One Step At A Time Get down to business with our step-by-step guide to start-up.

You yearn to start your own business, but the thought of doingso seems overwhelmingly difficult. Not anymore: We've brokenthe process down into 52 steps-one for each week of the year.Follow them, and at the end of the year, your business should be upand running.

That's our part of the deal. Now for yours: Get up an hourearlier. Stay up an hour later. Set aside two hours every Saturday.Do whatever you can to squeeze out a few hours each week to devoteto this step-by-step plan. Those few hours can make all thedifference to your future.

1. Get an idea. Assess your skills, interests andexperience. Is something missing in your town? What products orservices would make your life (and your friends', family'sand neighbors') easier?

2. Assess your needs. How much money do you want to make?What type of work do you want to do? What type of lifestyle do youwant?

3. Pick part time or full time. Do you have enough money tostart full time? Could your business work part time, or would itrequire your full-time presence?

4. Contact the Small Business Administration (SBA) districtoffice near you (see the Government pages of your phone book orcall 800-8-ASK-SBA) for assistance in all aspects of starting andrunning a business.

5. Define your niche-the more narrowly, the better. Aim atmale consumers, and you're all over the map. Target upscale,urban African-American men ages 18 to 25, and you're morelikely to hit the mark.

6. Write a brief mission statement that explains yourniche. Sample: "Gourmet Goodies is an upscale, leading-edgefood company offering high-quality, unusual foods of Europeanorigin in sophisticated packaging."

7. Do market research to make sure there's a need foryour product or service. Research your industry, competition andcustomers. Contact your chamber of commerce or business developmentagency. Local college and university business students may bewilling to research for you as a class project.

8. Visit the library for books and publications about yourindustry. The Encyclopedia of Associations (Gale Research)lists industry associations; also read magazines aimed at yourtarget customer, Census Bureau and Commerce Departmentpublications, and Dun & Bradstreet's Regional BusinessDirectories.

9. Start surfing. Internet sites like AOL, Yahoo! andNetscape offer access to business databases for business news,industry trends and company-specific information. Visit tradeassociation and government Web sites, too.

10. Ask potential customers what they want-whetherone-on-one, in focus groups or by phone. Send surveys via fax, mailor e-mail. Offer incentives. Trade associations or list-rentalcompanies (see the Yellow Pages) can provide names.

11. Name your business. Brainstorm ideas for a namethat's easy to spell and say, memorable, and conveys what youdo. Test ideas on friends, family and potential customers. Choosefour or five possibilities; do a trademark search to see if anyoneelse is using the names.

12. Decide on a legal structure: sole proprietorship,partnership, C corporation, S corporation or limited liabilitycompany. Business structure affects tax and legal liability, soconsult an accountant or attorney.

13. Start your business plan. Writing it reveals flaws inyour idea so you can fix them before start-up. Visit a bookstorefor books and software to guide you.

14. Finish your business plan (or at least a rough draft ofit).

15. If you plan to start a corporation or partnership, orhave employees, you need an Employer Identification Number (EIN)for IRS purposes. Call (800) TAX-FORM.

16. Get licenses and permits. Contact your city'sbusiness license department, county health department, firedepartment and city zoning board to see what you need. If yourbusiness uses chemicals or will be doing construction, contact yourstate's environmental protection agency.

17. Hire a lawyer. Ask businesspeople and professionals forreferrals to lawyers with small-business experience. Meet them,check references and clarify fees.

18. Hire an accountant. Ask businesspeople, bankers andprofessionals for referrals to accountants experienced in yourindustry. Talk to several, check references and ask about fees.

19. Learn about bookkeeping. Even if you have an accountantor bookkeeper, you need to understand the basics. Contact colleges,universities and adult education programs to see what classes theyoffer.

20. Go back to school. Small-business owners wear a lot ofhats, so if you're weak in any area-from marketing to writing abusiness plan-take a class to get up to speed.

21. Set prices. Figure out the cost to make your product orprovide your service, including materials, overhead and labor. Addenough to make a profit and be consistent with industry prices.

22. List your personal assets (house, savings, stocks andbonds, insurance policies, and valuables) minus liabilities(mortgage, auto loans, credit card and other debts). This is yourpersonal net worth.

23. If you need financing, approach friends and relativesfirst. Be businesslike: Do a formal presentation that explains yourbusiness plan and your idea's potential. Put details of theloan in writing.

24. Look for outside investors (venture capitalists andprivate individuals, or "angels"). Ask businessassociates, professionals or suppliers for leads, advertise inbusiness classified sections, network at venture capital groups orcontact investment banking firms.

25. Build banking relationships. Talk to lawyers,accountants and entrepreneurs to find banks that have helpedsimilar businesses. Ask bankers about the type and size of loanthey specialize in.

26. Say Uncle. If commercial lenders turn you down, yourSBA District Office can help you figure out which SBA-guaranteedloans are right for you and complete an application.

27. Find a location. If homebased, ask your city'szoning commission about restrictions. If retail or commercial,consider foot traffic, accessibility, proximity to competitors,taxes, insurance, utilities and maintenance. A commercial realestate broker can help; be sure your lawyer reviews the lease.

