running through fire, sliding down mud, jumping into vats of icy water. this turned into an incredible successful business. that's coming up next on "your business." small businesses are revitalizing the economy and american express open is here to help. that's why we are proud to present "your business" on msnbc.

hi, everyone, i'm j.j. ramberg and welcome to "your business." where we give you tips and advice to help your business grow. the culture of a company may be one of the most important yet most overlooked areas for busy small business owners. having a strong culture helps you hire the right people, put out the right marketing messages and steer your company with a working compass. today we meet someone who has mastered these ideals. the next story is by far one of the most fun i've done in the past six years. you'll see why. ♪ >> it's a challenge. you have to challenge yourself. that's why we're all with no clothes. >> three, two, one. >> new jersey. mid-november, 42 degree weather

and 10,000 people who are about to jump into nearly freezing water, scale walls covered in oil, run through fire and that's just the start. ♪ welcome to the jungle >> welcome to tough mudder. >> it's a group of a thousand people doing crazy things together. it's awesome. >> tough mudder is the brain child of will dean, a former british counterterrorism expert who wrote the business plan for the company while getting his mba at harvard. >> i said let's see if we can take elements of special forces training, mix that up into a run, make it about team work and camaraderie. >> challenge people they do. tough mudder is a 10 to 12-mile obstacle course which lasts on average two to three hours and take it from me, this course is tough. and it has to be about camaraderie because frankly, you can't get through it alone. it's those two things, challenging people and team

work, that form the backbone of these events and of will's companies. will's goals center around creating a culture, an authentic experience that resonates with people and inspires them to do more than they knew they could. >> why do you think so many people are attracted to this insane event? >> i think it is core, human beings are programmed to challenge themselves, do something different. >> it's awesome. you get dirty. you get crazy. the crazier the better. >> you like like a superhero. >> did you expect tough mudder to stand for something? >> this is something i could see myself getting into. one of of the thing i was taught in business school is 95% of business is execution and 59% of that is marketing and most of that is empathy. >> tough mudder does stand for something, determination,

friendship, grit. will's created a brand that has absolutely transcended the event itself. more than 1,000 people have gotten the tough mudder logo tattooed on them. >> my other tattoos are an expression of myself. i feel that this, you don't get it unless you complete it. >> it's the toughest race i've done so far. it's something to commemorate that accomplishment. it's something to carry with me to say, hey, i did this. i was here. >> and everything will brings to the courses he started in his office. within 18 months, tough mudder grew from a company made up of will and his partner to having 50 employees. while everyone's not compelled to run through fire to get to their desks, they are constantly challenged to push themselves. >> we have something called tough mudder university. we do an hbs case once a month. >> yes, you heard him correctly. once a month he tells his employees to put down their work and come together to have an intellectual discussion about a

business issue, based on a case study from harvard business school. >> what is it about starbucks that's made them so successful in the 1990s. >> it's not going to the local doughnut shop and getting a 50 cent cup of coffee. it's a place where they have couches and chairs and they're encouraging you to spend time there. >> once a month they have a book club as well. they've read everything from "good to great" and "one-minute manager". >> what if you don't finish the book? >> you always finish the book. not finishing is not an option. >> some people might say that's a lot of work. you're asking many he to do my job and read a book and have a discussion about it and read a case from harvard business school. why can't i just do my job? >> it is a lot of extra work but at the same time it's nice to know the company is investing in our own development and our future. >> in the same way you can't get

over the oil slicked wall without help from your peers you can't be a good employee without help from your colleagues. >> the company is very focused on team work. we have weekly team meetings. the idea of team work and camaraderie is infused in the company. >> everyone in the company is welcome to get on course whenever they want. will has done it himself many times. he has some tough moments. >> i can't not stand the tunnels. i'm bunched in tight on those. i have to crawl on my belly. that's a real mental challenge. >> in 2011 there were 15 tough mudder events. in 2012 there will be more than 30 with expected revenue of more than $70 million. talking to the participants, it seems like that's still a fraction of what this has become. we asked if they'd come back

again? every single person told us. >> >> as soon as possible. >> tough mudder. >> you heard me. what are you about? >> now, we're probably all not going to be bringing harvard business school cases to work or running through fire but there are definitely things we should all be doing to make sure we have a strong company culture. this is the founder of internet lifestyle.com and maverick business adventures. maverick port is the best-selling author of "book yourself solid." >> what's up, j.j.? >> this is one of my favorite pieces i've ever done. one is because it was so much but will has created this incredibly strong culture. he has a group of 20 something year olds and does this business school case. i went to business school. suddenly my heart was pounding.

