Five businesses and community groups pitched ideas at the first “Food for Thought” event put on by Main Street Enid, Oklahoma. Photo by Becky McCray.

Have you heard of “soup” events?

People pay a small amount, say $5, to attend a local pitch event. Local groups pitch their ideas, everyone votes, and the winner gets the money.

The real winner is the community, of course. It boosts activity, gets people talking to each other, builds momentum and rewards people who are doing great things locally.

The first one I heard of was the Detroit Soup project. I got to attend one when Main Street Enid, Oklahoma, kicked off their series called Food for Thought. Wheeling, West Virginia, calls theirs Show of Hands.

How Wheeling’s Show of Hands Works

Alex Weld and Jake Dougherty from Wheeling Heritage shared more about it at the Main Street Now conference in 2019. Materials from their presentation are currently available through the Main Street Now 2019 app, but I expect they are likely to disappear over time.

Wheeling holds events quarterly. The organizers said they wanted to disprove the common belief that “nothing is happening here.”

Action inspires action, they said. Public action inspires even more action and illustrates change.

Lots of people are invited to come together, pay a small amount at the door and enjoy a bowl of soup from communal soup pots. Local groups share their ideas for a project or business, and everyone gets a vote. Winning pitches earn the money raised, and everyone has a great time.

There’s a lot of talking and networking as people see friends and acquaintances they may not see everyday.

Each event also features an update from a past winner, building momentum.

Getting started

They started small and kept expenses low. They borrowed an event venue and brought potluck soup.

Initially, they worried that ticket sales might not add up to very much award money, so they looked for a sponsor. They found a local business to donate $1,000 seed money for the first winner. Then they put money raised through ticket sales on top of that. The sponsor committed to seed four events that way, a full year. Now that they’ve been going for awhile, even more businesses participate by sponsoring. Now most winners receive around $5,000 total.

They limited the number of pitches to four. That kept the event from being too long and kept it easier to decide who to vote for.

Finding applicants to pitch

To make sure they had four presenters their first time, they personally talked with people to encourage them to participate and pitch. They picked exciting projects, ones they knew would draw people to the event. Over that first year, most of the ideas came from nonprofits. Now more presenters are from small businesses wanting to start or expand.

You can’t put the application up and sit back and wait, they said. You have to groom solid applicants.

What holds people back?

They found that many small business people said they had a worthy idea, but just weren’t ready to pitch. That got the organizers thinking about the barriers holding small businesses back from growing, so they ran their own survey.

What they learned was that there were all kinds of knowledge gaps, different things people struggled with in their businesses. As a result, they began doing more small business training events in town, building a network of potential participants.

Do your own Soup event

As you’re thinking about putting your own spin on this event, think about non-monetary prizes. Jeremy Zeller with Oklahoma Main Street suggested pop-up space for example. What else could you offer winners?

Consider how many “winners” you want, and whether winner take all is the right split. Maybe you can make sure each idea walks out with some funding. Maybe awards can be in proportion to the votes received.

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The Celebrity CEO by Ramon Ray

Summary: Community building in a way small town entrepreneurs can identify with. Good section on tools, and lots of timeless techniques. 

The title sounds a bit grandiose to small town ears, but the way Ramon Ray talks about building community will sound very familiar.

• You are the face of your business.
• You’re part of a small community.
• Serve people like they matter to your whole network. 

Of course, the section on online marketing tools will age as tools change, but half the book is spent setting out the timeless approach. Whether you’re serving a local market or getting beyond geographic limits, take your small-town sensibility with you. 

Good stuff for rural entrepreneurs.

Find out more and buy it from The Celebrity CEO page.

Disclosure: Ramon Ray is my friend and sent me a copy of this book. I like the book, so I’m sharing it. Other friends have sent me books that I did not review because I didn’t find them useful enough to share.

Ramon Ray and Becky McCray pause for a selfie at SMTulsa 2016.

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What’s the right way to get a microbrewery going? Start small.

Guest Post by Deb Brown

When I visited Decatur County, Iowa, several people said that wanted a brewery. They talked about the big barriers in their way: finding the right building, the right funding, the right people. The big idea seems really hard this way. Why not start smaller? Start by using the Idea Friendly Method: Gather Your Crowd, Build Connections, Take Small Steps.

