Business Alone

I recently came upon an article that was a great resource for online entrepreneurs. It described the favorite activities of web surfers and other users who were accessing the Internet.

The thought I had was this: why wouldn't a new or aspiring (or even seasoned) business owner want to keep this list on file and return to it often as a way of understanding what activities were important to an online business owner?

Why should these things be important to an online owner?

All over the globe there is a wave of entrepreneurism that is sweeping the small business world both here in America and in far away places. What is fanning the flames of this hot topic is easy access to the Internet.

The pioneers that are striking out on their own to carve business niches and discover new ways to profit from online marketing are simple working men and women with a common desire.

They all want to throw off the shackles of employment slavery.

They want to earn a living owning and operating their own small business.

They want to run their storefronts from the confines of the kitchen table!

I hope the term "solo" doesn't confuse you or cause any concern about what this type of business really refers to. You see, in some folks' minds, "solo" is just one thing - a song that is sung alone by one person.

But as we're using the term here in the business sense, "solo" simply means that you are in business for yourself and by yourself. No partners, no employees, it's just YOU.

You see, back in the 1990s, some high-flying solo business types were labeled “lone eagles.”

The lone eagle image I have etched in my mind is this: a highly paid but restless white collar executive that turns his back on the Wall Street establishment, moves his family to Vail, Aspen, or Park City, and now consults a few hours a day from his ski chalet corner office as he sits atop the world raking in outrageous fees, answering to no one, and living a luxurious jet set lifestyle of travel, fortune, and whatever money can buy.

I don't care what industry you're in or what product or service you sell.

I can tell you, unequivocally, exactly, what the future of your business holds.

How could I possibly know what that is?

Simple.

The future of every business is just one thing . . .

What I am about to tell you may shock you, enrage you, or maybe just disgust you -- but I will not mislead you!

You deserve to hear the naked truth about starting a business on the Internet from someone who has spent his entire career in the small business development field and the past 10 years online.

I want you to understand what is going on all around you in this frenzied and "enlightened" time of global communication, instant access, and light-speed digital transmissions.

Most of us have contemplated starting our own business at one time or another - in fact, some have called this almost universal desire - the new "American Dream."

Are you prepared for a job change?

Any one of a thousand catastrophes could hit your employer in these uncertain economic times. Even positive business events like mergers, buyouts, and spinoffs can have serious negative impacts on your ability to keep fulltime employment and draw a paycheck from your employer.

Your job could be gone tomorrow; it happens to thousands of hard-working employees every day. Today you're gainfully employed - tomorrow you're job hunting!

But enough of the gloom and doom . . . let's talk about an amazing new job alternative that you can take advantage of today that has the power to refresh your life, secure your financial future, and turn the tables 180 degrees so that you become the owner of your own business and the master of your own destiny!

Chances are pretty good that you've known several people, maybe family members, or friends, or past co-workers that have made the leap to private business ownership.

Can you think of any of these people that have a thriving business today? Hopefully, you can . . . but the odds are not good.

I'm guessing you probably have knowledge of more startup failures among your friends than successes.

Here's an alarming statistic:

96% of all small business start-ups are doomed to failure.

I hope that sentence doesn't scare you away from moving forward in starting your own business.

But as I stated earlier, I want you to know the truth about what you're facing and how to side-step the traps others are setting for you.

Now don't get me wrong . . .

I've always been one to look at new year's resolutions as a two-edged sword.

They're a great way to map out your hopes, dreams, and plans for the coming year.

But they generally cause me some pain as I look back on the year now ending and realize all the things that I could have done better.

The human spirit, much like the business spirit, longs to grow and expand, and somehow stretch out into greater being than what it is.

There is a real attraction to purchasing a "business in a box" system.

To someone who has never undertaken the journey of business creation before, it seems logical that the steps could be laid out for you and the ground plowed ahead of you to guide you every step of the way, for just a one-time fee of $999.00

Think of all the time you'll save and the headaches you'll avoid if you don't have to research and actually learn what starting a business is all about!

What you may be overlooking, however, are gigantic business creation problems and voids that must be solved for every company.

This can be one of the most perplexing and difficult decisions you have to make as you decide to create a business.

