While it may be clear to us that we need good business and management chops, it's sometimes hard to know where to begin. Do I trademark now or wait? Do I need insurance and, if so, where can I find some fair deals? What about taxes? Do I have to pay quarterly or yearly as a self-employed musician? Then again, do I have to pay at all?

These and other questions are part and parcel of "doing business." And a lot of business success lies in having the right answers to those questions. Answers. Information. Education. Where can I obtain the required information without having to enroll in B.U.'s MBA program?

Check out the Small Business Administration.

What is the SBA?

The Small Business Administration, or SBA, is one of those quiet government programs in which pearls lie hidden. This is about the best return on your taxes you'll ever get; so listen up.

The United States Small Business Administration (SBA), was created by Congress in 1953 to encourage the formation of new enterprises and to nurture their growth. It exists to serve small businesses by providing information and financial backing and speaking on their behalf in the corridors of Capital Hill.

The SBA's mandate is very broad, and its resources are limited. The agency's definition of "small business" - service companies and retailers with annual revenues of $3.5 million or less, manufacturers with fewer than 500 employees, wholesalers employing fewer than 100 workers - embraces 98 percent of the companies in the U.S.

The SBA's staff is just 4,000 nationwide, organized in 110 offices. So taking advantage of the SBA requires learning what it's equipped to offer, and then how to tap into its abundant resources.

SBA Programs

When I was starting Music Business File five years ago, I contacted an SBA program called the Small Business Development Center (SBDC) at Salem State College in Salem, Massachusetts. SBDCs operate at about 650 colleges across the country, providing management training and other start-up business assistance.

I was matched with a Small Business Adviser who reviewed my business plan, provided me with my first computer training and offered suggestions and ideas galore for making Music Business File a successful small business.

Though untutored in the music business, my adviser was very experienced in the ways of general business management and marketing. Together we forged a plan to launch and grow my business. In addition, he demystified the computer for me and introduced me to a whole new world of resources I never knew existed.

Unfortunately, if you don't live near a college with an SBDC, you generally won't be able to take advantage of their services. To find the SBDC nearest you, contact your local SBA office. You can find their number in the U.S. Government section of your phone book. In the Boston area, the number is (617) 565-5590.

SCORE

A second SBA program that compliments the SBDC is SCORE, or the Service Corp s of Retired Executives. Some 12,000 volunteers are available to consult without a charge on topics from writing a business plan to setting up your books. "Their advice is geared to early-stage businesses, "says Mark Quinn, acting district SBA director in San Francisco. "Lots of people seeking advice are individual proprietorships - very, very small."

The SBA estimates that "managerial deficiencies cause 9 out of 10 business failures." Through in-depth counseling, SCORE volunteers help business owners and managers identify basic management problems, determine the causes and become better managers. SCORE also offers "pre-business" workshops nationwide to current and prospective small business entrepreneurs.

Almost any small independent business not dominant in its field can get help from SCORE. The approach is confidential and person-to-person. Clients don't even need to have a business. Consultation and counseling before a business start-up is an important part of the service. To locate the SCORE o ffice nearest you, call (202) 205-6762. In Boston, the number is (617) 565-5591.

The Small Business Institute

Another relatively unknown SBA program is the Small Business Institute (SBI) which gives small business owners an opportunity to receive intensive management counseling from qualified college-level business students working under expert faculty guidance. Students meet frequently over the course of the full university term (or more) with the small business owner to identify and solve specific management problems. Business clients get a detailed report on the steps they need to take to improve their operation.

While this resource can end up being heavy on the theoretical and light in the practical, it's still free feedback from people who understand the logistics of doing business in the 90's. All small business owners/managers are eligible to participate. SBI often overlaps with the SCORE program.

For additional information about the nearest SBI services, contact your local SBA office and ask for the business development officer.

SBA Publications

Small businesses can benefit from the SBA's numerous publications and video tapes, which are produced by local offices as well as through the Washington headquarters. Though they are sometimes elementary, the publications do cover a vast array of topics, from the ABCs of borrowing to leasing office equipment, from selling by mail-order to computer security.

Many of these pamphlets are free; others carry charges ranging from 50 cents to a few dollars. Unfortunately, you often have to work to get the pamphlet mailed to you. D. LaVerne Parket, Vice President of Software Integration Services in New York City, says it has taken her as many as three attempts to secure a single SBA publication. The agency operates a toll-free Small Business Answering Desk in Washington, D.C. (800) 827-5722), but dialing it will land you in a voice mail jungle. Calling the SBA office in your region is probably a better bet. Again check your phonebook under a U.S, Government.

What good is the SBA? It depends on what you need, what you already know, and how hard you're willing to work. Some business people come expecting the SBA to help them out of a deep hole. But much of the SBA's best help is for people with little or no business experience.

Musicians and music-related businesses requiring guidelines on starting and developing a successful enterprise should make the SBA their first step on the business trail. It won't necessarily provide you with music industry insights, but, insofar as you're a business it will help you immensely. Rise up!

by Peter Spellman

Director of Career Development at Berklee College of Music, Boston, and author of The Self-Promoting Musician: Do-it-Yourself Strategies for Independent Music Success (Berklee Press). You can find him at Music Business Solutions.

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