coworking community in the Main Line suburbs of Philadelphia, we are a great group of bright, creative folks like yourself who loathe working alone but thrive in the presense of other business gurus.  Need some inspiration in your day?  Like to collaborate on jobs?  Just want to hear some colleagues tapping on their keyboards to get you through the day?  Or how about a game of ping pong to break things up?  Ever consider bringing your dog (or your guitar) to work?

Malvern Social has a place for you.

Visit The Malvern Social Club, LLC website today to complete our simple survey and learn more about how collaborative coworking can increase your productivity and your revenue stream.  We'd love to have you drop in for a tour, or better yet, become a coworker.  It's fun; it's professional: and hey, it's cheap.  (So what?  What's wrong with saying it's cheap?)

SxSW Kick Off Social Media and Coworking

I am so intrigued by the huge presense of coworking at this year's SxSW!  It first came to light a couple of years ago, with invigorated interest last year, but in 2010, it seems to have reached an amazing level!

Are you at SxSW and what have you noticed about the buzz surrounding coworking?

Here's perhaps one of the neatest things I've come across so far:
http://socialmediaclubhouse.com/

Who has participated in this?  I would really appreciate hearing from some residents about your experience so far!

Starting a Business in 2010? Here’s 4 Steps You Must Take Before Applying for that LLC.

So you’ve been thinking about starting your business for many years. By now, you’ve done a good bit of research. You probably understand the administrative process and may even have a pile of paperwork ready to go. Hopefully, you have the rough sketch of a business plan, and at the very least, you know what you’re good at.


Most entrepreneurs know in their hearts that they will succeed on their own, but sometimes we’re crippled by fear. Even the trusty business plan doesn’t always pacify us. We stay up at night thinking about our bills, our balance sheets, and our health insurance. If we don’t make any money for a year, will we still afford the mortgage? Private education for the kids? Will we deeply regret this in 6 months and beg for our old job back?

Well, don’t quit your 9 – 5 position just yet. Even the busiest worker bees among us have a few extra minutes per day to develop their ideas, test the waters, create a marketing campaign (on paper), and start making connections. For those who say, “The time will never be right. Just jump in and you’ll swim!”, I say, “Fiddlesticks!” The time can definitely be ideal after you’ve done the proper planning.

And by planning, I don’t mean you should write a 200-page business agenda the equivalent of a college thesis. I subscribe to the Guy Kawasaki way of thinking: The business plan is a work in progress, and let’s face it, actions speak louder than words.

By planning, I do mean you should have a methodical To-Do list, begin testing some of the items on the list, and hold yourself accountable to getting at least a quarter of those items done before you tell your boss to take this job and shove it.

Yesterday, I read an excellent blog post that sums up “The Plan” with clarity and efficiency. While I could easily repeat most of that here, I find it more appropriate to refer you there:

“A Great Time for Planning”
by Tim Berry on December 28, 2009 on bplans.com in Business Management and Business Planning
http://timberry.bplans.com/2009/12/a-great-time-for-planning.html?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+timberry+%28Planning+Startups+Stories%29

In a nutshell, Tim describes the following 3 steps to prepare yourself for the year ahead:

1. Review your objectives.

2. Take a fresh look at your market.

3. Analyze your business strategy by examining your strengths, weaknesses, opportunities, and threats.

4. Be specific about tasks, dates and deadlines.

This being the end of another year and all, I encourage you to reflect on why you’ve held this entrepreneurial dream for so long, and how good it will feel to finally control your destiny (the destiny that pays your bills, anyway). Like most enthusiastic folks, I agree that you shouldn’t waste another year dreaming when you could be doing… but whoa there, Cowboy (um, Cowgirl). There’s nothing wrong with taking another year (OK, maybe 6 months) to plan the work, and start working the plan. When someone else supports your dream-becoming-action by writing you a paycheck for just a little while longer, it doesn’t feel quite as scary.

