Advantage Your Small Business Advantage DECEMBER by xiuliliaofz


									                                                                  Your Small Business
            DECEMBER 2010                                                                                           

Small Business Start-Up Costs
Every business is different and has its own specific cash needs at different
stages of development; therefore, there is no generic method for estimating your
startup costs. Some businesses can be started on a shoestring budget, while               Start-Up Costs to Consider:
others may require considerable investment in inventory or equipment. It is vital           1.   Purchase price or down-payment if buying a business
to know whether you will have enough money to launch your business venture.
                                                                                            2.   Office furniture
To determine your startup costs, you must identify all the expenses your                    3.   Computer hardware and software
business will incur during its startup phase. Some of these expenses will be                4.   Setup, installation and consulting fees
one-time costs, such as the fee for incorporating your business and the price               5.   Business cards and stationery
of a sign for your building. Some expenses will be ongoing, such as the cost of             6.   Decorating and remodeling
utilities, inventory, insurance, etc.                                                       7.   Fixtures, counters, equipment & installation
While identifying these costs, decide whether they are essential or optional. A
                                                                                            8.   Starting inventory, raw materials, tools, etc.
realistic startup budget should only include those elements that are necessary              9.   Deposits with public utilities
to start the business. These essential expenses can then be divided into two               10.   Legal and other professional fees
separate categories: fixed (overhead) expenses and variable (related to business           11.   Business licenses and permits
sales) expenses. Fixed expenses will include figures like the monthly rent,                12.   Advertising and promotion for opening
utilities, and administrative and insurance costs. Variable expenses will include          13.   Signage
inventory, shipping and packaging costs, sales commissions, and other costs                14.   Rent & security deposit (often equals 3 months rent)
associated with the direct sale of a product or service.                                   15.   Operating cash
The most effective way to calculate your startup costs is to consider the various          16.   Other
categories of costs (both one-time and ongoing) that you will need to estimate            Sources: planner and
prior to starting your business.

What Is a Business
Line Of Credit?
A business line of credit gives your business access to cash, whenever you
need it, up to a pre-specified amount. The main advantage of a line of credit
is flexibility.

Funds will always be available to you, when you need them, but you pay no
interest until you draw on the line. This makes a line of credit an excellent
resource to have at your disposal in case of an emergency. Your line can
be secured or unsecured, with multiple repayment options, and a variable
interest rate.
                                                                                    If you feel your business could prosper with a business line of credit, give
Business lines of credit are great for a variety of ongoing or short-term           us a call. TFCU’s Assistant Vice President of Credit, Jordan Herzlich, will
financing needs. Use the funds to improve your cash flow, purchase                  be happy to review the loan options available to you. He can be reached
inventory, materials and equipment.                                                 at (631) 698-7000, extension 3016, or
Holiday Gifts with                                                                                                   Meet Your New Business
                                                                                                                     Account Representatives
Your Staff in Mind
Choosing holiday gifts for your employees can be a daunting challenge. Here are a few
ideas to make your gift-giving less stressful:                                                                                        Name:               Craig F. Novak
                                                                                                                                      Hometown:           Stony Brook
•	 Perhaps	you	could	take	your	staff	out	to	a	nice	lunch;	that	eliminates	the	stress	of		 	
   having to buy gifts and will appeal to everyone.                                                                                   Phone:              631.698.7000 x6029
•	 A	gift	certificate	to	a	local	store	or	restaurant	is	a	great	idea	and	easy	to	get.
•	 Gift	baskets	filled	with	holiday	goodies	are	also	popular.                                                        BACKGROUND
Want	an	even	easier	option?		TFCU	offers	Visa	Gift	Cards*	in	a	wide	array	of	                                        In the last several years, Craig has served as a business
denominations. They’ll provide you with one-stop shopping and should make everyone                                   relationship manager for HSBC and, most recently,
on your gift list smile. They’re smart, thoughtful and always well received. Best of all, you                        Gold	Coast	Bank.		Prior	to	that,	he	had	a	long	career	in	
don’t even have to wrap them!                                                                                        investment banking at Merrill Lynch.
*Purchase gift cards at any branch location ($4 per card). Ten per year free to Educated Choice members.
                                                                                                                     Craig graduated from Brown University, with BA in History
                                                                                                                     and from New York University with an MBA in Finance.

                                                                                                                                       Name:                Gary Frisina
                                                                                                                                       Hometown:            Bay Shore
                                                                                                                                       Phone:               631.698.7000 x6689

                                                                                                                     For	the	last	several	years,	Gary	has	worked	as	a	Business	

We’re Here for
                                                                                                                     Relationship Manager for Chase and HSBC. Prior to that,
                                                                                                                     he was a Trader with most of his career spent on the floor
                                                                                                                     of the American Stock Exchange.

Small Businesses
Your business and its needs are unique. TFCU’s business checking accounts and loans
                                                                                                                     Gary	graduated	from	C.W.	Post,	with	a	BS	in	Finance.

are designed to provide members with the basic financial services that are so important
to a successful business.                                                                                            Additional Business Services
Business Accounts and Loans:                                                                                                           Lockbox
                                                                                                                              Coin and Currency Services
 	   •	Business	checking	account                  	   •	Commercial	vehicle	loan		
                                                                                                                                    Wire Transfers
 	   •	Savings	account                            	   •	Commercial	mortgage		
 	   •	Certificate	account                        	   •	Small	Business	Administration	loan
                                                                                                                         Safe Deposit Boxes at select branches
 	   •	Money	market	account                       	   •	Merchant	Services                                                           Direct Deposit
 	   •	Visa	business	credit	card                         - Credit and debit card processing                                      Payment Processing
 	   •	Line	of	credit                                    - Risk management and fraud control features                            Merchant Processing
                                                         - Equipment for lease or purchase

                                                                                                           2410 N. Ocean Avenue, P.O. Box 9029
                                                                                                               Farmingville, NY 11738-9029

                                                                                        631-698-7000 • 1-800-341-4333*
                                                                                          *Outside the Long Island, Westchester and New York Metro areas.

                                                                                                                                         While consistent effort is made to ensure the integrity of
                                                                                                                                         information contained in this publication, material should
                                                                                                                                         not be considered legal, financial or professional advice.

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