Running a Business: Key Considerations for Starting and Managing a Successful Enterprise

Bernard Aschwanden
www.publishingsmarter.com
bernard@publishingsmarter.com
Running a Business
17:53
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@aschwanden4stc

Thank you
17:53@aschwanden4stc
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 Alberta STC and its volunteers
 Cohort Technical Communications

Outline
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 Want to run a business? Make the right decisions, as incorrect ones impact
the bottom line.
 Where do you turn for advice? When do you NOT follow the expert
opinions?
 Explore ideas about business models, staffing, client development, and
administration.
 Ask questions and get input on real issues you face when starting and
running a business.
 We discuss starting or managing a business and explores the real issues
that are faced every day by business owners.
 Develop your (very) small business (one person shop?) into something
bigger.
 ID what to think about when going into business or growing a business.
 Dive deeper with a discussion around the entrepreneurial spirit and how it
can help you build and grow a business into a steady source of revenue
doing things you love to do (and handing off the "other" stuff to people
more qualified).

Housekeeping and note taking
4
 Not all slides or topics
are equally weighted
 Use some, discard
others
 Slides speed varies
(reference)
 Questions? Ask any
time!
 I’d love to claim
errors/typos is on
purpose… they isn’t,
weren’t never, and ain’t;
I’ll fix ‘em as I can…

Disclaimer
17:53
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 In the interest of brevity I will be
making some blanket statements to
keep things simple
 Not all that I tell you will be 100%
the truth, but I’ll stay as close as I
can
 I will likely get in trouble from
purists
 In some cases this is just wrong of them
 Of course, they will also make valid
points

About your speaker
 Publishing Smarter:
President
 Content strategist,
publishing technologies
expert, author, and geek-
enough
 Solves communications
problems to help
businesses be efficient
and profitable
 Society for Technical
Communication
 Past President
6

Business Models
Not here to tell you which to pick

Just want to have a brief discussion
8
 Things to think about at a very high level
 Reasons that some business models are better or
worse
 Sole proprietorship
 Partnership
 Incorporation
 Co-operative

 Pro
 Usually one owner/decision maker, admin is simpler,
generally easy to register, simpler at tax time
 Con
 Legally, it’s all you, failure can jeopardize your own
money/finances, less tax flexibility, tougher to raise 3rd party
funds (stock for example), company leadership/growth can
be tough
Sole proprietorship
9

Partnership
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 Pro
 The working relationships
 Shared skills towards a goal
 Shared costs
 Support network built right in
 Con
 Your partners
 Shared liabilities
 Shared profits
 Risk of relationships being lost due to business

Incorporated
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 Pro
 Limited liability
 Able to raise funds (stock offerings for example)
 More likely to be considered legit
 Unless you name your business poorly such as (and these are
real)
 Cadabra Inc. (later renamed to Amazon)
 http://www.sandmfamilyoutletstx.com/ which is
 Other ‘creative’ spellings of common names
 Con
 Less direct control as shares thin out
 More legal structure, more complex tax filings
 More paperwork

Co-operative
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 Usually have very large base of people to draw on
 The Global 300 Co-operatives Report analysed co-
operatives by seven sectors — which include
Agriculture/Forestry, Banking/Credit Unions,
Consumer/Retail, Insurance, Workers/Industrial, Health
and Utilities and 'Other' category
 http://www.thenews.coop/49090/news/general/view-top-300-co-
operatives-around-world/
 I don’t have enough experience to talk about this
 United Farmers of Alberta
 MEC (Mountain Equipment Co-op)
 Desjardins Group and the Co-operators (Canada, insurance)

What I picked, and why
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 Sole proprietorship
 Low risk in what I do
 Easy to set my own schedule
 Pro
 I get to decide the direction of the business, make all calls
 When it goes well, I don’t have to think about cash in the bank,
etc
 Against
 Can be tough to get good people to stay (they look for their
opportunities)
 If just me, then issues when I’m unable to deliver (sick,
overbooked, specific jobs I don’t have the skills for)

Toughest thing so far
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 Deciding if I would be valuated and bought by others
 So far, not happening… 
 Deciding if I would stick with the sole-prop model
 So far, yup
 Having to layoff friends and family
 Remember the dot com crash? Me too… 

Best things so far
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 Travel when and where I want
 Hawaii
 India
 Germany
 Denmark
 Hawaii
 Most of the USA
 Most of Canada
 Calgary
 Hawaii

Working with others
@aschwanden4stc 17:53
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Staff

Common concerns
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 Hire/fire
 Insurance
 Pay
 Risk

Part time
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 Pro
 Ramp up as needed
 No need to put together benefits
 Bring in a short term but specific skill
 Pay only when you need them (but might pay more per hour)
 Con
 Training them up to the job
 They may look for better/stable options
 When people DO get to know them and they leave… then
what?

