No B.S. – Beginning Steps – The Woman Strong

Small Biz Book – Post #12

If you have landed with this particular blog post in front of your eyes, you most likely have a product or service that you are passionate about along with a clever company name. I believe following close behind these first two small business steps is the need for a logo. The first artist who attempted to make my logo design (a family member) came up with a pony-tailed, big breasted, young chick. Therefore, he batted strikes 1, 2 and 3 in one fell swoop. After another try or so, I realized he wasn’t the right fit for this particular purpose and found another artist through word of mouth. The second person nailed my vision, ironically, with an image that wasn’t begging to be nailed.

The next task, to be an official business, is to file your company with the government. It made sense for me to file my Indiana-based, service-industry painting business with no employees or other owners, as a Limited Liability Company (LLC). Someone once told me that a “Doing Business As” (DBA) filing could later result in an individual’s belongings being taken if anything ever happened (i.e. the company’s money is sucked dry and creditors or other suing humans are still owed). An LLC can’t avoid lawsuits, but the owner’s personal belongings do not get involved if the something ever happens actually happens. Other options are filing as a Corporation or an S Corporation or a Partnership. These instances have multiple owners, or more other people, or shares & stock market stuff. I knew none of that, for sure, was what I had going on. This link has more information about business entities if you care to delve.

When I first started painting, it was just a side gig. I was painting for family members and friends. Somewhere along the way, this morphed. I suddenly didn’t really know the people I was painting for…they were friends of a friend or family member, but not my inner circle. But that wasn’t what actually clued me in that I needed business insurance. Instead, after a few businesses inquired if I had insurance is when it hit me: Oh! Businesses ask for Certificates of Insurance, whereas residents…not really. (Not that home owners don’t appreciate you having insurance, it’s just not a house regulation that you have to have it.) I still hem-hawed for a few months because I figured it was just one more expense and I hadn’t needed it yet for this long.

One rare morning, though, I drank my espresso, made it to the gym, and finally dialed the numbers to reach an insurance agent. In my head, I had built the verbal conversation inconvenience to at least an hour. It took 10 minutes, tops. This turned out to be one of those instances that I hadn’t known what I didn’t know. After answering a handful of questions about my business (no employees, no large equipment, etc.) I found out the cost for decent coverage was less than $50 a month. I was expecting another car payment cost added to my monthly expenses and it turned out to just be another lash appointment. Of course, the hope is that insurance is never needed, but simply having it progresses the legitimacy of a business.

When I was a teacher, my colleague and I would sometimes have to pause when we got overwhelmed and ahead of ourselves. We would remember to K.I.S.S. (Keep It Simple Stupid). Sticking with that principle, I keep my business paperwork organization method simple. I stick with what I know: Binders. While all of my Quotes and Invoices are stored on electronic files, this girl still needs paper. Each calendar year has a binder with two dividers, which creates 3 sections. The front section is for completed jobs in date order, the middle section is for Quotes and the back is for 12 pocket pages for expense receipt storage by month.

When I create a Quote, I print it out, stick it in a plastic page protector and place it after my previous Quote (middle section of the binder). When the Quote gets accepted, I move it to the front of the binder, directly after the last completed job. All receipts that start gathering for this particular job are placed in the page protector with the Quote. When the job is finished, I print out an Invoice and place it in the same protector that holds the Quote and receipts for the job. When I get paid, the deposit slip is also kept in this protector. When I reach the end of year and tax time rolls around, this binder, along with Turbo Tax, is suffice for filing my taxes and for accessing past job information.

When working for a small business, I used Quickbooks to create Quotes that transformed to Invoices with one click. They looked great and the program was very user-friendly, but I wasn’t the one paying for the subscription. For my own business, I have opted to use my own computer background to create professional-looking Quotes and Invoices. I text or email these in Portable Document Format (PDF), which I am able to do because of my subscription to Adobe for about $20 a month. This subscription also allows me to use all of the lovely pictures on my blog posts legally, so I get double bang for my buck.

When tax season arrived, though, I already knew how my brain comprehended tax forms. I immediately uploaded Turbo Tax for about $300. It was worth every penny. I also inquired an accountant about the price of having my taxes completed for me. Although organized bank statements and receipts of expenses would have helped her job be completed more efficiently and quickly (and, thus, more inexpensively) I trusted my own knowledge of my business numbers more than an open-ended hourly price. (I also paid a little extra to Turbo Tax to be able to ask professionals for help.) On the other hand, I have yet to open a Business Checking Account. So far, every residential dweller has been more than happy to pay me, an individual contractor. When I eventually begin a paint project for a company that requires a Certificate of Insurance, I figure that will be the right time to jump into an additional monthly expense that allows my customer to pay my business instead of me.

Therefore, my financial trail thus far has been determined by knowing my strengths & weaknesses. My decisions have seemed relative – based on each situation at hand. The cost of getting assistance from software or professionals seems worth it sometimes, and not necessary at other times. I didn’t know which time was which until I was smack dab in the middle of the situation and, honestly, at that point, the decision was obvious.

The one thing that is not a maybe, in my experience, is a social media account for the business. FaceBook, Instagram and LinkedIn all = free advertising. Social media is also the best kind of advertising, tied with word of mouth. Other people talking about and remembering your business is the goal. Because I used to be a teacher and old habits die hard, I give a gift of candy (something I find tasty, of course) after each paint job. It’s like the reward for a well-studied for and aced spelling test. The vessel is a recycled glass jar with a sticker with my logo. This helps my brand remain with my customer even after the paint is dry.

When I’ve ever found myself nervously anticipating the unknown, be it my first labor, or a diagnostic mammogram or a plasma donation or any other number of scary situations that life dishes out, I remind myself of another truth: I’m not weaker or lesser-than the quadrillion other humans who have also had to face this (whatever this is). If “they” can have the baby or survive cancer or start the business, so can I. And so can you.

Small Biz What Not to Do #12: Don’t let “starting a business” seem too big, scary or overwhelming to get started.

#11 Supplies ~ 5/13/23

#10 Communicate, Bitches ~ 3/29/23

#9 Accepting $ ~ 6/27/22

#8 Keepin’ it Simple ~ 1/2/22

#7 Time to Train ~ 4/18/20

#6 Spending $ ~ 11/28/19

#5 Make Them Stick ~ 9/2/19

#4 How in the Hell do you find Good Help? ~ 7/10/19

#3 The F Words in Business ~ 7/4/19

#2 From Problems to Procedures ~ 6/28/19

#1 Delegate, Dammit! ~ 6/21/19