Any way you slice it, Apple is leading the way in more ways than one. Apple is not just an alternative to Windows and PC’s, but is taking more and more of the computing and retail ‘gadget’ marketplace. The products are extremely intuitive, the engineering and construction outstanding, and the proprietary software has much fewer problems than its competitors. The iPhone 4 is another example of a product that is already changing the mobile phone industry – as well as mobile commerce – (iAds, mobile marketing) – and it hasn’t even shipped yet…
For business owners – I should say, for forward thinking business owners, the Apple model is an incredible model to follow. Business in the 21st century is much different than business in the 20th century. Now more than ever, businesses must have 4 clearly defined principles at its core:
Vision: Vision leads the way. Vision allows you to begin with the end in mind. By clearly defining where it is you are trying to go, you are able to break it down into a timeframe which can be broken down further into tangible goals, and tasks – all associated with a time value. Internally, vision gives life to the team – it gets the team out of bed with purpose. Without it, the company could be a flailing, lumbering giant with no purpose, moving in many directions without a plan.
Mission: The mission gives those on the front lines guidance. The mission is also something that the customers and clients can grasp – if defined correctly, this can be in a tangible way. A sales associate who communicates the importance of their mission to the client automatically separates themselves from the competition. This mission engages both the sales staff and the client and aligns them in a way that causes client buy in – the client believes in the product or service because their is substance beyond the sale. They become united, batting for the same team. Result? = Referral and repeat business for the front lines.
Mantra: Around the Empower offices you’ll hear the phrase, ‘the Empower way’ quite often. It sums up an unspoken understanding of how things get done. A mantra can be associated with symbolism, or a way of creating transformation. Some define a mantra as a ‘practice’ a way things ought to be handled. A mantra can be a single word, a group of words, or a phrase. What’s important is that the team knows what it means.
Model: This is something that can make life easier and give inspiration. Choosing a business model to follow is akin to having a business mentor – the model you choose to follow will always be sourced from a form of astonishment, and a proven success. Why wouldn’t you claim a business model to follow? Models are like blueprints which can instruct you on what to do, and what not to do.
Apple has changed the industry in many ways. That wasn’t always the case in recent years, however, the only thing constant is change, and those who embrace industry changes always come out on top. Apple has embraced virtually every change known to business, technology, marketing, you name it – and has even led the way in some of these market transitions. Perhaps this is just one of the reasons why people willingly pay more for Apple products, and don’t blink an eye in doing so – they HAVE TO HAVE IT! (see this funny graphic about a apple fan crazed shopper getting what appears to be an iPad! LOL!)
lessons in production
Some think Apple executives are control freaks – outsourcing very little, and maintaining as much as possible ‘in-house’ – even building their own chips, and having their own retail centers. Well maybe they are control freaks, but it has proven to work well, and looking back on large companies of the past, we have seen that in-house control over the details of engineering and production (development and execution) will make things much more profitable – and, will maintain that things are done the right way.
do it right
You will notice that they don’t keep everything in-house. Actual manufacturing of certain products are still contracted out over seas and as far as most people know, Apple does not entertain any equity in its production partners plants – but who really knows? A company as liquid as Apple may have a hand in that. Which brings me to the final points: Liquidity and equity. If forced to outsource, why not secure equity in your production contractors (or service providers, etc.)? Besides the control of costs, and/or new ability of capturing revenue in a separate stream, (tax benefits) what other benefits are there? How about control of manufacturing for competitors? Now that is leverage worth having. That is something Apple tends to position themselves in wonderfully – (iAd/Google ad restrictions, and much more) Lastly, liquidity. Nothing beats responsible corporate policies that maintain a growing liquid savings/fund. Growth by acquisition? Finance it yourself, or have the cash for the down to finance. Need expansion capital? Your covered because of your own corporate policies to manage profits and allocate to growth funds, or rainy day funds.
It’s your business, your finances, your investment strategy. Define your vision, create a mission, establish a mantra, and follow a business model. Choose the right mentors. Find out why Empower admires Apple’s business model, and specifically chooses Apple products for all of its team members, staff, and employees.
Your best days are ahead. Align yourself with the best.
