StudyBooster takes a spin on this idea by using financial incentives to motivate students to achieve their goals. According to a 2010 Harvard study, paying students to learn has proven to be highly effective. Putting the financials aside, the program can get students in the habit of setting goals correctly and successfully.

The process goes like this. Students simply go on the website studybooster.com, they take a few minutes to create their profile and set an academic goal with a definite end date. Goals can range from getting an A at a particular subject, to having good attendance or doing a certain number of hours of homework each night.

This is then shared with parents, family and friends via social media such as Facebook, Twitter or email. They are invited to sponsor the student in achieving that goal. Once the student achieves that goal, the funds will be released. If the student doesn’t achieve the goal, the sponsors have the opportunity to get a refund or to donate the money to charity.

StudyBooster will take 2 percent of the StudyBoost amount and donate it to the charity organisation, Save the Children. Dominic Bressan, co-founder of StudyBooster said “Save the Children is a highly reputable charity that has great programs to help fund new school development and help less fortunate students to learn.”

It’s not surprising that parents would be skeptical in participating. Will this program teach students the mentality that they are studying for the sake of money and not to learn?

Jorden Minos, the other co-founder of StudyBooster answers that “certainly study booster may not work for every student. It’s a tool that can be used to assist and motivate students with subject areas that they may not be particularly interested in or motivated in.”

Many parents are happy to set a financial reward to help their children study.

And Bressan believes it’s not just mums and dads. He says, “It’s a chance for your grandparents, aunties, uncles and everyone else to get involved in helping your education. It gives them a chance to see you set your goals and progress through school. We found that it was particularly relevant to overseas students who have their friends and families back home. It gives them the chance to stay connected and allow those abroad to be involved with the student’s academic journey.”

At the moment, StudyBooster is raising capital to fund opportunities, additional features and further developments. Bressan’s advice to start-ups is to “choose your co-founders wisely. You spend a lot of time working with these guys, so if you don’t like or trust them, you’re going to be in trouble.”

If you want your dream to materialise, it pays to adopt the right practices from day one. It is also important to research your idea and gather as much information as you can about your competitors and try to establish if your business is sustainable.

Before you get started, it’s important to identify your target market, establish a unique selling proposition, determine your brand identity and ensure your business model can compete in the market place.

If your idea is credible and scalable, then you’re ready to set up your organisation correctly and fulfill your legal requirements.

1. Devise a good business name

Your business name can accomplish a lot of things. First, it can communicate your branding and marketing messages to customers and investors. Research your competitors and see how they’ve tackled the branding issue. To be successful, your brand should differentiate your company, be noticeable and memorable. Check the Organisations & Business Names search to make sure your chosen name hasn’t been taken, and then register it.

2. Are you an individual, partnership or company?

If you’re responsible for everything relating to your business, you can be classed as a sole trader. If you’re starting a business with one or more others who share responsibility according to an agreement, you could qualify as a partnership. Becoming a company makes your business a legal entity that is separate from the owners or shareholders and entails stricter regulations. Ask for legal advice to determine the best structure for you.

3. Set up your ABN

The Australian Business Register issues an Australian Business Number (ABN). This is not an absolute requirement but you need an ABN to create purchase orders and invoices. If you’re a company, you have to register with the Australian Securities and Investments Commission (ASIC) before you get an ABN

4. Register trademarks and patents where required

Simply registering your business name is not enough to protect it. Registering trademarks with IP Australia can help you protect names, slogans, designs or logos that apply your business. If you have an invention or a new process, a patent can protect it. It is also wise to register your Australian (.au) and other domain names (.com, .net) and use your company name on all social media outlets.

5. Ensure you meet any legal requirements.

The Government has an online guide for small businesses to help with legal issues. Read it through and make sure you comply.

6. Tax requirements and Business Activity Statements.

A number of taxes apply to businesses. It’s vital to learn about Fringe Benefits Tax (FBT), Goods and Services Tax (GST), payroll tax, debits tax, Pay as you Go withholdings tax and others. The Government provides a detailed guide with helpful information. Most tax requirements are dealt with on your quarterly Business Activity Statements (BAS) which can be filed online. If you employ staff, you’ll also need to make superannuation payments for them each quarter.

7. Get insured

Insurance is important for new businesses for a number of reasons. Company premises should be covered against fire and accidental damage. Life and income protection insurance can cover key individuals. Business interruption insurance covers your revenue if you can’t trade because of an insurable event. Public liability insurance is vital in case you’re sued for personal injuries or damaging property through your business or product.

8. Obtain required licenses and permits

Visit the Australian Business License and Information Service (ABLIS) to see if you will need any licences to operate. Keeping your finances in order is essential for every business. Consider hiring an accountant to help with your financial records.

9. The right software

Day to day operations can be simplified with software for tasks such as payroll, timesheets, HR and accounting. There are many types of business software tools available online including Frontier Software for HR, Quick Timesheets, Kwik-Pay Payroll and Attaché for accounting.

10. Advice and Support:

When starting a business, there are many support services available to help you with setting up your business including business.gov.au, Business Enterprise Centres and Small Business Support Line. There are also many events taking place throughout the year in most area of Australia on all issues relating to starting a business, you can find a calendar of many of these events at business.gov.au/events.

The founders of Tequila Tromba, The West Winds Gin and 666 Pure Tasmanian Vodka have forged a mateship through sharing experience and knowledge.

They took their collaboration a step further on Australia Day when they launched their own local distribution company called Local Craft Spirits.

The team recognised a trend in Australians becoming more educated about what they eat and drink.

“We are looking to kick off the next phase of this movement by getting Australian drinkers excited about local spirits, produced by locals as well as providing great service to our trade partners, who will have direct contact with the people behind the brands,” said Jeremy Spencer of The West Winds Gins.

Local Craft Spirits is working hard on getting their products known and making them easy to find. They recently shared their brand and local knowledge at the Melbourne Food & Wine Festival.

They believe the main strategy for success is to get drinkers to think more about what they drink and where their drinks come from.

James Sherry, co-founder of Tequila Tromba said: “Rather than blindly calling for a vodka, have a think about where that vodka comes from, who is behind the brand and what kind of drinking experience it offers.”

The biggest obstacle for them so far is competing with the resources and cash of the big, international companies. Sherry tells Dynamic Business, “We’ve pooled resources between our three founding brands, so that we may create a stronger team that is better equipped to combat the big boys. We call this strength in numbers!”

With the heavy taxes and payment terms weighing on the shoulders of local distributors, the road may seem bleak. But don’t give up.

Sherry stresses, “You are on the right track! The trend has been turning to boutique independent spirits for a long time now, and locally produced and owned spirits is the next step. Hound your local MP. Locally produced spirits add another element to Australia’s rich variety of food and drink, and should be supported rather than hindered by the government.”