Here are some questions to ask yourself that may help you to come up with the right decision for YOU.

Obviously, there is no "one best way" to enter self-employment. The choice you make on how to do it will most likely depend upon your current state of affairs: your employment situation, your tolerance for risk, your family size and makeup, and your ability to take care of your financial obligations possibly without a regular paycheck.

There is some wisdom in not rushing things at the outset. Quitting your full time job and putting your loved ones at risk can be a very scary proposition.

If you lose your medical and life insurance coverage, will you be able to afford these new out-of-pocket costs?

How long will you be able to last if your daily and monthly living expenses have to come from your savings account?

There are special challenges and unique rewards for married couples that create and operate a home business in tandem.

This kind of joint project can create new feelings of unity, togetherness, and working for a common goal that many couples don't experience in their hectic "do your own thing" lives.

On the other hand, business partnerships involving mates, if not handled properly, can also intensify negative feelings toward one another, add stress and pressure to a marriage, and drive a wedge in the heart of the relationship.

For these reasons, some couples would never consider working together in a small business, not wanting to risk possible clashes and avoidable irritations.

If you sell information, you are, in essence, a paid consultant.

Now you may never have viewed yourself in that light.

Maybe the information you sell takes the form of recommendations on the best cruise lines to book if you want to see Alaska in July. Can you see why you are a consultant in that subject?

Maybe your information business subject is dog grooming. Aunt Mimi has signed on as your customer because she wants you to teach her about grooming Fifi, her toy poodle. You are the consultant - Aunt Mimi is your client.

As soon as your customer signs up for your service (delivered in the form of some type of information), a consultant/client relationship is established.

It doesn't matter if you sell e-books, produce audio clips, run a subscription web site, or design graphics for logos. Digital information is your service and you are giving advice for a fee.

Here is my checklist of crucial questions to ask yourself about your solor business, whether it's still in the making or already cranking out a profit.

Yes, there are some important things to consider beyond what you'll see on this list. But this is a place to begin, a reality check of sorts, to make sure that you understand what your business is about and where you're headed.

[ Just in case you missed the definition of a solo business, it is a small information based business operated by one person on the Internet. The subject of the business will be related to the owner's knowledge, skill, passion, training, or life experiences. - Author's note ]

One of the first considerations in choosing a name for your new online solo enterprise should be to find out if someone else has already reserved and registered the same (or a similar) name.

You can hire this chore out to a professional firm if you have lots of money for such things or if you don't trust your own research capability.

Handing this chore off would probably be a good idea if you were treading on thin ice with your preferred name. For example, if you planned to register a name that is very close to a protected name, something like Amazon Jungle for your new book service, you may want to put the burden of proof on a company that will guarantee their results and have the legal muscle to steer the process through to conclusion.

Please give me a little slack if your State is different than mine. I guess there's a good chance that the sequence of obtaining the necessary business licenses could vary from State to State.

My business was registered in Utah, first as a sole proprietorship and later on as a Subchapter S Corporation.

I'll be the first to admit that I'm not a lawyer and my experience in this realm is limited to just one State. I will tell you what I did. You may find things are done a little differently where you register your business.

I began my license quest at the county administrative office. That ended up being a mistake since they needed to have my DBA and State business registration information before they could process my application.

Every county will have its own procedure and you may find that this is the place to begin tracking down all the licenses and permits that you need. This is the place I started, but was told to register my business name with the State first . . . so that's what I did.

The County Clerk's office will usually be helpful in getting you pointed in the right direction. They'll be able to send you to the proper window to pay your fees.

The type of business you're creating will have a lot to do with the licenses and permits you'll need from the County government.

When most business owners talk about "framing their business license" they are referring to the municipal or city business license that authorizes them to do business at their chosen location.

It is very important, especially before you make any permanent location decisions, to check with your city to see if what you plan to do is allowed in the municipal code.

The city planning and zoning office should be able to help you determine what requirements will apply in your case.

There could be some zoning issues relevant to where you live that might have an impact on your business or the type of license and fees you will be assessed.

I was thinking the other day about how my tastes, preferences, and attitudes have changed over the years since I was first married and had four little ones running under foot.

