Showing posts with label entrepreneurship. Show all posts
Showing posts with label entrepreneurship. Show all posts

Tuesday, July 20, 2010

A part-time business idea for the entrepreneurially-minded individual

Students often come to me and ask "how can I start my own business that can be part-time, earn me money, and accommodate my fractured time schedule?" Ten years ago I suggested installing wireless routers in homes in Rancho Sante Fe as wireless became popular; the average charge was $1,000 for less than 4 hours of effort and word-of-mouth grew the business. Most good ideas in this category have a lifetime of a few years, and sell themselves because they are need-driven.

Which brings us to today. SDG&E is installing smart meters throughout San Diego County, and will be done by 2011. Once that is completed, you'll see Time-Of-Use (TOU) pricing (we already have tiered pricing) likely put in place (PUC-willing) which means customers will be paying much more during peak-usage times and consumers will be shocked by the bill increases, sort of what is happening on a smaller scale today with water usage.

Consumers are clueless today and its going to get much, much worse. (see here for an earlier note on consumer knowledge). They'll be looking for help and I've used all of SDG&E's energy monitors and trust me, they're clueless. Just try reading your bill. Seriously. If your brain is not scrambled trying to understand your bill, read their proposed TOU schedule.

So here's the idea: Offer to do a whole house electric energy audit for, say, $250-500 if you can't wait for the moola or, better yet, for $100 plus 50% of the cost savings for the first year. Schedule a time to spend about 60 minutes capturing the meter reading, last month's bill, and installing usage monitors at critical points of the home (see here for a sample monitor that costs less than $20). Come back 24 hours later, pick up your readings and monitors, do a quick Excel spreadsheet and auto-generate a report from within Excel, with recommendations. There's lots more details I won't go into here, as well as many more sophisticated options, but you can start this business with 10 monitors for less than $250, business cards included. Of course, it will open doors to things like installing solar panels (a reference sell, get paid $500 for every installed referral, etc.). See here. What you learn will be priceless. And for those of you that want a political affiliation with my good buddy Al (of green-washing fame), you'll be a hero.

So what are you waiting for?

Monday, November 23, 2009

On Job Creation

According to a research study conducted for the U.S. Department of Commerce Economic Development Administration, business incubators provide communities with significantly greater results at less cost than do any other type of public works infrastructure project. This is a government report by a government agency responsible for economic development.

Researchers found that business incubators are the most effective means of creating jobs – more effective than roads and bridges, industrial parks, commercial buildings, and sewer and water projects. Incubators provide up to 20 times more jobs than community infrastructure projects at a cost of $144 to $216 per job.
Compare that to what is reported by recovery.gov for the state of California:
-- cost per job via grants: $154,000
-- cost per job via contracts: $508,000
-- cost per job via loans: $4,100,000
[Ref: http://www.recovery.gov/transparency/pages/home.aspx?State=CA]

Business incubators also increase the likelihood of success on a new business by 5X [nbia.org].

At a time when I believe California has a unemployment rate close to 20%, should we be spending federal dollars on "job creation" or should we incentivize businesses to do the same?