ECN Forum Forums General Topics of the Trade Business Related Discussion Starting up ?

I recomend the book E-myth revisted. although i'm not to trilled about the staff at e-myth. I would only buy tools until you need them that will cut back and unnessary expenses. I have a credit card with no interest for a year that helps some to. I also purchases Mike Holts estimating book and video I recomend that to. Good luck This takes time. Somtimes i have to listen to a motivational tape so i don't lose track on what im doing.

yeah you are right
All thatis essential to stay in business,but besides the knowledge and all the businessstuff you will need $$$$$$$$$$$$$$$.
The more money you have the faster you will move.
That attorney and that accountant needs to be paid,, that truck needs to be paid, that insurance needs to be paid and and and.
So if you are thrown in a situation to go on your own but you are financially not prepared for it,it can be hard and you might have to stretch.
At this point you might have to improvise.
When there is no money for the truck shelving,use cardboard boxes or nut and bolt a shelve together yourself.
And all that effort is nothing if you do not-as they said above-have customers lined up or have the money to get your name out there.And that is a long way to go.
Not to pop soapbubbles here but beeing realistic if you have to start from scratch it is not easy.

Working capital is almost always the killer.

Extending any significant customer credit increases your working capital need, directly.

Finding a patron, or two, or three who can keep the wolf from the door is what makes or breaks most start-ups.

Other than that, a red hot market can do wonders.

Jumping in because of a need for income usually ends up badly. In most areas there are more journeymen willing to take the plunge than the market can ever satisfy.

It may be worth your trouble to sound out retiring age electricians. They may be very happy to sell out. Such transitions can work well for everybody.

The alternative is for the new guy to drive someone else out of business, or for the market to grow. Growth is usually flat and established players are usually too much competition. Under pricing them just sends you to the poorhouse.

Over the past 20 years i noticed in my area, 20 or so new EC's give it a try, some lasted as long as 7 years, others went out after the first year, the established players were too much competition, and the new guys on the block, tried to under price jobs, which lead to there undoing, they became known for cheap work, and got stuck with that label, it appears the ones that worked for GC's went under first, i know of a few that made it more then the 7 years and are still around, with the help of a working wife with benies, the grass always looks greener from the other side, so as Tulsa said " There are more journeymen willing to take the plunge than the market can ever satisfy."

You might want to try this link, http://www.score.org/template_gallery.html There are many useful things here for a new business.

Pat