My Take on Empowering the Malay Economy, part 1

The PM has spoken. He has an agenda to empower the Malay and Bumiputera's economic power. The agenda focuses on five main thrusts:

• Empowering bumiputra human capital;
• Strengthening bumiputra equity ownership in the corporate sector;
• Strengthening bumiputra non-financial asset ownership;
• Improving bumiputra entrepreneurship and business; and
• Strengthening the services delivery ecosystem. 

I don't have a bone with the thrusters; they seem to make sense - common sense.

But I have some issues with the plans for the thrusters. They seem rushed. I don't believe they would bring a quantum leap in the Malay's economic power; I believe the think-tank could think and come up with something better from their tank.

Before we go on, there is something that we must be clear in our head. I am talking about the Malay economic power (in saying Malay, I am including the Bumiputeras as well) AS A SOCIETY, rather than individual or a segment, a caste. When a policy benefits a few individuals and they get extremely rich from it, it does not translate into Malay Economic power unless they give back much more to the Malay community. We must look at the society as a whole, from the poorest to the richest.

In that regard, we must also understand the demographic of the Malay society that while it is true that past policies have created a larger pool of middle class Malays, the society is still dominated by largely the poor, both in terms of financial education as well as the financial itself. This society is by and large, poor and heavily subsidized.

Lets start with the ASB2; RM10 billion of it. And here are my issues:

• ASB is attractive only because it is a superhigh-return savings scheme. The guarantee of the capital makes it risk free (better than bank deposit (?), maybe, because PIDM has a limit on the guaranteed savings amount) and it gives an equity-based return (way higher than the deposit rate of around 3% per annum).
• That would just make people switch their long term fixed deposit into ASB (those poorer ones who needs to withdraw cash regularly cannot benefit because you need to lock the amount in ASB to fully enjoy the yearly dividend). Who has one year long term deposits? Certainly not the poorer Malays nor even the middle class Malays. It will definitely benefit the richer Malays, those who have maxed out their ASB1. 
• So it looked like this plan would benefit the already rich Malays first. But their number is not that big.
• In my opinion, this ASB  does nothing to promote active economic management of the Malays. Instead it is training the Malays to be passive owners of equity. The term "reign but does not rule" comes to mind. I don't believe that passive ownership of equity would make the society any better at creating and managing economic power - that one comes from owning and operating businesses.
• ASB does not directly and significantly help the Malay society in owning and operating businesses. The moneys in ASB would have to be placed in secure investments so that the managers could manage the risk and give the expected return. Amongst others, they would be invested in companies owned by non-Malays (because they still dominate the real economy, they own the businesses) and when this happens, the capital flows to enhance the economic power of the original owner. They would use the much needed cash to build more businesses and when it has grown big enough, they would then go for listing again - and the cycle continues.
• So, I ask myself, does the Malay businesses really benefit from the ASB? Does the Malay society as a whole benefits from ASB? Do Malay entrepreneurs benefit from ASB? I have great difficulty to say a resounding yes. Menang sorak, kampung tergadai.

ASB1 was relevant back then, to tilt some Malays into middle income class and some middle income Malays into rich ones. It was a quick fix to create purchasing power within the society. But now we need something different. We need production power. We need Malay businesses flourishing in a competitive and sustainable manner. I will share my issues on this segment next time. In the mean time, Selamat Hari Malaysia.

Salam.

Cash or Profit?

In one of the recent workshops we discussed about how could a profitable company goes bankrupt.

Weird, but it is true.

For all entrepreneurs, it is important to remember that cash is king. While profit, as calculated by the accountant based on accounting principles is important, cash is vital. Accounting allows you to record profits when you don't actually have any cash. Take for example, a RM1,000,000 sales of cokodok that you made to Mr A on credit. Mr A has 90 days to settle the bill.

Accounting wise, you would have recorded a revenue of RM1 million ringgit and if the cost was RM300,000 you would have recorded a profit of RM700,000. This is called accrual based accounting.

The problem is, when the supplier comes to collect his RM150,000 cost or your staff wants their salary at the end of the month, you cannot pay with profit! You need cash. You need cash to pay everyone their dues.

So, while you would be happy with your profitable business, please take a closer look at your cashflow.

Selamat berniaga :-)

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My Training Business

In my previous post on moving back on the payroll to support and fund my business ventures (as opposed to seeking government funding/loan etc), one of my passion business, namely the training business has to undergo a change in its business model.

Rather than a full time Training Provider and Speaker, I had to assume a more passive role of Trainer (for Elixireducate) and collaborate with a Training Provider (Symphony Digest).

How did we (Symphony Digest and I) met? Well, I attended one of the training provided by Symphony applying MY First Rule of Business, I offered my service as a trainer for Corporate and Investment topics. What went through my head? 1. There is no shame in making an offer 2. I don't lose anything (ego? doesn't pay for my bills) 3. It is something that I believe that I can do (and I have done it before, but with a different crowd) 4. I know I know my stuff.

I asked my boss and he said it is ok so long as I keep it to weekends on on my day off. We also agreed that this is a great way to market my employer as my audience will be the executives and senior managements of the Malaysian financial industry. Win-win-win scenario

So we decided to give it a go. We were both excited about this prospect.

Symphony had a host of topics that they think I should do. So I applied MY Second Rule of Business "focus". I said lets focus and create a specialization. Let's not bite more than we can chew. So in January 2013 we agreed to start with two topics: First is on Investments in ETF (Exchange Traded Funds) and REITS and the second is on Corporate Finance.

The first training session was on ETF and REITS and it was held on 6 April 2013. The marketing was done in February 2013 and we did not know how the response was going to be; we set the price at a reasonable rate of RM430 per head for a day with lunch. I also marketed the program to my peers and contacts. This will be Yazdi's first time in the market and we did not know how the response is going to be like.I would be very happy if 20 turns up.

In march, I was told initially that 12 signed up. A couple of days later the numbers became 20. But it did not stop there and two weeks before the event, we had to stop taking participants at 60. Symphony said they never had such a large crowd before.

