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3 Ways to Engage an Audience When You’re Presenting about NUMBERS

by with No Comment Business DevelopmentCoachingFeatured BlogProductivity

Over the past year I’ve given a handful of presentations to fledgling nonprofits and entrepreneurs about finance. Managing and understanding the financials is such a foundational skill that can make or break a business, that it’s important to me to present the information in a way that these leaders can latch on to.

One of my goals as a CFO is to encourage ownership of the financials by everyone in the organization. Everyone from top to bottom should understand the basics of the budget and financials, and the role of a CFO is to present the numbers in a way that tells a story.

Here are 3 ways to engage your audience when you’re presenting about numbers:

1. Identify the goal of the session and repeat it at least three times. Explain why it matters. This isn’t because your audience is stupid and didn’t get it the first time. In a session I did for a group of budding social entrepreneurs, I highlighted revenue, expenses, and cash flow, and explained why each was critical to understand. In addition to words on a slide, I showed them how to identify each element on the financial statements and referenced them multiple times.

2. Provide a clear action item for the audience and explain how to make it happen. Instead of reciting a bunch of bullet points and walking off the stage, I presented one action item for each of my three main areas. I asked the group to develop their revenue pipeline, create an expense budget, and figure out their cash flow.

3. Ask questions. I provided a worksheet which outlined my talk but left some elements blank. Participants were forced to really listen and fill in the blanks which I found left them entirely more engaged than if I was just speaking. Hearing + writing led to more questions and repetition breeds familiarity and success.

A BONUS way to engage your audience? Be interesting! Smile, make jokes, learn people’s names, make eye contact, tell stories. Nobody likes a starchy stiff presenter. Break that stuffy CFO stereotype!

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How to Write the Perfect Cold Email

by with No Comment Business DevelopmentFeatured BlogProductivity

When I first started my business over a year ago, I had no idea how to get clients. I had a business model that I thought would work based on my experience in the field, so I had a basic website made to give myself a bit of credibility, and ordered a box of business cards. But how would I get people to actually look at my website and hold one of my business cards?

Maybe surprisingly, my first thought was not to tap my network! I was still working a 9-5 and was terrified that my day job would somehow intersect with my business and I’d be “found out”. I wasn’t doing anything against the rules, but I was almost scared for people to find my business – was I actually good enough to be a CFO consultant? Talk about major imposter syndrome!

So I got to thinking about my ideal client and figured the best way to reach them was to write a cold email. And you know what? It worked! My email response rate was well over 50% and within three months I had landed not just one, but FOUR clients for ongoing work.

Cold emails work when done right.

Here’s proven formula for landing clients using cold emails:

1. Identify your target market. And I mean REALLY get specific. Here’s how I identified my ideal clients:

Nonprofits.

Nonprofits without a CFO.

Nonprofits with small to medium-sized budgets were the most likely to be without a CFO.

Nonprofits whose causes I am personally passionate about (Cincinnati-based, education, international development).

See how specific that is?

Once I narrowed my target client profile, I harnessed the power of the internet using Google and Guidestar (a nonprofit database) and put together a list.

2. Do your research. Instead of just dropping a line to the info@company.com email, research the company, review their website, and figure out who the decision-maker is. Email that person directly.

3. Craft the perfect email. Here is the formula:

Address the person directly. Hi Sarah…

Tell them exactly why you’re interested in their company and working with them. The first sentence of my cold emails shares my genuine passion about their mission. Don’t fake it – you will sound sales-y and transparent!

Explain how you understand a problem they’re likely facing, then show them how you can help in one or two sentences.

Close with your website and ask for a brief chat. Would you be interested in a brief conversation? I’d love to chat about how we can work together at Company X!

So what do you think? This tried and true method works because it shows the client you’re approachable, concise, and genuine. You are someone they want to work with because you’re not sales-y.

I challenge you to give it a shot this week and let me know if you get a response! Want advice on a cold email draft? Send it my way and I’ll take a look, no strings attached!

Happy emailing!

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Nonprofits: More Powerful Than You Think

by with No Comment Featured BlogNonprofit

Sometimes it feels like those of using working in the social sector are on an island all our own. We focus on different metrics than the for-profit world and our efforts can often feel futile when we see what terrible things are happening in the world.

Especially these past couple weeks, where many feel hopeless at the future of our country and our world, I found encouragement in this great infographic from Classy.org.

