Tag Archive for 'entrepreneurs'

POLL RESULTS: New Obamacare compliance is coming for small businesses in 2016. Do you know how it applies to you?

The Question:

New Obamacare compliance is coming for small businesses in 2016. Do you know how it applies to you?

11% - I am prepared to comply with new Obamacare rules.
9% - I am not yet in compliance, but know what to do.
23% - I am not in compliance, and still don’t know what to do.
57% - My business does not have to comply with Obamacare.
Jim’s Comments:
Most small businesses have fewer than 50 employees, which is currently below the criteria for having to comply with Obamacare under the employer mandate. So I’m not surprised to see that our sample responded with 57% in this category.
But I am surprised to see that about a third of our folks still aren’t yet in compliance. The reason is likely that we’ve all seen how many times the law has been unilaterally changed by the Obama administration — more than 30 since 2010 — including moving compliance date deadlines. Why jump through a bunch of hoops if you don’t have to, right?

However, I think Obamacare is where it’s going to be for now, so if you have to be in compliance, either do so or know your exposure for non-compliance. Good luck.

Thanks for your abiding support of our poll each week. Check out our new one below.

http://survey.constantcontact.com/poll/a07ec20m7kriiucwr57/start.html

An official day for small business owners

Labor Day began as an idea in the mind of a 19th century labor leader — some say Matthew Maguire, others say Peter McGuire — who cared greatly for a very important segment of the marketplace, its workers.

Regardless of paternity, such a day was first celebrated on Tuesday, September 5, 1882, in New York City, when members of the CLU took an unpaid day off to demonstrate solidarity and, of course, have picnics. And ever since 1984, when President Grover Cleveland’s signature designated the first Monday in September as Labor Day, it’s been an official federal holiday.

In 1898, Samuel Gompers, then head of the American Federation of Labor, called Labor Day, “the day for which the toilers in past centuries looked forward, when their rights and their wrongs would be discussed … that the workers of our day may not only lay down their tools of labor for a holiday, but upon which they may touch shoulders in marching phalanx and feel the stronger for it.”

Alas, entrepreneurs aren’t organized like our union brethren — probably because we’re too busy making payroll. There is no single Small Business Day officially decreed by the U.S. Government. No Entrepreneur’s Day set aside to honor the few who do so much for so many; a day to picnic and party down in honor of the real heroes of the marketplace, small business owners.

There actually is a small business week when the U.S. Small Business Administration recognizes the “creme de la creme” of entrepreneurs in America. But it’s not an official “Day” and it’s not always the same week each year.

Small businesses represent over 98% of all U.S. businesses and produce over half of the U.S. $17 trillion GDP.  Plus, we sign the FRONT of the paychecks of over half (70 million) of all U.S. workers.

Let’s see: Big deal on Labor Day — no Small Business Day. What’s wrong with this picture?

So, what’s the answer? Let’s celebrate Small Business Day in a way no other national holiday has been established: on a Sunday — actually, the second Sunday in August.

Sunday is preferred because that would create the least payroll expense. August is the month-of-choice because that’s when politicians are home on recess. This way they can practice casting their pearls before we small business owners in preparation for eating barbeque and sucking up to unions on Labor Day.

To paraphrase Samuel Gompers, small business owners deserve a day for which these signers-of-the-front-of-paychecks can look forward to when their rights and wrongs would be discussed; that the small employers of our day may not only lay down their challenges for a holiday, but during which they may touch shoulders in marching phalanx and feel the stronger for it.

Write this on a rock….Entrepreneurs unite!  It’s time we had a day to honor small business owners.

Jim Blasingame is author of the award-winning book, The Age of the Customer: Prepare for the Moment of Relevance.

Why trust is a business best practice

Are you familiar with the term “dysfunctional family?”

The simple definition is, a family whose members don’t work and play well with each other. Such relationships typically create emotional, mental, sometimes even physical distress, and/or estrangement.

Sadly, we humans also create dysfunctional businesses. Perhaps this definition will sound familiar: A dysfunctional company is one whose teams don’t work and play well with each other. Such relationships typically create emotional, mental, sometimes even physical distress, and a casualty list.

Someone once said, “Friends we choose – family we’re stuck with.”  Since we get to choose where we work and who we hire, why are there dysfunctional businesses?

The answer is actually quite simple, and it’s the common denominator in both businesses and families: human beings. If your family, or company, is dysfunctional, it’s because of the behavior of the humans.

Humans aren’t inherently bad, but we are inherently self-absorbed. And one of the by-products of self-absorption is self-preservation. When self-preservation shields are up, mistrust flourishes, goals go unmet, and failure is likely. When shields are down, productivity, creativity, and organizational well-being are evident. But the latter only happens if the stakeholders believe there is a basis for trust.

If your organization is not accomplishing its goals and making progress, look around to see if there’s more self-preservation going on than teamwork. Where evidence of individual and departmental self-preservation is found, you’ll also find lots of dysfunction, but not much trust.

In his book, “Built On Trust,” my friend, Arky Ciancutti, goes so far as to say that trust is “…one of the most powerful forces on earth.” He further states that the two most powerful trust-building tools are closure and commitment.

Closure is implied when there is a promise to deliver by a stated time. It manifests when performance happens or, in the alternative, a progress report is delivered in advance of the date.

Commitment, Arky says, “is a condition of no conditions.” When the relationship between two parties is built on trust, there are no hidden agendas. And while commitment may not always deliver the end product, it does guarantee a report about the progress.