Do you plan to start your business in 2010? Tell us about it here. Don’t worry, we won’t steal your ideas. In fact, a lot of us here might be able to offer some good advice or put you in touch with other helpful people with similar experiences. We’d love to hear from you!

The Malvern Social Club, LLC is a collaborative coworking community located in suburban Philadelphia. Made up of entrepreneurs, freelancers, and work-from-home-but-wish-I-had-an-office types, members of Malvern Social support each other’s business ventures and dreams by lending constructive advice, offering experience, and grouping together for stronger negotiating power. To learn more about the Malvern Social coworking community, please visit our website at http://www.themalvernsocialclub.com/.

Put Your Salespeople to Work for You

I’ve been directly managing salespeople for the past 10 years, and before that, I was one. Over the decade, I like to think I’ve learned a thing or two about how to get the most out of my team. But more importantly than that, as a business owner or principle stake holder, you don’t just want the best from your sales people, you must have the best. If they don’t perform, you won’t turn a profit. These are the peeps who will make or break your dream.


Yes, I know. There are tons of seminars on the subject, and even more books. But for the quick down and dirty, here’s everything you need to know to get the most from your salespeople; a.k.a. your bread and butter.

1. Metrics. Make them and institute them immediately. Salespeople will give every excuse in the book about how metrics cramp their style and interfere with their skills. Don’t buy it. Metrics work, and they create work. Model your metrics off your best salespeople, or better yet, off yourself. You know what it takes to get the job done – whether it’s 60 calls out every day, or 4 appointments, and three quotes. Whatever your metrics will be, proclaim them to your sales team, write them down or post them, and hold your salespeople accountable for reaching them. Offer constant reminders, even stack rank them. Think that’s too harsh a management style? It’s not.

2. Targets. Go through each sales rep’s database with them personally once per month (more if they are a newer rep or if you’re a younger company). List their top 10 prospects – That means write them down and post them. Keep a short list of action items (not more than 3) for each of those 10 target accounts. Revisit them personally with each rep at least once a week. Regularly scheduled one-on-ones (once per week) are perfect for this. Switch up the targets from time to time. Never let a rep keep the same 10 targets for longer than 3 or 4 months.

3. Goals. Fair and ambitious revenue goals are critical to any good salesperson’s performance. I could talk forever about mutual goal setting and how it’s vital to the process, but I’ll save that for another time. Suffice to say, review goals with your salespeople at least once per month and hold them accountable for reaching them. A good percent-to-goal spreadsheet is important for updating each rep on their annual progress, and a commission structure that rewards goal attainment is vital to motivation.

4. Meetings. Demand that your reps schedule frequent meetings with their clients, particularly the target clients. While this falls under Metrics, it’s also important enough to stand alone. Create a balanced mix of conference calls with face-to-face meetings, and here’s the trick: Go with them. It’s not micromanaging. It’s not controlling. What it does is create a sense of importance. It lets your clients know that they matter, not just to the salesperson, but to the salesperson’s manager/director/company. Of course, you want your reps to act independently too. You don’t want to be there for every single meeting. But how about once per quarter? Set a realistic meeting goal – for your reps and for yourself – and stick with it. It’s amazing how much gets discussed when a manager is present. Meetings always seem to go several layers deeper when the big boss comes in. Will your salespeople be annoyed that you tag along? If they are, they’re worried about their performance. They should want your help.

5. The Most Outrageous Question. Please, ask it. Tell your sales reps to stop the pussy footing. If they don’t ask this question, they may never win the business: “What’s the one thing you wish I could do for you?” OK, we all know the obvious first answer, “Cut your price.” Let them know you’ll consider that… if they tell you what else, besides price, they wish you could do for them. Now you may be surprised at some of the interesting answers you’ll receive, and if you’ve come this far, I’ll bet you can even deliver some of those things!