Every day is a hustle. Busy busy busy. Sometimes you feel that you are simply existing, and are stuck in a grind. It’s hard to decipher what’s important, from what’s urgent. Need to refocus? Need to get back on course? Here’s how.
clarity
From time to time, we all need to revisit our compass, and alter our couse to make sure we are heading in the right direction. Usually, we do not do this near enough, and we end up many degrees off course with our goals and vision. Just a couple degrees off course can turn into miles off course further down the road. Revisit your vision – this helps with goal setting, but also puts everything else into perspective.
beginning with the end in mind
Dan Bliss of Perfect Business offers a great suggestion to do this simply:
Sit down with a notepad (or an iPad!) and write out in detail the goals you would like to achieve in five years. Don’t worry about your immediate financial position or short-term goals. Simply write explicit personal and business goals that you would like to accomplish in five years.
Write down the actual date five years from today. Where will you live? What will you be doing? Who will be in your life? Describe your business, your home, your health, your friends and your family.
Then, work your way backwards from that date. To achieve those five year goals, what will you need to accomplish by year four? Think about it genuinely. Create a few goals for year four that you should do to stay on track for the five year plan.
Repeat this for year three. Year two. Year one. Break down your first year goals into quarters, then months. You will quickly realize that the steps aren’t as scary. The big goals are suddenly possible through baby steps in the right direction.
With the big picture in mind, everything else falls into perspective. All of those little things that you worry about every day aren’t as urgent anymore.
Yes, it’s important to do what you need to do on a daily basis to survive, such as working and paying bills. However, you will now maintain a long-term view of things. You will do your daily duties, but always remember to plug away on those steps toward the big goals.
Everyone knows that it’s important to visualize and pursue your goals. Make a genuine effort to create your five year plan – and don’t be surprised if your plans start working…
“Plan ahead, growth is inevitable, be ready for success, and your best days are ahead” – are not just cliche statements to Empower you to keep moving forward. They are real words of wisdom that should not be taken lightly. Most people tend to focus on exit strategies and ‘plan B’s’ tailored toward failure of sorts, as most people are afraid of failure so much that they let it consumes them, cloud their vision, and it quickly becomes the focus of their business.
‘Plan B’, needs a ‘Plan B’
A ‘plan B’ must be twofold. Preparing for an unexpected decline in sales is just as much of a concern as preparing for unexpected growth. In fact, those are two completely different concerns. Having a clear plan for your company’s growth, as well as shrinkage, and etc. in addition to a clear exit strategy is crucial to sustain your business.
Scalability
What happens when your product or service lands an unexpected deal that requires delivery for more than you can handle? Or, inbound call levels are so numerous making it impossible to serve your clientèle in a way that they expect? Maybe the hopes of the economy picking up that you’ve banked on is actually happening, creating exactly what you expected. Are you ready? Simply determining that your business is a scalable business is easy. Implementing that into the structure to ensure that each division of your operation is scalable, requires planning and foresight.
Your best days are ahead – that is the simple truth. We are responsible for the outcome of our tomorrow. The question is, are you ready for it?
Here are some helpful ways to prepare for the growth of your venture:
1. Listen to the experts.
You may be an expert in your business, but you don’t know it all. What’s more, there often will be experts who know more about particular parts of an industry than the insiders. Identify the experts, listen to them and learn from them. Let them help smooth out your learning curves and keep you on your growth track.
3. Hire people based on where you want to be, not where you are.
The team that can successfully run a $1 million company is not the same team that can run a $100 million company. If your goal is growth, hire people who can perform in the size company you want to be–they’ll help you get there.
3. Put the right people in the right places.
The right people doing the right jobs is absolutely critical to sustain growth. Whole person assessments and job benchmarking will allow you to take a systematic approach to hiring and career development, which will reduce your mis-hires and employee turnover.
4. Focus on your core competency and don’t get distracted.
It is easy to veer off course – just a couple degrees will not hurt too much at the beginning, but as you continue down that road, you will be miles off track. Stick to the business your company knows best. Be sure any diversification or product line expansion you do makes sense. If it has nothing to do with your core business don’t get into it just because it seems like a good opportunity. Otherwise, you’ll you confuse your customers and your employees–and you’ll likely find that dividing your efforts reduces the quality and profitability of everything.
