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Many small businesses rely on a bank-approved business line of credit as a convenient source of short-term financing. But preserving this credit-line is not always so easy. Most banks make a commitment for one year. At the close of the year the business’ financial statements, tax returns, and credit rating are reviewed. If the bank does not like what it sees, then it may not renew the credit-line, and you may be expected to pay the remaining balance in full.

Many business owners may not realize that the bank generally has the authority to “call” the full amount due immediately and without reason.

Suddenly losing a line of credit can be a devastating blow to a small business. Here are 5 tips that can help a business hold on to its credit line even when business performance is poor:

1. Be clear about the bank’s requirements. Make sure to carefully read over your loan agreement so that you know what the banks expects in terms of providing information and repaying the loan.

2. Manage your line of credit carefully. Business lines of credit are meant for small purchases and to provide instant financing to cover a cash shortfall. You should be aware of the amount of money leaving the account, as well as where the expenses are coming from. If you leave balances on your line of credit then make an effort to pay the monthly principle on time.

3. Know when to rest; know when to be active. If your business is going through a difficult patch and you are using your credit-line regularly, then consider “resting” the account every now and then. Resting the account means that you pay the entire balance and refrain from using the credit-line for a short period of time. This shows the bank that you have the ability to cover the account.

On the other hand, if see that your business is not using the account, because you have a positive cash flow, for example, then consider making a few small purchases on it anyway to keep the credit-line active.

4. Keep the lines of communication open. When times are tough, make sure to communicate with your bank about the situation. You will have a greater chance of holding on to the account after you give over your story personally. Where possible, even if business is fine, it is a good idea be in touch with your bank periodically throughout the year. This will help build a relationship that could prove helpful when and if calamity strikes.

5. In an emergency negotiate payment or turn to other financing. If your bank suddenly calls the full amount due, don’t panic. First try to negotiate the repayment of the outstanding balance. These days, there’s a good chance the bank will make it easier for you to pay the amount due. In the meantime, you should look for another line of credit. If you aren’t having any luck or you need the money quickly, then you can try other sources, such as factoring accounts receivables or turning to an asset-based financing arrangement.

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Hi everyone - just thought I’d let you know if you didn’t already that Trent Brownrigg is selling his flagship website over at Sitepoint. Its quite pricey, but it makes a lot of money and site high in the SERPs for a lot of home based business related keywords that attract a lot of organic [...]

Earlier this week officials of the New York City Economic Development Corporation announced the initiation of a program that pairs out-of-work professionals with start-ups and growing small businesses. The program, known as JumpStartNYC, illustrates an unavoidable trend that has been gaining traction over the past couple of years.

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As the economy continues to sour, major corporations and institutions across the nation have been cutting back their workforce. Many of these laid-off employees are taking with them an impressive resume of experience, talent, and other credentials. With quality jobs increasingly harder to come by, a growing number of unemployed professionals have been turning to small businesses in search of work.

There are many benefits to be gained here on both sides. In smaller businesses, senior-level employees often have opportunities to take on more responsibility, receive more recognition for their efforts, gain exposure to new experience areas and can have a greater influence over the company’s performance. They also can enjoy the scheduling flexibility and work-life balance incentives that many smaller businesses have to offer.

Small businesses on the other hand are getting access to a talented, experienced, and motivated (Many of these professionals were probably under appreciated at their previous jobs) workforce.

But there is a downside to this trend. For the professionals, the increase in responsibility comes with more accountability when mistakes are made. There are also fewer support systems to aid with the decision-making process, compensation may be a little lower, and small businesses in general provide a less stable work situation. For the small businesses, it generally means coming up with a competitive incentives package- something that may be difficult if business is slow in response to the recession.

All in all though, I think this partnership will be a very good thing. As more unemployed professionals pair up with small businesses it may have the power to breathe new life into our ailing economy.

The hapless Washington Nationals took the field the other night wearing the branded uniforms pictured below:

Yea, the uniforms are spelled incorrectly. Can you imagine a major league team sending their players out in misspelled uniforms? I can’t. I’ve seen major corporations re-print hundreds of thousands of dollars in brochures because someone missed a typo and spelled the company name wrong. Shouldn’t your branding mean something?

If you can’t get your own name right what can you get right?

For small business owners and aspiring entrepreneurs, the web is a wellspring of information, insight, and advice. But like everything the Internet has to offer, you need to know where to go to find what you need. Here is my list of 20 essential small business blogs divided into several, broad categories:

General Small Business Info, Advice, and Trends:

1. All Business. This site is a great resource for practical, straightforward information pertinent to small businesses. It boasts several business-related blogs that are browseable by categories, such as Business Planning, E-commerce and Internet, and Marketing and Advertising.

