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Startup Finance
Starting a business requires capital or funds. This is called startup finance. Funds could come from a business loan, personal savings, angel investors, grants, venture capitalist or may even include buying a business to fund another.
435 Questions
What are the start up costs for a copy shop?
The cost of starting up a copyshop depends on the volume and size of the shop.
In order to make profit you need more than a copier.
With the copier you can copy & print most things like flyers, business cards, school and business work and so on.
But you should also be able to make stamps, stickers, t-shirts, buttons, mugs, caps and so on.
You can start up with as little as $4000, but I started up with $60 000 because I focus on bigger and better machines to handle more volume.
20 000 for a color copier and quite a bit more for a black and white model with advanced finishing possibilities.
Business card cutters, dye sublimation printers and different heat presses.
I started with silk screen printing as well. And I make stamps with a stamp creator.
I bought a Roland machine to cut stickers and other materials. I also bought an engraving machine. To mention a few.
I also plan to buy a Ricoh duplicator to be able to print flyers and stuff like that dirt cheap.
Since I started with a lot of equipment I quickly started to make money, and after a few month (4) I started to make profit.
I send out flyers made in house, to businesses that I want as a customer.
I am now the sole supplier of copying and printing services for a couple of larger businesses. I gave them a good price, and they can focus on what they know best.
I can supply them with professional looking catalogues, CD covers (I burn CDs and DVDs as well) and other high volume printing.
They send me the files on e-mail and I print it the way they like. Then I deliver the copies to the right person as soon as possible. They don't even have to walk up to their own printer to get the copies. This has resultet in many smaller jobs as well.
We print catalogues for companies all over the country now. This is high volume, but the profit is not that high. But all in all it gives a few extra thousand a week in revenues.
I accept walk in customers as well. From just 1 copy to several million (in my dreams).
I talked to a service technician to find out which copier I should buy, and I'm very pleased with my choise. The machine has the capability to print about 8000 sheets of paper after I go home at night. In the morning the job is finished and I can start to make the bill.
I believe you can start up with much cheaper equipment, but it gives you more work and takes more time. You will not be as competitive on high volume jobs because a small copier can cost 5 times as much per page as a larger model.
I think $4000 is the lowest you should go. Then you have a small color multifunksjonal machine, a small cutting machine, an even smaller back-up copier and a heatpress. You can make the stickers on the copier. The t-shirt and mug prints can be made there too.
But quality and price wise... you will not be able to compete with companies like mine, and those whoose bigger.
>Your location is often more important on how much you need to invest. No competitors will give you higher margins, so your machines can be more expensive to run, and still give you a good profit.
What are fundraising strategies?
The technical answer is that strategies are a game plan containing specific and realistic goals that organization agrees to follow.
Each organization needs to develop their own strategy specific to their needs; there isn't just one set strategy that everyone can follow.
How do you start a security guard agency in Texas?
Starting a security company, initially, is just like starting any other business. First, do your homework. First, clearly define the specific products and services that you'd like to bring to market. Security is a HUGE industry- do you intend to provide guard services, investigations, alarm systems, access controls systems, executive protection?
Once you've defined your products/ services, make an honest assessment about how your service fits into your intended market. What are the advantages/ disadvantages/ strengths/ weaknesses of your specific products/ services? Who is your competition? How will you get your products/ services in front of prospective clients? What is the market potential for your products/ services in your market area?
Look at Texas licensing and registration requirements for your intended products and services. This is all regulated by the Texas Department of Public Safety- Private Security Bureau. You can find this information at http:/www.txdps.state.tx.us/psb There are various experience requirements and other factors required to open a private security company in Texas.
Next, start creating a business plan and budget. Going through this process will naturally help you to think though much of what you need to know to start a business. Remember, nobody gets their plan right on the first draft. It's an evolution. Be patient, honest, and use the process as a guide to discovery and testing your ideas.
Getting assistance from an CPA and/ or attorney is also a good idea. They can help you with selecting what type of business entity is best for you, planning your budget and related financial details and offer assistance with contracts and other legal documents.
There are also a variety of other resources and organizations to help you in starting a business, such as SCORE. Many of these resources provide advice and assistance at little or no cost.
