Opportunity Assessment Approaches

Over the years there have been a number of consulting and training firms who have provided ways of assessing opportunities.  For the benefit of my readers who don’t have an Opportunity Assessment approach in their methodology I pass these along and encourage you to have a standard Opportunity Assessment process for use by your salespeople … it’s one way to prevent them from pursuing too many unwinnable deals.

Fundamental Questions for Business Evaluation

1. Is it Real?
2. Can We Win?
3. Is it Worth it?

- Don Schrello, 1974, Product Evaluation and Planning Seminar

The Opportunity Evaluator

1. Can we add value?
2. Should we pursue?
3. Can we compete?
4. Are we aligned to win?

- Jim Holden, 2002, The Selling Fox

Opportunity Assessment

1. Is there an opportunity?
2. Can we compete?
3. Can we win?
4. Is it worth winning?

- Target Marketing Systems,1989, Target Account Selling Seminar

And in another area, Product Portfolio management, this came in a Harvard Business Review article in 2007.

Managing Risk and Reward in an Innovation Portfolio

1. Is it Real?
2. Can We Win?
3. Is it Worth Doing?

-  George Day, Harvard Business Review December 2007

121+ Things You Must Do Before Selling Your Training Company

Here’s a small sampler …

20. Decide on what you want to do after the sale, and when

21. Consider ideal structure you would like

22. Understand earn outs

23. Locate all your legal documents

There is an excellent document created by the WLS Alliance (a partnership of Whitestone Communications and Luntz, Suleiman & Associates), of which these are 4 of their 121 (and counting) suggestions. If you think there is even a possibility that you might want to sell your training firm in the next 3 years and you don’t already have an M&A advisor that you are in love with, I would encourage you to read this document.

I would be very happy to introduce anyone to one of their managing directors as I have been extremely impressed in every dealing I have had with their group … I just wished I had known about them when the Heiman’s sold Miller Heiman back in 1999.

And for those of you who would like to talk to them without me knowing you might be on the block, you can find them at www.whitestonecommunications.com – ask for Baran Rosen or Glenn Shapiro. And of course I would apreciate if you at least tell them confidentially that this blog spurred your interest as it will help my own personal brand equity with them!

In through the out door (or using the exit as your entry)

Those of you that know me well might think my title was a clever way of slipping a rock album title¹ into my blog.  This time it wasn’t, as I don’t actually love this band, but someday I will write “Everything I Needed to Know in Business I Learned from Hard Rock.”  But I digress…

The real focus of this post is discussing “Exit Strategies.”  For all small businesses (which generally covers 99.9% of the sales training firms in the world) the Exit Strategy should really be the first strategy defined before the rest of the business planning and strategy work is done.

Google Alerts – eyes in the back of your head

Google Alerts is a fantastic, and free, resource to help you keep extra eyes on your prospects, clients, competitors … and even on how your own firm is being written about on the web.

I was initially hesitant to start using this tool because I am already overloaded with far too many blogs and email newsletters from assorted prospects and competitors however I gave this a 10 day test period and came away a believer.

If you are like me and already overloaded by data here are a few reasons why you might want to use Google Alerts (though as with most things, use this in moderation!):

Walking your talk, drinking your Kool-Aid®, and making sure the cobblers kids have shoes

Since this blog is intended for owners, employees and contractors of sales training firms I will assume you work with one.  I will also assume that your firm has sales training workshops and consulting designed to help salespeople sell better.

If your product fits the management consulting / professional services market (where sales training firms fall), then there is really no excuse for you and your entire firm to not be using your own methodologies.

That said, I have been astounded, perplexed, and mind-boggled for years that so many sales training salespeople don’t completely use the “stuff” they are selling.

Now I am not saying that if you have a “Whiz Bang Opportunity Planner” (the Whiz Banger) form as part of your Whiz Bang v. 13 Opportunity Management class that your salespeople need to complete one for every sale – you should be just like your clients,

IRS Mileage rates – Updated January 2009

I have talked to a few independent contractors who had not heard the news, so as a mini public service announcement, here is a link to the IRS website note announcing the increase in mileage rates – for July 1 to December 31, 2008 – to 58.5 cents per mile.

As many of you (hopefully) know the rate was set at 50.5 cents per mile in January 2008.

Be sure to update your Mileage rates in QuickBooks or any other accounting software you might use to maximize your tax deductions, and to properly pay your employees and subs that expense mileage.

UPDATE: January 2009

The IRS has posted the new mileage rates for 2009.   Beginning January 1, 2009 the rates are now 55 cents per mile.