Leasing Is Often Better Than Buying

Summary:
Leasing refers to an owner, or lessor, selling use of his property (equipment, automobile, home, or business) to a lessee. For many individuals, leasing is a good alternative to buying because leasing requires less equity and, therefore, more people have the qualifications to lease than to buy. For example, a $1 million piece of property may be too expensive for a business to purchase, so they lease it for $5,000 per month, which they are able to do with the profits they make...

Article Body:
Leasing refers to an owner, or lessor, selling use of his property (equipment, automobile, home, or business) to a lessee. For many individuals, leasing is a good alternative to buying because leasing requires less equity and, therefore, more people have the qualifications to lease than to buy. For example, a $1 million piece of property may be too expensive for a business to purchase, so they lease it for $5,000 per month, which they are able to do with the profits they make.

Having the latest high-tech equipment is crucial for an IT company, so they may lease the best computers and have a continuing upgrade in their contract. This is much more cost-effective than regularly having to purchase the latest model, especially because computers are constantly being improved upon and the older ones become obsolete in no time.

Many other types of equipment, such as those used in construction, entertainment, weddings, and offices are typically leased to the user. Bulldozers, loaders, graders, and cranes are just some of the equipment needed when constructing a new building. If the building owner bought these items for the temporary use needed, he would spend hundreds of thousands of dollars needlessly. By leasing the machines, he is paying less and also being guaranteed service, repair, and maintenance on them.

Equipment rentals are a big part of the entertainment industry, from a child’s birthday party to huge corporate events. Many parents lease massive waterslides, cotton candy machines, and “moon walks” to enhance their child’s party. Corporations trying to impress clients host big blowouts complete with extravagant light shows, live broadcasts, and other huge presentations, all requiring leased equipment.

Weddings and bat/bar mitzvahs are other big sources of leasing needs. These events often require large amounts of silverware, linens, tables and chairs. Some even opt to have huge tents erected for their event, another leased product. A wedding typically has five or more vendors, all providing various leased services, such as catering, supplies, and music for the event.

Business offices must supply their workers with adequate equipment required to produce a huge amount of paperwork and computer files. Machines such as computers, printers, scanners, copiers, and fax machines are often leased because the lease contract provides the lessee with service and maintenance. Many contracts also include supplies, upgrades, and installation, all of which would be too expensive to buy individually. Leasing is much more cost-effective than buying in many of these situations.

Another item that is frequently leased is the automobile. There is a lot of debate over whether it is better to lease or buy a car. On the one hand, the lessee gets the best years of the automobile’s life at a slightly discounted price. But, of course, the buyer is able to sell the car at the end of its run, unlike the lessee, who must return it to the owner for no monetary return.

Homes, such as houses, mobile homes, and apartments, are very often leased. This is a great option for a person who is trying to save money for a down payment on a home. It is also a good way for homeowners to profit without selling their property. Many people make their entire earnings from the process of buying dilapidated homes, refurbishing them, and leasing them as homes to others.

Business leasing works similarly to home leasing. A person or company will buy a strip mall and lease each of the storefronts to different businesses, focusing on what sort of businesses will do well in the community and offering a variety of services on the property. The business owner would rather lease the store than buy it, because it is less expensive and the landlord will handle all service and maintenance of the building.

Book Review Guerrilla Marketing For Free

Sure, advertising is easy if you’re Pepsi or Apple, but what if you don’t have millions of dollars to throw at TV and print ads? Any business owner out there looking to cut their marketing budget should look no further than Guerrilla Marketing for FREE – Dozens of No-Cost Tactics to Promote Your Business and Energize Your Profits by Jay Conrad Levinson.

We’ve all heard examples of businesses that spend nothing on marketing and yet never seem to be lacking in customers (Krispy Kreme Doughnuts comes to mind), but how do they do it? On the first page of the book Levinson lets you know that it is possible to grow a business without spending a dollar on marketing, but that it takes a lot of energy and time. Each of the simple tactics the book discusses (there are 100) are deceptively simple and, according to Levinson, have proven track records.

All that you need to get started is a telephone, a computer, a printer, business cards, and access to the internet. After that you will not spend another dollar. Techniques range from the relatively obvious, such as “write a marketing plan” and “have a website”, to not-so-obvious things such as “establish a referral program” and “get involved in your community.”

Many of the tactics involve giving to receive. In addition to doing volunteer work in your community, Levinson suggests joining local networking groups, giving away your product for free to non-profit organizations and schools, and doing free presentations on your area of expertise to local organizations. Levinson’s tactics will not just help improve your bottom line, they’ll help you become a more altruistic entrepreneur.

