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Stock Market Tips for Beginners

We’ve all heard the tired cliché “don’t put all your eggs in one basket.” In other words, to be successful in the long run, it’s a good idea to spread your money around in diversified areas. You’ll certainly invest some in a retirement fund. Maybe you’ll save some in the bank, but good luck accruing any notable interest. You’ve likely at least considered investing in stocks as an option. But what if you don’t really know the stock market? It can be hard to tell the difference between a reliable investment and a disaster waiting to happen, and this can get intimidating fast. Maybe you’ve been scared away from this option in the past. Fortunately, there are some no to low risk options for newcomers to learn the ropes before diving in.


Tackle the Basics


If you’re completely new to the stock market, or options trading, you may consider studying with the assistance of a service like options animal. These services will often offer some free tips about the basic concepts of investing, so you’ve got nothing to lose by just having a look. Beyond this, they’ll offer paid courses on different elements of investment and wise practices, all backed up by experts. You’ll be able to choose which individual course(s) you wish to undertake, so you’ll get an individualized experience for your needs, whether you’re a beginner or an advanced trader.


After looking at these options, it’s wise to test your knowledge/instincts before actually heading into the market. Thanks to apps like Tradehero, it’s possible to trade with virtual currency to test the waters. This app starts you with 100k in virtual money and lets you invest in different options and watch the virtual market change in real time. It also offers tips from trading experts, and in some countries it’s even become possible to make real trades with the app once you’re comfortable with the concept. This makes the app a good potential bridge from a risk free environment into the real market.


Find Your App

Once you’re comfortable with the basics, you’ll need to find your vehicle for your trading. Luckily, there are plenty of apps to choose from to match your experience and needs. Acorns is a low risk app that’s near universally considered good for beginners. Essentially, this app keeps track of your spending and “rounds up” purchases to use in your account. It collects change to store in your investment folder, and it also makes suggestions on where to invest the money. You have little to lose with this method, and you may be surprised how quickly that spare change can turn into significant revenue.


If you’re looking for something more adventurous, or maybe some quicker returns, a technique called “day trading” is fairly simple to understand. This is basically the practice of buying stock and holding on to it for a brief window (sometimes not even a full day, hence the name) and selling it as soon as it goes up. Robinhood is considered a good app for this, as it doesn’t charge any commission fees. While it won’t bring in a ton of wealth at once (unless you’re risking huge sums), it’s relatively low risk and can net you some extra money with little effort.

Enlist Help


If the buying/selling stocks seems complicated or stressful to you, or maybe you just don’t want to deal with the hassle, there’s no shame in calling in the pros. In fact, there are some advantages in hiring a full service broker instead of handling everything yourself. They can offer you on-the-spot expert advice in an ever fluctuating market in more detail than an app. They can also maintain all the documentation for you, which can free up a good chunk of your time. Best of all, ensuring your success is their livelihood, so they’ll be as invested as you are.

However you decide to go about it, there are plenty of convenient ways to invest regardless of your experience level.

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Ways to Become Better at your Job and Get the Promotion You Want

Are you tired of waiting months on end for your job application to be viewed by the employer? The real reason you don’t hear back is that on average, job postings receive more than 200 applications. By process of elimination, roughly four to six people are invited in for an interview, leading to one person receiving an offer. Fortunately, resume writing services can advise you on how to write an engaging cover letter or build an attractive profile on LinkedIn. A certified resume writer will recognize issues with formatting or signs of keyword stuffing.


Employment Boost works with clients to help them get hired by writing top-notch resumes that are guaranteed to reach the top 1% of the ATS system from human resources. Employment Boost offers only the highest quality resume writers, all certified professionals, with Bachelor’s degrees from top colleges, to make your job hunting easier. Their in-house team is situated exclusively in the US so there is no outsourcing to overseas freelancers just to cut corners in case you’re concerned about who is viewing your personal information and your past work experience.


