Tips for a safe holiday season

Unfortunately, the holiday season claims the highest number of fires than any other time of the year. Fireplaces give warmth and a relaxing atmosphere, strings of lights help provide a festive look to your home or business and candles fill the air with your favorite holiday scent.

But all of this can be gone in minutes. When I was 8 years old, I heard someone yelling outside in the early hours of the morning. Jumping out of bed to see what was up; I saw our neighbor’s house on fire. It was a 2-story house and the mom and two sons were sitting on the roof while the father was banging on our back door, hollering for an extension ladder. He needed to rescue his family!

Their house caught fire because of a faulty string of lights on the Christmas tree. Luckily, they were OK. I can remember the impact that loss had on them – even at that young age. The pain they felt wasn’t just that one night, but for months and months because of the effort spent trying to remember their belongings so they could provide a list to their insurance agent.

The Underwriters Laboratories (UL) and the National Fire Protection Association (NFPA) offer these safety tips to help ensure that you have a safe holiday.

• Look for the UL Mark on light strings, electrical decorations and extension cords. The UL Mark means that UL engineers have tested representative samples of the product for foreseeable safety hazards such as fire and electric shock.
  Ensure lights, decorations and extension cords are rated for outside use. Lights intended for indoor-only use bear green UL Marks. Light strings intended for indoor and outdoor use bear red UL marks.
• Read and follow the manufacturer's instructions for electrical decorations.
• Carefully inspect each electrical decoration - new or old - before plugging it in. Cracked sockets, frayed, bare or loose wires can cause a serious electric shock or start a fire.
• Replace damaged items with new, UL-Listed decorations.
• Don't use staples or nails to hang light strings. Instead, purchase hooks or clips designed for hanging light strings.
• Check packaging to determine the maximum number of strings that may be connected or use this rule of thumb: Connect a maximum of three midget (push-in bulbs) light strings or up to 50 bulbs of light strings with the screw-in bulbs (C7s and C9s).
• Don't overload extension cords by plugging in too many decorations.
• Turn off all electrical lights and decorations before leaving home or going to bed.

And while you have your decorations out of storage, remember to take photos of your holiday items and list the high value ones, then add this information to your business and home inventories. Have a safe holiday season!

Prevent, protect and recover

Catastrophes are any misfortune, mishap, or failure. Disasters are calamitous events, occurring suddenly and causing great loss of life, damage, or hardship (Dictionary.com). Whatever we call them, when a flood, fire, tornado, hurricane or theft occurs, it can cause major financial loss.

You never know when something is going to happen, and rarely is anyone completely prepared. There are three ways, however, to help minimize the loss.

PREVENT
Though no one can completely prevent anything from ever happening, there are levels of prevention that will make your life more secure. An alarm system quickly detects fire and smoke. This will not prevent the fire, but it will minimize the loss by notifying the fire department as quickly as possible. This is especially true if the fire breaks out when no one is home!

An alarm system will also provide a level of prevention against theft. Professional burglars know how much time on average they have to get in and out of a building before law enforcement arrives. They know their time is limited, so it will reduce the number of items they’ll be able to remove from your home or business. The less professional burglars might even pass by your property as they seek an easier target (one with no alarm).

PROTECT
Purchasing the proper insurance policy will help protect you against financial loss. Make sure you have an annual review with your insurance agent and discuss anything new that has happened over the previous 12 months. The intent of insurance is to get you back where you were before your disaster. The proper insurance policies will give you that vehicle. But just having insurance isn’t enough.

RECOVER
One of our customers stated that without an inventory of his personal property, an insurance premium is just another bill. This is because without a listing and photographs of your belongings, it will be extremely difficult to remember and list everything that has been stolen or destroyed. A thorough inventory will give you that information so you can file your claim quickly and maximize your claim settlement.

An alarm to lessen the loss, an insurance policy to protect your financials, and the inventory to provide a maximized claim are the full package required to prevent, protect and recover.

An asset inventory for your business is essential

Business owners face the possibility of a fire, tornado, theft or other disaster. One of these instances could destroy everything you worked so hard to create. When this happens, a personal property – or asset - inventory will provide detailed documentation of the contents of your business and ease the claim process. You’ll recover faster and maximize your settlement.

You most likely have a depreciation schedule, and are probably figuring that’s where you’ll access that list. But consider that the rule of thumb by most CFOs and CPAs is to expense items valued at less than $500 (some suggest $1000). How many items are owned by your company that have a price tag of under $500; are they documented?

In addition to listing the contents, item by item, you’ll also be asked by the insurance company to include the purchase date and cost. Having a document to refer to reduce the stress so you can focus on getting back to doing business in a much shorter timeframe.

The number of burglaries are increasing, fires and tornados destroy businesses. Will you be able to compile a complete list that will enable you to receive a proper settlement?

Buying or selling a business requires an asset inventory

If you're planning to sell your business, do you know the value of your personal property? Without a complete, detailed list of all of your assets, the answer will be 'no'. Let’s say you have 10 tables, each costing $80. That’s $800, and most likely not listed on your depreciation schedule or any other document, for that matter. How many chairs, desks, lamps, etc., are owned by the business? To ensure that you are receiving a fair and equitable price for your business, compile a detailed list of all of your assets.

The same is true when purchasing a business. We asked a new business owner if she received an itemized inventory of its contents. Her response was, “No, I have no clue; I trust my business broker.” If you don’t know how many desks, tables, chairs, computers, printers, electronics, appliances (the list goes on and on, doesn't it?) you have, how will you know if you paid a fair price? An itemized inventory of the contents is a document you should require.

Most small-to-medium sized business owners agree it is important, but few have this documentation. Reasons cited are that they and their employees are too busy, it takes too long, they don’t know how, or realize they will not keep it up to date if they do create one.

If you are in one of these categories, seek the assistance of a professional to provide the service for you. Verify they are bonded and insured. In addition to the inventory service, the provider should also include secure back-up of your records and have a process in place to update your records annually.

Moving your business...time for an inventory!

So you’ve outgrown your current facility! Or you have been leasing and purchased a building. This is the perfect time to create your inventory. You’ll have easy access to the model and serial numbers that are under or on the back of electronics and appliances.

Most likely, you’re moving locally, so it’s best to create the list after you unpack. You’ll be able to identify the location where each item is being placed, which is the preferred format for insurance companies.

