Business Operations:
The Key to Online Success- Wilson Mattos
- Rapid Crush Co-Founder
- co-founded with Jason Fladlien
- Operations Guru
- Background in IT
- No magic button
- Live Event
- E1KADay
- Slapped around :)
- Play to strength
Difference between making a lot of
money and building a real business
- Make money online is shortlived
- Real business is self sustaining
- Real assets
- Real business doesn't have ups and downs that are extreme
- Sustainable growth plan
- assets to leverage regardless of circumstances
- NAMS can be David-less from operations
- Marketing may hurt if David-less
- It will recover Over time
- Business continuity
- What happens if?
- Insurance policy
- Cross Sell Insurance
- Key man policies
- Buy-Sell agreement
- Circumstances that will dissolve
- Defined on paper
- Protects against unknowns
- Mindset
- Goal is to maintain business
- Or shut down
- Business survive if it takes a hit
- Team of Advisors
- CPA
- Financial Advisor
- Lawyer
- contracts person
- Not working for free
- Mindset
- Legacy
- Is there something that benefits others
- Family
- Employees
- Dream
- Create a system that ensures profit
- Define Profit Centers
- Define Cost Centers
Understand and implement the essential
elements of running of a business- Infrastructure
- Finance
- Management
- Marketing
- Support
- Production
- Structure
- Prototype
- Organizational
- Finance System
- Goals
- What's your profit number?
- How much do you want to make?
- Revenue
- Expense
- Action Plan
- Examples
- Not to proud to make money - be open minded
- to good to work for $20
- But how many days have you worked for free
- Support System
- We use Zendesk
- Free
- Easy
- Universal
- Has a paid version so it's well maintained
- Insurance
- Michael Holifield - State Farm Agent
- What does an agent do for you?
- Special concerns for Online Business
- local agent consultation
- Review your insurance needs
- Work as your advocate
- Why Insurance? and What Kind?
- Self-insured
- smaller items controlled by yourself like
- Fax machines
- Other equipment
- Greater risks
- Liability
- Have enough liability to cover personal assets
- Different types of libiliaty
- Risk of falling
- Professional liability
- professional
- Consulting
- Coming to your office
- employees running around for you
- Home office
- loss due to fire
- Endorse home owners policy
- Inventory
- Equipment
- How much
- Life Insurance
- Unpaid Debt
- Key Man
- ability to hire someone to run or close business
- Key man for partner
- Business may own insurance
- manage your insurance cost
- Find individual coverage
- How much risk do you take on
- How much deductible
- Consult with agent
- Sometimes specialty
- Generally multiple policy discounts
- Banking
- Wealth
- Business to be rich
- Person to be rich
- Buying / building assets
- Investment accounts
- Lines of credit
- Pre-approval of large cashflows
- Relationships
- Dedicated PayPal representative
- Personal banker
- Merchant providers
- trust that you'll be good for the money if refunds
- Evaluate the risk level you present to them
- Have to be win-win
- Business bank account
- Shareholder loans from the personal
- Accounting
- Bookkeeper
- Not Cash
- Use business credit
- Incorporation
- Why?
- Personal asset protection. Limited liability for personal assets inside a properly structured corporation.
- Additional credibility. Instant credibility. Adding an "inc" or "llc" to your company name means you're serious. Consumers, vendors, and partners may prefer to do business with an incorporated company.
- Name protection. Most states don't allow someone to use your exact - or even close - name for their corporate entity.
- Perpetual existence. Corporations and LLCs continue to exist even if ownership or management changes. Automatic asset creation.
- Tax flexibility and incorporation tax benefits. There are several tax advantages and benefits of incorporating a small business.
- Deductible expenses. Both corporations and LLCs deduct business expenses, including salaries, before they income goes to owners.
- S-Corp
- pass through income to owners each year
- C-Corp
- Can "retain earnings" and choose not to distribute them
- LLC
- for "member partners"
- Can choose to be treated as an S-Corp
- Advantages
- Limit personal liability
- employees give more risk
- You may get sued anyway
- Can't come after your personal assets
- Must do the right things to validate the protection
- Observe the corporate veil
- Separation of person and business
- Don't pierce the corporate veil
- True separation person from corporation
- Financial / tax implications
- Especially with partners
- Rich Dad Poor Dad
- Robert Kiyosaki
- Company Organization
- Management
- Helpdesk Management
- Project management
- Staff
- Employees vs Contractors
- Everybody is an Employee
- COO and CFO
- too many hats means conflicts if the same person is doing it
- More defined roles for individuals
- Business Owner and Employee
- Strategy vs. Tactics
- eMyth Revisited
- Metrics - Measure it
- Finance
- Sales
- Expenses
- Traffic / conversion
- Traffic
- Conversion
- Source
- Customer Value
- EPC
- Support
- Grow the lifetime value of a customer
- Excellent customer support
- Good experience
- More efficient
- Encourage customers to talk to you
- Every page has support link
- Every product has support
- Happy to buy and pay more for premium experience
- Reduces refunds
- Use screen shot on marketing materials
- Cross Sell and Recommend additional sales
- Augmenting other peoples support with your own staff
- Test
- Execute
- Feedback
- Improve