Introducing Employment Boost’s Outplacement Services

On top of that, their resume writers have years of experience recruiting for agencies, interviewing qualified candidates, and advertising job openings, therefore, they know what goes on in the resume screening process. For evidence of their success at placing people in all kinds of careers, just read about the company’s case studies. Employment Boost’s main goal is to assist job seekers using the most up-to-date career services available. They emphasize the importance of moving up the corporate ladder, thereby creating high-impact resumes, allowing individuals to find their dream job in no time at all.


Since the job market continues to be unstable, it’s necessary to understand how different hiring managers make decisions as to who should be invited on board, including whether the candidate has the right skills to keep the business cycle running or not. Other services they cover include but are not limited to, global executive searches, national recruiting, human capital consulting, and even research the backgrounds of job seekers, such as their ethnicity and age. Employment Boost gives you access to professionals who understand the skills most in-demand in each industry, followed by how you can present your accomplishments in an eye-catching manner.


Instead of listing your past employment dates and responsibilities, you should only focus on the skills relevant to the position you’re applying to. And that’s where Employment Boost lends a hand, using their resume database, which contains thousands of possible resumes to compare with yours. For more information on their pricing, visit https://employmentboost.com/outplacement-service-costs-and-pricing/. This page lists all the services each outplacement package covers. You could sign up for interview coaching or learn how to write a Thank You letter.


What to Expect from their Core Packages

It has everything you need to secure your job hunt. The Executive Core provides transitional support and career planning, not to mention weekly coaching that lasts up to 3 months. If you need one-on-one consultation, Employment Boost will arrange your meeting with a coach. As for updating your LinkedIn profile, they’ll guide you through how to fill out each section to make you more noticeable to employers. You no longer have to worry about your resume slipping past the ATS system, once you understand how SEO rankings are determined.


The real question becomes: When is it a good idea to use a resume writing service? You certainly don’t want to get passed over for a specialist position in robotics engineering or medical diagnostics just because your resume didn’t impress the hiring manager. The format of your resume is equally important as your actual credentials. A quality writing service should consider the specifics of an industry before editing anyone’s resume.

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The Rise of Subscriptions and The Fall of Advertising

Individual startups have brought about stiff competition like never before. Established companies are struggling to compete with them. For instance, Airbnb has disrupted the hotel industry. E-commerce has made this disruption possible. People prefer to shop from digital storefronts. The trend is changing slowly and settled companies that have been around for years may be taken down. Businesses are shifting their models from adverting to subscription. They have become sensitive to consumer’s demands. Companies that still use advertising will have to change their strategy of doing business.


1. Subscriptions are becoming popular

The media industry is shocked at the growth that is taking place in media businesses supported by subscription models. Newspaper companies such as The New York Times had been overtaken by startups that were supported by subscription models. However, these established media companies have caught up with the rest after taking up the subscription models.


A popular trend in e-commerce has seen consumers start by buying products in one category and eventually end up buying most of the things online. This trend has affected customers who begin by subscribing to a single media channel then finally sign up to other channels. You will end up getting everything you need from these platforms.


People are warming up to the subscription model. Media players have used visualization tools to come up with personalized application experiences.


2. Advertising has become frustrating

Interruptions caused by advertising has become frustrating. It makes it hard to concentrate on one thing and results in wastage of time. This fact has contributed to the growth of subscriptions. In the past, the interruptions were few and so were the digital media channels. You had no options to pick from, so you couldn’t avoid the advertisements. The growth of the digital media has given consumers the freedom to choose the channel they want to view. Keeping up with these channels at once is difficult, so any interruptions from advertisements become unbearable. Consumers end up subscribing to get rid of the ads as they affect their concentration span.


Not only will you make little money using advertising-supported business models, but you’ll also struggle to keep up with the constant changes that take place in this industry. The cost of free sites is increasing as fraud has caused publishers to pay for third-party verification systems. You will also need to spend on a sales team to keep your clients happy. At some point, it will become too much, and you’ll need to find a better way of setting up your business.


3. Subscription improves the product

Your products improve when you focus your attention towards keeping you paying customers excited. The people who make mobile games have discovered this secret. They shifted from showing the advertisement banners at the bottom of the mobile’s screen to requesting users to pay to get better experiences.


