Governemnt assisatnce to start small businesses??

Sounds pretty unrealistic to me.

1.) Assumes that the first barber shop would have 10 heads a day every single day for him to cut.

2.) Assuming making $600 a week and he would be able to sock away $300 a week. Even if he doesn't party there's stuff such as:

Food. Apartment. Electric or Water possibly. Car insurance. Gas. Health insurance (or if he doesn't, he'll lose it a great deal of his money when he gets sick). And then there's clothing. And then there's stuff such as phone, cable, internet. Unless of course he plans on having a business in the future without a phone.

3.) You assume after 2 years he'll have 20k saved up.

4.) For a guy who's always working 24/7 and never takes vacations, very interesting that he has all these friends and people he knows who are willing to have him cut their hair.

5.) This 500 sq foot store at $10 a foot is based on what? Real estate varies from place to place. Especially since it's very likely the place he's moving to already has established barber shops in the area.

6.) You're very likely undervaluing how much it would cost for him to run the actual shop.

7.) Assuming enough people are going to pay $14 for a haircut. Especially from some rookie. In your case or the new guy's case. Especially in this economy.

This is the problem with these kind of examples, there are so many different assumptions being made and I'm sure there's plenty more I missed. Such as expenses for a little thing called a girlfriend or boyfriend.

All you did OP was take the idealistic result in every single situation. There are no real obstacles. There are no real problems. Everything just falls into line magically for our John Doe or Jane Done in this situation. Except you want to know the problem with that situation? Life doesn't actually work like that.

Well, he might be able to find a 500 square foot storefront for $10 per square foot in the ghetto.
 
Don't think I would start a business until the boob in office is gone.

I did. No time like the present. You all must live in a cave.

In looking at previous recessions, you find that more new businesses start up coming out of recessions. In fact, a great many start during recessions because people who are out of work figure they have nothing to lose since they can't find a job anyway.
 
In a debate in another thread, someone said to me that nothing is being done to promote small business, (I assume he meant by the government) He, himself, is in the military but is also a talented haircutter and he said without his GI Bill assistance, he would never be able to start up a barber shop. I agree in his case as he is on in years and doesn’t have the time to dedicate to building toward a business. But most people...say in their 20's dont need Government assistance to start a business.....so as a business planner, I laid this out for a 22 year old with the same aspirations......
someone on the left....please point out the flaw ( I dont think there is any)....


A 22 year old decides he wants to cut hair....but his goal is to own a barbershop within 5 years.......He has the talent and gets a job at a local barber shop making 8 bucks a head....10 heads a day....400 a week. In the meantime, he gets a job at a local convenience store making 8 bucks an hour working form 6-12...... 3 days a week and 8-5 on Sunday....another 200 a week.

So now he is busting his ass making 600 a week.

In the meantime he is building a reputation as an excellent barber...and as a single guy, he is socking away 200 a week.....as the 300 a week (after taxes) is enough to support his lifestyle as he is not going out partying and not taking vacations.....he is focused on ownig his own business....

After 2 years he has 20K saved up....now he can quit the convenience store and start cutting hair in his apartment for friends and acquaintenances....bulding up his reputation and determining if he can really do it on his own....still making the money with the barbershop as well.

He likes what he sees...so he looks for real etstate and rents a 500 sq foot store front for 10 bucks a foot....5000 a year.....415 a month.....2 months deposit (new business needs to give 2 months deposit)...and 1 month rent...about 1300 outlay for the store.....He buys a used barber chair....700 bucks...he buys hair cutting items.....500 bucks.....he signs a deal with a vendor of hair products.....incorporates himself (200 bucks) and gets liability insurance (1000 bucks)....

So before he opoens the door...he has 20K saved up and initial expenses (including first nmonths rent) of less than 4K.

Now he quits his job with the barber...and has 16K savings left over to live on...and he makes his business work.

He gets busy...uses some of his savings for a second chair...pays some 22 year old 8 bucks a head and proifits 6 bucks a head...plus of course, the 14 bucks a head he makes off all those HE cuts....

Yep....at the age of 25 he has his own business.

AND NO WHERE DID GOVERNMENT HAVE TO DO A DAM THING!