Remember earlier I said that I would be happy if 20 turned up? It changed to me being nervous. Why? The list included directors of banks and heads of investment houses. I know I know my stuffs, but with this crowd, they also know their stuffs. I therefore apply MY Third Businesses rule: prepare to give the best.

In order to give the best, I tripled whatever effort I had planned to expend on this project. If i planned to get 10 source materials, I tripled it to 30. I know that my materials will not be perfect (as perfect does not exist) but I on my way of attaining perfection, I will be really really prepared.

How did it go? I will let the photos tell all :-)

We will be holding another training on Corporate Finance in June. Hopefully we can meet there? Fifteen participants of the previous training already signed up, Alhamdulillah :-)

Dilema Usahawan Melayu, Bahagian 2

Salam to all.

It has been many many moons since I last typed down my ramblings on this blog. I have so much to say, I don't know where to start.

Well, I guess lets start with the person and his comments that inspired and poked me off my fat hind and start typing again. It was a comment to an old (but relevant) rantings of mine: Dilemma Usahawan Melayu. Encik Ramlan Ahmad made a very valid, accurate and critical comment, which went like this
"Assalamu alaikum M, Yazdi,
It is not that there is a acute shortage of Malay entrepreneurs or wannabes but the government machinery/mechanism put in place has been more stifling, exploiting rather than enabling.
As an 28 years experienced and global professional who has had 4 commercial viable ideas presented hijacked by unethical private & government officials who pass it on to their connections for their own vested interest, the current Malay entrepreneurs are faced with a need for "who you know rather than what you know" to become a successful entrepreneur. 
Malays/Muslims in approving positions have forgotten to adhere to Allah SWT's "halal/haram" in carrying out their duties which have led to qualified and capable entrepreneurs not getting the funding opportunities and unqualified pretenders getting it. These funds are then lost as the unqualified entrepreneurs are not able to sustain the business they did not think of in the first place. The modus operandi currently is therefore how to siphon the funds rather than how to develop successful entrepreneurs.
This situation has contributed to the decadence of the Malay and Islamic society and community as "Duit Haram yang berleluasa sekarang diberi kepada anak dan bini untuk makan bersama dan menjadi darah daging mereka" as they are eating "hak orang lain". 
Kalau orang Melayu sudah tak takut Allah SWT dengan memakan duit haram sebab nak kaya cepat then we as a race are destined to follow the footsteps of the once mighty Islamic Ottoman Empire which collapsed due to greed, lust and lack of conformance to the religion of Islamic. Nauzubillah, but it will happen if we don't wake up and repent! "

I agree, it is true. Orang Melayu ni ada idea tapi tak ada duit, mintak duit kena idea kena curi. Sudah jatuh ditimpa tangga lagi...haih..nasib badan...

But if I may, I think we can solve this.  How? We go back to the teachings of our religion, Islam.

But in order for this solution to work, we must employ the teachings that apply to us, our own self, diri kita sendiri, as an entrepreneur. This is because preaching to others is an exercise in futility... most of the time if not all the time. Kalau kita nak harapkan semua orang lain yang memegang amanah untuk mengikut amanat masing masing ataupun orang Islam lain mengikut sunnah dan membantu anda, seorang usahawan Muslim, saya rasa itu kerja yang amat meletihkan. Lets focus more on what we have to do and much less on what we think others need to do.

1. Rezeki itu milik Allah.

Giving up effort is the last thing that you should draw from this statement. Yes, Allah determines who gets what, how much and when. But this is not to say that you should abandon all effort because Allah finally decides despite all your efforts.

Remember, Allah knows best what is good and what is bad for you. No getting the project you have been chasing is not necessarily bad for you. We know much  much less than what Allah knows so if Allah decides that the million dollar project and the money will not be yours, Allah would have done it for your own good.

Allah gave the example in the Quran when the story of Khaidir and Prophet Musa was narrated. Allah bestowed Khaidir knowledge that was not given to Prophet Musa, hence when the former damaged a boat belonging to a poor fisherman (thus in a way taken away his rezeki) the latter thought that an injustice has been done. Prophet Musa DID NOT KNOW that a tyrant was going around confiscating seaworthy boats. And if you put yourself in the shoe of the fisherman, you probably thought that your rezeki is being taken away when someone damaged your boat, not knowing that someone more knowledgeable than you had done something for your own good. Imagine that someone is Allah, the Most Knowing the Most Benevolent, the Most Intelligent, the Most Wise.

So when you have worked hard for something and you did not get what you want, THANK Allah for he has most certainly decided a better decision for you. But it does not mean that you should give up hope. Just like the poor fisherman earlier, he would have fixed his boat just as you should fix or improve your situation to get your share of Allah's bounty.

If your situation / project needs improvement, improve it. If one source has caused your project to be stolen or hijacked  use alternative source, even it is the government. Like the saying goes, "Cheat on me once, shame on you; cheat on me twice, shame on me". Learn from the past and improve your situation for your next project; if you can lose it, that means there are loopholes, either in terms of people, resources or system. Plug it and try again.

If improving would not solve it, move to another platform. Maybe Allah shuts down one path so that you would be forced to use another path which is better for you. Your skills and your experiences do not disappear when people take away your ideas or projects. Use your imagination, vision and diligence for another business.

2. Get creative to get your capital

We Malays always lament that we have not enough capital to start a business. Or that the government of foundation with the capital is not doing enough to help us Muslim entrepreneurs.

I have my opinion on capital where in one of my previous articles, I wrote that

"Lesson 7: It is not the resources, but resourcefulness. You money that is with you is not going to help much in your business and if you just focus on your money, you are limiting your potential. Yes they will help to put food on the table while waiting for your venture to take off and roll in the big dough, but that is about that. As an entrepreneur, you must not be limited by resources. You must be resourceful, able to leverage and use other people's money, resources and ideas. Open your mind, be creative and the sky will definitely be your limit."

