February 26, 2010
Filed under: Business Advice — Alan @ 4:05 am
It seems that a lot of people, including those directly involved in the industry, don’t understand the nature of public relations, or PR as it is known. Ultimately, the goal of PR (as in this link and the logo to the left) is to get the attention of the public in a favourable light.
The same is true of advertising, but there are some crucial differences in the approach. For an SME (acronym for small and medium enterprises) the differences can make or break the company. The reason comes down to relative cost and return on investment.
While advertising and PR both fall into the ‘marketing’ category, the former is paid for by the agency that is trying to sell the product, while the latter involves getting free (and favourable) publicity for that product.
This applies to anything from politics to chewing gum. With advertising you can say just about anything you want to make your product sound attractive, or look attractive in the case of visuals. With PR, the idea is to get a neutral third party to endorse the product for you.
Even the most unsophisticated consumer knows that an ad is trying to sell something. The attraction may be low cost, convenience, durability, curlier hair, better petrol mileage, whatever it takes to convince the consumer that he or she needs that product.
Good PR, on the other hand, is the unbiased report on the product from a customer or from a known and trusted public figure or company. In essence, SMEs need specifically directed media coverage, and PR is generally the most effective means to this end.
February 25, 2010
Filed under: Business Advice — Alan @ 4:08 am
While the yearbook market in the U.S. declines, the trend in the U.K. is going the other way. AllYearbooks is the brainchild of Jake Gordon, a Bromley-born and raised entrepreneur who seems to have a handle on the yearbook situation.
Gordon has travelled extensively, has a sociology background from the University of Nottingham and he also has considerable experience in setting up websites. His interests, plus his dissatisfaction with the yearbook at Nottingham, gave him the impetus to start up his own small company, now three years old and thriving.
According to Jake, the large companies in the U.S. that have gone all-out with training classes and specialized staff are just not adapting to the changing market, with the result that their products are more limited in scope. They are also very expensive to produce, and simply not affordable for a large percentage of the potential consumers.
The idea, says Mr. Gordon, is that small companies like AllYearbooks are able to change right along with the changing times, in this case the advent of numerous social networks established on the Internet. Gordon’s company is designed so that everyone can easily get involved and contribute as an individual. The results have already proven that this sort of collaboration works remarkably well.
The conclusion would seem to be that the U.S. publishers are letting sites such as Facebook and MySpace undermine their customer base, while AllYearbooks and others like it are taking advantage of the ease and speed of communication that is available on the worldwide web.
February 21, 2010
Filed under: Employees, Recruitment — admin @ 2:13 pm
Recruitment experts, MaxAd, have launched a nationwide service saving employers up to 90% of their recruitment costs – and many hours of frustrating hassle.
Generally, companies seeking to fill a vacancy have until now faced an unenviable choice. They could pay a recruitment agency an eye-watering average fee of £6,000 or they could try posting an ad on some of the UK’s bewildering array of 500 different online job boards, only to be inundated with CVs, many unsuitable, to wade through.
According to a survey by the Chartered Institute of Personnel and Development, 86 per cent of British businesses report that it is hard to recruit the right people for the job, while also seeking to reduce recruitment costs,
That’s where MaxAd come in. Their pioneering approach combines the benefits of recruiting via the internet with specialist agency knowledge so employers get the right people at the right price.
“We’ve revolutionised recruitment by offering employers an easy, effective one-stop shop for just £795 plus VAT,” said MaxAd founder Matthew Fernandez, who has 12 years’ experience in the recruitment industry.
“We write their ad, tailored for content, candidate appeal and maximum internet impact, then we upload it to the right online job boards selected by our software analytics. When applications come in we sift them then send a short-list to the client, who handles interviews, and we offer extra help such as advice on negotiating salary. MaxAd is fit for purpose for today’s employers, saving them time, money and hassle. We’ve filled roles from product manager to sales execs, marketing managers to technical staff. We’ve even been asked to find a pest consultant for a UK company expanding into Germany.”
Website: www.MaxAd.co.uk
February 18, 2010
Filed under: Employees — Alan @ 3:41 am
A new research study completed by the FSB revealed that over 60% of businesses do not think there should be a default retirement age set by the Government.
Yet, the FSB is still encouraging lawmakers to include a provision in law that will help protect the interests of employers that are forced to retire staff because they suffer from health issues that affect their performance abilities.
The survey showed that 60% of respondents have staff that is over the age of fifty and about a quarter has staff that is aged 65 years or older. Additionally, 80% of the firms that responded to the survey stated that they do not require their staff to retire at a certain age.
With 76% that feel retirement should be a concern between an employer and employee. Another 66% stated that they do not believe it is the Government’s role to declare a default retirement age.
