practical tips when starting a business

[smartkid]

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very nice thread....wala lay OT ha kay labad basahon.....more post bro

[AmorsoloX]

ive been an independent real estate broker for quite some time already.. so you can consider that job as a salesman.. the good thing bout that is i got to study the businesses of my clients.. i integrate what i learned from them to create a more effecient business model..

as an entrepreneur, you really have to think on your feet.. you profit on change. not stability.. if you thrive on stability, youll be out of business during changes.. which happens on such short times

you may have a hot business idea. but most probably your only thinking of a hot product.. (example would be joining a hot mlm company, selling a currently popular product, wearing the latest fashion), when the hotness cools down, you stop earning profits.. never base your business on products.. base it always on service (convenience stores are selling convenience as a service, that why its called convenience store..)

[AmorsoloX]

interesting lang ni nga point of view ha.. from experience jud ni..

gamay ra mga entrep graduates and mga MBA holders nag business.. (kanang MBA, mostly mag maestro ra na).. sa kadaghan imo nahibalan, makakita daun ka saup.. and daghan jud kaau saup imo makitan to the point nga ma overanalyze nimo ang risks.. ok ra man mo study pero dili maau nga tangalon nimo ang risk.. the greater the risk the greater the reward.. what is needed is a bold move on your part to venture..

pareha gud anang ma abogado.. sa ila ka bright daghan kaau sila nakita nga problema sa negosyo, to the point they are more than willing to point out your theoretical errors.. pero pangutana lang kung kinsa jud naa negosyo.. diba? hehehe

ayaw jud mo anang quick money or fast money like what most mlms claim.. binuang jud na.. kung gusto mo ana, paghimo mo inu own mlm company.. most mga tao dire naghuna2x nga dako ang kita sa negosyo.. sorry to say nga for the first few months, losing jud ang establishment ana.. expect to go stable after 6 months the very least.. daghan dili mo survive aning 6 months.. mostly due kay na discourage kay gamay ra kita, (yes, naa jud panahon mas dako pa ang imo gi sweldo sa imo trabahante kay sa imo profit)

[AmorsoloX]

almost forgot diay.. very important kaau ni.. (especially sa kadto nag 5-6)

kung mag negosyo gani mo.. dapat separate and bank account nimo sa bank account sa imo negosyo.. kung naa mangutang, innga nga wala ka kwarta, ipakita imo bankbook as evidence.. wala ka kwarta pero imo negosyo naa.. whenever possible dapat limited lang imo liability sa imo biz. kay kung magkaunsa2x atleast dili maapektohan ang dili related sa biz..

special tip sa nag (5-6) microlending ha.. hehehe (ayaw ka offend sa term nga 5-6 ha, chill)
kung gusto jud moutang.. innga nga thru sa imo business moutang, with all the papers and requirements.. innga jud nga wala ka kwarta.. innga nga lahi ang negosyo, lahi ang personal..

regarding sa negosyo.. always pay yourself even without working.. hehehe.. daghan jud mo palag ani.. for more info, pangita mo accountant and ask about tax planning.. dili ko dire mo sulat kay basin birahan ko sa taga BIR and law or business students..

[pugak_79]

Wow this is the most helpful thread ever! very useful kay mag negosyo ko soon. PM u later for more questions thanks

[AmorsoloX]

Wow this is the most helpful thread ever! very useful kay mag negosyo ko soon. PM u later for more questions thanks

please post your questions here ambot ngano ni ako laptop. dili man mka send pm..

