Economy Entrepreuneurship Markets

The Ten Commandments of Business Golf

GolfSeveral years ago, I happened to pair up with someone I hadn’t previously met at the Santa Fe Country Club, where I usually play. After a few holes, we discovered common professional interests: He was about to buy a local magazine and—after editing a travel magazine for several years—I was looking for a new opportunity. We had a lively discussion, with both of us thinking: ‘Mmm, kismet?’ Then a curious thing happened. He preferred to drive his cart at top speed between shots and holes, whereas I liked to walk the course and take my time lining up each shot. At the end of 18, we exchanged numbers, but we both knew we’d never collaborate.

Why? Because the way we played golf spoke volumes about the way we approached our professions.

This weekend, golf is once again on our minds as the Master’s—perhaps the premiere golf tournament in the country—enters its second round of play. The other day, in an interview with a national newspaper, 2011 US Open champ Rory McIllroy was briefly embarrassed when his phone rang, an awkward moment on a course where handheld devices are strictly forbidden. However, it’s a good reminder, for all of us weekend duffers who are taking our clubs out of the closet for the first time this year, how important etiquette and good manners are to the game.

It may be a canard that more deals are struck on the golf course than in any other venue. But if you want to be a walking cliché, I humbly offer a few pieces of advice.

1. Take Lessons

Face it: You stink. Luckily, it’s not necessarily a life sentence. Living in the Rockies, where golf is a seasonal pursuit, I need all the help I can get when the snow melts. Starting the season by hitting two thousand balls on the range will not improve a flawed swing. So take a couple of lessons, but avoid the Pro who gives you 87 things to remember on your backswing. Don’t combine golf and business until you’re playing competently. Otherwise, your clients will rightly assume you’re an idiot.

2. Follow the Rules

A couple of years ago, I read about pro golfer Camilio Villegas being accessed a penalty for removing some debris from around his ball before taking his shot. He seemed genuinely surprised at having broken the rules. What’s shocking is that he didn’t know the rules. You don’t have to be the rule-book Nazi in your foursome, but take some time to read it before the season starts. You’ll be amazed at what you’ve forgotten—or never knew.

3. Observe Dress Codes

One of the best things about business golf is getting invited to play at a client’s or colleague’s club for the first time. Don’t show up in cargo shorts and your vintage Beck tee shirt. Call ahead to the pro shop and ask about the dress code. Dustin Johnson or Bubba Watson are good golf fashion icons: conservative but with a little individual flair. Forget the lime green or cranberry red ensembles. It works for Rickie Fowler. It doesn’t work for you.

4. Play Fair

Golf is self-policing. There are no refs, umpires, or line judges. Just you and your conscience. If your client sees you kicking your ball out of the rough for a better lie, do you think he’ll consider you a go-getter who doesn’t let anything stand in his way—or a lying, self-deceiving sleaze? Mmm. I was playing with a retired chief operating officer a few years ago and I remember him saying, ‘It’s too bad the ethics of golf don’t apply to business.’ That’s just the kind of guy who is perplexed by the public’s attitude toward Wall Street.

5. Observe the Etiquette of the Game

Golf etiquette requires a couple of volumes to detail, from determining driving order to conceding a putt. It boils down to erring on the side of good manners. You don’t throw your briefcase across the boardroom when a deal goes sour (if you still have a briefcase, troglodyte), so throwing your clubs and cursing when you overshoot the green is going to tell your business golf partner that you’re a bad-tempered, tantrum-throwing moron—just the kind of business connection to avoid. Accept failures with grace and victories with humility.

6. Don’t Bet on It

My father imparted two pearls of wisdom when he introduced me to the game. First, never play against anyone, just yourself. Second, if you get frustrated, just enjoy the view. Tournaments are one thing, but putting too competitive an edge on a business golf game can get ugly. You really want to have to watch someone you’re hoping to do business with resentfully write out a check to you in the clubhouse? Conversely, are you willing to trash all sense of honor by five-putting the last hole so your client can walk away $105 richer? If your answers are yes, I suggest you take up trout fishing with dynamite.

