General Business Planning

James P. Shelley

James P. Shelley creates business documents for a living. He writes full business plans, financial plans, summaries, even Web copy and employee/employer documents (like employee manuals). He works with startups and ongoing businesses to craft their documents, and explains, “my specialty is to work with principals and key employees of existing businesses of all types to create changes that will help them reach their next level of organization, leadership, and performance, and to improve their profitability.”

Back in 1996, Jim was launching a health information consulting company with a few partners, and used Business Plan Pro to write the plan for that business. Since then, he has used several versions of the software to write plans for his own businesses, as well as all business and financial plans he writes for his clients. “I like the simplicity of Business Plan Pro,” he notes.

“In 2004 I engineered my own business plan for a venture separate from my writing business. The lending institution told me that it was one of the best plans they had ever seen; very detailed and easy to understand. This resulted in a business loan that included the purchase of a business and the associated real property.”

A business plan is an important document, according to Jim, because it helps to determine if a business idea will work. “Many people have great business ideas, but until everything is fleshed out — until they look at how all the numbers gel together — it’s a guessing game.” But almost as important as the plan is for determining the course of the business for the business owner, is the tremendous impact it has on lenders and investors. “Having a properly prepared business plan has ensured my clients present their ideas to the proper people in a proper format. It must be perfect. There is no un-ringing the bell.”

Writing a business plan is an everyday thing for Jim, but he experiences the same difficulties as anyone who sits down to the task. “The biggest challenge of engineering a business plan without Business Plan Pro is the financial plan component. Engineering a financial plan as comprehensive as that in Business Plan Pro, using a workbook with spreadsheets, is simply too time consuming.” He tells the story of a client who handed him a bundle of 36 spreadsheets, prepared by a CPA. Though it was challenging, he was able to cull the information from all those sheets and use Business Plan Pro to create a finished product that made his client happy. “I’m not a CPA, but when everything folded together in Business Plan Pro, the end result was a comprehensive financial plan easily understood by most any banker.”

While the financial tools were his favorite part of the software, he says the flow of the program was really helpful as well. “The outline feature is very appealing. I like to see where I’ve been, where I’m going, and enjoy being guided towards a conclusion. I also like the review feature… which identifies the success or failure of your work.”

One feature of Business Plan Pro that Jim doesn’t use is the plan versus actual comparison. Since he’s writing the plans for other people, he doesn’t usually have the opportunity to follow up. “However, for my clients, I encourage them to purchase Business Plan Pro Premier Edition so they can use that feature once they’ve established their business.”

Jim has been writing business plans for clients for over four years, and says he has not written any of them without Business Plan Pro. “While I consider myself very organized, I found the intuitiveness of Business Plan Pro quite appealing.  It really is a smart approach to engineering such an important document.”

Before starting his writing business, Jim says he labored in the corporate world — “Been there, done that.” He finds a great deal of satisfaction in what he’s doing now. “I enjoy helping people identify, reach, and enjoy their hopes, dreams, and aspirations through proper planning.”

Check out Jim’s website for more about what he does, samples of his work, or to contact him directly.

Tags: customer spotlight, news, success story, testimonial, testimonials
Posted on December 8th, 2009 | 1 Comment »

How much is your data worth? If you are a customer of T-Mobile using their Sidekick mobile device, all your personal data, pictures, contacts, emails, calendars, etc., which you had stored with them is worth one month’s service plan fees.

So, do you agree? Well, that’s what T-Mobile is offering users who lost all their data when the Microsoft/Danger network crashed earlier this month, without an adequate backup in place. Unrecoverable is the word they are using.

Now, here is the question every single one of you have to ask yourselves: “In case of a disaster/crash/hack, is my business’ data backed up and recoverable?”

Really now, think hard. If this can happen to mobile phone data, it can happen to your business’ vital records. If all your data…your accounting, your payroll, your invoicing, AR/AP, customer records, serial numbers, inventory, development plans, R&D reports, whatever, was lost, unrecoverable, would your business survive? And if it could survive, what would it cost you in money, time, cash, personnel resources, capital resources, lost customers, investment, fulfillment delays, dividends, tax inquiries, profits, and money to recreate those records, or blindly grope ahead without them? More or less than one month’s service fee do you suppose?