28. Investigate business incubators, which providestart-ups with office space, shared services and access toequipment. Call the National Business Incubation Association at(740) 593-4331.

29. Get equipped. Most businesses need a computer andsoftware, printer, scanner, modem, fax machine, copier, phone,answering machine or voice mail, postage meter, and cellular phoneand/or pager. Before you buy, comparison shop at manufacturers'Web sites or try the BuyersZone site(http://www.buyerszone.com).

30. Decide what software you need, then buy a computer thatsupports it. A low-end system (200 MHz CPU, 32MB memory, 2GB harddrive, 33.6 Kbps modem, 8X CD-ROM drive) costs about $2,000 and isenough for many start-ups. A high-end system (300 MHz CPU, 64MB to128MB memory, 4GB to 8GB hard drive, 12X to 16X CD-ROM drive, 56Kbps modem) can handle graphics or multimedia and costs about$3,500.

31. Save money by leasing equipment-you'll have lowermonthly payments. Or buy used from individuals (check localclassifieds), retailers, leasing companies or asset remarketers(see the Yellow Pages).

32. Furnish your office. Look for adjustable chairs, acomfortable desk setup and adequate lighting. Save by shopping atused office furniture stores, in classified ads, or at flea marketsand auctions.

33. Get professional-looking business cards, stationery andmarketing materials by hiring a graphic designer and copywriter.(Look in the Yellow Pages or ask business owners forrecommendations.)

34. Find suppliers through trade shows, wholesaleshowrooms, buyers' directories, industry contacts, theBusiness-to-Business Yellow Pages and trade publications. Getquotes or proposals; check references.

35. Develop an inventory control system. Your accountantcan help. There are also many inventory software packages on themarket, and some software makers will tailor products forspecialized needs.

36. Create a credit application for business-to-businesscustomers. Ask for principals' Social Security numbers, bankreferences, trade payment references, business and personalbankruptcy history, and any other names under which they dobusiness. Investigate with credit reporting agencies, Dun &Bradstreet
(800-234-3867), industry trade associations and other businessowners.

37. Get merchant credit card status. To accept AmericanExpress or Discover, contact them and fill out applications; forVisa or MasterCard, you'll need to establish an account throughyour bank.

38. Assess employee needs. Hiring even one full-timerbrings legal obligations. Instead, use temporary workers,secretarial services or employee leasing companies (look in theYellow Pages), as well as part-timers and interns.

39. Advertise job openings in local newspapers, on collegejob boards or on job-search Web sites. Ask for resumes; create anapplication; write down interview questions. Hiring is filled withlegal land mines, so visit your library and read up on thedetails.

40. Develop an employee policy manual (even if you haveonly one employee), and have your lawyer or a human resourcesconsultant look it over. The Department of Labor (202-219-6666,http://www.dol.gov) can provide information.

41. Get basic business insurance, which includes generalliability, workers' compensation, property/casualty and auto.You may also want disability, business interruption, life andhealth insurance. Industry associations often offer discounts orpolicies tailored to your industry.

42. Develop a marketing plan. It needs to define how yourproduct or service differs from the competition; describe yourtarget customer (age, sex, location, income, lifestyle); and detailhow you plan to communicate to your customers.

43. Set an advertising budget-typically 2 to 5 percent ofanticipated gross sales-and allocate it to the media that mosteffectively reach your target market.

44. Plan a direct-mail campaign and send letters,postcards, fliers, catalogs or brochures to prospective customers.Rent mailing lists through list brokers (see the Yellow Pages) ordirectly from companies that mail to customers, such as magazinepublishers.

45. Get the word out. Send press releases about yourcompany to local newspapers, magazines and television and radiostations.

46. Network everywhere. Attend chamber of commerce meetingsand local business groups; tell people at your church, health club,children's school or book group about your new business.

47. Get referrals. Ask friends, business associates andfamily if they know of anyone who might need your product orservice.

48. Get online. Set up a basic Web site with informationabout your company, answers to common questions and a way tocontact you (e-mail, fax or phone) for orders or moreinformation.

49. Polish your sales skills. No matter what businessyou're in, you're now a salesperson. There are hundreds ofbooks on sales, so start reading. Or listen to sales audiotapes inthe car-top salespeople swear by them.

50. Conquer cold calls. Have a script, including likelyresponses and how you'll reply. Power through by making 100calls a day for five days; after that, you'll have no fear.

51. Practice for sales presentations. Prepare whatyou'll talk about, questions and answers. Role-play with aspouse or friend and ask for criticism. If possible, videotapeyourself.

52. Open for business. A retail location calls for a grandopening; a service business, a party for potential customers andcommunity leaders. Starting with a splash conveys your excitementto others, so think big!

Resources

The following books provide more information to help you getstarted:

*Starting Your Own Business (Entrepreneurmagazine, $59, 800-421-2300)

*Starting & Running Your Homebased Business(Entrepreneur magazine, $59, 800-421-2300)