Chairman of the Wessex Region of the Federation of the Small Businesses, Ken Moon, stated that small businesses are aware of the skills and contribution that older workers bring to their businesses and owners are not interested in creating a policy that makes all members retire at a uniform age.
Moon continued to say that businesses should be protected to make their own decisions regarding employees who have poor health and should be protected from employees that threaten to sue for being let go.
February 12, 2010
Filed under: General — Alan @ 7:01 am
The Conservative Party outlined plans for a new fairer taxation system this week if they are the winner of the 2010 general election. In response, the Federation of Small Business (FSB) is asking all of the political parties that are main contenders to outline their plans for SMEs before the General Election occur.
The FSB will hold its annual conference in March of this year in Aberdeen with speakers lined up from all of the prime political parties. On the list to speak will be Leader of the Liberal Democrats and current Business Secretary Lord Mandelson, Tory Leader David Cameron, and Nick Clegg. Shortly after the event the General Election will take place which should make it intriguing to see what the party leaders have in mind to say.
National Chairman of the FSB, John Wright, stated that the annual conference is designed to give SMEs the information that they will need to make an educated decision when they head to the polls so that they make a choice that will help them survive the year.
Wright continued to state that the lifeblood of the economy is small businesses and the FSB is making a strong effort so that the country can continue to rebound after the recession.
February 10, 2010
Filed under: Business Finance — admin @ 2:57 pm
Individual Savings Account (ISAs) allows you to shelter your savings or investments from tax, and can take the form of either a Cash ISA or a Stocks and Shares ISA.
Unlike a Stocks and Shares ISA, the value of the capital within a Cash ISA is guaranteed not to fall. This is great for investors who don’t want to place their savings at risk of falling in value. However, over the long-term this type of low-risk, low-return investment needs to be secured at an interest rate which exceeds the rate of inflation for a return to be made; otherwise the saving is making a loss in real terms.
A Stocks and Shares ISA, on the other hand, gives investors the chance for higher potential returns, by allowing investment in different types of financial assets. This greater potential comes at a cost however, as the value of investments in a stocks and shares ISA can fall as well as rise and are not guaranteed.
What are the Main Types of Investment Asset for a Stocks and Shares ISA?
Each type of financial asset has different characteristics in terms of the risk and potential returns involved. Here is an overview of the main types of financial assets often available for investment within a Stocks and Shares ISA.
Gilts and corporate bonds are issued by the government or companies as a means of raising capital. They are fixed interest stocks, which are effectively loans you make in return for interest payments. Both the level of interest and the volatility of the bond price in the market depends on the creditworthiness of the issuer.
Gilts are issued by the British Government, and are lower risk than corporate bonds but they also pay a lower rate of interest to the investor. Corporate bonds, on the other hand, are issued by companies, and therefore have differing levels of risk and potential return depending on the company concerned. The higher quality corporate bonds are known as investment grade bonds, whilst the lesser quality bonds are known as sub investment grade or ‘high yield’ bonds. In both cases, returns in the main are created from interest payments, rather than capital growth.
Corporate bonds are generally perceived to be less volatile than shares. However, given the increase in risk high yield bonds present they often behave more like shares.
A share represents partial ownership in a company for the investor, and therefore the right to share in the profits of the company, often in the form of dividends. Shares, or equities, have the potential to increase significantly in value, however their volatility means this potential return is balanced by greater risk as the value of the share is not guaranteed and will fall in value as well as rise.
What are Funds?
Funds, such as unit trusts and OEICs, allow investors to entrust the choice of underlying investments to a professional fund manager. They pool your money with that of other investors, allowing investors to spread their investments – and their risk – across dozens of different shares, bonds, gilts, or property.
Filed under: IT — Alan @ 6:54 am
Hostilities between Virgin Media and BT are poised to continue to grow this year after Virgin Media announced yesterday that they will start to target SMEs that are BT’s customers. If the move succeeds, Virgin Media could boost their overall revenues by 66% over the coming five years.
The announcement marks the growing competition between the two mobile and broadband providers after just last month BT guaranteed consumers that it would undercut Virgin’s pricing on next generation broadband.
Virgin Media responded with its chief operating officer Andrew Barron promising SMEs that they would offer a ‘clear alternative to BT.’ There is a great amount of profit to be made as SMEs typically spend around £18m every year on their telecoms and IT.
Currently, Virgin Media has around 60,000 public sector and SME clients that produce around £600m of revenues for the company. Over the next five years industry analysts expect their revenues could increase up to £1bn. Among the key contracts that Virgin holds is with the Hampshire County Council, Terminal 5, and Arqiva the broadcasting infrastructure group.
Among the many attractions that Virgin has posted to attract consumers is a 50Mbps fibre broadband network.
