Yoga privates 14 $80 $25 $55 $770

Gross Total/mo. $9,861

NOTE: If this table didn’t get formatted right or looks confusing, please see: www.centeredbusiness.com/newsletter5-07.htm

1. 1. Write down the name of each program or service. (e.g. “Drop-ins”, “10-class card”, etc.)
2. 2. Looking at just the records from last month, next to each one, write down how many people paid for that program or service. I'll use the “Drop-ins” row as an example. There were 96 people who paid as drop-ins during this month (March in the example).
3. 3. For each product or service, write down the price of that item. In the example, the drop-in price is $17.
4. 4. If you pay teachers per head, write down how much of the price you end up paying back to the teachers (
   Should A Small Business Bother With Market Research?
   How much is "market research" worth? Well, that's just another ROI question - or, it should be. If it's cheap and easy to get the research, great - you’ll take all you can get. If you have to pay for it, though, or spend too much of your time getting it, it's easy to say "I don’t really need that."But, let's not make a bigger deal out of this than it needs to be. Sure, you can buy market research, or pay someone a lot of money to collect it specifically for your business; or, you can use a little imagination and do a few simple things - often with the information that you already have - that will get you a lot closer to where you need to be than where you are now! Research can be surveys and polls and focus groups - the formal stuff that is usually time consuming and always expensive. Research can also be as simple as keeping your eyes and ears open, but in a very focused, organized, an
   Have you ever noticed how easy it can be to see what someone else is doing wrong? But then when we hold up the mirror to ourselves, seeing our own issues clearly is like looking into a thick fog. Small business owners in general tend to face this challenge regularly – they know that they're not making as much money as they want to, but they don't know why. This month, we'll look at ways that you can “clear the fog” and get more clarity about challenges in your own business and what to do about them.

   I was recently working with a client, Barbara, who complained that each month she was losing money in her business. She knew this because while she had the same minimal amount in her bank account, her credit card balance kept getting higher each month. Now you might be saying “That's just like me,” or you may be thinking “I keep way better track of things than that…” In either case, there is usually room for improvement. Consider the following (I'll use the term “program” to include drop-ins, class-cards, unlimiteds, workshops, etc. – basically any “yoga service” you get paid for). Here are some key questions to ask yourself:

   • “Which program, product or service do I earn the most money on each month?”
   • “Which program, product or servicedo I make the least money on each month?”
   • “Which is second most profitable? Third?”

   If you can quickly answer these questions, great – you're ready to move to the next step. If not, these are critical questions to answer. If you're thinking that you don't like working with numbers and this just doesn't sound like it matters, consider this.

   Imagine your car is making a funny noise and you bring it in to your mechanic. He stands 10 feet away (with the hood closed) and listens to your car rattle and chug, then proclaims “It sure sounds like it has a problem, but for the life of me, I can't tell what to do about it.” Sounds ridiculous, right? You expect the mechanic to open the hood, maybe hook up some diagnostic equipment and poke around until he can figure out what's wrong. The same is true in business. Just as your mechanic can't fix the problem without first looking to see what's broken, you can't get a business (studio or other) to make more money until you know which areas are working (making money) and which are not.

   So how do you actually do this? Here's how. First, get together whatever records you have of who bought what during the past three months (not who took what class, but who paid money for a program or service). Next, you're going to create a table that shows where you made money and where you didn't. Look at the sample table below to see where each number came from as you follow the steps – just do it with one row first (the idea is the same for all the rows). Then, do it for your own studio. Here's how it works:

   March Program or service # Sold (# of Students, clients, etc. during month) Price Amount paid back to teachers Gross Profit per item Monthly Gross profit for program

   Drop-ins 96 $17 $7 $10 $960

   10-class card 22 $150 $70 $80 $1,760

   20-class card 18 $290 $140 $150 $2,700

   1-mo unlimited 29 $160 $56 $104 $3,016

   Partner Yoga workshop 8 $70 $35 $35 $280

   Intro to Yoga workshop 15 $50 $25 $25 $375

   Yoga privates 14 $80 $25 $55 $770

   Gross Total/mo. $9,861

   NOTE: If this table didn’t get formatted right or looks confusing, please see: www.centeredbusiness.com/newsletter5-07.htm

