So, you’ve finally decided that you do not want to work for anybody else except yourself. It’s a bold move, but ultimately one that will mean all of your effort will greatly benefit your new business rather than your boss or the company who you work currently for.
Having your own business will also mean that you can set your own goals and keep your own schedule. It’s a bold move, especially in today’s economic climate, so where and how do you begin? Starting a new business is sometimes not easy, but it is manageable for any person who knows what to do.
Here are a few key considerations when starting up a new business:
First things first, knowing that you want to start a business is obviously a key point. However, it would be better if you know what type of business you want to venture into first.
Do you want to have a business that you can do part time? Are you looking for a license to sell or distribute an existing product? Do you want to provide your skills as a freelancer? These are the type of questions that you must first ask yourself. Business owners that have been successful in their own endeavours suggest that you determine what you are passionate about and then think of ways to make a business out of it.
Did you research your business idea?
Perhaps the idea of owning a food truck has entered your mind. Do you immediately go about purchasing a truck? No. You should first do some research about your business idea. Is there a demand for it? What food are you going to offer? How much will you sell your product for? Do you have enough capital or know where to get the capital to start your business? Where will you get your supplies? How competitive is the market?
Doing extensive research about your idea first will let you know if your business idea will be viable or not.
After doing the research on your business idea, it is time to put your idea onto paper in the form of a business plan. Remember that failing to plan is planning to fail. A business plan will give you a guide or a road map on how to go about starting and maintaining your business. It will also contain your business’s goals, the means by how you can realise them and by when you intend to achieve them. If you are not trained in writing business plans, you can always ask for help from people you know who have been successful in their own business endeavours or seek professional help.
How do you plan to finance you business?
The next thing that you must consider are your finances. For example, do you have enough savings or recurring income to finance your business? Knowing your finances inside out will help you in starting a business. However, you must not risk all of your money in the business since a large proportion of new businesses fail in their first year.
It is important for you to have a portion of your money set aside just in case your business isn’t successful. It is also important that you satisfy all your legal obligations like commercial insurance cover for your business if you are going to have a physical location and not just be internet-based.
Preparations will be largely satisfied through specific research on the industry or sector that you want your business to belong to. Do you or your staff need to undergo additional skills training to pass industry specific standards? Be prepared to undergo training and find the right people to join you in your business venture. Being prepared will also mean that you have taken care of all the legalities involved in starting a business such as the proper permits, licenses and the like.
How are you going to market your business?
Come up with a catchy name for your business that people will immediately remember and further develop ways on how you can effectively market or position your products and services. If you are going to set up shop in a business district, make sure that the location is ideal to your targeted clientèle. When you plan to initially work from home, make sure that your communication systems such as VoIP will allow you to effectively communicate with your customers and other stakeholders. You must also use different techniques for marketing and advertising your business that include online mediums like social media, websites and directories.