2. Fresh Inc. Fresh Inc. offers a bold and smart look at general issues and trends effecting the business world. Be sure to check out the resource center blogs for posts on basic topics such as Business Travel, Global Business, and Office and Operations.

3. Small Business Trends. This blog, founded in 2002 by Anita Campbell, delves into the international news, trends, and issues effecting small businesses today. Its versatile content targets a wide range of businesses and industries.

4. Small Business Brief. In Small Business Brief, editor Linda Kiley brings together an extensive collection of links to small-business related articles posted across the web. The blog is easy to navigate and informative, providing entrepreneurs with the knowhow to successfully create, start, and operate a small business. Check out the Small Business Ideas Forum for a dynamic discussion on topics related to e-commerce.

5. Economist.com: Gulliver. Gulliver is an excellent business travel blog. Written by various journalists from the Economist newspaper, Economist.com, and the Economist Intelligence Unit, the site is a valuable source of business travel news, service reviews, and thoughtful discussion.

Marketing, Advertising, and Public Relations:

6. Duct Tape Marketing. This site focuses on marketing techniques and methodology for small businesses operating on a shoe string. The blog itself contains insightful articles and commentary by several small business marketing gurus. John Jantsch, the founder of Duct Tape Marketing, himself comes with over 20 years of marketing experience and specializes in helping small businesses create and implement effective marketing plans.

7. Church of the Customer. Operated by Ben McConnell and Jackie Huba, authors of Creating Customer Evangelists, this blog artfully examines the successes and blunders made by companies big and small when dealing with their customers. Through example readers learn how to effectively manage their customers and develop customer loyalty.

8. Seth Godin’s Blog. This blog written by marketing expert, author, and entrepreneur Seth Godin, is in itself a lesson in branding and image development. Whether you agree with his views or not, it will definitely challenge the way you think about marketing yourself or your business.

9. Marketing Experiments Blog. This blog, supported by Dr. Flint McGlaughlin and his research team at marketingexperiments.com, provides detailed information and research about Internet Marketing.

10. Flyte: Web Marketing Strategies for Small Business. Flyte features Rich Brooks, a tech smart website developer who writes about Web marketing issues effecting budding entrepreneurs and established small businesses. The blog is updated three to four times a week on a variety of topics including: e-mail marketing, social media, search engine optimization, Website design, blog writing, and small business news.

11. The Retail Email Blog. This innovative blog, written by Chad White, the Director of Retail Insights and Editor-at-Large at the Email Experience Council, monitors the email marketing campaigns of the largest online retailers. Each showcased campaign is then critiqued to reveal best and worst practices and trends in email marketing.

12. Copyblogger. This site offers a wealth of useful tips and information on copywriting for online marketing.

13. Dim Bulb. Author and advertising critic Jonathan Salem Baskin picks apart ads and marketing campaigns, then offers advice on how to make them better.

Technology:

14. Techcrunch. This group-edited blog is focused on profiling and reviewing Tech start-ups and products. Make sure to also check out the Tech Crunch Network.

15. Informationweek. This collection of blogs is a good all-arounder for up-to-date tech news, product and service reviews, and other information.

16. Silicon Alley Insider. This blog offers a collection of insightful news and product reviews on the ever-changing digital industry.

Entrepreneurship:

17. The Entrepreneurial Mind. Hosted by Jeff Cornwall, director of the Center for Entrepreneurship at Nashville’s Belmont University, this blog discusses various topics in entrepreneurism. Posts are categorized by subject. To do a search, scroll down to the bottom of the site to the drop-down bar labeled “Flag Sticks.” You will find subjects such as, Bootstrapping, Global Entrepreneurship, and Learning from Failure.

18. Toilet Paper Entrepreneur. Mike Michalowicz offers a “get real” approach to starting and running a new business with a collection of helpful tips and resources. 

I’ve been harping on Burger King and Quizno’s about their pathetic, gimmicky advertising so I thought I’d show you how it should be done. Volvo seems to stay on their brand identity of “safety” almost all the time. Ask 10 people on the street what Volvo means and you’ll hear “safety” most of the time. Check out these spots and notice how they leverage their branding.

Click here to view the embedded video. Click here to view the embedded video. Click here to view the embedded video.

Now these spots aren’t slick, naughty, funny or anything else but on brand. People buy Volvo’s because their safe. I like how they’re tying in the “Luxury of Life” as well. What do you think?

