One of the first lessons I learned since joining TCM was... keep overhead extremely low and don't force your business to pay for unnecessary expenses.  Basically, don't let overhead costs shape your business model.

Occasionally, I see operators that are forced to 'force the sale' on other individuals.  In many cases, the cause of this is not because of the personality of the salesperson; it's because there are large overhead expenses driving the sales process.  Often times, the forceful nature of this process doesn't allow for a strong relationship to be built and subsequently makes for a harder/longer sale.  In another direction, your overhead expenses will even shape the pricing of your products.

Now I know that we all need to make money to eat, sleep and breathe but if we are not driven by the need to pay for buildings, company cars, and big neon signs; our overall sales process will be more natural and more effective.  I also know that our services and our time are very valuable, but if your overhead doesn't allow you to have flexible pricing; you may miss an opportunity for future sales. 

There's no shame in subleasing and keeping costs extremely low.  Actually, when you present your business as one that has operated on a small budget and hasn't made unnecessary overhead expenditures; your business is more attractive to a growth capitalist.

I'm just going to come right out and say it... I don't write goals down on paper and I don't think that many people should.

The goals I'm speaking of revolve around setting your sights on certain quotas that are fixed within parameters.  Since I'm a recovering insurance agent, I'll reference the insurance industry.  For example, if I write down that I HAVE to meet with 30 potential auto insurance clients per week... I may be so focused on bringing in quantity that I sacrifice quality.  And oh by the way, how many life insurance leads did I walk by in the process?  And oh yea... I just spent a lot of time in this process with no new client creation.  And what if you had called your current clients and asked if things were going good?

In an odd sort of way, it's like titling a blog post before you type the content.  Instead of letting yourself write, you are trying to stay within the title of your post and you may restrict yourself from an amazing piece of content.  (a shout to my blog coach Mike Sansone for that tip)

If you are so focused on achieving certain goals within a parameter, you may miss the opportunities that lie on the edges of the written goal.  The world we operate in is only getting more competitive, so  it may help to think around the goal rather than through the goal.  Think 'outside of the parameters' and you'll notice the pathway to success is very rarely a straight line process. 

In part 1 you heard how I got antsy, impatient and subsequently ruined a hunt.  You also heard that I laughed it off, refocused and ultimately got prepared for the next day.  (Warning: this is probably the longest post I've ever written)

Contrary to what many people believe; I didn't start my business career with TCM.  I started with Country Insurance and Financial Services up in Plymouth, MN.  I love the company and still have all my insurance products with them.  But let me tell you how I first tried to sell...

I had finally passed my Life/Health & Property Casualty Licensing Exams and I was ready to hit the insurance world running and "be the agent that is always there for you."  There was one problem... I had no clue what I was talking about.  So, I started cold calling and I'd literally say, "I'm Adam Steen and I'm a new insurance agent in your area.  I'm going to be quite honest... I don't really know what we offer but I'd like to just introduce myself to you anyway."  Surprisingly, that worked like a charm.  People would laugh and either say I'm good with where I'm at or they'd say yea let's meet.  So, that's how I started meeting people in Minneapolis.  Well... one fact about many salary and commissioned based sales jobs is that there are benchmark criteria.  One fact about Plymouth, MN is that its very expensive to live up there.  So based upon these facts... I had to figure out how to sell life insurance and build a pipeline of potential clients for future business.

My initial theory (and still is my theory) was this:  If I can demonstrate the value of myself and our P & C coverage then let's get that signed up and discuss life insurance... but I'm not going to force it on you.  More than half the time they didn't know their budget and weren't even sure if they could afford the extra expense.  I'm a firm believer in life insurance but it does people no good if you can't afford the premium.  This worked great and it started to build a pipeline of future business based on trust and relationship development.  Well, time constraints and my inability to force a sale ultimately caused my insurance demise.  Sure, I tried in desperate times to force a life insurance sale but what I found was that I lost the P & C then too.  Frustrating... but a good lesson.

Much like the turkey incident, I see people anticipating a sale and they get antsy, impatient and act too quickly.  The result is usually not good... you'll miss your shot at the sale and the person will fly away.  What's important is that you learn from your mistakes, shake it off (make fun of yourself) and get back out there to try again.  In my opinion, good business pipelines are built through but not limited too: patience, trust and a good relationship.

The other day, I listened to my old man describe business strategy as it relates to deer hunting.  It was a little different than my analogy from a few months passed but it had a great message.

If you're not familiar with "deer behavior" then let me tell you; they know you're in the woods before you even step foot off the gravel road.  So, when you "party hunt" deer, you need to outguess where they're going to end up before you enter the woods.  If you make a move left they'll go right... if you go right they'll go left and if you just stand there... well... they'll look at you for awhile and then bolt across the fence to the neighbors.  In order to increase your odds of maximizing success for the time you put into the hunt; you need to understand their behavior and make the right decisions early on.

