Doc Franchise Writings and Ramblings

I love technology. It intrigues me. It keeps me excited and ever learning. Technology has also changed the face of business in spectacular ways. It has enabled businesses to embrace a greater community, it has increased productivity, and simplified communication. There are so many positives that they would be hard to name here in this post.

There is one aspect of technology that I find sad, and that is how it has made us lazy regarding personal contact or “face time” with customers and prospects. Email makes it so easy and efficient. But, you know what they say, “out of sight, out of mind.” In business this situation can be the kiss of death. If your entire relationship is email and text based, there is virtually no relationship.

Never believe that expediency is a better choice than relationship.

Electronic customers take on a different dynamic. Customers within a few hours drive are worth having face time with. When they are both a distance and treated with a steady diet of E-Mail you are in jepoardy.

Companies like the investment company Edward Jones, does not allow it’s advisors to use email with their customers. They do allow personal, voice and snail mail contact only. This effort is rewarded repeatedly. Here are some other things that I do to make “face time” work for me:

Coffee Clutch Time: When a person contacts me to see how we might work together, I typically suggest we meet over coffee. This way I can size them up better and try to understand their motivation. I’ve struck up some terrific business relationships this way.

Network meeting: You can use these events to spruce up your sales skills and put a face to a name. It gives you a chance to help someone on the spot. It also is an opportunity to create dialogue and open up lines of communication with potential partners.

In-person presentations: It has been my experience that an in-person presentation is your most powerful ally. I can demonstrate my desire to serve their business needs and I desire it enough to get out of my office and shake some hands. Virtual relationship is an oxymoron. A physical business shows you’re a real business.

Ignore email: I actually did not believe this until I took a lesson from a marketing wizard. Purposely visit customers or at least make phone calls when you get electronic messages. Showing up to chat WILL get you more business. It certainly ensures you will be taken seriously. I can’t tell you how many times I’ve taken something in person to a client that I could have just as easily emailed only to get other projects given to me on my way out the door. Seeing you reminds them of other ways that you can help. In today's virtual discussion environment, it is so rare that it also creates a certain amount of felt need to make sure your time was not wasted.

“I’m in the area” opportunities: Sometimes, when “I’m in the area” I call to see whether I can pop in to say howdie. These friendly requests always brings a smile and some great conversation.

New service meetings: Recently, I emailed a number of old files and offered to bring them a coffee and discuss what I’m offering these days that might be of help to them. A number of them took me up on it, and this effort resurrected some old business.

The point here is not to rely on convenience to grow your business. It’s not about you - it’s about your clients and customers and nothing tells them you care as much as hearing your voice, feeling the palm of your hand in theirs and listening to your laugh when they tell their latest jokes.

John is a 26-year professional in the franchise industry. He has been a franchisee, a franchise executive and an advocate/consultant to the public and to dozens of franchise companies. He is the founder and managing partner of Wilson Associates and can be reached at docfranchise@gmail.com. or direct office 480.838.1641

The proliferation of B2B franchises - service based franchises - coaching and consulting franchise opportunities has created a whole new category and level of need for financing.

It's been hard enough if you were a capital based franchise (we need build-out, equipment, vehicles, etc.) For a time it seemed all small business capital had dried up. It is a bit better but not a lot.

Today, non-capital intense businesses whose primary needs are working capital, capital for growth (more territory, expansion of marketing efforts, etc.) and only minor capital expenditures compared to manufacturing and retail types still may require capital in addition to their candidates capabilities.

Where do they go? Where does anyone go? Are there alternatives?

Before you run out and begin your search for capital, you may want to consider an approach that many businesses — particularly start-ups and small businesses that may not yet qualify for loans or be able to attract venture capital — have used with more than a little bit of success. It's called bootstrapping. Bootstrapping or booting refers to a group of metaphors that share a common meaning, a self-sustaining process that proceeds without external help. The term is often attributed to Rudolf Erich Raspe's story The Surprising Adventures of Baron Munchausen, where the main character pulls himself out of a swamp, though it's disputed whether it was done by his hair or by his bootstraps.

Today we refer to bootstrapping and it means finding money and resources by any means possible, including begging, borrowing, bartering, sharing, and leasing everything a company needs.

