WHAT YOU NEED TO WHAT YOU NEED TO THINK ABOUT WHEN THINK ABOUT WHEN

PLANNING TO START A PLANNING TO START A SMALL BUSINESS?SMALL BUSINESS?

CARLOS F. CAMARGO, PH.D.CARLOS F. CAMARGO, PH.D.17 FEBRUARY 200417 FEBRUARY 2004

More jobsMore incomeMore revenues

Implication: PERSONAL & Community Development Strategy

$$$ Economic Growth $$$

Starting A BusinessStarting A Business

ENTREPRENEURS ARE:• Founders and owners/operators of small businesses• Sole proprietors with a limited number of employees• Business owners with no employees• Part-time business persons• Founders of franchised operations• Inventors who have successfully marketed their

products• New venture creators

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• Persons operating business in/from their homes

Getting Off To A Good Start

BUSINESS VENTURES HAVE TO BE PLANNED

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TAKE A PERSONAL

I NVENT OR Y

Starting With You

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• Personal Characteristics• Family Support• Business Skills

Do you have what it takes???

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MARKETINGAWARENESS

Asking The Right Questions

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•Are the trends right?• Is the idea realistic?•Would it be worth it if the business succeeds?•Who is the customer?•Where is the market?•How big is the market?•How many people will actually purchase?•How many people will purchase product from you?

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PRICING FOR PROFIT

$$$ Setting the Right Price $$$

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““Underpricing is one of the Underpricing is one of the most common mistakes most common mistakes

businesses make.”businesses make.”

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Keeping It Legal

IT’S THE LAW

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• Sole Proprietorship• Partnership• Corporation• Limited Liability Company (LLC)

Forms of Business Ownership:

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•Federal

•State

•Local

Regulations, Licenses, & Permits:

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Special Licenses, Permits,and Other Regulations

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•Copyrights

•Trademarks

•Patents

Forms of Protection:

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FINANCING YOUR SMALL BUSINESS

Finding The Money

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•Family/Relatives•Friends•Commercial Banks•Savings and LoanAssociations•Credit Unions• Loan Companies• Planning and Development Districts• Insurance Companies• Business Brokers/Investors• SBA

Sources of Capital:

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THE FUNDAMENTALSOF RECORDKEEPING

It Has T o Be Done

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• IRS Publication 533 - Self-Employment Tax

• IRS Publication 334 - Tax Guide For Small Business

• IRS Publication 587 - Business Use of Your Home

• IRS Publication 535 - Business Expenses

Tax Information/Resources:

www.irs.gov

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• IRS Publication 583 - Starting a Business and Keeping Records

INSURANCENEEDS

Protecting The Future

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• Property• Liability• Business interruption• Motor vehicle• Health• Disability• Worker's compensation

Types of Insurance:

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ADVERTISEMENT

Spreading The Word

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• Newspaper• Magazine• Radio• T elevision• Direct mail• Outdoor• W ord-of-mouth• Internet

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COMPUTER TECHNOLOGY

Integrating Computers Into Your Business

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Information/Research Tool

Management Tool

Sales Tool

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THE RIGHTSUPPLIES FROM

THE RIGHT SUPPLIERS

Purchasing Wholesale

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• Trade Associations

• Periodicals/Publications

• Trade Shows

• Registers

• Networking

Sources of Supplies . . .

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LET'S GETORGANIZED

Establishing Policies & Procedures

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POLICIES . . .•Returns/refunds

•Quality control

•Sales

•Delivery

•Hours

•Contributions

•Discounts

•Credit

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Getting Off To A Good Start

BUSINESS VENTURES HAVE TO BE PLANNED

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THE BUSINESSPLAN

Planning For Success

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Partnering with Stakeholders

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RESOURCES

Chambers of CommerceSmall Business AdministrationSmall Business Development CentersSCORERegional CommissionPlanning and Development Agencies

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AnewAmerica Community CorporationOther Non-ProfitsEconomic/Community Developers City AgenciesLocal Businesses and IndustriesCommunity College Programs

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