Category: Starting Up

Starting your own business, whether it’s one that you start from home, a small commercial office space or a retail store can be a dream come true. Rather than working to buy your boss a better vacation, you now get to build your own wealth and do things your own way. 

Your biggest challenge will be how to set up your business in the best possible way so that you can compete in your niche. Fortunately, you’re on a well-traveled road and there is a lot of information available about how to start and run a successful business.  

Let’s take a look at some of the basic things that all entrepreneurs need to do once they open up a business. 

Create an Online Presence 

If you have opened up a virtual business, then you have already done this. However, if you have opened up a brick-and-mortar business, then this is something you need to do as soon as you open your doors. Don’t just rely on walk-in traffic or the ad you placed in your local newspaper or in the Yellow Pages. You will also need an online presence to market your business.   

Here are 3 tips to develop an online presence: 

1. Get fast internet:  

You will need fast internet to build and maintain your online infrastructure. If you work with one that crawls and has customer service that hangs up on you, you’ll get frustrated. Work that should take five minutes of work could take up to a half hour to get done because most of the time will be spent waiting for pages to load.  

Don’t make the mistake of simply picking any internet provider that you may be familiar with because they advertise heavily in your area. Although many broadband internet providers can give you fast speed, you will definitely get your money’s worth if you do some research and find an i3 broadband provider who can deliver up to 1 Gb of speed. 

2. Use cloud computing: 

You don’t need to worry about buying a server and setting up a small network. Nor do you need to shop for software. A cloud service provider can help you meet your hardware and software needs without the cost of setting up your own computer network or hiring an IT professional. What’s more, you will have the same functionality as a large business in your niche. 

3. Build your website presence: 

First, build a website so customers can learn more about your business and even buy products or place service orders online.  

Next, create a blog so that you can regularly create content to establish your authority in your field.  

Finally, develop a social media presence so that you can build relationships with other business owners and your customers. 

Consistently Improve Your Product or Service 

Although you already have a product or service when you start your business, use the idea of Kaizen, a Japanese management philosophy of improvement. 

This common Japanese word itself simply means “good change.” However, it has been adopted by Japanese management philosophers to discuss a mindset that focuses on making continuous improvement. 

So, if you sell your own product, be on the lookout for ways to improve it. If you sell other people’s products, find ways to expand your product line or how you sell products. And if you provide services, think of tweaks you can make based on feedback that will help you deliver an even better service. 

Develop a Budget 

Whether you do your own finances or outsource all your bookkeeping and accounting, you need to create a budget so that you avoid cash flow problems by overspending. 

You will also need a budget for specific aspects of your business. For instance, you will need an advertising budget to consistently market and promote your business. While there are free ways to grow your business, these usually take a long time to work. You will get faster results by also paying for ways to get customers.

In closing, it’s important to remember that any business is fragile. Things fluctuate. Sometimes, you will be having magnificent sales; and at other times, you may worry about how to keep the doors open. You can’t simply set it up and have it run perfectly once you’ve figured out your main business processes. You have to stay on top of your goals and consistently solve all business problems that arise. 

Article Contributed by Noah Rue

Women have been steadily breaking glass ceilings for the past century. From the right to vote, to the right to serve in the US armed military, women are increasingly showing their prowess and ability to make change happen. Women have skills and talents, and they are ready to show the world everything they’ve got.

Luckily — although progress has been slow — many women are finding their future lies within the armed forces. The potential to not only receive an education but also develop essential career skills while serving the nation is a worthy trajectory for many women. However, just as it is for men, rejoining civilian life after serving in the military can be extremely difficult.

In the States, an interesting phenomenon is happening. Women-owned businesses — predominantly created by women of color — are steadily becoming dominant in the startup field. More interesting than that is the massive boom that women veteran owned business have seen: a 296 percent increase from 2007-2012.

How are women veterans making their presence known on the military front as well as in the small business sector? By becoming small business owners, women are able to put their skills to the test in the civilian world. Let’s look at the details behind this promising trend.