it's incredible. it makes everyone love him. the time out he takes to develop them makes them love the company. >> yes. >> we all can't do that. we're not going to take time out to do a business school case. but can we do. >> notice they're all about culture, whether it's the customers or the people who are working there. and they have this desire to be more than they currently are. i have a feeling his hiring practices, he's looking for those people. he's not just, anybody who wants to work here can work here and we'll put together these hard-core learning opportunities, et cetera. these are probably people who want to be superstars just like in the package you heard the woman say i do this because i want to be a superhero. right? >>ian iayannick, i said this i intro to the piece. but i think culture is important but often the most neglected piece for business owners. do you agree? >> i had a company that was a one-man ban for a long time.

i thought culture was bs and didn't really matter. but now i think it is everything if you want to have a big impact in the world with your business. they have a great culture. the great thing about it is polarizing. the people who love it, love it. it starts with internal customers, their employees. >> how do you create a culture. >> you have to have a strong point of view and you stand for something specific. you do not deviate from that. you're willing to shout that from the roof tops. you're creating an environment that people want to be in because they're cooler. they're part of the club. and so when you look at the people who are participating in this, they're putting tattoos on their body. >> yes. >> because they feel -- >> the customers, yes. >> not the employees. that's not a requirement. but for the customers, that level of commitment means you're part of the club, you're on the inside circle. it all starts with story telling.

they're telling a very specific story. this is not running a marathon or going to work out in the gym where it's air conditioned. only really special people can do this and only special people can work here as well. >> what i found so compelling about this is will believes it so deeply. he believes in what he does for his customers and for his employers. so deeply that it makes it easy for him, i think, to build this culture. >> it does. i think when we work together as high-level executives and entrepreneurs, it's all about the shared, intense experience. it brings them together. just like michael said, the tattoos, you see that as an indicator. people put tattoos of apple, harley-davidson, jack daniels, brands that matter to them. they're doing something right here because this brand matters to them. >> they started this company with $20,000 of their own money. $70 million in revenue next year.

>> i'm so jealous. >> i love it. >> it is a real success story. >> yannick, thank you for all of your help with this and you, too, michael. more and more of your customers are using their smartphones to get information about things. here are five ways to make sure your website is ready for mobile visitors, courtesy of mashable.com. number five, keep it simple. users visiting your mobile site are looking for information and service fast. keep navigation to a minimum and focus on providing just the top things customers need. four? don't lose a lot of images. large images slow down your page. get rid of most of the images except the ones that are absolutely necessary. three, design for multiple hand sets. design your site to look good on any mobile phone on the market. two, use an m.dot url.

and number one, test and listen to feedback. use google's gomo site to see how your url looks on a mobile phone and talk to your customers about their complaints and suggestions. sometimes entrepreneurs get so caught up in wanting the sale that they tend to lose site of the fact that getting business at all costs is not always worth it. our next guest says you're better off ditching customers who bring you down and take you away from really good clients. she's author of the book "but are you making any money?" stop being busy and start cre e creating cash. >> good to see you. >> thank you for having me. >> we have a lot of people coming on and say fire the bottom 20%. >> that sounds great but when it

gets to the conversation -- >> it's awkward and secondly you don't want them bad mouthing you. >> i liken it to when you know you need to fire an employee, you have to lay the ground work. i talk about coming up with laying the foundation, setting the stage. having a conversation with them, like i knits we have this contract and we continuously are outside the parameters and maybe i wasn't clear about what the parameters were, getting them engaged and teeing them up for the issue. you have to have a script in your mind so you know what you're going to say. if it's all of a sudden the klein the is here, you're like -- it's not easy. you have to be prepareded. >> if you know what you're going to say you can get it out. >> the next thing, too, you have to have solutions for the customer. you can't just say i'm firing you. that is when they will bad mouth you. nobody wants their ego bruised

or feel like they're left high and dry. you have to come up with some options. here are some companies that may shall good for you. a lot of times it's great because they can't be your advocate if they have a klein the that's not a match. sometimes it's a personality thing. it might be timing, personalities. something is not gelling. it's your job as a professional to really get the best for your customer. if it's not a match, you have to give them options to move on. >> this anticipate objections is kind of like writing the script. >> anticipating objections is crucial. so what you have to do is come up, what are the top three things they'll say to you. they don't want to be fired most likely. they'll say but wait, i thought i could do that within the parameters. anticipate their of courses and come up with a couple believable answers.

