Small Business Spark

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Congratulations! If you’ve made it this far, you’re probably well on your way to either starting or growing your dream business. The truth is; though, whether your business is big, small, booming or just puttering along, every entrepreneur experiences the inevitable lull. A period where you don’t have quite the same amount of “get up and go” as you did when the idea of starting your business was first born. When moments like these arise, it’s important to not dwell on it, but instead, to stay energized and motivated. We hope this list from entrepreneurs, who have been in your same position, helps revive you to push through to work for your dream.

  • “Quality is more important than quantity. One home run is much better than two doubles.” –Steve Jobs
  • “It is human nature, as we get older, to look for stability in our lives. But if you want to be a successful entrepreneur, you have to fight against that somewhat. Starting a business requires movement. You cannot stay still.” –Robert Herjavec
  • “If people like you, they will listen to you, but if they trust you, they’ll do business with you.” –Zig Ziglar
  • “A brilliant idea doesn’t guarantee a successful invention. Real magic comes from a brilliant idea combined with willpower, tenacity, and a willingness to make mistakes.” –Lori Greiner
  • “Don’t be afraid to give your best to seemingly small jobs. Every time you conquer one it makes you that much stronger. If you do the little jobs well, the big ones will tend to take care of themselves.” –Dale Carnegie
  • “Negativity is a blood-sucking, poisonous, good-for-nothing weed that kills any creative spark you have in business and life. Keep an optimistic attitude no matter what.” –Barbara Corcoran
  • “Move out of your comfort zone. You can only grow if you are willing to feel awkward and uncomfortable when you try something new.” –Brian Tracy
  • “If people haven’t laughed at your dreams, then you aren’t dreaming big enough. Just keep pushing forward!” –Daymond John
  • “It’s very easy to be different, but very difficult to be better.” –Jonathan Ive
  • “Whatever the problem, be part of the solution. Don’t just sit around raising questions and pointing out obstacles. We’ve all worked with that person. That person is a drag.” –Tina Fey
  • “Great entrepreneurs are not just passionate about their idea, but have enough passion to weather all the obstacles and see things through to the finish line.” –Barbara Corcoran

The Do’s and Don’ts of Perfecting Your Pitch

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In this world of instant gratification, making business connections has to be quick. That’s why now, more than ever, perfecting your elevator pitch should be at the top of your career “To Do” list. Use our list of Do’s and Don’ts to make a big impact in a small amount of time.

Be Brief & Don’t Ramble

It’s called an “elevator pitch” for a reason. Respect your audience’s time by keeping your pitch short and sweet— between 10-30 seconds— no more time than a ride from floor 1 to floor 9 would take.

Be Relatable- Not Robotic

It’s true that practice makes perfect (we encourage practicing too!), but remember that you’re talking to a real person. Lose the industry jargon and “keywords” that you sprinkle throughout your resume.

Keep it Conversational

This point is twofold. First, don’t ramble off your laundry list of what you can do and how your company would be a great fit to work alongside theirs. Remember this is intended to be a dialogue not a monologue.

Also keep it conversational in tone. Think about your pitch the way you’d tell your best friend about your dinner last night. You wouldn’t say, “The exquisite appetizers and rustic, yet chic, décor made for a charming evening.” You’d say, “I ordered cheese dip at dinner last night, and it was so delicious that I licked the bowl then ordered a second round.” See the difference?

Be Persuasive, but Humble

You’ve got a reason to be pitching. You clearly bring something to the table. Don’t be afraid to share about your skills, specialties and background! That being said, don’t overshare by reciting all of your awards and accreditations.

Always Be Ready

You never know when an opportunity might arise. Yes, it could be at your monthly networking meeting, but there’s a good chance it could also be in the check-out line at your local grocery store.

Don’t Forget Business Cards

Your elevator pitch is a conversation, not a close. The whole purpose of the interaction is to start a relationship with the person you’re speaking with, so don’t forget to leave them with contact information to remember you.

What’s Next in Growing Your Business

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You’ve successfully maneuvered those challenging early years, and now you might be thinking, “what’s next?” Perhaps you need additional staff or plan to build a new location. All these things require money.

When your business is experiencing growth, a slowdown in cash flow can negatively impact short and long term goals. How can a small business keep up with the demands as it slowly begins to transform into a mid-size company?

Before you begin to panic, Arkansas Capital may be able to help you. Depending on the course and maturity of your business, as well as how much debt you have on the books, you can consider a variety of loans.

Under SBA 504 loans, businesses can purchase real estate, new machinery and equipment, or make improvements like landscaping. Additionally, if you need to renovate your existing office or facility, these funds can help. 

The SBA does not lend the money directly to entrepreneurs to grow a business, but sets certain stipulations for loans made by its partners (like Arkansas Capital). The SBA helps to eliminate some of the risk to lenders by guaranteeing that these loans will be repaid.

Financing a growing business is a good problem to have. Remember, Arkansas Capital is a champion of small businesses and wants to help you thrive. For more information about all our loan programs, click here.

