February 2010 - Pacific Islands Small Business Development Center ...

2U.S Commercial Service Connects U.S.Companies with International BuyersBy: Guam SBDCPacific office provides Guam &CNMI exporters with gateway toWorld Markets.More than 70 percent of theworld’s purchasing power is outsideof the United States, but manyfirms don’t explore their exportpotential because they believeexporting is too burdensome or difficult.What they may not know isthat the U.S. government can helpfacilitate sales to international markets.With a global network of1,700 trade specialists, the U.S.Commercial Service can helpmake introductions to overseasgovernment decision makers andpotential buyers and provide exportcounseling and market research.Export Assistance: “No onesizefits all”Our assistance is tailored to individualclients. For example, wehelp companies target the bestprospects in foreign marketsthrough customized marketresearch and offer the option ofusing one or more of our programs.This might include the GoldKey Service, a business matchmakingservice that arranges prescreenedappointments with potentialagents and distributors abroad.We also provide customized supportto assist U.S. companies inrolling out new product lines, helpthem target key decision makersby adding clarity to client presentationsand provide U.S. governmentadvocacy support to help level theplaying field when it comes to biddingon foreign government contracts.We also assist in makingNatasha P. CruzJohn Hollmaninternational sales offers morecompetitive through sister agenciessuch as the U.S. Export-Import Bank, which provides exportinsurance and financing. Ouroffices also provide training oncomplying with U.S. export controlissues and guidance on protectingintellectual property during overseasexpansion. All of these servicessave businesses valuable timeand resources when competing inworld markets.No time for travel? We canhelpIt’s always best to meet potentialcustomers face to face, but manysmall companies don’t have thetime or the budget for extensivetravel. Our International PartnerSearch service enables companiesto find qualified distributors andend-users overseas without travelingabroad, and our staff presentsdetailed results of the trade leadsto the U.S. company. Another greatplace to meet international buyersis through U.S. trade shows. Theannual International Pow WowTravel and Tourism Trade Show inthe U.S. is one of dozens of tradeshows where the U.S. CommercialService recruits international buyersfrom around the world andintroduces them to U.S. exhibitorsat events. We set up one-on-onebusiness meetings in advance andhost seminars featuring countryspecificopportunities. Pow Wow isjust one example of how the U.S.Commercial Service has revitalizedits focus on tourism exports withupcoming programs tailored for thetravel and tourism industry, suchas “webinar” briefings on countryspecificsales opportunities, exportcounseling at tourism trade showsand trade missions. The best wayto learn about these time-savingresources is to work with a U.S.Commercial Service internationaltrade specialist.The time is right to expandyour international salesDespite the global slowdown,our Pacific U.S. CommercialService office continues to see asteady number of inquiries fromHawaii, Guam, and CNMI businesseslooking to increase theiroverseas sales. For many companies,free trade, ease of transportation,the Internet and governmentexport programs have madeexporting more viable than ever.Furthermore, exporting is a greatway to build competitiveness, andmany of our clients report thatinternational diversification hasenabled them to weather the economicdownturn much better thanif they had only been sellingdomestically. When it comes todeveloping sales strategies, thebiggest risk is not looking beyondU.S. borders. The U.S.Commercial Service has officesacross the United States and inAmerican Embassies andConsulates in nearly 80 countries.For more information, visitwww.export.gov or give us a call at808.522.8041. I can also bereached atJohn.Holman@mail.doc.gov.John Holman currently serves asthe Director of the Pacific Islandsfor the U.S. Commercial Service, adivision of the U.S. Department ofCommerce. In this capacity, Johnmanages the Hawaii ExportAssistance Center, which is locatedin downtown Honolulu.Guam SBDC welcomes its newest memberBy: Guam SBDCNatasha P. Cruz joined theGuam Small BusinessDevelopment Center (SBDC)in September 2008 as anadministrative aide under theUniversity of Guam’s FederalWork-Study program. Sheassisted the Bank of GuamWomen in Business coordinatorwith coordinating and planningof various WIB workshopsand events. In July2009, she joined the GuamSBDC as a part-time extensionassistant and assists thecenter in an administrativecapacity. Natasha is currentlya student at the University ofGuam and is majoring inBusiness Administration withan emphasis on HumanResource Management. SheThe Guam SBDC thanks theGTA TeleGuam for donating theSpyder Broadband InternetServices to the Guam SBDC.completed her Associate ofScience in Marketing at theGuam Community College in1996. Previous work experienceincludes CustomerService Manager at PCICommunications, Officer &Retail Service Manger at theBank of Hawaii and theBranch Operations Managerat Community First GuamFederal Credit Union.Pacific Business PartnersOfficers, Staff and Board MembersPacific Islands Small BusinessDevelopment Center NetworkLocation: University of Guam, UOG StationP.O. Box 5014, Mangilao, Guam 96923Telephone: (671) 735-2590 • Fax: (671) 734-2002Website: www.pacificsbdc.comCasey Jeszenka, Network Directorcasey@pacificsbdc.comGeorgette F. Reyes, Associate Network Directorgeorgette@pacificsbdc.comBetsy Chargualaf-Iriarte, Network Operations Managerbetsy@pacificsbdc.comGuam SBDCP.O. Box 5014, Mangilao, Guam 96923Telephone: (671) 735-2590 • Fax: (671) 734-2002Denise Mendiola Hertslet, WIB ProgramCoordinator/Business CounselorRodney Webb, Business CounselorLorie Sablan, Administrative AssistantChuuk SBDCP.O. Box 1143, Weno, Chuuk,Federated States of Micronesia 96942Telephone: (691) 330-5846 • Fax: (691) 330-5847Email: chuuksbdc@mail.fmKetsen Haregaichig, Acting Director/ CounselorCassandra Dereas, Office ManagerYap SBDCP.O. Box 1171, Colonia, Yap,Western Caroline Island 