Event: How to Build an Effective Sales Team

As part of Hallux Training, Redhawk will be hosting a free event that explores how selling has changed and what companies need to do to build competitive sales teams. Part presentation and part discussion, this event will provide an excellent opportunity to engage with sales experts who have built multi-million dollar teams and sold into some of the largest companies in the world.

During this event, we will discuss the following topics:

  • What happens when your sales efforts go wrong…
  • Relationship selling is overrated.
  • How to build and scale a successful sales team on a budget.
  • How to hire salespeople.
  • Discounting is not a sales strategy.
  • Companies that rely on tricks and shortcuts will, ultimately, fail to reach their goals.

This event is perfect for people looking to build a sales team for the first time as well as those who are looking at ways to improve their sales effectiveness. This will be an engaging and fun event open to anyone interested in learning how to boost revenue and build competitive sales teams.

Cost: FREE
Location: Redhawk Entrepreneur Development Company, 3027 6th Avenue South 35233

Click to RSVP on Facebook or Meetup. To receive notice of future events, like us on Facebook, join our Meetup group, or request more info on Hallux Training.

Celebrating Two Years of Success

Starting a new business from scratch is scary, doing it on Halloween is just asking for it. Redhawk Consulting was started on October 31st, 2014 at 1:30pm. As we celebrate another All Hallows’ Eve and our second year in business, I’m reflective about how much has changed since 2015.

In our first year of operation, we were laser-focused on revenue and generating the “next” client. Because we work with only entrepreneurial companies and non-profits on a project basis, we are constantly working ourselves out of a job—by design. We don’t advertise our services; almost all our clients are referrals. The next client is crucially important to us.

When I talked to people in that first year about Redhawk and what we did, I spoke in theory since most of that work had not been done or proven to be effective yet. I was confident in our approach, even if it was purely philosophical at that point. We killed ourselves to deliver value as our approach was far from refined.

Having survived the first year and proven that our business model was actually viable, we started to expand our client base, the services we offered, and our efficacy. I started the business in 2015 with one very large client. I hadn’t done any of the business development activities normally associated with starting a new business, because I was too busy working on that client’s projects. It was almost a full year before I started pounding the pavement and talking about Redhawk in our own local market.

The grind was real. I wasted time trying to farm members of the local chamber of commerce. I participated in several “networking” groups that were equal parts useless and creepy. I spent countless evenings going to startup events. Of the hundreds of meetings and other activities, only a handful of those produced anything worthwhile.

Then I started focusing on finding professional connections for whom I could add value. I demonstrated how the consulting we could do would directly benefit their clients, associates, friends, or other stakeholders. Stealing a page from Gary Vaynerchuk, I worked to create value first and relied on that to generate opportunities in the future.

Through that combination of brute force, strategic networking, and value creation, we started capturing more opportunities. Here are some highlights from our second year:

  • We went from 4 clients in 2015 to 24 in 2016 (and growing)
  • Clients’ total revenues in 2015 were $12 million; in 2016 that number is more than $100 million
  • Redhawk engaged in 18 new industry sectors in 2016
  • Of the 20 new clients added in 2016, 18 of them were referrals from existing clients
  • 90% of our clients hired us for additional work after our initial engagement
  • We added marketing, branding, and legal consulting to our slate of services
  • We donated 17 hours of time in 2015 and more than 100 hours in 2016
  • We have zero dollars written off to bad debt, despite generous payment terms

We’re looking forward to growing, learning, and developing Redhawk in 2017 and beyond. To our families and friends who’ve put up with our constant rescheduling and dereliction of personal responsibilities—thank you. None of this would be possible without your understanding, generosity, and unconditional love.

Redhawk teams with Tripp Watson and the Watson Firm

Redhawk Consulting is pleased to announce the addition of Tripp Watson and The Watson Firm to our team of entrepreneurially focused consultants and advisors. Tripp and his firm specialize in representing entrepreneurs and helping them navigate the various legal hurdles from formation through operational maturity. He’ll join Redhawk founder Matt Hottle and Marketing Director Jen Barnett.

“Entrepreneurship is exploding in Birmingham, and along with that growth comes the need for business services,” says Watson. “More than any firm in Birmingham, we’re uniquely positioned to advise those businesses on issues from formation and licensing to HR and sales.”

Redhawk and the Watson firm will work together to provide cross-functional expertise to clients of both firms. While Watson offers legal counsel, Redhawk offers management, HR, sales, and marketing support based on a client’s needs.

Legal requirements for businesses can often derail their success. “We see a fair amount of entrepreneurs with poorly drafted operating agreements and other formation paperwork that lead to partner disputes and business disruption,” says Hottle. “Tripp and the Watson firm can be huge asset for them.”

