Setting Up A "Venture"Limited Liability Company The Right Way By Cliff Ennico www.creators.com "Three friends and I are going off on our own to set up an informationtechnology consulting business. We want to form a limited liabilitycompany for this business, but we want it to be flexible enough that wecan grow and attract venture capital investors. What are some of thethings we should be thinking about legally?" Limited liability companies (LLCs) are very easy to set up when thereare only one or two people involved in the business, or the business isnot likely to grow rapidly (for example, a family owned retail orservice business). When people who aren't related and don't know eachother very well go into business together, things get a bit morecomplicated. Here are some of the things you and your friends should discuss beforecommitting to this venture: Who Will Own This Business? Right off the bat I see a problem --thereare four of you. If you divvy up the LLC ownership equally, you'resetting up a situation where if two of you want to "zig" and the othertwo want to "zag", the LLC cannot function. We lawyers call that"deadlock". Try to divide up the equity so that one or two of you own51% or more of the LLC ownership shares (called #147;membershipinterests#148;). Who Will Run This Business? You should consider forming a "boardofmanagers" to run the LLC business, similar to a corporation's board ofdirectors. Three of you should serve as the "managers" of the business to avoid"deadlock" situations. So the fourth person won't feel left out, youcan add a "supermajority voting" clause to your LLC Operating Agreement(similar to a partnership agreement) requiring that the four LLC ownersunanimously approve major decisions affecting the LLC business (such asthe admission of a new member, a merger or acquisition, or investmentsover a certain dollar amount). Your lawyer can provide you with a listof common matters that are covered in a "supermajority voting" clause. Capital Contributions. At some point, your LLC will needadditionalinfusions of cash. If you do not make these "pro rata" (in proportionto your respective LLC ownership percentages), then your percentageownership of the LLC will change depending on the amount actuallycontributed by each member. To keep this from happening, consider aclause in your LLC Operating Agreement requiring that any additionalinfusions of cash be made in the form of "loans" - that way if one ormore members cannot pay their fair share, the others can make up for itwithout changing the ownership of the LLC. Compensation. Since all of you will be working in the business,youwill want to make withdrawals from the LLC checking account from timeto time to pay your living expenses (called "draws"). Work out aformula now as to how each of you will take "draws," or put a provisionin your LLC Operating Agreement requiring the members to voteunanimously on "draws" each month. Voluntary Withdrawal. If one of you has trouble meeting hisobligationsto the LLC, or comes under family pressure to "get a day job" if theLLC business isn't providing him with a decent living, you will have tofigure out a way for him to "withdraw" from the LLC. You should agreeto pay him fair compensation for his LLC ownership interest if hewithdraws, but make sure (1) the LLC pays him over a period of five to10 years so as not to burden the LLC#146;s cash flow, and (2) he or she isbound by a noncompete clause not to steal business from the LLC orotherwise compete unfairly with the remaining members. Involuntary Withdrawal. If one of you dies, becomes disabled, isdivorced from his or her spouse, or files for bankruptcy, there#146;s achance a "stranger" will end up owning a piece of the LLC. Have yourattorney draw up a "buy-sell" agreement requiring the LLC to purchasethe ownership interest of any member who dies or becomes disabled, orany person who acquires a piece of the LLC in a divorce or bankruptcyproceeding. As soon as possible after you form the LLC, the LLC should purchase"key person" life insurance and "disability buyout insurance" on eachof the four owners (or those owners without whom the business couldn'tfunction). That way, if one of you dies or becomes disabled, theproceeds of the insurance policy can be used to purchase his or herownership interest without impairing the LLC's cash flow. Watch Out for Noncompetes. Since it appears some or all of youareleaving "day jobs" to start this new business, make sure you haven'tsigned any "noncompete" or similar agreements with your currentemployer. Even if you haven't, try to avoid contacting your employer'scustomers, suppliers or employees for at least a year after you startthe new business. Cliff Ennico ( cennico@legalcareer.com )is a syndicated columnist, author and former host of the PBS televisionseries 'Money Hunt'. This column is no substitute for legal, tax orfinancial advice, which can be furnished only by a qualifiedprofessional licensed in your state. To find out more about CliffEnnico and other Creators Syndicate writers and cartoonists, visit ourWeb page at www.creators.com .COPYRIGHT 2009 CLIFFORD R. ENNICO. DISTRIBUTED BY CREATORS SYNDICATE,INC. Permission granted for use on DrLaura.com. More >>

