| Have you gone to tech school or been into computers | | | | Remember, there is nothing free in lifeanymore, so |
| all of your life and everyone calls youabout their | | | | when you look at a franchise make sure to look at the |
| computer problems? Not sure what to do with your pc | | | | initial fees, do they offerfinancing, how many locations |
| repair skills? When decidingwhat to do with your skills, | | | | are open, how many have failed, what are the ongoing |
| sometimes you may lean toward opening your own | | | | royalties,what is the level of support you want vs. |
| PC Repair | | | | what do they provide, etc... Is there an |
| Business. What else do you need to know in order to | | | | ongoingadvertising fee, there are tons of questions to |
| run your business? That is what we aregoing to | | | | ask and the best thing is, because you arepaying for it, |
| discuss in this article today. | | | | they will be able to provide all of the answers to you. |
| 1. Do I have to pay taxes? | | | | The upside to a franchise: You will have a proven |
| 2. How do I avoid the pitfalls of opening a new | | | | system to follow, you will have all of themistakes |
| business? | | | | already made for you instead of making them yourself, |
| 3. How much to invest? | | | | usually there is a 5-15 yearagreement, then you can |
| 1. Do I have to pay taxes? The simple answer is yes. If | | | | decide to renew the agreement at that time. There is |
| you are planning on running this asa real business and | | | | also quite a bitof training and ongoing support that is |
| you will be charging for the services you provide, then | | | | provided for the royalty fee you pay each month. |
| yes you will needto pay taxes on the money you | | | | Mostof this support is provided via phone & email, |
| make. There are many tax breaks available for new | | | | but most companies have a rep or operationsperson |
| businesses,so make sure to talk to a tax professional, | | | | that will assist you with your issues if you ask for help. |
| but suffice it to say, you should put aside 20-25%of all | | | | You can of course decide to open your own Pc |
| the revenue you generate for tax purposes, if you | | | | Repair Business and make all of the mistakesyourself, |
| have extra left over, then great, butat least put that | | | | but is it worth it, with the low cost of a franchise these |
| much to the side until you talk to a tax professional. | | | | days? |
| When you do pay your taxes or file your return for | | | | 3. How much to invest? This will solely depend on your |
| the year, make sure to look at one time taxbreaks and | | | | available amount, it is easy to sayyou will do all of the |
| amortization tax breaks, as you can sometimes claim | | | | things yourself or place the advertisements etc...but |
| the full amount up front in oneyear rather than break it | | | | when it comesdown to it, do you want to do all of that |
| down over a period of years. | | | | or do you want to fix computers? You can |
| Regardless of whether this is a full time business or | | | | hiresomeone to promote your business either through |
| just a part time gig, make sure youregister as a | | | | conventional advertising or hire aflyer/mailing distribution |
| business in your state. This will lend credibility when you | | | | service, but in this type of business, getting the word |
| talk to yourclients. When they ask you how long you | | | | out iscritical. If they don't know you exist, they won't call |
| have been in business, you can honestly say 2004 or | | | | you for help. So the amount youshould invest will be |
| 2007 or whatever it is, instead of saying "well I have | | | | determined by what you can afford, but keep in mind, |
| always been into computers and this isa part time thing | | | | what you investshould generate a return, hence ROI or |
| on my kitchen table" If you were shopping for a PC | | | | Return On Investment. If you aren't seeing a return |
| Repair Tech, wouldn'tyou rather deal with a | | | | onyour investment in a short period of time, then you |
| professional rather than someone with a part time | | | | are probably doing something wrong or notdoing |
| hobby? | | | | anything at all, which can be just as bad. |
| 2. How do I avoid the pitfalls of opening a new | | | | The amount of your investment will also be determined |
| business? A franchise will provide you with the | | | | by your commitment, if you only want apart time Pc |
| information, knowledge, training and support you will | | | | Repair Business, then you should only invest what you |
| need to succeed. Think about this, after 2 years the | | | | are comfortable with inthat type of venture. |
| average success rate for a franchise company in | | | | So in closing, do your research, ask the questions, and |
| general is 90% or more. After 2 years the average | | | | make sure you get all of the answersbefore |
| success rate for a non franchised startup company in | | | | committing to any type of investment or contract. |
| general is 10-15%. Which % would you rather be in? | | | | Good luck in your new business. |
| The downside to a franchise: You have to pay for it. | | | | |