CAMERA PROFITS: USING YOUR CAMERA FOR EXTRA MONEY

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Copyright 1992 by Premier Publishers, Inc, USA.

All rights reserved. No part of this publication

may be reproduced by any means without the

express prior and written permission of the publisher.

One of the easiest ways to make extra money is with a camera. More people

own cameras than ever before, and photography is the fastest growing hobby in the

world. Yet, using a camera as an extra income tool is largely overlooked! With a little

imagination, a flair for showmanship, and just a hint of salesmanship, the average man,

woman, or teenager can easily make an extra $300 a week with a camera.

You don't have to own a darkroom or a lot of high priced attachments or

equipment to begin making money in photography. In many instances, a Polaroid or

other "off-the-shelf camera will suit your purposes perfectly. The only special piece of

extra equipment you may want to invest in would be a tripod to mount the camera in

certain situations.

One of the easiest ideas is to visit a children's clothing store in a busy shopping

center in your area, or the children's section of a large department store. Sell the

manager or store owner on the idea of your setting up in a corner of the store or

department and taking pictures of the shoppers' children. He can promote the fact that

you'll be in the store taking pictures for special prices during certain hours-perhaps on

Friday evenings and all day Saturdays-in his advertising, thereby drawing more patrons

into his store.

You'll need a backdrop of plain, dark or mottled material, or some other sort of

imaginative set for a background. This you can easily make or build yourself. You

should also have an eye-catching poster that calls attention to what you're doing and the

prices you charge. Unless you're a commercial artist, spend the money to have this sign

made for you by a professional. Finally, you'll need a two-part receipt or coupon.

Your receipt can be a simple piece of paper about 2" wide by 5" long. Keep the

coupon brief and simple. On the left side have a space for your customers to fill in their

name, telephone number, and address. You might also want to include space for

additional information-the child's name, age, and the number of children in the

use in future advertising efforts. On the right hand side of this coupon, have your

business name, address, and telephone number, plus a quick outline of the different

types of photography work you handle. If you like, include a business slogan such as

"Guaranteed To Make You Smile."

To add a little bit of class to your coupon, take the basic outline to an instant

print shop. Tell them what you want, show your outline, and have the entire receipt

typeset and printed on a two-part, perforated form. Use a light-colored paper-perhaps a

pastel. Make the whole piece as eye-catching and attractive as possible.

You can call attention to your "in-store" set-up and bring in more business with a

few merchandising and promotional ideas. Here are the highlights of two ideas that have

worked well for others. However, you should keep your eyes open for additional

promotional ideas that could be adapted to fit your new business.

* Dress a helper in a clown suit, and take pictures of the children on his lap or

with his arm around them. Put a sandwich advertising board on your clown and let him

stroll through the shopping center advertising the fact that you're in the Kiddie Clothing

Store taking pictures.

* Promote a "Baby of The Year" contest. Take pictures of babies, display the

pictures on a "show board", and offer $100 cash plus a merchandise prize in a big

drawing at the end of the year.

There are numerous other instances where you can earn extra income with your

camera. Most stores, golf courses, bowling centers, and other retail merchants will be

glad to have a photographer in their place of business because it brings the customers

into the business and provides a sales opportunity for the merchant.

* Set up a booth in the mall and promote "Instant Snapshots."

* Be a roving photographer and take candid shots of shoppers and promote a

"Shopper Of The Year" contest at a local mall.

* Work with a clown and have him attract children and their parents, asking if

they'd like to have their pictures taken with him. You could snap instant

pictures of children with the clown for a modest fee, or have a nicer 35mm

shot taken and developed for later delivery.

* Build an inexpensive and portable set, such as an airplane, a race car, bucking

bronco, hand-shaking scene with a famous person, or "balloon figures" and

take pictures of people standing in or on these sets.

* Live-action sports photos sell well. Get out to the golf course and take pictures

of the golfers teeing off. Visit the bowling centers and take candid shots of the

bowlers in action, or arrange with the bowling leagues to photograph each

member as he or she bowls, and then take a team picture as well. Do the same

thing wherever there's a sports event taking place. Be on the spot and ready

whenever there's an opportunity to take team pictures.

* You might follow, or hire someone else to follow, a Little League team through

its season, taking candid and action shots. Arrange the best of these pictures in

a photo album with the team's name and year on the front. You should be able

to sell one of these albums to a number of team members.

* Find out if your local newspaper will buy action photos taken at local sporting

events. Set up a schedule with the editor to determine what games the paper

would like covered.

* There's also the idea of "just strolling through the park" on a Sunday

afternoon. Take pictures of couples, children, and people spending time with

their relatives.

* Keep tabs on the announcements of new births. Send advertising literature to

the new mothers, and follow up with phone call efforts to set up photography

sessions.

* Read the engagement notices in the weekend papers. Send your sales literature

to the brides-to-be, and follow up with phone call efforts to take the wedding

pictures.

* Set up a household and business photo inventory service. Contact the

insurance companies and determine if they will approve and endorse

photographs you take of their policy holders' household, personal, and

business property in loss claims. Most will. By working either with the help

of an insurance agent, the agency itself, or on your own, contact owners of

property and sell them on the idea of your taking pictures of the household

goods they have insured. You take photographs-a pictorial inventory of

everything they're claiming or would like to claim on an insurance policy-and

then identify the pictures, giving one set to the property owner and the other

set to his insurance agent or company.

* Contact businesses in your area and offer to photograph the entire staff of

employees out in front of the company. Many businesses like to use such

photos in their advertising and on sales literature.

* Group photographs. Civic and social organizations are perfect for shooting

group photos. They might also like candid shots of their parties, meetings, or

other functions.

Use your imagination. The possibilities are endless. If you look around, you will

find a never-ending supply of people who would like to have a photo to remember some

special event or time in their life. Make a list of all of the possibilities, then get busy

making it a source of extra income.

When you take a person's picture, regardless of whether it's an in-store set-up,

out on the golf course, or along the street, give your customer one of your

and inform them that their prints will be ready in a couple of days. They fill in

the information portion of the coupon and give it back to you, retaining the "business

card" half for themselves.

When you've finished shooting a role of film, have it developed at a one hour or

twenty-four hour developing center. Decide in advance if a glossy or matte finish will

look the best given the lighting conditions of your shooting location. When the prints

are ready, you can phone the customer and volunteer to deliver and collect or send them

through the mail with a

bill, or make arrangements with a store to take care of them until the people call for their

pictures and pay at that time.

By all means, be sure to include an advertising circular with each set of pictures

you deliver. This circular should explain how the customer can get more prints or get

enlargements of his favorites. Also provide details relating to all the other photography

services you offer.

Once you've decided to use your camera as a source of additional income, plan exactly

what you want to accomplish and how you're going to get it done. Make a list of all the

possible things you will need: supplies, printing, who to contact at the store, mall, sports

area, or other location in which you plan to shoot your pictures. Decide when you will

begin and how you will advertise. Then, get out there and start taking pictures! Given the

opportunity and the right circumstances, you can develop your spare-time hobby into a

lucrative business.

Regardless of how small you begin, the important thing is to get started right

away. Once you get one job, you will learn from that experience how to get others. You

will progressively build up both your ability to promote your business and your

reputation as a photographer. Now that you have an idea of the basic plan, the rest is up

to you. Grab that camera and start snapping those pictures! Do it today!

SECRETS TO SUCCESSFULLY STARTING YOUR OWN BUSINESS #3502

Published 1983 by PREMIER PUBLISHERS, INC., USA All rights reserved. No part of this

report may be reproduced without the express prior permission of the publisher.

By Leo B. Minton, Editor/Publisher - MONEY MAKING MAGIC!

The American Dream is, and always will be, to come up with an idea, start a business and

become rich from your own efforts. Based upon this motivation, thousands of businesses fail each

year, due primarily to not being familiar with the basics involved in running a business.

This report will enlighten you, and give you a number of suggestions you can use to better

guarantee your chances for success. This report is written with the warning that any and every

business venture contains certain inherent risks, and any number of alternatives. We do not

espouse that any one way is the right way or that our suggestions are the only way. On the

contrary, we advise that before investing any money in a business venture, you seek

and help from a qualified accountant and/or attorney.

Just about the first thing you should consider before deciding to start or purchase a

business is the legal form you'll be operating under. There are basically four choices: sole

proprietorship, partnership, limited partnership, and/or corporation.

Each has a number of advantages and disadvantages. We'll try to enumerate some of them for

you.

As much as anything else, for many people, starting a business is a form of ego-gratification, and

they form a corporation for some sort of prestige gain -just to say, "I own a corporation."

With just a little bit of observation, you'll find that one of the major causes of business

failures is due to the founder wasting start-up capital on frills, such as an impressive store-front

office, expensive furnishings, and corporate legal costs.

One of the basic traits you must develop if you're going to be successful in business, is a tight

hold on your expenditures. In fact, a good rule of thumb is that anything that does not make

money for you or protect your investment, should not be purchased at this time. Very definitely,

this applies to the expense of setting up your own corporation.

Unless you have a partnership and start your business as such, the only real advantage

to forming a corporation would appear to be that a corporate structure will semi-protect the

property you personally own.

As an example, you own a home and car. You form a corporation to protect these possessions

from business losses. Yet, if you can be found guilty of misusing corporate funds, your business

creditors can pierce the corporate shield and come after your possessions.

Basically, if you invest everything you have in your business, as most newcomers do, you

don't usually need a corporation because you have nothing to protect. Your household

possessions, personal belongings, generally your car, and even a portion of the equity in your

home is protected by the homestead provision of the Federal Bankruptcy Act, and cannot be

taken away from you.

As a sole proprietor or partner of a business you'll be paying taxes on your overall

earnings, much the same as if you were holding down a salaried or hourly paid job. Whether you

do or don't take out money as a salary will have no bearing on the earnings of your business and

tax return.

The often advertised advantage of incorporating, that you can manipulate your salary in

order to save on tax dollars, is real because of corporation laws. However, the IRS frowns on this

practice. When your business is successful and making a lot of money, definitely check with your

accountant on the advantages of incorporating.

As a corporation, you'll be subject to a number of other drawbacks as well: generally

higher state taxes, stricter laws concerning the operation of your business, more elaborate

accounting procedures, and legal papers that are required just about every time you make a

major move or sign almost any contract. Thus, your legal and accounting fees will be much higher

as a corporation than will those required for a sole proprietorship type of business.

As a sole proprietor or partnership, you'll find many areas require the registration of your

business name. The cost however, is minimal, ranging from $5 to $100. About the best way to

find out what laws apply in your area, is to call your bank and ask if they need a fictitious name

registration card or certificate in order for you to open a business account.

