Well as this is my first blog post ever I thought I would deliver some random business musings that have been boucing around in my head over the past few months.  I have worked with hundreds of small businesses in my 15 year professional career and two things have always amazed me.  The first is that small business owners always try to create a unique approach to success when there are a couple of pretty straightforward paths to take.  And the second is that it amazes me how many businesses out there are run really poorly and yet still have their doors open year after year. 

With the above in mind I believe that small business in this country is at a crossroads.  The current economic conditions are dictating an extreme focus by entrepenuers on what business strategies actually deliver the best results.  This may seem overly logical but from what I have witnessed in my career their is way too many mistakes being made by small business owners to maintain our dominant position in the world economy.  The current challenges that small businesses face are big and are effecting every aspect of their business in some way.  These challenges are going to require smart leadership practices and we are going to need to get most of the businesses in the country on board. 

Challenges are coming at small businesses from every angle.  Lack of financing options to facilitate growth is forcing businesses to grow at a slower rate then they could to ensure that they don’t outpace their cash flow.  Healthcare costs have increased by 6% per year for the past decade and show no sign of improvement in the decade ahead.  The government can no longer fund growth oriented initiatives and is imposing greater compliance based programs daily.  There is almost no remaining cost reduction options either as most small businesses have cut everything non-essential (and sometimes essential) and there isn’t anywhere else to cut.  Global competition from China is reaching alarming levels.  And the skill sets of the unemployed doesn’t match up with the new skills required in emerging high growth industries.

With all this in mind there are opportunities.  We need every small business in the country to stop trying to reinvent the wheel and look to the best organizations for the path to follow.  I believe that there are two fundamental principals that the best have in common.  The best are hyper focused on and are 100%  dedicated to improving the lives of their employees and clients.  That is it.  There is no magic.  All you have to do is look at companies like Apple, Starbucks, Nordstrom, Google, etc.  These companies don’t have to worry about finding top talent in their industry.  Top talent finds them.  These companies don’t worry about profit margins and cheaper competition.  They dictate their own prices. 

I created this blog because I don’t believe that their is a sectret formula which is what it appears to me most are looking for.  The formula is right out in full view and available to everyone.  It doesn’t matter if you are a 5 employee pizza shop or Google because the formula works for everyone.  Build employee and client loyalty and you win.  Every time.