When moving out of town, or using a moving company to transport your contents, at least take the photos prior to departure. This will help back up any claim you might need to file if something is damaged, lost or missing.

If you've chosen not to move, but need more space, you might have considered putting rarely-used items in a storage facility. If you have off-site storage, create an inventory as you move the items so you'll have a thorough listing of everything that is located elsewhere.

Now that you have the documentation, be sure to update it annually.

Erie Insurance offers convenience with cash card

Can someone say "Customer Service"! Erie Insurance has come out with an emergency-use cash card for their policyholders who just experienced a loss. This card can be used to purchase food, gasoline and other immediate needs! http://is.gd/8Twp

Hartman Inventory Announces Expansion

We are very excited to have 2 friends and business associates join our team to provide personal property inventories throughout the state. Jim Doering and Mychal Doering have received training and are providing the much-needed service in the Bloomington and Columbus areas. This will help us gain access to a wider market and be able to provide faster service.

“I tell my customers how important it is to have a backup of their data. Now I’ll be able to provide total documentation of all of my customers’ personal property, not just their computer equipment,” explained Jim Doering. “It’s a perfect extension of our IT service."

As the owner of Hoosier Decorative Edging, Mychal Doering sees this as a great opportunity to even his cash flow throughout the year. “Summer is extremely busy with cement work, but there are a few months in the winter that my business comes to a halt. This inventory service will help fill in my slow season and balance out the entire year.”

Both of the Doerings’ companies align well with the inventory service, which will allow for co-marketing of the businesses. Inventories help maximize an insurance claim when recovering from a disaster, but are also helpful with financial and estate planning, moving, placing items in storage, and sale or purchase of a business.

Jim is a resident of Bloomington. He is owner of Doering Consulting, which has provided complete network and PC solutions for small to mid-size businesses since 1990. He is active in the Greater Bloomington Chamber of Commerce and is a Vice President of Rainmakers, overseeing activities in the communities south of Indianapolis.

A resident of Ellettsville, Mychal owns Hoosier Decorative Edging which takes cement from bland to grand. They create attractive porches, patios, driveways, sidewalks, garage flooring and pool areas. Mychal is a member of the Monroe County Home Builders Association, the National Association of Home Builders, the Greater Bloomington Chamber of Commerce and Rainmakers where he serves on the Bloomington Advisory Board.

And for our newer readers...a little about us. Founded in 2004, Hartman Inventory is a woman-owned business that provides services to both the commercial and residential sectors. The Hartmans have also created Hartman Inventory Systems, a turnkey package that helps people begin their own inventory business. The Hartmans are members of One Degree Connected, an online business-to-business networking site. Active networkers, they are Vice Presidents of Rainmakers, a state-wide networking and marketing organization and are recognized as Rainmakers of the Year, 2007.

Technology: time savers or time wasters?

I'm sure you've experienced this scenario: you’re answering a voice mail message when you get a notice that a text message has arrived. Sitting in front of your computer, your mail icon indicates receipt of a new email while your IM screen pops open. What to respond to first? Is this a typical day? Unfortunately, most likely it is.

As we struggle to stay up with the various communication options available, many people feel they are wasting more time than they are saving, due to constant interruptions. Most of the new technology creates immediacy. Before we decide to stomp on our cell phone or smash the computer, let’s look at some ways to incorporate a little structure, letting the technology work for us instead of against us.

VOICE MAIL
Be sure that your voice mail message asks for the caller to leave a detailed message. That should be a given, but how often do you get a message that says, “Hi. Give me a call; I have a question.”? So you call back, and they aren’t available. You can’t leave a response because you don’t know why you’re calling. So the phone tag begins. If they had stated the question, you could have called back with the answer and most likely the process would have ended at that point.

When you are leaving a message, give enough detail that the person can respond properly. If information must be researched first, they will complete that task before returning your call, again saving both of you a lot of call-backs and getting nothing accomplished.

EMAIL
Here is a scenario that happens consistently with most everyone I know: You are working at your desk and the little envelope appears, or your computer ‘dings’ (or both). Mail has arrived. Hurry up and check it! This interruption can take just a minute, or enough of them can consume your day. If you just can’t ignore these notifications, turn off the audio and the envelope icon.

I’ve heard from business associates that they read their emails only 2 or 3 times a day. Try a few different times and see what works best for you. Reading and responding to emails in blocks rather than continually throughout the day will prevent a lot of interruptions and provide for a more focused work day. I heard at a seminar that each interruption causes a loss of 15-30 minutes before you’re back functioning at the level you had achieved prior to the break in concentration.

NEWSLETTERS
Some are extremely educational, others informational, and still others just a nuisance. You have total control over this, and it’s as easy as clicking “Unsubscribe” to the email newsletters you have no interest in receiving.

I receive a lot of newsletters from fellow members of Rainmakers, a networking organization (www.gorainmakers.com). I like to get them because it’s a quick, monthly reminder to refer business to them, and it helps me stay up with changes in their businesses, new products, new employees, etc. I will scan the headlines, and if nothing draws my interest, I delete it - at a cost of less than a minute of my time. If there is an item of interest, I choose to take the time to review the article.

Try these suggestions; you’ll have a more focused, productive and time-efficient day.

ROI for hiring an inventory service

How often have you thought about hiring an inventory service, but felt you couldn’t justify the Return on Investment (ROI)? This service is something few like to think about, because many feel that “it” will never happen to them.

But ask a person who endured a tornado’s damage, experienced the loss from a burglary or suffered the emotions of digging through a fire’s debris of water-soaked, melted “stuff” that used to be their belongings. I’m guessing – actually I know – they would say every dollar they paid for their inventory documentation was money well spent.

An example of the value of having an inventory is relayed by one of our customers. He remembers watching his grandmother’s house burn. Reality is brutal! Fear, frustration, “why me”, anger, despair. You go full circle when dealing with a disaster. There were so many items that could not be identified because the fire burned them beyond recognition. How do you prove you owned something you don’t even recognize yourself?

Family members helped his grandmother remember quite a few items, but they know that thousands of dollars worth of belongings were not claimed. Those losses will never be recovered.

What is the ROI when you can replace a minimum settlement with a maximized claim? What is the ROI when you can replace time spent digging through muck with time rebuilding? What is the ROI when you can replace loss and frustration with peace of mind?

A haze of smoke and alarms sounding

A fire victim’s experience provides some insight of how important it is to have an inventory AND to keep it secured off site.

