Facebook Business Page, Not Your Facebook Profile - Every Time

Business No-Brainers: Why You Should Use A Facebook Business Page Not Your Facebook Profile!

I was compelled to write this three-part article after meeting so many business owners who have not yet realised the benefits of a Business Page for their brand, products or services and are, in my opinion, really missing a trick. And then there are those who either misunderstand the separate entity concept of a Facebook Business Page or mistakenly think that it gives people a portal to their private lives online. I have even met business owners who to my dismay have set up multiple Facebook accounts with separate log-ins - so much unnecessary work for them.

1. Personal vs. Private

A Facebook Profile and Business Page are (nearly) mutually exclusive and lead very separate lives providing you always remember to post updates as your Page. Whilst there is a limit to what is 'public' on your Facebook Profile unless somebody is friends with you, if you are still concerned about the distinction, it doesn't do any harm to lock down the settings even further if you wish to - Facebook gives you the flexibility and control to do this.

On the flip side, putting yourself in the shoes of your family and friends, they probably don't want to see an update on your business every time they log in to Facebook same as you wouldn't want to read about a friend's job every time you did. Of course, if they have chosen to Like your Business Page then it's a different story but keeping the two separate in the first place gives everybody the option and upholds an individual's preferences.

Thereafter you have one universal log-in and there is no limit to the number of Pages you can create and administer.

2. It's Not About You!

There is nothing more frustrating than clicking on a Facebook icon on a website for it to then take you to somebody's Facebook Profile. This looks amateurish and as if you don't have a handle on how to use Facebook for business. I have lost count of the number of times this has happened to me and when it does, rather than taking the time to find out if there is in fact a separate Page, I simply turn off and close the webpage.

I am not personally in the habit of sending friend requests to people I don't know, but say in this instance I did? So, I've landed on a Facebook Profile by clicking on the Facebook follow button on a website and sent a friend request. This has now been accepted. BUT I still don't receive business updates, but rather the photos, comments, friend updates, etc. of not only the person in question but their friends as well who I equally don't know from Adam. Have I made my point?

3. Brand Newsfeed

A Page Newsfeed or Timeline is the equivalent of your Email Marketing on Facebook and underpins your success in reaching and engaging with people. Think of it as a person's inbox to which you deliver your entire Business Page related news, i.e. a Newsletter to which Fans have subscribed to. With the added bonus of a far lower unsubscribe rate, no reliance on subscribers forwarding it to their friends (albeit with an incentive for doing so built in), it is far less time-consuming to keep up to date and a sentence or two is all it takes for you to potentially obtain new Fans and increased exposure.

But let's also not forget the reverse, because what you read from others in your own Page Newsfeed will not only provide a wealth of inspiration and material for your own content ideas but also provide further opportunities for you to comment on the posts of others and be seen by their Fan/Friends.

The bottom line is that without your Page Newsfeed, you wouldn't be seen or noticed on Facebook - it really does embody the Domino Effect!

In essence, your Page Newsfeed equals increased exposure for your business/brand, invaluable insights into what you are saying most resonates with people but also provides ample opportunities for conversations with new audiences.

Just make sure that you are using Facebook as your Business Page in order to comment/post on the Business Pages of others.

4. Tagging & Commenting As Your Page

Isn't it great when your friends and family Tag you in photos you didn't know you were in or at a location you were both at? All well and good but imagine if your Facebook Business Page name could only be Tagged or commented on by them - it would be a very limited audience, right?

Well it's a good job that this isn't the case - another highly advantageous feature of Pages is that in addition to those who Like your Page, any Business Page owner can Tag/comment on your Business Page which opens it right out to a viral audience. And of course, each time they do this, you are maximising the number of Newsfeeds your Business Page name appears in and ultimately not how many Fans see it but also their own Fans too which offers rich pickings in terms of engagement and new fans.

5. The Sky's The Limit!

Did you know that a Facebook Profile is limited to 5,000 friends? Not that I know anybody with that number and if I did, I'm pretty sure they'd be too thinly spread to ever spend any time with yours truly!