Netflix is an example of a company that has invested heavily in its programming software. This software makes personal recommendations of television shows and movies that their users are yet to see. These firms depend on information from their relationship with clients to know their preference. Companies will come up with quality content with the intention to attract and maintain their subscribers.


4. Predictable, recurring income entices investors

Investors are frustrated from putting in money on advertising models that have minimal returns. This frustration has caused companies to shift to subscription models which have predictable, recurring income. Companies will choose to get rid of the ad model and direct their consumers to the subscription page. Investors will seek to find out the revenue generated per user before deciding to invest in companies. This method will enable them to make data-driven decisions. Money that would have been used to create ads will be used to improve the products.



This trend won’t affect companies immediately. However, from the points above you can tell that there will come a time when firms won’t be able to reach their target audience using the traditional interruptive advertising. A smart business leader will prepare for a future where subscriptions are the way to riches.

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Things to Consider Before Turning Your Great Idea Into a Business

You have great idea you think you can turn into a viable business. That’s awesome! Now you need to get to work in order to make your dream a reality. Turning a great idea into a profitable business requires time, effort, and a willingness to do things the right way.


Below are three things you will need to consider in pursuit of your new business venture. Each one is considered a fundamental of business success. As you connect with others capable of helping you succeed, they may suggest a few other things for your consideration. Heed their valuable advice.


1. Realistic Market Demand

You may think your great idea is original, and perhaps it is, but don’t just assume. Take some time to do a bit of market research. See if there are other companies out there offering the same product or service you intend to offer. If you’re facing a lot of competition, you might find that turning your great idea into a viable business is more difficult than you originally anticipated.


Entrepreneur Magazine recommends a combination of first-person, secondary, and web research. First-person research involves speaking with people over the phone, face-to-face, and online. Make a point of asking the sorts of questions that will allow you to get a feel for what they think about your idea.


Secondary research involves looking at already published data from other entrepreneurs. This sort of research involves news articles, research papers, case studies, and the like. It goes hand-in-hand with web research, which consists of scouring the internet for as much information as you can find about your idea.


2. Amount and Sources of Funding

The vast majority of small businesses – roughly 80% – survive their first year of operation, according to the Motley Fool. Only half of them make it past five years. Among those that fail, the number one reason is a lack of adequate capital. Simply put, small business owners fail to secure enough funding to get them through the lean years.


A general rule for calculating funding is to start by estimating initial startup costs to cover equipment, office supplies, labor, and so forth. This should be followed by estimating the monthly costs of keeping the business going. You’ll need to think about everything from office rental rates to business insurance quotes.


Finally, put together a revenue forecast based on a modest expectation of your sales. Run the numbers on all three estimates to determine how much funding you’ll need for one year. Then secure enough funding to make it through at least two years.


3. A Well-Developed Business Plan

A business plan is a document that guides you through the early stages of getting started in your new venture. Bankers and investors often require business plans before they will even think about funding a new start up. However, a good plan goes well beyond the confines of funding. It forces you to think through the details of how you plan to establish, grow, and maintain your business.


The Small Business Administration (SBA) offers a comprehensive guide for writing business plans. They explain the differences between traditional business plans and lean startup plans, as well as offering examples of both. You would do well to visit the SBA website to take advantage of all the free information they provide.


Your great idea deserves a shot at becoming a viable business. But don’t expect overnight success. Taking an idea from concept stage to full operation requires a deliberate, step-by-step process that maximizes opportunities and mitigates risks. Seriously consider the three things explained in this post, then go out and get to work. The success of your business is in your hands.

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Technological Tips that Make Management a Breeze

Office management involves the ability to handle various tasks and responsibilities of that capacity. A good Office Manager is the one who ensures that all he deals with all the duties of the office responsibly. The core duty of an Office manager is to control and improve the logistics within the office to ensure support for all employees of the enterprise. An Office Manager also controls checkbook IRA for every employee. As an Office Manager, you take up various tasks such as being the office shopper, overseer, financial advisor and event scheduler.


An office manager cannot manage all the roles that are involved in office management unless he has employed sophisticated office management software and tools. This factor makes office management enjoyable and easy to handle.


