luni, 31 octombrie 2011

Seth's Blog : How to get a job with a small company

How to get a job with a small company

Most advice about job seeking is oriented around big companies. The notion of a standard resume, of mass mailings, of dealing with the HR department--even the idea of interviews--is all built around the Fortune 500.

Alas, the Fortune 500 has been responsible for a net loss in jobs over the last twenty years. All the growth (and your best chance to get hired) is from companies you've probably never heard of. And when the hirer is also the owner, the rules are very different.

1. Learn to sell. Everyone has sold something, some time, even if it's just selling your mom on the need for a nap when you were three years old. A lot of people have decided that they don't want to sell, can't sell, won't sell, but those same people need to understand that they're probably not going to get a job doing anything but selling.

Small businesses always need people who can sell, because selling pays for itself. It's not an expense, it's a profit center.

2. Learn to write. Writing is a form of selling, one step removed. There's more writing in business today than ever before, and if you can become a persuasive copywriter, you're practically a salesperson, and even better, your work scales.

3. Learn to produce extraordinary video and multimedia. This is just like writing, but for people who don't like to read. Even better, be sure to mix this skill with significant tech skills. Yes, you can learn to code. The fact that you don't feel like it is one reason it's a scarce skill.

Now that you've mastered these skills (all of which take time and guts but no money), understand the next thing about small businesses--they aren't hiring to fill a slot. Unlike a big company with an org chart and pay levels, the very small business is an organism, not a grid. The owner is far more likely to bring in a freelancer or someone working on spec than she is to go run a classified help wanted ad.

And many small businesses are extremely bad at taking initiative that feels like risk. They'd rather fill orders than take a chance and go out prospecting for a person who represents a risk. And that's your opportunity.

When you show up and offer to go prospecting on spec, offer to contribute a website or a sales letter or some sales calls--with no money on the table--many small business people will take you up on it, particularly if they are cash-strapped, profit-oriented and know you by reputation. (Please don't overlook that last one).

Hint: don't merely show up and expect a yes. It's something you earn over time...

The rest is easy. Once you demonstrate that you contribute far more than you cost, now it's merely a matter of figuring out a payment schedule.

This is probably far more uncertainty and personal branding than most job seekers are comfortable with. Which is precisely why it works.

 

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duminică, 30 octombrie 2011

Mish's Global Economic Trend Analysis

Mish's Global Economic Trend Analysis


Massive Intervention in Yen; Japan Finance Minister Promises to "Intervene Until I'm Satisfied"; Race to Debase Back On; Will It Work?

Posted: 30 Oct 2011 08:54 PM PDT

The headlines on the Yen tonight are rather amusing.

Two hours ago Bloomberg reported Yen Climbs to Postwar Record Versus Dollar as Traders See No Intervention

About 40 minutes ago Bloomberg reported Yen Drops on Intervention; Aussie Weakens

About 10 minutes ago Bloomberg reported Yen Tumbles as Japan Sells Currency Third Time in 2011
The yen dropped as Japan stepped into foreign-exchange markets to weaken the currency for the third time this year after its gains to a postwar record threatened an export-led economic recovery.

"I've repeatedly said that we'll take bold action against speculative moves in the market," Japanese Finance Minister Jun Azumi said to reporters today in Tokyo after the government intervened unilaterally. "I'll continue to intervene until I am satisfied."

The yen sank as much as 4 percent to 78.98 per dollar and traded at 78.19 as of 11:10 a.m. in Tokyo from 75.82 in New York Oct. 28.
I like to watch these headlines for a bit to see where they are going. Here is a chart of the action.

Yen 15 Minute Chart



Intervention Never Works

Japan has struck out twice this year on intervention efforts and numerous times before. Why should this time be any different?

Currency intervention never works. However, it may appear to work if by some lucky chance intervention came at the time the Yen was ready to reverse on its own accord.

The race to debase is back on.

Mike "Mish" Shedlock
http://globaleconomicanalysis.blogspot.com
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Financial Suicide: Head of EFSF says Bailout Fund Could One Day Issue Bonds in Yuan

Posted: 30 Oct 2011 03:29 PM PDT

Klaus Regling, head of the European Financial Stability Facility has proposed European Bailout Fund Could 'One Day' Issue Bonds in Yuan
The euro area's bailout fund could at some point issue bonds denominated in the Chinese currency, Chief Executive Officer Klaus Regling said in Beijing today.

