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Aim to Win in This Economy: What’s Your Passion? (Part 3)

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As I prepare to close the Aim to Win in This Economy series, the last topic I would like to discuss is pursuing your passion.  Each one of us has been blessed with unique gifts and talents.  Many times, the things that we’re most passionate about align with the things that we do well.  Take a moment and think about the co-worker, relative, or friend that is an extraordinary artist.  Or, maybe you know someone great at event planning or helping others organize and de-clutter their lives.  What about you?  What can you do well?

According to an article in BusinessWeek, as a result of the recession, “necessity entrepreneurship” has increased significantly.  Necessity entrepreneurship occurs when people start businesses because they can’t find other employment.  In recent surveys conducted by Global Entrepreneurship Monitor, a research project that tracks entrepreneurship, necessity was a factor for 24.7% of new U.S. businesses in 2009, up from 16.3% in 2007.  Many times, business ideas are deferred for the safe bet, but when you are unemployed or underemployed, the risk factor carries less weight. 

Entrepreneurship is woven into the fabric of what makes our Country great.  However, to be successful, it takes more than talent.  In order for a small business to become a great business, the business owner has to work on the business, as well as in the business.  Perhaps you’re a wonderful baker, or a great decorator; it does not mean that you have the know-how to start a business and manage it effectively.  Please understand that I am not trying to “rain on your parade”, but I want to stress that your passion may steer you to the business of your dreams, but it will not keep you there.  Ultimately, if you are not willing to do the work, don’t waste your time and money.  However, if you understand that owning a business is much more than the skill or talent you possess, take the leap of faith and “bet” on you.  The following are key considerations when starting a business: 

  • Ownership Structure – Will you operate as a Sole Proprietor, Partnership, or Corporation?  Spend some time researching your options and choose the best structure for you.  The Internet has a number of resources to help you navigate through this process, however, if you’re unsure of where to start, consider www.legalzoom.com.
  • Applicable Federal and State Laws – Once you’ve identified your ownership structure, it is imperative that you gain a thorough understanding of federal and state laws that apply to your business.
  • Develop a Team – Although you may be able to produce the product for your business, an effective business requires a multitude of skill sets that you may not possess.  For instance, every business has to incorporate marketing in order to compete, and let’s not forget about bookkeeping and taxes.  If you do not possess these skills, you will have to hire help.  The skills that I mentioned in the example are necessities.  While I understand the need to save money where possible, foregoing the basics will land you out of business or in jail.
  • Protect Your Business – Explore insurance options for yourself and your business.  Insurance is something that we hope we never have to use, but are ever so grateful that we have it should the need arise.  
  • Capital – It takes money to start a business.  While it doesn’t hurt to be cost conscious, you have to be realistic about what resources you have available. It is also wise to consider establishing a reserve for the unexpected.
  • Find a Mentor – My favorite phrase is:  You don’t know what you don’t know, and you can’t do what you don’t know.  It is very important to find a mentor that has been where you’re trying to go.  There is no shame in asking for help. 

In addition to the considerations above, begin to seek resources that can help you fill in your knowledge gaps.  T. Harv Eker, author of Secrets of the Millionaire Mind, says it best:  “Every master was once a disaster, you can learn to be great at anything.”  Successful people are teachable.  Invest in yourself and seek opportunities to learn as much as you can about business.  Although I mentioned that it is important to develop a team, you should still be equipped with the basics.  For example, an accountant may prepare your financial statements, but you should have a thorough understanding of what’s being presented.  Included below are links to a couple of resources that I’ve found extremely helpful:

  1.  The E-Myth:  Why Most Small Businesses Don’t Work and What to Do About It, by Michael Gerber
  2. www.startupnation.com

I hope that you’ve enjoyed the Aim to Win in This Economy series.  I’d like to hear from you!  If you have recommendations on additional resources that can be helpful to those of us that are striving to pursue our passion, please share.  Remember, every great business was once a small business!

Aim to Win In This Economy – Retooling Yourself (Part 2)

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The first post in the Aim to Win series was entitled Personal Branding During The Employment Search.  This post outlined tips that can assist in separating you from the masses while seeking new job opportunities.  Well, what do you do when you’ve branded yourself to win, but you’re still coming up short?  If you’ve found yourself beating the pavement, but nothing appears to be working out for you, it may be time to perform a self-assessment to ensure that you possess the skills that are required to compete in today’s economy. 

