tv Your Business MSNBC June 26, 2016 4:30am-5:01am PDT
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♪ hi, everyone, i am jj ramberg, and welcome to your business, the show dedicated to helping your small business grow. if you watch this program a lot you know when we usually do makeovers we go into a struggling business and we see how our team with turn things around and this week we decided to mix it up a bit and took our experts to a business doing okay, and with no previous experience, the two owners turned their idea into a
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profitable company, but when we lifted the curtain a little bit we noticed a lot of what they are doing is being held together with band-aids and they are itching to expand but there's no question they have to get some things in order first so they have a better chance of success, so we decided to give them a "your business" makeover. ♪ i'm here in daytona beach, florida, to answer a call from a local mom and pop business. so far this couple has beaten the odds, and they told us they need our help. >> let's give these business owners a "your business" makeover. hi. >> hi. good morning. >> hi. who is this? >> this is zion. >> hi, omar. >> how are you? >> 2 1/2 years ago they opened
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this vegan smoothie shop, and up here on the main drag in daytona beach and less than a year later they opened a second location and now they want a third location, but are they ready? >> ready for a third? >> ready. >> and we are going to spend the day making sure you are ready, and at the end of the day i want both of you to feel comfortable. and before we got going, i went through a tour, and they built the cafe through the painstaking process of learn was go. >> we are always trying to figure out what the best ergonomics are. >> this is beautiful in here. >> this is much smaller. >> do you feel like you learned a lot? >> absolutely. >> they told me they had not planned on opening the second
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location so soon but when the opportunity came up they went with it. >> we didn't have a bag of money. >> right. >> but we used all of our income tax return and put everything into it. >> leaving one store we moved to see their house where camille manages the back office and home schools her five children. >> you have a crazy job, and you are home schooling your kids and you are working, and it serves as your office and your school. >> and now we're in your office. >> i have to admit, this seems nuts right here. >> this is the hours they had and i totaled it up. >> and then it gets typed in. >> okay. you are keeping track. >> and there are the receipts. >> hold on. i have to pull this out.
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all right, and these are your receipts? with two locations, 20 employees, five home schooled children and a chaotic list of undone chores, there's a lot to do, but they are keeping the business afloat and they are pretty sure it's profitable. >> how profitable are you? >> i can't tell you, jj, because we grew so fast, and everything that we had we had to put it into the second store. >> they have good instincts and are working unbelievely hard but are starting to see the limits of what can be done without guidance. >> do you sit down with your finances and say, can we do that? >> no. >> i want to do that, and i cannot make him sit still to do that. >> today they get to sit still
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and go over the numbers. >> this is just produce from the last couple of months. these are all my invoice fold s folders. >> chris connected all the data and organized it. >> when you look at the revenue being generated by a juice bar and a vegan restaurant, you guys are doing really, really great. >> unfortunately, revenue alone is only one-half of the story and the other is expenses. >> you made $265,000, which is tau nominal, and you spent about $256,000 to get that. so your spending, you know, basically, everything to get to a 3% profit. >> while that doesn't sound great, it's not all that bad. and the high cost came from
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paying retail at super markets instead of getting cheaper restaurant rates from restaurant suppliers. >> you can eliminate some of the stuff you have in here. >> turns out when chris pointed it out, camille jumped on it. >> it was like a truck from heaven. >> during our interview, a delivery truck arrived with a second order. >> this is coming all the way from pennsylvania. >> and then they estimated what their business might be worth if they can bring their cost in line with similar businesses. >> that will create half a million dollars in value for the business. >> so now you know what you need to do, now we figure out how to do it. i know you have been speaking
