Special Sections

Ag Guide Spring 2021

Issue link: https://www.ifoldsflip.com/i/1366474

Contents of this Issue

Navigation

Page 7 of 9

"Most people don't manage their business; their business manages them. But it's all fixable!" says Larry Hebert who was a national Sales Manager for Reebok International who also owned a small chain of athletic footwear and apparel shops in Northern California. He is now an Advisor for the Small Business Development Center (SBDC) in Santa Cruz County where he and his fellow advisors work with entrepreneurs day in and day out in the trends of retail, restaurants, consultants, services, and beyond. Common mistakes they see small businesses making: • Focusing on the solution, which contracts creativity and narrows the mind • Keeping inaccurate and unreliable financial statements • Failing to understand your financial statements • Not having a strong banking relationship and access to cash • Not having your marketing goals tied to your business goals • Not sitting down with a labor law attorney or an SBDC HR specialist • Not providing experiential details in your online listings i.e. walkthrough videos or descriptions • Making reactive decisions rather than proactive decisions Solutions they suggest: • Focus on problems, this opens the mind to possibilities and encourages flexibility. • Financial statements tell you a story about your business with numbers instead of words; they provide you the opportunity to recognize issues, the ability to proactively make changes and find solutions before they occur. If you don't have the expertise, consider hiring a bookkeeper. • Create a forecasted budget for cash flow and profitability by month for twelve months. This will identify all areas of cash anticipated to come in, and all cash projected to be spent for operating expenses as well as non- operating expenses (draws, loan principal payments, capital investment, etc). This will help in understanding your cash position and needs, and proactively create strategies if a future problem exists so a solution can be found before it occurs. • It's hard to grow your business just from the cash you're generating -- have a strong banking relationship, and if possible, a line of credit. • Get the HR Quick Guide for CA Employers on your desk now • Make sure you're telling your story, sharing your brand in such a way that people know why they should take the time to shop with you and not go online with Amazon. Critical strategy and finance questions to ask yourself: • Do you have your controllable costs down to the percentage of sales, so you know if you're consistent? • If you're a product-based business, do you use an Open-to-Buy inventory purchasing system to manage purchases and ensure you are aligning inventory categories with sales categories to maximize the investment? • Are you getting an accurate profit and loss and balance sheet every month and making decisions based on that information? • Do you have both a long-term and an intermediary 90-day sales planning canvas that will help you identify markets, pivot, and determine if a strategy will be profitable? The small business development center has helped numerous businesses grow and succeed during the past year. As a direct result of the SBDC's services, Santa Cruz County Businesses reported in 2020: 3,735 jobs created and/or retained 37 businesses created $10.3 million increase in sales $7 million in loans and equity If you don't want to pay a business consultant, the SBDC, thanks to tax dollars and community investment, offers highly skilled and dedicated bilingual advisors from every area of business to assist small businesses for free. Getting their objective perspective and support can mean the difference between business success or failure. With 35 years of serving Santa Cruz County, the SBDC is a premier hub of experts experienced in Mainstreet, Techstreet, and Agribusiness. Business owners and aspiring entrepreneurs receive in-depth advising and training to obtain capital, launch businesses, grow sales and create jobs. 831.479.6136 | santacruzsbdc.org Stirm Winery Paid for under the current grant with the U.S. Small Business Development Administration CA, Go- Biz, Humboldt State University Sponsored Programs Foundation, the Santa Cruz City and County Economic Development, Workforce Development Board of Santa Cruz County and the County Board of Supervisors. SBDC's are supported by the U.S. Small Business Administration and extended to the public on a non-discriminatory basis. SBA can not endorse any products, opinions, or services of the SBDC's affiliated entities. The Santa Cruz SBDC is an equal opportunity employer and reasonable accommodations will be made, upon request, for individuals with disabilities. Let us help you launch your business! FREE ADVISORY SERVICES Business Planning & Pivoting • Obtaining Financing & Resources • Setting Up HR & Accounting • And more! Where Businesses Start, Grow, and Prosper The benefits of organic agriculture Modern consumers have more choices than ever before. Whether they're buying appliances, books, clothing, or any of the myriad necessities of dai- ly life, consumers have a wealth of products to choose from. An abundance of options also is available at the grocery store. That's especially true in the produce aisle, where many stores have expanded their fresh fruit and vegetable offerings. That expansion reflects a growing preference among consumers for fresh products, including fresh produce. A 2018 report from the market research firm IRI and the Food Marketing Institute found that sales of fresh foods comprised just under 31 percent of food industry sales in 2017. Customers who prefer fresh fruits and vegetables to frozen alternatives may wonder if they should be even more selective when purchasing their favorite foods in the produce aisle. That decision may come down to whether or not to purchase organic produce. Organic produce can be significantly more ex- pensive than non-organic fruits and vegetables, so it's understandable if bud- get-conscious consumers cannot afford to go entire- ly organic. However, it's important that consumers recognize the many ways that organic agriculture is having a positive impact on the health of humans and the planet they call home. · Organic produce reduces exposure to pesticides and antibiotics. UC Davis Health notes that organic produce has been proven to reduce consumers' exposure to pesticides and antibiotics. That's a significant benefit, as pes- ticide exposure has been shown to lead to neuro- developmental issues and has been linked to higher cancer risk. Consumers shopping on budgets can pick and choose which organic foods they purchase, as UC Davis Health notes that certain foods have been shown to have higher pesticide residues than others. Apples, celery, grapes, spinach, strawberries, and tomatoes have high levels of pesticide residues, so choosing organic versions of these foods may be a wise choice. Avocados, broccoli, cabbage, and cantaloupe are some of the foods that typically have low levels of pesticide residue. · Organic agriculture reduces environmental degradation. The Organic Trade Association notes that synthetic pesticides and fertilizers used on some conventional farms can deplete the soil of valuable nutrients and in- crease environmental deg- radation. Organic farmers do not use such pesticides or fertilizers, instead utilizing such practices as composting, cover crop- ping and crop rotation, each of which can have positive, long-term effects on soil quality. · Organic agriculture benefits local wildlife. A 2015 study from researchers in Argentina that was published in the journal Agriculture, Ecosystems & Environ- ment found that small mammals were more abundant around organic farms than conven- tional farms. That's not just good for those mammals, but also the farmers, as small mam- mals can feed on insects that would otherwise adversely affect crops. Many grocery stores are increasing the avail- ability of organic fruits and vegetables. Such foods can benefit human health as well as the health of the planet. Metro Photo

Articles in this issue

Links on this page

Archives of this issue

view archives of Special Sections - Ag Guide Spring 2021