Terica Kindred’s success is definitely related to the fact that she commands a broad expertise. She is a speaker, business consultant and investment strategist who heads OutEstate Investments, which specializes in real estate and international investments. She’s currently writing her first book The Next Global Millionaire based on her experiences in working with businesses across five continents. We recently caught up with Kindred to pick her brain for our series 10 Insights From A Millionaire.

What’s helped me most in building my career is working for Corporate America

I knew I was on the right track when I could make my annual corporate salary in a month

My greatest personal strength is my integrity. If you treat people right and you do things for the service of others you will always be successful.

The best mistake I made was not getting my MBA.

The best piece of advice I got was focus on one thing and do it well.

The best piece of advice I could give to other entrepreneurs would be: you don’t need a fancy business plan to start a business just get it started

Inspiration comes from God. I know that the work I do will change and impact nations of people. As long as I am doing his will and making a difference in the lives of others my day was well lived.

I wake up at 7am

If I could do it over again I wouldn’t change a thing the experience have been well worth it and has shaped who I am today. Changing anything would mean changing me.

The first thing I really splurged on was nothing. I haven’t really haven’t splurged. The more money I make the more I invest.

We live in a complicated world. But some things are still quite simple — like the principles of success. We only have to look to our nation’s agricultural past for the fundamentals to achieve the business results we desire.

As farmers, we knew a few things for sure:

1.    The only way to reap a harvest is to plant seeds.
2.    Planted seeds require follow up action such as watering, fertilizing and tilling to reap a big, healthy harvest.
3.    Unforeseen circumstances such as weather, parasites and pestilence can destroy or greatly diminish a season’s harvest, but the farmer—not her antagonists—will wipe out the next season’s harvest if she does not get beyond the losses of last season and begin planting anew.
4.    The more seed you plant, the larger your potential harvest will be.
A seed begets an offspring of the same kind. Peanuts beget peanuts, roses bring forth roses, and the seeds of cauliflower will bring about more cauliflower. Even plants within the same family, such as oranges and grapefruit, cannot beget one another.

So how do these principles apply to business?

Plant Seeds

As entrepreneurs and business owners if we expect to reap new successes we must plant seeds every day. What are the seeds of your business success? Your seeds are whatever actions you can take that will grow your business. These might be:

•    Taking a few seminars to sharpen your skills;
•    Making sales phone calls or presentations;
•    Finding new ways to increase your network of contacts;
•    Creating a new personal image that will grab people’s attention;
•    Sending emails to initiate contact with potential partners; or
•    Streamlining your business to focus on the set of customers that you can best serve.

The activities you could engage in that would grow your business are the seeds you must plant not once, but every day.

Tend to the Seeds

It is not enough to put seeds in the ground, or take the initial action that will grow your business. Now you have to tend to those seeds.  If a potential client has expressed desire in your product or service but not paid or made a final commitment to buy then follow up to get a definitive answer.  If you’ve been networking and meeting new people, that’s awesome but make another move. Send a follow-up email or invite the most promising contacts to lunch. You must connect with a person at least six times before you begin to establish the foundation of a meaningful relationship.  The seeds you have planted now require water, fertilizing and tilling — take follow up action in anticipation of your harvest.

Get Over Last Season’s Crop

As a nation we have been reeling from the consequences of financial overindulgence. I know it’s been rough. And I know it may seem like a long road back — it actually will be a long road back. But looking longingly to the past simply hinders progress. Parasites and pestilence (our challenges) destroyed last season’s harvest. We can now choose to be either the farmers or foes of our next season’s harvest — it all hinges on what we do now.

Plant More to Harvest More

It’s mid-year and we are headed into third quarter.  How are you doing compared to your business goals for this year?  If you’re on track remain focused, if you’re off track it’s not too late to make a comeback.  Are you taking action that is uninspired and small? If you plant just one or two seeds then look forward to a small harvest. If we want to grow more then we must plant more — today and every day. Harvests are in proportion to what is planted. I dare you to plant a whole field of promising opportunities!

