good morning, coming up on your business, a network with content for canines? how the owners of dog tv overcame industry skepticism and now reach 20 million customers. why the founder of a portland, maine dog company hired a ceo in order to grow his business, and our elevator and four-legged helper convinced us on custom made dog food. that's coming up next on "your business." ♪

"your business" is sponsored by american express open, helping you get business done. hi, there, everyone. welcome to "your business," this show dedicated to helping your growing business. for any person that turns on the tv, the channel and streaming options are seemingly endless, but turns out, we're not the only ones who like to indulge our four-legged friends are fans too. when ron levy, founder of the first ever network for canines tapped into dogs' true delights, he got tails wagging around the world. ♪ >> a little treat. >> many people will be surprised to learn that dogtv, the first ever network dedicated to nonhumans, was actually inspired by a cat. >> my cat, charlie, left him and loan every day, and one day, i got the saddest eyes in the

world, like a puss in boots cat, and said, don't go. >> reporter: he realized his television could be a quick fix for charlie's sadness and his own guilt. >> reacted surprisingly. i took pictures, like, wow, this is amazing. >> turning on just any channel was not an option. >> if you leave on any an ma channel or any channel, you see something scary, a bomb somewhere on the news, it can increase their stress. it's not good for them. >> in that moment, the concept crystallized, a 24/7 channel just for cats. the idea ultimately went from cats to caninecanines. after hearing from pet owners that dogs are a lot more needy when left on their own. in 2007, the pet industry was a $40 billion business. ron felt strongly that owners might be willing to fork out a small fee for their four-legged friends to be entertained by pooch appropriate shows, but

selling the actual concept to cable providers would undoubtedly be really rough. ron wednesday to jasmine media based in israel. their reaction was far from warm. >> it's a great channel, unique. i said, there's no niches, the channel is for dogs. initial reaction was, maybe i'm on candid camera. >> i left the office sad, and the day after, he said, there's something here, he said, i don't know what, maybe i'm crazy, but there's something here. >> it's not very expensive. it's not an episode of "game of thrones," and we play all over the world without localizing because dogs bark in the same language. >> he saw potential in the business. ron was ready to get the cameras rolling, but rushing to market in an unfamiliar territory would have been a huge mistake, especially with a concept that would initially be considered a gimmick by most.

>> i think many entrepreneurs are on fire, you know, we have this idea, we have to make it happen now. the ceo said, we want people to take this very seriously. biggest advice is be patient. these things take time. we had dogs in order to create the right content for them. >> reporter: the pair spent three years conducting studies and gathering research from around the world, and then it was critical to test the content they created. >> we installed security cameras in 38 apartments in new york and l.a., prove the concept works. >> who knew zgiraffes are best friends, and dogs are not fans of each others' barks. >> you need to have the best group concept in order to know this thing works. it's about execution and have proof that it works. you don't have that, you don't have much. >> the pair felt ready to craft their pitch and set up meetings with cable providers. >> we understood that people see

us as the crazy people, so people didn't know how to take us, and the first tv network, meaning, it was not a great meeting. the second and fourth person in the meeting took off the phone and e-mailed his wife, we knew that we were in trouble. they were not taking us seriously. the presentation did not look good at all. the evidence was not demonstrated correctly to the people. >> they needed a major dose of legitimacy, so ron got pet experts and the humane society on board. and then came 2012, testing their product in a small market to get invaluable data to prove the demand existed, and it did. that move was a game changer. ♪ >> 24 hours after we launched, it was on "good morning america," leno, letterman, fallon, and it's flattering, but that was not the idea. we wanted to save all these people for later on. >> although they were not prepared for the onslaught of stories unleashed by the media,

they ran with it. soon dogtv popped up all over the country and across the globe. in 2014, discovery communications became a minority stake holder in the company, launching online expanding the reach from 15 countries to 75. dogtv is now in more than 12 million homes around the world, and, apparently, humans are getting hooked like actor billy bob thornton. >> that's a ha-ha thing here, it's a tv channel for dogs, but when people learn about the studies, that it works and helps with separation anxiety and stress, we design something that is not less than revolutionary, to me, if you have an idea, no matter how crazy it is, if you really, really believe in it, if you really do, just go and do it. pretty much every crazy idea can somehow get to the market. just go and do it, but do it right. make the best presentation and best product work with the best people in the world, get great

