Starting a Business
Starting and running a small business takes desire, passion, skills, knowledge and talent.
It also takes research and planning.
While many small or start-up businesses can recover from early mistakes, many cannot.
Every small business makes initial mistakes, but no small business can survive fatal missteps.
So, planning is important.
Explore and evaluate your business and personal goals.
Using those goals, craft a comprehensive and thoughtful business plan that will help you reach these goals.
The process of creating a plan forces you to think about important issues that you might not think about without planning.
A plan is a valuable tool that can serve multiple purposes.
But like hand tools, a business tool left in the "tool box" and never used is worthless.
Again, the process of planning is most important, rather than detailing the plan in a formal written document.
I recommend that plans be written, but the written document is not more important than the planning process itself.
Let's Get Started- List your reasons you want to start a new business.
Consider this list to start your thinking: Self-management or freedom Financial independence Creative freedom Maximize personal skills and knowledge you've developed over the years Decide what type of business is right for you.
Ask yourself: What do I enjoy doing? What skills have I developed? What value can I add? What am I good at doing? How much money do I need to support myself? My family? How much time do I have to run a successful business? What's my business niche? What business do I want to start? What services or products can I sell? What need, want or desire can I meet? Will buyers pay for it? Is there competition? Competition is not always bad, as it demonstrates a market for your product or service.
What strategic advantage do I have over the competition? Can I deliver a product or service with better quality, cheaper, faster? Do I have to create a demand for my business? How hard will that be? Finally, consider these tough questions: What skills and experience do I lack? What legal structure will I use? How will I keep business records and data? What insurance do I need? What equipment or supplies do I need? How will I pay myself? What are my resources? What are my cash or credit needs? What facilities do I need? Is location important? What will I name my business? Is my brand important? As you can see, these lists are long but still probably not comprehension.
Small business owners must go through this process.
It's not always fun, and the answers might suggest that starting a small business is a bad idea.
Resist the urge to accept any answer that furthers your dream but is not supported by facts.
In other words, as you answer these question, be honest with yourself.
Not every business should be started.
If your honest answers suggest that starting a new business is a good idea, use your answers to create a focused, well-researched business plan.
A good plan is a blueprint for business operations, management, and capitalization.
Review your business with your business lawyer, your CPA, friends and business associates.
Schedule a monthly review of your plan, and be prepared to change the plan frequently.
A good business plan is a flexible one that should change as you encounter obstacles and your business grows.
It also takes research and planning.
While many small or start-up businesses can recover from early mistakes, many cannot.
Every small business makes initial mistakes, but no small business can survive fatal missteps.
So, planning is important.
Explore and evaluate your business and personal goals.
Using those goals, craft a comprehensive and thoughtful business plan that will help you reach these goals.
The process of creating a plan forces you to think about important issues that you might not think about without planning.
A plan is a valuable tool that can serve multiple purposes.
But like hand tools, a business tool left in the "tool box" and never used is worthless.
Again, the process of planning is most important, rather than detailing the plan in a formal written document.
I recommend that plans be written, but the written document is not more important than the planning process itself.
Let's Get Started- List your reasons you want to start a new business.
Consider this list to start your thinking: Self-management or freedom Financial independence Creative freedom Maximize personal skills and knowledge you've developed over the years Decide what type of business is right for you.
Ask yourself: What do I enjoy doing? What skills have I developed? What value can I add? What am I good at doing? How much money do I need to support myself? My family? How much time do I have to run a successful business? What's my business niche? What business do I want to start? What services or products can I sell? What need, want or desire can I meet? Will buyers pay for it? Is there competition? Competition is not always bad, as it demonstrates a market for your product or service.
What strategic advantage do I have over the competition? Can I deliver a product or service with better quality, cheaper, faster? Do I have to create a demand for my business? How hard will that be? Finally, consider these tough questions: What skills and experience do I lack? What legal structure will I use? How will I keep business records and data? What insurance do I need? What equipment or supplies do I need? How will I pay myself? What are my resources? What are my cash or credit needs? What facilities do I need? Is location important? What will I name my business? Is my brand important? As you can see, these lists are long but still probably not comprehension.
Small business owners must go through this process.
It's not always fun, and the answers might suggest that starting a small business is a bad idea.
Resist the urge to accept any answer that furthers your dream but is not supported by facts.
In other words, as you answer these question, be honest with yourself.
Not every business should be started.
If your honest answers suggest that starting a new business is a good idea, use your answers to create a focused, well-researched business plan.
A good plan is a blueprint for business operations, management, and capitalization.
Review your business with your business lawyer, your CPA, friends and business associates.
Schedule a monthly review of your plan, and be prepared to change the plan frequently.
A good business plan is a flexible one that should change as you encounter obstacles and your business grows.