7. Don’t Drink and Drive, Let Alone Putt

Until the final putt on the 18th, don’t even think about a cold one. My regular foursome includes a communications executive, an electrical contractor, and a chef. We don’t talk business; we talk smack. So a couple of tall boys in the cart is appropriate. But when you’re doing business on the course, the last thing you want is for things to get sloppy. The clubhouse after play is the appropriate venue—and if you’ve done your prep correctly for the last 18 holes, it’s the right place to close the deal.

8. Know When to Talk Business

One of the oldest maxims of the game is to never talk business the first time you play with a new colleague or client. Pushing your business agenda when you’re supposed to be enjoying leisure time is unseemly. When business does enter into things, observe these four nevers: First, never discuss business before the third hole; second, never after the 15th; third, never when someone is preparing to shoot; and fourth, never on the green. Personally, I like to walk a course—not just for the exercise, but for the stroll between shots that actually gives you and your partner time for a leisurely chat.

9. Play Charitable Tournaments

Yes, local tournaments for charity are possibly the best venue for networking ever devised. If run well, they’re also usually a hell of a lot of fun. Also, at the end of the weekend, you’ve helped raise money to help someone’s life other than your own.

10. Take Advantage of Reciprocals

No doubt you’ve gone to your club’s general manager or pro and asked for help with a reciprocal—the gentlemen’s agreement by which you’re allowed to play as a guest at another club. The problem with this is that if your club pro is not well respected—or your club is not at a certain tier—your request to play at Pine Valley, N.J., will probably be turned down. About eight years ago, a number of online ‘reciprocal clubs’ sprang up that offered a matchmaking service for private club members. You still might get turned down because your own club isn’t up to snuff, but the advantage is they come up with lots of clubs you’d never think of playing and they can reach out internationally to clubs at which your own would never have connections. If you travel abroad frequently, membership is a bargain, but they’d still never let you into Pine Valley.

The Ten Commandments of Business Golf
By Kent Black

Economy Personal Finance

Debt Conciliation Strategies

Credit cards

How to Negotiate With the Credit Card Companies

If you are left high and dry by the sheer burden of debt, it is always advisable to go for a debt conciliation strategy. There is no use carrying such a wearisome weight of loan on your shoulders. It does nothing but adds to your worries and tensions. Therefore, you must ensure that you get rid of it as soon as possible.

The internet is the safest place to gather all information related to settlement and Debt Conciliation Strategies. Therefore, if you do not have a clear idea about how the various settlement programs work, you do not need to worry. The internet will load you with a wealth of options and an array of choice. They will give you a comprehensive account of how to negotiate with the credit card companies.

You can then start negotiating with the credit card company and express your idea of going for conciliation or settlement program. In the present economy, the credit card companies will be more than eager to go for such a program since it is always better for them to recover some amount of money than none at all. Here, you must ensure whether you want to pay in monthly installments or the whole amount at a time. Though it is the duty of the debt conciliation program to arrange everything for you, you must also take an active interest in it. If you have a huge amount to pay, it is advisable to settle all your dues at once instead of going for monthly payments.

Once you have settled on a particular amount, you should insist the credit manager for a written agreement. The concerned agreement should state everything right from the exact amount you are required to pay to the payment process. It should mention that you will owe no more money to your creditors once the process of settlement is complete. Once that is done, you can be rest assured that you have cleared all your dues and finally overcome your financial crunch.

Debt Settlement Programs – A Safer Option Than Filing Bankruptcy

Have you reached a decision regarding the method that you are going to employ in order to be debt free? If you are still in two minds, you need to seek advice from some reliable quarters so that this problem can be solved soon. In all probability, debt settlement programs would emerge as the common solution from all.

There are some pertinent reasons for that. The fact that you have fallen in the trap of dues is ample proof of the fact that your financial condition is at its worst. You are not in a financial state to repay the amount that is owed by you to others and that is why you have become a victim of dues. In such a state, you must be in search of a program that enables you to make minimum payments and yet help you to come out of the mess. This criterion is fulfilled by debt settlement programs.

You might be tempted to file bankruptcy because it apparently eliminates all you dues at one go. You might argue why would you agree to pay even half of the total balance when you are getting an opportunity to escape from the total amount of dues? However, there are some important reasons why you should think twice before treading this path. Bankruptcy is something that looks very convenient at the beginning but as you go deeper, you realize and discover the trappings that come with it.