Welcome Marketing & Digital Consultant Jen Barnett!

Redhawk Consulting is excited to add Jen Barnett to our consulting team. You may know Jen from her businesses Freshfully and Bottle & Bone, both local Birmingham food endeavors with e-commerce components. She also has 24 years of marketing experience with clients from hospitals and banks to foodservice and retail. She’s worked with blue-chip veterans and day-old start-ups on marketing and digital strategy, web development, and branding.

Jen has an MBA from Emory University’s Goizueta Business School, with concentrations in marketing and innovation.

She spoke at TEDx Birmingham on being brave, one of the core tenets of entrepreneurship. Watch her talk below.

Welcome New Client Rock Wool Manufacturing!

Redhawk Consulting is pleased to announce it’s newest client engagement with Rock Wool Manufacturing. Established in 1943, Rock Wool is one the most respected brands in the mineral wool insulation market. Their products are used for both residential and commercial insulation applications throughout the country.

Known for their best-in-class customer service, Rock Wool engaged Redhawk to help them design and implement a sales process that delivers actionable reporting, data capture, a more predictable sales pipeline and greater visibility into sales activities for the executive team. This information and process orientation will allow Rock Wool to continue to improve their customers’ experience. To fully realize the benefits of this new sales process, Redhawk will also program a fully functional and customized CRM solution using the Nutshell platform.

According to Matt Hottle of Redhawk, Rock Wool’s willingness to try new things was key to creating this project. “This company has been well-known and respected in their industry for more than 70 years. The fact that they are willing to re-examine their existing processes is a testament to their leadership and their commitment to always get better at everything they do.”

Rock Wool is headquartered in Leeds, AL with plants in multiple US locations. They supply pipe, sheet and blanket insulation to the distributor and contractor markets throughout the country.

Welcome our New Client Reliance Financial Group!

Redhawk Consulting is pleased to announce its new consulting engagement with Reliance Financial Group. Working with the executive team at RFG, a new strategic framework has been designed and Redhawk will continue working with them to implement that strategy.

Speaking about the new engagement, Matt Hottle reflects on the incredible potential ahead for RFG, “They are in exponential growth mode right now and they want to be aggressive while maintaining their service and performance standards. They have the challenge of capitalizing on their outstanding RIA platform while delivering the support and resources their independent advisors have come to expect. It’s exciting to work with their energetic and high-performing culture.”

With more than $1.3 billion in AUM, RFG is poised to become a major force with their hybrid RIA. In just a few short years, RFG has grown from a small group of individual producers to more than 35 independent advisors in 4 offices throughout the US.

Welcome our new client Two Bros Bows!

We are excited to start working with Two Bros Bows out of Charlotte, NC. Started by two brothers, Hayden and Duncan, the young entrepreneurs created the company when they were 7 and 10 years old. TBB’s chief executive and rock star is their mother, Elisha Duncan, who has helped the boys grow the company from a small operation in a bedroom to a nationally-celebrated toy and imagination company. After their recent success at the New York Toy Fair, TBB has gained interest from some of the largest retail and wholesale outlets in the country.

By combining the fascination of outdoor play with safety and handmade quality, TBB is the hottest boutique toy manufacturer in the country. Currently exploring massive distribution and licensing deals, Redhawk will help the boys and Elisha navigate each opportunity.

As the founder of Redhawk, Matt Hottle, puts it, “We are thrilled to be working with Two Bros Bows. Young entrepreneurs, engaging toys that inspire kids to get outside and explore, and made in the USA—what’s not to love about this company? We are humbled and grateful for the opportunity to engage with TBB. We believe the trajectory for this brand is significant.”

For those interested in hearing more about Two Bros Bows and their story, visit their website at twobrosbows.com.

When a Consultant Adds Real Value

I recently engaged in a Quora discussion with someone about the “real” value consultants provide to businesses. I often get asked when a consultant should be hired. Until now, I have avoided writing about it because I fear it will read like some thinly-veiled endorsement of consulting as a business practice or of Redhawk Consulting itself.

After watching a few of my colleagues succeed in misusing consultants and people getting paid for consulting who provide zero value, I figured it was worth taking that risk.

This article is aimed at entrepreneurial companies and not larger organizations. Big companies hire consultants for far different reasons than SMBs. For some publically-traded companies, MBB (McKinsey, Boston Consulting Group and Bain) add a level of credibility to management from the perspective of board members and shareholders. The quality of research and mental horsepower the MBB companies can provide are world-beating. Nothing signals you are taking something seriously more than dropping $2 million in fees with one of the big three firms.

Instead, I want to focus on the specific circumstances entrepreneurs face.

I have engaged several founders who recoil purely out of fear or ego at the idea of using a consultant. They argue that a consultant couldn’t possibly understand the complexity of their business, would cause too much disruption or will tell them things they already know. The juice isn’t worth the squeeze.

