In the first four episodes of our podcast, BizCast NH, the Cardinal Corner focuses on foundations of building a business. Below are the focus points of each episode along with resources and information mentioned in the segment. We’ll update as new episodes are released. Thanks for listening (and reading).
Part 4 – Filing to Set Up Your New Business
We’re at the final segment in our four part series on building a business. Let me be the first to say that there is a lot more that needs to be done, but at this point you should understand some foundational elements and be building your success team!
This weeks topic is not glitz and glam – but it is necessary. Now that you have your business name, and you’ve determined the best type of business for you, its time to file officially with, in our case, the state of New Hampshire. The Secretary of States website is in play again and the process is relatively easy via their online portal. You’ll have to pay the filing fee up front, and its OK to not have a business bank account (actually its impossible to, for this business) at this point.
Once you complete the filing here are a few additional elements you should be thinking about:
Draft an Operating Agreement
Obtain your Federal Employer ID Number
Open a Separate Business Bank Account (and make an investment into your business
We may make all of this sound pretty easy. When its not easy, or you’re unsure of something, look to your team, look to a qualified business advisor, or someone who has been through these foundations processes already for advice.
Thanks for joining us and thanks for listening to the BizCast NH. Stay tuned for future Cardinal Corner segments as we navigate the world of business together!
Resources
NH Secretary of State Website
Apply for an IRS Employer Identification #
Part 3 – Name & Type of Business
So We’ve made it this far. You have your sights set on success, you’re being true to yourself, you’ve made a plan – and now that plan needs a name. A quick disclaimer – Cardinal is not a legal or accounting firm. You should seek legal and financial counsel in the creation of your business from a business lawyer and CPA/Accountant.
legal mumbo jumbo aside, I’ll venture to guess that you already have the name of your new business picked out. I’ll also venture to guess that you’re not quite sure about the type of business entity you should create. In working with a business lawyer and CPA you’ll determine the most relevant and advantageous type of business for your situation – whether that is a limited liability company, sole proprietorship, S-Corp, C-Corp, etc. Pop Quiz – What’s the best way to find a business lawyer and Accountant? Through a trusted referral! Ask your friends in business who they trust or ask your new business advisor!
As you make your name and business type decisions, be sure to check with your states Secretary of States office to confirm if the name you’ll be filing under in your state is still available. Once your name and business type are determined, head back to the Secretary of States website (at least in NH) to file your business officially. Go through the motions, pay the fee, and you’re off…
Resources
NH Business Name Lookup
Start a New Business
Part 2 – Making a Plan For Your Business
In part 1 we set the stage for success in terms of your mindset, and understanding of who and what you are as a business owner. Now it’s time to make a plan for the success of your new business by…writing a business plan!
Not everyone writes a business plan when they start their entrepreneurial journey, but everyone should! A business plan is a way for you to tell yourself, your lenders, your employees and customers even, that you have a plan for the longevity and success of your new venture. It covers everything from a description of the business, details about the products/services offered, sales and marketing details, and the almighty financial projections. These are not made to be “one and done” documents. While a business plan can be relevant for some time, it’ll keep you on your toes if you review the doc annually and revise as your business morphs. Having an updated business plan will act as a guide for you, and will be a key tool in gaining new investors including local banks and individual investors.
The Small Business Administration (SBA) has some great examples of business plans on their website. You should also hook up with a business advisor at the NH Small Business Development Center for further assistance and guidance – not just for the business plan document but to have a no-cost, trusted, experienced advisor on your side from the beginning. Their are also regional chapters of SCORE in NH that provide no-cost advisors who are retired executives.
Resources:
NH Small Business Development Center
Small Business Administration
SCORE NH
Part 1 – Passion, Strengths & Weaknesses
In part one we focused on why we’re building a business. It’s because we’re passionate about something, not because we love to do our own bookkeeping, or slog through marketing opportunities. Maybe we love to cook, or we love people, or love helping businesses succeed.
Passion is great, understanding how to run a business though, is necessary. There are plenty of resources out there from the NH Small Business Development Center, SBA, regional development corps. and so on, but first, take stock of your strengths and weaknesses. You’re about to embark on an amazing journey, you should know now what you’re good at, what you’re not so great at and where you’ll need the most guidance.
Knowing where you’ll need help and guidance will help you build your team – your network of support, of professionals, referral partners, and shoulders to cry on!
Speaking of a shoulder to cry on – it should be said early that at some point in your new career, you – will – fail. Maybe the whole thing comes crashing down, or maybe (and hopefully) it’s just one aspect of something that went wrong. You’ll have worked your but off to prevent said failure, but when it happens, you’ll learn from it. You’ll learn from it, you’ll grow, and you won’t make that mistake again!
At risk of sounding like too much like a combination of your mother and Charlie Brown’s teacher, we’ll leave it right there. Part 2 Coming Soon!
NTKCC