The Seeds You Plant Will Bring More of the Same

Reaping a healthy harvest in this 21st century post-recession economy (that has changed forever) may require some of us to change our beliefs, priorities and the actions we are taking. Moms Mabley, a comedienne born just before the 1900s, said “If you always do what you’ve always done then you’ll always get what you always got. If you want something different then you’ve got to do something different.” If you are planting the same kinds of seeds you have planted in the past expecting a different crop then you may be sorely disappointed. Find new ways to get and retain customers in this “new” economy. Re-visit the way you do everything. Stick with what continues to work well and search for new ways to improve. If you’re stuck in a rut nothing gets you out faster than faith and bold action. Same seeds, same harvest. Plant the seeds of greatness.

Felicia Joy is a nationally recognized entrepreneur who created $50 million in value for the various organizations and companies she served in corporate America before launching her business enterprise.  She is often called on to discuss the ins and outs of entrepreneurial success and has appeared on CNN, FOX and in other national press.  Felicia operates Ms. CEO Inc., a company that offers inspirational merchandise for women entrepreneurs — as well as Joy Group International, LLC, a business development and consulting firm. Send her your questions at ask@feliciajoy.biz or www.twitter.com/feliciajoy.

Note: All advice offered in this column is for general information only.  Felicia Joy and The Atlanta Post are indemnified against any and all related claims.  Always seek the advice of licensed professionals before making business decisions.

Dear Felicia:

I’ve been considering starting my own web based business for two years now. I’ve searched high and low for information, products and marketing and because there’s so much junk out there it is hard for me to distinguish the good information from the bad. I would like to know if you have any information that would be helpful in making the right decision on what direction to go in, in terms of products to promote and also about any resources for inexpensive but effective marketing tools? Thank you so much for taking the time to read my email.

Ms. Osuigwe

via e-mail

Dear Ms. Osuigwe,

About 70 percent of Americans want to start a business and only about 35 percent have so you are not alone in your desire to launch a company or uncertainty about where to seek ideas and get started!

Deciding what to pursue depends on a few variables such as how much start-up capital you have, whether you want to sell a product or service and whether you want to build a lifestyle business (one that you run primarily on your own) or a scalable business that generates in excess of a million dollars annually and requires a team to run it.

My three tips for you to get off to a fast and successful start are:

Research emerging trends or think about products and services that people already buy.  Launch a business based on emerging trends or determine how you can provide products and services in a better, more convenient way, with a higher level of service — or to a specific niche or different geographic area.  There are Internet based companies that sell items as simple as basic household items.  The founders of Quidsi started out selling diapers via their original website, 1800diapers.com.  They were buying the diapers from big warehouse retailers like BJ’s Wholesale Club and Costco and sending them to their customers as orders came in via their site and toll free number.  As demand picked up they started selling other items, which is how they became profitable (and by running a very efficient business)!  The company eventually started selling through diapers.com, grew to $300 million in revenue, launched soap.com and has since been acquired by Amazon.  Find something that is an emerging trend or focus on something simple but offer it in a better, simpler or otherwise differentiated way.

Visit the local Women’s Business Development Center where you live. The U.S. Small Business Administration Office of Women’s Business Ownership has centers throughout the country that offer help to entrepreneurs.  These offices are supported by public tax dollars and provide free or low-cost services to people getting started as entrepreneurs.  Take advantage of everything they have to offer.  They help thousands of entrepreneurs every year; they can help you too.

Reduce your risk. Keep risk low for your new venture by spending as little as possible and launching as quickly as you can.  The ultimate test of a business idea is to launch it and get feedback from the market and tweak from there.  Basically, as people purchase — or don’t purchase — they will be communicating to you what they want to buy.  Sell them what they want and drop everything else.

I wish you great success.  Write to me at ask@feliciajoy.biz and let me know how it’s going!

Felicia Joy is a nationally recognized entrepreneur who created $50 million in value for the various organizations and companies she served in corporate America before launching her business enterprise.  She is often called on to discuss the ins and outs of entrepreneurial success and has appeared on CNN, FOX and in other national press.  Felicia operates Ms. CEO Inc., a company that offers inspirational merchandise for women entrepreneurs — as well as Joy Group International, LLC, a business development and consulting firm. Send her your questions at ask@feliciajoy.biz or www.twitter.com/feliciajoy.

Note: All advice offered in this column is for general information only.  Felicia Joy and The Atlanta Post are indemnified against any and all related claims.  Always seek the advice of licensed professionals before making business decisions.

Dear Felicia,

Since 2008, I have been a domestic violence survivor! Thank you Jesus!  I’d like to write a book that caters to young women about abuse. Every time I start to write, I draw a blank because I think about the horrible things I’ve gone through. Also, I’m scared that I’ll put my heart and soul into it, all for it to go nowhere. What kind of networking should I do? Who should I reach out to?  Do you think a book is a good idea?