All of us working to change the world are making a powerful impact not only on those we serve but also on our economy. We contribute over $900B in revenue to the economy and account for 10% of employment in the US. All of my fellow CFOs watch nearly $2 trillion flow in and out of our organizations! My numbers-loving heart finds great joy in the power of our sector!

So when it seems like your Facebook feed is filled with nothing but misery no matter what side of the aisle you sit on, remember that we do have the power to change the world. We’re a force to be reckoned with and the work we do every day is making a HUGE impact…on our communities and our country.

Here’s the infographic!

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A hiring dilemma: Employee or contractor?

by with No Comment Featured BlogPeople

One of the best parts of my job is the fact that every single company or organization I work with is in some stage of growth. Expanding programs, increasing revenue, diversifying scope of services – it all means growth and change. I’ve never been one to sit still for very long so thinking about what’s next excites me.

As organizations grow, we realize we can’t do it all alone and need to bring on help. In fact, I am at that point in my own business – anyone looking for bookkeeping work? I am an awesome manager! Back on topic…

How do you know if your business is ready for an employee on your payroll? Or should you just stick with using contractors?

Let’s first go to the IRS for their guidelines. In short, it all comes down to control.

  • Does the company control what and how the worker does her job? You have an EMPLOYEE.
  • Or does the worker control her work process, schedule, and equipment? Does she have multiple clients? This is a CONTRACTOR.

It’s important to ask yourself these questions upfront, as the IRS imposes strict penalties for classifying an employee as a contractor (which many small businesses do because it’s a LOT cheaper to hire contractors!).

Unfortunately, even the IRS admits that there’s no magic formula or hard and fast rule about hiring employees versus contractors, so here are a few more considerations:

EMPLOYEES:

  • Much more permanent. This can mean increased loyalty to the company, flexibility to take on more than just their job description, and improved workflow due to less turnover. There is the understanding that the assignment is long term and gives an opportunity to build a solid relationship between employer and employee.
  • Much more expensive. In addition to salary, employers are responsible for paying workers’ comp, unemployment taxes, Social Security, Medicare, and health insurance (and potentially other benefits!).

CONTRACTORS:

  • Increased flexibility. You aren’t tied to a monthly payroll and can hire contractors only as you need them. If the business has a slow month, you don’t have to incur any costs for the contractors or deal with the messy business of letting someone go.
  • Decreased cost. The business owner is not responsible for the contractors’ taxes and benefits, computer equipment, professional development, etc.
  • Decreased control. You don’t have control over the contractor’s schedule, work flow, or pay rates. You may experience more turnover as contractors find other clients or increase their rates.

And finally, what do your FINANCIALS tell you about your ability to hire an employee versus a contractor?

  • Profit margin. Is your profit margin above or below 50%? If it’s consistently below 50% then you might not be ready for the financial responsibility of a permanent employee.
  • Cash reserve. How many months’ operating cash do you have in the bank? If it’s less than three, you might want to reconsider an employee since payroll will need to be run regularly.
  • Revenue. How consistent are your revenue and cash receipts? Do you have months that hover dangerously close to zero? Your business and revenue streams should be well-established and consistent before taking on the responsibility of an employee on payroll.

I hope that clarifies the question on whether to hire an employee or a contractor. Either way, bringing on additional help is a great indicator that your business is growing and thriving!

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Insider’s Scoop: How to Fundraise Without Spending a Dime

by with No Comment Featured BlogNonprofit

I’m excited to introduce Cindy Wagman, Principal of The Good Partnership, for today’s guest blog post.

I love fundraising. Yes. You read that right. I love fundraising. When I say that, most people are shocked, because, let’s face it, we have all internalized this idea that fundraising is like begging, that it’s “icky” or manipulative. Right?

95% of people I meet for the first time tell me I have such a hard job. They could never imagine fundraising for a living. The other 5% are fundraisers themselves.

So I’m on a mission to help that 95% of the world love fundraising.

It’s funny – love actually plays a huge factor in fundraising.

Most people who fundraise, either paid or volunteer, do so because they love their organization. They love the work, the impact, the change. We don’t work at charities because of the pay. We’re here because of our passion.

But guess what – donors love charities too. That’s why they give.

As fundraisers, our job is to find the people who are inclined to care about the work of our organizations and then help them find the love. I often call fundraising match making.