Selecting a name for your business is quite important to you and particularly relative to

advertising.

Your business name should describe the product or services you offer. Fancy names

such as, Linda's Clipping Service will lose potential "walk-in and passing" customers to the beauty

shop across the street that calls itself, Patti's Beauty Salon or Jane's Hair Styling shop.

The advantage of using your full name in the title of your business, such as Johnny

Jones' Meat Lockers, has the advantage of making credit somewhat easier to come by - provided

you pay your bills on time - but it also includes the disadvantage of confining your services to a

local or at most, a regional area.

Should you buy, lease, or rent space for your business? Think twice before you make any

decision along these lines. Most businesses tend to grow quickly or they never get off the ground.

There are a few exceptions, but only a very few, that tend to grow at a modified rate.

So, buying a piece of property and setting up your business on or within that property,

obligates you to ownership regardless of what happens to your business.

Leases are almost always very strong contracts written by attorneys to the advantage of

the property-owner. When you sign an agreement to pay someone for the use of their space over

any length of time, you're "nailed in" to paying for that space regardless of what happens to your

business.

In the beginning, it's wise to either get the shortest-term lease possible, or arrange to rent

with an option to lease at a later date. This does not apply to a retail business, unless your

particular business happens to be an untried one.

Definitely, you should open a business bank account. In selecting a bank for your

business, scout around and look for one that can, and will help you. Determine what your banking

needs will be, and then via telephone, interview the managers of the banks in your area. The

important thing is to be discretionary and not select just the most convenient bank to your

business location.

A point to remember: the closer you can make the relationship between you and the bank

manager, the better your chances are going to be for approval on loans and/or special favors you

may need at a later date.

Try to become acquainted with as many of the bank employees as possible. The better

you know them, the more courtesies they'll be extending especially to you in the course of your

association.

Just as a doctor is a specialist in his field, and you go to him for medical problems, your banker is

a specialist in his field and you should go to him for your money problems. In business, you'll have

to learn that everyone is an expert in his own line of work, and in your associations with other

business people, refrain from acting like a "sharpie" and/or pretending that you know exactly how

everything works in someone else's specialty.

You'll find that very often, different banks specialize in different types of businesses. As an

example, you're sure to find banks that specialize in real estate transactions, export-import

businesses, and even manufacturing operations only. What I'm saying here is that if you're

planning to sell a fairly expensive item, your customers will probably need and/or want financing. It

will behoove you to select a bank familiar with your type of product that will afford your customers,

thru you, contract financing.

Some of the questions you should ask of your banker include the following: Is it necessary

to maintain a certain balance in your account before the bank will approve a loan for you?

What qualifications must you have in order to obtain a line of credit with the bank?

Does the bank limit the number of loans, or types of loans it will approve for small

businesses?

What is the bank's policy regarding the size of a check you might deposit that requires

holding for collection?

And what about checks less than that amount - will they be immediately credited to your

account?

In almost all types of businesses, it will be to your benefit to set up with your bank a method of

handling VISA, Master Charge, and regional credit cards. The important thing here is to ultimately

set up your account in the bank that will service all of these credit transactions for you - one stop

for all your banking needs. In most instances, you'll find that having the capability to fill

orders/make sales via credit card transactions, will increase your volume of sales appreciatively.

Once you've made the decision as to which bank is going to handle your account, you'll

need your Social Security Number or your Federal Employer's Identification Number, your driver's

license, the fictitious name certificate, and if you're requesting a VISA or Master Charge franchise,

you'll also need a financial statement. For corporations, you'll also need a corporate resolution

approving of the opening of your business account.

There are different policies exercised in just about every state regarding installation/hookup

charges by the telephone and utility companies. Some require a deposit, and some don't.

You'll find that a great number of city business license departments are there solely for the

purpose of collecting another tax. Depending on the type of business you're asking a license for,

the building and zoning people may inspect your premises for soundness of structure and safety.

Generally, you won't encounter any difficulties - you simply pay your fee to operate your business

in that city, and the clerk types your name onto a city license certificate.

Relative to sales tax permits and licenses, each state's rules and regulations vary widely.

The best thing to do is call your state offices and ask for information concerning registry and

collection procedures. Many states require an advance deposit or bond, and you'll find that some

wholesalers or manufacturers will not sell to you at wholesale prices until you can show them your

sales tax permit or number.

Should your business entail selling your products or services across state lines, in another

state, you're not required to collect taxes except in those where you have offices or stores.

You may find also that your particular business requires the collection of Federal Excise

Taxes. For information along these lines, check in with your local office of the Internal Revenue

Service.

Some states also require certain businesses to hold state licenses, such as those

required in many states for TV Repairmen. These are known as "occupational permits" and are

most often required of barbers, hair stylists, real estate people and a number of other consumer

oriented businesses. If you have any doubts, check with your state offices for a list of those

occupations that require licensing.

Any business doing business in any type of interstate commerce is subject to federal

regulations, usually thru the Federal Trade Commission. This means that any business that

shops, sells or advertises in more than one state is subject to such regulation, and this includes

even the smallest of mail order operations.

Normally, very few business people ever have any contact with the federal regulatory

agencies. The only exceptions being when there is a question of your operating your business

unethically or illegally.

Any business that sells or distributes food in any manner almost always requires a county

health department permit. If your business falls into this category, simply call the county health

department and invite them out to your place of business for an inspection. The fees generally

range from about $25, depending on the size of your business when they first inspect it for permit

approval.

There are also a number of businesses that require inspection by a fire marshal, and fire

department approval. Generally, these are those that handle flammable materials or attract large

numbers of people, such as a theater. Overall, the local fire department has to be allowed to

inspect your premises whenever they desire to do so. .

You may also run into a requirement for an air and/or water pollution control permit.

These specifically apply to any business that burns anything, discharges anything into the sewers

or waterways, or use any gas-producing product, such as a paint sprayer.

Without a doubt, you'll need to check on

local regulations relating to advertising display signs. Each city or township makes its own rules

and then enforces those rules according to its own thinking - check before you contract to have a

sign made for your business .

The design and placement of your sign is very important to your business - specifically to

retail establishments - but let me remind you that your business sign is usually the first thing a

potential customer sees and as such, it should catch his eye and leave an impression that lasts. It

would be a good idea to ride around your town and take a look at the signs that catch your eye,

and try to determine the impression of the business that sign leaves on you. This is a basic

learning formula for determining the design, size and placement of your business sign.

Some of the other things to consider before opening for business - If you intend to employ

one or more employees, you'll be required to deduct Federal Income Taxes, and Social Security

payments from their checks. This will involve your filing for a Federal Tax Number and

necessitates contact with your local IRS Office.

Most states have "unemployment taxes" which will have to be deducted from the

paychecks of any employees you hire. And there are a number of states that have income taxes -

disability insurance - and any number of other taxes. Again, the best thing to do is check with your

local office of the IRS. And above all else, don't forget to ask for the rules of the minimum wage

law, and comply.

When your business grows to the point of needing additional help, don't be afraid to look

for and hire the help you need. When you're ready to hire someone, simply run an ad in your local

paper and/or register your needs with the local office of your state's employment service.

Businesses either grow or die, and those that grow eventually need more people in order to continue

growing. When that time comes, hire the additional people you need, and your business will

continue growing. If you don't, for whatever reason, you'll find yourself married to your business

and your business growth stymied.

Regardless of how small your business is when you begin, never walk in with the thought

in mind that it's something to keep you busy. Anyone with an attitude of that kind , is a fool. You

begin and make a business successful in order to realize financial freedom. Establish your

business. Put it on its feet, and then hire other people to do the work for you. And those

businesses that require an operations manager, or someone to run a phase of the business you're

too busy to handle, hire the person needed or the business will surely suffer.

To protect the investment of your business, you need business insurance. If you've never

had any experience with business insurance, simply look under the heading of "business

insurance" in your phone directory. Ask for bids from several different companies or agents...

Primarily, you should have a policy that gives you general liability, fire, workmen's compensation,

business interruption, and vehicle coverage. You may also want coverage against possible losses

related to burglary, robbery, Life & Accident, Key Man, and Fidelity Bonds.

As the sole proprietor of a business, you won't be paid as an employee, so there'll be no

income tax deducted from whatever you withdraw from the company's earnings. What you'll have

to do is again check with the IRS Office for a Tax Guide For Small Businesses Handbook, and

probably end up filing an estimated tax return on a quarterly basis.

The minute you open your doors for business, you'll have to spend some time engaged in

the work of bookkeeping. Exactly how, and using what forms, you keep books, should be on the

recommendations of a good tax counselor... The same holds true for your overall business and/or

payroll accounting system. Look for an experienced CPA that knows the accounting problems to

your particular kind of business, and solicit his advise/counseling.

If your business is going to involve the possible purchase or lease of operating

equipment, again seek the help of your tax counselor for the most advantageous method of

obtaining the needed equipment.

Basically, arranging for your suppliers to give you materials on credit will depend upon

your honesty and personal financial statement. The best way is usually a personal visit to the

person with the power to approve or disapprove of credit at the company where you want to set up

a credit account. Show him your financial statement, and explain your prospects for success.

Then assure him that you've always honored all of your obligations, and that if ever there's a

question or problem, you'd like for him to call you at home. And of course, give him your home

phone number.

We won't go into the exigencies of advertising your products, services or business here,

but there is something along these lines you should always keep in mind. The best kind of

advertising your business can receive is that that you don't really pay for - publicity. When

something unusual happens to you, your business, or your employees -that's news, so be sure

you tell the news media in your area about it.

In closing, let me say that the most important ingredient of your eventual success will be

the soundness of the planning you did before you started your business. Any number of bad

things can really throw your business into a tailspin, but if you've done your homework well - really

set up a detailed business plan before starting - your losses or setbacks will be minimal. Success

takes planning, and within this report, you've got a basic checklist... The rest is up to you... Good

luck, and may your life overflow with success in all that you undertake from this moment forward.

How to prepare a business plan that offers big Profits.. #3503

By Leo B. Minton Published 1984 by PREMIER PUBLISHERS. INC.,

USA.

All rights reserved. No part of this report may be reproduced

without the

express prior permission of the publisher.

Success in business comes as a result of planning. You have to have a detailed, written

plan that shows you what the ultimate goal is, the reason for the goal, and each milestone that

must be passed in order to reach your goal.

A business plan is a written definition of, and an operational plan for achieving your goal.

You need a complete business tool in order to define your basic product, income objectives and

specific operating procedures. YOU HAVE TO HAVE A BUSINESS PLAN to attract investors,

obtain financing and hold onto the confidence of your creditors, particularly in times of cash flow

shortages - in this instance, the amount of money you have on hand compared with the expenses

that must be met. . .