After 10 years of marriage, he and his wife purchased the house they planned to stay in for many years to follow. It’s a beautiful house with a touch of charming local history and plenty of breathing room for their four growing boys. As a child, his wife actually dreamed of owning the place!

Two months later, they woke in a haze of smoke with alarms sounding. Though the family escaped unharmed, an electrical fire left the basement completely burned out while the rest of the home and personal belongings were affected by heat, smoke and water damage. They are responsible people who were fully insured. In fact, most of their belongings were documented on a written report and also videotaped. Unfortunately, the documentation and backups were temporarily stored in their home due to the recent move.

The outcome of their insurance claim was somewhat unusual in that they recovered more than 90 cents on the dollar (most victims state they recover between 30% and 50%). But the claim required more than 5 hours of work per day, 7 days a week, for 16 months. The process left them, in his words, “burned out” as well!

This shows how important it is to have an inventory - just the financial recovery is worth the time and effort, and makes it obvious how easy it is to see the ROI when using an inventory service to do the job for you. Then, consider the amount of time and emotion it took to complete the claim.

(Thanks to Scott Shearin of New Media Marketing - (317) 506-0878 for sharing this story!)

Tips to maximize your insurance claim

When filing an insurance claim, many people forget items...a LOT of items. Others spend numerous months – yes, months – trying to remember what they own(ed). And quite a few find months after the claim is settled that they didn’t claim and will never recover thousands of dollars with of personal property.

So what can you do maximize your claim and minimize the time it takes to file? The National Association of Insurance Commissioners (NAIC) suggests that you take an inventory of your belongings. This should include taking photographs or a video of each room. The documentation will provide your insurance company with proof of your belongings and help to process claims more quickly in the event of disaster. Remember to include items you rarely use (e.g., holiday decorations, sports equipment, tools, seasonal items, etc.).

To file claims more quickly, the NAIC suggests that you keep sales receipts and/or canceled checks. I also suggest that your photos and written report are compiled room-by-room, as adjusters and insurance companies state that is the preferred format when filing a claim.

Without an inventory, could you remember what you own? Insurance adjusters state that people with an inventory can file their initial claim within 36-48 hours of a disaster. Those without an inventory take from 4-12 months to complete the process. And because they have documentation listing their belongings, they are able to maximize their claims. You'll remember all your contents, and the photographs support ownership.

If you don’t have the time or choose not to do your inventory yourself, use the insight and experience of a professional. The cost is well worth the investment in peace of mind.

Will speak for food

Do you enjoy speaking in public, and can you present well? Do you have knowledge that others would want you to share? Can you talk about your business without turning it into a sales pitch? Do you see the value of providing information in exchange for business exposure? If you answered “yes”, then this post is written just for you!

There are a variety of civic organizations – Kiwanis, Rotary, Sertoma - that invite guest speakers to provide unique information at their meetings. Church groups, Chambers of Commerce and other business associations also seek experts in their field. The list goes on and on. Though few pay for their speakers, you are usually warmly welcomed and appreciated for giving your time. And there is most often a breakfast, lunch or dinner provided.

The main criteria is that you offer education or information. For example, Mike and I discuss why business owners, homeowners and renters need to know what they own. We include stories of what has happened to those who didn’t have an inventory to assist with filing their insurance claim, and discuss the common misunderstandings about personal property insurance. We even give tips on how to compile an inventory.

I am a Vice President of Rainmakers, enjoy networking and have presented “How to work a room”. Many people are just entering the networking arena and are eager to receive tips to help them when attending events.

If you aren't talking about your business, what does this do for you? It puts you in front of a group of people you might not have otherwise met. Your introduction will tell them what you do, plus most organizations encourage you to distribute promotional material at the conclusion of the meeting.

Everyone has value and has a special area of expertise. What is yours? And how do you get the word out that you want to be a speaker? Let your business associates know you're looking for speaking opportunities. Write about it on your blog. We are on the Kiwanis Speaker List for Indiana; many other organizations have found us on that list. Look in the paper; most organizations list the name and phone number of the contact person.

Bottom line is, you provide useful knowledge, become known as an expert and have received the opportunity to promote your business. Not bad for a couple hours of your time – oh, and you get a warm meal and friendly conversation, too!

Federal gov to regulate the insurance industry?

According to Reuters, there is talk about the federal government regulating the insurance industry in the United States as early as 2009.

What do you think about that?

Inventory your items before placing them in storage

Yesterday's post discussed the importance of creating an inventory when you're moving. There are times when you might have to place items in storage.

If you can't move into your new house and the buyers of your old house are due to take possession, you might choose to live with friends or relatives temporarily. Your contents must go into storage.


Many college students accumulate quite a bit of furniture and electronics. When they move back home for the summer, they bring all their belongings back with them. Often, mom and dad have downsized and there is no room for these additional items. So each summer, storage units are rented. Since they are out of sight, are they also out of mind? Could you remember everything that was placed in a storage unit?

Some storage unit facilities require that you purchase insurance from them, or call your insurance agent to ensure your items are covered. A local police officer stated that there are burglaries on a frequent basis at self-storage units. There are also occurrences of fires and floods.

Document everything as you place them in the unit. If you don't want to do it, we know of someone who will do it for you!

FEMA suggests Indiana residents get flood insurance

When a flood threatens, most people instinctively grab their loved ones and their wallets, but FEMA experts say if you don't have flood insurance you might as well leave the wallet at home.

...more

Remember to document your personal property inventory as part of your residential or business disaster preparedness. This inforamtion will help you maximize an insurance claim.

Moving - a great time to create an inventory

It’s moving day! You packed all your contents into boxes and labeled the boxes according to what room they go in when arriving at the new house. But you didn’t list the individual items as you packed – you didn’t create a thorough inventory. What if some of the boxes are missing when you arrive, or some of the items are damaged?

You probably won’t even know it for days, weeks or even months, according to how quickly you unpack. Then how difficult would it be to list what you no longer have? Completely impossible!

If you don’t already have an inventory of your belongings, this is a great time to create this documentation. You’ll have all the appliances and electronics unplugged, so listing the model and serial numbers will be quite easy. Normally, people purge the things that they no longer want or need, so this is another reason to record your home’s contents now – you’ll have cleaned out all your closets and thrown or given away all your unwanted items.