In reality, founders are often just scared a consultant is going to call their baby ugly. They know their (fill in the blank) process or system is fundamentally broken and that (fill in the blank) was a terrible hire six months ago. They aren’t excited about someone else seeing the growing pile of stuff that’s been strategically ignored. These entrepreneurs have invested the blood, sweat and tears; they know it’s not perfect but they are pouring their very soul into this endeavor every day. It’s easy to see why working with a consultant could seem almost insulting.

Professional service firms can descend on entrepreneurial businesses like vultures so founders become wary of anyone trying to “help” them. It’s unfortunate but completely understandable. One of the challenges owners face is separating the worthwhile partners from the succubae. That gauntlet can produce some mental calluses where even valuable consultants are assumed to be another parasite.

Consultants working with SMBs should return almost immediate value. The work they do should be deadline-oriented and revolve around specific deliverables. Most of the value from consultants for entrepreneurial businesses comes in one or more of the following three forms.

Expertise

It’s not feasible to hire people for every possible skillset and talent. Most organizations are better off finding contractors for specific projects where their expertise can be “rented” rather than owned in the form of full-time employment.

Perspective

This is a well-worn concept but there is legitimate value in having someone come in to look at processes and systems within your business who don’t carry the baggage of office politics or institutional inertia. This can be especially helpful to founders or owners when they are deadlocked in opposing views of how to move through or past an obstacle in their operation. Good consultants don’t care which owner owns 55% of the company.

Resource

Founders and owners who also act as chief executives run out of time far sooner than they run out of ambition. A trusted consultant can act as a plug-in resource, get projects done or design solutions on behalf of those founders. This creates a force-multiplier and while those consultants cost far more per hour than a typical employee, they should only be there until the engagement has been successfully completed. Meanwhile, the leadership has continued to tackle other opportunities.

There is, of course, the flip side where consultants should be avoided. Engagements that have no deadlines, metrics to measure success or timelines should be avoided like a virus. Unfortunately, there are consulting firms that act like ticks. They make their home in the company by digging under the skin and “uncovering” more and more projects that need their attention. The hours keep getting billed and they end up as an over-priced de facto employee. Firms that focus on working with entrepreneurs should always be working themselves out of job.

The other type of engagement to avoid are those where the consultant or firm must provide ongoing facilitation of the process or system they are introducing to your organization. Entrepreneurs need programs that can be internally perpetuated. The client should own a functional work product that doesn’t require further billing hours.

Be aware of the recently unemployed “consultant.” There is a troubling trend on LinkedIn where people are listing their current position as “Consultant” rather than “Currently Looking.” I understand that consulting offers income for someone while they find their new job but it dilutes the effort and reputation of dedicated consultants. Remember that an LLC costs less than $500 to set up and can be completed online in just a few hours. The barrier of entry to start a consulting firm is really low so check for references.

My firm was started like many where I was able to secure my first customer by deeply discounting my rates to create credibility and work product. I bartered services with other startups and volunteered my time with non-profit economic development programs. If you are considering a new firm, check for these things because that’s how many legitimate startup consulting practices pay their dues.

Consider what you can get out of engaging a firm and have a clear expectation of what a successful project will create. Any consultant worth their salt will be happy to engage in conversation even about potential projects so if you are willing to have an open-minded conversation with a well-respected firm, have one us buy you a cup of coffee and figure out it its worthwhile to work together.

All babies are beautiful, even the ugly ones.

Who are you Rooting for in 2016?

Last year, I posed the same question for 2015 and the response was far greater than I expected, so I decided to do it again this year. After spending the last year with entrepreneurial companies all over the country, this list was hard to create. For the sake of brevity, I had to intentionally leave people out who should be celebrated here. Here is my very abbreviated list for 2016.

Jason Provonsha, Warble

Jason is a founding partner of Warble, a beacon technology start-up within the Lamppost Group of companies. Their tech allows marketers to reach audiences and engage them based on physical locations that range from several thousand feet to a single square foot. As marketers double down on the logic that where someone see your message is as important as how it’s seen, Warble is already on the leading edge of this tech.

Jason is as pragmatic as he is hard-working so he is easy to like immediately. He will describe the tick-tock he hears in his head as he focuses on generating revenue to replace the seed investment Warble received. This practicality, coupled with some very compelling usage cases, creates the sense that Warble is already started on the “I knew them when” trajectory. There are many challenges in front of them but when you spend time with Jason and his team, you feel their commitment to winning.

