A Franchising Story

When I was younger I decided I could own a franchise and run it as a part time business. I had a full time job and a family. The business was a service that was used after work and weekends, so part time made sense. I was sure many people started out that way. Here are a few guides along with my experience owning and running a franchise.

Understand if you have a strong motivation and drive. I did.

Be confident about the product or service. I was.

Be enthusiastic about the product or service. I was.

Be able to train and motivate others. I could.

Have experience in the industry. I did not have it but I convinced a friend who did to join me as a partner in the business.

Be able to promote the business and brand. While the industry was well known the franchisor was not. I knew more than the franchisor and made a decision to promote my business name in my dedicated geography. Why would I want to spend time and money promoting the franchisor?

We used the material and techniques provided by the franchisor.

I ran the business. My partner provided credibility and assisted with delivery of the program. For this I shared the profits 50/50. As a business owner, you probably understand what I mean when I say I ran the business. 50/50 probably was not a good idea, but I hoped I would get more for it.

The business succeeded for a few years until the energy ran out. What we lacked was a viable exit strategy, a way to capitalize on our efforts.

Do you have a better plan?

 

Steve Koenig, SCORE Counselor

Visit us at: www.scoresouthflorida.net

 

 

 

Even Success Comes With A Price

Every entrepreneur dreams of growing his/her business, of reaching that "place" they dreamed about as they feverishly worked to get their venture up and running. It may be an enterprise of just one person, you, toiling night and day to bring your dream to reality. Or perhaps it is 2 or 3 people, bonded in their collective vision, driving the business with passion and purpose.

 

And then, lo and behold, IT HAPPENS! Something clicks and suddenly you're racing around looking for more space, interviewing several people to join the team, and it's exhilarating, and exciting, and yes, even exhausting. The spirit of the beginning days is suddenly replaced by a fleshed-out, real organization, with important roles to play. And it needs to be done right.

 

So, YES, we welcome success and everything that comes with it. But let's also always remember we need a Plan, so we don't REACT to events, but PROACTIVELY move forward in a manner that insures that growth will be managed, that clients and customers will be served with the same, if not improved dedication, and the whole team functions like a symphony orchestra, in harmony, and in tune.

SCORE is a great place to get that Plan reviewed, evaluated, tweaked, whatever, so that when success does come, you are ready for it. Have you considered meeting with a SCORE Counseling Team? We're ready if you are.

 

Marty Kahn - SCORE Counselor

 

visit us at: www.scoresouthflorida.net

 

Starting a Business? Three Things You Must Know

Starting a new business is a very exciting and busy time. There is so much to be done and so little time to do it in. If you expect to have employees, there are a variety of federal and state forms and applications that will need to be completed to get your business up and running. That's where we can help.

Employer Identification Number (EIN)
Securing an Employer Identification Number (also known as a Federal Tax Identification Number) is the first thing that needs to be done, since many other forms require it. EINs are issued by the IRS to employers, sole proprietors, corporations, partnerships, nonprofit associations, trusts, estates, government agencies, certain individuals, and other business entities for tax filing and reporting purposes.

The fastest way to apply for an EIN is online through the IRS website or by telephone. Applying by fax and mail generally takes one to two weeks. Note that as of May 21, 2012, you can only apply for one EIN per day. The previous limit was 5.

State Withholding, Unemployment, and Sales Tax
Once you have your EIN, you need to fill out forms to establish an account with the State for payroll tax withholding, Unemployment Insurance Registration, and sales tax collections (if applicable).

Payroll Record Keeping
Payroll reporting and record keeping can be very time consuming and costly, especially if it isn't handled correctly. Also keep in mind, that almost all employers are required to transmit federal payroll tax deposits electronically. Personnel files should be kept for each employee and include an employee's employment application as well as the following:

Form W-4 is completed by the employee and used to calculate their federal income tax withholding. This form also includes necessary information such as address and social security number.

Form I-9 must be completed by you, the employer, to verify that employees are legally permitted to work in the U.S.

If you need help setting up the paperwork for your business, give us a call. Letting our experts handle this part of your business will allow you to concentrate on running your business.

 

 

Barry Eisenberg SCORE Counselor email: barrye003@aol.com

 

visit us at www.scoresouthflorida.net

 

Special Counselor of the Month

SCORE South Palm Beach Chapter

We are delighted to shine the spotlight on a distinguished member of our staff who by his or her efforts brings great credit to our organization. This month we are honored to salute: HANK SAMUEL

