I met with the SBA (Small Business Administration) this morning and discussed my business startup. She gave me a lot of good advice and is going to help me with my business plan. She looked over everything I had put together so far and the direction I told her I am planning to go in. She said I was doing things the right way and suggested at first finding either a bookkeeper or an accountant and let them take care of what they’re good at, and me take care of what I’m good at. In the meantime, she gave me a spreadsheet for calculating cash flow, profit, and other business details. She told me her uncle got laid off from the same place I did. I asked her what his name was and it turns out he is my best friend! Small world….
So based on what I have learned so far, I will probably structure my business as what is known as an LLC rather than a sole proprietorship since I will be doing remodeling as well as producing salable items. She recommended making the business license the last thing on the list because the monthly reporting is enforced for each month thereafter even if I don’t sell anything applicable. She said a lot of people make the mistake of getting a vendor’s license first, and then not filing until they’ve sold something that is applicable. Unfortunately the state of Ohio sees it a bit different… so I will wait.
My next step is to register the business name I am going to use. I won’t say what it is until it’s registered since it’s still unused at this time, and the web site I will get will use the name as well. I will then talk to my attorney to set up the LLC properly. There will be a state of Ohio fee as well as the attorney fee.
One thing I definitely won’t be doing is borrowing money to start my business… Sam Maloof gave good advice and the lady at the SBA said the same thing. A business does take cash to run but if you don’t need to borrow at first – don’t. I’ll use funds from my severance, buit I will be very cautious.
I also picked up a schedule of business seminars and classes that the SBA will be offering throughout the rest of the year. I will try to go to them as much as I can..
Thanks for reading…