All across the country, communities are reeling from the impact of technological advances and the export of jobs offshore.  If you were in the textile, manufacturing, or customer service industries, you have likely been downsized or are aware of someone who has.  If your skills align with one of these industries, it’s time to chart a new career path. 

An opportunity to develop new skills should not be dreaded but embraced.  You now have a chance to think about what you’d really like to do and pursue it.  While writing this post, I am reminded of Katy Perry’s song, Firework.  One of the verses within the song says:

Maybe your reason why all your doors are closed

So you can open one to lead you to the perfect road…

As human beings, we like comfort.  That being said, many of us will not push ourselves to change until we are forced to.  What dreams or career aspirations have you deferred because you didn’t think you had the time to pursue them?  Perhaps you’ve always wanted a career in nursing or graphic design, or maybe you have no clue what career path is right for you.  You are not alone, and there are plenty of resources available to help you get started.  If you are unsure of where to begin, consider completing a career assessment or personality questionnaire.  A reputable site that has a wealth of information is www.careerpath.com .

Once you’ve identified your interests and are willing to take a chance on you, you’re well on your way to a new career!  Your new career objectives may require additional training.  Don’t shrink away from your aspirations because you fear the unknown, or are unsure of how to pay for it. Because of the economic downturn, Congress implemented several tax incentives to help individuals pursue educational programs.  However, you must act quickly; many of the tax incentives that are now available will expire within the next couple of years.  Additionally, please note that certain income range requirements may apply, and if you are married but filing separately, you do not qualify for education-related tax deductions or credits.  For more information on related requirements, please visit www.irs.gov.

  • Tuition and Fees Deduction – As a result of the American Recovery & Reinvestment Act (stimulus funding), students can take a tax deduction for college tuition and mandatory school fees.  You do not have to itemize to receive this deduction.  Eligible expenses are reported directly on the 1040 or 1040A.  This deduction is temporary.  2011 is the last year that taxpayers can take this deduction.
  • American Opportunity Act provides a refundable tax credit of up to $2,500 on an annual basis.  This tax credit is scheduled to expire at the end of 2012. 
  • Lifetime Learning Credit is a tax credit of up to $2,000 per year for any level of college education – even graduate school.  There is no minimum level of enrollment required.
  • Student Loan Interest – Tax payers may deduct up to $2,500 of Student Loan Interest.

In addition to the tax credits and deductions noted above, you should explore applying for educational grants as well.  This is free money!  An example of a grant that you may be familiar with is the Federal Pell Grant.  This is a need based grant with a maximum annual benefit of $5,550, and the best part of all is it does not have to be paid back.  For additional information on how to find educational grants, please visit www.educationgrant.com. 

Now that you’ve identified your interests and eliminated the financial fear factor, you should spend some time assessing future career trends.  An article on www.careerplanner.com, Top Jobs for the Future, stated that career trends are about change, and every change has a “driver”.  Common drivers are:

  • Cost Savings
  • Efficiency – Ability to do things faster and easier
  • Safety and Reliability
  • Environmental Impact

It doesn’t matter what industry you’re in, the drivers listed above are key factors in all business decisions.  So which industries should be on your radar?  The following list is not all encompassing but does include career options with great promise.

  • Skilled Trade – Consider careers that require physical presence.  Examples of this include carpenters, plumbers, auto mechanics, hair stylists, and dental hygienists.  These are jobs that cannot be shipped offshore.
  • Healthcare – People are living longer, and we are already seeing a higher demand in products and services for our “seasoned” generation.  As a result, the future looks very promising for healthcare workers.
  • Marketing – Are you creative?  If so, this is an area you should consider.  With the Internet craze and increased competition, companies have to be able to differentiate their products and services.  A word of caution – mediocrity does not “live” here.  If you’re good, a career in marketing can be very lucrative.
  • Energy – With energy prices on the rise, the dialogue on alternative energy sources will increase.  Pursuing educational programs that are focused on rebuilding our infrastructure or creating products and services that save energy is a safe bet.

Pursuing a new career may not have been in your plans, but I recommend you make the best of it.  Additionally, our world is changing at lightning speed.  You cannot view education as a onetime event.  Staying abreast of industry trends in whatever career field you choose is a necessity if you want to compete in today’s economy.  Embrace your change and buy a cool backpack!