96943Telephone: (691) 350-4801 • Fax: (691) 350-4803Email: YSBDC@mail.fmJames Limar, DirectorMonica Tinag, CounselorJacinta Primo, Office ManagerRepublic of the Marshall Islands (RMI) SBDCP.O. Box 1727, Majuro,Marshall Islands, 96960Telephone: (692) 625-3685Email: rmisbdc@ntamar.comAnel Philimon, DirectorLeeno Aikuji, Office ManagerPalau SBDCP.O. Box 9, Koror,Republic of Palau 96940Telephone: (680) 488-6004 • Fax: (680) 488-1549Email: palausbdc@palaunet.comLisa Abraham, DirectorKosrae SBDCP.O. Box 577, Tofol, Kosrae State,Federated States of Micronesia 96944Telephone: (691) 370-2751 • Fax: (691) 370-2066Email: kbdac@mail.fmSkiller Jackson, DirectorRinson Edmond, CounselorAtalia Jackson, Office ManagerPISBDCN Advisory BoardMike Ady,Chairman (Guam)Phillip Reklai,Vice Chairman (Palau)Casey Jeszenka, Secretary (PISBDCN/Guam)Marcel Camacho, Member (Guam)James Gilmar, Member (Yap)Robert Pinho, Member (RMI)Fred Skilling, Member (Kosrae)Mason Fritz, Member (Chuuk)Marie Mesa, Member (Guam)Anita Enriquez, Member (Guam)Rindraty Limtiaco, Member (Guam)Christine Benavente, Member (Guam)Gloria Molo, Ex-Officio (GEDCA)Ken Lujan, Ex-Officio (SBA)

3Trainings held to Help ConnectGuam & the CNMI with the WorldBy Casey JeszenkaPISBDCN Network DirectorA partnership between thePacific Islands Small BusinessDevelopment Center Network(PISBDCN) and the Pacific AsiaTravel Association (PATA)Micronesia Chapter brought“free” seminars featuring U.S.Department of CommerceDirector, John Holman to bothGuam on January 12, 2010 andSaipan on January 15, 2010.John Holman currently servesas the Director of the PacificIslands for the U.S. CommercialService, a division of the U.S.Department of Commerce. Inthis capacity, John manages theHawaii Export AssistanceCenter.John began his career withthe U.S. Department ofCommerce with ImportAdministration, where he helpedto ensure that foreign firms werecompeting fairly in the UnitedStates. John joined theDepartment after completing hisMasters of BusinessAdministration (MBA) at SanDiego State University. While atSDSU, John established a studyabroad program in Melbourne,Australia. He graduated summacum laude from Arizona StateUniversity with a Bachelor'sdegree in Business andPsychology.The seminars conducted wereTourism Training Seminar - Northern MarianasExporting 101: How to Connectwith International Buyers andInternational Tourism Promotion:Promoting Your Destination,Product or Service to Int’lVisitors. They were well attendedand enrollment had to bestopped due to capacity in bothGuam and in Saipan. Sixtyattended the workshops held atthe University of Guam’s Schoolof Business and PublicAdministration and just undertwenty attended the workshopsheld at the Hyatt in Saipan. Thecourses were sponsored onGuam by The UOG Guam SmallBusiness Development Center(SBDC) as a member of PISBD-CN, the Guam Visitors Bureau(GVB), the Pacific Asia TravelAssociation (PATA) MicronesiaChapter, and with special thanksto Continental Airlines. Thecourses were sponsored onSaipan by The Guam SmallBusiness Development Center(SBDC) as a member of PISBD-CN, the Marianas VisitorAuthority (MVA) the PATAMicronesia Chapter, and againwith special thanks toContinental Airlines.The U.S. Commercial Servicehas offices across the UnitedStates and in AmericanEmbassies and Consulates innearly 80 countries. For moreinformation on its services toassist U.S companies export,visit www.export.gov or giveJohn a call at 808-522-8041.He can also be reached atJohn.Holman@mail.doc.gov.The Bank of Guam Women in Business Program at theGuam SBDC presents a series of workshops for WomenEntrepreneurs:"GROWTH VENTURE: EXPLORINGGROWTH OPPORTUNITIES"February 25, 2010, Thursday12pm to 2pm$20.00 per person (includes lunch)Bank of Guam Bldg, 2nd FloorConference RoomThe most successful entrepreneurs don’t questionwhether or not they should grow their business, butrather how, when, and how much. This workshop willfocus on sales and profitability and help you evaluategrowth indicators that show your business’s readinessfor growth.To register, please contact the Guam SBDC at (671)735-2590 or email Laurine Sablan atlaurine@pacificsbdc.com or Natasha Cruz atnatasha@pacificsbdc.com Deadline to register isFebruary 24, 2010 by 5:00 pm Room 148 Guam SBDClocated at the UOG Leon Guerrero School of BusinessBuilding.For more information contact Denise Mendiola Hertslet(WIB Program Director) at 735-2594 or emaildenise@pacificsbdc.com. Requests for reasonableaccommodations must be made 72 hours in advance.Services are extended to the public on a non-discriminatorybasis. The Guam SBDC is a member of the PacificIslands Small Business Development Center Network(PISBDCN). The PISBDCN is a program supported bythe U.S. Small Business Administration under a cooperativeagreement. SBA cannot endorse any products,opinions, or services of any external parties or activities.Guam SBDC Training ScheduleThursday, February 25th (12noon-1:30pm)"GROWTH VENTURE PROGRAM: Exploringgrowth opportunities"Presented by: UOG Guam SBDC-Bank of GuamWomen in Business Program.Fee: $20 person includes lunchLocation: Bank of Guam Headquarters in Hagatna,2nd floor conference room.Friday, February 26th (8:30am-11:00am)"How to Market your Business"Presented By: Guam SBDCFee: $20 per personLocation: SBDC #148 Jesus & Eugenia LeonGuerrero School of Business & PublicAdministration Building on the campus of theUniversity of GuamFriday, March 12th (8:30am-11:00am)"Guerilla Marketing"Presented by: Guam SBDCFee: $20 personLocation: SBDC #148 Jesus & Eugenia LeonGuerrero School of Business & PublicAdministration Building on the campus of theUniversity of GuamThursday, March 25th (12noon-1:30pm)"GROWTH VENTURE PROGRAM: Making strategicdecisions"Presented by: UOG Guam SBDC-Bank of GuamWomen in Business Program.Fee: $20 person includes lunchLocation: Bank of Guam Headquarters in Hagatna,2nd floor conference room.Friday, March 26th (8:30am-11:00am)"How to Prepare a Marketing Plan"Presented By: Guam SBDCFee: $20 per personLocation: SBDC #148 Jesus & Eugenia LeonGuerrero School of Business & PublicAdministration Building on the campus of theUniversity of GuamFriday, April2nd (8:30am-11:00am)"How to Start ABusiness"Presented By: GuamSBDCFee: $20 per personLocation: SBDC #148 Jesus & Eugenia