A Facebook Business Page is a different story with no limit to the number of Likes it can receive. Whilst 5,000 friends on a Facebook Profile might be met with scorns of derision about its authenticity, if you've got 5,000 or more Likes on your Business Page you're going to be held in pretty high regard. But why stop there?!

6. Google Search Results

Whilst it is key that your online activity focuses on driving traffic back to your website, Social Media is the lifeblood of your overall online presence. Facebook Pages are indexed by Google which means that they are optimised for search engines. So the more active you are the more visible your business will be in a search resulting in an increased online presence and active and prolific impression on Social Media.

7. And The Winner Is...

Who doesn't love a freebie?! Contests/Competitions are a great way to build engagement with your followers/Fans and also incentivise other people to Like your Business Page and share your content, making them an instant ambassador for your Brand or business.

They are, in my humble opinion, one of the most fun and creative Facebook Business Page features and something else that a Facebook Profile cannot offer. The main reason for this is that they are generally only available via Apps or Advertising which Profiles do not offer the software for and, in the case of Apps, generally only installable to Facebook Tabs (see 12.), another exclusive Business Page feature.

Contests are a really effective way of incentivising people to share your Business Page or content and grow your Likes. Enough said?

8. Featured Likes

This enables you to showcase the pages of other brands/businesses that you Like - providing not only an insight into your brand/business and its interests but also to showcase the Pages of those businesses you have Liked which should also encourage reciprocity by those businesses.

Simply clicking on the 'Like Pages' link on the left-hand side of your screen allows you to choose from a list of Pages under various categories, including Brands & Products and Companies & Organisations. Of course, businesses similar to you or those whom you have an affiliation or association with, such as complementary services, trusted suppliers and so on, are always going to have maximum impact.

9. Business Page Owners

As with the content management system of a website, an Administrator of a Business Page can delegate administration rights to other Facebook account holders with a tier of different permission levels, which as well as allowing you to work smarter and free up your own time to focus on other areas of your business, provides an additional level of security because you don't have to give them the username/password for your own Facebook account.

10. Featured Business Page Owners

You can also make anybody who is already an Administrator of your Business Page a Featured Administrator/Business Page Owner. This will simply associate them with the Business Page by displaying their Facebook Profile Picture in the About section of your Business Page and also state that they are a Business Page Owner on their Facebook Profile. For my own business, the benefit of this is to allow people to see who the people in the business are, in the same way as the About Business Page of a website does.

11. Business Showcase

A Facebook Business Page allows you to display such information as your business's opening times, location map, telephone number, email address(es) and website address(es), etc. without compromising any of your personal contact details, such as a mobile number, Gmail address, etc.

In the website section you can also add up to three addresses of your choosing in addition to your business site - some suggestions are a link to your Twitter profile, LinkedIn Profile/Company Business Page, Google+ Page, Blog address, etc.

You can further showcase your business by providing a Company Overview, Description, Mission, Founded, Awards, Products (a call to action with a website link is recommended here), etc.

12. Tabs & Apps

Newsletter sign up, Twitter feed, e-Shop, website link or iFrame - these are just a few examples of how you can utilise your Business Page Tabs through the use of Third Party Apps, another feature exclusive to Facebook Pages. Not only that, but the majority of these Apps are completely FREE to download and use and, in many instances, customisable to your own business' needs. You can even set up an Amazon or eBay!

One of the many advantages of these Tabs is that followers can sign up to your Newsletter, view your Twitter feed, purchase your products/services, etc. without ever leaving Facebook. And, since Facebook's M.O is naturally to encourage traffic to stay within its own walls, you're in good hands. I have chosen to utilise one of these Tabs for my Blog (in addition to the website area where it can also be displayed).

13. Advertising & Promotions

Okay, so they're not free but Facebook Adverts still wipe the floor with many other (free) and organic techniques for growing your fan base. I'm not saying other methods aren't as powerful, far from it, but there's a reason you pay for Adverts - they REALLY WORK!

