Thousands of people set up their own business every year. Some do it because they have a great idea, others do it as they want to work for themselves. There are those out there who think they can make a lot of money from branching out on their own.
All of the above are valid reasons to start a business, but you will need commitment, motivation and drive to make a business successful. Although being enthusiastic is important, without a good business plan, you may struggle to get it off of the ground.
First of all, there are some things you need to think about:
- What will the business run as?
- Will you need a premises?
- Can you fund the business by yourself, or will you need financial support?
- Have you got what it takes to make it work?
There is no right or wrong type of person to run a business, if you are determined to make it succeed and are prepared to work long hours, then you have everything you need to make your business successful.
First of all, you need an idea that can realistically be turned into a product or service. You may have had an idea for a while, but it is time to start planning out how it is going to work.
You may have already come up with an idea for your business which you think there is a market for. You will need to register your idea, so no-one copies it without your permission.
You will need to identify who your target audience will be. Discuss your idea with them through focus groups or customer questionnaires, and get some feedback about what can be improved upon.
Back to the drawing board
Don’t be afraid to make any changes to your product or service, as any weaknesses at this point can be resolved and won’t cost you a fortune in the future.
Once you have straightened out any kinks, it will be time to start your business plan. This will need to show the results of your customer research and explain your goals and how you are going to turn your ideas into a viable business. Begin with speaking to experienced solicitors for business start-ups and they will be able to assist you with any problems you have.
Find a partner and suppliers
Even if you are planning to work alone, your business is going to involve working with others, like suppliers, distributers and partners.
Finding a co-founder with the right skills is essential. Try and find someone who has different background and expertise to you, as this lets you focus on the things you are good at and gives you someone to consult in the areas you need help with.
You should draw up a list of potential suppliers and get some estimates. This will start a good business relationship which means you may have an easier time negotiating prices. The more you speak to potential suppliers, the easier it will be to tell which ones are reliable and trustworthy.
Unfortunately, there will be many setbacks, but how you overcome them will be critical and will determine if you succeed or not. If you feel like you are not a good person that responds well to setbacks, then you should ask yourself whether you are the right person to be setting up a business.
Of course, money is one of the main things which drives a business, and you will need a good adviser. As well as an accountant, hiring a solicitor is essential, to help you understand tax and business law.
Your business will need a certain amount of administration and you will have to have some spare time to go through the paperwork. If you are someone who tends to bury their head in the sand and ignore the details, you will need a good right-hand person to assist you.