While starting a small business sounds like a piece of cake, in reality it is quite daunting. Those I knew who succeeded did so by the right mixture of talent, conviction to succeed and luck. But the most crucial ingredient is identifying your business opportunity. Choosing what kind of business to start can be an immobilizing task when confronted with the multitude of opportunities. It’s important to determine where your passions lie and to understand your personality type.
Are you an improver? Do you want to focus on using your company as a means to improve the world? If you have an unwavering ability to run a business with high integrity and ethics then you are likely suited to create a morally correct business rewarded by working on noble cause. But you must be aware of your tendency to be a perfectionist and over-critical of employees and customers.
Are you an advisor? This business personality type will provide an extremely high level of assistance and advice to customers. Advisors though can become totally focused on the needs of their business and customers that they may ignore their own needs and ultimately burn out.
Are you a Superstar? Here the business is centered around your charisma and high energy. This personality often will cause you to build your business around your own personal brand. You must be careful not to be too competitive and end up being a workaholic.
Are you an Artist? This business personality is the reserved but highly creative type. Often found in businesses demanding creativity such as web design and ad agencies. As an artist type you’ll tend to build your business around the unique talents and creativities you have. But you must let go of the negative self-image since you may have the tendency to be overly sensitive to your customer’s responses even if the feedback is constructive.
If you have identified what you are going to start-up, here is what you should consider to help you further.
To make your business idea a reality, make a plan. It should outline your goals, your motivation and your strategy for marketing and funding.
You won’t require a lot of money to start. Here are a number of ways you can find initial investment:
- Angel investors
- Bootstrapping, using as little capital as necessary to start.
You may start an initial business structure (sole proprietorship, partnership, LLC, corporation). Then re-evaluate and change your structure as your business grows and needs change.
Pick & Register Your Business Name
Pick a name that make you smile when you say it, think through all of the potential implications before you decide on it. Then check if it’s trademarked or currently in use. Then register it.
Licenses and Permits
Your licenses and permits should apply depending on the type of business you are starting and your location.
Your business location should work for the type of business you will be doing. Consider your overall set-up before you zero out on the location.
One of the most important systems is an accounting system. Your business will run most effectively when there are systems in place.
Start with the basics by writing a unique selling proposition (USP) and create a marketing plan. The best way to decide on how to promote your business most effectively is to explore as many marketing ideas as possible.
Once you have completed these small business start-up activities, you will have all of the most important bases covered, and be ready for success.