entrepreneurship presented by bill nicholson january 10, 2007 en·tre·pre·neur a person who...
TRANSCRIPT
Entrepreneurship
Presented by Bill NicholsonJanuary 10, 2007
en·tre·pre·neur A person who organizes and manages any enterprise, esp. a business, usually with considerable initiative and risk.
OverviewOverview
IntroductionDescription of the BusinessCustomer ProfileWant to be Self-Employed?The Three Types of EmploymentFinal ThoughtsQ&A
Who is This Guy?Who is This Guy?UC Graduate - BSES A+, ACE, MCPAdjunct Instructor, CSTCCSelf-employed for 16 yearsReal Jobs: General Motors,
Cincinnati Milacron,etc.
IntroductionIntroduction
Description of the BusinessDescription of the Business
Anything that is computer-related– Software Development – Networking– Repair & Upgrades– New Hardware– Training– Consulting– Hand-Holding
Multi-modal analysis of non-linear operational constructs and application of digital techniques to enhance, support, streamline, and de-obfuscate subjective processes, with emphasis on remuneration enhancement.
Description of the BusinessDescription of the Business
“Apply computer technology
to make people happy
so they will give me money.”
Description of the BusinessDescription of the Business
C++Design / Consulting VBASP .NetSQL ServerAccessHTMLWindows 2003 Server / Linux
Description of the BusinessDescription of the Business
Ongoing relationships with customersSupport a manageable number of
customersAlways be on the lookout for potential
new customersBe available 24-7Build relationships
Description of the BusinessDescription of the Business
Customer ProfileCustomer Profile
EclecticCollege: www.chatfield.comDefense Contractor:
www.kecoindustries.comContractor: www.drackett-harth.comLogistics: www.standrewsltd.com
Process Process ControlControl
A Typical Customer is not High TechA Typical Customer is not High Tech
They are profit-orientedThey expect resultsThey trust me to suggest and
implement new technology
Customer ProfileCustomer Profile
How do I Charge?How do I Charge?
Hourly Rate– T&M (Time and Materials)– Establish the rate before starting– Plumbers charge for travel time. Should we?
How do I Charge?How do I Charge?
Project Rate– Provide a quote or a proposal– A proposal is an analog device
How do I Charge?How do I Charge?
Value-Based Rate– Mr. Customer: What is this software
worth to you?
How do I Charge?How do I Charge?
Speculation– Write the code for free and hopefully reap
the benefits down the road.– Working “on spec” is risky.– The cost of your labor is not tax-deductible
Want to be Self-Employed?Want to be Self-Employed?
Work your own hoursPick your own projectsKeep everything you earnMake all the decisionsAvoid the office politics
Still want to be…?Still want to be…?
No company softball teamNo Christmas PartyNo retirement planNo benefits / health insuranceNo paid vacationNo steady paycheckNo promotionsCollections
How to get StartedHow to get Started
Consider a part-time ‘real job’.Contact the placement agencies
– Emphasize your willingness to work part-time
How to get StartedHow to get Started
Don’t be picky– Repair– Programming– Consulting– Networking– Design– Hand-holding
Short TermShort Term
Time management is criticalCan you deal with not knowing what
you’ll be doing next week?Next month?
Customer RelationsCustomer Relations
Court your customers
Customer RelationsCustomer Relations
Don’t commit to anything– “Probably”– “I think we can do that”– “We’ll try to get that accomplished”
Customer RelationsCustomer Relations
EmailChristmas giftsNo charge for telephone calls
Customer RelationsCustomer Relations
Identify the decision makers– Owner– Secretary– Sales Manager
Customer RelationsCustomer Relations
Recognizable technology can get you in the door.
Microsoft sells (sorry!)
Types of EmploymentTypes of Employment
Direct Employee– Paid by the company you work for– Usually an open-ended relationship
Types of EmploymentTypes of Employment
Contract Employee– You are paid by a third-party, usually a
placement service.– Usually a closed-end or short-term
agreement.– You are employed by and at the mercy
of the placement service.– Usually a full-time commitment.– Be wary of tax ramifications
Types of EmploymentTypes of Employment
Self-Employed– You bill the customer– You collect the fee– You pay the Self Employment Tax– You file a Schedule C– You deduct your expenses
Beware of Tax ImplicationsBeware of Tax Implications
Someone will pay the extra 7.65%
Types of EmploymentTypes of Employment
Beware of Tax ImplicationsBeware of Tax Implications
You know you’re not self-employed if…– Your employer provides you a desk, a place to
work, a computer, and other tools.
OR– Your employer determines your working hours
OR– You receive a W-2 form at tax time
Legal RequirementsLegal Requirements
You are considered self-employed and subject to self-employment tax laws if you:
carry on your own trade or business have a profit motivation for your business activity operate your business in a regular manner are a sole proprietor are an independent contractor work full or part-time in the business endeavor have a net profit of $400.00 or more have a net profit of $100.00 or more as an employee of a church
electing exemption from Social Security Withholdings
http://www.villarose.com/html/advantax/slfempl.htm
Final ThoughtsFinal Thoughts
No one has ever asked me for my GPADon’t let emotions interfere with businessBe prepared to retrain yourself constantly
Final ThoughtsFinal Thoughts
This is a people business
Edsger Dijkstra is often quoted as saying, "Computer science is no more about computers than astronomy is about telescopes."
Learn About PeopleLearn About People