12 Essential Steps to Start Your Small Business
By Space Coast Daily // February 18, 2021
Starting a small business can be exciting and dreadful at the same time. It is essentially the start of an inspiring yet extremely challenging phase in your life.
In addition to that, apart from being inspiring and challenging, starting a business can also be quite stressful with all the paperwork. However, the fruits of having a successful venture are truly worth all the overwhelming emotions you will feel like a startup entrepreneur.
To help you with this new beginning, here are several crucial steps you must take to successfully open a small startup business.
Figure Out Your Opportunity for Business
If you are presented with an overwhelming number of opportunities, choosing the right business venture to start can be extremely challenging. Thus, it is important to first determine your passion and the type of personality you have when it comes to business. Additionally, it is also crucial that you have a clear grasp of the experience and skills you have to offer.
Do Market Research
Conducting market research allows you to find an opportunity to create a profitable venture out of your idea and passion. It also allows you to evaluate the potential risks in advance.
Doing market research also allows you to gather valuable information about your prospective customers as well as the businesses in the same industry. Thus, helping has a better grasp on which type of businesses are potentially going to thrive.
Create Your Business Plan
Any start-up business needs to have a clear understanding of the structure of their industry, the current competition, as well as the needed capital to start the operation. You can figure out all of these by creating a concrete business plan.
All startups need a business plan as it serves as their navigator and it provides a solid structure to the management funnel of the entity.
Accumulate Funds for Your Startup
A financial asset is a huge requirement when starting a business. The journey of accumulating funds to fuel business start-ups is unique for each entrepreneur. If you don’t have the funds on hand, you will have to raise it by working on the sidelines or selling some of your possessions, or you can choose to borrow from the bank if you want to acquire the cash immediately.
Find a Suitable Location
Your business establishment’s location is a crucial part of your business’s profitability and marketability. You should already have figured out the best location for your business when you’ve done your market research.
Essentially, you need to pick a location where there’s high foot traffic of your target consumers. For example, if you have a dry-cleaning business, you should pick a location where residential properties are prominent.
Pick a Name
The name of your business can be pretty much anything under the sun. Although picking a business name might seem like such an exciting ordeal, it can be extremely challenging too especially if you want to come up with the best one.
Moreover, you can gain ideas for names by using business name generators online. Furthermore, when you finally come up with a name to use, make sure no one is using it yet.
Hire The Right People
Once you’ve figured out the best location for your business and you’ve come up with an impressive name for it, the next step you’ll need to take is hiring the people who are fit for the specific jobs you offer.
Depending on the job positions you offer, headhunting may take a huge chunk of your time.
Acquire The Necessary Permits and Licenses
Of course, you can’t run your business without having the necessary license and permits. Once you have a business name and you have already picked a location for your establishment, the next big step is to make your venture legal.
Acquiring business licenses and permits helps your business avoid running into legal trouble and it also protects your brand. Moreover, if you are not versed enough with the ins and outs of business registration, you may seek professional help from a certified business formation service.
Acquire Business Insurance
As a startup business owner, the responsibility of managing the risks linked with your business is on you. If you don’t want to put your small business at risk in the event of litigation or disasters, then you must acquire business insurance.
Open a Business Bank Account
A business bank account allows you to securely set aside your funds that are necessary for your business’s operations. Once you have the business license and permits, opening up a business savings account becomes a lot easier.
Have a Comprehensive Accounting System
All businesses must have a bookkeeping and accounting system. As a business owner, having an accounting system allows you to keep tabs on your financials and get a better understanding of how to manage your funds to evade loss.
Promote Your Business
Once your business is all set up and ready for operation, it’s time for the final step which is business promotion. The profitability and success of your business heavily rely on your marketing arsenal. Thus, you have to make an effort to let people know about the products or services you offer. Create a solid marketing strategy to get your name out there.
Although opening up a new business requires a lot of work, the essential steps listed above can help you have a structured guideline on how to go about your startup journey.