"We are authorized to use any currency we want if it seems efficient so we may one day issue in U.S. dollars or renminbi," said Regling, head of the European Financial Stability Facility, using another name for the yuan. "It depends whether the Chinese authorities would approve of that. I could imagine that over the years that might happen, maybe not immediately but maybe one day," he said.

European leaders are seeking financial support from China, holder of the world's largest foreign-exchange reserves, for an enlarged rescue fund aimed at containing the region's sovereign- debt crisis. Vice Finance Minister Zhu Guangyao said yesterday his government wants more details about the "technicalities" before making any decision on investment.

Regling said yesterday that China, which has been a "good" and "loyal" purchaser of EFSF bonds so far, hasn't set any conditions for buying more of the securities.
Financial Suicide

Issuing bonds in another currency risks financial suicide. Currency movements add to the already massive potential risk of huge fluctuations because of leverage.

Argentina blew up when it could no longer hold a peg in US dollars. While not a peg, imagine the losses on long-term bonds on a leveraged fund were the Yuan to rise by 33% vs. the Euro.

Many homeowners in Eastern European countries have housing loans in Euros or Swiss Francs and have paid a severe price as the value of their currency has dropped vs the Euro and even more so vs the Swiss Franc.

Perhaps the yuan would sink vs. the Euro, but anyone entertaining the risk is severely lacking in financial competence.

Moreover, that Regling would even suggest such a foolish thing says the EU not only expects this crisis will linger for a long time, and it does not believe it has buyers for the debt it issues.

Mike "Mish" Shedlock
http://globaleconomicanalysis.blogspot.com
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Czech PM Considers Referendum to Halt Joining EU

Posted: 30 Oct 2011 01:02 AM PDT

The Czech Republic is having second thoughts about joining the EU, and rightfully so. The EU Observer reports Czech PM mulls euro referendum
The ruling euro-sceptic ODS party in the Czech Republic wants to push for a referendum on the country's future eurozone accession, claiming that the rules have changed since 2003 when Czechs said yes to the EU and the euro.

We signed up to a monetary union, not a transfer union or a bond union in our accession treaty. This is the major reason why the Czech Prime minister wishes to call the referendum on this matter," said Czech MEP Jan Zahradil, leader of the European Conservatives and Reformists.

Last weekend, at an ODS party congress, Prime Minister Petr Necas demanded a referendum on whether the country should join the eurozone.

"The conditions under which the Czech citizens decided in a referendum in 2003 on the country's accession to the EU and on its commitment to adopt the single currency, euro, have changed. That is why the ODS will demand that a possible accession to the single currency and the entry into the European stabilisation mechanism be decided on by Czech citizens," the ODS resolution says.

Prime Minister Necas also floated the idea in case Germany gets it way on another treaty change bringing about more economic integration and tougher sanctions for deficit sinners.

"In the event that there is a change to fundamental rights that would result in powers being transferred from national organs to European organs, this government is bound to ratify this step with a referendum," Necas told reporters in Brussels on Sunday evening.
Conditions Have Changed

It is crystal clear the rules and conditions have changed. Thus, the Czech prime minister is right to call a voter referendum.

The ESM alone is reason enough to tell the EU bureaucrats where to shove it the Euro. For details, please see Treaty of Debt - An Eye Opening Video on the ESM Bailout Mechanism

Mike "Mish" Shedlock
http://globaleconomicanalysis.blogspot.com
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Seth's Blog : The paradox of expectations

The paradox of expectations

Low expectations are often a self-fulfilling prophecy. We insulate ourselves from failure, don't try as hard, brace for the worst and often get it.

High expectations, on the other hand, will inevitably lead to disappointment. Keep raising what you expect and sooner or later (probably sooner) it's not going to happen. And we know that a good outcome that's less than the great one we hoped for actually feels like failure.

Perhaps it's worth considering no expectations. Intense effort followed by an acceptance of what you get in return. It doesn't make good TV, but it's a discipline that can turn you into a professional.

 

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sâmbătă, 29 octombrie 2011

Mish's Global Economic Trend Analysis

Mish's Global Economic Trend Analysis


Treaty of Debt - An Eye Opening Video on the ESM Bailout Mechanism

Posted: 29 Oct 2011 03:14 PM PDT

Inquiring minds are interested in the terms of the European Stability Mechanism (ESM) accord scheduled to replace the EFSF. The following video highlights the key sections of the proposed treaty.



