| Or... Best Way to Start Your Business | | | | plan to make money from your new start-up |
| Your decision to start a new business has been made. | | | | business? Layout a few paragraphs about the overall |
| Now what do you do? Sometimes it's a bit | | | | concept of your new venture.d. Organizational Setup - |
| overwhelming to look at where to really start the | | | | what type of business are you going to do. Will it be a |
| process. Do you look for the location first? What | | | | sole proprietorship, a corporation, a partnership? Who |
| about an estimate on how much it will cost? Should I | | | | is involved, what are they going to contribute, and how |
| secure the product agreements before I find the | | | | much will they own? What will the management |
| markets? Should I pre-advertise or just make an | | | | structure be like? Who answers to who? You need to |
| announcement? Who should I hire first, if anyone at all? | | | | get this stuff addressed in the beginning or else it will |
| There are hundreds of similar questions which confront | | | | be a complicated factor later.e. Sales and Marketing. |
| the new business start-up. | | | | The details here cover all areas, even those that are |
| After 30+ years of opening new businesses and | | | | not practical the first year or two. You need a variety |
| analyzing existing businesses, I've put together a | | | | of methods to execute and sustain your sales. Make |
| practical guide for the beginning steps to starting a | | | | sure you know everything your competition sells and |
| small business. Whether you, as an new entrepreneur, | | | | how they sell it as well.f. Products. Layout all of the |
| buy an existing business, or buy a franchise or perhaps | | | | products or services that you are going to sell for your |
| start a home based business, the business planning | | | | new business.The details (actual products names and |
| resources are the same. What is different are the | | | | sizes etc.) can be put into an addendum at the back of |
| business strategies, upfront costs, business | | | | your new business plan. But the overall package of |
| opportunities and step by step instruction available to | | | | what your are selling should be justified.g. Capital |
| start a small business venture. | | | | requirements - How much money is it going to take to |
| So lets get right to it. Everybody tells you to start the | | | | start and operate your new venture less the amount |
| steps with a business plan. Well that's all very nice, and | | | | of money you currently have available to put into the |
| you will need it for sure, but let's get organized first. | | | | business. How do you plan on getting the rest of the |
| *Step 1. Get some file folders and label them as | | | | money - if you need it? Many people start small by |
| follows: | | | | using their credit cards for finance. Don't forget to |
| - Product - Anything having to do with what your going | | | | include your living expenses for at least six months.h. |
| to sell or service. | | | | Financials. This is where all of the accounting and cost |
| - Finance - Where's the seed money coming from, | | | | analysis for the new business is located. A break-even |
| cost estimates, where's the money going. | | | | analysis, cost analysis and projections for the first 3 |
| - Receipts - Any money you spent thus far. | | | | years should give you a performance standard to |
| - Organization - Exactly what form is this new | | | | judge whether or not you are meeting your goals.i. |
| enterprise going to take. | | | | Addendum: This covers everything else that may be |
| - Ads & Marketing - Anything new ideas with | | | | important for your business operation. Include lists, |
| generating revenue for the company. | | | | phone numbers, mentors, useful web addresses, |
| - Government - Permits, license, new business tax info | | | | accounting details etc. |
| etc. | | | | Final Step |
| - Strategy - What is this new company all about and | | | | Evaluate all of the information you've assembled. If the |
| how are you going to do it. | | | | business venture looks viable, then give it to someone |
| - Locations - Are you leasing space, Realtor | | | | with experience in business or someone you trust, or |
| information - or DNS if Internet based. | | | | perhaps your banker, accountant or attorney, and get |
| - People - Who all is involved and what is their | | | | a second and third opinion. Consider their suggestions |
| participation, partners, joint venture. | | | | and correct any errors. Use their expertise right from |
| Use these folders to file every bit of information | | | | the beginning. |
| you've collected on starting your new business. If you | | | | This is the just the beginning steps to starting a new |
| need other categories, then make them up as needed. | | | | business. There is a lot more to do, but once you get |
| But try to think in terms of less files and not more. It's | | | | through this, I'll have a lot more for you to do. |
| easier to find and your mind will quickly adapt to the | | | | Now, should you decide to buy an existing business |
| organization. | | | | from someone, then you still need to go through all the |
| Step 2. | | | | beginning steps. The information will come a lot easier |
| Once you've assembled the information the next step | | | | since there should be financials, trade secrets etc. |
| in starting a new business is due diligence - a legal | | | | readily available. |
| term used to determine if everything that was offered | | | | If on the other hand you decide to purchase a new |
| is in fact, real. But the same practical approach taken | | | | franchise, the franchiser will provide almost all of the |
| when buying a business can be used when starting a | | | | information in general terms. You will still need to get |
| new business. Use the information you've already | | | | specific about your particular market. |
| gathered to lay out the realistic size of your market | | | | The easiest and last option is to start business online. |
| and the revenue you expect to receive on a monthly | | | | The costs are so inexpensive and the market so large, |
| basis. If your income is sufficient to cover whatever | | | | that the four step process will be shortened by about |
| costs you expect from running the business operation | | | | 70%. You still need to do all the steps, but because of |
| then you can continue to the next step. If not, then you | | | | the costs involved, the time frame is much quicker. |
| need to expand your market, change your product, | | | | Refer to your business plan often to make sure that |
| reduce your costs or start over. Let's get real here. Be | | | | you stay on course. If done correctly, there is no |
| Smart. | | | | reason for you not to be successful in your business |
| Step 3. | | | | operation. |
| Now you can put together a complete business plan | | | | * If you are starting an Internet business than create |
| which will include the following:a. Statement of Purpose | | | | folders both on your computer under "name of the |
| (some call this an Executive Summary)b. Market | | | | business". The same goes for your email program. |
| Analysis - Expand this further using the information in | | | | Any receipts, for instance, from purchases online can |
| step 2 and really get into the details of how you plan | | | | and should be kept together rather than scattered all |
| to approach the market for you new product or new | | | | over your hard drive. If you're doing different projects, |
| service. You should also really get into primary and | | | | keep each in the same XL file, label and add "sheets" |
| secondary competitive markets.c. Business Description | | | | as needed. |
| - What exactly are you trying to do and how do you | | | | |