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Apple Capital Group, Inc. is a nationwide commercial lender that offers a full suite of capital solutions for new and existing businesses (equipment leasing and financing, asset-based lending, account receivable factoring, commercial mortgages, and working capital loans)to name a few. Our goal is be able to assist with your immediate financial needs, as well as develop a long-term partnership that will grow with your company as your needs change.
Friday, March 2, 2012
Friday, November 25, 2011
A THANKSGIVING STORY
A young man named John received a parrot as a gift. The parrot had a bad attitude and an even worse vocabulary.
Every word out of the bird’s’ mouth was rude, obnoxious, and laced with profanity. John tried and tried to change the bird’s attitude by consistently saying only polite words, playing soft music, and anything else he could think of to ‘clean up’ the bird’s vocabulary.
One day John became so fed up that he yelled at the parrot. The parrot yelled back. John shook the parrot and the parrot got angrier and became even more rude. In a fit of exasperation, John opened the freezer door and threw the bird inside while needing time to think what to do next.
Upon being locked in the freezer the parrot squawked and kicked and screamed. And then, suddenly, there was total quiet. Nothing. Not a peep was heard for several minutes.
Fearing that he’d hurt the parrot, John quickly opened the door to the freezer.
The parrot calmly stepped out onto John’s outstretched arms and said “I believe I may have offended you with my rude language and actions. I’m sincerely remorseful for my inappropriate transgressions and I fully intend to do everything I can to correct my rude and unforgivable behavior.”
John was stunned at the change in the bird’s attitude.
As he was about to ask the parrot what had caused such a dramatic change in his behavior, the bird spoke-up, very softly,
“May I ask what the turkey did?”
Hope this story puts a smile on your face as we reflect back on all that we have to be thankful for – Happy Thanksgiving to you and your family and thanks for your awesome support!
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Friday, September 30, 2011
Subscribe to Thrive: Why Subscription-based Business Models Make Good Sense
Subscribe to Thrive: Why Subscription-based Business Models Make Good Sense
by Robert Lerose.
Magazine publishers have known for years that their best source of reader-generated income comes from renewing current subscribers rather than acquiring new ones. Renewal series are cheaper to mount than new subscriber promotions and provide a steady stream of instant cash. More and more businesses in different sectors are discovering that this same subscription-based model makes sense for them and for their bottom line, too. Netflix, Amazon, and even unorthodox companies like Zipcar, have used this model to dominate their niche.
“The relationship between people and businesses, and the products and services they use, is no longer a one-time event,” notes Tien Tzuo, CEO of Zuora, a Silicon Valley-based subscription billing company. (For a list of other subscription billing and service companies, like PayPal and Chargify, check out this blog post.) Tzuo was formerly chief marketing office at Salesforce.com, a company that shook up its industry several years ago when it chose to offer lower-priced, monthly software subscriptions to its clients instead of charging them high, one-time licensing fees upfront. Going forward, Tzuo says modern companies should find similar ways to build long-term relationships with their customers. “And with these long-term relationships come a recurring, predictable revenue stream,” he says. “That is the subscription economy.”
Pull-Quote-Tall.pngBut you don’t have to be a Goliath to take advantage; almost any type of business can put together a subscription plan. For example, online business guide Investopia explains that subscription plans—which are also known as passive income streams—“could incorporate a low monthly fee for on-demand customer service or maintenance, subscription access to exclusive coaching, or a newsletter with interviews, book reviews, and market analysis on your industry.” Combine any of these options with a customer’s fondness for the certainty that a subscription plan provides and you wind up with a near perfect way to keep the money flowing, even in an uncertain economy.
More predictability for business and customer
Red Hat, the leading provider of Linux and open source solutions, adopted a subscription model almost 10 years ago because of its convenience and high customer value. “A subscription model is incredibly simple and predictable for customers,” says Lars Herrmann, director of strategic marketing for the North Carolina-based company. “They know exactly what they have to plan for, exactly what they have to budget for, and what they get at any point.”
