Do I have what it takes to be
my own boss and manage a small business?
will be the most valuable asset of your company, however,
being self employed is not as easy as it sounds. The
first and foremost, you should analyze your strengths
and weaknesses. You should also do a self analyzes
by asking yourself the following questions.
a. Am I capable to be a self starter?
b. Am I motivated enough to face challenges?
c. Am I able to make important business decisions?
d. Do I have a strategic plan intact for my business?
e. Am I willing to work long hours and face a tough
challenges ahead to achieve success?
Q- How and what
kind of business should I choose?
you should choose a business to match your background
and skills. Once you evaluate your own skill, it will
be a good idea to seek advise from local business
owners or business association to find out about the
growth potential of various businesses in the area.
Q- Do I need
to choose a partner to fulfill my goals and succeed
that your partner brings a special skill that you
are lacking, there is never a guarantee that having
a partner will bring success and growth to your business.
For example, if you are a skilled individual with
no business management background, it will be wise
to have a partner who will handle all your business
management inquires. You need to make sure that a
legal contract is always drawn for partnership to
avoid any future conflict.
Q- How do I
choose a location for my business?
need to make a major effort and contribute a lot of
time to select your business location. A detailed
marketing plan will determine the ideal location for
your business. You should also analyze the following
prior selecting your business location.
a. nature of your business.
b. number of competitive within 10 miles of radius
c. potential market growth
d. demographics and market target
What is Business plan?
Business Plan is a description of your business, including
its products, services, its markets, the people involved,
and your financing needs.Why do I need a Business
To keep you focus on your business goals and objectives.
Do I need a Business Plan even
if I own a small business?
Absolutely, your business plan could be only few pages,
but it will be a great sale tool and can serve as
your company brochure.
Do I need to hire an expert
to write my Business Plan?
It really depends what is the purpose
of the business plan. If you are seeking for funds,
it is recommended to hire a business consultant to
prepare the plan.
How do I put my Business Plan
There are many ways you can utilize
your business plan 1) refer to it on regular basis
as a guide and BIBLE of your company 2) use it as
an effective sales tool 3) to seek funding for business
start up or expansion 4) to seek for an investor.
Do the investors or bank require
a Business Plan for funding?
Absolutely, having a solid business
plan will proof your enthusiasm and seriousness in
Remember that Failing to Plan
is planning to fail.
AND LEGAL PROCEDURES:
Where do I register my business?
It is absolutely imperative that you register your
business name as soon as you decide to establish a
business. To register your business name, refer to
your local country clerk registrar office. Business
registration normally takes 30-40 days.
What is an EIN?
An Employer Identification Number (EIN) is also known
as a federal tax identification number, and is used
to identify a business entity. Generally, businesses
need an EIN. You can apply for an EIN online. Visit
www.IRS.org for more information.
What is a business plan important
to establish a business and why do I need one?
There is no question that YOU SHOULD HAVE A BUSINESS
PLAN prior business start-up. A sound, detailed Business
plan is the BIBLE for your company and the best tool
to define your business current and future goals and
objectives. A good written business plan plays a crucial
part to obtain funding from any financial institutions.
Business plan provides specific financial information
about your company and defines your current operation,
as well as future forecast of your business.
How should I handle accounting
It is absolutely necessary to keep an adequate records
of business transactions. To save yourself a lot of
stress and headache, it’s best to hire a CPA
to handle accounting and bookkeeping, but at minimum,
you should keep records to substantiate:
1. Federal and State tax returns, as well as social
2. Files in related to business loans;
3. Any claims you may have about the business, should
you wish to sell it.
4. All receipts in regards to business transactions.
Are there any record keeping
software that I can use?
Yes, should you choose not to hire a CPA, there are
many accounting software programs that you can purchase
for less than $100.00 and it is a friendly user. In
addition to software, there are many local financial
resources, such as; SCORE, SBA offices who can assist
you with your bookkeeping and accounting needs.
What are the legal procedure
I have to follow to establish a small business?
License and registration requirements varies from
business to business and state to state. For more
detailed information, please refer to your local small
business administration office or local chamber of
commerce. General forms can be obtained from the county
Other legal issues, such as; type of the organization
(corporation, partnership or sole proprietorship)
and tax status for such organizations should be discussed
with a business attorney
How do I know what kind of office
equipment is necessary for my business?
If you are not able to determine an inventory for
your business, it is best to consult a computer consulting
firm to provide you with a list of equipment which
will work the best for your business. You will need
to purchase computers, as well as other technology
office equipment to run your business. Should you
require to purchase expensive equipment, you may want
to consider leasing the equipment at which time you
can upgrade periodically.
Large computer corporations such as Dell, Compaq,
Hewlet Packard, offer special programs for small business,
for more information, visit their websites.
Choosing software programs is an important part of
your business. You should always purchase and register
the programs under your business name to avoid piracy.
