http://www.marksteinerinc.com

TAAC 9 Las Vegas, NV

October 23, 2004

Starting Your Own Business

Mark Steiner

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Freedom Being able to choose what you do

when you get up in the morning Flexibility Ambition to succeed Tired of your Boss, or a boss

Why should you start your own business?

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Who should start their own business?

Traits• Self-starter• Plenty of determination and perseverance• Enjoy challenges• Dedication and structure• Niche of knowledge/skills• Project management skills• Know how to say “Yes” and how to say

“No”

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Who should start their own business?

Ten Abilities of Winners• An eye for opportunity• Independence• An appetite for hard work• Self-confidence• Discipline• Judgment• Ability to accept change• Make stress work for you• Need to achieve• Focus on profits

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What does it take to get up and running?

A business plan• A reality check• A performance tool• A message sender• A motivation tool• A management development tool• A road map• Evidence of focus• Understanding of who your target customers are• An appreciation of investor or lender needs

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What does it take to get up and running?

Get a good lawyer and accountant Determine business type (For example: Sole

Proprietor, Partnership, LLC, C Corp, S Corp.) Acquire corporation status and any relevant

business licenses Cash Reserve Equipment Software Taxes Insurance Subcontractors

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What does it take to get up and running?

Processes and Documents• Contracts• Proposals• Statements of Work• Storyboards• White Papers• Sign-off Forms• Marketing Plans and Materials• Methodologies• Elevator speech

Client-base Website, demos

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How do you find and attract clients?

Think of all of the people that you know . . . Your previous employer Your previous clients Professional organizations and communities Local organizations Professional orgs not directly related to

training Job websites AWARE list

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How do you retain clients?

Say What You Do - Do What You Say Underpromise and overdeliver, don’t be too

optimistic with estimates Manage expectations Successfully manage all essential project

details Make your clients’ problems your problems Document and follow-up on everything

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How much do you charge ?

You’re covering everything now: insurance, taxes, benefits, equipment, facilities, risk, downtime, continuing education, contracts, hiring/firing, sales/marketing

Charge what you’re worth, and what the project requirements dictate

Don’t lowball Fixed Bid, or Time and Materials? Responding to RFP’s

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How do you bid work?

Cover all activities across all phases (ADDIE)

Clearly define roles on development and client teams

Clearly define all deliverables Are there new tools / technologies /

techniques being used? Document all that you can, cover the

rest with assumptions and constraints

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How will you execute the projects?

Just you? You and a helper? You and a host of subcontractors?

Initiate appropriate review and sign-off’s throughout the project life cycle. Don’t move forward without sign-off’s.

Get an accurate and complete scope of work and contract. What is in the scope and what is not in scope?

Other documents: Non-disclosure form, sign-off forms, storyboards, scripts, etc.

What is the payment schedule? What about warranty and support?

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How will you stay current?

Conferences User Groups Books Websites News Groups and Lists

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What will you miss?

All of the support functions of a mid/large company: • HR• IT• Accounting• Law• Sales• Marketing

Praise from co-workers and boss General social interaction Interaction professionally with a wide array of

individuals Predictability

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What won’t you miss?

Forms, paperwork, etc. A regimented schedule Attending meetings that you don’t

need/want to be at Being nice to your boss (though

everyone but God has a boss ;)

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Any suggestions?

Don’t lie/cheat/steal Don’t take work you can’t deliver Treat everyone with respect Strive for a work/life balance Happiness is a personal daily choice

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How could you possibly fail?

Inadequate cash reserves Failure to clearly define and understand your

market Failure to price your product or service

correctly Failure to anticipate or react to competition,

technology, or other changes in the marketplace

Overgeneralization Overdependence on a single customer Uncontrolled growth Believing you can do everything yourself

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What are some myths?

Woo Hoo! I’m gonna be rich!!!!!!!! It’s going to be really, really easy! Let’s get as big as we can as soon as

we can! The work and projects are just going to

roll in.

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What are key future considerations?

When to get office space? When to try to grow? How to ramp up sales? How to stay current with knowledge,

tool, technologies? When to update/change service

offerings?

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Questions?

Questions and Answers Contact Info

Mark Steiner

3036 N. Leavitt

Chicago, IL 60618

mark@marksteinerinc.com

(773) 392-7967