Keep Your Company Out of Court

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Issue 255
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One of my favorite pastimes is watching the TV series, Law and Order. But in my real personal and business life I want to steer clear of the courtroom. How about you?

Running a business can be an exciting and profitable endeavor. You can avoid some of the pitfalls of business by following these tips for staying on the positive side of the law.

1. Set up your business entity properly.

It’s well known that a corporation status gives you certain liability protection and may even have tax benefits over sole proprietorship. But only consultation with a lawyer can help you decide which is best for you.

2. Follow your city, county and state guidelines.

The size, location and structure of your business may put you in a different category from another type of business. Certain businesses may be able to operate from home, while another may have restrictions. That’s why it’s important that you investigate these guidelines before investing money in your business.

3. Avoid engaging in risky practices.

Every business has potential troublespots that you will want to avoid. In the gift basket industry, for example, there are very strict laws regarding the sale of alcoholic beverages. It’s not worth the potential fines and punishment to take a chance putting a bottle of wine in a basket if you don’t have the proper licensing.

4. Use appropriate documents and policies on and off the Internet.

While having enough insurance coverage for your business, it’s equally important to have written terms of service, policies, and disclaimers. While you can customize documents that are already available, the ideal source for documents tailored for your business is your own lawyer.

5. Keep abreast of changes in your industry and in business.

By keeping track of certain agencies you will be on top of changes that affect your industry. Most federal and state agencies have local offices. But checking the websites can be helpful as well. A few of these are

Small Business Administration
U.S. Food and Drug Administration
Federal Trade Commission

The advice I’ve shared here is based on my experience and reading, not any legal qualifications. I am not a lawyer, but Robin Gronsky, small business attorney, is. Listen to what she shares when she was interviewed by Shirley George Frazier on the audio CD “Legal Tips to Keep Your Company Out of Court.” Protect yourself and your business by finding out and acting upon what Robin says about

  • What types of insurance every product-based company must have
  • How choosing a business name that someone else legally uses costs you time and money
  • What to include in partnership agreements so you’re not holding the bag after the split.
  • Why online companies with disclaimers written in small type can still bill your credit card even if you no longer want the service.
  • Why sample contracts find in books won’t cut it in court.

And much more.

Order your copy of the audio CD “Legal Tips to Keep Your Company Out of Court,” now by midnight, Tuesday, June 30th and receive the following bonuses:

The midnight Tuesday, June 30th deadline is firm for this special offer, so act now.

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What Does Your Website Say About Your Gift Basket Business?

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Issue 248
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Are you new to this newsletter? Then let me welcome you.  I’ve prepared a personal introduction to this newsletter and what it offers. Find it here.
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In the last issue of the newsletter I asked you complete a survey identifying some of the things you wanted me to cover in the newsletter, blog and websites.
One of the most frequently asked questions was about gift basket websites.
Did you know that your business cannot afford to not have a website? It’s true. In the 21st century, not having a website is like not having a telephone. Even the smallest businesses have websites, and the reasons are clear. Over 90% of all households in America now have some form of internet connection, whether it is high speed broadband, or dialup. Out of these 90%, about 65% start their search for new products or services online.
Your website serves not just to showcase your designs. A gift basket website also helps to  establish credibility, make shopping easier and convenient, and collect your profits in smooth transactions around the clock.
A well-done website can answer your visitors’ questions, thus saving you time you would otherwise have to spend communicating by email or telephone.
A successful website is flexible, allowing you to make timely and valuable changes to keep your customers returning.
What does your website say about your guft basket business?
  • “professional” or “homemade?”
  • “ready for business” or “under construction?”
  • “trusthworthy” or “risky?
To ensure that your website is successful at conveying a positive image and attracting profits,  there are certain important elements.
Graphics–your photo appears on certain pages but not on others
Headlines–there are a few things headlines should not include
Copy–there are key pages that should be on every website
Product and services descriptions–this is one of the most important features on a gift basket website
Navigation–done properly this makes getting around your site easy
Accepting payments–how you set this up will determine if you get orders around the clock, or if you’ll turn customer away
Getting traffic to your website–without traffic there will be no sales. There are many ways to do this, but a few key ways work especially well.
If you’re in doubt about what your website is saying about your gift basket website, get the help you need with our one-of-kind special report, Prescription for  a Successful Gift Basket Website. Download it immediately and begin putting the tried and proven success ideas to work for you.
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Are You Giving Your Customers What They Want?

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May 5, 2009–Issue 247
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While attending a board meeting of a new group last week, I was observing how the discussion centered around providing services to a segment of the community. Member after member gave their ideas about what would be good for the community. It came to me that we were going about it the wrong way.
 