   1. 1. Write down the name of each program or service. (e.g. “Drop-ins”, “10-class card”, etc.)
   2. 2. Looking at just the records from last month, next to each one, write down how many people paid for that program or service. I'll use the “Drop-ins” row as an example. There were 96 people who paid as drop-ins during this month (March in the example).
   3. 3. For each product or service, write down the price of that item. In the example, the drop-in price is $17.
   4. 4. If you pay teachers per head, write down how much of the price you end up paying back to the teachers (u
      Employees Benefits
      We spend about half of our life time at work. That’s why choosing the job and the working environment is so important to us. Almost every single person is expecting the company to be loyal and trustworthy. Organization is interested in motivating its employees as it helps to increase the company’s productivity.Discretionary benefits and benefits required by law can stimulate some confusion in many of us. To appreciate the discretionary benefits offered by companies, like JMFE, we have to differentiate between both. Legally required benefits are programs established by the US Government to protect individuals from catastrophic events such as disability and unemployment. These benefits came about by the rapid growth of industrialization in the United States during the early part of the twentieth century and the Great Depression of the 1930's. They are protection programs that atte
      ing “I keep way better track of things than that…” In either case, there is usually room for improvement. Consider the following (I'll use the term “program” to include drop-ins, class-cards, unlimiteds, workshops, etc. – basically any “yoga service” you get paid for). Here are some key questions to ask yourself:
      • “Which program, product or service do I earn the most money on each month?”
      • “Which program, product or servicedo I make the least money on each month?”
      • “Which is second most profitable? Third?”

      If you can quickly answer these questions, great – you're ready to move to the next step. If not, these are critical questions to answer. If you're thinking that you don't like working with numbers and this just doesn't sound like it matters, consider this.

      Imagine your car is making a funny noise and you bring it in to your mechanic. He stands 10 feet away (with the hood closed) and listens to your car rattle and chug, then proclaims “It sure sounds like it has a problem, but for the life of me, I can't tell what to do about it.” Sounds ridiculous, right? You expect the mechanic to open the hood, maybe hook up some diagnostic equipment and poke around until he can figure out what's wrong. The same is true in business. Just as your mechanic can't fix the problem without first looking to see what's broken, you can't get a business (studio or other) to make more money until you know which areas are working (making money) and which are not.

      So how do you actually do this? Here's how. First, get together whatever records you have of who bought what during the past three months (not who took what class, but who paid money for a program or service). Next, you're going to create a table that shows where you made money and where you didn't. Look at the sample table below to see where each number came from as you follow the steps – just do it with one row first (the idea is the same for all the rows). Then, do it for your own studio. Here's how it works:

      March Program or service # Sold (# of Students, clients, etc. during month) Price Amount paid back to teachers Gross Profit per item Monthly Gross profit for program

      Drop-ins 96 $17 $7 $10 $960

      10-class card 22 $150 $70 $80 $1,760

      20-class card 18 $290 $140 $150 $2,700

      1-mo unlimited 29 $160 $56 $104 $3,016

      Partner Yoga workshop 8 $70 $35 $35 $280

      Intro to Yoga workshop 15 $50 $25 $25 $375

      Yoga privates 14 $80 $25 $55 $770

      Gross Total/mo. $9,861

      NOTE: If this table didn’t get formatted right or looks confusing, please see: www.centeredbusiness.com/newsletter5-07.htm

