Last week I was meeting with a really cool alternative energy company.  Their sales have grown over $5MM and they are anticipating breaking the $10MM barrier shortly.

I was barely finished telling them how great it is they scaled up in such a short time when the founder said things could be much better.  Things would be so much greater if the Federal government would issue subsidies on alternative energy companies much the same way it is doing it for petroleum companies, he said.

I groaned audibly, probably more for dramatic effect rather than being just plain old tired of hearing that complaint.

I said, “That is no way to run a company.  If you are waiting for handouts to be successful, you’re running the wrong business.  You’ve got to find a way to stand on your own two feet, no matter what the climate is out there.  Today it is unfair subsidies, tomorrow it will be China undercutting your prices and the day after it will be something else.

“Get used to it.  And get creative.”

I’ve heard this complaint many, many, many times over the past year or so.  As the disappointments increase over the lack of stimulus money being allocated towards small business and as Congress cannot seem to get its act together in aiding our economy and commerce, it is increasingly evident we must just go with what we have.

Another common complaint is how it is unlikely or even impossible for some industries to thrive without Federal intervention.

To which I say “bull-pucky!”

A limited way of thinking causes comments like that to come out of one’s mouth.  As Byron Kennard, my mentor and colleague, writes recently in the Huffington Post, “Technology is often more powerful than law”.  He makes a strong argument that innovation usually trumps governmental intervention.

Rather than focusing on government, entrepreneurs of any type need to focus on their innovation and “can do” mind set.

Here are the four steps to bucking the wait for the Feds:

1. Ask the right questions—usually when we get stuck in a situation it is most likely because we are the ones that got ourselves there.  To get yourself unstuck, change the questions you ask.  For example, if you ask, “How do I get some Federal stimulus money?” change that to something like, “How do I sell my product quickly with the what I have to manage?” (i.e. costs and competition.)  This shifts your mind to answer a more powerful question.  You’re much more likely get the right answers.

1. Think like there is no box— from the wildest, furthest out-there ideas come the best solutions.  When you hold yourself back in your thinking and brainstorming on solutions, you get limited results.  For example an answer to your question (in #1) might be, “Don’t try to compete on price!” to which you say to yourself/others, “Yeah, but everyone competes on price and they will not buy from me if I’m more expensive.”  You just boxed yourself in.  Go beyond that by letting go of that assumption to create powerful solutions.

1. Build the perceived value—Apple’s iPhone, which I own, is neither the best nor cheapest technology out there in the incredibly competitive space of wireless phones.  But for many people around the world, if it isn’t an iPhone they are not interested.  That is gold for any company to have.  So, compete on other things beyond price.  Whether you’re B-2-C (business-to-consumer) or B-2-B (business-to-business), build up the story of your product or service.  Focus on the benefits of it, not the features.  Remember: features tell, benefits sell.  This is the #1 reason people buy.  They buy you, your product or service and how it makes them feel.  In our example, one key benefit might be how much time your product saves and how easy it is for the customer to install.  Stack up additional benefits around it.

1. Accelerate through mistakes—You will make many mistakes along the way.  The key is to not not make them, rather accelerate through them.  You do this by having a specific and measurable result set in time.  Then check in along the way with milestones and at the end to see if it met your expectations.  With this you can quickly shift gears when necessary.

In the end, as an entrepreneur, you have two choices:  1) wait to government to pull you out of this tough economy or 2) take matters into your own hands.

So which one is it going to be?

Action Steps for the Week

Want to stop waiting for handouts?  Good!

Start with asking the right question.  Focus on what you really want as a possible answer.  Don’t focus on what you don’t want.  Your mind tends to answer the question you put before it.  For example, “Why am I not getting sales?” vs. “What is the fastest way to ramp up sales to consistently $10,000/month?”

Next, focus on UnReasonable ideas.  Those ideas you have not pursued.  Decide which one(s) to test and give them a clear and specific goal and timeline.

To practice listing the benefits of your product/service, watch either QVC or Home Shopping Network.  They are masters at selling on benefits.

