How a start-up small business went international, in less than a year

It's every entrepreneur's dream to grow their small business and gain an international base of customers as well as a prominent media profile, wouldn't you say? ....... But what about achieving that dream within your first year of starting-up? 

Well, here's the story of a woman who worked in the corporate arena for many years and found a way to successfully commercialise her passion through establishing a career counselling business, Career Oracle.

Based in Queensland, Australia , Kate Middleton (no, not Prince William's wife) is the founder of a business that helps people to identify their skills, interests and strengths - and then go on to locate and land the role that is in alignment with these.

Kate has achieved a remarkable rate of business growth in a short period of time and therefore I was confident would be able to share some useful tips with us .....

• Kate, what was the motivation behind starting your own business earlier this year?

For me, starting my own business was about following my heart and commercialising a passion project. By way of background, prior to launching Career Oracle, I enjoyed 12 years’ experience, mostly in senior management level Project, Quality, Change and Business Development roles. I loved it and I was good at it. However, drawing from my own personal experience, I identified that talent that can excel in one company may not thrive at all in a new environment.

I wanted to help people find happiness and engagement in a job that they love by creating a tool that helps them not only assess their own personal value proposition; but also assess the companies that they are applying for jobs with. I wanted to help people determine how likely they are to thrive in their new environment and make an informed decision.

On top of my assessment tool, I started helping friends, family and colleagues to identify their proven achievements and then write amazing resumes, cover letters and complete detailed interview coaching catered specifically for the jobs they were applying for. My friends and I ended up achieving an uncanny record of success using my various models, so I decided to launch the website and social media channels earlier this year (2014) as a side business.

 

Within 6 months I had achieved so much scale that I had to leave my corporate job and start building a team. I now have market reach all across Australia and have serviced clients in Dubai, India, Pakistan, Singapore, Japan and the US.

• How would you describe your experience during your first year of business – and how does it compare to what you’d anticipated when doing your business plan?

I am currently at the 8 month mark and there have been so many wonderful surprises. In terms of all of the traditional elements of my business plan related to launching my website and social media channels and building an audience, this has all gone to plan. My expansion strategy based on marketing, PR and building strategic partnerships have also thankfully been executed to plan.

The two biggest things I did not anticipate were firstly the rate of growth and having to employ a team so quickly. And secondly the emergence of new customer segments that I had not originally accounted for.

I now know that it is really important to set ambitious targets so that you continue to achieve momentum and push yourself. Don’t be afraid to think big! 

The other element is, if the market opens up new opportunities for you and customers from a new demographic present themselves – seriously consider adapting some of your model to cater for them. This is what I have done for my international clients and it is definitely paying dividends.

• In a relatively short period of time you’ve succeeded in gaining quite a profile in the media – what have you found to be some of the keys to doing PR effectively?

Thank you; it has been a really fun ride. As with most effective business relationships there needs to be an element of mutual benefit. This is the approach I have taken with PR. Instead of just focusing on the hard and direct business plug, I have also contributed articles to publications that are representative of some of my core customer segments. This has been done to position myself as a subject matter expert in my field and provide some free of charge, value added information to the people who might typically use my service.

It really pays to sit down and have a think about which online, print and radio publications best represent your target audience. From there, review the articles they publish to understand some of the angles they prefer. PR does not just need to be about a direct grab on your business.

You could contribute tips around your area of expertise, pen an inspirational story about your entrepreneurial journey or participate as a business in magazine offers and giveaways. Do remember to request a direct mention of your business name and provide a live link to your website for inclusion in any online articles. Another great approach is to subscribe to media “Call Out” sites such as Source bottle. This will alert you to opportunities to contribute to, or be featured in various media stories and articles related to your product or service.

•  What’s been your biggest challenge?

My biggest challenge has been replicating and scaling up a business model that was essentially built around my own core business acumen and personal insights into corporate Australia.

Even with the best systems, great templates, wonderful qualified staff and processes focused around service – there are some things that simply cannot be taught. That will continue to be my challenge and biggest opportunity to solve over the next year. I am now entering into a new phase where I will be pitching for fundingto create really innovative mechanisms and online tools that allow others to complete a client assessment as closely to what I would do as possible. This will also be crucial in achieving the international scale I am gunning for.

