Writing a business plan

The most important thing you can do to start and operate your own business. Creating a business plan requires a lot of time and energy, but it is valuable for a reason – it will be obliged to make your business idea. You must decide how to revenue, these expenses, and your competitors and, more importantly, WHAT YOUR COMPANY IS NOT. For May seem obvious now, but write. Think about it. What makes your company? What is the service that you are the only one, huh? What happens to get ahead of the competition?

About the mental exercises, a good you a much better chance of a loan for small business to a bank and say: “I like Photoshop and can potentially be a little or a certain Web sites. Gimme money.”

A few years ago, the rhetoric of the new age business also said the business plan and simply run with it. Of course, it did not work so well if you go this way, God bless you. The business plan for a reason. There are libraries, books written about them and on large sites to be used for the production of good. Some resources:

* SBA
* Scott Kramer article on A List Apart
* Businessplans.org
* Business Plan Archive

Take a few weeks, and the creation of a strong and a plan for thinking. Give your friends, colleagues, family, even to read. Your company is much stronger because you have the time for this step.
File for a fictitious

A false name (in business or as a DBA, as in some states) is that of the government for the name of your business. If you HyperGlobalMegaSoft that the start-up must be registered by the State to ensure that nobody uses them. It costs about $ 100, but prevents you from accidentally use someone else name, or someone else with your name. Please also note that both companies can usually save the same name to the various industries. For example, Luigi’s (Design Studio) and Luigi’s (pizza included).

Note the name shadow rapporteur is something other than brand. The mark consists of a series of separate, more bureaucracy and additional costs. In contrast to a fictitious name, but a trade mark is not required.
Financing

It is a very involved, and plenty of books and articles have been written over the years into the reading, bath boring. Tips at a glance: the beginning of the activity with their own savings or loans from a bank. I recommend the old or a combination which, because they pinch you in your bit. If you have the Bank Street, make sure that the business plan for a major political luster. This May is a good time for a business plan professional publisher / editor.

There is a golden rule: Do not borrow money from family or friends. 99% of the time, you’re not in a position to pay back, and you do not have the chance, it will not be for months or years. The amount is not relevant, or $ 1000 $ 100000 quickly create bad blood.
An accountant

When you launch your company and the maintenance of the future financial position, is nothing more that the allies auditors. He or she (or, if you’re with a company) are in a position to give advice on numerous aspects of the new company. You can use the advice on these types of business enterprises, setting up accounts, a billing and collection, and much more. More importantly, they also have you on the payment of taxes correctly and on time.

Short recommendations on accounting:

* For a book or in your office. Each state has different laws.
* Make sure that the auditors know business taxes. Do not set an accountant, based on the family.
* Unless you are really, really make money for hiring an accountant who was not a member of the family. Although he tried, in May at a discount of family, it is better to an impartial view of your finances, and even better at the nose of your family, your funds in the rule.
* Try the trade! Maybe your accountant wants a new logo, website or a brochure.

Start with a partner

If it is possible to start the business with a partner. This person should another developer or programmer with an experience of greater than or equal to itself, but with a different set of skills. If you are the God of the annual reports, your partner may be the identity of Overlord design. The existence of two gods Jahresbericht is standard for certain types of work identity if the customer requests it. And for the record, once again, it would be better if this person is not the family.

“But why a partner?” You ask. “I’m a good designer holy, and I’m really really does this right.”

A partner you on your toes. If you want to buy the $ 2000-scanner, he or she should ask themselves why. If you are a part of the promotion is an attempt, the best results. When you start, slack off, he or she is there for you on the business priorities. Nobody can do everything, and two active skills while flying solo.
Your new office

If you are a company that promotes the establishment of an office located outside of your home, the pros and cons carefully weighed dramatic.

Good:

* You have a place for customers to visit when they spot.
* Strengthens the right image (see below). A good presentation is a long way, and it will be your office, as if you are in business for years (you do not, to tell them you have a start-up, as-tu?) Helping build the confidence of customers.
* You can have all the office expenses (rent, repairs, telephone, etc.). This has an impact on your results dramatically.
* Gets you out of the house. With a real place to work, the company real, and you are forced to the fact that more than serious.

Not-So-Good:

* The money out of the window. Rental of office costs $ 250 – $ 10,000 per month, without the deposit. That is a lot of money if you have a thin or incompatible customers.
* Requires additional costs. You need a light and an activity, not to mention the other phone, Internet, furniture, etc.

Establishment of an office outside of the new company is a case by case situation and depends almost exclusively on start-up costs and cash flow. Some companies need a place for the guests (advertising), and for others, it is not so important (web development). Carefully weighed against the benefits of capital, because of him into a lease without payment is not funny.
A good paper trail

Make sure a written solid with customers, which means a real physical file with copies of proposals, contracts, invoices, time sheets and everything you imagine what the project. This includes all financial, bank statements, receipts, task lists, etc.

