How do you start a business?

[pellius]

There's this tanning salon that I go to because it's the only one in the area (next closes is about 15 miles away). This is in Kaneohe, Hawaii which is an area that rains pretty much everyday at some level. This is the worse place I've ever seen. Expensive, they close at random times for breaks, lunch, errands.... The owner lives on the mainland and doesn't give a rip. The "manager" is her niece that only hires her dippy teenage girl friends that spend more time on the phone or talking to their desperate boyfriends that have nothing better to do but hang out in a salon taking up the few seats available. The bulbs suck and are poorly maintained. Try to find a bed that doesn't have a least one bulb out. Due to their frequent "computer problems" they've been closed for over a week. No one is happy with this place but  only go there because it's the only salon in the area.

Because there is a ready made customer base (it's in an outdoor shopping center with lease space available with a 24hr fit right next door to the salon) I know that if another placed opened up and just actually stayed open during the posted hours they would shut this place down. Even their hours stink 10am-9pm wkdys and 11am-5pm wkends. And I'm sure I can do better than their $80/month unlimited on their crappy 20 min bed.

Hell, I'd be willing to sit there from 7am-11am and run the place myself. There's a lot of down time that I can use to read getbig (LOL). Also, I can hire my nephew that lives down the street to work a few hours while I go to 24hr to train 3-4 times a week.

[joelocal]

Every business should start with a written business plan.

[Bluto]

not gonna read that i tell youw hat im gonna do im gonan drink ab beer ok pal

[Matt C]

Money and intelligent use of it makes more money.  Innovation makes money, but these days it usually requires money to be innovative (youtube, facebook).  In other words, if you don't have money to begin with, don't expect to progress anywhere fast.  And I don't mean having $50,000 in the bank, I mean having a million to play with.

[joelocal]

There's this tanning salon that I go to because it's the only one in the area (next closes is about 15 miles away). This is in Kaneohe, Hawaii which is an area that rains pretty much everyday at some level. This is the worse place I've ever seen. Expensive, they close at random times for breaks, lunch, errands.... The owner lives on the mainland and doesn't give a rip. The "manager" is her niece that only hires her dippy teenage girl friends that spend more time on the phone or talking to their desperate boyfriends that have nothing better to do but hang out in a salon taking up the few seats available. The bulbs suck and are poorly maintained. Try to find a bed that doesn't have a least one bulb out. Due to their frequent "computer problems" they've been closed for over a week. No one is happy with this place but  only go there because it's the only salon in the area.

Because there is a ready made customer base (it's in an outdoor shopping center with lease space available with a 24hr fit right next door to the salon) I know that if another placed opened up and just actually stayed open during the posted hours they would shut this place down. Even their hours stink 10am-9pm wkdys and 11am-5pm wkends. And I'm sure I can do better than their $80/month unlimited on their crappy 20 min bed.

Hell, I'd be willing to sit there from 7am-11am and run the place myself. There's a lot of down time that I can use to read getbig (LOL). Also, I can hire my nephew that lives down the street to work a few hours while I go to 24hr to train 3-4 times a week.

http://www.sba.gov/smallbusinessplanner/plan/writeabusinessplan/SERV_WRRITINGBUSPLAN.html

[The Master]

1: You get some resources, educate yourself about the different aspects of business, and talk to some people that have already succeeded to get good tips and feedback.
2: You make a commitment to learn the skills needed to succeed in business, and then you go out and do it.
3: Get a good team of advisors/helpers to help you out.

[Matt C]

not gonna read that i tell youw hat im gonna do im gonan drink ab beer ok pal

Looks like you already grabbed a few.

[joelocal]

Money and intelligent use of it makes more money.  Innovation makes money, but these days it usually requires money to be innovative (youtube, facebook).  In other words, if you don't have money to begin with, don't expect to progress anywhere fast.  And I don't mean having $50,000 in the bank, I mean having a million to play with.

 .....but first have a plan. Not everyone starts with a million to play with and not everyone can get that kind of capitol. Get real Matt.

I started with literally $500.00 and now own a home on the beach. Everything MUST start with a plan.