If you're a business owner its important to understand that any financial or strategic decisions you make will directly impact future growth in your business.  Early on, its important to understand your: customers, competitors, industry trends, costs to produce, overhead expenses, etc etc.  Not only will this allow you to make the right decisions, but (provided there is a market for your product) your business has a much better chance to increase income, increase margins and at the end of the day/hunt you'll maximize your profit potential when you decide to exit.

It's starting to warm up around here, the snow is melting and I'm getting that golfing itch (or is it an ache) in my back to get out to the course.

I always laugh at my golf game (unless I lose).  I start out the summer golfing much better than I finish off the season.  Personally, I think my early rounds are better because I don't think about my swing.  I'm out there having fun and let things happen naturally.  Once I start to make adjustments... a little tweak here... rotate my hips there... stand a little further from the ball somewhere over here... and all the sudden I'm hooking into the woods and/or yelling "FOUR"!

I personally think that if you run your own business, to be successful, you need to continually challenge yourself to adjust and stay ahead of the game/market/competition.  If you don't, then somebody in the market-place will and before you know it... you're chasing the competition.  If you're not careful you'll lose to the competition.

A couple questions: 

When do you know the right time to fix something that isn't broken?

If you've over adjusted; how do you bring it back to basics?

I've got my opinions on this, but I want to hear yours.

A few days ago, Mike Sansone posted a great analogy between baseball and blogging.  I can't help myself... I've got to make one myself.

As a former pitcher, I understood very early on that pitching is largely a mental thing.  And to expand on that; different pitchers have different roles within games and each role requires a different mentality.  If you can follow that... keep reading.

For instance, a starting pitcher typically has 4-5 days in between starts.  A middle reliever may pitch 1 or 2 days in a row and then sit for a couple games.  A closer may have to pitch everyday... or may not have to pitch at all.

I was a closer because I hated waiting for days thinking about my next start.  I loved to come in unexpectedly and attempt to shut the door.  (don't ask me about Augustana my senior year)  In many cases, I had to get up and get warm in the bullpen and be put in the game... I didn't have time to think.

That's been my blogging challenge.  I sit here and think about what I'm going to post, when in actuality the good stuff usual comes unexpectedly.  So... you ask... what's the point of your post?  I guess it is... don't over think what you're writing because in the real world; you don't always have time to think through a decision.  It may save you "blog time" and truly broadcast your business personality.

Sometimes the littlest things irritate me.   One thing in particular is when a waiter/waitress takes my plate before I have a chance to eat the pickle.  The pickle is one of the best parts of the meal.  It's like the bag of chips getting thrown away before you put your dip covered spoon in the crumbs or tossing the Lucky Charms box away with some extra marshmallows still inside.  It's very depressing and downright irritating.   Now, before you say "if that's the worst thing you have to worry about then..."  I don't let the pickle thieves ruin my day and the jumpy trashperson doesn't keep me up at night.  These types of situations can be translated into business.

All of these revolve around listening.  If you ask a question, make sure to listen to the response and make sure they finish their thought.  In the pickle case for example, more often than not the waiter or waitress will say, "Are you finished?" at the exact same time they are picking up my plate.  I could easily say "Wait, wait, I'm not done yet.  Give me that pickle back." but I'm not going too because I tend to be a pretty easy going guy and I think that may seem a little weird.  Instead, one part of the meal that I enjoy has been taken from me.  That may cause just enough irritation for me not to return to that particular location.

Before you decide to throw an idea out or jump to conclusions... make sure you've got as much information as possible.  You may not have had a chance to see all the angles.

Personally, one of my many flaws is finishing others' thoughts.  I was in lunch yesterday and I thought I was right on track with the other persons thought.  Well, I said what I thought was coming and I got a blank stare.  Oops!  Who knows what was coming?  The person across from me does.  In this situation, I didn't allow the conversation to unfold because I didn't let the person finish.  I may have had an opportunity pass me right by.

For companies/business owners, make sure you hear what others say and react when they give you their story.  If you react too soon,  you may miss the opportunity to satisfy a need.

My humble advice:

Listen to what and who is around you; you'll be amazed at what you'll learn and create

Hi, I'm Adam Steen.

I joined Transition Capital Management with my father Tom Steen in 2004.  My specific practice, as I am mentored into the capital formation industry, involves assisting small to medium sized companies develop their businesses and achieve maximum profit potential.  These duties include but are not limited to:  marketing plan development, building/creating functional networks, market/industry analysis and re-organizing/re-enforcing current strategic positions within respective markets.

I recently took the position of Vice President of Professional Development of the YPC of Des Moines; a group designed to put tools in place to grow young professionals both personally and professionally.

Prior to Transition Capital Management, I spent a brief period in Minneapolis, MN where I was an insurance agent and coordinated several small business related networking groups.  Before that, I enjoyed a brief career in the Philadelphia Phillies minor league system as a pitcher.

My educational background includes an undergraduate degree in Marketing from Minnesota State University, Mankato.  And I am currently enrolled in and pursuing several continuing education programs.

The purpose of my blog is to create relationships both for myself and my firm.  In my opinion, getting connected is key to the success of TCM and our marketplace.

The Best is Yet to Come...