How to See Failure as Opportunity and Turn Hardship into Success

Every failure, obstacle or hardship is an opportunity in disguise. Success in many cases is failure turned inside out. The greatest pollution problem we face today is negativity. Eliminate the negative attitude and believe you can do anything. Replace ‘if I can, I hope, maybe’ with ‘I can, I will, I must.’ —Mary Kay Ash

To begin to think with purpose, is to enter the ranks of those strong ones who only recognize failure as one of the pathways to attainment. -James Allen

It is lemonade season-the time of year when thousands of kids take lemons, turn them into lemonade, and sell them on street corners for profit. We could learn a thing or two from these budding entrepreneurs.

So what do you do when life hands you a basket of lemons? When failure makes an appearance in your business? You turn it into lemonade, or see it as a stepping stone to success. Here are 5 steps that will show you how.

1. Redefine it

You’ve got to redefine failure. It shouldn’t be seen as a bad omen, but an opportunity to learn and grow. And do you really think you can become insanely successful without learning more than you know right this instant? The best learning experiences often come in the form of failures and mistakes. Don’t fear them; embrace them. While some view failure as an obstacle, it is often the stepping stone that will take you higher and farther, enabling you to achieve true success.

2. Analyze it

You can’t learn from a mistake or failure without taking the time to dissect it and determine what, exactly, went wrong. Some would rather walk away from the failure and never look back, but that would be the worst mistake you could make. In looking closely at what happened you will learn how to improve, repair, change, and excel. But don’t overanalyze. Once you’ve learned what you need to learn, move to the next step! Otherwise you become subject to that age-old deterrent: paralysis by analysis.

3. Apply lessons learned

Once you’ve discovered what caused, prompted, or encouraged the failure, apply the lessons you’ve learned so it won’t happen again. Often we engage in destructive actions again and again because it’s all we know. Unfortunately, that will not help you achieve success. Success requires you to continually evaluate your actions and determine how they can be improved. This is what you must do with failure. Once you realize why something didn’t work, you can change your behavior, and in turn, change the outcome.

4. Move on

” . . . our doubts are traitors; And make us lose the good we oft might win; By fearing to attempt.” —William Shakespeare

You’ve learned, you’ve applied, now move on. Do not let fear of failure paralyze you. Katherine Mansfield once wrote, “Risk! Risk anything! Care no more for the opinion of others, for those voices. Do the hardest thing on earth for you. Act for yourself.” Do not be afraid to move into the unknown in order to move forward. You wouldn’t tell your child to put her two-wheeler away simply because she fell and skinned her knee. You would encourage her to get back on that bike as soon as possible and continue to ride. Take your own advice: continue to ride!

5. Expect greatness

Just because you experienced failure doesn’t mean you should expect it to continually litter your journey. Be positive and expect great things to happen. When you do, not only will great things happen but you’ll be in the right mindset to take future failure and see it for what it really is: opportunity in work clothes.

References
“Turn a Failure into a Success,” by Rhonda Abrams

Client Secrets are Your Secrets

As accountants we are exposed often to our client’s sensitive proprietary information such as the names and status of our client’s customers, performance reviews, salary information, legal matters, research data, company reduction or expansion plans, labor negotiations, finances, and product development. It becomes are responsibility to make sure we don’t share this information with the wrong person or people.

To help maintain confidentiality…

* Never discuss confidential company business outside your client’s office unless the client is present or has given you specific authority to do so.

* Keep your voice low-pitched so that you won’t be overheard when talking about your client’s company matters in public. Be especially careful in restaurants, shuttles, at the water cooler, and on airport phones.

* Minimize client-related chitchat. Don’t initiate discussion of sensitive client information with other accountants, and change the subject if associates bring up such topics.

* Be on guard at social functions. That new acquaintance
you talk to shouldn’t be counted on to keep any information you may reveal in confidence.