LeonGuerrero School of Business & PublicAdministration Building on the campus of theUniversity of GuamFriday, April 9th (8:30am-11:00am)"How to Write A Business Plan"Presented By: Guam SBDCFee: $20 per personLocation: SBDC #148 Jesus & Eugenia LeonGuerrero School of Business & PublicAdministration Building on the campus of theUniversity of GuamWednesday, April 21st (9:00am-11:30am)"Introduction to MICRO CREDIT"Presented By: Guam SBDCFee: FREELocation: SBDC #148 Jesus & Eugenia LeonGuerrero School of Business & PublicAdministration Building on the campus of theUniversity of GuamThursday, April 29th (12noon-1:30pm)"GROWTH VENTURE PROGRAM: Using FinancialTools"Presented by: UOG Guam SBDC-Bank of GuamWomen in Business Program.Fee: $20 person includes lunchLocation: Bank of Guam Headquarters in Hagatna,2nd floor conference room.To register for these workshops, please contact theGuam SBDC at 735-2590 or email Laurine Sablanat laurine@pacificsbdc.com or Natasha Cruz atnatasha@pacificsbdc.comFor more information you may also visit our websiteat www.pacificsbdc.comRequests for reasonable accommodations must bemade 72 hours in advance. Services are extendedto the public on a non-discriminatory basis.

4DEL SOL: Showcasing Guam’s vibrant colorscontinued from page 1colors with our island’s beautifuloutdoor weather make DelSol products even more pleasurable.Guam’s own color therapy.The color changing themedproducts that Cathleen’s storewill carry consist of a variety ofnovelty and souvenir items forthe whole family. Productsinclude T-shirts, tank tops,Board shorts, Hats (caps andvisors), Sunglasses, Watches,Jewelry (puka, pearl, island-stylebead jewelry), Nail polish, FlipFlops, Rings, Key chains, andHair accessories.We sat down with Cathleenand asked her to share herexperience of opening Del Solon Guam:Tell us a little about yourself.CS: I'm originally fromCalifornia, but have planted myroots on Guam to raise my family.I have been married to avery handsome Chamorro forover 17 years and we have 3gorgeous children.When and why did youdecide to start your own business?CS: I had been contemplatingopening my own business forseveral years. With encouragementfrom my husband and thefact that my children are older,the timing was right.Walk us through your businessstart-up process.CS: After thorough researchinto the market, I composed afew business plans. Eachcatered to different audiences,but all for the same business.With these we were able tosecure funding and begin theactual merchandising layouts,build out set up and design conceptfor the store. Working a fulltime job while preparing to openyour business can be dauntingat times. But, with a good supportsystem in place to motivateand encourage you, it helps youto work harder at your goal.With the assistance of DeniseMendiola Hertslet at the GuamSBDC, I completed my businessplan and began looking for fundingsources. I was approved fora loan from the Get GuamTeleworking Loan Program andreceived additional fundingassistance from DVR. I alsocontributed funds from savingsto help with the start-up costs.What are some of your challengesand triumphs you haveexperienced during thisprocess?CS: Juggling multiple tasksand expecting all of them to bedone well, quickly changed toprioritizing and managing mytime properly. My support systemensures I give it my bestand at that point I push my limitseven further. With the disruptionsthat I have incurred, I havedetermined they are inevitableand now anticipate as well asaccept them.What is your vision for yourbusiness?CS: I am hoping this businesswill become as popular here asit has in the WesternHemisphere.What do you do to keepyourself balanced?CS: Enjoy my downtime andspend quality time with familyand friends. I am my business,but my business is just part ofmy life.What advice would you giveto women who may want tostart their own businesses?CS: There is a multitude ofpeople that will give you theirperspective about your business.Don't take it personally.Take the information and use ittowards your market research.If this is your passion, maximizeyour potential and go for it.Start with a visit to SBDC.Denise Mendiola Hertslet (businesscounselor at Guam SBDC)is one in my support system.Her ability to multi-task all ofher various activities and stilllaugh and smile make her aninspiration to women.For more information aboutthe UOG Guam SBDC -Bank ofGuam Women in BusinessProgram, contact DeniseMendiola Hertslet at 735-2594or denise@pacificsbdc.com.GET GUAM TELEWORKING LOAN PROGRAMBy Carla TorresIndividuals with disabilities on Guamwho dream of owning their own businesshave one opportunity for funding they cancall their own- The Get GuamTeleworking Loan Program, referred to asthe GGT Program. The GGT programwas created through a grant awarded tothe University of Guam’s Center forExcellence in Developmental DisabilitiesEducation, Research and Service in2003.Initially, the grant provided monies tohelp individuals with disabilities buyequipment that would enable them totelework. Such an odd word, telework,simply means paid employment, eitherfull-time or part-time, that is regularly performed,in whole or in part, at a locationother than the employer’s customaryoffice or place of business, such as workon the road, including the worker’s homeor a telework center, and enables theindividual to engage in telework as anemployee or contractor or to becomeself-employed. Sounds fabulous, huh? Itis. Allowing individuals to work fromhome means barriers to employmentsuch as inadequate transportation,fatigue, inaccessible work environments,and need for personal assistance can bereduced or eliminated. The same can besaid for being in charge of your employmentand owning your own business.It was soon realized that the intent ofthe grant would serve such a small population.The federal government decidedto expand the parameters of what isallowable under the grant to include thepurchase of supplies and inventory whichis a big part of start-up costs for openinga business. The goal of the grant shiftedto helping individuals with disabilitiesbecome self-employed through mircoenterprise.The GGT Program offers qualifyingGuam residents with disabilities, loanguarantees to help secure the assistivetechnology devices and services, oremployment-related