Pub Night Recap

Cheers to the YVEN inaugural pub night last Thursday at Bert’s Pub!  We had a fitting kick-off to our first networking event -Jeff Winn, president and founder of Yakima Craft Brewing Company, spoke about the experience of starting up his business in Yakima this past year.  Jeff is originally from the Portland area and brewed craft beer as a hobby with the dream to one day be brewmaster of his own brew pub.  His wife was from Yakima and they decided that since the Yakima Valley produces 78% of the world’s hops, and that the area lacked its own brewery since the closure of Grant’s Brewery, that Yakima Craft Brewing (YCB) would stake the claim as Yakima’s only brewery.  Jeff and co-owner Chris Swedin have chosen a simple tagline – ‘Just Good Beer’ – and a simple business model:  produce four types of beer, do them well and make a profit within the first year.

Not only have they been successful with their business model and met their first year goals but the fruits of their labor are paying off; YCB’s IPA beer was recently awarded an A+ (the highest rating) from The Beer Advocate magazine, a nationally well-known leader in craft brewing.  Jeff offered some good advice to the group, "Go with your passion in deciding to start a business and making money will follow".  Good advice for the small business owner – too often folks want to make money first and pick what kind of business second.  You might as well choose something you are passionate about if you are going to be working full time at it!

YVEN Pub Night was the first networking event of the Yakima Valley Entrepreneur Network.  This was an excellent opportunity to meet other Yakima County entrepreneurs, business people and directors from SCORE and the Small Business Development Center.  Stay tuned in to our website for future events – we are still in the start-up phase as a network, so we appreciate your input.  Join YVEN for our E-newsletter and get special notification of upcoming activities! 

 

The KISS Principle

Can you sum your company or business idea up 30 seconds or less?  Using the KISS Principle, ‘Keep it Short and Simple‘, is a good practice when talking about your business.  How many times have you been talking with someone and you find yourself wondering when they will get to the point?  You’re thinking, “Wny do I care about their mission statement or where they went to high school, spit it out!”.  When this happens, some listeners (or maybe just this one) tend to become disinterested, tune out, plan an escape and can ultimately end up avoiding the ‘long talker’.  Just think how detrimental this could be when you are networking or, even more important, talking to a potential customer or investor.

There was a recent article in BusinessWeek – Sell More by Saying Less (Carmine Gallo, June 16, 2009) that really made me think about this and how I can be more effective when speaking or writing, even blogging.  The author briefly sums up some great tips for communicating more efficiently.  He also mentions how Twitter can be a good tool for learning how to sum up your thoughts (20 words or less).   One of my favorite websites is Six Word Memoirs, where you can submit your very own six word ‘story’.

Some people tend to talk more when they are nervous or write more ‘fluff’ to make an article seem longer.  It would be a good idea to practice talking about your business, just like you would prepare for a presentation.  The person you meet in line or on an elevator may just be the investor or customer you are looking for – don’t risk turning them off by talking too much.  Get to the point, then ask them about what they do.  Some entrepreneurs or business people love to talk about their business or how they got started, or better yet, even offer advice that worked for them.  Join us for our first YVEN Pub NIght and practice your spiel!

I could go on and on about this…but think I’ll take my own advice and keep it short and sweet.

We’re on the right track

I attended an entrepreneurship conference last week in Kansas City, MO and learned some interested things about entrepreneurship.  The conference was sponsored in part by the Kauffman Foundation, one of the leading institutions on entrepreneurship. 

The three most important things I personally picked up were:  1) Networking is the most important factor to entrepreneurs and a successful entrepreneur network; 2)  A number of successful entrepreneurial-type businesses started in a recession (think Microsoft) and these businesses are vital to driving job growth.  Over half of the 2009 Fortune 500 companies started in a recession.  Small businesses with less than 20 employees generated 80% of net new jobs in the last 20 years; and 3) Yakima County is on the right track with our Entrepreneur Network. (Remember, these were my personal takeaways, not scientific rankings.)

Many similar sized communities are just starting to realize the importance of building an entrepreneur network and guess what?  We are already on the way. It was exciting to take part in a conference where the importance of entrepreneurship is realized and learning that other areas are the country are scrambling to implement entrepreneur networks like we have recently started in Yakima County.

Are we there yet?  No, we still have a ways to go to reach the likes of larger metro entrepreneur networks such as the Northwest Entrepreneur Network.  However, we should be encouraged because we are part of something new that can positively impact the business make-up of Yakima County.  How can you be involved?  Take part in networking events, business development classes, volunteer to be a business mentor and offer your expertise and most of all, let us know what we are missing.  I will be posting a survey soon for entrepreneurs to tell us what they want out of a network, but if you have an idea, email me – we are open for your suggestions.

 

 

 

What is a bootstrap and why do I care?

You may have heard of ‘bootstrap financing’.  This means starting a business with little or no outside capital.  "But", you say, "I don’t need any money, I’m going to get a grant to start up my business".  Contrary to what you might hear from the guy on TV, or see in ads and seminars offering free money for start-ups, the majority of business start-ups require a significant contribution from the business owner.  I heard one speaker last week say that the average entrepreneur contributes at least $30,000 of his or her own money to start up their business.  This might be in the form of gifts or loans from friends and family members, maxing out credit cards or using personal savings. 

In Washington State, there are some small business loan programs, microloan programs and grants available for start-ups, but these still require an investment  on the part of the business owner.  Also, you will most likely also need a business plan, financial statements and financial projections for any grant or loan application.  There are extremely limited grants available for the average business venture, unless you have some revolutionary product or are working on a high-tech or technology product, grants are even fewer and farther between.

Want to learn more about bootstrap financing?  Attend a short class on business financing – Thursday, June 11th, 11:30 a.m. to 1:00 p.m.  This workshop will tell you what funding sources are available and  where to find them.  Perfect for the new business owner who needs to project financials, discover funding options or for the potential business owner who is evaluating whether starting a business makes sense. This class is part of a four-part Working Lunch Series – there is also a class on basic marketing on June 25th.  Classes are held at the Central Washington Business Resource Center and are $15.00, which includes lunch.  Call me at 575.1140 to reserve your spot.