Red Hat’s offerings are enormously flexible. In the case of Red Hat’s Enterprise Linux program, for example, subscribers get access to the software channels and the customer portal where they can download the products, along with available updates and fixes. In addition, they can choose from a variety of support tools, depending on the subscription plan they buy.
Building brand loyalty is another key feature of the subscription model. To that end, Red Hat constantly seeks ways to expand its portfolio of products in order to provide more choices for customers and more revenue streams for the company. “The subscription model forces the vendor to deliver a great experience every day because the money is not made upfront at the sale,” says Herrmann. Instead, he emphasizes, “the money is earned every day.”
Generating a predictable revenue stream helped Red Hat maintain a robust bottom line during the current financial crisis. For the completed 2011 fiscal year, the company took in $773.4 million in subscription revenue—an increase of 21 percent over the prior year.
Red Hat focuses on giving great value to the customer, Herrmann says. “We are not depending on new license fields every day in order to report fantastic numbers to our shareholders. We depend on delivering great service and driving customer satisfaction.” At renewal time, customers receive an automated notification that their subscription is about to expire with instructions on how to renew. They can choose to renew their subscription as is, or upgrade or downgrade it. The feedback from customers, Herrmann says, has been extraordinarily positive.
“They love the subscription model. It’s easy to handle from an accounting point of view. The customers know very well which services they get. They have the flexibility to move their subscription from one system to another and they like the simplicity of managing it. If they don’t want to have a renewal event every year, they can avoid it by buying into a three-year subscription.”
Building long-term relationships means higher customer retention
Boutique firm Kroll Bond Rating Agency may be only one-year-old, with just 24 employees, but it rates nearly 18,000 entities, from savings and loans and insurance companies to credit unions and the top 1,000 corporations. In its first year, the company has already seen good results from its subscription offerings, says Kroll managing director and head of the subscription business, Tawanda Seifert.
“Most of our clients like the subscription model because they know what they’re going to get, they know the product, they know the timing,” says Seifert. And she emphasizes the important role a subscription model plays in maintaining good customer relationships. “Client satisfaction is an implied or unstated component of the subscription-based model. They know that they can call and ask questions and we’re going to answer the phone”
By using a subscription agreement that lasts for the lifetime of the relationship, Kroll has been able to retain about 90 percent of their clients so far. That certainty takes a lot of the anxiety out of planning for future budgets—for both Kroll and its clients.
“You’re not asking are we going to do 15 deals this year and how much revenue will that bring us? I think you have a more constant stream” of revenue, Seifert says. “There are months when our invoiced amounts are less and then there are months when our invoiced amounts are very high. Since you know these cycles, it helps you plan and budget your income statement or your P&L.”
Replacing uncertainty with predictable revenue and brand loyalty is just one reason that subscription-based business models may be the best arrangement for you and your customers in an unpredictable economy.
Magazine publishers have known for years that their best source of reader-generated income comes from renewing current subscribers rather than acquiring new ones. Renewal series are cheaper to mount than new subscriber promotions and provide a steady stream of instant cash. More and more businesses in different sectors are discovering that this same subscription-based model makes sense for them and for their bottom line, too. Netflix, Amazon, and even unorthodox companies like Zipcar, have used this model to dominate their niche.
“The relationship between people and businesses, and the products and services they use, is no longer a one-time event,” notes Tien Tzuo, CEO of Zuora, a Silicon Valley-based subscription billing company. (For a list of other subscription billing and service companies, like PayPal and Chargify, check out this blog post.) Tzuo was formerly chief marketing office at Salesforce.com, a company that shook up its industry several years ago when it chose to offer lower-priced, monthly software subscriptions to its clients instead of charging them high, one-time licensing fees upfront. Going forward, Tzuo says modern companies should find similar ways to build long-term relationships with their customers. “And with these long-term relationships come a recurring, predictable revenue stream,” he says. “That is the subscription economy.”