Also, I’d like to start an event planning business–something that I can do from home. The only problem is I’m not sure about the events that I’d like to handle. I work for a television station as a budget director, so I know people who know people, but I’m not sure where to begin.

Please help!

Best,

Nicole

Dear Nicole,

You survived domestic violence and I am so glad you got out of the situation for good. Clearly you have a great career going for yourself and are thinking about new ideas.

Regardless of which idea you decide to pursue—a book or event planning—approach both of them as a business. Many times we start a business based on a personal experience or emotional spark. It is great to start from a place of inspiration. The excitement of those emotions can give you unwavering energy and courage in the early days; however, to grow and sustain a business, it needs to be just that—a business [that is] complete with a marketing and sales strategy, customer service, financial management, clear roles and responsibilities, consistent execution and a plan for growth.

So, let’s consider this a little further.

There are many questions to answer before launching a business. For instance, we need to know whether there are paying customers for what we plan to sell. We need to be clear about how our business will solve a problem or fulfill a desire.  We also need to be clear about how we can be different than competitors, either literally or through branding.

Regarding your book, you could build a business around it because, unfortunately, domestic violence is on the rise and can have a deep and detrimental impact on the lives of the victim, perpetrator and their families and friends; so, it’s something people are interested in avoiding or solving. There is also a lot of shame associated with domestic violence. So, rather than making your book purely autobiographical, maybe you could use your story to teach people how to steer clear of domestic violence in the first place and how to get out of the situation if they’re already in it. That’s the book.

Now about the business: how would you make money? There are only three segments of customers: consumers, businesses or the government.  You could sell your book to all three categories.  To do so, you’d have to position yourself as an expert and have a solid marketing and sales strategy. Plus, you have to think about how your business will earn recurring revenue. The book sale happens one time.  Perhaps you could create a program and get contracts with companies to teach new hires about how to avoid domestic violence or get out of the situation, and how to support a co-worker who may be enduring domestic violence. You could also contract with universities to teach every incoming class how to deal with this issue since the greatest increases in domestic violence are among high school and college-aged youth.

As for the event planning, consider all the same questions and really think about how you can differentiate your business.  There are so many event planners that the best way to be successful is to become a planner in a niche—perhaps for one industry or for one type of event. For example, you work at a television station. Maybe you could become an event planner who works with producers for live media events.

These are just a few ideas to help you think through which business you want to pursue. As far as struggling to write the book, try to write everyday and do so without going back to read or edit what you’ve already written. When your emotions well up, write down what you are thinking.  Pouring your feelings out on paper will probably help free you from any lingering effects, and the authenticity of your story, paired with how-to insight on getting out of a domestic violence situation, could help a lot of people in the end if you decide to release a book.  Find a top notch editor who can whip your story and insights into shape after you’re finished.

I wish you so much grace, peace and favor as you continue on your life’s journey.  Write to me at ask@feliciajoy.biz and let me know how it’s going.

Note: All advice offered in this column is for general information only.  Felicia Joy and The Atlanta Post are indemnified against any and all related claims.  Always seek the advice of licensed professionals before making business decisions.

Felicia Joy is a nationally recognized entrepreneur who created $50 million in value for the various organizations and companies she served in corporate America before launching her business enterprise.  She is often called on to discuss the ins and outs of entrepreneurial success and has appeared on CNN, FOX and in other national press.  Felicia operates Ms. CEO Inc., a training and development company that helps women entrepreneurs achieve more success, faster — as well as Joy Group International, LLC, a business development and consulting firm. Send her your questions at ask@feliciajoy.biz or www.twitter.com/feliciajoy.

Dear Felicia,

I am a 32-year-old married woman and I would like to start my own small business. I live in the Midwest and there is not a very large African American community here. I’m not sure what would be lucrative right now. Do you have a few small business suggestions that would be wise investments for my type of community?  Thank you.

Miisha P.

via e-mail

Dear Miisha,

Congratulations on making the decision to start a business! 

Have you discussed your goal with your husband?  That’s a good first step.  Launching and growing a business takes dedication, focus and time away from things you used to do so it’s important to prepare yourself and the people around you for your new commitment, particularly when you are married.  Having the full support of your spouse will make your journey a bit easier and certainly less stressful.

