Doom and Gloom

Feeling a little down? You’re not alone. According to MSNBC.com, a British psychologist has determined this is the most depressing time of the year. He has derived a calculation that determined January 24th is the worst of the worst.

The model is: [W + (D-d)] x TQ/M x NA

The equation is broken down into seven variables: (W) weather, (D) debt, (d) monthly salary, (T) time since Christmas, (Q) time since failed quit attempt, (M) low motivational levels and (NA) the need to take action.

I think it's safe to say that this is a particularly tough time for small business owners, as well. Assuming all the above - and yes, how we feel affects our view on our entrepreneurial endeavors – we are saddled with the January Effect

In my mind, the January Effect is a combination of administrative tasks, broken resolutions, tax issues, the January 24th syndrome and a post-holiday letdown.

Ok, so we understand the depressing effect of January 24th. Let’s explore the other factors:

• Administrative tasks - In Michael Gerber’s “E- Myth,” the author talks about the difference between working on your business versus working in your business. January is inevitably the month you get stuck working in your business. You're reconciling 2004, you're budgeting for 2005, the account is screaming about 1099’s and W2, etc. There are filing deadlines, taxes due, and what feels like a never ending to do list. And don’t forget about running your business.
• Post Holiday – For many small businesses, particularly retailers - the holiday is a make or break period. If you had a great season, you’re exhausted from long hours, temp staffing and time away from the family. If the season wasn’t so great, well – the season wasn’t so great – nuff said. It’s also the time of year we summarize the past year. The income statement for 2004 is staring you in the face. Nothing like a good old reality check.
• Resolutions - Not unlike the doomed personal resolutions we set for ourselves, we entrepreneurs do the same things in our business. Personally, I had planned to get so much done during a traditionally quiet period between Christmas and New Year’s. Guess what? It didn’t happen. This along with a series of resolutions which weren’t kept – this is the year I’ll be organized, network, file or whatever you promised yourself. By now, you’ve probably figured out not much has changed.

Ok, so we’ve identified why this time of the year is tough – now, what? First of all, realize you are not alone. It’s a tough time of the year!! Secondly, the magic about a new year is you have a fresh slate. You can’t change what happened in 2004, at least not without a little creative accounting. So look forward.

What do you want to accomplish in 2005? Are these goals realistic? What are the plans to achieve them? What changes need to implemented? Struggling? Maybe consider a business coach or business network group. Get outside your business. Talk to others, and listen to what they have to say. Talk to your clients and ask them what they like about working with you. You’ll be surprised. You can build on your strengths and work on the challenges.

Oh yeah, and if you are reading this – you’ve survived the most depressing day of the year!

You've been spoofed . . .

For all you non-techie types like me - let me introduce spoofing. Ever get a spam with your return domain name as the sender? It's a way for the sender to hide their identity - this is "spoofing."

(spoof´ing) (n.) Spoofing may occur in different forms, but all have a similar result: a user receives email that appears to have originated from one source when it actually was sent from another source. Email spoofing is often an attempt to trick the user into making a damaging statement or releasing sensitive information (such as passwords) - see entry on phishing 12/29.

If the source seems questionable - such as Citibank telling you they lost your account information (trust me, they haven't) - call the reported sender before giving any personal info.

For additional info - visit http://www.cert.org/tech_tips/email_spoofing.html.

I hate to be cynical, but . . .

If you are like me, you get a %&**load of spams a day. Thrown into the mix is the occasional tear jerker or promise to support brain cancer if you simply click here. The web's equivalent of an Urban Legend.

I got such an email this morning from a dear friend, but I was suspicious of its authenticity. It involved helping a 2-year old Tsunami victim. Of course being the cynical bastard that I am, I wondered if it was a scam.

So off I went to my favorite "is it a scam" website – http://www.snopes.com/. And yes, they had my answer. It turns out the request was genuine, but outdated. Fortunately, the young lad had been reunited with his family about two weeks ago. I updated my friend on the status of the young boy.

I have used Snopes for everything from M&M legends, to Breast Cancer promotions (again, genuine - but this one was 3 years expired). So before you pass on the next email about saving the world, and thus unintentionally creating spam, check out http://www.snopes.com/.

Your email list thanks you.

Self-Employment Among Latinos and Women Increases

Self-employment rates for women, blacks, and Latinos have risen sharply since 1979, according to a new study by the Office of Advocacy. Between 1979 and 2003, self-employment rates increased across ethnic group and gender, and the total number of self-employed business owners increased more than 5 percent.

"Self-employment is a critical part of our economy," said Thomas M. Sullivan, chief counsel for advocacy. "Self-employment provides the main source of income for a diverse group of over 12 million Americans. The increase in self-employment rates for women, blacks, and Latinos show that small business ownership can move minorities and women further into our economic mainstream."

View the complete text of Self- Employed Business Ownership Rates in the United States: 1979- 2003 on Advocacy's website, www.sba.gov/advo/research/ rs243tot.pdf.

It's about the team . . .

Ever had a bad boss? A job you hated?

There is an old saying that people don't leave companies, they leave managers or leaders. As a budding entrepreneur you must remember that you hold staff’s fate in your hands. These are the people who believed in you, supported you, maybe even financed you. They have made sacrifices (usually in the pay department) to be part of your dream. How will you repay them?

For every bad job that you had, think back about what made it that way. Are any of those traits evident in your company? When’s the last time you said, “Good job” or even, “Thanks”?

Appreciation is the best motivation.

Strive for team-based wins, not individual wins. Great leaders leave their egos at the office door, praise the team when they achieve success and hold themselves personally accountable when the team fails.