It has been said, “If you don’t know where you’re going, you won’t know how to get there.” While that seems sarcastic and blatantly obvious, it is nugget of truth that can make all the difference to you, your organization, and to your dreams. Vision sets the course. Vision sets the mood, the mantra, and the corporate culture of your organization. Without it, your team or business, no matter how large, is a fumbling, uncommitted mess. Vision instills excitement, direction and motivation. It is something that people can grasp in a tangible way, giving them purpose in their lives. It can be the difference between getting out of bed with a smile, to having an extra dose of confidence in a meeting. What’s more, all of that together is something that customers and clients can see. Vision, will either make or break you, or your company.
Our friends at LyndiT.com (www.lyndit.com) have shared their thoughts on how vision is of utmost importance to both life and business. Take technology organization Mashable (www.mashable.com) for example. Founder, Pete Cashmore, believes that the internet is full of ‘unlimited opportunities’ and has proven that coupling drive, ambition, and vision together, yields unstoppable employee buy-in, strong, corporate culture, and overall efficient work force.
Common investing methods – such as investing into the stock market – is generally a passive method. Meaning, it is defensive in nature. Typical investment advisors make choices for their clients based on what a stock is doing, or what the market is doing. Their software tells them that changes have occurred and they need to buy, sell, hold, or plan to make a move based on certain theoretical indicators. Even though an investor may own stocks (or shares) they do not have much of a say in the methods or direction that the company is headed. The reality of a minority stock holder conducting a meeting with the Board of Directors, or CEO is virtually impossible. The updates of company performance comes from prospectus’s and are generally vague in nature as to growth plans and strategies, but more focused on the current financial statements, officers and directors, and other material information. Empower Private Investments are very different. For example: The control and direction of the company or project is directly controlled by the company in which the investor holds investment, or equity. In some cases, the investor has equity stakes in the company. These investments are not a diluted form of stock, but are immediately tied to company’s responsibility (and profitability) and are recorded on the corporate financial statements. Depending on the size of investment and project, the investment can be tied directly to a project, or diversification can be utilized and the investor may invest into the diversified portfolio of the company – offsetting risk even further.
Most importantly, in this method of structuring, investing is very active, or offensive in nature. The stock market and fluctuating stock prices do not immediately affect the momentum of the investment/project or the profitability of the investors investments. Next of importance is the fact that Empower retains controlling equity positions in each company and project that it develops. Meaning, company direction and control remain strong while the motivation to increase magnitude and profitability is enhanced. Due to the joint interests in the profitability of the projects or investments.Historically, Private Investments are consistently superior to common investment methods and substantially outperform at a rate of 12 to 1.
different types of private investments
Generally, Private Investments can be structured any one of 100 different ways. Empower offers multiple types of Private Investment offerings and opportunities, but focuses on those which can be classified into two different groups:
TBI: The Term Based Investment Opportunity is a mutually agreed upon fixed rate of return for the initial principal investment amount based on a certain fixed time frame. It is common for these investment terms to have built in renewals or extensions, and other general guidelines.These term based agreements are best suited for Investors who are looking for a great opportunity that will pay them a high rate of return, while very short in nature and also very secure. CIVP: The Collaborative Investment Vehicle Partnership opportunities are longer term based partnerships in which the Investor retains a portion of equity in one or more companies to earn a cash flow based ‘salary’, or ownership draw as income or payment. This can replace an individual’s income, or compliment their current income.For longer term investors who desire sustainable income for multiple years, securing an investment vehicle is the only model which provides stable cash flow, adjustments for inflation, and concurrently allows one to entertain additional investments without reducing or hindering their principle investment vehicle – despite the risk classification. In other words, taking an active approach to investing rather than a passive approach. Trying to follow stock and market performance – hoping to catch all the news and waves while trying to time the roller coaster – is difficult and unreliable to say the least.
These words are best in describing the apple experience of its dedicated customers. You can add anxiety to the mix too – Apple does an outstanding job in creating anticipation and anxiety in the tech world. What is the iPad? Well, everyone knows what it is, but the real question to ask is, ‘What can the iPad teach us about business?” Plenty. And then some.
Think on this: Tens of thousands of people across the nation waiting in line for a limited number of iPad’s. How about the thousands of discussions and videos leading up to the iPad launch stirring up incredible controversy in the tech industry? Laptop business going to be effected? You better believe it. This is actually a pretty big deal from the 30,000 foot view.
