Menu

Paperback Writer

Think Progress

Ways To Succeed In Business: Lemonis

February 19, 2014

Pritzker Bridges Business-Obama Rift to Promote Trade

In its four years, Athans Motors has lost $4 million. Lemonis attempts to turn around the business in the premiere episode of "The Profit." "It's important to understand the business and know what your limitations are," Lemonis said. "Stick to your core competency and make sure that when you do that, you build a barrier to entry so people can't compete with you." Maintain proper working capital The saying "cash is king" applies to the success of a business more than some owners realize. The right amount of working capital is essential when starting a business, as is maintaining proper reserves to sustain any losses. "Any new business will lose money in the first few months and maybe even the first year. You better have the cash resources to survive it," Lemonis said. Crunch the numbers at the onset to get a realistic estimate of how much capital a business requires and how much cash it needs to keep in the bank, he said. Jose Luis Pelaez | Blend Images | Getty Images Keep ego in check Determination and believing in success can be a good thing, but don't be blinded. An entrepreneur must realize when a good idea has turned bad. Study financial statements to know when it's time to reroute a business or even close shop, Lemonis said. "Sometimes it could take a year or two years to become profitable," he said. "But in the interim, you have to know when it's time to cut bait. If the idea isn't working and it was yours, you have to put your ego in check and know when to stop." Despite Athans Motors' losses, Athans still thinks it's a good idea, Lemonis said.

Chamber of Commerce President Thomas J. Donohue, who heads the nations biggest business trade group, vowed in January that when regulators insist on overstepping their bounds, we will head to the courts and sue the administration. In her eight months in office, Pritzker has held town-hall meetings to hear companies concerns, led the governments first summit to lure foreign investment and kick-started a program to increase workers skills. In the first half of this year, shes focusing on trade missions, including to Mexico, where Obama will meet tomorrow with Mexican President Enrique Pena Nieto and Canadian Prime Minister Stephen Harper . Shes also the first Commerce secretary to manage fallout from Edward Snowdens leaks of data surveillance programs, which such companies as Google Inc. (GOOG) say threatens their international credibility. Trade Deals If Pritzker succeeds, it could produce a bipartisan coalition to advocate passage of separate free-trade deals the U.S. is negotiating with 11 Pacific-rim nations and the European Union, as well as a bill on Capitol Hill to make it easier for companies to hire foreign-born, high-skilled workers. Having a Commerce secretary with someone of Pennys caliber is extremely important to solidify those partnerships, Valerie Jarrett , senior adviser to the president who has known both Pritzker and Obama for decades, said in an interview. Her background and early steps show some promise.

New USC master's program to breed business-savvy social entrepreneurs

USC unveils new one year Master Without the benefits of massive scale, these companies cannot rely on single-function, lower-skill-level employees in assembly-line type operations. Often these skilled employees in small businesses are already paid much more than the minimum wage, so raising the minimum would not have a significant impact on small-business hiring. Henry Elkus is chief operating officer and director of philanthropy at Unlimited Ltd. Clothing. Who's Hurt by a Higher Minimum Wage? Young Workers. RICHARD DUNCAN : Increasing the minimum wage is effectively creating a uniform, government workforce; one level, one pay. As we close the gap between minimum wage and a firm's starting wage, we lessen the ability to hire younger untrained talent. When the minimum wage increases, we put more demands on the outcome and performance of the new emerging workforce. This leaves youth and the entry-level workforce less opportunity to enter, as the job description will have to match the pay scale.

Will Increasing the Minimum Wage Impact Small-Business Hiring?

Moreover, PS Business Parks has adequate liquidity to fund proposed investments. Further, the dividend hike enhanced investors confidence in the stock. However, if job cuts recur, operations in the companys office portfolio are likely to suffer, thereby undermining its long-term growth potential. PS Business Parks currently has a Zacks Rank #2 (Buy). Sabra Health Care REIT, Inc. ( SBRA ) is a better-ranked REIT with a Zacks Rank #1 (Strong Buy). Among other REITs, DDR Corp. ( DDR ) reported in line FFO while Prologis Inc. ( PLD ) reported a penny ahead of the Zacks Consensus Estimate.

