Starting Your
Own Business:
What Does It Take?
How
many times have you, or someone you know, said something
like "I've always wanted to have a business
of my own. Something I'd really enjoy doing. Be my
own boss."
Lots of people have
the dream, but they get bogged down in the details
of how to go about it. While this article isn't meant
to serve as a complete business start-up guide, it
will give you an idea of some of the steps involved
in starting your own business.
1. Hire Professionals
The most important professionals you'll need at the
beginning are a lawyer and an accountant. The lawyer
can help you decide if you want to be a corporation,
partnership, sole proprietorship, or some other type
of company. A good accountant can help you make this
decision based on which will be most advantageous
to you from a tax angle. A lawyer can also help you
register your business and get any licenses and permits
you will need, and can advise you about patenting
your idea or protecting your intellectual property
by requiring everyone you discuss your business with
to sign non-disclosure or confidentiality agreements.
2.
Make a Business Plan
You may need to hire a writer or other business professional
to help you write a business plan. You'll need one
to help yourself get organized as to what your business's
main purpose or goal will be. This could be anything
from serving hot dogs to people outside the home improvement
store to providing technology support to major players
in the business world. Either way, you need a plan
that sketches out how you will proceed toward your
goal and an estimate of how much money you'll need
to get there. What will your equipment costs be? Will
you be hiring employees? How about renting office
space? All of these cost estimates should be included
in your Business Plan.
3. Get Financing
How much start-up money will you need? Do you have
savings you can use? Friends or business associates
who might want to invest in your venture? Or do you
need a bank loan? Whatever the situation, you'll need
to present a copy of your business plan to bankers
or investors if you need to borrow money to get your
company rolling.
4. Set Up Your Record-keeping
System
A good accountant can advise you on the best record-keeping
software for your business, and help you set up a
system for keeping track of payables, receivables,
sales tax, payroll, employee benefits plans, and so
forth. You will be relying on the accountant for at
least your yearly tax return for your business, and
possibly for quarterly payroll and sales tax returns.
Your accountant can also get you an EIN number (Employer
Identification Number).
5. Find a Location
Depending on your business, location may be very important.
If you need to be visible to the public (say your
business is a bookstore or restaurant), then you'll
have to think long and hard about where you should
set up shop. Location can make you or break you-and
the rent is due no matter which way your fortune turns.
You will also need to get a phone, get the utilities
turned on, install your furniture and equipment, and
get a sign or two that shouts "Hey look! We're
here!"
6. Set Up Accounts
with Credit Card Companies
Every brick-and-mortar business these days takes plastic
or they don't stay in business. You'll pay a small
percentage for every credit or debit card transaction
a customer makes. You will need to invest in a method
for checking the validity of debit and credit cards-like
those "Slide Card Here" machines at cash
registers everywhere.
7. Hire Employees
You may not need to do this step if you're a one-person
operation. Maybe you can get by with just one part-time
person to answer phones and do some of the paperwork.
Of course, it depends on your business. You can probably
run a small bookstore by yourself, but even a tiny
restaurant means you'll need a cook, several servers,
someone at the cashier, and so forth. You'll need
to have them complete various forms for the IRS, and
you may want to run background checks or at least
check some references before you hire anyone.
8. Promote Your
Business
Decide how you will let people know you exist, what
you can do for them, and why they should come to you
instead of someone else. Common forms of advertising
are TV and radio commercials, newspaper ads, flyers,
and coupons that appear in booklets distributed by
local companies.
The list above might
make you think twice about starting a business of
your own. Perhaps you aren't looking to make such
a financial commitment regarding the hiring of professionals,
finding a location
And it's also a big, big
risk.
But let's look back
at the way this article began: "I've always
wanted to have a business of my own. Something I'd
really enjoy doing. Be my own boss."
YOU CAN! Without
all of the headaches of traditional business.
There
is a very simple way of attaining this goal that has
worked well for millions of people. You can have your
very own business in your home, and you can cross
off all or most of the steps listed above. The best
part of exploring home-based business opportunities
is that there is little risk
and the upside is tremendous.
Many of the inconveniences
and pressures of the traditional business are wiped
away with the home business. The biggest roadblock
to starting or buying a business is that they require
a considerable up-front cash investment. In addition
to the large investment, the time commitment you must
make when starting a business can ultimately turn
out to be far greater than what you have experienced
in any job, and the return is not necessarily worth
the extra time or the financial risk.
There is another
option.
Fill out the form below,
and I will provide you with additional information
about the opportunity that is truly shaping my life
and allowing me the freedom to live out my dreams
without all of the headaches and costs of traditional
business.
Sincerely,