you have to practice them. the first time can't be in front of the klein the. i can't stress that enough. >> fire a client, breaking up with your boyfriend. >> it really is all the same thing. you can't waiver. if you're firing a client maybe it's because they're a bully or were going outside the parameters of your contract. they're used to this. they'll think if pressure the pn will cave. you can't cave. you have to know, i've made up my mine, be calm, nonemotional and keeping back to the fact that this isn't a great match. youen wa the them to have the best experience and they're not going to have it with you. >> remember your own resolve. if you're getting rid of money coming in, it must be pretty bad. >> right. how many times when you're in the middle of the situation, whether it's the boyfriend or anyone else, you give it one more chance. you can't give it one more chance.

every time you give yourself one more chance, you're closing yourself off to those customers out there. >> forget maybe new clients, they take time away from your current clients. >> and all of a sudden everything starts to suffer. it's a bad apple messes up the whole bunch. that's what we're talking about. >> great advice. >> thank you for having me. still to come an an exterminating company that uses dogs to sniff out bed bugs is itching to get new customers. these under 30 success stories found out if you're too young to start a business. ♪ she was a young american you know, those farmers, those foragers, those fishermen....

for me, it's really about building this extraordinary community. american express is passionate about the same thing. they're one of those partners that i would really rely on whether it's finding new customers, or, a new location for my next restaurant. when we all come together, my restaurants, my partners, and the community amazing things happen. to me, that's the membership effect. generation y has the entrepreneurial spirit. according to ea recent staud di i, the job title of owner was the fifth most popular one listed by people under 30 on facebook. a bit ago we caught up with two young entrepreneurs whose businesses are booming. ♪ i'm just a girl ♪ take a good look at me

>> sophia drifted from job to job before she became her own boss. when she started her san francisco vintage clothing company, nasty gal at age 22 she had no money, no college degree and no small business experience. >> i was almost forced into this to survive and to find something i enjoyed doing. >> laney has never had the chance to work for anyone else because she started her business when she was 11. >> all i've ever done is worked for myself. it would be hard for me to get used to working for somebody else. >> both women are young entrepreneurs with successful internet businesses. and after enjoying the freedom of being the boss, neither can imagine ever working any other way. sophia always had a good sense of style and parlayed that into her internet business.

>> sometimes i would buy things for $20 and at auction they'd sell for 100, 200 or 300, depending on how many people were interested. >> the power of the nasty gal brand comes from at community of fun-loving 20 something fabistas. she's built up a huge network of customers, spread across my space, facebook and twitter. with a thriving business on ebay, she started to get that restless feeling that led her to jump from job to job. in 2008 she made the risky decision to leave the online auction world and start her own e-commerce website, shopnastygirl.com. now nasty gal sends trendy new clothing alongside the vintage duds. >> the business is growing, you know, at a pretty alarming rate. it's actually growing faster than we can control.

it's pretty insane. >> pittsburgh, pennsylvania's company, simple sugars is also grappling with the challenges of a fast-growing business. five years after starting her all-natural sugar scrub company, she's eye involved into running her business during her summers off and after school. >> it's hard to balance everything. i get up at 6:00 in the morning, go to school, and i generally don't get home until 7:30 at night and work on the business. >> with a thriving business online, the time has come to relocate the business out of her parents' basement. the next step is renting office space and hiring employees. >> it's starting to be too much volume to handle by myself. >> ron morris, host of the radio

show, "an american entrepreneur" says the novelty of lazari's i don't uth is what makes her business exciting. without it, simple sugars would just be another cosmetics company. in order to have her best shot at making simple sugars into a million-dollar company, morris game her some surprising advice. >> i said if i were you i would drop out of school, okay? immediately. and spend the next year or two trying to push this company over the top because as i said to her. i said right now you've got one shot in ten of hitting a home run. >> and although it may seem to break all of the conventional rules to become a full-time entrepreneur, like sophia amaruso is and put high school on hold, that's what entrepreneurs do best. break the rules. >> i really want to take advantage of all my opportunities with simple sugars, but i also don't really want to completely give away high high school experience. but i really think that i have a lot that i can learn from taking a year off and just working on my business, that would be

equally as valuable as ha i could learn in a year at school. >> it's time to answer some of your business questions. michael and yannick are with us once again. the first question is about new employees. >> what are some effective training strategies for new employees, to make them as productive as possible in the beginning. >> this is particularly interesting in the context of this show, because once you get somebody in, you want to train them in their tasks and in the culture of the company. so janik, what are some onboarding strategies? >> i think that's what happens is we get so wrapped up in finding that great employee and we forget about them once we bring them in. it's almost just as important, maybe think about having a first 100 days or first 60 days to reemphasize ha they came in for. share the vision, share the big picture of what they're