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with dean max, and let's catch up with him and he can check in to see how you are doing and take you on the next stage. >> two weeks before our cameras got here, camille and omar met up with dean on their own to ask him questions and camille told me one of dean's questions got her thinking? >> he asked about the unit costs and we don't know it because the measurements are not written down. >> dean suggested they create a recipe book for each cook in each store to follow and this controls the unit cost and keeps the quality consistent between stores and the impact of this on camille was enormous. >> i started crying, because, like, i felt like a freedom and i knew the only way for us to really duplicate and be strong and effective was to have the recipe book that we have not been able to get together for three years. >> as they examine the inventory
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with dean, camille was showing off how much money she was saving. >> when you are talking about your bottom line -- >> dean says you need a system that ties recipes to sales to inventory. >> it's going to tie in how much you need to have on hand and how much you sold. >> he's talking about his software system that tracks all of the factors that camille and omar are struggling to follow. >> show me! i get so excited about that stuff. >> dean showed them the system he uses, and it tracks production day by day for each restaurant. >> you have got your sales and product costs and labor costs, and then your bottom line, which is your profits, right? i can look at all of my costs, and determine where i need to be more productive. those are your two biggest
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costs. >> and the owners can be proactive with the vendors. >> the company might have just charged you double by accident and you are going to call them and say, hey, you guys, you just charged me $5 more a pound and you are on your game now, and before you may not have caught that. those are these little safety nets that you need to run this business at a different level. >> camille and omar start to see how this will change the way they run their business. >> that's all we have been doing is guesstimating, kind of guesstimating. >> right, and this is not going to keep you from having problems, and you will have waste and theft and loss. but you can be responsive quick. >> they noticed the veggie burger was one of the top sellers, and when they realized they were buying them at retail.
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>> i want you to make it your own. i want you guys to do that, and we will taste it and come up with the best recipe for you guys and this will take you to a better product and more profit. >> dean suggested a cook off between omar and camille to khaodz the tastiest recipe to replace the store-bought ones they now use. dean and i were the judges. >> i feel like i am on the tv competitions, and babe, i love you but the competition is on. >> this is where it gets ugly. >> game on. >> all right, you want to grab yours? >> yes, i do. >> okay. >> mm. so good. oh, my god. that's good. >> that is really good. >> i see you smiling, and i
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think it is yours, or maybe not. >> okay, green or red? ready? one, two, three -- >> green. >> they both went green! >> was it yours? >> oh, great job. >> finally, we introduce them to save singleton. >> a small businessmen mentor. dave comes in to help stay on top of the goals. >> my job is to help you keep focused after they leave, and they are gone now and we have to be together. >> checking in. being accountable. >> camille already figured out how dave can help her?
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>> right now what will be critical for us, setting concrete goals of when things can be done by. it's what we want to accomplish before the next store opens. >> we started the day with a question? will camille and omar sign a lease to open a third store. our two experts have their opinions. >> should they sign the lease today? >> no, not today. >> it's a tough one for me because i have not seen their new spot. if a location -- if you know it's going to be so great, they might want to jump on it and fly with it. >> but in the end, the only opinions that count are omar's and camille's. >> now that you see what you have to do, do you feel ready to sign a lease or want to put the brakes on? >> i think we are ready, and we could do things to save and i am ready to go forward. >> camille, you always thought that. how do you feel? any better about it? >> i feel better. i feel better.