Aside from an overall directional policy for the production, sales efforts and profit goals of

your product - your basic "travel guide" to business success - the most important purpose your

business plan will serve, will be the basis or foundation of any financial proposals you submit.

Many entrepreneurs are under the mistaken impression that a business plan is the same as a

financial proposal, or that a financial proposal constitutes a business plan. This is just a

misunderstanding of the uses of these two separate and different business success aids.

The business plan is a long range "map" to guide your

business to the goal you've set for it. This plan details the what, why, where, how and when, of

your business - the success planning of your company.

Your financial proposal is a request for money based upon your business plan - your

business history and objectives.

Understand the differences. They are closely related, but they are not interchangeable.

Writing and putting together a "winning" business plan takes study, research and time, so

don't try to do it all in just one or two days.

The easiest way is to start with a loose leaf notebook, plenty of paper, pencils, pencil

sharpener, and several erasers. Once you get you mind "in gear" and begin thinking about your

business plan, "10,000 thoughts and ideas per minute" will begin racing thru your mind. . . So, it's

a good idea when you aren't actually working on your business plan, to carry a pocket notebook

and jot down those business ideas as they come to you - ideas for sales promotion, recruiting

distributors, and any other thoughts on how to operate and/or build your business.

Later, when you're actually working on your business

plan, you can take out this "idea notebook" - evaluate your ideas, rework them, refine them, and

integrate them into the overall "big picture" of your business plan.

The best business plans for even the smallest businesses run 25 to 30 pages or more, so

you'll need to "title" each page and arrange the different aspects of your business plan into

"chapters." The format should pretty much run as follows:

Title Page

Statement of Purpose

Table of Contents

Business Description

Market Analysis

Competition

Business Location

Management

Current Financial Records

Explanation of Plans For Growth

Projected Profit & Loss/Operating Figures

Explanation of Financing for Growth

Documentation Summary of Business & Outlook for The Future

Listing of Business & Personal References

This is a logical organization of the information every business plan should cover. I'll

explain each of these chapter titles in greater detail, but first, let me elaborate upon the reasons

for proper organization of your business plan.

Having a set of "questions to answer" about your business forces you to take an objective and

critical look at your ideas. Putting it all down on paper allows you to change, erase and refine

everything to function in the manner of a smoothly oiled machine. You'll be able to spot

weaknesses and strengthen them before they develop into major problems. Overall, you'll be

developing an operating manual for your business - a valuable tool which will keep your business

on track, and guide you in the profitable management of your business.

Because it's your idea, and your business, it's very important that YOU do the planning.

This is YOUR business plan, so YOU develop it, and put it all down on paper just the way YOU

want it to read. Seek out the advice of other people; talk with, listen to, and observe, other people

running similar businesses; enlist the advice of your accountant and attorney - but at the bottom

line, don't ever forget that it has to be YOUR BUSINESS PLAN!

Remember too, that statistics show the greatest causes of business failure to be poor

management and lack of planning - without a plan by which to operate, no one can manage; and

without a direction in which to aim its efforts, no business can attain any real success.

On the very first page, which is the title page, put down the name of your business - ABC

ACTION - with your business address underneath. Now, skip a couple of lines, and write in all

capital letters: PRINCIPAL OWNER - followed by your name if you're the principal owner. On your

finished report, you would want to center this information on the page, with the words "principal

owner" off-set to the left about five spaces.

Example: ABC ACTION

1234SW5thAve. Anywhere, USA 00000

PRINCIPAL OWNER: Your Name

That's all you'll have on that page, except the page number -1-... -3-

Following your title page is the page for your statement of purpose. This should be a

simple statement of your primary business function, such as: We are a service business engaged

in the business of selling business success manuals and other information by mail.

The title of the page should be in all capital letters across the top of the page, centered on

your final draft - skip a few lines and write the statement of purpose. This should be direct, clear

and short - never more than two (2) sentences in length.

Then you should skip a few line, and from the left hand margin of the paper, write out a

sub-heading in all capital letters, such as: EXPLANATION OF PURPOSE.

From, and within this sub-heading, you can briefly explain your statement of purpose,

such as: Our surveys have found most entrepreneurs to be "sadly" lacking in basic information

that will enable them to achieve success. This market is estimated at more than 100 million

persons, with at least half of these people actively "searching" for sources that provide the kind of

information they want, and need.

With our business, advertising and publishing experience, it is our goal to capture at least

half of this market of information seekers, with our publication, MONEY MAKING MAGIC! Our

market research indicates we can achieve this goal, and realize a profit of $1,000,000 per year

within the next 5-years. . .

The above example is generally the way you should write your "explanation of purpose,"

and in subtle definition, why you need such an explanation. Point to remember: Keep it short. Very

few business purpose explanations are justifiably more than a half page long.

Next comes your table of contents page. Don't really worry about this one until you've got

the entire plan completed and ready for final typing. It's a good idea though, to list the subjects

(chapter titles) as I have, and then check off each one as you complete that part of your plan.

By having a list of the points you want to cover, you'll also be able to skip around and work

on each phase of your business plan as the idea or the interest in organizing that particular phase,

stimulates you. In other words, you won't have to make your thinking or your planning conform to

the chronological order of the 'chapters' of your business plan - another reason for the loose leaf

notebook. . .

In describing your business, it's best to begin where your statement of purpose leaves off.

Describe your product, the production process, who has responsibility for what, and most

importantly, what makes you product or service unique - what gives it an edge in your market. You

can briefly summarize your business beginnings, present position and potential for future success,

as well.

Next, describe the buyers you're trying to reach - why they need and want or will buy your

product - and the results of any tests or surveys you may have conducted. Once you've defined

your market, go on to explain how you intend to reach that market - how you'll alert these

prospects to your product or service and induce them to buy. You might want to break this chapter

down into sections such as... publicity and promotions, advertising plans, direct sales force, and

dealer/distributor programs. Each section would then be an outline of your plans and policies. •

Moving into the chapter on competition, identify who your competitors are - their

weaknesses and strong points - explain how you intend to capitalize on those weaknesses and

match or better the strong points. Talk to as many of your "indirect" competitors as possible --

those operating in different cities and states.

One of the easies ways of gathering a lot of useful information about your competitors is

by developing a series of survey questions and sending these questionnaires out to each of them.

Later on, you might want to compile the answers to these questionnaires into some form of

directory or report on this type of business.

It's also advisable to contact the trade associations and publications serving your

proposed type of business. For information on trade associations and specific trade publications,

visit your public library, and after explaining what you want, ask for the librarian's help.

The chapter on management should be an elaboration

on the people operating the business. Those people that actually run the business • their job titles,

duties, responsibilities and background resume's. It's important that you "paint" a strong picture of

your top management people because the people coming to work for you or investing in your

business, will be "investing in these people" as much as your product ideas. Individual tenacity,

mature judgment under fire, and innovative problem-solving have "won over" more people than

all the AAA Credit Ratings and astronomical sales figures put together.

People becoming involved with any new venture want to know that the person in charge -

the guy running the business knows what he's doing, will not lose his cool when problems arise,

and has what it takes to make money for all of them. After showing the "muscle" of this person, go

on to outline the other key positions within your business; who the persons are you've selected to

handle those jobs and the sources as well as availability of any other help you might need.

If you've been in business on any kind of scale, the next chapter is a picture of your financial

status - a review of your operating costs and income from the business to date. Generally, this is a

listing of your profit & loss statements for the past six months, plus copies of your business

income tax records for each of the previous three years the business has been an entity.

The chapter on the explanation of your plans for the

future growth of your business is just that - an explanation of how you plan to keep your business

growing - a detailed guide of what you're going to do, and how you're going to increase your

profits. These plans should show your goals for the coming year, two years, and three years. By

breaking your objectives down into annual milestones, your plans will be accepted as more

realistic and, be more understandable a,* a part of your ultimate success.

Following this explanation, you'll need to itemize the projected cost and income figures of

your three year plan. It'll take a lot of research, and undoubtedly a good deal of erasing, but it's

very important that you list these figures based upon thorough investigation. You may have to

adjust some of your plans downward, but once you've got these two chapters on paper, your

whole business plan will fall into line and begin to make sense. You'll have a precise "map" of

where you're headed, how much it's going to

cost, when you can expect to start making money, and how much.

Now that you know where you're going, how much it's going to cost and how long it's

going to be before you begin to recoup your investment, you're ready to talk about how and where

you're going to get the money to finance your journey. Unless you're independently wealthy, you'll

want to use this chapter to list the possibilities and alternatives.

Make a list of friends you can approach, and perhaps induce to put up some money as

silent partners. Make a list of those people you might be able to sell as stockholders in your

company - in many cases you can sell up to $300,000 worth of stock on a "private issue" basis

without filing papers with the Securities and Exchange Commission. Check with a corporate or tax

attorney in your area for more details. Make a list of relatives and friends that might help you with

an outright loan to furnish money for the development of your business.

Then search out and make a list of venture capital organizations. Visit the Small Business

Administration office in your area - pick up the loan application papers they have - read them,

study them, and even fill them out on a preliminary basis - and finally, check the costs, determine

which business publications would be best to advertise in, if you were to advertise for a partner or

investor, and write an ad you'd want to use if you did decide to advertise for monetary help.

With a listing of all the options available to your needs, all that's left is the arranging of

these options in the order you would want to use them when the time comes to ask for money.

When you're researching these money sources, you'll save time by noting the "contact" to deal

with when you want money, and whenever possible, by developing a working relationship with

these people.

In your documentation section, you should have a credit report on yourself. Use the yellow

pages or check at the credit department in your bank for the nearest credit reporting office. When

you get your credit report, look it over and take whatever steps are necessary to eliminate any

negative comments. Once these have been taken care of, ask for a revised copy of your report

and include a copy of that in your business plan.

If you own any patents or copyrights, include copier of these. Any licenses to use

someone else's patent or copyright should also be included. If you own the distribution, wholesale

or exclusive sales rights to a product, include copies of this documentation. You should also

include copies of any leases, special agreements or other legal papers that might be pertinent to

your business. .

In conclusion, write out a brief, overall summary of your business - when the business

was started, the purpose of the business, what makes your business different, how you're going to

gain a profitable share of the market, and your expected success during the coming 5-years. . .

The last page of your business plan is a "courtesy page" listing the names, addresses and

phone numbers of personal and business references - persons who've known you closely for the

past five years or longer - and companies or firms you've had business or credit dealings with

during the past five years.

And, that's it - your complete business plan. Before you send it out for formal typing, read

it over once a day for a week or ten days. Take care of any changes or corrections, and then have

it reviewed by an attorney and then, an accountant. It would also be a good idea to have it

reviewed by a business consultant serving the business community to which your business will be

related. After these reviews, and any last-minute changes you want to make, it'll be ready for

formal typing.

