Your Career 2.0: Exploring Business Ownership!
Your Career 2.0: Exploring Business Ownership Jim Derman Alternative Career Coach 720-420-9321 jderman@esourcecoach.com http://jderman.esourcecoach.com/ Powered by
Your Career 2.0
Empowered
You 2.0 Possibilities frame of mind Think beyond your current circumstances Shifting mindset to: Failure is not an option
Your Career 2.0
Our Plan • Focus on You!
• Do you have what it takes to be a Business Owner? • Exploring Types of Businesses
Your Career 2.0
What Will Your Next Career Be? Imagine… if you could design the perfect career for yourself, what would it look like? ▪ Job? ▪ Start Up Business? ▪ Franchised Business?
What is the best option for you?
Your Career 2.0
If we looked at your life a year from today, what has to have happened during that period, both personally and professionally, for you to be happy with your progress?
Your Career 2.0
Getting to the heart of what matters most to YOU!
DANGERS – What are you worried about OPPORTUNITIES – What are you or can you get excited about both personally and professionally STRENGTHS – What areas are you confident about
Your Career 2.0
Dangers We have found that these are the common obstacles and issues people like you are facing.
How long will I be employable?
Conventional career options are more limited.
Can I afford to wait to take control of my destiny?
Age factor limitations.
Are my current skills transferable?
Little to no opportunity to build wealth and equity.
Does any of this ring true for you? Jobs today are very short lived.
Declining career economy.
Your Career 2.0
Feeling battered and beat up?
Your Career 2.0
Opportunities
What would you like to be freed up to focus on?
What are you looking for?
To control my own destiny.
To reach my goal of financial freedom.
To reach my desired income, lifestyle, wealth, and equity.
To discover new possibilities beyond my current experiences
To mitigate my risks and fasttrack my new career.
To spend more time on things that matter most. To focus and create the lifestyle of my dreams.
To fund my longer and active lifestyle.
Your Career 2.0
Time to look beyond your current circumstances
Look to where you would like to be
unEmployment to EmpowermentTM
Your Career 2.0
Strengths You may have talents, capabilities, and skills that you would like to reinforce and maximize.
I have a high degree of integrity.
I have been successful in my career to date.
I am possibilities focused, I succeed in everything I put my mind to.
I make good choices, then go to work & make good decisions.
I have a strong record of accomplishments.
My work ethic will not let me fail.
I am adaptable and embrace change.
I have strong transferable skills.
Your Career 2.0
Is Business Ownership a Good Option? Entrepreneur Defined:
Merriam - Webster
One who organizes, manages, and assumes the risks and rewards of a business or enterprise
Your Career 2.0
How do I know if I’d be a good Business Owner? What are your Core Strengths? What are your Transferable Skills? What are your Past Successes? Take an Inventory of these …
Your Career 2.0
Is Business Ownership a Good Fit for You? Consider these… ▪ Are you self-motivated and look at the world as full of opportunity? ▪ Are you organized and can you operate with intent? ▪ Can you admit to what you do not know? ▪ Are you willing to make decisions and act on those decisions? ▪ Do you believe there is a relationship between risk and reward? ▪ If a franchise, can you set aside old habits & beliefs to follow a system?
Your Your Career Career 2.0 2.0
THE ADVANTAGES OF BEING AN ENTREPRENEUR: ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪
Freedom & Independence – Being the Boss Control Over a Major Aspect of Your Life Outlet for Creativity Excitement Satisfaction & Sense of Achievement Self-Esteem Status & Recognition Flexibility Job Security – Can’t Be Fired or Laid Off No Cap on Income Potential Growth of Initial Investment
Your Career 2.0
THE DISADVANTAGES OF BEING A BUSINESS OWNER: ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪
Risk, Responsibility & Pressure Fear of Failure Obstacles & Frustration Loneliness More Work, Longer Hours Less Time or Energy to Spend With Friends & Family at Start-u Less Financial Security at Start-up Fewer Job Benefits Risk of Losing Investment Income Fluctuation Responsible for Taxes; Social Security
Your Career 2.0
IS BUSINESS OWNERSHIP What are you looking for?