Facebook Adverts appear in a sidebar on the right-hand side of your Timeline (Newsfeed) right before your status bar of friends who are/aren't online. Whilst an Advert can only be set up by a Page, the beauty of them is that their audience is not restricted to Page fans; they can be used to target your friends too.

Whilst Facebook Adverts are a paid entity and can prove expense if not managed properly, you can control your spend with a budget, start and end date and maximum price per click (if you are going down that route), etc. Facebook offers you the choice of several tiers of advertising to suit your budget and objectives. You can also manage the Adverts from your Pages' Admin Panel to track their effectiveness in the same way as Facebook Insights (see 19.).

Promotions are also a paid entity but work slightly differently to Facebook Adverts in that they appear within your Page Newsfeed so appear more natural and less aggressive or targeted. And, whilst most of us know that by clicking on an advert the person who posted it is paying, this isn't so obvious or widely known with Promotions.

14. I'm just Checking in!

The Check-In Tool is another fantastic feature you can utilise to encourage people to engage and interact. It's also an easy way to provide the social proof that your Business Page is resonating with people and useful to them. In other words, those people who have Liked your Business Page have effectively endorsed your business to their friends. And this kind of social proof is an integral driver of a consumer's buying decisions.

Of course, this does rely on you having a physical location so if you are a work from home digital marketer it may not be the most useful feature but still worth knowing about and something else that is not available on a Facebook Profile!

15. Notes

This vastly under- utilised and valued yet fully interactive Facebook Tool can be used almost like a Blog and as another platform through which to further expand on your Products, Services or Brand. Notes are similar to Blog posts in that you can add or edit content and also avoid the 420 character restriction of a status update.

Fans can even Like and comment on your Notes and equally any Notes within which your Business Page has been tagged or commented on is accessible by you. They can even interact with other Fans about your Business Page which not only increases your Page's exposure but also provides you with the opportunity to increase traffic to your Blog and your industry authority and credibility.

You can add comments, photos and images, tag other Fanpages, and even format the style and layout of Notes, i.e. use bold, italics, or underline, numbering, bullet points and quote blocks.

Why are they important? Well, Google will index your Notes if you have properly optimised them and increase the probability of them appearing in a Google search, which of course means an additional stream of traffic for your Business or Brand.

Several years ago you could also use the Notes feature as a bonafide blogging platform but this seems to have been buried by the updated Newsfeed. There are rumours however that Facebook will revive the blogging functionality of Notes so watch this space for developments!

Do you use the Facebook Notes tool - if so, what for?

16. Import Contacts/Invitations

As long as you are using Facebook as your Page, you can invite a whole host of people to Like it and increase your number of Fans exponentially. This is absolutely my recommended port of call when you first set up a Business Page because they are already your captive audience and therefore incredibly influential in growing your Likes through their own Newsfeed. As I said in point 14., the people who have Liked your Business Page have effectively endorsed your business to their friends. And this kind of social proof is an integral driver of a consumer's buying decisions and which also helps non-profits to garner support. After all, word of mouth is the oldest form of marketing in the world but arguably still the most powerful, right?

There is nothing wrong with periodically re-inviting contacts to Like your Page and your lists will no doubt have grown since you last did this anyway. Facebook does also allow you to select which people you would like to invite to Like your Page so you can make it more targeted if you so wish.

17. Link Your Business Page To Twitter

If you sync your Facebook Page with your Twitter account, whenever you create a post in Facebook, both Social Media channels will be updated simultaneously. Not only is this a quick win but you are working smarter as you don't have to update both channels with the same content. Be mindful however if you use the HootSuite Social Media Dashboard that you don't post to both Social Media channels otherwise even the most diehard Fans will quickly turn off if they are seeing double every time!

18. Unique Username

A unique username or Vanity URL, such as Facebook.com/example will also assist with your search ranking and make your company name synonymous with Facebook, especially valuable if this is also your brand/product/service.

