Are you a Bloomfield resident who would like to start your own small business but don’t know how to start? Or are you a future business owner curious about setting up headquarters in this city? Let’s go over several strategies towards starting a successful small business in Bloomfield Hills, Michigan and how you can make the most of this intimate city.
About Bloomfield Hills
Although only 20 miles north of Detroit, Bloomfield Hills offers a suburban alternative to the busy metropolis landscape. Many who work in Detroit live in Bloomfield and seek its offerings for family activities and relaxation when not working. Because of the beautiful Cranbrook gardens and other leisurely offerings, many people flock to this suburb for a brief retreat away from the city environment.
Rather than compete against the already established Detroit businesses, business owners in Bloomfield Hills have an opportunity to offer new versatile services to residents off the clock.
Some large companies, such as the Acme Group, have headquarters in Bloomfield Hills. Your business could become their new favorite lunch choice or offer them useful hardware or other products unique to your store. Bloomfield Hills offers opportunities to cater to a niche clientele that’s outside of the competitive city space.
How to Get Started
With Bloomfield Hills in mind as headquarters, how should a small business begin building their brand in this city? Before you do anything else, it’s important that your idea is fully realized with an execution plan and end goals. Let’s go over how to set up for success.
Write a Brief Business Plan
Many small business owners mistakenly overwhelm themselves in the early start up stages by creating a massive business plan. This is only important if you are seeking a lot of financing, but small business owners usually are investing a small amount. Creating too large of a business plan on small money is not practical. Instead, create a simple business outline first and even test out your products or services.
Think Outside the Box
Rather than shaping your business model based on other companies or trying to be just like other businesses in the Bloomfield Hills area, try to stand out. This will make your business more unusual among the limited options within the area, and clientele will appreciate your uniqueness.
Go to Bloomfield Hills and observe the commercial areas and what the city already offers: What can you bring to this area that others have not? Incorporate this thinking into your plan and start developing.
Commit to a Budget
Assuming a low amount is being invested into the business, keep production costs low to start. Determine a budget and stick to it: try not to overcomplicate it. As a general rule of thumb, it’s always better to limit it and add on as you go than underestimate how much you can spend. Be realistic and always keep the budget in mind.
Since there won’t be major corporate backing to help you in case you encounter financial trouble, it’s important to secure your resources.
Separate the Budget from Personal Finances
With a limited budget, it can be tempting to use personal finances towards business expenses. However, this is a terrible idea that will lead to financial confusion, especially during quarterly taxes.
Instead set up a free business checking account with a credit union. You will save yourself the headache of trying to sort out where the money you spent came from later.
Once you’ve successfully created your business plan and developed strategies for acquiring your target market, it’s important that you learn Michigan’s business laws. Ensure that your company will operate according to the state’s regulations before you invest time and money into growth. Let’s go over important things to consider before you get started.
Register Your Business
In order to create your LLC or corporation, you’ll need to register with the state of Michigan. If you choose to LLC, you will have to file Articles of Organization whereas if you are a corporation, you would file Articles of Incorporation. You can also have a DBA (“doing business as”) along with your entity name. The office will document your business under its assumed name, and you’ll be ready to operate.
Obtain an EIN and UIA
An EIN (Employer Identification Number) is a tax ID given to your business. A EIN is necessary for opening a checking account for your business.
A UIA (Unemployment Insurance Account) is required before hiring employees and is important for filing quarterly taxes. The good news about obtaining a UIA and an EIN is that it only takes minutes.
Obtain a Sales Tax License and Permits
Regardless of whether what you will sell is taxable or nontaxable, a sales tax license will legitimize your business and save you money by allowing you to make resale purchases without paying additional sales tax to the vendor.
Some businesses require additional permits to sell their products.
While all of this might seem tedious, they are critical steps towards building a business, and extreme fines can result from not obtaining these critical permits and documents. Don’t let your profit potential crash because you did not follow protocol.
Get a Website
Internet and social media marketing have become standard for businesses small and large. Creating a website increases the potential of locals learning about your services and expands your customer base. Taking advantage of social media marketing allows you to target specific demographic groups that will be most interested in what you offer.
Several online resources exist that make web design easy without needing to know coding, such as WordPress and Wix. However, if you feel uncomfortable designing your own site, it’s always better to consult with a professional who is web design fluent and can make your website most appealing to potential customers.
This has become a popular business term for your company’s image that’s sold to customers. Every business communicates their brand through their imaging, and developing a visually appealing brand can bring a wide pool of interested customers. Consider your company’s values and incorporate your overall mission statement into your imaging.
Communicating a customer-friendly message to customers through pleasing imagery will make your business seem professional, genuine, and contemporary. Through your branding, consider how you can stand out from your competitors by offering a service they cannot supply.
A website is an ideal opportunity to communicate your brand, as well as social media campaigns, commercials, and advertisements. The brand should also be communicated through the storefront or business offices, so when customers, clients, or partners visit your headquarters, they are receiving a visual representation of your company’s values.
If you need to host meetings with clients or potential financers or if you plan on hiring in-house employees, consider renting an office space from an executive office service at the minimum. meeting in an office makes you seem more professional than hosting a meeting in your living room or in a coffee shop.
It might seem like an unnecessary expense, but having a headquarters will separate personal life from business and give you a formal place to do work if desired.
Make Yourself Available
Always ensure that you will be available by phone, email, or through your website to customers. There’s nothing more infuriating for customers than seeking a business’s services and not getting a response. This is one of the most detrimental mistakes you can make in a smaller city because word travels fast. Always put your customers first and make sure you are easily reachable, or you might see a sharp decline or stalling in services rendered.
Become Involved in the Community
One of the advantages of setting up shop outside a large metropolis is the increased ability to form connections with locals. By getting to know other businesses and purchasing products from their services, a relationship will form, and they will reciprocate. Attend meetups and city events.
Get involved with Bloomfield Hills’ chamber of commerce and seek their resources. By meeting other small business owners, they can also give you tips that are invaluable towards success.
Forming relationships in the community makes it easier to determine how well your products and services will work in the Bloomfield area. You will develop a pool to sample products with and get feedback. If your services are a success, encourage others to spread the word and benefit from a citywide increase of clientele.
Operating a small business means establishing intimacy, and expansion is all about forming genuine connection with your loyal customers. Be prepared to get to know the people that hire you or buy your products—it will pay off for your long-term goals.
Experience Success with a Small Business in Bloomfield Hills
Small business owners who make smart and concise business plans, stick to budget, and become involved in their community will become successful companies in cities like Bloomfield Hills. Small business success is about covering the essential bases, but also establishing relationships with customers as part of the excellent service.
Customers choose small businesses over corporations to receive a special, unique experience and support local efforts. Once you’ve taken all preliminary measures, enjoy the benefits of owning a small business in Bloomfield Hills and the amazing relationships you’ll experience with your loyal customer base, as well as what the entire city of Bloomfield Hills has to offer.
If you’re ready to take the dive into become a small businesses owner, MI Tax CPA can help you with your financial needs. From business formation, bookkeeping services, payroll, taxes, and more. MI Tax CPA is ready to help your businesses be more successful.