• So far, what have you found to be the most cost-effective marketing strategies for your consulting business?

I am a bit of a risk taker and am happy to go hard and invest hard to get the right outcome so am still assessing which mediums are most cost -effective. I have found the ROI on SEO quite good and that is definitely something I will continue to invest in as part of my expansion strategy.

The best, most cost-effective marketing strategies really will vary from business to business and across industries. I think the better question to ask yourself as an entrepreneur is; which marketing channels yield the highest conversion rate for me and what is the cost ratio of that converted lead?

For example, many business owners take a diversified approach and leverage social media and email marketing systems to send out offers and build brand awareness, however converting a Facebook, Twitter or email marketing lead into a paying customer is typically very low (1-2% uptake). For that reason, I would recommend thinking about who your customers are, what mediums they are most likely to be engaged with (online, email, print, radio, television) and then build your strategy and budget around that.

• What advice would you offer to budding entrepreneurs, the ones who are still undecided about whether the potential rewards are worth the risks of starting their own business?

What does your life look like in 10 years’ time? Do you dream of working for yourself or someone else? Do you picture having a family and therefore would you like more flexibility? Are you comfortable with a certain level of risk?

Be clear on what your life feels like and then you will have your answer.

Finally, it is a bit cliché, but you will never look back on your life and regret the things you did do, it will be the opportunities that you missed out on that will weigh on your mind. You only get one shot at life, if you believe in your idea, there is a market for it and it sets a fire in your belly, just go for it!

• Any final tips for our readers?

Be nimble, test new approaches, learn quickly, fail fast then try again. No one is going to get their business model perfect on day 1, but as long as you apply a continuous improvement mindset and always focus on great customer outcomes, you really can’t go wrong.

To that end, it also really pays to take a day out every few months to focus on strategy. Get away from working in your business and devote time to work ON your business. Look at your company / service through a critical lens. If you were an external business consultant looking into you and your team what would you change, optimise, systemise, get rid of or improve upon?

Many thanks to you Kate, for sharing with us your thoughts and experience on growing a small business. Although based here in Australia, your success in achieving an international profile and gaining clients across the Middle-East , Asia and the U.S within the first year of starting your consulting business, can be an inspiration to other entrepreneurs.

 

About the interviewer
Brian Carroll is the founder of Performance Development, a training business in Melbourne, Australia.  He is an experienced management coach with a passion for helping people achieve their goals in life and business. You can find out more about Brian at his Google + profile

Small Business Ideas - for the aspiring entrepreneur

The search for a business idea

Looking for inspiration to find the right business?

So maybe you're sick of working the traditional nine-to-five, or sick of working for somebody else, or perhaps you're tired of spending so much of your time commuting to and from work - and you're thinking about starting your own business? Maybe even a home-based business? ...... But the big question you might be struggling with is this one - what sort of business should you start?

Tens of thousands of aspiring entrepreneurs around the world right now are thinking the same thing - not just here in Australia, but also in India, the U.K, Europe and the U.S  ...... Although less than half will end up actually doing something about it.  But time invested in thinking and careful planning should always come before doing anyhow ..... So exploring different ideas for your potential business can be an important early step in the process. As long as you also recognise when the time for bold action has arrived.

Let's just take a few moments and think about where different small business owners have commenced their journey from - and see if that might provide you with any potential inspiration or insight.

"... the nature of business is to solve a problem and somehow make life easier for a consumer"

There are some entrepreneurs who already have a clear vision for the service or product they intend to bring to market - they have recognised that a gap exists in the market-place and that there is a problem waiting to be solved. These entrepreneurs simply have to plan how best to commercialise their "solution" and launch as a business. 

".... from employee to becoming your own boss"

There are other entrepreneurs whose background is such that they have possessed specialist or technical skills - as an accountant, hairdresser, carpenter, plumber or mechanic - but have been working as an employee for someone else. Then one day they found themselves awakening to the idea that maybe they could be their own boss and offer their expertise direct to consumers. 

Mind you, there are still a lot of business skills which have to be acquired. Just because you're a great plumber, doesn't mean you will be successful in running your own plumbing business. There's a lot to learn about marketing, book-keeping and finances for example.

