Melvin Feller MA Discusses How to Start Your Own Business in Texas
Melvin Feller MA knows that there’s a lot to love about Texas. The abundance of Tex-Mex, Texas people, and the Texas Life-style. But one of the most important is the state’s staunch support of its business community. Melvin Feller MA points out that starting a business in Texas has the advantage of the nation’s second-largest population and a number of fast-growing metropolitan areas.
Melvin Feller MA asks “If you are new to business and wanting to start your own business in Texas. Do you know what you want to do?” Therefore, if you’re thinking of starting a business in a Texas location and a field of business that’s new to you. Melvin Feller MA believes that you will always be successful in a business that you have a passion for especially in a Texas friendly environment.
Texas’ support for small business is evident in its low business licensing fees, its lack of red tape, and a profusion of relatively low-priced real estate. Few states can boast a similar lack of regulation that lets businesses be born almost as soon as they are thought of. Best of all is that starting a business in Texas can be done with a small investment.
Best of all you don’t have to go it alone in Texas. A number of state and federal resources, such as the U.S. Small Business Administration, offer business advice, low-interest loans, and grants. Their programs are geared toward helping veteran-owned businesses, minority-owned businesses, and women-owned businesses, and they’re worth exploring if you qualify.
Melvin Feller MA, Educator, and CEO, states that during stressful times and times of distress and economic hardships, more businesses are created and more people are actually successful in rendering products and services that are vital to our economy.
In order to have a successful enterprise, you should address a number of topics. Many of these items will be incorporated into your business plan, so consider the use of this list as a preparation for business and market planning. In each of these topic areas, determine which apply to your enterprise and then address those issues.
However, there are basic steps in starting a business that can make a positive impact. It is best to start by asking and answering critical questions pertaining to you, the business owner and your business concept. Melvin Feller MA goes on to state that these are the must have and hard questions to really ask yourself:
Have you determined what products and services you are going to offer?
Have you determined that a market exists for your offerings and is accessible to your selected location?
Have you determined if there are any names, logos, or other intellectual property that must be covered through patent or trademark registration?
What is the legal form of the business? (proprietorship, partnership, corporation, limited liability company)?
Have you registered your business name?
Have you determined a formation for your business (i.e. sole proprietorship, partnership, S-Corporation, C-Corporation, Limited Liability Company, etc.)?
If you have chosen your business to be a corporation, have you filed a Certificate of Incorporation?
Have you addressed, if necessary, a Partnership Agreement or Limited Liability Company Article of Organization?
Have you researched local, county, and state license and permit requirements?
Have you selected a physical site for your business?
Have you addressed local zoning regulations to see if your business conforms or if you will need to seek a variance?
Have you researched Federal, state and local regulatory agencies to determine what you need to address?
Have you determined your insurance requirements?
Once you have these questions answered and have a solid plan then it is time to think about your business location. There are many things that must be considered during this period. In fact, according to Melvin Feller MA, most of these things are never considered and could actually hinder a budding entrepreneur’s success.
Melvin Feller MA compiled this list of the key issues to keep in mind when you’re deciding whether a new city is right for you.
Workforce. In today’s labor-tight, knowledge-based economy, this is far and away the single most important factor to examine, according to relocation experts and several executives who have recently moved their companies. If the location doesn’t support your ability to recruit and retain a world-class workforce, everything else is secondary.
Will your company be able to offer employees’ salaries and benefits that are competitive in the region? If not, you may not be able to recruit the best talent. Remember that people often have families. Is the local economy deep enough and diverse enough to support careers for employees’ spouses? How is the quality of life in the area? How are the schools?
Sources of funding. “Venture capital is a contact sport,” according to Melvin Feller MA. “Be near sources of financing.” Is there a venture-capital or angel-investor community in the region? Is there a network of lawyers, accountants, or other professionals that can help you develop a business plan and market it to potential investors? Are there formal and informal networking opportunities in town? Are low-cost loans available from banks and other lending institutions?