All my children have now reached adulthood and I'm called "grandpa." (By the way, for any of you staring a similar transition in the face - it's a wonderful thing! It beats the alternative, doesn't it?)

I don't read the same things that used to interest me. I don't watch the same TV I did back then (mostly "kiddie TV" to keep the wee ones happy). The Internet was not around yet.

I'm as guilty as the next small business author. I like to share the business owner personality traits that seem to go hand-in-hand with successful business.

But we rarely discuss the qualities you shouldn't possess.

Maybe we don't like to dwell on the negative. Maybe we feel that as long as the owner has the good qualities, he can also be forgiven for harboring a few of the bad.

Maybe we'd just prefer to keep silent and assume that small business owners hide their personality flaws by keeping to themselves.

These 10 qualities are not reserved for business types. Anyone can become infected. Also, like most diseases, it's a heck of a lot easier to get it than it is to get rid of it.

Among the many choices the entrepreneur faces in setting up a business from scratch is deciding upon the type of structure he/she will set as the framework for the enterprise.

Sometimes the alternatives are few and the choice is readily apparent. At others, it may be difficult to know what's best.

Typically, the decision about the structure of your business is influenced by the following factors and the answers you come up with to some pertinent questions like:

Every business needs a skeleton, a backbone, a framework that gives structure and organization to the operation.

Having a structure also allows you protections and rights under the law and qualifies your business for particular tax and income advantages.

The structure you choose is important. The decision you make will affect your financial, operational, and legal standing and reporting.

It will also create some responsibilities and requirements for reporting that may force you to seek outside help or assistance. Whether you undertake to learn the do-it-yourself way or you opt for some professional help, here are a few ideas to keep in mind.

You're asking the wrong person, I'm afraid. I'd like to hear from some of you out there in Internet land that have experience in this arena.

It's not wise to take advice from someone that has never been involved in MLMs or to make an assessment of their value, potential, and advantages or disadvantages.

Let me just set the stage with this short introduction to get you going:

MLM is short for Multi-Level Marketing. It is the type of business opportunity that appeals to many people because the business model and products have already been proven by others who have been successful at it.

Picture yourself leaving on a journey to a far away place you've never been to before. You're not quite sure how to find this place, but you think you can ask questions of the locals along the way so you'll be able to zero in on your final destination.

Let me ask you: "What's the single best resource you could take with you on the journey if you had your choice?"

Would it be lots of money to buy your way in to the directions you need? Maybe.

Would it be a detailed map that showed you the exact way to your destination? Maybe.

What would you want to take on your journey?

Regardless of your business structure (sole proprietorship, partnership, or corporation) you should apply for an EIN (employer identification number) if you want to be seen as a legitimate business.

Yes, sole proprietors can get by without one. Social security numbers are acceptable on income tax filings for persons without employees. But often those who would do business with your business, i.e. suppliers and vendors, want to see an EIN as a way to verify that you really are in business.

Your EIN will be assigned to your business by the Internal Review Service. It's your taxpayer ID, so to speak, and it will be used by federal, state, and local governments.

One of the ways solo business was conducted for many years in this country (U.S.) was by what I call "the one man band" business model.

An entrepreneur would create or find a product and proceed to sell that product to as many buyers as he could find. Sometimes the owner would develop a full line of products offering the consumer many styles, sizes and other choices.

The one man band was many business employees rolled into one. He did the research and development on the product, the manufacturing and/or purchasing, he was the salesman, the secretary, the customer service representative and the business owner all at the same time.

For many years, solo businessmen worked among the ranks of the self-employed as "organizers" or facilitators of groups of like-minded people.

They held titles such as "consultants," "coaches," "mentors," and "instructors." Sometimes they operated strictly as solo entrepreneurs being the only source of expertise in their company.

Others banded together to form a "team" or group that offered the same type of service but included the perspective and experience of multiple experts that often worked together on one project to provide the service.

These workers would organize their own curriculum, design their own delivery approach, and earn their fee by teaching or coaching their clients either in a one-on-one setting or small group atmosphere.

Since the beginning of time, solo business persons have opened and maintained retail stores that sold products to walk-in customers.

Sometimes the stores featured only specialty items, like a bike shop or bakery. Others carried a range of goods (like a mercantile) but remained small enough that one person could man the shop by himself and perform all the daily functions necessary.