The company is currently operating out of all states and territories. The hope is that with a rise in the number of locally owned and focus groups like Local Craft Spirits, Australians will choose other Australians.

For more information and contact details, please visit their website.

Food trucks have a distinct advantage for consumers in that they’re convenient and serve anything from breakfast to lunch and even dinner, with snacks to fill in the gaps.

There’s also a great advantage for enterprising restaurateurs – food trucks, unlike restaurants, can move and take you where the customers are. However, putting a food truck business together comes with its own problems – there are down times, bad weather, long hours and slow seasons to consider.

But, if you’re committed to pursuing the dream of serving meals on wheels, then these are things you’ll already have thought about. So let’s take a look at the things that you might have overlooked.

1. Is it permitted?

The first thing you’ll need to do is check whether you can operate in your area. Some towns and cities have an outright ban on food trucks, while others like to limit the numbers that are operating at any one time. If the laws in your area are strict, then you might want to think again, as it could seriously impact on your business.

You’ll also need to check exactly where you can legally trade. While you might be fortunate enough to get your hands on a permit, you don’t want to lose it again by trading in the wrong place at the wrong time.

It’s essential that you research this information before you go anywhere near buying a truck. In addition, you’ll need to research what – if any – qualifications you need to act as an onboard chef, what standards of hygiene you need to adhere to and what sort of liability insurance you’ll need.

2. The cost of the business

Liability insurance will be largely determined by the nature of the business and the equipment you keep on the truck – and it’s one of the financial factors you need to devote some time to. If you’ve found out that the trading laws suit your needs, the next thing you’re going to need is financing.

While trucks are relatively inexpensive, fitting them out with the right work surfaces, flooring, cooking equipment and coffee machines is a fairly major expense. Again, it’s a good idea to try and stack up the costs and get together a business plan, detailing how you intend to achieve the financial goals you need to set yourself. There’s little point looking for a bank loan without a good, solid business plan.

3. Plan your finances

Anyone considering financing your truck will want to see projections for potential profit and loss. There are now several easy to use accounting software such as QuickBooks, some of which are specifically designed with entrepreneurs and start-up businesses in mind.

The beauty of the new generation of bookkeeping software for small is that you don’t have to have an accountancy background in order to use it. Everything you need to navigate the rocky roads of accounting are included in the software, laid out in an easy-to-read format.

By using it you can input your initial costs, from the necessary permits and food licenses to kitchen equipment and the cost of the truck itself – and balance those against the money you expect to make.

This will require that you decide what kind of food you’re going to produce, how much you’re going to charge for it and how much you’re going to be paying your suppliers.

Here are some top tips I’ve learned along the way that make it possible for start-ups and new businesses ideas to succeed and grow:

Creating the best impression

The old adage is true – we’re all guilty of judging a book by its cover. If you want to get people to take your business seriously then you need to look the part. Having meetings with potential clients in cafés or sterile office spaces doesn’t create a great first impression.

Looking at other options for start-ups such a ‘virtual office’ can be a good option, giving you access to 5-star meeting rooms for an hour or two at a time, without carving a huge hole in your budget. You can also use this service to secure a premium business address and phone number manned by a professional receptionist in a matter of minutes.

Always take the call

Similarly, answering your phone when you’re working from home or juggling the kids can make it difficult to give the impression that your client is your number one priority. While hiring a full-time receptionist is ideal, it’s often expensive and an unnecessary cost for businesses just starting out. A virtual office gives you the advantage of having a receptionist available to answer your client calls anytime of the day or night – making you look both professional and on top of your game.

Get the right IT support

Having the right level of IT support will make it easier to focus on your clients and create revenue, without having to worry about internet failures or poor connectivity impacting productivity. For many small businesses it’s worth investing in a service that can look after the day-to-day aspects of IT and will keep your business running smoothly, because, let’s face it, not every business owner is also an IT whiz.

The ability to tap into a cloud-based IT and communications network with a serviced or virtual office along with 24/7 technical support and online access, is one way you can provide solid infrastructure for a growing business.

A place to work – when and where you need it

While small business owners often enjoy the freedom of being able to work anytime, anywhere, there are times when a professional working environment can motivate you and provide focus. Having access to a network of offices and facilities – or even just a phone line and an internet connection – can keep you on track and productive wherever you are in the world.

We have been running a business networking company for over two years now – here’s what we have learned about networking.

These are some of the things that work well amongst the Converge groups.

Spend time with other members of the network

The first is that even though we meet weekly, that is still not enough. Referral relationships are like any relationship, it takes time to develop and work to maintain. Time spent is important.

The members who are generating the most amount of business have taken the time to visit other members’ offices and had those members at their offices (or a mutual cafe).  The key point is that they have spent time together just to get a better understanding of each other’s businesses.

As the famous saying goes, “seek first to understand and then to be understood”. The best networkers are the ones that ask the most questions and do the least amount of talking – they are the ones that really understand what the other does and are in the best position to help.

Work on your referral or sales pitch

Second it has taken some time for some members to refine their ‘referral’ sales pitch. This is the spiel that is needed when talking with potential referrers that is different from the spiel you use with the end consumer. Your referrers are not the end beneficiaries of your product or service and as such often miss the message when you sell them on the benefits. They are focused on their fears and you need to alter your sales spiel to reach them. So the people who are generating the most referrals have this spiel fairly well practiced.

This distinction between what you say to clients/customers versus what you say to the referrals is key to real success. It is as fundamental as the difference between selling the features versus selling the benefits.

Be clear on who is your target client

The next area involves being able to articulate the type of clients. It is very hard for a referrer to identify targets for you if they think they are looking for too broad a group say anyone between 20 and 60. Members that are getting more referrals have been brave enough to limit their target clients for the other members so that they know exactly who they are looking for as potential referrals.

The other aspect of this is that once you have articulated who the target customers are, you can then describe the triggers for that person. These are the events, situations and discussions that will promote the potential client to look for or need your services. The key is communicating these to your fellow members.

Bring your business card

Lastly, and I wouldn’t have thought this was needed but…..business cards. We still have meetings where visitors turn up and our members are business card-less. You don’t have to be selling all the time, and you need to have time when you are not your business – but not having business cards when someone asks is just not productive nor helpful, especially at the network meeting.

The blueprint

1.1 Business plan

A well-defined business plan is vital to set your new business on the road to success. You would not engage a builder to build your dream home without a building plan, the same applies for your business. A well prepared business plan provides a blue print of your vision for the business and also demonstrates to lenders and investors (if you are aiming to raise funding) that you have a clear idea of how you envisage your business to grow.