By practicing discretion, you can help prevent sensitive
information from leaking out.

Other sections from this week’s newsletter:

• Purchase the Professional Bookkeeper Program and get the Financing a Small Business Course at No Additional Charge
• Make Your First Impression a Lasting One
• Keep Your Bookkeeping Service Flying High

To Incorporate or Not to Incorporate:

The Pros and Cons of Different Business Entities (Part II of II)

It’s important to take the time to consider which business entity best matches your particular business situation. Last week we talked about the importance of looking at limited liability entities when considering your liability, your creditors’ access to your assets, and your tax obligations. We looked specifically at C and S-Corporations and how they might benefit you and your business. This week we’ll look at limited partnerships (LP’s), family limited partnerships (FLP’s) and limited liability companies (LLC’s).

Limited Partnership (LP or FLP)

Apartnership is a business organization in which two or more persons together own the assets of the organization and share in the organization’s profits. Maybe you and your brothers own the business, or perhpas you’ve decided to partner with two or more good friends who also do accounting and bookkeeping. In a general partnership, all partners are equally and personally liable for all business debts and liabilities. In a limited partnership, however, limited partners are not liable for business debts. A limited partnership is a partnership comprised of at least on general partner and one or more limited partners.

A limited partnership with family members as partners is often call a “Family Limited Partnership” or FLP. The general partner is liable for all business debts. The general partner of a limited partnership generally owns a very small percentage (let’s say 1%) of the partnership assets, but has complete control of the activities of the limited partnership. As you can see, while a limited partnership provides limited liability for the limited partners, the general partner will always have unlimited personal liability.

• Pros -
  • Limited liability for limited partners.
  • The partnership is not taxed; profits and losses “flow through” to the partners, and each must report their income on Form K-1.
  • Flexible asset protection.
• Cons -
  • Filing an FLP is more expensive than filing a general partnership.
  • Limited partners are not allowed to participate in the management of the limited partnership.
  • The general partner remains personally liable for the obligations of the limited partnership.

Limited Liability Company (LLC)

An LLC has some of the characteristics of a corporation (enjoying limited liability) and some of the characteristics of a partnership (pass-through taxation). One or more persons form and own the LLC, becoming its “members.” They can either manage the LLC themselves, or hire managers to oversee day-to-day operations. One person can create an LLC, although it will be taxed as a sole proprietorship. However, you can still enjoy the benefits of a limited liability.

• Pros -
  • Limited liability.
  • Fewer formailities are required.
  • The partnership is not taxed; profits and losses “flow through” to the partners and each must report their income from Form K-1 on their IRS Form 1040.
  • Depending on the state, an LLC can be formed by one member.
• Cons -
  • Possible dissolution of company due to a partner’s death, retirement or bankruptcy.
  • It’s more expensive to file an LLC than a general partnership.

Any of these business entities are fairly easy to establish, but requirements vary state to state; visit your local state website (Department of Commerce) to see what you need to do. The most important part of the process is determining which entity is best for you. After that, the rest is business as usual.

If you are considering taking the next step in the process of your bookkeeping or accounting business you have found the source that you need to have to not only gain the training crucial to accounting success, but also the training that will help you find how to grow your business. Don’t leave anything to chance by going anywhere else than Universal.

For over 25 years, Universal Accounting Center has helped people like you start their own accounting and tax practices. We recognize that 85% of the accounting opportunities are with small business so our curriculum is designed to help you learn small business accounting. Think back to our recommendation to increase your income by performing new services for new clients. When you learn small business accoutning you suddenly make yourself available to new clients whil increasing the number of services you can perform.

Become a Professional Bookkeeper today.