Economic-development incentives. Does the city or state you’re looking at have aggressive policies — including tax incentives and low-cost loans — to recruit and retain businesses in your industry or start-ups in general? Be on the lookout for places that have developed economic strategies for attracting the kind of business you’re in.
Transportation. Air service is particularly important in today’s economy. How many flights go into and out of the nearest airport? Is there a hub airport nearby, making it easy for customers and clients to get to you?
Manufacturers should check out trucking routes and other transportation needs that support their companies’ logistics. What will it cost to get the supplies you need to your new location and to ship your product to your customers? Will you be able to deliver your product at a competitive price?
Technology. How wired is the area you’re considering? Are broadband services available for Internet access? Such offerings are important both for web-based companies and for those that use the Web just to enhance their brick-and-mortar business.
Cost of living. This issue has major implications for both your employees and your company. Can your staff find affordable housing in the area? In terms of commercial real estate, Melvin Feller MA suggests that you look at both cost and flexibility. He recommends negotiating a short-term lease that gives you options to acquire more space as needed.
Universities. “All the hot zones have great universities,” says Feller, founder of Melvin Feller MA Business Group. Universities provide cheap but knowledgeable part-time labor (students), as well as readily available consultants (professors). When the students graduate, they help form a skilled talent pool from which to draw employees. Many universities also host small-business development centers and programs.
Character of the local economy. What sectors are strongest in the region? If you’re a manufacturer, for example, you probably don’t want to go to a tourist or service-oriented economy, since it might not have an appropriate workforce, essential suppliers, and other resources.
Personal preferences. Do you have friends, family, or professional contacts that keep you in one area or draw you to another? You want to be happy in the place where you do business. As your company grows, the personal aspects of running a business may have to give way to more practical considerations, so think about such factors now, while you are still in control.
Melvin Feller MA knows that opening up your own small business can bring a host of benefits — more freedom, flexible working hours, more career opportunities and many of your dreams realized.
Statistics show small businesses started by women have a greater chance of success — experts think it’s because women plan more, and take things step by step. A recent study on factors influencing career success conducted by Accenture, a global management consulting company, found that women feel juggling family support, planning and ambition is important for them to advance in their careers.
Melvin Feller MA also knows that planning is important? Because he knows and has proven that a great business starts with a great idea. But there’s so much more. Often, would be entrepreneurs get so excited about their idea that they forget to find out whether it’s viable or not.
Small businesses make up more than 99% of the businesses in Texas. Small businesses, in particular, rely upon funding and financing to get their new and current businesses off the ground.
The Governor’s Office of Small Business Assistance works closely with a variety of partners to highlight the various avenues for accessing capital. The Governor’s Office cannot recommend or suggest specific lenders but we invite you to visit the following nonprofit lenders and chartered banks. At this time, the Governor’s Office does not have a program for grants available to start-up businesses.
The partners included below have a state-wide presence, but there are many local options available depending on where you are located.
NONPROFIT LENDERS
ACCION ACCION is dedicated to providing the tools entrepreneurs need to operate, grow or start their business. They offer a community of support and are dedicated to increasing access to business credit, making loans and providing support.
BCL of Texas Established in 1990 as a statewide not-for-profit, BCL of Texas successfully promotes business and community development and provides business capital and commercial real estate loans throughout Texas. In addition to providing businesses with counseling and technical assistance, BCL of Texas originates, underwrites, processes, closes and services business loans for healthy, growing businesses.
LiftFund the mission of LiftFund is to provide credit and service to small businesses that do not have access to loans from commercial sources, and to provide leadership and service to the micro-lending field on a national level.
PeopleFund provides loans and technical assistance to people who are left out of the financial mainstream. PeopleFund provides flexible loans to small businesses, startups, and nonprofit organizations across Texas. They also provide business consulting, technical assistance, and a variety of other programs.
FINANCING RESOURCES
To find a Texas financial institution, visit the National Information Center’s website.
For international financial institutions in the state that enable international trade by issuing letters of credit, providing currency exchange, and making trade related loans, as well as financing projects in various countries, please visit Texas Bankers Association and the Independent Bankers Association of Texas.