Much as you would add your current job to your Facebook Profile if you were an employee, you also have the facility to add your Business Name to your Profile with a link to your Business Page (please note that this will not link your Facebook Profile and Page, merely show where you work).

19. Analyse Your Page's Activity

Once you have 30 Likes, you will be able to view Facebook Insights, which provide in-depth analysis on every one of your Business Page posts to see how many people your post reached how many engaged with it and how many talked about it with their Friends. You can also compare your different posts by showing the percentage of people who talked about your post to their Friends after seeing it. You can also export a report of your Facebook Insights to a spreadsheet and email it.

As defined by Facebook, "Insights provides Facebook Business Page owners... with metrics around their content. By understanding and analysing trends within user growth and demographics, consumption of content, and creation of content, Business Page owners... are better equipped to improve their business with Facebook."

Entrepreneurs: How Strong Is Your Business Foundation?

A Business Lesson from the Three Little Pigs

One of the most important business moves an entrepreneur can do is make sure that their business is grounded upon a solid foundation. Just like a house, a business cannot survive in an unstable environment or on shaky ground. If for some reason an entrepreneur ignores this concept and moves forward to build their business on uncertainty they are definitely setting themselves up for failure and loss. Trust me when I tell you that successful entrepreneurs know the value of beginning your business venture on the grounds of stability.

Interesting enough, when I think of a business's foundation I think of the story of the Three Little Pigs. I know this concept may seem a bit odd at first; however, after further analysis it makes perfect sense. As many of you already know each of the pigs built their houses in three distinct ways using three distinct types of materials. In the story, Pig number 1 built his house out of straw. Pig number 2 built his house out of sticks. Pig number 3 built his house out of bricks. In an effort to show the relevance between this story and an entrepreneur's business foundation I will explain how a foundation built upon straw, sticks and bricks is relevant to entrepreneurial success.

A Business Foundation Built Upon Straw

Straw is the material that is left over after grain is separated from cereal plants. Typically, when you think of straw the thought of animal feed comes to mind versus house building. In the Three Little Pigs story pig number 1 used straw to build his house as a protective measure against the big bad wolf. However, the straw was not a strong enough material and the wolf was able to blow it down making the pig's house irrelevant.

In the business arena the same fate would occur to an entrepreneur that decided to build their business on a foundation made of straw. Straw, without a strengthening agent is a very weak material. The slightest amount of pressure added to it and it will crumble to the ground. The best analogy to a straw foundation would be a business built upon fabrications. Fabrications could be anything from falsified financial statements, defective products, and other deceitful business practices. An entrepreneur that builds their business based on lies will eventually find themselves at the wrong end of the law; which could not only cost the entrepreneur their overall business but their reputation as well. Bottom line, building a business upon a straw foundation will more than likely have a detrimental outcome.

A Business Foundation Built Upon Sticks

Now, if you are anything like me, you are wondering if a straw house did not work for pig number 1 in the Three Little Pigs Story, then why would pig number 2 build his house of sticks. Well, it's due to the same reasons entrepreneurs that have had failed businesses in the past repeat the same mistake in their current business. Neither party seemed to have learned their lesson despite the losses. Now unlike straw, sticks have a bit more stability but will still have the same outcome despite this fact. Sticks in the business sector are entities such as non-existent business strategies, irrelevant mission and vision statements, and other overlooked business foundational principles. If an entrepreneur fails to have these key entities in place within their business then the business is bound to fail just as quickly as a business built upon lies and deceit. The result of building a business on a foundation of sticks means that the entrepreneur failed to plan and as a result they subsequently planned to fail.

A Business Foundation Built Upon Bricks

Now pig number 3 understood the value of building his house on a solid foundation. He even accounted for the fact that the other pigs built their house out of mediocre materials and would need a place to stay once it all came tumbling down. As an entrepreneur this is the mindset that is needed to build a business on a foundation of bricks. Bricks can be categorized as investments, information technology, key stakeholders, strong organizational structure, and other business functions that lead to maintaining the competitive advantage. In order to succeed an entrepreneur must build their business on these solid foundational principles. Just like in the story of the Three Little Pigs a house build upon bricks can withstand the harshest of elements and will not fail in the face of uncertainty.

