2. • Training
– Classes for new ventures and
existing businesses
– Online training
• Research
– Sample business plans and guides
– Market Research
• Consulting
– One-on-one advisory services
• Web Site: http://asbtdc.org/
– E-news service: Biz Bytes & Tech Track
4. • Industry driving forces
• Demand for my products
• Competitive forces
• Market size and market share
• Positioning for success
5. • Your responsibilities:
– Direct marketing and advertising
– Manage finances and control cash
– Consistently improve operational efficiency
– Place the right person in the right job
–
9. • Executive Summary
• Products and Services
• Your Market
• The Industry
• Operations and Management
• Your Budget
10.
11. • Your savings
• Friends and family
• Equipment leasing companies
• Bank financing (with SBA Guaranty)
• Venture Capitalists
12. • Obtain a commitment before binding agreements
• Don’t expect to get a grant
• Don’t assume you can get a bank loan
• Don’t expect 100% financing
13. • Create your business plan
• Focus on expected sales, profits, and cash collections
• Summarize your history
• Describe how you will use the money
• Describe your cash contributions
• Present your resume
14. • Do’s
– SBA does help small business owners obtain financing from a bank
– SBA does restrict the maximum allowable interest rate
– SBA does not allow balloon notes
– SBA does allow for longer-term financing
– SBA does offer variable rate loans
– SBA does charge a fee after your loan is approved
– SBA does look at credit history
15. • Don'ts
– SBA does not make direct loans
– SBA does not offer grant money
– SBA does not offer “low-interest” loans
SBA Website-- www.sba.gov
16. • Choose legal form of business
• Complete start-up tax and employer requirements
• Obtain licenses, permits, etc.
• Sign leases and other agreements
17. • Sole proprietorship
• Partnership
• S Corporation
• C Corporation
• Limited Liability Company
18. • Articles of Incorporation are filed with the Secretary of State if the
business is:
– C Corporation
– S Corporation
– Limited Liability Company
• Search the availability of your business’ name using AR Secretary
of State’s online database: www.sosweb.state.ar.us
• Doing Business As Certificate from the County Clerk’s office is
obtained if business is not incorporated and:
– Sole Proprietorship
– Partnership
19. • Check for licensing boards that may regulate your specific line of business
• Contact city or county clerk’s offices to obtain a business or privilege license
• Businesses locations must be in compliance with zoning laws. Includes
home-based
• May need to obtain FEIN number from IRS
• Contact Dept. of F & A for sales and use tax if selling a product or providing
certain services
• Check for permit requirements--health,
alcohol, tobacco, etc.
20. • Find out which taxes are applicable:
– sales and use taxes
– self-employment tax (Social Security and Medicare)
– federal & state income taxes, possibly including estimated tax
payments
– withholding taxes on employee wages
– federal and state unemployment taxes
– corporate state franchise tax
– miscellaneous taxes
21. • IRS Publication 334, Tax Guide for Small Business, provides more
information
www.irs.ustreas.gov
• Starting a Business in Arkansas: A Tax Guide for New Businesses gives
more state details, available from Arkansas Department of Finance and
Administration
http://www.dfa.arkansas.gov/offices/policyAndLegal/Documents/starting_a-
new_business.pdf
22. • Record all your business income sales activities
• Maintain a record of all business expenses incurred
• Keep a schedule of business assets showing purchase date, purchase
price, serial and model numbers
• Maintain business records for a minimum of three years, in some cases
indefinitely or permanently (for example a car title)
• Consult an accountant in setting up bookkeeping system
• Regularly visit the IRS web site: www.irs.gov
23. • Maintain a separate bank account for your business receipts and
disbursements
• Do not commingle your personal money with business money
• Get to know a bank loan officer before you need money
• If you borrow money, keep the loan officer informed about your
business
24. • Check with your insurance agent about the types of
coverage your business needs
– Property/casualty
– General Liability
– Product Liability
– Workers’ Compensation
– Business Interruption
– Key Person Insurance or Life Insurance
25. • Know employment laws - AR Dept. of Labor
http://www.arkansas.gov/labor/
• Understand differences between an employee & an independent
contractor
• Know proper practices for interviewing, hiring and firing
• Develop a personnel manual or employee handbook
• Consider employment or temp agencies
26. • Zoning laws and regulations for your location and type of
business
• Tax advantages of business use of home
• Insurance coverage other than homeowner/renter policies
• Mail delivery-- home vs. post office box
• Business vs. residential telephone
27. • Set achievable goals for your business
• Develop a realistic action plan
• Provide an adequate amount of capital
• Management skills: Know it, Learn it, buy it
28. Reynolds Business Center
2801 S. University
Little Rock, AR 72204
501.683.7700
http://asbtdc.org
Facebook.com/ASBTDC
Twitter.com/ASBTDC