Traditional accountants crunch numbers and send reports to clients. Proactive accountants analyze data and tell clients how to use that data to make their businesses more profitable. But sometimes telling clients what they need to do isn’t enough (i.e. You can lead a horse to water…). You must motivate them to implement necessary changes-changes that could mean the difference between a successful or a failing business. Examples of changes include cutting back expenses, increasing marketing efforts, or enhancing products and/or services. This elevates you from accountant to Profit Expert, making you much more valuable to clients. Often this requires that you take the time and energy to motivate them to see how these changes are in their best interest. Here are 7 ways you can accomplish that:

Determine obstacles

Before you even speak with a client, it’s a good idea to anticipate what obstacles for change might exist. This enables you to understand why a client may resist change. He/she may be concerned about those obstacles and need reassurance and education on how they can be overcome. A good way to approach this is to assume the client’s perspective. Then brainstorm all potential obstacles. This will enable you to better understand the client’s concerns and address them when you talk about your recommended changes.

Align changes with client’s personal goals

If you can present these changes as those which will better enable the client to accomplish his/her goals, then you are halfway there. But this requires you to know exactly what your client’s goals are. Determine what your client is trying to achieve and see how these suggested changes complement their objectives. This will demonstrate how your recommendations are truly in their best interest.

Speak their language

Remember who you are talking to. Your client retained your services for a reason; accounting is not their specialty. Avoid using terminology that will confuse your clients and weaken your message. This doesn’t mean you have to dumb-down your message; it just means you have to present it in a manner in which the client can understand and appreciate.

Keep it simple, stupid (KISS)

Don’t muddy the waters by including unnecessary details and descriptions. The more complicated the message, the more likely your client is to resist and dig their heels in. Keep it as simple as possible, asking questions as you go to ensure they understand.

Talk dollars and sense

Often nothing motivates a client more than explaining how recommended changes will impact them financially. This is where specifics are sure to help. If decreasing expenses will improve their cash situation, then give them estimations which they can appreciate. If bringing in more customers will increase profits, share those estimations with them as well.

Resolve concerns

While you may be completely onboard with proposed changes, the client is not yet on the same page. As you share your message, closely watch their reaction. It’s your job to determine what their concerns might be, and then resolve them. And be prepared; you may have to dig a bit to discover exactly what their core concerns are.

Encourage baby steps

Sometimes the recommendations you want to meet exceed your client’s willingness to change. In this you might have to break things down into baby steps-manageable changes that they can make on a smaller scale. After taking these baby steps ensure that you acknowledge their accomplishments and show them how their changes have positively impacted the business. This will encourage them to implement more changes in order to see more progress.

In order to be a truly valuable accountant, you must be willing to encourage clients to change some of their practices in order to increase profitability. This will make you their Profit Expert, and a much more valuable member of their team.

Let Universal Motivate You and Your Staff

We all need a pick me up every now and then. Universal Accounting Center has some exceptional speakers on staff who can motivate you and your team to excel. With a number of individuals experienced in a variety of topics they can help you better serve your clients, better market your practice, and better grow your wealth. Learn more about Universal Accounting Center’s speaker and book one for your next event!

If It’s Accounting, It’s Universal

The Low Down From Universal

All you need to know about accounting, bookkeeping and tax preparation in one place

	Start Today DVD Start Today and Have Your Own Successful Accounting and Bookkeeping Service. FREE video teaches you how to make more than $80,000 per year with your own bookkeeping service!
	Professional Bookkeeper DVD Become a Professional Bookkeeper Earn the Money you Deserve. FREE video shows you how to make more in the accounting profession.
	Professional Tax Preparer DVD Become a Professional Tax Preparer. FREE Video teaches you how to make more than $100 per hour with your own tax service!
	Art & Science DVD Learn the Art and Science of Getting Accounting Clients. FREE video shows you how to build your accounting practice by $30,000 to $125,000 per year!

Universal is committed togetting to you the right information so that you can benefit from it in your professional career. We are dedicated to assisting those like-minded individuals to becoming successful in Accounting, Bookkeeping and Tax Preparation. Let’s get to answering that ever-important question of how can the Professional Bookkeeper’s training help you to get to that level of income that you are searching for in your accounting/bookkeeping career.