1.2 Choosing a suitable business structure

Choosing an appropriate business structure is one of the most critical decisions in the business setup process. Factors needing consideration include set-up costs, tax obligations, ongoing administrative expenses, asset protection to name a few.

There are four structures – sole trader, partnership, trust and company structure – to choose from and which one is the most appropriate for you will depend on a variety of factors. This is a critical choice and you must consider your particular circumstances and needs before making a decision.

Starting a business involves various legal and compliance matters and these include but are not limited to:

a) Business Name Registration

A new national business names registration service commenced from 28 May 2012 requiring businesses to register their name with a single national register and pay a single fee, replacing the previous state based registration systems.

Business name registrations can be undertaken on the website of the Australian Securities and Investments Commission (ASIC) at www.asic.gov.au

b) Tax File Number (TFN) & Australian Business Number (ABN) Registrations

If you decide to operate your business as a sole trader, you can use your own TFN for both your business and personal dealings. A separate TFN is required when your business is a Partnership, Company or a Trust.

ABN registration is required for dealing with other businesses and to avoid having amounts withheld from payments made by your customers.

c) Goods & Services Tax (GST) Registration is compulsory if:

(i) your turnover is $75,000 or more ($150,000 or more for non-profit organisations)

(ii) you provide taxi services for fares, irrespective of what your turnover may be.

ABN and GST registrations can be undertaken online at www.abr.business.gov.au.

d) Pay As You Go(PAYG)Withholding Registration

PAYG withholding registration is required if your business has employees, makes payment to directors, makes payments to suppliers who have not quoted ABN. Further information is available on the Australian Tax Office website at www.ato.gov.au

e) State Based Registrations

If you are setting up your business in New South Wales (NSW) then information on applicable licenses, state taxes (e.g. payroll tax) and regulatory requirements is available on the NSW Trade and Investment website (http://www.business.nsw.gov.au/doing-business-in-nsw/starting-a-business) and on the website of NSW Fair Trading, www.fairtrading.nsw.gov.au

f) Other Legal and Compliance Considerations include:

(i) Conducting appropriate due diligence when acquiring an existing business and drafting an applicable sale agreement for the transaction.

(ii) How you deal with personal information of customers to ensure compliance with the Commonwealth Privacy Act, 1988.

(iii) Understanding your obligations towards customers while providing any warranty on products or services sold.

(iv) Reviewing your insurance requirements to assess what insurances your business requires to comply with legislation (e.g. Workers Compensation Insurance administered by Work Cover Authority of NSW for NSW businesses) and other applicable insurances to cover the various risks that your business will be exposed to, in the course of its operations.

If you are thinking about starting up a business, you need professional financial and legal advice. Owen Hodge Lawyers can assist you through all stages of the business cycle including setting up and signing of commercial lease, designing a compliance program based on your business structure, drafting agreements and contract, identifying and reducing the risk of breaching statutory and regulatory laws.

This natural response is often the catalyst for many a small business to be started early in the new financial year as individuals seek to take control of their own destiny. There are numerous studies and surveys that are widely available that will tell you that starting a new business is fraught with danger and that the majority of new small businesses fail within the first five years. We can testify to the fact that the waters will often be most turbulent at the outset, but with the proper planning, advice and strategies this could just be the year that you set sail on a solo voyage to become the next “overnight sensation”.

Before even contemplating the business planning stages and going down the path of setting up companies, brand names and so on, the most critical step is to ask yourself, “Why do I want to start my own small business?” It can almost be guaranteed that your response to that question will fall into one of about ten different categories. Each one should be carefully analysed and discussed with trusted people who know you and your personal circumstances well enough to provide you with clear and honest feedback. Your business may be a one man show, but never ever interpret that as meaning you shouldn’t seek advice from mentors, family and industry experts. Let’s see if your answer to the question raised earlier is covered below.

Money

The lure of being told you can make much more than your current salary by working for yourself is one of the biggest factors in this decision making process. The get rich quick schemes are full of false promises, and only a considered amount of hard work and long hours will allow you to build up a small business that is able to replace and build upon your current salary. Often it will take up to two years of dedicated hard work to reach this level. Can you afford to support yourself and your family during this period?

Work from home/ No more commuting

As our cities continue to expand and traffic reports fill the airwaves the frustrations of spending “wasted” time in traffic can build up and add weight to the argument of working from home. It may well be that the time spent in traffic is the perfect opportunity for you to spend formulating your business strategy before taking the leap. Working from home has many benefits but is not without its risks, making sure you are able to focus and actually be at work, even when in our own home, will be vital in determining your success. Are you able to ensure a dedicated work space at home will not be interrupted by the gardening, housework and kids?

Flexibility and freedom

The flexibility and freedom of being able to work when and where you want can be a breath of fresh air for some. It can also be a stressful situation for those not disciplined enough to dedicate specific time and resources to ensuring their business success. Perhaps ask yourself and an honest friend, if they believe you are the right type of person to be self-disciplined enough to make this work. Working for yourself means you can escape the nine to five grind, but doesn’t mean you won’t need to do the same hours of work. The flexibility may also be determined by your customers and their demands, rather than what you want.

Be your own boss 

Some people just don’t take instructions well and hate being told what to do. This doesn’t automatically make you a prime candidate for starting your own business, but some of the biggest success stories in business come from driven people who had the courage to step out of the shadows and take charge at the coalface. Closely examine your ability to make critical decisions, on a daily basis, without stress levels rising to determine your aptitude for success.

Innovation

If you have spent more than a few years in your current salaried role then you will most likely have some great ideas on how to improve your role and the business you work for. If your boss is receptive to these ideas it can be a real win-win scenario resulting in business growth and new challenges in your current role. If not, and your employer just wants to do things the way they’ve always been done, then perhaps taking your fresh ideas and applying them to a brand new business model is a great formula for success.

Challenge/Relieve the boredom

If you feel like your current skill set is getting you nowhere in your current role, then perhaps having the opportunity to apply your current skills in a business of your own is just what you may need to become re-energised about your chosen industry.

Dreams can come true!

There are numerous resources available for anyone wanting to start up their own business, but ultimately it is your business and you need to ensure that the drive, passion, skills and abilities you bring to the business are going to be sufficient for a successful business to move from your dreams into reality. Trusted professional advisers can then help you with the rest of the planning and logistics of getting the business up and running with the best chance for success.

Their business plan is quite simple. Instead of charging brokerage fees, the entrepreneurs earn a one-off commission from banks. This means that they’re able to offer a lower rate of interest.

“The major difference between our site and traditional models is that we put customers in direct contact with senior bank managers when they have chosen the deal they want,” Fraser said.

