Want to Start a Business? Here’s What to Do First

There’s more to starting a business than finding funding. In this episode of Chamber Amplified from the Findlay-Hancock County Chamber of Commerce, host Doug Jenkins talks with Nicole Scott, Director of the Small Business Development Center at Rhodes State College, about the other side of entrepreneurship — everything you need to know before you open your doors.

Nicole walks through what new business owners often overlook, from zoning rules and vendor’s licenses to township restrictions and home-based business requirements. She explains why there’s no one-size-fits-all checklist for launching a business and how to find the right one for your situation.

You’ll also hear how early conversations with the SBDC, the Chamber of Commerce, and regional planning offices can save time, money, and frustration down the road — plus why having a clear business plan makes you 37% more likely to succeed.

Whether you’re still brainstorming your idea or getting ready to launch, this episode will help you make sure you’re checking the right boxes for success.

Link to previous episode about funding: Is Your Business Missing Out? Uncovering Hidden Funding & Other Support Opportunities

Music and sound effects obtained from https://www.zapsplat.com

Transcript

0:00:05 - (Doug Jenkins): Hi, everybody, and welcome to Chamber Amplified, brought to you by the Findlay Hancock County Chamber of Commerce. I'm your host, Doug Jenkins. Are you looking for ways to grow your business, navigate new challenges, or just be in the loop on what's happening right here in our community? Well, you're in the right place. Every week we're talking about the issues that matter the most to you. Whether that's attracting great talent, marketing effectively or solving IT problems with or really anything in between.

0:00:29 - (Doug Jenkins): Our goal is to talk about the topics that matter to businesses each episode. This week we're talking about something that's been coming up a lot when I've been talking to some people who are ready to start businesses. Everything that goes beyond funding. What do you need to know? What are the things that you have to check off before you can open the doors? We're getting into that today. My guest is Nicole Scott. She's the director of the Small Business Development center at Rhode State College.

0:00:52 - (Doug Jenkins): She works with entrepreneurs every day who are trying to figure out what comes next once they've got an idea for a business. But before they open the doors, that's key. You wanna have all these issues knocked out before you open up for business. Here's what we're talking about today. Why there's not a one size fits all checklist for starting a business and how to find the right one for you. This is one that comes up a lot. Hey, I just need a checklist. We're gonna get into that today.

0:01:16 - (Doug Jenkins): Some common steps that new business owners overlook, like do they need a vendor's license? What are the zoning regulations they're facing? Let's just talk about regulations in general. There are sometimes a lot to sort through. We'll talk about that and we'll talk about the local resources available through the SBDC and the Chamber to help you navigate those details and avoid costly mistakes. So if you've ever thought about planning a business, or maybe you're already knee deep in getting one started, this episode will help make sure you're checking the right boxes for success.

0:01:46 - (Doug Jenkins): And before we dive in, if you enjoy Chamber Amplified, just take a moment, leave us a rating or review on Apple Podcasts or Spotify. It really does help local business owners find the show. Now let's get into it. Joining us once again on Chamber Amplified, Nicole Scott, joining us from Road State College, of course, with the Small Business Development Center. Nicole, you were on earlier this year, you just, you had to get back on the podcast, right? You. It was such a fun time.

0:02:12 - (Nicole Scott): That's right, Doug. Thanks for having me. I, I really enjoy it.

0:02:16 - (Doug Jenkins): So the last time we had you on, we talked about funding for new businesses. Not just new businesses, just ways that small businesses can access capital, which is always an ongoing topic. What's been happening recently is I've had just a spate of small businesses looking to get started. And the thing that keeps coming up is like, hey, we could use a checklist. And before. And I thought, well, all right, we should do one of those. And then right as I got started with that, I thought, you know what, I bet you Nicole and them already have that put together.

0:02:44 - (Doug Jenkins): So let's start there. And just some of the resources that you have available for people who are just in the very early stages of starting their business, they need to know where to go, what to do.

0:02:56 - (Nicole Scott): Well, thanks Doug. I appreciate it. You know, it's, it's very interesting and I'm so glad that you mentioned this. You know, a checklist would be awesome, but when you're starting a business, it's not a one size fits all. So we do have checklists available for different types of businesses, which is kind of, kind of like just your basic. What do you do next? You know, will you need a vendor's license? Do you, do you? Yes or no?

0:03:23 - (Nicole Scott): You know, depending on the type of business would depend on whether or not you actually do need a vendor's license or not. And what type of vendor's license would you have? Because the state of Ohio does have different types of vendor's license available, which is interesting. You know, and I'm, I'm glad that you asked because I wish that it would be simple for it just to be a one size fits all, but it, it's really not.