To start with, filing bankruptcy itself is a Herculean task by itself. It is not at all easy like a settlement program where everything is taken care of by the professionals. Here, you have to make sure you select the right chapter so that your prospects of getting approved are increased.

Why do you need to get into so much trouble when debt settlement programs can easily solve your financial problems? It is true that your credit report can suffer a setback but it would not cause as much harm to it as bankruptcy. In bankruptcy, the damage is often permanent and that is why you need to stay away from it and go for the bankable option of negotiation programs.

By katherine S Young

Economy Entrepreuneurship Personal Finance

Don’t take business advice from nice people

Nice people

How to keep quiet politeness from killing your sales, marketing and probably your business.

I’ll admit it. I’m not a particularly nice person. In fact some consider me brutal with my honesty. (Some just call me a New Yorker.) Either way they’re right. I don’t coddle. I don’t insult, but I call it like I see it and often I offend. I don’t do it to be mean. I do it out of integrity. I believe (often foolishly) that when people engage me in conversation that they are truly interested in my opinions and experiences. So I share, willingly.

A colleague of mine claims one can offer blatant truth, and still be nice. She says: “It’s not what you say, but how you say it.” I don’t buy it. I have often witnessed, when someone has invested their heart, soul and ego into a project, and you tell them has invested their heart, soul and ego into a project, and you tell them truthfully and nicely why it will never work, they still think you are cruel and non-supportive. Don’t take my word for it. Just watch Shark Tank, or American Idol. Except maybe Kevin O’Leary, most of the investors or judges aren’t actually rude or impolite. (Not since Simon left anyway.) They simply point out the errors in the unfounded beliefs of the contestants…dashing their dreams and crushing their spirits…thereby appearing to be cruel and non-supportive.

The alternative to us truth-sayers is people with discretion. They grew up under the rule: If you can’t say something nice, don’t say it at all.” They either lie and say something “supportive” when you bring them your hideous, doomed-to-fail idea, or worse they exhibit what I call Quiet-Politeness and simply say nothing. Most likely they’re not vested enough in your success to engage in conflict with you over your passion.

These nice people are not doing you any favors. In fact they are sabotaging you in three ways.

1. Nice People Waste Your Time.

This happens in sales all the time. You meet people at networking events. They’re polite. They never actually tell you they won’t do business with your company. So you optimistically think they’re worth keeping in your tickler file. You follow up every couple of months. You email them a birthday card. You tell yourself that someday they will come around. They won’t. They politely return your email or take your call, again omitting the fact that they’ll never buy and are generally annoyed with your persistence. In fact they would better serve you both, by stating that they already buy from their brother-in-law or that they hate your CEO, and just cut you loose. In sales, nice people suck up the majority of your time and resources. Just look at your conversion numbers.

2. Nice People Encourage Low Standards.

Most people ask for opinions in hopes they are on the right path with a project. A marketer who has passionately invested months in a new campaign runs it by a nice colleague for her feedback. The nice colleague thinks it’s a six on a scale of 10. The nice colleague supportively says: “ Looks good. Keep it up.” Why create unnecessary conflict in the cubicle next door? She thinks. The marketer feeling reassured, continues on his path of mediocrity. The campaign has lackluster results.

3. Nice People Enable Failure.

When an achiever is passionately driving down a fatal path, nice people tend to clear out of the way. Some are simply avoiding conflict. Others don’t want to appear non-supportive as the achiever reaches the point of no return. The nice people demonstrate their own brand of silent cruelty by not sharing their knowledge that can avert the disaster.

I’m not suggesting we round up all the nice people and ship them to parts unknown. Neither should we abandon all rules of polite society. But if you are an achiever in the business world, nice people will create unnecessary obstacles without some precautionary steps.

1. Defend against the “Golden Rule

State clearly you do not want to be treated by nice people the way they want to be treated. Tell them instead to openly share their honest opinions and experiences or don’t engage. Tell them you intend to do the same.

2. Reward Bluntness

It doesn’t matter if you are an entrepreneur, manager or employee. When you seek feedback, show that you appreciate truth and constructive criticism no matter how harsh and painful. Show you can apply input so people are encouraged to provide more of it.

