Starting a new business

[aimn]

I am sick of working my a$$ off to make other people rich. It is time to get out on my own. I have a partner and we are starting a "one stop shop" for all computer needs. We have people for Unix, Windows, Web Development, database management, networking, programming, Administration, photoshop like services, Macintosh.
We will be able to handle any facet of the IT industry. From building pc's to building web sites, training, networking, support, etc. We are going to take our time and do it right. We are already making between $45 and $125 an hour doing side jobs, and are getting busy enough to warrant full time work. We will incorporate. We want to do this right and I am looking for all the negative feedback (hence this post on AT) so that we can get a good idea on what to look out for.
Your comments, suggestions would be appreciated!

 

[StattlichPassat]

Sounds like a great idea man- to be honest with you, I'm trying to do the same thing! Not as far as UNIX and Mac stuff, but the same idea with a more focal point around physical computer work. I think it's a good market to be in- just find a place that meets the demand (it may not be in the city or town you're in right now) and be smart about allocating money to various aspects (advertising, building, etc). Best of luck! I'm hoping to launch my business by the end of the year.

 

[TheGameIs21]

What kind of things are you wanting the negative feedback on? To incorporate and do this full time, your main negative item will be high cost of medical insurance. Other than that, I had no problems incorporating.

If you are wanting Negative feedback on doing this kind of work.... The list is endless. What are you looking for?

 

[Smaulz]

Having just gone through the same thing, the only negative thing I've come across is the cost of incorporating and other legal/official fees. Plan on around $500 - $600 to incorporate, around $100 or so to register the biz name, and then whatever state-specific fees/licenses you may incur. It really adds up when you're just starting out. But other than that... go for it, God speed and good luck to ya!

 

[aimn]

I dont think that we will incorporate .......at least not right away. We will go with the LLC for now. The cost is $125. As far as employees we will subcontract out to everyone first, pay them a flat rate, they can worry about the taxes. In time, we would like to have full time employees. We have a good market here, in Minneapolis and St. Paul area.

 

[CPA]

Starting your own business, you won't get any negative feedback from me. I just wish I could do it.

One bit of advice. Since you will be working in a service industry that will for sure make a profit, if you incorporate do it in Nevada or Delaware to avoid paying franchise taxes.

You might want to throw your spouses or children on as directors, pay them (possibly in a trust) an annual dividend or cut of the profits to help lower your corporate taxable income.

 

[aimn]

good info...thanks!

 

[kgraeme]

My main recommendation was to go LLC, but it looks like you've got that covered. Other than that, you might not want to try to be a "one stop shop", at least not right away. Figure out what you really want to do, whether that's desktop support, web dev, or whatever and concentrate on building a reputation for that. Trying to do too much will only spread yourself too thin. If you're busy fixing someone's computer or setting up a server then you're not building their web site, etc. I know it's possible to do know how to do most everything, but that doesn't mean it's the best for your business.

 

[aimn]

I want to build web sites and my partner is very good with networking, windows (NT,2000), we both can build servers and administer. We have people that are CCNE's also. I think we would both concentrate on a certain aspect.

 

[aimn]

There are a lot of places that we are networking now. Running the cable, building the servers, installing software, administering, setting up everything they need to be networked. Then we find out, they want a website, and need some printers fixed. I think it would be nice to be able to handle all of it.

 

[hoihtah]

i've been thinking of doing something like this myself.
i just hate the whole notion of working my butt off to make someone else rich.

but as far as building your customer base is concerned...
what would be the best method?

how can one start something like this?

any recommendations?

 

[aimn]

Just do it........get out of your comfort zone and take a chance! Business to business..........numbers........its just sales. You have to hustle until your name gets out there. For example I sent out 35 letters to different car lots, telling them about increased sales by being online and having a website. I have 4 sites to build, with 9 meetings scheduled with other owners. About a thousand a site, give or take.