Even though closure and commitment are skills that often must be learned, you’ll find willing participants in your employees, because human beings desire trust.  If your organizational culture isn’t built on trust, it’s not the employees’ fault. Trust and dysfunction have one key thing in common: they’re gravity fed. They start at the top and roll downhill.

Humans perform better in organizations built on trust.  Knowing this, successful managers demonstrate trust-building behavior and instill it in others as not only the right thing to do, but as a business best practice.

Write this on a rock — If organizational dysfunction is a poison, trust is its antidote.

Jim Blasingame is author of the award-winning book, The Age of the Customer: Prepare for the Moment of Relevance.

Climbing the hill

In a former life, whenever I felt deficient in my ability to meet a particular challenge, one of my mentors would say to me, “This is no hill for a climber,” followed immediately by, “and you’re a climber.”

Today, whenever I’m feeling deficient in my ability to meet the challenges of my small business, I say these words to myself, “This is no hill for a climber and I’m a climber.”

In an even earlier life, growing up on a farm, we had an old two-ton Studebaker truck. This was a brute of a truck, with a very special feature: one really low gear. My dad called that gear “grandma.”

Whenever we had a heavy load to haul and a steep grade to climb, Dad would say, “Put it in grandma.” When that truck was “in grandma” it wouldn’t go more than a couple of miles an hour, but it would pull or haul anything, anywhere. Even when the pulling got really tough that truck might jerk and buck, but it never stopped pulling.

Small business owners have a special gear similar to the one on that truck. Our “grandma” gear is made up of the cogs of grit and determination, and the sprockets of courage and passion.

There are many hills in the life of a small business. Next time you’re faced with a hill that seems too steep to climb, tell yourself, “This is no hill for a climber and I’m a climber.” Then “put it in grandma” and keep on climbing.

It’s Time to Tell The Truth About Minimum Wage

Before any product or service is offered to customers, the price must be determined. The foundational element of this calculus are costs, which includes labor. In a true free-market economy, all elements of cost are determined by the marketplace. But in the U.S., we don’t have a true free-market economy because of mandates and subsidies imposed by the federal government, one of which is the minimum wage.

Alas, raising the minimum wage is being proposed again.

When the government is involved, politics, not reason, is the motivation, which isn’t so bad when the issue is politics. But politics has no place in what businesses pay for their cost factors, especially labor, often the largest cost factor.

When proposed, the national minimum wage was never some great egalitarian blow for the working man. It became law in 1938 as a cynical, protectionist move by the Congressional delegations of the northern textile industry – primarily Massachusetts –against their southern counterparts, whose lower, market-based labor costs made them more competitive.

Today the minimum wage has become a political wedge issue of the cruelest type, because research shows each increase actually hurts the segment it purports to help, especially younger, entry-level workers, like teenagers and minorities. The primary reason is that for decades employers have controlled the impact of an increase by reducing entry-level positions using various organizational steps. But today, technological advances have given all employers an increased ability to forgo entry-level hires in favor of low-maintenance, non-taxed innovative devices and/or software.

The results of two recent online polls reveal how these options manifest on Main Street. When we asked about their attitude toward the minimum wage, 82% of small businesses said the government should not be setting wage rates. But when asked how a minimum wage increase would impact their business, 76% said “Not at all.” The reason for the lack of concern by the sector that doesn’t like the minimum wage is likely because: a) they’re already paying more than minimum wage; b) they have legal ways around it to the disadvantage of the unskilled, increasingly unemployed worker.

An important goal of most businesses is growth, but adding payroll expense to achieve it is no longer a given. And so far, business owners are in charge of the decision to add workers or use other means to achieve growth. Nevertheless, increasing minimum wage does cause problems: an arbitrary increase distorts all wages as it becomes the new base from which other workers measure wage progress. If a small business adjusts all wages up in response, expenses rise. But if it doesn’t, morale declines. Furthermore, unions use minimum wage as a contract lever to exact from employers automatic, across the board increases for all organized workers.

In the marketplace, any increase in price must be justified by value delivered. But this logic is lost when labor costs rise by government fiat without adding one extra unit of productivity.

Write this on a rock … Let’s call the minimum wage what it is: A political lie that actually hurts poor and unskilled workers.

Jim Blasingame is author of the award-winning book, The Age of the Customer: Prepare for the Moment of Relevance.

POLL RESULTS: The Supreme Court and Obamacare

The Question:

The Supreme Court may strike down a major component of Obamacare this month. What do you think?

5% - I like Obamacare and hope they don’t change it.

66% - I don’t like Obamacare and hope they strike it down.

18% - I won’t be impacted either way.


11% - I don’t know.


Jim’s Comments:

As you can see, the Affordable Care Act is not popular among small business owners. The primary reason is it isn’t more affordable than what most of us already had, plus it has added extra regulatory complications to our lives.

But stay tuned, because sometime this coming week the Supreme Court will likely announce their decision on King v Burwell. This case has many implications that I’ve either written about or talked about with experts on my show. Here are the main points to keep in mind:

* If the decision goes against the Obama Administration, it would essentially void many of the law’s key components, making it a shadow of its former self.

* If the decision goes for the President, it would establish that the IRS can interpret laws as they see fit, rather than as written.

This may not be the most significant ruling in the history of the high court, but surely it’s one of them. Say a prayer for the Constitution.




Warning: fsockopen() [function.fsockopen]: php_network_getaddresses: getaddrinfo failed: Temporary failure in name resolution in /var/www/wordpress/wp-includes/class-snoopy.php on line 1142

Warning: fsockopen() [function.fsockopen]: unable to connect to twitter.com:80 (Unknown error) in /var/www/wordpress/wp-includes/class-snoopy.php on line 1142