First Time Business Owner Recommendations
Based on the results of the 1999-2008 Annual PetGroomer.com Survey of Career Seekers
(update: and more recent
surveys) we know that
80% to 90% of career seekers want to one day open your own pet grooming business. 48% of you
expect to employed when first entering the grooming industry, but it's only a step to one
day being a business owner. However, nearly all of the 90% destined to open a grooming
business say they have no previous experience as a business owner of any kind. Now that's
a big career step indeed!
Becoming a business owner is perhaps one of the
most important events in your life. It requires knowledge and advance planning, and even
changing the way you think in the workplace. You are not employed anymore working under
the directions and supervision of management, so you are the supervisor of every aspect of
your business, indeed, you are the OWNER, MANAGER, SUPERVISOR, GROOMER, BOOKKEEPER,
CUSTOMER SERVICE and probably more job descriptions.
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Doesn't a
business owner require more skills than grooming alone?
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What 2
hats are you really wearing? Groomer and Manager.
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Where is
your MANAGEMENT training specific to grooming?
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Did you know there is
only one book
ever written in the history of the grooming industry dedicated to MANAGEMENT?
One. It's
advertised here a lot for a reasons, but for one good reason. You need it!
If you are a business owner, you have more responsibilities
than just being a groomer. Too many thousands of grooming
business owners have little or no management training;
that's a fact. They are wonderful groomers because they love
it, but they love it more than management, but management is
what keeps a business alive and healthy, less stressful and
financially successful. The source of groomer burnout is not
grooming, but a lack of business education and accepting
business problems as normal.
From Problems to Profits - The Madson
Management System for Pet Grooming Businesses is perhaps our foremost recommendation to
first time business owners as well as veteran groomers. It is an incredible business plan and management guide, and it can save you
thousands of dollars avoiding years of trial and error in getting a stable and profitable
grooming business established. Enough said, get a copy here.
Don't delay, you need to see the path ahead of you with a great map like
this book.
You need more knowledge to become a business
owner. Here are some answers to frequent questions.
At present pet grooming businesses and pet
groomers are not formally licensed as a vocation, as are doctors, lawyers etc. However
that may change in the future, and you should read more about licensing and certification
requirements here. You are responsible to maintain your
awareness of vocational licensing requirements.
Because the profession of grooming is not
vocationally licensed does not mean you do not have to apply for other permits and
licenses. If you are going to open a home, mobile, commercial salon or shop, or your own
business leasing space from another business, you most likely have to apply for some
licenses and permits. Most likely they will fall into these categories, 1) local
government, 2) state government and 3) federal government. Here are the most common
licenses and permits, but this list does not represent a complete list and you are
responsible to discover all permits and licenses you require by contacting local, state
and federal business owner and employer agencies.
Local government will almost certainly require
that you inform them of your new business by applying for licenses and permits. You
usually do this at your "City Hall" and/or "County Clerk." Ask for
assistance in opening a new business, and they will inform you of local government
licensing and permit requirements. You may need a permit to operate or license in your
city, and sometimes county, even if you have a mobile grooming business. You are most
likely to need one when you open a business in "incorporated" areas of your town
or city. You are most likely also required to file a "fictitious name statement"
or "dba - doing business as" application, and have to publish it in locally
approved media. What this means is that the public has the right to know who owns the
"ABC Pet Grooming Business" as a matter of public record. Be sure to ask your
local government how to file, and know that almost certainly any bank where you desire to
open a business type account is going to ask for proof that you filed your fictitious name
statement with local government. Finally, you may become amazed that your local government
may or may not allow a pet grooming business where you want it. In California urban areas
it is difficult, if not impossible, to legally open a grooming business in the home, and
sometimes they do not allow a commercial vehicle (like a mobile grooming van) to be parked
in front of the owner's home as it is a visual nuisance distracting neighbors. The moral
of the story? Go to your local government offices and be honest in describing the business
you want to open, and ask them for a list of all legal requirements to open such a
business. Don't disobey or ignore any requirement as you don't want someone to take
recourse against your business down the road. As a new business owner you should introduce
yourself to a local attorney and explain your dream of opening a local business, and in
that way you have someone ready to help. Don't be embarrassed, they started new at one
time and know what it is to open a new business - in fact you should be proud - and they
know you need working relationships with professionals just like they do with other
professionals. Remember, you are no longer and employee, but an owner and possibly
employer and they both use professional help occasionally. We recommended you
read about working with professionals like lawyers in From
Problems to Profits book.
State government does get involved with your
business. If you are going to sell retail pet products, even a few, you are going to
collect sales tax and transfer it state and/or local government. It is critical that you
get a resale permit. From experience we can tell you that you must be very accurate to the
penny in collecting and transferring sales tax monies, and keep detailed sales records for
retail items separate of sales of services like grooming. Oh yes, there are some areas
where you do collect tax on services. Again it is your responsibility to go your state
government offices and inform them that you intend to open a business in their state, and
you require a list of requirements to do so. Yes, there are states that require a state
license to operate in addition to local business licenses. Be sure to inform them that
your business is grooming pets and some retail sales if applicable so that they provide
you with the most accurate requirements. You may be responsible for additional state taxes
on businesses, business owners and your employees. Be sure to talk to your state level
taxation agencies to under what records, policies and procedures, and filings you must
follow and complete. Again, working professionals such as your bookkeeper, Certified
Public Accountant and lawyer will be invaluable. Some states, even local governments, are
now requiring pet groomers to get special permits, sometimes issued by the
U.S.D.A., and
permits to use and store chemicals like flea dip pesticides, etc. Ask! State, local and
federal government all hold you responsible to get their information for the business and
type of business you intend to open, and so do we.
Federal government requirements may exist
specific to a pet grooming business. If you are a sole-proprietor grooming business you
are responsible to file estimated tax payments for income you draw from your business, and
you will have to start filing the long from 1040, and additional forms like a Schedule C
(profit/loss from your business) and Schedule SE the "Social Security" payments
you must make on your personal income drawn from the business. Your Social Security number
will be used on many of these documents, but even if you have only one employee you must
get an EIN number (Employer ID Number) as you will be required to withhold payroll taxes.
The IRS has employer handbooks. If you incorporate your business, or form one of the newer
"LLC" type organizations, there are even more rules and regulations.
Okay, are you worried? Don't be! We always groomed a few extra pets every
month figuring that the money we earned from them would pay for our bookkeeper, Certified
Public Accountant and sometimes a lawyer to keep our business operating to the letter of
the law. By doing this we "slept well at night." You should to, and don't worry.
Often you can earn more money grooming pets than trying to do all of this extraneous
business work by yourself. It's worth it indeed. Your business is like a baby and you take
your baby to a doctor right? Okay, business professionals help you to do tax forms,
paychecks and much more in the same way. It's always the people that don't get
professional help that get into trouble someday. Again, we suggest you read about the
professionals that can help you in From Problems to Profits.
Also, the bookkeeping system in this extensive book will help you to keep records suitable
for your bookkeeper and CPA. In fact many readers report that they get charged less
because the book's system organizes the information they need so well they can complete
their work far more quickly!
You are going to need insurance for your
business. Read here.
Okay, there's still more. You should read all
of the remaining Info Main Menus at
PetGroomer.com available in
the left column, and we
suggest you consider an ideal
product,
Grooming Business in a Box ®.
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