SCORE Helps Small Business Succeed Stephen Cohen, Chair Pittsburgh SCORE Chapter October 29, 2009

Stephen Cohen SCORE Pittsburgh SCORE Can Help Your Mission SCORE can assist an entrepreneur getting started as well as assisting an ongoing concern succeed in business SCORE can assist an entrepreneur getting started as well as assisting an ongoing concern succeed in business Are you working with a contractor having trouble in today’s recession? Are you working with a contractor having trouble in today’s recession? SCORE Can Help!

Stephen Cohen SCORE Pittsburgh Small Business Success Factors Many factors support success: a focused business plan, hard work, quality products and services Many factors support success: a focused business plan, hard work, quality products and services But Often Lacking: Advisors But Often Lacking: Advisors SCORE is here as part of the community to offer expert, FREE professional business advice.

Stephen Cohen SCORE Pittsburgh SEEK OUT SCORE COUNSELING SCORE “Counselors to America’s Small Business” is proud to be the one advisor that entrepreneurs can turn to for real-world advice that’s based on the experience of managing and leading companies—both large and small. SCORE “Counselors to America’s Small Business” is proud to be the one advisor that entrepreneurs can turn to for real-world advice that’s based on the experience of managing and leading companies—both large and small.

Stephen Cohen SCORE Pittsburgh Mentoring A Business A SCORE counselor can help: A SCORE counselor can help: Think through business challenges and opportunities Think through business challenges and opportunities Assemble a counseling team with experts Assemble a counseling team with experts Serve as a sounding board Serve as a sounding board Provide long-term “Board of Directors” advice Provide long-term “Board of Directors” advice

Stephen Cohen SCORE Pittsburgh SCORE 11,200 volunteers at 370 local offices, including one right here in Pittsburgh 11,200 volunteers at 370 local offices, including one right here in Pittsburgh 41 Chapters in the MARC Region 41 Chapters in the MARC Region Services: Services: Counseling (Individual & Team) Counseling (Individual & Team) Workshops & Seminars Workshops & Seminars Online/ Counseling Online/ Counseling

Stephen Cohen SCORE Pittsburgh History Established by the Small Business Administration in 1964 Established by the Small Business Administration in 1964 Since then, have counseled more than 8 million entrepreneurs Since then, have counseled more than 8 million entrepreneurs SCORE’s mission is to aid in the formation, growth and success of small business. SCORE’s mission is to aid in the formation, growth and success of small business.

Stephen Cohen SCORE Pittsburgh Who Are SCORE Volunters? Working and retired business managers and owners Working and retired business managers and owners From major corporations and small business owners From major corporations and small business owners SCORE counselors can offer your clients an economic context to help them plan for success SCORE counselors can offer your clients an economic context to help them plan for success Guided by a Code of Ethics Guided by a Code of Ethics

Stephen Cohen SCORE Pittsburgh How We Help Our counselors listen and ask questions to learn more about their business. Our counselors listen and ask questions to learn more about their business. Then, the counselor will give them advice and help them think through strategies to success. Then, the counselor will give them advice and help them think through strategies to success.

Stephen Cohen SCORE Pittsburgh Group Mentoring We Need Your Help SCORE Pittsburgh would like to expand our Business Basics Workshop offerings to address specific topics that would be of interest to your members. SCORE Pittsburgh would like to expand our Business Basics Workshop offerings to address specific topics that would be of interest to your members. We will conduct the session, for free. We will conduct the session, for free. You can even charge an admission fee, if necessary. You can even charge an admission fee, if necessary.

Stephen Cohen SCORE Pittsburgh Example: Triage - Helping A Business Survive Framework for decision making and resource allocation Framework for decision making and resource allocation Resources are allocated based on relative importance to outcome goals Resources are allocated based on relative importance to outcome goals Categorized as Red, Yellow, Green Categorized as Red, Yellow, Green

Stephen Cohen SCORE Pittsburgh Triage: RED Prepare the owner Prepare the owner Stabilize the Business Stabilize the Business Determine what went wrong Determine what went wrong Reorganize the Business around a profitable “Core” Reorganize the Business around a profitable “Core” Prepare the owner Prepare the owner Stabilize the Business Stabilize the Business Determine what went wrong Determine what went wrong Reorganize the Business around a profitable “Core” Reorganize the Business around a profitable “Core”

Stephen Cohen SCORE Pittsburgh Triage: YELLOW Prepare a written turnaround plan Prepare a written turnaround plan Restructure debts & obligations Restructure debts & obligations Execute the plan Execute the plan Prepare a written turnaround plan Prepare a written turnaround plan Restructure debts & obligations Restructure debts & obligations Execute the plan Execute the plan

Stephen Cohen SCORE Pittsburgh Triage: GREEN Grow the Business Grow the Business Sell the Business Sell the Business Everything Else Everything Else Grow the Business Grow the Business Sell the Business Sell the Business Everything Else Everything Else

Stephen Cohen SCORE Pittsburgh Prepare the Owner Include the family Include the family Explain to spouse what is involved and the time commitment Explain to spouse what is involved and the time commitment Agree on how to measure success Agree on how to measure success Set a “Drop Dead” date Set a “Drop Dead” date Prepare a detailed family budget Prepare a detailed family budget Communicate, Communicate, and then Communicate Communicate, Communicate, and then Communicate

Stephen Cohen SCORE Pittsburgh Stabilize The Business Cash Tourniquet Cash Tourniquet Use 6 week Cash forecast Use 6 week Cash forecast Know how much money there is including outstanding checks Know how much money there is including outstanding checks Maintain positive balance Maintain positive balance Owner must personally sign all checks and approve all purchases Owner must personally sign all checks and approve all purchases

Stephen Cohen SCORE Pittsburgh Stabilize The Business II Generate more Cash Generate more Cash Collect money faster Collect money faster Stretch Accounts Payable Stretch Accounts Payable Sell excess assets if available Sell excess assets if available Factor Accounts Receivable Factor Accounts Receivable

Stephen Cohen SCORE Pittsburgh Resources SCORE Expert Answers SCORE Expert Answers SCORE eNews SCORE eNews How To Really Start Your Own Business Workbook How To Really Start Your Own Business Workbook

Stephen Cohen SCORE Pittsburgh Count on SCORE as a Resource Counseling Counseling In Person In Person Workshops & Seminars Workshops & Seminars At SCORE, We’re Here to Help