Here are some of the questions I suggested they ask themselves and each other to help them start small.

Gather Your Crowd

• Who in the county already makes home brew?
• Who wants to talk about finding a place for adults to hang out?
• Who is interested in finding a way to bring a new business to town?

Invite them to come together, over a beer, and talk about the big idea of having a microbrewery. Talk to each other, think about all the ideas.

Build Connections

• Who knows who that already started a brewery? Go visit them. Find out what they had to do to get there.
• Start finding out the things you need to know: licensing, manufacturing laws, etc.
• What resources does your local community already have that you could use? Who do you talk to get access to those resources?
• Who knows other home brew clubs you could visit?

Take Small Steps

• Have your home brewers do a sampling. See if people really are interested in having a brewery.
• Maybe form a home brew club.
• Try things out. Test your market and your product.
• Could you offer free samples in an empty building downtown and then visit about some ways to use that building to bring adults together?
• Could you set up at a local event in a beer tent environment? Maybe use monies collected to support that event?

Again, bring people together, over a beer, to talk about the possibilities!

Apply this Idea Friendly Method to your own big idea

Any idea to make your town a better place can follow the Idea Friendly method. If you’d like some help to see how that would work in your town, check out the SaveYour.Town video Big Ideas? Small Steps!

Want to have a successful small business? Then build your network.

Comments like this are not uncommon. Good networking is one factor in building a successful, sustainable small-business. Both anecdotal information and research supports such claims.

We have written about it previously in this blog when discussing “Networking for Business Success.” Most articles, like this one, focus on why small-business owners should network and offer steps on doing it effectively.

Yet knowing you need to network and connecting with people at an initial meeting will bring you only a small part of the full value of networking.

The  full value of your network comes over time as you deepen relationships and begin to branch out as one connection leads to another.

I encouraged this long term effort in 2016 in the post, “Don’t Neglect Your Networks.” Now let me add some specific things you can do.

1. Reconnect immediately. This is true for two reasons. We will meet lots of people in our lives and also we forget. Send a thank-you. Remind them of who you are and what you do. Suggest a future meeting and perhaps even a topic or point of conversation. Email works well but a handwritten note will not be forgotten.
2. If you talked specifics in your first meeting, put some notes in your contact. People are encouraged to write notes after meeting people that first time, but that rarely happens in reality. So help both of you remember.
3. As time goes on, it is important to keep the connection. If you:
   • See their name in the paper, let them know
   • Find a news article of interest, pass it on
   • Note something new in your business or industry, share it
   • Find something or someone who might help them, give them the tip
4. Send along non-business information also. Perhaps they mentioned their interest in jazz and a group will be in your area performing, send them the information.
5. Meet on a somewhat regular basis. And while meeting just to reconnect is fine, think about a specific question or topic you might discuss.
6. Celebrate their successes and a note on holidays, birthdays, etc. is always appreciated.

Networking can be a powerful tool for your business. The more you work at it, the greater your returns.

Photo (CC) by Randy Adams, on Flickr

Want to improve the operation of your business? One simple tip is to listen to and watch what other business owners are doing.

This simple piece of advice can save you a great deal of time, effort and money. It can help you from going down a path that others have tried and found unsuccessful.

This is not to say that you follow everything you see or hear. The other owner might be on a wrong path as well. Or the path that person is taking may fit with what you are trying to accomplish in your business plan. Or the path may be one that was trending in the past but now there is something that works even better.

Yet, there are gems of information to be mined from the thoughts and ideas of others.

Recently I had the opportunity to ask some business owners to give me one piece of advice they would offer to a business owner. Some of the responses I got were:

• The customer may not always be right but they are always the customer
• Need to be knowledgeable about your products and excited
• Be sincere
• Smile and be interested in their needs so you can meet them
• Connect with your customer
• Listen to your customer
• Listen to what customers actually want and not what you think they want
• Be personable and genuine
• Have samples – food, candle aromas, sprays
• Identify what makes you unique
• Positive attitude
• Create engaging displays
• Greet each customer with eye contact and a smile
• Love your product

Notice the similarity among the answers. Several talk about listening to and understanding the customer. The first tip, “the customer may not always be right but they are always the customer” is a good reminder that you want people to keep coming back. Thus it might be in your best interest to give a little even when you don’t feel you should. Think about the lifetime value of the customer. It often isn’t a one time purchase they are making. Plus happy customers become your ambassadors. That one person might become your greatest marketing asset.