If you’re hiring a moving company, create your inventory prior to the move. Take photos and log the items as you pack them. The photos will prove ownership, in case something is missing, but will also show the condition of your belongings before they were loaded onto the truck. Scratches on tables, broken legs on chairs, a tear in the upholstery or crystal that has been chipped, cracked or broken are all situations that might occur. Be prepared.

If you’re moving yourself, document your items after you’ve unpacked. You will have all the items in the proper rooms (the preferred format when filing an insurance claim) and also no contents will be included that didn’t fit in the new house or apartment.

Moving is a very stressful time, whether you’re going across town or across the country, and accidents and disasters do happen!

A friend told me her neighbor moved and when they arrived at their new house a few states away, she called to ask if their portable basketball goal was still in the driveway. My friend informed her former neighbor that she watched the movers load it onto the truck. Now what? No list, no photos, no basketball goal.

Another instance that supports the need for an inventory prior to moving is a couple who moved from California to Indiana. The moving van was in an accident and all the contents on that truck burned – complete destruction! No photos or a detailed list to help them complete their claim form.

No matter how far you’re moving, or how many items you own, relocation is a perfect time to create your much-needed inventory of the contents of your home.

Less than 1/2 of what it was worth!

Bruce Lewallen, of Bclean Services (317-372-8459) is a recent customer of ours. After reading his story, you'll see why he wanted a personal property inventory!

I want to thank the Hartmans for providing my family and home with a sense of security. I enjoyed watching and learning the step-by-step process of my home inventory. It is a wonderful feeling that I have my personal property documented and photos to go along with it, plus a back up in case of a tragedy. I have been through the loss process. I was burglarized.

They took everything in my home, and started taking my clothing, when I showed up. I went through police reports and insurance documents trying to remember what I owned. When you have something like this happen to you, you can’t even think, because you have been violated. I lost documents, personal items, electronics and things you can not replace.

After I guessed at what I was able to remember, I got a check from my insurance company.
Trust me, it was less than half of what it was all worth.

It is a blessing to have a company that can help you with your inventory and have a back up as well. This will help any renter, home owner or business owner with any tragedy.

I truly recommend Hartman Inventory. I think most people, when they get the forms from their insurance company, tend to cover just the high dollar items. This is only a portion of what you own, so do not lose your investment.

Office environment can affect attitude

The sky is cloudy and gray very often this time of year. Maybe now is the time for a fresh look!

James Kuster, of Kuester Design in Indianapolis, suggests that when considering changing your office colors, think hard about how you feel while at work. Are you anxious, irritable, have difficulty concentrating? Or, are you excited, energized, and focused? If the former better describes your workspace than the latter, take a look at the office décor. One’s environment has a direct bearing on one’s mood and energy level.

Look at the color choices for the walls. Are they institutional, boring, drab? How do they make you feel? You will be more productive if the colors make you feel “up beat” and positive.

In addition to - or instead of - painting, think about adding bright framed posters. Colorful rugs can change the look and feel of a room and hallway. And fresh flowers always bring a bright feeling to any office environment.

These are great tips for home-based businesses as well. A former bedroom or attic areas is often converted into an office; possibly it's time to 'make it your own'.

The joys of being self-employed

Four years ago I was an employee. Then I was not. A few months later I was employed once again...I was employed by ‘self’.

Being self-employed was a rude awakening. Not that I wasn’t aware that it’s an entirely different life. I have an MBA, I did research, I talked to business owners. But knowing something and living something are two totally different experiences. There is nothing that can prepare you for being a small business owner, but my book knowledge gave me the nerve. To sum up my education (formal and school of hard knocks), here are my top 4 difficult lessons:

1. a start-up doesn’t make money (for a long time)
2. you work long hours
3. a book is not a business coach
4. you want to get the “big guy’s” opinion, then realize you ARE the “big guy”.

After settling in, you start to view these negatives as positives (I'm guessing it's a self-survival technique):

1. a start-up isn’t always a start-up and you do make money (eventually)
2. you work long hours, but they are any 23 hours you CHOOSE to work (lol)
3. a book is not a business coach, and now you see why you need the coach
4. You ARE the “big guy” and you realize you have (most of) the answers, or the resources to get them.

I enjoy being employed by self, and I have one heck-of-a-good boss, too!

Dogs cause fire

A space heater caused a fire that resulted in $95,000 worth of damage, including all the contents in the home. Though dogs were blamed for knocking the heater over, they were also credited for barking and waking their owner from sleep early this morning. Could you recall everything you owned? Read the full in the Indianapolis Star.

Business plan - a path to success, Part 2

Business plans are breathing, living documents - a roadmap to success. You'll encounter detours along the way; embrace them and learn from them.

The Sales Strategy might also change. For example, your plan might have called for print advertising and direct mail, but you discovered that networking and referrals turned out to be the best way to secure sales. Your advertising budget will adjust positively with this scenario, but you might need an additional part-time employee to cover the time you’re attending networking meetings. The adjustments are a continuous project!

If your demographics prove to be different than anticipated, there might also be a need to adjust your pricing and services. Let’s consider a cleaning service, established to do weekly cleaning to the Boomer market. The advertising was directed at the Boomers, and you find that you are reaching exactly who you are targeting! But you find that most are calling to hire a cleaning service for their parents. The aging seniors would most likely need less frequency (monthly or quarterly), which could create a cash flow issue. Therefore, there might be a need for a different pricing structure. Refining your plan will make it a better path to success.

A business plan will help you see where you are and where you can go. It will help you determine if you are staying on track or if you need to refocus. Just like a brick path that needs constant care, the same is true for a business plan. You must secure loose ones, replace broken ones, pull weeds, and often widen and lengthen the entire path to handle additional traffic (customers, products, services).

This vital document will make your journey more enjoyable and more successful, but only if it is visited and revised often rather than sitting on a shelf collecting dust.

Disasters don't stop for recessions

Fires in homes, businesses and churches are in the newspaper headlines on a daily basis. Disasters don't stop because of a slow economy! In those same newspapers, you'll most likely find stories about thefts increasing as well (this includes employee theft, household contractors and thefts by the elderly!). Just like fires, crime continues - and is even on the rise. More than 4 in 10 Americans are concerned about how the economy will expose them to crime. Scott Spencer, Sr. VP of Chubb & Son, stated that families should allocate more resources toward their protection.