If you institute those 5 action items from all of your sales reps, I promise you will get better performance out of all of them, which means more revenue for your business, and more happiness and job satisfaction all around. But what if you institute these objectives and you still have reps who won’t conform? You know, the lazy ones? Fire them. No seriously. Why do sales managers keep bad sales reps on staff and keep trying to change them? If you give them the tools, set realistic but ambitious metrics and goals, take the time to review target accounts and attend meetings with your reps, and encourage them to explore every angle of the sale, they’ll have no choice but to be successful. If you have one or two reps who don’t deliver after these initiatives, they never will. Get rid of them.

And if your entire sales team won’t deliver? Well, I’m sorry to say, it might be time to look in the mirror and ask yourself if your product fills a real need in the market. And if it doesn’t, well, fill a need.

The Malvern Social Club, LLC is a boutique social media agency and collaborative coworking space just outside of Philadelphia.  Our sales consultations go far beyond training to include: performance diagnosis and reviews, mutual goal setting, metrics adjustments, and actionable plans to increase revenue for each and every sales rep on your team.  We don't use a cookie cutter sales training programs, but rather, we assess your business and give concrete suggestions for increasing your revenue quickly.  To discuss your sales consultation needs, please contact Malvern Social today.

Lead Generation + Word of Mouth = High Dollar Revenue

It’s time to kill two birds with one stone.


If you’re running a new business, then you need leads to call on. These should be prospects coming from a target marketing group, such as teachers, women between the ages of 40 – 45, small business owners, or any other group which you know would benefit from your product or service. You or your sales staff will reach out to these prospects.

New businesses also need a compelling word of mouth campaign to build credibility. Potential customers who hear of your business through a word of mouth campaign will reach out to you on their own, without the force of your sales staff.

Both types of campaigns – lead gen and WOM - are essential to grow your business and make consistent sales. There are many techniques for creating a good lead generation campaign, and separately for building a strong word of mouth reputation. But if you can do them both at the same time, then kudos to you, my friend!

I recently did just that for a professional shoe company marketing their new line of work shoes to healthcare professionals. Here’s how it works:

1. Purchase a dedicated marketing eBlast from a magazine or publication that has a credible, opt-in list of e-mail addresses who have agreed to receive third party marketing emails. Some industry publications have opt-in email lists between 10,000 – 200,000 names. Consumer publications have even more. The going rate for dedicated eBlasts is between $0.15 and $0.55 per email address, depending upon the market. Most publications will offer minimum spends or targeted selections of a larger list to help with your budget needs. In the case of the shoe company, we sent their eBlast through a respected nursing publication to 10,000 opt-in email addresses at $0.25 per name, for a total cost of just $2,500. This is direct exposure, which is great for branding, and oh… it gets so much better!

2. In the eBlast, we offered these 10,000 nurses the opportunity to click through to a form located on the shoe company’s website, where they would leave behind some basic information about themselves, including their name, title, address, and other contact information. In exchange for giving this information, the shoe company agreed to send the first 300 nurses a free pair of work shoes worth $100. Of course, we touted the “FREE SHOES” aspect of this message everywhere that we could, and as prominently as possible, to encourage nurses to click through to the form. Now, eBlasts have an average rate of return. In my experience, most eBlasts will get between a 5% and 18% Open Rate, meaning the number of readers who actually download the graphics in the email body, thus making this a trackable exposure. There will be an even lower Click-Through Rate (CTR), on average 1% to 6%. This particular eBlast to nurses yielded a 25% Open Rate and a 10% Click Through Rate! I guess free shoes will do that to a person.

3. Once the eBlast recipients have clicked through and filled out your form, through whatever enticement you’ve offered, that contact information now belongs to you, so you don’t have to reach that particular reader through the publication list anymore. (Be sure to include an opt-in discalimer on your form).  This, my fellow small business owner, is what we like to call a Qualified Lead. Save these. Your sales team will love you for it.

4. What happens next? Well, you mail your product (AKA pair of shoes) to the lead as promised, and in return, ask them to participate in a short online survey about a month later, where they’ll be invited to leave their comments or critique of the experience. In my findings, most people will be more than willing to do this in exchange for a great sample. Their comments can be used in your future marketing materials, as long as you use all proper disclosures when you solicit them.