Not sure what is going on with fast food and branding but apparently making bad, offensive ads are where it’s at. Here’s one from Quizno’s that has references to homosexuality and anything else you can see in this sick, offensive spot.

Click here to view the embedded video.

Some memorable lines:

“Not gonna do that again, I burn” Referring to masochism

“Put it in me, Scott” Referring to the phallic name “Toasty Torpedo”

Seriously, what is the brand strategy here? Gay men that are masochists will want to shop for the “foot long”? I just don’t get it? It’s not funny…whatsoever.

Rebecca Steinfort is responsible for Quiznos’ domestic marketing efforts, including building a marketing strategy that attracts and retains guests, determining the overall brand message and media plan, and promoting Quiznos’ Delivery and Catering Program. Prior to joining Quiznos in early 2007, she spent seven years in the telecommunications industry in a variety of strategic, product and project management roles.  Rebecca also spent six years consulting to consumer products, retail, and technology companies earlier in her career.

Help me out here, does this ad work?

As the economy continues to sour, many are giving extra thought to how they will spend their tax refunds. The question of where to allocate this “additional” cash is all the more weighty for the growing population of people who are either self-employed, unemployed, or in transition. So what is the best use for your tax refund? Consider these top five options:

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1. Set up an emergency fund. Many financial advisors suggest that people set aside a year’s worth of living expenses in a safe, liquid account such as a savings account, CD, or money market account. This is especially important if your current income is lower than usual or inconsistent.

2. Pay off any high interest loans. You can use your tax refund to pay off or pay down any loans with a high APR, such as credit cards. Not only can this reduce your debt load, but you can reap big savings on interest payments.

3. Put money in your IRA. The IRS allows people to direct deposit their refunds into an IRA, a Roth IRA, a SEP IRA (for self-employed individuals), or a health savings account. You can invest in a Roth IRA if your adjusted gross income in 2009 is $120,000 or less if single, or $176,000 or less if married filing jointly. If you earn too much money to invest in a Roth, you can contribute to a traditional IRA, then convert it to a Roth in 2010, when the $100,000 income limit for conversions will be discontinued.

4. Increase your credentials. You can use your tax refund to increase your earning potential by investing in a course, seminar, or any program that will expand your expertise and skill level.

5. Improve the condition of your equipment. A tax refund could be used to upgrade or service your equipment, appliances, and automobiles. By making your equipment run more efficiently and effectively, you’ll end up saving a lot of time and money.

 

Last week I wrote about Burger King introducing the Booty Call to 5 year olds. This week they’ve insulted an entire country and race of people. In this spot they feature a little Mexican draped in the Mexico flag. Why is he little in stature compared to the tall cowboy? Because they’ve introduced a “little spicy mexican” to the Whopper, check it out:

Click here to view the embedded video.

MEXICO CITY (Reuters) – Fast food giant Burger King apologized Tuesday for an advertisement featuring a squat Mexican draped in his country’s flag next to a tall American cowboy and said it would change the campaign. Read about it here.

Obviously Burger King feels that any negative PR or Buzz is helping their effort. Tell me, when did bad advertising get better because of additional buzz? Burger King has been going down this road for years now, they don’t care. About you, or anyone else they’ve offended. To them the more complaints the better.

Here’s the wonderful spot aimed at kids to promote their kids meal:

Click here to view the embedded video.

If any of this offends you make a conscience decision, don’t eat at Burger King.

In a brilliant move to be like their competitors Kentucky Fried Chicken is now Kentucky Grilled Chicken. Read all about it here.

Here’s what their President Roger Eaton says, he spent years as part of the team tinkering with a grilled alternative, and the roll-out follows KFC’s longest market test ever. It will be backed by a marketing blitz.

I can’t wait for the “Marketing Blitz”, how exciting (insert sarcasm).

Okay for what seems like 200 years Kentucky Fried Chicken has branded itself with their “secret recipe”. It worked well and they clearly differentiated themselves in the marketplace, and still do. So why be like everyone else? Here’s what I would have done.

I would have embraced our “finger lickin’ chicken” fatness. If you want to lose weight or eat healthy go to Subway (that’s their positioning) but if you want some really great greasy comfort food that no one else can duplicate eat at Kentucky Fried Chicken. Yummy, sign me up.

Imagine if they just embraced their “fried” brand identity and then implemented their “marketing blitz”. It would fly in the face of health conscience people. Maybe their new tagline could be “Eat Here, Get Fat”. It’s not like we all don’t know what we’re getting into when we visit a KFC. We go there because we WANT it. We know it’s bad for us.

But sales have been down and McDonald’s sells lots of grilled chicken…