As far as the small African-American population in your community, you didn’t mention why you think that might be an important factor for your business start-up, so I’m not sure how you envisioned that impacting you.  Don’t focus on that except to use your knowledge of demographics to make wise decisions about the kind of business you start.     

If you are planning to start a local business — as opposed to a web-based business where you reach consumers far and wide—then you should consider the full demographics of the area, including gender, age, average household income and local culture. This analysis will give you some insight into what might be popular in your city. 

Since I don’t have more details about your skill set, income goals or how much you have for start-up funds, the possibility for types of businesses is wide open.

Here are 10 questions and a great resource for you to think about as you move forward.  The answers to these questions will help you decide on a business you can start:

1. What are local trends? 
2. How much money do you want to make and at what profit margin?
3. How much start-up capital do you have?
4. Do you want to build a lifestyle business, where you run it alone or with just a little help; or do you want to build a scalable business that is eventually operated by a team of people whether you work in the business everyday or not?
5. What are popular businesses locally?
6. What kinds of local businesses have recently closed?
7. Do you want to sell to consumers, businesses or the government?
8. How big is the local market for various business types you are considering?
9. Given local trends and business opportunities, which ones interest you?
10. What kinds of successful businesses in your community could you partner with in a complimentary affiliate relationship to help grow their business and yours too?

Once you have these answers, reach out to the Women’s Business Centers in Colorado, which are sponsored by the U.S. Small Business Administration Office of Women’s Business Ownership, to get specific assistance at low to no cost as you continue to research and plan for your new business. Drop me a line at ask@feliciajoy.biz and let me know how it’s going. Good luck!

Note: All advice offered in this column is for general information only.  Felicia Joy and The Atlanta Post are indemnified against any and all related claims.  Always seek the advice of licensed professionals before making business decisions.

Felicia Joy is a nationally recognized entrepreneur who created $50 million in value for the various organizations and companies she served in corporate America before launching her business enterprise.  She is often called on to discuss the ins and outs of entrepreneurial success and has appeared on CNN, FOX and in other national press.  Felicia operates Ms. CEO Inc., a company that helps women entrepreneurs achieve more success, faster — as well as Joy Group International, LLC, a business development and consulting firm. Send her your questions at ask@feliciajoy.biz or www.twitter.com/feliciajoy.

Dear Felicia,

I am a 19-years-old business student. I recently inherited land from my grandfather and have decided to cultivate it and go into crop farming. I’m in the process of getting a low interest loan from an agricultural development bank, and am working on everything else such as labor, equipment, nursery and customers. My family has told me to seriously think about it because I am more of a girly-girl who likes nails, make up, dresses, fashion and modeling.  They say it is not for me since it will be a lot of hard work, but I really want to do this. Do you think I should?  I’d really appreciate your advice. Thanks.

Diamond J.

via Facebook

Dear Diamond,

I am so proud of you for being ready to take action and grow the value of your inherited land.  So many people sell their inherited real estate and then blow through the money, squandering what a relative worked so hard to build and leave behind.  Kudos to you for proactively pursuing wealth; you are one smart girl.

That said, a farming business?  And you’re a girly-girl?  You are brave for even considering that option!

To be a wise steward of your inheritance without becoming a frustrated business owner, think about these three steps:

1.     Get some experience: Clearly you want to start a business.  I’m not sure how you came up with the farming idea.  From what you’ve shared with me it doesn’t seem like a natural fit, but only you know the answer.  Before you start farming or any other business, write down a list of businesses you think you might be interested in.  Research the market for those businesses and consider whether you want to start a business that will remain local or that has regional or global reach.  Do you plan to live where you are now after graduation?  In researching your business ideas, find out whether growth trends are flat or moving upward or downward.  Using this information, narrow your list down to three businesses you might like to start and find internships in those areas.  Commit to each internship for a minimum of three months.  If you find you are really enjoying one of the internships, extend your time to six months so you can learn more.

2.     Lease your land to someone else for another purpose until you figure out what you want to do: Perhaps one of the reasons you were eager to start farming is because you wanted to make good use of the land and generate income from it.  You can still achieve that outcome.  Earn income on the land by leasing it to someone else for farming or another purpose while you intern to decide what business you would like to pursue.  Be sure to get an ironclad leasing contract in place. Know the eviction laws in advance just in case you have the unfortunate responsibility of removing and replacing a tenant who is not paying on time or at all. Also, charge the first month’s leasing fee up front.