In short, bootstrapping is guerrilla financing.

So, who bootstraps? Many companies do. In fact, some estimates put the total at 75 to 85 percent of all start-up businesses. Three fundamental rules for effective bootstrapping are

• Hire as few employees as possible. For many companies, employees are the greatest expense. When you add up salary, benefits, overtime, and other employee-related expenses, it doesn't take long for any budget to feel the pinch. Bootstrappers avoid this pinch by hiring (and paying) as few employees as possible.

• Lease, share, and barter everything you can. No, you don't have to pay cash for everything that you need for your business to run. Many companies share facilities, equipment, and even employees with one another to spread out their respective costs. An increasing number of firms also have discovered the wonderful world of bartering, the trading of goods and services to other companies in exchange for the goods and services that are needed.

• Use other people's money. Why use your own money when someone else will let you use his or hers? We're not talking about getting a loan, we're talking about convincing a vendor to allow you to pay 30 or 60 or even 90 days after you receive your goods from them. Or, on the other hand, obtaining payment from your customers before you deliver their goods or services. In each case, you have an opportunity to use someone else's funds to your advantage — for a while, at least.

Some of the more common approaches to bootstrapping are:

• Seeking funds from friends and family.

• Getting a home-equity loan.

• Offering equity to employees and vendors in lieu of salary or cash payments.

• Bartering for goods and services.

• Tapping your credit cards.

• Convincing vendors to accept extended payments.

• Starting your business part time while working a full-time job.

• Getting an extra job.

• Working from home or in your garage.

• Sharing offices with another company.

• Encouraging customer financing (deposits and early payments).

• Looking for angel investors.

• Pooling founders' savings.

Although the need for bootstrapping tends to go away as a business grows and becomes more established — and therefore becomes more attractive to conventional lenders and investors — any company, no matter how big or how small, can benefit by applying bootstrapping techniques in its day-to-day financial activities.

One of the greatest dangers as businesses become more established is the growth of overhead — the costs of facilities, administrative personnel, equipment, utilities, office supplies, furniture, and so forth — at a rate far faster than the growth of a company's sales. This is a recipe for poor profits, sluggish growth, and loss of competitive edge.

Bootstrapping can help keep your company lean and mean while keeping overhead in check and profits high.

John is a 26-year professional in the franchise industry. He has been a franchisee, a franchise executive and an advocate/consultant to the public and to dozens of franchise companies. He is the founder and managing partner of Wilson Associates and can be reached at docfranchise@gmail.com. or direct office 480.838.1641

The odds are against success. The numbers don't lie. The challenges facing the operations of a larger small business development compared to a smaller business component is significant enough that it is best to start smaller, ensure your grip on the business model and then grow from there.

These are all expressions I have used. For the most part I still believe these...IF we were talking 5 years ago I would stand by them, in front of them, behind them and arm myself on all of the information that supports them.

Today is a different day however.

Reading newspapers, listening to the radio, or watching TV today is like drinking from a fire hydrant. There are massive changes in the conditions of our economy. The changes mean franchise companies, particularly new and emerging franchisor's need to rethink their sales and development strategies.

Here are some recent headlines:

* Economy Weakens as Deeper Job Cuts Materialize
* Manufacturing Shrinks Most in 26 Years
* U.S. Slips into a Recession
* Jobless Claims Skyrocket
* World Markets Slump on Economic Fears

In a discussion with several franchise executives recently, the question surfaced, "How can we expand in this market?" I quipped that I was excited about franchise growth in the next few years. I explained that the rules have changed and that smart franchise companies will capitalize on the current economic climate and trends. When my optimism was challenged, I shared why I feel this way.

Why be optimistic?

In times of great upheaval come opportunities. If you read past the doom and gloom I am sure you've read that statement as well. Millionaires were born out of the decade that followed the Great Depression. While it is true that the Crash of 1929 brought unprecedented misery and economic hardship to many, during the same period opportunities were created for the creative, quirky and fearless. The worst course of action as that time exhibited is to do nothing, go about your business and not create a strategy that doesn't recognize the current reality.

