The Virginia Department of Business Assistance partnered with the Franklin County Chamber of Commerce, West Piedmont Business Development Center, the Franklin Center and Longwood Small Business Development Center to conduct a workshop focused on steps to starting and growing a business in Virginia.
9. Small Business in
Virginia
Small Businesses constitute
99% of all Virginia businesses.
Small Businesses create over
60-80% of all new jobs.
Small Businesses account for
half of the Commonwealth of
Virginia’s contribution to the
U.S. Gross Domestic Product -
a whopping $160 billion.
Virginia is for Business Lovers
10. Virginia is for Business Lovers
• Virginia ranked #1 state for business by
Forbes.com last four years.
• Ranked #1 most business friendly state by
Pollina Corporate Real Estate, Inc. last two years.
• Named #1 best states for business by CNBC.
Virginia is for Business Lovers
Ask VBIC = 866-
248-8814
12. HOW TO START AND
OPERATE
A SMALL BUSINESS
By
Dick Ephgrave
Director, Longwood University Small
Business Development Center,
Martinsville, VA
13. What is the SBDC?
• Small Business Development Center
• VSBDC Mission – To foster small
business success and grow Virginia’s
economy
• Vision – To be the small business
resource of first choice in Virginia
Where business comes to talk business.
14. SBDC’s Goals
• Increase new business success rate
• Increase client’s revenue and
profitability (new and existing
businesses)
• Assist existing businesses to grow by
creating and retaining jobs, and
increasing capital investments in the
business
Where business comes to talk business.
15. How the SBDC can Benefit you
Through one-on-one,
Confidential and FREE Counseling,
the SBDC can help you with…
• Basic Business Information for start-ups as
well as existing businesses
• Business Planning
• Training/Workshops- variety of topics
• Networking Assistance
• Basics of Navigating the financial process
• Financial Analysis of your business
• Marketing Ideas and Plans
• Permits, Licenses and taxes
• ETC
Where business comes to talk business.
16. LEGAL ENTITIES
LEGAL STRUCTURES FOR A
SMALL BUSINESS
– SOLE PROPRIETORSHIP
– PARTNERSHIP
– LIMITED PARTNERSHIP
– C-CORPORATION
– S-CORPORATION
– LIMITED LIABILITY COMPANY
17. LEGAL ENTITIES
FACTORS TO CONSIDER:
SIZE & NATURE OF BUSINESS
EASE OF FORMATION
LEVEL OF CONTROL
LIABILITY RISKS
TAX IMPLICATIONS
CONTINUATON/GROWTH POTENTIAL
DISSOLUTION ISSUES
Consider talking to an accountant/attorney
before you decide.
18. Why do I need a Business Plan?
• To develop your own plan (roadmap)
for YOUR Business idea.
• To determine if the business idea is
financially feasible.
• To seek financing from a bank, SBA,
and/or private investors.
• To provide you with a management tool
• To give you an objective view of your
business idea
Where business comes to talk business.
19. What goes into a Business Plan?
• Executive Summary
• Table of Contents (optional)
• Description of the Business
• Description of Products and/or Services
• Marketing Plan/Advertising
• Industry Analysis
• Customers
• Competition Analysis
• Location
• Suppliers/Subcontractors
• Organization and Management
• Financial Plan
Where business comes to talk business.
20. Business Licence & Registration (7-Steps)
• One - Determine entity
• Two - State Corporation Commission
• Three - IRS Forms - EIN
• Four - Unemployment taxes – Va
Employment Commission
• Five - Registration – Va Dept. of taxation
• Six - Local license/tax with local
commissioner of the Revenue/Town
Administrator
• Seven - Other State Agencies for
Licenses/Permits for professionals
Where business comes to talk business.
21. Pricing Structure
• Margin based
• Income based
• Competitive Based
• Image Based
• Volume based
• Testing based
From “hypergrow your business” by Curtis Clinkinbeard
Where business comes to talk business.
22. VSBDC Office
Dick Ephgrave, Director
Longwood Small Business Development Center
115 Broad Street, PO Box 709
Martinsville, VA 24114
Phone: 276-632-4462
E-mail: ephgraverg@longwood.edu
23. Turn to SCORE Counselors for
Small Business Advice
Live Your Dream. SCORE Can Help.