But what if you're a plumber who's sick and tired of  that line of work - and maybe wanting to start up a business in a completely new space. Then you will be searching for a business idea. 

"Sometimes it's wiser to test the idea as a "side-line" before quitting your day job"

Before we look at business ideas - two quick tips. Firstly, before going down the path of going full-time with your business idea, see if you can do it part-time "on the side". In other words, you will keep your "day-job" and experiment with the idea to help evaluate whether there is sufficient demand for the product or service. 

"Testing the water" before jumping in can be a wise risk management strategy. This is something that I certainly did many years ago, before establishing my own management training business, Performance Development. 

A second quick tip is to consider what you are naturally interested in and passionate about. Maybe you love playing golf - AND you're also good at it. You've played it for 20 years. Maybe you think about promoting private golfing lessons at a small club that doesn't have their own "pro". Or maybe you promote a service of being a paid golfing partner, who also provides some in-game coaching as you go around with your partner on the greens. Just imagine if you could find a way to turn your hobby into a small stream of income!

40 business ideas that require minimal start-up capital

A home based business has less running costs 

Here's a range of different ideas for a possible business. Various categories and industries are represented - for example products or services relating to Health and wellness, Food and snacks, various Home and garden services. 

However, do keep in mind whether the idea is viable depends upon your ability to differentiate yourself from existing competition in that market .... Some ideas might require additional training or have certification requirements. However they all are relatively easy in terms of having the benefit of requiring minimal up-front start-up capital. And many of them can be home-based business ideas - avoiding the cost of leasing a premise. 

But at this point, the key is to open up your thinking to consider new possibilities ... 

1. Website development or graphic design
2. Car detailing
3. House cleaning
4. Garden maintenance or landscaping
5. Home maintenance, handyman or house repairs
6. Window cleaning
7. Cafe, restaurant, coffee shop or catering business
8. Teaching or tutoring in a field of your expertise (eg. music, language ....)
9. House sitting
10. Pet minding
11. Dog walking or dog training
12. Pet grooming
13. Interior design / decorating or painting
14. Special event planning (weddings, anniversaries, holidays ...)
15. Life coaching
16. Personal fitness training
17. Photographer
18. Gift basket service
19. On-line art & craft supplies
20. Furniture removal or small transport service
21. Air-bnb host - or bed-and-breakfast
22. Travel guide
23. Freelance copywriter or editor
24. Dress maker or clothing alterations
25. Florist
26. Gutter cleaning
27. Rubbish removal
28. Home stager
29. Massage therapist
30. Resume writer
31. Soap or candle making
32. Baking 
33. Cake decorating
34. Translation service provider
35. Video producer
36. Virtual assistant
37. Social media consultancy
38. Technology services such as app development 
39. Writing e-books
40. Online retail or eBay store - selling anything from hand-made birthday cards, niche cosmetics, skin care or hair care products, smart-phone accessories. This easily lends itself to starting up initially as a home based business, simply requiring a room set aside for storage of products and packaging.

In closing, once you find an idea that has appeal for you - then the real work begins. Undertaking a more detailed stage of market-research that involves assessing consumer demand,  identifying existing competition and whether you would be able to differentiate yourself in terms of price, service or ease of accessibility (eg. maybe promoting yourself as the "local" supplier").  

If this research suggests the idea seems feasible, then the next step is preparing a business plan. It's all an exciting journey - and I wish you well.

P.S  Could buying a franchise be another option for you?
Another option you might consider is whether a franchise opportunity could be right for you. Training, systems, marketing, business support and association with a known brand can be some of the advantages. Although care should always be taken with this, because of the limitations and obligations that some franchise contracts can place upon a franchisee - an article that could be of interest to you is in Kochie's Business Builders blog - Top Ten Australian Franchises . 

Relevant articles

- Five quick tips if you're thinking of starting your own business

- Starting a business - a guide to costs

- Starting and managing your own small business

The small business landscape in Australia - 2015

In a report prepared this year, 2015, for the Reserve Bank of Australia, researchers looked at some of the major challenges faced by small business. The report presented a nice snapshot of the small business landscape as it appears at present in Australia.

