If there is someone out there who knows the small business space like Stephen Hawkins knows physics, that man is Brian Moran. Driven, ambitious, and determined, Brian brings a wealth of experience to the small business space with past positions at the Wall Street Journal, Success Magazine, Inc. Magazine, and Medical Economics Magazine. With 20+ years of experience in working with businesses and entrepreneurs, Brian’s won numerous awards for his work, in addition to being named one of the top 10 small business experts by Forbes.
In July of 2012 Brian started his own firm, Brian Moran & Associates. He’s graciously taken the time out of his packed schedule to share some insights and wisdom with me (and now you too). Check out his interview below!
1. What does your company do and why does it matter?
My company does two things. First, we help small business owners & entrepreneurs run better companies. The second thing we do is help marketers targeting small business owners & entrepreneurs do a better job in effectively reaching them. It matters because, if given the opportunity, we can help companies avoid the expensive potholes and pitfalls that might put them out of business.
2. What initially attracted you to the small business space?
Is there anything better than being around passionate people who dare to dream big dreams and are willing to pay the price to make them a reality? The energy in this space is highly contagious. I love what I do.
3. Are entrepreneurs born or made?
The only elements innate in entrepreneurs are passion and energy. You can’t teach people to be passionate and you can’t give them the kind of energy they will need to run through brick walls when necessary. Everything else can be taught, but passion and energy are rare gifts.
4. Who is/are the most interesting person(s) you’ve ever met? Why?
My mother and father. They instilled in me values and principles that have helped me enjoy life to its fullest. They also never prevented me from making mistakes because they knew those lessons were the most important ones in a young person’s life. I can’t say the same about parents today who tend to put their children in bubble wrap before sending them out into the world.
5. What 3 items need to be a part of every entrepreneur’s arsenal?
a) A business plan that includes strategic goals and operational plans (where specifically you want to go and how you plan to get there).
b) Enough money to deal with the ebbs and flows of running an entrepreneurial company. This also includes solid financial reporting to help the business owner avoid any “end-of-the-month” surprises.
c) Focus. A successful entrepreneur will attract others who try to sell them on partnerships, joint ventures and other deals. If an entrepreneur isn’t focused on his/her business plan and their strategic goal, then it’s too easy to get distracted and blown off course. The single biggest reason most entrepreneurial companies fail is due to lack of focus.
6. At what point does a ‘small’ business become a ‘big’ business?
If you go by government standards, companies with less than 100 employees are small businesses; 100-999 are midsize companies and large companies or enterprises are 1,000+ employees. I think most companies (99%) tend to think of themselves as small businesses. Entrepreneurs that have been in business for years have seen their fair share of companies that believed the press clippings and thought they were “big” business…only to get swept up in the great recession or go out of business because of a catastrophic mistake. A key to long-term success is to stay humble and hungry; Stay focused and watch out for potholes along the way.
7. What’s your #1 tip for scaling a business without straining resources?
If you want to organically grow your business be patient. Two steps up; one step back. Don’t push growth to the point where it strains your company’s resources. That’s usually the time when “the worst case scenario” knocks on your door. Be smart and measure the risk-reward ratio before you put your assets on the line.
8. How should someone prepare for a VC pitch?
First ask yourself “Do we need to go this route?” VC money is good for less than 1% of the total small business population. Remember, they aren’t “Angel” investors; they are Venture Capitalists. They are looking to make money for themselves and their shareholders first and then you. If you take early money, you give up more control. That said, if you still think VC money is for you, then do three things to get ready for your pitch: 1) Outline what you do and your unique selling proposition in an elevator pitch; (2) Let them know how you plan on using their money to grow your company (they will want to know); (3) Give them a realistic exit strategy. Do your homework on the VC companies to see how they invest and learn about their expectations. Make sure you pick the right partners who can see and support your vision. Also, be prepared to walk away from any deal that doesn’t feel right. Once you sign the papers, you are married to your VC and their money.
9. What’s the startup scene in New York City like?
Bustling! NYC is definitely attracting more qualified entrepreneurial startups than ever before. Rob Walsh, the NYC Small Business Commissioner, has done a fantastic job in providing startups with incredible resources from the city to help them survive and thrive as they build out their companies. In addition to Commissioner Walsh’s group, the SBA, SCORE, NYC Small Business Development Centers, the Manhattan Chamber of Commerce, EO, Vistage and other organizations are providing regular mentorship and support to entrepreneurial companies that call the Big Apple home. If you’re an entrepreneur that can make it in NYC, you can make it anywhere!
10. What do you think Apple should do with their some odd billion dollar cash pile?
Change the world.