24. “Counselors to America’s Small Business”
Live Your Dream. SCORE Can Help.
SCORE is a national nonprofit association.
SCORE’s mission is to provide small
business counseling and training to help
America’s entrepreneurs succeed.
Local business workshops and seminars
Face-to-face counseling in 389 offices
Online counseling www.score.org
Free and confidential business advice
for entrepreneurs
26. Tourism Business Development &
Marketing Assistance
Randall A. Rose
Development Specialist – Partnership Marketing
Virginia Tourism Corporation
rrose@virginia.org
276-322-2044
www.vatc.org (industry)
www.virginia.org (consumer)
27. • Virginia Tourism Corporation Overview
• Tourism Business Opportunities
• Marketing Your Small Business
28. • 19.2 billion in revenue
• supported 210,620 jobs
• provided $1.28 billion in
state and local tax revenue
Impact of Tourism in VA - 2008
29.
30. • Advertising
• Customer Service & Industry Relations
• Electronic Marketing
• Film Office
• Marketing & Promotion
• Public Relations
• Research
• Tourism Development
• Others
Virginia Tourism Corp. Services
33. • Wilderness Road Heritage Trail
• Virginia Coal Heritage Trail
• ‘Round the Mountain
• Heartwood
• Spearhead Trails
• Crooked Road
• Fish Virginia First
Development & Partnership
Marketing
34. • Franklin County • Pulaski County
• Roanoke County • City of Radford
• Craig County • Giles County
• Patrick County • Tazewell County
• Floyd County • Carroll County
Locality Tourism Planning
40. Caterers Cleaning Services
Food/Drink Distributors Electricians
Restaurant Equipment Plumbers
Security Systems Pool Maintenance
Convenient Stores Lawn Care
Web Site Designers Auto Repair
Ad Agencies Events Planners
Travel Agencies Florists
Motorcoach Companies Linen Services
Car Rental Offices
Supporting Businesses
41. • Visit www.vatc.org & www.virginia.org
• Sign up for the Dashboard e-newsletter
• Attend at VTC Help Desk event
• Establish relationships with all VTC divisions –
tap into our services (i.e. marketing, advertising,
research, etc.)
Learn More About VTC Services
43. Can you answer these
two questions?
• What is Marketing?
• What is the difference between Marketing and
Advertising?
44. 6 Questions You Should Answer
• What are you trying to accomplish?
• Who is your target audience?
• What message will move your audience?
• What vehicles do you have to deliver the message?
• What are your resources?
• How do you measure your performance/success?
Marketing Plan
45. What are you trying
to accomplish?
• What is your mission and vision?
• Are you the largest, cheapest, best
service, best quality?
• Sales goals?
Marketing
Planning
46. Who is your target audience?
• by demographics
• by geography
• by needs and wants
• now and in the future
Marketing
Planning
47. What message will move
your audience?
• Your brand
• Your tagline/slogan/message
• What do you want people to say
about your business?
Marketing
Planning
48. What vehicles do you
have to deliver the message?
• Website • Social Media
• E-mail • Tradeshows
• Advertising • Newsletters
• Public Relations
Marketing
Planning
49. What are your resources?
• Budget/Money
• Owner/Employee Skills
• Friends/Family
• Partnerships
• Local/State/Federal Assistance
• Chambers of Commerce, Business Associations, etc.
Marketing
Planning
50. How will you measure your
marketing performance?
• Electronic Marketing Tools
• Data Collection
• Research Mechanisms
• Surveys
• Informal Questioning
• Sales Data
Marketing
Planning
51. Have a Calendar/Schedule
Include:
• Anticipated Ad Placement
• Press Releases
• Social Media Updates/Posts
• Promotions
• Other Scheduled Strategies
Marketing
Planning
52. Marketing Plans Change
• Because of business growth
• Because of research
• Because of economic factors
• Because of technology (social media)
• Because there is always change
Marketing
Planning
61. • Determine Ways to Stand Out /Be Unique
• Be Creative
• Have Fun!