partners as i did. do that, and people take you seriously. ♪ >> ron levy started dogtv himself and got in partners to grow it. the skills that make a great founder are not necessarily the skills that make a great ceo later on. once the business gets past the startup stage, it's quite common for a founder to step aside and hire someone else to run the show, but it can be really, really hard to find the right person. that's the challenge a founder of a dog toy company faced, and his search took years. ♪ >> it's such a major decision, it's important to get it right. it's a big deal to release the reigns to someone with your brand. >> alex fisher knew the day would come. >> since the beginning, i've always known how smart i was or wasn't, and i always knew i needed someone else to run alongside. >> in his mind, the change,

inevitable. when he launched the company, planet dog in 1997, he knew that at some point he'd want to hire someone else to run it. >> i don't want to be my own ceo, and i know my own people don't want me to be their ceo. our vote got to be so big, my contract license did not work. >> the founder of eco-friendly pet products wanted to hand off control of the business. he was looking for a leader who could spur growth while remaining true to the original mission. >> planet dog just wanted to deliver a product line that was well-considered. maybe a little boutique feel, but it was a collar you would want on your dog. that's how nice that's supposed be, and same went with the beds and bouncy toys. >> when alex looked around for a new ceo, he met a lot of great people, but he did not meet anyone that was the perfect fit. >> i could easily find a person that was very good at one, two, or three things, but the reality

is, we have 12 things that we need to be watching. >> all that changed when he heard about colleen. it was 2013. >> i was itching for a smarter partner, and it still took years to find the right person. i like to say that colleen rescued our company. >> she'd been working as the ceo of another business, so she had the business chops, and not only that, but she loved animals. >> i worked with company founders in the past, and i learned very quickly what it's like to, you know, run a business with the founder very involved. >> alex and colleen agreed she'd come on board, but made a keen decision, she was not brought in as the ceo right away. >> it was easier to formulate the beginning of the relationship in sort of a consulta consultant-type matter, giving us both an out if it was not working. >> alex knew if he was going to truly hand over the reigns, he

had to feel comfortable with colleen first. >> if i felt like i could not let go of a specific product or the trust was not there, it's debilitating, and almost, to me, feels like a dog leashed to a tree. >> colleen agreed with alex's plans, thinking it was better for everyone to get to know each other. >> it was different to come in, here's our new ceo, versus here is someone to help us on the prompt we're working on, and so i think it was a really good opportunity for the company to meet me and me, also, to meet the company. >> alex realized pretty quickly that colleen was the right person for the job, asking good questions, and already thinking about solutions to some of planet dog's woes. >> she was a great listener. the thing she was willing to not guess or presume. she took plenty of time to learn about the direction that it needs to go before she decided to change any direction. >> and when colleen became the ceo, she thought it was critical to stop herself from moving too

quickly. >> i do believe that the first role of any ceo is to observe. you never act initially. you really have to give some thought to observing and talking to people and learning more about the founder. >> she sets the tone by rallying employees and coming up with goals. >> there were a lot of things that people were working on, but not necessarily all working together towards common goal. to be honest, it was a little bit of a sigh of relief for the employees because they were not really sure what the priorities were. >> alex did his part by stepping back so colleen could drive the company forward. >> i've learned in the four years i've been with planet dog when to consult with alex and when do i think he's going to be okay with allowing that to go in a different way. as the ceo, i get to make the final call. >> what's made the last four years easier is that colleen has alex's ear and the faith of her team. >> alex underestimates the role he's played in really standing on the sidelines and championing

