A successful new business starts with asking the right questions…
Starting a business takes careful planning. It requires emotional and financial preparation and a conscious commitment to invest the necessary time to make sure the endeavor is successful. The stakes can also be high; Only about half of new businesses survive five years or more, and one-third survive 10 years or more, according to the U.S. Small Business Administration. Despite the many challenges of starting a business, owners say the rewards can be incredible.
• Challenges: One key consideration of becoming a business owner is to make sure you have a solid business plan. Do research to learn about your customers, your competitors and your industry, and meet with professional financial consultants to make sure you have all the right tools in place.
• Funding: Starting or buying a business requires a large initial investment, so it’s important to ensure that your current and future finances are in order. Explore all your financing options and make sure to have bank loans, factoring facilities personal savings and funds from outside investors in place before you open your doors.
• Rewards: Very often small-business owners underestimate the amount of time and energy it takes to launch a business. Think about why you want to start a business and what you want for the future.
Most small businesses do not turn a profit immediately, so make sure you have enough cash reserves on hand to pay your expenses. On average small businesses begin to see profits in 18-24 months.
Building a small business comes with many unique and distinct challenges and while its hard work the opportunities and rewards can be amazing. A successful business starts with proper planning and asking the right questions.