How to Start a Business: Lessons from Rent Manager

The property management software that started it all at LCS—Rent Manager—turned 38 this year! As part of our annual tradition, the LCS team kicked off 2026 with a birthday celebration for our favorite software, complete with cake, party hats, and plenty of fun.

Over nearly four decades, Rent Manager has evolved from a small program created to help a family manage billing for their rental properties into an industry-leading property management solution. President and CEO Dave Hegemann has worked tirelessly to grow his original idea for a comprehensive property management software into a full-service enterprise that delivers high-quality technology solutions and IT Services to property management companies of all sizes.

Guided by the company’s core values—Quality, Urgency, and Execution—Rent Manager’s success serves as a blueprint for aspiring entrepreneurs. If you’ve been thinking about taking the leap from dreamer to business owner, here’s a comprehensive checklist for how to start a business, paired with lessons we’ve learned along the way.

Refine Your Concept

In Dave’s case, his concept was a computer program that simplified billing for metered utilities at his parents’ manufactured housing property. That solution quickly proved adaptable to other financial aspects of property management. In the mid-1980s, computer software was still a new, burgeoning field. So, when he refined the program to become the first version of Rent Manager, Dave had already completed much of the foundational work to build a business: refining the concept for the product or service.

Whether you already have an idea for your business or you are still working through the details, a strong concept is the cornerstone to entrepreneurial success. Identifying your target audience or customer base is also essential. Ask yourself who your business serves, what problems it solves, and how your product or service addresses the most common pain points for your target demographic.

Finally, conduct market researchto see if there is a demand for your product or service within your proposed audience. You can evaluate existing data sources, such as census information, economic reports, industry analyses, and more; or you can conduct your own research through surveys, questionnaires, focus groups, or interviews. While market research can be time- and resource-intensive, it provides valuable insights into demand, potential competitors, and current trends in your niche, and assists you in creating marketing materials to win customers and promote your business.

Write a Business Plan

A formal business plan serves as a roadmap for the structure and growth trajectory of a business. It can include your business goals, a description of your company and the product or service you provide, financial projections, operational details, marketing strategies, funding requests, and more. There are many ways to write a business plan—from a detailed overview with multiple sections to a leaner, summarized version common with startup companies. No matter the format, taking the time to write a business plan will give you a guide to consult during your first few years of operation.

Gather Funding

Even the smallest entrepreneurs require funding to get off the ground. Your business plan should outline startup costs and how you plan to secure financial support. There are many ways to obtain funding, including:

• Investors
• Crowdfunding
• Self-funding
• Business loans or grants

Each option comes with its own advantages and challenges. Take the time to research the different options and determine which one—or a combination of them—is right for your company.

Meet Legal Requirements

Once your plan is in place, it’s time to address the legal and logistical requirements to begin operation. Start by choosing a strong name for your business and a physical location for your base of operations. Even if your company operates primarily online, you will still need a physical address, as the location will impact tax obligations and legal compliance.

Next, choose a business structure that will determine your personal liability, tax responsibilities, administrative requirements, and more. The most common types of business structures include:

• Sole Proprietorship
• Partnership
• Limited Liability Company (LLC)
• Corporations (C Corp, S Corp, Benefit Corporation, Close Corporation, or Nonprofit)
• Cooperative

Research the requirements and protections of each business structure and choose which one suits you. Then, you will want to register your business with federal and local governing bodies, obtain federal and state tax identification, secure any relevant licenses and permits needed for operation, and open a business bank account to protect your financial assets.

Create Your Team

After your business has been legally registered with the government, it is time to build your team. Hiring the right people is a crucial component of long-term success. The key roles necessary for your enterprise will depend on the type of business, but may include project managers, human resources, financial officers, operations managers, customer support, and more.

Take your time when making hiring decisions—you want to hire not only for a candidate’s skills, but whether they are a good fit for your organization and ideal company values. You should also determine how to handle employee benefits and what you can offer in addition to monetary compensation. Making intentional decisions early can help attract quality talent and increase your chances of employee retention in the crucial early years of business growth.

Market your Business

Finally, you need to spread the word about your business. Marketing encompasses many aspects, including building a brand identity, designing a logo, launching a website, establishing a social media presence, and running advertising campaigns across print media, digital media, or both. Consumer behavior and marketing trends change constantly, so it’s important to revisit and refine your strategy over time. LCS and Rent Manager’s branding has changed considerably over the years—here are a few examples of previous logo designs and branding materials, compared to our current branding:

Developing a Business for the Future

With another year behind us, the future looks bright for LCS and Rent Manager. We look forward to continuing to grow, innovate, and make waves in our industry while we honor our humble beginnings. Our story is proof that starting a business and finding success is achievable, so long as you have the vision, drive, and the right people by your side.