By the Numbers

According to the National Women’s Business Council (NWBC), as of 2012 there were 383,302 women veteran-owned businesses in the United States. Since then, there hasn’t been any more recent studies on the numbers, as it is dependent on the Economic Census (performed every five years. This year they will be the next Economic Census, but resulted won’t be ready until early 2018. However, considering the continual rise of women in the startup world, it would be safe to assume that this number has since increased. It is estimated that in 2016, 11.3 million businesses were owned by women, contributing $1.3 trillion dollars in revenue and employing over 9 million people; according to an American Express “State of Women-Owned Businesses Report.”

Many of the businesses owned by women veterans only consist of the owner (96.7 percent according to the 2012 numbers), but the remaining 3.3 percent employ approximately 102,662 people. Overall, women veteran owned businesses make an average revenue of about $18 billion dollars annually.

Comparatively, male veteran-owned businesses actually decreased from 2007 to 2012 by 7 percent. Women veterans are really beginning to take over the small business front, but what sector are they settling into? According to the 2012 NWBC report, the majority of these businesses are in the healthcare and social assistance, administrative support, scientific and technical fields, retail, and in other services. Most businesses are situated in the states of California, Texas, and Florida.

But why are so many women, especially veteran women, taking the entrepreneurial plunge? Much of this could be due to the increasing presence of women in the military. One study found that 2.2 million veterans were women in 2013, compared to 1.5 million in 2009. Is the transition into civilian life proving more difficult for them, or easier?

Why Own a Business?

For many veterans, finding a job that meets their needs after serving in the military can be a difficult task. This is even more difficult for single parents, disabled veterans, or veterans who suffer from PTSD. There are simply too many factors that can disrupt the success of a veteran’s career post-deployment.

Although the unemployment rate for veterans is low — 5.1 percent in 2016 — women of the 20-24 year age range have had a particular difficult run in transitioning to the public sector. According to a Syracuse University study highlighted in Inc., “In 2011, female veterans who were 20 to 24 years old had an unemployment rate of 35.4 percent.” Luckily, that number has since decreased to about 5.6 percent in 2016, but it could account for the dramatic rise in women veteran owned businesses.

Veteran women have found a way to work around some of the more challenging roadblocks when transitioning by taking the entrepreneurial plunge. For some women, they may be busy starting a family or caring for their children while their husbands are still deployed. Having the ability to choose their own schedule, as well as what they can do, is certainly an alluring aspect to entrepreneurship.

Additionally, many women may find that their dream jobs aren’t in existence yet or are hard to find, so they start their own business instead. Serving in the military opens up many doors and opportunities, but sometimes it can fuel the very innovation that leads to a new product, business, or industry. Especially after working on the front lines and seeing where certain gaps exist, many military veterans may find that their future lies in contracted work that can help the military make better equipment or technology for future generations on the ground.

There are many industries that are not only looking for qualified and experienced professionals, but are also eager for innovative thinkers. For example, with many women veteran’s working within the healthcare field (62.4k firms according to the NWBC data from 2012), they’ve found that their job is not only rewarding but secure. The constant growth of the population is leading to a national nursing and doctor shortage, and those working within healthcare in any capacity will find that entrepreneurship is encouraged among nurses and other qualified individuals. Having a secure job post-serving — and one where you can choose your own hours and location, even — is essential for many veterans to remain successful in their career path.

Lastly, as welcoming as the job market may be for entrepreneurship, it isn’t the only reason why women veterans are seeking out their own startups. There are also plenty of safety nets created within the past decade just for women who run their own business, and there are additional resources for veterans. This includes government grants, small business loans that are catered just for women and just for veterans, and a plethora of online (and free) resources for small business owners.

The business world is eager to accept entrepreneurs, and is willing to give everyone a chance to pave their way to success. Luckily many women veterans are doing just that.

Women Veterans Making an Impact

As more and more women enter the military, we may see an even greater increase of women veterans opening business once they’ve finished their service. The disciplined training and experience they have gained while serving in the armed forces is no doubt a coveted trait to have in your career. Additionally, our current economy in the United States is fully embracing the startup world.

Many women veterans may find that their future lies in joining the small business world. Luckily for them, the business world is ready and willing to give them a hand in making their dream become a reality.