The Right Way to LetFranchisees Out Of Their Commitments By Cliff Ennico www.creators.com A lot of corporate executives who have been "downsized" in the recenteconomy downturn, especially those in their 40s and 50s, are looking tobuy franchises. Their thinking seems to go something like this: "my 401(k) has lost a ton of value, there aren't any safeinvestments out there right now, so why not use at least some of what'sleft in my 401(k) to provide an income stream and a future for myself?"; "franchises are generally safer than standalone small businesses- you get lots of hand-holding and support from the franchise, andthere's a 'structure' to running a franchise that's similar to what youhave in a corporate environment"; "franchises aren't forever - the typical franchise term isbetween 10and 20 years #150; but that's okay in my case since all I'm looking for isa 'bridge' until I can retire at age 65 or 70 #150; at that point I'll sellthe franchise to someone else and have some fun before I die."Still, the question had to be answered. I did it by talking about twowords - two simple words - that you should write down on a Post-itNotereg;, put it on your computer, your bathroom mirror or anywhereelse you will see them several times a day. Make them your dailymantra, for these are the words that will help you get through whatevereconomic troubles we have to live through the next few years. All well and good, but . . . what happens if the franchise doesn#146;t workout? Most franchise agreements do not allow franchisees to terminate therelationship before the franchise term has expired. The idea is that ifthings don't work out for whatever reason: it was your fault #150; you weren't a sufficient "fit" for thefranchise, or didn't give it the old college try; and you should sell your franchise to someone who can do a better jobwith the franchise territory than you did. That's okay if we're talking about an established franchise likeMcDonald'sreg; or Burger Kingreg; -- hey, if you own one of these andare having trouble making money, you must be on Mars somewhere. But the franchises most people are looking at nowadays are "earlystage" franchises #150; with fewer than 100 franchisees, and sometimes lessthan 50 #150; that are still testing their business models. If a franchiselike THAT doesn't work out, there's just as good a chance it's thefranchise's fault as it is yours, and the franchise should let you outof the deal. That's easier said than done, though. Not only do most early stagefranchises not give you an opportunity to get out of the franchise ifthings don't work out, they actually impose penalties #150; sometimes LARGEpenalties -- if you ask to be released early. For example, if thefranchise imposes a "minimum monthly royalty" requirement on theirfranchisees, the franchise will require you to prepay all monthlyminimum royalties for the balance of the franchise term, sometimes in asingle lump sum installment. Crunch the numbers: if you have a 10-year franchise term, your minimummonthly royalty is $500, and you elect to terminate the franchise atthe end of Year Three, that leaves seven years remaining on thefranchise term, or 84 months. Multiply that by $500, and it will costyou $42,000 just to get out of the franchise and get on with your life(the franchise will discount this amount to "present value," of course,but the reduction won't be more than a couple thousand dollars). I recently reviewed a franchise program #150; a very early stage programwith fewer than 30 franchisees nationwide #150; where the franchise gotthis right. Here's how this program works. When a franchisee signs up, she commits to a monthly royalty of 8% ofher gross sales, and signs a "promissory note" agreeing to pay thefranchisor a total of $200,000 in royalties (without interest) duringthe 10-year franchise term. As the franchisee pays royalties eachmonth, the amount paid is applied to reduce the note so that once hertotal royalty payments reach $200,000, the "promissory note" ceases toexist. If the franchisee wants to quit the franchise before the $200,000"promissory note" is fully paid, she has two choices. She can either(1) agree not to compete with the franchise for a three-year period, or(2) refuse to sign the noncompete agreement. If she chooses to sign the"noncompete", the $200,000 "promissory note" is forgiven. If she electsto compete with the franchise, however, the balance due on the $200,000"promissory note" becomes payable in monthly installments at 6%interest per annum over a five-year period. If the franchisee elects to quit the franchise after the $200,000"promissory note" is paid in full, the noncompete period is reduced toone year and the franchisee doesn#146;t owe anything to the franchise. An approach like this one not only gives franchisees a choice of "exitstrategies" if the franchise doesn't work out, but it also demonstratesa little humility on the franchise's part #150; an acknowledgment thatnobody really knows whether the franchise model will work in alllocations, in all economic climates, and under all circumstances. Sadly, most franchises are not as enlightened as this one. If you areplanning to buy a franchise anytime soon, be sure you understandclearly what your "exit strategy" will be if things don't work out. Anddon't buy a franchise if there#146;s even the slightest doubt you can lastout the full franchise term. Cliff Ennico ( cennico@legalcareer.com )is a syndicated columnist, author and former host of the PBS televisionseries 'Money Hunt'. This column is no substitute for legal, tax orfinancial advice, which can be furnished only by a qualifiedprofessional licensed in your state. To find out more about CliffEnnico and other Creators Syndicate writers and cartoonists, visit ourWeb page at www.creators.com .COPYRIGHT 2009 CLIFFORD R. ENNICO. DISTRIBUTED BY CREATORS SYNDICATE,INC. Permission granted for use on DrLaura.com. More >>