The only way to find out what the community wants or needs is to ask them. Anything else is guessing, and sure to miss the mark.
 
Are you giving your customers what they want? How do you know? Did you ask them/
 
Yes, have you asked your customers what types of designs and services they would like to buy? There are several easy ways to do this.
 
1. Include a brief survey with each invoice and offer an incentive to get your customers to return it.
2. Create an online survey using a service where customers can leave their responses and you can tabulate them.
3. Mail a survey to your customers what new designs or themes they would like to see. Ask for suggestions on improving your service.
4. Conduct a telephone survey of your current customers. Tally their responses.
 
Now help me by telling me what you want from my websites, blog, newsletter and services. Please do me the favor of completing my survey. It’s only 5 questions and it will help me plan new programs and services. When you finish you will see how to set up your own survey at no charge. Thank you.
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Learn ways to market your business successfully with my power-packed audio CD, 99 More Sizzling Marketing Ideas to Make More Money.

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Are You Missing Business Opportunities?

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April 28, 2009–Issue 246
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Companies miss opportunities to promote themselves everyday. I hope this isn’t true for you.
Folks can only do business with you if they know you exist.

Why do you suppose wildly successful enterprises, like McDonald’s, still advertise?
Because they know that people have short attention spans and even shorter memories. We are like babies following a shiny object. If you don’t keep reminding folks that you’re in business, they’ll forget.

Successful gift basket retailers don’t just send out fliers and hand out business cards. They add their slogans and contact information to T-shirts, bumper stickers, promotional products and balloons. I have imprinted napkins for meetings and events where I’ll be serving food and imprinted ribbon for donated gifts.

Other places where you should promote your service: invoices, envelopes, fax cover sheets, and the tagline of your email.

Do you send out monthly postcards urging your customers to buy from you, reminding them that you accept credit cards and take care of shipping?
 
Do you send out a newsletter or email with quality information for your customers?
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Do you tastefully place your imprinted sticker on each gift basket design?

There’s no place in the gift basket business for hesitance. You don’t have to be aggressive, but to succeed you must market yourself tenaciously.
 
Learn more ways to market your business successfully with my power-packed audio CD, 99 More Sizzling Marketing Ideas to Make More Money.

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Gift Basket Filler is Not Just Fluff

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April 21, 2009     Issue 245

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One of the first techniques a gift basket designer learns is getting products to stand up so they are visible above the basket edge. Basket filler is what enables you to achieve this feat. But filler is not just fluff, it’s an important element with several important functions.

This first level of filler serves as the foundation of a gift basket design. Crumpled newsprint is preferred because it’s low priced and heavy enough to support the products that you will add to your design.

Kraft paper may be used also, but don’t use leftover newspaper because of the ink that could possibly rub off or run if it gets damp. Savvy designers use fresh, clean paper, not leftover cellophane from shop-worn baskets or other dust prone materials.

Amateurs don’t know about this first level of filler so they often just drop products into the basket where they can’t be seen unless you peer down inside.

The second level of filler is decorative and comes in several types and many colors. The colors and feel of the filler will help to convey the theme you want to create. Pastels suggest softness or solemnity whereas bright colors suggest festivity and celebration.
Excelsior shredded wood has the most volume, so it doesn’t take much of it to fill up a basket. It’s the least expensive usually, but hard to the touch, sometimes dusty and may have a strong odor, especially when dyed.
Crinkle cut shredded paper creates little to no dust. It has volume, comes in many beautiful colors, but the short crinkle cut can be quite messy. There are a number of popular brands. I prefer shredded paper that has long, 4 to 5 inch strips rather than the very tight accordion cuts. You don’t lose nearly as much of it to the floor when you grab a handful of this longer version.
Shredded cellophane and tissue paper come in pretty colors, but because they have little volume they should be used as enhancement.
Metallic shred is shiny and wonderful for adding elegance to a design. But it has very little volume and is usually more expensive than the shredded paper, so use it sparingly.
Shredded resin is the filler we think of as Easter grass. This product is shiny, but doesn’t have much volume.

Creative designers use many nontraditional materials as filler: real popcorn (without the butter,) clothespins for a laundry design, peanuts in the shell, cotton balls and more.

When you choose the filler that is right for your budget and your theme you will discover that rather than being fluff, filler is an important element of your design.
Looking for wholesalers who carry filler, shred and other related products? Visit free online directory, Ribbon Wrap and Pack.
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Make Trends Work for Your Business

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April 14, 2009–Issue 244
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 To grow your business you must keep up with the trends. But how do you spot the trends so you can stay on top of them as they happen. And more importantly, how do you incorporate them into your business?