Link if video does not play: Treaty of debt (ESM) - stop it now!

There are comments on The Telegraph article A German view of the bailout deal which is where I found the video.

Key Details of ESM Accord

  • Article 8 says "Authorized Capital stock 700 billion Euros"
  • Article 9 says "ESM members irrevocably and unconditionally undertake to pay capital calls on them within 7 days"
  • Article 10 allows the ESM board of governors to "change the authorized capital and amend article 8 accordingly"
  • Article 27 says ESM shall enjoy "immunity from every form of judicial process". Thus the ESM can sue member countries but no one can challenge it. No governments, parliament or any other body or laws apply to the ESM or its organization.
  • Article 30 says "Governors, alternate governors, directors, alternate directors, the managing director and staff shall be immune from legal process with respect to acts performed by them (...) and shall enjoy inviolability in respect of their official papers and documents"

There are no independent reviewers and no existing laws apply. Thus Europe's national budgets will be in the hands of one single, unelected body that is accountable to no one and immune from all legal actions.

Is this the future of the EU or will the German supreme court and other governments put an end to it?

Mike "Mish" Shedlock
http://globaleconomicanalysis.blogspot.com
Click Here To Scroll Thru My Recent Post List


Chanos Interview: China Slowdown Just Beginning

Posted: 29 Oct 2011 02:21 PM PDT

Jim Chanos Says China Slowdown has just begun.



There is not much new in the video actually. I just happen to think he is correct.

The link came in an email I played while stuck in an airport on a plane delay back to Chicago.

URL if video does not play: http://www.macrobusiness.com.au/2011/10/chanos-china-slowdown-just-beginning/

Mike "Mish" Shedlock
http://globaleconomicanalysis.blogspot.com
Click Here To Scroll Thru My Recent Post List


Absurd Comment of the Week; Peter Principle in Action

Posted: 29 Oct 2011 08:55 AM PDT

The absurd comment of the week goes to Larry Summer for his statements on the irony of the financial crisis.
The central irony of financial crisis is that while it is caused by too much confidence, too much borrowing and lending and too much spending, it can only be resolved with more confidence, more borrowing and lending, and more spending. Most policy failures in the United States stem from a failure to appreciate this truism...
Anyone who thinks the cure is the same as the disease (as Larry Summers clearly does) is incompetent (at best).

I found the reference when Zerohedge posted the Summers link with no comment. I suspect the Summers comment was so asinine that ZH did not even see a need to state it. Because he did not comment, I will.

Peter Principle in Action

Larry Summers may be one of the best examples of the Peter Principle that you can ever find.

However, I suspect a case can be made that Summers did not rise to his level of incompetence, that he was never competent in any position, ever, and that he got where he is out of sheer luck, birthright, bribery, or some combination thereof.

Mike "Mish" Shedlock
http://globaleconomicanalysis.blogspot.com
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Spain's Unemployment "Unexpectedly" Rises to 21.52%; Expect Market Focus to Shift from Greece to Portugal, Spain, Italy

Posted: 29 Oct 2011 12:32 AM PDT

With news of a "voluntary" haircut on Greek bonds of 50%, it's time to look ahead to the next big trouble spots. By measure of 10-Year government bond yields, Portugal at 11.8%, Italy at 6.02%, and Spain at 5.51% (as compared to Germany at 2.18%), Portugal, Italy, and Spain clearly have critical issues.

Moreover, the economic data from Spain is continuously awful. For example Spain's Unemployment "Unexpectedly" Rises to 21.52%
The number of unemployed persons increased by 144,700 in the third quarter, bringing the total number of unemployed amounted to 4,978,300 people, according to Labour Force Survey (EPA) released today by the National Statistics Institute (INE). Spain has not seen such a high unemployment rate since the fourth quarter of 1996.
Austerity measures and economic reforms in the "Club-Med" Euro states are much needed. However, the short and intermediate-term effect will not be good for sovereign debt yields, budget targets, or GDP.

Spain and Portugal are accidents waiting to happen (sooner rather than later), and judging from bond yields alone, it is safe to add Italy to that mix.

The euphoria of a "settlement" (that fixes nothing) in regards to the crisis in Greece will soon give way to the massive number of even larger problems elsewhere in the Eurozone.

