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Fee-only
Financial
Planning

The GOLD Company does not sell any products and is compensated ONLY from the company's clients. No commissions are taken on any products.

I sincerely enjoy meeting people and getting to know them. The Gold Company strives to return calls promptly and takes a genuine interest in your needs. I work hard to personalize a plan that best fits your needs, budget and future.

The Money Prof

Sunday, February 1 2015

Thinking of Starting a Business?

Entrepreneurs and those individuals owning businesses represent about 1/2 % of the millionaires in this country. Approximately 7% of the US population have a net worth of $1,000,000 or more (Stanley, Thomas J. and William D. Danko. 1996. The Millionaire Next Door: The Surprising Secrets of American's Wealthy. Lanham, MD: Taylor Trade Publishing. Of course, these numbers mean that even if you do not own your own business, you can become a millionaire as well (financial planning will help). Here are some business concepts you should consider (by the way, taking a business or entrepreneurship course may not guarantee success, but they will certainly make you understand more and can help reduce risk when going into business.)

  • Do some research on the idea. . . whether it's an operating business your thinking of buying or one you are thinking of starting up. What is the future for the product? (one thing we have plenty of is demographic studies into the future). Buy into the industry first, company second. If it's not a good idea, whatever you try to do, eventually will not matter.

  • What are the profit margins in this business? Profit margins are the profits you make on products sold. If you have low volume, then profit margins are essential to make money. The best businesses to go into are those that have strong margins and sales (revenues).

  • Partnership? Should you go it alone or get a partner. There are plenty of books written about the advantages and disadvantages of partnerships. For every advantage there is a disadvantage. . . .read up this.

  • Financing - how much money will you contribute (equity) and how much will you borrow (indebtedness). If you can borrow money at 8%, and above 9% on the funds, you have positive leverage. Remember, the risks of borrowing - placing a claim on future income. . .

  • Marketing - essential for the growing firm. You can have a great product, but if no one knows about your company, it will be difficult to sell your product. Come up with a marketing plan. . . plenty of books on marketing concepts and action steps.

  • Business Plan - many entrepreneurs do not have one immediately, unless they need some outside financing (where many of the lending institutions want to see it). It's probably a good idea to have some type of Business Plan to give you a roadmap and to not forget any essential steps in running a business (again, plenty of resources on Business plans.)

  • One more tip. . . enjoy the product you are selling. . .it will help you market the product.

The GOLD COMPANY will help you achieve financial well being.

Offering the following services:
  • Investment Portfolio Assessment

  • Portfolio Development

  • Securities Portfolio Management

  • Retirement Planning

  • Insurance/Risk Management Review

  • College Planning

  • Real Estate

  • Estate Planning

  • Business Analysis

OFFICES IN MAINE AND FLORIDA

145 Newbury St.
Portland ME 04101
207-650-7884
moneyprof.oob@gmail.com
6427 Tiara Drive
Boynton Beach, FL 33437
561 894-8436
moneyprof.oob@gmail.com