[The Master]

Everything MUST start with a plan.

Good fucking point!

[SteelePegasus]

Money and intelligent use of it makes more money.  Innovation makes money, but these days it usually requires money to be innovative (youtube, facebook).  In other words, if you don't have money to begin with, don't expect to progress anywhere fast.  And I don't mean having $50,000 in the bank, I mean having a million to play with.

you are an idiot..so you are saying that every business started off with the owner having 1 mil in the bank

[joelocal]

Here's another one, SBA is a GREAT reference source


http://www.sba.gov/smallbusinessplanner/index.html

[Matt C]

.....but first have a plan. Not everyone starts with a million to play with and not everyone can get that kind of capitol. Get real Matt.

I started with literally $500.00 and now own a home on the beach. Everything MUST start with a plan.

Sure...money and a plan.  By the way, what did you do with $500.00 to become successful?

you are an idiot..so you are saying that every business started off with the owner having 1 mil in the bank

I'm saying it is a huge advantage.  I'm also saying that those that don't fall into the outline I described above are the exceptions, not the rules.  When my friends ask me about my website and web design business I explain to them that 95% of similar businesses fail within the first year.

[Go 4 It]

It all depends on the type of business that you are persuing, in your case..a tanning salon, I would estimate a start up of no more than $50-60,000 at most, purchasing the beds are 90% of the cost.

[The Master]

There's this tanning salon that I go to because it's the only one in the area (next closes is about 15 miles away). This is in Kaneohe, Hawaii which is an area that rains pretty much everyday at some level. This is the worse place I've ever seen. Expensive, they close at random times for breaks, lunch, errands.... The owner lives on the mainland and doesn't give a rip. The "manager" is her niece that only hires her dippy teenage girl friends that spend more time on the phone or talking to their desperate boyfriends that have nothing better to do but hang out in a salon taking up the few seats available. The bulbs suck and are poorly maintained. Try to find a bed that doesn't have a least one bulb out. Due to their frequent "computer problems" they've been closed for over a week. No one is happy with this place but  only go there because it's the only salon in the area.

Because there is a ready made customer base (it's in an outdoor shopping center with lease space available with a 24hr fit right next door to the salon) I know that if another placed opened up and just actually stayed open during the posted hours they would shut this place down. Even their hours stink 10am-9pm wkdys and 11am-5pm wkends. And I'm sure I can do better than their $80/month unlimited on their crappy 20 min bed.

Hell, I'd be willing to sit there from 7am-11am and run the place myself. There's a lot of down time that I can use to read getbig (LOL). Also, I can hire my nephew that lives down the street to work a few hours while I go to 24hr to train 3-4 times a week.

Get this book and get familiarized with every concept in it, then take it from there.

http://www.amazon.com/Start-Your-Own-Business/dp/1599180812/ref=pd_bbs_sr_1?ie=UTF8&s=books&qid=1200183850&sr=8-1

[Matt C]

Yes, you can have money and still fail at making more money, but to imply that "intelligence" and "hard work" are all that are required is very naive.  You can be the smartest person in the world, but without capital, let me know how far you get.  That's why it is called "capitalism" after all.

[joelocal]

Sure...money and a plan.  By the way, what did you do with $500.00 to become successful?

I'm saying it is a huge advantage.  I'm also saying that those that don't fall into the outline I described above are the exceptions, not the rules.  When my friends ask me about my website and web design business I explain to them that 95% of similar businesses fail within the first year.

No Matt, you have it backwards (not blasting you) you MUST have a plan for your money, you just can't randomly place your money and expect it to work for you, business is enough of a risk, if you value your money you will limit the risk by having a plan.

I was very patient and kept on reinvesting back into my business, also, it helps to have PASSION for what you do.

[240 is Back]

visit your local small business development center.  most cities have one or two or three.  they'll give you everything to get legit, help you with competition strategy, and be honest with you about any flaws.  

Also, work with other businesses.  Sell complementary products.  Call up the fitness clothing store, offer to keep a rtack of their stuff in your store for a markup or %.  If you do this with 5 stores, you might have an awesome, maintained inventory of vendor goods without having any of the risk.  

