Setting up a new business demands a number of hurdles to overcome. And no business ever came into being overnight. An entrepreneur is one who sacrifices his time to meet up with the teeming challenges of starting a new business.
Todd Rhoad, managing director of BT Consulting and partner with Peachtree Recovery Services Inc. commented that when planning to set up a business, the very first thing is to be ready for the demands required.
To ensure you are fully ready before launching, Business News Daily sourced these expert suggestions from business veterans.
- Conduct your research
To be among the industry captains, you have to possess a good understanding of the industry. This is independent of how innovative your idea might seem. Ian Wright, owner of British Business Energy emphasized the need to be aware of competitors.
Another key consideration is that of your target market. This would be the rationale behind your decision making. Your customers are your only opportunity to make profits.
Providing just what your customers demand is important, says Sonia F. Lakhany, an attorney at Lakhany law. This helps you better understand your customer’s purchase behaviour and would save you from some trial and error method in the long run
- Attend to Legal matters.
Mason Cole, a business attorney pointed out that choosing a legal structure for your business is one of the very first steps towards launching out. The popular structure is the limited-liability Company (LLC) because it is flexible and secures partner from any personal liability. It would provide all legal requirements from tax to employment for the operation of the company.
Also, the business needs to be properly registered with the government before an operation.
- Count the financial cost.
Only few who start a business have enough money to properly launch.
As an entrepreneur, you would have to explore options to finance your business.
Some of these options include; family and friends, angel investors and venture capitalist and lastly banks and small businesses association.
Mac Prosser, small business expert hinted that an entrepreneur would have to finance his or her personal life through their savings because of the possibility of incurring debt on the business.
- Seek advice, Employ help.
The path towards launching a business should not be a one-man affair. You will need to employ someone’s technical skill or service to increase your chances of success. Ben Walker, CEO of Transcription Outsourcing offered a great advice to business owners to have a mentor or a coach.
Also, the role of an accountant from the start cannot be overemphasized. An individual can’t afford to run directly every aspect of the business. Most importantly, the business finances should not be taken with levity.
President and Founder of Little Bird Publicity, Sarah Burningham shared her experience. She recounted that she had a full-time employment as she planned to start her own business in 209. She, however, had everything set in order before she launched out. One of such important step that secured her business survival and success was getting an accountant to manage the company’s finance.