Those of us who started in computers with punch cards (”what are those?” some of you ask) and aged along with mainframes and Apple IIs, floppy disks and LANS have always been conscious of the need for data backup. Always, that is, since our first hard drive got reformatted at the repair shop who promised us we didn’t need to do a tape-drive backup.

The worlds of speculative fiction have, for years, been full of stories imagining and describing the dire consequences of data loss. It could be political opponents, war, criminals, business competitors, presonal enemies, preteen hackers, spies, hurricanes, earthquakes, solar flares, nuclear-powered satellites exploding, or even aliens that cause the data-loss crisis. Unlike books, TV and movies, though, the heroes (you and your business) won’t suddenly be saved by the deus ex machina in the last 3 minutes … unless, that is, you’ve already invested the resources of time and money into data backup.

Cloud computing, wireless access anywhere, online applications and remote-server-hosted data can certainly be a boon to business, but this foul-up clearly displays the hazards inherent in having your data stored elsewhere.

Understand this! Once you hand over your data to someone else, it is no longer exclusively yours.

There is no possible guarantee that your vital records won’t be, with evil intent, hacked, perused, copied and sold, simply stolen, corrupted or, by accident, just plain lost, deleted, or unrecoverable. Each technological generation becomes enamored of the possibilities and capabilities of the gizmos we invent. We can’t help it. It is, then, up to we geezers, ancients, oldsters and curmudgeons to holler:

“HEY! Pay attention! It is going to break! There are going to be screwups! Someone is going to mess with it! Watch out! Protect yourself now!” “We know this because it happened to us!”

So, if you’ve embraced the-sky-is-the-limit cloud computing, you owe it to your business and its survival to buy some information insurance, as it were, and back up all your data locally, and frequently. This doesn’t have to be on-site necessarily, but out of the clouds and firmly on the ground. Because, really, seriously, once your data is gone, the likelihood of successful disaster recovery is mighty slim. You are S-O-L.

Steve Lange
Senior Editor, and Oldster who’s lost data before
Palo Alto Software

Tags: cloud computing, data backup, data loss, disaster, news, recovery, unrecoverable
Posted on October 14th, 2009 | 3 Comments »

This past July I talked about how Dave Carroll’s “United Breaks Guitars” YouTube post had brought new strength and power to consumer complaints against corporations’ customer dis-service. The original song/video has had over 5 million views, and is now available on iTunes. This is an astounding amount of bad publicity, damaging mainstream media press coverage, and negative word-of-mouth marketing for United Airlines.

Yesterday, August 19, Huffington Post reported that troubadour Carroll has, as promised, released his second of three songs/videos about his year-long saga of trying to get United Airlines to pay for the repairs to his Taylor guitar, broken by UAL baggage handlers at Chicago’s O’Hare airport.

The lesson to learn here is that while the benefits of good customer service might take a while to become apparent, bad customer service gets noticed – talked about, and publicized – immediately, and widely, and repeatedly. Businesses spend trillions of dollars every year in all kinds of marketing programs and tactics to gain customers. And everyone claims that they understand the principle that it is easier and less expensive to keep a good customer than to constantly find new ones.

That said, then why do businesses persist in giving crappy customer care? Today’s media-savvy consumers cannot be brushed off as minor annoyances. They have global reach. As Carroll has shown, any positive results that a company might have been gained from all that marketing spend can be quickly negated in one stroke. Have you seen the United Breaks Guitars t-shirts people are wearing to the airports?

UAL will be spending marketing money on damage control for months to come. You and your business can avoid a similar image catastrophe by making positive, responsive, customer service an integral part of your marketing plan and business operations plan.

Steve Lange
Senior Editor
Palo Alto Software

Tags: customer care, customer service, Dave Carroll, Marketing
Posted on August 21st, 2009 | 2 Comments »

A tall but mostly true tale by Tim Berry-

Once upon a time there were three entrepreneurs who set out to seek their fortunes. Each of them developed a business plan.