The report not surprisingly found that the failure rate of small businesses is significantly higher than that of large business ("large" being defined as those businesses having greater than 200 staff)

A definition of "small business"

The report used one of the most common definitions of "small business" here in Australia as ".... an entity which is independent and privately owned and which employs less than 20 staff". If they are actively trading, then these entities will require an ABN - which in turn enables the ABS (Australian Bureau of Statistics) to gather and collate data to gain a demographic profile of small business. In practice, most small business owners "manage" their business and closely control it's operations.

The wide range of small businesses in Australia

The small business sector in Australia comprises three broad parts. One part provides a range of professional services to other businesses and households such as tradespeople (electricians, plumbers, roofers, landscapers, painters), mechanics and auto sales dealers, skilled professionals (lawyers, accountants, financial planners, consultants), doctors and dentists, other health and exercise practitioners, real estate and insurance agents, information technology providers and tourism-related businesses (bed and breakfast facilities, tour operators).

Another part represents various types of retail outlets, including small shopkeepers (grocers, petrol stations, hardware, hairdressers, beauticians, newsagents, jewellers, dry cleaners, small clothing, home and hardware stores) and processed food and drink providers (liquor stores, bars, take outs, restaurants).

Finally, there are a number of companies that produce a range of niche and other goods in the manufacturing, construction and agricultural sectors

Most owners of small businesses are "self-employed"

The Reserve Bank of Australia report identified that there were over 2 million small businesses that were actively trading in Australia. This figure represents over 95% of firms trading in the Australian economy - of which more than two-thirds do not employ staff (ie. the owners are "self-employed"). And one quarter employ 1- 4 staff, and are defined as micro-businesses.

Furthermore, the report identified that over one-third of small businesses are trading within the "business services" industry.

Small business contribution to the economy

In terms of employment, the small business sector is a substantial employer - in many industries small business represents the biggest employer.

In regional and rural areas around the country (outside of the mining industry), economies of scale are reduced and do not offer large business the same advantages as what they do in metropolitan areas - so it tends to be small business that is delivering services and goods.

One of the most interesting points the research found was that although the actual amount of R& D expenditure of small business was understandably less than large business, the actual number of firms engaged in "innovative activity" was greater in small business. Over 85% of small business firms reported that they were engaged in some type of innovative activity. This represents a large number of entrepreneurial innovation activities and as such the small business sector can be an important source of bringing new products to market.

The motivation of the small business owner

The report ( The Economic Trends, Challenges and Behaviour of Small Businesses in Australia  )referred to recent research in the United States which identified three of the most common  motivators for those entering small business .....  Typically it was a life-style choice, where the establishment of the firm is driven by either one or a combination of the following -

1. A desire to be one’s own boss,
2. To have more control over the hours of work,
3. To engage in a passion and hobby, that also produces income

A low survival rate for small business

Many of us have heard that there is a disturbing high incidence of "failure" in the small business sector. Anyone running a small business, particularly those in the retail sector, will tell you that it's tough and that selling prices have come under intense pressure. Hence the number of "sales" and "huge discounts" regularly advertised now-days - great for consumers, challenging for business owners. Small business have scaled back both their hiring and their capital spending - playing it cautious.

The Reserve Bank report identified that  "..... less than half of the firms that were established in 2009/10 are still operating" Although some of these figures would likely represent owners who had decided to retire, and some businesses that may have merged - the report concluded that the vast majority of these businesses that are no longer operating were the "consequence of business failure". It is debatable however, whether this is indeed a valid conclusion. Mind you, in the same way, it could be said that just because a small business continues to operate and trade, it does not mean that it is doing so successfully.
 
Challenges faced by small business

The report confirmed some of the major challenges faced by small business owners and which were contributing to the high exit rate ....

1. Unpredictable fluctuations in demand, typically associated with fluctuations in economic conditions and consumer confidence 
2. Cash flow strains - with customers delaying or defaulting in payment
3. Difficulty to compete on prices against larger businesses who are able to take advantage of economies of scale. This advantage id not limited to production and procurement costs, but extends to costs associated with compliance
4. Access to and availability of capital which can limit, or at least delay investment and expansion plans
5. Management deficiencies - with technical experts taking on responsibility for things like staff recruitment and staff management, financial management and marketing - areas in which they lack capability and have received inadequate training
6. Succession planning

More small business statistics

An  additional report that was prepared for the Australian Government Department of Trade (Dec 2012) provided some further statistics on the entry and exit rates for small business. At the time that report was written, it was interesting to note that the highest number of small business entrants were located in New South Wales, followed by Queensland ahead of Victoria.

