Advice/Help getting company started !!!!

[Boomer!]

I'm sure a few of you have gone thru the process. I was just trying to figure out where to start, what are the "steps" to be legal and legit ?

Thanks in advance.....

[Crazzy_Al]

Originally Posted by white96GT

I'm sure a few of you have gone thru the process. I was just trying to figure out where to start, what are the "steps" to be legal and legit ?

Thanks in advance.....

1.) Get tax ID number
2.) Call Alberto for business info and business loans
3.) Get rich.

[Boomer!]

Originally Posted by Crazzy_Al

1.) Get tax ID number
2.) Call Alberto for business info and business loans
3.) Get rich.

Won't be needing the loans , but I may use your business info and let you count my money LOL !!!!!

[Crazzy_Al]

Originally Posted by white96GT

Won't be needing the loans , but I may use your business info and let you count my money LOL !!!!!

I don't work for free. Open your business accounts with me and we'll go from there.

[Swifster]

Originally Posted by white96GT

I'm sure a few of you have gone thru the process. I was just trying to figure out where to start, what are the "steps" to be legal and legit ?

Thanks in advance.....

Are you working out of your house or a seperate building? Are you going to have employees right away, or are you the chief cook & bootle washer? DO YOU HAVE A PLAN????

There are a lot of things to consider. Does the occupation require licensing, and if so, are you licensed? I'd start with making out a business plan. This is the document that you will follow in the course of your business. Do you need a loan, or do have the equipment to start right away. Get insurance for liability. Macomb County (and most others) will require a business license to do business in the county. You need to do this at the County Court at the County Clerks office. If I remember correctly, it's $20. Some cities also require a city license to do business in their city.

80% companies that are started are no longer in business after 5 years. No offense to Al, I'd try not to borrow anything until the business is on firm ground, especially if this will be a sole proprietorship. If you default on a business loan with a S/P, the loan can/will hurt your credit.

1) Decide on a business, and come up with detailed reasoning on why this business will succeed and why it could fail.

2) Do you have enough money to get you thru the first 3/6 months?

3) Decide on a name and what type of business ownership you'll have.

4) Make a detail Business Plan. There are computer programs that can help with this as well as books.

5) Decide on who is handling the books, and how. An accountant ($$$), Quick Books or Peachtree software? Are you handling this? Wife? I've handled my own books using Quick Books Pro. I don't usually buy the updated version every year. Usually every 2/3 years ($200). I'm currently using the 2005 version.

6) Where will you do your banking? Make sure it's a seperate account from your personal finances. KEEP THESE SEPERATE!!!

7) Get your buisness licenses from the county/city as required.

8) Hit Office Max (Office Depot, Staples, etc.) and make some business cards, labels and promotional stuff (price sheets, areas covered, what you do and why I'd want you to do it). The staff can help if you have them do the printing. You can also do these on your home computer.

9) Start making phone calls and visits. It doesn't hurt if you have contacts in the business.

10) Don't give up your day job! If you can still work while getting everything started, do so. Nothing sucks more than watching the bank account drain without an income. Or get a part job for the short term. My first year in business I took a 30% pay cut. Things were far better in year two. But you still have to get thru year one! And remember, 80% off all businesses started fail!

Good luck!

[Swifster]

By the way, most colleges such as Macomb, Wayne State, etc., have classes/workshops on starting your own buisness. The costs vary from the school to school. I took a workshop that was run by the business school at Wayne State. The cost was $300 (this was in 2000). They are usually at night. Well worth the cost.

[Boomer!]

Swifster, thank you for the information !!!! Yes I will be running the company out of my home office. I am starting a "sewer and faucet company", all I can legally call it until I pass my masterplumbers test. A company can not call themselves a plumbing company or mention plumbing in a ad legally without 1 master plumber and 1 contractors license. I will not need to borrow any money and plan to keep it simple 1 man 1 truck 1 wife to do paperwork (lol). If all plays out I will have enough to start the business, buy new equipment and pay all of my bills for at least a year should I need to if things are slow in the beginning.
I have been in the trade for 13 or so years and have helped make plenty of people rich and watched several of them fold. Having been part of starting the business end (labor) I'm prepared for the ups and downs that come along with it. I have seen greed, what an ugly monster.....
I plan to be very reasonable and provide the highest quality work, I'm not going to try to get rich fast as I have watched many do. I plan to provide a stable future for my family and maybe retire in my late 50's.

Thanks again !!!!!!!

[Swifster]

With you being in the 'construction' trade, I'd also look at other markets. I don't know how 'married' you are to the metro Detroit area, but markets like Florida, Georgia, Tennessee or Louisiana (New Orleans) are booming with a large need for contractors to do the work. I have an uncle in Madison Heights who's been a painter for 20 years. He's struggling in a bad market. He has a 14 year old son living in Lansing so he is reluctant to move.

As you've mentioned, construction in Detroit follows the local economy. If cars are selling, homes sell (requiring plumbers) or people will invest in their homes. If the economy is bad, everything gets put off and the market craps. In the Southeast, a hurricane every few years creates new opportunities . Just something to keep in mind. Good luck.