Two Little Words That Will Get You Through The Coming Rough Times By Cliff Ennico www.creators.com I had the privilege of speaking this week to the local chapter of SCORE (the Service Corps of Retired Executives), a volunteer organization of senior and retired business people who devote a portion of their time to providing free advice and counseling to struggling small businesses (contact www.score.org to find the chapter nearest you). After all of the usual questions about legal and tax issues, a woman in the back of the room raised her hand and asked: "Cliff, we appreciate your advice, but we need some inspiration too. Everything we read in the media and see with our customers is scaring the heck out of us. Can you tell us anything that will give us some comfort and help us through these extremely difficult times?" I admit I was a little thrown by the question. Franklin Delano Roosevelt famously answered this question 76 years ago by saying "we have nothing to fear but fear itself," but heck, I'm no Franklin Delano Roosevelt. Still, the question had to be answered. I did it by talking about two words - two simple words - that you should write down on a Post-it Notereg;, put it on your computer, your bathroom mirror or anywhere else you will see them several times a day. Make them your daily mantra, for these are the words that will help you get through whatever economic troubles we have to live through the next few years. Humility. Let's face it, the past 50 years have been a wonderful party. Three successive living generations - Baby Boomers, Gen Xers and Millennials - have known nothing but good times. There have been stressful times, of course - several recessions, the Vietnam War - but these things never really impacted most of us personally. War, famine, epidemics, and suffering were things that happened to other people far, far away - we watched them on television, and the better-minded of us tried to muster support to stop them, but we never actually experienced them ourselves. And a lot of us were arrogant and deluded enough that we thought this would never change. The idea of real hardship - not knowing where your next meal is coming from, losing your house or being evicted from an apartment, not having enough money to do what you want to do in life, accepting less out of life than we want because we simply can't have it - is totally alien to us, and as a result we are not as emotionally prepared for it as our parents and grandparents were. To them, hardship and suffering were an accepted part of the cycle of life; to us, they are an aberration. Add to that the Baby Boomers' outlook on personal sacrifice and self-restraint, best expressed in the Grass Roots' classic 1969 pop hit "Live for Today" ("Sha la la la la la live for today . . . there's no worries, 'bout tomorrow, heeeyyyyyy . . . . ), and it's no wonder a lot of people in America have been feeling invulnerable. If it did nothing else, the past year has brought all of us back down to Planet Earth. A lot of people - including some with wonderful track records - have shown themselves to have feet of clay, and even some very good, intelligent people have done some very bad, silly and downright stupid things. And KNEW they were doing them at the time. If after 2008 you still think you know what you are doing, think again. Entrepreneurs are particularly prone to believe their own marketing shtick, but now is not the time for arrogance or self-delusion. It's time to take a sober assessment of your business and yourself, find out who you really are, what you really can and cannot do, and avoid selling yourself as something better unless you can back it up with action. Discipline. The current living generations of Americans have, as a rule, not been very disciplined about a lot of things. We are a rather soft, easygoing, self-indulgent and forgiving lot, inclined to "get along by going along" and accept that anything anyone wants to do is "okay" as long as it doesn't hurt anyone. The idea that you shouldn't do something even though no one will throw you in jail for doing it (what our ancestors referred to as "sin") is alien to us. The idea of personal discipline strikes us as being vaguely authoritarian and manipulative, imposed as it was in days past by religious institutions to keep people in line -- something to be resisted, ridiculed and ignored. Make no mistake - surviving in these times will require TONS of discipline, self-restraint, and personal sacrifice. Aside from being morally wrong, your "sins" these days can kill your business. It's time to take a close look at your company and ask yourself: are we running tight enough? Do we let things slide? Are we too forgiving of people's mistakes or ambivalent about our values as a company? Do we not insist hard enough on work, performance and results? Are we demanding enough with our people? And are we willing to punish those who don't live up to our expectations? While you're at it, ask these questions of yourself as well . . . Cliff Ennico ( cennico@legalcareer.com )is a syndicated columnist, author and former host of the PBS televisionseries 'Money Hunt'. This column is no substitute for legal, tax orfinancial advice, which can be furnished only by a qualifiedprofessional licensed in your state. To find out more about CliffEnnico and other Creators Syndicate writers and cartoonists, visit ourWeb page at www.creators.com .COPYRIGHT 2009 CLIFFORD R. ENNICO. DISTRIBUTED BY CREATORS SYNDICATE,INC. Permission granted for use on DrLaura.com. More >>