[AmorsoloX]

@pugak_79

sorry ha if dri lang ko mag reply.. wa ko kasabot ani ako laptop ngano dili mka reply pm..

what you need to learn first is basic accounting.. do you have a subject na basic economics? it would help you a lot.. importante ang accounting sa inu kay first, gamay pa inu venture.. second, probably gipit inu capital so kinhanlan jud constant monitoring

personally, dili kaau thorough ako experience sa mga restaurants.. im only familiar with what other businesses (that ive brokered before) are doing.. for the technical aspect, i would suggest you go to equipment providers.. they will even give you recipes and provide you your ingredients..
(wala jud ko idea anang cooking.. my wife cooks for me, last time i cooked, napagod ra..)

so partnership mo.. i can give you advice on this.. first is, i really advise nga maghimo mo written contract sa inu partnership, and dapat inyo registration is a partnership, within sa contract dapat ma specify kung how much ang share kada partner, how much equity per partner, and kinsa ang managing partner.. second, for your friend to open a second branch or succeeding branches. i suggest he/she makes an operational manual especially on the training of employees and recipes for your products.. make sure na same timpla ang burgers sa both locations.. dapat anything nga imu gi invest sa business nakasulat jud.. ayaw jud anang oral contract lang..

about sa systems sa business, dapat kabalo ka unsa basis sa sales.. it can be the number of paties consumed, number of burger bread used. or even the plastic wrappers used per day.. dapat mag match sila sa sales..

prepare lang og articles of partnership, didtu ni sa SEC iprocess.
name of partnership (business name)
purpose of partnership
contribution of partners
proportion of shares per partner

pag process pud BIR form 1903 (partnerships) lahi ni siya sa BIR form 1901 (sole propreitor), not quite sure on this, please correct me if im wrong ha.. basta lahi jud na sila..

all the rest like DTI, mayors permit, health, i think kamao na imo partner ana considering he has already one establishment..

before ka moinvest sa iya biz, i advise nga imo tan-awn iya books(ledgers) basta records sa cashflow (Accounting) sa iya biz.. make sure nga nagprofit jud iya biz.. naa raba instances nga taas sales pero gamay kaau profit.. para mas ma familiarize jud nimu ang biz. i also advise you to work at his joint for a week to get a feel of the business..

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ayaw i maliit nga fine-arts ka, use it to your advantage, (wala man gani ko nahuman sa college), you have a high creativity, use your knowledge to improve your promotions and advertising.. some people even pay for your creativity... xenxa na ha.. limited man ako in-depth knowledge aning food business.. im quite sure you know more about burgers than i do..

[AmorsoloX]

kalimot ko ani write before.. mao ni 2nd most important nga dapat inu ma consider kung magstart mo sa inu business..

EXIT STRATEGY

im pretty sure daghan sa inu magwonder ngano ngano mo EXIT jud. dba ang purpose sa business kay mo expand? (this is going to be controversial, i expect some businessmen na mo disagree nako on this)

first of all.. wala jud negosyo nga perfectly safe.. naa jud risk.. its good to be prepared before that happens, never ever try to save a sinking ship.. or else you go down with it.. for a time, ou may enjoy great profits from your business but to some uncontrolled and unforeseen events, your business dont generate enough profit even if you increased your promotions and advertising.. never operate at a loss for a long time coz all your time with profit will be cancelled out.. (thats why its very important to monitor the cashflow so you can look at the trend)

second, an exit strategy may mean a change of how you do things.. example, you are tired of your job, then you want to start a business, thats an exit strategy from a job.. you are not content with your single store and the time you invest on it, so you open yourself to franchising then create a corporation to increase capital and market coverage.. you changed your old business system to increase performance..

an exit strategy must have the conditions that must met before actions can be taken.. actions to take during the exit phase must be clearly defined..

example:
condition
a.) sales is less than 100 units per day for 1 month ( )
b.) profit is less than 2000php per day for 1 month ( )
c.) 2 or more new stores offering same service ( )

actions to take..
if only a is true.. stop selling that product
if a and c is true, improve advertising.. when repeated the next month consider relocating
if a,b and c are true then stop operations to cut loses or sell the business to recover capital..

basta something like that.. it may sound corny to put it writing but its the only thing that will remind you to be rational during hard times.. hard times can make even the hardest businessman go emotional.. thats very very bad.. but be careful also of good times.. never ever be complacent.. always try to improve your biz whenever possible..

[Nikki80]

This is what we definitely need in this thread instead of battling each other refuting ones idea..at least we learned something..thumbs up to the TS

[pugak_79]

Salamat kaayu. You should write a book