This is a presentation I gave to 7th graders on Career Day at School. The topic is how to be a business owner.

2. President
Invario Network Engineers
dave@invario.net

3.  Elevator Speech = “We are the IT Department
for Companies that don’t have one yet.”
 Product (what we sell) = Customer confidence
in…
 knowing they have bought the right systems
 knowing our engineers responsive, reliable and
able to resolve any problem
 knowing they are getting a good value
 Xerox/NPR/UPS

4.  A person who organizes and operates a
business
 Risk Taker
 Independent
 Loves what they do
 Make money as a measure of success

5.  Money = Unit of Value
 Business = Voluntary trade of Customer
money for your Business’s goods or services

6.  They invent/ innovate
 They spot the gap (need) in the market
 They have the new idea
 They improve on existing entities
 They often do it more than once
 They often fail->Adapt->Adjust->Try again

7.  Marketing
 A coordinated effort generate leads (Interest in your
product)
 Bring the outside perception to match the inside reality of
the company
 Sales
 A structured process to bring a lead to a sale
 Operations
 What the business does to create the product
 Human Resources
 Everything to do with Employees
 Accounting
 The score card

8.  Price – Cost = Profit
 How much do I charge from my product
 Buying a computer at $800 and asking for $2000?
 Buying a computer at $800 and selling for $1000?
 Buying a computer at $800 and selling for $950?

9.  Number of sales is important when setting your price
 If 5 customers are willing to buy at $950, your profit is
5 * ($950 - $800) = $750
 If only 3 customers are willing to buy at $1000, your
profit is 3 * ($1000- $800) = $600
 If no customers are willing to buy at $2000 you are
stuck with no profit and a computer. 0 * ($2000 -
$800) = $0
 Total Profit = (Sell Price – Unit Cost)*Number
Sold

10.  BALANCE SHEET
 Assets – Liabilities = Equity
 Buckets
 PROFIT AND LOSS STATEMENT
 Gain/Loss = Income - Expenses
 Chutes

11.  ASSETS
 Money in the Bank $ 1000
 What Customers owe us $ 100
 Equipment Value $ 500
 LIABILITIES
 Loans to be paid $ 800
 Bills to pay $ 200
 EQUITY
 Book Value $ 600

12.  INCOME
 Sales $ 1000
 EXPENSES
 Cost of Good Sold $ 500
 Rent/Bills $ 200
 Payroll $ 200
 NET INCOME/LOSS
 Score +$ 100

13.  Do what you love to do
 Be proud of what you do
 Show others your value
 Take chances
 Learn from your mistakes
 Be Objective
 Use freedom to improve quality of life
 Bad/Uncertain Economy = Opportunity