Innovative owners might look to use cheap tricks

This has become the era of cheap tricks. No, not those cheap tricks.

I mean the innovative ways small businesses are finding to conserve resources, reduce costs and survive the economic downturn. The creativity that fueled their entrepreneurial enterprise in the first place is now sustaining them through some really tough times. Here is a collection of some of the best cheap tricks I’ve found.

● Be visible. Become active in your chamber. Become involved in the community. Talk to people. Attend business meetings, conferences and educational events for entrepreneurs. Don’t let the stories of doom and gloom bring you down. Be seen, be open, be positive.

● Turn the negative into a positive. Use what is going on in the economy to your advantage. Position your company as an answer to the difficult conditions. Be seen as a quality, but economic, solution to consumers’ spending challenges. Make it worth the extra gas required to stop at your business. Price competitively.

● Pair up. Find a group of business professionals and build a network of compatible companies. Make their goals your goals, and likewise. Make referrals to one another, exchange contacts and share skills. And remember your pals. Recognize those who refer to you.

● Collection, collection, collection. Focus on getting paid. Be clear about the work to be done, how much you will be paid and by when. Add a due date in bold on your invoice. Call to follow up on the invoice, and don’t wait until the invoice is past due. Ensure there are no customer service or product quality issues in the way of receiving prompt payment.

● Deductions, deductions, deductions. Remember that you can deduct as much as $250,000 in major equipment purchases in 2008, including computers, software, office furniture and machinery. Check with your tax professional for the latest guidelines to reduce your tax burden.

● Be a shrewd shopper. When purchasing furniture for your business, invest in good chairs. Buy inexpensive tables; pass by the big workstations. Buy a good coffee maker and a spacious refrigerator. Not only do trips out for coffee and lunch cost money; they cost employee time - an expensive commodity.

● Go online. Use your Web site to full advantage. Offer online sales, create a blog, give customers a choice to opt in to an e-newsletter. Keep it updated and interactive. Offer information as well as promotion.

● Network. Not just in person but also online. Join a business or social networking site such as Linked In. Invite others to join, and stay active.

● Give it away. Offer product samples and free hours of services in exchange for a larger purchase. Think about AOL. It worked for them.

● Don’t quit promoting. Advertising typically is one of the first things businesses cut when times are tough. Instead, focus. Make sure your advertising appears where it will reach your best prospects, and ensure it has a "call to action" or includes a specific offer.

● Talk to your customers. Ask them for testimonials, letters of reference and referrals. Reward them with discounts and special offers. If you have helped someone in the past, chances are they will be willing to return the favor.

● Take the high road. Set yourself apart by professionalism, integrity, customer service and a commitment to your core values. Conduct your business in a completely trustworthy manner. Act in your customers’ best interests, even if it means sending them to another business, even a competitor.

● Come see us. The Missouri Small Business and Technology Development Center housed in the University Center for Innovation and Entrepreneurship can help you develop strategies for challenging times.

You can find information on our Web site, www.missouribusiness. net. Attend our upcoming session on marketing research at 7:30 p.m. July 16 at the Columbia Country Club. Call us at 882-7096 to register for this special educational event that will help you find the customers you so badly need right now.

Above all, keep the faith. And don’t be above using some cheap tricks!

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