Instead of scanning published information for the best deals, Tomorrow Finance pre-negotiates home loan rates for customers.

“Our focus is to create the easiest user experience possible when it comes to choosing a home loan,” Fraser said. “Rather than the customer fighting for the bank’s attention, we make them fight for yours.”

The approach seems to be working. The start-up has already directed $2.5 billion worth of home loan-related enquiries to banks and the co-founders estimate they will save customers an average of $30,171 over the life of their loan.

Not bad for a business that started as a hobby.

“We were both working in professional services. I was working at PWC and Mitch had his own web design agency called Drawstring,” John Allen told Dynamic Business.

“We were both extremely passionate about property and started running after-work events focusing on investment. We really just wanted to educate ourselves and like-minded investors about the post-GFC lending landscape.”

“And then one day, a banker from the National Australia Bank told us we could get a spotter’s fee for passing on leads to a bank.”

That proved to be their light bulb moment.

“We had built a community around a hobby, but quickly learned there was a way to build a business around it,” Allen added. “We realised we could bring the banks – and their best offers – direct to home-buyers.”

It wasn’t always easy. For starters, the co-founders initially had trouble getting all the banks on board.

“We had most of them on board but one major lender was still holding out,” Allen said.

“We were two young guys disrupting a fairly established and, to some extent, stagnant industry. We had to quickly develop trust. This meant engaging in nearly nine months of meetings with senior bank executives.”

However, it didn’t take long to get the lone non-believer on board after the pair showed how much business they were bringing to other lenders. A more difficult early hurdle was the fulfillment of leads they provided to lenders.

“Traditionally if you are a referrer, you pass the lead on to the lender and forget about it. We knew that wasn’t good enough and, as we got bigger, we ran into issues with lenders not living up to the same level of excellence and attention we’d provided our customers,” Fraser said.

But the ever-resourceful duo soon found a solution.

“We worked closely with senior bank representatives and set in place stringent systems and processes to ensure our leads were being handled in the right way. We even developed custom software for the banks to use in order to manage all the leads we were sending their way.”

Another major issue was cashflow. Fraser and Allen invested $70,000 of their own savings into the business and borrowed $50,000 from family and friends. After some early setbacks, they are now cash positive and have big plans for the business.

“We’re pretty focused on constantly improving the service and offering, so our energies are largely dedicated to the daily grind and continuing to innovate,” Allen said.

“Having said that – the personal finance space is ripe for disruption in many areas. We’ve been growing at 100% each year and we’re confident we can keep that up!”

It’s still a big commitment for the property-obsessed friends. “Every last penny you have is spent on the business, to the point where you begin compromising things in your life,” Allen said.

“When you’re a start-up, the risk is astronomical and it’s very stressful but when it starts to pay off, it’s very rewarding.”

A business’ brand is its consistent, public message conveying what it does and how it does it, and how you go about building and maintaining your brand is an important part of any marketing strategy.

It is not just about a logo and business cards, but rather the identity or personality of a business, something people can relate to and associate with to engage them as loyal customers.

Foundations

The first step in building your business brand is defining ‘who’ your brand is: its values and personality traits, which will be shaped by a number of factors.

There are a few questions you should ask yourself when developing a brand identity:

• Who is your main target audience? Remember a brand cannot be all things to all people.
• Who are your competitors, what are they doing in the industry?
• What makes you stand out?
• What are your goals?
• What words do you want people to associate with the business?

These are just a few in a long list which will shape your brand’s messages and where you will share them. You also need to know your brand inside and out in order to make sure it stands out from your competitors.

What is it about your business that will make people buy from you, as opposed to someone else? What can you promise your customers or clients that no other business can?

Once you have the answers to these questions, create the character of your company that fully represents all of these traits. Ask yourself what the key qualities of your brand’s personality are and what you would like it to be known for.

Be that brand

Once your brand’s ‘character’ is established, everything you do should encompass who the brand is. Everything including digital marketing campaigns, your business name, business cards and how you treat customers need to reflect the values and personality of your brand. That personality needs to be integrated throughout your company at every point of public contact.

For example, it’s no use saying you have the ‘fastest response times in Australia’ and then not following through on the promise. If this is a part of who your brand is, it should happen no matter what.

To make sure you always deliver, identify each of the customer touch points. When does a customer come into contact with your brand? Go through your marketing, selling and servicing processes to determine all of the touch points and then ensure your brand messages are clear and reinforced through each point of contact. 

Brand positioning

Marketers don’t create brand positioning; they create strategic methods to encourage the customer to accept a particular relationship with the brand.

To position your offering effectively, you need to identify the key attributes or benefits that represent the value of your product or service to build trust in your brand. As you begin to understand the relationship your customers have with your brand, you will be able to meet their needs, wants and desires more efficiently.

In order to be positioned correctly, brands must meet a number of criteria:

• Relevance to the target audience’s lifestyle – is it clearly stated how the product or service can help them?
• Clear marketing messages – don’t trip yourself up by trying to be too smart and risk being misunderstood by consumers.
• Be genuine –ask yourself how your brand is more genuine than its competitors and then highlight this in marketing activities.

A strong brand is invaluable in today’s uncertain economy where all businesses are vying for client and customer loyalty. It’s important to spend time researching and building your brand. After all, it is a public promise to your consumer. It’s a vital piece in your communication you do not want to be without. 

Two guys in a living room with a computer is how Larry Bloch describes the beginnings of Netregistry in 1997, co-founded with his business partner Giles Donovan. Quite clearly, this is not where the duo remained. Now employing more than 100 staff, and with 500,000 customers, Netregistry has moved well beyond the realms of a startup – although this is not how Bloch wants to behave.

“It’s still a startup in many ways, it’s almost like a family business,” Bloch insists. “My chief operating officer has been with the company for 10-and-a-half years, my chief technical officer has been with us for 10-and-a-half years. Next in line in customer service has been with us for 10 years. So there are a lot of people that have been committed to this business for a long period of time. Almost all of management has been promoted up through the ranks.”

Capturing the entrepreneurial spirit

After studying computer sciences and mathematics at university in South Africa, Bloch backpacked around the world and found himself in London. “I was trying to figure out what to do next and a friend of mine from South Africa turned up and said: ‘Hey have you heard of the internet?’ And I said: ‘Is that a bar?’ He had this laptop and he opened it up and suddenly there were these pages of information from America and from South Africa; from all over the world. I thought it was incredible.”

Despite knowing little about the net, Bloch and his friends started a company and ended up hosting the first websites of both the 1995 Rugby World Cup and the London Stock Exchange. “I was wheeled in front of the group of managers at the London Stock Exchange to tell them about the internet and I had heard about it two weeks before that. I knew nothing. But you know, in the land of the blind, the one-eyed man is king. That’s really how it started. It was all very much being in the right place at the right time and being able to sound credible.”