Some Surefire Survivial Strategies For Tough Times By Cliff Ennico www.creators.com No doubt about it - it's getting pretty scary out there. People are cutting back on expenses, doing more things themselves that they used to "outsource" to small businesses like yours, and slowing down their payments for your products and services. In an economy like this one, survival is all about cash flow. Keep a positive cash flow at all times, and you will make it through the tough years to come. While cutting costs will help you maintain a positive cash flow, at least for a while, sooner or later you run out of things to cut. The tougher, but longer term, way to maintain your cash flow is to do everything you can (short of selling below cost) to keep business flowing in the door. I recently conducted a very informal (and very unscientific) poll of some local small businesses to find out what they were doing to cope with the current economy. Here are some of the survival strategies they've come up with - not only do they seem to be working, but some of these businesses are actually growing! Strategy # 1: Don't Be Too Picky About the Work You Take On. A couple of weeks ago I had a plumber over to my house to fix a leaking faucet in one of our bathtubs, and I asked him how his business was doing. "Well, it's tough, but we're managing," he said. "There's no construction work being done right now, so we're not doing any big jobs. But there are lots of little, 'emergency type' jobs out there, and we're doing okay with those - you are my fifth call today." You can make money doing a few big jobs. You can also make money doing lots of little ones. Since the little jobs require less money, people are more likely to pay to have them done, especially if they're "emergencies". Strategy # 2: Find the "Dirty Jobs" People Are Still Willing to Pay For. I've always said that succeeding in a service business is a two-step process: (1) find a dirty job that no one likes to do but has to get done; and (2) charge lots of money for doing it. The same process applies in difficult times, except that if the job isn't really all that dirty (mowing the lawn, for example), people will start doing it themselves. You've got to find the really filthy jobs people will still pay others to do for them. Here are some local businesses that are not only surviving but growing right now, to give you some ideas: "pooper scooper" services that come to your home and clean up after your large, vicious dog; "water damage" services that clean up your basement after you've had a flood; tax return preparation services; home health care aides for elderly people; and automobile service stations that specialize in one or two popular makes or models (so as to compete more effectively with the auto dealerships' service departments). Strategy # 3: Turn Your Customers Into a "Family". Lois Mirabella of Mirabella Miniatures in Fairfield, Connecticut ( www.miniaturecorner.com/retailers/ct.htm ) sells dollhouses, dollhouse furniture, and miniature reproductions of household objects. In an economy like this one, you would think her store is failing, especially since she doesn't have a Website or a presence on eBay. But you would be wrong. Her store is always packed with customers who come from all over New England to check out her merchandise. What's the key to her success? "I treat each of my customers as if they were family," Mirabella explains. "With this economy, people want hobbies they can do as a family, and dollhouses are perfect for that." But it's not just a question of increased demand: Mirabella keeps detailed track of each item her customers purchase, calls them on the telephone (no e-mail, because "it's too cold") when she receives new items she knows they will be interested in, introduces her customers to other customers with similar interests, and hosts "events" at her store where customers can meet the craftspeople who make their favorite miniatures. Create a "community" where none currently exists - it's easy to say "no" to a vendor, but it's a lot tougher to say "no" to a friend. Strategy # 4: Convert Your "Luxury" Products Into Affordable "Splurges". A French gourmet restaurant saw a sudden downturn in business earlier this year. Rather than shut down, they downscaled their entire menu, losing their $50 entrees and offering "bistro fare" at $15 to $20, along with an expanded wine-by-the-glass selection and "appetizer size" portions of their traditional gourmet fare. Most of the lost business came back, and they are picking up new customers that wouldn't have considered eating there under their old business model. Cliff Ennico ( cennico@legalcareer.com )is a syndicated columnist, author and former host of the PBS televisionseries 'Money Hunt'. This column is no substitute for legal, tax orfinancial advice, which can be furnished only by a qualifiedprofessional licensed in your state. To find out more about CliffEnnico and other Creators Syndicate writers and cartoonists, visit ourWeb page at www.creators.com .COPYRIGHT 2009 CLIFFORD R. ENNICO. DISTRIBUTED BY CREATORS SYNDICATE,INC. Permission granted for use on DrLaura.com. More >>