While caution should be exercised in positions of leadership, don't ignore the obvious. American workers are going to have to change their lives dramatically. Many people - out of necessity - will have to consider starting a new business, purchasing an existing business, or following the more prudent path of franchising as a route to a new career. Their jobs have, literally, disappeared and reality has finally slapped them so hard that they realize things will never be as they were; security will never be in a company, a position, in a career path again!

On the financing side of the equation while the days of freely tapping home equity and 401(k) plans are gone, many individuals still have the financial resources and/or the ability (courtesy of the U.S. Treasury) to qualify for the recapitalization of existing SBA loan programs to fund their startup. There is money to be had.

Back to the Franchise Companies

The biggest challenge for emerging franchisors in these uncertain, yet dynamic, economic times is how to fund their franchise expansion. Franchise companies face several challenges in today's economic environment:

1. Lead costs are above historical averages.
2. The cost of franchise support is higher as well.
3. A poor choice of franchisees will kill your future growth.

All of these things make Master Licensing and Area Development more attractive growth strategies for newer franchisors who lack the ability to fund an aggressive, rifle-shot franchisee recruitment program and build the infrastructure required for ensuring proper progress and success for new and individual franchisees.

The more responsibility a franchise company must take on to secure the future for the masses of their franchisees, the greater downward pressure exerted on front-end expenses before revenues are produced.

The inability to invest in ubiquitous operational support in the first two years of new franchisee operations is the leading cause of franchisee failures, which in turn cripples the future franchisee validation necessary for recruiting new franchisees. This dynamic creates a death spiral. Emerging franchises who attempt to grow and develop their business from a centralized point create more risk for themselves and their franchise system.

Master Licensing (ML) and Area Development (AD) alleviate significant amounts of the cost burden associated with newer franchise systems. By definition ML's and AD's take on the key responsibilities and costs for providing training and support. With an AD strategy in place:

1. The bulk of the franchisee recruiting costs are funded by an AD or these can be centralized and made a component of an off-loaded relationship with a franchise development company. Either or both ways, it reduces franchiser overhead and provides more focused effort with less pressure on the corporate funding sources. If this is done properly, it will revolutionize recruiting.

2. The resources associated with providing a high-quality support system are delivered and managed by a qualified ML/AD. Not only is this more cost-efficient for the franchisor (because the costs of building a support infrastructure and managing recruiting locally are borne by the ML/AD), but the quality of support to franchisees can be geographically proximate, more focused on business nuance and decidedly more personalized.

The key to success in enabling this growth strategy is in understanding the basic operating principles of Master Licensing and Area Development, including how to recruit and manage them, as well as how to properly structure the agreements. The three mistakes most franchisors make in structuring a program are:

1. Assuming that an Master Licensees is the same type of candidate as a franchisee, only with more capital. Some of the most successful ML's I have known over the years are those who did not necessarily have the best balance sheet, but rather an adequate one; however, they had the core talent, enthusiasm, and skills necessary to drive an organization.

2. Creating a development schedule that is too aggressive. This will drive your AD's to choose franchisees based on meeting a timetable, rather than on purely on their qualifications, which leads to a lower quality of franchisees. They will always want better franchisees because the focus on branding for them is now personal. Craft an agreement that allows them to focus on the best things.

3. Assuming that an AD/ML can do both recruiting and operations. I have never, never seen this structure work over the long term. Offload development to a professional organization that takes responsibility for a significant amount of the lead costs and understands the needs of the ML's/Ad's.

There are many other things to consider in designing a franchise growth strategy for these challenging economic times, but having 10-100 (depending on your organization) qualified Area Developers reduces your company needs for funding recruiting and allows you to focus capital expenditures on improving your franchisor operating system.

This can ultimately fuel profitable growth for emerging franchise systems, something they could not have come close to replicating internally. If you are looking for an organization who can provide you with the tools to make this adjustment in your system you know where to find me!


John is a 26-year professional in the franchise industry. He has been a franchisee, a franchise executive and an advocate/consultant to the public and to dozens of franchise companies. He is the founder and managing partner of Wilson Associates and can be reached at docfranchise@gmail.com. or direct office 480.838.1641

If you are the proverbial Internet information junkie, the one who grabs hold of a topic and then will run the gamut you will find abundant opinion and expert on franchising. When researching for "your" franchise you will find a maze of opinion and thought and philosophy as it relates to whether or not you should buy a business, specifically a franchise business. You will trip head long into massive doses of opinion that run smack dab into one another with the force of two locomotives, at full steam, heading over any trestle you have ever seen in any movie scene with trains in the last fifty years.

