Interview of Lou Davenport
by Host, Ron Johnson
Ron Johnson: Welcome to SBA’s Small Business Training Network. I’m Ron Johnson reporting from the US Small Business Administration, your small business resource. Every day SBA and its nationwide network of partners are helping millions of potential and current small business owners start, grow, and succeed. Resources and programs targeted for small businesses provide an advantage or a leg up necessary to help small businesses effectively compete in the marketplace. Today we’re discussing starting a business.
Ron Johnson: In business, there are no guarantees. You cannot eliminate the risks associated with starting a small business, but you can improve your chances of success with good planning, preparation, and insight. You can also improve your chances of success by understanding and avoiding some of the pitfalls or the problem areas encountered by others.
Lou, what are some of the problem areas encountered by entrepreneurs?
Lou Davenport: Inadequate planning is probably my number one. There is really no substitute for good planning and due diligence and the process of developing your business idea. If you put 100 existing small business entrepreneurs in a room and asked them what would you do differently if you had to do it all over again.
Lou Davenport: Starting a business from scratch, let’s look at that one first, Ron. One advantage is certainly that everything is new. There’s a sense of birth or new beginning in a business without a history or a predisposed image. It’s arguably easier to be more creative with a business in one that is being built up from scratch rather than one you purchase or inherit. But there are certainly disadvantages.
Ron Johnson: As part of your decision making process, you should also consider what equipment or supplies will you need, what insurance coverage will be needed, and how much money will it cost to start your business. Will you need financing or what are your resources and how will I compensate myself? To help answer these questions, remember to check out the Small Business Training Network at www.sba.gov/training. There you will find more than 25 free online training courses.
To learn more about SBA’s resources, contact our website at http://www.sba.gov/. I’d like to thank our guest, Lou Davenport, for sharing the valuable information on selecting a business that fits. And that’s it for another edition of SBA’s Small Business Training Network.
[end of interview]