Starting a LAN center or any form of business takes a lot of time, money and consideration. Visualizing your business should be simple but actually making it happen can be a daunting task. There are laws and guidelines to follow, competitors to look out for and most of all financial analysis to ponder upon. Starting up a business is not for the faint of hearts but good thing there are several support groups that can help you start your LAN center business and walk you through the process of making your business plans come to life.
Below is a checklist of the things you need to consider when starting up your own LAN center:
1. Create a feasibility study
Since opening up a LAN business or any business in general, is risky, creating a feasibility study will help you evaluate as to how your business will be profitable and will address important things like where and how the business will operate. The goal of your study is to be able to identify potential problems and find solutions early on. The study will provide data to help you gauge if certain ideas will work or not.
2. Write a business plan
A business plan is set of business goals you want to achieve and the necessary steps you need to take in reaching those goals. It is an essential roadmap that can help you cover all the bases before you take the plunge. A good business plan will help you lay the foundation for your business, an excellent way of identifying your mission, vision and values, knowing your market, improve your chances of being successful, and generate enthusiasm and excitement about the business.
2. Find out the legal structure of your business
Decide which form of ownership is best for you. Sole proprietorship is the most straight-forward option. Partnership is an association of two or more people and is usually governed by a partnership agreement. Corporation is a separate legal entity with certain rights, privileges and liabilities beyond those of an individual. Because of this separate status, the owners of a corporation don’t use their personal tax returns to pay tax on corporate profits-the corporation itself pays these taxes.
Too much information, yes? And you are just getting started.
3. Obtain business assistance and training
Diving into the business world is not all about what games, consoles and food to sell in your café. There are a lot of things that you should also know when running the whole thing – business wise. Take advantage of free business trainings and mentoring, from preparing a business plan and securing financing, to expanding or the legalities of hiring an employee. This will give you a good knowledge and will help you in running your business successfully!
4. Choose and register your business name
Your business name will shape its identity. It not only identifies you to your customers, but also allows you to differentiate your business from your competitors and enables your customers to make an emotional connection to your business. For many businesses, the name is often the most valuable asset. Naming your business however is not only an important branding exercise, choosing and registering your business name is a key step to legally operating your business. Registering it is done either with your county clerk’s office or with your state government, depending on where your business is located.
5. Choose a location
Choosing a business location is as important as choosing a business name. It requires research, planning, staying on budget, considering state laws and taxes, scoping the competition etc. Majority however choose a location that provides exposure to customer. Keep in mind the fact that different types of businesses attract customers in different ways and consider whether it would benefit your business to be around similar businesses that are already drawing the type of customers that you want. Other less obvious factors and needs to consider are local labor market, customer-friendly location and zoning laws.
6. Register for taxes and obtain business licenses and permits
It is important to know about the business licensing in your area so make sure you visit your local Chamber of Commerce or development authority. In some countries and cities, you will first need to secure a state Tax Identification Number or TIN, trade name registration and zoning approval for your business location. Also learn which tax identification number you’ll need to get from the IRS and your state revenue agency.
7. Finance Your Business
Financing your business will be a challenge. Majority of the new small businesses are funded through owners personal resources including personal savings, assets, angel investors, loans from family and friends, etc. It will not hurt however to try to find out how to apply for a bank loan, secure an SBA financing or any social grants that will help you start-up your business.
8. Employer Obligations
Becoming an employer is not an easy peasy task. Apart from the legal steps that you need to take to hire employees, there are things to consider like work and personal background, compensation, trainings and other employee benefits. Learn your employer responsibilities and apply them accordingly. A harmonious employer-employee relationship will be beneficial to the success of your business.
About the author
Mike Ziarko is the guy behind Smartlaunch, the world’s fastest growing internet café and LAN center software company in the world. Their software is the preferred choice for gamers, and is used in over 120 countries. Visit Smartlaunch and start a no obligation free trial today.