Using Technology to Start a Successful Business in (Spite of) a Depression

Did you know that some of the most powerful entrepreneurial ideas in the lexicon of human knowledge arose from the ashes of economic catastrophe? It’s true. And the reason is a lot simpler than you think: when times get tough, unemployment increases. So what do people do? They become entrepreneurs.

If you’re thinking about starting a business — or even keeping one afloat in this economy — don’t be discouraged by the climate. If anything, find inspiration in the fact that — no matter what happens — things will turn around eventually. Of course, eventually could be a long time, so you should prepare for an extended winter — especially considering the reckless irresponsibility with which our leaders are handling our currency and our banking industry. But once it’s over, the new generation of industrialists will come from small-business thinkers who knew how to stay lean and efficient when times were tough.

Times have changed. Believe it or not, the Internet is still in its infancy, and I promise you it’s not going away. If you don’t own a computer, or if you don’t know how to navigate the World Wide Web, it goes with out saying that you’re already at a serious disadvantage. Of course, if you’re reading this, that probably means you have at least a modicum of computer skills. Still, computing and networking have defined the last fifteen years of business, and yet, what we’ve seen so far will be nothing compared to the next 20 years.

I’ve prepared a list of useful tips any entrepreneurial spirit should keep in the forefront of his brain as he weathers this economic crisis.

1. If you don’t know web design and web development, you better find someone who does. Do you know the difference between (X)HTML and CSS? Would you be able to interface with a database using PHP? Can you create an image, logo, or animated presentation using Adobe CS4? If not, you need to partner with someone who can.

   I don’t need to tell you this, but the internet is the place people go first to find what they need, and it has been that way for some time. If you aren’t presenting yourself in the cleanest, easiest-to-read, friendliest, and eye-grabbing way, then you’re going to lose. Period. It’s the new frontier, and you need to be at its cusp.




2. SEO, SEO, SEO. It stands for “search engine optimization,” and that’s exactly what it is — an entire industry whose purpose is to make sure that you, your name, your business, your product, your service, and your reputation are available to as many eyes as possible on the internet. It’s not an exact science, but it’s not wizardry either. And above everything else, it’s not easy.

   
   

   SEO specialists spend years trying to understand the intricate complexities of search engine do’s and don’t’s, and if you truly optimize your presence on the internet, you can drive traffic like nothing you can possibly imagine. But it takes patience, dedication, and consistency. If you think you know enough to do your own SEO, you’re probably just about 180 degrees wrong. Look into it, and once you understand just exactly how much you don’t understand, then find someone who does. It’s critical.




3. Social networking, social networking, social networking. If you think Twitter is a dirty word, and you think Facebook is something a woman carries her makeup in, you are in a lot of trouble. Social networking is the way people connect with each other now. It used to be that if you wanted to find someone, you did a Google search and crossed your fingers. Today, that’s no longer true. You want to find someone? Go to Facebook. With all the updating, connecting, chatting, and gossiping going on in social networking venues, you better understand that you need to be in the fray, promoting yourself. There’s no way around it. You’ll also need to familiarize yourself with LinkedIn and several other social/business networking sites.




4. Blog, blog, blog, blog… BLOG! Are you talented? Do you consider yourself an expert? Do people come to you to solve their problems? Of course they do! And for all these reasons, you are in business! Now go write about it.

   
   

   Do you know how much it costs to create a blog? Zero. That’s how much. You can use blogger, Drupal, Joomla, or my favorite — WordPress. Or, you can use any of the innumerable alternatives out there. Be creative, and tell the world how much you know about your specialty. And keep telling them… over, and over, and over again. Eventually, search engines will recognize your expertise too (especially if you correctly employ SEO), and they will help you find business.

   Remember, an article stays on the Internet forever (at least theoretically). So if you’re writing about yoga techniques today that will still be germane ten years from now, well, then your article could be performing the passive task of marketing for you indefinitely. What could be better than that? And as your reputation grows, so will your audience — and that’s when things go viral. So crack those knuckles, get in front of your keyboard, and write. And don’t stop until you’re rich.




5. TIE IT TOGETHER! As you get older, you’re going to accumulate more knowledge. You’ll learn different skills that transcend the original scope of your business, and you need to tie these skills together.

   
   

   I’m going to use myself as an example: when I began my career, I was a financial analyst. I’m great with numbers and math. But after I started my hedge fund, I found myself developing deep technological skills — including web development, SEO, web design, spreadsheet expertise, networking, database management, and programming of every imaginable sort. The next thing I knew, I was as good in these fields as I ever was as a financial analyst, and yet for years, I didn’t market those skills at all! Likewise, I became expert at marketing, writing, and presentation, and yet I did nothing about it.

   Eventually, however, I wrote a book and used my skills in all of these areas to find as much success as I possibly could — on all fronts. Today, I’ve brought it all together through blogs, web sites, marketing campaigns, and SEO. I know technology, so I write a technology blog at MyTechTool.com, and this helps my web-development, design, and SEO business (DesignOriginate.com). Likewise, I have leveraged my financial and economic knowledge into the content-driven site at BottomViolation.com.

   Finally, I have combined my book’s site — DisciplineNovel.com with my personal site — PacoAhlgren.com. And, of course, there’s Facebook and Twitter, which get updates every single day, no matter where the content comes from. The end result? It’s hard to visit one of my sites without having access to all the rest of them.

   One caveat: from an SEO perspective, it’s okay to create loose links between your various enterprises, but make sure those enterprises stand alone. Use tools like “nofollow” tags to ensure that search engines see each entity as unique and stand-alone.




6. Understand business. Okay, okay… this doesn’t have much to do with emerging technology, but it may be more important than anything else.

   
   

   So you’re a great chef! Isn’t that fabulous! You can prepare the meanest steak tartare east of Boise. Man, we are all just so impressed! But what do you know about A/R, A/P, credit terms, cost of carry, and inventory management? Nothing? Wonderful! Your business is statistically nearly guaranteed to fail!

   It doesn’t matter how good you are at what you do; the overwhelming majority of small business in this country fail because proprietors focus too exclusively on their talents, and not enough on the business of their business – much to the detriment of their cash flow. Enroll in some community college courses. Learn the basics of business and accounting. Believe me, you’ll thank me later.




7. Speaking of education. Do you know what the biggest search engine on earth is? Of course you do. It’s Google. But do you know what the second-biggest search engine is? It’s YouTube.

    

   Are you surprised? I was too, until I realized that YouTube is the ultimate online learning resource. Ever.

   I know — I just told you to enroll at a community college, and you are certainly welcome to do that. But why on earth would you spend $150 on a textbook — along with whatever tuition costs — when you can find anything and everything you could ever possibly want to know about accounting, cash flow management, taxes, employment costs, insurance, software, (or anything else) on YouTube? For free! Try it. You’ll be absolutely blown away at how much you can learn in such a short time.

   And the best part? There’s not some stupid sorority girl in the back row saying, “Do we have to know this for the test?”

Paco Ahlgren solves business problems. He is a financial analyst, economist, author, web-developer, designer, and SEO specialist in Austin, Texas. If that’s not enough, he’s also a single father (that’s the job he likes best).

If you’d like to contact him about how he can help you make your business run better, you can contact him at paco@designoriginate.com. Or you can visit his design | development site at www.DesignOriginate.com. Find out more about his book Discipline at www.DisciplineBook.com.