A summary of these tips would also encourage you to be friendly, knowledgeable, and upbeat. We all have bad days but you need to learn how to not let it affect your interactions with the customers. Plus you also see several comments about having effective visual displays and engaging marketing, your silent salesperson.

One great thing about learning from others is how it fits perfectly with building your networks. Asking people for one or two tips gets them talking and helps you begin a relationship.

Another plus with this type of learning is the cost is little or nothing except for your time. And wanting to learn also encourages you to attend some of the networking opportunities that you might otherwise pass on.

One final note to offer is to remember to be prepared to also be willing to share your own tips and ideas. This deepens a relationship such that future conversations become deeper and offer even more in-depth ideas.

Bottom line – When looking for advice on how to improve your business, learn from the experts, those business owners just like you.

Such is the life of a small business owner. It never seems like there is enough time to get to all of the tasks you desire.

How often do you tell yourself that it will be slower next month or next quarter? And when that time goes by, you tell yourself I will get it done next month. But again, you miss the deadline.

It happens to us all. Yet there are some things that are just too important to let go by.

One crucial task you can’t overlook is the development and nurturing of your personal network.

Networks have always been an important success factor. Today, they are being recognized as that as well as the source of collaborative learning, new ideas, and problem solving.

I suspect I am like you in that I attend networking events, hand out my business cards (the #1 tool you have), and give my short elevator speech.

Where I struggle is with the follow-up, probably like many of you. The event is not where the rich rewards of networking are found. It is in the relationships built afterwards.

Plus over time, I often fail to keep that relationship intact.

It doesn’t take much to keep things going.  You probably see your network contact on a regular basis. Take a moment to say hi and have a short exchange. It’s important to see other people but it’s just as important to maintain existing relationships.

And if you don’t see your contact on a regular basis, drop them an email. Or check out their LinkedIn page to see what new things they are involved with and then comment. Or maybe you see or remember some important events they are involved in. Send them a short hand-written note. That technology will never grow old.

And if you want to share some tips and resources they might enjoy, print off a copy of the NDSU Small Business newsletter and give it to your contact or send it their way. Or encourage them to check out the Small Biz Survival website. (Shameless plugs)

So in the next month or two, RECONNECT!  The benefits are many.

Photo (CC) by Chris Potter, on Flickr

Many entrepreneurs see working at home as a great way to combine their work and personal life.

Not only can they save money because they’re not paying rent for an office or manufacturing space, but the idea of flexible schedules and blending their work and personal life is appealing.

Home-based businesses remain today an important part of our economic system. These businesses represent our earliest form of business and today are the site for a significant number of service and retail businesses plus are a development area for new ideas.

Yet operating from one’s home does involve certain disadvantages. One of the major hurdles is that the business owner is out of the mainstream business community.

This means the owner not only suffers from a lack of visibility, but he or she often has fewer chances to develop a professional network. Such a network is often a crucial lifeline for the home-based business owner.

Home-based business owners have several ways to build awareness of their company and form ties with other professionals.

A key first step is to join the local chamber of commerce. This group and the events it sponsors are often key gathering places for business professionals.

Other events to consider attending include business fairs or trade shows where business owners gather. To get the most out of these events, go with a goal in mind: what new information they would like to gather or who they would like to meet, for instance.

When at a networking event, try these tactics to get the most out of it:

• Have your business cards in-hand.
• Walk around and mix with a variety of people.
• Take time to introduce yourself and what you do. But spend more time learning about the other person. With potential key partners, make plans to meet at another time for a longer discussion.
• Watch how others “work” the room.

Other ways business colleagues meet include joining and being active in community and civic organizations. However, while attendance is a good first step, business owners also need to offer their services and look for leadership roles.

Area business trade groups are another means to learn and make contacts. Contact the professionals you use on a regular basis, such as their banker, accountant, lawyer and insurance representative. Ask what organizations they belong to and their thoughts on the best organizations for you. Ask them if you can go with them to one or two meetings. Not only can you learn more about the groups, but you have a mentor who can make introductions and help tell others your story.

