Under the microscope: use Microenterprise loans to help make micro a temporary condition

Entrepreneur, August, 2002 by Nichole L. Torres

Your first step in seeking microenterprise loan funds should be to check out www.microenterpriseworks.org, the Association for Enterprise Opportunity's (AEO's) Web site. There, you'll find a listing of organizations that offer microenterprise funds in addition to general small-business support. Most of these programs require a business plan, but many of them offer assistance with that step, too.

Your local Small Business Development Center, chamber of commerce and banks should also have information on programs available in your community, says Bill Edwards, executive director of the AEO. Keep in mind, though, not every program will have the word "microenterprise" in the title--you'll have to do some investigating. Still, says Edwards, "A little time spent doing research is time well-spent."

WHAT'S YOUR PROBLEM?

THE LESS YOU KNOW ABOUT YOUR INDUSTRY, THE MORE PREP WORK YOU HAVE IN YOUR FUTURE.

Q How should I go about starting a business in a field that is completely new to me? I have no experience, contacts, training or education.

Name withheld

A While education, training, experience and contacts account for the way most people choose the jobs they do and the businesses they run, none of these is as important as the drive to do something that inspires you enough to want to get up in the morning and do it.

First you should ask yourself if you're really motivated to pursue your idea at a 9 or 10 on a 10-point scale. If you're sure the idea is worth pursuing, try these tips for investigating it more thoroughly:

* If there are books about your field or the problem your business idea would address, read them.

* Take related community college courses. Additional training, including advanced degrees, is available online.

* Join any related trade or professional associations. They will likely have Web sites, which you can find using search engines or by referencing the Encyclopedia of Associations, available at most libraries.

* Talk with others in related businesses and consider working for or apprenticing with them.

Although gaining the knowledge, experience and contacts you need may take six months or more, if you follow through on learning all you can about the business, there's a good chance you'll have the perseverance that's necessary to succeed in a new field.

Paul and Sarah Edwards' most recent book is The Entrepreneurial Parent. Send them your start-up business questions at www.workingfromhome.com or in care of Entrepreneur.