3.     Revisit starting a business after you have done your homework: After your three internships you will know which business you like best.  Get help from one of your professors and use all the resources available to you on campus to write a plan for that business. During your time of learning and preparation you will have collected nine to 12 months of leasing fees.  Save most of that money.  This way, you will have a great new business to pursue, experience in that industry as a result of your internship, plus assets and money to pursue it.

Write to me at ask@feliciajoy.biz and let me know how it’s going.  Good luck!

Felicia Joy is a nationally recognized entrepreneur who created $50 million in value for the various organizations and companies she served in corporate America before launching her business enterprise.  She is often called on to discuss the ins and outs of entrepreneurial success and has appeared on CNN, FOX and in other national press.  Felicia operates Ms. CEO Inc., a company that helps women entrepreneurs achieve more success, faster — as well as Joy Group International, LLC, a business development and consulting firm. Send her your questions at ask@feliciajoy.biz or www.twitter.com/feliciajoy.

Michelle Thornhill is the Senior Vice President and African American Segment Manager at Wells Fargo/Wachovia. Michelle has over 15 years of experience developing consumer initiatives for diverse audiences in the financial services and non-profit sector. Michelle earned a Bachelor of Science from Virgina Polytechnic Institute and State University, a Master of Science in Administration from Central Michigan University and a Master of Public Administration from Harvard University, the John F. Kennedy School of Government. Michelle resides in Charlotte, N.C. with her husband and two sons.

Getting a start in the world of entrepreneurship can be risky, but those risks can garner great rewards.  One of the first things you should prepare is a business plan.  The Small Business Administration or your local Small Business Development center can help you create one.  Your plan should include the overall business concept with your priority goals and strategies for success clearly defined, as well as a vision statement describing the business you want to create, the services you will be providing, the customers you plan to cater to, and an analysis of your industry and the competition. Even when the economy is strong, it is good practice to have a plan in case there is a downturn.  Having a solid plan, strong work-ethic, and positive outlook greatly increases your chances of entrepreneurial success.

This financial tip is sponsored by Wells Fargo. For more tips and information, visit wellsfargobusinessinsights.com.

Dear Felicia,

I’m starting makeup artistry school to become a professional makeup artist. I have my logo designed, I’ve selected Intuit as my webpage hosting site, I have my design ready for my business cards etc. I have a few questions regarding my new journey: do I need to register my business with my county, state? Do I need to federally trade mark my business name/logo? How do I handle taxes, etc.?

Lexie B.

via e-mail

Dear Lexie,

Congratulations on your creative new endeavor. How exciting to be studying to become a makeup artist.  You have made a lot of progress already.  I like it when people take action!

In regards to creating a formal entity for your business by registering with the Secretary of State, there are three main things to consider: liability, credibility and taxes. If there is high risk for you being sued or taking on a lot of financial responsibility to start your business, then creating an entity is a must because it separates your personal assets from the business. If a formal business entity faces a lawsuit or financial struggles, the entity is at risk instead of the personal assets of the founder.  Mind you, I am vastly oversimplifying how this works.  There are many nuances and complexities involved in legal and financial liability, but I am giving you a general idea of why it matters.

Next, consider credibility.  If you’re going to be serious about your business then separating business funds from personal funds is a best practice; so you’ll need a business bank account. Some banks will allow you to open a business account as a sole proprietor (which is your status before you are registered with the state) as long as you have a Federal Employee Identification Number (commonly known as an EIN). But many banks will require your business to be registered with the state before you can open an account.  In addition, if you pursue contract or corporate opportunities, the potential client may take your proposals and business more seriously if it’s a formally registered entity.

As far as managing your taxes, the easiest entity to establish is a Limited Liability Company.  (You can take business tax deductions as a sole proprietor too, but a formal entity demonstrates to the IRS that you are seriously engaged in a business, not a hobby. This further substantiates a business in the case of an audit.)  Nearly every dollar you spend to launch, grow and operate your business is deductible so keep a monthly list of what you spend.  Scan your receipts using Neat Receipts and keep them saved digitally or keep physical photocopies of them on file.  At the end of each month, or every quarter, give your accountant your list of expenditures.  When you start making a profit you’ll have to make quarterly estimated tax payments, so you need an accountant who is experienced in dealing with state and federal business tax filings so you can remain compliant at all times.