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Navigating the Web 2.0 Universe By Cliff Ennico www.creators.com "I am looking to market a consulting business, and am very interested in the various 'social networking' websites such as Facebook and MySpace as potential marketing vehicles. I confess, though, that I'm a bit confused by the sheer multiplicity of sites that are available now - there are at least 10 social networking sites that might be a marketing venue for my business. How do I choose between them, or do I simply sign up for all of them in an effort to reach the maximum number of people?" If you are serious about marketing your business on the Web, there are three New Year's resolutions you need to make right now: (1)set up a "profile" page on at least one of the major Web 2.0 social networking websites; (2)mention your "profile" page everywhere else you have a presence online (such as your Website and "blogs") and offline (such as your business card, office stationery and telephone answering message); and (3)resist the temptation to be "everywhere, all at once" by spreading yourself too thin. At first glance, resolution # 3 seems to contradict the first two resolutions, but it really doesn't. There are four things you need to know about social networking websites: (1)certain sites attract certain types of people - while many people have multiple "profile" pages, certain sites develop stronger followings with some people than others, and you want to focus your marketing efforts where the people you want to reach "hang out"; (2)social networking sites can be "time vampires" - you will be creating profiles, taking part in discussions and responding to messages virtually every day; and (3)social networking sites are interactive - you are not in control of your marketing message on any of them - people will comment on your products and services, and some people are more interested in expressing their own opinions than in helping you build your business. (4)social networking sites overlap a lot -- hardly a day goes by in my office without receiving an e-mail from a Facebook "friend" who wants me to join his profile page on LinkedIn, and vice versa. A lot of the people you are reaching on Website A are the same people you are already reaching on Website B. So how you do decide where to "plant your flag" in the Web 2.0 universe? I've looked at most of the major sites, and here is my totally unscientific, personal, opinionated view of the major ones: MySpace - this is where the kids are hanging out. Great for rock bands and others who are targeting the "tween and teen" markets, and for celebrities, authors, sports stars and others who are looking to build a mass fan base (good book: "MySpace Marketing" by Sean Percival). This is where I want to be if I want to build readership for this column. Facebook - great for personal networking with family and friends. If you have an extended family and want to keep them all up to date on your latest adventures, this is the place to be. Several friends of mine used their Facebook profiles to send out holiday messages this year (bad news for Hallmark) (good book: "Facebook Marketing" by Steven Holzner). LinkedIn.com - great for businesspeople and professionals who are interested in "serious" networking. This is where I want a profile tied to my law and business development consulting practice (a new e-book from marketing expert Jan Wallen, "LinkedIn in Seven Days or Less", available at janwallen.com/works.htm ). Plaxo.com - originally an online address book and calendar manager for people who use Microsoft Outlook (and still probably the strongest product in that area), Plaxo has developed a Web 2.0 site (called "Plaxo Pulse") with a look and feel very similar to Facebook but with a little stronger focus on business networking (no books yet on Plaxo, sorry). Squidoo.com - great for subject matter "experts" who want to create interactive wikis (called "lenses") on specific topics of interest to build "niche interest" communities (good e-book: "Do You Squidoo?" by Joel Comm). Twitter.com - a "microblogging" site where you can post short announcements (called "tweets") of things you are doing elsewhere on the Web (good book: "Twitter Means Business" by Julio Ojeda-Zapata). Specialty sites - "special interest" Web 2.0 sites are exploding right now - such as feng.com for financial services executives - and may help you build followings within tightly targeted niches. If you must - absolutely MUST - be on multiple social networking platforms, be sure to use a "social networking automation" product - such as friendfeed.com or secondbrain.com -- to automatically update all your profiles without having to log into each platform. Also, use "Google Alert" or a similar product to notify you of new postings on your profiles, so you can respond promptly to someone who's broadcasting to all your "friends" what an idiot he/she thinks you are. Cliff Ennico ( cennico@legalcareer.com )is a syndicated columnist, author and former host of the PBS televisionseries 'Money Hunt'. This column is no substitute for legal, tax orfinancial advice, which can be furnished only by a qualifiedprofessional licensed in your state. To find out more about CliffEnnico and other Creators Syndicate writers and cartoonists, visit ourWeb page at www.creators.com .COPYRIGHT 2009 CLIFFORD R. ENNICO. DISTRIBUTED BY CREATORS SYNDICATE,INC. Permission granted for use on DrLaura.com. More >>

