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One Year Checklist for New Businesses

One Year Before Start-Up

Refine your ideas in writing. Determine exactly where you want to go.
Decide what business you want to start. Be specific in your business definition.
Assess the impact on your family and personal life. How will this affect your relationships? Will your family support the use of finances and time?
Begin research. You must determine if there is a need for your product. This research can be performed by students, professionals or on your own.
Build your skills by taking management/business courses. Contact West Central Technical College or the University of West Georgia about continuing education courses.
Contact the Small Business Development Center at 678.839.5082 for assistance.
Contact Georgia Department of Labor for information on educational seminars on labor/safety issues.

Six Months Before Start-Up

Determine the focus of your business. What do you want to specialize in? It is easier to excel at one area than at many.
Start writing your business plan.
Define your target markets. Who is your intended clientele? Who should you aim your advertising towards?
Research business and trade organizations. Most areas of business have agencies and organizations set up to facilitate business. Take advantage of what these groups have to offer.
Seek the best location for your business. Do you need little or lots of space? Would your business be better suited downtown or in rural part of the county? Is a storefront location even needed or can you work from your home? Location can make or break a business. Conduct the search on your own or contact a real estate agent.

Four Months Before Start-Up

Name your business. Be creative and seek out something original. Your business name should help to convey the image you wish to portray to your market. While the name of your business is important, don't get too attached to one clever choice. Have backups in mind and remember that changing your choice of business name at start up is much easier than changing it after it's become associated with your service or product. If you're forming a corporation, limited partnership or limited liability company, your name choice will be reviewed against other names on record with the Secretary of State's office. While this process certainly helps to avoid name issues with other businesses, it is not a guarantee of exclusive rights to your name. If you seek to protect your name, you should speak with a qualified attorney. Don't fall for the common misconception that incorporating provides a level of name protection.
Select a business location. After seeking out several possible locations, now is the time to choose one. Make sure the location you choose is within your budget.
Select outside advisors. This will be a very hectic time. It will be beneficial to have people on whom you can call to listen to your ideas, problems and plans. These people will provide you with guidance, constructive criticism and feedback. They should be people experienced and knowledgeable in business.
Set up a network of mentors. Select people who can help you by giving you insight and ideas.
Choose your business' legal form. Will you be a partnership, sole proprietorship or corporation? Legal form should be chosen very carefully as it can impact your business in many ways.
Set up bookkeeping, accounting and office systems. How are you going to operate your office? If you are going to keep your own books, then you need to learn or refresh your skills. Are you going to hire a bookkeeper/bookkeeping firm?
Seek outside demographic information. Gather secondary information.
Work on your business plan.

Three Months Before Start-Up

Determine your cash needs. Start by determining how much money is needed to start up and what your monthly variable and fixed costs will be.
Review preliminary financial objectives. How much profit do you expect to make? Are you planning on making investments? What is your intended cash flow?
Decide on your pricing strategy. After determining your variable and fixed costs, decide what your markup rate will be. You will also need to consider demand and competitive factors in setting your price.
Forecast sales. Contact the Small Business Development Administration or others in your field to help you forecast accurately.
Determine your company's employee needs. How many people do you need on your staff? This is important to decide as it affects your requirements for insurance, etc.
Project your cash flow. Write out an estimated statement of revenues and expenditures. This statement should cover one calendar year. Also project your net cash flow for the entire year.
Work on your business plan.

Two Months Before Start-Up

Prepare your marketing plan. How are you going to market your product? Are you going to use publicity? Are you going to use paid advertisement? You must decide how you will go about introducing your business to the public.
Get your business license. (see occupational tax)
Review non-financial objectives (image, legal questions). How do you want the public to see your business? Are you a family establishment or geared more toward adults? What form is your business taking? Do you have all legal documents needed?
Prepare a preliminary balance sheet. Contact Small Business Development Administration for assistance.
Secure necessary financing. Whether through a private lender or through other resources, you must obtain the necessary amount of start-up capital.
Secure insurance coverage if applicable. (see Labor/Safety).
Determine advertising, promotion and public relations strategies.
Order opening inventories. Talk to your suppliers for estimated opening needs.
Complete improvements to your facility.
Start your hiring process (see Labor/Safety).
Refine your business plan.

One Month Before Start-Up

Fine-tune your cash flow budget.
Prepare for your grand opening. The Haralson County Chamber of Commerce can be of assistance in planning your event. Be creative and yet practical.
Set up your office, display areas, etc. Have everything exactly as you want it. The last few days before opening are not the time to do this. The look of your store or office sets the tone for your business. You should put thought and time into it.
Review your final checklist.
Hire your staff. (see Labor/Safety)
Make sure everything works. It is better to find out that your equipment does not work in advance. In that case, you can make any necessary repairs and be ready to open the doors on time.
Implement marketing, promotion and opening plans. This will be a good time to start advertising in local newspapers, radio and television if your budget permits. Remember: word of mouth is your most powerful publicity! It's also the least expensive. Spread the Word.

Start-Up and After

Budget your time. As a new business owner, your time will be precious. Schedule your time wisely. It is important to get the maximum out of time you have available. You must consider reading some time management materials or speaking with someone who you think manages time wisely.
Continuously update your product/service. What is good about your product? Make it better. What doesn't work with your product? Eliminate the problem as much as possible. If people patronize your business for the original product, an improved product can only increase that.
LISTEN to your customers, advisors and vendors. The customers are your cash flow. It is important to gather their opinions and put them to use. Their ideas can be helpful in updating your product. LISTEN to your advisors, you asked them to advise you for a reason. Let them guide you. LISTEN to your vendors. They have been in business much longer than you. They can possibly provide you with money saving or money making ideas.
Check cash flow budget against actual performance.
Maintain good communications with your bankers and vendors. By keeping the lines of communication open, you are helping yourself. Should you need their help in the future, you are more likely to receive it.
Continue to improve the 5 Cs of credit - character, collateral, capacity, capital and condition.
Work with investors. Make sure you are in contact with them. Make sure that you understand the conditions of your repayment. When are payments due? Make sure you fulfill all obligations to investors. You may need to call them again someday.
Check cost of living budget. If you are drawing money from the company for living expenses, be sure to take only what is necessary. Stick tightly to your budget.
CONSIDER delaying your official grand opening/ribbon cutting until you've been in business for a couple of weeks. If you do, you can make sure you have worked all the 'bugs' out and everything is running smoothly.

NOTICE: The information contained within this publication is given for informational purposes only and should not be construed as legal or professional advice or assistance. Laws and information contained herein are from multiple sources and are subject to frequent changes. While this publication will be updated annually to capture those changes, you should consult a licensed professional when dealing with legal and financial matters regarding your specific situation. You should also verify the other information contained herein to be sure that you have the most current and accurate information.