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>> you feel like you can do this all at once? >> i feel like -- i feel like we do it. somehow, some way -- >> we always find a way. >> with our children in tow, we will move forward. as you just saw in that piece, we connected omar and camille with a free service that anybody can call upon, and there are more than 325 score chapters throughout the country. we have them to tell us what they offer and how you can utilized their services. good to see you both. >> good to see you. >> good to see you, jj. >> we live in a bubble where we
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know so clearly on what you guys do and we have talked to so many intrapreneu intrapreneurs, and then we find out a lot of people don't even know s.c.o.r.e. exists. what do you do? >> omar and camille will benefit from volunteers, businessmen and women that volunteer their time to help business owners start and grow, and available in 305 communities and the service we offer is primarily free and starts with the one to one mentoring, and it's available to any small business owner on just about any topic related to starting, growing managing or buying or selling a business, regardless of your business life cycle point, regardless of the size, and it's available and all you need to do is hop on the web at score.org or go to your nearest chapter and take
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advantage of your greatest resource. >> how do i know i am getting somebody that can help me or knows the issue i am facing? >> sure, well, every score volunteer has been there and done that expertise and have been through the challenges and come out the other side, and you can search to find a person that fits your needs, whether it's an industry or topic or looking to take your business to the next level, and we are sure you are paired with the best fit, and you can come back time and again and we can bring more people to the table to meet your needs and answer your questions and we have the expertise to answer your questions and get the help you need. >> who are these volunteers? >> former business owners, and they are retired executives, and they may be still actively working today, jj, about 30% of the volunteers are actively working and they have been trained and mentored and
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certified by score, and they are generous enough to volunteer their time and talent and it works extremely well. >> we set them up with somebody who is going to stay with them for a while and he is going to get to know their business, and is that more typical? >> s.c.o.r.e. is here for the life of your business and we want to help from the time you have that business idea from when you are ready to exit or sell your business, and we supplement other resources, and there are thousands of workshops across the country put on by other chapters and volunteers, and it's helping the in between times when you are not meeting with your mentor to fill that
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gap and enter specific questions and then bring back more questions. >> it's such an amazing free resource out there, and just a brain trust of people who have been through the issues that some of our audience might be facing right now, and i so appreciate you taking the time to come on and tell us about score. thank you both. >> thank you, jj. you don't have to be at a formal networking event or busy vent to make connections for your work. you can basically make connections anywhere if you just think outside the box, and we have five great under the radar places to find your next business contact. one, coffee shops are popular spots to meet people and get work done so chat with somebody in line or as you wait for your drink, and two, stick around after a religious service and it can be a valuable way to learn more about your community, and
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three, hair salons, and stylists spend a lot of time talking to their clients so next time you are in one of the chairs be sure to talk to them about what you are up to, and your hair dresser may be able to connect you to a valuable contact, and gyms and fitness studios are filled with people all hours of the day, so whether you are walking on a treadmill or waiting for a yoga class to start, strike up a conversation. and five, weddings. don't limit yourself to the guests at your table, and make a point to chat with others, and you never know what opportunity is waiting for you. when we come back, the pros and cons of viral versus traditional marketing. and police in this community saved their favorite doughnut shop when they bought the business.
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will your business be ready when growth presents itself? our new cocktail bitters were doing well, but after one tradeshow, we took off. all i could think about was our deadlines racing towards us. a loan would take too long. we needed money, now. my amex card helped me buy the ingredients to fill the orders. opportunities don't wait around, so you have to be ready for them. find out how american express cards and services can help prepare you for growth at open.com. would love to know what it's worth, doing some sort of viral flash gorilla marketing or if
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more traditional techniques are recommended. >> i find in marketing a newer business that tech particulars, you have a lower budget to lose. as they are sharing it, they are giving their endorsement that gives so much more credibility and validation without spending millions in orders to get your brand's recognition. >> a few years ago we did a story on the bookstore in the bay area, and on the brink of having to shut down the community rallied behind the company and kept it alive and there are heartwarming stories like this that happen all the time. and in michigan, the only doughnut shop in town was on the verge of closing its doors, but
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as kevin tibbles tell us the police kim in to save the day and keep a whole lot of people happy. here walking the beat means a quick stop at cops and donuts, a century-old bakery. >> it was going to close and we were not going to let that happen. now they can take a bite out of a doughnut all made by a fifth generation baker who has turned the joint into a must-see touristdestination.
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the great thing about cops and donuts, here repeat offenders are welcome. in this is the kind of place to be. >> it's a gathering place. visitors are interrogated or s or peer out from behind bars. and there isn't a cop cliche that hasn't escaped the clever folks in the souvenir shop. don't glaze me, bro these days to serve and protect might mean something with sprinkles on top. kevin tibbles, clare, michigan. >> we now have the top two tips you need to know to help your
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small business grow. rod curtz is a media strategist and startup adviser and ken yantze is back with us as well. ken, let's start with you, one piece of advice for our entrepreneurs and small business owners. >> sure, i believe firmly in the importance of planning and having a plan. every small business owner regardless of their size, regardless of where they are in their business life cycle needs to set goals and needs to have a plan that includes metrics that are measurable. they need to work that plan. we know that once you plan, as soon as your plan hits reality, about 20% of it is not correct. but that puts you 80% ahead. and you can adjust and it will get you where you want to be as a business or individual. we're addicted to it at score and we think that all small businesses should be addicted to it as well.