equipment, supplies,and inventory they need. Access to theloan programs is given to individuals withdisabilities regardless of the type of disability,age, income level, or location.Borrowers must be eighteen (18) years ofage or older. The current interest rate onthese loans is a low 2.25%.Again, the GGT Loan Program canhelp with the purchase of equipment,supplies, and inventory. “Equipment” isdefined as mechanical or electronicdevices or apparatus, software ortelecommunication systems necessary toperform telework, as well as the cost oftraining needed to use the equipmentproperly, maintenance agreements andextended warranties for the equipment,and maintenance and repair expenses forthe equipment. Equipment may include,but is not limited to: computers, printersand related peripherals, software, faxmachines, scanners, office machines,telecommunication devices, telecommunicationsystem installation charges (e.g.,telephone, DSL, high speed and internethookup fees), office furniture, home modificationsfor accessibility and/or to createhome offices, motor vehicles, and assistivetechnology (i.e., any device or itemthat enables an individual with a disabilityto live and work more independently orproductively with an improved quality oflife). “Supplies” is defined as tangibleitems necessary to reasonably supportthe operations of the business.“Inventory” is defined as tangible itemsrelated to the operation of the business.So, if you are an individual with a disabilitywho wants to telework or ventureinto self-employment or you know someonewho does, the GGT Program couldprovide that needed funding source.More information about this program canbe obtained by contacting Carla Torres atthe Guam System for AssistiveTechnology, house 19 on Deans Circle,UOG Campus, telephone: 735-2490,email: carla.torres@guamcedders.org.

6A Familiar face is added ASSET to Palau SBDCBy Palau SBDCOn February 03, 2010, the first andhas been the only Advisory Board toPalau SBDC, who also holds the positionas the Vice-Chairman of thePacific Islands SBDC Network AdvisoryBoard, Mr. Phillip Reklai welcomes thesecond and female addition to PalauSBDC Advisory Board. The new advisoryboard member will serve as a volunteer,a non-compensatory and nonpoliticalcapacity as an Advisor to PalauSBDC Director.To serve in the new capacity is Ms.Mary Ann Delemel, former ManagingDirector of the Palau Visitors Authoritywho has since retired a few years ago,became national adviser to the MediumMary Ann Delemel, New Palau SBDCAdvisory Board MemberTerm Development Strategy project(MTDS). This is a five year strategy forPalau’s medium term goals which wasfunded by the Asian Development bank.Now that the work is complete and presentedto Palau government, Ms.Delemel can dedicate more volunteertime to advise Palau SBDC in additionto her current membership in the Boardof Palau Red Cross Society. “Ms.Delemel serves on many boards forvarious non profit and other organizations,so we are very fortunate to haveher as an asset volunteer to the center”,comments Lisa Abraham, Director,Palau SBDC.The Palau SBDC is a member ofUniversity of Guam’s Pacific IslandsSmall Business Development CenterNetwork (PISBDCN). The PISBDCN’smission is to support the growth andeconomic development of the U.S. affiliatedislands in the western pacificregion by providing high quality trainingand one-on-one confidential counselingto existing small business and to smallbusiness start-ups.The University of Guam – PacificIslands Small Business DevelopmentCenter Network is sponsored in part bythe U.S. Small Business Administration(SBA) under cooperative agreement.The support given by the U.S. SBAthrough such funding does not constitutean expressed or implied endorsementof any of our co-sponsor’s and/orparticipant’s opinions, products, or services.The PISBDCN, its host, agents, sponsors,and other affiliates, do not recommendor endorse any private individualor firm, nor provide warranty or guaranty,expressed or implied, for the work orresults of such a relationship.IRS Reminds Taxpayers that Keeping Good Records Reduces Stress at Tax TimeThe tax filing season is just around the corner,so if you haven’t already done so, it’s timeto organize your records.Whether you are a business owner or anindividual taxpayer, you can avoid headachesat tax time with good records because they willhelp you remember transactions you madeduring the year.Keeping well-organized records alsoensures you can answer questions if yourreturn is selected for examination or prepare aresponse if you are billed for additional tax. Inmost cases, the IRS does not require you tokeep records in any special manner. Generallyspeaking, you should keep any and all documentsthat may have an impact on your federaltax return.Small Business OwnersIf you are a small business owner, you mustkeep all your employment tax records for atleast four years after the tax becomes due oris paid, whichever is later. Examples of importantdocuments business owners should keepInclude:▲ Gross receipts: Cash register tapes, bankdeposit slips, receipt books, invoices, creditcard charge slips and Forms 1099-MISC▲ Proof of purchases: Canceled checks,cash register tape receipts, credit card salesslips and invoicesCHECK OUT OUR NEW LOOK!By Palau SBDCIn 2009, the Palau SBDC wrote ashort story about Palau SBDC’s relocationand how it was converting a20 footer container into an officespace…and you know…theGovernment’s Public Works did agreat job AND completed the worksin three (3) weeks time. Therefore,nothing is impossible. With the rightpeople helping you and the availableresources, anything is achievable.Once again, we were never closedfor services. I hope those who arecurious to know how a container canbe an office, come in and see it firsthand.The Palau SBDC is openeveryday from Monday-Friday, 8:00a.m. to 5:00 p.m. You may contactthe service center Director, Ms. LisaAbraham tel.#(680)587-6004 or cell#(680)775-5472 or EMAILlees@pacificsbdc.com or palausbdc@palaunet.com.▲ Expense documents: Canceled checks,cash register tapes, account statements, creditcard sales slips, invoices and petty cash slipsfor small cash payments▲ Documents to verify your assets:Purchase and sales invoices, real estate closingstatements and canceled checksIndividualsIndividual taxpayers should usually keep thefollowing records supporting items on their taxreturns for at least three years:▲ Bills▲ Credit card and other receipts▲ InvoicesPALAU SBDC’S new look but in the same location.