Now, more than ever, you need to protect yourself with an alarm system, sufficient insurance and - of course - a personal property inventory for your business or home. If you do experience a fire, theft or other loss, you'll have a harder time recovering financially without this documentation because being able to remember and prove ownership is key. An inventory service will provide an extremely favorable return on your investment if you need to file a claim!

Business plan - a path to success, Part 1

Creating a business plan for a small business is like laying a path to success, building it brick by brick. Starting from nothing but a planned destination is the hardest part. But once started, each brick, strategically placed, takes you one step further with great thought and determination.

This is the most important tool for the small business owner. It is your guide, or roadmap, to success because it should scrutinize every aspect of your business. The main areas this document should contain are Management and Operations Plans, Market Analysis, Services and Pricing, Sales Strategy and Financial Analysis.

The biggest mistake entrepreneurs make is placing the business plan on a shelf and never reviewing it again (that is, if they write one to begin with!). The business plan provides guidelines, projections and suppositions. It does not provide certainty or absolutes. Therefore, it must continue to be tweaked and revised. This document is a living, breathing document that helps you see what works, what doesn’t, what has changed and what needs to change.

Three key components that should be analyzed closely are the Sales and Service, Market Analysis and Pricing. When starting a business, research on your projected market can only provide a best guess. As your business grows, you’ll most likely find variations that should be incorporated into the business plan.

When reviewing your client base, you might discover a need to adjust your assumptions. Were the demographics correct? Was the geographic area first determined really where you’re finding your customers? Are the channel markets who you expected them to be? Scrutinize your findings and make changes to your business plan accordingly.

Adjustments to your plan are normal, especially in the early years. If adjustments aren't made, you'll be following a roadmap that hasn't taken the roadblocks and detours into consideration.

It happened to us - twice!

We're often asked what made us start an inventory business. Here's our story...

It was early on a Saturday morning when I opened the patio door curtains, looked outside and froze. Everything was gone! The table and chairs, the umbrella, the boys' bikes - and even the gas grill! Gone! What else was missing? We don't know.

A few years later, as we turned into our driveway, we saw the broken glass. All we could think of was...not again!

These burglaries are what encouraged us to create Hartman Inventory. We know first-hand how difficult it is to recall the items that are no longer there. And we also know that we didn't file for every item stolen. This is partially due to the emotional stress caused by the burglaries. Another reason is that we just couldn't remember!

One statement we hear repeatedly is, "I have insurance, so I don't need to have an inventory." When a loss occurs (fire, theft or natural disaster), most insurance companies require a listing of items to be replaced, along with the year purchased and the price. This can be a long, time-consuming task! And I haven't yet met anyone who said they remembered everything. Quite the opposite - we're told repeatedly of losses amounting to thousands of dollars up into the tens of thousands of dollars!

We encourage everyone to create an inventory of their belongings. It's better to spend the time now than to risk not maximizing your claim later.

Firefights see the need for an inventory

A career firefighter (serving for more than 12 years) has seen how destructive fires can be to homes and, more importantly, to people’s lives.

He stated that it is not uncommon to overhear homeowners’ comments as they stand helplessly watching the firefighters work to extinguish the fire. Imagine all the thoughts that must pass through their minds. At first, their priority is ensuring all of their family members and pets have exited the house. After everyone is accounted for, their minds begin to flood with emotions and questions; How could this happen to us? Where are we going to live now? What personal property is destroyed? Is anything going to be salvageable?

After the fire is extinguished, the homeowners are typically allowed to enter the house to gather medications and a few personal items. This is a horrific event for them, entering the house for the first time after the fire. Seeing their home in that condition is a paralyzing experience. It is common to hear them say, “We are never going to be able to recover from this.” But the comment that firefighters hear time and time again is, “We have no idea what we’ve lost.”

The ideal time to document your belongings is certainly not after a fire. Emotions are high and property may already be destroyed. And if you can’t remember what you owned, how can you ask to have it replaced? Can you trust your memory?

Images will remain forever

A business associate provided this story - one she will never forget!

I was twelve years old and just finishing Sunday dinner at my grandmother’s house when we received the call. Our home was burning to the ground! It’s one of those images that remain forever – driving down our road seeing the fire trucks, smoke and every neighbor watching the efforts to save our house. Many things after that were a blur – my mother whisked off and my sisters and I distributed to other homes to stay that night.

I was placed with my best friend’s family. My friend and I snuck over to what was my house. I remember seeing my Led Zeppelin album in the front yard, barely recognizable, as it was essentially melted plastic. I started to remember all my other “worldly possessions” – my favorite bell-bottoms, TV, stuffed animals, record player. For many years after, my favorite things were all someone else's “previously owned” favorite things.

My mother had a choice to rebuild or build new. She chose to rebuild, as this was our family home. It was especially important to her because my father had just passed away 3 months prior after a six year battle with cancer. Protecting the house and those items we thought were salvageable with 24-hour security guards, we began the process of rebuilding. My mother’s wedding china, family heirlooms and - most important - the evidence of the likely cause of the fire were “secured” to be cleaned of smoke damage. Within a week, all of those items had been stolen!

Back then there were no services available such as Hartman Inventory to make a detailed recording of your belongings. Imagine trying to remember your lifetime of possessions while under the stress of a tragedy. A lifetime of substance became mixed with 2 months of donated items of need. For years we would experience an incident that would remind us of something we’d forgotten to claim.

As an adult I can now rationalize the importance of insurance and the monetary value of replacement of assets. My experience taught me that you cannot possibly remember all of your belongings – especially in times of tragedy which is when it’s required.

How fortunate we are today to have the Hartman's service.

Business continuity and disaster recovery planning

HP offers online classes through their learning center. Covering a wide variety of topics, they are designed for small and medium sized businesses. For your convenience, they are available 24/7 and they're free! The most recent class announced is Business Continuity and Disaster Recovery Planning.

Billboards are not always stationary

Did you see a billboard walking through the department store today? No way! Or maybe driving through your neighborhood? Unthinkable! Well, not really. Small business owners have a variety of opportunities to have their own, smaller version of billboards as part of their marketing budget.

Small business owners often feel they are at a disadvantage when it comes to advertising and marketing. Just the size of the budget makes one realize that they are not on the same playing field as the big corporations. Therefore, many entrepreneurs believe that some of the advertising methods used by large companies are completely out of reach for the small business owner. Not so! Small businesses do not usually need national ad campaigns. Often, they are so regional (even to a neighborhood), that many techniques used by large corporations can be utilized by small business – just with less or smaller reach, method or media.

