by Isabel Isidro
Managing Editor

• Given the high cost of medical expenses, make sure that you have health insurance coverage before leaving your full-time job. You can find coverage with a home-based or small business association, sign up with your spouse’s plan, or continue with your employer’s plan through Cobra.
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• Save six months to two years of living expenses to allow your business time to grow and make a profit. If possible, start part-time on the side and still hold your job. This approach will give you an opportunity to test your market and make sure customers exist for your venture.

• Establish a credit line with your bank and credit cards for possible financial sources. You need to make sure that you have the resources when the need arises.

• Thoroughly prepare for your planned business endeavor. Assess the skills and knowledge you have to contribute to your business. Take business management and entrepreneurial courses, or even work or volunteer in the business industry in which you will be venturing to get business management knowledge and on-the-job experience.

• Join trade and professional organizations (local, regional, and/or national) with which you can network, learn business tips and begin to make contact for referrals.

• Know the legal requirements for your business: apply for a federal employer identification number (EIN), state and city business licenses, state sales tax and resale tax certificates, zoning allowances, and register your business name.

• Finally, research, research and research. Ask around; it would be best if you can even talk with someone already in the same business. Go to your library, or surf the Internet. Make sure that you have all the information to allow careful planning of your decisions, actions and strategies.