      1. 1. Write down the name of each program or service. (e.g. “Drop-ins”, “10-class card”, etc.)
      2. 2. Looking at just the records from last month, next to each one, write down how many people paid for that program or service. I'll use the “Drop-ins” row as an example. There were 96 people who paid as drop-ins during this month (March in the example).
      3. 3. For each product or service, write down the price of that item. In the example, the drop-in price is $17.
      4. 4. If you pay teachers per head, write down how much of the price you end up paying back to the teachers (
         Hurry Up and Wait
         Recently, I walked over to my bank for what I hoped would be a quick transaction, and felt I was in luck as one of the five tellers had only one person in her line, while the others all had two or three. So I headed for that teller. Big mistake. The customer being helped obviously had some sort of problem, and the teller moved back and forth taking care of it. And of course, I was afraid to change lines, for fear of getting in an even slower one. As I have so many times before, I wondered why this bank doesn’t have the more customer-friendly system of “next available teller” queuing. This time I decided to seek out the manager.I was not surprised to hear he was busy, and could I wait? Another waste of my time. When I did give him my suggestion, he listened, then started explaining why this system would not work in this bank. “Not enough space.” (Ridiculous, since the weaving of horizont
         e your car is making a funny noise and you bring it in to your mechanic. He stands 10 feet away (with the hood closed) and listens to your car rattle and chug, then proclaims “It sure sounds like it has a problem, but for the life of me, I can't tell what to do about it.” Sounds ridiculous, right? You expect the mechanic to open the hood, maybe hook up some diagnostic equipment and poke around until he can figure out what's wrong. The same is true in business. Just as your mechanic can't fix the problem without first looking to see what's broken, you can't get a business (studio or other) to make more money until you know which areas are working (making money) and which are not.

         So how do you actually do this? Here's how. First, get together whatever records you have of who bought what during the past three months (not who took what class, but who paid money for a program or service). Next, you're going to create a table that shows where you made money and where you didn't. Look at the sample table below to see where each number came from as you follow the steps – just do it with one row first (the idea is the same for all the rows). Then, do it for your own studio. Here's how it works:

         March Program or service # Sold (# of Students, clients, etc. during month) Price Amount paid back to teachers Gross Profit per item Monthly Gross profit for program

         Drop-ins 96 $17 $7 $10 $960

         10-class card 22 $150 $70 $80 $1,760

         20-class card 18 $290 $140 $150 $2,700

         1-mo unlimited 29 $160 $56 $104 $3,016

         Partner Yoga workshop 8 $70 $35 $35 $280

         Intro to Yoga workshop 15 $50 $25 $25 $375

         Yoga privates 14 $80 $25 $55 $770

         Gross Total/mo. $9,861

         NOTE: If this table didn’t get formatted right or looks confusing, please see: www.centeredbusiness.com/newsletter5-07.htm

         1. 1. Write down the name of each program or service. (e.g. “Drop-ins”, “10-class card”, etc.)
         2. 2. Looking at just the records from last month, next to each one, write down how many people paid for that program or service. I'll use the “Drop-ins” row as an example. There were 96 people who paid as drop-ins during this month (March in the example).
         3. 3. For each product or service, write down the price of that item. In the example, the drop-in price is $17.
         4. 4. If you pay teachers per head, write down how much of the price you end up paying back to the teachers (
            Employee Appraisals: Basic Things You Should Know About
            For those who first hear about employee appraisals we have to start explaining that it is the process through which your business sets, measures and reviews the objectives and performance of your people.Validated consistently, employee appraisal system offers an effective performance management platform that will help you retain the right employees; enhance their performance and the complete dynamic of your business. As you can see it is something really to think about....An erroneous Human Resources management and assessment of your team can result in losing your best people, keeping the wrong type of workers and the consequent stagnation of your business.Ideas for employee appraisals for a small businessAcquire a sample of employee appraisals to help you clear up what is expected of your working team in terms of both outcomes and behavior. This sample includes se
            not who took what class, but who paid money for a program or service). Next, you're going to create a table that shows where you made money and where you didn't. Look at the sample table below to see where each number came from as you follow the steps – just do it with one row first (the idea is the same for all the rows). Then, do it for your own studio. Here's how it works:

            March Program or service # Sold (# of Students, clients, etc. during month) Price Amount paid back to teachers Gross Profit per item Monthly Gross profit for program

            Drop-ins 96 $17 $7 $10 $960

            10-class card 22 $150 $70 $80 $1,760

            20-class card 18 $290 $140 $150 $2,700

            1-mo unlimited 29 $160 $56 $104 $3,016

            Partner Yoga workshop 8 $70 $35 $35 $280

            Intro to Yoga workshop 15 $50 $25 $25 $375

            Yoga privates 14 $80 $25 $55 $770

            Gross Total/mo. $9,861

            NOTE: If this table didn’t get formatted right or looks confusing, please see: www.centeredbusiness.com/newsletter5-07.htm

