Need Advice on Multiple Businesses

I'm new here and really enjoying all the great posts. I'm venturing into some business ideas (part time for now...in the hopes of retiring from my day job one day soon) and I recently got a business license and dba for my craft type business to sell at a summer outdoor market each Saturday. I'm also starting a personalized candy wrapper business which has already generated lots of interest in just two days. Do I need a separate license and/or business name for it? It is good to place all business endeavors under one umbrella (if they're similar in nature) or keep things separate? I'm new at this and need a little advice from those here who run more than one business at a time.
Thanks! Joan

Keep It Simple....

Joan, my personal approach is to get out there and do it as simply as possible to start with.... In reality, no business is a "guaranteed" success.

In reality, you may not make a profit. Every person who has tried several businesses have probably had some business ventures which didn't work out (me included).... So, I'd keep it simple until you know for sure it'll work, and until you're definitely making a profit from it (however small it may be)....

Also, your profit is essentially your gross sales minus your expenses.... So, try to keep your expenses as low as possible, especially in the early days! That way you give yourself the best chance of showing a profit early on.... :)

Keep everything legal, but in my opinion, don't make it any more complicated than necessary, especially when you're just starting a new business idea....

Others may disagree, but that's my own personal approach....

- Dien Rice

> It is good to place all business
> endeavors under one umbrella (if they're
> similar in nature) or keep things separate?
> I'm new at this and need a little advice
> from those here who run more than one
> business at a time.

Joan:

The short answer is: it depends on your business name.

If your craft is hand-made vases, and the business name is "Joan's Hand Made Vases" then selling candy wrappers with that business name might seem odd.

On the other hand, if your business name is "Wyatt Inc" or "Wyatt Direct" or "J.W. Group" - names which don't let on what the business of the business is - then I would run multiple things under the one name.

Your craft could be the Craft Division of J.W. Group. Your candy wrappers could be the Candy Wrapper Division of J.W. Group, etc.

There is little chance your customers will ever know of the different divisions operating from the one business name because, they are more than likely in different markets.

Michael Ross.




What a Great Idea. Click here.

To some extent, it depends on what your plans for your businesses are. Operating as one single business entity will probably be more cost effective, which may be a real concern with small businesses. If, however, you have plans to eventually sell your business, have shareholders, or any other situation that requires some seperation of businesses, it may be good to run them under different names and as seperate entities.

Best Regards,

Thomas.

> I'm new here and really enjoying all the
> great posts. I'm venturing into some
> business ideas (part time for now...in the
> hopes of retiring from my day job one day
> soon) and I recently got a business license
> and dba for my craft type business to sell
> at a summer outdoor market each Saturday.
> I'm also starting a personalized candy
> wrapper business which has already generated
> lots of interest in just two days. Do I need
> a separate license and/or business name for
> it? It is good to place all business
> endeavors under one umbrella (if they're
> similar in nature) or keep things separate?
> I'm new at this and need a little advice
> from those here who run more than one
> business at a time.
> Thanks! Joan

Thanks to those who responded. Your advice has been very helpful. I appreciate all of the ideas and support here!

Joan

> To some extent, it depends on what your
> plans for your businesses are. Operating as
> one single business entity will probably be
> more cost effective, which may be a real
> concern with small businesses. If, however,
> you have plans to eventually sell your
> business, have shareholders, or any other
> situation that requires some seperation of
> businesses, it may be good to run them under
> different names and as seperate entities.

> Best Regards,

> Thomas.

Joan,

I agree with Dien. Keep it as simple as possible.

So many people get all caught up in the details of doing everything exactly right they burn themselves out without ever really getting started.

For years, and to this day I've run a number of part-time businesses, but I still treat it as one business that is just diversified.

If for reason some government agency tells you differently then comply. But as long as you are keeping accurate records and paying the required taxes, I doubt that anybody will bother you.

However, do test all your ideas, but don't try and do too many things at once. I'm doing this now, and everything is suffering. I really need to practice what I preach!

Mike McGroarty
"The Dumb Ole Dirt Farmer"




"37 Secret Money Making Strategies"-FREE