Hard To Be Own Bosses In Hard Times?

**My pictures were removed with the removal of my previous blog. Lesson learnt that I have to saved the pics as well...**

Anyway, it was a Singapore's Straits Time article about an increase in Taiwanese starting businesses and being their own bosses during the economic meltdown in 2007.

I saw this article in Singapore' Straits Times this morning and it reminded me of when we first started our business in early 2009.

We were in the midst of the financial crisis and many questioned my rationale for wanting to start my business then.

Out of concern, they forewarned that it may be safer to leave my well paying job in a year or two instead.

It has been said that entrepreneurs are a little crazy, for they have to cast aside their fears to take on the many risks that come along with being their own bosses.

I don't think I was that crazy a year ago. Afterall, if being an entrepreneur is about taking on calculated risks, I'd face economic downturns again in my entrepreneurial journey. This may be my first, but it definitely won't be my last. It'll be a good learning lesson.

I've discussed and thought this business through before the financial meltdown and didn't think want to put this idea off until when things look better.

And looking the bright side, companies were having pay freeze, pay cut, headcount freeze, bonus freeze, extra workload for staff etc., I've got less to lose then! Also, if I were in the pits then and could survive, it'll be a easier ride up when the economy turn around. And it is. ;)

Top 10 iPhone Apps for Business Owners

I came across this post from sgentrepreneurs.com and thought I'd share it.

I'll review after trying some of them out.

Do you happen to know of any fantastic apps for business owners too? Do share if you do! ;)

Select Your Target Audience With Care

I don't believe in price war. I don't want to position my company as one of the lowest prices ones in the market.

Simply put, I have put a lot of care in selecting the right kind of customers for my business.


And here's my story:

When we first started the business about a year back, we were feeling our way around and once in a while, we receive feedbacks from customers that they spot similar products priced much lower than our brand's.

Initially, we were concerned and worried that these lower price items will hurt our business. We tried to match the prices whenever we could and sourced from cheaper alternatives.

Later, we realised that we wouldn't want to compromise on the quality of our products and the way to go is to build a reliable brand name for ourselves.

This, we did. Today, I am happy and proud to say  that our customers consist mainly of those who appreciate our designs and value good customer service. They are willing to pay a little more for the whole package and to have a better shopping experience.

Not having to compete primarily on price, I can focus  better on giving the best value to my customers. Also, I don't have to spend my time with customers who haggle for a long time over pricing, like I used to do previously.

It certainly is more enjoyable to focus on great customer service and product quality than to handle a customer who keeps asking for more discounts.

Now, who are your target audience? Share with me your thoughts on this. ;)

When Will You Become A Millionaire?

Ok, let's face it, even if we entrepreneurs work because of our passion, we still need to bring in money to survive. Except for the lucky few who can treat their businesses as real hobbies, I'm sure we've all wonder how long it'll take us to earn our first million.

Find out how long it'll take for you to become a millionaire here if you let your money work for you:

http://www.e-accountsuk.com/common/calculators/millionaire.html

Have fun!

Let's Learn To Leverage

I believe in the idea of abundance. We may be small but through right partnership and leverage, we will become bigger than we can be on our own.

The Beauty of Coming Together

I don't understand why some people think that to own the pie, they have to hog the pie. Maybe they can create another pie if they just open up and believe in the notion of abundance too.

The only limited resources is that of the man who is an island

Why We Choose The Debt Collector - Case 1

I am naming this as case 1 because I am not that optimistic to think I'll never have to engage their service again. Am just keeping my fingers cross that it won't be anytime soon.

Anyway, there were a few reasons why we chose to go with the debt collector instead of going through the Small Claims Tribunal.

1. The debtor was closing down the retail shop in 2 months time.
   
   • It takes about 2 weeks before we can attend the hearing before the Registrar.
   • If there's any disputes and we cannot come to an agreement, it may take even longer to get the settlement.
   
   
2. The debtor is a retail outlet with no much of asset. Even the more "valuable" items in their shops have some flaws or damages.
   
   • It may even be a waste of our time and effort to pursue and file for a writ of seizure in the event it escalates to this stage.
   
   
3. The debtor owes a lot of suppliers money.
   
   • We figured that if we weren't one of the first to file the claims, we may not even get back our money.
   • Or that we may only get back a small portion of the debt.
   
   
4. We were drained...
   
   • We were exhausted from chasing and asking for payment day after day, week after week.
   • It was more worth it to pass on this frustrating job to the experts so that we can focus on generating sales and growing our business.

And so, we weighed our odds and it has proven a well-made decision! =)

The Pros and Cons of Engaging A Debt Collector

When we chose to go with a debt collector, we received a lot of feedbacks that discouraged us from doing so. Basically, it was seen as a negative way of handling the situation.

From my own rationalization, these were the pros that outweigh the cons:

• The debt collectors help to remove some stress in chasing for the bad debt; they saved us time and money and gave us a peace of mind.

• They are experienced and have their ways to recover the bad debts which we were unable to do so. This third party involvement has proved very effective for us.

• They allow you to combine the bad debts and collect the total figure on your behalf. (this would prove useful is you have very small amounts of debts from other debtors that would be a time waster to chase after)

The reasons why others dissuaded us are listed below and my rationalization are in blue:

• They cost us money and it is not a guarantee that we would be able to recover our bad debts.
  
  • We had to pay a flat fee upfront and are charged a hefty commission on the amount of bad debt collected. I figured this was no big deal, I rather pay the debt collector to do his job than to give away my money to a dishonest business.
  • Doing business is all about weighing the risks and returns. Nothing is a guarantee and after accessing our situation, this was a risk well worth taking.

• There is a risk that the debt collectors may use unorthodox methods to recover the bad debts and we risk our reputation as such.
  
  • An indemnity form was signed and it states that we did not request for the debt collectors to use illegal ways to recover the bad debts.
  • Do select the right debt collectors to do the job; check on their ACRA status and communicate with them to understand more before engaging them.

In my next post, I'll share more with you about how we access that the debtor was insincere in repaying our debts and why we choose to use a debt collector instead of bringing them to the Small Claims Tribunal.