Remember, the purpose of all of these opportunities is networking. Focus on making contacts, forming relationships and spreading the word about your business, it is not about making sales

Photo (CC) Chris Potter, on Flickr via stockmonkeys.com

Starting a business is risky.

Data the U.S. Census Bureau has gathered show maybe 20 percent of businesses do not last through the first year, and 70 to 80 percent will not be around five years after starting.

While that information may be depressing and suggest you not even try, you have ways to increase your odds of success.

First and foremost for the small-business owner is recognizing those odds and what they mean. Many business owners do not put a lot of time and energy into thinking about the business before ever opening the doors. Starting a business is more than finding a location, getting your business cards and ordering merchandise.

It also is more than just assuming people will find you – the myth of build it and they will come.

Studies of businesses that have succeeded and those that have not survived provide some insight into several additional factors that can increase your chances of being around long after the five-year window has passed.

One important factor is prior work experience. In Kauffman Foundation interviews with founders of successful businesses, 98 percent of those surveyed said that prior work experience was crucial. Work in a related-business field seems to offer even more insight, but some evidence indicates that work in an entirely different area can be highly beneficial if you can stretch and see how you can bring other ideas into a new situation.

A second crucial factor was the formation of networks. The information you need often is held by someone who already has “been there and done that.” You don’t need to know the information if your network provides you with the person who can offer direct experience..

Strongly tied to the idea of networks is the need for a mentor, an often found factor of success. While your network acts as a link to information and contacts, your mentor helps you dig into the deeper questions and also may take the opposing view in your discussions.

Other factors can make a difference as well. These include:

• Having good physical and mental health.
• Being prepared to put in the time and effort required – You are not quitting the 40-hour-per-week job to lie by the pool. Plan on spending 80 hours a week running your business.
• Starting with sufficient capital – Know that no free money is available. Initial capital typically comes from your savings and personal loans.
• Having a plan for the business and for your marketing – That plan should be written with some anticipated measures of success so you can ensure you stay on track.
• Knowing what your cash flow needs will be and when additional capital might be required – This is the type of question your plan should address.
• Identifying what you don’t know – Then you can plan where to get those skills, management, people, accounting, legal, marketing, etc., or where you can get help
• Knowing the market you will be in, as well as the industry, and understanding who your competitors are.

One final key in developing a successful business is ensuring that your family is on board with you in this goal. Developing a business takes family financial resources. It also will eat into family time and may very well require family members’ involvement in the business. This changes family interactions and relationships.

Starting a business is a risk, but you can better your odds. Every step you take ahead of time might be one that your competition didn’t work on, giving you the advantage.

This article is cited in the following:

Book: Go-to-Market Strategies for Women Entrepreneurs, Emerald Publishing Limited, Bingley, pp. 195-205. https://doi.org/10.1108/978-1-78973-289-420191024

It is the informal times, when we take a few minutes to slow down and connect with others, where we often get answers to our questions and/or build our store of ideas and potential connections. A number of authors have reported on how valuable and important the informal network is to the success of a business. Such networks are built slowly and over time. Successful networkers report that it is also impossible to know when the best connections will be made.  With that in mind, these people comment that they take every opportunity they can to attend as many events as possible.

Yet small business owners, especially those in rural areas, report they have little time to attend and fewer such opportunities in their local area. They can attend meetings further away but then it takes more time away from the business to make that happen. Such meetings create a hardship when trying to build a business.

Power of Business is offering the First Friday chat series designed with these real-world concerns in mind. What you get are: 1. short (15 minute) chats with business owners focused on providing 2 useful tips and information; and 2. the chance to connect with others and ask questions.

So take a break this Friday, grab a cup of coffee and join your fellow business owners at 11:15 CT and build your business. Registration is requested to help us know you, our audience, better. Go to: powerofbusiness.net to register.

For business owners doing that is hard. Taking time away from the business takes planning and is costly. With that in mind, we want invite you to a new program:

Friday 15 – Live Chats

Your opportunity to share and learn while networking with other business owners. Just 15 minutes in length and you can stay in your office.

The first event is April 4th at 11:15 a.m. CT. Future events will continue to be held on the first Friday of every month. So grab your coffee and join us! Register at: http://go.unl.edu/Friday15registration

Power of Business First Friday

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