Small businesses make up 97% of Virginia businesses and create over half of the state's GDP. The document provides information on starting a small business in Virginia, including registering the business, obtaining licenses, understanding responsibilities, and arranging financing. It also discusses common reasons why businesses fail and available resources from the Virginia Department of Business Assistance.

1. Getting Started:
How to Build a Small Business
Sandy Ratliff
Business Services Manager

2. Small Business in
Virginia
 Small Businesses constitute
97% of all Virginia businesses.
 Small Businesses create over
60-80% of all new jobs.
 Small Businesses account for
half of the Commonwealth of
Virginia’s contribution to the
U.S. Gross Domestic Product -
a whopping $160 billion.
Virginia is for Business Lovers

3. Virginia is for Business Lovers
• Virginia ranked #1 state for business by
Forbes.com last four years.
• Ranked #1 most business friendly state by
Pollina Corporate Real Estate, Inc. last two years.
• Named #1 best states for business by CNBC.
• Virginia among top 10 list of states friendly to
small business.

4. Virginia Business Start-ups
Source: Virginia Employment Commission,
Quarterly Census of Employment and Wages (QCEW)

5. What Do
These
Entrepreneurs
Have in
Common?
Confidence?

6. An Idea?
Drive?
Identified
Market Need?

7. A Plan
of
Action?
Willing to take
Risks?

8. Focused?
A successful
enterprise

9. Remember as a start-up business
your place in the food chain

11.  Research your market
 Consider your ownership structure
 Choose a business name
 Hire Professionals
 Register Your Business
 Consider municipal , state and federal business requirements
 Understand employer
responsibilities
 Prepare a business plan
 Arrange Financing
 Network, network, network!

12. Business License & Registration
1. Determine legal entity
2. Check name availability with SCC (trademarks also)
3. Register with the SCC your corporation, LLC or/and fictitious name
(www.scc.virginia.gov)
4. Check to see if a URL is available (www.internic.net)
5. Get your FEIN with the IRS (www.irs.gov)
6. Register with VA Dept of Tax (www.tax.virginia.gov)
7. Register with VEC (www.vec.virginia.gov)
8. Check with Dept of Professional & Occupational Regulation to see if you
need any special permits. (www.dpor.virginia.gov)
9. Obtain Business License from local Commissioner of Revenue
10. Local fictitious name registration with courthouse

13. Starting a New Business
The Exciting Stuff
• Establish a business checking account
• Set up credit card processing (if desired)
• Fund the business (owner capital or loans)
• Decide on accounting method (cash or accrual)
• Establish books for the business (computerized
preferred)
• Obtain liability insurance, renters insurance,
workers compensation, etc.
• Hire employees and set up payroll records
• Start business (have a grand opening)

14. Virginia’s
When Starting Your Business…
Virginia’s Business One Stop system can help you determine
your business formation requirements and can pre-fill your
business registration forms.
 Visit www.vdba.virginia.gov to access the Business One Stop System.
 Create a Business One Stop account.
 Answer a few brief questions about your business.
 Receive a list of action items and pre-filled business registration
forms.
This service averages approximately 1,000 new accounts per month.
Questions? Contact the Virginia Business Information Center
1-866-248-8814 (804) 371-0438 vbic@vdba.virginia.gov

15. Why a Business Fails
 The business is undercapitalized – a business with
too much debt and a cash flow that doesn’t
support it
 Business expansions that are poorly planned and
not appropriately financed
 Poor Management
 The Business offers products and services that
nobody wants or cannot afford
 Inability to adapt to a changing environment
 Failing to control costs
 Poor execution creating dissatisfied customers
Creating an effective business plan will assist you in avoiding the
pitfalls of running a business. Seeking professional help is another
important way to avoid or plan for business challenges.