Conclusion

So what can you take away from this report - particularly if you are a small business owner?

Well, you probably don't need a government funded report to tell you that running a small business isn't all a bed of roses. It confirms though, that there is no room for complacency as a small business owner - one of the keys is to keep on learning and improving. This allows you to adapt to changes in the marketplace. And the report is a reminder of the need for resilience and mental toughness 

But if you are new to small business, let me say this. If you find there comes a time in the future when you do need to exit the business - do NOT regard this as a failure. The failure would have been to never have attempted it. And you will have learned from the experience - so that next time, you will be wiser and better prepared should you decide to commence another business. It is a fear of failure that prevents may people from trying new things - so regardless of whether you achieved the business goals you set for yourself, never-the-less congratulate yourself for having the courage to invest in yourself.

It may well be that one of the lessons you take away from an unsuccessful outcome is the need to gain more mentoring and guidance from experienced business people to help you launch your new business next time.

Business incubators have become an increasingly utilised resource that provide both physical locations for start-ups, as well as networking opportunities with other entrepreneurs. Small business accelerator programs are also offered throughout Australia that support entrepreneurs take their ideas and commercialise them to the next level.

In closing, let me say that a smart business person knows when to walk away from an unprofitable venture. And as Richard Branson says "Business opportunities are like a bus - if you miss one, don't worry because another one eventually will come along"


About the author
Brian Carroll is the founder of Performance Development, a training business in Melbourne, Australia.  He is an experienced management coach with a passion for helping people achieve their goals in life and business. You can find out more about Brian at his Google + profile

Small Business - Everything you wanted to know (well, at least some of it)

Here's some of the questions people often ask about small business ....
.

1. Is small business for me?

Depends. You need to have passion for what you're going to be doing - this makes some of the long hours easier to bear. The first couple of years can be quite a rocky road. Something like half of new small businesses don't get past this period. You need stamina.

It's not enough to have a great idea. You've got to do your market research ..... What's the existing competition like? What would be your point of difference - can you do things cheaper, better or faster in some way, compared to the competition?

And, you've got to have the right mix of skills. As Michael Gerber says in his classic book, The E-Myth, there's no point going into business on the basis of just having strong technical skills (for example, you're a highly capable mechanic, or plumber, or gardener). You've got to be able to sell and market your services or product. And you've got to be able to plan and organise efficient completion of the work. Plus you've got to be able to control your expenses and manage a budget. Needless-to-say, being self-motivated is essential.

2. What are some of the mistakes new small business owners make?

A common one is neglecting to have adequate cash reserves in place. In many small businesses, cash flow can be somewhat erratic. It can take quite a while to learn the cycles of your business, so that you can anticipate the ebb and flow of your revenue. If you're not making sales, then you need to draw upon your cash reserves to meet your running costs (power bills, rental, equipment and possibly labour wages).

Another common mistake is not clearly defining your target market - and then not listening to your market. In other words, too many people have gone into business thinking they've got a great product or service, but not seeking feedback from people they are targeting as customers. What ultimately determines whether your business generates sales has less to do with what you think about your product and more about what your potential customers think. Too many entrepreneurs fail to seek proper market feedback to guide them in the design and development of their product or service.

A mistake made by many small business owners when they are in the growth phase of their business  occurs when they start to hire staff for the first time. Too often not enough probing is done during the interview - and the inexperienced business owner can be "seduced" by the applicant who is simply a good talker, but not necessarily possessing the required capabilities to do the job. Enormous damage can be done to the brand of your business when you recruit the wrong person. Get some expert advice before you start hiring staff - there's a nice concise article you might find useful Hiring Tips for Small Business But even if you happen to recruit the right staff member, then you've also got to know how to train, manage and motivate staff

3. But what if I fail and it all goes pear-shaped?

Yes, there is a risk that the business may not work.  But there are strategies you can adopt to help manage the risk.......
i) Get advice from experienced business people before you make any significant financial investment
ii) Trial the business on a part-time basis before you quit your job
iii) Regularly put aside some of the profit, instead of pouring it all back into the business. Use some of your profit to build up your reserves