It's ridiculous! It's absurd! Who are some of these Nimrods? What do they get out of making the most ignorant statements other than to see their own words typed on a page in front of their faces?

I want to clear up some things that seem to fly in the face of one another if I can. However, if you are simply one of those who loves to hear his or her jaw flap when you finally get someone in the know on the phone as you consider business ownership this will have little affect other than to provide more fuel for the fire to keep words floating in the wind and your actions from actually moving you into business ownership.

Here is a bottom line statement you can take to the bank: If you aren't prepared to step out of your comfort zone and become a business owner you will find a plethora of excuses to justify your lack of forward progress.

Here is another: More than 85% of the people who engage a franchise consultant or a franchise development person in negotiations to investigate franchises NEVER BUY A BUSINESS OF ANY KIND...EVER! The corollary to this statement is that they will bother, annoy, cajole, hassle, stalk, bedevil, beleaguer, nag, nettle, perturb, pester, plague and provoke a half dozen individuals who earn their livings providing assistance to those who truly are looking at changing their lives. That is what happens...ever searching but never making a decision to become a business owner.

So, here is my advice to you if you are a true seeker. Look in the mirror, and for a week of Sundays and all the time in between those 7 Sundays, say to yourself, "Stanley (Susan, Ward, Jill, Rudy... whatever YOUR name is) you have decided you are not going back to work for another company as an employee. You have decided...I have decided I will become a business owner. I will understand the components of a business (not the name of it but the attributes of the business model as developed by the franchiser) that will satisfy my personal needs and I will decide what it is I must be able to experience in a business in order for me to have created a condition that I would define as success."

Here is the second piece of advice - If you are still out there looking for a business and looking for the next job simultaneously you will never be any good to another employer or to a franchise company (who needs you at your best in order to continue to grow the value of the brand). Stop looking for the business. Now. Stop it. Seriously. Go get the job and shuffle back into mediocrity. At least for the time being and until your resolve is cemented and you have the will to change your life.

Having said that I realize there are business models that allow you to grow the business as a sideline. As long as you are willing to move at a snails pace in a business whose cost structures would be decidedly less, whose progress would be exponentially greater if you were available full-time plus, then fine...give those a go and put that into your set of business model requirements. Just know regardless of what anyone will tell you, this ex-franchisee in multiple business models and current consultant who works with hundreds of franchises (yes 100's!) is telling you right now what should be obvious to you, more involvement, more hours, more dedication to your business means more rapid, more sure success.

Where was I? Oh yes first you (and then later the nimrods of confusion) - this is what you need to do:
1. Decide first you WILL become a business owner
2. Decide what your business needs to be able to take advantage of relating to:
Your talents - Your learned skill sets
- Your personal gifting (orator, mechanical, tech astute, creative, financial, systems, admin., etc.)
- Your passions (community, environment, faith, hobby, physical fitness, etc.)
3. Decide what your budget is...and frankly don't decide on less than $50,000 liquid ($100K is better) plus
4. Review the types of business format and which you will be most satisfied in operating:
Entrepreneur: I must create it - mold it - make it - control it - be lord of all I see within and relating to it
Franchisee: I will take advantage of someone else's passion, system, creative idea and operate something I enjoy and feel strongly about that meets my criteria (see above) within a structured framework of systems, training, market niche, branding and culture. I will own it but be content with having support and a fraternity of others in my same fleet and type...
Business Opportunity: See Franchisee above and extricate any strong ties to accountability, systems, training, branding (possibly) and ongoing support. There are many fine business opportunities and distributorship's but in my estimation should be the focus primarily of those who already bring marketing, operations, experienced internal training and a talented team to the business table.

There are iterations of all of these...businesses that fall in the cracks; but the more succinct the definition you are able to associate with your business and what you are developing the more you will be content in operating the better you will be to focus on creating business success than constantly tweaking the model in order to stay in some sort of compliance to governing rules and regulations.

