This document discusses three popular options for owning your own business: starting your own business, buying an existing business, or buying a franchise. It provides detailed information on each option, including the steps, risks, rewards, financial considerations, and advice for exploring each path. Key factors like developing a business plan, securing funding, hiring professionals, and creating a marketing strategy are addressed.

1. Owning Your Own Business www.on-target.com (800) 720-0131 For more information about our company, please visit our website @ Or call us at

2. Owning Your own business Exploring Yours Options There are 3 popular ways to own your own business 1st Option: Start your own business 2nd Option: Buy an existing business 3rd Option: Buy a Franchise

3. 1 st Option Start Your Own Business Should I or shouldn’t I? Financial Issues Do your homework Talk to professionals Setting up your own business

4. Start your own business Should I or shouldn’t I? What Skills Do I Need? Business experience Management skills Sales skills People skills

5. Ability to work independently Work well under stress Discipline Tenacity Optimism Ability to work with people Start your own business Should I or shouldn’t I? What personal traits do I need?

6. Loss of money Loss of your home Unreliable income Business could fail Loss of your current job Personal liability Start your own business Should I or shouldn’t I? What are the Risks?

7. Financial Independence Freedom to come and go as you please Implementing your own ideas Can’t be fired or laid off Personal satisfaction You can sell the business or cash out Being your own boss Start your own business Should I or shouldn’t I? What are the Rewards?

8. Security Benefits Regular hours Less stress Regular paycheck Less responsibility Start your own business Should I or shouldn’t I? Am I Better Off Working a Job?

9. Cash Insurance cash value Home equity Savings 401 (k) Saleable personal property Friends and Family Start your own business Financial Issues? Determine How Much Capital You Have Available

10. Lease deposits Insurance Furniture & fixtures Inventory Office equipment Supplies Website Licenses & permits Working capital Computers Start your own business Financial Issues? What Capital Do I need?

11. Identify several similar companies Observe space elements See how they advertise Talk to sales staff and managers Observe their sales methods systems & procedures Visit their websites Go in as customer Start your own business Do Your Homework Visit Similar Businesses

12. Do local and national searches of specific companies Google searches on the category of business Obtain information from sites’ business opportunities or franchises Obtain “Owning a Business” materials by web-search Find out if they have “Brick and Click” strategies Visit SBA Internet site - WWW.SBA.GOV Obtain information on financing availabilities for starting a business. Start your own business Do Your Homework Search The Internet

13. Find out if it’s what you thought it would be Learn the ideal layout Learn how the business works Learn the marketing and advertising Learn the product technology Learn the identity of vendors and suppliers Start your own business Do Your Homework Work for Someone in the same business

14. Identify how your business would be similar and how you would differentiate Work there part-time while you continue to retain your present job After working there, you may decide you don’t like it Understand the start-up cost Start your own business Do Your Homework Work for Someone in the same business

15. Do this prior to making the decision to own your own business Read everything possible on business ownership You need as much education on business as possible Running a business incorporates concept development, finance, management, marketing, sales, negotiating, legal; all important to success Start your own business Do Your Homework Attend business classes

16. Break even analysis Create the roadmap Identify your capital needs to start up Lay out your plans Bankers or investors will want to see it Why you need it Create a three (3) year cash flow analysis What is a business plan? Start your own business Do Your Homework Create a Business plan

17. Start your own business Do Your Homework Do a Three (3) Year Cash Flow Analysis Estimate operating costs Determine return on investment Determine amount of loss to “break even” Estimate Labor Cost Estimate monthly profit or losses Estimate cost of goods Estimate Sales

18. Legal issues Review leases and contracts Trademark protection Licenses and permits Form a corporation Start your own business Talk To Professionals Lawyer

19. Set up accounting system Review monthly sales tax Monthly financial statements Annual financial statements Advise on payroll services Start your own business Talk To Professionals Accountant Advise on payroll services Payroll taxes Tax returns Financial advice

20. Set up bank accounts Obtain line of credit Set up credit card process Financial advice Start your own business Talk To Professionals Banker

21. Expertise in the business Assist in negotiations Recommend supplies, vendors Assist in start-up Assist in overall analysis Start your own business Talk To Professionals Consultant

22. Someone who owns a business, any business Someone who owns a business in that field An entrepreneur Someone who owns and operates a franchise A business broker Start your own business Talk To Professionals Someone in Business

23. Start-up Working capital Start your own business Talk To Professionals Equity investor Cash, plus borrow the rest Borrow all needed capital None, use only your own cash Determine How Much Capital Will Be Needed Determine How Much Capital You’ll Need to Borrow

24. Vehicle Loans SBA www.SBA.gov Family Equipment Financing Real Estate Private Lender Friends Bank Loan Start your own business Talk To Professionals Exploring Financing Sources

25. Co-investor Compliments your skills More motivated than employee Assumes part of risk Shares workload and hours Splits responsibilities Advantages Start your own business Talk To Professionals Determine IF You Want or Need An Investor or Partner

26. Someone you have to answer to Financial and personal goals often differ Disadvantages One often works harder Partners often disagree Start your own business Talk To Professionals Determine IF You Want or Need An Investor or Partner