the changes. that's sometimes hard to do. >> that doesn't mean that there are not times when the pair don't see eye to eye. >> i would say alex and i disagree often. i mean, it does happen. we are not on the same page, but the difference is that we do listen to each other, and there are times when he's right and i'm wrong, and i change the decision because of that. >> technically, alex has the ultimate say, but that's not the kind of relationship he and colleen have formed. >> reverse the decision, but it wouldn't ever come to that because we have an understanding, i trust that she's seeing where we go better. i would never second guess a decision that colleen would make. >> nay are in touch every other day, giving alex the flexibility he had been looking for. >> every time i was able to let go successfully, my life became a notch better. so, though it's maybe not the easiest thing to let go, if and when you do, if it's done right,

the company, obviously, benefits. >> sales continue to climb, and both colleen and alex say it's the combination of the founder and the ceo that have gotten them there. >> the founder's perspective is often very different than anybody else's, and it's important to put yourself in their shoes from time to time. we all like to look back and say, well, there's things i would do differently, sure, but at end of the day, i think we did it quite right. >> all right, now your dog has a toy. your dog is watching tv. it is time for feeding him. that's why we have you, alex, you're pitching in our elevator? >> agree. >> what's the name of the company? >> ali. >> who is this? >> my dog, simon. >> taste tester? >> absolutely. he tries every single one of them. >> inspiration for the company? >> no, my other dog, belle, could not come today. >> another appointment today? >> yes.

>> all right. you have michael, he is the founder and ceo of the facet sun, a successful subscription box company, and susan, who is the founder of frame bridge. both e-commerce companies ahead of you with great advice. >> i can't wait. >> all right, good luck. >> thank you. >> hi. i'm alex, the co-founder and ceo of allie, and allie is an e-kmee e-commerce company for pet food, we are human edible, human great quality, and what we do that's difference than any pet food company, we custom tailor the plan and recipe to the dog. people come to our website, fill out a survey, tell us about the breed, ph, activity level, and based on that, we recommend the right recipe and meal plan and ship the food to you every two weeks. it's a subscription service. we send you the right amount,

help you keep your dog ideal weight to prolong life, and we refridge wait product. it's cooked food that looks like human food, human edible, and a product you keep in the refrigerator. serve it to your dog. you don't have to reheat or hydrate. it's very convenient and healthiest quality you can find on the market. we are here because we are pitching you and looking to raise $10 million. >> all right. i think he's a little hungry right now. >> yeah. >> nice job. do you have dogs? >> i don't. >> no. >> okay. well, this will be a real test of the pitch, them, right? you're not having customers. what two numbers, first one, one, to ten, what do you think of the pitch, and what do you think of the product? okay. let's start, susan. >> okay. so, pitch, i gave a 7. great description of the product. features, benefits, i can completely understand why someone would want it. from a business perspective,

though, i don't understand the economics of the business yet, and i would imagine for delivering fresh food, getting that right is a big component. so product sounds terrific. i gave that a 10. really clear to me why this would be exciting and consumers love their dogs and certainly care about the food they eat thousand, so it feels like with the custom element, it's exciting. >> thank you. >> michael? >> 9s across the board. so, first of all, i love a good subscription, and i think this is a great space to be in. people, obviously, love their dogs, and, you know, the uniqueness, i have not seen this compromiseble apgle to ngle to . push hard on that. that's where the leverage is, differentiate over time, learn more and more about dogs, and, you know, what i figure out is how you get feedback, how well this is working, and maybe those actual trials or exappreciates

you can do to improve algorithms that is a sustainable edge. >> all right. the product? >> 9. obviously, i did not try it, but -- >> you can. >> you can. >> yeah. yeah. >> you have time, we can try it. >> you think it's a great idea? >> fantastic idea. you know, we saw a huge acquisition in the space just this year, and it was a lot of money to be made in this space, and, again, people love their dogs, and i think they are willing to go for the best for them. convince them it's the best, you'll do great. >> all right. thank you for the feedback. >> thank you so much for coming. >> thanks for having me. >> so cute, we love dogs on the set. good luck with everything. >> thank you. >> we really appreciate you coming on the program. >> thanks for having me. >> thanks for the feedback. it was great. holidays are coming up, and you've already seen retailers advertising and offer products for the holidays, even though it's so early in the year. what can you do as a small business to try to capture those customers as well? sarah baldwin, president and ceo