Specific to security, I would also invite you to contact my company, Signal 88 Security Texas. We are part of a national security firm who offers security franchise opportunities based on our successful model. We provide all the assistance and resources you'll need; including our branded products and proprietary technology, full training and ongoing support with marketing, operations and administration of your business. Here in Texas, we also assist with all licensing and registration requirements. You can find detailed information at our website www.signal88security.com or email me at fpetro@signal88security.com
For which decision areas is the financial manager responsible?
Answer-Modern approach of financial management provides a conceptual and analytical framework for financial decision making. According to this approach there are 4 major decision areas that confront the Finance Manager these are:- a) Investment Decisions; b) Financing Decisions; c) Dividend Decisions d) Financial Analysis, Planning and Control Decisions
What are the benefits of a forward linkage?
One benefit of Forward Linkage is that the success of one business can be used to help a business in progress.
# NetFlix was able to offer a lot of obscure DVDs to many states and regions at a time when most video rental stores carried a limited selection of DVDs. # NetFlix enables customers to store lists of movies that they want to see so that they can easily remember and order movies from their list. # NetFlix has a software program, CineMatch, which recommends DVDs to customers, based upon the database of films that they have rented and liked.
In the 1940s, films were only available in movie theaters. In the 1950s, television became popular. At that time there was concern that people would stop paying to see movies in the theater. Instead, film studios released films on TV and got money to produce new films made exclusively for TV. In the 1980s, video cassette recorders (VCRs) became popular and entrepreneurs founded movie rental stores, where consumers could rent movies of their choosing on video. Again, there was a fear that new technology would lower the profits of Hollywood movie studios. To avoid this, intellectual property laws were devised to protect the profits of movie studios and actors. Despite initial fears that new technology would put them out of business, each innovation has made traditional Hollywood studios more profitable by providing new opportunities to promote films and movies. When digital video disks (DVDs) and the Internet arrived on the market, another opportunity was created. Reed Hastings was tired of the late fees charged at video rental stores. He created a new business model for renting movies using the Internet. Customers could order films online. DVDs would be mailed directly to their homes, and customers could keep the DVDs as long as they liked. When they returned a DVD by business-reply mail, another DVD was automatically mailed to them. Hastings founded a business called NetFlix in 1997 and started offering DVD subscriptions through the mail in 1999. The business has three key components that helped differentiate it from other similar services and contribute to its success: It took a couple years before NetFlix earned a profit. In the beginning, the cost of buying DVDs, paying employees, advertising, and negotiating deals was more expensive than the subscription fees customers were paying. To cover these start-up costs in the first few years, Hastings negotiated for venture capital from private investors. The term venture capital refers to money used to fund a high-risk business opportunity. High-risk business opportunities may result in large profits or they may result in lost money. The investors in NetFlix either loaned money outright to the company or they bought shares of the company. If a business takes off and becomes a success, these initial investors can make many times more money than their initial investment. The NetFlix investors included corporations and groups of wealthy people who pooled their money together. By 2005 NetFlix had more than 3 million customers and had earned over $660 million. The company appears to be a success. However, the idea of renting DVDs by mail is not proprietary to NetFlix, meaning that they do not own the idea in the form of a patent. Now other competitors such as Blockbuster Video, Amazon.com, and Wal-Mart are offering DVD mail-delivery programs. NetFlix succeeded by making millions of dollars for its entrepreneur founder Reed Hastings. Now the question is whether NetFlix can continue to expand and generate profits. It has several advantages because it was the first business to offer DVD rental by mail. It has a large customer base and a large database of movies, as well as proprietary software to recommend new films to customers that reflects their movie preferences.
Why Finance is the life blood of business?
Finance has been called the life blood of business because it deals with the money and its requires funds for its day to day activities.
Finance is considered the lifeblood of business because it carries 'oxygen' to all the interconnected systems - from the biggest down to the smallest financial system - and thus in the absence of it, this system will suffocate until it can no longer hold the chain. Furthermore, finance is the most liquid resources and thus it is called so.
What is the importance of staffing in management?
The importance of staffing within the management, is to make sure that you're able to create a plan or organizational chart of whom is working where at what time, and the levels that report to the different people. You will need to have an appropiate schedule and flow chart for this means in order to know where and which level people stand.