Article Contributed by Jeanna Marnela Lising 

You are doing well as a first-time entrepreneur. Your current venture is going great, and with the way things are going, it just feels right to ride the hot hand and see where your current winning streak takes you.  After all, you have the capital to expand your business and branch out. You are probably thinking, since what you are currently doing is working, why not take the same business model to another city or state right? What could go wrong?

To answer the question, there are a lot of things that could go wrong. Branching out is not as easy as duplicating what you are doing in your current location and expect it to be successful in another. While some aspects can be retained, there are some factors that you need to consider before actually branching out like:

Laws and regulations

Different cities and states may have different sets of requirements for new businesses that intend to operate in their location. Most states would require a state identification number, your trade name registration, and zoning approval. Then there are other documentary requirements like professional licenses and special operating permits depending on your product or service. You better make sure that you are compliant to whatever laws and regulations apply to your business based on your industry in the new location as well. You are basically starting another business in another location even if it is completely based on your current venture.

Competition

You have to also consider that you will be entering a market where there is already a dominant player. Even if you do well in the first months because of market curiosity, you might see your sales dwindle after as the market goes back to what is familiar to them.

Research the strength of your competitors in the new location. Do you have something of value that can keep you competitive or even give you an edge? Or are you just presenting the market of more of the same? If you are the latter, then you might as well just pack your bags. If you are not presenting the market with anything different, consumers will always go to what they already know and those are the old established businesses in their area.

Current financial status

Do you remember how hard it was to even breakeven during the first months of your business? That’s right, you will be going through that again as you will be spending more than you are getting while you are trying to set your business footing in the new location. After all, you will be spending on capital expenses and you might even end up getting a loan to really get the ball rolling in your new branch.

Review your financial status and make sure that the profit you are currently getting from your first location is enough to get you by while you open your new location. You do not want to live as a pauper while trying to get the new branch running.

 

Manpower or labor

You will also have to consider the labor or manpower aspect of your new branch. Do you get people from your current business and transfer them to the new location? It has the advantage of having people already familiar with your business operations and may result in a more seamless transition. However, these people will be relocating and there should be an incentive for them to move to another city or state. You could also hire people from the area as they are already within the vicinity of your new location. However, you will have to invest more on training and on-boarding to ensure that they know the ins and outs of your business come opening day.

You also have to consider that the standard of pay may be different in each location. If you are paying most of your employees the minimum wage, you might be surprised that each state has different minimum wage rates. Tips are another thing to consider. Some states say that tips given to workers should be added on top of their wages while other states say that tips make up a percentage of the employee’s pay and companies can just pay the difference. These seems trivial, but it can affect your overall payroll.

Technology

The technology you are using in one location may not be feasible on the next location, implementation or cost wise. A good example is your business phone system. When you have only one location, it is perfectly fine to have an on-premise system. However, once you plan to branch out, the same phone system cannot be used on the new location anymore unless you install the same system there. That would, however, be very costly.

A good option is to turn to the cloud. Cloud services are delivered via the internet and can be accessed from anywhere, making it perfect for businesses that run in multiple locations. There are cloud services for different business functions including human resources, accounting, phone systems, and storage. Businesses can just subscribe to the service they need and it can cover all their locations.

Culture

An important factor that most entrepreneurs fail to consider is culture. What people like and appreciate in one place may be a big no-no in another. Just ask Anthony Bourdain. As a New Yorker, he is not a fan of catsup on anything. Then he arrives in Ecuador and he finds that most dishes use ketchup (banana ketchup at that), and it boggled his mind. So before even considering opening a business in another location, you need to know if your product or service will be appreciated. Without research, you might find yourself offending your market’s sensibilities, and that will be the start of your downfall.

This is not to discourage you from expanding your business. Expansion is a good thing; it means growth and is a good sign that your business is doing well. This is just a reminder that previous success does not guarantee success in another location. The same amount of research and hard work when you started your current business will be needed to get your new branch up and running.

Article Contributed by Ashly Jacob

Just when we thought that online businesses were only a fad some years ago then we were very wrong about it. Online businesses continue to bloom and thrive up to this day and this platform has even become the frontrunner for some major corporations and enterprises. Aside from major businesses, there are also a lot of small businesses that have flourished due to people falling in love with the online platform. If you happened to be one of those entrepreneurs who are looking forward to invest on an online business there here are business models that you should check out.