16. The Virginia Department
of Business Assistance
VDBA supports economic development in the
Commonwealth by working with new and
existing businesses to provide business and
economic development communities with:
• workforce incentives
• financing
• business information and counseling
• state procurement assistance and
• educational opportunities
www.vdba.virginia.gov

17. Ask VBIC = 866-
248-8814

18. Business Information Services
To help businesses get started and to grow.
Formation Assistance
 Virginia Business Information Center (VBIC) 1-866-248-8814
Bridges the 26 state agencies, over 110 regulatory programs
and over 300 forms that may touch a Virginia business
Virginia Central Business Portal
(www.business.virginia.gov)
Covers registration, taxation, licensing
Interactive business plan available online at
www.vdba.virginia.gov or www.vastartup.org
5 Step process to a business plan

19. Growing $ales - State
 Governor’s Executive
Order 33
 $5 billion market
 Access to buyers from 171 state
agencies
 Additional $5 billion from local
governments
 575 localities using eVA system.
 Small Business Goal – 40%
 Over 41,490 registered suppliers
 Over 13,065 participating
buyers
Ask VBIC = 866-
248-8814

20. • Examples of Purchasing:
– Instant Ice Tea
• 01/01/2009 – 12/31/2009 = $23,455.71 - 46 PO’s
– Grounds Maintenance: Mowing, Edging, Plant (Not Tree) Trimming,
etc.
• 01/01/2009 – 12/31/2009 = $14,566,567.94 - 1150 PO’s
– Tires and Tubes, Passenger Vehicles
• 01/01/2009 – 12/31/2009 = $72,103.64 - 7 PO’s
– Concessions, Catering, Vending: Mobile and Stationary
• 01/01/2009 – 12/31/2009 = $6,187,712.31- 11,757 PO’s
– Building Maintenance
• 01/01/2009 – 12/31/2009 = $90,611,650.85 - 9285 PO’s
– Cleaning Services, Steam & Pressure
• 01/01/2009 – 12/31/2009 = $3,358,694.55- 303 PO’s

21. One–on-One Counseling Sessions
Need Based:
– Accessing New Markets/Sales Growth
– Tailored Sales Development Solutions
– Financing Resources
– Social Media for Your Business
To schedule an appointment, contact:
Sandy Ratliff, Business Services Manager
276-676-3768
Email: sandy.ratliff@vdba.virginia.gov

22. Entrepreneur Workshops
• Launched October 2006
• Partnership with Service
Providers and localities
• Provide information on
available resources to start
and grow a business
• Statewide Program
• Free – ½ Day Session
• Over 8,000 reached
• www.vastartup.org
• Upcoming Events:
• August 19 – Pulaski
• October 14 – Scott County
• November 16 - Bristol

23. Growing Your $ales Workshops
 Business Sales Growth Program
 Market Research and Expansion
 Financing
 Growth Management
 Partnered events for SWAM certification and
eVA registration
Upcoming Events:
 Networking with businesses and government September 21 – King
buyers College, Bristol, TN

24. Social Media Workshops
You-Link-Twit-Face
Upcoming Events:
• August 5 – Vinton Chamber
•August 12 – Clifton Forge
•August 26 - Chilhowie
•September 9 – Bluefield
•October 14 – Scott County
•November 16 - Bristol

25. Are you interested in starting an adventure
tourism business in Southwest Virginia?
If so, attend a ½ day workshop and learn about
the opportunities, best practices, and steps
required to launch a successful tourism
business.
Event Dates:
October 19 = Roanoke
November 4 = Wytheville
Advanced Registration Required:
Online: www.vastartup.org

26. Business Information Services
Southwest Virginia Business Support Activity
• Launched entrepreneur education programs in
Southwest Virginia
• 2 Enterprise Fairs reaching – 180
• 69 Entrepreneur Express events – 2,414 trained since
October 2006
• 6 Growing Sales Seminar held here - 290 trained since
2008
• 339 individual businesses received one-on-one
counseling from BIS in SWVA since 2009
• 26% of all calls to VBIC originated from the 9th District

27. “If you always do what you’ve
always done, You will always
get what you’ve always got!”

29. Contact:
Sandy Ratliff
The Virginia Department of Business Assistance
276-676-3768
sandy.ratliff@vdba.virginia.gov
Online:
Twitter: http://twitter.com/sandyratliff
Facebook: http://www.facebook.com/sandy.ratliff
LinkedIn - http://www.linkedin.com/in/sandyratliff
YouTube - http://www.youtube.com/user/vastartup