of bella wooden toys in maine. she bought the company in 2009 and has since grown what began as a small home based web business into a multimillion dollar enterprise. congratulations. that's incredible. >> thank you. >> i want to talk, you started on the web, you built this company. i want to talk about small stores that are brick and mortars getting people to shop online during the holidays. so that they don't miss out on online sales. >> exactly. so when customers come to our store, we always put a colorful postcard in the bag with information about our website, all the features available on the website with our url, and invite them to visit us online. >> i think that's great. it's sort of the first point. that requires them going to you. it doesn't happen probably that often that someone picks it out and types it in. how do you push stuff to them? >> how do i push stuff -- >> right, talking about the website, capture their e-mail

address? >> yes. when they come in the store, there's a signup, encouraged to sign up for the news letter. you can offer an incementive, like, a month le or quarterly give away for everybody who signs up, and then you can let those customers know via e-mail if you have a local promotion in the store and alert about new products. >> also, make sure that your website is beautiful. >> yes. >> right? it has to be usable even if right now you are primarily depending on people coming into the store. if it is, you know, 3:00 in the morning on december 19th, and they are just, like, this is my time to buy, make it easy for them. >> yes. yes. you want a beautiful website reflecting your brand and esthetics of your store. give a great customer experience, and make it personal, so u yyou can have a website and still be a small local store so you can tell your

brand's story. put your picture on the website or the photos of your staff, people like to buy from people, and even though you're shopping online, you can give them that very personalized customer experience. >> in a way, that's why they are shopping at your reason why thee shopping at your store in the first place. >> exactly. >> they feel connected. >> so keep your website personal and have that small business feeling because a lot of customers, even when they're shopping online, like to purchase from small, independent businesses instead of the big box retailers. >> social media, especially around the holidays, we're all bombarded with so much marketing that comes to us, but if you have a relationship, a face-to-face relationship with some of these customers coming to you, you may be able to offer them some information that they want via social media around the holidays. >> yes. yeah. through social media, just as young people expect all businesses to have a web presence, they also expect your business to be on facebook and

they're going to message you for customer service questions through facebook. be sure if your company has a facebook page that you're checking it every day for messages from customers and responding. >> are you talking about the holidays? >> i have a toy business so we start -- we start planning for the holidays in july. >> and do you have promotions around the holidays already? >> we do. we have -- so as a small business, i had to get creative with my promotions because early on i felt like i had to compete with all of the big retailers and do big 15% off site wide sales and i realized as a smaller store with smaller profits. >> not sustainable. >> not sustainable so we've gotten creative. so instead of doing a big site wide sale, for instance, we do a 12 days of giving campaign after cyber monday, and we just promote one category per day. >> right. >> it's kind of like an advent calendar. people get a new e-mail what's on sale today.

it might be dolls, wooden blocks the next day, art supplies. so customers will come, they'll shop for that -- those items that are on sale. they'll usually add things to their cart at full price so we're not losing. >> right. that's fun also. it gives people a reason to keep coming back. >> exactly. >> and to be excited about what's coming tomorrow. >> that's a great idea. thank you so much. i really appreciate it. i know you are an expert at this because you do it all yearly round and particularly now. >> bye-bye. even some of the most intelligent people with the best intentions can be terrible managers. being a good leader can take a lot of patience, a lot of practice, and in some cases some serious soul searching. here are five ways to improve your leadership skills right away. one, swap jobs with your business partner. this can be a great way to drum up some new ideas. you don't have to hand off every task to your partner, but switching roles could help inject a little creativity,

momentum and routine into a process. two, mystery shop your store. it's hard to know how your staff is treating your customers when you aren't around. remind them of your expectations, then you can do it or you can hire mystery shoppers and share the results with your team. just be sure to let your staff know what you're doing beforehand so they don't feel like they're being spied on. three, pay attention to the right numbers. numbers are everything. numbers are the life blood of any business, but not all numbers are equally meaningful. for example, if 100 people walk into your store, that's great. but if none of them buy anything, that's bad. make sure you know which numbers are truly reflective of your mission so you know what works and what needs work. four, treat your suppliers like team members. your suppliers are crucial to your business so treat them that way. give them as much information as you can so they can scale their

