My 1st Real Business — How I Got Started
By Desty on Oct 10, 2007 in Offline Business
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My 1st business started back in 1995. I was pretty heavy into computer at the time. By pretty heavy, I mean that I was pretty well versed in Windows 3.1, 3.11, and the brand new (at the time) Windows 95. This was back in the time of massive computer expansion. Large corporations were using desktops, but the small business owners were still using pad and paper for their bookkeeping, inventory management, records, etc.
I was going to the local Community College for Psychology and gen ed’s (general education requirements). I had a job in the library’s computer lab, so I was pretty hands on with actual computer problems and coaching those who knew nothing about computers.
I had to go to my bank to get my checking account straightened out. For some reason, they said I was over-drawn. I keep a very detailed check register, and I knew I had plenty of cash, so I was prepared to sit down and go over, point by point, everything going back 6 months to a year if I had to. Turns out that, of course, I was right; they reversed the penalties, contacted the various banks themselves to make sure I wouldn’t get in trouble for mistakenly bounced checks, etc. The VP of the bank calls me into his office.
I’ve know Bob going back as far as I can remember. I lived in a small town (less than 800) and on top of that we went to the same church. After abit of chit-chat, he mentioned that I supposedly knew something about computers. Being modest, I advised him that I knew a few things about PC’s. Bob had a business partner who was having computer problems and he wondered if I would be willing to go help him out. He’d be willing to pay me $13 per hour for my time. At the time I was making just around $5 per hour part time in the computer lab, so I jumped and said yes.
Bob’s business partner, Pat, ran a car wash building and supply business. People who wanted to buy automated car washes to set-up their own businesses would come to Pat and he would have his crew go out and build the whole thing from scratch. Afterwards, the new car-wash would always need soap, brushes, maintenance, etc, so this business support made more money in the long term from the supply side of the business rather than the building of the car-washes.
Pat was using an OLD PC, still running on DOS, and an old version of DOS at that. Good thing for him, I knew DOS pretty well. Even though Windows 95 supposedly did away with DOS (they didn’t, they just hid it) I was still very well versed in DOS. Pat was wanting to use some software his vendors had given him allowing him to manage his inventory and automatically reorder supplies. After going over everything on the computer, I told him that, simply, his computer was too old and wouldn’t run the software.
I told Pat that he just couldn’t run that software on his computer, that the computer was just too old. He asked what was required, so I rattled off the minimum requirements for the software off. Pat nodded, opened a draw in his desk and took out a rather large roll of cash and threw it to me. “Buy what I need.”
I took off towards the nearest Best Buy that was 1 hour away. I was thinking I should be able to get a nice cheap Compac PC for just over $1000. Then it hit me. I had no idea how much cash I was working with. I pulled over and started my count. I had just at $2000! For me, especially at that time, $2000 was alot of money and consider the amount of trust he had in me just throwing that cash at me, no receipt or anything.
So, I still bought him a computer that would do what he needed, but nothing too fancy. I continued to get technical support work from Pat almost on a daily basis after school. The next week, I received a call from my Sunday School teacher’s mother; Bob had told her that I ran a business helping people learn to use their computers and help fix them from time to time. My business was up and running, purely on word of mouth.
As the months went on, I continued to get steady work and more customers. That fall, however, I transferred out of the community college and into a larger 4 year school. I was looking to have my business move with me, but when you’re a psychology major going against computer science majors for computer work, there’s no contest.
Looking back, I made some mistakes, of course, with my business:
- Income — I made no records of my income. I cashed the checks and bought more comic books (I was a collector at the time). I also didn’t do anything with that income to expand my business, either in advertising or in continuing my capabilities or experience.
- Taxes — I paid zero taxes on that income. Could have been some trouble.
- Marketing — I did zero marketing. All marketing was done by my customers without any mention from myself. I was flattered that they thought so highly of me.
Sometimes starting your own business isn’t so much forcing your way in. Sometimes, it’s all about taking advantage of opportunities when they knock on your door.
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