Self-employment for persons with disabilities

1. Self-employment for persons with disabilities CCER OYATE’ April Fools Day, 2004 Peter Arneil, WWU DVR Self-employment Program Mgr. Rex Rhoades, WWU Native American Business Development Specialist

2. Self-employment overview • Who can be an entrepreneur? • What benefits accrue to business owners? • How do you predict who will succeed? • What are the challenges you will face?

3. Who can be an entrepreneur? • Disabilities run the full range • Developmental • Physical • Blind • Mental

4. Who can be an entrepreneur? • A DD woman owns an espresso stand that makes enough $$ to pay her full-time caregiver. • A quadriplegic man runs a drug & alcohol counseling business.

5. Who can be an entrepreneur? • Key ingredients • Support • Expectation • Determining support longevity and setting appropriate expectations are crucially important.

6. Who can be an entrepreneur? • Supports • Family • Agency • Paid by business • Volunteer • Community • Expectation possibilities • Full employment • Supplement other income • Maintain medical benefits • Self-determination • Relieve family of burden • Inappropriate expectations • Hobby businesses • Lifestyle businesses

7. Who can be an entrepreneur? • Almost anyone, but very few… • It takes someone who is willing to: • Work harder than at a traditional job • Be self-motivated • Multi-task ALL the time • Think of marketing and promotion as their ‘main job’ • Wait to be paid until after all others • Be patient while the business builds

8. Multi-task you ask? • Generating Publicity for Your Business • Getting a Loan • Hiring the Right People • Making a Good Impression • Managing Cash Flow • Managing Growth Over the Long Haul • Managing Upset Customers • Marketing on a Limited Budget • Organizing Your Business • Setting Up a Home Office • Using Your Business Plan to Monitor Progress • Writing a Business Plan • Collecting Payment • Coming Up With a Powerful Business Idea • Conducting Market Research • Creating a Market Niche • Creating a Market Plan • Developing a Pricing Strategy • Employee Recruiting • Establishing Great Customer Service • Fighting Business Burnout • Financing Your Start-Up Business • Finding a Business Mentor • Finding the Right Business Coach

9. What benefits accrue to business owners? • Similar to traditional employment, but often… • Increased scheduling flexibility and other accommodations for disability • Better self-determination enhancements • Higher growth potential

10. How do you predict who will succeed? • Initial assessment • Feasibility study • Business plan

11. How do you predict who will succeed? Initial assessment • Three factors to consider • Person • attributes, skills • Business idea • Situation • How well the business idea fits the person’s life • Assessment interview questions • 60 – 90 minutes

12. How do you predict who will succeed? Additional assessment – VRC role • Dig deeper (mostly on the business idea): • Materials available: • Self-employment checklist • Pre-plan project list • SWOT analysis (strengths, weaknesses, opportunities and threats) • Break-even analysis

13. How do you predict who will succeed? Feasibility study • Is there a market? • Will it make enough money to support the owner? • What are the costs? • In terms of complexity, this is the rocket science of business….

14. How do you predict who will succeed? Business plan • Lessons needed to be learned before being committed • Road map to success • Ownership issue to deal with • Lots of detail, but conceptually pretty simple

15. What are the challenges you will face? • Technical • Creative • Location • Personal

16. What are the challenges you will face? • Location – it all depends on how you look at it. Rural/tribal locations: • Downside • Lack of job opportunities • Low income • Upside • Rural self-employment rates are higher than urban • Networking is easier

17. What are the challenges you will face? • Creative – Can you visualize a need? • Tourism • Hunting, fishing, Native artwork, storytelling, etc. • Agriculture • Wine grapes, organic produce, spring water, etc. • Community • Taxi, sewing, repair, language, etc. • The ‘idea’ is not your job

18. Self-employment planning overview • What are the elements of a business plan? • Relationship/trust building • Understanding clients needs • Tools

19. Elements of a business plan • Written plan • Story of the business, section by section • Financial plan • The same story, told in numbers

20. Elements of a business plan • Written plan Executive Summary • Reasons for interest • Experience and education • Skills and attributes Business Profile • Description of business • Business zoning/location • Disabilities considerations • Legal and tax consideration • Risk factors Products and Services • Pricing strategy • Determining cost of products • Impact of overhead on pricing Definition of Market • Climate • Niche • Area Competition • ID the competition & how you differ

21. Elements of a business plan • Written plan Marketing • How will the products & services be promoted and to whom • Assessment of advertising needs Organizational structure • Form of business-sole proprietorship, LLC, corporation, etc. • Operational responsibilities Financial Profile • Projected income and expenses • Break even analysis • Profit analysis • Balance sheet • Start up assets • Start up cost Final Summary • “Successful Employment” targets and goals

22. Elements of a business plan 3-year financial plan • Sales Forecast by month • Cost of Goods Sold (COGS) • Marketing Schedule • Wage Schedule • Projected Profit and Loss Statement • Cash Flow Statement • Start-up Costs

23. Elements of a business plan 3-year financial plan • Balance Sheet • Personal Financial Data and Cash Flow • PASS calculation (if applicable) • Three Year Annual Projection • Assumptions • growth rates, annual inflation, tax rates • receivables/payables aging, seasonality, etc.

24. Relationship/trust building

25. Understanding clients needs

26. Tools