Billboards come to mind immediately because they are very expensive. But before you rule out the thought of having your own billboard advertising campaign, think outside the huge 14’ x 48’ box!

How about a moving billboard? Trucks drive in your predetermined targeted area, with a small billboard-like sign on the back. This is a pretty clever way to advertise, and a fraction of the cost of a stationary monster billboard.

Your own vehicle can be a billboard. There are options from the magnetic sign you can slap on the side of your car to a full-color wrap that completely encases the vehicle. Choose the right one for you. The small magnetic sign can signify “temporary", so be cautious that this image could misrepresent you. Depending on your product, though, this $15 magnet could be completely acceptable!

For permanent, but easy to remove signage, vinyl letters and logos can be placed on your car, van or truck. Then there are the ever-increasingly popular vehicle wraps. Full color, you can have a simple logo and wording to a variety of photos that help promote your product or service. These wraps can be placed just on a window, or cover the entire vehicle. There is also a special material for windows that allows you to see out, but people can’t see in. This is great if you carry a lot of product in your car. Obviously, there are a wide range of choices to meet your needs and your budget, each giving you traveling advertising. Your billboard, your vehicle, your choice.

Logo clothing are walking, talking billboards. The options are endless! When using embroidery, the variety of thread colors can provide a perfect match of your logo. Your company name and/or logo can be placed on hats, shirts, jackets, sweaters – you name it and your image can be sewn on it. Digital imaging and modern equipment has allowed even the smallest company to have high-quality embroidered clothing.

Alternatives to embroidery are screen printing and other imprinting techniques. These formats are often used for mass production or when a logo is difficult to sew due to size or detail, or when embroidery is cost-prohibitive due to a high thread count. The next time you’re at the mall or a grocery store, notice how many people are wearing clothing advertising beer, soft drinks, sporting equipment…why not wear something that will promote your own company?

An inventory can protect you now, and your beneficiaries later

A personal property inventory will help you maximize your insurance claim if you have a disaster or theft because you’ll always know what was in your home. You'll be able to maximize your claim because you'll have proof of ownership and you'll be able to remember all the contents that were lost or damaged.

If you do have a disaster and cannot receive an adequate settlement, you'll most likely need to take money out of a savings or investment account to help recover financially. This might affect the value of your estate.

At your death, your executor will not have to worry about providing an inventory – you have already taken care of it by securing one. This will be one less burden your executor will have to deal with.

On your written report, indicate who you want to receive specific items, as this will communicate your intentions to your family. This simple gesture can eliminate discourse and hard feelings after the estate is settled.

A home-based business can consume you

When people hear I am a home-based business owner, their first comment is usually a funny remark about working in my pink fuzzy slippers (actually, they’re purple). I must confess, though, many winter days would find this to be a true statement.

The clothing, though, is the least of the issues for many home-based business owners. I asked fellow entrepreneurs what they found to be the biggest hurdle. Many stated that their business seemed to consume them because work and home were one and the same. They lack the discipline to keep the two separate.

Every waking moment at home is spent in their office pounding the keyboard. If they do leave the office, they find themselves constantly “stopping in to check emails” or remembering they needed to do just one more task. Then 2 hours later, they are still working. Often, attention to the other aspects of their life suffer. Whether it’s a lack of discipline to stop working or a compulsion to continue to focus on the business, it doesn’t matter. What does matter is that relationships with family members and friends are affected, the upkeep of the house suffers and ultimately health can become a factor.

So what can someone do when they find the dishes piling up, the laundry isn’t done, the grass is now 8 inches long, they can’t remember the last time they had a family meal together – and they still can’t walk away from the business? Take an eyes-wide-open look at your daily routine and ask if this is absolutely how you want to spend the rest of your life. Sometimes just being aware is enough to create the change.

Give a true assessment of your work habits. Are you really being productive, or just doing busy work? Are there things that you can stop doing that won’t affect your customer service? Is there something you can reduce or eliminate that won’t affect the quality of your work? Can you outsource some of the daily routine?

Create some physical barriers for yourself. If you find you’re ‘stopping in’ to check emails every time you walk by the office door, there are a few things you can do to eliminate this. First, just close the door; lock it if necessary and put the key on the opposite side of the house. Even if you have the key, you still have to make the effort to get the key and unlock the door. Put a sign on the door announcing - to yourself - your office hours. Turn off your computer. When you think about turning it back on, it reminds you why it’s turned off! These seem simple, but they work. I'll confess that I use a few of them myself.

Knowing you can serve both your personal and work life equally well will provide a sense of balance, plus you’ll probably be better at both of them. And you’ll be able to do it wearing your fuzzy slippers.

What techniques do you use to create the balance?

Are cars and boats considered personal property?

We're often asked by our customers to record cars, boats and RVs when we are compiling their inventory. We are happy to take photos and list these items, and often do, but we caution everyone not to include then when determining the amount of personal property insurance to purchase, as the amount needed would be exaggerated.

These vehicles are not considered part of your home or business personal property and require a separate policy. Therefore, you'll be double-insured, since they are already covered by another policy.

A home-based business - sometimes it's hard to get to work

Have you heard about the kids who live across the street from the school and are always running in as the bell rings? Or about the employee who lives just around the corner and is usually the last to arrive each morning?

Strangely enough, the same can be true for an entrepreneur who has chosen to be home-based. Discipline often has more to do with being late (or not arriving at all) than anything else.

When deciding whether to be a home-based business or have an office at another location, the key determinating factor is whether you have the discipline to be home-based. It doesn’t matter why you aren’t in your office when you should be; it matters only that you aren’t!

One would think that needing to earn a living would create the discipline to get in the office, but those who procrastinate or have difficulty focusing have provided this or a similar scenario: On my way into the office, I stop to make myself a cup of coffee. While the coffee is still brewing, I get dressed and see the pile of clothes that need washed. The coffee is done, so back to the kitchen to pour a cup and fix breakfast. It’s a bright sunny morning, so I choose to have my breakfast on the deck. Looking around, I see there are weeds to pull and flowers that need attention. Time to put the clothes in the dryer. Replace the gardening and laundry with mowing, dusting, cooking, working on a hobby, watching TV, etc., and you can see how easy a day can go by.