0:03:49 - (Doug Jenkins): What are the, the non financial hurdles that trip people up the most when they first sit down with you? And, and they're looking at maybe it is the vendor's license and not knowing which way to go with that because there are just so many of those that, that are available out there.

0:04:04 - (Nicole Scott): Well, first things first, is it as a business owner, are you going to be in a brick and mortar or are you going own shop or is this something that you're going to want to do e commerce wise or out of your home or maybe you're even more savvy and you're actually going to be a food truck. You know, looking at those types of, you know, bottom of the line, what type of business are you going to be? Where are you going to be located is going to depend and what it is that you sell on whether or not you need a vendor's license.

0:04:41 - (Nicole Scott): So something just that, that simple. For instance, as an example, if you are E commerce and you're doing it out of your home, you're going to need a transient vendor's license because you're not necessarily a brick and mortar. So you have to have a transient vendor's license because that means you can go over anywhere throughout the state of Ohio. But if you're brick and mortar, you just need a vendor's license because you're, you're, you're right in that one location. Even if you sell online, you still have a home base.

0:05:15 - (Nicole Scott): So just something as simple as where are you going to be located can change the dynamic of what type of licensers that you need.

0:05:24 - (Doug Jenkins): That's, it's interesting. And then I have to imagine it's regionally different too. If a business is located in Allen county, where you're at, or in Hancock county or let's say Wyandotte county, they all have their own local regulations and I like to think we're for the most part in a pretty business friendly region. But each county, each municipality does things a little bit differently.

0:05:46 - (Nicole Scott): Yes, that is, and I'm glad that you brought that up. It is definitely different per county and that has to do a lot with the type of. Well, it could even go down into township. So if you're a home based business and let's just say you're doing online sales as a boutique and you're doing a pickup and delivery type of clothing attire, like come pick it up at my house. I'm located at 123456. You know, anywhere lane.

0:06:19 - (Nicole Scott): You might not be allowed to do that unless you have permission from your township. You know, you're zoning, depending on where you're located may or may not allow you to actually do that. Where you would think that it's my home, why can't I do what I want?

0:06:34 - (Doug Jenkins): Right. And sometimes, you know, people will have that, that line of thinking. You think, well, who's going to find out what happens if you get like complaints from a neighbor or something like that? What are the issues people can then run into.

0:06:49 - (Nicole Scott): They can be fined.

0:06:51 - (Doug Jenkins): Oh, that sounds fun.

0:06:52 - (Nicole Scott): Yep, they could definitely be fined. So, so you're taking the, you know, without asking for permission or at least just, you know, finding out. And you know, most townships and counties are very lenient and they have their own type of checklist. But depending on where you're looking, like if you live in a, a neighborhood that has an hoa, the HOA may not permit it at all. And then you are not only going to get fined, but they're going to say, season desist, stop. You can't do it.

0:07:25 - (Nicole Scott): So now you're forced to find a location anyway, which you weren't prepared to do.

0:07:30 - (Doug Jenkins): So obviously there are those fines that you can face. But I think one thing that people don't realize is that just having a few conversations can negate a lot of this. 1. Start talking with. With you at Road State, you can really help guide people to where they need to be and then know knowing who to talk to locally, like one of the first people I always guide people to here in Hancock county, as Matt Cordonier at Hancock Regional Planning Commission, because he's going to know a lot about the local regulations that people need, like what kind of, what kind of license or if you know, the use is permitted within zoning regulations, things like that.

0:08:07 - (Doug Jenkins): And a lot of times once you have that conversation, it really makes the road a lot smoother. But I think when people try and avoid those conversations, that's when everything becomes a headache and that's where you run into issues.

0:08:18 - (Nicole Scott): Yeah, it's, it's definitely important to do your homework and talk to, you know, your right. The right people. So good, good job, Doug, for sending them to. To that type of person. You know, a lot of times the local health department in the county is the one that one they have to do an inspection and they're going to either tell you, yes, we do that or no, we don't and they're going to guide you in the right direction.

0:08:44 - (Nicole Scott): Direction as well. It used to be, you know, for a cosmetologist, a hair salon or barber that the local health department would take care of that and it is no longer that way. The state department takes care of that, which is a whole separate organization. So it's very important that even though you have a great idea and you're ready to get started, that you take the important steps because the last thing you want is one, to get fined like you had mentioned, or, or two, go into a building and start tearing down walls and moving things to your liking without actually having the conversations with people that do have these regulations because it could cost you a lot more money in the long run.