Three Reasons Why Businesses Fail

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If someone walked up to the front door of your business giving away “success in a bottle,” would you take it? You may laugh or roll your eyes, but I’d assume that you might give it a go. What’s there to lose, right?

According to Bloomberg.com, 80% of businesses crash and burn within the first year and a half. We use frightening statistics like this to motivate ourselves — what can we learn from these companies? Sure, a percentage probably just runs out of money, that’s understandable. But we think there are more issues that arise before the finances collapse. Here are our top 3 reasons businesses fail, and what you can do to keep your business from being a statistic.

Reason #1: You Put Your Dreams Above Your Customers

The secret to a successful business is the same as that of a marriage — listening! Your customers hold the key to your business’ success, so listen to what they like and dislike. What makes them tick? What are their hobbies, dreams and values? Talk to your customers. Nathan Furr and Paul Ahlstrom say it best in their book, Nail It, Then Scale It, “Which would you rather do — talk to customers now and find out you were wrong or talk to customers a year and thousands of dollars down the road and still find out you were wrong?”

Reason #2: You Don’t Stand Out

We live in a busy, go-getter world that gets busier by the second. There are plenty of distractions and competitors all fighting for the same thing that you are — your potential customer’s business. In this dog-eat-dog world, it’s your job to make your company stand out. What sets you apart from the other businesses? What makes you unique? Figure out the true value you bring to your market.

Reason #3: Take a Look in the Mirror

It may be hard to read — but consider your leadership techniques. Think about sports headlines each week. We’ve all heard about amazing talent like Lance Armstrong, Barry Bonds or Mike Tyson making poor decisions that derail their success. Entrepreneurs’ names may not be plastered on every HD television across the country, but it’s the same, self-sabotaging decision-making in question.

As the founder of your company, it’s your job to lead it. Recognize where your weaknesses are, and build those up. Are you a poor communicator? Do some research on interpersonal communications classes. Anger issues? Take an anger management class.

Now for the good news— you can avoid these mistakes! It doesn’t take but a quick look down the main street in your city to realize that businesses succeed. With the right attitude and business-minded actions, you can not only avoid that expected first-year failure, you can find yourself leading a quickly-growing company with a bright future.

Arkansas Capital Year in Review

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2016 year in review

The final weeks of December are upon us, and we at Arkansas Capital can’t help but look back on the past year and be thankful for all the excitement, success and advancement of Arkansas entrepreneurship brought by 2016. While we couldn’t possibly list all of the highlights that took place this year, we’re sharing a few of the most memorable below.

David’s Burgers

David’s Burgers is widely-known in central Arkansas for its freshly-pattied, Grade A beef burgers, creamy shakes and endless amount of hot French fries. When they needed support from Arkansas Capital to open their Maumelle location, we jumped on the chance to work with this outstanding establishment.

Uncle T’s Deli-Market

Uncle T’s Deli-Market has been serving delicious sandwiches, freshly cut deli meats and cheeses, as well as common grocery items, in the same location on Martin Luther King Drive for almost 40 years. A respected and loved establishment in their Little Rock community, Uncle T’s Deli-Market is an ideal Arkansas Capital client, and we were thrilled to help them open their upcoming Conway location. Be on the lookout for their grand opening in January!

Shared Services Center Fort Smith Expansion

Shared Services Center is one of the largest employers in the Fort Smith area, as well as one of the fastest growing. When we were approached to help expand this outstanding company, we were thrilled to help them improve and extend their space to accommodate new employees.

Veteran’s Day at Flyway

We at Arkansas Capital love supporting our clients and celebrating those who have made sacrifices to protect the freedoms we enjoy in the United States of America – and we particularly enjoy combining the two. For Veteran’s Day 2016, we hosted an event at Flyway Brewing (one of our outstanding clients) where we bought all veterans a free beer, as well as a beer for civilians that made a donation to Veterans Villages of America. More than $700 was raised to support local veterans in need that night, and fun was had by all in attendance!

Heartland Renaissance Fund

Heartland Renaissance Fund, LLC, – and Arkansas Capital CDE – was awarded a $65 million allocation in New Markets Tax Credits, the second-largest amount ever awarded to Heartland. These funds will help increase investment in businesses and economic activities in low income and underserved communities throughout Arkansas. Learn more about the allocation here.

Reviewing Your Business Plan

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business planDecember is National Write a Business Plan Month, and while this month of holiday gatherings and indulgent food may seem like an odd time to write a business plan, it actually provides a much better opportunity to prepare your business for 2017 than the typical January scramble. You want to be able to hit the ground running New Years Day, not be starting from square one. December will also likely bring fewer requests from clients, vendors, employees and partners, allowing you to focus on your business plan without interruptions.

We already covered the steps to building your original business plan here, but did you know you should also carve out time at the end of each year to review your business plan and make necessary tweaks as well? Before you reach for the old plan though, take the following actions to evaluate your company’s current situation and identify new opportunities.

 Pay attention to your customers.

Make note of who your customers are, what demographic seems to be your “bread-and-butter,” which unexpected demographics you’ve picked up, and what value your company seems to bring to their lives. Also, search for customer reviews on your social media channels, Google and review sites. Record the qualities people seem to most appreciate about your business and which they could do without.