▲ Mileage logs▲ Canceled, imaged or substitute checks orany other proof of payment▲ Any other records to support deductionsor credits you claim on your returnFor more information about recordkeeping,check out IRS Publications:▲ Pub 552 at http://www.irs.gov/pub/irspdf/p552.pdf,Recordkeeping for Individuals;▲ Pub 583 at http://www.irs.gov/pub/irspdf/p583.pdfStarting a Business and Keeping Records▲ Pub 463 at http://www.irs.gov/pub/irspdf/p463.pdf,Travel, Entertainment, Gift, andCar ExpensesPalau SBDC Training for Febru a ry through MarchRecord Keeping for Farmers and FishermenDate: February 24, 2010Location/Time: TBAAccounting and Budget for Small BusinessesDate: March 10, 2010Location/Time: TBACrafting Business PlansDate: March 24, 2010Location/Time: TBAFinancial ProjectionsDate: March 25, 2010 –Location/Time: TBATraining courses are presented at low to no cost. Forexact location and times of each training/workshop,please contact the Palau SBDC at (680)587-6004 or E-mail: lees@pacificsbdc.com or palausbdc@palaunet.com.Requests for reasonable accommodations must be made72 hours in advance. Services are extended to the publicon a non-discriminatory basis.

7Soon to open: Construction of the FNSSnack & Fast Food Business in ProgressBy Kosrae SBDCIn Tofol, the main governmentcenter of Kosrae, constructionof a new building tohouse the FNS Snack & FastFood business is now underway.Mr. Fred N. Skilling, theowner, along with his wife Mrs.Nuerma Skilling expect constructionof the facility to becompleted before the end ofFebruary 2010. With this, theSkillings hope to commenceoperation immediately.The business is located nextto the main street in Tofol centernext to the FSN Office andthe FSM Development bank.This food establishment is consideredto be a convenient locationfor many people includingvisitors and provides ampleparking space in front side ofthe building.FNS Snack & Food offeringswill include assorted snacks,groceries and to-go to be madeOwner Fred Skilling in front of the soon to open FNS Snack & Foodbusiness.available to the Kosrae localCommunity and visitors.Furthermore, the businesshopes to attract those enrouteto the hospital located at theTofol capitol center in Kosrae.In addition to availability oftake outs, customers to FNSSnack & Food will have thepleasure of dining in as analternate choice. As a part ofthe building design, the ownersalso included a sit down eatingarea that will be adjacent to themain business section. Thisspace will be fully furnishedwith tables and chairs creatingan atmosphere where FNScustomers can enjoy the outdoorfeel.In pursuit of this businessidea, Mr. Fred Skilling hadcome to the realization that theconcept of take outs & in-doordining was one business conceptthat is not so common onthe island of Kosrae. To aid inmaking this business dreambecome a reality, Mr. Skillingthen decided to enlist the technicalassistance provided bythe Kosrae Small BusinessDevelopment Center (KSBDC)to help develop his businessplan and complete other documentsrequired by the lender topossibly secure the financingneeded to get the businessstarted. Immediately, workcommenced with the help ofKosrae SBDC to first get thebusiness plan to completion.Following considerable amountof time spent with the KSBDCcounselor, the business proposalwas finalized and then submittedto the Pacific IslandDevelopment Bank (PIDB) inGuam. Anxiously waiting, withinapproximately one month followingsubmission of the plan,Mr. Skilling received word thathis business proposal receivedfavorable approval. Themonths of waiting and time dedicatedto completing all therequirements paid off. FNSSnack & Food Business willsoon be open.For more information regardingthe Kosrae SBDC programand services, please call(691)370-2751 or visit the websiteat www.pacificsbdc.comOwner Mr. Fred Skilling infront of soon to be FNS Snack& Food Business.Establish Business Controls to Focus on GoalsIt can be a challenge to remainfocused on the goals of the businessduring the hurried pace of the businessday. Much like a football team in themidst of a key play, trying to look at thenext part of the game strategy—it’s a tallorder. To stay on target, create a gameplan that covers the big picture, so youcan focus on the “play of the day.”Business controls are as important to thesmall office with two employees as theyare to the small business with 200employees.A control system establishes specificpolicies and procedures for tasks to behandled on a planned basis. The systemmeasures controls and provides feedbackto the owner about what is happeningin various parts of the business. Thissystem should be as simple as possibleto provide information quickly, so theowner can make reasonable businessdecisions based upon current information.Avoid complicated procedures thatlead to confusion, expenses and wastedstaff time.Controls place accountability within thebusiness. Some employees may feel thatcontrols are restrictions. However, thesuccess of the company and the employees’pay depends on the business success.The controls are not meant to be atrap, but rather a quick check to alloweveryone to do the job right. A controlsystem is objective and can provide asystematic and routine measure of performanceon an ongoing basis. Trendsand ongoing employee, manufacturingand service performance are vital to customersatisfaction and business success.Getting employees to accept and followthe system is absolutely necessary.Take time to explain why controls arebeing put into place and the affect youexpect a control system to have on theprocesses of your business. The focus isnot on controlling employees, but ratheron controlling processes and quality tothe business is better for everyone. Youneed employee compliance with the newsystem and their understanding andacceptance is important in creating a reliablesystem.Every business needs policies andprocedures that place a measure of controlin their processes. Product and servicequality means customers and repeatcustomers. Business is gained becausethe company is using the most