1. Try holding a reverse auction.

For those of you who does not know how reverse auction works, it is a process wherein consumers set a certain price for a particular service or product and if the seller will commit to the said price then the buyer must then commit to the terms and conditions set by the seller. Reverse auctions are very attractive towards buyers who are willing to go low just to be able to take advantage of a service or product that they want. The most common niche on reverse auctions are hotel accommodations and trip packages.

2. Set up a website that acts as a middleman for transactions.

Ever wondered why websites such as eBay and Amazon are very popular despite charging less money from people who visit their website? This is because they are the ones who orchestrate demand aggregation. Even if they do not make that much out of transactions, they are able to gather sellers and consumers at a single virtual location, which is very attractive for third-party websites who are in dire need of advertising.

3. Acquire a modern franchise business.

Much like how it happens with traditional businesses, online entrepreneurships also have franchises of their own as well. Pick a business model that you are really interested with so that you will have stock knowledge of it and you won’t easily get bored with your new business. Since the business concept is already provided then just focus on the staffing process and be able to hire the right people who will share your business vision and goal. Not all franchise businesses are mainstream because there are also concepts such as the wine cooler merchandise which is very popular among young online entrepreneurs these days.

4. Offer a product at the most expensive price.

This business model is very risky but as long as you do extensive research on this then it can assure you a very profitable business outfit. Look for a product that has an exclusive market and try to personalize the product so that you can be able to market it at its highest possible price. You do not have to resort to dirty tactics such as false advertising because you just have to be confident of your product and everything else will follow.

5. Set up man-to-man transactions.

The secret to this is to take advantage of privileges that are not used. For example, there is this company who has unused cars in the garage. Instead of just letting it sit there without any use then might as well have it for rent by people who do not have their own car yet. This way, both sides mutually benefit from the deal while your website acts as the middleman for the transactions. This type of service has a very wide scope and as long as you have a lot of connections then it would be very easy to let your service be known to others. You also do not need much of a capital to get this going because the concept is fairly simple.

For many people, their dream is to become a successful entrepreneur. Being a business owner can allow you to be your own boss and pursue your real passions by developing products and services to offer to the public. Being a small business owner, however, isn’t easy by any stretch of the imagination. Many end up failing. If you want to succeed with your small business, below are four important features many small business owners overlook.

Legal Compliance

While you may not necessarily think of it as a feature of your company, legal compliance is vitally important to your small business’s survival. If you fail to conform to the rules and regulations put in place by the city, state and federal government, you could be shut down entirely. You could also face costly lawsuits. Up to 53 percent of small businesses are sued during the year.

HVAC

Another thing you may not think about often is your heating, ventilation and cool system. Also known as HVAC for short, such a system is extremely important for your office. Without properly functioning HVAC, you may not even have a safe work environment for your employees. The winter cold and the summer heat can both be extremely dangerous. You also risk other catastrophes like your pipes and expensive computer systems being damaged.

Security

Security is also extremely important to your small business’s survival. While you may want to give people the benefit of the doubt, small businesses are routinely targeted by criminals. Some of these criminals may even work for you. Statistics show that employees steal $50 billion from their employers every year. Security cameras are a very sound investment for nearly any company. Thanks to wireless internet, they are also cheaper than ever to install.

A Long Term Plan

Most small businesses are very stuck in the short term as far as their planning goes. This is understandable. Running a small business day to day can be taxing. With the challenges small businesses encounter every week, it can be difficult to think much further ahead. However, if you want your company to be successful several years or even multiple decades into the future, you need to start developing long term plans immediately.

Being an entrepreneur is not easy. In fact, it can be one of the most difficult things a person can undertake. It’s a juggling act. That means making sure you cover all possible bases in regards to every aspect of your company. Certainly don’t forget the four listed above.

About the Author

Kara Masterson is a freelance writer from West Jordan, Utah. She graduated from the University of Utah and enjoys writing and spending time with her dog, Max. Kara recommends working with a contractor like HELP Plumbing, Heating, Cooling and Electric to keep your business property safe and sound.