However, there are a few easy-to-establish habits you can adopt fairly quickly. First, write down everything you want accomplished to keep your home in the condition that will allow you to “go to work”. Maybe choose a day that you do laundry, one for yard work, etc. Always allow at least one hour a day for a quick run-through of the house first thing in the morning to do the little things that aren’t scheduled (pick up magazines, empty waste baskets, etc.).

Set a schedule and to-do list for your work tasks. Have specific days for chosen tasks (pay bills, write an article, out-of-office appointments, etc.). This will help create concentrated blocks of time.

Being home-based isn't for everyone. Knowing what should be done and actually doing it is the issue. Some people just need to separate home from office. And that's not a bad thing, considering that the additional business revenue achieved will most likely far exceed the costs associated with leasing an office!

Heating is 2nd highest cause of fire

As temperatures drop outdoors, be mindful of the risks associated with home heating which is second only to cooking when it comes to causes of home fires.

An article by James Shannon, President of the National Fire Protection Association, discusses the concerns they have as we enter the winter season. Space heaters, fireplaces and wood stoves are all sources of fires resulting in deaths and a high dollar amount of property loss.

Please take the time to read your owners manuals to help prevent these losses.

Flooded with issues

Tom Weisenbach, Executive Director of the Indiana Motorsports Association, and his family moved into the home of their dreams. They thought they'd be celebrating. Instead it became a nightmare...

We put a majority of our belongings in the basement because we thought that would be the dry, temperature controlled area. A few days later, we received steady rain throughout the day, and our daughter found five inches of water in the basement. The sump pump pit was filled with trash (left by the builder), not allowing the pumps to pump the water out. The water got deeper and deeper until we finally got the pit lid off and cleaned out the trash. In addition to the sump pump issues, the landscaping company also had the water flowing towards our house and not AWAY from our house so rain water was flowing back in to the house once it had been pumped out.

Our insurance agent went to work for us right away! They paid the restoration company and cleaner’s invoices, then provided us the balance of our max claim against our homeowner’s policy. Several months went by after we requested reimbursement from our builder’s insurance company, and we were forced to get legal assistance. The builder's insurance company questioned the list of our lost items and the replacement cost. EIGHT months later we finally got an "offer" to close out the claim - about 15 cents on the dollar for our remaining lost items! After our attorney went back and forth with them, we finally agreed to their final settlement offer - 40 cents on the dollar!

If we would have had a complete listing and photographs of our personal belongings, then perhaps the insurance people would not have hassled us so much on our lost items. Every home owner and small business should invest in the services of Hartman Inventory to protect themselves from the issues and hassles we experienced.

Recent floods prove need for business and home inventory

The flooding Indiana and other states experienced this year will be top of mind for a long, long time. Many people are still struggling to recover from their losses. And unfortunately, some will not recover at all. On the other hand, many were untouched by the rising waters, mud slides, backed up sewers and torrential rains.

Whether you currently face a loss or were one of the fortunate ones, I must assume that everyone now realizes how important it is have an inventory of their belongings. Also called a personal property inventory, this documentation records your contents of your home or business with photographs and a detailed written report.

Some business owners state they’ll just use their depreciation schedule to pull the information together if they have to file an insurance claim. However, how many items are owned by your company that have a price tag of under $500 (which means they aren't on a depreciation schedule)? Probably the majority of them. If you need to file a claim, that list will only be the tip of the iceberg in helping you remember and list everything you own.

Talk to your insurance agent; he or she will confirm the importance of an inventory. You’ll recover faster because you have a head-start on creating your list of lost or damaged items. Adjusters state that those without an inventory take 4-12 months to file a claim, while those with an inventory begin the claims process within 36-48 hours. That is a huge difference, especially when you need to spend your time getting your business up and running again.

An inventory will take the fear out of facing another disaster and, though not measurable, your peace of mind is valuable.

There are many other reasons to have a list of your belongings besides disaster recovery.

Most small-to-medium sized business owners agree it is important, but few have an inventory. Reasons cited for not maintaining a personal property inventory are that they and their employees are too busy, it takes too long, they don’t know how, or realize they will not keep it up to date if they do create one.

If you are in one of these categories, seek the assistance of a professional to provide the service for you. Verify they are bonded and insured. In addition to the inventory service, the provider should also include secure backup of your records and have a process in place to update your records annually. Without the updates, the report will be outdated very quickly.

An asset inventory is extremely valuable when trying to recover from a disaster.

Entrepreneurial decision: home-based or off-site

There are a variety of issues that support both sides of the off-site vs. home-based decision business owners must make. Often it is obvious - a no-brainer, if you will. But just as frequently, a lot of thought, discussion and pencil-to-paper time are devoted to coming to the right conclusion.

HOME-BASED
There are a variety of easy-to-capture reasons for wanting to work at home:

• Location, location, location – the most convenient work address around!
• Travel time – a few steps and you’re there.
• Wardrobe – casual as you please.
• Expenses – no gasoline used driving to work, no overhead, less eating out and no need for an extensive supply of business attire.
• Flexibility – most often you choose the hours you work, opportunity to go to the kids’ schools programs, babysit the grandkids periodically, etc.

Though all of this sounds great on the surface, there are also just as many reasons to have an office located elsewhere.

OFF-SITE
You might consider buying or renting office space because of the following reasons:

• Location, location, location – convenience to your customers.
• Travel time – sometimes a drive on the way to or home from work is a good time to get your thoughts together to start the day, or to wind down before arriving home.
• Wardrobe – you're the owner, so you choose the office attire.
• Expenses – if your office is located near retail shops, the less gas you spend running errands might make up for some of the gas spent driving to and from work. And you can choose to pack your lunch rather than eat out.
• Flexibility – your client base dictates when you work, and unless you have walk-ins, you can easily provide yourself with the flexibility that the home-based business owner enjoys.

Both categories have the same advantages. Often, it’s how you look at each, and what you prefer. When you look at overhead, though, you’ll find a huge difference.

OVERHEAD/MAINTENANCE
Home-based businesses provide you with tax benefits. These include a portion of your household expenses and utilities that can be claimed as business expenses. However, there are many restrictions, so it is imperative to consult with your CPA.

The off-site business owner will have rent or mortgage payments to make. And, of course, utilities and upkeep add to your monthly/annual list of expenditures.