We must realise that while we still do apply for the government aid and fund, getting rejected should not be the end of the world. If cash fund is absolutely necessary for your start-up, there are alternatives to getting the grants
a. Scale down the projects
b. Get a job to get the cash - no shame in working for your start-up fund (or running business). But make sure your do your job well
c. Getting partners (Mudharabbah)
d. Family and friends - but be very very careful and honest with these group of people. They are very valuable.

Well, that's all for now. Till next time, feel free to post your comments :-)

Going back on the payroll....

Well, it has been a while since I really blogged. Much have happened since then.

For the past one year and a half, this entrepreneur had taken up employment with two fund management companies, assuming the role of  the head of business development ( I told myself that it actually reads "intrapreneur"). My businesses (Elixir Synergy Venture & DYAZ Associates) still runs as usual either by my own intraprenuer or my partners. Some plans (training) had to be put on hold to accommodate some changes and some had to be shelved altogether. There is actually some order to this chaos... and you know what? I kinda like i!

Moving from full time entreprenuer to employment was not an easy thing, primarily due to ego and the fear that I will forgo the entrepreneurship roller-coaster once I am back on the payroll. There were demons that I had to really wrestle to the ground. Voices in my head said I need to stay on the path of full time entrepreneurship no matter what. Pain is the only way to go. No pain no gain. Risk is entrepreneurship.

Then I told myself, who the fish (expletive) am I to say no to money! I have to start looking at things objectively and make the decisions based on sound reasons; just what an entrepreneur supposed to do.

Firstly, does taking up employment changes myself and removes my entrepreneurship attributes or skills?  Entrepreneurship is about making money, creating wealth. Being paid for your time and skill is the same. If I managed to generate more wealth per hour then I am being enterprising with my time.

Am I then now no longer an entrepreneur because I take lower risk as I am assured of a pay every month? Firstly, let me correct a misconception. Yes, entrepreneurship is about taking risk, but is supposed to be calculated and managed risk. Taking un-calculated and un-managed risk is not entrepreneurship, it is stupid(ship). What happened in my case was that I found myself able to take on more opportunities (and risks) with the cushion of the pay. The extra dough enabled me to invest more in my businesses without having to leverage on outside parties. I was able to give more staying power to my businesses.

Would my businesses and aspirations suffer because now I have a job? Well, part of being a true passive income earner is to have your businesses run without you having to run it yourself. My situation proved as a perfect opportunity for that, for me to build my management team. But before I leave, I have had to set in place systems to monitor (not cctv) the progress of the business on a daily basis. The procedures were in place to make sure the business runs in a way that I wanted it to be run. All I needed was then the people to manage the business and key in the progress into the system (don't spend money, use google drive documents to create your own monitoring spreadsheet. Plus it is real time). The businesses have been growing for the past one year and a half, so the system must be right...at least most of the time.

As for the training business, I will let the brochure at the end of this blog 'tell' you the story.

So remember, entrepreneurship is not about a business, it is about you.

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Developing your business

Hello friends,

I am sure most of us have growth as one of the top priority, if not the highest. No, I do not mean the waistline (although mine has a mind of its own) but your business. Simply put, most of us equate business development / growth as increasing profit and wealth.

Well, if you are going to do it yourself (as most entrepreneurs would), these are some simple steps that you could follow:

1. Where are you now? You need to know, precisely, what is your present business model, how much business is it generating and its corresponding size. Brainstorming together with your employees would be a great idea. Do you have strong strategy but weak operations? Or weak strategy but strong operations? What is lacking?

2. Where do you want to go? You need to be clear as to what you want to GROW. Remember, it is sustainable profits that you would want to grow, not simply size. The target should be 'Realistic" but multiplied by two, at least. Set high standards. Do not be afraid that you might fail.

3. How are you going to achieve it? Organic growth VS in-organic growth? Product development? Market development? Diversification? Market penetration?

4. How much it is going to cost? You need to be very clear as to how much is this going to hit your pocket. Find out any hidden cost.

5. How are you going to fund the cost? Own money? Borrowing? New investors? Equity? Hybrid? Convertibles? What is the art of getting funded?

6. Is it going to be worth it? Is the benefit going to outweigh the cost?

Lastly, keep it simple and doable. Do not make your growth plan complicated. Take action.


Related reads:

1. Growing successfully for small businesses
2. Growing to business failure
3. The Art of Getting Funded



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If you like the article above, please like us here. :-)

The Author is the principal of ElixirEducate - a training house for Smart Entrepreneur Program Series. If you would like what you read above, we would be grateful if you could 'like' us at our page here. If you would like to to find out or learn more about the the article above, you can email the author directly at yazdi@theelixirstore.com or be his facebook friend here.
 
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ElixirEducate

Women in Business, now on air!

Many moons ago, I wrote about the rise of ladies entrepreneur in Malaysia, and today we see another milestone. The sign are so clear, we cannot disregard it. The Star Newspaper reported:

Capital FM 88.9 - Malaysia's first women's radio station to go on air Thursday

By JADE CHAN

PETALING JAYA: Malaysia's first women's radio station Capital FM 88.9 is all set to sizzle the airwaves as it begins its broadcast from 6am Thursday.
Joining the stable of radio stations under Star Radio Group, the all-new Capital FM is the only radio station that provides women a voice and a hub to exchange thoughts and opinions.
Capital FM 88.9 features a handpicked line-up of celebrity presenters, namely Asha Gill, Joanne Kam, Xandria Ooi, Patricia K, Sheela Haran, April Kuan, Joey G and Liang, who will each bring their own flavour to offer different dimensions to the radio station.
Targeted at urban women in the Klang Valley aged between 25-35, the station aims to be a platform for women's issues.
"Capital FM has been tailored to meet the needs of women. To be a friend and confidante. Women empowering women in their daily lives,” said Star Radio Group deputy chief broadcasting officer C.K. Tan.
"Our driving goal is to connect with women by addressing their emotional and intellectual needs, to enhance the quality of their lives and their communities."
Star Radio Group chairman and Star Publications (M) Bhd group managing director/CEO Ho Kay Tat credited Capital FM's unique tagline Women - The New Capital - to Star Publications (M) Bhd executive deputy chairman Datuk Vincent Lee, who coined it as a tribute to and in recognition of the value and importance of women.