And when you are considering the risk, remember to also think about what you stand to gain if you can find a way to make it all work. By all means take care, do your research and do not be reckless. But try not to let a fear of failure cause you to just stand still and never move forward. As Thomas Edison wisely said "The person who never failed, never learned anything". For more excellent tips on dealing with this, have a look at Overcoming a Fear of Failure

There will inevitably be many times when you are running a business that you recognise you've made a mistake - perhaps for example an error of judgement when you have responded too slowly to changing market trends. Or maybe you realise you recruited the wrong person. Or you paid too much for some plant or equipment. Hopefully, you don't make the same mistake twice. It is a measure of your mental toughness that you bounce back, seeking firstly to fix the mistake and repair any damage. Then secondly, it's about putting in place whatever is necessary to prevent recurrence - sometimes this may mean correcting procedures or processes in the business.

4. What should I name my business?

Some small business owners elect to combine their family name with the nature of the business, such as Taylor's Gardening Service, or Murray's Garage, or Mitchell's Plumbing Solutions. Other owners elect to go for something that is a bit quirky, such as Google or Twitter ..... believing it will be more memorable.

Whatever you choose, you can register it online with the Australian Securities & Investment Commission (ASIC) - just check with their data base that the name you desire has not already been registered.

 5. What's the best way to promote my small business?

For a start, get the basics right ...... deliver a great product or service, at a good price, consistently. If you can do this, then your satisfied customers themselves will naturally work on your behalf to promote your business

Then, think about digital marketing. Make sure you have a compelling website - and that does not need to be an expensive one. Learn about how to get found by Google. And support your website with some social media - try to develop a blog and a Facebook page that allows you to engage with potential customers.

Think about sponsorship of some of your local sporting clubs or school events, if you need to raise a local profile. For some further ideas on growing your business, look at Marketing for Small Business

6. How do I value my small business if I want to sell it?

There are many different methods and formulas that can be used. Obviously an accountant can give you a more detailed answer, however as a simple guide to get you started, you might consider the following components in calculating the value of your small business

Firstly, consider the nett asset value. This is determined by adding up your total assets (cash, stock, plant and equipment) and subtracting your liabilities (bank debts and outstanding payments you owe). This would be the money you walk away with if your business closed today.

However, this figure alone does not take into account the ability of a business to generate future profit. This is where the concept of adding the value of goodwill comes into the equation. The value of the brand and reputation of the business, plus the value of the location of the business. Location can be in terms of either the physical store or the digital location - and the online authority of the business to generate traffic and therefore sales.

Different accountants can attempt to use different methods for different industries to estimate the value of goodwill ..... sometimes a multiple, say 3 or 4, times annual profit has been used for example. But ultimately, the goodwill value of your business will be determined by the marketplace.

7. Should I sell my small business?

If you're contemplating selling your business, step back and ask yourself why. Selling the business will mean a major change in your lifestyle and is as big a decision as when you first decided to start the business.

Is it maybe that you simply need a break, perhaps some of the stress and frustration has been getting you down and some time-off will help you rejuvenate?

Or maybe there are specific parts of running your business that are getting to you - and perhaps you could consider outsourcing these eleemnts? ..... But at the end of the day, if you feel that you've lost your passion for the business and you no longer experience the drive and enthusiasm that you used to possess, then it's likely time to sit down and discuss preparing for an exit with a trusted financial advisor.

Carefully consider the timing of any sales decision. When your industry is peaking and your own business is generating healthy sales, then there will likely be greater interest from prospective buyers. Maybe even some of your competitors might be interested in the business.  The WA Small Business Development Corporation offer some good advice on when and whether to sell a business.

For more small business tips on running and growing your business, have a look at some of the articles in the Sydney Morning Herald's My Small Business

Copyright 2013. Brian Carroll is the founder of Performance Development - a corporate training and coaching company based in Melbourne, Australia that delivers management training and leadership development services.

Small Business Success Stories

So what are the ingredients for success when you’re running a small business in Australia?