effectiveand efficient methods to accomplishtasks.You may develop guidelines and controlsystems yourself or bring in a teamof employees to help define a systemthat is useful in their job success, as wellas the company’s success. A control systemshould be a part of making the worksmoother not more cumbersome.Kosrae SBDC Training Dates and timeMonth Training Topic Dates TimeMarch a. Introduction to Profit Mastery TBA TBAb. Customer Service 3/12/10 9:00am - 12:00pmc. Price, Volume, Cost 3/26/10 9:00am - 12:00pmd. Profit Mastery: Cash Flow TBA TBAApril a. Monitor Financial Position 4/22/10 9:00am - 12:00pmb. Basic Business Computer Skills 5/21/10 9:00am - 12:00pmMay a. Introduction to Profit Mystery 5/20/10 9:00am - 10:00amb. Basic Business Computer Skills 5/21/10 9:00am - 12:00pmc. Price, Volume, Cost TBA TBAAll workshops are open toall qualified small businessowners, managers, keypersonnel and individualsplanning considering tostart and/or expand theirsmall business venture. Allworkshops are FREE. For moreinformation, please contact the KosraeSBDC at (691)370-2751 or call the municipal offices for the OutreachTraining schedule to register your name. Interested individuals may alsosubmit a web request at www.pacificsbdc.com or send an email messageto ksbdc@pacifibsbdc.com Requests for reasonable accommodationsmust be made 24 hours in advance. Services are extended to the publicon a non-discriminatory basis.

8Marina Sports Bar & Grill Opens to ReinventDining and Wining Experience in Yapcontinued from page 2duce and meats, including most of theingredients in the luscious housesauces. The bar offers happy hourprices for beers and spirits as well as avariety of exotic drinks. Live music isperformed every Friday and Saturdaynights for night thrill seekers.Yap Marina Sport Bar & Grill opens toreinvent the restaurant and bar experiencein Yap. Whether you’re looking fora drink and a quick bite at the bar or asatisfying meal with excellent customerservice, the Yap Marina Sports Bar &Grill is sure to please.Yap SBDC assisted the owner of YapMarina Sports Bar & Grill with businessplan development and financial projectionswhich were submitted to FSMDevelopment Bank at the beginning of2007. The loan was approved at thebeginning of 2009. Extensive repair andrenovation to the building started soonafter. Finally, at the end of December2009 Yap Marina Sports Bar & Grill heldits Grand Opening. This is testimony tothe fact that through hard work and perseverance,dreams really do come true!The Yap Small Business DevelopmentCenter (SBDC) is a member of theUniversity of Guam’s Pacific IslandsSmall Business Development CenterNetwork (PISBDCN). The PISBDCN’smission is to support the growth andeconomic development of the U.S. affiliatedislands in the western pacificregion by providing high quality one-ononeconfidential counseling and trainingto existing small businesses and tosmall business startups. For more informationregarding the Yap SBDC programs/services,please call (691)650-4801/4802 or visit www.pacificsbdc.comBuild Repeat Business ThroughCustomer SatisfactionASK SCOREAttracting customers to your businessis one thing but keeping them quiteanother. A basic business efficiency isto hold onto existing customers. So howcan you ensure satisfaction among thecustomers you already have? Smallbusinesses do have to try harder. Hereare four ideas:1. Put yourself in your customer’sshoes. Understand your customer’smost important needs and priorities. Ifyou’re not sure why they’re coming toyou—ask. You can’t build on your business’sstrengths if you’re not sure whatthey are. Convenience of location orhours? Ease of access to you or youremployees? Friendly service?Knowledgeable staff? A better product?Better how?2. Be sure your customers know youappreciate them. Sending out a thankyounote after a large order is bound tomake a favorable impression, and it’snot just about letting them know youappreciate their business. You are reinforcingthe customer’s opinion thatdoing business with you was a wisedecision.3. Employee training can pay dividends.If your employees interact withcustomers, whether over the counter orover the phone, they need to know thefundamentals of customer service, notjust the product information.4. Follow up after the sale. Ask customersfor their feedback on your productor service. Did they have a goodexperience with your company? If so,can they tell you how or why? If not,what would have made it better—andcan you do anything to fix it now? Usecustomer comment cards and surveysregularly: You may be surprised at thethings you haven’t noticed—but yourcustomers have.If you want to ensure continuousgrowth in your business, don’t make themistake of focusing on attracting newcustomers at the expense of existingones. Let the high satisfaction rate ofyour current customers do its part tolead you to the best referrals to futurecustomers.Yap SBDC Training Schedule February to AprilDate Workshop Title VenueFebruary23 GoVenture (Entrepreneur) SBDC Training Center, Yap23 GoVenture (Micro Business) SBDC Training Center, Yap24 GoVenture (Accounting) SBDC Training Center, Yap24 GoVenture (Marketing) SBDC Training Center, YapMarch17 Essentials of a Business Plan SBDC Training Center, Yap24 Understanding Financial Recordkeeping SBDC Training Center, Yap29 How to Write a Grant Proposal SBDC Training Center, Yap31 Business Charts of Accounts SBDC Training Center, YapApril12 Micro Plan SBDC Training Center, Yap14 Business Bank Accounts & Petty Cash Fund SBDC Training Center, Yap19 Shake Out SBDC Training Center, Yap21 Tracking Business Assets SBDC Training Center, Yap26 Break Out SBDC Training Center, YapYap SBDC workshops are open to all qualifiedsmall business owners, managers, keypersonnel and individuals planning to open orconsidering starting a small business venture.All workshops are FREE OF CHARGE. Formore information on the trainings/workshop,please call Jacinta Primo at (691)-350-4801/4802. Individuals interested inattending a workshop can submit a webrequest at www.pacificsbdc.com or emailysbdc@mail.fm. Request forreasonable accommodationsmust be made 72 hours inadvance. Services areextended to the publicon a non-discriminatorybasis. Please notethat the schedule issubject to changewithout advancenotice.

