There’s lots to learn about starting a running a micro business, so join author and accountant Carol Topp in this podcast.

She shares information on creating a mini business plan and pitfalls to avoid to help you launch successfully.
Carol also took time to answer questions from the audience on taxes.

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Learn more about starting a running a micro business at MicroBusinessForTeens.com

To learn more about taxes that teenagers might need to pay visit TeensAndTaxes.com

Carol mentions a YouTube video that features 6 teenagers and their micro businesses

Show #25 What to do when a customer doesn’t pay your Micro Business.

In this podcast, Carol Topp offers tips to micro business owners on what to do if a customer doesn’t pay you.

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Most of your clients will pay when you hand them a bill, but sometimes they forget or do not have a checkbook with them. In those cases you need to remind them.

• Send another copy of the bill, statement or invoice. Email is a good reminder or use regular mail if you must. This usually does the trick. Most people are forgetful and not out to cheat you.
• Call the customer and ask if they received your bill.
• If a customer is late paying you, do not do any additional services for them.

Payment Policies for Micro Businesses

After you’ve been running your business for a while, you will come up with some payment policies that work well for you. A few common payment policies include:

• Ask for some money up front as a down payment. This is a common practice if you will be doing a large job for a customer. It is very common to ask for a small amount, perhaps 10-20% of the total price before you begin work.
• Progress payments. Ask for payments as you do each part of a large job. For example, I asked my graphic designer to do five tasks for me. He billed me after three tasks were complete and then again when the job was finished.
• Charge a late fee for customers who are more than 30 days late in paying you. Your late fee can be a percentage of the total cost (5-10% if customary) or a flat fee such as $10.
• Have a policy regarding bounced checks. If a customer pays you with a bad check, your bank may fine you when the check is deposited. It may not seem fair, but it is a common practice. You, in turn, should charge the customer at least a $10 fee to cover your bank fees. Some stores charge as much as $25 for bounced check.
• Consider marking up your price to accept Paypal or credit card payments. Paypal and credit card companies typically take 2-4% of the payment as their fee. Most business owners usually consider these fees as part of doing business, so make sure you take the fees into consideration when pricing your products or services.

Join Carol’s other podcasts for micro business owners on Creating a Sales Presentation and Making the Sale.

Learn more about starting and running a micro business at MicroBusinessforTeens.com

Show #24 Making the Sale. Tips for your Micro Business.

In this podcast, Carol Topp offers tips to micro business owners on how to complete a sale with a customer.

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Many sales are lost because the sales person never asks the customer to buy. That’s seems unbelievable, but it is true. A business owner can spend a lot of time creating a sales presentation and marketing material, but never bring the customer to the point of actually making a purchase.

There are several techniques you can use to move from a sales pitch to completing a sale including asking questions and using forms.

Ask leading questions

• Would you prefer _________ or ___________(you show different products)?
• What is the best day to _____________(offer your service)?
• When would you like me to start?
• How many ___________ do you need?
• Would you like to see a price list?
• Can I get you an order form?
• What questions can I answer?
• Would you like me to do ___________ next?

Put paper in their hand

Use an order form, price list, registration form, agreement of services (engagement letter). I use CarbonlessonDemand.com for order forms. I also collect names and emails on my order form.

What to Do if the Customer Doesn’t Seem Interested

• Ask if you could give a demonstration or a sample. Say “Would you like to see how this works?” “Would you like to taste a sample?”
• Provide additional information by asking, “Do you have any questions?”
• Ask if they would like a flier, brochure, or price list. Try to leave something in their 
hands.
• Ask if they have a friend or neighbor who could use your service. 
Always be polite and thank them for their time or for listening to you, even if they say no. They will remember your politeness and may contact you in the future.

Join Carol’s other podcasts for micro business owners on Creating a Sales Presentation and What to Do If You Don’t Get Paid.

Learn more about starting and running a micro business at MicroBusinessforTeens.com

Show #23 Creating a Sales Presentation

In this podcast, Carol Topp helps micro business owners create a sales presentation.

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What is a Sales Presentation?

• Short, 15-30 seconds. Like a TV commercial
• Could be in person or used on website, flyer
• Includes a short sales statement (tag line)

Parts of Sales Presentation

• Your name and business name
• Main product or service
• 2-3 benefits to customer (not features)
• Demonstration, sample or photo
• Uniqueness
• Price
• Contact information
• Call to action

Example; Adam, birthday party entertainer

I’m Adam (name) and I visit children’s birthday parties (business) as Jedi Master. I can train your child and his friends in light saber fighting (main benefit). It is perfectly safe, because I use Styrofoam pool “noodles” as light sabers (second benefit). Let me demonstrate (demonstration). I’m avail- able for birthday parties where I come in costume and offer games, stories, demonstrations and dueling practice. Here’s a brochure describing my prices and how to contact me (price and contact information). Does your child dream of becoming a Jedi knight? (tag line) Give me a call. (call to action).

Example: William Lynch Floral designer at  http://lynchdesignflorist.com

Flowers (main product) bring color and life to any space (benefit) – be it the office, hotel, home or chapel – and any occasion – including weddings, memorial service or other special event. At Lynch Design (name), we know how flowers can set the style for your room or event, or bring a smile to the face of a colleague, friend or loved one (benefits). Whether you’re looking for classic, contemporary, elegant, fun, or unique designs – or arrangements that convey love and friendship (uniqueness) – our floral design experts can do it all. Shop online or contact us phone number (contact and call to action).

Join Carol’s upcoming podcasts for micro business owners on Making the Sale and What to Do If You Don’t Get Paid.

Learn more about starting and running a micro business at MicroBusinessforTeens.com