Recently, I met with two small business owners who have achieved success and share their story with us – but from very different perspectives. In different ways, their experience offers guidance and inspiration to budding entrepreneurs.    

One has just celebrated her first year of being in business. Within a relatively short period of time, she has already carved out a remarkable slice of the market within the HR and recruitment industry and succeeded in establishing  a strong online presence for her business. Whilst the other has been running his consultancy business for more than 30 years and is widely respected as a leader within the public speaking coaching industry.

   

Surviving and succeeding the “Start-Up” phase

   

Let’s hear firstly from Natasha Hawker, who founded  Employee Matters, an HR Consultancy company based in Sydney, Australia that assists small to medium businesses with their HR functions to make them more efficient and profitable. In her own words, Natasha shares some of the lessons she has learned about setting up a small business and coping with those early challenges …..

“Fasten your seat-belts - you are in for a rocky ride-

 My reason for starting a business really came about due to necessity. I had just finished a role doing something similar and I could see there was a market; my confidence levels were high and if I went back to my corporate life, I would have missed the boat! But on the flip-side I was 42, married with three young children (6, 5 &4), held a mortgage and guess what? I was the breadwinner as my husband was studying full time and looking after the house and kids - hmm, am I mad? Perhaps - but I think maybe you need to be to take that leap into owning your own business and all the uncertainty that goes with it.

So what are some of the lessons learned?

1. Work your butt off! You will work harder than you ever have - I worked for many years at Accenture and I thought I worked hard then, but it pales in comparison to the hours spent, even just thinking about the business. (Not helped by your husband being your business partner and always wanting to discuss one more thing before bed!)

2. Keep fit - I play squash at 6am four mornings a week and this keeps me sane. Plus it is amazing the stress that can be worked off belting a little ball against a hard wall!

3. Do it gradually - we had no choice as we needed to keep food on the table and the mortgage paid. I was fortunate enough to have had a client for whom I have worked anywhere from 2 - 4 days per week throughout. This served to ease some of our financial pressure

4. Plan - we spent hours up front developing our business plan, strategy and marketing strategy. We reviewed it recently and learnt some great lessons and have developed a revised plan for this year

5. Emotional resilience - a friend once told me owning your own business is a roller coaster ride and never a truer word was spoken! There is a lot of initial uncertainty and then you need to be able to bounce back quickly and pragmatically after you encounter a disappointment. 

6. Cash-flow - you hear it all the time!..... Companies typically suffer cash-flow problems at 9 months and, sure enough, at that point we had just experienced our biggest month and yet could barely afford to pay our team on time or ourselves at all. Luckily our bank came to the rescue with an overdraft

7. Surround yourself with great people - we have hired experts who are brilliant at what they do. They give our clients confidence when working through challenging issues. They take away our clients' problems, allowing them to focus on their business

8. Systemise - what I mean by this is having policies and procedures in place. Try and map as many processes as you can - start early because if you need to scale quickly, this can rapidly undo your business and destroy your ability to function

9. Vision, Mission and Values - are critical; these form the 'structure' of the business and a foundation that supports your team and gives them direction. My team are remote - they work from either their home or the client site. We only see each other once a quarter, so I need them to be very clear about what the business, their colleagues and our clients expect of them

10. Good Service - it is not an old fashioned idea! Our vision is to 'exceed, excite, excel' and I see this as critical to our success to date. Over-service your clients and they will become advocates for you and your business ….. But don't be afraid to fire a client where there is a mismatch of values, slow payment or 'high maintenance' issues"

Natasha goes on to say that despite the times of stress and uncertainty that typically accompany establishing a small business, that never-the-less she is having a blast … “I love what I am doing, I love growing a business, I love growing a team and I can't wait to see where it goes but wow, getting there is awesome!”

Thanks Natasha, I'm reminded of what Steve Jobs said .... "When you love what you're doing, it ain't work".

Preparing for the long haul.

Natasha has succeeded in guiding her business through the start-up stage - but what does it take to sustain that success over a long period of time?

Paddy Spruce is the founder and Director of Integrity Learning, a corporate training company that specialises in public speaking skills training and executive coaching, and is based in Melbourne, Australia. He shares his thoughts from over 30 years of experience about what it takes to start a business - and then stay in there for the long haul.