What are these disassociated claims that fly in the face of each other that I spoke of early on...?

I just read a plethora of posts that all said franchising is more expensive to operate than like non-franchises. Really?

Let me pose two questions:

1. What would you rather end up with...a business in which you made 30 cents on every dollar over breakeven but you were limited in reach to your market, say you top out at $500,000 by virtue of your model, product offering, branding, systems or marketing efforts or would you prefer a business in which your average unit revenue is less limited and perhaps tops out at $1,000,000-1,500,000 but you only make 24 cents per dollar by virtue of an expanded market, product offering, systems, technology, etc.?

If this takes you more than 6 seconds to answer do NOT become a business owner...not until you get your time down under six seconds.

I have just described what typically happens in franchising. Business franchise formats take advantage of systems, marketing, operations excellence, ongoing support, superior training and far better market savvy and take market share from less organized and professional independent operators. Occasionally they create products and markets. Most often they simply improve on a market that exists and feed a larger piece of the potential market.

On to question two:

2. On what planet does someone in small business consulting have to be living on to tell the Internet world it costs more to be a franchisee than it does to operate an independent business?

I mean the uninformed, usually newbies to franchise research, might add things up like royalties, required advertising and conformed purchasing practices (where you buy from an approved list of suppliers) and say, "Ah ha! They take my money and more of it than I would normally spend...that's their sneaky, under-handed trick to separate me from my wallet!"

But really? Is that what you think? I could list half dozen studies done by the International Franchise Association, Franchise Update, Entrepreneur Magazine and more that show otherwise but let me just make a plea to rational thinking with you...

If you are a bigger business, say, oh, a franchise of 50 units or 100 units or 500 or 15,000 units and you centralize purchasing, and negotiate for volumes do you think you will, as a franchisee have the opportunity to take advantage of preferred pricing or will you pay more than your independent competitor? Now, before you answer, yes, I admit it, there are the very few instances when an unscrupulous franchise company takes the excess savings and pockets them. It is rare. Why? Because in a franchise system there are no secrets.

By the way, you would be correct and earn extra credit if you surmised that the bigger the system the more negotiating power you gain, the lower your rates can go.

Secondly, the expense required to advertise...where do you think that comes from? Now, in some organizations there are larger national expenses than others and these are typically with franchises who have grown to the size where they can take advantage of their market position. That is what happens. Organizations mature, they grow, they get bigger, they are better known and they can take advantage of their brand name, market reach, size and positioning - it is the price you pay to be effective.

Free truism: This one costs you nothing - there are very few franchisees in the universe that like the marketing campaigns of their franchiser and it's corollary is everyone knows more than the experts about a better method to do it. Deal with it. Speak into the situation where you can but just realize this on the front end.

Finally, the cost of royalties is not a cost at all and unless you are running a schlock operation; should you be running your business as prescribed in the franchise model your production and business systems, cost savings through ordering and economy of scale and more effective and consistent marketing efforts will more than make up for this line item expense.

If you want to understand the cost of doing business in comparative independent businesses and franchises always remember seek first to understand before you open your mouth and remove any doubt of your lack of solid research.

• Compare average revenues of franchises to independent businesses
• Understand the expenses in a comparative sense as well
• Realize that advertising creates recognition and recognition gives you a fighting chance in the market ergo it is not just necessary but needs to be consistent, focused and aggressive
• Think deeply about what you will need to do and create if you decide to run your own show without the support of a franchise company - realize that systems create more time to produce and more time to produce create increased revenue opportunities

The franchisee/franchisor relationship is a unique one. It differs significantly from the average employee/employer dynamic in various ways. It also is vastly different than most every relationship a small business might otherwise have with any of the stakeholders in its success.

Over the course of 26 years, I've been franchisor and a franchisee at different times and in various roles of organizations as well as consultant. Ensuring an optimal relationship between the "zee" and "zor" will not only improve your bottom line, but perhaps your emotional well-being as well.