The success of this radio station will depend on the kind of values they instill in the womenfolks in Malaysia. I hope that it serves to eliminate the prejudice that existed in both men and women, letting people focus more on living better, peaceful and prosperous.

The only thing I don'd like is the tagline " Women - The New Capital". As I see it, women has always, always been a very significant capital since the beginning of mankind, since the beginning of trade. I was merely hidden away, not prominent. In Islam, Prophet Muhammad's wife, the love of his life, Khadijah was a WEALTHY businesswomen who had employed the greatest man that ever lived. And you don't call that capital? Women should give more credit to women.

Work Smart Everyone.

Related reading
1. Rise of Women entrepreneur
2. More on women entrepreneurs in Malaysia


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If you like the article above, please like us here. :-)

The Author is the principal of ElixirEducate - a training house for Smart Entrepreneur Program Series. If you would like what you read above, we would be grateful if you could 'like' us at our page here. If you would like to to find out or learn more about the the article above, you can email the author directly at yazdi@theelixirstore.com or be his facebook friend here.
 
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ElixirEducate

You have got what it takes to be a successful entrepreneur

Dear friends

I am dedicating this post to all my friends in direct selling and multi level marketing. And I wish that all those who has shunned away from direct selling friends to read this letter too so that we can all be friends again.

Direct selling comes in many form and provides different products, from insurance, unit trust, herbal products, vitamins, containers, household, shampoo and the works. I am not talking about the pyramid scam or get rich quick scam, but I am talking about the genuine multi-level sales channel. And direct selling has garnered a very bad name, such that people shuts down by the mere mention of the subject. It seems that someone would have a bad experience with a direct selling, with the way they are being pushed to buy or sign up. Direct selling entrepreneurs are being shunned, pushed away into a society of their own.

I say, what a waste of talents. MLM entrepreneurs can be successful and instead of shunning them away, I want to embrace them that with the right method, they can be the millionaire they wanted.

1. You have what it takes to be successful. The fact that you are taking action, meeting people and overcoming your shyness and fear is already a magnificent start. It is the quality that is required in all entrepreneurs. You are brave.  Not many people have this, but you do. This alone can ensure success. You are taking action to achieve your goal, making changes in your life, sacrificing your time and energy to achieve what you wanted. Unfortunately, people has taught you wrongly and you ended up sacrificing your friends too. But you can fix this easily. Just email me and I will tell you how.

2. You have a dream and you dream big. That is another essential quality to become a millionaire. You are not happy with the status quo, you present situation. So you sell. You sell to achieve your dream. But you must not limit your dream to merely profits. You must dream bigger than a car, a bungalow and a holiday. You must dream to be a better person with a better life. To help other people in need.

3. You are building relationship. Whatever product you are selling now in MLM is just one product, but what you are building is a relationship between a product and a consumer. And that relationship is very valuable. If you build the relationship properly, you can use the relationship to sell other products and make more money. A happy customer who had bought vitamins from you would also be happy to buy some health  equipment too, right? But build relationship the right way, build on trust.

4. You have a plan. Every MLM entrepreneur will start with a plan on how to reach the millions. But the plan is only regarding one product. MLM entrepreneurs must have a bigger plan, their own plan on how they want to achieve thier goal, not juston one product and not just on MLM alone. MLM entrepreneurs must have a plan to eventually become a true entrepreneurs if they really want to earn the passive income. Get an mentor, a coach or anyone who can help you get your entrepreneurship plan drawn out for you.

Finally dear friends, you can get there. You can buy your dream car, your expensive houses and your love boat. But you may need to make some minor adjustments to get there. Old tactics in a new world, a world of social networking and fast dissemination of information as well as disinformation, would not work. People are getting smarter and have more choices. You can be different, if you choose to do so.

And to all those who has lost friends in MLM, share this with them so that we can all be friends again.

Work smart everyone.

Related reads:

1. Marketing formula

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If you like the article above, please like us here. :-)

The Author is the principal of ElixirEducate - a training house for Smart Entrepreneur Program Series. If you would like what you read above, we would be grateful if you could 'like' us at our page here. If you would like to to find out or learn more about the the article above, you can email the author directly at yazdi@theelixirstore.com or be his facebook friend here.
 
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ElixirEducate

Smart Marketing: Sales = f(Reach,Response,Conversion)

Hello there, we meet again. Thanks for reading and remember, if you like what you read, share it please.

Now I am sure all of us have been approached by various marketing 'guru' offering a multitude of ways to boost your sales, make a million in two weeks, become a billionaire in two months. There is the 'Guerrilla' marketing method, the pyramid method, the relationship method, the direct selling method, the multi-level method, the blast method, the brand-centric method, the push sales,the pull sales, the customer relationship method.

And the study and books? I have learned them in school, in university and then when working. There were marketing books for dummies, morons and the insane. There were books on everything: branding, advertising, more advertising, budget marketing, some more branding; for experts, layman, and like I said earlier morons.

uh! uh! Don't forget that the Web 2.0 and the Social Media have opened a whole new can of marketing books and studies.

But wait. Hold on a second. Is it really that complicated?

Well, not really.

What I found was that after all these mumbo jumbo, sales must conform to the following formula:

Sales = f (Reach, Response, Conversion)

Sales is a function of reach, the response to the reach (also known as leads), and finally the conversion of those leads. All small business must know this by heart because if not, you could be wasting your marketing budget  and your energy away. I hate to use the acronym ROI (because I have overused it in my days as an investment banker, trying to get best valuations), but this is how you maximise your marketing ROI.

Reach is your visibility and contact with the customers. Most people call this advertising, promotion or marketing. You have to maximise your reach with your marketing/advertising activities.

Response is the positive feedback that you get from your advertising. It is the percentage of those whom you reached decided to take an interest in your product. This rate is very important as it will determine your leads. Some would also immediately buy your products - that is when they are converted.

