Steps to Start a Small Business – To successfully start a small business, there are steps to follow to get to your desired business destination. Starting a small business may actually be frightening because you are just testing the waters. But sitting down and analyzing what you need to do and how big you want your business to grow will actually be a step in the right direction that lay those fears to rest.
Steps to guide you in starting a small business:
Table of Contents
Steps to Start a Small Business
Do a Research
For whatever business idea you may have come up with, people have been there before you, or if it is a new field, there are still people who have done something similar. Thus sit back, carry out a research for existing companies in your chosen industry. Find out what current brand leaders are doing and figure out how you can do it better.
For whatever your business idea is, it is very important to understand the rational behind your idea and how well it can meet needs. Straighten out major details and find out if the market is something you are passionate about or if there is a market for what you are offering.
Write a Business Plan
Now that you have an idea of the kind of business you want to create, here some important questions you need to ask yourself: What is the purpose of my business?, who would I be selling to?, what are my end goals?, how much capital is required and how will I come up with it?, this where your business plan comes in.
Carry Out a Market Research
Carry out an extensive market research on the field of your choice and find out the demographics of potential customers to enable you plan your business. This means that you have to conduct surveys, holding focus groups, and researching SEO and public data.
Carrying out an in depth market research, will help you understand your target customer, their needs, preferences, behavior and also your industry and competitors
Assess Your Finances
To start up a business, you would need capital, thus you have to calculate just how much you would be needing to cover the cost of starting the new business. Find if you can fund the business on your own or you need to borrow to establish the business.
Knowing what you actually need before you start the business will help you not overshoot your budget. Remember the idea is to start small and grow big.
Choose a Business Structure
Decide whether you want your small business to be sole proprietorship, a partnership, limited liability company (LLC) or a corporation. The business structure you choose will affect many factors from your business name, to your liability, to how you file your taxes.
Decide on and Register a Business Name
If before now you have not decided on a name for your business, it’s not too late. You decide that at this stage and get it registered. It is best to have more than one name penned down in case the name you want to use in registering the business is already in use, to enable you quickly change to another equally suitable name.
Get Licenses and Permits
Check within your locality to know if the business you are about to do requires licensing and permits during start-up. This is because some businesses require licensing, while others do not. So it is important you check to know what’s peculiar to your business.
Set Up an Accounting System
Set up an accounting system that you will be comfortable with and one suits your type of business. This is to help you create and manage your budget, set your rates and prices, conduct business with others as well as help in you filing your taxes.
Get a Business Location
Except you are doing an online business, you need a business location. Think through and decide on whether you want a home office, a shared or private office space or a retail location. Your business location should favor your kind of business, for best results.
If your business is a type that needs you to employ additional hands, go ahead and do so. Outline the positions you need to recruit for as well as the job description attached to every employee.
All Set Up? – Promote Your Business
Setting up the business, is just one step out of two. Once you are done setting up, you have to make potential customers know that your business exists. You can use any advert style that works for you to promote your new business for optimal growth.
Now that your business has kicked off, pay attention to it, tend and nurture it to the level you want it to grow to.
Becoming an entrepreneur is quite fulfilling and also comes with benefits that you can enjoy after you have put in so much effort.