Hire a professional typist to type the entire plan on ordinary white bond paper. Make sure

you proof-read it against the original. Check for and correct any typographical errors - then one

more time - read it through for clarity and the perfection you want of it.

Now you're ready to have it printed and published for whatever use you have planned for

it - distribution amongst your partners or stockholders, as the business plan for putting together a

winning financial proposal, or as a business operating manual. ,

Take it to a quality printer in your area, and have three copies printed. Don't settle for photocopying...

Have it printed!

Photo-copying leaves a slight film on the paper, and will detract from the overall

professionalism of your business plan, when presented to someone you're trying to impress. So,

after going to all this work to put it together properly, go all the way and have it duplicated properly.

Next, stop by a stationery store, variety store or even a dime store, and pick up an

ordinary, inexpensive bind-in theme cover for each copy of your business plan. Have the holes

punched in the pages of your business report to fit these binders and then slip each copy into a

binder of its own.

Now you can relax, take a break and feel good about yourself. . . You have a complete

and detailed business plan with which to operate a successful business of your own. . . A plan you

can use as a basis for any financing proposal you may want to submit. . . And a precise road-map

for the attainment of real success. . .

Congratulations, and my best wishes for the complete fulfillment of all your dreams of

success!!!

HOW TO START A PROFITABLE HOME-BASED BUSINESS #3404

Copyright 1991 by Premier Publishers, Inc, USA.

All rights reserved. No part of this publication

may be reproduced by any means without the

express prior and written permission of the publisher.

In these days, it's becoming increasingly difficult to make ends meet with just one source

of income. Thus, more and more people are investigating the possibilities of starting their own

extra-income business. Many of these part-time endeavors are started and operated from the

comfort and privacy of the home.

Most of these people are making the extra money they need. Some have wisely and

carefully built these extra income efforts into full-time, very profitable businesses. Others are just

keeping busy, having fun, and enjoying life as never before. More importantly, they are doing

something other than waiting for the government to give them a handout - they are improving their

lot in life. You can do it, too!

The fields of mail order selling, multi-level marketing, and in-home party sales have never

been more popular. If any of these kinds of extra income producing ideas appeal to you, then you

owe it to yourself to check them out. But these aren't the only businesses you can start and

operate from home with little or no investment, and in which you can learn as you go.

If you type, you can start a home-based word processing or secretarial service. If you have a truck

or access to a trailer, you can start a clean-up, hauling, or apartment moving service. Simply

collecting old newspapers from your neighbors can get you started in the paper recycling

business, one of the hottest new businesses in this age of environmental consciousness. More

than a few enterprising folks have found success and fortune by starting home and apartment

cleaning services. If you have a yard full of flowers, you can make good extra money by supplying

fresh cut flowers to restaurants and offices in your area on a regular basis. Your green thumb

could also prompt you to begin an office plant care service. You might turn a ceramics hobby into

a lucrative personalized coffee mug business. Whatever your ability, there's literally no end to the

ways you can start and operate a profitable extra income business from your home.

The first thing you must do, however, is some basic market research. Find out for

yourself, first-hand, just how many people there are in your area who are interested in your

proposed product or service, and would be "willing to stand in line to pay money for it." This is

known as defining your market and pin-pointing your customers. If after checking around and

talking about your idea with many people over a period of one to three months, you get the idea

that there is a market for your business or service, your next effort should be directed toward the

detailing of your business plan. The more precise and detailed your plan - covering all the bases

relating to how you'll do everything that needs to be done - the easier it's going to be for you to

attain success. Such a plan should show your start-up investment needs, an advertising plan,

production costs and procedures, a detailed sales program, and exactly how your time will be

allocated. Too often enthusiastic and ambitious entrepreneurs jump in on an extra income project

and suddenly find that the costs are beyond their abilities and the time requirements more than

they can meet. It pays to lay it all out on paper before you get involved, and the clearer you can

visualize everything before you start, the better your chances for success.

Now, assuming you've got your market targeted and you will know who your customers are going

to be, determine exactly how you're going to reach them with your product or service. Will you

advertise in the newspaper? National magazines? On radio? Television? Itemize all your costs

and time requirements. If it all looks good, set your plan in motion and start making money.

Here is the most important "secret" of starting and building a profitable home-based business, so

read very carefully. Regardless of what kind of business you start, you must have the capital and

the available time to sustain your business through the first six months of operation. No matter

what, do not count on receiving or spending any money coming in from your business on yourself

or for your non-business expenses or bills during those first six months. All the income from your

operation during this initial period should be reinvested in the business in order for it to grow and

reach your planned first year potential. Once you've passed that first six month milestone, you can

set up a monthly salary for yourself and begin enjoying the fruits of your labor.

If you've got your business plan properly organized and have implemented the plan, you

should at the end of your first year be able to begin thinking about hiring other people to assume

some of your workload. Remember: Starting a successful business is not a means towards either

a job for yourself or a way to keep busy. It should be regarded as the beginning of an enterprise

that will grow and prosper, with you as the top dog. Eventually, you'll have other people doing all

the work for you, even running the entire operation, while you vacation in the Bahamas or Hawaii

and collect regular income from your initial efforts.

For more details on market research, business planning, advertising, selling, order

fulfillment, and other aspects of home-based businesses, check with the distributor from whom

you received this report. He or she will be able to assist you in finding resources for your future

planning and business success. Best Wishes for Success!

SURVIVAL TIPS FOR SMALL BUSINESSES #3405

Copyright 1991 by Premier Publishers, Inc, USA.

All rights reserved. No part of this publication

may be reproduced by any means without the

express prior and written permission of the publisher.

You may be in mail order, direct marketing, or you may be a local merchant with two

hundred employees. Whatever the case, you've got to know how to keep your business alive

during periods of economic recession or anytime the cash flow starts to tighten up. You have to

properly manage your money to keep your business running like a well-oiled, failure-proof

machine. Here are a few tips gathered from a lifetime of experience.

Always protect yourself from expenditures made on sudden impulse. We've all bought

merchandise or services we really didn't need simply because we were in the mood, in response

to a convincing advertisement, or due to the persuasiveness of a good salesperson. Later, we

wake up and find that we've committed hundreds of dollars of operating capital to an item or

service that is not in the least essential to the success of our business when other, more important

items have been waiting for those dollars.

If your business is incorporated, you can eliminate impulse purchases by including in your bylaws

a clause stating that "All purchasing decisions over (a certain dollar amount) are contingent upon

approval by the board of directors." This will force you to consider any impulse purchases of

considerable cost, and may even cause you to think twice when considering smaller purchases. If

your business is a partnership, develop a policy declaring that all purchases above a certain level

are contingent upon the approval of a majority of the partners in consultation with one another or

an outside third party. You are more deeply protected if your business is a sole proprietorship. As

an individual you have three days to consider a purchase and to nullify a contract if you should

decide otherwise.

While you may think you cannot afford it, be sure that you don't short-change yourself

when considering the professional services of attorneys, accountants, or business consultants.

This especially applies during times of expansion. Anytime you commit yourself and move ahead

without completely investigating all the angles or preparing yourself for all the possible

contingencies, you're skating on thin ice. Regardless of the costs involved, it always pays off in the

long run to seek out the advice of experienced professionals before taking a major financial risk.

For example, an experienced business consultant can fill you in on the advantages of filing for

admission to the 1244 stock category. While a very simple process, such a move could produce

tremendous benefits for your business. Without qualified advice, you may be missing out on the

great tax' advantages this category affords.

The 1244 status encourages investors to place equity capital into your business. In the

event of a loss, amounts up to the entire sum of the investment can be written off in the current

year. Without the 1244 classification, any losses would have to be spread over several years,

greatly reducing the attractiveness of your company's stock. Any business owner who does not file

for recognition as a 1244 corporation cuts himself off from a great percentage of prospective

investors.

When sales are slow, you must be particularly hard-nosed when people try to sell you

business luxuries. When business is booming, you undoubtedly will allow sales people to show

you new models of equipment or a new line of supplies. However, if your business is down, skip

the frills and concentrate on the basics. Great care must be taken, however, to remain courteous

with your suppliers and allow them to feel free to call back at another time.

Your company's books should reflect your strict standards, and whoever maintains them

should generate information according to your policies. Thus, you should hire an outside

accountant or accounting firm to calculate the return on your investment, as well as the turnover

on your accounts receivable and inventory. Such an audit or survey should focus in depth on any

or every item within your financial statement that merits special attention. In this way, you'll

uncover any potential financial problems before they become readily apparent or get out of hand.

Many small companies set up advisory boards composed of outside professionals.

Sometimes known as Power Circles, once in place the business always benefits from the advice

of these boards, especially in times of difficulty. Such an advisory council typically includes an

attorney, a certified public accountant, civic club leaders, owners or managers of businesses

similar to yours, and retired executives. Establishing such an advisory board of directors is really

quite easy because most people you ask will be honored to serve.

Once your board is set up, you should meet about once a month and present material for

review. Each meeting should be a discussion of your business problems and include the input

from your advisors relative to possible solutions. The members of your board of advisors should

offer you advice as well as alternatives, and provide you with objectivity. No formal decisions need

to be made either at or as a result of your meeting, but you should be able to gain a great deal

from the suggestions you hear.

If you are experiencing a lag in the payment of accounts receivable, take the necessary

steps to insure prompt payment by your customers. You will find that most customers have the

money to immediately pay at least a portion of what they owe you. To keep them current and to

decrease the number of accounts receivable in your files, call each account on the phone and

politely remind them that their account is overdue. If they are hesitant in responding, or if they

continue to fall behind, call and ask for an explanation of why they're past due. While maintaining

a courteous attitude, don't be hesitant or too gentle when it comes to collecting money. If you

develop a polite but no nonsense approach to the collection of delinquent accounts as part of your

operating procedure, you'll find customers will more quickly pay your invoices rather than risk

having to explain their delay.

Another very good business practice that few business owners pursue is to methodically

build a credit rating with their local banks. During extended periods when you do experience a

positive cash flow, borrow $1000 to $10,000 from your bank every 90 days or so. Simply borrow

the money, place it in an interest bearing account, and then pay it all back at least a month or so

before it's due. Such a practice will increase the borrowing power of your signature and strengthen

your ability to obtain needed financing on short notice. This is the kind of business leverage that

will be of great value to you if or whenever your cash position becomes less favorable.

Definitely join your industry's local and national trade associations. Most of these

organizations have a wealth of information available on everything: details on your competitors,

average industry sales figures, new products, services, and marketing trends. If you are given a

membership certificate or wall plaque, display it conspicuously on your office wall. Customers like

to see such seals of approval and feel additional confidence in your business when they see them.

