Being a business owner can be one of the most rewarding adventures in one’s life. On the flip side, it can also be a 24/7 endeavor that feels like a rollercoaster of highs and lows.
Perhaps you are working late into the night or on the weekends, brainstorming about what kind of business to open or which franchise to join. Or maybe construction is almost complete, and you need to hire your first employee before the doors open for business. Maybe you’ve just celebrated your seventh business anniversary and are looking to expand to a new city. Or perhaps you’ve spent 30 years running a successful business operation, but it’s time to hand the keys to someone else.
So, where are you on your journey? Figuring out what stage your business is in can help determine what services or offerings you might need. We have identified six significant stages a typical company goes through – idea, implementation, launch, expansion, maturity, and succession.
You’ve dreamt about owning your own business or franchise for a while now. You have a great idea, you ran all the figures, and you’ve talked with friends and family. That’s great! Now, what do you need to get it up and running?
Start by gathering all the necessary resources, funding, market research, and ideas together to form the business. This can include start-up costs, a location, and essential partnerships. Pull all this information into a formal business plan. This will be the roadmap for your organization: what the structure will look like, how day-to-day operations will run, how to expand, how to capitalize on your products or services, and a buy-sell agreement for when business concludes.
All these elements will help you get that original idea off the ground. From there, you can secure funding or sign a franchise agreement to get started.
The papers are signed and finalized. You are now the owner of a business or franchise! This is only the beginning of your ownership journey. The real work begins now.
As a new business owner, you are going to need a few things. The first is life insurance for a Small Business Association (SBA) Loan. Applying for an SBA loan can be a long, lengthy process and requires borrowers to have life insurance before the loan can be finalized. Often, borrowers wait until the last minute or are unaware of the need for life insurance, which causes panic. Avoid the panic and sign up early. While you are at it, you can look for owner’s health insurance and find a plan that fits your needs.
The second necessity you will need is staff. Recruiting talented employees will be essential to your business’s growth and ultimate success. You can begin attracting those employees by offering exceptional employee benefits at an affordable rate. Your employee benefits can include everything from health, dental, vision, mental health insurance, and more. Make sure your staff is protected!
You have completed all necessary steps to open your business and you are ready for take-off! Let the pre-launch procedures begin: optimize your website, communicate with potential customers, use social media to your advantage, and plan an opening event.
It’s time to start the countdown and do a final check of the numbers before lifting off. The launch is complete!
Your business is doing well and you’re considering expanding! More people, more buildings, more money, more… insurance and regulations. During this expansion stage, it is time to think more about retaining your key asset: your employees.
We’re talking about designing a basic benefits plan and a retirement plan for you and your employees. It may even be time to step up from a basic plan to a more comprehensive group employee benefits plan. Group benefits and an employer-sponsored retirement plan can be a step that pays big dividends, including attracting and retaining your top talent.
You may also need to start worrying about complying with the Affordable Care Act (ACA). The ACA can affect employers, specifically small businesses, in many ways including required marketplace reporting, a 90-day maximum waiting period, Flexible Spending Accounts (FSAs), employer shared responsibility payment and more.
Finally, while business is clearly booming, it is important to revisit the buy-sell agreement you made in the business planning stage. This will provide a detailed plan for the transition of the company when a partner leaves, the business is sold, or operations conclude.
Congratulations! This notion that started as a passionate idea has blossomed into a profitable enterprise. You are now the proud owner of two challenges everyone would love to have.
First, it’s time to engage in some estate planning. Through estate planning, you can guarantee your wishes are followed no matter what happens to you, whether that’s taking care of loved ones or ensuring your healthcare needs are covered for the long term.
Second, you may have the goal and responsibility to create a succession plan. A smooth transition in business leadership will ensure your business will continue to provide work for employees and benefits to customers long after you’ve retired.
You’ve been through every high and low with your business from the very beginning, but the time has come to begin exiting the business. How can you make sure the transition goes as smoothly as possible?
First, you have assets. That means you probably need some advice on how best to leverage them to fund other business and life goals. Talking with a wealth management expert who understands that your assets are not just money, but your life’s work, can help you develop a plan. A professional review of your sales contract and asset management will help see you through to the end of your business journey.
And, who knows, you may have enjoyed the adventure of business ownership so much that you’re ready to start your next big idea.
Regardless of where you are in your business ownership journey, there are two things a business owner cannot ignore: your insurance coverages and your finances. The Lewer Companies can help at every stage of your Business Ownership Journey. We offer tailored solutions for business owners. Whether you’re a small single-store franchisee or an enterprise with 50-plus employees required to provide health benefits, Lewer can help.
Contact us today and let us help you on your journey!