Advice on Starting Own Business...

Completely digest and understand the book The E-Myth Revisited.

I have gotten the entrepreneurial bug twice and am currently thirteen months into my second go. I am a technician. I didn't learn this until months after I had begun my office again.

After that and you still are willing to forge ahead then find locations. I happened into rent on space that was half the cost of the same space across the street.

If you have a grocery store anchored shopping strip nearby that is relatively new and still has a few empty spaces contact the company who built the thing. They should be able to provide you with their demographic info that you will need in your business plan.

Beyond that the type of business kind of sets the tone for any other advice.

First, create a realistic business plan. Make sure you can make ends meet with half the revenue you expect and 20% more costs. For most start-ups, the best way to go is to have involved persons work part-time somewhere else while starting the company (in order to remain having an income). Pre-decide what the break point it where you will abandon ship - don't pour good money after bad. Depending on the type of business, do the demographics - how many people are likely to use your service in your area? How many competitors do you have? What will make them choose you? How will they learn you exist?

A little bit of planning can go a very long way in terms of your long-term success. For example, putting your Morrocan-theme restauarant in the same shopping center as the hookah bar and the hallal meat market may make all the difference in customers finding you and patronizing you regularly.

What kind of business are you starting?

Be prepared to lose your friends.

Ideally, if you are starting a business with your friends, it should be because you think they have the necessary skills to help you succeed in this endeavor. If it's because you simply get along with them, beware.

Some people would tell you not to do it, I'm still on the fence. At least you know what you get instead of a complete stranger ... but in one case for me in the past I did lose a friend. Although, looking back at it, I'm glad I lost that friendship.

David, there are alot of people out there who start business' and succeed and are happy in them. But i think the numbers are low. I just read that 1st page of that e-myth book and it was my story exactly. I worked in the copy shop of Office Depot for 7 years and decided I worked so hard and knew everything about it I should open my own. Well I'm 2 1/2 years into my own shop and I want out so badly. I have spent over 200,000.00 on it. I take in around 1,000.00 a day and I still make nothing. I worry about the place 24-7 and If I am able to get my mind off of it for a few hours I feel guilty. And i don't even like what I do I'm just good at it. I always daydream about oh I wish i had a comic book shop or a dvd store instead, but I know I'd fail even quicker with that sort of thing. 1000.00 a day is a lot of cash flow for a small business and I;m still broke and always late on my bills. If I had a comic shop and made like 100.00 a day... There's just no way. I don't see how you and your friends could split the profits when there probably won't be any. I am sorry to be so negative but it is HARD! I am so ready to sell my shop and go back to clocking in for someone else and not worry about anything. But no one is going to buy my place unless I practically give it away. I'm sorry if this is a shitty answer. Maybe your luck will be different. Just be prepared to invest ALOT of money and work and worry around the clock. -PK 34 year old movie/comic fan copy shop owner

Starting a comic book store in today's environment is just plain crazy.

With a business you have to ask what is in demand and is profitable, not only what you are into.

I'm all for starting your own business, but the way things are going right now, is that so wise to do?

You really need to look into the demographics. Are people buying videos and DVDs in storefronts? Can you mark them up enough to make a profit? Why will people come to your store? Will it be a hangout place? Selling something like coffee has a big markup (cost $0.50/cup plus overhead; sells for $2.75-$5.50). DVDs don't as many people rent or buy them online as cheap as they can find them.

If you haven't run a retail store before you need to realize there is a LOT of overhead. You have rent, electric, phone, yellowpages, etc. -- even if your rent is REALLY low you will be amazed at your utility costs and overhead.

I use vonage for phones ($40/mo) but yellow pages is likely to be several hundred dollars a month for a small ad in the local books (we're talking "Comic Book Shop 123 Anystreet Ste A, 210-555-1212 Comics.com"). Yellow pages are a one year commitment no matter what happens with the business - you're on for the whole year.

You need to look into business licenses, taxes, and merchant services. Merchant services will cost you at least 27 cents per transaction, often more. Local business licenses start at low flat rates (hundred-ish) to a percentage of your sales (yikes!). You have to collect and pass on sales taxes. Paying employees is a bureaucratic nightmare.

Make sure you have a detailed plan and have a real idea of your costs. Figure out how much you will have to sell to break even. I think you'll be surprised to find out that no one has entered the market for a reason. Then you have to figure out what you'll do to overcome the hurdles.

Partnership agreements are your best friend. Each of you get a lawyer and then draw up the agreement. Make sure each lawyer is okay with it and then sign it.

Secondly, get a third party to look after the books. None of you touch the money.

Thirdly, follow everything else Bel said.

Hey Betheled what kind of business do you have?

Yes the fees are crazy. Licenses, taxes, fees I spent 4000.00 on my verizon yellow pages and 1500.00 on yellow book just last year. For a business card sized ad! What kills me about every election year is how the candidates repeat "small business, small business" like a mantra. It sounds great to the Amaercian public so they go to the polls chanting small business small business. Since most Americans don't own a small business they have no idea what they're talking about. NEITHER side does a damn thing for "small business". Ok sorry. whew. Ugh Who wants to buy my place? Anyone anyone? I gotta get the fuck outta here!

I'm a veterinarian and I have my own practice.

Purchase the Four Hour Work Week by Tim Ferris. The real gem isn't that you'll work four hours a week, it's the idea that you should strive for an automated money generating product based business or a business where you can delegate responsibility. It also touches upon ways in which you have to test your market and find a niche before attempting anything.

http://www.fourhourworkweek.com

check out the blog too.

The markup on a new videogame is about $3. Used sales are where the money is.

That's the best advice I've seen yet.

The advice or the tits?