To keep up with the trends you must keep up with what’s happening in the news, weather and retail.

1. Did you notice that your area had a hotter than usual summer and a colder than usual winter? How might this affect your business next year? Is your studio prepared with an adequate air conditioned storage? If you use chocolate, for example, you’ll need to carefully time your ordering and shipping to avoid damage.

2. Baby boomers are aging. Unlike oldtimers of the past, however, baby boomers are proudly sporting gray hair while pursuing new careers and activities in retirement. They may own luxury cars, but with rising gas prices they are seeking convenient and carefree public transporation and escorted travel where someone else plans all the logistics and does the driving. Are you catering to this increasingly large segment?

3. As technology improves, your customers are able to easily research and compare prices before making purchases. They are getting used to fast, affordable and convenient shopping.
Although folks are price-conscious and looking for bargains, those with disposable income will still pay more for the quality and convenience they require. So keep the needs and preferences of your clients uppermost in your mind.

4. Have you noticed that metropolitan cities are revitalizing their downtowns, making them a mix of commercial and residential property and more pedestrian-friendly? Along with this, transportation planners are upgrading and expanding above and below ground transportation and connecting them with popular entertainment and shopping areas. If you’re planning to locate or relocate your business, these new centers may be just the place.

5. Increased ethnic diversity is changing the product mix retailers offer. As you attend gift and food shows it’s imperative to order items that will create diverse offerings in your inventory.

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Complaints: Four Tips for Handling Them

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April 7, 2009–Issue 243

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 A customer calls to complain. It’s natural to want to brace yourself for defense. But if you follow these four tips, you can bring about a successful resolution:

1. Listen patiently until the complainer has finished. Put yourself in his place and empathize with his dilemma. Some people just want to be heard. This alone diffuses many tempers.

2. Don’t take it personally. Even if you’re called names your mama didn’t give you. The complainer is experiencing frustration and may be directing it toward you, but it’s because you are the most visible target.

3. Thank the client for sharing his thoughts with you and validate his/her feelings by repeating back the complaint. “I can hear that you’re very upset that your gift basket arrived late. That is a very disgusting experience to go through.”

4. Ask how you can make him/her happy. Replace the product, offer a refund, or carry out whatever gestures will satisfy your customers. Best of all, apologize for any inconvenience or misunderstanding.

I am not suggesting that you change your service or product to suit the whim of every customer. What I am suggesting is that you listen, acknowledge and use the complaint to improve your service, maintain your credibility and better serve your clients.

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Complaints Can Help Your Business

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March 31, 2009–Issue 242
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The last thing any businessperson wants to hear is a complaint. And yet a complaint could help your business improve.

First, thank the client for mustering up the courage to voice the dissatisfaction to you where there’s a chance of fixing the problem. He could have broadcast it to others. Second, look at how the complaint can help you.

1. It may point to a gap between what you promise and what you offer. A product that is enclosed in an attractive outer package that is four times larger than the actual contents, for example, may indeed disappoint the recipient. This is an opportunity to bring the promise and product in alignment. Scale down the packaging to more accurately reflect the size of the inner contents.

2. It can confirm that your marketing is on track. One of my relatives complained that my postcard mailers were directed at corporate clients, not the general consumer. That was exactly right. The corporate market was my target for those postcards.

3. A complaint may also indicate out-dated or ineffective merchandise. If your website shows photos of baskets full of products that are no longer available, it’s time for updates and revisions. A customer could well complain about a delivered design that bears no resemblance to the pictured design.

4. More than a few complaints about the same item or service indicates there is a definite problem, but it may not be yours. Decide if you want to fix the problem, or if you’d rather lose the clients that will be alienated by it. For example, if you get complaints that your baskets are too expensive, don’t start lowering your prices just yet.

Examine your pricing formula to decide if you think it’s fair. If you have enough clients who are satisfied with your prices and you have confidence in the quality of your product or service, then it doesn’t matter that some think you’re too high. The complaining ones are just not your target clients. I doubt that Lamborghini will lower their prices to suit my budget. I’m not their target client.

In our next issue, learn what to do when faced with a complaint.

 

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School Markets Pass the Test for Increased Profits

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March 24, 2009–Issue 241
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Even as bad economic news continues to swirl around us, the potential for increased profits exists in school markets, especially colleges. Parents who send their children away to college will keep in touch with them through gifts for special occasions. Likewise, college students always seem to find disposable cash for gift-giving occasions that are important to them.
 
I just received an email from Sarah Wick at the Harvard Lampoon and thought you would appreciate getting a heads-up on what this market offers.
 
