Sunday, 16 March 2014

Step by Step Guide on How to Start a Small Business of Your own

Running a business requires passion, dedication and hard work, but for those who are driven to succeed, the rewards can be unlimited. With a wealth of information on the Internet and the bounty of new technology available to entrepreneurs, there has never been a better--or easier--time to start a small business.

Step 1
Research your business: You may be passionate about your new endeavor, but it won't be profitable if you don't have clients or customers. It is important to not only know who your customers and competitors are, but also where you will need to concentrate your efforts to get the most bang for your start-up buck. In other words, where are your potential customers, what do they like, how do they want to be approached etc.

Step 2
Find a mentor: Connecting with experienced business people is essential to avoid the stumbling blocks that can become business-killing barriers later on. Professional organizations, workshops or classes at your local university or community college are a good place to begin.

Step 3 
Decide on a structure: The type of business, its size and the participants will determine what structure is right for you. Deciding whether to incorporate, go it alone as a sole proprietorship or take on partners all will have profound legal and tax implications later. Talk to your accountant or an lawyer, preferably your friend who will not charge you to find out the ins and outs of partnerships, limited liability corporations and subchapter S-corporations.

Step 4 
Choose a business name: A name tells potential customers who you are and what your business does, and it's one of the most important decisions you can make. Most country have a government body who handles business registrations. Find out which body is in-charge in your country and consult them from for the procedure to registering a business name or business incorporation depending on the type of business you have in plan to set up. In Nigeria, for example, the body in-charge is the Corporate Affairs Commission as known as CAC. Click here to visit their website.

Step 5 
Write a business plan: You will need a business plan to acquire financing from either a bank or venture capitalist. Even if you plan to fund your business with a credit card or by borrowing money from your family, you should write a business plan. It will help you become organized, spot potential problems and help focus on your goals.

Step 6 
Investigate other legal requirements for your specific business: Business licensing requirements will often vary by city, county and municipality, as well. Contact your city recorder for more information.

If you find this post helpful, kindly hit the share button and I also would like you to share some other point you think should be on this list. Thank you

Olayokun Olayinka B. 


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