Why is so difficult for small business owners to raise the capital needed to start a business?
Banks, lenders, are in the business of making a profit.
They want a business to have a proven record of success before lending funds.
Also, the state of the economy is a factor. During a
recession, for example, it's more difficult to get a loan.
Venture capitalists are a common source of venture capital for small and medium sized businesses. They will take the risk of providing capital in return for a realistic share of the profits.
Family and/or friends may also be willing to take the risk of providing capital, but there is a risk of bad relationships and of losing friends if the business doesn't succeed. There may also be the problem that they may wish to have a share in managing the business, a desire that may not correspond with your own wishes.
A bank loan is not venture capital. A loan must be repaid, with interest, whereas venture capital is cash/funds introduced into the business and represents a proportionate share in the business itself.
OTHER SOURCES OF CAPITAL:
- Stock market flotation
- Forming a business partnership with someone who can provide capital
- Government or institutional grants
What is investment as relate to business?
Investment means using money in such way that it will result in an increase in the future. Investment means spending money to make money. Investments can mean traditional investments. They can also mean business improvements.
What is the purpose of the health and safety policy?
The purpose of the health and safety policy is to ensure that workers have favorable work environment, This is aimed at protecting workers while they are in course of duty.
Identify three distinct ways that savings are ultimately transferred to business firms in?
The Direct Transfer of Funds, Indirect Transfer using the investment banker, and Indirect Transfer using the financial intermediary
How much does it cost to franchise a chic fil a?
Got $5000 laying around? Then you can forget the burgers and throw your money down on a license to operate a Click-Fil-A. But get in line. Chick-Fil-A only gives about 75 of the 10,000 applicants per year the right to operate a franchise, and along with this right comes strict stipulations.
Your store will be closed on Sunday to give employees a day off to rest or worship. You will not own the property upon which the store sits, nor will you be allowed to select your location. Investment information is conspicuously missing from the company's website as well as the net, but good credit with a proven business track record will get you considered for a franchise. You will have to surender a whopping 50% of the monthly net profits.
If you looking for a low cost franchise and low on cash, maybe Chick-Fil-A is the way to go. As long as you don't mind giving away 50% of the net profits (income after expenses.) You may feel more like a Chick-Fil-A employee, but you are only risking the $5000 franchise fee.
What percentage of restaurant gross sales should go to rent?
6% to 8% of gross sales
Restaurant Rent: How Much is Too Much?
By Richard D. Williams, MAI
Tuesday, 31st October 2006
http://www.4hoteliers.com/4hots_fshw.php?mwi=1661
What is a business steering committee?
A Business Steering Committe is a group of people that is necessary for representatives from various functions within the business to represent the views of the company & employees.
The Steering Committee' s duty is to over see other committees that have been chartered to conduct various company business such as continuous improvements, safety, & etc...
The Steering Committee, collects information from sub-comittees & then transfers the information to & from the Exectutives, & to & from the employees. The Steering Committee acts as a voice to the upper management & vice versa to keep information & improvements going, to evolve a business environment with growth , development & well being in a non-confrontation manner. There is the need for a leader, back up leader, time keeper & recorder. The leader will publish an agenda prior to a meeting, including time frames for discussions & other committee reporting. The Time keeper watches the clock to keep the meeting within a reasonable time, usually 1 hour max & the recoder keeps notes & publishes the notes soon after the meeting for review for all in the company.
The employees need to discuss matters with their representative in order for their opinion & voice to be communicated & discussed for further follow up. The Executives need to use this tool of employee communication to conduct business strategy, etc... The Steering Committee is the voice & tool of the people.
How many new businesses are started in us each year?
I had the same question, and found the answer on Census.Gov. They track the number of new business births and deaths each year. Unfortunately, their data is 4 years behind. Here's the link to their data tables: http://www.census.gov/csd/susb/susbdyn.htm
Virginia Joint Stock Company
What happens to Employee post venture capital funding?
It all depends on the circumstances of the particular VC funding in question. Usually, good things happen, because the company now has more money to hire good people, pay increased salaries to people who may have been working at below-market rates, and underwrite capital acquisitions for the compamy.
How much does a venture capital associate earn?
Many people in this position earn close to $90,000 per year. The amount will vary depending upon the person's experience.
