Are you an African-American woman considering starting your own business? Are you looking for assistance with the start-up costs, or even the entire financing your new endeavor? Have you thought about grants and small loans structured specifically for minority owned businesses? If not, why not?!
Did you know that of all business owners in 2002, 8.43% were African-American? Of that 8.43%, an impressive 46% of those companies were owned by women. That’s a pretty good statistic if you are an African-American woman who is looking to start her own business.
There are plenty of websites on-line that can give you tips and ideas, but there are a couple of good government sites that will help you cut down on some of your research. Here are just three ideas that were on government websites for loans and grants. Under the link for “Woman Owned Businesses” you will be able to get information on the following agencies:
The Minority Business Development Agency. This is a federal agency designed specifically with the establishment and growth of minority-owned businesses in the United States. They list business opportunities as well as addressing the financial aspect of starting your company. The Small Business Office of Business Development: This website will provide you with some of the tools you need and services that can assist small disadvantaged businesses grow and thrive in this economy. The SBA Office of Womens’ Business Ownership has information specifically written for women who are just starting out, with tips on how to become successful and remain successful.
You can find all of the above information and more at www.business.gov. Aside from loans, there are grants available to help get you started. Check into http://www.grants.gov to see what they have to offer. You can fill in applications on-line to see if you qualify for any grants.
Another resource to keep in mind is your own state. Almost every state has its own funding and information for women-or minority-women owned businesses. Simply go to your State’s Minority Business Development Center website and see how it can help you. There are also other websites that offer assistance in writing a plan for a successful company, and the steps to follow when creating a new business. Remember, there are multiple ways to get financing for your business and defray some costs. Women have a huge Entrepreneurial spirit, and make up a large share of business ownership, especially in the African-American market, so take advantage of the help that is out there for you!
By: Jim Roach
While most American citizens are well aware of free government business grant programs that help to supplement, or completely subsidize start up costs of major companies and professional endeavors, few realize that these very same small business grants from the government can be utilized to establish much smaller, yet equally as profitable operations.
With the current increase in lay offs and unemployment rates, job security is seemingly a thing of the past. Many resourceful individuals are planning ahead for the worst, and seeking to become self-employed. While there is a great deal of monetary risk involved in establishing a new business in a poor economy, there are two major benefits to be considered when weighing the pros and cons.
First, the option of creating an at home internet functional business is a very wise choice. The theory of starting small with little overhead is a much more practical approach to career independence than running the risk of paying out exorbitant amounts of money to build or rent store or office space and hire and payroll staff members. This is before even considering the costs of supplies, equipment, and utilities. Starting small in the privacy of your own home can eliminate a significant amount of overhead expenditures, and allow you to grow into your business and expand at a rate appropriate to your profit margin.
The second, and more remarkable advantage is that you more than likely may be eligible to qualify for free government money to do this. Yes, even a small home-based online business is an acceptable investment in the eyes of the United States government, and more often than not is approved for small business grant funding. If you qualify, you may be qualified to receive enough cash awards to afford everything you need to develop your own fully equipped home office, and any other supplies you may need to get your business up and running.
You don’t have to be a big business tycoon to avail government business grants. You just need a good business plan. And isn’t insuring your own job security a good plan?
By: Sarah Beckham
When starting a new business, entrepreneurs usually start out small. One of the many reasons for this small startup is their apprehension regarding the challenges they might have to face in the initial stages.
Most entrepreneurs leave their secure jobs to dive into the chaotic world of business. When entrepreneurs leave their jobs to become a business owner, most experience a culture shock. Moreover, contrary to a salaried employee, business owners are in charge of the entire day-to-day functions.
Challenges in Starting a Small Business
Starting a small business can be extremely exciting and challenging. When starting a business, many entrepreneurs find it hard to delegate work as they run into the roadblock of “I can do it better myself.” However, this seldom works, as it can lead to a quick burnout.
Apart from this challenge, there are several others that can cause hurdles for entrepreneurs:
o Lack of funds: Most small startup businesses are extensively dependent on personal savings as they do not generally get funds from external sources. Since most young entrepreneurs do not have substantial savings to invest, their business kick starts slowly. The lack of funds also limits business plans. Those who love to be their own boss, despite having low capital, focus on businesses that do not require substantial startup capital, such as Internet marketing and home-based businesses.
o Lack of experience: Most entrepreneurs lack the experience of handling a business independently. Moreover, most people are not well equipped with the skills necessary to run a business. Starting a new business requires much more than finding a cool product or service to sell. It also requires you to be adept at sales, accounting and planning to make the company profitable.
o Small network: The best way to start a new business is to do so with a group of competent people who may have different skill sets but share the same vision. Most entrepreneurs lack that network of highly-skilled professionals as they had only a few years to expand their network of contacts. It may take you a long time to build such strong and meaningful relationships with likeminded people in the business world. While making your core team, gauge your strengths. You will most likely need partners who compliment your strengths.
o Time management: With everything and everyone vying for your attention, it is hard for entrepreneurs to gauge high-priority tasks. You must become an expert at prioritizing and pacing in order to capitalize on business opportunities.
Overcoming Challenges in Starting a Small Business
To overcome these challenges, you must:
o Have enough funds in your account. A conservative estimate could be six months of living expenses, apart from the start-up capital. You must also ensure an excellent personal credit record.
o Research your product or service and its addressable market properly.
o Do not start without a plan.
o Try your idea while working in a regular job. This ensures you still have an income, as businesses do not generate earnings immediately.
o Obtain all the personal and professional support you would need before you completely transition from a job to business.