Marketing Tips
62. Tourism Business Development &
Marketing Assistance
Randall A. Rose
Development Specialist – Partnership Marketing
Virginia Tourism Corporation
rrose@virginia.org
276-322-2044
www.vatc.org (industry)
www.virginia.org (consumer)
74. A regional business incubator serving
the City of Martinsville, Henry,
Patrick and Franklin Counties
75. What is Business Incubation?
Business support process that accelerates the
successful development of start-up companies by
providing entrepreneurs with an array of targeted
resources and services
A business incubator’s main goal is to produce
successful firms that will leave the program financially
viable and freestanding
76. Services
Favorable Rental Rates
Mentoring Services
Broad Band Internet Access
Shared Resources
Conference and training rooms
Shared receptionist
Business equipment
"Virtual Incubator" Available
77. Benefits
Financial, professional, and technical services
assistance
Access to facilities and equipment not otherwise
available
Increased visibility
Environment where small businesses can share
experiences and reduce the risks involved in business
startup
87% of incubator graduates succeed!
78. WPBDC
23,500 square foot facility
in Uptown Martinsville
16 Tenants
3 Virtual tenants
15 Graduates
In 2009, $13+ million in
tenant revenue
79. Questions?
Tiffani Underwood
Executive Director
West Piedmont Business Development Center
22 E. Church St.
Martinsville, VA 24112
276.403.5085
tunderwood@wpbdc.org
80. Other Business
Resources
Sandy Ratliff, Business Services Manager
Virginia Department of Business Assistance
276-676-3768
sandy.ratliff@vdba.virginia.gov
www.vdba.virginia.gov
www.vastartup.org
81. The Virginia Department
of Business Assistance
VDBA supports economic development in the
Commonwealth by working with new and
existing businesses to provide business and
economic development communities with:
• workforce incentives
• financing
• business information and counseling
• state procurement assistance
• incubator counseling and
• educational opportunities
www.vdba.virginia.gov
83. Business Information Services
To help businesses get started and to grow.
Formation Assistance
Virginia Business Information Center (VBIC) 1-866-248-8814
Bridges the 26 state agencies, over 100 programs and over 300
forms that may touch a Virginia business
Virginia Central Business Portal
(www.business.virginia.gov)
Covers registration, taxation, licensing
Interactive Business Plan CD
5 Step process to a business plan
Entrepreneur Express Events
250 Events – 8,000 Trained
84. Virginia’s Business One Stop
Are you starting a business?
Virginia’s Business One Stop system can help
Winner of the you determine your business formation requirements and can
2009 pre-fill your business registration forms.
Governor's
Technology
Visit http://www.virginia.gov/bos/index.html to
Awards
access the Business One Stop System.
Create a Business One Stop account.
Answer a few brief questions about your business.
Receive a list of action items and pre-filled business
registration forms.
Questions? Contact the Virginia Business
Information Center
1-866-248-8814 (804) 371-0438
vbic@vdba.virginia.gov
86. Growing Your $ales - State
Governor’s Executive
Order 33
$5 billion market
Access to buyers from 171 state
agencies
Additional $5 billion from local
governments
575 localities using eVA system.
Small Business Goal – 40%
Over 44,994 registered suppliers
Over 13,065 participating
buyers
Ask VBIC = 866-
248-8814
88. One–on-One Counseling Sessions
Need Based:
– Accessing New Markets/Sales Growth
– Tailored Sales Development Solutions
– Financing Resources
– Social Media for Your Business
To schedule an appointment, contact:
Sandy Ratliff, Business Services Manager
276-676-3768
Email: sandy.ratliff@vdba.virginia.gov
89. Entrepreneur Workshops
• Launched October 2006
• Partnership with Service
Providers and localities
• Provide information on
available resources to start
and grow a business
• Statewide Program
• Free – ½ Day Session
• Over 8,000 reached
• www.vastartup.org
90. Growing Your $ales Workshops
Business Sales Growth Program
Market Research and Expansion
Financing
Growth Management
Partnered events for SWAM certification and
eVA registration
Networking of businesses and decision-
makers
92. Virginia Jobs
Investment Program
• Workforce recruiting and training
– Create minimum 25 net new jobs within 12 months and
capital investment of at least $1,000,000
– Minimum entry-level wage of $10.00/hr required. Only full-
time jobs are eligible.