Also, become a member of one or more civic groups in your community. Besides the good works

that you will be helping perform in your city, you will be creating a myriad of friendships and

business connections that will provide you an unlimited number of future opportunities.

Another secret that is often overlooked: If at all possible, have your spouse work in the

business with you for at least three or four weeks per year. If for any reason you are not available

to run the business during a period of protracted illness or other emergency, your spouse will have

already become familiar with the people and situations connected to your business. If your spouse

is acquainted with your attorney, accountant, consultants, creditors, and your major suppliers,

he/she will be able to fill-in for you when you most need it. The long-term advantages of having

your spouse work several weeks per year in your business will greatly outweigh the short-term

inconvenience to either one of you.

As often as possible, take advantage of any free business counseling available to you.

The Small Business Administration publishes many excellent booklets, checklists, and brochures

on a large variety of businesses. These publications are available free or for a minimal charge

through the U.S. Government Printing Office. Most local universities and many private

organizations hold seminars at minimal cost or without charge. You should also take advantage of

any services offered by your bank and local library.

The most important aspect of running a small business is to know precisely the direction in which

you're heading. Determine on a day-to-day basis your progress toward your goals. Always be

aware of what your competitors are doing, and practice careful money management at all times.

All this will prepare you to recognize potential problems before they arise.

Small business survival is based upon knowledge. Knowing in advance any possible

pitfalls along the way will better prepare you to meet the various challenges that face an

entrepreneur. Seeking the advice of knowledgeable counsel, whatever the field, will help you

develop a winning plan and become a success. Seize the opportunity. As the old saying goes, "A

journey of a thousand miles begins with a single step." Take that step toward your future now!

HOW TO REORGANIZE YOUR TIME TO ACCOMMODATE A HOME-BUSINESS #3401

Copyright 1991 by Premier Publishers, Inc. USA.

All rights reserved. No part of this publication

may be reproduced by any means without the

express prior and written permission of the publisher.

Almost everyone would like to have additional income so that they might afford the

luxuries their current income cannot provide. Most would like to start some sort of extra

project. The trouble is, not many of these people seem able to fit a second job into their

time schedules.

While it is true that most people are busy, time for establishing a home-based extra

income project can almost always be found. It may mean giving up or changing a few of your

favorite pastimes - such as spending an evening out with friends or watching TV - but if you score

big with your extra income project, you later will have all the time you want for doing whatever you

gave up to make that business a reality.

First, sit down with pencil and paper and list your daily schedule. What time do you wake

up? Then step-by-step, list the great variety of things you do each day. Most people will find that

they have approximately three hours each day that can be utilized in a more constructive or

efficient manner. As noted above, you may have to give up the time you spend at the local pub or

a few television programs you watch, but it will be worth it in the long run.

Efficient time management boils down to planning what you're going to do, and then doing

it without backtracking. Each evening before you go to bed, make a list of the things you must

accomplish the next day. Schedule your trips to the store or wherever to coincide with the other

items on the list, making as few separate trips as possible and taking care of as many things as

possible while you're out of the house. Take stock of the time you spend standing around shooting

the breeze - especially the time you spend on the telephone - and eliminate all that isn't

necessary. You may find it helpful to keep a daily organizer or small notebook handy. In this book,

write down all your objectives in the order you wish to accomplish them. As each is completed,

either strike it from the list or place a mark beside it. Only after your list of imperatives is

completed can you begin devoting yourself to your spare-time job or leisurely pursuits.

Whatever chores you have to do at home, set aside a specific time to do them and a

specific amount of time to be devoted to their completion. For instance, just one hour a day

devoted to yard work would probably make your property the envy of all your neighbors. Don't try

to do a week's work in one big flurry. Whether it's painting your house, fixing leaky faucets, or

mowing your lawn and trimming your shrubs, do a part of it or one particular job each day, and

you'll be amazed at your progress.

Take care of all your mail the day you receive it. Don't let those bills and letters pile up on

you. If you're unable to pay a bill immediately, file it in a special place that's visible, and note on

the envelope the date you intend to pay it. Answer your letters the same day you get them.

The important thing is to think of time as your most valuable asset, because it is. So

organize! Decide what you have to do, and what you want to do. From there, it's just a matter of

arranging priorities. Once you start listing and planning what you need to accomplish and then

carry out your plans, you'll find plenty of "extra time" for handling virtually any kind of home-based

income-producing project.

People in general may not like routines or schedules, but without a plan to follow the world

would be mired in mass confusion. Laws, ordinances, and regulations are designed for the

purpose of guiding people. We live according to an accepted plan or way of life, and the better we

can organize ourselves, the more productive and happy we become.

The secret of all financially successful people is organization. A man or woman who has

decided where he or she wants to go and how to get there will not waste time. Think about it.

Review your own activities, and then see if you can find a couple of extra hours in a day for more

constructive accomplishments. When you begin planning, and when you ultimately become

involved in an extra income business, you should work it exactly as you have organized your

regular day-to-day activities - in the most efficient manner possible. Do what has to be done

immediately. Don't try to get done in an hour something that should realistically take a week. Plan

out on paper what you have to do, what you want to do, and when you are going to do it. Then, get

right on each project without procrastination.

Finally, and above all else, when you're organizing your time and your business, be sure

to set aside some time for relaxation. Schedule a specific time when you and your spouse can be

together. You must not involve yourself in anything to an extent that you exclude other people -

particularly your loved ones - from your life. Reserve time for your children, both as a family group

and as individuals. Time spent in relaxation will mentally prepare you for the dedication necessary

to complete all your objectives in a given day.

Take stock of the time you waste each day. Reorganize your activities to make the

maximum use of your available time and to add an income-producing business to your schedule.

The establishment of a successful spare-time business is a matter of becoming more efficient in

the use of your day. It's relatively easy to do, and you will find that you not only accomplish a lot

more, but you will also discover greater fulfillment in your business and personal life.

LEGALITIES & TAX ADVANTAGES IN A HOME BUSINESS

Copyright 1991 by Premier Publishers, Inc, USA.

All rights reserved. No part of this publication

may be reproduced by any means without the

express prior and written permission of the publisher.

Every year, thousands of people develop an interest in starting their own business. Many

of these have an idea, product, or service they hope to develop into an income producing

business that can be operated from their own homes. If you are one of these people, here is some

practical advice to consider before hanging out your "Open for Business" sign.

Consider your city's zoning laws. Working from your home in an area zoned "Residential Only"

could place your business contrary to zoning restrictions. Some cities rule out home businesses

involving the coming and going of more than a handful of customers, clients, or employees. Many

businesses that sell or store any item for sale on the premises also fall into this category. Be sure

to check with your local zoning office to find out how the ordinances in your area may affect your

business plans. You may need a special permit to operate your business from your home. You

could find that making small changes in your plan will help you meet zoning standards.

Obtaining zoning approval for your business can be as simple as filling out an application,

or it could involve a public hearing. Zoning officials will primarily consider how your business will

affect the neighborhood. Will it noticeably increase the traffic on your street? Will there be a

substantial increase in noise? How will your neighbors feel with your business opening near their

homes? Will property values be affected, thereby decreasing tax revenue?

Many communities grant home occupation permits for businesses that involve typing,

sewing, and teaching, but deny exemptions to photographers, interior decorators, and

operations seeking a zoning abatement to run their businesses from home. Often,

even if you are permitted to use your home for a given business, there will be restrictions that you

may need to take into consideration. You must work closely with your city or county zoning

commission in order to save yourself time, trouble, and dollars.

Occasionally permission will be granted for a home business to operate providing specific

conditions are met. Such requirements might include the providing of off-street parking for your

customers, or a prohibition against posting signs in your residential area. If you plan to begin a

child care, home school, or tutoring service, there is generally a limit on the number of students

you may have at any one time. Child care services, catering, or operations involving food handling

or preparation often require health permits from the city or county Health Department.

If you are selling something from your home, you may need a vendor's license. You will

also be required to collect sales tax on sales made within your state. Collection of taxes will

require careful record keeping on your part. Check with your state comptroller's office for more

information.

If your business requires any licenses, you will have to file one or more forms with the

agencies under whose jurisdiction you fall. Licensing can be a simple process, or depending upon

the type of business, it may involve the inspection of your home to determine if it meets local

health, building, and fire codes. Should this be the case, you will need to insure that your facilities

meet the local standards. This could involve some simple repairs or adjustments that you can

either do personally or hire out to a handyman at a nominal cost.

Insurance costs must be figured into the operating expenses of your business. Will your

homeowner's insurance cover the property and liability involved in your new business? If a

customer injures himself while on your property, will you have enough insurance to cover any

claims against you? This must be determined before you begin operation, so be sure to talk it over

with your insurance agent.

Tax deductions, once one of the advantages of engaging in a home business, are not as

attractive as they once were. To be eligible for business related deductions today, the Internal

Revenue Service requires that you use the part of your home claimed as a deduction "exclusively

and regularly" as either the principal location of your business or the place reserved to meet

patients, clients, or customers. Thus, if you work out of the corner of the den, but the family also

uses the room for watching television, you cannot deduct the space as a business expense. Your

personal telephone, if used for anything other than business calls, is not a legitimate deduction.

Carefully review the tax laws before filing for any home business deductions.

There are a couple of exceptions to note within the "exclusive use" tax rule. One is the storage of

inventory in your home. If you use your home as headquarters for a trade or business in which you

sell retail or wholesale products, the IRS declares that storage space can be deducted if the

storage space is used on a regular basis and is a separately identifiable space. If this condition is

met, you may legitimately deduct use of the area.

The deductible use of your home as a daycare facility providing care for children, the

elderly, or the physically or mentally disabled must also meet several requirements. While not

restricted by "exclusive use" regulations, use of the home can only be considered deductible if you

comply with all state laws and regulations for the licensing of such institutions. Because these

standards are numerous, strict, and often difficult to meet in a typical residential home, you

probably will not be able to claim this deduction.

In general, to be eligible for business deductions you must be engaged in an activity with

the intent of making a profit. It's presumed you meet this requirement if your business shows a

profit in any two years of a five-year period. Once you are this far along, you can deduct business

expenses such as supplies, subscriptions to professional journals, and an allowance for the

business use of your car or truck. You can also claim deductions for related business expenses

such as utilities, and in some cases, even a new paint job for your home.

The IRS is going to treat the part of your home you use for business as though it were a

separate piece of property. This means that you'll have to keep good records and take care not to

mix business and personal matters. No specific method of record keeping is required, but your

records must clearly justify any deductions you claim. You can begin by calculating what

percentage of the house is used for business, either by number of rooms or by square footage.

