California Business Startup Guides
Start a Business in Santa Cruz, California
Are you starting a business in Santa Cruz, California? This article discusses the most important things to consider when opening a business in Santa Cruz.
Will You Be a Good Entrepreneur?
Most new businesses don't make it, in part because the entrepreneur did not have the perseverance and abilities that are necessary to succeed. So, before you open a business, consider all of the implications of being an entrepreneur.
To determine whether you have what it takes to run a business, we recommend these three steps to help you decide:
- Speak with other entrepreneurs in Santa Cruz. They are usually very willing to share their insights on the ups and downs of being an entrepreneur.
- You should read Business Failure. It's a good read for those who are thinking about becoming an entrepreneur.
- Involve a spouse, family member or trusted friend in the decision. Others sometimes know you better than you know yourself.
Choosing the Right Company to Start
An important decision is what kind of business you want to start. You might get some good ideas about what kind of business to start by reading Good Business Ideas.
To view an extensive list of business types, complete with startup instructions, spend some time in the Good Businesses to Start section of our site. For example, you might be interested in our How to Start a Holiday Decorations Wholesale & Manufacturers Business guide or our How to Start a Meat Choppers & Grinders Business guide.
Remember that you are starting a business in Santa Cruz. Some businesses will do better in Santa Cruz than others. Make sure you fully understand Santa Cruz demographics before you lock in on your business idea.
Santa Cruz, California Demographic Information
Santa Cruz has an active business community that includes small businesses, mid-sized businesses and large businesses.
To give you a better feel for Santa Cruz demographics for small businesses, we have tabulated the small business sizes, based on number of employees, for business in Santa Cruz.
Businesses
As a new Santa Cruz entrepreneur, you may also be interested in the table below. It shows how many businesses there are in Santa Cruz for each business category. By looking at this chart, you can get a general sense for how much competition there is in the business niche that you are pursuing.
Businesses
Should You Franchise?
As you drive around Santa Cruz, you may be surprised to see how many franchises there are in the area. Should you be giving franchising serious consideration?
We advise the entrepreneurs we work with to consider franchising as an option. This site has dozens of articles on franchising, such as Growth Trends in Franchising. Get a thorough education on franchising by browsing all of our Articles on Franchising.
To learn about specific franchise opportunities, check out our Franchise Directory.
Sample franchise opportunities include Nestle Toll House Cafe by Chip and The Counter. Alternatively, you can browse franchise categories, such as Cell Phone Franchises and Automotive Services Franchises.
Note on Santa Cruz Franchise Opportunities: To find out if a franchise you are interested in is available in Santa Cruz, you will need to get in direct contact with the franchisor.
Selecting a Name For Your Business
A good company name can give a big boost to a new startup. It might seem like an easy thing to do, but there are many things to consider when naming a business.
Even if the name doesn't do it by itself, many naming experts believe there should be a story behind the name that ties into your company mission.
To get up to speed on what makes for a good company name, we encourage you to read this useful article: Naming a Business.
There's one other important factor when naming a business. Since you are starting a business in Santa Cruz, it's imperative that you check now that your company name has not already been claimed by another California business.
Company Formation in Santa Cruz, California
A critical step is ensuring that you choose the right legal structure for your new entity. Doing so will protect you from personal liability for business debts and obligations.
When forming a company, you will choose from many company types, such as a corporation, LLC, sole proprietorship, partnership or other structure.
Incorporating is a very popular way to form a business. Of course, you have to decide which type of corporation to form and where to incorporate. Just because you are starting a business in California, it doesn't mean you are required to incorporate in California. In fact, you can incorporate in the state of your choosing. For example, it's very popular to incorporate in Delaware, and incorporating in Nevada has become very trendy as well. Don't forget, though, that you will have to register as a foreign entity in all states that you do business in.
There's a lot to know about forming a company. To learn the fundamentals of company formation, browse articles on our site, such as Why Incorporate in Delaware. You may also want to seek the advice of an attorney. On a final note, since you will be starting a business in Santa Cruz, California, our web page covering Incorporating in California may be a useful resource if you decide to incorporate in California.
Getting Money to Start a Business
Raising money to fund your new Santa Cruz business is very difficult due to the ongoing business credit crunch. To obtain business financing, you will need to hear a lot of rejections before you finally find a funding solution that works for you.
To learn about raising money, we recommend you read the fundraising articles on our site, such as Business Credit Evaluation.
For Santa Cruz entrepreneurs who need startup capital, check out our List of California Angel Investors and our List of California Venture Capital Firms.
What's Next?
Most new Santa Cruz businesses underestimate the number of challenges they will face.
If you choose the right business and love what you do, you will greatly increase your odds of success.
Our goal here is to promote the vitality and growth of small businesses in Santa Cruz and throughout the United States . We believe entrepreneurship is an amazing engine for job creation in Santa Cruz, neighborhood development and overall economic health.
More Entrepreneurial Resources for Starting a Business in Santa Cruz, California
Here are more links that we believe will help you be successful in starting a business in Santa Cruz.
- Resources for Santa Cruz, California Entrepreneurs - Browse a variety of resources we've collected to assist Santa Cruz entrepreneurs.
- California Entrepreneurial Resources - We've gathered state-level entrepreneurial resources to help new entrepreneurs who are based in California.
- Fresno, California Small Business Development Center - The UC Merced SBDC Regional Network assists Central California entrepreneurs and small business owners through counseling, training and business information.
- Los Angeles, California Small Business Development Center - The Los Angeles Regional Small Business Development Center Network (LA SBDC Network) is part of the national, U.S. Small Business Administration (SBA) effort to provide free one-on-one customized consulting services and low-cost training workshops to growing businesses and start-up businesses.
- Sacramento, California Small Business Development Center - As Northern California continues to grow demographically and economically, the Northeastern California Small Business Development Center (NECSBDC) at CSU, Chico is committed to helping communities prepare and plan for future growth.
- San Diego, California Small Business Development Center - The Small Business Development Center (SBDC) at Southwestern College serves entrepreneurs and small businesses in San Diego and Imperial Counties. The SBDC provides no-cost business assistance to start-up & existing businesses.
- San Francisco, California Small Business Development Center - The Northern California Network of Small Business Development Centers helps individuals start, manage and grow their businesses.
- Orange County Small Business Development Center - The Orange County SBDC is a leader in providing consulting, training, and technical assistance to the small business community.
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