Arrive Magazine - January/February, 2010

with Sanera People Development Co. in San Antonio, Texas. “You have to know who your target customer is. You can’t serve everyone. What will be your key products or services? You can’t o;er a million things. Decide where to focus.”

She also notes that your strategy should include financial goals. “You have to hold yourself accountable. Set a deadline for profit. How much do you need to sell to make a profit and at what price

More than half
the companies
on the 2009
Fortune 500
list were
launched during
a recession or
a bear market,
as were nearly
half the firms on
Inc. magazine’s
2008 list of
fastest-growing
companies.

point?” And, although you may think you want only the best for your business, if you’re not conscious and set a budget for everything from business cards to equipment, you could drown in expenses.

Another component of your plan should include your marketing strategy: How are you going to get the word out about your product or service? What’s going to be your “brand”? Although you put your plan in writing, it’s not etched in stone. Consider it a living, breathing document, says Arenas.

“Make adjustments, given changes. A few years ago, social media wasn’t what it is now. Today, companies need to think about how they can use social media as a marketing opportunity.”

Along with that strategic plan, think about a business plan. If you hope to raise money from potential investors, bankers or anyone else, you will need at least an executive summary, if not a full-blown plan, says Lesonsky. Just thinking through all the components of a business plan, such as marketing, competition and operating procedures, will help you uncover questions you may not even have known to ask, she adds. For help, check out your local small business development center. They o;er a suite of consulting services, usually free or at low cost.

Finally, get ready to go. Talk to your tax advisor about which business formation is best, get all necessary licenses and establish separate banking and credit card accounts.

Making the Right
Entrepreneurial Moves

There are more than a few ways to trip, so you must have su;cient financial reserves.

“After their initial investment, some people think that six or so months worth of expenses saved will be enough. But be prepared for at least five years of minimal income, unless you are a solo entrepreneur with very little overhead,” warns Mitchell York, president of Executive-to-Entrepreneur Coaching in Sayville, N. Y.

“You have to be prepared for the unforeseen. Give yourself time to be successful,” he says. It doesn’t hurt to be in prime physical condition, either. Long hours and stress will be more tolerable if you’re in peak shape.

Know, too, that “going solo” is a misnomer. Even if you’re a sole proprietor, entrepreneurship is a team sport, says Jay Kayne, chair and director of the Institute for Leadership at the Farmer School of Business at Miami University in Oxford, Ohio. You need the support not only of family and significant others but also of an attorney, a certified public accountant, industry mentors and a business coach.

For many, the entrepreneurial journey is worth taking. Says York, “It’s often not about money. There’s great reward in creating something of value, of having a life of meaning, of having independence.”