The first business plan was built of straw. It was easy to complete, but it was mostly just puffery. It had objectives like “being the best” and “excellence in customer satisfaction” and “create a revolutionary product” and “Google killer!!!” without any way to measure results or milestones to make anything happen. It had a lot of talk, but very few specifics.

The second business plan was built of sticks. Most specifically, “hockey stick” forecasts. The plan showed sales growing slowly to a point, then forecasting a radical shoot upward, boldly showing a huge growth rate, with no real defined reason for the growth. The sticks piled up higher and higher, neatly stacked but not grounded in any kind of fact.

The third business plan was built of bricks. Bricks were specifics, especially “ownership” as in specific job responsibilities, specific people in charge of well-defined activities. Bricks were milestone dates, deadlines, budgets, and concrete, measurable objectives.

Then came the big bad real world, as awesome and fierce as any wolf. The real world was phone calls and daily routine. It was business problems and changes in economic environment, customers paying slower than expected, costs going up on one product, down on another. In business school they called it the RW, pronounced “are-dub”. Suffice to say there was a lot of huffing and puffing.

The real world blew the plan of straw and the plan of sticks apart in an instant. The plan of bricks, however, stood up to the real world. As each month closed, the plan of bricks absorbed plan-vs-actual results. Managers looked at the variance. They made adjustments. Each manager kept track of milestones and budgets, and at the end of each month the actual results were compared to the plan.

Managers saw the performance of their peers. Changes were made in the plan–organized, rational changes–to accommodate changes in actual conditions. Managers were proud of their performance, and good performances were shared with all.

And the company who made their plan out of bricks?  Well, they lived happily ever after.

Tags: business planning, news, Tim Berry
Posted on July 22nd, 2009 | 1 Comment »

Palo Alto Software moved from California to Eugene, Oregon in 1992 with two employees (founder Tim Berry and his wife Vange), and has grown into a successful business employing 45  people. But unfortunately, our state has the second-highest unemployment rate in the country. In discussions about what our company could do to help the local economy, CEO Sabrina Parsons came up with the idea of creating our own stimulus package for the state.  From there, the Oregon Small Business Boost took off.

Tomorrow we’ll be giving away 15,000 copies of Business Plan Pro Premier to any Oregon resident who can make it to one of 80 giveaway locations throughout the state.

We’re giving away the software to Oregonians, says Berry, “So that they can develop their business plans, and we at Palo Alto Software can contribute to the economy in Oregon, which has been great to us for 17 years now. So this is really giving back.”

If you can’t view this video, click this link.

Posted on June 30th, 2009 | 4 Comments »

John Jantsch from Duct Tape Marketing is hosting a live panel webinar Wednesday, May 20th at 9am PDT/Noon EDT.

John will be joined by Ken Yancey, Jr, CEO of SCORE, Tim Berry, founder of Palo Alto Software, and Rich Sloan author of StartUpNation to talk about starting a business.

Collectively, this group has poured over thousands of business plans, seen great successes and great failures and advises many a fledgling start-up on the strategies, resources and regulations involved in going out there on your own.

Don’t pass up this unique opportunity to get first hand information from this amazing panel of experts.

More information, including a link to register, can be found on the Duct Tape Marketing Blog

‘Chelle Parmele
Social Media Marketing Manager

Tags: information, startup, Tim Berry, webinar
Posted on May 19th, 2009 | 1 Comment »

Today we have a guest post from one of partners, The Company Corporation.

Incorporating or forming an LLC is a fast, affordable and easy process. It benefits the business owner by protecting personal and family assets from the risks and debts of the business. Here are eight easy things business owners can do to make incorporating a breeze.

1.    Select Your Company Name

Your company name can identify the type of products/services your business provides, or it can simply tout the name of the founder. The two main requirements for a company name are: no other entity in the same state may have the same or similar name; the name must include an ending like company, incorporated, corporation, association, foundation, institute, fund, society, union, syndicate, or limited. Words like “bank”, “trust” or “education” may not be used without approval from the appropriate state agency.

