Questions to ask before starting your small business
If you want to start your own small business, you may be filled with question. However, there are some questions that are more important then others. By going through this checklist you can begin to get an idea as to whether small business ownership is right for you. Being prepared and having a plan is the first step to small business success. While you cannot prepare for every eventuality, having a clear understanding of what you up against is crucial. Here are some important questions to ask before starting your small business-
- Do my business goals match up with my business plan? To many small business owners are under the mistaken assumption that if they have a great product or service, to sell, then the rest will take care of itself. This is as far from reality as you can go. Successful small business owners understand that they must have goals, along with a well-thought out business plan. You must have a clear and concise idea, of where you want to go, and how you will get there. If you fail to take the time to accomplish this step, you may feel yourself overwhelmed and frustrated with the demands of running a small business. Business experts advise that you should make short term, as well as long-term goals. Then you can use these goals along with your business plan, to chart your way to success.
- Have I considered all the needed legalities before starting my small business? There will always be certain legal issues that you will need to take into account, no matter what kind of business you are starting. Here are some of the legal issues you will need to consider-
- You will need to determine what kind of legal structure your business will have. For example: Will you be a sole proprietorship, partnership, corporation, or limited liability company?
- You must register the name of your small business.
- You must get any licenses and permits that will be required.
- You must beginning planning on how you will file taxes, for you businesses.
- Do I have a clear understanding of all the financial ramification of starting a small business? For small business owners everywhere, money is a constant source of stress and worry. This is only compounded if you are leaving the security of a regular paycheck, and your small business has larger then expected expenses when starting up. You may want to consider continuing with your full-time job, or working another part-time side job, until your business is up and running well. To help make this transition you may need to borrow to help ease the strain until you have saved financial reserve.
- Do I have the needed skill set to become a small business owner? While many people dream of being their own boss and running their own company, it is important to realize that not everyone has the right qualities to make that happen. Most successful business owners (of every size), have been found to have unique personalities and out of the box skill sets. While there is not one size fits all type of person who makes a good business owner, most successful company heads share certain personality traits. This can include: ambition, dedication, a high level of self discipline and unbridled passion, for what they do. Generally they have excellent communication skills and enjoy working with other people. They tend to be motivators when it comes to working with other people. Most of all they are risk takers who know when to take that measured risk.