The Harvard Lampoon is the nation’s oldest college humor magazine, where past writers include Conan O’Brien, John Updike, and writers for Saturday Night Live, The Simpsons, and The Office. The Lampoon is door-dropped five times a year to all 6,500 Harvard college students and mailed to 30,000 subscribers nationwide and reaches all Harvard students and many alums – particularly those working in entertainment in LA and New York. In addition, the magazine is sold in Barnes & Noble and Border’s bookstores in the Northeast, as well as over 500 college bookstores around the country.
 
Gift basket companies with good turnaround, a variety of selections and secure credit card systems would be a great fit for the Harvard Lampoon. The magazine has recently had a lot of success working with snack and gift basket companies, particularly in their graduation issues, which is read by parents, students and alums. 
 
Aside from being the most circulated magazine on campus, the Lampoon has always been considered a trendsetter magazine, not just at Harvard but beyond it as well. An ad in the Lampoon will connect Harvard students, grad students and alums and their tens of thousands of readers with disposable incomes looking for delicious treats with which to stock their dorms or children’s dorms with your gift basket business.

Good word of mouth from those who already know about your gift basket business compounded with an ad campaign with the Harvard Lampoon, could easily translate into lucrative sales from the Harvard demographic.

The magazine has two issues currently open: the graduation issue as well as their back to school issue. The graduation issue has two remaining pages of ad space, one full color page for $1350 and the inside back cover in color for $1750.  For the back to school issue, two traditional color pages remain as do a few black and white ($1000 for a full page, $600 for a half page). However, they do typically give a 15% discount to local first time advertisers.

Give Sarah Wick a call (310-503-9343) if you have any questions.  

I don’t typically recommend placing ads, but with this targeted and well-heeled market your advertising dollars will be well spent.
 
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Want Customers? Toot Your Own Horn

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March 17, 2009–Issue 240
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Have you ever planned a party, but didn’t invite anyone?
 
Sounds crazy, but that’s exactly what you’re doing in your business if you aren’t promoting your business in every way possible. Here are some ways to toot your horn so folks know what you offer and how to reach you.
 
The traditional ways still work:
 
1. Take your business cards with you everywhere you go. Last weekend I attended a family celebration and brunch. When I greeted family members I hadn’t seen for a while we wanted to exchange phone numbers. Some searched for a scrap of paper to write their numbers. I just pulled out my business card and added my personal phone number. This way I not only reestablish contact with them but remind them of my business
 
2. Join networking groups made up of other professionals who may be able to use your services or refer you to others. Business Networking International (BNI) is the world’s largest networking organization and has been offering members the opportunity to share and connect with other business people for over 24 years.
 
3. Send press releases to the media to announce newsworthy events your company is producing. Get free tips on creating and using press releases for publicity at Publicity Hound.
 
4. When you collect business cards at an event, be sure to follow up with these new contacts. Not sure how to write the introductory or other business letters, get Top Ten Letters kit with professionally written letters ready for your personalization. http://tinyurl.com/toptenletters
 
 
The new ways of connecting work too.
 
Many business people hesitated to join Web 2.0, social networking on the Internet, but it has become increasingly popular to connect with colleagues and customers as well as many other features.
 
Facebook and Twitter are the most popular places where savvy business people are gathering these days. Even if you’re not familiar with these platforms set up a free account. Then tour each of their sites to see what they have to offer.
 
Each has groups and events in many categories. You may set up a group or plan an event as well.
 
Facebook is a social networking website that was originally designed for college students, but is now open to anyone 13 years of age or older. Facebook users can create and customize their own profiles with photos, videos, and information about themselves. Friends can browse the profiles of other friends and write messages on their pages.
 
Once you set up your account you’ll be able to personalize it, add applications and invite “friends.” You will also be able to announce your Facebook link on your website, newsletter and blog, as well as link your Twitter account as well. 
 
Shirley George Frazier just set up a Facebook group, Gift Basket Business. Go over and join her group so you can get timely information and tips on the gift industry. Follow this link to
http://bit.ly/YGEj
 where you can join me and other gift basket retailers there.
 
Twitter is a social networking site, but also is a micro-blogging service that enables its users to send and read other users’ updates known as tweets. Tweets are text-based posts of up to 140 bytes in length, the same as text messages on your cell phones. Updates are displayed on the user’s profile page and delivered to other users who have signed up to receive them either on the computer or by cell phone. On Twitter, you “follow” and are being “followed.” Senders can restrict delivery to those in their circle of friends (delivery to everyone being the default.)
 
 
Want more customers? Get busy tooting your own horn.
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