What about website, internet
and phone connection?
Depending upon the nature of your business, you should
register a domain name for your business which is
a simple process. To set up a website, you can either
learn to design your own site, or find a young creative
individual to handle your website and maintain it
on monthly basis. Based on the complexity of the site,
the cost can range from $500-$1000 per site with a
monthly maintenance fee of $30-$50.
Should you require to have internet connection for
your business, the best approach is to set up a DSL
with a local phone company, which can run from $30-$40
Local phone companies have special programs for small
business owners that provides many features at a discounted
What about furniture and office
Obviously you need to have office furniture to start
up your business. Many places, such as Office Depot
and Staples offer special discounts to small business
owners which can save you up to 20 percent of purchase
price. If you have time and can travel to discount
stores, you may save yourself up to 50% of the regular
price. Remember, you are starting a business and do
not need elegant furniture, do not overspend on furniture.
As for supplies, it is recommended to establish a
small business account with large office suppliers
(office depot, staples) and order via catalogue to
save additional cost on supplies.
How can I get inexpensive business
You can design your own stationery and buy fancy paper
and print a high quality stationery. Should you choose
to print in volumes, the best approach is to find
a reasonable printer to print your stationery, envelopes,
labels and all other forms that you may need for business.
Remember, the larger the volume, the less the cost.
How much fund do I need to start-up?
Once you have taken care of the logistic of the start-up,
you must secure enough operating funds to pay for
your overhead for at least 9- 12 months. These expenses
includes; owner salary, office rent and utilities,
loans and other expenditures. Once you have taken
care of your building and equipment needs. You should
determine your monthly overhead to estimate your cash
How can I finance my business?
You should use the most sensible plan to finance your
business. There are many ways to finance your business.
Following are few choices:
1- Utilize your own personal funds
2- Borrow from friends and family
3- Financial Institutions (banks, other financial
4- Local development companies
5- Your own insurance policies
6- Liquidate personal stocks and bonds
7- Borrow against retirement plan
A local SBA office can provide you with many other
sources of funding.
What is the process to get a
The first and foremost is to have a solid, well written
business plan to define your business, goals and objectives,
financial statements and other essential information
to convince the lender that you are serious about
the success of your business. Prepare yourself to
answer the following questions.
1- How will you utilize the loan?
2- The amount of funds needed for start-up
3- How will you repay the loan?
Once you go through the interview, you should determine
the best loan for your business, complete the paperwork
and wait for the approval.
What is marketing and what does
Marketing is the most powerful tools for the success
of your business, it will either make or break you.
The four basic aspects of marketing which often called
“four P’s” are:
Product: Anything that you sell which can be goods or
Price: The most important factor
Promote: The ways you inform your customers about the
goods or service.
Provide: Another definition is distribution, how would
you distribute goods or services to your customer.
What is a marketing Plan? do I
Like a good business plan which defines your current
and future goals, a good marketing plan is a tool for
you to understand your customers and target the right
market segment. A marketing plan provides a comprehensive
statement of what you expect from each good or service
in the future. Marketing plan should be prepared on
an annual basis, and includes both historical data and
recommendation on how to improve performance. The plan
should include the following:
1- current company situation
2- business environment
3- target markets
6- actions program
7- anticipated results
8- contingency plan
Due to the nature of your business, it is absolutely
essential to have a good marketing plan in order to
understand your internal and external issues. Should
you require to have a marketing analysis done to have
a better idea about your competitors, it is recommended
to hire an individual consultant to handle this important
What is advertising, how can I
advertise my business?
There are many ways of marketing your good or service,
one of the most important is how to select the best
way to advertise your business. Once you identify the
appropriate target market segments, then you should
make a series of decisions that establish the scope
and direction of your advertising program. These include
1- select advertising objectives
2- develop an advertising budget
3- develop campaign themes
4- pick appropriate media
5- monitor results.
The primarily advertising objective for a business is
the end result. If you do not see any positive results
after 30 days, then you should change your strategy.
How else can I advertise my business?
NETWORK, NETWORK AND MORE NETWORK. You should definitely
set aside some time to network with local business owners,
get involve with the local Chamber of commerce and attend
their monthly business mixers, attend SBA workshops
and seminars and always carry a bunch of flyer or business
cards in your brief case.
I AM READY…………..WHAT DO I DO
Now that you have done all the above, you are ready
for operation. It is always a good idea to have someone
double check your business and marketing plan for accuracy.
You can either hire a consultant to do this task, or
contact the business department of a local college or
university, or contact local SBA or SCORE for their
advise. Now you are ready to open a business bank account
and move on.
The last but not least……………………
COMMIT YOURSELF TO SUCCESS
KEEP A POSITIVE ATTITUDE
BELIEVE IN YOUR DREAM TO ACHIEVE
FAILURE IS NOT AN OPTION