Full time
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 Pro
 You know your payroll
 People have specific functions
 Easier to schedule and plan
 Con
 Meeting payroll
 Eventually adding HR or other roles to the team
 Costs go up across the board (phones, internet access, etc)

Contractors
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 Pro
 Very similar to the part time and full time
 Less of a legal issue (paperwork goes away)
 Con
 Similar to part time and full time
 Legal issues (if you contract them for TOO many hours, they
might actually be employees)
 Less of a connection to full time/part time staff

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 At one point, full time
 Easy to budget time/money
 People were vested in the job, put in extra time (often for
pizza/beer)
 Now, contractors and, I suppose, part time
 Contractors for specific skills (IA, Editor, Writer, Developer)
 Part time for things I know I need (accounting for example)

Toughest thing so far
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 Again, having to lay off the family and friends
 Seeing people I contract with move to other jobs
 No longer available to work with me
 Sometimes even competing for the same business!

Best thing so far
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 Developing friendships with people that last years
 Getting new insights and ideas from others
 Having someone with a shared interest to talk to

Who you need to work with
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Administration

Legal
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 They help with stuff that sucks
 Contracts to ID issues before they become problems
 Business organization (helping to incorporate, sole prop,
partnership)
 Real estate (review all the documents before you sign)
 Taxes and licenses (yes, an accountant is needed too)
 Intellectual property (media/design/creative, help with
protection)
 Finding a lawyer
 Start with finances, what can you afford?
 Should be well connected (ideally recommended)
 Lots of experience
 Similar clients

Bankers
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 Get to know the banker NOW, not when you start a
biz
 Build credit NOW, not when you start a biz
 Show collateral and a solid grasp of finance basics
 They can review a business plan and provide
guidance
 Often do this for “free” as you are a bank client
 At some point you likely want to borrow money

Accountants
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 Focus on your finances
 Help take a chunk of work that you may hate (I do)
 Billing, banking, taxes, that crap with QuickBooks, Sage, or
whatever
 Open scary envelopes from Revenue Canada (taxes you owe
mostly)
 Sounds impressive (I love telling clients that my
accountant will prep the invoice)
 Review your business plan with another perspective
 They understand taxes and how to pay them

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 Legal
 Few and far between
 Most contracts are *mostly* easy to read
 My standard agreements include:
 Non-compete
 Non-disclosure
 Contract terms
 Banking
 I’m with RBC, easy, local, ALL my accounts, they listen (or I
walk)
 Accounting
 Found an accountant recommended by a friend

Ideas that may be helpful (or not)
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Developing relationships,
clients

Ongoing clients
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 Pro
 Steady income
 Reliable work
 Good relationships to keep
 Con
 If you have fewer, and one or two leave, it impacts your bottom
line
 You may get “out of practice” of building new client
leads/relations
 Things could become routine, and that can be boring

Clients that turn over
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 Pro
 You get to do new and interesting things
 Makes it easier to get broad referral (if you do well, people
may move to other companies and come back to you)
 Con
 Keep trying to get new clients
 Projects may be shorter term
 More paperwork

Sell a product
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 Pro
 Many products have return customers
 Good products can ‘sell themselves’
 Easy to develop customer loyalty
 Repeatable products are easy to make in bulk
 Think Coke, Netflix, Ford
 Con
 You need to make it (so you need people, or machines)
 You need to ship it (costs, pass them to the consumer?)
 You need to keep protecting it (legal)
 You need to manage costs (competition)

Sell a service
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 Pro
 People often return year after year
 Good services build up a good reputation
 Easy to develop customer loyalty
 Repeatable process is easy to sell in bulk
 Think Netflix, legal, accounting
 Con
 You need to keep people (or movies, shows, etc)
 You need to deliver it (online, in person)
 You need to keep protecting it (legal)
 You need to manage costs (competition)

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 Largely, sell a service to changing client base
 Deliver what is needed, move on
 Repeatable processes, easier to get into a ‘sell’ pattern for
discussion
 Ongoing challenge is actually fun for me
 A few products (books for example)

Things to seriously consider
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Start your own

What is your risk level?
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 Low?
 Medium?
 High?