The following are some of the most useful office management tools that can help you to improve your management skills in an office.


The Scrum Board

This tool is popularly known for software businesses. It is a management strategy that allows enterprises to adapt to changes quickly and also reduce unhealthy lagging. Jeff Sutherland established this style in 1993, and it has been used by various organizations such as government agencies and car companies to achieve their goals. The tool enables companies to attain their planned programs within the set timelines. Scrum involves the following steps.

  • Hurries that are aimed at reaching the project’s milestone. This process takes a maximum of two weeks.
  • Monitoring of all the elements of the projects by use of daily stand-ups.
  • A scrum board. This function is meant to trace the progress of every department regarding completion of the project.
  • Continuous advancement of the project objectives to ensure that the customer’s needs and desires are met.


Customer Relationship Management Insightly

A business will have to serve customers regardless of it being a B2C or B2B. It may sound impossible to keep track of all the business customers, but Insightly gives you the ability to manage all of them efficiently. The tool enables you to organize all of your clients and also allows you to manage projects. Additionally, Insightly can detect every social media account that is associated with your customers’ email addresses. The application brings all your clients’ information in one place and the long run, you get some easy tasks in the office.


Hipmunk for Travel

Everyone finds it easy to organize for their traveling programs. It becomes complex when as an Office Manager, the company requires you to plan for a travel program of a section of employees. It is a different, arduous duty. Fortunately, Hipmunk makes everything easy for you in this case. The tool advertises thousands of hotels and flight while comparing them from various sources. The App allows to compare the flight and also directs you to the location of the hotel that you booked. The style also allows you to purchase a package. This puts your trip into a one-easy transaction.


Amazon Business

Ordering products needed for office management is probably one of the hardest and tiresome exercises in office management. Some of the products that are always used in an office include notepads, printer inks, and company jumpsuits. Amazon Business is the best helper for you when it comes to ordering office products. Amazon offers you free two-day shipping and allows you to open numerous accounts that can be used by other employees to purchase goods.


HootSuite for Social Media Management

You may not be tasked with the responsibility of managing your company’s social media as an Office Manager, but it is imperative to keep an eye on the things that are posted on the accounts. In such an instance, HootSuite can become all that you need. The App enables you to schedule various posts of more than 35 networks. It can also allow you to monitor how the company’s posts are doing and check what people post about the company.


All the tools that are discussed in this article are essential to tackle various roles in office management. A combination of them can make the exercise a real breeze. Make a wise choice of the ones that best fit for the tasks you are responsible for as an Office Manager in your particular company.

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How to Turn Side Investing into a Full Time Job

Investing your personal capital in the stock market is a practical necessity for anyone to achieve their long-term financial goals. While most investors consider investing to be something that they do on the side and to achieve long-term goals, others may decide that they want it to be there full-time career. If you are considering going into trading stocks full-time, as opposed to working another full-time job, there are a variety of tips that you should follow to ensure that it is a smooth and successful transition.


Consider Your Options

If you enjoy trading stocks and have been good at it successfully, you could have a variety of career options at your disposal. One option would be to work for yourself and simply trade your own capital. While this can be a good option, it could be difficult to support yourself unless you have already built up a solid nest egg. Another option would be to work for an investment bank or financial planning company. In these organizations, you will be able to work a variety of different roles in which you will be able to invest other people’s capital.


Plan to Support Yourself

If you decide that you would like to invest your own capital, you will need to figure out how you will be able to support yourself for the time being. If you want to earn the most amount of money possible in the stock market, you will need to be able to keep as much money in the market as possible. This means that you will have to limit the amount of money you take out of your investment account each month. To make sure that you are able to minimize your personal distributions, you should have some source of income or other savings available to support your lifestyle. It would also be a good idea to have an agreed upon plan that will dictate when you can start to take money out of the market.


Develop a Strategy

If you have decided that you would like to work for yourself and invest your own capital, you will have the most amount of flexibility about how you invest. The most important thing that you will need to do when you are investing your own money for a job is to develop a strategy. You will want to have a strategy that will provide you with room for growth while also providing you with downside protection. This will help to ensure that you do not lose too much money if the market turns against you.


