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Business Formation and Planning Archives

Social media presence and small businesses

Many small business owners may believe that is it good business sense to pull back their social media efforts to focus on other aspects of their business. However, small business owners in Colorado may be interested to know that experts believe having an online business presence is important. Small business owners are able to increase the visibility of their businesses by having an active social media profile.

Getting startups ready for venture capital investors

For every Twitter, Snapchat and Tesla Motors, there may be two or more promising Colorado startups that fail to take off because they are not adequately positioned for success. In a major tech hub such as Denver, quite a few startups that should have skyrocketed instead languished after dubious efforts to attract venture capital investors.

The legal side of creating a new business

Colorado entrepreneurs may have great new ideas that they want to capitalize on. However, going into business is not only about having an excellent idea and the commitment to create a profit-making venture. There are a number of legal considerations that should be considered as well. From the type of legal structure that you choose to the contracts that you enter into, the decisions you make can have a major impact on the future of your business.

The most important thing startups have to look out for

Entrepreneurs starting a business from scratch have to juggle countless variables simultaneously, which is never an easy task. For instance, someone starting a business in Colorado has to worry about how to optimize their product or service, how to attract top-tier talent and how to market their business as best as possible.

How to create a proper NDA

Businesses in Colorado and throughout the nation may use a non-disclosure agreement, or NDA, as a way to protect confidential information. However, in some cases, it is better to not disclose it at all. It is also important to consider which party or parties will be disclosing such information. If only one party is going to be releasing confidential information, a one-way NDA may be appropriate.

Finding a creative exit for investors

Any entrepreneur who has ever had to raise funds, be it in Silicon Valley or Colorado, is well aware of the importance of offering their investors an exit strategy. After all, an investor can exit through one of two ways: an acquisition deal or an IPO. Unfortunately, most startups can spend their entire lives neither getting acquired nor going public.

Startups should reduce costs to increase their chance of survival

Startups, whether in Silicon Valley or Denver, Colorado, are infamous for being extremely lavish with their resources. Although this extravagance is explained as a necessary tool to attract and retain top talent, it often causes startups to experience undue stress and requires them to seek extra funding, which can be problematic in the long term. Moreover, it is worth pointing out that the notion of entrepreneurs being overindulgent with their startups is backed up by data as opposed to being purely anecdotal.

Financing advice for startup companies

Many new companies in Colorado inevitably run into the need for business loans. An injection of cash can help a growing enterprise keep up with rising demand or acquire new equipment or real estate. While startup companies generally lack the financial track record required to get a bank loan, the Small Business Administration and online lenders could provide access to money. Choosing the right amount to borrow without overextending a youthful business represents the crucial first step when seeking a loan.

Hidden costs involved in building a startup

For plenty of people living in Colorado, starting a business is a dream come true. After all, the autonomy and freedom that come with being self-employed are enviable, not to mention the ability to shape the world as one sees fit whether it's by selling scrumptious desserts or offering phenomenal customer care in the IT field.

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