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 Generate Revenue Through IT Using Business Service Management
Sponsored by HP
Making sure that your business applications are available to their end users is an important part of running your business smoothly. Business operations have evolved to where IT must now broaden its focus to help the company attract, retain and grow customer relationships and increase customer satisfaction. Business service management (BSM) helps lay the foundation by managing services in dynamic support of business requirements. »
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Managing the Modern Network
Sponsored by HP
Networks are more than vehicles to transport e-mail and Web pages. In a global economy where information crosses the globe in an instant, and where Web-based applications power business, it's more important than ever to ensure your network is safe from threats and optimized to deliver the data your business needs. »
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Storage Networking 2, Configuration and Planning
Sponsored by HP
In Part 1, we discussed storage area networks (SANs) and fibre channel. In Part 2, delve into best practices and cover the general concepts you must know before configuring SAN-attached storage. The most critical, sometimes tedious, part of setting up a SAN is configuring each individual disk array. This guide examines configurations for SAN-attached servers and disk arrays, and also includes a look at the future of IP storage.
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Is Your Disaster Recovery Plan Good Enough? Get Disaster Recovery Right
Sponsored by HP
Preparing for a disaster is more often than not part of the storage planning process, and without question it is one of the most difficult task, since it includes local hardware and software, networking equipment, and a test plan to ensure that you can recover from the disaster. Learn how to put your organization on the proper disaster recovery plan, now. »
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The business of web design
June 17, 2002
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Lee Creek delves into the business end of web design. Join him
as he discusses everything from finding the money to get started,
to planning for the emergency that could ruin your company.
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I am amazed at how often I receive e-mail from people saying that
they purchased a web design program for the purpose of starting
their own business, only to find out that to do it correctly is
proving to be much more difficult than merely buying software.
Designing web sites for a hobby is far different than doing so
for profit, and to approach it the same way is a recipe for
financial disaster.
First, it must be realized that running a small business is not
just sitting down and designing web sites. It requires finding
clients, mastering software, knowing how to keep books, knowing
what paper needs to be shuffled to be in business, knowing how
to keep the business and home separate so that the home is not
endangered if the business fails, and having an emergency plan
to combat business disruptions.
Owners of small businesses can easily get into trouble because
they find out too late that they cannot handle all the things
that need to be done, and in some cases either cannot find
someone to provide a solution or cannot afford that person when
he/she is found.
The web design business requires a minimum of the following
abilities: Financing, bookkeeping, licensing, and insurance.
It also requires that a type of business organization be selected.
Only then do the abilities to write HTML, design pages, and
create graphics come into play, and this column will not delve
into those aspects. Here is a look at the different elements
needed in the business:
Financing
Financing a business startup can require anything from having
lots of cash on hand, a rich relative, great networking skills,
excellent credit, or a winning lottery ticket. My personal choice
is the winning lottery ticket, but there is some chance that you
might not ever hit one. Personally, I've won $12 during the past
five years, so it was good I did not rely on that option.
When I started my business in 1989, I didn't have any cash or
well-healed relatives, I hated networking, and that only left
excellent credit - and I didn't want to go into official debt.
Thus, I started my business by borrowing $2,000 from my then
8-year-old son's college account. Granted, the interest he
demanded was ridiculous, but he had the cash and I didn't, so
I paid it. And, yes, I paid him back, too.
It is important to realize that the first year or two of the
business may be profit-impaired, thus going too far into debt is
not worth the risk. It is possible to get a government Small
Business Administration loan or some other type of financial
institution startup, but then there is debt to worry about.
Bookkeeping
Bookkeeping not only requires the day-to-day breakdown of income
and expenses, it has to balance out evenly when the day is done.
Further, there are taxes to be paid, depending on what type of
corporation (if any) is chosen, and that can be time consuming
and take some more time to learn.
That is where a business background can be a definite plus.
These tasks can be outsourced to a CPA or tax service, but it
is imperative for the business owner to keep a close eye on it.
Further, there is expense associated with outsourcing that must
be considered when the web designer's pricing is established.
Should you choose to keep your own books, there are two systems
from which to choose - single entry and double entry.
- Single Entry: All transactions are recorded in
either a cash receipt journal, a cash disbursement journal, or a
checkbook. Each of the journals is broken down into columns for
the various types of expenses and income entries that may arise.
Each column should be totaled monthly and annually.
- Double Entry: Same as single entry except that also
recorded are cash on hand, equity, equipment, accounts payable,
mortgages, loans. There are two columns under each entry, and
when all is added these two columns must be equal. Personally,
I prefer this method because it has a built-in way of checking
entries to eliminate mistakes.
Licensing
Licensing depends upon where you are starting your business. In
some places, a state, county, and/or city license is required.
They usually are not super expensive, primarily because they
often are based upon the income of the business, which figures
to not be too great at the start. In other places, a minimum of
licensing is required. Having my business in the woods requires
nothing other than a Federal ID Number for tax purposes. Where
ever you locate, you will need that.
Insurance
Insurance is crucial, particularly for those of us who run a home
business. Should a client come to the door and fall over the kids'
skateboard, it is better to have the business pay for it than
homeowners insurance. Further, should the client file a lawsuit,
the home is protected if the business has proper (and enough)
insurance. Further, the cost of that insurance is often minimal
compared to the cost of home insurance.
An example of how insurance can be helpful is a recent stunt I
pulled at a clients' business. He had me test drive one of his
high-powered, 3-wheel motorcycles, (worth about $34,000), that he
creates. I drove it just fine, but when I returned and parked it,
it jumped out of gear and slammed into his garage doors. My son,
sitting next to me, never changed expression as he said, "I think
that's probably close enough, dad."
The fact is things such as that could happen to anyone at anytime,
and without insurance it could be a huge setback.
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Generate Revenue Through IT Using Business Service Management
Managing the Modern Network
Storage Networking 2, Configuration and Planning
Is Your Disaster Recovery Plan Good Enough? Get Disaster Recovery Right 