If there’s one downside to the book, it’s that some of the techniques involving computers are outdated. For example, Levinson suggests advertising on free online classified sites. That may have worked years ago, but these days those sites are covered in spam and I doubt that any business would gain anything from listing on them. The book was written in 2003, so most of the techniques are still pretty valuable, but there’s just a few that stand out as infeasible in 2006.

When reading Guerrilla Marketing for FREE by Jay Conrad Levinson, I found myself constantly putting it down and jotting down ideas that could help supercharge my business. Levinson truly invokes your creative juices. And the best part is that all of the techniques cost you NOTHING. This is a no-brainer purchase for all entrepreneurs and small business owners.

The 7 Rules Of Growth For Small Businesses

For years, I have tried to answer this one question: What do small businesses that achieve sustained growth do differently from those that do not grow?

As a senior consultant for Inc. magazine, I speak to thousands of business owners each year. I’ve learned that there are no silver bullets or 17-point checklists that will lead to guaranteed growth. There are, however, seven specific areas in which growth companies concentrate their efforts.

1. Strong sense of purpose. Most leaders of companies that have achieved growth discover that it takes more than the promise of increasing financial reward to fuel their aspirations and ambitions. They find a higher calling than simply the pursuit of “more money.”

2. Outstanding market intelligence. This is an organization’s ability to first recognize, then adapt, to fundamental changes in the marketplace. Many times, small-business owners become too myopic, seeing only a limited view of the markets in which they compete. Growth leaders see the bigger picture.

3. Effective growth planning. This is the best predictor of whether or not a business will grow. To be effective, a plan for growth does not need to be overly formal or complicated. However, it does need to be written, well-communicated and regularly updated.

4. Customer-driven processes. These days, every company I talk to believes it is customer-driven, when actually very few really are. Take a look at all of the business processes from a customer’s perspective. Are they in place to make it easier for the company, or to help deliver on the promise of faster, cheaper and better for the customer?

5. The power of technology. Successful leaders don’t let the boom and bust of technology cycles give them the excuse to ignore that we live in an information age. If a company is in business, it is in the technology business.

6. The best and brightest people. Growth leaders recognize that they are only as good as the people with whom they work. The ability to hire, train and retain the best and the brightest people is often the difference between success and failure.

7. Seeing the future. Few organizations take the time to regularly consider the future. Growth leaders learn how to diligently monitor and interpret the macro forces of change affecting the world in which they live.

Book Review Business Plan Secrets Revealed

The key to successfully starting any business is a good business plan. In his ebook, “Business Plan Secrets Revealed,” Mike Elia walks you through the business plan process step-by-step: from gathering the evidence you’ll use to build your plan to delivering your plan to qualified investors.

His book provides the basic information you need to write a business plan. But its real focus is revealing how to communicate your plan to investors and convince them that your business is their best investment choice.

When I first opened Business Plan Secrets Revealed, my heart sank. You see, I had promised Mike I would read his book completely before writing a review. And Business Plan Secrets Revealed is no ordinary ebook with one sentence paragraphs, large fonts and hefty margins. It’s crammed full of information!

But as I began to read, I was pleasantly surprised. Mike’s writing style is engaging and practical, and his explanations simplify difficult concepts. Throughout the book, I felt as though a friend was sitting with me on the back porch, matter-of-factly explaining exactly how to do something. It’s the kind of simple practicality that you can achieve only when you fully understand a subject.

Mike’s clear understanding of business planning concepts results from experience spanning more than 20 years. Mike helps business owners buy, sell and finance their businesses. He has overseen manufacturing and sales locations in more than nine countries. He is a CPA, holds a Masters in Business Administration, and has served as Chief Financial Officer of two publicly held companies.

Business Plan Secrets Revealed starts with tips for collecting and organizing the information you’ll need. From the beginning, Mike concentrates on overcoming your biggest single challenge–bridging the investor confidence gap. In the chapter “Show Me the Numbers,” Mike provides some of the clearest explanations of business financial statements that I’ve ever read If concepts like stockholders’ equity or statements of cash flow make your eyes glaze over, then your salvation has arrived.

Later chapters of Business Plan Secrets Revealed really deliver on Mike’s promise to help you communicate your business plan effectively. There are complete instructions on writing your business plan, including how to get your plan opened and read, and how to avoid nine common writing mistakes. He explains how choosing the right design can make your business plan easier to read. Mike wraps things up by telling you how to prepare for critical face-to-face time with investors, including developing a 60-second, to-the-point, verbal pitch for your business. Tips on finding investors and a resources section complete the book.

I must admit that several times as I was reading, I would ask myself, “Do I really need this much business plan?” This is not a fill-in-the-blanks-and-print-it-out business plan solution. But then I realized–if I’m serious about succeeding, then I do need to know as much as possible about my business up front. Before I’ve started spending money. Before I put myself on the line out in the market.

