The SBA’s Standard Operating Procedures (SOP) was recently updated and released. It is more streamlined and condensed, allowing for easier reference to and understanding of guidelines.
One specific area we want to highlight is the requirement of an independent, third party business valuation for SBA loans exceeding $350,000. Here is the exert:
(i) Business Valuation
Most Americans continue to read, hear and see troubling news about the U.S. economic outlook. Business owners need some reassurance that the sky is not falling, particularly for business owners considering the future sale of their business.  Today is a seller’s market!  But, cyclical indicators point that this window will not stay open forever.
In a NY Times article, “Failure Isn’t Always a Bad Thing”, an interesting formula on determining a start-up’s potential for success is presented which was extracted from venture capitalist David Sliver’s book “Smart Start-ups”:
V = P x S x E
Valuation = Problem solved x Solution’s elegance x Experience of management
Over at BNET, they are developing a series on the topic of M&A with goal of empowering business sellers and buyers to “Be a Master M&A Negotiator”. We like BNET because they take complex issues and spell them out in layman’s terms making it easy for most to understand and learn. The portal with various resources is here.Â
If you or your company has any business interests that tie into internet marketing and the promotion of your website, then you need to hop on over to Andy Beal’s www.MarketingPilgrim.com. On a daily basis, you can expect to find a combination of internet marketing news stories, useful tips, and some strong opinions on an assortment of relevant topics. We have been following Andy Beal’s thoughts and opinions on internet marketing well before the launch of Marketing Pilgrim, tracing back to his days at Search Engine Lowdown; so take it from us, he knows his stuff and will give some great insight beyond mere facts & rehashed news stories.
Starting November 12-15, 2007, a fantastic conference will take place in Cleveland, OH called “The Big Makeover”. It is a spin off of the TV hit “Extreme Makeover: Home Edition” where one lucky business owner will have their entire company reconstructed from top to bottom, bottom to top — FREE! A select group of 250 CEO’s, Presidents and business owners will be invited to Cleveland, OH November 12th – 15th to watch the selected company be completely overhauled, and in so doing, will actively learn how to apply the same techniques and strategies to their own businesses.
The rise of YouTube has spawned a new, very effective medium for online advertisers to promote their products through the use of video. Promotional videos go way beyond YouTube though. If you are a small business owner seeking to increase your company’s market exposure through word of mouth, viral marketing techniques then video is a sure fire way to do it. Is it guaranteed success? NO. With that said, creating videos that show of your product, reiterate your subject matter expertise, and/or express your benefits to the end user is certain to increase customer confidence in your business. The creative side of this business is key, in order to reach and connect with your targeted customers.
Entreprenuers must continually invest in themselves with golden nuggets of insightful information and tips. Learning from other seasoned entrepreneurs who have been successful in their own ventures and are giving back to like-minded business owners can be invaluable! Seeking self-improvement is a huge investment back into your business, its employees, services & products, growth and consequent value.
The Bureau of Labor Statistics, a division within the Department of Labor, reported several weeks ago that less than 50% of small businesses successfully make it past 4 years of operation. In fact, only 44% of business owners can “hack it” through 4 years of operation. Nearly 65% of businesses successfully make it past the first two years.
Over at Yahoo! Finance, they feature an article about hiring family members and friends in the small business. When I first began reading the article, I almost choked on my lunch at one of the opening comments: “I’m a big fan of nepotism.”
Fortunately, the article went on to lay out guidelines for the small business owner who is seeking talent and is looking to family and friends as new employees. It’s a good read if you’re at the crossroads of staffing…..check it out.
