There are many experienced and informed people on this list... But I do
see plaintive pleadings from some with lessor amounts of information at
their disposal... For those who don't understand why we (USA) can't
market a 'cheap' LSA, follow me through... Your lack of business
experience shows... The cost of labor is miniscule compared to the
regulatory costs...

So you want to manufacture the WHiz Bang 4, that you drew up in your
spare time at your real job...
OK, ya gotta have a shop to work in... So go lease a factory
building... BANG, ya got overhead! And you have to feed it every month,
even while you are still trying to put the business together...

Now the building lessor will insist that you carry loss insurance in
case you destroy his building, and he will insist on public liability
insurance in case what you do in the building gets him sued.. So poof,
you got two monthly insurance payments and you haven't even unrolled
the drawings for your airplane...

Now ya gotta buy some equipment - MIG, saws, brakes, compressor, air
tools, steel, aluminum, and mucho more... Do you have the dough? If
not, ya gotta get a loan... Want a loan? The bank manager informs you
that he needs to see your business plan... Don't have one? Go to the
library and do some research... Finally, after 6 to 12 months of
scrambling you have a business plan that convinces the bank to take a
chance on you, but only for 25% of what you wanted...

OK, now ya got this far, you need to hire some employees... So ya shop
around the neighbors, local bar, the coffee shop, etc... What you will
find is that for all the folks leaning on their elbows and complaining
they can't get a job, 98% will disappear when actually offered a job...
2/3 of those left will fail the drug test...
Drug test???
Yup, your insurer for 'Workmans Comp' will insist on it...
Oh yeah, did I mention that you will need Workmans Comp insurance...
Another monthly payment, badda boom, badda bing... Having fun yet?

Anyway, you have persevered up to this point, it's Monday morning, the
help shows up (well half of them do) and you are ready to start
building airplanes... mebbe... Do you have enough materials on hand?
(heh, heh, the aluminum isn't in yet - you make a mental note to call
the distributor and find out when it will be in) Do your people know
what to do?... So you set about teaching - tough to be in 3 places at
once, eh!... The first thing one says is, "hey boss, when do we get
paid?"...

Ah yes, pay roll!!! So off to the bank you go to set up a business
checking account... The pretty little teller (the one with the great
bazooms) says, "fine Mr. Smith, now I just need your federal employer
number and a copy of your DBA certificate... Federal employer number,
DBA??????

Yup, and along with that you likely get to meet some very nice people
from the:
EPA
DNR
OSHA
FAA
State
County
Township

You will find that you need appropriate signage, handicap parking
stripes, ramps along side of stairs, curbs and steps marked with safety
yellow paint, non slip treads, OSHA approved cabinets for storing
flammables, eye wash stations, whole body showers, and a great long
list of other stuff...

I could go on in great detail for tens of thousands of words, but I
won't applause... Anyway, the point of this for those who have never
actually started a business, is that there is a whole bunch you don't
know about our FREE country...

denny