When you're new to an organization, if you have gained any wisdom at all from your years on earth, you quickly understand the larger purpose of having two ears and one mouth. There is much to listen to and many to learn from before you should start making mission critical decisions. I am 12 years younger than my next nearest sibling. Ive been used to people around me thinking they know more than I do. Over time however this positioning and the skill it developed (e.g., listening) have proven golden.

1.Always Give the Benefit of the Doubt

As a franchisee: Let your franchisor know you will give them the benefit of the doubt when there are changes occurring within the organization. You know that the franchisor needs to make decisions for the present, as well as the future of the organization, and this can be the most critical aspect of your relationship in franchising. By giving the benefit of the doubt, the first thought that comes to mind should be: There is a good reason this decision or issue has been addressed this way, and I should find out more before having an emotional reaction.

This self-talk is important, because a franchisor will make decisions not only with information they have today, but also based on things they know or believe to be true in the future. Remember, the top two assets to a franchisor are their franchisees, and their brand. If a decision damages either one (or both), they are hurting themselves just as much as their franchisees.

As a franchisor: You know a franchisee invested their future in your business model and wants to deliver the lifestyle and profits you expect. When a franchisee reacts emotionally to a decision you make, give them the benefit of the doubt before diminishing that franchisees status in the minds of you and your staff. A franchisor may subconsciously put blinders on and may tend to give less credibility to that franchisee. Conversely, when you make an assumption about a franchisee, or react to something they did, only understanding part of the situation, then you will damage the relationship and that all important trust-bond.

Maintain trust in one another, and work out disagreements respectfully and with the understanding that both of you want the same thing--mutual success.

2.Seek First to Understand

Dig up all those old listening skills you had while dating (remember hanging on every word your date spoke?).

Sometimes, we're so busy that we don't take the time to truly understand where someone is coming from when engaging in a discussion. We misunderstand the true issue being raised by honing in on one element of the bigger picture. If someone doesn't like your new marketing plan or they receive poor service from your staff, or, given today's' economy, they're stressed out more than normal, you should take a second to ask them what else might be bothering them. It will make a world of difference.

As a franchisee: Clarify your message if you are unsure of the core issue at hand, and dont be afraid to speak up. Recently, a franchisee was talking with me about business expansion and potentially adding staff. He appeared unusually short, and was having difficulty grasping the strategic nature of our topic. Finally, I simply asked him if there was something else that was bothering him. He shared that his cell phone provider had issued an incorrect delinquency, and due to that, his banks loan committee, which happened to review his line of credit around that same time, lowered his LOC by 50 percent. This was a huge issue that had not been brought up yet, and given the cash flow impact, it would certainly limit this franchisees ability to pre-load expenses or fund capital improvements without being resolved. It was a good thing I asked; its happened to other individuals Ive spoken to, and has a trickle-down effect on other decisions and attitudes about the business.

As a franchisor: There may be distractions or various tangents of an issue that keep you from digging into solutions. Once you have a full understanding of a situation, work with your franchisee and use your instincts and skills to find the optimal results. Various solutions will arise from the brainstorming process, and you could learn new strategies and innovative solutions by listening, as well as offering your own skills.

3.Visit Your Teams One-On-One

As a franchisee: Technology is great, and phones, email and even web-conferencing have improved communication in many ways, but a one-on-one visit to your corporate office is a great way to improve your business. Your accomplishments depend on a successful execution of your model, and the franchisor wants to help you. Take the time and spend the money to fly or drive to their headquarters and schedule time with everyone--from the customer service and support to the president, CEO, and owner(s) -if possible. Let them know how you're doing, your future goals and what they can do to help you achieve the success you desire.

Its not uncommon at times to feel isolated or disconnected from the organization. Seeing the big picture or the strategic nature to the operation can be difficult. If you own a retail or food service franchise, you're so busy that simply running day-to-day operations can be overwhelming. Remember that franchising offers support, templates and a relationship that drives performance and a unified sense of purpose: You fail together, and you succeed together.

As a franchisor: Most solid franchise systems have field operations visits, an annual convention or even regional meetings scheduled throughout the year. These are great for communicating, but in franchise leadership you should take the time to be at these events, and strongly convey your vision for the franchise company. Your presence demonstrates this to your prospective and current franchisees, and shows them how serious you are about their business succeeding. Telling them that you want their advice is a tremendous exhibition of your willingness to do what it takes to learn from them and expand your business. Make time to listen to them, and assist in developing their game plan, or how they can utilize the resources within the system to succeed.