This entrepreneurial spirit was already in Bloch’s blood, which led him to move on from this company, found another in France and then finally settle in Australia.

“I’m through and through an entrepreneur. I can’t follow anyone. I’ve got this crazy entrepreneurial energy,” Bloch admits. “It’s a good thing when you’re starting things and it’s bad thing in a big company; it’s disruptive. I wake up in the morning with a million ideas and try to get everybody to change what they’re doing to follow my latest crazy idea and of course other people don’t work that way.”

Serving your staff

Putting his staff first has been a motto for Bloch throughout the rise of the business.

“The people here are really important to me,” he admits. “I’m a person that thinks that loyalty in an organisation flows from the top down not from the bottom up. I see my role as being loyal to my staff. I expect my staff to see that I am loyal to them and I expect them to make up their own mind about what the right thing is for them to do in any particular situation. It’s been a successful model for us.”

With staff returning to the business after leaving, Bloch is clearly getting some of the staffing formula right, believing that honesty in the business is incredibly important.

“I don’t have the skills of being a senior corporate manager. It’s a very tightly organised business, but it’s not the sort of business where a manager will tell their superior what they want to hear. All my reports will tell me I’m an effing idiot when that’s what they think. The day they stop telling me that is the day I have no use for them.

“It’s an open, honest, direct, very hard nosed culture, where fools are not tolerated and playing political games doesn’t get you anywhere. Maybe it can’t stay like that forever. And maybe if we had more of those types of people in the business then maybe it would be bigger and stronger, I don’t know. But this is the business I run. And I’m happy with how it is.”

Moving on after mistakes

While Netregistry is currently sitting very comfortably (and seemingly dominating the market if the company’s current spate of internet and television advertising represents its success), it too suffered during the dot-com crash, and was forced to deal with some massive losses before coming back.

“Those early years were a wonderful time when the internet was young and everybody was fresh eyed and full of inspiration of what it will do. Then the money people came along and decided to give a whole lot of money to people who had very little idea of what they were doing. We were caught up in that as well. We were a profitable company at the time and these bankers came along and said: ‘No, you’ve got to be losing money. Making money is wrong.’ So we said: Ok, we can do that.

“And then the bubble burst. We went from 50 staff to about 15 overnight. We had about $2 million of debt, no profit, very little revenue, no hope. Insolvent, I think is probably the best word for it. Although, don’t tell that to the authorities. Basically, everybody around us, Giles and myself, said call in the administrators, shut it down. But I’m not somebody that doesn’t pay debts and so we decided to do whatever it took until we managed to pay off all that money.”

Despite being on the brink of closure, the company managed to continue and eventually turn itself around by 2003.

“We started seeing the light at the end of the tunnel and then the company sort of found its feet again. Once we were profitable again and cleared all our debts, we went to the banks, borrowed quite a bit of money, and we bought one of our competitors. We then carried on that mergers and acquisitions growth strategy for some years.”

Now, Netregistry is moving on to bigger and better things, exploring the cloud space and looking into providing small businesses with help getting found on Google, building their websites, email marketing and shopping cart technology.

“The temptation is to always go up the value chain, but I like small businesses,” Bloch insists, saying that every one of his customers is just as important as the next. “People ask me all the time who’s your most important customer, and I don’t have one. Every single one of them is because they’re all only worth something between $20 and $300 a year to me and a $300 a year customer can’t be that important. But if they’re all like that, they can’t be unimportant.”

Knowing that, Bloch has narrowed down his business focus to one very clear motto:

“My passion is for serving lots and lots and lots of companies very well, very efficiently and very inexpensively. That’s my space.”

Flippa is a leading marketplace where people can buy and sell websites. The business is already selling $30 million worth of sites each year, and has plans to up this to $100 million in the near future. The concept behind this successful start-up is simple, Slutzkin tells Dynamic Business.

“Sellers come to us with websites that they want to turn into cash, and buyers come to us wanting to invest in web businesses. We provide these two businesses with help – we give the buyers a way to find what they’re looking for and allow them to place a bid in the auction, and the sellers a one stop shop of websites to invest in.”

Its position as one of the largest and most credible marketplaces for buying and selling websites means the business is enjoying growth of close to 100 percent every year. This ongoing expansion requires a strong team of employees to support it, and Slutzkin is proud of the staff he’s recruited.

“We’ve kept our recruitment in-house and at the highest level, and we’ve made sure to put in the hard yards in to get the right people on board. This hasn’t always been the most immediate choice but it’s always been the right one,” he said.

“After all, when the rubber hits the road you can’t do everything yourself. When you’re growing a team from three people to – currently – fifteen, there are a lot of decisions you have to make. It’s been hard work to make it happen, but we’ve ended up with a great team that I’m very proud of,” he added.

The key to hiring right for Slutzkin has been to recognise his weaknesses and to then employ people to fill those gaps.

“Your idea is fairly important but your execution is the real key, and that is going to be determined by the quality of the team you can build around you,” he said.

This need for self-reflection and self-awareness is one of the biggest business lessons Slutzkin has learned to date. He says being open to learning is one of the most vital things a business owner can do.

“No-one gets everything right every time, and that shouldn’t be the expectation – from yourself or from the people you work with. You’re going to make mistakes, so learn from that, and if you’re doing it right, you’re surrounding yourself with people who are smarter than you, so make sure you learn from them as well,” he added.

Persistence is another trait entrepreneurs and business owners need to exhibit, especially given one of the biggest risks of being a start-up: “That you’ll get bored or scared before you succeed.”

“Any business will have partial failures and speed-bumps, but if you’re willing to persist and work your way through them, and if you keep a positive, learning mindset, then you’ll get to a really good place in the end,” Slutzkin added.

There are a number of funding options available for your small business outside of single investors. Utilising a number of business credit cards, loans, and grants, you can get the funding your business needs to start serving customers and earning money.

Credit cards

According to Timothy Faley at the University of Michigan’s Ross School of Business, half of all start-ups are funded by the owners’ credit cards.

• Be mindful of the dangers of credit card debt – paying only the minimum payment on your balance can end up costing you thousands of dollars in interest and drive you into a pile of debt you can’t get out of.
• Missing payments on credit cards can damage your credit rating, reducing your likelihood of getting further funding.

Bank loans

Various types of funding are available at your local bank if you have a good relationship with them and can prove that your business plan is solvent. A start-up business loan can be your best option.