Benefits of Leasing Equipment For Small Business Owners

Many small businesses or those which are starting up prefer leasing equipment rather than buying the equipment outright. Banks have also recognized this trend and they are now giving loans to small businesses. Today, leasing equipment is a common trend for business owners. We have been proving leasing services for many years to small business owners and those businesses which are starting up to ensure that they are able to use business equipment which they cannot afford to buy. There are many benefits which a business owner gets by leasing equipment at any stage of development as illustrated below:

There is minimal cash outlay for equipment leasing!

When your business requires many computers, buying them requires you to have large capital outlay and reduces your cash flow. In addition, the cost of maintenance & repairing them will be high. By leasing our equipment you will be able to conserve cash from your business and improve your cash flow capital. Equipment leasing services does not include servicing the leased equipment in case they fail therefore you will save both maintenance and purchasing equipment at the end of equipment lease.

Overcoming budgetary limitations!

If you have a small budget that is not enough for buying new business equipment especially if you are starting up a business, leasing can be the best option for your business start-up. Operating budgets tend to be more flexible than a capital budget and we can ensure that our leasing terms are flexible as required by law and also negotiable depending on your business needs. Moreover, our leasing terms are better than standard bank loans thus making payment even more better and flexible.

Avoidance of obsolescence!

Obsolescence is among the major problem which many businesses face because the technology changes from year to year. However leasing equipment allows your businesses to develop since our lease terms can be structured in a way that can handle these changes. Therefore, your business will have a solution to the equipment which depreciates quickly. Plus our leasing terms makes it easier to add or upgrade technology in order to meet the ever changing needs of your business.

Speed!

Sometime buying some equipment may involve a lot of documentation thus making the whole process to take long period of time before it is completed. However, this is not the case with equipment leasing. Leasing allows you to respond quickly to new opportunities with little documentation & red tape. Equipment leasing companies can approve applications within a few hours.

Flexible in terms of options!

When you lease equipment for your business, you will have three options at the end of the term: you can opt to return the equipment, extend the lease for an additional period of time or can purchase the equipment from the leasing company at the end of lease term. These options are not available when you buy your own business equipment.

Tax benefits!

Equipment lease rental payments might be fully tax deductible and can come out of your business funds before they're taxed. If you buy new machines from your working capital, it means that you are using money that you have already paid taxes on. Therefore, this means that by leasing equipment, the total cost of ownership can be lowered for your business.

How Much to Pay For a Business

The methodology outlined below is a simplified approach and as purchasing a business is a very significant step and every individual's circumstances are different, I strongly recommend that you speak with a professional advisor familiar with your personal situation and needs before entering into any binding contract.

VALUING A BUSINESS: CRITICAL POINTS

There is no right or wrong amount - There is only what you are prepared to pay and what the seller is prepared to accept - nothing else is relevant.

How much to pay is based on what CASH you can realistically expect to generate from the business in future years - (There are many valuation methods available from complicated mathematical formulas to a simple percentage of sales. These methods make a good cross-check to the method suggested below).

HOW MUCH TO PAY - THE METHODOLOGY

STEP 1: NORMALISED PROFIT

Calculate a "normalised" annual cash profit (before tax) the business is likely to earn next year based on its past history. This is usually done by beginning with Last Year's annual profit and making adjustments for items

incurred last year but won't be incurred next year

to be incurred next year but weren't incurred last year

Non-cash items

Examples of items you could adjust for

INCREASE PROFIT BY

Any wages or benefits paid to the business owner (or people related to the business owner) who will not be continuing when you own the business. This is not just wages but superannuation, medical benefits, motor vehicles, non-business (or slightly business) travel etc.