Building An Internet"Octopus" By Cliff Ennico www.creators.com #147;Your recent column on 'The Changing World of eBay' got me thinking alot about building an e-commerce presence for my small business. Do youhave any thoughts on the right way to do that in a rapidly changingonline environment?" Consider the octopus. The octopus basically has two parts: a combination head and digestivesystem, and a bunch of tentacles that spread out from the head into thesurrounding water, enabling the octopus to swim and catch prey (okay,okay, I've been watching too many nature documentaries on cable TV, butyou get the general idea . . . ). The tentacles of the octopus contain numerous "suckers", which catchprey in the open water and then "feed" the prey to the mouth of theoctopus, which then digests the prey. That system of operation is exactly what you should strive to buildwhen you create an e-commerce empire on the Internet. The "head" of your online octopus is . . . your business Website. Five years ago, I would have conceded that there are at least some verysmall, local businesses that don't need a Website to be successful. Notanymore. These days, every small business, whether it does businessprimarily online or offline, needs to have its own Website. Why? For two reasons. First, people these days expect that you have one if you are inbusiness. When someone hands me a business card at a speakingengagement or networking event, the first thing I look for is a Webaddress so that I can find out more about the person (assuming ofcourse that I want to). If I don't see a Web address, or if it's written by hand on the back ofthe business card (never do this, by the way - it sends the signal thatyou're too cheap to send the right marketing message to yourcustomers), the person instantly loses credibility in my eyes. Second, and more importantly, there is one place . . . and only one . .. on the entire Internet where you can sell merchandise and keep 100%of the proceeds of each sale. That place is your Website. Whenever you list merchandise for sale on a platform other than yourown Website (such as eBay, Yahoo! or Amazon), you have to pay fees forthe privilege - either a listing fee, a "success" fee (a percentage ofthe sale amount or winning bid), or some combination of the two. When you sell stuff from your Website, you don't have to pay nothing tonobody. So, here's a "pop quiz" question: when selling merchandiseonline, where do you want the bulk of your sales to come from? Why,your Website, of course! The "head" of the octopus is your Website, but you need "tentacles" aswell. Your merchandise listings on eBay, Yahoo!, Amazon, or Craigslist,your online "blogs" and your profile pages on the major Web 2.0networking sites (MySpace, Facebook, LinkedIn, Plaxo and Squidoo) areall examples of the "tentacles" you will put out in the e-commerceocean once you've established your own Website. What exactly do tentacles do? Well, at least according to the naturedocumentaries I see on TV (my experience with real "octopi" doesn't gomuch further than fried calamari), the tentacles on an octopus servetwo basic functions: they use their sticky #147;suction cups#148; (or whatever they#146;re called)to trap and ensnare prey that may be swimming by; and once having caught prey, the tentacles use their #147;suckers#148; topass the prey backwards towards the mouth of the octopus, located inthe head, where the prey is consumed and digested. Your e-commerce "tentacles" serve much the same goal. Your presence oneBay, Yahoo!, Amazon and other high-traffic e-commerce sites serves toattract customers surfing the Web who would otherwise not find you in amillion years. People are searching for things on the Web every day,but only rarely will people be searching specifically for your Website,at least until you are so well established that your business is a"household word" (and I hope that happens someday). Once customers buy a few things from one of your "tentacles" and become"hooked" on your merchandise or services (or "sucked in," since we'retalking octopus), they will want more. That's when your "tentacles"should be feeding them to the "mouth" of your e-commerce empire: YourWebsite. Where you can sell lots of stuff to these customers and keep100% of what you make. Now, sometimes it won't be easy for you to build an Internet octopusfor your business. Some online platforms, particularly eBay, have rulesrestricting your ability to post your Website URL on your listings orotherwise drive traffic off of their site. But with a littlecreativity, some online research and professional advice, you can findeffective ways to assemble your Internet octopus so that the maximumWeb traffic occurs in the places where it really impacts your bottomline the most. Cliff Ennico ( cennico@legalcareer.com )is a syndicated columnist, author and former host of the PBS televisionseries 'Money Hunt'. This column is no substitute for legal, tax orfinancial advice, which can be furnished only by a qualifiedprofessional licensed in your state. To find out more about CliffEnnico and other Creators Syndicate writers and cartoonists, visit ourWeb page at www.creators.com .COPYRIGHT 2008 CLIFFORD R. ENNICO. DISTRIBUTED BY CREATORS SYNDICATE,INC. Permission granted for use on DrLaura.com. More >>