Ensuring Employee Retention

Hiring a support staff to help grow your business and better manage your workload is a defining moment in the life of an accounting practice. To help you work through this process, we’ve developed a three-part series on Hiring a Support Staff. The first week of this series we ran a quiz to help you determine whether or not you are ready to hire an employee to help with your workload. Last week we gave you guidelines in finding the perfect applicant for your business’s needs. This week we’re talking about how to avoid high employee-turnover in efforts to retain valuable employees.

1. Offer Health Benefits
This is an appealing draw for highly-qualified applicants. Many will not even consider an opening that doesn’t offer health coverage. Depending on the size of your business you should look into this and see if it’s a possibility. Click here to read more about your health care options.

2. Award special titles
If you can’t award insurance benefits you should look at other, more creative ways, of rewarding employees for their work. One way to do this is in rewarding deserving employees with a new title: payroll manager, office assistant, marketing specialist, etc. Not only does this provide your employees with a sense of achievement, but it gives them the opportunity to strengthen their resumes. Avoid creating meaningless or arbitrary titles; that will do more harm than good.

3. Reward employees with new and challenging projects
Like awarding titles, giving trustworthy employees new and challenging projects can provide them with a sense of achievement while also giving them the opportunity to strengthen their resumes. Nothing feels better than knowing your boss trusts you to manage a significant responsibility.

4. Give employees their own parking spaces
Depending on your situation, consider awarding employees their own parking spaces. If your office has a designated set of spaces, give choice employees a spot they can call their own. Or award one employee-of-th- month curbside parking.

5. Allow employees to earn paid time-off
Most large corporations provide employees with the benefits of paid time-off. This can be a great incentive that will not only retain employees, but motivate them to do their best work. For example, you can give four hours of paid time-off to the employee who shows consistent and error-free management of Client X’s account. If this motivates all employees to exhibit exemplary behavior, it will save you a lot more in the end than a few hours of paid leave. But Set high expectations so this doesn’t become an arbitrary reward that drains your budget.

6. Offer flexible work schedules
There are many qualified job candidates who would find your job offer more appealing if it came with a flexible work schedule. Whether the employee is able to enjoy more time at home with their children, go back to school, or recuperate from surgery, a flexible work schedule is greatly appreciated by those who need it to better balance their work and personal lives.

7. Give small gifts or rewards
For a low cost you can give deserving employees gift cards for restaurants, movie theaters, gas stations, book stores, etc. It may not seem like much, but this small gesture can do a lot to compliment your employees and boost morale.

8. Say thank you
This may seem too simple, but the truth is employees tend to stay where they feel appreciated. In fact, public praise is a great way to express thanks for a job well done. Highlight choice employees in a newsletter, company email, or even a staff meeting. You may choose to thank your employees privately as well; employee evaluations are a good time to note specific instances where an employee’s hard work and creative thinking have benefited you and your business.

Small business owners may think they don’t have much to offer those employees they hope to retain long-term, but that’s not always the case. With a little creative thinking and a lot of genuine appreciation you may be able to retain good employees longer than you may imagine.

New Offer From Universal

Canadian Residents Now Have Their Customized Professional Bookkeeper Course

This past summer Universal Accounting Center sent out a survey to all our newsletter subscribers, in attempts to see what your needs were. Many of our Canadian residents requested accounting tips specific to their country. Universal heard the call and has responded.

Universal’s Customized Professional Bookkeeper Course
UAC’s PB course is one of its most popular, training students in the day to day accounting of small businesses. And that’s an extremely valuable skill when you realize that over 80% of accounting opportunities are with the small business sector. Not only that, but accounting and bookkeeping jobs continue to grow at an amazing pace; the U.S. Bureau of Labor Statistics estimates that by 2008 accounting jobs will increase by 20%. They explain, “As the economy grows, the number of business establishments will increase, requiring more accountants and auditors to set up books, prepare taxes, and provide management advice.”