Aim to Win in This Economy – Personal Branding During the Employment Search (Part 1)

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Last week, President Obama gave the State of the Union address.  Many have described his speech as inspiring and uplifting.  During his speech, he talked about signs of economic recovery.  While it is not happening as fast as we’d like, it is happening.

As I reflect on the report of the economy and unemployment, I am concerned that the recovery for the African American community appears stagnant.  Although the national unemployment rate dropped by .4 percentage point in December to 9.4%, the rate for African Americans, 15.8%, showed little change.  In isolation this may not seem like a big deal considering that historically, unemployment rates for African Americans have always been higher than the national average.  But, when you look at the impact of the mortgage crisis and the disparity in unemployment rates together, the outlook for the African American community does not appear to be as bright as the outlook for our Nation.

Although the report is bleak, we are not a people that will simply retreat with our “tail between our legs” at the first sign of trouble.  However, as President Obama mentioned during his address to the Nation, the “game” has changed.  Are you ready to play?  Over the next couple of weeks, I will complete a three part series entitled,  Aim to Win in This Economy.  The first posting in the series is about personal branding during the employment search.

With unemployment rates at record highs, employers have a large pool of qualified candidates to choose from.  The competition is fierce.  That being said, you must present your “A” game – make sure you’re at your best.  Many times positions are filled before they’re ever posted.  Well, you might say, how can I compete when a job is filled before it’s offered?  Be proactive.  If you are waiting for the Sunday paper to identify job openings, you will not win in this economy.  The reality is this, if you are unemployed, your “job” is to get a job.  There are always career fairs and information sessions going on.  Take the opportunity to go out and meet the individuals that often make the decision on whether or not you get an interview with the company.  Included below are a few things to keep in mind when attending these events:

  •  Dress the Part.  At a minimum this should be business casual.  Never wear tennis shoes or urban wear to a career fair.  Although it’s not a formal job interview, it is the employer’s first impression.  First impressions are lasting impressions; make sure you make a good one.  If you have tattoos or piercings, recognize that the prospective employer may perceive certain things about you.  This may be controversial, but I recommend that you remove the piercings and cover the visible tattoos.  Remember, you’re the one seeking employment.
  • Have copies of your resume on hand.  Your resume should be printed on quality paper, and should be free of grammatical errors.  With recent technological advances (i.e., spell check and grammar correction), employers can be unforgiving.  As a precautionary measure, have someone proofread your resume.
  •  Follow-up.  If you have extended conversations with potential employers, remember to request business cards and follow-up to ensure that you leave a lasting impression.  This step should be completed right after the event.  
  • Clean up Facebook and check your credit.  Yes, employers do review Facebook during the hiring process.  Check your security, clean up your photos, and review your Wall for derogatory comments / postings.  My last blog posting was entitled Get Your Credit Straight!  If you get an interview, it is very likely that the employer will perform a background check and review your credit.  Take an offensive position; make sure that you’re aware of what’s included in your credit report.

I know you may be thinking this is a lot of work considering that you don’t even have an interview.  In this economy, this is often what it takes to get the interview.  Once you get an interview, the following steps will position you for success:

  • Research the company.  Spend some time on the company’s website and develop questions to ask during the interview.  Additionally, sites like www.careerbuilder.com have resources that can assist you in preparing for the interview.  The service is free, and you can only benefit from using it.
  • Dress at the level above the job you’re applying for.  For instance, if the attire for the job is business casual, you should wear a suit.  It is always better to be over-dressed than under-dressed.  Also, personal hygiene is important; your nails should be trimmed, hair neat, clothes pressed, shoes polished, accessories modest, and by all means, do not wear fragrances. 
  • Don’t forget to say thank you.  Once the interview is over, an important step that is often overlooked is a thank you note.  This is very important.  A nice hand-written thank you card or email to your interviewers is appropriate and expected.  Don’t lose out on an opportunity because you forget this critical step.

I hope you’ve been enlightened and are now ready to charge ahead!  The next posting in this series will focus on Retooling Yourself to Win in this Economy.  As always, I’d love to hear from you.  Please share your lessons learned or recommendations on how to achieve success during the employment search.