Thus, if you use one of five rooms for your business, the business portion is 20 percent. If you run

your business out of a room that's 10 by 12 feet and the total area of your home is 1,200 square

feet, the business-space factor is 10 percent. An extra computation is required if your business is

a home daycare facility. Check with your tax preparer and the IRS for an exact determination. If

you're a renter, you can deduct the portion of your rent which is attributable to the business share

of your house or apartment. Homeowners can take a deduction based on the depreciation of the

business portion of their house.

There is a limit to the amount of business expense you can deduct from your federal

income tax. This is equal to the amount of gross income generated by the business minus those

home expenses you could deduct even if you weren't operating a business. For example, real

estate taxes and mortgage interest are deductible regardless of any business activity in your

home, so you must subtract from your business' gross income the percentage that's allowable to

the business portion of your home. You thus arrive at the maximum amount for home-related

business deductions.

If you are self-employed, you will claim your business deductions on Schedule C, Profit

(or Loss) for Business or Profession in your annual income tax return. The IRS emphasizes that

claiming home business deductions does not automatically trigger an audit of your tax return.

Even so, it is always wise to keep meticulously within the proper guidelines and maintain detailed

records if you claim business related expense. You should discuss this aspect of your operation

with your tax preparer or with a person qualified in the field of small business taxes.

If your business earnings aren't subject to withholding tax and your estimated federal

taxes are $100 or more, you'll probably be filing a Declaration of Estimated Tax, Form 1040- ES.

To complete this form, you will have to estimate your income for the coming year and also make a

computation of the income tax and self-employment tax you will owe. Self-employment taxes pay

for Social Security coverage. If you have a salaried job covered by Social Security, the

tax applies only to the amount of your home business income that when added to

your salary reaches the current ceiling. When filing this form, you must make the first of four equal

installment payments on your estimated tax bill.

The total amount of your taxes due can also be decreased if you contribute to a Keogh or

an Individual Retirement Account (IRA ). A husband and wife can deduct up to $2000 each from

their total gross income if the amount is deposited into such a retirement account. The money will

continue to accrue with interest tax deferred until it is withdrawn. Check with your bank,

accountant, or broker for further details.

HOW TO SET UP A TAX-SAVING BOOKKEEPING SYSTEM

Copyright 1991 by Premier Publishers, Inc, USA.

All rights reserved. No part of this publication

may be reproduced by any means without the

express prior and written permission of the publisher.

One of the most important but least understood and appreciated aspects of any business

is its bookkeeping or accounting system. Because very few people know much about the reasons

for a bookkeeping system, many are frightened by the thought of the work involved in setting up

such a system and the drudgery of daily maintenance.

There's really nothing complicated about bookkeeping. It's as simple as keeping a daily

diary and maintaining your personal checkbook. It is basically a matter of recording all of your

incoming money (deposits) and keeping a record of the money you spend (expenses). There are

numerous simple bookkeeping programs available for small computer users. If you have a home

computer that you will be using for your business, try out some of the shareware or public domain

programs that can be used by small businesses free of charge or for a small fee. If you do not

have a computer, don't worry. This report will show you how to set up a bookkeeping system that

is simple and easy to use.

First, open a business checking account for your extra-income business with the local

bank where you usually do business. Generally, this is simply a matter of asking the new accounts

teller for a business account registration card. The bank will have you fill out the registration and

signature card, make an initial deposit, order your checks to be imprinted with your company

name, and you're ready to go. Into this account you will deposit all your incoming monies, and

from this account write checks to pay for your expenses.

At a local stationery store pick up a loose-leaf notebook and a supply of paper. You'll also

want to pick up a supply of index tabs at the same time, either to separate the months or the

accountability sections for each item sold. Assuming that you want to make your bookkeeping

system as simple as possible, while at the same time keeping it as efficient as is necessary,

here's a method that will meet all of your needs.

On the first page of your notebook, write on the top line and in the middle of the page: the

day, month and year that you officially start your business. As your orders come in by mail and as

you open each envelope, begin at the left hand side of the page and jot down the amount you

received, what item was ordered, from whom, and their zip code. The page might look like this:

Monday - January 1,1993

$ 14 Book #1405 Listen 91108

$100 Dealership Fee Barton 39204

$ 10 Book #261 Marks 06978

TOTAL INCOME $124 EXPENSES $0

That's all there is to it. It simply boils down to recording what you receive and what you

spend. Any expenses you incur can be placed in the same column or in a second column just to

the right of the column for incoming amounts. The next entry, immediately under that first day's

entry, might look like this:

Tuesday - January 2, 1993

$100 Dealership Fee Johnson 92100

$ 20 Printing Expenses Don's Copy Shop

$ 10 Book #4321 Simms 32323

TOTAL INCOME $110 EXPENSES $20

Carry on with this recording of the money you receive and spend each day with similar

entries for each day of the week. Do this every day Monday through Saturday for each week. It's

simple, uncomplicated, and a positive record of your business activity. It is essentially the same as

what you do with your personal checkbook. It will be best to keep a separate ledger listing all of

your bank deposits and withdrawals by check. This can then be compared with your daily

business ledger to assure accuracy in both ledgers.

Then at the end of each month, transfer this daily diary information to one of the low cost

bookkeeping registers from which your tax consultant or accountant can work. Your tax

won't want to work from your daily diary, and will not transfer the information you record in it to a

formal bookkeeping register without charging you a small fortune. It's not that big of a job, and if

you do it after the close of business on the last day of each month, it will take only a very few

minutes. Then, of course, when you're ready to do your taxes, you simply give your bookkeeping

register to whoever is going to do your taxes, and you're home free.

The bookkeeping register you'll need can be any simple columnar notebook. All you really need is

a notebook with a number of columns marked off, a title written at the top of each column, and a

record of the money received for each day relative to the product or service each column

represents. Then at the end of each month, you can simply add the totals from each column and

you'll instantly know how much money you took in from each of your offers.

Your expenses are listed in your bookkeeping register in the same method as your

income was, except in separate columns. You will title each of the columns with your regular

expense categories such as Postage, printing, shipping containers, etc. Record your expenditures

for items falling into those categories under the appropriate headings. At the end of each month,

it's a simple matter to add the totals from each column and know exactly where you stand relative

to profit or loss - how much you took in compared to how much you spent.

Bookkeeping and accounting is very easy and should not scare you. Just keep it simple

and up-to-date. Complete records will help you follow the sales progress of each book in your

inventory, and will allow you to increase your advertising to promote those books that need

additional help and to feature those books that appeal to the greatest number of buyers. Good

Luck and Best Wishes for Success!

HOW TO RAISE MONEY FOR STARTING A BUSINESS #3402

Copyright 1991 by Premier Publishers, Inc, USA.

All rights reserved. No part of this publication

may be reproduced by any means without the

express prior and written permission of the publisher.

The task of raising money for a business is not as difficult as most people seem to think.

This is especially true when you have an idea that can make you and your backers rich. Actually,

there's more money available for new business ventures than there are good business ideas.

A very important rule of the game to learn: Anytime you want to raise money, your first

move should be to put together a proper prospectus. This prospectus should include a resume of

your background, your education, training, experience, and any other personal qualities that might

be counted as an asset to your potential success. It's also a good idea to list the various loans

you've had in the past, what they were for, and your history in paying them off.

You'll have to explain in detail how the money you want is going to be used. If it's for an

existing business, you'll need a profit and loss record for at least the preceding six months, and a

plan showing how this additional money will produce greater profits. If it's a new business, you'll

have to show your proposed business plan (see our report #3503), your marketing research, and

projected costs, as well as anticipated income figures with a summary for each year over at least

a three year period. It'll be advantageous to you to base your cost estimates high, and your

income projections on minimal returns. This will enable you to "ride through" those extreme ups

and downs inherent in any beginning business. You should also describe what makes your

business unique - how it differs from your competition, and the opportunities for expansion or

secondary products.

The prospectus will have to state precisely what you're offering the investor in return for

the use of his money. He'll want to know the percentage of interest you're willing to pay, and

whether monthly, quarterly, or on an annual basis. Are you offering a certain percentage of the

profits? A percentage of the business? A seat on your board of directors? Remember: the investor

is seeking as much as he can get in return for the use of his money, regardless whether it's a

short term or long term deal. In order to attract, interest, and persuade him to "put up" the money

you need, you'll not only have to offer him an opportunity for big profits, but you'll have to spell it

out in detail. Further, back up your claims with proof from your marketing research.

Venture investors are usually quite familiar with "high risk" proposals, and they all want to

minimize that risk as much as possible. Therefore, your prospectus should include a listing of your

business and personal assets with documentation - usually copies of your tax returns for the last

three years or more. Your prospective investor may not know anything about you or your

business, but if he wants to know he can pick up his telephone and discover everything there is to

know within 24 hours. The point is, don't ever try to "con" a potential investor. Be honest with him.

Lay all the facts on the table for him. In most cases, if you've got a good idea and you've done

your homework properly, an interested investor will understand your position and offer more help

than you dared to ask.

When you have your prospectus prepared, know how much money you want, exactly how

it will be used, and how you intend to repay it, you're ready to start looking for investors. As simple

as it seems, one of the easiest ways of raising money is by advertising in a newspaper or a

national publication featuring such ads. Your ad should state the amount of money you want -

always ask for more money than you need so you'll have room for negotiating. Your ad should

also state the type of business involved (to separate the curious from the truly interested), and the

kind of return you're promising on the investment.

Take a lesson from the party plan merchandisers. Set up a party and invite your friends

over. Explain your business plan, the profit potentials, and how much you need. Give them each a

copy of your prospectus and ask that they pledge a thousand dollars as a non-participating

partner in your business. Check the current tax regulations. You may be allowed up to 25 partners

in Sub-Chapter S enterprises, opening the door for anyone to gather a group of friends around

himself with something to offer them in return for their assistance in capitalizing his business.

You can also issue and sell up to $300,000 worth of stock in your company without going

through the Federal Trade Commission. You'll need the help of an attorney to do this, however,

and of course a good tax accountant as well wouldn't hurt. However, it's always a good idea to

have an attorney and an accountant help you make up your business prospectus. As you explain

your plan to them, and ask for their advice, casually ask them if they'd mind letting you know of or

steer your way any potential investors they might happen to meet. Do the same with your banker.

Give him a copy of your prospectus and ask him if he'd look it over and offer any suggestions for

improving it. And of course, ask that he let you know of any potential investors he or she may

come across. In either case, it's always a good idea to let them know you're willing to pay a

"finder's fee" if you can be directed to the right investor.

