I love the first quarter of the year. I quickly become one of the most popular people in town.
That’s because many people create a New Year’s resolution to start their own business. Once the calendar hits March, those aspiring entrepreneurs come to me for some help.
I love to share with them these four tips I learned as a small business banker.
Lester Romero
Start with a business plan
Creating a solid business plan is an important first step for anyone starting a business. A well-thought-out business plan can help you establish and stay focused on company goals and objectives. To get started, free business planning resources are available at many banks, including a step-by-step business plan tool to create and maintain your own written business plan.
Understand your financial picture
Every business has different startup costs, but they all have one thing in common — having a financial cushion. While most small businesses are initially financed by personal savings and credit, your business will likely face a need for additional financing at some point. It’s important to have savings to fall back on as you focus on ramping up your business operations. To get yourself in the best position to obtain financing before you need it, establish a relationship with a small business banker who can help you understand your initial financing needs and options, and strategize ways to build your credit profile.
Determine your hiring needs
Many businesses start out as sole proprietorships, while others require support staff and employees from the get-go. If you intend to hire full- or part-time employees right away, make sure you’re comfortable with and can afford the costs associated with hiring staff. Take time to understand what type of employee is right for your business. For example, contractors can be a great alternative to full-time employees for newly established businesses.
Build a strong network
Running a small business is no small feat, and having a strong support system in place can make the difference between thriving and failing. Take time to establish relationships and build a network of other professionals who can help you. In addition to a small business banker, you should also establish a relationship with a lawyer, a CPA and any other professionals pertinent to your industry. It’s also a great idea to network with other small businesses by joining your local chamber, or other business and industry organizations.
Founding Father Ben Franklin once said that failure to plan is planning to fail. Having a plan in place early with these four tips can get small business entrepreneurs in Las Vegas started on a solid path to starting their own dream business.
Lester Romero is the Wells Fargo Business Growth Strategy Senior Manager in Las Vegas.