            1. 1. Write down the name of each program or service. (e.g. “Drop-ins”, “10-class card”, etc.)
            2. 2. Looking at just the records from last month, next to each one, write down how many people paid for that program or service. I'll use the “Drop-ins” row as an example. There were 96 people who paid as drop-ins during this month (March in the example).
            3. 3. For each product or service, write down the price of that item. In the example, the drop-in price is $17.
            4. 4. If you pay teachers per head, write down how much of the price you end up paying back to the teachers (
               Internet Business - Do's and Don'ts of Picking a Domain Name
               If you’re setting up an Internet business—whether for part-time income or a full-time living—you’ll need to choose a domain name for your site. Choosing the right domain name is a very important decision for your business—it could make or break your web traffic and, ultimately, your website’s success. Here are a few tips to help you navigate the domain name minefield, pick the right name, and hopefully turn your part-time income into a booming Internet business.Do make it memorable. You don’t necessarily have to pick a domain name that’s the same as your business name. For example, if your business name is Torimatsu Sushi, it won’t translate well on the web—it’ll be misspelled often. Instead of calling your website Torimatsusushi.com, call it “Ilovesushi.com” or something else catchy, straightforward, and easy to spell.Don’t use double letters. For example, if your company’
               $50 $25 $25 $375

               Yoga privates 14 $80 $25 $55 $770

               Gross Total/mo. $9,861

               NOTE: If this table didn’t get formatted right or looks confusing, please see: www.centeredbusiness.com/newsletter5-07.htm

               1. 1. Write down the name of each program or service. (e.g. “Drop-ins”, “10-class card”, etc.)
               2. 2. Looking at just the records from last month, next to each one, write down how many people paid for that program or service. I'll use the “Drop-ins” row as an example. There were 96 people who paid as drop-ins during this month (March in the example).
               3. 3. For each product or service, write down the price of that item. In the example, the drop-in price is $17.
               4. 4. If you pay teachers per head, write down how much of the price you end up paying back to the teachers (use an average based on 2-3 classes per week for unlimited programs). In the example, teachers are paid $7 per head.
               5. 5. Subtract what you pay teachers from the total price for each item. This is called “Gross Profit” per item. In the example, this is $17 minus $7 which equals $10 as “Gross profit.”
               6. 6. Multiply the number sold by the price, and write this in the next column. This is your monthly gross profit for that item. In the example, this is 96 drop-ins times $10 gross profit for each one resulting $960 of gross profit for drop-ins during March.
               7. 7. Add up all the numbers in the “Monthly Gross Profit” column and you have your total gross profit for the whole month. This is the amount you have available to pay your expenses (rent, utilities, staff, etc), as well as yourself. In the example, this studio had $9,861 to pay their other expenses during March.
               8. 8. Do this same process to create a similar table for the remaining two months.

               Now that you've done all this, who cares? Let's look and see. Now we can answer questions like “Which program was most profitable for this studio during this month?” The answer is clearly their 1-month unlimited (not a surprise – this is true for most studios that do 1-month unlimiteds with auto-renew). Now here's a surprise. This studio owner intuitively felt she made a lot of money on drop-ins because there were so many of them each month. In reality, it just takes lots of time processing drop-ins, but it's really her lowest profit program.

               Now that you know, how can you do it better? This is the key. Using the example, there are two key changes to make. This studio owner needs to shift people away from drop-ins and direct them toward the 1-month unlimited. She'll do this by: a) Raising the drop-in rate to $20 and b) offering a “special” for first-time unlimited program subscribers to get 50% off their first month of unlimited (remember, it automatically renews each month).

               So how did it work? The result was that profit for 1-month unlimiteds jumped to over $4,500 per month (while profit from drop-ins dropped by just $400 per month).

               It was a total win-win situation. Students who were afraid to commit to a regular yoga practice became more committed by buying 1-month unlimited programs (and are now enjoying more benefits from yoga in their life).

               This studio is now making an extra $1000 a month in profit. The key was simply to sit down for an hour with a pencil, paper and calculator. This is the power of financial evaluation. So, when are you going to do this for your own studio? I know you're busy, but how many other things that you “need” to do can have this kind of impact on your business? My challenge to you is for you to make a commitment to do this sometime within the next 24 hours. Set the time aside and just do it (Don't worry, it doesn't need to be perfect). Just do it!

               I look forward to your new success.

               Namast?,