“Imagine you are a truck driver and getting ready for a very long journey, say 3000km. You would need to do some planning. Know where you’re     going. Have enough fuel for the first leg. Check the weather. Fasten your load. Get the truck serviced. Tell people when you will be back.

Not unlike starting a business. In Gerber's classic book "E Myth", he mentions three legs to the stool of success in small business. E the entrepreneur. The one with the imitative and drive who decides to start a business. T the technical knowledge. Your expertise. M the manager, the accountant, the cash flow advisor, the one who plans for the long haul. Often this stool topples because the M leg is missing or seriously weak.

I started my business in 1982. I am a speaker, training consultant and speaking coach. I am a founding member of the National Speakers Association in Victoria and work overseas and in all Australian States.

If you are intending to be in business for the long haul (and why wouldn't you?), I have some suggestions that have helped me to run my small business enjoyably and successfully for over thirty years.

1. Decide to be in business for a long time. Don't dip your toe in to test the temperature. Commit. Tell yourself that this is what I am going to do for the long haul. Treat this as seriously as a marriage or more seriously than a marriage.

2. Do an audit on yourself. The entrepreneur will be excited or panic stricken. Both of these will pass. Make sure the technician has knowledge about good and services that the market needs. Put your ego aside. The going will be tough. Does the Manager know enough to make the business survive and then thrive. If not, does the Manager know where to get this information.

3. Become a realistic optimistic. Be optimistic in the long term. "I can do this and will do whatever it takes". Be realistic in the short term. When things become difficult, focus on what needs to be done NOW. Operate in the present and decide on action to go beyond the immediate hurdle. Tell yourself "This will pass". Don't let you mind wander into the future. Make sure what you are doing is productive and stay focused.

4. Get yourself in shape. Consider these points in your self-audit ……

- Peace of mind (are you free from fear or almost )

- Health and energy (do you have good health, eat well, exercise, relax daily, sleep well ),

- Strong relationships (a life partner, business colleagues who will assist you, friends you can call upon)

- Worthy goals and values ( Written goals  and values that are meaningful to you and benefit people besides you ),
- In control of your destiny ( control what you can and accept that luck exists - it does seem to favour the people who turn up and work hard )

5. Become a student of business. Discover what you need to know for the long haul and learn it anyway you can. Ask for help. Offer something in return.

6. Control your ego. Practise humility. Admit your ignorance. Be curious always. Tell the truth. Be honest with yourself and others. Make this your foundation. No one is successful without the help of others. Admit this at the start.

7. Form a mastermind group. Start or join a group of like-minded people. Look for same values but different expertise and experience. Discipline yourself to meet regularly. Give help before expecting to receive help.

8. Set goals for yourself and the business. Modest to start.

9. Clarify your purpose. Why are you starting this business? Be very clear or don't start. It may never be clearer than at the start.

10. Understand the risk before taking it. Many small businesses fail. Some do extraordinarily well. The successful ones manage the risk. They know what to do if something goes wrong. They are determined to survive and thrive. They are in for the long haul. It's not pessimistic to ask the question ' What if this doesn't work?' It's fundamental risk management. If you can't manage the risk, don't take it.

The most important suggestion I can make is to study Mindfulness. If you don't know what it is, find out. If you know what it is, use it more. If you are an expert, help others. It's about doing what you do as well as you can.

This is the secret to creating a successful small business. Know what you want to create, get help, find out what you need to know and don't know, examine your motives, decide on what's important and do everything you do as well as you can. That way, eventually you will gain  a reputation for excellence ......... Good luck with your long haul”

Paddy says that starting his own business more than 30 tears ago was the second smartest decision he ever made. "But the smartest one was marrying my wife, Hilary"

In closing

Let me thank Natasha and Paddy for sharing some of their experience with us .... Whether you are a budding entrepreneur looking for inspiration, or a seasoned small business owner seeking some extra self-motivation, I hope their story has given you some food for thought, that might help you persevere with your own small business success journey

Just before I sign off, you might also be interested to have a look at some more stories of  small businesses success. And their owners have based their business model on giving back to the community and sharing some of the rewards of their success.

Copyright 2013. Brian Carroll is the founder of Performance Development - a corporate training company based in Melbourne that delivers management training and leadership development services.