Step-by-Step Guide

Step 1: Ask Questions

Assess your skills and experience. Ask yourself:

Can I explain how my idea is feasible?
What type of basic business skills do I have?
How have I prepared for the time, financial and emotional commitment to start and run a business?
What support structure or mentor can I rely on to provide guidance and advice?
What is my comfort level with taking risks and being flexible, creative and persuasive?
How long am I willing/able to forego a paycheck while the business is getting up and running?

Resources

Small Business Administration (SBA)

SCORE

Step 2: Research and Planning

Start by determining if your business must solve a problem, fulfill a need, or offer something the market wants by:

Identifying market need/competition
Researching the industry
Researching your target market
Building a marketing strategy

Next, define:

How your business will serve the target market and meet its needs.

What differentiates your business
The best structure for your business
How you will manage the business
How you will fund the business
A business name and a short “elevator pitch” that defines the goal of your business and its unique proposition in a quick, relatable way

Resources

SCORE

MHCC Small Business Development Center (SBDC)

Mercy Corps NW

State of Oregon Business Xpress

Step 3: Register Business and Tax Filings

Check the State of Oregon Business Registry database for business name availability and registration.
Then, consider what federal, state and local taxes or filings your business may be subject to including:

Business identification number (BIN)
If you will be hiring employees, you’ll need this for state payroll taxes.
Employer identification number (EIN)
Most businesses will need this for federal income tax purposes.
Multnomah County business tax
Administered by the City of Portland, even if your business is within the city of Gresham.

Resources

Oregon Secretary of State – registry/BIN

Oregon Department of Revenue – taxes

IRS (Portland office) – EIN/taxes

City of Portland Revenue Bureau

Step 4: Plan Your Finances

Evaluate your seed money, one-time costs and variable or fixed costs including:

Personal finances: Assets and liabilities – cash on hand, savings, investment.
Start-up capital: Initial inventory, equipment, real estate lease/purchase, permits, licenses, marketing, etc.
Operations: Fixed/variable operating expenses, projected sales forecast, cash receipts and disbursements.
Understand: Income, statement balance sheet, cash flow statement.

Financial tools and templates

Small Business Administration (SBA)

MHCC Small Business Development Center (SBDC)

SCORE

Step 5: Set Up Recordkeeping and Insurance

You may wish to attend technical training and/or hire a professional to help keep your books. Then, choose an accounting system to:

create and manage your budget
set your rates
conduct business
file your taxes

Determine and apply for insurance applicable to your business/industry including health, worker’s comp, unemployment and disability insurance.

Resources

MHCC Small Business Development Center (SBDC)

OregonHealthCare.gov

Step 6: Obtain Financing

There are many ways to finance a business including: owner equity, crowdfunding, loans, grants, etc.

Be sure to determine your level of need and associated risk from your financial assessment given each type of financing.

The SBA doesn’t provide direct loans, so work with a service provider to help determine what options are available for your business.

Resources

Craft 3

Oregon IDA

Micro Enterprise Services of Oregon (MESO)

Step 7: Determine Licenses and Permits

Research city, county and state licenses, permits, timelines and other agency requirements.

A business license is required to conduct business in the city of Gresham. Other building permits may be required depending on business type and location.

Resources

City of Gresham Small Business Center

Multnomah County restaurants

Oregon Department of Agriculture

Oregon Liquor and Cannabis Commission

Step 8: Find Your Location

If available, it can be beneficial to work with a commercial real estate broker to find available options.

It may be helpful to have a lawyer, mentor, or advisor look over contracts to help you consider your obligations.
Be sure to determine the types of permits you will need before signing a lease.
The City’s Small Business Center can help you with finding a location and determining what permits are necessary pre-lease.

Resources

Lewis & Clark Small Business Legal Clinic

MHCC Small Business Development Center

Step 9: Sign Your Lease and Obtain Permits

Once you are aware of agency permit and review requirements, sign your lease.

Contact any appropriate agencies to submit permits before moving forward with construction/remodeling.
Consider that you may need to hire contractors and design professionals - be sure to confirm professional licenses.
The City’s Small Business Center can help you navigate Gresham’s application and permit-review process