Conversion from being an interested party to buying party (customer) can happen on the spot, when you are reaching to them for the first time. Some customers take longer, they need to be 'touched' again the second and third time before that make their purchase. This rate is also very important as it determines your sales rate.

Many small businesses make the mistake of focusing too much on the reach, and ignoring the response and conversion rates. In this case, the entrepreneurs will find themselves working very hard to market their product, but coming home with little results to show. It would be very frustrating.

But there are ways to maximise your sales, now that you have the formula. One way is to create an ultimate customer, then create a brand (on a budget). The only way to make big sales with little money is to be creative and resourceful.

Work Smart Everyone

Other suggested reading
1. Start-ups advice
2. Building a business model
3. Entrepreneurs in distress

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If you like the article above, please like us here. :-)

The Author is the principal of ElixirEducate - a training house for Smart Entrepreneur Program Series. If you would like what you read above or want to know more about our training, we would be grateful if you could 'like' us at our page here. If you would like to to find out or learn more about the the article above, you can email the author directly at yazdi@theelixirstore.com or be his facebook friend here.
 
Lastly, if there is anyone that you know who may benefit from reading this article / post please forward and share this posting by clicking the button "Share" below. Have a great day ahead.

How to be a succesfull at MLM and keep your friends

Multi-level-marketing business is the epitome of relationship-based business. Well, think about it, you have absolutely no control over what you can do with the product. If the customer does not like the taste, you cannot change it. If the customer does not like the formula, you cannot change it. If the producer stopped making your best selling item, you cannot do anything about it. 

Therefore, the sale, the business of multi-level-marketing or direct selling is purely based on relationship. Therefore, it makes every sense that a multi-level-marketing entrepreneur must follow the path meant for building relationship, rather than sales. By focusing on sales from the onset, you are indirectly forcing a relationship. You will not build a relationship and eventually run out of friends; but that is what everyone seemed to be doing (or at least that is how the industry is perceived). 

Multi-level-marketing entrepreneurs can be very successful, can be rich and can be happy. But the business must be carried out in its natural form; that is building relationships. And relationships can only be built the way relationships are built, beginning with trust.

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If you like the article above or would like to learn more, please like us here. :-)

The Author is the principal of ElixirEducate - a training house for Smart Entrepreneur Program Series. If you would like what you read above, we would be grateful if you could 'like' us at our page here. If you would like to to find out or learn more about the the article above, you can email the author directly at yazdi@theelixirstore.com or be his facebook friend here.
 
Lastly, if there is anyone that you know who may benefit from reading this article / post please forward and share this posting by clicking the button "Share" below. Have a great day ahead.

ElixirEducate

A letter to aspiring entrepreneurs, Part 3

Helloo there,

How are things going with your new venture? I hope you are getting along fine. I am good too, despite having to work this weekend. Well, you know what they say about us entrepreneurs, "weekends are weekdays but our weekdays can be our weekends too, anytime".

To recap, in my last letter to you, I briefly mentioned about the need to follow your passion, to have the endurance, to be resourceful and to have an 'entrepreneurship plan'. We left off at how your business plan would fail you. Therefore, without further ado, I present to you lesson number 9.

Lesson 9. You Business Plan will fail you. What do they have in business plans? The important ones would be product description, target market, financial projection, swot analysis, competitor analysis, industry analysis, business model and marketing plan. And some people would produce 100 pages of this surefire plan and set off to build a business based on his plan. And one thing are 100% sure to happen: things would not go as planned. And even if you rigidly follow your plan, there is 90% chance your business will fail.  No. It is not because you are not a smart planner, it is certainly not about your capabilities at all.

It is simply because the nature of the business plan. They are all a bunch of guesses and assumptions. Some might argue that it is an educated guess, but it is a guess nonetheless. And most of the assumptions are bound to go wrong. It could be overstated or understated.

But  don't get me wrong. You must have a plan. But you must accept and be ready for the plan to fail and needing adjustments. That is the nature of a plan. It is its natural order of life. Have a plan and keep an eye out for feedbacks and be ready to make changes to your plan. Like the saying "roll with the punches", find ways to find the right plan; the plan that makes money.

And even when you have found the right way and are making money, do not take things for granted. Keep your ears to the ground, listen to the heartbeat of your business and competitors. Modify your plan if you have too.

My last piece of advice on this business plan thing is, keep it simple. 100 pages of business plan are for investors and bank. As for you, you must fit in on a piece of A4 paper. It must be easily understood by you, clearly and visibly. Making money, based on our plan, must not be complicated.

Well, that is all for now, I will write to you again soon, about Overcoming Your Fear of Failure. In the meanwhile, send my love to the family and make smart decisions.

Yours sincerely

Yaz

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If you like the article above, please like us here. :-)

The Author is the principal of ElixirEducate - a training house for Smart Entrepreneur Program Series. If you would like what you read above, we would be grateful if you could 'like' us at our page here. If you would like to to find out or learn more about the the article above, you can email the author directly at yazdi@theelixirstore.com or be his facebook friend here.
 
Lastly, if there is anyone that you know who may benefit from reading this article / post please forward and share this posting by clicking the button "Share" below. Have a great day ahead.

ElixirEducate

What's up with your BAG?

Dear Friends

Yesterday a group of us got together and made MyBAG's first networking event happen. It did not just happen, it was brilliant. I could not begin to thank to all those who came and supported the event.I know that there are more out there that wanted to participate but was unfortunately held up by pressing matter. I say, do not worry, we will keep you in the loop and at the same time you can join us next time. We welcome you with arms open wide.

Back to the event. The event itself was simplicity at its best. Just tables and chairs, a little food, no projectors no fancy gadget. But we had great people who turned up, beautiful people. The atmosphere was electric. And everyone chipped in to make it fun and exciting.

But it was not all fun and games, as it turned out many new businesses were conceptualized and alliances forged at the very meeting itself. Entrepreneurs at their best, taking actions and capturing opportunities. It is indeed progressive.