Invest Other People’s Money

If you are very successful at investing in the stock market, you may want to consider investing money for other people as well. If you have a proven track record, it likely will be easy for you to attract investors that will want to take advantage of your higher than market investment returns. In exchange for investing their money, you can accept an asset management fee or share in the profitability that they earn. This can be a great way to build more income in the interim.


However, before you start to invest money for other people, you need to make sure that you are properly licensed and approved to do so. All people that invest money for others are required to carry a variety of different types of licenses, have an ASANA reporting tool, and to register as an investment advisor. If you invest money for people more casually and without the proper certification, you are putting yourself at risk.


Before you choose to leave your job to invest in the market, it is important that you carefully consider all of the pros and cons. While you may be intrigued by the potential that is there if you dedicate more time to investing, it still may not make sense to quit your job entirely. Because of this, you should carefully consider all of your options.

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What it Takes to Be a Great Leader in Your Current Position

Being a true leader is one of the most important components of any position. Leaders should guide companies to success, offer a clear goal and create a respectable business environment in which employees enjoy working. The success of a company or group often lies on the shoulders of a leader. Here are six skills that can make you a great leader in your current position.


Have a clear direction

No matter your current position, there are people looking to you for guidance. This is especially true with higher positions. Having a clear direction can give purpose and clarity to a whole team. This will help to create focused action and will develop worthwhile results when executed properly. Without a clear direction, those who work for you will not only be lost but also less motivated. A good leader has a clear direction not only for themselves but for the company itself. These expectations give employees something to strive for.


Make an effort to develop others

This point goes along with building relationships but is much more specific. A great great leader, in every position, works to help develop those around him/her. This works both ways in the hierarchy as every member of a business has the opportunity to improve and challenge both those who work above and below them. Developing others helps not only to garner respect but also to improve the overall functioning of a working group. When all members do better, the whole company flourishes.


Communicate, communicate, communicate

Communication is the key to success in all human relationships. This especially includes business relationships between members of a team, groups within a company and partner companies as well. Even the hardest working and goal-oriented companies can’t outwork bad communication. This is when things both large and small can fall through the cracks and cause immense problems. It is always frustrating to realize that a simple question or clarification could have prevented said issue. For this reason, it is critical as a leader to have clear communication in your position.


Be an active member of the team

At some time or another, all members will end up ‘taking one for the team‘ and doing work outside of their job description. This is an indispensable part of a functioning company and points to the innate human need for group support and help. There is a general assumption that those lower in the totem pole will be the ones more likely to be doing odd jobs outside of their usual sphere of responsibility. It is an important gesture as a leader to take some of these responsibilities upon yourself. When employees see a boss as an active part of the team, respect is often much higher.


Know the numbers

It is easy to talk about the company in generalizations and simple statements, but the real information is always in the numbers. As a leader, you need to have all of these analytics at your fingertips in order to stay on top of things. A great way to keep all important pieces of data accessible and organized is by using a CEO dashboard. With this information, leaders can make specific and detailed actions to help drive towards success.


Develop specific expertise

One of the most important parts of being a leader is responsibility. This is a difficult task as it requires an active acceptance. In reality, responsibility falls on the leader no matter what he or she does. It is the mark of a true leader when they actively take the reigns and work to improve things. Developing specific expertise within the field of your company is a great way to show responsibility. Besides, you never know when that particular piece of knowledge or ability will come in handy to save the day.


Leaders are an integral part of every successful company. They help to clarify goals, solve problems and drive towards improvement. These six skills are just a few of the many attributes that great leaders exhibit.

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How to Collect and Use Data From Your Business

When it comes to modern business in the digital age, information is more important than ever. Your ability to collect information on your market and customers will determine how successful you are able to be now and into the future. So don’t miss out on this major opportunity to gain further insights. Use the proven tools and strategies below to collect and use data for your business today:


Big Data Platforms

Certain platforms, like Apache Kafka, will allow you to run big data collection and analyze this information to your liking. After you have collected it, put your team to work to find ways to sift through the information, as each sector will have valuable uses in your business going forward.