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>> first of all, i like your optimistic numberses, 20% is wrong. got a chuckle from me and rod. >> depends who you talk to. >> it's incredibly important because it makes it easier to get your team on the same page. if you have a plan everyone knows where you're trying to go. >> absolutely critical. you know, i think that it's very healthy to actually allow your team members to participate in the planning process, to let them help you determine what the right metrics are and let them invest their mind share and knowledge and time in the results of your business. it's incredibly important and will be very, very valuable for your organization. >> i agree. all right, rod, you started business not that long ago. >> 20 years if you can believe it. >> 20% wrong? >> depends on the day. >> i should have asked you 80% right. >> kenneth sage is always my friend down in d.c. that's great advice, planning is essential and things never go according to plan. sometimes you learn in the
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process, which is interesting. >> right. tip from you. >> my tip? i like a little offbeat advice. and my tip is to take a field trip. what i mean by that, if you're a business owner, take one afternoon a month and leave the office, preferably leave your phone at the office and go to a museum. i'll tell you why. because we are so tied up in the day to day of our businesses and sort of exercise the same muscle over and over. if you're crunching numbers all day and go to an art museum, you'll free up a whole lot of mental space. if you go to a science museum and see how things work. i guarantee not only the break from being in the office and taking a afternoon off but going to a cultural place to stimulate your senses, you'll come up with new ideas. i discovered this close to a year ago. they were doing the madmen exhibit in queens and i was just like -- it was the last day of the exhibit and i've got to catch this. i took the afternoon off and dropped everything and i was
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engaged with it all afternoon. didn't come back with a million dollar idea but i felt so refreshed and something i troo to do once a month. i went to a pop-up art gallery the other day. i was walking back from a meeting. you know what, whatever i have to do, i can leave it aside. for business owners who say i can't do it, can't take an afternoon hour. if you can't take one afternoon off for yourself to recharge and refresh, you're not running a well run company. take the time. mini vacation. >> good to see you both. >> this week your biz selfie comes from robertaweissburg, designing and designing leather apparel goods for more than 35 years. why don't you pick up your cell phone and take a selfie of you and your business and send it to us or tweet it to @msnbc
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yourbiz, use #yourbizselfie. dell just released a study where they rank studies on how well they foster an environment for high impact female entreprene entrepreneurs, new york city came out number one. people were surprised by this and not me because i feel there's a great environment here, of course for funding and great talent here but i also think there's a very good environment of women helping women. i go to a lot of women's dinners where people come from different industries and one thing we always do at the end. if everyone goes around the table and says this is something i need and inevitably there's someone who can help them. that kind of environment gives people a kick start to their business. it's a short cut for helping them grow. i encourage all of you, whether you're sitting around in a group of men or group of men or group of women and men, when you're at a dinner like that that's a little bit formal.
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give a chance for everyone to say this is what i need and give a chance for other people at the table to help them. now we'd love to hear from you. if you have any questions or comments about today's show, just e-mail us at your business @ msnbc.com. we posted the segments from today and a whole lot more. don't forget to connect with us on our digital and social media platforms as well. thanks for joining us today. remember, we make your business, our business. will your business be ready when growth presents itself? our new cocktail bitters were doing well, but after one tradeshow, we took off. all i could think about was our deadlines racing towards us.
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a loan would take too long. we needed money, now. my amex card helped me buy the ingredients to fill the orders. opportunities don't wait around, so you have to be ready for them. find out how american express cards and services can help prepare you for growth at open.com. what's at stake, from guns to immigration, to the supreme court, new urgency in the 2016 race. >> in november, americans will have to make a decision about what we care about and who we are. >> we'll hear from eleanor holmes norton fresh from her sit-in. we'll talk to the family attorney of freddie gray after what's next after the latest not guilty verdict. and double bogey for donald trum's reboot. >> number ,
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