Professional people such as doctors and dentists are known to have a tendency to join

occupational investment groups. The next time you talk with your doctor or dentist, give him a

prospectus and explain your plan. He may want to invest on his own or perhaps set up an

appointment for you to talk with the manager of his investment group. Either way, you win. When

you're looking for money, it's essential that you get the word out to as many potential investors as

possible.

Don't overlook the possibilities of the small business investment companies in your area.

Look them up in your telephone book under "Investment Services." These companies exist for the

sole purpose of lending money to businesses which they feel have a good chance of becoming

successful. In many instances, they trade their help for a small interest in your company.

Many states have Business Development Commissions whose goal is to assist in the

establishment and growth of new businesses. Not only do they offer favorable taxes and business

expertise, most also offer money or facilities to help a new business get started. Your local

Chamber of Commerce is the place to check for further information on this idea.

Industrial banks are usually much more amenable to making business loans than regular

banks, so be sure to check out these institutions in your area. Insurance companies are prime

sources of long term business capital, but each company varies its policies regarding the types of

businesses it will consider. Check with your local insurance agent for the name and address of the

person to contact. Also, it's often possible to get the directors of another company to invest in your

business. Look for a company that can benefit from your product or service. Be sure to check at

your public library for available foundation grants. These can be the final answer to all your money

needs if your business is perceived to be related to the objectives and activities of the foundation.

Finally, you may want to enlist the services of a money broker or finder. These are people who

take your prospectus and circulate it among various known lenders or investors. They always

require an up-front retainer fee, and there's no way they can guarantee to get you the loan or the

money you want. There are many very good money brokers, and there are some that are not so

good. They all take a percentage of the gross amount that's finally procured for your needs. The

important thing is to check them out fully. Find out about the successful loans or investment plans

they've arranged, and what kind of investor contacts they have. Do all of this before you put up

any front money or pay any retainer fees.

There are many ways to raise money - from staging garage sales to selling stocks. Many

foreign investors have money to invest in American and North American companies. Don't make

the mistake of thinking that the only place you can find the money you need is through the bank or

finance company. Start thinking about the idea of inviting investors to share in your business as

silent partners. Consider obtaining financing for a primary business by arranging financing for

another business that will support the start-up, establishment, and development of the primary

business. Consider the feasibility of merging with a company that's already organized, and with

facilities that are compatible or related to your needs. Give some thought to the possibilities of

getting the people supplying your production equipment to co-sign the loan you need for start-up

capital.

Remember: there are thousands upon thousands of ways to obtain business start-up

capital. This is truly the age of creative financing. Disregard the stories you hear of "tight money"

and start making phone calls, talking to people, and making appointments to discuss your plans

with the people who have money to invest. There's more money now than there's ever been for

new business investment. The problem is that most beginning business builders don't know what

to believe or which way to turn for help. They tend to believe the stories of tight money and they

set aside their plans for a business of their own until a time when startup money might be easier

to find. The truth is, now is the time to make your move. Now is the time to act. The person with a

truly viable business plan and the determination to succeed will make use of every possible idea

that can be imagined. The ideas suggested here should serve to propel you toward the unlimited

sources of monetary help available and waiting for you !

HOW AND WHERE TO GET MONEY FOR A FRANCHISE IDEA

Copyright 1986 by Owen Bates Published 1986 by Premier Publishers, Inc, USA. All rights

reserved. No part of this publication may be reproduced by any means without the express

prior and written permission of the publisher.

How often have you thumbed through a business opportunity magazine, noticed a

franchise opportunity advertisement, and felt you'd really like to get in on that...if only you had the

money? If you're like most who are seeking greater opportunity and wealth, this probably happens

with you more often than you care to admit, except perhaps in strictly private conversations.

When the average person sees one of these opportunities, or comes up with a similar

idea of his own, the problems of start-up capital may seem formidable. But in reality, they may not

be. In fact, just about anyone with a good credit record and an "insider's sense of business" can

get the capital he or she needs, whenever it's needed. The secret is in knowing how to put

together a proper proposal, and to present it to the right person. These are the "how-to"

instructions we're going to give you in this report.

The first thing you're going to need is a complete business plan. This is a complete and

detailed description of exactly how you intend to operate the proposed business. Your business

plan should detail precisely the product or products you plan to sell; how you're going to produce

or manufacture the product; your costs (inventory costs if you're purchasing them from a supplier);

who is going to sell those products for you; how they're going to be sold; the attendant costs;

when you expect

to recoup your initial investment; your plans for growth or expansion; and the total dollar amount

you're going to need to make it all work according to your plan. Your business plan must be

detailed complete with projected income and expense figures through at least the first three years

of business. Now, assuming you have your business plan all worked out, put together and ready

for presentation with your request for capital, let's talk about your capitalization proposal.

First, keep in mind that whenever you ask somebody for money, whether it's for a small

personal loan or a large amount of money to finance a business, you're involved in a selling

situation. You have to prepare a "sales presentation" just as if you were getting ready to sell an

automobile or refrigerator. Within this sales presentation you must have all the facts and figures;

you must anticipate the questions and the possible objections of the prospective lender with

answers or explanations; and you must "package" it as impressively as you would yourself for an

audience with the president of IBM or General Motors.

The more money you ask for, the more "in-the-know" will be the people you want to borrow from,

and so the more detailed and organized your proposal must be. This shouldn't cause you too

much worry however, because you can hire a CPA to help you put it together properly, once

you've got the facts and have a business plan he can work from.

Look at it this way: The more money you request for your business, the more your lenders

or prospective investors are going to want to know about you, your planning, and your business.

They want to be impressed with the fact that you've done your homework; they want to see that

you've researched everything and documented your facts and figures; they want to be assured by

your presentation that investing in your business will make money for them. It's just that simple at

the bottom line. Unless you can instill confidence in them with your business plan and loan or

investment proposal, they're just not going to give much positive thought to your request for

capitalization.

So you'll need a balance sheet describing your net worth--the worth of what you own

compared to the amount of money you owe. You'll also have to prove your stability and

talents relative to how successful you've been in paying off past obligations. If you

have had credit problems in the past, get them "cleaned up", or at least explained on your file at

your local credit bureau office. Under the law, credit bureaus are required to give you all the

information they have about you in their files, and it's your right to correct any errors or enter

explanations regarding negative reports on your credit. Do this without fail because prospective

lenders or investors will definitely check your credit history.

So, now you have your balance sheet prepared; your credit history organized in a light

that's favorable to you; your business plan (with costs and income projected over the coming three

years), you're ready to start looking for lenders or investors.

Almost all franchisers offer help in setting up with one of their franchises. Most will go out of their

way to assist you in getting the financing you need. Some will lend you the entire amount, with

payments coming out of the income they expect you to make from their franchise operation. Many

will carry this loan themselves, while others will carry part of it and find you a lender to finance the

remainder.

Franchisers have two objectives in mind when they offer franchises to the public: They

are trying to expand their operation, thus increasing their profit, and they are trying to raise capital

for themselves. Generally speaking, if you have a good credit history, and if they feel you have the

necessary business personality to achieve success with one of their operations, they'll do

everything within their power to get you in a franchise outlet. Keep this in mind the next time you

see an advertisement for a promising franchise opportunity requiring a substantial amount of cash

outlay. You don't necessarily have to have all the money. They want you, and they'll help you!

Many people seem to be unaware that most of today's largest corporations started on a

shoestring on borrowed money. Many people seem to feel that unless they've got it all "in hand" in

savings, then they'll just have to keep plugging away until they can save up enough to take the big

plunge. Nothing could be farther from the truth. Just a quick bit of research will show that 999 out

of every 1,000 businesses were begun on borrowed money.

Look to your family and friends for financial help. Approach them in a business-like

manner; tell them about your idea or plans, and ask them for a loan. Agree to sign a formal

statement to pay them back in three, five or ten years, with interest.

When you have your proposal assembled, you might even want to think of a limited partnership or

even a general partnership arrangement as a way to finance your project. In any kind of

partnership, each partner shares in the profits of the company, but in a limited partnership, each

person's loss liability is limited to the amount of money he initially invested. The truth is, in this

kind of a situation, you'll be doing all the work and sharing your gain with your partners, but then

it's a fairly sure way to obtain needed financing.

Another common method of obtaining business financing is thru second mortgage loans

on a home or existing piece of property. Say you purchased a home ten years ago for $35,000,

and today the assessed valuation is $85,000, with a mortgage of $25,000 still outstanding. A

lender may consider your home to be security or collateral for a loan up to $60,000. In many

instances, this is the easiest and surest way of getting the money needed for franchise or other

business investment. And, it makes sense; you've got "net worth" available that is doing nothing

but sitting there. Take this equity and invest it in a worthwhile business, and you could double or

triple your net worth each year for the rest of your life.

Deciding to obtain a second mortgage on your home in order to finance a business

opportunity is without doubt a major decision, but if you are sure about your investment project,

and are determined to succeed, you owe it to yourself to go ahead. You could incorporate

yourself, borrow money from your family through a second mortgage on your home, and protect

against the loss of your home through the Federal Homestead Act. The important point here is

that all business opportunities involve risk and sacrifice. It's up to you to determine the feasibility

of your success with your proposed venture, then decide on the best way possible to proceed.

In every instance where you run into reluctance on the part of a lender to lend you the

money you need, explore the feasibilities of "two- name" or "co-signed" loans. You can have the

franchiser sign with you, or one of your suppliers, a business associate or even a friend.

Oftentimes you can borrow or rent collateral such as stocks, bonds, time certificates, business

equipment or real estate, and in this way give greater confidence to the lender in your abilities to

repay the loan. Whenever you can show a contract from someone who has agreed to purchase a

certain number of your products or services over a specified period of time, you have another

important piece of paper that most lenders will accept as collateral. Still another possibility might

be to get a bank or a firm that has loaned you money in the past to guarantee your loan. They

simply guarantee that they'll lend you money in the future if ever the need should arise.

Going straight to you neighborhood bank, applying for a business loan and walking out

with the money is just about the most unlikely of all your possibilities. Banks want to lend money,

and they must lend money in order to stay in business, but most banks are notoriously conservative

and extremely reluctant to lend you money unless you have a "regular income" that

"guarantees" repayment. If and when you approach a bank for a business loan, you'll need all your

papers in order your financial statement, your business plan, credit history and all the endorsements

you can get relative to your succeeding with your planned enterprise. In addition, it

would be a good idea to take along your accountant just to assure the banker that your plan is

verifiable. In the end, you'll find that it all boils down to whether or not the bank officer studying

your application is sold on you as a good credit risk.

Thus you must impress the banker not only with your proposal, but with your

appearance and personality as well. In dealing with bankers, never show an attitude of doubt or

apology. Always be positive and sure of yourself. However, don't come on so strong to them that

you're either demanding or overbearing. Just look good, know your stuff, and project an attitude of

determination to succeed.