Trademark your business name and logo after you’ve built your brand for a few months.  To get a trademark finalized you have to demonstrate that you have used the name and logo in commerce.  This extra time will give you a chance to fine tune your brand.

To sum it all up: yes, register your business with the state, find a savvy accountant right away and trademark your business name and logo after you’ve finished school, started your company and gotten established.

Grace & Peace,

Felicia Joy

Felicia Joy is a nationally recognized entrepreneur who created $50 million in value for the various organizations and companies she served in corporate America before launching her business enterprise.  She is often called on to discuss the ins and outs of entrepreneurial success and has appeared on CNN, FOX and in other national press.  Felicia operates Ms. CEO Inc., a company that helps women entrepreneurs achieve more success, faster — as well as Joy Group International, LLC, a business development and consulting firm. Send her your questions at ask@feliciajoy.biz or www.twitter.com/feliciajoy.

Dear Felicia,

I want to start my own toy brand. Where can I go to get finances, backers, and a grant within a year or so? Is my goal of having my product to market by the end of next year realistic?

Mechal Roe-Barber

via email

I have a kids fashion line and have just completed a proposal. How do I acquire funding?

@bluejeanbandits

Via Twitter

Dear Mechal and @bluejeanbandits,

Eighteen months is more than enough time to get a business off the ground if you’re determined to do so, but life can happen so the amount of time you actually take will really depend on you.

As far as your questions regarding funding, well, that’s on every business owner’s mind—even for leaders of massive, multibillion dollar, publicly traded companies.  I have three ideas that may help you find the funding you need to get started.

1.     Gather money from every source you can think of including family and friends. If your friends and family are willing to contribute to your business endeavor, it may only be in small amounts since people are still feeling the pinch these days. But, little amounts add up. If you could get 50 people to contribute $25 to your business, that would be $1,250.  Before you brush that off as a measly amount, consider the fact that real estate mogul Barbara Corcoran turned a $1,000 loan into a successful real estate company that she eventually sold for $70 million. Or consider David Green, founder of Hobby Lobby.  He and his wife started their business by making and selling picture frames in their garage and at their kitchen table.  Today the business rakes in sales of more than $2 billion.  The key is to invest whatever amount of capital you are able to raise from family and friends — and other sources — into sales and marketing to make more money than you’ve spent and keep repeating the process.  For example, make five or ten of one of your toys or clothing items, sell those and re-up.  Once you’ve done that a few times and can prove that there is demand for what you have, start a wholesale program where stores pay you in advance for bulk orders.

2.     Get a U.S. Small Business Administration (federal government) guaranteed loan. The SBA has launched several new loan programs, including the Community Advantage loan.  The SBA doesn’t actually make the loans; rather, they act as a guarantor for up to 85 percent of a small business loan. This way, the bank making the loan knows that if for some reason the borrower defaults, they will recover at least 85 percent of their money from the SBA.  This makes it easier for small businesses to get loans because it substantially reduces risk for financial institutions.  The Community Advantage loan program was particularly created for not-for-profit and community based lenders to have the flexibility to lend to people who don’t have the typical collateral required by financial institutions, like a house.  Also, these community based lenders may know “the story” of these borrowers.  On paper, the entrepreneur may not appear to be a good risk, but because their business has cash flow and they have a local reputation for being responsible, the Community Advantage lender can make the subjective decision to loan the individual money for business.  The maximum loan amount is $250,000.  Check out the list of approved Community Advantage lenders and call the SBA at 1-800-827-5722 to get answers to your questions before you submit an application.

3.     Become an amazing storyteller. For creative projects like toys and kids clothing, Kickstarter.com might be your ticket — if you can tell a convincing and compelling story. The ingenious founders of this site, which has been operating since 2009, have created a platform where people who don’t know you can contribute to your project. That is if you can convince them to support you by sharing what you’re working to accomplish, why you’re launching your project, and what they’ll get out of supporting you (you are required to give rewards for each level of support, but the nature of the reward is up to you). Kickstarter has to approve your project before you can post it, but unless you violate their guidelines, most projects will be approved.  Contributors, or “backers” as Kickstarter calls them, can give as little as $1 up to thousands of dollars.  I have personally contributed a fair amount to two projects on Kickstarter, and I didn’t know either entrepreneur I supported. I simply liked their ideas, respected their grind, and I thought the rewards they were giving were cool. Recently funded projects have raised from $14,000 to $121,000. The most funded project ever earned nearly $1 million within 90 days.