And everyone was respectful of each other, keeping tract to their own time when making thier short presentation about their partner, allowing other the chance to do theirs. A lot of laughter but a lot more serious businesses.

Seasoned networking people like Zamara, Haslina, and Rica were there too to lend their expertise in handling the group. Lil, Camellia, Noni and other seasoned entrepreneurs and networkers helped out too, especially with the newer ones.

The guys, like Syam Edymart and Kamal the mushroom man, also contributed a lot to the success of the event.

The next event is coming up and the group will post the date soon, so please do check on us from time to time to get the info.

Thanks and work smart everyone!


___________________________________

If you like the article above, please like us here. :-)

The Author is the principal of ElixirEducate - a training house for Smart Entrepreneur Program Series. If you would like what you read above, we would be grateful if you could 'like' us at our page here. If you would like to to find out or learn more about the the article above, you can email the author directly at yazdi@theelixirstore.com or be his facebook friend here.
 
Lastly, if there is anyone that you know who may benefit from reading this article / post please forward and share this posting by clicking the button "Share" below. Have a great day ahead.

ElixirEducate

VSS: Bane or Blessing? (Buang Kerja: Bala atau Rahmat?)

I read this in the newspaper today (The Star):

Hong Leong Bank: No Bank Negara approval needed for VSS

KUALA LUMPUR: Hong Leong Bank group has clarified that the offer of the voluntary separation scheme (VSS) launched early this month does not need the approval of Bank Negara but will be undertaken in accordance with labour laws.
Hong Leong Bank Bhd group managing director Yvonne Chia told a briefing to introduce Hong Leong Islamic Bank Bhd’s newly-appointed managing director-cum-chief executive officer Raja Teh Maimunah Raja Abdul Aziz, that the central bank did not need to approve the VSS.
“I want to clarify that this VSS is a move to make the bank more efficient in a changing landscape. Being in a regulated industry and as a matter of courtesy, we informed Bank Negara of the VSS but we do not need to have the central bank’s approval nor the approval of the Labour Department,” she said.

VSS (or Voluntary Separation Scheme) is basically when they think they have too many staff and they don't need the staff anymore.  The company thinks they can do without these people, stop paying them salaries and they will get to keep more as profits.

Well, accounting wise it makes sense, or at least in theory. But to those who will be opting and getting VSS, they are definitely going to have mixed feelings.

Being offered VSS means it is a signal they you are not wanted, but you can exit with compensation. Some of you would be worried about how the family is going to get fed, especially if you are a clerk with five kids in tow. The compensation amount is not going to last forever. My heart goes to them.

Undoubtedly, some you will opt to be an entrepreneur; and  I, on behalf of New Entrepreneurs Malaysia, welcome you all with open arms and wish you luck and BEG you to be careful with your plan and your compensation amount. NEVER spend more than 10% of our compensation amount on starting a business. And you can read some FREE advice on new entrepreneurs in distress (here) and starting up advice for new entrepreneurs (here).

And I welcome volunteers to translate this into Malay because it is a known fact that the the clerks and lowly paids job in banks are dominated by them. And pls share this with them (or their kids on facebook)

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If you like the article above, please like us here. :-)

The Author is the principal of ElixirEducate - a training house for Smart Entrepreneur Program Series. If you would like what you read above, we would be grateful if you could 'like' us at our page here. If you would like to to find out or learn more about the the article above, you can email the author directly at yazdi@theelixirstore.com or be his facebook friend here.
 
Lastly, if there is anyone that you know who may benefit from reading this article / post please forward and share this posting by clicking the button "Share" below. Have a great day ahead.

ElixirEducate

Business Highlight No. 2

Salam dear friends,

As you may have noticed, on the right hand side of this blog is a place to get a chance for a FREE business highlight, well more like website/blog highlight. It is quite simple, you leave your email and web/blog address there and our team would pick one each week to highlight.

And the business (or website) that we would like to highlight today is

http://www.alimkidsbookshop.com/.

When I visited the website, I found that it was filled with wonderful and colourful books and CDs for kids. There were literally tons of it. And on top of that,  the bookshop also sold material for adults, I guess centered around grooming the kids to be pious (for parents and teachers). It was like a huge resource center that revolves around pious kids. And in addition to that, I found that they also sell clothes for kids, like robes, headcovers and the likes.

It is quite comprehensive, with links to blogs and information regarding other activities that the bookshop provide. Complete with playgroup and charitable activities (I like charity - a lot).

The layout of the website is again pleasing to the eye, easy to navigate and most importantly easy to make purchases.

On the whole, I find this business interesting and again, colourful

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You can read about our previous business highlights here, and register yours business here for a chance to get FREE highlight of your website, blog or facebook page of your product on this blogsite. You will enjoy free publicity and invite more traffic to your site. You can also register on the console on the right panel of this blogsite. 


If you like the article above, please like us here. :-)

The Author is the principal of ElixirEducate - a training house for Smart Entrepreneur Program Series. If you would like what you read above, we would be grateful if you could 'like' us at our page here. If you would like to to find out or learn more about the the article above, you can email the author directly at yazdi@theelixirstore.com or be his facebook friend here.
 
Lastly, if there is anyone that you know who may benefit from reading this article / post please forward and share this posting by clicking the button "Share" below. Have a great day ahead.

ElixirEducate

A letter to aspiring entrepreneurs, Part 2

My dear friend,

Good to be able to write to you again and I hope this letter finds you in the best of health. Heard that you have have tendered your resignation letter; I better hasten my letters to you then, lest you make the wrong step.

Where did we left last in my previous letter to you? Oh, yes, it is about having faith in ourself and your passion.

