Starting your own business is exciting and can provide you with many rewarding benefits. That said, it is a very challenging undertaking that you should not take lightly. Before you begin you will want to decide if entrepreneurship is for you and make sure you establish a strong foundation to give your company a good chance to succeed. Remember, as a small business owner you are subject to some of the laws and regulations that apply to large corporations. Knowing what will be expected of you as a small business owner is extremely important and can help you avoid problems in the future.
First of all, ask yourself, do you have the right personality to be an entrepreneur? Are you comfortable with taking risks? Are you Independent, persuasive, and creative? Are you able to negotiate? Do you have a support system in place financially, emotionally, and through a business network? If you answered yes to all of these questions then you are ready to start. If you answered no to all of these questions then you may want to consider whether starting a business is right for you. If you only answered no to a couple of these questions then you may just want to build some skills or do some more research—and perhaps get a bit of training in the areas you feel you are most weak in—while you continue to build up your support structure. If you do not already have one, then find a business mentor and start working on creating a solid business plan.
That brings us to your business plan. This is an essential document that can help guide the direction of your business and will provide the framework for how your company intends to grow revenue. Having a solid, thorough, and unique business plan will not only help you determine the steps you are going to take, but allows you to provide banks and investors with a clear understanding of what your plans are. This may be the deciding factor in whether you get grants, loans, and support from others. Your business plan should include the following sections: An executive summary, company description, market analysis, organization & management, service or product line, marketing and sales, funding request, financial projections, and an appendix.
Next you need to determine what type of business structure you would like to work under. Do you want to operate under a Sole Proprietorship? A Limited Liability Company? A Cooperative or a Partnership? Maybe a Corporation or S Corporation? All of these different business structures will have legal and tax implications. Make sure you understand the differences and choose the design that best suits your business needs.
Now, you are ready to name and register your business. This is also a good time to consider creating a strong trademark, logo, and company brand. By starting the branding process at this early stage you help ensure that your company and products will stand out. It also gives you time to make sure that your company name and trademark do not infringe on already registered companies. In the future having your trademark in place will help you protect your company from another’s attempt to trade illegally off of your identity and good will.
Many of the above mentioned steps take a lot of planning and after you finish them you will still have a lot of details to consider. You need to make sure you obtain the necessary licenses and permits for your specific company. You need to make sure you understand the laws and regulations that apply to your business. You also need to make sure you are clear on how to finance your business. You may want to look into potential loans, grants, or other types of funding. There is also the understanding of filing and paying taxes, choosing your location, buying equipment, and hiring and attaining employees.
Yes, it is a lot to think about, but remember that you can get help with all of these steps. Assistance is always available through mentors, business counselors, accountants, and legal council to help you avoid mistakes. By retaining a small business attorney to help you with the details of creating your business you can make the process go much more smoothly, ensure that your company has a strong foundation, and guarantee that it is off to a strong start. https://jhrlegal.com/small-business-law/