Small Business Startup – The 90/10 Rule

Small Business Startup - The 90/10 Rule

Small business startups require a lot of work.  You might however, be surprised by what type of work should be taking up the majority of your time.   

Computer consultants, when they contemplate small business startups, tend to focus on the technical aspects of the business. The rational is that they want to offer a decent service and must have great technical skills before anyone will be willing to pay them.

In fact, the 90/10 Rule tells us that during small business startups, 90% of your time should be spent on direct marketing activities and only 10% on building technical skills.

The type of small business startup activities to spend 90% of your time on include:

  • Prospecting
  • Lead generation
  • Going out on sales calls
  • Preparing proposals

During the small business startup phase, you must be very attuned to the need for acquiring high quality clients. Every non-client hour that does not have to go into administrative or organizational duties should be plowed into prospecting and networking. This can ease up a bit once you start to get beyond the small business startup phase. For now, though, client generation is your priority.

The Bottom Line on Small Business Startup

For small business startups, following the 90/10 Rule is critical.  Spending 90% of your time on direct marketing and business development activity versus 10% on technical skills development is a trade-off that is well worth it.

There is no point gaining technical skills if you have no clients to practice them on. Small business startup is a time that will make or break your business. Put your training and certifications on hold for a while and get out meeting people and making as many contacts as possible.

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Small Business Owners – Listen Up

Have you ever considered why SPAM has caused such a public backlash compared to the deafening silence from its unsolicited paper cousins of direct and junk mail? People seem to care a lot more about what enters their Inbox than their letterbox. And for the word “care” think about logical substitutes of “notice”, “read” and “respond”.

All this translates into campaign results that can surpass other forms of direct communication making it an ideal cost-effective option for any small business owner.

And what’s more I believe that as a small business owner the odds are stacked in their favor to become budding email marketing superstars.

Let me explain why…

Firstly, it’s about personality. E-mail messages written in a personal style seem to work the best. Writing this way doesn’t seem to faze most small business owners. Usually their business shows more of their personality when dealing with customers than larger competitors so writing this way seems to be a natural option.

Secondly, a small business owner can understand what content that has a good chance of being read. With them working closely with customers they tend to understand what their customers want to know about and can easily translate this into articles and reports that will be read.

Thirdly, the time and cost-efficient nature of email marketing ideally suits the busy small business owner. It can take the same amount of effort to create an email newsletter for 500 subscribers as it does 50,000. Plus the costs of an email production are a fraction of the alternative paper option.

For a small business owner, a regular e-mail message can have as much personality and content to end up being the next best thing as a phone call from themselves, just more efficient and at a lot less costly to produce.

So, there you have it, three reasons why small business owners can make it big in the Inbox. Have fun harnessing this great tool for your company.

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