Adeeba Kahn and Jason Templin, Shu Shop

I had the pleasure to serve as Adeeba and Jason’s mentor during their recent entry in Rev Birmingham’s Big Pitch Competition. Their collaboration will create Birmingham’s first ramen shop and izakaya (Japanese-style pub) in the downtown theater district. Renovating a space that has been empty for more than 30 years and creating a concept that fosters regular patrons driving a sense of community in a once derelict part of town, the anticipation surrounding the opening of Shu Shop is incredible.

Adeeba does not currently possess a filter between her brain and her mouth in the most entertaining and endearing manner possible. Jason is chasing a dream and the passion he has for the food, the izakaya concept and creating a neighborhood space near the Alabama Theater comes across immediately. The difficulty of succeeding in the restaurant business is well-documented but they are tapping into an unmet need and creating a market in Birmingham. Their brilliance might be in the simplicity and sincerity of what Shu Shop will become.

Sam Eskildsen, Main Street Family Urgent Care

As private health care in the US becomes exceedingly challenging for providers and patients alike, there is a growing need for urgent care facilities. The concept of these purpose-built facilities is nothing new in urban and suburban areas but Sam is building a chain of Urgent Care facilities in rural markets. These areas have been underserved for decades and as rural private medical practices fold under the difficulty created by the Medicare/Medicaid and Affordable Health Care Acts, patients no longer have access to quality health care in these areas.

Make no mistake, Sam is a capitalist. The model he has created will generate some healthy returns and allow them to grow from the facilities they currently have into additional markets. Sam opted to go out and solicit his investors one by one without brokers or other institutional funders. He raised a significant amount of capital in 18 months based on the strength of the model. His tireless work ethic led to Main Street opening its first fully functional location within 2 years of creating his business plan draft. Public and private health care will continue to create a myriad of hurdles to overcome for Sam and his team but if there is anyone capable of pulling it off, its Sam.

Paul Hottle, Nature’s Art Studio

This mention has been in the making for at least 20 years. My father, who spent the better part of his professional career as an entrepreneur and organizational development professional, recently followed his heart and did something truly for himself. Dad started Nature’s Art Studio to combine his love for the natural world and carpentry. Taking discarded materials from sawmills and material suppliers and repurposing them into pieces that range from functional to why not, he creates things as he imagines them- without commercial concern for their ability to generate revenue. This near-blatant disregard of the economic viability of each piece is probably why most of them sell within hours of posting them to his own website or Etsy.

After years of supporting our family as an OD consultant and spending more time in hotels rooms and rental cars than in his own home, Dad finally gets to spend some time doing what he wants to do. He taught me and my brother that luck and fortune are a byproduct of hard work. Thinking of him finally enjoying the fruits of his labor drives me to succeed as an entrepreneur, dad and husband. This is my feeble attempt to recognize what he gave me over the years by saying that I’m rooting for him in 2016. The truth is, I’ve always rooted for him.

This is certainly a partial list and I’m not excited about having to exclude others- but now it’s your turn. Will you take the time to think about who you are rooting for in 2016? Will you tell them you are rooting for them?

Few things are more powerful than knowing someone is pulling for you simply because they appreciate who you are and what you are trying to accomplish. So, who are you rooting for in 2016?

Solvency in Year One: Our First Anniversary!

I’d like to take the opportunity to reflect on surviving my first year as a new business. True, 80% of businesses survive the first year, but I’m proud that I didn’t have to dip into savings, borrow money from family, or suffer irreparable damage to my marriage. (That last item is one I’m especially proud of.) Most important, we got to partner with truly great companies and work with them to accomplish some great things.

Passing this milestone has made me contemplative. Rather than craft a bunch of high-minded platitudes, I thought I’d write a brief list of what I learned and the hypotheses confirmed in the first year of operating Redhawk.

  • Confirmed: Making money is hard.
  • Learned: Your first customer will always be your favorite and the most valuable.
  • Confirmed: There are no more “normal hours of operation.”
  • Learned: I am even more frugal than I thought.
  • Confirmed: Operating in a small market is all about networking.
  • Learned: Mental exhaustion is very real.
  • Confirmed: A supportive family and understanding wife are the cornerstones of any success.
  • Learned: Time seems to compress at rates previously believed to be physically impossible.
  • Confirmed: Fortune favors the bold (ok—so one platitude).
  • Learned: I became a better person after starting my own business. I’m trying harder now to be a good dad, husband and friend.
  • Confirmed: If you do great work, the rest starts to take care of itself.
  • Learned: What we do is important. The work we get to do improves the balance sheet AND the quality of life for clients. Hearing a near-neurotic client tell you they slept for 6 consecutive hours for the first time in 9 months is pretty throat-lump-inducing stuff.

The list could be longer and more inclusive but, at some point, it becomes completely self-serving and no one wants to read that. It would be a mistake not to acknowledge all the support and love from my friends, family, clients and colleagues. I only hope I can repay their kindness over time.

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