Key Terms
Networking
Establishing and maintaining relationships to exchange information, ideas, products, and money. NAICS: North American In
Flip it
You also have knowledge and skills others need. Lead with expertise, not desperation.
Chamber of Commerce
Private-public partnership. Local businesses fund it; local government may contribute.
Trade Associations
Industry-specific groups that provide standards, training, support, and collective voice to government/regulators. Every
Networking Groups (like BNI)
Focused specifically on generating new customers via qualified referrals. BNI limits membership to one person per profes
Why critical
Getting an attorney early saves money; getting one to fix a problem costs far more.
Pro forma
Financial statement projecting where money will come from and where it will go in early business stages. Debt service: r
Local bank
Better for locally centered, smaller businesses. Officers may know you personally; decisions can be relationship-based.
Large bank
Better if business has broad geographic reach, multiple states, or large-scale financial needs. More products, faster re
Two roles
Required coverage AND industry intelligence.
Why to include an industry expert anyway
Lets the entrepreneur focus on business operations while gaining hands-on exposure. Technical expertise and business exp
Flat organization
Owners and key decision makers interact directly with staff at all levels; few or no mid-level managers. Common structur
Nepotism
Hiring family and close friends based on relationship, not ability. Has short-term appeal (easy, committed, excited abou
Four types of business plans
Operational, strategic, tactical, contingency. This chapter focuses on the operational plan.
Operational plan
Details the WHAT, WHEN, WHO, HOW LONG, WITH WHAT, and HOW MUCH of company activities. Think of it as the daily playbook.