Successful relations between franchisor and franchisee are paramount to long-term growth. Both in good and bad economic times, utilizing the benefits and nature of the franchise relationship will help overcome many obstacles, while giving you the best chance at success.

John is a 26-year professional in the franchise industry. He has been a franchisee, a franchise executive and an advocate/consultant to the public and to dozens of franchise companies. He is the founder and managing partner of Wilson Associates and can be reached at docfranchise@gmail.com. or direct office 480.838.1641

Often I am asked to review the sales and marketing pitches provided by franchise development groups and individuals. Many times these have been developed by marketing and are part of an overall franchise development strategy aimed at creating a more appetizing business offering.

Most often the consultants and sales managers who develop these are not aware of the subtle undertones of certain worn-out words and how we have skewed their meanings.

This whole kick on language has come about as I have listened to business development people by the carloads inflict an aura of self-destruction jargon around a business model that has a better story.

I am not getting into the fashioning of the story but I want to address the words and, in any business setting these 12 need to be used sparingly lest you are put in the pen your audience has labeled huckster or B.S. slinger.

Here they are:

1. Just
   This is most often used to make a huge request or error seem trivial as in: “Could you just do this (500 page) document by Monday?”, a request best made late on a Friday afternoon. In sales terms it might be used thusly, "Just think of this as a cost of doing business."
   
2. But
   Remember, whatever is said before “but” is b*llsh*t, as in, “That was a great presentation, but…”, or “I would like to help, but…” (I'm actually not going to help at all!)
   
3. From
   Much loved by advertisers, as in “Fly to Rome from $199″ excluding $200 of taxes and other “optional” extras for a flight leaving at 4am, going to an airport about 100 miles away from Rome and the ticket has to be booked one year in advance.
4. Might (and any other conditional verb)
   Might is used to achieve two things: first it sets up a negotiating position as in, “I might be able to do that if…” Second, it lays the ground work for excusing failure later on: “I might have done it, if only….”
5. Only
   Closely related to “Just”, it is an attempt to make a big request or problem seem small. “It was only a small error….we only dropped one nuclear bomb over London…”
6. Important (and urgent)
   Used to puff up any presentation: “This important new product/initiative…”. Important to who? And why? Maybe it is important to the salesman, but why is it to me?
7. Strategic
   This is the same as "important," but with bells attached to the ankles. See Strategic Human Capital division, formerly known as the Personnel Department. Alternatively used to justify something which has no financial justification at all: “This strategic IT investment…..(which costs $60 million and has no identifiable payback at all) is essential to the survival of the business”
8. Rightsize, downsize, best shore, offshore, outsource, optimize, redeploy, downshift, re-engineer
   How many ways are there of avoiding saying straight up: we are going to lay off staff, kill morale and kill our business culture?
9. Thank you
   Normally “Thank you” is a good thing...except when used by automated voices at call centers located in India or Costa Rica saying, “Thank you for calling, we value your call…(and we have so much contempt for our customers that we can not be bothered to answer your call promptly, so we will put you on hold until you give up and try to use our impenetrable and useless online help instead).” Similarly, in a sales connection when you, as the potential client ask a meaningful question that has no simple answers and the sales type says, "That's a very good question." Be careful. That usually means a not so very good answer is about to follow.
   
10. Interesting
    Fear this word. When your franchise lawyer uses it, you are doomed. When your doctor uses it, check your will is up to date. "These are interesting times." Uh huh. A slightly less interesting time would be preferable.
11. Opportunity
    Because the word “problem” has been banned in business speak, all problems have become opportunities. This means many opportunities are problems. There is a limit to how many opportunities I can solve. Interesting and strategic opportunities really scare me.
12. Investment
    Investment was first hijacked by the British government to justify wild and uncontrolled public sector spending. Our government followed suit. Spending is bad, but investment is good, so they simply re-classified all their spending as “investment” in the health, education and future of the country. The businesses which followed the government’s lead by going on a spending/investment splurge are now going bust: unlike the government, they can not print money or raise taxes.