0:09:26 - (Doug Jenkins): So I'm gonna put you through a pop quiz. You didn't know it was coming, but we'll, we'll. You can help guide me through this. I've had a business come in recently. They're doing. They're helping people with like sewer line cleanouts, things like that. That's the service that they provide. Just kind of getting started. What are the things that you would want to know from that business so that you can get them pointed towards the right thing? I'm having you do my job for me. I don't know if you could tell that.

0:09:53 - (Nicole Scott): Okay. No, that's great. Well, first I'd like to know where's home base?

0:09:57 - (Doug Jenkins): Okay.

0:09:58 - (Nicole Scott): I always want to know where home base is. You know, is, is this a home based business? Do you, or are you doing this out of your garage, you know, or do you have a separate facility that you plan on either owning or renting? And then what is your service area? Because if you know anything since you're in Hancock county, usually people start in their home area in their hometown, unless they've purchased an existing business. You know, sometimes that they, they purchase an existing business and they, they're experts in that field.

0:10:33 - (Nicole Scott): However, they weren't aware of the service area that was already being, you know, that's already been established entirely. So because you cross over, you know, it, we're going to stick with county instead of just township lines, you know, when it comes to the things like this. So you want to make sure that you're well aware of your service area and that you are aware of the regulations that are within those municipalities.

0:11:00 - (Nicole Scott): Because everybody may have the same guidelines as, as a starting point, but then they get into, you know, like for instance, you mentioned regional planning earlier. You know, you may have to talk to a project manager within that township administration. So it's definitely a good thing to know what, what service area you either are already working in or how far around you want to go. And to get to know who is responsible within that service for that type of work.

0:11:36 - (Doug Jenkins): Let's change gears just a little bit. This is, we're kind of focused on a very specific part of getting your business up and running. But that's kind of part of the larger having a business plan portion of it, I would imagine, is that as you put your business plan together, you need to know these types of regulations, you need to know the boxes that you need to check everything like that. But putting the overall business plan together, that really separates a lot of businesses that are successful in that first couple of years to those that kind of just aren't able to really find their footing. And that's another area where you've been able to help businesses get set up is, hey, let's just run down the whole business plan. What all does that entail?

0:12:18 - (Nicole Scott): So there's, there's multiple sections in a business plan. And I'm glad that you brought this up because in I'm checking all the.

0:12:25 - (Doug Jenkins): Boxes today, every time I ask a question, you say, I'm glad you brought it up. So I'm feeling really good about this interview.

0:12:31 - (Nicole Scott): Yeah, absolutely. Businesses that have a business plan are 37% more successful than businesses that do not. Your business plan, one, it takes work, okay, it's not going to happen overnight. But two, it's a living, breathing document that is your roadmap as a business owner to success. So you're, you're, not only are you talking about your mission and your vision of where you want to go with your business, but you're setting goals and you're holding yourself and your management team, whoever that may be, accountable.

0:13:04 - (Nicole Scott): And you have to utilize this, whether it is for a banking institution, any sort of financing, and is whether, and it doesn't matter what type of financing, you have to have a business plan for any sort of loans that you're going to receive, any grants that you want to apply for, you know, and even personal funding, you may have a silent angel funder. That was like, okay, that sounds like awesome idea, but what's your plan?

0:13:35 - (Nicole Scott): And instead of trying to explain it to them, you know, one of the hardest things for us to do is critical thinking and taking that vision out of our head and putting it down on paper so that everybody is on the same wavelength in the same and on that same journey with you. It's, that's why a business plan is important. So you're not just going to have your goals, then you're going to have your financial objectives as well.

0:14:01 - (Doug Jenkins): And I've got to imagine, just for peace of mind, as a new business owner, I want that guiding document rather than feeling like I'm winging it the entire time. I mean, people who have the plan together probably feel like they're flying by the seat of their pants most of the time. So not having that guiding document, I think only adds to the stress of being a business owner.

0:14:21 - (Nicole Scott): True. And a lot of business owners, they do it initially, but they forget to go back and look at it, you know, because, because you are, you know, an entrepreneur. You are busy, you know, and especially if, if you're just starting out and you don't have employees yet, you know, you do get mixed up with the day to day operations of your business and then kind of forget at the end like, what, what were my goals? And that's why your business plan evolves with you and your business.

0:14:49 - (Nicole Scott): And we like to remind people, well, what was your initial goal here? Because things change. We it evolves. That's why it's a living, breathing document. We'd like to try to, you know, in the first three years say you should be looking at this all the time, you know, at least quarterly, you know, depending on the types of goals, whether they were monthly, quarterly, semi, annually, depending on that and is how frequent you should be looking at it.

