How to start a small business 4 ways to start a small business

Table of Contents Method 1: Pinpoint your business goals 1. Have an idea. 2. Determine your goals. 3. Create a business plan. Method 2: Name your business and build a team 1. Create a working name. You can do this before you even have an idea for the business, and if the name is good, you may find that it helps. Establish an idea, and as your plan takes shape, the perfect name may come to you, but don't let this hinder your progress early on - create a name that you can use while you're planning, and don't have to worry about it later. Make corrections. 2. Go to your team. 3. Choose wisely. Method 3: Organize legal and financial matters 1. Find a lawyer. 2. Establish an economic entity. 3. Consider the financial situation. 4. Plan your path to financial success. 5. Check out your competitors. 6. Keep an eye on your operating costs and keep them consistent with your budget. 7. Set up a merchant account. 8. Set up a website. 9. Ensure space. Method 4: Start your business 1. Build your products or develop nanny services. 2. Discover your internal PR. 3. Implement your marketing and distribution plan. 4. Launch your product or service. Do you dream of owning your own business? You will become your own boss and the master of your destiny - even the leader of an industry. Is it difficult? There is no doubt about it. Is this a challenge? Of course. Do you have to be rich and well-educated and have a long resume? Not at all! Can you do it? As the Magic 8-Ball says, “All signs point to yes!” So ??what do you do and make it work? Plan, plan, plan! There are some tried and true methods on the road to starting your own business. And there's no time better than now to get started!

Method 1: Accurately position your business goals

1. Have an idea. It could be a product you've always wanted to make, or a service you feel people need. This might even be something people don’t realize they need yet. Because it hasn’t been invented yet! Having passionate and creative people join you for casual brainstorming time can be useful -- and have. Start with a simple question like "What do we want to create?" The idea is not to create a business plan, just to spark some ideas. Many ideas will be discarded, and there will be some ordinary ones, but there will also be some that have real potential.

2. Determine your goals. You want to achieve financial independence. Finally selling your business to the highest bidder? Or do you want to own a small but sustainable business, something you love to do and make a steady income from? It’s best to think these things through from the beginning.

3. Create a business plan. A business plan can help you determine what you need to start your business, whether it is large or small. This will summarize the philosophy of your business in a single document. It also provides investors, banks, and other interested parties with a map to use when deciding how to help you, and helps them decide whether your business is viable. There are books available covering every aspect of how to write a business plan, and you should allow yourself to read at least one of them as a guide (you can find these in bookstores, libraries, or online). In short, your business plan should include the following: Executive summary. Describe the overall business concept, how it will be profitable, how much capital you will need, what stage it is in, including its legal status, who is involved, a brief history, and anything else that makes your business look like it will be successful.

Business description. Be more specific about your business and how it fits into the overall market. Who will you sell to, and how will you ship your product? If you are a body corporate, limited liability company, or sole proprietorship, explain, and to the gods and devils, the method you choose. Describe your product, its best features, and why people would want it.

Marketing strategy.

If you want to be successful, you have to understand your market, so spend a lot of time analyzing who will want your product and how you plan to entice them to take their money out of the bank and give it to you. How big is your market, is it possible to expand the initial market, and what is your sales potential? Once you understand these issues, you will want to impress the person reading your business plan with these,

Competitive analysis. As you go through the above steps, you will understand who your main competitors are. Find out who is doing something similar to what you are planning and how they are succeeding. It's equally important to find examples of failures and what made them fail.

Development plan. How will you create your product? Is it a service that you will provide, or something more complex - software, a physical object like a toy or a toaster - whatever it is, how will it be created? Define the process, from purchasing raw materials to assembly to completion, packaging, warehousing, and transportation. Do you need anyone else? Will there be a union? All these things must be taken into account.

Operations. Who will lead and who will execute? Determine the structure of your organization, from receptionist all the way to the CEO, and what role each person plays functionally and financially. Understanding your organizational structure can help you better plan for operating costs and determine how much capital you will need to run it effectively. Remember that your business will continue to grow and you will have a rough idea of ??who is needed to make the business run. ;As your business grows, you may need to make changes to your hiring plans to adapt. Likewise, in many cases, "employees" are you and the people you can consult, such as your attorney and accountant. This is okay, as long as you show that you're willing to pay for outside advice and help and know that your business is ready to hire employees. a

Finance. Simply put, this states how much you plan to spend versus how much you earn. Because this is the most dynamic part of your plan, and perhaps the most important for long-term stability, you should update it monthly in the first year, quarterly in the second year, and annually thereafter.

Method 2: Name your business and build a team

1. Create a working name. You can do this before you even have an idea for the business. And if the name is good, you may find that it helps you nail down the idea. As your plan takes shape, you may come up with the perfect name, but don't let this hinder your progress early on - create one A name that you can use when planning and don't have to worry about changing it later. Borrowing from the Beatles, they often used interesting names before a song was completed. For example, yesterday's song had a working name of "Cooked Eggs."