Before starting your activity, several important matters. First, a consistent and scalable system for all forms. Whether customers or the organization of the project is relevant, but make sure you find the information if you need it. Then you have airtight contracts. I recommend to write them himself. There are many places in the network, where the generic forms, such as www.creativepro.com. They must also still looking for NDAs (agreement on the non-disclosure of employment contracts for other self-employed), RFP (request for application) models for customers to meet expenditure reports, invoices and time sheets. Each project is different, then you are ready to make changes to these forms.

And please, if you sign a contract with a customer that you have a copy with the two signatures. Seems an obvious thing, but you will be surprised. Not a job without one, because you have legally very difficult to compel a customer to pay, without a crime.

Part of maintaining a solid paper is a good system for the settlement to launch unannounced. Make sure that your invoices are in the mailbox of the customer, if the project is still fresh. Each bill must clear the amount to be paid and the payment terms (30 days, etc.), and clearly the additional costs of crime rewarded.

If the payment is in arrears, call the customer. Sometimes they have just way. Other times, they do not have the money and look away secretly. Sometimes, it’s in the mail. “Regardless, the company that are not paid will not be paid!
Start Small, Conserve Loot

Where, in your house / apartment to start, especially if your customers that you never visit, or if you live in an expensive city (NYC, LA, Chicago, San Francisco, etc.). Remember your costs! Do not buy a new job Xeon Quad your machine can cut, or a network hardware for both computers. Too cheap! Search Sales OfficeMax, clip coupons, just and intelligent memory. You need the start-up financing on the road, that’s not the pressure on spending recklessly. (And yes, folded decomposed business card printing with metal as a frivolous issue.)
Under non-batch, but be flexible

If there is one thing to turn away from this article is on this point. The truth of the prices is the only thing that the life business on many levels. If the amounts for the work that the customer feels like they have the right of the people, if you charge the customer understand that and know you will benefit by similar growth rates for the future.

If you for every customer a rebate for employment (and it is trying, especially at the beginning), you can find work twelve hours a day and unable to pay the bills. Less than bad, and industry in general; understand charged customers expect, and the application of the ridiculously low price.
Software name

Make sure that all copies of software versions are designed for private clients. Do not use “education” or software. This is very important and should be a part of the budget.
Separate personal and business finances

Quite a lot more to say. It saves you a lot of headaches later come tax season.
Marketing

Even customers who are reliable drought, to ensure that you are constantly the name of your company on the market. Word of mouth is the best, but really fresh work usually requires money.
The importance of the image

The importance of a positive image in the eyes of your customers and potential customers may not be overestimated. The identity of your company, your project so that the identity of the customer.

The visual identity. Get business cards, letterheads and envelopes. Designing a logo or someone to do if you’re not a company for design.

Color of the room. During his meeting with a customer, as someone who has come to do business, not a stereotype black Turtleneck mid shaved graphic, which is decorated with your presence half an hour late. It seems exaggerated, but all too often.

Tust office entertained. To learn more about the customer’s own office, organized and entertained. Make good coffee. Buy comfortable chairs. Make sure you have a parking lot.
Resources from outside

A company takes many hours and learn. However, there are many who are for the companies to follow on work. For example:

* Your local Chamber of Commerce
* NOTE
* Participation in seminars. You can learn a great deal and powerful networks. Many are free.
* CreativePro.com. Many valuable resources, such as photos, contracts with companies, gifts and much more. $ 29.99 / year.
* Elance.com. Because of the many inconsistencies between the developers of the ridiculously low rate, you have to work, but a good place to find work when the rest of the world their doors.

If you do decide on a company, there’s nothing more I can say, unless the best of luck.

You need the “fire in the belly”, or failure. There are many hours of hard and incredibly frustrating and stressful time to come. But the price – your own boss to be able to work on a variety of projects, as proverbial sense of fulfillment – all these results are very specific.
Special note for those who are still in school

When I was in school, what I wanted everything in a company to create customized audio solutions for developers of multimedia content. I asked my teacher – they have said that it’s a good idea. I asked my classmates – they thought it a good idea. Can I do an internship of six months to one of the “new media” companies, whose aim is the audio-streaming, and met the people so poor that they slept in the warehouse for the equipment because they do not have n the necessary experience to the success of what they did. (Incidentally, they do not have a business plan, or.)

Before you have a fresh out of school to wait and get real-world work experience first. I started my company as a design I was 23, and the company suffered so much. Not because I am young and stupid (well, not that young and dumb, in any case), but simply because I was not enough intelligence on the street really follow.

Expertise and talent of gross only go so far. If you work in a company, you can see how companies that function as the workflow is how customers are treated as the operator with the workers and the nature necessarily independently established deadlines. These are valuable experiences, the school can not teach.