Starting a New Business
If you have been considering investing in home-base business to replace your job, your spouse’s job or if you need to finance the college funds, investing in a franchise may be right for you.
The advent of the Internet makes researching franchise alternatives easy and expeditious. You will still be the boss if you choose to invest in a franchise opportunity.
Not everyone who wants to own a business should and how do you know that you are not skilled in self-employment? Does your family support your desire to invest in a franchise alternative versus building a business from scratch?
Lets say you have the capital necessary to invest in a start-up, a business you have always wanted but your research revels that you can buy an already established business, or a franchise alternative, which would you choose and why?
The advantage to franchise alternatives is being able to easily track performance. Buying or investing in an established business may produce the financial results you are looking for especially if the business you are considering purchasing is in deed successful. Starting a business from scratch is risky and may cost as much as franchise alternatives or investing in an established venture.
Each of these alternatives have advantages and disadvantages, in each instance. If you choose the franchise alternatives you run the risk of answering to the franchise parent. On the other hand a franchise alternative has many of the problems associated with profitability solved. Goodwill is also important and present in an already established business you may consider investing in or purchasing.
All self-employment or business ownership choices have one thing in common; they will require an investment of time and money.
Profit generating business ventures must operate with the appropriate number of staff members. If you are operating a profit generating business that requires up to five employees or five different job descriptions and you are the only worker, you are not succeeding.
There is no reason the profit generating business venture you have decided on will not work for you as it has for others. An example would be; you found a great profit generating business opportunity on the Internet and there isn’t any reason why it can’t be a good opportunity for you. Other people are making money with the same profit generating business venture you are considering.
After viability has been determined, have a look at the projected income and expected operating expenses of your profit generating business opportunity or venture. Will the business generate enough revenue to support yourself and your family? Will the profit generating business generate enough income to pay the operating expenses of your business?
Make a budget and stick to it. Every business requires an investment of time and money. Unless you have enough money to pay your personal bills and your business expenses for at least six months, wait until you do.
Writing and sticking to a good business plan with a realistic budget is the first step on your journey to operating a successful profit generating business.
Succeeding in your profit generating business venture is contingent on working the plan and not overworking anyone. Over working any person in any business venture drags down the productivity of the overworked and limits the profitability of any business venture.
Profit generating business ventures often operate in homes with children of varying ages, then, there is the cooking and cleaning, picking the kids up from school and taking them to their extra curricular activities. It’s no secret that, stay at home moms are noted for their multi-tasking skills. No business can operate effectively and generate a profit with a baby screaming in the phone when a prospective client calls.
If the children are constantly hungry in the home where the profit generating business is being operated out of, then there is an opening for a cook. If the profit generating business is in need of daily cleaning, then there is an opening for someone who will keep the profit generating business clean.
Succeeding in your profit generating business venture requires an extreme amount of organizational skills with every person doing their part. The children who live in the home with the profit generating business owner should be given responsibilities commensurate with their ages.
Family members are on the frontline of any profit generating business and their cooperation is essential if you are to succeed.
Be Positive!
There is no doubt about it we live in the greatest country in the world. Individuals with no discernable advantage over the masses have created wealth for themselves and their families. Financial security is not the same as additional income, or a little extra money for shopping or money for a vacation if we’re lucky. A positive mindset creates financial security or wealth creation finances college funds and second homes.
Most of us have the same choices available. Will we succeed in what we want for our lives or will we fail. Do not be completely surprised by the fact that people who think positive achieve more in life than their half-empty mentality counterparts.
The value of having a positive mindset is apparent when a mere employee transforms into wealthy CEO’s and stay at home moms into industry icons, and there are many examples.
If you have a positive mindset and you will attract positive thoughts and positive people. Think positive and you will not have negative thoughts or time to dwell on negative circumstances.
Losers are people who have not lived up to there potential as they possess a trait winners do not, negative thinking. How can one succeed if they continuously make negative statements about themselves and their prospects for the future?
People who have a positive mindset achieve positive results in their lives. Negative people say:
- I just don’t have time
- I don’t have any money to invest
- My family wouldn’t like it
- Contact me early next year
- Sounds as if there is a risk involved
- I’ll think about it
When a positive thinking person looks for a way, they find a way. There is no reward or riches without an investment. A positive person will always find time to improve his or her life.
We each of us has the power to walk a path that would be considered a positive mindset or live in an environment that breeds negativity.
We decide everyday which path to take, the path that will lead me to the things I want and desire or the path that takes me to the pity party. No one has a charmed life where everything goes right, no one lives the perfect life, and we all are faced with challenges and obstacles.
A positive mindset helps us navigate the negative thoughts, circumstances and negative people that cross our paths daily.
We have the power to greet the world with enthusiastic energy or feelings of dread of defeat. A positive mindset helps you to enjoy life and every possibility, negativity affords us an excuse for failure, reasons why we fail to achieve.
Attitude is the difference between operating your life with a positive mindset or living with a passive or even dull demeanor. A person with a positive mindset feels that they have control of their future success. Negative thinking people feel that other people are in control of their future.
Build a positive mindset start today:
- Where ever you are look for positive people to mingle with or befriend
- Everyday look for an interesting idea
- Read motivational material and look for a concept that you feel is positive
- Talk to people about the positive value you learned that day
- Ask every person you have a conversation with a question
- Make a list of goals and objectives
- You are as you think
One of the most effective ways to create a positive mindset is through the practice of positive affirmations. Many books have written about positive affirmations by many successful authors. A tremendous variety of books, audio products and classes that focus on developing a positive mindset are widely available.
Here are some methods that may help you develop a more positive mindset.
- Some experts advise writing or typing out their affirmations up to 25 times per day
- A response column next to each affirmation my help get rid of any lingering negative thoughts
- Write in the first person (I will create wealth)
- I have created wealth
- She has created wealth
Positive affirmations can produce results for an individual or a couple. Some experts suggest stating your positive affirmations in front of a mirror.
Business Plan Outline
There are four basic sections to a business plan:
- Describe your prospective business
- How will you market your business
- How will you finance your venture and how much financing is needed
- What are the qualification of your management team
An executive summary along with supporting documentation, and revenue projection, should be included in your agenda. These key elements are covered in the following outline:
Business Plan Basics:
- Cover Sheet – your name, name of your business and contact info
- Statement of business purpose – what kind of business are you proposing
- Table of Contents – what information is included in your business plan and on what page is the information located.
I. The Business Venture
A. Detailed description of your proposed business
B. Identify your complete marketing plan
C. Identify your competition – current and emerging
D. How will you operating your business, what are the daily procedures
E. What type of personnel will you need to hire
F. Identify exactly how much and what kind of business insurance your prospective company will need, including cost
II. Essential Financial Information
A. Copies of loan applications
B. Office supply and capital equipment list
C. Balance sheet
D. Breakeven analysis
E. Pro-forma income projections (profit & loss statements)
F. Three-year summary
G. Detail by month, first year
H. Detail by quarters, second and third years
I. Assumptions upon which projections were based
J. Pro-forma cash flow
III. Supporting Documents
A. Tax returns of principals for last three years Personal financial
statement (all banks have these forms)
B. For franchised businesses, a copy of franchise contract and all
supporting documents provided by the franchiser or affiliate program
C. Copy of proposed lease or purchase agreement for building space
D. Copy of licenses and other legal documents
E. Copy of resumes of all principals
F. Copies of letters of intent from suppliers, etc.
How much will it cost, to start your own business or join an affiliate program? Depends on the outcome of your business plan.
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