Core steps
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 Plan
 Finance
 Market, work, bill, repeat
 Review the plan
 Repeat

Resources
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 http://www.canadabusiness.ca/
 Wide range of information on government services, programs
and regulations
 There is a centre in each province and territory
 https://www.canada.ca/en/services/business/grants.h
tml
 Information on grants, loans, private and public sector
financing and leveraging personal assets

Alberta resources
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 http://businesslink.ca/
 Business Link is Alberta's entrepreneurial hub
 A non-profit organization that helps entrepreneurs start a
businesses since 1996
 http://www.smallbusiness.alberta.ca/
 Alberta Small Business Resources is a directory of business
resources for new and established entrepreneurs
 http://www.nadc.gov.ab.ca/toolkit/business_develop
ment/checklist_alberta.htm
 Checklist for Starting a Business in Northern Alberta

Non-Canadian (but useful) resources
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 https://www.score.org/browse-library
 SCORE is a nonprofit association dedicated to helping small
businesses get off the ground, grow and achieve their goals
through education and mentorship
 Work is supported by the U.S. Small Business Administration
(SBA)
 https://www.sba.gov/
 The U.S. Small Business Administration (SBA) was created in
1953 as an independent agency of the federal government to
aid, counsel, assist and protect the interests of small business
concerns, to preserve free competitive enterprise and to
maintain and strengthen the overall economy of our nation
 The SBA helps Americans start, build and grow businesses

Consider joining STC
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 www.stc.org
 Members span the field of the technical communication
profession
 Members represent every industry segment and many countries
 Award-winning publications, Intercom and Technical
Communication
 Offers Certified Professional Technical Communicator (CPTC)
program; validates knowledge, competency and currency in the
field through professional certification
 Produces many educational events throughout the year
designed to advance the knowledge of members and promote
technical communication education, managerial techniques and
tool skills
 Career advancement is also supported by the STC through an
annual salary survey, job board, mentoring and networking

Other materials to read
42
 www.writingassist.com/resources/articles/starting-a-
technical-writing-business-from-scratch
 Ruth Nickolich the founder and president of Precisely Write, Inc., a
technical communications company
 http://summit.stc.org/responsive/summit2014.htm#!Docu
ments/essentialsforlaunchingyourowntechnicalcommunic
ationbusiness.htm
 By Ann Marie Queeney of A.M. Queeney, LLC which specializes in
controlled documentation for the healthcare industry
 http://thewritelife.com/how-to-become-a-technical-writer/
 Rob Shimonski is an entrepreneur and technical writer. Since 1998
he has successfully created and distributed well over 100 books for
major publishers worldwide

More reading
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 http://www.morebusiness.com/technical-writing-
business
 http://www.wahm.com/articles/4-mistakes-to-avoid-
when-starting-out-as-a-technical-writer.html
 http://www.techscribe.co.uk/ta/promoting-technical-
writing.htm
 http://articles.bplans.com/10-things-every-small-
business-in-america-needs-to-do/
 https://www.entrepreneur.com/article/272598
 http://www.moneycrashers.com/what-need-start-
business/

Yes, even MORE to read
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 http://www.forbes.com/sites/yec/2013/06/11/five-things-
you-should-know-before-starting-a-
business/#1c15e1636bd0
 http://www.businessnewsdaily.com/1484-starting-a-
business.html
 https://www.quora.com/What-are-five-essential-things-
you-need-to-start-a-small-business
 http://www.smarta.com/advice/starting-up/starting-your-
own-business/21-things-to-research-before-starting-a-
business/
 https://www.nolo.com/legal-encyclopedia/start-own-
business-50-things-30077.html