2. Go to hell with your team. Will you do this alone, or will you have one or two trusted friends join you. This creates a lot of synergy as people react to each other's ideas. Two people together are often more powerful than two people alone. Consider some of the most successful recent examples, including John Lennon and Paul McCartney, Bill Gates and Paul Allen; Steve Jobs and Steve Wozniak; and Larry Page and Sergey Brin. In each case, this collaboration maximized both sides of the equation, and everyone became a billionaire. Is cooperation a guarantee of becoming a billionaire? No, but you might as well try!

3. Choose wisely. Be careful when choosing the people you want to start a business with. Even if someone is your best friend, that doesn't mean you're a good business partner. Things to consider when choosing your partners and assistants include: Will this person complement your shortcomings? Or can both of you only offer the same skills? If it's the latter, beware that you may have many cooks doing the same thing and no one doing anything else.

Do you agree on the big picture? Disputes over details are inevitable and important to making the right decision. But if you don't agree on the big picture, you may have irreparable differences in your career goals. Make sure your team cares about and buys into the goal as much as you do.

If you are going to interview others, learn a little about how to spot real talent beyond academic qualifications, certificates, etc. People's innate talents often differ from the education they received (or didn't receive), and it's important to look for a "fit" (you get along well with them) and talents that go beyond paper credentials.

Method 3: Organize legal and financial matters

1. Find a lawyer. Choose someone who "clicks" with you and shows that he or she understands your business. From employees to overworked, low-paid small bosses have many hurdles to jump through. Some of the hurdles include piles of relevant regulatory paperwork, from building clauses to city ordinances, county permits, state regulations, taxes, fees, contracts, shares, partnerships and more. Having someone you can call when you need it can not only give you peace of mind, but also provide much-needed resources that can help you plan for success.

2. Establish an economic entity. Decide what type of company you want to set up - a body corporate, a limited liability company, a sole trader, a cooperative, etc. This is important for tax purposes and to attract investors. This decision can be complex, so read widely about the advantages and disadvantages of each entity and consider new forms of social enterprise, which can make some adjustments. If you are a social entrepreneur, then a more social business structure may be suitable for your business.

3. Consider the financial situation. How do you raise initial startup capital? Banks, venture capital, angel investors, the Small Business Administration, your own savings; these are all possible options. Remember the four F’s in investing: founders (people who share your philosophy), family, friends, and fools. When you start a business, be realistic. You probably won't hit 100 on every project, so you'll need to keep enough money aside until you're ready and up and running. One path to failure is insufficient capital.

You may think you need $50,000 to start your business, and that's okay. You get $50,000, but your desks and printers and raw materials, and then the second month starts and you're still producing, the rent is due, your employees need to be paid, and all the expenses come together. When this happens, your only option is to give up. If possible, try to set aside enough funds to meet your financial needs if there is no income within 1 year.

Plan to keep purchases of office equipment and miscellaneous expenses to a minimum when you first start out. You don’t need the best place to operate, the latest office chairs and expensive art on the walls. Ideas about the best location A broom closet would suffice if you could tactfully bring your clients to the local coffee house to discuss business every time (meet them in the foyer). Many small start-up companies fail because they buy expensive gadgets instead of focusing on the business itself.

4. Plan your path to financial success. At what price do you want to sell your product or service? How much will it cost you to produce? Roughly calculate the fixed costs that affect net profit, such as rent, energy, employees, etc.

5. Check out your competitors. Know how much similar products they sell for. Can you add something (added value) to make your product different and thus make the price more attractive? For example, maybe your company wants to offer a free extra year of warranty, or free repairs, or an extra original gadget. Competition is not limited to the products and services themselves. It's also about your social and environmental credentials. Consumers are increasingly concerned that your company's concern for labor conditions does not harm the environment. Qualifications obtained from authoritative organizations, such as labels and stars, can convince consumers that your product or service is more in line with their values ??than one without these certifications.

6. Pay close attention to your operating costs and keep them consistent with your budget. Whether you are a company with annual sales of $100 or $100,000,000, you need to know where your money is going. It could be that you're using more electricity than you budgeted for: mind your business and turn off some lights.

Whenever you see waste - such as electricity, telephones, stationery, packaging - look around and estimate how much is actually needed, and do whatever you can to cut costs. Be frugal when you first start out, rent items instead of buying them, and use upfront terms for needed services instead of signing long-term contracts.

7. Set up a merchant account. A merchant account is a contract under which the bank is required to extend the credit line to the merchant, and the merchant hopes to accept bank card payments from a certain bank card association. Without such a contract, you cannot accept payments from any major credit card.

