I run a one-man audio production company, but I'm not sure if it counts for the purposes of this thread because it only provides supplemental income for me.

I do what Kat does but not as well. I guess I'm doomed.

After three years, I found this was the biggest sticking point for me, and probably the decision which worked to my greatest detriment. Ideally, I should've spent at least ten hours a week making sales calls and canvasing business that fit my goals. Relying on networking and referrals is a good start, but it should part of a multi-pronged effort, including getting the names of businesses that you want to do work for and then making contact with them. I even tried to think of cold-calling in the same way that I thought of sending a query or submission to a new editor or magazine, but I just didn't do it. One of my favorite things about my new job is that there is no sales (cold-call, warm call, etc.) involved.

That's not to say that you can't be successful without cold-calling, just that it complicates matters.

The gal speaks big truths! It hurts every time I have to pay them, but they are indefensible.

My wife and I own a local custom software/database development company. It's more-or-less in standby mode right now, as our customers don't have anything for us at the moment and my wife's job provides for our (cheap) lifestyle in the meantime.

The biggest surprises we've encountered are that some small business owners aren't necessarily very businesslike, and that good businesses are willing to pay well for good work. Note that first "good", as there are plenty of businesses that will try to nickel-and-dime you to death. Those are the worst to work for, as they generally have no idea what they're doing and their constant requests for free advice/meetings/changes will almost certainly not turn into a job that was worth your time in the first place.

Out biggest challenge is finding work. The city we live in is small and relatively poor, with an economic base of tourism, the military and retirees. There are few significant local businesses, and the ones that do exist generally struggle to compete with national competitors. To grow the business, we'd have to either start aggressive advertisement and promotion or leave the area.

My best advice is to keep good records, not only of every financial transaction, but every meeting you have with a client. Write notes during any conversations, and, directly afterwards, type up everything that was said on both sides. If anything you've written down looks questionable, contact them quickly to clear up any confusion.

You're right, of course. Generally, cold-calling is a crucial part of any sales campaign. I know it works. I know it's just a numbers game. I know it gets easier with practice. I know all this - in my head. But I simply can't get over the fear. I've even tried giving myself positive rewards that I know I'd really want, like "Play an hour of videogames for every 20 Nos", or "Get a pedicure once you make 50 calls". But the panic, oh the indescribable panic of calling prospects uninvited. Ugh.

What I've decided to do instead is focus my energy on the things I know I can do - networking, direct mail, etc. - and do those really well. Re: networking, I spend on average about 7-8 hours a week going to various local groups, and so far, that grueling schedule has worked to my advantage. For starters, I'm in a service industry, and clients like to put faces to their service providers. Plus, I'm a no-name copywriter, unassociated with an agency. So I need to educate people on who I am and what I do; I was surprised at how many business owners don't even understand what a copywriter does. I find it's easier to educate in person than over the phone.

So yes, cold-calling is something I will have to revisit at some point down the road, I'm sure. But for now, so far, so good. I have enough clients to keep me super busy anyway.

I've actually thought about hiring someone specifically to do the cold-calling for me (just hand them the script, and they take care of the rest). But I think that would turn prospects off - I am, after all, in a service-based industry, and I worry that nothing screams "crappy service" than farming out your initial sales calls. What do you all think?

Funny story: One of my first meetings with a potential client was with a health-food store owner, who wanted some publicity for classes he was offering in-store. He spent an hour lecturing me about how the federal government conspires with the pharmaceutical companies to keep the working class fat, enslaved and medicated, and that the capitalistic system was bound to collapse any day now. After his tirade finished, he offered to pay me for my future work in "New Health Money" (as opposed to "Federal Capitalist Dollars") that was only good at his store - for now. For when the capitalist system finally toppled, he promised, everyone would be using New Health Money. "We'll start a new currency revolution," he said. Direct quote, I swear.

Needless to say, we did not end up working together.

As far as Ziff Davis is concerned, I am the CTO of a company. (Hey thanks for the free magazines).

That's the truth. I had my own business for a while (I was mostly taking a break from being a lawyer and my business was developing software for law firms), and cold calling was the hardest part. As you say, it is a numbers thing -- you make enough calls and eventually you find a few people who are interested in hearing more. Of those, a few turn out to be interested. But I dreaded every cold call I had to make.

Now I am back to being a corporate lawyer. I am quite happy working for "the man," but I am also really glad I spent that time working for myself, too.

Blasphemy!

Coffee is for closers.

I just thought I'd chime in and mention that I'm working for a membership organization for that represents about 25,000 small businesses in the UK (which is itself a small business). Its really made me aware of what it takes to own and run them.
Or, at least, I think it has.
Your comment in the other thread really stuck home, Kat.

You see, this is precisely what I do. I am the Policy Rep (read: lobbyist) for this organization, and have to try and explain what is so hard about what you folks do to the civil servants and elected officials of Great Britain. I feel slightly hypocritical doing this as I've never run my own business. I can quote statistics or give you case studies from our members all day, but I don't have any first-hand experience of the terrors and the triumphs. Fortunately, neither do most of the folks in Westminster or Whitehall, and by virtue of birth, I can comment on the American 'entrepreneurial culture' with some authority. So I've muddled along without being found out so far.

The increasing awareness that I made reference to has some benefits, though. I've developed this habit of buying from locally-owned businesses instead of the major corporates when I can, simply because I know how much of a difference that can make to someone's family.

Its planted a seed with me as well. Even knowing all of the obstacles and sacrifices, my wife and I have started considering how to break out of the corporate grind when we have the capital. The question is what to do and where to do it!

Did you charge him Federal Capitalist Dollars for the hour of your life he wasted?

I am a sole practitioner attorney. Necessity being the mother of invention, I started my "firm" when I basically lost by biggest client at the firm I worked at when they merged with another colossus, leaving me in the cold. That was when I realized I was wasting my life 8 hours a day, 7 days a week, which was my schedule at the time. Not a typo: 7 days a week for a little over 2 years. True only 8 hours, but that was because I needed to have a lunch or I would have died.

Now I do about 50 percent criminal work and 50 percent civil. Lots of business consulting thrown in there that I generally don't really get paid for. If I don't like a client, I walk. It can be a little nerve wracking going without much of a net, but I like it. BTW, my wife has a good job with he State (she is also an attorney, but not a highly compensated one), so lean times mean cutbacks, not disaster, which does give a good safety net.

I think the biggest challenge for me is marketing my skills or wares to a broader number of people, and particularly targeting that exposure to those looking for our stuff. I am considering going to go with an online advertiser who can give me guaranteed google search results, and they will host my website, etc. I pay based on the popularity of the search and not hits. Much cheaper than the phone book.