building, that something is bigger than them. and also think about how not micromanaging, but how they going to be independent and give them mastery of their tasks, that they can be part of something bigger. >> i think it starts with good hiring. you hire slowly, right. what's the best indicator of future performance? it's past performance. so you try to, you work out a way to get people to do the work that they need to do before you hire them officially. so there's the probationary period. but it's the ongoing long-term training. it's not, hey, let's get them up to speed in two weeks and they're off on their own. i think every sing the person should have a mentor inside the organization. >> one of the things we do in my company still small enough to do this is any time somebody new comes, the first couple of days they meet and sit down with every single person in the company. because it could, you know, weeks, months could go by and you realize two people haven't even spoken to each other. >> the other thing you can do is bring them into the

decision-making process. and every sing the month i send be a email to the team, saying what am i doing that's working and what do i need to improve? they feel comfortable saying, michael, you're totally messing this thing up. you got to, you're hard to work with here, whatever it is. if you don't feel like you can do that with the people you work for. it's not a good place to work. >> good for you. that's something about your personality, too. next question, an email, we're service providers of a canine scent detection to eeliminate pests, we need to increase branding and awareness, what suggestions would you have to help successfully achieve this business goal. >> to explain that in english. i believe this company uses dogs to sniff out bed bugs. janik, for people who don't know about this service how do they get the message across? >> the biggest thing is the branding and the awareness. he doesn't need the branding. it's aes if people need when

they need it no one is going to be thinking about bed bugs until they have the issue. he needs to show up in places where they're searching which is obviously online. bed bug elimination key words. or bed bug infestation and taking off by the regions. he needs that. and he'll double up by having the branding. so as soon as they show up at his site. that's good-looking site and reason for what they're doing and what their unique proposition is. it needs to right at the point of the problem. >> i don't think anybody cares that it's dogs doing the sniffing, it doesn't matter. i have bed bugs, get rid of them. i don't care how you do it. to focus on that is about them, no the about the customer and janik is right, when you have bed bugs, need them. i would focus on google places and be very specific on the search. >> maybe on the dog front, maybe they need some testimonials. you get a lot of the customer testimonials.

>> it's still results that the customers are interested in. not how you get there. >> once they hit the site, that's when it matters about the dogs, right? because that's the benefit that they're showing them, it's nonfumigating or who knows what the reason is. >> so let's move on to the next one. a question about starting your business. >> is there a wrong place to launch your business in the united states? in other words, is there one place that's better for you, like silicon valley, or can you launch a business in florida. >> if you want to go into real estate, florida is probably not the best. it's conditional, there are market conditions that are important, tax conditions. there are lifestyle conditions that you need to consider. where do you want to live? hiring considerations, ha kind of workforce do you have in that particular area. so there's a lot of different conditions that need to be considered. i don't think there's just you know, one answer. >> would you suggest, janik, if you're starting a tech company that silicon valley is better because you have all the

resources there? or no. >> just like michael said. it's so conditional, it depends on what you want to do, who your marketplace is and why you're starting the business. as far as i know, there's been successful businesses in every single state of the union here. and i think we'll continue to have it that way. >> i guess what you could do then is list down what do you need, and can you get that in the city. and or town that you're going to. >> i like michael's idea about lifestyle. what's important to you, right. that you make the list. exactly. >> well great, thank you guys so much for all your advice. if any of you out there have a question for our experts, all you have to do is go to our website. the address is open forum.com/yourbusiness. there, just hit the ask the show link to submit a question for our panel. again, the website is, open forum.com/yourbusiness. 0or if you'd rather, email your questions and your comments to yourbusiness@msnbc.com.

when launching a new product or entering a new market, gauging potential demand is key. if you need help getting feedback from your target audience, check out our website of the week. youstamp.com has tools to help you build, promote and analyze online surveys. creating and sending out surveys to your customers is free using the survey-builder. for fee, ustamp also allows you to solicit feedback. the costs of usinged customer lists depends on the depth of your study. to learn more about today's show, click on our website, openform.com/yourbusiness. you'll find all of today's segments, plus web-exclusive content with more information to help your business grow. and don't forget to become a fan of the show on facebook, we love getting your feedback. follow us on twitter, it it's @msnbcyourbusiness. next week, one small business owner scale downs her family jewelry store in order to

cultivate a more customized experience. >> i think you have to find your own niche. the big boys are so big and they have such deep pockets. how can you butt heads with them? who wants to, even. >> we'll tell you why she's focused on making sure her clients get the most personalized service she can offer. until then, i'm jj ramberg, and remember, we make your business our business. they have names like idle time books and smash records and on small business saturday they remind a nation of the benefits of shopping small. on just one day, 100 million of us joined a movement... and main street found its might again. and main street found its fight again. and we, the locals, found delight again. that's the power of all of us.