Your Career 2.0
OPTIONS FOR BEGINNING A BUSINESS: • Start A New Business • Buy Existing Business • Franchise Award: New or Resale Consulting, Manufacturing, Service, Internet
Your Career 2.0
START A NEW BUSINESS: Consulting, Manufacturing, Service, Internet
▪ Idea with unfair advantage ▪ Easily identifiable customer base ▪ Realistic business plan ▪ Advisory board
Your Career 2.0
START A NEW BUSINESS: ADVANTAGES:
DISADVANTAGES:
▪ Lower start-Up cost
▪ More time and energy
▪ Independence
▪ Higher risk of failure
▪ Creative freedom
▪ Takes longer to become profitable
▪ Freedom with location & procedures
▪ On your own
▪ No inherited problems from existing business owner
▪ Expensive to develop a BRAND
▪ Financing difficult to obtain
Your Career 2.0
WHY MOST INDEPENDENTLY OWNED BUSINESS DON’T WORK Working “On” your Business versus working “In” your business
Source: Michael E. Gerber. The E Myth Revisited.June 2001.
Your Career 2.0
BUY AN EXISTING BUSINESS: ▪ Develop acquisition criteria ▪ Mine network contacts: Lawyers, CPA’s, Universities, Brokers ▪ Consider a buyer’s broker firm
▪ Have skilled support team for due diligence and negotiations
Your Career 2.0
BUY AN EXISTING BUSINESS: Advantages:
Disadvantages:
▪ May require less time & energy
• Higher initial investment
▪ Independence
• Complicated due diligence
▪ Creative freedom
• Tied to existing location
▪ Location is determined
• Inherited problems from existing business
▪ Financing may be easier to obtain if business is successful (a good “book of business”)
• Hard to determine price
Your Career 2.0
BUY A FRANCHISE BUSINESS ▪ Over 8000 Franchises in 80 Industry Groups ▪ 41% of all independent businesses. ▪ Contributes < $1.5 T / year to the economy. ▪ Generates one out of every seven jobs. ▪ New Franchisees start every day.
Your Career 2.0
OWNING A FRANCHISE? Advantages:
Disadvantages:
• Increases the chance of business success through proven products and methods. A higher success rate after 5 years. • Reduces business start up time. • Reduces cost of business start up. • Established product or service with brand recognition. • Industry specific knowledge not required • In business for yourself, but not by yourself!
• Not completely independent to protect the brand • Required to operate according to procedures & restrictions in franchise agreement • Fees - initial franchise fee, royalties & advertising • Balance restrictions & support. • Damaged image if others perform poorly or if the Franchisor runs into a problem • Contract Agreement Terms Usually Limited
Your Career 2.0
Funding Options ▪ SBA Loans – many products ▪ 680 Credit score ▪ 10-30% down
▪ 401k Rollover – Tax advantages ▪ Friends and Family – invest in you! ▪ Self Fund ▪ Unsecured Loans ▪ Crowd Funding
Your Career 2.0
No Matter What Business You Choose: It Should Help You Achieve YOUR LIFE’S GOALS! ▪ Learn to make decisions on information not emotions ▪ Understand business “attributes.”
▪ Study several models in depth ▪ Separate facts from “false” fears
▪ Consider validation as an educational journey.
Your Career 2.0: Exploring Business Ownership Jim Derman Alternative Career Coach 720-420-9321 jderman@esourcecoach.com http://jderman.esourcecoach.com/ Powered by
Your Career 2.0
Common Misconceptions & Obstacles ▪ Needle in a Haystack (Too many Choices) ▪ Have to Love the Product (Maybe?) ▪ Crabs in the Basket (Are People pulling you down?) ▪ Definition of Insanity ▪ Open or Closed Mind ▪ … all of these can lead to FEAR!
Your Career 2.0
DON’T LET FEAR STOP YOU! Best way to overcome FEAR is through: ▪ Information ▪ Education ▪ Time ▪ Thought ▪ Planning
Your Career 2.0
USE A COACH OR MENTOR • Understands your goals (Income, Lifestyle, Wealth, and Equity – ILWE) • Helps you make fact-based decisions, not emotionbased decisions. • Can provide objectivity and guidance • Has your best interest in mind • Has experience in business • Can assist in all aspects of the process • Minimize the risk • Help you face your FEARs with Facts!
Your Career 2.0
TES – 4 STEP PROCESS •Get to Know You. •Get to Know Coach
•Complimentary Coaching Session
•Coach and Agree on Income, Lifestyle, Wealth and Equity Goals
Coach Identifies Business Opportunities to Match Client Goals-Vehicle to Deliver on Those Goals
Discovery Research and Validation
Step 4 Step 3
Step 2 Step 1 NO COST AND NO OBLIGATION
Your Career 2.0
NOW IS THE TIME TO WORK ON YOUR FUTURE! “Possible is more a matter of attitude, A matter of decision, to choose Among the impossible possibilities, When one sound opportunity Becomes a possible solution.” ― Dejan Stojanovic