3. Give Nice People a Safe Path to Disengage

Most nice people can’t help themselves. Help them form nice people cliques and let them sabotage each other en masse. Perhaps you can identify them with an embroidered N on their lapels so they can find each other easily. This way you can avoid them and come hang out with those of us who will be brutally honest and give you the necessary feedback for success and achievement. We’ll be supportive by helping you overcome your real obstacles and we’ll encourage you to do the same for us. Come on over anytime. (You can find many of us at the Bull and Bear.)

It may not be a nice time, but it will certainly be refreshing.

I look forward to reading all your comments both good and bad. Of course I don’t expect the nice people will say anything.

By Kevin Daum

Economy Personal Finance

The Best Retirement Plan for Entrepreneurs

Retirement Plan used to be, you had to give up either savings or flexibility to create a tax-deferred nest egg. Not any more.

By Charles Farrell | Jan 27, 2012

Building your retirement plan while you’re also trying to build your business can be tough. Many retirement plans don’t allow entrepreneurs to put much money away, or if the plans do provide for large contributions, they don’t offer the flexibility a business owner needs to manage uncertain cash flow needs. But there is, finally, one retirement plan that does both. It’s called a solo 401(k).

You qualify for a solo 401(k) if you’re the only employee in your business (the solo part), or if you and your spouse are the only two employees. A solo 401(k) allows you to defer up to $17,000 a year in wages if you’re under age 50 and $22,500 if older. Plus, because it’s a 401(k), it also has a profit-sharing feature, which means that in addition to your 401(k) “salary deferral,” you can also make an employer contribution out of “profits” that could take your total contribution upwards of $50,000 for a year. You can even set up your solo 401(k) to allow for Roth 401(k) contributions, which means you can build a nice tax-free (as opposed to tax-deferred) balance.

Here are a few examples of how a solo 401(k) can help build retirement assets but also respond to business cash flow needs.

Let’s say you’re 40 years old and starting your own consulting firm, but your spouse has a regular job and a healthy income. In your first year, you generate $50,000 of net income and you’d like to shelter as much as you can. You could contribute $17,000 of that income into your solo 401(k) plan. You can then make a profit sharing contribution of roughly 20% of your net self-employment income, which roughly amounts to another $9,000, for a total of about $26,000, or a little over a 50 percent contribution. Compare that with an IRA, where you’d be limited to $5,000, or an SEP IRA, where you’d be stuck at 20 percent of $50,000, or about $10,000.

Now, let’s assume next year you net $100,000. You can now make the $17,000 401(k) deferral and about another $18,000 in profit sharing, for a total of about $35,000. Or, if you decide that next year you want cash for expansion, you can contribute $0 to the 401(k), or $5,000 or whatever you want.

Remember, if your spouse also works in the business, you can essentially split the contributions. That means with limits of about $50,000 per person, you could be looking at a $100,000 contribution and a $100,000 tax deduction.

You also have the ability to borrow from your solo 401(k) plan. Generally, you can borrow up to 50 percent of the account balance, up to a maximum of $50,000. This may come in pretty handy if your bank tightens up your credit line.

Most large brokerage firms and many mutual fund companies support solo 401(k)s and can provide you the basic documents. But remember: These plans are more technical than an IRA or SEP IRA, and I’ve only provided you with a summary of some basic options. That means you’re going to want to work with a tax professional. For instance, contribution limits are calculated differently for sole proprietors or pass-through entities like S corporations and LLCs, than they are for C corps. As you can imagine with the tax code, every situation is unique, so make sure you get the guidance you need before starting a solo 401(k). It may cost a few bucks to get your solo 401(k) established, but the tax savings and flexibility are generally more than worth it.

Read more:
Decent 401(k)s for Businesses
Essential Money Tips for Women Owners
Ta-da! Timing the Perfect Product Release

The Best Retirement Plan for Entrepreneurs
Charles Farrell is a principal with Denver-based Northstar Investment Advisors, LLC, and the author of the book Your Money Ratios: 8 Simple Tools for Financial Security, called “one of the best financial books to cross our desks this year” by the Wall Street Journal (WSJ, 12/19/09).