Lastly, expect that not everything you try will work.  Feel comfortable with canceling a strategy and shift gears quickly.

And in the end, you may end up quite surprised how little the government has to do with your business success.

Yesterday I confused my packed class of new entrepreneurs.  We just started a seven-day intense entrepreneur start-up course and they were bouncing off the walls with their new business ideas.

And it was like I just poured cold water on them when I asked them how and when they are going to exit their company.

They hadn’t even started it yet!

Knowing your role and when your part is done is crucial in building a successful company.

Too many founders don’t know when to sell, turn the reins over or quit, and therefore often times the company suffers and can even unnecessarily be brought down.

And exit strategies are not just for leaving your company.

For example, what is your exit strategy for the year 2010?  Wrapping up a decade is no small feat and knowing what you will end it with and how you’ll start the next one is crucial in positioning a small business in this economy.

Too busy focusing on working IN the business and not focused enough on working ON the business?  Here’s a chance for you to stop for a moment and set things up powerfully.

Top 7 Ways to Wrap Up 2010:

1. Brand Overhaul—with the economy and competition closing in so quickly these days, it makes sense to review your branding.  For example, just in the past couple of years in my industry of coaching, everyone and their mother now calls themselves a life, marketing or business coach.  How are you better, different or distinct from the pack in your industry?
2. Marketing Makeover—with a clear sense of your brand, marketing is the next major component to review.  Social media is taking off in ways no one could have imagined a couple of years ago.  Along with the demise of many other forms of marketing, like print and email blasts, how will you stay ahead of the curve?  What is that balance that keeps you “heard” out there?
3. Revenue Revamp—with new branding and marketing, what is your revenue model?  With the economy in a sluggish recovery, a completely different way of thinking is necessary for generating revenue.  For example how can you integrate a new vertical market (different industry) for your products and/or services?
4. Talent Retrofit—you are only as UnReasonable as the team you build around yourself.  This means it is crucial to have top players to holds you accountable, inspire you to move ahead of the pack and energize you beyond what you can imagine.  How you bring in top talent with a limited, and sometimes non-existent, budget is two-fold:  1) a powerful company vision and 2) conviction of your success.
5. Sustainability Renovation—most of my clients in the “sustainability sector” are growing faster than they care to admit.  As they grow, both customers and the industry catch onto what they are “up to”.  It gets exciting when this encourages them to innovate and create even more “sustainable” business practices.  This in turn raises the bar on all their primary and secondary competitors.  When was the last time you checked in to see what your competition is doing in this regard?
6. Tech Transfer—what technology have you been sitting on and have not done anything with?  Yes, that idea still in your head.  Something you’ve created and thought a lot about but the world has not seen a piece of yet.  Transfer that technology into reality by making a game plan to get it out the door.  Could turn into a serious competitive advantage for your company.
7. Blast Factor—everyone knows the best companies to do business with, work for, and/or promote are the ones that are having a blast as they go.  When you amp up the juice on having fun, your energy shifts.  When your energy shifts, who you are being in meetings shifts.  And that can be contagious.  So what will you do to amp it up?

Still too busy to focus on working on your year-end exit strategy?

I suspect you will be even busier if you continue with that mind set.  Because you are less efficient and working in a vacuum.

So, take 5 to figure out your exit strategy for 2010.  Heck, take 10!  It could save you between 10 and 100 times this in the short term.

And that is not a bad ROI!

Action Steps for the Week:

A key to creating the “what’s next” in your company is to clear off the decks from distractions for a long-enough period for you to figure out a basic game plan.

You can do this in a serious of “meetings” with yourself and/or team, if necessary.

When planning this out, focus on making as specific and measurable outcomes as possible.  Get as specific as possible in what type of outcome you want and by when.

For example, when working on Brand Overhaul, you can decide to create a new image that incorporates much of your newly researched industry analysis based on where your competition has been going.  You can declare you’ll recreate your brand by the end of January, 2011.

Work through these seven ways to ramp up your business for the end of the decade.  Doing so will provide you with a renewed sense of excitement, clarity and inspiration.

And isn’t that a good way to start the next decade?