Marketing Surveys

Marketing is the lifeblood of any business. However, if you don’t collect data from your marketing, then you are basically shooting in the dark. This can lead to you wasting a lot of money that isn’t necessary. Using marketing, you can conduct surveys on your audience. Ask them what they like about your product or service as well as what they would like to see improved or changed. This is valuable, as the more you can cater to your audience’s preferences, the more profit you can generate.


Ad Tracking

Not all ads are created equal. If you want to avoid wasting advertising dollars, it is crucial that you treat ad as a salesperson online. They should justify their cost based on bringing back conversions or sales. Use tracking software to ensure that you are tracking the conversion data from each ad. Play around with headlines, images, and other aspects of your ads to ensure that only the most effective methods are being used at any given time.


Email Marketing

Email marketing is still one of the most powerful ways to grow your business. However, different emails will convert better than others. Run data analysis on open rates, conversion rates, and response rates to repeatedly refine your email marketing strategy.


Social Engagement

How much engagement are you getting on Facebook? How about Instagram, Twitter, or Google? You need to know what percentage of your audience is becoming engaged with your social campaigns, otherwise you could be wasting time on those platforms. There are a number of tools that allow you to track these kinds of results.


Web Page Analytics

Your website is your calling card in today’s world. The amount of traffic you get is one data vector to log. Another one is the source of the traffic. Thirdly, you have the actual conversion rate of different traffic sources. These data points will help you determine which referral sources to target.


Another key piece of information to collect is your engagement on the site. Using Google Analytics, you can track how long people are spending on your site. If they are hitting your site but then leaving right away, then you know you have a problem with keeping them interested. This means you might want to change up your content or focus on a design change to keep them interested in your offers.


If you want to stand out from your competition in the marketplace, then you need to find a way to collect and use more data than them. This is easier said than done. However, if you approach it from the right frameworks, you can achieve a well of great information that allows you to draw from it anytime you want. Then, you can put it to use in a variety of applications that let you serve your customers at a higher level and maintain a greater profit.

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How Can I Keep My Small Business Going And Growing This Year?

It’s safe to say that one of the small business owner’s top priorities is devising and implementing growth strategies that keep the organization in a state of constant expansion. If this is one of your objectives for the year, note that there are many growth techniques you can implement to see the positive changes that will make your organization more productive and profitable. Here are a few of them:


  1. Update And Optimize Your Human Resources Department

The people you employ are definitely the biggest asset that your company has. This is the case for many reasons, including the fact that they are the individuals who complete the tasks and assignments that keep your company going and growing. Additionally, they are typically the “face” of your organization, meaning that they’re the ones who continually interface with the general public and clients on behalf of your organization. With all of these realities in mind, it’s imperative that you implement strategies that will keep your current employees happy and productive. This is one of the primary reasons that HR departments exist, so keeping this department in tip top shape is imperative once you realize that you want your small business to grow and expand.


There are multiple strategies that you can deploy to keep your HR department in great shape. One is utilizing dynamic software. Finding the right HRIS software for small business purposes is an important and empowering strategy for multiple reasons. First, doing so can help you automate a wide range of processes that were being completed manually. Once this happens, you can typically get more done in less time. For example, BambooHR’s human resource information system enables small business owners to store their data in a fast, simple way with one centralized system. Some of the elements to be considered when purchasing HR software include competitive price, encompassing feature set, dependable customer service, and usability.


  1. Develop A Savvy Marketing Strategy

In addition to optimizing your human resources department, make sure that you implement a savvy marketing strategy. This step is imperative because marketing functions as one of the primary modalities through which you make your brand known to both prospects and your current customers. This ongoing exposure fuels brand awareness, thereby increasing your company’s likelihood of attaining great outcomes like more industry authority and increased sales.


There are many strategies you can deploy to take your small business’s current marketing plan from average to awesome. One is by focusing on your online presence. Doing so will increase your likelihood of attaining the level of traffic necessary to fuel conversion. One of the key strategies that can be utilized to help you attain substantive traffic online is search engine optimization (SEO). SEO strategies can include anything from link building to keyword analysis, and small business owners who have taken the time to master this complex marketing discipline oftentimes wind up attaining page 1 ranking in the SERPs.