9BUSINESS OPERATIONSSave on Small Costs to Win Big at the End of the DayThe reduction of specific fixed and variableexpenses can improve your profitpicture. First a word of caution. Do notneedlessly cut costs. Legitimate expensesprovide the framework for your businessand you don’t want to cut youroperating budget too deeply. However,you must be ever vigilant when it comesto controlling expenses. Each year,expenses have a way of creeping skywards.It is up to you, to evaluate if thosefunds are being spent for their maximumeffect.You can reduce costs without cuttingspecific expenses by increasing the averagesale per customer. If you canincrease the overall value of a sale toeach customer, you then spread thesame expense across a larger income.This gives you a better sales versusexpense ratio. If you operate in a retailstore, you may measure sales persquare foot. Your goal may be toincrease the sales per square foot bycertain percentage. Look to sales as away to improve the success of your business.Beyond offering quality productsand services, it is the sale of those goodsand services that keep you in business.Keep in mind that you need to build ina solid profit margin on sales. A big salesvolume with a thin profit margin is not thesolution you seek. A part of your productor service line may have a smaller profitmargin simply because of competitionand market pressure. If that is the case,then you must add a higher profit marginto other goods, so you can obtain anaverage profit margin, which meets yourbusiness goals.Your goal is to pay the right price forprosperity. Evaluate expenses and lookat areas that may be high or rising at arapid rate. Look at how expenses aredistributed from year to year and identifyareas for review. Review each segmentof your operating budget. Can you negotiatea better lease? Can you renegotiatea long-term debt at a better rate? Canyou earn discounts by meeting accountspayable earlier in the payment cycle?Can you cut specific costs for specifictime frames in order to reduce overallexpenses? Ask yourself these and otherquestions.Before you can determine if cost cuttingwill increase profits, you need moreinformation about your business operation.Proper record keeping is the start.Your business records provide the financialdata to prepare a budget, profit andloss statement, break-even calculationsand operating ratios. This information canbe compare with similar types of businessesto evaluate if your business isoperating within industry norms. A breakevenanalysis will show you the volumepoint at which your gross profit equalsexpenses. From that point on, you beginto move from a loss into a profit situation.The break-even point is a very importantpiece of information to you as a businessowner.Catching the Seasonal Wave Part 1By E-Myth Business CoachMany small businesses experience the bulk oftheir annual sales during a short season orcycle. For many retailers it’s the holidays. For fitnesscenters, January new years’ r e s o l u t i o n stypically bump up new business only to dissipatein the summer months. Some businessesdo amazingly well when the weather getsw a r m e r, while others depend upon the cold andthe snow. The wedding season, tourist season,tax time… these are all examplesof the endless variations thatshape a seasonal business. Formany business owners, it’s criticalthat you catch the right wave atthe right time.While all businesses realizesales cycles, truly seasonal businessesfall into two primary categories:those that can shut downduring the off-season and those in which theowners must find other ways to maintain cashflow during the remainder of the year. In bothcases, the challenges are similar and must beaddressed in order to keep your business flourishingthroughout its ebbs and flows.Budgeting and cash planning are critical forany seasonal business. Vigilance and a clearstrategy in this area can alleviate many of thepotential problems and create a path to solvencyand success, even if you never attempt anyof the strategies to grow your business beyondCATCH THESEASONALWAVE – Part II(Check it out inNEXT ISSUE PBPVol 6 No 2 May2010)its seasonal barriers.Strategies for the Off - S e a s o nCan you dedicate the entire year to your business,paying the business expenses along withyour personal ones? If so, use the off-season toperform necessary maintenance and repairs,take on new projects or work on your marketingsystems. If you have the luxury to performstrategic business development while little or notactical work is occurring; you have an advantagethat most businesses don’t. Create a plannow for making best use of thisdown time.An essential part of your strategicdevelopment should be exploringways to even out revenue andkeep cash flowing during the off -season. Can the sales side of thebusiness take place during the off -season for operations? Can off -season registration generateincome prior to opening operations?If you consider the possibilities creatively,you may come up with successful methods ofspreading your cash flow throughout the year.Some seasonal business owners can afford totake off large amounts of time, while othersneed to scramble and find alternative plans toget through the off-season. If this is your situation,see if you can find compatible substitutesfor your product or service. Landscapers hangingholiday decorations, snow removal operatorsdoing landscape work, a Christmas storeextending its open months by taking on otherholidays are all examples. By carefully examiningthe possibilities, you may discover a similarlow-cost strategy that brings in cash during yourprimary off-season. Another strategy is transformingyour seasonal business into a yearroundenterprise. Patio.com, for example, tookon pool, ping pong and foosball tables, as wellas bar, barstools and bar tables and chairs inorder to get out of their summer season niche.Turning Challenges into A d v a n t a g e sWhile running a seasonal business has itschallenges, as we all know, behind every challengeis an opportunity. By asking key questionsand looking at your business strategically, youcan create new opportunities and develop yourbusiness in extraordinary ways that lead to previouslyunexplored avenues of growth and profit.Consider the following:1. Diversify. Multiply your options throughdiversification. Can you expand on your businessin some fashion? Can you follow the leadof Patio.com and countless other businessesthat took a seasonal niche and expanded itthrough the entire calendar year?2. Explore new markets. Are there customersyou’re