By: Carrie Langstroth
Starting a soap making business is just about as easy and fast as starting a business can be. But, is it a waste of time or can you really make money? Well, it all depends. My family started a little home-based soap business and made and sold over 35,000 bars of soap over about a four year period. Mind you, this was just a little kitchen scale part-time venture. Maybe you could do a lot better. Here are three real tricks…
Practice first…
Let’s face it. A soap business is both a manufacturing and marketing business. You build a product and then market it. So, first you need a manufacturing process and product design that are just right. What’s that mean? Make plenty of soap so you have the soap recipes and process just right before you start thinking about making lots of money. OK?
Unique sells.
Lots of people make soap. Why should anyone buy from you? Well, maybe you’re the only one they know of that has any handcrafted soap. Not likely. In that case, is there something that you can do that makes your soap different from other handcrafted soap? I guarantee you there is. You could have all natural scents, unique color marbling, all organic, milk soap, special shapes… and so forth. Find a way to make it unique. Tell your story.
Plan for repeat sales.
Getting a customer is the hard part. Repeat sales are the key to real success. Set up your business to get those easy repeat sales. Most soap makers won’t do it. How do you get repeat sales? Easy… Brochures, catalogs, websites, business cards, toll free numbers. None of this is hard. It just takes planning.
Starting a soap business is easy to do. Making it profitable is too, but it takes some thought and planning. Without the plan, you may waste both time and money too.
By: Al Bullington
People who dream of starting their own businesses are often lost when it comes down to actually starting the business. They feel negative and not confident at all. They don’t know what they are supposed to do first. Which skill must they learn first? How do they market their products? Where do they start?
Those were the same problems we were going through when we started our business 8 years ago. It would be silly to think that we had it smooth and easy. It wasn’t. But that was 8 years ago. We’ve learnt the hard way.
But based on our experiences, we want to help you get a better head start, so here are some things which we feel any entrepreneur worth his or her salt should do or have done, at least.
Get Biz Logo
Find a good designer/graphic artist to design you a biz logo. Once that is done, get him/her to design you your name cards, biz stationery, fliers etc with your biz logo on them. This creates a professional image.
Get a Website
Get yourself a website, with your own domain. These days, it is imperative to have a website. Make sure the website has the same logo. Come up with a catchy tagline too. Don’t forget to get your email and website details onto your name card too.
Learn Bookkeeping
It may be boring if you hate math but it is essential. In the beginning, you will be handling your own accounts. So at least be familiar with how to keep your books in order. If unsure, find out from friends who are accountants or read up on it. You don’t want your accounts to be in a mess and not know if you made a profit or loss at the end of the financial year. Here’s a good site to begin learning. http://www.accountingforeveryone.com
Network
Start networking. It doesn’t matter if it is with the moms in your children’s playgroup, the neighbours, your weekly book club, etc. Get out and meet people. Talk to them. Take each opportunity to put yourself out there so people know what you do/sell. Don’t be shy either. If you are, you won’t sell anything. Networking online is another cool option. Try signing up at http://www.ryze.com for a start.
Creative Promotion
Find ways to promote your business creatively. This means how to market and promote on a shoestring budget. There’s nothing to be embarrassed about. Instead get more creative. Think of ways you can promote without spending big money.
Give Back Generously
Be generous. If any non-profit needs your services, offer them at a lower price or if you can, give it FOC. It’s really win-win for you and your recipient. You get to give back to the community and the community gets to use your services.
Barter Trade
If you have the skills but no money and want something that another person has to offer, why not barter-trade your way through? We’ve done this many times in our biz so we can vouch that this works. But the first rule of barter has to apply: give something of value to the other person first. Don’t give something of lesser value. Give equal value if that’s the least you can do.
Join Forces
If you know another entrepreneur who offers complementary services, why not team up and be a stronger pair? You can tap into her clients and vice versa. You can market together and profit from the added energy and resources!
Read, Read, Read
Make books your best friends. Read business books and apply the ideas you learn. You don’t have to start with buying books. Ask friends or go to the nearest library. Start with business magazines too if books are too difficult. Read online too if you can’t find suitable magazines or books. There are plenty of great resources online. Here’s one to start you off http://entrepreneur.com
By: Nic Sim
You keep thinking how great it would be to be your own boss. You could set your own hours and avoid that morning rush hour. Yet, the desire for freedom in your job does not necessarily mean that you are ready for starting a business. There are a lot of factors to consider in starting a business, and you want to make sure that you are able to make your business a success.
There are no guarantees in starting a business. Therefore you want to make sure you eliminate as many risks as possible. If you are serious about starting a business, you should sit down and ask yourself a few good questions.
First, are you a self-starter? Remember that you will have to be the one to run everything when starting a business. You will have to develop projects and work through all the details. Time management skills are imperative to starting a business and running it so that it is a success. If you do not have good time management skills, you should start learning them now. Starting a business requires you to be able to plan, research, inventory, and schedule everything. If you cannot plan and organize well, things will fall through the cracks in starting a business.
Next, ask yourself how well you play with others. If you cannot get along with all kinds of people, you should reconsider starting a business or learn how to get along with others better. Starting a business means you will have to work with a lot of other people to get up and running.
Besides your interpersonal skills, starting a business means that you have to make good decisions. You need to have the skills to discern good business decisions from bad ones, along with being able to think on your feet and under pressure. When starting a business you will be faced with hundreds of decisions to make, so you should develop a business sense now.
Finally, you will need to have a good amount of stamina and drive when starting a business. You can already see that there are a lot of skills needed when starting a business, but your personality also plays into it, too. Starting a business will run you down both physically and emotionally. There will be long days ahead with some difficult decisions that will have to be made. In the beginning, you could end up working virtually 7 days a week for over 12 hours per day. Starting a business will require you to work through your exhaustion while also having the patience to deal with periods of slowdown and burnout.
Read the rest of the article here: Starting a Business.
By: Charles Fuchs