For small and mid-sized charities, this can feel overwhelming. We’re always comparing ourselves to the big organizations who have tons of resources and therefore we feel like we can’t even “compete”. How many times has that word come up for your organization?

We can’t compete because we’re too small. We can’t compete because we don’t have a budget. We can’t compete because no one knows our brand.

I hear this all the time. Literally. From every charity I’ve worked with (even the really big ones).

Here’s the thing. I want you to break out of this “competition” thought process and I’m going to help you replace it with the match making mindset.

Something truly magical happens when you help your donors fall in love with your charity. Competition literally melts away.

I’ve created a really straightforward cheat sheet to help you help your donors fall in love with your charity, WITHOUT SPENDING ANY MONEY.

That’s right – you can download the Shoestring Fundraising Cheat Sheet now and find great tips, tools and tactics that will help you raise more money and build that ever-elusive donor loyalty without spending a dime.

This cheat sheet will help you tap into your donors hearts and build the love that will last a lifetime. Sounds good, doesn’t it?

So what are you waiting for? Start 2017 off right and download your free Shoestring Fundraising Cheat Sheet. Start to love fundraising!

Wishing you your most successful fundraising year yet.

Happy fundraising,

Cindy

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How to Mitigate Risk for Non-Finance People

by with No Comment Featured BlogFinancial ManagementNonprofit

Mitigating risk.

Big words. Sounds scary. Not applicable to my business or my little nonprofit.

We all know that starting any type of venture – your own business or a nonprofit or social enterprise – comes with inherent risk. We invest our time and often money into something that we don’t know will be profitable or make an impact on those we set out to help. And when it does work out, a lot of times better than we expected, there are opportunities to grow and expand that again come with risk. Even working for someone else or a Fortune 500 company can be risky. We don’t have control over decision-making or our salaries or whether or not we might be laid off one day.

I’ve been approached by a number of clients lately – entrepreneurs, small businesses, and nonprofits alike – all wanting to know how financially healthy they actually are and if they can afford that big investment they want to make next year. They want a clearer picture of the risk that lies ahead, how they can address it, and they want it in the form of numbers.

As a CFO, this brings me no greater joy because knowing your numbers and being able to see in black and white where the money is coming from and going is one of the most important ways to mitigate risk. The more insight you have, the less unknown lies ahead and the more confident you can be in your decisions.

Props to you, you savvy people!

So mitigating risk is really not so scary a concept. Even if you’re not a numbers person, I want you to do these three things right now to mitigate risk in your own business.

  1. Where am I now? Look at a monthly Profit & Loss statement for 2016. You don’t need to be a financial guru to do this – look for what jumps out at you. Circle the numbers, highlight them, and really visualize what’s happening with your business.
    • Where are you spending money?
    • What months were low on revenue?
    • What is your overall net profit (revenue – expenses)?
  2. Where do I want to be? Write down your goals for next year.
    • How do you want to grow?
    • What investments in your organization are going to take you there? More people? More professional development?
    • Maybe you want to finally invest more in yourself? Increasing your salary or contributing to a retirement account?
  3. How do I get there? We all know that the best way to get anywhere you’ve never been is with GPS. Back in my day, it was called a map. In this case, your budget is your map. I know it can be scary, but I want you to put together some numbers.
    • How are you going to build your revenue goals to be able to make those new investments or otherwise mitigate your risk?

Still don’t think you’ve got the know-how to make the right decisions, even after you do this? I’m happy to help mitigate risk together, but no matter how you approach your numbers, don’t go into 2017 blindly.

When you acknowledge and address your risk, you will reap an even greater reward. As those brilliant Italians say: Sapere e Potere.

Knowledge is power.

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Providing More Value to Your Constituents

by with No Comment Featured BlogMindsetProductivity

Whether through our own holiday celebrations or simply through the messages that retailers throw at us starting in October, we are neck deep in the biggest season of giving throughout the year. My own personal list of gifts to buy for family and friends seems to grow so much annually that I have to wonder where all of these loved ones are coming from! And the list of charities both that I support and that ask me for money seems to grow as well. Like most people, I set a budget, make lists, search for deals, and give as much as my wallet will allow.

As I wrapped up little tokens of appreciation to send to my clients this year, I got to thinking, what intangibles am I providing? I hope I’m providing more value than expected and creating change and allowing them to make better strategic business decisions.

I recently came across this Value Pyramid from the Harvard Business Review to help me think through the elements of value.