not currently reaching? Is there a way toshift your product offering to find new markets?3. Sell during the off-season. Through mailingsand special incentives to book now, youcan stay close to your customer base and findways to make it easy for them to commit duringthe off-season.4. Talk with your customers. Ask them whatnew services or products you could provide. Ta l kwith your suppliers or vendors about new businesspossibilities. Listen carefully to what yourcustomers are saying about your product.Engaging in a dialogue now pays off big timewhen you’re working around the clock duringpeak season.5. Create customers for life. A satisfied customeris the best business strategy of them all.To win new customers ask, what’s the unmetneed? To keep them for life, “ask how are wedoing”?, and “what can we do better”? Follow-upeach purchase with a phone call or letter andask these two critical questions.6. Find the balance. Sometimes the best wayto off set your seasonal business is to set up asecond business that takes advantage of theskills and/or resources you already have onhand. In some cases, you can even serve thesame customer base with both businesses.Consider a snow plow operator who took torepairing boats during the summer vacation season.How about a summer camp owner whoturns his facility into a retreat center during theo ff-season, or the home builder who becomes aremodeler during winter, or the outdoor painterwho paints indoors when it’s stormy. The possibilitiesare just about endless; so if you really dowant to even out your business, dig in here andfind the right product/service mix to make bothwinter and summer a success.Chuuk SBDC Training for March 2010Learn How to Write Business PlanDate: Monday 03/15/2010Time: 9:00AM-11:00AMLearn to Read/Understand Financial stmtsDate: Tuesday 03/16/2010Time: 9:00AM-11:00AMImportance of Recordkeeping to BusinessDate: Wednesday 03/17/2010Time: 9:00AM-11:00AMBusiness DiversityDate: Thursday 03/18/2010Time: 9:00AM-11:00AMCustomer ServiceDate: Friday 03/19/2010Time: 9:00AM-11:00AMThe CHUUK Small Business Development Center(SBDC) Training sessions are open to all qualifiedsmall business owners, managers and key/personneland individuals planning to open or thinkingabout opening small business ventures. All trainingsessions are FREE OF CHARGE. The March 2010workshops will be held at the Chuuk SBDC locateddirectly across the Shigeto’s Store. Individualsinterested in attending the workshops may call theChuuk SBDC at (691)330-5846 or email cassandra@pacificsbdc.comorketsen@pacificsbdc.comRequests for reasonable accommodations must bemade 72 hours in advance. Services are extendedto the public on a non-discriminatory basis.

11Retail store soon to openon Wotje AtollBy RMI SBDCDuring Miochi’s Kamram’syounger years, he had observedother small business owners onthe atoll (Wotje) managed andoperate their businesses. Heoften said to himself that he surewishes one day he will be just likethem – a BUSINESS OWNER.Learning about the technicalassistance services as providedby the RMI SBDC, Miochi Kamramtook the first step by visiting theSBDC Center to discuss his ideasand possibly pave the way to realizinghis dream of being a SMALLBUSINESS owner. MiochiKamram spent as much timerequired and needed to work withthe RMI SBDC to complete the initialrequirements. These to includedeveloping his idea into one simplebusiness plan as is required tosubmit to the Bank of the MarshallIslands for possible considerationfor financing. After months ofpreparation, the plan was finallycompleted. This truly a milestoneaccomplished. Soon thereafter,the business proposal was submitted.Here Today!!! BOMI through itsMicro Finance Loan Program hasmade his dream come true grantingfavorable approval for his businessproposal.Owner Miochi KamramAfter completing his two-yearcollege studies at the College ofthe Marshall Islands (CMI), Miochiis now ready to return to his homeof Wotje Atoll which is one of theremote islands in the MarshallIslands and start up his own smallretail business. Miochi is nowmore than ready to put into actionwhat he has learned about managinga small business. He is soconfident that he will become success.Miochi came back to theCenter to express his sincereappreciation for the services andassistance he had received fromthe SBDC. Miochi says that it wasa definitely a privilege, very worthwhileand most advisable to dedicateyour time putting his idea intoa plan format. By participating inthe counseling sessions, my personalunderstanding and skills onbusiness management have beenenhanced or improved, quotedMiochi.The RMI SBDC of the Ministry ofResources and Development andthe Bank of Marshall Islandsextend their congratulations toMiochi Kamram and wish him successin his business.The RMI SBDC is a member ofthe University of Guam’s PacificIslands Small BusinessDevelopment Center Network(PISBDCN). The PISBDCN’s missionis to support the growth andeconomic development of the U.S.affiliated islands in the westernpacific region by providing highquality one-on-one confidentialcounseling and training to existingsmall businesses and to smallbusiness startups. For more informationregarding the RMI SBDC’supcoming trainings/workshops orother services, contact the Centerat (692) 625-3685 or visitwww.pacificsbdc.com.RMI SBDC Training Schedule for March-May 2010Month Date Training Date Time VenueMarch Wednesday 17 Customer Service 10:00am - 12:00 noon RMI SBDCMarch Thursday 18 Recordkeeping 10:00am - 12:00 noon RMI SBDCApril Wednesday 21 Financial Statements 10:00am - 12:00 noon RMI SBDCApril Thursday 22 Marketing 10:00am - 12:00 noon RMI SBDCMay Wednesday 19 Recordkeeping 10:00am - 12:00 noon RMI SBDCMay Thursday 20 Business Plan 10:00am - 12:00 noon RMI SBDCAll workshops are open to all qualified small business owners, managers,key personnel and individuals planning to open or thinkingabout starting small business ventures. All workshops are FREE ofcharge and will be presented by and at the RMI SBDC located atthe Marshall Islands Development Bank (MIDB) in Room 404.Space is limited; advance sign up is required to have your seatreserved. For more information, please call Leeno Aikuij at (692)625-3685. Registration can also be done through a web request atwww.pacificsbdc.com or email leeno@pacificsbdc.com. Please notethis training schedule is subject to change without notice. Servicesare extended to the public on a non-discriminatory basis.Reasonable accommodations for persons with disabilities will bemade if requested at least two weeks in advance.