8. Set up a website. If you sell stuff online, to get your e-commerce up and running, either build a website or have someone build it for you. This is your showcase, so do whatever you can to make people want to visit, and want to stay. If you need a professional, custom-built website at an affordable price, see /get-quality-web-design-for-your-business/Hire a professional designer. They may cost more initially, but a professionally presented, trustworthy website is a necessity. It needs to look professional and be easy to use. If your website also has the ability to transfer money, purchase a secure encryption feature and see if your money transfer company is reliable and trustworthy.

9. Ensure space. Whether it's an office or a factory, if you need more space than your garage or a spare bedroom, now's the time to find it. If you don't need a studio outside of your home, but may occasionally need a conference room, there are usually places in the city that better suit your needs. A quick Google search for "business meeting rentals [your city/state]" will bring up many rental options in your area.

Method 4: Start your business

1. Build your products or develop nanny services. Once you have a planned business, funding, and a basic staff, launch it. Whether it’s engineers sitting down to talk and program software for testing, or purchasing and transporting raw materials to your factory (or garage), or purchasing bulk items and pricing them, this establishment process is the process by which you prepare for the market. During this time, you may discover something like this: You need to change your mind. Maybe the product needs to be a different color, texture or size. Maybe your services need to be broadened, narrowed or more specific. This is a time to pay attention to any issues encountered during the testing and development phases. You'll know when something needs to change to make it better or more differentiated from the competition's same-old product.

Get feedback. Friends and family are great resources for asking questions and getting feedback - don't hesitate to ask them to be your echoes.

Need to increase the scale of your operation. This happens more easily than expected. Once the inventory starts to accumulate, you may find them placed in your living room, bedroom and garden. Consider renting storage space if necessary.

2. Discover your internal public relations. You may really believe in your product or service, but unless others believe in it too, the business won't take off. If you're new to advertising or marketing, or you don't like the rhetoric of sales, now's the time to get over those feelings and play PR. You need to convince people they need your product or service with a great short tagline that reflects its value, purpose and potential your business can offer. Write this slogan in different ways until you find one that really satisfies and expresses it well enough that you can roll it off your tongue. Then practice like crazy! Create some interesting, eye-catching business cards.

Take the time to create a great social media presence. This can be done before the business launches, increasing everyone’s anticipation. Use Facebook, Google and Twitter, and any other social media you participate in to build excitement and spread the word. You want to create some buzz so people start following you. (Be sure to use the business account registered for your business, separate from your personal account. The message you deliver should be tailored to the account you are uploading from.

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3. Implement your marketing and distribution plan. As your product takes shape, or your service is refined, and you anticipate anything that's ready to sell, start marketing it. If you are advertising in a journal, they will need copies or images at least two months before publication.

If you are selling something in a store, sell pre-orders first and allocate shelves. If you're going to sell online, set up your e-commerce website to be ready to sell.

If you provide services, advertise in appropriate trade or professional journals, newspapers and online.

Set up a website where you can place orders directly for your products. Although you don’t need to know how to make a website yourself, it is highly recommended that you learn some basic knowledge to let you know what to pay attention to when asking someone to help you make a website, so that you will know what to do if something goes wrong at two in the morning. How to solve. There are small courses on web development online, many of which are free.

Start contacting people in the industry and let your future customers hear that something they have always wanted is for sale.

4. Launch your product or service. When the product is finished, packaged, numbered and online, ready to be sold, or when your service is completely ready to launch, run a special event to launch your business. Send out flyers and announce to the world. Promote it on Twitter, Facebook, and let everyone in the market hear - you have launched a new company! Throw a party and invite people who can help spread the word. This doesn't have to cost a lot of money - buy some food and drinks from discount stores and ask family and friends to serve you (you can provide them with products or services in return).

Tip Don’t be afraid to experiment with different prices.

Try to keep adding more and more good ideas!

Always provide value and service to those who might become your customers, even if they are not now. When they do need your product, you want them to think of you first.

Most drop-shipping companies require less capital to start than a traditional real-life store. You can also make money faster than a traditional company.

Keep learning and be open to change. Find peers, mentors, local business-related organizations, online forums, and wikis to discuss the day-to-day ins and outs of running a small business. Everyone can make their core business perform better when they don’t have to waste time and energy on “rebooting” on household expenses.

Taking advantage of the Internet, an online business is probably the easiest way to start and requires less start-up capital than an offline business.

You may also consider trading on eBay or Overstock.

Franchise business is a good idea, although the start-up capital is too high for most people.

Warning Beware of people who ask you for money before doing business. Trade creates wealth through cooperation between two parties, so a business should be willing to pay you for your work. (A franchise store or home sales business may have statutory start-up costs, but they should reflect reasonable costs to get your business off the ground so that the manager makes money off of your success rather than just pulling you over. Come in. )

Be on the lookout for business proposals that appear to be “no cost gain.” They may include getting something from someone - usually you. There are so many variables, some more polished than others. Examples include pyramid schemes and advance-fee fraud.