bmbt workshop #10 - "your own business"

# 10 – YOUR OWN # 10 – YOUR OWN BUSINESSBUSINESS

Management SkillsManagement Skills Organization, PlanningOrganization, Planning Predicting Needs, ChangePredicting Needs, Change Cash Flow ManagementCash Flow Management Hiring, FiringHiring, Firing Understanding Financial Understanding Financial

StatementsStatements Red Tape, Regulations, Red Tape, Regulations,

TaxesTaxes

BUSINESS STRUCTURE BUSINESS STRUCTURE Sole Sole

proprietorshipproprietorship PartnershipPartnership Limited companyLimited company Non profitNon profit CharityCharity Religious Religious

institutioninstitution Certified Certified

educationaleducational Social agency Social agency

Legal statusLegal status LiabilityLiability Tax registration Tax registration

(HST)(HST) Secure business Secure business

namename Copyright designsCopyright designs Trademarks Trademarks Patents Patents Seek advice from Seek advice from

professional. Do it professional. Do it right.right.

LOCATION LOCATION Home based businessHome based business Cottage industryCottage industry Packaged office – shared office Packaged office – shared office

spacespace Leased space / officeLeased space / office industrial areaindustrial area Retail, for maximum exposureRetail, for maximum exposure Highway Highway Shared retailShared retail

ROLE OF GOVERNMENT ROLE OF GOVERNMENT

Regulatory Regulatory Entrepreneurial funding Entrepreneurial funding Health, safety, Health, safety,

inspectioninspection Ministry programs, $Ministry programs, $ RFPsRFPs Community Development Community Development

PlanPlan By laws By laws

HELP, REGISTRATIONS HELP, REGISTRATIONS Register name Register name

www.fin.gov.bc.ca/registries or www.fin.gov.bc.ca/registries or www.bcbusinessregistry.cawww.bcbusinessregistry.ca

Incorporation Incorporation www.fin.gov.bc.ca/registries/corpgwww.fin.gov.bc.ca/registries/corpg

HST HST www.bcbusinessregistry.ca/registration.htwww.bcbusinessregistry.ca/registration.htmm

WorkSafe www.worksafe.com WorkSafe www.worksafe.com Web domain www.godaddy.com Web domain www.godaddy.com Employees and taxes – Canada Revenue Employees and taxes – Canada Revenue

AgencyAgency Import / export www.cbsa-afc.gc.caImport / export www.cbsa-afc.gc.ca Permits, licenses www.bcbizpal.ca Permits, licenses www.bcbizpal.ca

MONEY IN MONEY IN Capitalize on government Capitalize on government

fundingfunding Selling…..Selling…..• Set favourable termsSet favourable terms• Take deposits, prepaidsTake deposits, prepaids• Invoice quicklyInvoice quickly• Don’t be shy to ask for your Don’t be shy to ask for your

moneymoney• Monitor your accounts closelyMonitor your accounts closely• Send monthly statementsSend monthly statements• Telephone contacts are best Telephone contacts are best

MONEY OUT MONEY OUT Meet obligations, payments, Meet obligations, payments,

loansloans Operational cash flow out …..Operational cash flow out …..• Always take supplier discountsAlways take supplier discounts• Play suppliers off against each Play suppliers off against each

otherother• Never pay CODNever pay COD• Keep government and banks Keep government and banks

happyhappy• Monitor your accounts closelyMonitor your accounts closely• Reconcile supplier statementsReconcile supplier statements• Maintain bank account balanceMaintain bank account balance

MANAGEMENT MANAGEMENT

Treat employees as you would Treat employees as you would like to be treatedlike to be treated

Re-visit your business plans, Re-visit your business plans, growthgrowth

Deal with problems immediatelyDeal with problems immediately Keep an eye on cash flowKeep an eye on cash flow ““If you are digging yourself into If you are digging yourself into

a hole, stop digging.”a hole, stop digging.”

HIRING, FIRING HIRING, FIRING HIRING….HIRING…. Family, friends?Family, friends? InterviewsInterviews Skill testSkill test ProbationProbation Job descriptionJob description Accountability Accountability Regular reviews Regular reviews

FIRING….FIRING…. Written warnings Written warnings

ahead of timeahead of time Follow Follow

government government regulationsregulations

Give no cause for Give no cause for recourserecourse

Do it quickly Do it quickly

ORGANIZATION ORGANIZATION Priority listsPriority lists TO DO listsTO DO lists TimelinesTimelines Delegation of workDelegation of work Focus on what needs to Focus on what needs to

happen whenhappen when Schedule client deliverablesSchedule client deliverables Evernote, Google, Outlook, Evernote, Google, Outlook,

reminder programs reminder programs

STRATEGIC GROWTH STRATEGIC GROWTH Generate more revenues with Generate more revenues with

existing clientsexisting clients Secure more clientsSecure more clients Add new products / servicesAdd new products / services Eliminate lower margin products Eliminate lower margin products

or non – producing revenuesor non – producing revenues Increase ‘per unit’ selling prices, Increase ‘per unit’ selling prices,

or ‘per service’ pricingor ‘per service’ pricing Watch your costsWatch your costs

COMMUNICATIONS COMMUNICATIONS

COMMUNICATIONS COMMUNICATIONS

COMMUNICATIONS COMMUNICATIONS

CUSTOMER IS KING CUSTOMER IS KING

PARTNERS PARTNERS

““A great way to A great way to share the work, share the work,

share the risk, and share the risk, and share the money you share the money you

need to start or need to start or grow. Also, a great grow. Also, a great potential source of potential source of

conflict.”conflict.”

PARTNERSHIPSPARTNERSHIPS Very common in businessVery common in business Build on each others’ Build on each others’

strengthsstrengths Division of responsibilityDivision of responsibility Each party is accountableEach party is accountable 50/50 is best50/50 is best In case of disagreements, In case of disagreements,

talk it outtalk it out Understand over time, Understand over time,

people changepeople change If there is mistrust, end it If there is mistrust, end it

quickly quickly

STAGES OF PARTNERSHIPSTAGES OF PARTNERSHIP

Courting ritualCourting ritual Marriage proposalMarriage proposal Marriage contractMarriage contract WeddingWedding HoneymoonHoneymoon Growing togetherGrowing together ChangeChange Divorce?Divorce?