Interest Paid and any Other Finance Costs (that you will not be responsible for)

Depreciation and any other Non-Cash Items

Any Non-recurring expenses that occurred in the prior year (e.g. legal fees on a case which is now resolved)

The expected annual profit of any new (major) customers not included in the past year's sales

DECREASE PROFIT BY

The market wage & benefits payable to you and any partner/relation that will work in the business (the amount is what you would be paid if the business was owned by a 3rd party and not necessarily what you will actually be paid)

Any expenses that will be incurred in future years, which are not included in last years' profit (e.g. the business moved premises 3 months ago into a more expensive site - decrease the profit to reflect the new rental for the next 12 months less what was paid last year)

Any revenue earned last year that would be considered abnormal or not likely to occur next year (e.g. a large client was lost to a competitor, a "special" job which won't occur again)

If there is likely to be significant capital expenditure (new equipment) over the next 3 to 4 years then an adjustment should be made (usually the cost of the equipment divided by the estimated years it will be used in the business)

At the completion of this stage we will have a value which represents the NORMALISED CASH PROFIT. This is the amount of profit before income tax that the business is expected to earn next year if it continued to run as it has done in the past.

STEP 2: SELECT AN APPROPRIATE MULTIPLE

There have been books written on what multiple to select and why, but here's a RULE OF THUMB which has served me well through many purchases. There are 2 ranges

Smaller Business (Profit less than $100,000) 2 to 3

Medium Business (Profit $100,000 to $500,000) 3 to 4

(This methodology is not suitable for larger businesses)

STEP 3: CALCULATE THE VALUATION RANGE

Multiply the NORMALISED PROFIT calculated in Step 1 with the MULTIPLES in Step 2.

E.g. If you had a normalised profit of $150,000, the valuation range would be $450,000 to $600,000

STEP 4: NARROW THE VALUATION RANGE

To narrow the range further compile a list of factors which either improve or detract from the certainty that you will earn the normalised profit amount calculated in Step 1. Each factor that improves the certainty will support paying a higher amount in the range, each factor that detracts from the certainty supports paying a lower amount in the range. Based upon the number and importance of the factors in each category will allow you to tighten the range to either the lower, middle or upper portion of the range calculated above.

Examples of factors include

1. Age of Business

A business that has existed for 20 years is likely to have more certain earnings and be more established in a market than a business that has existed for 2 years

2. Size of Business

Generally the larger the business the more likely the business would survive any negative events

3. Certainty of Revenue Stream

There are many items that might improve or detract from revenue including

Options to Confront and Manage Business Debt

Half of all small businesses fail within their first five years because of insufficient capital, poor credit arrangements, and business debts. The difference between a successful business and a struggling business is taking on the right amount of debt at the right time. When dealing with business debt, there are a few options to change a struggling business to a successful one.

Borrowing in business makes sense in order to create a cash flow, financial growth, or expand. However, there is a fine line and it is easy for small businesses to overextend themselves by borrowing too much without the capacity to make back what is owed.

There are two main ways to deal with debt. First is to save the business while settling debt. Second is to allow the business to fail, but with a well constructed exit strategy. This means financial consequences will be less.

In order to save the business, it may require taking money out of pocket to put into the debt payoffs. This is considered a calculated risk that could fail as easily as succeed. This option should only be done if it can be justified as a short term tactic that promises a long term payoff.

If private funds do not work, then areas need to be identified where costs can be reduced. An unused space could be subleases. Unused equipment could be sold off. The workforce could be reduced, although this is not attractive and has other consequences that come with it.

Talk to customers often to figure out how to increase exposure and improve the business model to earn more revenue. Offer best customers markdowns if they pay quicker. Contact suppliers to arrange discounts or deferred payments.

Creditors should be contacted and informed of the current debt situation. Ignoring lenders will make the situation worse. Tackling a debt problem in the early stages will make the process easier to resolve. It is in everyone's best interest to find a solution, so lenders should work with businesses to lower interest rates, increase the credit line, and restructure repayment options.

Dealing with multiple creditors or collection agencies can take away from the important responsibility of running the business. If this is the case, debt problems should be outsourced to a professional debt settlement consulting company. Reputable consultants can negotiate with creditors on behalf of the business to settle debts for less than what is owed.