• Line of Credit: If you have a valuable asset you can use as collateral, your bank can extend you a line of credit up to a certain amount. You only pay interest on the amount of credit you actually use, not the amount you have access to.
• Personal Loan: With your home or business as collateral, the bank can offer you a lump sum, on which you have to pay the interest and principle back over time.

Whereas missing payments on unsecured debt can only damage your credit score, missing payments on secured bank loans can result in the bank seizing your assets – including your home.

SBA loans

The Small Business Administration can guarantee your commercial loan for a bank that otherwise would not led you funds. It does not provide loans directly, just makes it easier for small businesses to get them.

• In order to be eligible, your company must meet the SBA’s definition of a small business for your industry and may need to meet other criteria as well, depending on the type of loan.
• Since the SBA does not provide the loans directly, you need to apply through a financial institution that processes loans on behalf of the SBA. The qualifications for an SBA loan can be more stringent than those of a regular bank loan.

Micro loans

Nonprofits, government agencies, and micro lenders often offer micro loans to small businesses in amounts under 25K. In addition to offering smaller loan sizes, they often require less documentation than traditional bank loans and provide more flexible underwriting criteria.

• Micro loans can be a valuable resource in the event that you have a lack of credit history, lack of secure collateral, or the inability to secure a loan through a bank.
• Many dispensers of micro loans focus on economically deprived communities and minority groups, so check if your business can be classified under these categories.

Grants

Grants differ from loans of all types in that you do not need to pay them back. However, there may be more restrictions on how you can utilise the funds for your business and more oversight of your business from an outside group.

• Small Business Innovation Research grants are available through the federal government for small businesses in the technology sector.
• Grants for women and minority-owned businesses are also available through the federal government.

The high amount of competition for grants means that, should you receive one, it can help to attract other funding for your business through banks and investors.

Don’t get discouraged if your initial attempt at securing start-up funds falls through. Your business can obtain all the capital it needs if you look further afield and investigate what credit cards, loans, and grants have to offer.

You may have missed it, but 1^st February was ‘Working naked day.’

Two small points before you mark the date with a in your calendar: It’s only in the US and only for those who work alone – preferably at home.

Making the leap to start your own business is a difficult one. It’s marred by not one single factor, but the many costs involved. Not least the potential drop in income from whatever you were doing before.

When 90 percent of small businesses fail because of poor cashflow, setting up a home office can be an attractive option and automatically abolishes one of the major costs.

But what if you have young children and no lock on the door? What if you need to meet with clients and the local coffee shop doesn’t cut it? Or if your home business has plateaued, and the only way to increase profitability is to take that giant leap where working naked is not an option?

Desks for hire

There are many more options available to microenterprises looking to take the next step than just renting a local office and absorbing all the costs that comes with that. There are an increasing number of offices offering desks with affordable weekly rent. And this isn’t just in the city, but in a local suburb near you

Google ‘hot desk’ and a myriad of options are provided. From examples of large corporates cutting costs by embracing a flexible workforce and no longer allowing employees to personalise their desks with their latest trinkets or holiday snaps, to desks available for businesses to rent by the day.

Even ads from Gumtree pop up, eBay’s local younger brother which extends auctioning of goods and offers real estate as one of its key sections, is an excellent resource for businesses that have space to sell with no upfront costs.

So is leaving the comfort of your favourite chair to enter into a world where you have to share the printer and are forced to listen when other people are on the phone worth it? What are the advantages to your business?

1. Office location

While gone are the days where businesses need a physical presence, being part of an office can help demonstrate who you are to clients and indeed, accomplishment.

Selecting the right location for your office is paramount. It can be a business decision based on being where your clients are, or an extension of your work life balance ethos and somewhere that makes it easy to duck out for a surf at lunch. Whatever the reason, a separate office provides this opportunity.

2. Commute

For everyone who has done the daily trek into work by bus, train or automobile, while it is tiring and something to endure than embrace, it has its benefits that merely walking downstairs to the study does not.

A commute provides a complete separation between work and play. It is a time, generally to yourself, where you have the opportunity to think about the day ahead, what the priorities are and how you are going to tackle a particular problem. And similarly, there are benefits at the end of the day as well. However long or short, a commute helps the transition from work mode to bathing the kids.

3. Always ‘on’ 

Today’s technology ensures we are always ‘on’ and is embraced by professionals everywhere who welcome the opportunity to be seen as available to clients and their business associates. For those working from home, technology blurs the line between work and play’ even further whether you want it to or not. By having a separate office, there is more opportunity to manage if you want to be available 24/7, by putting the mobile to one side, and not having the temptation to ‘pop’ into the office.

4. Revenue stream

Organisations offering desks to microenterprises, are often a collection of like professionals. The Refinery Studio in Warriewood on the Northern Beaches of Sydney brings together five separate businesses that can take the form of one if a client so requires.

“For the first time in ten years I have colleagues I can say ‘hi’ to in the morning. As a photographer I have worked with videographers, designers and producers on an ad hoc basis, but now working alongside such professionals on a day-to-day basis, clients are able to see the benefits of outsourcing their media needs all under the same roof,” said Mark Watson, 2012 Nikon Ambassador, Director of inciteimages.com and Partner in The Refinery Studio.

5. Colleagues

No man or women, is an island and while you may have operated as such for a number of years, the benefits of having colleagues to brainstorm and bounce ideas of is a valuable resource.

If you have ever worked in an organisation with more than say, five employees, or indeed looked to fill a role with and employee of a certain ‘fit,’ the chances are you will have conducted psychometric testing at some point and know if you are organised or creative, logical or emotional (if you didn’t know this already). Much has been written about the optimised work force with each pillar of preference accounted for.

It is the theory behind the personalities created in every successful sitcom from Friends to Big Bang Theory. Having an office with different personality types can bring different ideas into your business of one or few that were not previously considered. In addition, communal brainstorming is where new revenue streams can be born.

6. Shared resources

Taking a shared space, means sharing the cost and potentially more available resources than you would have as a single entity. Whether that is high-speed internet access or a coffee machine that-warms-the-milk, sharing the cost provides more resources for your business.

Nearly every shared office will provide a meeting space available for clients meetings. Much more professional than your lounge at home, an office immediately offers credibility and in the case of The Refinery Studio, an opportunity to showcase the collective offering with each piece of the media puzzle there to meet and add value if required.

While joining a shared office means your days of working in your birthday suit are no more, your business will benefit from having the opportunity to be part of a cohesive group that is more than the sum of its parts. Consider your needs, think about what will work for you, and find an office space that provides benefits for you and your business.

Many of you will know that I started life in the UK as an accountant, doing the usual auditing and incomplete records type of work, then moving into the IT side of the accounting world.

I used to spend much of my time doing business analysis for clients and then producing Invitation to Tender documents on their behalf.