Mike "Mish" Shedlock
http://globaleconomicanalysis.blogspot.com
Click Here To Scroll Thru My Recent Post List


Seth's Blog : Questions for a new entrepreneur

Questions for a new entrepreneur

A few things came up over coffee the other day. His idea is good, his funding is solid, there are many choices. Some of the questions that don't usually get asked:

Are you aware of your cash flow? The thing about a fish in the stream is that it doesn't care if the water is six inches deep or a foot deep. As long as it never (ever) goes to zero, it's fine. What's your zero point? What are you doing to ensure you get to keep swimming?

Are you trying to build profit or equity? A business that builds a brand, a footprint, a standard and an audience might end up being worth millions (witness Tumblr, which has many millions of value but zero profitabilty). On the other hand, a business with no exit value at all might spin off plenty of profit (consider the local doctor's office). It would be great if you could simultaneously maximize both the value of your company and the profit it produces (in the short run), but that's unlikely.

What's your role? Do you want to be a freelancer, an entrepreneur or a business owner? A business owner is the boss, but it's a job, a place that is stable and profitable. An entrepreneur is an artist of sorts, throwing herself into impossible situations and seeking out problems that require heart and guts to solve. Both are fine, but choose.

Are you trying to build a team? Some business owners want to minimize cost and hassle. Others are trying to forge a culture, to train and connect and lead.

Which kind of risk is okay with you? There's financial risk, emotional risk and brand risk (among others). Are you willing to put your chips on the table daily? How about your personal reputation?

And finally, and most important, why? Why are you doing this at all?

 

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Weekly Address: We Can’t Wait to Create Jobs

The White House Your Daily Snapshot for
Saturday, October 29, 2011
 

Weekly Address: We Can't Wait to Create Jobs

President Obama says that we can’t wait for Congress to take action to grow the economy and create jobs and highlights actions he took to help families refinance their mortgages, put veterans to work, and lower the cost of student loans.

Watch the video.

President Barack Obama tapes the weekly address, and a video for National Veterans Network, in the White House Library, Oct. 28, 2011. (Official White House Photo by Lawrence Jackson)

Weekly Wrap Up

Here's what happened this week on Whitehouse.gov: 

Helping Homeowners After Republicans in the Senate blocked the jobs bill yet again, President Obama hit the road with a new message, “We Can’t Wait." The President decided to take executive action to create jobs and put money back in the pockets of Americans. While in Las Vegas, the President announced steps to make it easier for homeowners to refinance their mortgages, helping responsible borrowers with little or no equity in their homes take advantage of today’s low mortgage rates.

Modifying Student Loans On a snowy day in Colorado, President Obama announced a new effort that will help borrowers better manage their student loan debt. He said he will move forward with A “Pay As You Earn” program that will reduce monthly payments for more than 1.6 million people. Starting in 2014, borrowers will be able to reduce their monthly student loan payments from 15 percent to 10 percent of their discretionary income.

Hiring Veterans The Obama Administration challenged each of the 8,000 Community Health Centers around the country to hire one veteran, effectively opening up 8,000 jobs to our unemployed veterans. These health centers, which provide primary care services in typically underserved areas, are a major piece of President Obama’s historic health care reform law.

We The People On Wednesday, President Obama’s top education advisors issued the first response to a petition created through the online petition site, We The People. The response addressed the petition “Taking Action to Reduce the Burden of Student Loan Debt”. The Administration recognized the high cost of education and moved forward to reduce monthly loan payments for more than 1.6 million people. The online tool that allows Americans to voice their opinions to the government has had around 755,000 people use the platform to create or sign more than 12,400 petitions.  

Tonight Show The President flew to L.A. to appear on the Tonight Show with Jay Leno. The two talked about Libya, the withdrawal of troops from Iraq, and reality television -- including a show on C-SPAN called ‘Congress.’

West Wing Week: Check out your video guide to everything that happened at 1600 Pennsylvania Avenue. 

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Seth's Blog : If committees told the truth

If committees told the truth

"Hi, we're here to take your project to places you didn't imagine.

With us on board, your project will now take three times as long.

It will cost five times as much.

And we will compromise the art and the vision out of it, we will make it reasonable and safe and boring."

Great work is never reasonable, safe or boring. Thanks anyway.

 

 

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