In effort to bolster its support of Canadian residents, Universal Accounting Center has customized its Professional Bookkeeper course to include a supplement highlighting Canadian payroll taxes. The supplement updates the PB program with verbiage and forms specific to payroll taxes in the country. In addition, UAC will begin presenting bookkeeping seminars in Canada in March, promoting programs nationwide.

For the small business owner it is always a question of when to get something or when not to get something for the business. As an Accounting Business we may be more keenly aware on how our business is doing and if we can or cannot afford to move on a piece of equipment or some additional help around the office. When it comes to getting additional help you must be sure that the business is ready for it, so that you can make the new position pay for itself.

Planning is Key

As a business owner, on a limited budget and little or no access to working capital (especially in the first stages of your business) you need to be able to plan out how you would like to grow your business. By setting the goals, milestones, and criteria that is needed that would signify the achieving of the milestones and goals is an essential way you can avoid many of the growing pains you hear from other business owners. With proper planning you can go around the pitfalls, or missteps that plague those who fail to plan and move on someone or something before their business is ready for it. When you plan and work to accomplishing that plan, you can then clearly see the overall situation, and act accordingly. And when it comes to hiring and personnel this is invaluable in keeping your business profitable.

Pain & Necessity vs. Comfort & Luxury

There’s no doubt about it, having another hand around to be able to lighten your work load would be nice. Perhaps the fantasies and wishful thinking of that type of an expansion could get the best of us, who are in business for ourselves, and if we don’t plan out what / who we need when we need them. It can be very easy to get ahead of ourselves. I have seen it with many businesses that because they have landed a new account or “feel” like it’s time to move forward on acquiring personnel and equipment they over extend themselves and have to turn around and make the harder decisions later. The pain and necessity you feel now when you are diligently working to increase your business billable hours, clients and accounts and the hours you are spending to bring in the “bacon” needs to be measured against the comfort you would feel building your business with someone else helping to bear the work load and the luxury of being in that position. You have to gauge this Need vs. Luxury closely according to the plan you created before the need arose. Is it worth going another month, 3 months, 6 months etc. going full boar by yourself to build profits and capital? Or would you be able to better accomplish your goals and milestones for growth when you are freed to bring in the accounts and share in the write up duties?

A Side Note: Inaction on this is also a decision, when you fail to act on the need and do nothing about it you risk peaking out the business, the quality customer service you are providing and burn out becomes a real concern for both you and those clients you have. No matter how you do things, the day will come when you have to ask, “Am I at that point where the decision to bring someone on board needs to be made?” When you are able to follow the plan you set out, then those decisions will become easier to make.

So You’ve Decided to Hire

You have weighed the options, looked at your criteria and found that you’re ready to hire someone to help you. What else do you need to consider? best way of doing this is to take it from the perspective of the person you’ll hire. First of all, what is the job description? What am I expected to do? What do they need to perform the job? Questions like these will help you to transition smoothly the person you hire into the work flow you’ve already established. Consider and plan for the equipment this person will need to perform his/her duties. Will they need a computer? Will they need a printer? What else would they need?

What training are you going to need to perform with the new hire? Is it the case you hire someone just starting out and has a “clean slate” on how to do accounting and bookkeeping or do you hire someone with previous years of experience? (More on this later in the article.)

The support you will need to provide to your new employee. Not speaking about the health insurance, or 401K benefits - for most of us those things may be further down your Growth Road. What I’m talking about is the communication with the new hire on the accounts, the clientele, the procedures, and the issues of quality assurance so that the customers you have now will not feel the bumps of change within your company.

The Bootstrap Hire Process

More likely than not, when you put out the “For Hire” sign you won’t get former CFO’s and CPA’s knocking down your door for an interview. And frankly, you don’t want someone that demands more money than you to do the job. Because you don’t have many of the fringe benefits more established companies may have to offer, you need to get creative in the hiring process.