During this time I worked with many IT providers and found of them to be completely focused on what they had to offer and not really what the client required. This was a major frustration for me, and often the client.

Eventually I left the accounting industry and over a 16-year period I had the pleasure of building companies that focused on the customer.

Sure we were a commercial organisation interested in profit, but we loved what we did and we loved our clients. Our mantra was Customer First– in our thoughts, plans and actions.

We wanted to be the “best in our space” and this in turn drove our success.

Having been in Australia for five years now, the same applies to my existing company and its directors and employees – which is to be the best in our space.

Our mission statement is:

“Kinetic has a simple belief: technology can transform business. Combining a depth of technology and market expertise with unrivalled service delivery, Kinetic enables companies across both public and private sectors to exploit new technologies realise ROI goals and achieve business transformation”

And we all believe this and strive to perfect this.

I will confess that building our team was a difficult road – to find the right people, with the right skills, right mind set and with a high level of dedication to our customers.

In fact I would go as far to say it was bloody difficult!

Now we are not perfect and on occasion we do get it wrong (which we correct rapidly) but we strive for excellence and to delight our customers.

To be the best in our space we consider the following:

• We don’t want to be a standard software IT provider but one that has a FOCUS on delivering end results
• We listen to our clients issues and deliver a solution to those; if we don’t have a good solution we walk away
• We always deliver what we promise
• We employ smart people with the right qualities, character and skills – no matter how hard this is to find!

Whilst every organisation is in business for commercial gain I wonder how often the endeavour for profit dilutes our real passion and goals.

The above are our true beliefs and I wanted this article to perhaps make you think what your organisation is striving for.

Are you focused on financial reward only or are you truly striving (as hard as this may be) to be the “best in your space”?

Being proactive in your marketing approach can be much more cost-effective than paying for advertising.

1. Directly target your audience

Serendipity plays too great a role in advertising- you can never be sure of your audience and it can literally be a hit and miss. On the other hand, online quotes websites work almost like matchmakers, bringing together businesses that need work and customers that need jobs done.

A recent survey of over 700 businesses using quotes website ServiceSeeking.com.au showed that they made an average of $20.19 for every $1 they spent in membership fees to use the site. Why target an audience that might not actually need your product or service, when you can contact and send quotes to customers that are actively looking for a business like yours?

2. Build new relationships through content creation

Advertising might be able to get a viewer’s attention, but actually maintaining a relationship with the audience is more important. Proactively creating new content on a regular scheduled basis on social media platforms can help establish a community with a strong relationship to your brand.

Keep the text light and concise, and use multimedia wherever possible. A block of text might be skimmed or skipped entirely by a viewer, but a snappy picture with a quick tagline could do the trick. Online citizens have attention spans as low as a second- most web users will look at a page for only a moment before deciding whether or not to read on. Make that moment count so that they’ll keep reading- and even better, return later to read more.

3. SEO through blogging

Being top of the search rankings when relevant keywords are searched can be far more effective than advertising. Rather than paying for pay-per-click ads on Google search, ensure that your website is as high on the ranking as possible by running a relevant blog.

Getting a good PageRank is not an instantaneous process though, but by running a blog that provides information-hungry viewers with fresh, interesting information that is both a mix of original and external links, you can quickly establish an online presence. When the time is right and viewership is high, start promoting social media sharing, extending your reach as much as possible. The more others link you, the better your website’s position in the search ranking. 

4. Apps and smartphone compatibility

Be proactive in your approach with apps and smartphones. If you want to create an app for your business, ensure that it allows access to news, handy tips, troubleshooting and contact capabilities. Don’t try to make an app that is simply a reworked version of your website. You’re better off ensuring that your site is compatible with all smartphones, tablets, etc.

AppVillage is an incubator community of designers, developers, investors, marketers and app-lovers, all working together to develop and market apps. According to CEO and co-founder Steve Fanale, the start-up grew from an idea to build a global and scalable business that incentivises all contributors to make the most of the app market’s massive potential.

First and foremost, AppVillage’s aim is to build a community that’s founded on the idea of sharing the risk and the returns.

“We are specifically focused on apps and have a unique model to allow fellow entrepreneurs and investors to get involved in projects,” Fanale told Dynamic Business.

“To minimise the risk, we have a process that includes research, quality controlled crowdsourcing and a focus on marketing. We believe that this whole process is our key point of difference,” he added.

AppVillage is funded via a combination of self-funding and a recently procured investment that includes cash and in-kind services valued at $250,000. Despite this external funding, Fanale said the start-up struggles with the same financial issues as most start-ups.

“We face the same challenges that burden most other start-ups: Not having enough hours in the day, and not having enough funds to pay for the people and expertise you need. It’s always a challenge surviving until you can generate the funds needed to get the machine running,” he said.

The secret to managing this is twofold. First, AppVillage approaches people and asks them to get involved with the business, and second, the founder ensure these people are working hard to produce new revenue-producing products as quickly as possible.

“Our market is global and the product we sell can be distributed globally; thus making our business a global one. In three to five years, we plan on having a range of apps in the market place, with our consumer base in the 100′s of millions. We also hope to have offices managing our community in locations around the world,” Fanale added.

On risks, lessons and advice

As is the case for many new ventures, Fanale said the biggest risk facing AppVillage is that it may not make it past the start-up phase due to a lack of focus.

“Remaining focused can be quite difficult and we often have to reign ourselves in because we’re operating in such an exciting space,” he said.

This means that the biggest risk is not focusing on the things that are critical to our success and become a distraction,” he added.

So, the start-up is focusing on what will fund its growth and prove its value in the market. It has four apps in production, due to be released this year, and is about to launch a competition called AppSuperCharge 2013. The competition is designed to help “supercharge” the apps of entrants by providing funds and services to market their app.

Fanale has had plenty of start-up experience, having launched and built two successful businesses in a previous life, and he said one key lesson keeps rearing its head: No matter how much you think you might know, be prepared to learn something new every day.

“These things could be as varied as the nuances of your target market, management styles, product development, or process and procedures. It’s incredibly important to be open to these learnings, while being prepared to pivot accordingly.”

And when it comes to giving advice to other start-up entrepreneurs, he keeps it short and sweet.

“Keep it lean, be persistent and be passionate. If you believe in what you are doing then others will want to get involved.”

Essentially, segmentation is grouping together similar characteristics or attributes of your clients.  Understanding these attributes allows you to identify patterns of behaviour, attitudes and preferences, and therefore devise targeted products and services based on these.