Loans can be consolidated into one payment that can be reduced into monthly costs without negatively affecting credit. Business debt consolidation loans allow owners to deal with a single creditor as opposed to many. This could allow for a loan with a lower interest rate.

This process works best when using a debt consultation company. They will negotiate a new loan, collect payments from the business, and pay off previous creditors. The loan can be unsecured or secured with business assets.

The last resort option is a Chapter 11 bankruptcy. This route is only used to salvage a company for parts. Do not choose this option is the business debt is temporary and the company is otherwise viable.

Bankruptcy is an expensive and complicated process that requires services of an experienced bankruptcy attorney. This is not an option for simply reducing debt burden. If the business assets are worth less than the debt, bankruptcy allows owners to pay only what the assets are worth and not the entire balance due.

If a business is on life support with unmanageable debt, shutting the business down may be the best option. Do not just close the business without settling debt or else creditors can sue owners or go after personal assets. There are a few options for failing a business.

Business Transformation Begins With a Great Business Plan

The idea that all great businesses start with a great strategy and business plan is certainly nothing new, yet it's amazing how many business owners still don't take the time to create one. This is a huge mistake - it is the business equivalent of starting an expedition without planning your destination, your objectives or the equipment you will need on your journey.

If you are to be successful in business, it's essential that you have a clear strategy.

There are many ways to describe a business strategy, including 'big picture'; 'overall plan'; 'market positioning'; 'niche'; and they all have an impact on the way that an organisation can change and adapt to a changing market and economy. Consider this example of how this sort of business transformation works in the real world...

If you were running a business before the invention of the car, making quality horsewhips out of leather, then you would almost certainly go out of business if you continued to define your business as 'horsewhips' once everyone began abandoning their carriages. However, if you defined your business as 'leather travel accessories', the introduction of the car could easily become an opportunity to expand the business, perhaps by adding leather steering wheel covers or driving gloves to your range of products.

This is the key to the kind of business transformation that keeps businesses afloat through changes in the economy. In fact, it is also the key difference between successful companies and the rest. For example, consider the transformation of Apple Inc. when it positioned itself not as a maker of computers, but moved towards music, telephones and subsequently portable devices. This all came from a change of business strategy. It added to their business, but took nothing away from the original business of making computers; indeed, it created more revenue to invest even more heavily in this area as well.

Defining your business in a way that is 'future proof' is the first step towards achieving business transformation. You need to really get to the heart of what you're doing, so there's no confusion in the minds of you, your people or your customers. Perhaps you could broaden your business base by subtly adjusting the way you define it, as in our earlier example?

The next important step is to put things into action. A lot of businesses get confused between a strategy and a business plan. In our experience you should distinguish between them as follows. A business strategy is about the overall direction of your business in the medium to long term; a business plan is all about how you get there, in simple stages, in the short to medium term.

How to Create a Business Blueprint

Businesses, like buildings, require a blueprint or a design plan. Could you just start building and putting up walls? Sure, you can start enthusiastically and creatively, but there will come a point where parts aren't coming together as they should and your efforts begin to feel unproductive, confused or even wasted.

Entrepreneurs begin businesses in many ways based on their personalities and belief systems. Some need detailed, well researched plans. Others jump in, get clients and are rolling before they've even decided what business they choose to be in. Then there is everyone in between.

For some, planning dampens their enthusiasm, for others, it's an absolute necessity. Regardless, the planning process itself is a great exercise, pushing the business owner to develop clarity and goals in key areas.

Where it gets interesting in my opinion, is after the plan is finished. How is it used? Is it used at all? Does it prove to be a guiding light or a rigid limiter?

For one to adhere to very detailed plans, the business owner, the organization and the plan have to be well aligned. The plan should be reviewed and revised regularly, quarterly or monthly, so that congruency remains intact.

For the non-planner types, a business blueprint provides vision, structure and general form. It's a useful framework, providing structure, direction and purpose, while leaving plenty of room to shift and create over time.

