Life Stages of an interior design business
start up
start up Assessing the market / defining your niche or opportunity Creating your brand business name / trademark issues / image Creating business collateral / materials Creating and launching a website / social network site Joining organizations and/or determining venues for networking
start up Assessing your skills, abilities and personality Evaluating desired work/life balance Assessing your competition Developing a business plan & strategic plan Identifying advisors (, accounting, taxes, financial, management, etc.) Developing a technology plan
start up Determining how much capital / securing capital you ll need Setting up bank account(s) / establishing relationship with bank(s) Establishing line(s) of credit Opening credit card accounts for the business Setting up accounts with vendors / suppliers Setting up bookkeeping system Securing licenses / tax i.d. number(s) Getting necessary insurance Obtain business license(s)
start up operations & human resources Purchasing software / setting up utilities Setting up payroll (if not sole proprietorship) Defining roles and responsibilities (if not sole proprietorship) Developing policies (if not a sole proprietorship) / manuals Identifying resources for outsourcing / collaborating
start up Determining and establishing entity Obtaining and reviewing contract documents
start up organizational structure Determining your vision and business goals Articulating your business values
growth
growth Cultivating referrals / lead development Growing your brand Raising your profile (writing / speaking / showhouses / volunteer and charity work, etc.) Expanding your network
growth Reviewing and revising your business and strategic plans Establishing business systems Expanding your inputs and resources Determining how to scale your business Making time to work on your business
growth Managing cash flow Determining profit and personal earnings Leveraging capital and credit Collecting and paying taxes
growth operations & human resources Recruiting, hiring, training and retaining employees Setting up payroll Determining compensation and benefits / profit sharing Contributing to Unemployment Compensation and Workers Compensation Insurance Selecting insurance plans / retirement plans for employees Defining roles and responsibilities Developing HR policies / manuals / contracts Managing staff Setting up or expanding office space leases, furniture, equipment, software, etc. Controlling overhead
growth Deciding whether to partner / add partners Managing contract negotiations and obligations
growth organizational structure Inculcating your vision and business values Developing / enhancing leadership / delegating skills Anticipating and integrating cultural change
established
established Developing new business / generating opportunities Utilizing and PR vehicles Refreshing and re-positioning your brand Enhancing your website and SEO Solidifying your reputation as an industry leader / expert
established Reviewing and revising your business and strategic plans Monitoring trends Exploring future scenarios
established Fine tuning cash flow Maximizing profit
established operations & human resources Developing staff Planning for advancement / partnerships / succession Increasing productivity Improving efficiency / process improvements Refining business practices Increasing automation and outsourcing of routine tasks Managing overhead
established Minimizing disputes, claims, collections, etc.
established organizational structure Managing change Developing leaders Maintaining a competitive edge
transition
transition Developing new markets / distribution channels Developing new lines of business Diversifying your services (e.g., adding consulting) Refreshing and re-positioning brand / combining brands
transition Reviewing and revising your business and strategic plans Monitoring trends / economic developments Exploring future scenarios
transition Creating new sources of revenue (e.g., product lines, furniture) Managing cash flow and capitalization for expansion
transition operations & human resources Integrating staff (merger or acquisition) Mentoring
transition Growing through merger or acquisition Engaging in joint ventures / partnerships
transition organizational structure Integrating organizational cultures (merger or acquisition) Integrating professional cultures (new lines of business, diversification, new sources of revenue)
maturation
maturation Reassess market / opportunity Reassess competition Manage perceptions of declining competence / value Referring clients
maturation Maintaining a strategic sales plan Evaluating next steps for business (expand or exit?) Developing an exit plan (when and how)