What caused this activity? Who or what is to blame? (or praise!) Newsflash: It is not necessarily the product. The product can’t get the horsepower to the gound in getting the word out. Just like all trending topics, it’s about the buzz, the marketing, the hype – and apple is king of this. But what makes all the marketing effective is their excellent marketing strategy:
1. Creating anticipation by ‘sealed lips’ – and delay.
Apple is great at keeping secrets – well, it’s not a secret when tiny hints are given for the sole purpose of creating excitement. This tactic does two things. A) begins discussions, arguments, ideas and buzz. B) allows for rumors, falsifications, inaccurate information which could lead to disappointment upon launch. Whether or not all the press it creates is ‘bad press’ doesn’t necessarily matter – it creates a ton of activity. Oh, and what’s more frustrating is showing someone something incredible, ground breaking – something never seen or done before – and then telling them it is not available yet. DOH!
Lesson: never reveal everything about your business, if you are working on something that is not yet complete and ready to market, then choose what you will reveal carefully and strategically.
2. Creating anticipation by limited quantity.
Finally it’s here! April 3rd was the official launch date for the iPad, so when you get around to it, head on down to the apple store or Best Buy and get yourself one… uh, wait a minute, Best Buy only has 15 per store and if it’s not 6am April 3rd and you’re not less than first 15 in line, your out of luck. Safe bet the apple stores are backed up too. DOH!
Lesson: there is no reason to go over board on stocking the heck out of your shelves or staff upon launch of a new product – of course you need to have a good idea of what to expect, but running out of something can be a good thing. Be smart.
3. Commanding allegiance by controlling what you now want.
Because most of us do not work for apple in Cupertino, CA, we do not have any way of inside information or ability to play with new technologies and are forced to wait. It’s called being a consumer and being forced to buy things at full retail. Really no way around this. DOH!
Lesson: be strategic in offering specials just to make more sales. This requires a plan and a destination. Not an “let’s screw with our margins to get more sales!” approach. That doesn’t work. Planning must happen in every stage of your business.
4. Commanding allegiance by controlling when you get what you now want.
Again, the timing is crucial here. Apple seems to have it down to a science and everyone has no choice but to succumb to it’s wishes. Yet nobody seems to be complaining! (just whining that they can’t have it NOW)
Lesson: timing is crucial – if you wait too long, people will forget, and become uninterested. Again, PLAN.
See for yourself
Look at this activity! Thousands of people, and still, everyone who didn’t get one immediately will still want one even more. Just wait for the 3G iPad to launch… ‘Oh boy”
Somewhere in our US History, a standard retirement age was deemed appropriate. Most likely tied to Social Security eligibility, retirement became an expected part of our careers, with an official initiation date.
But why wait until you are 65? There is nothing miraculous about that number. In fact, if we are honest with ourselves, the truth is that most of us desire to retire much earlier and dream of traveling the world, surfing off of exotic beaches, and experiencing the finer things in life that we have put off. After all, we are talking about our Golden Years right?
That all sounds great, but how does one turn that desire into a reality? If the vision of retiring early and doing the things you always wanted resonated a chord with you, then you probably have what it takes to accomplish your goals. First and foremost is desire. Desire is what gets us out of bed, out the door, and directs our day to day decisions – and ultimately, our lives. If you have the desire, there is nothing you cannot accomplish if you put your mind to it and plan accordingly. Your best days are ahead.
Conventional Is Not For Everyone.
The common misconception that a lot of retirement planners will tackle your early retirement plans in the same way. They will enter your financial information into specific formulas and tell you how it will not work with your current income, etc. Many website retirement calculators will offer to ‘improve’ your plan. What this really means is reducing your dreams into what will work under the conventional methods of retirement planning that have been adopted as normal methods. Pushing the date of your retirement out further, or drastically lowering your retirement income to accomplish the stated goals. That is like going to a car dealership and telling the associate that you are in the market for a sporty convertible. He replies and says the closest thing he can recommend is a Chevrolet Astro Minivan. Not even close!
Some believe that a million dollars in the bank (or retirement) will accomplish their goals. The hard truth is that unless you have accumulated this sum of money in your late twenties or early thirties, one million may not be enough to retire early. Conventionally, your investment will need time to grow.