Pull-Quote-Tall.pngBut you don’t have to be a Goliath to take advantage; almost any type of business can put together a subscription plan. For example, online business guide Investopia explains that subscription plans—which are also known as passive income streams—“could incorporate a low monthly fee for on-demand customer service or maintenance, subscription access to exclusive coaching, or a newsletter with interviews, book reviews, and market analysis on your industry.” Combine any of these options with a customer’s fondness for the certainty that a subscription plan provides and you wind up with a near perfect way to keep the money flowing, even in an uncertain economy.
More predictability for business and customer
Red Hat, the leading provider of Linux and open source solutions, adopted a subscription model almost 10 years ago because of its convenience and high customer value. “A subscription model is incredibly simple and predictable for customers,” says Lars Herrmann, director of strategic marketing for the North Carolina-based company. “They know exactly what they have to plan for, exactly what they have to budget for, and what they get at any point.”
Red Hat’s offerings are enormously flexible. In the case of Red Hat’s Enterprise Linux program, for example, subscribers get access to the software channels and the customer portal where they can download the products, along with available updates and fixes. In addition, they can choose from a variety of support tools, depending on the subscription plan they buy.
Building brand loyalty is another key feature of the subscription model. To that end, Red Hat constantly seeks ways to expand its portfolio of products in order to provide more choices for customers and more revenue streams for the company. “The subscription model forces the vendor to deliver a great experience every day because the money is not made upfront at the sale,” says Herrmann. Instead, he emphasizes, “the money is earned every day.”
Generating a predictable revenue stream helped Red Hat maintain a robust bottom line during the current financial crisis. For the completed 2011 fiscal year, the company took in $773.4 million in subscription revenue—an increase of 21 percent over the prior year.
Red Hat focuses on giving great value to the customer, Herrmann says. “We are not depending on new license fields every day in order to report fantastic numbers to our shareholders. We depend on delivering great service and driving customer satisfaction.” At renewal time, customers receive an automated notification that their subscription is about to expire with instructions on how to renew. They can choose to renew their subscription as is, or upgrade or downgrade it. The feedback from customers, Herrmann says, has been extraordinarily positive.
“They love the subscription model. It’s easy to handle from an accounting point of view. The customers know very well which services they get. They have the flexibility to move their subscription from one system to another and they like the simplicity of managing it. If they don’t want to have a renewal event every year, they can avoid it by buying into a three-year subscription.”
Building long-term relationships means higher customer retention
Boutique firm Kroll Bond Rating Agency may be only one-year-old, with just 24 employees, but it rates nearly 18,000 entities, from savings and loans and insurance companies to credit unions and the top 1,000 corporations. In its first year, the company has already seen good results from its subscription offerings, says Kroll managing director and head of the subscription business, Tawanda Seifert.
“Most of our clients like the subscription model because they know what they’re going to get, they know the product, they know the timing,” says Seifert. And she emphasizes the important role a subscription model plays in maintaining good customer relationships. “Client satisfaction is an implied or unstated component of the subscription-based model. They know that they can call and ask questions and we’re going to answer the phone”
By using a subscription agreement that lasts for the lifetime of the relationship, Kroll has been able to retain about 90 percent of their clients so far. That certainty takes a lot of the anxiety out of planning for future budgets—for both Kroll and its clients.
“You’re not asking are we going to do 15 deals this year and how much revenue will that bring us? I think you have a more constant stream” of revenue, Seifert says. “There are months when our invoiced amounts are less and then there are months when our invoiced amounts are very high. Since you know these cycles, it helps you plan and budget your income statement or your P&L.”
Replacing uncertainty with predictable revenue and brand loyalty is just one reason that subscription-based business models may be the best arrangement for you and your customers in an unpredictable economy.