By the way, I did make it through the whole book. And I confirmed that Mike delivers what he promises on the title page: he teaches you how to quickly gather evidence, build a case for your business, and write a readable plan that attracts investors and makes your business the most appealing investment choice. Even if you already own other business planning resources, I highly recommend Business Plan Secrets Revealed.

Book Review Warriors Workers Whiners And Weasels

We all know a Weasel. You know, that person that threatens to take down your organization by using every sleazy tactic in the book to advance their careers regardless of how it effects others. Warriors, Workers, Whiners, and Weasels: The 4 Personality Types in Business and How to Manage Them to Your Advantage by entrepreneur Tim O’Leary takes a refreshing look at the different personalities we encounter and how to handle them.

The premise of the book is that essentially everyone fits into one of four personality groups – Warrior, Worker, Whiner, or Weasel. O’Leary defines each as the following:

Warriors, who confront change, see possibilities, innovate and manage to win!

Workers, who deal with the ups, downs and challenges of everyday corporate life dependably, and who can reliably implement the change and direction established by the Warriors.

Whiners, who get through life by complaining about everything they do, who profess negativism and dissatisfaction wherever they go, and blaming others for their own shortcomings.

Weasels, who lurk everywhere and threaten your career and life-goals through their own deception and insecurity and who spread these feelings quickly throughout the organization.

The book is designed to help you recognize what group you fit into, give you the necessary tools to get to the group you want to be in, and learn how to effectively deal with people in each group. The book really does a great job of forcing you to truthfully analyze yourself. O’Leary warns you that you might not like what you find, but also is quick to point reinforce that you are in control and that you can make the changes in your life to fit into the group that you desire.

Even more interesting (and fun) is visualizing the people you know and placing them into their appropriate categories. We have all encountered a Whiner or Weasel and it helps to know what makes them tick and how to effectively deal with them so that they don’t negatively impact your life. O’Leary uses the analogy to the common cold – you can’t completely eliminate Weasels from your life but you can take precautions to limit the frequency in which they enter your life and the damage that they do while they’re a part of it.

O’Leary uses a mixes light-hearted humor with a fiercely intense attitude to combine a business book and a self-help book in an exciting fashion. One chapter might focus on a self-analysis, the next might be about personal stories from O’Leary’s experiences, and the next about management. The book is well over 200 pages but reads at the speed of a book that’s half that. I often found myself reading several chapters in a sitting, which is a testament to the writers’ ability to hold readers interest. If there’s a downside (and it’s not much of one), it’s that O’Leary is so brutally honest that it may rub some people wrong, especially those who fall into the Whiner and Weasel groups.

Warriors, Workers, Whiners, and Weasels: The 4 Personality Types in Business and How to Manage Them to Your Advantage by Tim O’Leary is a must read for every entrepreneur, business owner, manager, and worker wishing to learn more about themselves, take advantage of their best traits, and protect themselves from those who could sabotage their career.

Tips To Improve Your Customer Loyalty

Statistics show that, on average, U.S. companies lose half of their customers every five years.

It’s true that acquiring new customers will help your business grow. However, your current customers are the lifeblood of your business and keeping them happy should be your highest priority. Here are a few ways to make sure your customers keep coming back.

* Understand lost customers. Many business owners mistakenly believe that customers choose to patronize other companies solely because of better prices. While pricing can be a concern, customers often head to the competition when they don’t feel valued.

A change of lifestyle may have also created a situation where customers no longer need your product. By staying in touch with their needs, you might be able to adjust your offering to continue servicing them.

* Know your customer’s top priority. Maybe it’s reliability or speed or cost. Your company should know your clientele’s No. 1 priority and consistently deliver it. Remember, customers’ desires change frequently, so ask yourself this question every six months.

* Acknowledge the lifetime value of customers. The lifetime value of your customers is the income you would gain if a customer stayed with you as long as they could possibly buy your product or service.

For example, the lifetime value of a customer employing a financial adviser could be several decades and could span several generations. Treat the parents well and you could win the children’s business.

* Create a positive first impression. Good first impressions tend to generate loyal customers, and you get only one chance to make a positive first impression. Appearance is important. The exterior and interior of your business should be neat and clean.

* Listen to the customer. Employees should listen actively to customers. Reassure your customers that you genuinely want to help them. Customers will judge your business based on the politeness, empathy, effort and honesty of your staff.

* Address and resolve complaints quickly and effectively. Inevitably, your employees will encounter unsatisfied customers. Whether they’re returning an item or changing a service, customers expect a fair policy. If you cannot offer a resolution immediately, let the customer know when he or she can expect an answer.