Here are some key components of a business blueprint that can serve as the foundation for your developing business:

1. Your Vision - There is something you envision when you go into business. Capture that vision on paper. Why are you driven to be in business at all? Who do you serve and how? At its future best, what does it all look like as it plays out?

Specificity in your vision is key. This is the "down the road" snapshot that you hold in your mind as the prize. The plan is designed to help you reach this vision, so the clearer the vision, the more helpful the plan.

2. The Why - Document and regularly remind yourself of why this vision matters to you. Your "big why" is any reason you have that is meaningful enough to drive you through challenges and difficult times. Identify your most significant reasons for being in business and remind yourself of why you are willing to do what it takes to recommit each day.

3. Unique Brilliance - Your unique brilliance is that special life force that you bring to your business that makes it authentically you and gives it power. If you examine what you have always loved (from childhood), attach words or qualities to it, you have something truly special that brands and differentiates your business because of the qualities you bring.

Your brilliance isn't a technique or skill, it's a talent that emanates from you and permeates your work. For example, a unique brilliance statement might be: "I spark innovation." Keep it simple yet powerful. Think of Walt Disney. I believe his childlike imagination was his unique brilliance, and look how that played out.

4. A Stand - What is an overarching principle of your business? Are you taking a stand for something in your business that transcends the products and services? State what you stand for that is expressed through your business. For example, "I am a stand for people communicating effectively to make the world a more harmonious place."

5. Expertise - What are you an expert at? This is still aimed at the business owner, but is more related to the work he/she is doing. What expertise do you have (and should your team have) that will drive the business forward. An example might be, "I am an expert at making people beautiful." This expertise will be used in the business and in the branding.

6. Brand Values - Identify the brand promise you are making to the market you serve. This is the promise of an experience they can expect to have when working with you regardless of the product or service. What values are necessary to provide that consistent experience? As an example, consider Four Seasons Hotels and the experience you have there whether you stay in a suite or just have dinner in the bar.

7. Target Niche - Who specifically is your ideal customer? Choose as narrow a niche as you can so your marketing can be very targeted and specific. This is not intended to turn people away, but to give you as clear a picture as you can get of the client or customer who is best served by what you have to offer and your expertise. These are the people you need to speak to in your messaging as they will be most willing to engage.

8. Products/Services - Define and describe exactly what you are offering to your niche audience. What products or service does your business provide and why? What is the intention for each one? What results should customers expect from what you offer? What differentiates your products and services from similar ones on the market?

9. Marketing and Sales - Provide details of how you will market your products and services and what your sales process will look like. Regular attention should be paid to the optimal ways of reaching your audience and turning them into paying customers. Identify mechanisms for tracking what works and what doesn't. Great communication and consistent branding is key here.

10. Delivery System - How will customers receive the products or services being offered? From beginning to end, there is benefit to designing and implementing good systems for efficient and high quality product/service delivery. Consider detailing this out for every category of service or product.

11. Operations - What are the front and back office activities that make the organization work seamlessly and efficiently? Who are the players? There is a flow of production, communication, information, transaction, and follow up that happens in every business. Design the best operational systems for each area of your business and document the desired flow and the team necessary to make it work.

12. Pricing - Identify pricing structures for your goods and services that cover costs and provide reasonable profit margins. This requires that you do your research into the cost structure of your business in all areas, as well as gaining an understanding of the range of comparable pricing in the marketplace.

13. Financial Goals/Tracking - Every business must have financial goals to strive for and ways of tracking key financial targets. Identify five to ten key revenue drivers and set up tracking and reporting mechanisms to see where you are headed and if your strategies are yielding results.

14. Personnel/Team - Whatever your current size, plan how your organizational chart will look when you reach your goals. In your future vision, how many people are working in the organization and in what capacities? Assign a value to your time as the business owner. If you can hire someone for less than the value of your time, you want to work to that end. Continue that analysis throughout the organization. Prioritize future hires, and plan how delegation can take the business to new levels of growth.