I hope one or more of these ideas will work for you.

Grace & Peace,

Felicia Joy

Felicia Joy is a nationally recognized entrepreneur who created $50 million in value for the various organizations and companies she served in corporate America before launching her business enterprise.  She is often called on to discuss the ins and outs of entrepreneurial success and has appeared on CNN, FOX and in other national press.  Felicia operates Ms. CEO Inc., a company that helps women entrepreneurs achieve more success, faster — as well as Joy Group International, LLC, a business development and consulting firm. Send her your questions at ask@feliciajoy.biz or www.twitter.com/feliciajoy.

Dear Felicia,

I am interested in starting a day care center in Atlanta, Georgia.  I am in school now for day care management, and I have over seven years of experience in the field.  Where do I go to find grants to help me?

Ms. Q. Rucker-Woods

via email

Dear Ms. Rucker-Woods,

You can find legitimate federal government grant opportunities online at http://www.grants.gov, which is the U.S. government’s portal for announcing competitive grant projects.  Since you are planning to open a daycare, the Administration for Children & Families under the U.S. Department of Health and Human Services is the agency most likely to announce grant opportunities that you might be eligible for once your childcare center is open. You may want to join their e-mail list to keep up with news and announcements from their agency.  For example, in 2010 they offered a competitive grant opportunity to boost the success of Head Start, an early childhood education program¹.

Now that I have addressed your core question, I want to take this a step further and point out a few things because there is a lot of misinformation about grants.

People typically think of grants as free money to pursue their interests or business ideas.  It is free money, but not really.  Government grants will typically go to non-profits.  They will also often require that you have matching dollars and an evidence-based plan for sustaining the program that those federal grant dollars help you create.  To meet these criteria, you have to already have funding and documented results at your up-and-running organization.

Also, grants aren’t available for general business use.  They have to be used for very specific projects and outcomes that the government wants to achieve.  To compete for grant dollars, organizations have to submit a detailed plan that shows how their program, staff and skill sets can contribute to the overall objective.  If an organization is awarded a grant, it has to submit detailed reports and keep up with a lot of compliance paperwork too. Because the government realizes that the compliance requirements could be burdensome to a small, individual organization, it often provides the grant monies to state and local governments and leaves it to them to disburse the grants further, hold grantees accountable and provide technical assistance. In the end, this means smaller grants for the organizations that are fortunate and skilled enough to get them.

If you are seeking grants to start your business, you are better off seeking an SBA-backed small business loan.  There are several things in your favor. You have work experience in the child care industry, and you are pursuing an educational program that will further equip you with the skills to succeed. In addition, successful childcare businesses have an average profit margin of 39.1 percent—not the highest in the profit margin pecking order, but not the lowest.

Since you are still in school and know that daycare ownership is your goal, prepare yourself further with these steps:

1.     Pull your credit record and make sure there are no errors.

2.     Establish a relationship with a small business loan officer at a local bank that makes SBA-backed loans.² Find out from this person what a dream file would look like and prepare yourself to present that dream file.

3.     Consider alternative lending sources like Prosper.com.

4.     Write a business plan; the process won’t guarantee your success but it will clarify your ideas.

5.     Identify two or three successful daycare owners in other cities (so they won’t see you as competition) and interview them. Ask them about their ups and downs in that business and their advice for you. Do this after you’ve done the research for your business plan. Be prepared with solid questions, offer them lunch, wrap up in the time that you said you would and send them a handwritten note within a day of meeting with them.

Good luck!

Grace & Peace,

Felicia Joy

¹ U.S. Department of Health and Human Services – Administration for Children & Families

² Georgia SBA lenders

Felicia Joy is a nationally recognized entrepreneur who created $50 million in value for the various organizations and companies she served in corporate America before launching her business enterprise.  She is often called on to discuss the ins and outs of entrepreneurial success and has appeared on CNN, FOX and in other national press.  Felicia operates Ms. CEO Inc., a company that helps women entrepreneurs achieve more success, faster — as well as Joy Group International, LLC, a business development and consulting firm. Send her your questions at ask@feliciajoy.biz or www.twitter.com/feliciajoy.