27. Play Golf At their Country Club ! Start your own business Talk To Professionals

28. Check www.uspto.gov to determine that name is not already federally registered Select a name that you like that is descriptive but not limiting Start your own business Setting Up Your Own Business Name Protection

29. Check with your state to determine that name is not already registered in your state. Retain a patent trademark or Intellectual Property lawyer Start your own business Setting Up Your Own Business Name Protection New Company Name Signature

30. Obtain an Employer Identification Number (EIN) You will need this to obtain vendors You will need this if you have employees You will need this for just about anything! Start your own business Setting Up Your Own Business Tax ID Number

31. State Federal Local Municipal Professional Special Start your own business Setting Up Your Own Business Permits and Licenses

32. Public liability Vehicle Inventory Health and Medical Errors and Omissions Building and Contents Comprehensive fire and theft Worker’s Compensation Insurance Start your own business Setting Up Your Own Business

33. Location, location, location Demographics Lease or buy Home-based Zoning Parking and accessibility Start your own business Setting Up Your Own Business Location

34. Do detailed layout Analyze applicability Analyze interim traffic patterns Solicit bids Access available utilities Draw schematic Acquire necessary permits Start your own business Setting Up Your Own Business Leasehold Improvements

35. Select an accountant Set up accounting system Receive and review monthly statements Keep all records up-to-date Meet with accountant regularly Store all records Start your own business Setting Up Your Own Business Accounting

36. Select a lawyer Define legal issues Utilize lawyers in negotiations Discuss your proposed business Don’t sign anything without your lawyer Start your own business Setting Up Your Own Business Legal

37. Identify needs Install expandable equipment Shop around, systems, price Internet sales consultants Setting Up Your Own Business Computers / Phones / Faxes Start your own business

38. Network and connect all communications equipment Internet capability Analyze applicability Develop website E-commerce Internet service provider On-line marketing Setting Up Your Own Business Computers / Phones / Faxes Start your own business

39. Negotiate rates Arrange for online credit card processing Establish credit card company relationships Setting Up Your Own Business Credit Card Processing Start your own business

40. Establish goals Develop budget Establish products, services and pricing Develop collateral materials Setting Up Your Own Business Advertising and Marketing Start your own business

41. You are the trainer Train, train, train Set and maintain high performance standards Minimal staffing Start your own business Setting Up Your Own Business Hire and Train Staff

42. 2 nd Option Buying an Existing Business Getting the details Hands on experience

43. Buying an existing business Get the details Get audited financials for last three (3) years Review bank records Reconcile invoices with sales Do search for litigation

44. Non-compete Agreement.. Talk to employees… Review lease…… Verify what you are getting.... Get seller to finance…. Buying an existing business Get the details

45. Is the price worth it? Is the business name Buying an existing business Get the details Do a three (3) year cash www.ispto.gov Yes or No: flow with debt services protected?

46. Talk to customers Training by seller Work there first Can you do it? Would you be better off starting your own? Buying an existing business Hands on experience

47. 3 rd Option Buy a Franchise What are the first steps after buying a franchise? Top 10 Reasons for buying a Franchise Frequently Asked Questions Franchise Financing Sources Advantages from A to Z Reason # 1 Step 1 Step 2 Step 3

48. Buy a Franchise Business Top reasons for buying a franchise Training Programs Ongoing Operational Support Marketing Assistance Strong Brand Track Record of Success Success Success Success Success Reason # 1

49. Buy a Franchise Business Top reasons for buying a franchise Real Estate Assistance Construction Assistance Purchasing Power Risk Avoidance Reason # 1

50. Buy a Franchise Business How long will it take my new franchise to reach break even? How much of my total investment (including capital reserves) do I need to have in cash? What are the ranges in financial performance of the existing franchisees? How much is needed in operating capital reserves to cover loses after opening the franchise until the break even point? Frequently Asked Questions

51. Buy a Franchise Business How financially strong is the franchise company What standard and alternative financing options exist for me? How much total investment will this franchise require? How much money can I make in this franchise? Frequently Asked Questions

52. a. Proven system of operation b. Brand identity c. Training d. Assistance in obtaining location e. Advertising – national and local f. Own boss g. Turnkey business Advantages Buy a Franchise From A-Z

53. h. Collective buying power i. Operating manual j. Planning and forecasting assistance k. Better prices on equipment m. Resale ability n. Financial and accounting systems From A-Z Advantages Buy a Franchise l. Better prices on inventory

54. p. New ideas q. New products r. Sources of products s. Complete business system t. Financing u. Lower risk From A-Z Advantages Buy a Franchise o. Ongoing support and consulting

55. w. Sales and marketing techniques x. Start the business with less capital y. No previous experience necessary z. We don’t succeed unless you do From A-Z Advantages Buy a Franchise v. Assistance in site selection

56. Franchise Financing Sources Buy a Franchise Franchise Funding Specialists Veteran Programs Investors 401k Cash is King Next Franchisee exit... Funding

57. What are the first steps after buying a franchise? Buy a Franchise Secure the location Sell, Sell, Sell! Training Marketing Step 1 Step 2 Step 3 To Do:

58. FINALLY … Do I Have What It Takes? Am I comfortable with the risk? Do I have sufficient capital? Can I sell? Do I need a partner? Do I have the ability to manage? Is my family behind me? Do I have the necessary skills? Can I work well independently?

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