Start Up

StartUp Kit Is Owning Your Business For You?

There is no way to eliminate all the risks associated with starting a small business. However, you can improve your chances of success with good planning and preparation. A good starting place is to evaluate your strengths and weaknesses as the owner and manager of a small business. Carefully consider each of the following questions.

Are you a self-starter? It will be up to you ? not someone else telling you ? to develop projects, organize your time and follow through on details.

How well do you get along with different personalities? Business owners need to develop working relationships with a variety of people including customers, vendors, staff, bankers and professionals such as lawyers, accountants or consultants. Can you deal with a demanding client, an unreliable vendor or cranky staff person in the best interest of your business?

How good are you at making decisions? Small business owners are required to make decisions constantly, often quickly, under pressure and independently.

Do you have the physical and emotional stamina to run a business? Business ownership can be challenging, fun and exciting. But it?s also a lot of work. Can you face 12-hour work days six or seven days a week?

How well do you plan and organize? Research indicates that many business failures could have been avoided through better planning. Good organization ? of financials, inventory, schedules, production ? can help avoid many pitfalls.

Is your drive strong enough to maintain your motivation? Running a business can wear you down. Some business owners feel burned out by having to carry all the responsibility on their shoulders. Strong motivation can make the business succeed and will help you survive slowdowns as well as periods of burnout.

How will the business affect your family? The first few years of business start-up can be hard on family life. The strain of an unsupportive spouse may be hard to balance against the demands of starting a business. There also may be financial difficulties until the business becomes profitable, which could take months or years. You may have to adjust to a lower standard of living or put family assets at risk.

On The Upside:

It's true, there are a lot of reasons not to start your own business. But for the right person, the advantages of business ownership far outweigh the risks.

You get to be your own boss.

Hard work and long hours directly benefit you, rather than increasing profits for someone else.

Earnings and growth potential are far less limited.

A new venture is exciting.

Running a business will provide endless variety, challenge and opportunities to learn.

Are you still interested? You may wish to take a twenty question quiz developed by "Small Business Success" magazine. The quiz was developed from a survey of over 100 business owners. Your answers should give you a good idea of how your current thinking and business philosophy compares to that of successful business owners. Go ahead, there is no wrong answers - http://www.sba.gov/BI/quiz.html.

Okay - Lets Get Started

A good place to start is to review the series of "Frequently Asked Questions" provided on the SBA national web site - http://www.sba.gov/starting/indexfaqs.html.

Now go to "First Steps - How To Start A Small Business". This site outlines the business planning process step-by-step and provides a link to a very comprehensive business plan outline. Or, go directly to the business plan site.

Part of the business planning process requires you to determine what form the business will take ? proprietorship, partnership of corporation. For a description of the pros and cons of each form - http://www.sba.gov/starting/getting.html. and scroll down to "Types of Business Organizations".

Need some help with the business plan? Local SBDCs regularly conduct training for business plan preparation and both the SBDC and SCORE Chapters provide free one-on-one counseling on this subject - "Counseling and Training" for links to these district-wide resources.

The plan is done and you need financing ? what now? To start, we suggest you review the FREQUENTLY ASKED QUESTIONS on SBA loans, the FINANCIAL SIX Cs, CAN I QUALIFY FOR A LOAN and HOW TO APPLY FOR AN SBA GUARANTEED LOAN. For complete details on all SBA loans go to Financing.

If you need assistance with the loan application, you may wish to contact the local SBDC and/or SCORE Chapter.

Other start-up assistance can be located as follows:

The national SBA start-up site at http://www.sba.gov/smallbusinessplanner/start/index.html
Go to http://www.sba.gov/starting/indexoutside.html for a long list of sites devoted to starting a business.
Go to http://www.sba.gov/library/pubs.html 

There are many Federal and State laws, regulations and requirements which impact small businesses - taxes, insurance, labor laws and licenses. The following are some sites you may find useful:

Taxes

Federal taxes - Find out what is required - http://www.irs.gov. Request the latest "Tax Guide for Small Business" (Publication 334).
Florida Taxes - Corporate income tax, sales and use tax, discretionary surtax, intangible personal property tax - you need to know - http://sun6.dms.state.fl.us/dor/.

On the "business" page you can select your specific industry and obtain an outline of the tax laws and regulations that impact that industry.

Insurance

Small Business Insurance - Liability, property, flood, windstorm and business interruption - learn more at - http://www.fldfs.com/.
You can access the Department of Insurance "Small Business Owners' and Insurance Consumers' Guide" online.

Labor Law

Federal - http://www.dol.gov/elaws/.
Florida - http://www2.myflorida.com/les/ for the state agency that regulates unemployment compensation, workers' compensation and Florida's child labor laws.

When Florida businesses hire employees they must file a "New Hire Reporting Form". - http://www.fl-newhire.com.

Other - State And Federal

Fictitious Name - Anyone conducting business under another name must file a fictitious name registration. Find out how -
http://www.dos.state.fl.us/doc/index.html.

Occupational Safety & Health Adminstration - Federal law requires businesses to provide a safe workplace and, in many cases, maintain records of occupational injuries - http://www.osha.gov.

Discrimination - Federal law prohibits employment discrimination on the basis of race, color, religion, sex, national origin, age, or disability. - http://www.eeoc.gov/facts/qanda.html.

See also http://www.usdoj.gov/crt/ada/.

Licenses And Permits:

State - Florida requires licenses and certificates of competency for some professions and occupations. Some require special training and examination - http://www.state.fl.us/dbpr for more information.

Local - Many cities and counties require local occupantional licenses for most businesses. Check with your city clerk or county tax collector.

You may also need a zoning permit. County planning departments or city building inspection divisions can provide information on zoning requirements.

Good luck and remember, if you have specific questions you can reach the North Florida District Office at (904) 443-1900 or e-mail your questions to askus@sba.gov.