Wear and tear on your home is an expense many people don’t consider. Another area to consider is functionality. Do you have a separate entrance for your clients to use? You might even have to add a bathroom for your customers’ convenience. Is your house large enough to allow you to consider being a home-based business? Many people have expressed that issue. In one instance, what was a small 3-bedroom ranch, perfect for downsizing, is too small because two of the three bedrooms are now offices.

Home-based or off-site? There is no right or wrong answer, so a great deal of time and consideration should be given to which is right for you.

What else should be taken into consideration?

Placing items in storage

Did your house sell before you found your dream home - or before your new home construction is completed? Or possibly you've recently married, merged the two households, and there isn't room for all of your belongings in your new house.

If you must place your contents in storage, it is important to have documentation of everything you've placed in the unit. Though the facility will do everything possible to avoid theft, it does happen, and they can do little to prevent damage caused by fires, floods and storms.

Most self-storage companies will offer insurance. Some have policies of their own that you can purchase. Others may even insist that you take out their policy. In this case, you will normally have to provide an itemized inventory of your contents, along with their values. Others may recommend industry standard or suitable insurance policies designed for self-storage. Check to determine if your items are covered under your current home owner's policy; if not, your agent can let you know what your options are.

Source: directyourmove.com

I have insurance; do I need an inventory?

Ask your insurance agent or visit any insurance company's website and you'll find that the answer to this question is a resounding "yes"! They are stating the importance of a business or home inventory, so it's quite obvious that we all do need this documentation!

There are many free software programs and most insurance agents have paper forms to help you get started. Chubb Insurance provides this information on their website. But they also realize that most people will not complete it themselves. Therefore, they refer their policyholders to Qualified Service Providers. We are proud that Hartman Inventory has achieved this recognition - we are on that list!

Hartman Inventory Systems

A previous post discussed the growing number of home inventory service providers. This is indicative of the increased knowledge of the need for this information, and the mounting numbers of disasters that have emphasized it. And as people realize the need for an inventory, a market for this service is being created.

Many people find, though, once they start their inventory business that it isn't just taking pictures or video and writing stuff down! Just like with any other new business, there are processes, procedures and policies that need to be established. Marketing and business decisions are required. This takes time and energy. And there is plent of opportunity for lost revenue because of trial and error. These issues can be greatly reduced when help is available. The Hartman Inventory Systems helps others begin their own personal property inventory service. Hands-on training, equipment, a manual, templates, processes, 1-on-1 consulting and the marketing package are all included in this turnkey package. This means you'll be up and running with days of receiving your training!

Please contact us at 317-501-2658 or via our website to start your inventory business. Secured market areas are available throughout the United States.

Realtor sets house on fire!

Jill Gustafson, an Indianapolis area realtor, shares this story:

I had a home out of state on the market and it was not moving. The realtor decided to do another open house.

Unfortunately, she did not blow out the candle after the open house. My home was a near total loss. I then found out I didn't have enough insurance on the property and the greater losses occured when I had to constantly fly back and forth trying to inventory all my personal property.

It was hard to see all my personal property in a dumpster and try to do an inventory. The financial and emotional stress was enormous!

I am now a licensed realtor in Indiana and am committed to my clients' needs in buying or selling a home. You can rest assured that I will never light a candle at your open house.

Plus, I now understand the importance of an inventory and highly recommend that everyone have one!

Home inventory - a growing industry

The personal property inventory service industry is growing at an amazing rate. When we started Hartman Inventory in October of 2004, we could find only about 20 other service providers in the United States. There are now over 500!

I believe the main reason for this growth is due to the increasing number of disasters. This has created more common knowledge of the need to have an inventory of the contents in homes and businesses.

Another reason for this industry growth is that people just don't want to do it themselves. For the same reason they hire a lawn service, painter or cleaning service, to name a few, people prefer spending time with family or on other interests. Many also know they won't keep their inventory up to date, so having a professional service provider keep track of this information is worth the investment.

Do you have an inventory of the contents in your home and/or business?

A time and cost effective solution

Steve Shoultz, owner of Priority Risk Management, has referred his customers to us. Here is why most insurance agents suggest that their policyholders have an inventory of the contents of their home and/or business. Steve explains:

There is a simple time and cost effective solution to have all the coverage you need. That is why I was so excited when I learned Mike and Cindy had started Hartman Inventory! While I have encouraged my clients for years to complete a home inventory and most people thought it was a great idea, I know very few have actually followed through. They just won't take the time to even take the pictures, let alone complete an inventory list. Finally, there is a time and cost effective solution to make sure that people have all the coverage they need. Now, I strongly encourage all my clients to utilize the services of Hartman Inventory. For a minor investment you can have a professional inventory, complete with pictures and descriptions that could save you Tens of Thousands of Dollars in the event of a catastrophic loss like a fire or tornado.

How do I know if I have enough coverage?

Steve Shoultz, of Priority Risk Management, agrees that $150,000 is a lot of money, but is it enough? Most people, when they "shop", generally buy things when they are on sale, especially larger ticket items. In many cases, people wait several weeks for items to go on sale. After a fire, tornado, burglary or other insured loss, do you have the luxury of "shopping" for several weeks, or do you need your items replaced immediately? (Does a sports fan want to wait 3 weeks for TV's to go on sale during the playoffs?)

What about inflation? Let's face it; everything in your house has taken years to accumulate! Undoubtedly it will cost more to replace your contents than you originally paid. It has been my experience that most people will spend considerably more to replace their belongings than they ever imagined. I find that people quickly add up the larger items in the house: TV, stereo, computer, furniture, etc. and quickly say, "Oh, $150,000 should be more than enough to replace everything we own."

Unfortunately, it is the little things that add up quickly and end up burning (no pun intended) the insured. Think of how many pairs of shoes, pants and suits you and your family own. How about silverware, plates, picture frames, house decorations, toys, etc. The list goes on and on.

Unfortunately, most people will never take the time to take pictures of every room, let alone complete a thorough home inventory that includes everything they own! For years I have encouraged all my clients to complete a thorough home inventory. As a matter of fact, I provide a home inventory tool on my website for my clients to complete. They can print a copy for their records, but most importantly, the inventory is stored away from the house (the inventory is not much good to you if it burns up in the fire with all your other belongings). Most insurance companies provide a home inventory form. I also recommend that my clients take pictures or a video of every item in their house. Unfortunately, most will never take the time, let alone complete a thorough home inventory that includes the purchase date and cost of everything they own!