For one I personally don't consider 10 haircuts a day and a few hours behind a counter at a 7/11 "busting ass"

And what guy is dumb enough to pay $14 for a haircut?

$14 is about average. Something tells me you don't tip the person who cuts your hair.

I usually tip a couple bucks, and haircuts around here run about 15. But it always seems like all i end up having on me is a 20, so i usually just give the 5 as a tip in that case.
 
Don't think I would start a business until the boob in office is gone.

I did. No time like the present. You all must live in a cave.

In looking at previous recessions, you find that more new businesses start up coming out of recessions. In fact, a great many start during recessions because people who are out of work figure they have nothing to lose since they can't find a job anyway.

Also, prices are typically lower across the board for things so the start-up cost ends up being lower, including interest rates on loans. During and coming out of a recession is a great time to start up because if you can afford to offer lower prices than the established competition you can get a lot of business from people looking to lower their expenses.
 
In a debate in another thread, someone said to me that nothing is being done to promote small business, (I assume he meant by the government) He, himself, is in the military but is also a talented haircutter and he said without his GI Bill assistance, he would never be able to start up a barber shop. I agree in his case as he is on in years and doesn’t have the time to dedicate to building toward a business. But most people...say in their 20's dont need Government assistance to start a business.....so as a business planner, I laid this out for a 22 year old with the same aspirations......
someone on the left....please point out the flaw ( I dont think there is any)....


A 22 year old decides he wants to cut hair....but his goal is to own a barbershop within 5 years.......He has the talent and gets a job at a local barber shop making 8 bucks a head....10 heads a day....400 a week. In the meantime, he gets a job at a local convenience store making 8 bucks an hour working form 6-12...... 3 days a week and 8-5 on Sunday....another 200 a week.

So now he is busting his ass making 600 a week.

In the meantime he is building a reputation as an excellent barber...and as a single guy, he is socking away 200 a week.....as the 300 a week (after taxes) is enough to support his lifestyle as he is not going out partying and not taking vacations.....he is focused on ownig his own business....

After 2 years he has 20K saved up....now he can quit the convenience store and start cutting hair in his apartment for friends and acquaintenances....bulding up his reputation and determining if he can really do it on his own....still making the money with the barbershop as well.

He likes what he sees...so he looks for real etstate and rents a 500 sq foot store front for 10 bucks a foot....5000 a year.....415 a month.....2 months deposit (new business needs to give 2 months deposit)...and 1 month rent...about 1300 outlay for the store.....He buys a used barber chair....700 bucks...he buys hair cutting items.....500 bucks.....he signs a deal with a vendor of hair products.....incorporates himself (200 bucks) and gets liability insurance (1000 bucks)....

So before he opoens the door...he has 20K saved up and initial expenses (including first nmonths rent) of less than 4K.

Now he quits his job with the barber...and has 16K savings left over to live on...and he makes his business work.

He gets busy...uses some of his savings for a second chair...pays some 22 year old 8 bucks a head and proifits 6 bucks a head...plus of course, the 14 bucks a head he makes off all those HE cuts....

Yep....at the age of 25 he has his own business.

AND NO WHERE DID GOVERNMENT HAVE TO DO A DAM THING!

For one I personally don't consider 10 haircuts a day and a few hours behind a counter at a 7/11 "busting ass"

And what guy is dumb enough to pay $14 for a haircut?

$14 is about average. Something tells me you don't tip the person who cuts your hair.

I've been cutting my own hair since I was in high school. Why pay 14 bucks for a buzz cut when I can use one of these

41nxKnperDL._SL500_AA300_.jpg
 
For one I personally don't consider 10 haircuts a day and a few hours behind a counter at a 7/11 "busting ass"

And what guy is dumb enough to pay $14 for a haircut?

$14 is about average. Something tells me you don't tip the person who cuts your hair.

I've been cutting my own hair since I was in high school. Why pay 14 bucks for a buzz cut when I can use one of these

41nxKnperDL._SL500_AA300_.jpg

yea maybe you can cut your own hairstyle.....but it would be some magical feat to give yourself a fade. i'm not even sure that's physically possible unless you have magnified mirrors, great lighting, and three hands
 

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