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Opening a new business in the Ukiah area? Relocating?
Revisioning your business? The Greater Ukiah Chamber of
Commerce is ready to help you achieve your goals and take
your business to the next level. The Chamber has a wide
range of programs and services
that will help you attract more customers, expand your
business base, reduce your operating costs and assist
with connections to further your business goals.
The Chamber has prepared the following information to
help assist you in opening a new business or relocate
an existing business in the Ukiah area.
Starting a New Business
Local Business Resources
Local Requirements
Fictitious
Business Names, Business Licenses
Zoning
Regulations
Other
Common Permits
Notice to readers: Great care has been taken to ensure
the accuracy and completeness of the information provided
in this section. Nonetheless, readers are caution to contact
city and county governments to confirm the requirements
and to determine if other requirements may affect their
business. The Greater Ukiah Chamber of Commerce assumes
no liability for the correctness of the contents of this
publication.
Starting a New Business
There are two major areas that are critical to the success
of a business. The first is planning. You need to carefully
evaluate start-up costs, markets, distribution strategies,
and financing options. The second area is knowing where
to get help. You don't need to be an expert on every aspect
of business operation, but you do need to know how to
find the answers. We hope this section will help you determine
what help you need in what areas of your business. You
can then go to the Local Business Resources section to
find the help you need.
Some Basic Questions to Consider:
- Have you worked in a business similar to this one?
- Have you any special training in this field?
- Do you want to own your own business seriously enough
to dedicate long hours without knowing how much money
you will earn?
- Does your family go along with the idea?
- Have you found out whether your type of business
is already in Ukiah and are they successful?
- Is it a competitive area or a unique niche?
- Is there a demand for this service or product?
- Is your business location sensitive?
- Have you found a good location for your business?
- Can you lease a space or do you have to build ?
- Do you know how much money you will need to start
this business?
- How much of your own money can you put into the
business?
- How long will that money carry the new business?
- What do you do for income while starting the new
business?
- Will your suppliers allow you credit? Or even help
finance the business?
- Have you estimated a net income you'll expect per
year? What gross revenues will that require?
- Can you live on less than your current salary so
you can help your business grow?
- Have you discussed the idea with your banker, accountant,
potential investors?
- Have you checked with the city or county planning
& zoning?
- Do you know what licenses or permits you will need?
- What laws govern this type of business?
- Have you determined a record keeping system that
will track your income & expenses?
- Have you figured out how to keep your payroll records
and take care of tax reports and payments?
- Have you determined the appropriate legal structure
for your business?
Tips for Small Business Success
- Make an accurate assessment of your professional
and personal skills
- Consult professionals to fill in the gaps in your
skills
- Get your business plan on paper
- Have adequate funding
- Develop an effective marketing strategy
- Select an appropriate location
- Practice good management practices
- Keep complete records
- Hire the right people
- Provide superior customer service
A Basic Checklist for Starting a
New Business
Note: These may not be all the requirements necessary
to start your business. For a more comprehensive checklist
visit the "Starting a Business" Checklist on the Secretary
of State's website at: http://www.ss.ca.gov/business/resources.htm
Developing a Business Plan
Business Plan Outline
Statement of Purpose / Mission Statement
Executive Summary
- Goals and Objectives
- Market Strategy, Strengths in products or service
- Financing overview
- Owner/Management experience
Management
Owners and key Organizational Structure
- History of Business
- Legal structure
- Personnel/responsibilities/organizational chart
- Policies and procedures
- Insurance
Products and services
- Production information
- Unique selling features
- Inventory
- Materials, suppliers/equipment
- Packaging and distribution
- Location information
Marketing
Pricing
- Variable cost per unit
- Break even analysis
- Competition's pricing
Markets
- Description of target markets (segment your customers)
- Description of industry of trends
- Competition
Positioning
- Competition
- Differentiation
- Image statement
Strategies
- Goals
- Budget
- Vehicles
- Calendar
Financial
- Explanation of start up costs
Record keeping
- Cash management and accounting practices
- Advisors
Financial Statements
- Profit and loss statement
- Balance Sheet
- Income Statement
Appendixes (Supporting documents)
- Resumes
- Lease information
- Tax documents
- Relevant contacts
- Reference Letters
- Awards, etc.
For additional online assistance in developing a business
plan, please visit the following links:
Types of Business Legal Structures
After deciding to establish a business, you must choose
the type of legal structure that best suits your business.
Most small businesses start out as either a sole proprietorship
or partnership, but other options may be better for your
particular business. Each structure has trade-offs briefly
discussed below. Be sure to contact your attorney and/or
accountant to learn the details and legal requirements
of each.
Sole Proprietorship
This is the simplest and least regulated form of
organization with minimal legal start-up costs. One person
owns and operates the business. The profits and business
income are taxed as personal income. The major disadvantages
are unlimited personal liability of the owner for all
claims, taxes and debts against the business and the potential
dissolution of the business upon the owner's death.
Partnership
A partnership is relatively easy to form and can provide
additional financial and managerial resources. Each partner
is an "agent" for the partnership and can individually
hire employees, borrow money and operate the business.
Profits are still taxed as personal income and the partners
are still personally liable for all partnership debts
and taxes.
Limited Partnership
A special arrangement, called a "limited partnership,"
allows partners to avoid personal asset liability. There
are special income tax rules for Limited Partnerships.
When entering into any partnership, a written agreement
is essential.
Limited Liability Company (LLC)
A Limited Liability Company (LLC) is composed of one
or more "members", which provides the owner(s) protection
of personal assets while allowing the owner(s) to be taxed
as if they were either partners or a sole proprietorship.
Members invest in an LLC in exchange for a percentage
ownership interest. An Operating Agreement states what
share of the LLC profits and losses each member will receive
and spells out the internal arrangements of the business
Corporation
The most complex of business organizations, the corporation,
acts as a legal entity which exists separately from its
owners. While limiting the owners form personal liability,
it is creates a "double taxation" on earnings. The corporate
also allows capital to be raised through the sale of stocks
and bonds and can continue to function as a business even
without key individuals. It also enables employees to
participate in various types of insurance and profit-sharing
plans. Corporations must be registered with the Secretary
of State and there are considerable costs associated with
creating a corporation.
For additional information regarding the types of legal
structures for business visit the Starting a Business
section of the Secretary of State's website at: www.ss.ca.gov/business/resources.htm
Go to Part 2: Local Business
Resources
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