For instance, determine the level of experience you need for the position. Can you hire someone brand new to the industry and spend the time in training? Is it a question of getting someone experienced but only on a part time basis to start? When you are creative in the hiring process you’ll be able to find those people, the gems in the rough, that will make the positive effect on your accounting business.

Consider the aging population among us. Many who have done this type of work and have “retired” may be looking for a way to be able to gain that extra money they lost during the busts in their retirement plans. Or perhaps they can fill some time from the front porch rocker in assisting with the duties called for in the accounts you have. Truly, what we are doing is not digging ditches or running marathons, the older among us are a wonderful well-spring to tap for our open position.

Consider the student or the intern. Many universities and colleges are requiring their accounting students to do internships. They are an excellent way to be able to get those tasks done that may fall in the category of minutae, while giving them a worthwhile experience and improving the company’s bottom line. Those who are eager to learn can be the best for a business, so you can train them the right way of doing things in small business accounting.

Consider the disabled, military and their families, stay-at-home-moms, and your own teenagers. With the proper training anyone can be a good bookkeeper. And especially when you consider how much you are able to pay and the time it takes to do the books for each account, maybe a stay-at-home-mom who can dedicate 4 hours a day is the right solution for you.

When you are on a budget, creativity gets the extra “gold star on the forehead”. You need to consider the options of the hiring process and your readiness to bring another person on board. When you have, and its truly time to hire, don’t think the box is rectangular by any means, you can find the solution that best suits you, your accounting business, and the goals and growth you have set for it.

To get more principles on the Accounting business and to get you business set up right, click here to find out more of what’s involved in the Professional Bookkeeper’s Program.

A 7-Question Quiz to Help Determine Business Readiness

Most contract accountants encounter a time at which they must decide whether or not they are ready and willing to grow their business by hiring a support staff. Some are satisfied with their current workload and income. Others realize that an influx of clients means more demands on their already limited time. These accountants realize that by hiring even one employee they may be able to increase their capacity and their bottom line. But how do you know if your business can sustain one or more employees? Here are 7 questions you can ask to determine if your business is ready for a support staff:

1. Can current cash flow sustain a new employee?
Are you making enough money to actually pay an additional employee? Obviously you’re hoping that with some help you could earn even more money. But if your current cash flow doesn’t provide that wiggle room necessary to add someone to your payroll, you may consider increasing your clientele before you increase your staff.

2. Is your business stable enough to assume the risk?
You must look at more than just cash flow to determine whether or not your business can sustain a new employee. Weigh current debts against your income in order to determine whether or not your business is stable enough to assume the risk a new employee would bring.

3. Does your current work load require additional help?
The last thing you want to do is hire someone who doesn’t have enough work to keep them busy. If you or your current staff is collectively managing a workload that could keep another person busy than you should consider hiring additional help. Also, if your personal life is suffering as a result of overtime, you should consider lightening your own load by hiring someone to share that burden. Otherwise we suggest waiting until your workload justifies the additional help.

4. Is your current need for help long-term or temporary?
As you question your current need for help you should remember that a full-time, long-term employee will still be on your payroll when your practice hits a yearly slump or encounters a lull in business. Is a temporary employee more practical? It’s easier to make a temporary employee permanent than it is to make a permanent employee temporary.

5. Are your competitors hiring?
If your competitors are growing their businesses by hiring support staff you may consider joining them, especially if you want to maintain a competitive edge. And depending on the type of talent they’re looking for, the sooner you place that want-ad, the better. If hiring, you want to ensure you have the prime pick of the talent pool.

6. Can you pin-point exactly what type of help you need?
Before you begin the hiring process you must first determine the type of help you’ll need. An administrative assistant will come easier than an entry-level accountant. Assess your needs to determine exactly what type of position you’ll be “opening.” Also, list the specific tasks you’ll expect them to perform; this will better enable you to define the position and what skills will be required.