PS Business Parks' FFO Beats, Hikes Dividend

Road Warrior Joseph Barta, who services and installs laboratory testing instruments and lives near Chicago, is counting the days until his escape to warm weather next month. "The weather has been especially brutal in Chicago this year, so it will be a great getaway for a long weekend when I go to my favorite warm-weather place to go every year spring training in Arizona." Barta says he and his brother, Dan, will watch, for the seventh time together, his favorite baseball team, the Chicago White Sox, and the cross-town rival Cubs play exhibition games. "It started out as a trip only to see our respective teams play, but now it has become more about getting out of the cold weather, seeing some sites and seeing live baseball for the first time in months," Barta says. Road Warrior Ken Beaulieu of Seattle recently bought a vacation home in Palm Springs and says Hawaii has always been a special place for him. "I love the diversity of the island of Maui, and it's also an easy hop to a nearby island," says Beaulieu, who works as a meeting planner. Beaulieu says his job often takes him to warm climates, and he tries to go early or extend his work trips to enjoy the weather. "Although Seattle has mild winters, it's great to escape and soak in some sunshine," he says. Road Warrior Murray Cook of Roanoke, Va., who spent about 130 nights away from home last year, says he relies on his work to provide warm weather during the winter. Cook builds baseball fields and stadiums throughout the world, and construction is usually done when the weather is warm.

Business travelers flee to favorite winter getaways

It is true that business is migrating to the Web more and more every day, and there are many reasons for this: It's where the eyeballs are Lower overhead Less financial risk I say less financial risk because the cost of creating and maintaining a brick-and-mortar store is usually not insignificant. Creating an online store can be done fairly quickly, without a lot of money, and usually without the need to maintain a lot of inventory. That said, physical stores have much to be said for them too, not the least of which, despite what some people think, we don't inhabit a virtual world; we still live in physical reality. Service or product? If risk is the issue, then service businesses are great because, again, they are far less expensive to create. A lawyer can hang out a shingle and sell his or her time and expertise, but a gift shop has to not only hang out the shingle, but keep the store full of products and staffed by employees. Franchise or from scratch? Most people start a business from the ground up. They come up with an idea, find funding, create a brand, and learn from trial and error. I did that, many folks do. But another option is to buy into a franchise. If risk is your concern, there are some good things to be said for going the franchise route. For starters, with a good franchisor (note that, and re-read it.

Don't Overpay Your Taxes: 5 Can't Miss Small-Business Deductions

If they cant be solved by government, they have to be solved by the private sector, and that requires the entrepreneurial thought process. The new program will be a one-year master of science in social entrepreneurship from the Brittingham Social Enterprise Lab at USCs business school. It comes at a time when many nonprofits are still in a post-recession struggle, trying to do more for needier clients without sufficient new funding. Many nonprofits operate in a system which is unsustainable, said Jessica LaBarbera, a Los Angeles-based director for the Nonprofit Finance Fund, which provides loans and consulting services to nonprofits and foundations around the country. They have had to operate with a 'do more with less' mentality for so long that they have cut to the bone to meet increasing client needs, often at the expense of having time or resources to invest in strategies. They are running hand to mouth to meet their missions, LaBarbera said. Adlai Wertman, a USC professor of clinical entrepreneurship and the catalyst behind the new program, thinks there is a better way. Social causes have only historically attracted people coming out of social work, people with policy degrees, public administration degrees, Wertman said. But thats not what you need. You need people trained in how to run a business. Wertman, a former investment banker, put this theory into practice as chief executive for seven years at Chrysalis, a nonprofit that helps homeless and low-income people find work in Southern California.

Minimizing risk when starting a small business

small-biz-open Business owners often dont deduct the expenses because they arent sure whether such meetings were business-related, and they dont save the receipts. Says Levenhagen, such events must involve work, but theres no hard and fast rule over what portion of the meeting needs to be taken up by business talk. So feel safe deducting it as long as you can show a new client lead or a service referral came from the meeting. It has to be something substantial or something that has a potential to further your business, Levenhagen said. Save the receipt (though a bank statement can work for meals or entertainment expenses under $75), and make a quick note of the business-related purpose on it, or in a day planner or calendar, so you have a record in case an auditor asks. Crunching car expenses the hard way. Sure, a business owner can go the easy way and calculate business-related car costs using the IRS standard mileage rate, which was 56.5 cents per mile in the 2013 tax year . But in this case, the hard way can pay off. Levenhagen has seen clients save hundreds of extra dollars by dividing business-related miles by total miles driven and then applying the percentage not only to gasoline costs but all the actual expenses related to that vehicle, including car washes, tires changed -- even satellite radio fees. Anything that is for the betterment of the vehicle. As with meal and entertainment expenses, the day planner or the calendar becomes an important tax record. Remember that miles driven from home to the office and back are not business-related mileage. (Business owners who work from home but dont claim a home office face a major disadvantage over mileage, because every trip out of the house is then a commute.) Choosing the tougher path on the home office.

Go Back

Comment