5. While your lead is out there prancing around in her free pair of shoes, or other whatchahoozit belonging to your business, she is bound to brag about how she got this product for free. If she likes it, she’ll brag about how good it is and how she’s so lucky to have it. People will ask how she got it. They may end up on your website to see how they can get one. And here, folks, you’ve started a wonderful word-of-mouth campaign.

So, here’s what you need to know. It ain’t free. You pay a publication for the eBlast, usually on a per-address basis. You pay a tech guru to create your web form lead generation landing page. You pay to fulfill the product that you are going to send out free of charge. Will you get a return on this investment? If your product is good and you hold true to your promises, and if you remember to use those testimonials in your future marketing materials, yes! This type of campaign will pay for itself and creates lots of good will. Your customers will love you for giving them a good product free, and your sales people will love you for gathering qualified leads.

Note: When collecting email addresses and personal information, please be sure to use all proper disclosures. Hiring a Public Relations or Social Media Agency with experience in these techniques is always a wise choice. Agencies know the best publications from which to purchase your eBlast; they can negotiate good rates; they’ll monitor your reputation as it relates to your specific campaign; and they’ll take care of all the legal disclosures.

The Malvern Social Club, LLC is a boutique social media agency and collaborative coworking space located in the suburbs of Philadelphia, PA. Malvern Social frequently manages eBlast campaigns for clients, works with them to create the strategy behind the campaign, and offers a wealth of experience and expertise. To discuss your lead generation and word of mouth marketing needs, contact Malvern Social today.

P.S. If you've had an awesome experience with a Word of Mouth campaign, I'd love to hear about it here.  I am always amazed at the great ideas some business owners come up with on their own!

Join this Collaborative Coworking Community to build your freelancing network, portfolio, and opportunities (Spread the Word and Win a Prize!)

Are you a freelancer located in the Philadelphia area? Malvern Social is building the region’s largest network of professional bloggers, writers, artists, photographers, graphic designers, media placers, network engineers, webmasters and programmers. (We like lawyers and accountants too, as long as you’re not boring). We hope you’ll consider connecting with us, so that we can lean on you when we have clients who need experts from the region.

When you sign up for our e-Newsletter, you’ll receive weekly notices of freelancing opportunities for bid. By answering a few questions about your experience and specialties, you’ll also be entered into a drawing for a $50 American Express gift card. When you refer a freelancing buddy to our site, you’ll both receive an extra chance to win!

The Malvern Social Club, LLC is a boutique social media agency and collaborative coworking space located in Suburban Philadelphia. Our company is built on the principle of community, and our mission is to bring more job opportunities to local freelancers and entrepreneurs.

Currently, Malvern Social is seeking experienced bloggers to write on a pay-for-post basis for several area companies. If you maintain at least one unique and interesting blog, mention Malvern Social in your blog anytime before December 1 and email us a link to it or tweet it with at-reply @malvernsocial. When you do this, you’ll get another chance to win a $50 American Express gift card!

Want another chance? Find The Malvern Social Club’s page on Facebook and become a fan! That’s pretty darn simple.

To recap, here’s how you get your chances to win:

1. Join our e-Newsletter and leave some basic information about your skills, then you’ll be entered into a drawing for a $50 American Express gift card.
2. Refer a friend to do the same, and you’ll both get an extra chance to win.
3. Mention Malvern Social on your blog anytime before December 1 and email us a link to the mention or tweet it with at-reply @malvernsocial -- that gets you yet another chance to win!
4. Join The Malvern Social Club’s Facebook Fan Page.

And while that gift card will come in handy just as the holidays are upon us, even better is the opportunity to become part of a growing movement of collaborative coworkers in the Philadelphia region, where we can rely on each other for community, advice, and best of all, job opportunities!

We look forward to connecting with you soon.