7. Is there a sufficient talent pool from which to draw applicants?
Now that you know what type of applicant you’ll be looking for, do a little research to determine whether or not your area has a sufficient talent pool from which you could find a qualified employee. Waiting (even a number of months) to hire just the right person is better than rushing to hire the wrong one.

Growing your business by hiring a support staff takes time and considerable forethought in order to ensure you’re taking the necessary precautions as you move forward. If you’ve decided that you do indeed need to hire a support staff, come back next week when we will be discussing how to ensure you pick the right applicant.

7 Tips in Finding the Right Applicant(s) for Your Needs

Last week we gave you a quiz to help you determine whether or not now is a good time for you to hire an employee or add another one to your support staff. If you’re reading this article today, we’re guessing that you’ve decided that now is the time to expand your business by hiring help. Finding and hiring the right employee can be one of the most important decisions you make for your business. Unearthing the perfect applicant can improve the profitability of your business and make your professional life a lot easier. But how do you do that? Small business owners especially have little room for error when hiring individuals to work for them. Poor judgment can cost you money, and sometimes even a client or two. The following 7 tips can help you avoid pitfalls in finding just the right applicant for your needs:

1. Create a job description
Before you start looking for applicants you need to know the skill set you want to find. Write down all the tasks this employee will perform. Focus on the verbs. Do these skills require experience? If not, what characteristics would the employee need in order to acquire those skills? Be specific. The only way you will be able to hire the right person is if you know exactly what your business requires.

2. Get the word out
Inform professionals in your network about your opening; they may know of skilled individuals looking for a good position. Also consider job placement services, especially if you’re looking for applicants with a valuable skill set. The want ads and job boards are also a good way to publicize your opening.

3. Develop informative interview questions
Good interview questions will enable you to find the right person to fill your position. Consider questions that will help you learn of past performance, determine problem-solving ability, determine their work preferences and future career goals. All these things can inform your decision. And in order to fairly weigh one candidate against the next you must ask all applicants the same questions.

Note: Be careful! It is illegal to ask candidates anything discriminatory. Avoid all questions that address the following: race, color, gender, sexual preferences, religion, national origin, birthplace, age, disability, marital/family status.

4. Perform two interviews
Most employers perform two job interviews; the first enables them to filter all applicants who are ill-suited for their position. The second interview is designed to help them narrow their pool a bit so they can focus on the most important questions. For example, if costumer service is important to you, craft questions that will help you recognize whether or not candidates will work well with your clients. If punctuality and a good work ethic are important to you, again you must craft questions that help you see how your candidates measure up to these requirements. As long as you take the time to thoughtfully compose your interview questions and ask each candidate the same set, you’ll be sure to find the perfect fit for your position.

5. Check references and perform background checks
Why ask for references if you don’t check them? I’ve heard countless stories of references who shared crucial information about a candidate’s true nature in a job environment that either foiled his/her chances or sealed the deal. Either way references can provide you with more information on which to base your final decision. And background checks can also be informative, telling you which candidates may threaten the livelihood of your business.

6. Listen to your gut
Often a gut instinct will tell you which applicants are a good match and which would be bad for business. Don’t rule those feelings out, but consider them, as well as the applicants’ skills and experience as you make your final decision.

7. Extend the offer of employment or try again
Once you’ve determined who you will be hiring, extend the offer. Be sure you inform the other applicants that you will not be hiring them; good etiquette requires you do it by phone. It’s important, however, that you don’t rush to hire someone simply because you’re anxious about expanding your business. If you didn’t find the right person this round, you should consider waiting a month or two before trying again. You don’t want to be in need of an article on how to fire your employee later. When you choose employees wisely upfront you have a better chance of building a more dynamic and successful business later.

Come back next week when we discuss how to retain good employees.