0:15:13 - (Nicole Scott): I would say I would like to see you look at it. You know, in a perfect world, every month when you're doing your bank reconciliation, are you on track? What changes do you need to make so that you are on track and, and do it quicker, sooner, sooner now than later so that you are within your goals and objectives.

0:15:35 - (Doug Jenkins): So before we wrap up, obviously you get to have a lot of interesting conversations with a lot of people who probably have different unique ideas, things like that. But each year in business is a different year in business. No two years are the same. Whether it's earlier in this decade facing Covid and then trying to get employees to now dealing with inflation. When you talk to small businesses, what are the biggest headwinds that you see that they're facing right now? And what are some of the resources that maybe you've been able to guide people to?

0:16:06 - (Doug Jenkins): That's my patented asking two questions and one question move right there.

0:16:09 - (Nicole Scott): Well, that's okay, Doug, I get it. Yes, I get it. And you know it. That is going to be one a never ending question because it does that. That changes all the time. It really depends on the type of business, you know, but it's always going to be the access to capital. Where can I find more access to capital? And, and a lot of times that happens because one, they need more money because they're doing better in business than what they had originally planned. And they didn't create their financial projections properly to cover that they grew quicker than they expected.

0:16:50 - (Nicole Scott): Which also means that now they have to hire employees, which they weren't planning on doing until maybe year three. So that's when you go and look back and say, hey, but it's always going to say where access to capital, you know, it changes depending lending strategies change all the time. And also, you know, every month and in every administration things change. Yeah. And in every month something new is always changing and coming out. It's just like anything with regulations, anything that has to do with the government is always going to change. You know, I might say, hey, it's like this today, and then tomorrow they make me look like I, you know, don't have any idea what I'm talking about because I've had to happen, you know, so things just change rapidly.

0:17:45 - (Nicole Scott): There are trends, you know, but it's usually no matter what I can say that's going to be the same is no matter what you're doing as an entrepreneur, you have to have some sort of skin in the game. And a lot of people don't want to hear that. And it's unfortunate and I wish that everything could be 100%, but I guess it's kind of like going to college and anything else. You have to have some sort of skin in the game in order to receive more benefits.

0:18:15 - (Doug Jenkins): We will. Or I'll link to our the previous episode of the podcast that we did in the show Notes for this so people can get a refresher on just the different avenues to funding there. Nicole, this is a lot of great information. If people want to sit down with you, maybe go through some of the checklists that you have, maybe they're thinking about starting their own business or just want to make sure that they're on the right track.

0:18:36 - (Doug Jenkins): What's the best way to get in touch with you?

0:18:39 - (Nicole Scott): Always contact your local chamber of commerce. They can, you know. Doug, Hancock county alliance does a great job of referring people to our services, but you can always find me at the Ohio Small Business Development center located at Rhodes State College. We are responsible for northwest Ohio, and you can contact me at 419-98-1172.

0:19:04 - (Doug Jenkins): Just a couple of key takeaways from our conversation today. Obviously, funding, that's a big part of the puzzle. And in the show notes for today, I'll link to the episode where Nicole and I talked about sources for funding and how you go about that. But it is just one part of the puzzle. You need to have that solid foundation that starts with understanding the rules, licenses and requirements that govern businesses like yours.

0:19:24 - (Doug Jenkins): So you have to make sure you pay attention to that. There's also that no universal checklist. I know that's what people want. Unfortunately, that's just not the world that we live in. There are great local resources, though, to make sure that you have the right checklist. The SBDC and us here at the Chamber, we're happy to help you connect with experts who can walk you through everything step by step, even if it's outside of our offices. And unfortunately, that's sometimes the case. Again, we'd love to be that one stop shop, but you have to talk to the right people and make sure you're checking off those right boxes and we can get you started on that process.

0:19:55 - (Doug Jenkins): And also, don't wait until you're ready to launch to ask questions. That can be a recipe for disaster and also fines or different things you have to do that hold up your business. The earlier that you reach out for guidance, the smoother that your startup journey is going to be, and that'll wrap another episode of Chamber Amplify. The podcast is a free resource from the Findlay Hancock County Chamber of Commerce made possible by the support of our members.

0:20:18 - (Doug Jenkins): Their investment drives everything that we do, from business advocacy to leadership programs to providing timely local information for our business community. If you'd like to strengthen our community and help your business grow, well, we'd love to talk about how a Chamber of Commerce membership can help you with that. Just let me know you're interested and we'll find the right fit for you. And if you have an idea for a future episode of the podcast, send me an email djenkinsindleyhancockchamber.com

0:20:43 - (Doug Jenkins): thanks again for listening. And don't miss the next episode of Chamber Amplified.