Hank is a very hardworking, dedicated member of our Chapter, always looking for ways to make us better and better serve our clients. We kind of knew when he applied for membership and brought with him a great resume, whether as a Professor of International Sales and Marketing at the University of California, Davis, or as a renowned and respected writer in distinguished trade journals dealing with international commerce, or as a major executive in corporate America, that we were getting someone very special. Wherever you look around, there is Hank, pitching in, helping others, subbing for another Counselor, volunteering to cover the desk when Dawn is out, urging his fellow Counselors to “do more”. Which is what he does, every day. “More”. Whether it is volunteering to help with virtually any issue or project, or taking on added duties as a Saturday counselor, or preparing and delivering our first-ever Seminar on the ABC’s of Export, Hank has made his mark. And quite a mark it has been. Hank’s original Export Seminar at Lynn University was a complete sellout, with many more individuals looking to attend who could not be accommodated. And the Seminar evaluations clearly reflected that attendees wanted MORE. So since then Hank diligently prepared and presented our first-ever “Complete Export Workshop”, which required him to prepare a 4 session, complex workshop, which he did, with great expertise. Our Chapter has been blessed in recent years in attracting very high caliber business leaders. Our Counselor Profiles clearly reflect a roster brimming with outstanding individuals who collectively have helped this Chapter achieve numerous awards, including #1 Chapter in the Nation in 2012 and very high standing among fellow Counselors in Chapters all over the country. From this distinguished roster we proudly salute colleague Hank Samuel. Any organization would be proud to claim Hank as a member. South Palm Beach SCORE is honored and privileged to have him aboard, serving the business community and aspiring entrepreneurs with passion, skill, and dedication. Thank you Hank, for all you do for the Chapter and our clients.

Saturday Hours at SCORE

SOUTH PALM BEACH SCORE SATURDAY APPOINTMENTS ARE NOW AVAILABLE FREE BUSINESS COACHING TO HELP YOU SUCCEED IN BUSINESS Register on line: www.scoresouthflorida.net or Call (561)981-5180 SOUTH PALM BEACH SCORE TWICE VOTED THE #1 SCORE CHAPTER IN AMERICA (among 348 Chapters, latest in 2012) 7999 North Federal Highway Suite 201 Boca Raton, FL 33487 (561)981-5180 South Florida SCORE | | http://www.scoresouthflorida.net SCORE South Florida 7999 N. Federal Highway Boca Raton, FL 33487 Copyright © 20XX. All Rights Reserved.

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No Guesswork in Sending Products Abroad

Rapid changes in marketing practices creat new opty's. all over the world for today's small business. But…it's important not to forget significant factors that influence decisions on where & when to export.

REGULATIONS - Import regs. will be the 1st category of info you need when approaching a decision to export; Including import quotas of the target market, licenses, permits, dollar exchange availability and other non-tariff barriers. Just call the Embassy in DC of the target market ask for the "trade" officer for full details. In many markets there are rigid standards for prod. approval under the guise of consumer protection. EX: how customs puts on import duties all have to be considered as part of your pricing.

MARKET CONTROLS - What restrictions exist on price controls, territorial limits - EX: in Puerto Rico an exclusive terr. granted to a local is a "marriage made in heaven". You can NEVER break it.

SALES ENHANCEMENTS - All sales mat'l. to be in the language of the country - labels, catalogs AND... use metrics instead inches & lbs. Advertising is not the same as in the U.S. You will have to educate your buyer on the perceived benefits of your product. More importantly still is extension of credit. EX: in many areas 60 days is considered cash. That will affect your ability to be aggressive in using price & payment terms as a sales tool.

LOGISTICS - Air and/or cargo reflect differing methods of transport. You need to consider packing, packaging, (they are different), insurance coverage AND hire an Export Freight Forwarder here in the U.S. to handle the movement of your shipment, prepare all the documentation and make sure you can collect (See an earlier blog on the subject of payment).

BRAND PROTECTION - Apply for copyright and patent registration. Logos and the right to your name can be ripped of instantly Piracy is rampant. Intelectual property has to be protected. GET LEGAL ADVICE! NEVER get involved in foreign local courts - you will lose.

AFTER SALES SERVICE - Warranties need to considered in determining how you will take care of your customers. EX: your products may have an entirely different application overseas. It is difficult to bring things back here for warranty so the best thing is to set aside some type of allowance, in advance, to handle claims. EX: a percentage of the the purchase price of the item.

You wanna know more? GET IN TOUCH WITH www.SCORESOUTHFLORIDA.NET
or contact: Henry Samuel, Certified SCORE counselor at hank.samuel2@gmail.com

Doing International Business

 

International Business -  there are many considerations when doing business internationally; financial, regulations, trade barriers, etc.  But to me, the singular most important factor is CULTURE.  You must understand the importance of culture to an international market – it affects all other factors.

Culture includes areas such as language, beliefs, thought processes, religion and many other areas.  Be sure to thoroughly explore the differences and adapt your “social style” before you attempt to enter a foreign market.

Just to give a few examples (and there are many):  In Japan – they like to give gifts (not bribes) to business counterparts. But do not open a gift in front of your Japanese counterpart unless asked.  Avoid ribbons and bows.  In Europe – avoid red roses and white flowers, even numbers and the number 13. 

Remember – cultures are not right or wrong, better or worse, they are just different.

John Ahearn - SCORE Counselor

visit us at: www.scoresouthflorida.net