As many ways to get $ flowing in as possible - that is the goal.  Remember that most people only have ONE source of income - their job.  To me, that's crazy.  I have many clients and several different fields that I work in at the same time - if any industry or client craps out, I still pay the bills.  

Good luck to you!  90% of small businesses fail - the other 10% just work smarter AND harder, and above all, they pick something they love in the right field.

[The Master]

No Matt, you have it backwards (not blasting you) you MUST have a plan for your money, you just can't randomly place your money and expect it to work for you, business is enough of a risk, if you value your money you will limit the risk by having a plan.

I was very patient and kept on reinvesting back into my business, also, it helps to have PASSION for what you do.

Sometimes you're a dumb fucking idiot Joe ( ), but what you're saying here is spot on!

[joelocal]

I forgot to click this link


http://www.sba.gov/smallbusinessplanner/index.html

[bigdumbbell]

that's alot of capitalization, for that kind of business, have excellent credit and expect losses.  i would'nt do it.

[joelocal]

that's alot of capitalization, for that kind of business, have excellent credit and expect losses.  i would'nt do it.

I wouldn't do it either. now I'm gonna go kill myself for agreeing with you!

[240 is Back]

how much startup capital you need - it all depends on the industry.  I started a web design company with my laptop.  3 years later, i have 3 computers and a backup drive, and that's it.  Not a lot of overhead - it's very service intensive though.

If you have to rent a place - it gets very costly and you've very invested in it.
If you have to hold high level of invetory - you incur many risks.

Choose your field wisely, and check out the competition.  Learn more about your field by calling up companies in other states and asking them questions.  Or visit local places (as an ordinary customer) and pick their brain.   I've taken jobs at local web design firms and worked there for 2 days - learned everything I could about how they operate - and then quit and returned to running my own firm.  You gotta learn everything you can - see what they do right, and wrong.

90% of business fail because 90% of people are lazy, and/or choose the wrong field.  

[joelocal]

 3 years later, i have 3 computers and a backup drive, and that's it.
  

Which explains the 3 additional gimmicks

[Matt C]

No Matt, you have it backwards (not blasting you) you MUST have a plan for your money, you just can't randomly place your money and expect it to work for you, business is enough of a risk, if you value your money you will limit the risk by having a plan.

I was very patient and kept on reinvesting back into my business, also, it helps to have PASSION for what you do.

Money and no business plan trumps a business plan and having no money.

As I said, you can be the smartest person in the world with a great plan and get nowhere with no money.  But as you said, money by itself will not necessarily get you anywhere either.

I would take a reduction in IQ of 30 points and a million dollars over only having my current resources and my current level of intelligence/ability to plan.  Take for example, alcohol consumption and its effects on cognition - if I had the choice of having my current level of capital and intelligence or being given a million dollar grant but only usable while highly under the influence of alcohol, I would sooner take that option, because even with less planning ability and intelligence, the money would MORE than make up for it.

I can't do anything at all with my current level of capital and I don't see any options for someone like myself who has access to $50,000-$100,000 at most.  If I had a million dollars I would invest in a turnkey business like a Tim Horton's and go from there.

I will continue to live like a miser until I have well into the six digits or up to a million dollars.  By the time I am done by Ph.D, I hope to have half a million in savings/investments.

[Julio Ceasar]

Business are always risky. Doing them well lower the risk and higher the profit. If you how to do it, go for it. Look up diffrent locals, compare the prices of the rent and the locations. Then u look up different solarium companies and negotiate the best price.

Then you sit down, write down all your expenses and then you know how much costumers you need to survive. Does it seems reasonable then its up to you to take the step. If u got a business partner it would be easier too take the step but then u only got half the profit. Your choose!

But if u do take the step. Make sure to have good commercial, good service, a new renovated fresh place with nice furniching, make sure too make the cleaning EVERY day. It might be nice to have a waiting room with fresh Coffey tee water and some comfortable couch and newspapers magazines,  a nice flat screen for those costumer who have to wait. In short therms, make your costumers feel as comfortable as possible.

Well, that was my thoughts about it. Good Luck Mr.