Monday, September 5, 2011
Thursday, September 1, 2011
Generations at Work: How Different Generational Styles May Be Hampering Your Business
Posted by SBOC Team and Apple Capital Group on Aug 31, 2011 10:04:04 AM
By Reed Richardson.
Some
days it may feel like getting everyone in your small business to work
together is a Herculean task. Even if your company consists of a handful
of employees or just yourself and one other partner, there may be times
when it seems like everyone else involved in your business is using a
different playbook. It’s tempting to attribute this disorganized effort
to differences in job 
functions—salespeople
aren’t in sync with the operations staff, human resources doesn’t
understand the needs of customer service—but there may be another major
factor contributing to a company’s lackluster performance, one that
small business owners in particular frequently overlook: generational
differences.
A
decade ago, understanding how generational differences affect
productivity in the workplace was often dismissed as a frivolous,
touchy-feely topic, says David Stillman, co-author of the book When Generations Collide. Now,
however, he says more and more companies are realizing the very
profound effect that the four generations currently comprising the U.S.
workforce—Veterans, Baby Boomers, Generation X, and Millenials (see
sidebar for demographic explanation)—can have upon their chances for
success.
Shaped
by wildly different times, experts note that these four generations
generally communicate using different means, at varying frequencies, and
with sometimes radically divergent expectations about feedback. They
tend to have strikingly different expectations about the companies that
they work for and what they want to achieve in their own careers as
well. In a rapidly changing and increasingly global marketplace, this
diversity of backgrounds and viewpoints (not to mention technological
savvy) brings with it many advantages, to be sure. But it also brings a
set of challenges that can be problematic, especially for small business
owners. 
The
lack of inter-generational interaction isn’t confined solely to Baby
Boomers, however. In fact, a recent World of Work survey by the global
staffing company Randstad found that the four generations rarely
interact with each other in the workplace and often do not recognize
each other’s skills or work ethic. And though the older of these two
generations possesses the most knowledge and experience, the study found
that a slight majority of Boomers and two out of three Veterans
reported little or no meaningful contact with their youngest,
20-something colleagues. (You can download a PDF version of the study here.)
“The
workplace is on the verge of real change,” noted Randstad managing
director Eric Buntin in the survey. “By focusing on and encouraging the
professional contributions of all employees, employers can help close
the knowledge gap by instituting ways for each generation to recognize
their strengths and value to all colleagues.”
functions—salespeople
aren’t in sync with the operations staff, human resources doesn’t
understand the needs of customer service—but there may be another major
factor contributing to a company’s lackluster performance, one that
small business owners in particular frequently overlook: generational
differences.Understand the differences
“The basic rule of thumb for any business is to really understand how communication differences among the generations affect their bottom line,” Stillman says. Stillman, a 40-year-old Gen Xer, co-owns the business consulting firm BridgeWorks with Baby Boomer Lynne Lancaster, his co-author. He explains that different communication norms are often the root of conflicts in the workplace. And lest you think these differences among the four generations will simply disappear as more and more Boomers and Veterans quickly leave the workforce, take note of a recent Bureau of Labor Statistics survey that shows that a solid majority of older workers have remained in full-time positions even well after reaching the traditional retirement age of 65.
Generations in isolation
“The chilling part for small businesses is that with a tiny workforce they could easily skew toward just one generation,” Stillman cautions. And those interests might not always line up with the long-term interests of the business. “Baby Boomers, for example, tend to be knowledge hoarders,” he notes. So, their expertise on how to, say, work around a production snafu or defuse an irate customer might never be passed on to the next generation of employees, he explains. To combat this, Stillman recommends that all companies undertake some kind of mentorship or knowledge sharing program. His business partner Lancaster agrees, adding, “The best way to foster this exchange of ideas and knowledge is to make the business case for it, to point out how it will help the bottom line and, thus, everyone will benefit.”Communication is the answer
The aforementioned formal mentoring programs are but one way to accomplish this. Particularly in small businesses, Stillman and Lancaster advocate a more informal approach, like simply gathering everyone together every few months to talk about how the company communicates, both internally and externally. “This shouldn’t be about fixing blame, but instead should be about asking ‘How can we do this better?’” explains Lancaster. Stillman adds, “you want to get past the ‘Back in my day’ anecdotes that set up an ‘us versus them’ mentality between generations, and instead get ideas flowing back and forth from old to young and young to old.”
