How To Get More Business During The Winter Months. Self-Employment: Do you know the Difference between Rates and Wages.
Business seems to drop, slow or even stop during the winter months. As tourist traffic slows or stops during the winter months so does the incomes of many local business owners. The first step in overcoming this problem begins in your brain (don't they all?)
To begin with, don't see these slow months as a dead time. See them for what they are , a time to build customer relationships and prepare for the busy season to come. There are a few things that you might try to cushion the slow season. Below you'll find a list of strategies that just might work for your business.
1. Hold a class or Informational seminar-- Invite all your customers to come in for an educational session. Make sure that you have some nice deals for them on related items so that they can spend some money with you. It may well be worth considering doing the class for free. (gasp!) Some of the types of things that come to mind are Fishing, crafts, investments, flower arranging, interior decorating, travel tips, Information about certain surgerys, back pain relief, parenting, writing workshops and on and on......
2. Work up package deals that will be available during the "on" season but sell them now=get money now.
Remember that money now is always worth more than money later! Here's a great idea for a resort. Pay us $250 now and we'll give you a two night stay and a boat rental (with 4 hours guided) and a picnic lunch. Just make your reservation any time in the year 2004. I've seen this exact package sell over 20%! If you offered this to 1000 prospects and sold 200 You would gross $50,000! Could $50,000 now tide you over for a few weeks?
3. Tune up your advertising. Start using benefits and offers to get up to 500% more return on investment from your advertising. I'll show you how for free if you call me. 870 213-7032
4. Learn to use word of mouth to up your sales. Call me.
5. Send press releases
6. Run a contest
7. Distribute Coupons
8. Use give aways to generate traffic and be prepared to sell. (give aways could consist of informational materials)
9. Pre-promote an "On" season special or event (ok this one is not going to get you winter dollars but it will be a productive use of your time
10. Don't forget the locals! Find something they'd like to invest in. This is the Thursday before Valentine's Day and I have not seen any resorts or hotels doing the "Romantic Getaway" deal
There are dozens of tips and strategies that will increase your winter dollars. You just have to implement some of them to profit. OH! Want to know an awesome secret? You can do the above all year long! Cool. Very cool.
Any Questions?
John M. Satterfield
870-213-7032
www.hypnosisucanuse.com
Marketing Coordinator Long Term Care White River Health System and Small Business Consultant
About The Author
John M. Satterfield C.Ht is a certified hypnotherapist and a corporate marketing director. He lives in Mountain View Arkansas wife is Mary Gale, Cocker Spaniel is Sir Lancelot
Article Source: http://EzineArticles.com/
The difference between rates and wages is not always clear to newly self-employed people and their wage-earning clients.
Both look similar on the surface; both are expressed in dollars and cents per hour. But they each represent something very different.
Wages are the payment a worker receives for his labor.
Rates are the payment a business receives for performing a serivce to a client. In addition to the labor used in performing that service, rates must cover the business's overhead.
Because of that, rates have to be higher than hourly wages earned by employees for comparable work.
Most newly self-employed workers are former employees. They are accustomed to receiving pay based on wages. Because they don't understand the difference between rates and wages, when they start out, they tend to set their rates too low.
To survive, your rates must be high enough to pay the bills and enable you to earn a living.
Some of the differences between a self-employed person's rates and an employee's wages are explained below.
WAGES
�€� If you are a wage earner, you are due an hourly wage just by being present and willing to work at a set time, for the period of time demanded by your employer.
Your wage is the payment for your labor.
�€� The employer supplies the necessary equipment and supplies for you to do the work. And, the employer supplies your workplace.
�€� You enjoy all of the legal and social protections due to employees such as Unemployment Insurance, and employer paid Worker's Compensation Insurance.
�€� Most full-time employees enjoy fringe benefits. These range from
paid vacation and sick days, subsidized health insurance, retirement benefits, etc. to stock options and more to higher ranking employees at larger companies.
RATES
�€� As a self-employed service provider, you receive income based on your billable hours, that is, time spent on performing services for your clients.
�€� You furnishes your own supplies. Unless the service is one that is performed off- site, you supply your own workspace.
�€� You have to equip yourself to be in business and provide your services: You must procure and equip your workplace, invest in skill and product development, market your services, purchase business insurance, and handle billing, recordkeeping and collections.
�€� As a business owner you take on a great deal of risk. It is reasonable, and expected, that your rates should allow for a reasonable profit over and above your expenses and salary.
The above is true for any business. Below are additional costs you pay because you are self-employed.
�€� Unlike most of your employed counterparts, there is no employer subsidy for your health insurance. And, as an individual, your costs will be higher than they would be as part of a larger organization.
�€� Aside from Social Security, you are totally responsible for your own retirement nest egg.
�€� You will pay both the employee's and the employer's share of the FICA tax burden (15.3%); double the burden that falls upon your employee counterparts.
The IRS allows limited deductions for this tax, but your net share is still far higher than for your employed counterparts.
But you can only bill for services rendered.
The upshot is that as a self-employed service provider you must cover many expenses that employees do not. Therefore you should have no qualms about charging an adequate rate to cover your expenses and make a living.
Ellen Zucker's site, http://www.selfemployment101.com, has articles and resources to help the creative sole-proprietor earn a living and create a life.
Have Ellen's articles directly sent to your inbox. Subscribe to The Self-Employment Lady.
Article Source: http://EzineArticles.com/
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