Once you read a LOT of stuff, it’s biz plan
time
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 http://www.canadabusiness.ca/business-
planning/sample-business-plans-and-templates/
 http://www.canadabusiness.ca/business-
planning/writing-your-business-plan/
 https://www.bdc.ca/en/articles-tools/entrepreneur-
toolkit/templates-business-guides/pages/business-
plan-template.aspx
 http://www.servicecanada.gc.ca/eng/lifeevents/busin
ess.shtml

Planning Your Business
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 The business plan is the most important document you
need
 It helps you to think through your business idea before
you start
 Once running, it helps you evaluate your progress
against your business goals
 When/if it’s time to obtain additional financing, it shows
your banker how you will be able to pay back the loan
 A business plan is a living document
 Review it yearly to ensure it reflects your current
situation and your goals

Key section in a business plan
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1. Introduction
2. The Team
3. Business Environment
4. Marketing Plan
5. Operations
6. Finance
7. Risks and Conclusions

Ideas on building connections
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Get the word out

Tell people what you do
49
 Not “I write manuals” but remember STAR
 Situation: A recent challenge you were in (or a client was in)
 Task: What you had to achieve
 Action: What you did
 Results: What the actions resulted in
 That reminds me… A client needed an event speaker, I
wanted to help (for a fee), created slides, developed content
for training, did hands-on workshop, and now I do regular work
for them… STAR
 Tell a lot of people
 Join your local BBB, STC, Toastmasters
 Join a chamber of commerce

Show people what you do
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 Keep a current portfolio to bring with you
 Relate it to whoever you show it to
 If they are going online, show online
 If they are going to print, bring print copies
 If you aren’t sure, bring both
 If you don’t have a portfolio
 Create one
 Volunteer and create content
 Ensure that a part of your deal is “I get a copy to show others”

Have people buy into what you do
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 Don’t volunteer
 At least, not if it is not helping your business
 Find GOOD places to volunteer, ones that match your passion
 When you do, take credit for it
 Trade shows and conferences
 Find ones that are relevant
 Offer to speak, or pay to exhibit
 Get yourself in to learn, network, and market

How I got in, got going, and got ‘here’
52
Bringing it all together

Entrepreneurship
53
 I wanted my own business forever
 Employed by over 50 companies by the time I was
22
 Many for no more than a week or two, some for as long as 3
or 4 years (part time)
 Started a business right after that
 Second-hand bookstore
 Worked part time delivering Chinese food
 Worked part time delivering computer training
 I was a contractor working in computer training

Timing is everything
54
 Got into software training as the PC took off in
companies
 Lots of money to be made
 Learned FrameMaker, writing training manuals
 Got to be a FrameMaker sales lead at a training
company
 However, like all good things…
 The business I worked for (a partnership) fractured
 People went their own ways
 So I hired them and started a training business

Business changes
55
 Our training business had about a dozen employees
(FT), plus a few PT, and at least a dozen contract
trainers
 We did work all over the planet
 Drug submission, airplane manuals, government, private
business, casinos, automakers, software and hardware
 However, like all good things…
 The industry I was most dependent on (software/hardware)
went up in a dot com bomb
 I had to lay off friends and family (in that order)
 So we scaled back, regrouped, and came at it fresh

People wanted content
56
 So we added services to help people write
 We decided to teach people how to do all things docs
 The business grew, but a well founded partnership led
to an amicable split of the business
 Got into the doc side of things, became very STC
active
 Built up a reputation with clients

Learn from the best
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 High school
 Entrepreneurship class, day 1, teacher intro, challenge
 First day, 40 students, end of it about 24
 Business competition (USA)
 Most people made products, some sold services, myself and
another student brought it together with the least effort, most
profit
 Lessons learned
 Second best lesson ever learned
 Best lesson ever learned

What I really love to do
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 Resolve challenges
 Deal with issues before they become problems
 Use clear communication and creativity to solve
things
 Over, under, around, or through it
 See things from a fresh angle, talk to people, interact
with those who are “going somewhere” not those
who “grumble and complain”

Publishing Smarter helps clients
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Follow up contact information
60
905 833 8448 (Eastern Time)
bernard@publishingsmarter.com
www.linkedin.com/in/bernardaschwanden
@aschwanden4stc
www.publishingsmarter.com

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