So if your goals cannot be accomplished conventionally, what is the unconventional method? The simple approach is being open to new ideas. There is a quote, “If you focus on results, you will never change. If you focus on change, you will get results.” In a for-profit business, the only thing that matters is profitability. In that regard, nothing has changed over the years. What has changed over the years is the way in which companies obtain and retain profit. Business is always changing – retirement planning must also follow suit.
New Methodology. An Unconventional Approach.
If your current retirement portfolio averages 10% per year (based on US Stock Market Average Annual Returns of 8-11%), and your portfolio demands that you do not retire on more than 4-7% per year, will a 3% rate of return sustain your portfolio and hedge against dips and valleys in the economy? What about inflation of 2-3%? As you can see, the buffer quickly becomes a negative return.
Alternatively, as Warren Buffett often touts, securing an investment vehicle is the only model which provides stable cash flow, adjustments for inflation, and concurrently allows one to entertain additional investments without reducing or hindering their principle investment vehicle – despite the risk classification. In other words, taking an active approach to investing rather than a passive approach. Trying to follow stock and market performance – hoping to catch all the news while trying to time the roller coaster – is exactly what the iconic investors do NOT do. They lead the way, and secure businesses in which others invest into while they are safe and secure paid by the companies operating cash flow, while expansion is being funded by all of those who have bought into the conventional method of retirement.
Is this duplicable? You better believe it. It is called a Collaborative Investment Vehicle Strategy (CIVS), and it allows the same strength and benefits as it does to the aforementioned iconic leaders. As the innovator of the CIVS industry, Empower maintains as the leader in developing businesses for investors who want hands off, cash flow vehicles allowing for early retirement. We place you in proven, highly profitable businesses, securing your desired cash flow range, while fulfilling all of the necessary management oversight needed. How is this secure? Simple. Both Empower and the Retiree have vested interests in the profitability and success of every company. Not only is this structure sound, it is the best way to guarantee maximum and long term profitability. It is also a transferable asset that can be passed onto future generations, helping you create the legacy that you desire.
First Step, Identify Your Goals.
The best way to accomplish something is to clearly define it. Take a 30,000 foot view of your current situation, goals, and desires and make it a priority to define exactly what you want to accomplish and by when you want to achieve it. Next, realize that there are hundreds of ways to accomplish something. Conventional methods are not always the best. If they were, then everyone would be as successful as Warren Buffett and Bill Gates or everyone would retire exactly the way they had planned. Ask yourself, “How many people do I know have been able to do what they wanted to when they retired, or retired when they really wanted to?.” If you are honest with yourself, you may be surprised at this reality.
Then again, if your goal is to work until you are 65 and spend your Golden Years in a downsized house, completing cross word puzzles and watching the same Television programs day in and day out, then continue with your current plan. However, if you want to know more and can be open minded, then for you the sky is the limit and your best days are ahead.
On January 12th, 2010, a series of massive earthquakes devastated the country of Haiti. The pain caused by this catastrophe is great…but there is hope.
Together, we can help show Haiti that their best days are ahead.
Empower Home Loans is donating $100.00 from every new purchase and refinance mortgage loan to the Red Cross to help the unfortunate in Haiti. For more ways to help, visit:
These are the five simple factors to make sure you are not left in the dark:
Leads: The total number of people who have contacted or who have been contacted by the business–over the course of a year.
Conversion rate: Not to be mistaken for Response Rate, Conversion rate is the percentage of people who actually make a purchase. For example, if 10 people walk through a store and three people buy something, that store’s conversion rate is three out of 10, or 30 percent, for that day.
Average dollar sale: The average dollar amount per sale, estimated over the course of a year. The average can range from $5 or $10 (say, for a discount retailer) up to tens of thousands of dollars (for a business such as a car dealership).
Average number of transactions: The number of purchases the average customer will make over the course of a year. Again, it can be an estimate. This number will probably be larger in a retail setting than in companies that operate in a professional services industry.
Profit margin: The profit percentage of each and every sale. Simply put, if a business sells something for $100, and profit was $25, the profit margin is 25 percent.
This may seem blatantly obvious, however, knowing this will do absolutely no good in your business. You must put it into your ProForma, analyze it on a continuous basis, and improve your business.