Lesson 5: Have faith in yourself and your passion. Do not aim to be a good entrepreneur. Instead KNOW and BELIEVE that you are already a good entrepreneur. You have to believe in yourself and your passion. For muslims, I would add believe in Allah, that Allah is there and is watching and taking care of you. Allah had made you as a human being, majestic t in every way, equipped with intelligence, compassion and empathy. You are wired to be successful; all you need to find yourself. And what about the faith in your passion. Well passion is required in entrepreneurship (which I will explain below) but sometimes doing what you like does not bring the immediate cash. It does not look profitable. But beleive me that you will only achieve greatness if you do something that you are passionate about. Get your coach or mentor to help you discover your passion. Remember, you skill is not necessarily your passion; therefore if you are an accountant, it is fine to end up being a fine artist.

Lesson 6: It is a marathon, not a sprint. Entrepreneurship more about the journey than the end. It is a marathon and not a sprint. The trick is not to look at the journey as something that you have to endure, but rather something you will savor slowly, because you are doing what you are passionate about. Every day you wake up as entrepreneur is like waking up to a clean sheet of canvas; nothing written on it, no punchcard not schedule. You are free to draw and be as amazing as you possible can, everyday. You face a problem? You manage the obstacle and you keep running; and while you do that, you amazes everyone including yourself.

Lesson 7: It is not the resources, but resourcefulness. You money that is with you is not going to help much in your business and if you just focus on your money, you are limiting your potential. Yes they will help to put food on the table while waiting for your venture to take off and roll in the big dough, but that is about that. As an entrepreneur, you must not be limited by resources. You must be resourceful, able to leverage and use other people's money, resources and ideas. Open your mind, be creative and the sky will definitely be your limit.

Lesson 8: Have a plan. Have a plan on your venture into the entrepreneurship world. No, not a business plan, but your entrepreneurship plan, your goals and the steps that you need to take along the way. This will keep you from wandering off the road; an entrepreneur has so many distractions because we are free, our time is also free. Here again a mentor would be handy as he could share with you the basic path that you need to follow. The path of bringing your idea into the market and start making money. Forget your business plan first, get your entrepreneurship plan out first.

Lesson 9: Your Business Plan is going to fail you.

I think we will continue this matter in my next letter. In the meantime, enjoy your last few days at work.

Sincerely

Your friend, Yaz

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If you like the article above, please like us here. :-)
 
The Author is the principal of ElixirEducate - a training house for Smart Entrepreneur Program Series. If you would like what you read above, we would be grateful if you could 'like' us at our page here. If you would like to to find out or learn more about the the article above, you can email the author directly at yazdi@theelixirstore.com or be his facebook friend here.
 
Lastly, if there is anyone that you know who may benefit from reading this article / post please forward and share this posting by clicking the button "Share" below. Have a great day ahead.

ElixirEducate

A letter to aspiring entrepreneurs, Part 1

My dear friend,

I hope that my letter here finds you in the best of health and spirit.

I cannot begin to describe to you how happy I was when I heard that you wanted to become an entrepreneur. In a way, I am glad that many of those amongst us has decided to opt to chase our dreams, dreams of getting the financial freedom, dream of having a better life, dream of having a bit more.

Well, this decision could be the best decision that you have ever made in your entire life. No more bosses to answer to, especially stupid bosses. No more office politics with the guy in the next cubicle who is forever trying to find out what is your paycheck and compare it with his. No more limit to how much you can earn, capped by the salary your idiot boss thought you deserve (although you are doing all his work, deserving all his salary). No more punchcard, no more traffic jams. You would be free to decide which are your working days and which are your weekends.  If done right, you don't have to 'work' at all, your business, your employees and your money work to bring you money. All you need to do would be to attend the gym classes, a little bit of yoga, hang out at the coffee shop and doing what you love best - whatever that may be (maybe write a blog about 'idiot bosses and stupid colleagues: the combo from hell'). This decision could lead you to financial freedom and independence, this decision could lead you to immense wealth and this decision could also make you a bankrupt (?). We will come back to that later, but at least now we have thing for sure, you are going to be an entrepreneur and you have tendered your resignation letter to your not so smart boss.

The path to entrepreneurship is certainly many, beginning with the level of commitment we are willing to spend. Some decided to take entrepreneurship as a part time vocation, working and at the same time carrying out a business on the side. Some decided to completely leave their jobs and put faith to the test, committing fully to the game of entrepreneurship. To each his own, I guess. And I am both happy and worried that you had chosen the path that I had taken.

That path to full-time entrepreneurship would mean that you would be leaving your job, as I had done, years ago. Putting faith in our ability, our assessment, our plan and our confidence that we will succeed. And why shouldn't we. We were brilliant employees. We were paid six figure salaries (our tax deduction alone was enough to pay a manager). If we could make that much money for our bosses, why can't we make that amount for ourselves. We have the confidence, we should have the skills to make it out there on our own. And some of us, would be fortunate enough to have a stash of cash, from either savings or gratuity or compensation. We have the capital, we have the product and service (ourselves); we are going to make it! Yes!

No.

We must realize that the only asset that we bring into this world of entrepreneurship is our confidence, and even that could prove to be our undoing. There is a fine line between confidence and arrogance, the latter being the surefire attitude for failure. You have the capital and you have the products? They don't really matter that much. That is your money to begin with yet the purpose of having a business is to get other people's money. Your money and your product cannot make money on itself. I am sure we know of some of our friend who lost all his compensation money on a 'surefire' businesses; and they were supposed to be intelligent, just like us.

But I do not want to put you off this decision to become an entrepreneur. I truly believe that this is your opportunity to achieve greatness, to attain financial freedom and live well beyond the means of your boss's boss. And because you are my friend, my good friend, I am going to do is. I am going to write to you regularly ;and in each letter, I will share with you the secret of making it our here in the entrepreneurship world. I have to write to you a few times because it is a long story and I am not getting paid for doing you this favour (oh, that reminds me, you still owe me a foot massage from the golf game last month, what gives dude..hehe)

Lesson 1: We don't know shit, dude

Whatever knowledge we had in us mean very little outside here. So if we come out thinking no one can teach us, we might as well file to be a bankrupt next week. We were best at getting a salary and play the corporate ladder, we know jack shit about getting someone else to pay for our product and service (remember, you no longer carry the brand of our esteemed employer any more). We must be humble and ready to learn from the word go.

