One of the best predictors of successful business formation is a solid organizational structure and startup plan. A Pennsylvania nonprofit recently announced a contest that will award funding to promising technology-based business ventures.

The "Big Idea" contest is sponsored by the Pennsylvania-based Ben Franklin Venture Investment Program. The person or group who submits the best business plan for a technology-based company will be awarded $50,000, according to a recent news report. The money is to be used to start or develop a technology-oriented business.

Whether a new venture already has the money to open for business -- or if start-up funds are sought from a contest, bank, or investors -- the initial planning process is one of the most critical times. A complete and professional business plan not only helps secure funding, but also success.

It is important to establish business plans and goals, as well as study all of the involved legal and financial implications when forming a business. It is often useful to consult with a business law attorney in order to understand where the venture best fits under business formation law.

Is an LLC startup or a partnership the best option? Does a C corporation or an S corporation best suit your tax needs? What about finding appropriate commercial real estate and professional service providers? These are all important questions to ask during the business formation process.

Most often, the businesses that do their research and consult with experts have an advantage right away. They understand what they are getting into. First-time business owners and entrepreneurs can become very successful, but the business must be built on a solid and purposeful structure.

For the Ben Franklin contest, entrants need to be technology companies in early stages. They may not have more than 50 employees and they must not have already received Ben Franklin funding. The venture must operate, or be willing to start up, in a central or northern Pennsylvania county, including Dauphin. Complete details are available from the organization.

Source: Central Penn Business Journal, "Ben Franklin organization launches contest for startups," Tim Stuhldreher, Dec. 20, 2011