One of the most common ways to segment an audience is via generational segmentation.
The generational segmentation categorisation method is not new; market researchers have been examining the characteristics of different generations for decades. So what are the generations and how are they categorised?
For most purposes, categorising generations who are in the workplace todays the best way to segment an audience. These categories are:

• The Silent Generation – born before 1946
• Baby Boomers – born between 1946 and 1964
• Gen X – born between 1965 and 1980
• Gen Y – often referred to as Millennials – born between 1981 and 2000

The assumption behind generational theories is that during each time period, or as a result of the previous period, significant events occurred, shaping the way each generation behave and act.

The Silent Generation were influenced by two world wars and the depression. Called ‘Silent’ because of a perceived lack of interest in raising issues or speaking publically for change, they were also cautious, conventional and somewhat fatalistic. Because of the depression and World War II, they were also smaller in number than the previous generation and the Baby Boomers after them.

Baby Boomers grew up in times of great social change and, to some extent, freedom.  As a result, they are characterised as experimental, individualistic and social-cause oriented, which is why they are often attracted to associations, charities and not for profit organisations.

Gen X was the first generation of ‘latch-key’ kids – where both parents were likely to be in the workforce. They were also exposed to rising divorce rates and corporate ‘down-sizing’, which saw parents lose their jobs.  Accordingly, they value their independence, are less loyal to employers, and favour a good work-life balance.

Millennials, or Gen Y, are the technology generation – the first to grow up with the internet and the age of instant communication.  Consequently, they rely far less on the traditional methods of information dissemination – they have the internet at their fingertips and are more likely to question the ‘norms’ that have existed in business.  They are also more aspirational and, unlike Gen X before them, are attracted to successful brands.

Segmenting your client and prospect base will allow you gather more information from them which enables you to:

• Devise products and services that appeal to each segment
• Understand the propensity for each segment to recommend your organisation to others
• Demonstrate to your clients that you understand their differing requirements
• Differentiate your business from competitors

If your organisation is to remain relevant into the future, you need to know what your clients value. Segmenting your client base is a good way to understand your client’s preferences, so you can develop relevant marketing strategies for success.

There are many ways that you can improve productivity in the workplace, but the design of your office is one that can be easily accomplished and which will show immediate improvements. According to a US study, 90 percent of American workers think that a better workplace design and layout results in a better performance by employees.

Involving your staff with the design is also important according to a University of Exeter study.

So is it time to give your workplace a makeover?

Here are some ideas as to how you can improve your office space.

Music

Having something a bit more exciting than elevator music playing while you are working is crucial for office morale and it’s not difficult to achieve.

The Sonos system, which allows music to be controlled wirelessly throughout your home or office, is a fantastic way to allow your employees to be their own DJs. With a wide range of music available both online and connecting to an existing iTunes account, Sonos systems can be placed in strategic locations around the office so as not to disturb any employees, but can be controlled wirelessly through software downloaded onto either a desktop computer or device.

You can choose to either listen to the radio, or if you want to listen to music only without ads and talkback interfering, you can still listen to all the latest hits through Sonos’ access to thousands of free internet stations, MOG, Spotify and Songl.

Furniture

While everyone needs a desk and chair, there are ways to make sure that these everyday aspects of your office can be in line with current trends and provide a comfortable space for your staff.

IKEA has launched a new range of products called its IKEA Business range, which has been tailored specifically at renovating the office environment in an innovative and affordable way. Mark Mitchinson, IKEA Business leader, recently told Dynamic Business.

“The sole purpose of this program is to work closely with business owners to cultivate a better working environment for the five million Australians working in small businesses.”

Other exciting new furniture options for your office include Priyanka Rao’s new flat-pack furniture business Evolvex. The locally made products are all eco-certified and is easy to modulate according to your space.

Plants:

Adding some green to your office space could not only do wonders for your staff productivity, it can also prevent negative feelings from fostering. A UTS study revealed that offices with plants found a reduction of up to 58 percent in negative mood states.

Australian company Ambius has taken to ‘greenscaping’ your office, with options to bring nature inside through a variety of products.

Marketing manager for the company, Anne Briggs, said “With two thirds of respondents spending less than an hour outdoors on a typical work day, it is vital that we bring nature indoors. Indoor plants are an easy, cost effective way of doing this.”

In fact, as seen in this video, by choosing the right plants you can create a more refreshing workplace for yourself and your staff also.

Try bringing in some easy to manage plants like succulents or cacti into the office and see what improvements are made among your staff’s morale.

What else have you done in your office to make it more comfortable? Share your secrets below.

The site is the brainchild of Blake Hutchison, who spent five years in the US watching the rise of the commerce-driven content business – as opposed to sites that made their money from traditional online brand advertising. He’d noted that commerce sites, particularly deal sites, were battling when it came time to develop consumer engagement strategies – though this is not something AgendaCity.com struggles with

“For us, content plays a major part in engagement and also acts as a lead generation source for sales opportunities,” he told Dynamic Business.

The business is based on four interrelated elements: a recommendations section, with a focus on new restaurants and nightspots; a private sales area, where members can access special offers; and AgendaTables, the country’s first privileged restaurant booking platform, where customers can select times at top restaurants, book via the site and save 30 percent off their entire bill; and most recently,  uTaste, which is a decadent food subscription service.

And there’s clearly a market for the offering, because AgendaCity has amassed a database of 35,000 in just over two years and took over 500 restaurant reservations in the first 8 weeks after AgendaTables launched. What makes this story all the more impressive? Hutchison has achieved all this with a non-existent marketing budget.

“Our marketing is grass roots. It’s mostly about developing relationships and trust among the existing audience to build referrals. It’s just the reality of the [start-up] situation – we’re not in a position to ‘spray and pray’ as many of the big-business funded eCommerce ventures are doing at the moment. Our audience to date has come about through word of mouth,” he said.

The trick to managing this has been to work hard to deliver high-quality content to users, so as to grab their attention and foster engagement and sharing.

“Call it a form of content marketing. We drive huge open and click rates from our recommendations, which ensure we give ourselves every opportunity to convert where and when our customers are ready to buy,” Hutchison added.

Agreements mean nothing

With a team of just two, Hutchison has had to form a number of partnerships to help with the growth of his start-up – which has led to his learning some difficult lessons.

“You can expend a great deal of energy on these partnerships, and it’s been our experience that even once the agreement has been settled and signed, there are no guarantees,” he said.

“Ultimately, it’s about priorities and for the most part the opportunity to partner means far more to us then it does the large scale partner we’re ‘working with’.  In theory, it could be considered a breach of contract but that’s not a fight worth pursuing,” he added.

As for other lessons learned, Hutchison has a couple of key pieces of advice to share:

“Unless you have serious cash reserves yourself, then get ready for a fight. If your business can work and hasn’t been established in Europe or the U.S., contemplate doing it there first.”