Barron also said that the new Virgin Media announcement is a step forward for the broadband provider since they have been working the last 18 months on getting their fibre network ready to provide businesses with the right level that could help distinguish their offerings from other broadband companies.
February 5, 2010
Filed under: Small business — Alan @ 4:54 am
Suspending VAT increases and freezing NICS (National Insurance Contributors) may be the best way for the Government to help small firms advance out from under the recession according to the Federation of Small Business’ (FSB) 2010 Manifesto.
The launch of the Manifesto is set to correlate with the general election and includes many recommendations which the FSB believes will help small firms get better access to finance, set up new business, and create more jobs.
One of the vital proposals found within the Manifesto is a major overhaul of the current tax regime for payrolls that includes offering a tax rebate for firms that hire new staff members over the coming two years and a freeze on NICS.
A spokesperson for the FSB said that two areas that small firms need to concentrate on are access to finance and job creation opportunities. The spokesperson continued to say that small businesses hold the answer to ending the rising numbers of unemployment but NICS is a detriment that stops small firms from hiring more employers.
Additionally, the FSB also asked that finance be opened up to small firms from other atypical funding sources such as banks run by local councils. The need for such an institution is high according to the FSB since too many SMEs are still being refused proper funding and the banking sector needs more competition.
In response to the proposals, an official from the BIS (Department for Business, Innovation, and Skills) stated that the Government is aware of the importance of SMEs in economic recovery and that they will continue to support the small business sector.
February 4, 2010
Filed under: Business Tools, Business equipment, IT — admin @ 12:47 pm
The stage is set, you have that fateful interview with Van Morrison. You know fine well that he’s a grumpy and does not suffer fools gladly, if there is any issues he will probably hang up. So how do you make the call go as smooth as possible?
1. Remember the ‘holy couplet’ of conference calling. Dial the right number and be on time/early! Furthermore remember to familiarise yourself with the phone conferencing system you will be using beforehand.
2. Introduce yourself and encourage others to do the same. Participating in a meeting on the phone is a little un-natural to some people and a little introduction will help them get involved from that start.
3. Names are extremely important in a conference call. Learn everyone’s name beforehand and use them regularly. This will help to prevent callers answering the same question at the same time and talking over one another.
4. Use a quiet, undisturbed room with no background noise. A quiet room is exactly what it says. The only thing that should have the capacity to make unrestrained audible noise is you. In an ideal world your audience will find it amusing to hear you tussle with Fido screaming expletives at him. However in reality your audience would find it much more amusing to watch Hamsters surfing on You Tube but can’t because their boss said they have to talk to you.
5. If at all possible do not use mobile or cordless phones. Remember when the 3G network was being touted about with people proclaiming that everyone would have crystal clear connection wherever we were. It didn’t happen. If your goal is to trick your fellow callers into thinking you are Stephen Hawking in the midst of a sneezing fit go ahead, otherwise use a land-line.
6. Be cautious with the mute button. If you must use mute in order to make a private comment to the people in the room for your sake be careful. The reality is that a conference call, like everything else we encounter in our lives, follows sod’s law. You may be well versed when it comes to how to mute conference calls effectively and you may even have done it before. But you know as well as I do that when you use it in order to have a moan about one of your callers it won’t work. So, if you must use it be careful.
7. If you must nip out to relieve yourself during a conference call make sure that using your hold button does not commence your novelty on hold music. Everyone loves a novelty jingle but it may be distract Dave from accounts in his final year financial analysis. He doesn’t participate in much human interaction, so be nice and don’t ruin his time in the sun.
Take these tips on board and go forth and conquer phone conferencing in all its glory.
February 3, 2010
Filed under: Business Finance — Alan @ 5:29 am
New research shows that small companies are now using their own resources to fund their organizations since they no longer are able to secure decent credit from banking institutions.
In a survey completed by the Scotland Federation of Small Businesses over a fifth of bosses were forced to turn to their own savings to make it through 2009. Also shown in the survey was the fact that only a third of the SMEs actually used a bank overdraft in order to continue to finance their activities.
The FBS concluded from their study that Scottish firms needed better access to flexible and affordable bank credit.
Out of the 1,200 firms that were surveyed between the months of last September and October, about ten percent said they used personal credit, including credit cards, company credit, or a bank loan but over half of them did actually use these lines of credit during the month of October, which is when the base rate of the Bank of England fell to its lowest point ever.
About 33% reported that bank facilities had changed their interest rates with only about one out of six actually lowering their interest.
Out of the firms included in the FBS survey, only 30% saw an increase in their profits while 47% reported they saw their overall profits plummet.
In terms of expansion, 47% also reported that they planned to keep their business its current size until the recession passed with 32% stating that they planned on about a fifth of future expansion.
