In this issue
	Congratulations to our CREATE Graduates Learning Opportunities for March & April Measuring Your Business Performance by Bruce Sommers, KUSBDC Consultant

Learning Opportunities for March & April

Doing Business with the Commonwealth of PA - Learn how to participate in government contracting. Topics include: the State's purchasing process, bidding opportunities, resources, and minority- owned business and woman-owned business certification processes.... Mid-Atlantic Alliance Business Opportunities for Small Business - This conference will provide the opportunity to meet the Buyers. Over 100 agencies and prime contractors will be represented. Learn how to do business with the government and prime contractors. Determine which agencies and prime contractors are interested in your product or service. Network with other small businesses. Topics include: What is a GSA Number and How Do I Get One?, Does Size Really Matter?, It Takes Two to Tango!, Doing Business with the DoD, Doing Business with State and Local Agencies, You'll Never Hear: "3 Strikes and You're Out!", and Business Resouces You Should Know About.... Can I Throw it in the Dumpster? (EMAP) - This workshop will cover what every business needs to know about managing their waste. A speaker from the PaDEP will present information on what types of waste can go into a dumpster and how to dispose of wastes that can't. (See EMAP - Environmental Management Assistance Program.)...

Measuring Your Business Performance by Bruce Sommers, KUSBDC Consultant

I left my physician's office feeling really good about the annual physical I had just completed. "You're in great shape for the shape you're in," he exclaimed. "Fantastic," I said, "see you next year." As I was driving home I was reviewing the physical I had just completed. My blood pressure and heart rate were normal - considering my age. My weight was ok - considering my height. My exercise program was good - considering the shape I was in. It dawned on me that everything was good - considering, considering and considering. All I needed to be really healthy when I was young was to be old. My blood pressure, heart rate, cholesterol are all about the same. Using my age as a benchmark however, all these things looked pretty good. Many of the businesses I have worked with recently have not had the same success at using age as a benchmark or reference point for their health. Maybe because it never dawns on the owners or managers to stop on an annual basis and get the basics checked. I still find it difficult to believe how many people I know who, despite the constant media to get checked for certain high incidence diseases, never do. I am equally surprised at how many people have lost so much in the stock market because they were not diversified, despite the fact that every responsible financial institution has spent resources trying to educate their customers on diversification. Most of all, I am surprised at how most businesses evolve from year to year and rarely stop to measure how they are doing, until something goes wrong - sometimes very wrong. It is hard to find a business publication that does not have an article on business planning. Many clients seek out the KUSBDC because they need to obtain financing and having a business plan is a requirement for applying for a loan. Shouldn't you be more concerned about how you spend your money or increase the chances for your success than the people lending you the money? The truth is that they know, as we do at the KUSBDC, that businesses that plan have significantly greater longevity and success than those that do not. "I thought this was about measuring performance not business planning," you say? Well, how you measure your business performance is much like how I get a physical - it all depends on your benchmarks, the critical success factors that make your business unique and yes, the age of your business. You may be in good shape for the shape you're in, but your competition may be in great shape for the shape they're in and that could prove to be a detriment to the health of your business. I did not obtain a passing on my physical by simply doing well for an hour examination. I lived and planned for that healthy result the first hour I walked out of my last physical with the same result. Well, maybe taking off for holidays, vacations, meetings and then there was that diet following a two-week cruise through the Panama Canal. Sure there is some luck and timing involved, but chance favors the prepared mind. How many business people prepare for the bad times in the good times? How many small business owners even know what is the key measurement for their business? I usually ask business owners to tell me what business they're in the first time I meet with them. I request they tell me in only one sentence. Many have great difficulty, especially if they have been in business for a while. Cash flow is very important if you are in business, but that aside, each business has certain critical factors that make it a success. Do you know them? They can be products, customers, technology, marketing, manufacturing, location, distribution, etc. Surprise! This is about measuring your business and I have yet to give you accounting tips, ratio analysis and asset management tips. Maybe the next article will cover that. Who today would bet their financial future on only what they read in an annual report? I bet if you ask your banker they will tell you they place the highest value on you, your values and your business skills, and then on your business. What do you place the highest value on in measuring the success of your business? Your customers? Your employees? Your lifestyle? If you are not sure, I encourage you to think about finding out. In many cases you have bet the house on it or, more importantly, your financial welfare and that of your family. Know it, measure it and most assuredly, get an annual physical because if you're like most small business owners, your personal health is very important to the health of your business. If you would like some help, call us. Can we help? Yes we can. After all, we are in pretty good shape for the shape we are in.

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