maturation Coping with cash flow challenges Cutting costs Protecting value / investment Getting a valuation to determine what your business is worth Tax strategies for selling the business
maturation operations & human resources Downsizing Selling inventory
maturation Dissolving the business as a entity Finalizing tax obligations
maturation organizational structure Anticipating and coping with psychological impact on owners and employees
selected resources For additional information and links to online resources, go the Practice & Business section of the ASID website at www.asid.org. ASID ASID website (www.asid.org) UNi ASID online education (www.asiduni.org) ABL ASID Business Library (@ www.asid.org) RV Red Vector (www.redvector.org) General Publications Designing Your Business by Gordon T. Kendall. Fairchild Publications, 2005. A Guide to Business Principles and Practices for Interior Designers: Revised Edition by Harry Siegel, CPA, with Alan M. Siegel, Esq. Watson-Guptill, 1982. How to Start and Operate Your Own Design Firm, Second Edition: A Guide for Interior Designers and Architects by Albert W. Rubeling, Jr., FAIA. Allworth Press, 2007. The Interior Design Business Handbook: A Complete Guide to Profitability, 4th ed., by Mary V. Knackstedt, FASID, FIIDA. John Wiley & Sons, 2006. Interior Design Handbook of Professional Practice by Cindy Coleman (ed.). McGraw-Hill, 2001. Interior Design in Practice: Case Studies of Successful Business Models by Terri L. Maurer, FASID, and Katie Weeks. John Wiley & Sons, 2010. Professional Practice for Interior Design, 4th ed., by Christine Piotrowski, FASID, IIDA. John Wiley & Sons, 2007. General Websites Design Business Benchmarking www.designbusinessbenchmarking.com Design Success University www.designsuccessu.com Design Biz Blueprint www.designbizblueprint.com Designing Profits www.designingprofits.com Education-works www.education-works.com Interior Design Business www.interiordesignbusiness.net SCORE www.score.org U.S. Small Business Administration www.sba.gov Your Business Library www.yourbusinesslibrary.com Marketing Publications How to Get Your Work Published (ASID) Know Your Client (ASID) Marketing and Client Relations for Interior Designers by Mary V. Knackstedt, FASID, FIIDA. John Wiley & Sons, 2008. Marketing Basics for Designers: A Sourcebook of Strategies and Ideas by Jane D. Martin and Nancy Koohuizen. John Wiley & Sons, 1995, Marketing Interior Design by Lloyd Princeton. Allworth Press, 2009. Marketing Presentations Business Etiquette and People Skills (UNi) Effective Public Relations (RV) Know Your Client (UNi ) Market Research (UNi) Presentation Skills (RV) Sales Tips for Women (ASID Web Event) Winning Proposals (RV) Planning Publications Analyzing Your Own Business or One You Want to Buy or Invest In (ABL) Environmental Scanning Report (ASID) Interior Design Billings & Inquiries Index (ASID) Profiling and Presenting Your Company to the World (ABL) Selling Your Business: How to Negotiate the Best Deal (ABL) Planning Presentations Business Planning for New Designers (UNi) Strategic Planning & Budgeting (RV)
Finance Publications 20 Ways to Build Your Retirement Fund (ABL) 50 Strategies to Increase and Manage Your Cash Flow (ABL) Assessing a Business Health and Profitability (ABL) Cash Flow: Know Its Value When Buying, Selling, or Expanding (ABL) Estimating for Interior Designers by Carol Sampson. Watson-Guptill, 2001. The Interior Designer s Guide to Pricing, Estimating and Budgeting by Theo Stephan Williams. Allworth Press, 2005. Your Investments: 44 Action Alerts to Use Today and Throughout the Year (ABL) Finance Presentations Accounting and Cash (RV) Financial Controls, Monitoring & Project Budgeting (RV) Pricing as a Professional (RV) Legal Publications ASID Contract Documents (residential & commercial) Business and Legal Forms for Interior Designers by Tad Crawford. Allworth Press, 2001. Legal Presentations Contract Guide for Design Professionals: Intermediate (UNi) Avoiding Design Malpractice Claims (UNi) Arbitration or Mediation (UNi) Negotiating Contracts (RV) Organizational Culture Presentations Art & Science of Delegation (RV) Delegation: The Art of Leading Others (ASID Web Event) Team Building (RV) Understanding Organizational Change (RV) Pricing for Profits, Generating Cash and Getting Paid (RV) Profit & Loss (UNi) Operations & Human Resources Publications Employment Contracts: When to Offer and What to Include (ABL) Renting and Leasing Properties: For Both Tenants and Landlords (ABL) Your Compensation, Benefits, and Retirement Money (ABL) Operations & Human Resources Presentations Controlling Labor Costs (RV) Developing a Succession Plan (UNi) How to Handle Customer Conflict (RV) Insurance Coverage Disputes (RV) Partnering for Design & Construction Projects (RV) Rewards, Recognition & Motivation (RV)