 Talk to your employees.

Like you, your employees are on the front lines of your business, and are intimately familiar with your company and its products or services. Unlike you though, they are likely more aware of issues within your business or with your product that you may be blind to. Tap into this wealth of information by having honest discussions with a few of your trusted employees, or pass out a survey around your office.

 Note pleasant surprises.

If you’ve had any wins this year that you didn’t expect, identify them and think about what caused them to occur. Maybe you picked up a new expected customer base, or one of your services was significantly more successful than anticipated.

 Note unforeseen challenges.

When crafting an initial business plan, every entrepreneur has one aspect of the company that should be a breeze, but for whatever reason just doesn’t seem to be coming together. Make note of what that is for your company, and why you think you’re having trouble with it.

List out new industry trends.

In today’s fast-paced world, even the most even-keel industries change and go through different trends year to year. Record what those are for your industry, and try to identify new opportunities and problems you can solve within them.

Once you’ve taken these steps, you’re ready to revisit your business plan. Armed with the knowledge you have from the above research, you’ll be able to map out a strong course of action for 2017.

Heartland Renaissance Q & A with Christa Clark

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Heartland Renaissance Q & A with Christa Clark

Arkansas Capital is proud to announce that its CDE, Heartland Renaissance Fund, LLC, has been awarded a $65 million allocation in New Markets Tax Credits to foster investment in businesses and economic activities in low income and underserved communities throughout Arkansas. This allocation is the second-largest amount Heartland has ever been awarded. To learn more about this momentous occasion, we enlisted Christa Clark, Vice President of Heartland Renaissance Fund, to answer a few questions about the allocation, and give some insight on what how this money will change Arkansas communities for the better.

Q: What was your process for receiving the allocation?

A: New Market allocations are awarded by the Dept. of Treasury’s Community Development Institutions Funds in a competitive process each year. Heartland staff spends several weeks completing the application and analyzing the impacts from our prior investments when submitting the application. The applications are reviewed by third parties and by U.S. Treasury staff and scored.  Historically, only about 28% of applicants are awarded allocation in a given year in this highly competitive process. We are always honored when we are selected, as there are always over 200 other CDEs in the applicant pool with us. We are especially thrilled this year that this is our fifth award of allocation.

Q: What areas of Arkansas has Heartland worked most with in the past? What areas do you foresee benefiting from these funds?

A: Heartland focuses almost exclusively on investing in Arkansas’ low-income communities throughout the state.  We focus on areas that are underserved by traditional financing sources and direct our investments in the projects that have the most community and economic impacts to that area. As with prior allocations, Heartland will make investments statewide with at least half of its transactions in rural areas.

Q: What industries typically see the most benefit from these allocations?

A: That is one of the benefits of a flexible lending product like New Markets Tax Credits – we can use the funds to finance a variety of projects.  We have financed a wide range of projects with New Markets, everything from educational facilities to non-profits and large rural manufacturing. We will continue to focus on our three core areas of education, health care, and economic development projects throughout the state.

Q: What has been one of your most rewarding experiences working with Heartland?

A: It is hard to narrow that down to one. We have so many projects that I have been blessed to work with that are improving their communities. There was one manufacturing project that we worked several months to bring to financial closing that was located in a town in the Arkansas Delta with very high unemployment and had several large employers that had closed down in recent years.  When the project was about to open, I was doing a site visit and the company brought in BBQ and we ate with the newly hired plant workers in the cafeteria. The plant manager stood and thanked me, and explained how grateful they all were that they had jobs again and were able to provide for their families.

Q: How have you seen Heartland’s work positively impact the underserved businesses, the communities of underserved businesses and the entire state? 

A: There have been so many benefits to underserved areas from our investments.  Our New Markets financing was used to build a state-of-the-art life skills and work training facility for disabled adults in northwest Arkansas.  We have seen hundreds of first generation students attend college for the first time. There has been thousands of quality jobs created in Arkansas’ manufacturing sector that are located in some of the most economically disadvantaged areas throughout the state. Our investments have enabled environmentally-sustainable products to be produced here in Arkansas and have revitalized Main Streets transforming once shuttered properties into vibrant city centers.We continue to see positive impacts for years after we close a transaction as these investments serve as catalysts for economic growth in these communities.

4 Habits That Surprisingly Boost Productivity

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Entrepreneurs are always trying to maximize their time, and squeeze as much work out of their hours as possible. Often, this goal results in working long hours, cutting sleep and constant multitasking – practices that often prove to be ineffective. Instead of burning the midnight oil and sacrificing your personal life for the sake of your business, try picking up the below habits to boost your productivity while also improving your quality of life.
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Providing Your Clients With a 2nd Look

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2ndLookBlog Arkansas Capital gets excited about a lot of things. Supporting small businesses in Arkansas. Local art. Educating students in the art of entrepreneurship. A hot cup of coffee. Watching our clients succeed. But one of the main things we get excited about is getting the chance to give a traditional bank’s potential client a 2nd look. [Read more…]