Your best bet, in attempting to get a business loan from a bank, is to deal with

commercial banks. These are the banks that specialize in investment loans for going businesses,

real estate construction, and even venture programs. Look in the yellow pages of your telephone

or business directories; call and ask for an appointment with the manager; and then explore with

him the possibilities of a loan for your project. One of the "nice things" about commercial banks is

that even though they may not be able to approve a loan for your business ideas, they will almost

always give you a list of names of business people who might be interested in looking over your

proposal for investment purposes. A lot of commercial banks stage investment lectures and

seminars for the general public. If you find one that does, attend. You'll meet a lot of local

business people, some of whom may be able to and interested in helping you with your business

plans.

When you're looking for money to move on a business deal, it does not really matter

where the money comes from, or how it all comes about It's important that you get the money,

and at terms that are suitable to you. Thus, don't overlook the possibilities of an advertisement

for a lender or investor in your local papers. Place your ad as well in national publications reaching

people looking for investments. Other avenues to seriously consider are foundations that offer

grants, local dental and medical investment groups, legal investment groups, business associations,

trust companies and other groups or organizations looking for tax shelters.

Basically, it isn't a good idea to go to a finance company or other commercial lender of this type

for a business loan. The most obvious reason is the high interest rates you have to pay. These

companies borrow money from larger money lenders, and then turn around and lend it to you at a

higher interest rate than they pay. Herein lies the means by which they make money from granting

loans to you. The more it costs them to provide the money for you, the more it's going to cost you

to borrow their money. The only element in your favor when borrowing from one of these agencies

is that most will generally lend you money against collateral other lenders just won't accept.

Insurance companies, pension funds, and commercial paper houses are not too out of sight with

their interest rates, but they generally will not even consider talking to you unless you're requesting

$500,000 or more. They'll also pretty much require that your business proposal be backed by the

best possible plan.

Finally, the bottom line is this: You must have a well-researched and detailed business

plan; you must have all your documents and projections put together in an impressive

presentation; and then, you will have to be the one who does the final selling of your proposal to

the investor or lender. This means your appearance, personality and attitude, because make no

mistake about it before anyone lends you any sizeable amount of money, they're going to want to

take a close look at you personally before they hand over the money. Actually, the different ways

of financing a franchise opportunity are as many and varied as your own creativity.

The sources of obtaining money are virtually limitless, and available to anyone with an

idea.

One word of caution before you jump into any franchise purchase agreement: The price you pay

to participate in a franchise operation is not always the total cost involved in getting the business

off the ground. With some franchise operations, you may find other costs such as down payments

on the purchase of property, building construction costs, remodeling or site improvements,

equipment, fixtures, signs, advertising, and training. Virtually all franchise deals require that in

addition to the purchase price or the license fee of the franchise, you're required to give a certain

percentage of your gross business income to the franchiser, plus extra payments for promotion

and administrative costs. Above all else, before you get involved in a franchise, or any business

venture -for that matter, make sure you've conducted a complete and thorough investigation of the

opportunity presented. If it's a good deal, then go with it; but if you have any doubts or feel as

though you're getting in over your head, back off and look around for something not quite so

ambitious, or perhaps expensive.

There are a lot of good franchise opportunities, and some not so good. It's important that

you be sure of what you're investing in, and that you can make money with it. From there,

preparing the proper business plan and the necessary financing, while not always a snap, can be

done. Now's the time to do it! We wish you outstanding success with your franchise business.

A CHECKLIST OF QUESTIONS TO

ANSWER BEFORE YOU BUY A FRANCHISE

Copyright 1991 by Premier Publishers, Inc, USA.

An rights reserved. No part of this publication

may be reproduced by any means without the

express prior and written permission of the publisher.

Franchise businesses are booming. From hamburger restaurants to frozen yogurt shops,

from greeting card outlets to videotape rental stores, the list continues to increase. The people

setting up franchise ideas and businesses know a good thing, and are strongly promoting their

ideas with big money national advertising. Franchises for just about every conceivable kind of

business are being sold in ever increasing numbers.

Some franchises are very good. They treat both the franchiser and the franchisee very

well. Others are very one-sided. Still others are almost total rip-offs that can trap one into paying

ten to fifty times the actual value of the business idea, equipment, or whatever it is they are trying

to sell.

Before putting any money into a franchise, you should investigate everything completely.

We've prepared a list of questions you should be asking and to which you should get satisfactory

answers to before investing.

Has your attorney studied the franchise contract, discussed it completely with you, and do

you both approve it without reservations?

Does the franchise require you to take any steps which are either illegal or even border on

illegal, or are otherwise questionable or unwise in your state, county, or city?

Does the franchise give you an exclusive territory for the length of the franchise period, or

can the franchiser sell a second or third franchise in your territory?

Is this franchiser connected in any way with any other franchise company handling similar

.products or services?

If you answered yes to the above question, what is your protection against the second

franchising company?

Under what circumstances can you end the franchise contract, and at what costs to you?

If you sell your franchise, will you be compensated for your goodwill or will it be lost to

you?

How many years has the firm offering you the franchise been in operation?

Does the company offering you this franchise have a reputation for honesty and fair

dealing among its franchisees?

Has the franchiser shown you any certified figures indicating exact net profits of one or

more of its members, and have you personally checked the figures with these people?

Will the franchiser assist you with:

A management training program?

An employee training program?

A public relations and advertising program?

Capital?

Credit?

Merchandising ideas?

If needed, will the franchiser assist you in finding a suitable location?

Is the franchising firm adequately financed so that it can carry out its stated plans?

Does the franchiser have experienced management, trained in-depth?

Exactly what can the franchiser do for you that you cannot do for yourself?

Has the franchiser investigated you carefully enough to assure itself that you can

successfully operate at a profit to both of you?

Does your state have a law regulating the sale of franchises, and has the

complied with that law to your satisfaction?

How much equity capital will you need to purchase the franchise and operate it until

your income equals your expenses?

If you can get the answers to each of these questions, and those answers satisfy you,

then you're probably thinking about buying into a pretty good franchise deal. However, if you're in

doubt about any of these points, be sure to check it out and know the answers for certain before

you invest or sign anything.

Buying a franchise can give you a measure of security, and in some cases, sure-fire

profits. Business surveys show that fewer than 20 per-cent of all new franchised businesses fail.

This is in comparison to a 60 to 80 percent failure rate for all new businesses started in this

country each year.

Information regarding specific franchising ideas can be found in the franchising

directories, which are generally available at the local library. Often there will be a notice posted in

franchise outlets themselves.

If you can afford the entry into this business, statistics are on your side. You are now

armed with some CAUTION and STOP and GO signs!

SECRETS OF GETTING FREE ADVERTISING #3409

Copyright 1991 by Premier Publishers, Inc, USA.

All rights reserved. No part of this publication

may be reproduced by any means without the

express prior and written permission of the publisher.

The opportunities for getting free advertising for your product or services are limited only

by your own imagination and energy. There are so many proven ways of promoting your own

objectives without cost that it literally boggles the mind to think of listing them.

One method is to write an article relative to your particular expertise and submit it to all

the publications and media dealing in the dissemination of related information. In other words,

become your own publicity and sales promotion writer. Get the word out. Establish yourself as an

expert in your field, and tag everything you write with a quick note listing your address and offer for

a free catalog, dealership opportunity, or more information.

Another excellent way of gaining free publicity is by becoming a guest on as many of the

radio and television talk shows as possible. With the tremendous growth in the number of radio

stations featuring a talk format, your chances of gaining access to this monumentally large

audience are very good. Now, with the development of cable television stations also dedicated to

talk-only formats, your chances are even greater. It is actually much easier to become a guest

than most people realize. Write a letter to the producer of the programs you have in mind, and

then follow up with a personal visit or telephone call. Your initial contact should emphasize that

your product or service would be of interest to the listeners or viewers of the program, perhaps

even saving them time or money.

Other ways of getting free or very inexpensive exposure include the posting of advertising

circulars on all the free bulletin boards in your area, especially the coin-operated laundries,

grocery stores, and beauty or barber shops. Don't discount the idea of handing out circulars to all

the shoppers in busy shopping centers and malls, especially on weekends. You can also enlist the

aid of high school students in your area to hand out circulars door-to-door.

Some of the more routine methods of inexpensive advertising include having a small

promotional blurb relative to your product or service printed on the front or back of your envelopes

at the time you have them imprinted with your return address. Also, be sure to check all the

publications that carry the kind of advertising you need. Many mail order publications just getting

started offer unusually low rates to first-time advertisers, a free-of-charge insertion of your ad

when you pay for an order to run three issues or more, or special seasonal ad space at greatly

reduced rates. There are also a number of publications that will give you Per Inquiry (PI) space. PI

advertising is an arrangement by which all orders come directly to the publication and they take a

percentage commission from each order, forwarding the orders on to you for fulfillment.

Many publications will give you a contract for stand-by advertising space. Such a contract

requires that you send the publisher your ad, and they hold it until they have unsold space

available. Then at a price that's always one third or less than the regular price for the space you

need, the publisher inserts your ad. Be sure to check in with the suburban and neighborhood

newspapers for such an arrangement as well. Many big-city newspapers will include a

neighborhood section with the daily paper, and insert it for newspapers being sold only in that

section of town. Ad rates in neighborhood sections are often less expensive than placing an ad

that will appear in a section delivered to the entire readership of the city.

If you send out or publish any kind of catalog or ad sheet, get in touch with all the other

publishers and inquire about the possibilities of exchange advertising. Other publishers will run

your ad in their publication in exchange for your running an ad for them of comparable size in

yours. This is a popular form of advertising, and time has proven that it works well.

Finally, there's nothing in the world that beats the low cost and tremendous exposure you

get when you advertise a free offer. Simply run an ad offering a free report of interest to most

people. Ask for a self-addressed, stamped envelope, and depending on the appeal of your report

and the circulation of the publication in which your ad appears, you could easily be inundated with

responses! As the responses come in, send them each a copy of your simple one-page report.

Include a full page advertisement for your book or other product on the backside of the report. The

trick here, of course, is to convert a large percentage of these responses into sales. This is done

via the tag-line at the end of the report offering an invitation to the reader to send for more

information, by the full page ad printed on the back of the report, and the other offers you include

in the complete information package you return.

The methods of gaining free or low cost advertising for your business or product are

limited only by your imagination. Unleash your creative powers. By combining the myriad of ideas

available to you with the dedication to make yourself a success, you will easily reach the goals

that you have established for yourself and your business. Make your dreams a reality. Do it today!