Researching Local Business Conditions and Opportunities
A strong business plan includes information about your business as it relates specifically to local business conditions and opportunities.
If your business is web-based, local may mean global. But always begin first at the local level and then expand outward.
Where should you turn for specific local business information? Although each state and region may differ, good starting points to learn what you need to do or acquire to meet the requirements of your state, county, or local municipality include the following:
- Small-business development centers, often found at local colleges and universities
- Chambers of commerce — federal, regional, state, and local
- The Service Corp of Retired Executives (SCORE)
- Economic development councils
- Industry development associations
- Local business incubators
- County offices
- Local college or university
- Public libraries
There are 63 Small Business Development Centers (SBDC) with 1100 service locations throughout the United States, District of Columbia, Guam, Puerto Rico, Samoa, and the U.S. Virgin Islands. To find one close to you, visit the SBDC locator. They are usually associated with a college or university.
There are numerous chambers of commerce throughout the United States. Consider starting with your local chamber for small business information and guidance. Many local chambers also offer workshops for small business start-ups.
Many retired business owners and executives now share their wealth of knowledge with new business owners through an organization called The Service Corp of Retired Executives, or SCORE. You can seek advice by visiting one of their many locations or online. Local SCORE offices can be particularly helpful in obtaining local demographic information, which you may need for your business plan.
Economic development councils and industry development associations are also locally based and may be outstanding resources for a new business owner. With the goal of bringing new business and employment opportunities to the local area, these two groups encourage collaborative efforts with small business owners.
Small business incubators are growing in number. An incubator provides inexpensive space and allows for shared resources among small businesses that are in the start-up stage.
Your county office may also be a good resource at the local level, and depending on where you reside, you may be required to file a fictitious name or doing-business-as (DBA) registration at the county level.
Colleges and university resources are not limited to enrolled students. Many university libraries contain small business information specific to the region in which they are located, including online databases.
Public libraries are also becoming information centers, housing small business reference materials, databases, and knowledgeable research professionals to aid you in your search. Sometimes, a single library in a larger library system serves as the small business center.
There are a few other local considerations.
You may need to evaluate zoning restrictions for your specific location and business purpose. Additionally, you may need an Employer Identification Number (EIN) and a sales tax collection permit.
In order to set up a business account at your local bank, you may need to show specific documentation. Requirements vary from state to state, region to region, and even from branch to branch within the same financial institution. Visit the bank where you currently do your personal banking. This is a first step that may lead you to other options.
Certain businesses have specific requirements, too. Day cares and restaurants, for example, often require health department inspections and licenses. Companies with employees may require workers' compensation coverage and unemployment insurance.
How do you know what you need to do? Begin with the organizations listed in this article. They will be happy to guide you through the start-up process since a new business is good business for the entire community.