This
give and take will help businesses better recognize that good ideas may
come from different generations and because of different motives. For
example, Stillman relates a story about one company’s recent decision to
switch to paperless billing. “The Millenials in the company triggered
the change because they wanted to save trees and be greener,” he
explains. “But, understanding what the older boss might value, the case
they made to him was that it would save the company both postage and
materials.” The boss acceded to their request, but only after adding a
caveat born out of the wisdom of experience, one that the younger
generation had overlooked. “The boss said that the each customer must be
given the choice of opting out of paper bills before any switch could
be made,” Stillman notes.
In
the end, a firm grasp of how the four generations work and communicate
can pay dividends in not only better teamwork and productivity, but also
in improved company morale, employee retention, and more effective
recruiting. And for small businesses looking to achieve these results,
Stillman says the best way to begin is to first accept that generational
differences exist and then, just as importantly, “embrace those
differences.”
Apple Capital Group, Inc.
Jacksonville, FL
Wednesday, August 31, 2011
Website Essentials for Small Businesses
Whether you think of it as a virtual storefront, an online brochure, an information resource or an e-store, a website has become a necessity for most small businesses. If you already have one, are considering creating a new one or building one from scratch, the following are some tips to make your website successful.First, define the purpose of your website, because this will dictate the type of site you have, as well as the content and functionalities it should include. Are you selling products online? Are you seeking to replicate your bricks-and-mortar presence? Do you want to raise your profile as an industry expert by blogging on issues that interest customers? Will your site serve as a database of related resources?
Once you determine what type of site you want, the next big question is whether the technical requirements of your site are within your capabilities. You may need to hire a website designer or even an interactive advertising firm. Designing your own site using platforms like Go Daddy or Wordpress can cost as little as $250, but can take 30-40 hours depending on your skill level and will require at least a basic understanding of html. If your site will be content heavy and require regular updates, using a content management system such as Drupal or Expression Engine will enable employees to post new content regularly and easily.
Where your website resides on the Internet is key. Before getting references, narrow down your list of hosting companies by considering which capabilities are most important to you, (e.g. responsive customer service; 24/7 technical support; reliability of email system; Internet security; scalability, etc.). You should expect hosting fees to range from around $8 to $50 per month for a shared host; $25 to $250 per month for a merchant plan, and $125 to more than $1,000 per month for a dedicated server. Another option is “cloud hosting,” which is a newer, faster type of hosting that allows websites to be housed on an online infrastructure of servers.
Selecting a domain nameThis applies only to small businesses that don’t already have a website. In choosing a domain name, it’s important to stay as close to the name of your business as possible. If the name is too difficult to remember, or includes numbers, dashes, acronyms or abbreviations, you may drive customers away. If someone already owns the domain name you want to use, it’s usually better to opt for a shorter version rather than a longer. In fact, 63 characters or fewer is often recommended. Unless you’re a non-profit or a university, “dot com” is still the preferred suffix for your domain name.
The following are the major components small businesses should keep in mind about their website.
- To increase customer trust, include a physical address and a list of major company executives with a brief biography and photograph.
- If your site includes e-commerce, consider carefully whether it will be off-putting to ask customers to register their personal information before making a purchase.
- If your site is primarily an e-commerce site, it may be a good idea to use a third-party vendor to design your shopping cart and payment options.
- Evaluate whether bells and whistles (e.g. video and music) are necessary to enhance the user experience, or whether they will delay load times unnecessarily. However, using images to break up the text is almost always a good idea.
Apple Capital Group, Inc.
214-224-0995
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