Reinventing Yourself For The Tough Times Ahead By Cliff Ennico www.creators.com "Having just read your recent columns on career management, I was wondering if you had a suggestion as to what courses I could take to make me more employable. I am a 65 year old woman who retired as a Registered Nurse due to health concerns, but must go back into the workplace due to financial constraints. I am computer literate, bright (Mensa member) and articulate My finances and time are limited. I have an Associate's degree in Nursing and a Bachelor of Science degree in Organizational Management." I'm getting a lot of e-mails like this one lately, which should come as no surprise to anyone. Technically this isn't a column about career management, but what this reader wants to do is reinvent herself in a new career, which is what this column ultimately is all about. First of all, unless you have surrendered your state license to practice nursing, there is no reason why you can't continue as a nurse part-time. While at the age of 65 you probably no longer want to work the grueling hours that a hospital or private clinic would demand of its nursing staff, there are plenty of other options for nurses that would give you some "flex time" to pursue other interests and perhaps "branch out" into other areas. For example, you could join a local "private duty" nursing agency, such as The Greenwich Nursing and Health Care Registry in Greenwich, Connecticut (www.bluebooks.com/pages/greenwichregistry). These folks provide nurses on an hourly or temporary basis to elderly people in the community. You provide the requested services in the customers' homes, the customers pay the agency for your services, and the agency pays you #150; just like any other temporary employment agency. Far from being a disadvantage, your age may well be a benefit in this field, as many older people prefer dealing with a private duty nurse they consider a "peer". To find private duty nursing agencies in your area, go to www.privatedutyhomecare.org or search "private duty nursing agency [your state]" on the Web. If joining an agency isn't practical, you can set up your own private duty nursing business out of your own home. "Private Duty Today" ( www.privatedutytoday.com ) is a free biweekly e-mail newsletter offering tips and resources for home health care entrepreneurs. Contact your state licensing department to make sure your license is broad enough to cover home health care services, and contact your professional liability insurer as you may need additional coverage to operate your own business. Another possibility is to reposition yourself as a "patient advocate" #150; someone who interfaces on behalf of the patient with doctors, hospital staff and administrators to ensure that medical treatments are being performed correctly and efficiently, costly and life-threatening mistakes are avoided, and bureaucratic "red tape" is kept to a minimum. Many patient advocates are former nurses and hospital staffers who know what really happens "behind the scenes" in our health care system. For more information, check out the Patient Advocate Foundation's website ( www.patientadvocate.org ). One warning #150; your clients often will be hiring you because they aren't strong enough or persistent enough to get the results they need, and many doctors and hospital staffers will not view your role kindly. You will need to be persuasive, thick-skinned, and sometimes abrasive to be successful in this field. If you want nothing more to do with nursing, then you will have to reinvent yourself. Generally, the easiest way to do this is to take what you know best (in this case, nursing) and "widen the lens" to a related but much broader field (for example, "health care administration"). Your degree in Organizational Management is especially helpful here, as it sends a signal to people that you understand the business of health care. With an aging population that will place increasing demands on existing health care services, and an incoming Administration in Washington that wants to expand health care coverage to all Americans while at the same time controlling health care costs, there will be plenty of career opportunities over the next several years for "health care administration professionals". Here are some ideas. Consider becoming: A management consultant specializing in hospitals, clinics and health care facilities #150; you help these folks figure out the most economical way for them to use their staff resources, and charge by the hour; A medical billing expert for local doctors and health care providers #150; you make sure these folks are billing the insurance companies properly, and mediate billing disputes with the insurers so the providers can focus on what they do best; A business/career coach for nurses and other health care professionals. One more thing: while it is certainly an achievement to be proud of, I would not mention your "Mensa" membership on your resume. When looking to reinvent yourself in a new career, your experience, people skills and "emotional intelligence" count for far more than your ability to solve Sudoku puzzles in five minutes. Cliff Ennico ( cennico@legalcareer.com )is a syndicated columnist, author and former host of the PBS televisionseries 'Money Hunt'. This column is no substitute for legal, tax orfinancial advice, which can be furnished only by a qualifiedprofessional licensed in your state. To find out more about CliffEnnico and other Creators Syndicate writers and cartoonists, visit ourWeb page at www.creators.com .COPYRIGHT 2008 CLIFFORD R. ENNICO. DISTRIBUTED BY CREATORS SYNDICATE,INC. Permission granted for use on DrLaura.com. More >>