The basic concept is that the attributes of a product or service address four kinds of needs: function, emotion, life changes, and social impact, and companies that deliver well on multiple elements of value tend to have stronger customer loyalty and higher revenue growth rates.

I think we can all agree that customer or donor loyalty and higher revenue (or program!) growth are exactly what we’re aiming for.

So how do you stack up? This season of giving and pre-January goal setting is a great time to assess what needs you’re meeting for your customers or constituents, and on a recent afternoon, I sat down with a cup of tea, pine-scented candle burning and did just that.

Starting at the bottom of the pyramid, the Functional Values are what initially draw customers in. They’re the shiny light at the end of the tunnel and show clients how you can solve a problem they have. 100 Degrees Consulting can help you: save time, simplify, organize, reduce effort, reduce cost, improve quality, and inform. What Functional Values are you providing to your clients, donors, constituents?

Next up are the Emotional Values. We’re getting a little deeper now, and I believe my services can: reduce anxiety, reward staff, provide access, and increase the attractiveness of a company or organization. When you think about the Emotional Values of your organization, does this get a bit harder? It did for me.

It was a bit of a mindset shift to think of my particular business as providing Life-Changing Value, but I think it can: provide hope, and motivate. What about you? Nonprofits, I think your life-changing values are clear, but what about the graphic designers or lawyers or artists out there?

And finally, Social Impact or self-transcendence. Is what you’re doing making an impact beyond your own wallet? Since my foray into the nonprofit world nearly a decade ago, I have focused my career on service and while I am not ashamed to admit that I earn a living doing so, my main motivation is service. But is my business making a social impact? I’m pretty confident that most of my clients are making a social impact.

When thinking about your goals for next year, consider not adding services or programs quite yet, and instead think about which elements of value will resonate with your customers and which can you go deeper on and deliver effectively.

“Judiciously adding elements can bring new life and growth to existing products as well as build customer loyalty — with far less risk and lower costs than hunting for breakthroughs.”

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Hey entrepreneurs: Don’t make these 3 finance mistakes

by with No Comment Business DevelopmentFeatured BlogFinancial ManagementProductivity

Entrepreneurs are the BEST. We take an idea from scratch, put all of our brain power and hard work into it, and build that idea into a business for which people pay real money for our services and products. When you think about what goes into building a business, it’s pretty awesome that we can make this happen.

However – you knew there was going to be a however, right? – there are some pitfalls that entrepreneurs often encounter that will truly make or break their success, and they’re related to the numbers.

I get it. We’re not all math people. But neglecting the numbers can land you in a scary place, so today we’re talking about a few mistakes you can avoid.

1. You fail to plan.

When you start your venture, it’s easy to just dive in headfirst and spend a little here and there, get your first sale, and go full steam ahead without thinking about what expenses lie ahead and what your revenue pipeline looks like. This could be a quick way to get into trouble if you don’t know what’s around the corner. Your plan doesn’t need to be super complicated.

Start with the expenses. Think about what you need to be successful, what investments you need to make in your business (computer, training?), what supplies you’ll need to create your products, any professional services (legal, accounting, etc) – then lay those out into a monthly spreadsheet so you know the timing of each expense.

Then tackle the revenue. What is the bottom line you need to cover expenses? Now think bigger: How much do you want to make? Plot out your revenue goal by month so you have clear targets to work towards.

I know it sounds like a lot, but this planning exercise will help you focus and give you clear insight into the financial health of your company or organization.

2. You get behind on tracking your numbers.

We, as entrepreneurs, are busy people. We’re constantly thinking about our businesses, serving our clients, putting out products, doing activities to help the businesses grow, so it can be very easy to let a few months go by without entering expenses into our accounting system, organizing receipts, or looking at a P&L. This is the danger zone! We have absolutely no knowledge of how our businesses are doing without staying up to date on our numbers.

So make sure that you set aside just one morning a month to make sure all revenue and expenses are entered into the books, your bank account is reconciled, and you take a look at your P&L. Maybe even forecast out the coming months so you can see where your business is headed. The most important thing is to stay on top of it – otherwise, you’ll likely be spending more money and calling in the experts come tax time or end of year. This strategic insight is going to help you make better decisions for your business and give you the insider info you need to grow!