2.    Select Your Business Structure

A general corporation, also known as a “C” corporation, is the most common corporate structure. It may have an unlimited number of stockholders. A “close” corporation is appropriate only for the individual starting a company alone or with a small number of people. An LLC is not a corporation, but it offers many of the same advantages, combining the limited liability protection of a corporation with the “pass through”" taxation of a sole proprietorship or partnership.

3.    Select Your State

Many business owners incorporate or form an LLC in the state where they are planning to operate because it is often least complicated and most cost effective. However, Delaware still holds appeal for new companies because of its low incorporation fees, low annual franchise taxes, and lack of state income tax for corporations operating outside of Delaware. Likewise, Nevada has become increasingly business-friendly with its advantageous tax advantages.

4.    Select Your Management Team

Naming initial directors for your corporation is straightforward. Directors are typically the key players or owners in the business. In most states, only one director is required and you may simply name yourself. In an LLC, managers or members are selected.

5.    Select Your Number of Stock Shares and Par Value

Stock represents ownership in a corporation. Par value is the minimum selling price for each share of stock. Many states allow you to elect a $0 par value, to give you the most flexibility. LLCs do not issue stock, so LLC ownership is like a partnership.

6.    Choose a Corporate Kit

A Corporate Kit will help you organize and save your important company documents. They often include a corporate seal, stock certificates, stock transfer ledger, and sample forms for bylaws and minutes.

7.    Designate a Registered Agent

The Registered Agent serves a critical purpose and is an important part of protecting your corporate status. Select a highly reliable company to serve in this role. Look for a company that maintains a nationwide network of offices and serves as a full time Registered Agent in all 50 states plus District of Columbia, so that they can service your company’s needs as you grow.

8.    Worry Not!

Your decisions about company formation may be changed after your company is formed, simply by filing an amendment. Broad flexibility is available to you as your company grows and its needs change.

John Meyer from The Company Corporation will be our guest at this month’s Back to the Fundamentals webinar, April 14th.

Make sure you register for this event soon. Space is limited.

Tags: incorporation, information, Small Business, starting your business, the company corporation
Posted on April 9th, 2009 | 11 Comments »

Did you miss Sabrina Parsons on Friday’s Business Insanity Talk Radio with Barry Moltz?

Not to worry – Listen to it here: Business Planning, Innovation and Your Career

Tags: Barry Moltz, business planning, radio appearance, sabrina parsons
Posted on March 16th, 2009 | 1 Comment »

Barry Moltz has founded and run small businesses with a great deal of success and failure for more than 15 years. He’s also the author of “Bounce! Failure, Resiliency and the Confidence to Achieve Your Next Great Success”. He is an enthusiastic speaker and teacher on entrepreneurship.

The 11 things that matter in a Business Plan

What problem exists that your business is trying to solve. Where is the pain?

What does it cost to solve that problem now? How deep and compelling is the pain?

What solutions does your business have that solve this problem?

What will the customer pay you to solve this problem?

How will solving this problem will make the company a lot of money?

What alliances can you leverage with other companies to help your company?

How big can this business get if given the right capital?

How much cash do you need to find a path to profitability?

How will the skills of your management team, their domain knowledge, and track record of execution will make this happen?

What is the investors’ exit strategy?

Please remember, the business plan is basically an “argument” where you need to state the problem and pain, then provide your solution with supporting data and analogies.

Barry Moltz

www.barrymoltz.com
Twitter: barrymoltz

Tags: Barry Moltz, business plan, planning, tips
Posted on February 22nd, 2009 | No Comments »

I’m sorry for the late notice, but, if you’re in or near Eugene, Oregon tomorrow, Jan. 22, Sabrina Parsons and I are doing a planning workshop for smartups.org. Live and in person. That’s 5 to 7 pm at the Vistas Conference Room atop the Eugene Hilton. Click here for more info.

Tim Berry
President
Palo Alto Software

Tags: Eugene OR, planning workshop, workshop
Posted on January 21st, 2009 | 1 Comment »