First Step Marketing

The Employment Protection Act is a much maligned piece of legislation. However, its complications can make life difficult for the small businessman if he does not understand the rules. Read the rest of this entry »

You often hear that it’s not what you know, it’s who you know. When it comes to running your own business, obviously both are important, but with all the tasks you have on your plate, you may find that getting together with other entrepreneurs—who are probably as consumed by their businesses as you are—is something that doesn’t take priority in the course of your busy day. Read the rest of this entry »

Cash Flow Statement

Cash flow is the lifeblood of a business, since it symbolizes the steady movement of cash in and out of a company. With a cash flow statement, you’ll be able to keep tabs on when you expect to receive revenue, or money owed you by customers, and then manage this money so it is available when you need it to pay your bills. Getting the numbers down in writing will help you to figure which months you should stockpile extra cash, perhaps by postponing that renovation project you had planned, and which months you’ll have enough revenue flowing into your checking account to reschedule it. Or you can plan to hold a special sale for the months when you believe you’ll have more money going out than coming in; the discount you provide to your customers is worth it if your cash flow is positive instead of negative. Read the rest of this entry »

In the course of running your business, you will have to deal with not one but two budgets: one for your business and one for yourself.

A business budget is also referred to as an operating budget, and it differs from the budget you developed for your start-up costs for several reasons: After operating your business for even a short time, you will have a much better idea of where the money goes, as well as what comes in. You’ll also have some sense of when the money tends to arrive in your bank account, so you’ll also know when you can expect to be able to pay your own bills. Read the rest of this entry »

If you can’t find exactly the kind of employee you want, you may decide to farm the work out on a contract basis, either to a business or an individual who freelances or moonlights for extra income.

The advantage of using independent contractors is that when times are tight employment-wise, you don’t need to look far for help. The biggest plus, however, is that the two of you agree on a fee for the project, the contractor performs the work, you pay her, and that is the end of your commitment, unless you provide her with more work. Read the rest of this entry »

Hiring a staff of employees, or even deciding whether to take on just one in the first place, can be one of the most difficult decisions a new entrepreneur can make.

Labor (and all the associated costs: insurance, additional equipment, supplies) and employer- paid taxes turn the employment section of your budget into your single largest expenditure. Read the rest of this entry »

Even if you hated math in high school, keeping a good financial record of every one of your business transactions—whether it’s checks received or cash receipts for highway tolls paid while traveling on business—is a basic necessity. After all, every entrepreneur wants to know how much money her business is generating both before and after expenses, to see what all of her hard work is worth. Read the rest of this entry »

To get started on your quest, first call your town clerk to see what you need to do to make your business legal on a local basis. The clerk will also be able to lead you to state offices so you know what you’ll have to do with the state government.

Here’s a rundown on some of the things you’ll have to take care of in order to start your business off on the right foot. Read the rest of this entry »

This is the easiest type of business to start, and the one that most solo entrepreneurs select to get off the ground. A sole proprietorship also requires a minimum of time to start, since the most you have to do is to register with your state government as a new enterprise by purchasing a business license. Once you have it in hand, you’re off and running. Read the rest of this entry »

Many of you are purchasing or taking over an existing business. Thus the business will not be experiencing its grand opening or its first week. However, it will still be your beginning, and you’ll be encountering a lot of things for the first time. Therefore most of the following applies as much to you as it would to a start-up.

There are two kinds of grand openings. One is a special promotion called a “Grand Opening.” If you’ve established a business that depends on walk-in traffic, you’ll undoubtedly want to use your opening as an excuse to have a grand-opening promotion. Whatever you do, don’t do this on your first day. You’ll have plenty of time to do this promotion after you’ve worked the kinks out of your operation and had enough time to properly plan such an event. Read the rest of this entry »