3. You refuse to ask for help.

I know firsthand how hard it is to ask for help. I mean, you’re an entrepreneur for goodness sake! You built this business from nothing, so why shouldn’t you be able to do it all?! I ran into this in my own business. I am very stubborn and was determined to build my own website and create my own graphics from scratch. Hours and days later, I was frustrated with the end result, tired of Googling how to do every little thing, and annoyed I had wasted so much time with nothing to show for it. I was humbled into making that call to the graphic designer I had in my back pocket.

Same thing goes for the finances. If you’re not a finance expert, you probably won’t give the numbers they priority they need because it’s not a fun task for you, and you’ll likely spin your wheels for much longer than it would take an expert to get your financial house in order and analyze the numbers for you. Focus on your strengths and leave the numbers to the crazy math lovers.

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Coffee chat

by with No Comment AnnouncementsFeatured Blog

We haven’t had coffee together in a while, but if we were catching up today, we’d probably chat about the weather (80 degrees in October?!) and maybe our families and probably your latest win at work!


As for me, currently I am…

Celebrating one year of 100 Degrees Consulting! In the past year, we’ve led 3 workshops, worked with 5 clients on countless projects, survived 2 annual audits with clients, written 12 blog posts, and analyzed countless financial statements. Year two can only hold more excitement for my clients! Maybe you’ll be one of them?

Planning for year-end close with two of my clients. I know it’s only November but it’s never too soon to start thinking about how we’re going to make sure the year is closed accurately and timely. To help you all out, I’m developing a monthly/annual close checklist that will help guide you through your monthly close too. So many potential clients I speak with don’t have any type of close process which means they don’t have as much visibility into their numbers as they could.

Reading more blogs than anything else these days. Some of my favorites are Melyssa Griffin, Tara Gentile, and Lead Change Group. Does anyone have any great blogs I can add to my list?

Listening to the Hamilton soundtrack. We were gifted tickets to the Chicago show and while I was initially skeptical at how it could possibly live up to the hype, I really enjoyed the show and found myself singing the songs for days after. I bit the bullet and bought the soundtrack!

Working on a financial management program for entrepreneurs. Think a workshop series where I would provide you the tools you need to get a handle on your finances, make sure you’re charging enough, identify your margins, and provide hands-on coaching throughout the whole process. You’ll walk away with confidence in your numbers and insight to make strategic business decisions to help you grow!

Thinking about our next travel adventure! We just got back from a quick trip to Dublin, Ireland, thanks to some Delta vouchers and that sparked the wanderlust again! I’m thinking Scotland, summer 2017. Who’s been?

Enjoy your Tuesday morning coffee, my friends!

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Think bigger than your “overhead rate”

by with No Comment Featured BlogFinancial ManagementFinancial StatementsNonprofit

Once upon a time, I was a victim. A victim to the nonprofit overhead myth that as much money as possible should go to programs and anything spent on “overhead” or infrastructure was taking education away from the children of Africa.

I walked around with a 75 pound, 3 year old laptop, and every time I would lift it up, the battery would drop out of the bottom. This was especially problematic en route to meetings when I had my materials up on the screen just before presenting. I’d have to pop the battery back in, shift uncomfortably in my seat while the system booted up again and I opened my presentation back up. I eventually duct-taped the battery in which served me well until the entire system died.

Really? A duct taped computer? I wasted hours on that thing instead of just spending the $600 to get a new laptop!

I was a victim of the nonprofit overhead myth.

Which is why I’m thrilled to see this conversation making the rounds again and again.

I recently spoke at The Shift, a nonprofit incubator workshop, where I walked newbie nonprofits through creating a budget and pipeline for revenue and expenses. You can be sure I planted those seeds early that minimal infrastructure does not equal maximum programmatic impact.

I love Nonprofit Quarterly‘s shift in thinking about overhead as Core Mission Support, and I think it all goes back to the scarcity mindset. We feel like an investment in key infrastructure is taking away from programs and that there are limited resources out there for us.

Of course, we must be reasonable and responsible with our precious resources (none of Oprah’s “you get a car, and you get a car!” business) and focus on our impact, but let’s all commit to making a shift in mindset. Budget for what you need to be efficient – enough staff and equipment to run like a well-oiled machine. On the income side, don’t limit your fundraising goals either – instead of thinking “Oh, maybe we could raise $100k this year”, think instead of what you want to accomplish and develop a plan to get there.

The sky’s the limit, my friends! Go forth and invest!