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A Message From YourBrok . . . er . . . Financial Advisor By Cliff Ennico www.creators.com Hi, all.nbsp; I just returned from an investment conference where forfour days from 9 AM to 3PM (when I usually manage your accounts), Ilistened to numerous industry experts, economists, strategists, moneymanagers and analysts from our company, its affiliated investmentfunds, and a couple of "screamers" from CNN, who discussed the currenteconomic environment.nbsp; Even though these were the same people wholoaded us up with mortgage-backed securities and forced us to be soldoff to The First National Bank of Southern North Carolina earlier thisyear, we have every reason to believe these are the right people tohelp us through some challenging times, especially now that they're nolonger worried about their jobs and can focus 100% on the task ofrebuilding our company with your money. The consensus was the same:nbsp; no one had expected or experienced atime such as what we are now going through.nbsp; As for how long itwill last, the experts were also in agreement:nbsp; "sure beats theHeck out of us".nbsp; Having gotten that out of the way, the paneliststhen told us (and you) what you should do in these difficult times. In his opening address (titled "Oopsie!nbsp; Didn't See That OneComing"), our president O. Leo Leahy said:nbsp; "I know a lot ofpeople say that we're stockbrokers, and that the primary duty of astockbroker is to get their clients into the market when it's down, andget them out of the market when it's up.nbsp; Which means that you allshould have put your client's funds 100% in cash in the first quarterof 2008.nbsp; But we are NOT stockbrokers.nbsp; We leave thatbusiness to the 'day traders' and that's what you need to tell yourclients right now.nbsp; What we are . . . are . . . FINANCIALADVISORS, which means we are bound by the higher laws of finance tofocus on the longer term, no matter how much the World may be crashingaround our ears today!" Virtually all experts felt that the markets bottomed on October 10thand that we are going through a "retesting" of that bottom.nbsp;"You've seen bottoms before," said Leahy, "and you're looking at onenow.nbsp; We may see several more bottoms before we see the realbottom.nbsp; But let me assure you, ladies and gentlemen, that whenthe Dow Jones Industrial Average hits zero, we are absolutely certainthat will be the last bottom, and the market will have nowhere to gobut up!" The experts also were optimistic about the nation's politicalfuture.nbsp; "Now that the 2008 election is over, the 2012Presidential race is under way, and it becomes ever more likely we willbe a one party state within the next few years," said Leahy, "we willNEVER, EVER AGAIN be plagued by market-disrupting election yearuncertainties, and will be able to focus our full attention on growingassets for our Government to take over. That way, the Chinese will besure to buy our assets in 20 years and 'the World will be as one'." So what does an investor do now?nbsp; The experts were unanimous thatwhat you should do now is to "stay the course" and keep putting whatlittle money you have into the stock market.nbsp; They gave fourreasons for this: any roller coaster rider knows the ride down is a lot morethrilling than the ride up; you will make it easier for the "day traders" to get THEIR moneyout before the market tanks; the market is bound to go up again someday, and you will recoupyour losses (assuming, of course, you have some cash to buy stocks withand can handle a 50% capital gains tax); and hey, if you put everything in cash there won't be anything for usto do, and nothing for the experts to talk about. You should also remember if your account balance falls below ourinvestment "minimum" we will have to terminate our relationship and youwill be on your own. Look at it this way: if you put money into the stock market in October1930, the depths of the last big "R", and kept it invested untilOctober 2008, you would have DOUBLED your money and would be able toretire at the still young age of 112!nbsp; We have every confidenceyou will be able to do the same in this market. So have a good week and please try not to listen to the financialentertainment networks, your barber, your manicurist or yourdoorman!nbsp; Whom would you rather believe . . . them, orprofessionals like us? One more thing:nbsp; we are pleased to announce a new investmentproduct from The First National Bank of Southern North Carolina.nbsp;It's called a "Christmas Chanukah Kwanzaa Saturnalia Club".nbsp; Youopen an account on January 1, put in One Dollar every week, and whenthe holidays roll around you have . . . not Fifty-Two Dollars but . . .(wait for it) . . . FIFTY-THREE DOLLARS to spend on holiday cheer,thanks to the miracle of compound interest! Please make an appointment with me to discuss this exciting new productat your convenience.nbsp; I'll be at Teller Cage # 3. Cliff Ennico ( cennico@legalcareer.com )is a syndicated columnist, author and former host of the PBS televisionseries 'Money Hunt'. This column is no substitute for legal, tax orfinancial advice, which can be furnished only by a qualifiedprofessional licensed in your state. To find out more about CliffEnnico and other Creators Syndicate writers and cartoonists, visit ourWeb page at www.creators.com .COPYRIGHT 2008 CLIFFORD R. ENNICO. DISTRIBUTED BY CREATORS SYNDICATE,INC. Permission granted for use on DrLaura.com. More >>