Karen T. La Beau has a full-time day job as a social services supervisor for Caddo Parish, Louisiana. By night she is the CEO and only employee of a greeting card company (www.neworleanslady85.etsy.com (Links to an external site.) or www.Klabeau.weebly.com (Links to an external site.)) Karen’s soul pours out onto, as she calls it, “My Life on Canvas,” painting on boards, vinyl records; anything she can buy cheap or scrounge together. Childhood scenes of crawfish boils, school, friends, church, sno-ball shop, jazz, part of an endless array of subjects she has painted. A third-generation self-taught artist, she had not painted in many years until tragedy unleashed the brush.

Growing up in New Orleans meant packing up for vacations when Hurricanes threatened, until the Big One. Katrina blew by, the levees broke, the city flooded. Karen and family were in Houston, Lafayette, and ended up, under protest, she says, in Shreveport. The depression, the sense of loss was strong, but it fueled creativity; first jewelry, then paints, then the cards. Cards satisfy a market for some little something that is affordable, and gained her a toehold in the local market. Many buy her cards and frame them.

Karen uses the money she earns to buy more supplies, but the business side is tough. Last year, she earned a marginal profit and decided to get some training. She attended a class offered by the Shreveport Arts Council, “Arts Entrepreneurial Intensive Training”. Out of this came a new business plan as well as a new definition of her goals. Karen T. La Beau is on her way; she sells to collectors in California, Maryland, Oregon, Pennsylvania, Texas as well as Louisiana. Her cards are in shops in Breaux Bridge, New Orleans, and Shreveport, Louisiana as well as in Midland, Texas. She has been honored as a top female artist, selected to be on the roster of Shreveport Arts Council, and voted one of three favorite artists by the NWLA (Northwest Louisiana Arts), all of which translates to building her company, Karen T. La Beau.

La Beau had these tips for future entrepreneurs:

1. Get yourself an accountant. Make sure you have a good system for expenses, inventory and more.

2. Networking is a big factor in a successful business.

3. Running a home-based business requires a lot of time. Be prepared for the commitment.

Using the above Case Study, Answer the following questions in a Word Document (Please be detailed in your answers).

1. Do you think Karen should do something different in the business set up of her company? What and Why?

2. Do you think Karen should continue putting her earnings back into the company? Should she get a loan and set everything up at once?

3. Should she consider an incubator, a mentor, or continue as is?