Credit Unions: Cornerstone Credit Union League, a nonprofit that seeks to inform on the operating environment and strength of credit unions throughout the central southern U.S., provides information on the various chapters throughout Texas.
Banks: The Texas Department of Banking provides a list of Texas state-chartered banks and holding companies.
CROWDFUNDING AND EQUITY CROWDFUNDING
In the past few years, crowdfunding and equity crowdfunding have become very popular methods of raising capital. Kickstarter and Indiegogo are two popular crowdfunding sites in which individuals are able to give small donations with the goal to partially fund a project. In exchange, the crowd receives different items depending on the size of their donation. Equity crowdfunding is when individuals invest in an early-stage company in exchange for shares in that company.
GRANTS.GOV:
A centralized location for grant seekers to find and apply for federal funding opportunities. The website houses information on over 1,000 grant programs and vets grant applications for 26 federal grant-making agencies.
SMALL BUSINESS INNOVATIVE RESEARCH/SMALL BUSINESS TECHNOLOGY TRANSFER FUNDING (SBIR/STTR):
The federal government allocates over $2 billion annually to SBIR and STTR. These programs encourage small businesses to capitalize on commercialization opportunities.
The SBIR program is a highly competitive program that encourages domestic small businesses to engage in Federal Research/Research and Development (R/R&D) that has the potential for commercialization. Through a competitive awards-based program, SBIR enables small businesses to explore their technological potential and provides the incentive to profit from its commercialization.
The STTR program expands funding opportunities in the federal innovation arena. Central to the program is the expansion of the public/private sector partnership to include joint venture opportunities between small business and nonprofit research institutions.
To find local resources familiar with SBIR/STTR and can support small business commercialize, please visit their website.
With over 2.6 million small businesses, small business is big business in Texas. The Texas economy has continually outpaced the national economy in overall growth, low unemployment rates, and high consumer confidence. Highly ranked healthcare, exemplary education, low living costs, a strong heritage, and hundreds of miles of rivers and coast make Texas the perfect spot.
Small businesses make up 99.8% of the Texas businesses. Texas is consistently ranked at the top of business climates in America and has been ranked highly for over a decade. Texas is recognized for its strong economy, skilled workforce, low taxes and fair legal system, extensive infrastructure, and high quality of life. In 2019 Business Facilities recognized Texas as the #1 state for business climate and infrastructure. Area Development ranked Texas as #1 for overall cost of doing business, competitive labor market and corporate tax environment.
Out of the 2.6 million small businesses in Texas, more than 866,000 are women-owned small businesses and 1.1 million are minority-owned small businesses. The Texas Historically Underutilized Business (HUB) Certification offers certification that increases the exposure of a business especially as it concerns supplier diversity programs in both public and private sectors. 4.6 million Texas residents, or almost half of the state’s private workforce, are employed by a small business. In fact, small businesses created 218,436 net new jobs in 2019.
All types of businesses flourish across Texas. Many regions in Texas boast large, existing concentrations of companies in a particular industry which creates a trained labor force from which other businesses can draw. As a result, regions with existing labor pools continue to spur new business expansions and relocations in those same sectors.
Cost of Doing Business
With no individual income tax, Texas has one of the lowest tax burdens in the country, ranking as a Top 15 Best State in the Tax Foundation’s 2019 State Business Tax Index.
Exports
Texas has been the #1 exporting state for 16 straight years. 93.1% of all Texas exporters are small firms and are responsible for 37.6% of all Texas export value.
Finally, Feller states, “Researching your idea or talking to a neutral business advisor keeps your goals on track”. However, Feller also says that when he first started, nothing happened so I got impatient. But Richard Branson’s book “Losing My Virginity” was inspiring, as he stuck it out and found opportunities where others said there were none.
It was through trial and error and lots of education, that he reached the pinnacle of success and was able to create a business which has gone on to help thousands of people to start the business of their dreams and fulfill their legacy.