Lesson 2: Get a mentor and training

Because we know jack shit (don't know anything), there are two ways to learn things; the hard way or the easy way. The hard headed ones will learn the hard way, by failing a lot; mostly failing on the basic things in business. The smarter ones gets a mentor, either professionally or informally from friends and family members who has been in business. I recommend a professional (ehem, like yours truly) because a professional coach have a structured way to guide you, although they come with a price. Informal mentors could be very good, but you might end up with someone who is successful but don't know how to teach. Plus, you can't get mad with the informal ones or you might lose a friend. And yeah, go for training too because remember, we know jack shit.

Lesson 3:Be confident, not arrogant

There is a fine line between confidence and arrogance. You want to have confidence yet be humble in your dealing and relationship with people. In business, you would need all the help you can get and being arrogant would definitely deny yourself that avenue, that aid from people. Good people are drawn to confidence and humility but hates arrogance. Those who love arrogance are arrogant themselves and they  would rather help themselves rather than help another arrogant ox.

Lesson 4: Be brave, not reckless

Entrepreneurship demands courage. Courage to commit to a decision with unknown outcome (of course you hope it would be profit at the end of every  decision but there is no guarantee). But that courage must not transform into recklessness, acting purely on impulse and gut feeling alone. Acting on blind faith with no research done at all, basically gambling. Being courageous or brave means taking that leap after you have considered the options, weighed the possibilities and build genuine confidence.

Lesson 5: Have faith in yourself and your passion

I think I will leave this in my next letter. My eyes are growing tired and I have an early appointment at the gym tomorrow.


Good night


Yours truly

Yazdi

p/s: golf next week?

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The Author is the principal of ElixirEducate - a training house for Smart Entrepreneur Program Series. If you would like what you read above, we would be grateful if you could 'like' us at our page here. If you would like to to find out or learn more about the the article above, you can email the author directly at yazdi@theelixirstore.com or be his facebook friend here.
 
Lastly, if there is anyone that you know who may benefit from reading this article / post please forward and share this posting by clicking the button "Share" below. Have a great day ahead.

ElixirEducate

Growing your business sucessfully: Understanding the Customer

Hello dear friends,

Whenever I go and discuss about a business with any of my clients, especially new ones, I always ask them this question, "What is the single most important thing that you need if you want to start a business?" Not surprisingly, I would receive answers that would include "Capital","great product", "idea", "employees'. I would tell them that while these are important, the most important of all is the "Customer".

We go into business in order to get other people's money and that is inside the pocket or purse of the customer. The rest of the things mentioned above belonged to us anyway, so it mattered less. The money is with the customer, therefore rightly the focus when we want start or expand our business must be on the customer.

The following are some samples of what you would have to ask yourseff about your customer, your darling customer. How to pry that fingers off the wad of cash grasped tightly in their hands.

Who?

• The first question you need to ask yourself is “Who are the people that you want to serve or help or provide value to” That means asking questions that describes who they are. Which segment do they belong to?
• Do not be tempted to say I can and want to  serve everyone, thinking that you want to expose yourself with all the possible prospects out there. That is a mistake for small businesses; even big businesses do not serve everyone. It is a mistake when you try to serve everyone because you will end up trying to be everything. You will end up being very tired and may get very frustrated too. So, try to narrow down your prospects to a more specific group.
• Are they segmented by gender?
• Who makes the buying decision?

What?

• Next you have to  understand are your prospects’ problems or needs. What are they looking for to be satisfied? No, don’t look back at your product and think what it can solve. Just think and put yourself in the shoes of the prospects that you have just described above and ask yourself these hard questions. Get your employees and prospective customers involved.
• If you already have a business and repeat customers, get feedbacks from these clients that keeps coming back for more.
• There also customers that bought from you and was never heard from again. They are also a very valuable source of information.

How?

• After you know who there are and what do they need, you need to know the hows. And the first how is how do they want to be served. In this day and age, customers have a plan on how to they want to be satisfied.
• You need to find out whether they are willing to drive to a shop / your location to get your products or they prefer to have it delivered?
• How do they prefer to pay?
• How do they prefer to be approached and have the products delivered / consumed? How do you reach them? Email? 
•  

Where?

• You need to know where are your customers located. If you are targeting housewives, they could be found at home, school gatherings and other social activities involving children's. It your target are working women, they can be found in offices (obviously) and also at home in the evening. Next you need to know where Where do they live? Guys? Try the golf course and driving range. Teenagers? it will be at the malls, theme parks and schools.

When?

• Timing is just as important as any of the information we found out about the customers above. Like the saying, you need to be at the right place with the right product and the right time.
• When would they need your product most?
• When are they most cash flush?
• When are they at home surfing the Internet?

The answers to all the questions above would help you to plan more effectively, meeting them at the right time and at the right place with the right product. And chances are, your success rate in getting the customers to notice and buy your product would be very good.

But we are not going to settle for good. We want it to be great and in order for it to be great , you have to know these two additional elements. These two are crucial if you really want your customers to love and adore you and your product.

Who do they trust?

• In order t have a great relationship with your customer, you must build trust. And the more effective mean of building trust in a person is through another person.

What are they emotional about?

• This is a direct button to their heart. You need to find something they are emotional about. It could children (for mothers), anti-smoking, fighting cancer, single parent, entrepreneur struggle or anti-whaling.

The answers above are the akin to the keyhole in their heart. You now would have a good idea how does your prospect look like and what are her trigger points. All you need now is to look at your product and your business and find out if you have the key to their hearts (read ‘pockets’)

Work smart, everyone. 

The Author is the principal of ElixirEducate - a training house for Smart Entrepreneur Program Series. If you would like what you read above, we would be grateful if you could 'like' us at our page here. If you would like to to find out or learn more about the the article above, you can email the author directly at yazdi@theelixirstore.com or be his facebook friend here.

Lastly, if there is anyone that you know who may benefit from reading this article / post please forward and share this posting by clicking the button "Share" below.  Have a great day ahead.

ElixirEducate