operations to meet your demands. invest heavily in the success of their business so that everyone can win as you grow. and, five, pretend you have a boss. it can be hard to stay focused when you don't have someone over you motivating you to get your work done, so give yourself an employee review and adjust your priorities and behavior to ensure you're meeting your own expectations. when we come back, what you can do to maintain credibility with potential investors and tips on obsessing over your investors and why you should be tuning out negativity. every day, on every street, in every town, across america. small businesses show their love to you. with some friendly advice, a genuine smile and a warm welcome they make your town... well, your town. that's why american express is proud to be the founding partner

of small business saturday. a day where you get to return that love, because shopping small makes a big difference. so, on november 25th get up, get out, and shop small. will they perceive it as me lacking. jim, this is a great question because this is a question that comes up with so many entrepreneurs out there. it's a tradeoff. do i focus on the business full time and leave some financial stability on the table or do i actually stay in my job, keep the financial stability and then

just continue with the startup until i'm ready to fully dedicate my time to it. the truth is, there is no right answer. in fact, i know investors that are advocates in both camps. so what i would say is i turn it back to you and say what do you feel most comfortable with. it sounds to me, your gutt is telling you to maintain the financial stability and dabble in the startup until you're fully ready to focus on it. that's okay. remember, it is your business and you have to do what's right for you. we now have the top two tips you need to know to help you grow your business. mike and susan are back with us again. two ecommerce companies that have grown significantly. you have 200 going to 400 employees over the holiday season. one tip. >> my tip is how to filter through all of the feedback you get as an entrepreneur. it is to ignore the really risk averse feedback you get because if you listen to that, you'll never innovate. if you get advice people believe

in you, want to make your business better, listen to that advice. if it's you shouldn't do t you have to filter it out. >> how do you do that? some risk averse feedback makes sense. >> that's right. but, again, if it's in the category of i'm trying to work with your idea and make it better, listen to it. if it's really about, i just don't think you should do this, you have to, have to have blinders on to that. >> at least take it as they think i shouldn't do this, let me give the five reasons i should. not just because i'm passionate about it. >> that bolsters your own confidence in it. >> michael? >> so my top tip is pretty simple. just be completely obsessed with your customers and, you know, it sounds obvious, but as you get bigger and bigger, there's going to be other stakeholders. you're going to have the press having thoughts, all sorts of things coming at you from different places and i think staying attached to your customer and spending time

talking to them, i spend hours on community forums, social media engaging directly. it's one thing you can't outsource and have to have top down. >> this is very important to say because the holidays are coming up. every b to c company is going to have customers. >> thank you for coming on. >> congratulations with the growth of both of your companies. really impressive. >> thank you so much. keeping up with our dog theme today. this week's your biz selfie comes from carolyn alonzo. she owns pet fetch care in chicago. she offers pet sitting and walking. now all of you, pick up your smartphone, take a selfie of you and your business and send it to us at your business @msnbc.com or tweet it to @msnbcyourbiz. the name, your business location, anything interesting or different about your business

and then use #yourbizselfie. thank you for joining us today. if you have anything to say to us, send us an e-mail at yourbusiness @msnbc.com. go to our website, openforum.com/yourbusiness. we put up there everything that was on today's show plus a whole lot more for you, and we put up even more for you and add you stuff every day on our digital and social media platforms as well. we look forward to seeing you next time. until then, i'm j.j. ramburg and, remember, we make your business our business. every day, on every street, in every town, across america. small businesses show their love to you. with some friendly advice, a genuine smile and a warm welcome

they make your town... well, your town. that's why american express is proud to be the founding partner of small business saturday. a day where you get to return that love, because shopping small makes a big difference. so, on november 25th get up, get out, and shop small. morning floory, america. i'm hugh hewitt. one of a country's most powerful figures is a quiet gentleman from southern kentucky. never under estimate senator mitch mccobble from kentucky. he is the majority leader. it is a job he's held since 2015 and will hold until 2019. he and the gop hopes he holds it far beyond that. senator mcconnell is an unusually elusive figure on capitol hill. you can usually find him at the university of louisville but