There would be goods to order from manufacturers or wholesalers, shelves to stock, customers to wait on, books to be balanced, and cleaning at the end of the day.

If you are serious about starting a small solo business, there is no greater lesson to learn than how to apply the principle of maximum leverage to everything you do in your business operation.

Your survival, and ultimately your success, will hinge on how well you grasp the concept and make it your slave.

It's a difficult lesson for many, partly because most of us rarely practice applying leverage in our own personal lives. We tend to get complacent and accept low output and/or maintaining the status quo as our daily M.O.

Remember how difficult it was to be 13?

Everybody was always on your case trying to get you to do things you really didn't want to do.

Taking out the trash was a simple and easy enough chore that I was assigned. But oh, how I loved to "forget" to do it.

I wasn't much for raking leaves, pulling weeds, or my least favorite job - cleaning up after the pets.

I was constantly on the lookout for ways to avoid the daily tasks that needed to be done around the house.

I don't always recommend that you seek out an attorney and a financial advisor for your business safety and peace of mind.

And most of you know that I don't recommend the solo business owner buy an already established business.

But if that's your intent, and you have thoroughly checked out the business as I have suggested elsewhere, you still need to make absolutely sure this transaction is exactly what you intend. Surprises are not a good thing in this business.

Since you will most likely be investing a good deal of change in your purchase, and you will be spending the better part of your waking hours on managing your new "used" company, you would be well advised to consult with legal and financial counsel prior to closing the deal.

Digital information is not unlike written information, except that it exists in the form of little data bits that consist of "1s" and "0s."

Every character and many symbols that we use in our language can be represented "digitally" and transferred electronically over wires and cables and even through the air waves.

Those characters are developed or "written" in software programs like MS Word and others but are "saved" as digital files which can then be transferred to other media and output types.

Today I had a rude awakening. I discovered I needed to practice what I preach. I needed to start taking my own advice.

I'll explain what I mean by telling you about my day.

The phone rang this morning a little after 3:00 am. I was tired and thinking I didn't want to answer it. I hate middle-of-the-night calls.

Most parents hate 3 o'clock calls because they worry that there could be some bad news about one of their children or grandchildren or another relative. Why else does the phone ring at 3:00?

Let's face it, many folks that start their own solo business are first time entrepreneurs. They have no history, background, or training in small business development or operation.

That presents a great challenge - one that can certainly be overcome - but one that must be recognized and met head-on.

You see, operating a business is like most other professions. You don't just declare that you want to be in business for yourself and all of a sudden possess all the skills and knowledge that you need to be successful.

Preparation for business success can come in many ways.

Some follow a regimented career path through college and possibly graduate school to learn the art and science of becoming a business owner.

Others choose to get their education from home study courses, books, tapes, and other media presentations.

Most businesses are started by folks that don't have formal training in business. The school of "hard knocks" is their educational backdrop.

Over the next few posts we will be looking at things you can do in your business to:

- gain the education and experience you need to learn important and useful business skills directly related to your success,

- present your business in the best light as one that is real and credible,

- grow your business beyond being just a startup that doesn't go anywhere,

- expand your mind and your opportunities for new business ideas, new products, and creative solutions to business problems,

We're discussing the steps you can take as a business owner to make yourself and your company a professional, trusted, "real" business; not some sloppy and suspect half-hearted attempt to grab a few customer dollars.

Here's the next step: Search out one or more experienced mentors to guide you in your business.

If you can find experienced business people that are willing to provide you some direction, advice, and counseling, you will be miles ahead of the pack of those who simply "go it alone" with no additional help.

I cant' overemphasize the notion that the most successful business owners are the ones that become "students" of small business and especially, their own business model and niche.

What does it mean to be a student of your business?

Some who go into business become so focused on the daily routines and operations, they never take the time to study and learn about doing business in a more efficient and effective manner.

I've seen a vicious cycle, a treadmill that catches business owners in a kind of "time warp" or trap. The owner starts running on the treadmill and can never seem to jump off.

He finds himself running faster and faster to keep his business afloat as he becomes more successful, but he's never able to slow down, catch up, and he can't jump off.