  1. Optimize Customer Engagement

Your customers are the individuals who make purchases from your organization. Therefore, they are the people who are keeping your small business in operation. As such, keeping them happy is imperative if you want your company to become and remain as profitable as possible. With this reality in mind, it’s important to implement customer engagement strategies which ensure that you can gauge whether your clients are really satisfied with the products and services you offer. One component of the customer engagement process is referred to as customer delight. This process is solely concerned with customer experience and feedback. It can involve things like the use of survey sites (Survey Monkey, for example) to anonymously collect feedback from customers regarding their experiences with and opinions about your brand.



Small business owners who have decided that they want to keep their organizations going and growing should know that consistently implementing key growth strategies can make the complex process of business expansion relatively simple. Use one, two, or all three of the growth strategies outlined above to increase your small business’s likelihood of undergoing dynamic expansion this year!


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Stock Investing for Small Business Owners

Small business owners relish the potential to earn a great deal of money running their enterprises. Budding entrepreneurs should be aware one positive thing. The wealth amassed from owning a small business isn’t contingent on earning massive profits each year. Consistently saving and investing profits — even modest ones — every year might build up the business’ value and the owner’s net worth significantly.


The Corporate Strategy

Often, what works for large corporations also works for small businesses. The approaches may be scaled down a little, but the overall strategies remain the same. One strategy involves taking profits and investing the money. This creates added valuation to the business while hedging against losses related to expenditures. The insurance industry presents an example of this strategy as interest on investments may offset payments on settled claims. A small business tracking its finances with a netsuite alternative could do the same thing.


Of course, a small business owner must be smart about choosing an investment strategy. By relying on safe investments, a small business owner might find his/her profits growing in a safe place.


Long-Term and Low-Risk

Putting a set percentage of revenue into aggressive, risky endeavors aren’t automatically bad ones. Long-term investments — even risky ones — might prove profitable. That said, would you really want to put a significant amount of business profits into risky vehicles? Lower-risk investments safeguards cash and allow the money to grow. A major corporation in dire need of building up capital could seek high-yield municipal bonds offer ing6% returns. These bonds, however, come with the looming risk of default. A treasury bond pays far less than 6%, but the odds of default aren’t exactly high.


Generally, long-term and low-risk investment strategies benefit the small business owner. Less risk has its rewards.


Diversify Assets

Certain approaches can undermine low-risk investments. For example, putting too much money into any single investment vehicle can turn low-risk investments into potentially higher-risk ones. Imagine if all of a business’ cash reserves were put into the stock market and the market crashed. For all intents and purposes, the business crashes with the market.


Savvy investors wouldn’t likely create a personal portfolio completely lacking in diversity. The same logical attitude frequently applies when investing a small business’ funds. Diversity the portfolio to reduce risk while allowing money to grow in different ways.


Match Approaches to Business and Investing

Matching business strategies and goals to your investment strategies and goals makes sense. That is, if you seek moderate growth in your business’ profits, think about seeking the same level of growth with the investments. It would be an odd strategy to try and grow a business carefully and then take the capital and put it into an aggressive growth venture known for occasionally serious losses. If you’re conservative with your business, then you likely would be more comfortable as an equally conservative investor.


Don’t Allow Trading Fees to Cut into Profits

In order to buy stocks, bonds, mutual funds, and other assets, you must purchase from a broker. Brokers do need to make money for their services. Paying fees may be unavoidable, but you can cut down on the amount of money spent on trades. Before you sign up with any brokerage service, closely examine all the fees associated with the service. Seek out a reputable broker who provides reasonable fees that won’t cut into your initial buy too much.


Stay on Top of Taxes

Investments may come with tax obligations. Certain investments do fall under the category of nontaxable income, but this isn’t the case all the time. Taxes might need to be paid on dividends and capital gains. Keep all 1099s related to all investments because they will be needed at tax time. Failure to report any taxable income, even due to an honest omission, could lead to an audit or fines.


In short, be as careful with your investments as you are with your business. Make the two work together well contribute to improving your financial standing.

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