• Small business workforce recruiting and training
– 250 employees or less, hiring at least 5 new full time
employees within 12 months of operation and capital
investment of at least $100,000
– Minimum entry-level wage of $10.00/hr required. Only full-
time jobs are eligible.
• Retraining
– Small businesses that are retooling and installing new
technologies
– Company must retrain minimum 10 full-time employees.
93. Financing Programs
• Direct Lending: In partnership with banks and other
lenders, we provide direct loans in economic
development transactions. We also provide direct
loans under specific programs designed to promote
environmental stewardship and assist licensed
daycare centers and family home providers.
• Indirect Lending: We provide loan guarantees or
other types of credit enhancements to commercial
banks in order to increase access to capital for
businesses.
• Conduit Financing: We are the statewide conduit
issuer of tax-exempt industrial development bonds
for manufacturers and 501c3 organizations.
94. The VSBFA Does Not Give…
• Grants
• Loans or guaranties of loans without
collateral
• Loans or guaranties of loans without
personal guaranties from all significant
owners
95. OTHER AVAILABLE RESOURCES
• Virginia Department of Labor – Apprenticeship Program
– Combination of on-the-job training and classroom instruction.
– Advantage of skilled workforce and reduced turnover.
– http://www.doli.virginia.gov
• Virginia Department of Agriculture & Consumer Affairs
– Virginia’s Finest Trademark = Marketing program that promotes foods and
foods products grown in Virginia.
– Facilitates expansion of agricultural businesses.
http://www.vdacs.virginia.gov
96. OTHER AVAILABLE RESOURCES
Virginia Economic Bridge, Inc.
– Non-profit organization to promote the economic vitality of
SWVA and the Commonwealth.
– Virginia’s Business Pipeline – Online searchable database
of more than 24,000 Virginia based companies, business to
business marketing & RFP resource
www.VirginiaBusiness.org
– Virginia’s Linked Workforce Showcase – Designed to create
business partnerships yielding contracts between SWVA
and Northern Virginia by connecting companies in specific
industry sectors.
www.LinkedWorkforceShowcase.org
97. Starting and Growing a Business
• Business Formation Assistance
– Small Business Development Center Network = www.virginiasbdc.org
– SCORE = www.score.org
– Virginia Business Information Center = 866-248-8814
– Virginia Central Business Portal = www.business.virginia.gov
– Virginia Business Incubator Association = http://www.vbia.org/
98. Marketing Resources
• SCORE = www.score.org
• Virginia Tourism Corporation = www.vatc.org
• Virginia Economic Bridge, Inc. = www.virginiabusiness.org
• Virginia Department of Agriculture – Virginia’s Finest
Trademark = www.vdacs.virginia.gov
99. Financing Resources
• Virginia Small Business Financing Authority =
www.vdba.virginia.gov
• Small Business Development Center =
www.virginiasbdc.org
• Small Business Administration = www.sba.gov
• Local Economic Development Office or Chamber of
Commerce
100. “If you always do what you’ve
always done, You will always
get what you’ve always got!”
101. Lets Connect:
Sandy Ratliff
The Virginia Department of Business Assistance
276-676-3768
sandy.ratliff@vdba.virginia.gov
Online:
Twitter: http://twitter.com/sandyratliff
Facebook: http://www.facebook.com/sandy.ratliff
LinkedIn - http://www.linkedin.com/in/sandyratliff
YouTube - http://www.youtube.com/user/vastartup
105. CONTACTS
• Sandy Ratliff, Virginia Department of Business Assistance
= 276‐676‐3768 or VBIC = 866‐248‐8814
• Dick Ephgrave, Longwood SBDC = 276‐632‐4462
• Randy Rose, Virginia Tourism Corporation = 276‐988‐
6067
• Harvey Brookins, Wachovia Bank = 540‐563‐7612
• John Hunter, SCORE = 540‐857‐2834
• Janie Hopkins – Franklin County Chamber of Commerce =
540‐483‐9542
• Tiffani Underwood, West Piedmont Business Dev. Center
= 276‐638‐2523
• Carl Mitchell, Virginia Economic Bridge = 540‐ 731‐6800