Nearly every kind of software is now offered online as "Software as a Service", or SaaS. If you're thinking of creating a SaaS business model, you can look forward to recurring revenue and high profit margins... if it works. But the key to growing a great SaaS business is to sell a lot of customers while keeping the cost of sales in check.
A lot of entrepreneurs and VC use a “Magic Number”
Quick! Do you know the cost of sales at your company?
If you make sales by phone, maybe you think, "phone calls are free". Well, yes...and no.
Let's get specific. What's the per call cost of sales by phone? Would you believe that telesales cost most companies almost $24.00 per call? I'm not suggesting that every time you speak to someone it costs $24... Its much worse than that.
It's OK, at some point, every business owner feels it. It starts with a tightening of the chest. Then there's the ache in the pit of your stomach. And a fuzzy feeling in your head.
Why? It's almost payday and you're short on cash.
First, breathe. Stressing out won't put cash in the bank. Now, when you can see clearly, let's get started fixing the problem: Ask yourself this one
I recently discovered a number of businesses in the USA that are helping the Russian Mob rip people off. If you sell a product, your company could be one of them.
I'm not kidding.
HP and Office Max are on the list. So is PayPal. And hundreds of other companies that sell products online are also, unknowingly, helping criminals get rich.
Maybe you already know that someone stole my
I've been doing a lot of negotiating lately: Contracts, pricing, sales. And I've discovered a super-power that I did not know that I had... the power to say NO.
NO has saved me from making huge mistakes and has earned me countless thousands of dollars. When a prospect asked me to reduce my bid price by half, I said no. When another wanted twice the service for the same price, I said no.
This is not a finance topic, but it's the key to nearly everything else in your business.
You already know the "TED Talks", right? Well here's one that is both Inspiring and Useful. Posted above is a talk that Simon Sinek should have called "The WHY of Market Leaders".
Take his advice to heart, and it will change your business. It will change how you think about your business, and
The CEO of Gilt.com (an amazing luxury ecommerce company), Susan Lyne just revealed her vision of the future of "curated" commerce.
She describes why Gilt "curates" their site and shares 3 new rules for doing business online. That's great, but let's go further and just say it -- these 3 secrets apply to all businesses. Whether you sell online or otherwise, to attract and retain
Everybody loves to hate QuickBooks. Sure, it is the most complete small business accounting software, but sometimes that’s the problem. If you are simply looking to track hourly income and a few expenses, QuickBooks is too much of a good thing. (Read a great Quickbooks review here)
Why worry about double-entry accounting if what you really need is just to send and collect invoices? Now you
There are plenty of ideas about how to calculate the perfect price for your products or services, but none are very interesting or useful for your small business.
If you are looking for something to put you to sleep, reading about “price theory” is perfect. You could learn to set prices using games, options, alternatives, arbitrage, value, and even something called “Austrian pricing”
You know times are tough when you start spending your time on lawsuits to collect your invoices. Over the last two years, I’ve had to beg, borrow and yes, sue to collect money owed to me by foreign customers. It’s humiliating and a complete waste of time. But it’s also a fact of life: international accounts receivable demand a different collections strategy.