How to start a business from scratch?
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More and more people have recently takenthe decision to stop working for someone and start a business of its own, the income of which you will not have to share with anyone. Simply put, many want to simply be the master of their business and not depend on the whims of the employer. For some, such a decision leads to good results, but the majority still have to dream about their business, because it believes that it involves many obstacles in the form of huge investments, responsibilities and other problems. Actually, starting your own business is not so difficult as it seems. Therefore, in this article we will tell you how to start a business from scratch and succeed.
Choice of direction
Before starting your business, it should beFirst of all, determine its direction. And his choice directly depends on what you not only want, but also to some extent know how to do. In our time it is difficult to name things that are difficult to obtain, or services that no one can offer. Therefore, planning your own business, you must rely on at least a few of the following factors:
- quality or good service;
- affordable price;
- originality or uniqueness;
- maximum benefit;
For example, if you decide to open a clothing store,then you need to carefully study this niche in the market of goods and think over the alternative that you are going to offer your customers in place of competitors. That is, either your clothes will be of good quality, or impress with their originality (for example, all models will be embroidered with beads, etc.), or pleasantly surprise by a good price. In addition, you can simply pick up for your boutique the most successful and crowded place. In short, you need to evaluate the market and choose for yourself that niche in which you will be able to offer the client what your competitors do not have.
After that, you should deal with the targetaudience, to study its preferences, financial capabilities and, based on this, build and promote your business further. If you take the same example with a clothing store, it's better to start with something specific: a store for children's, women's or men's clothes, or mostly sports or evening wear. Then, when your business goes uphill, you can always expand the turnover and range, but to begin with it is more correct to focus on one thing, but to do it as qualitatively as possible. Read more in our article How to open your business.
Once you have decided on the directionyou need to make a business plan. It is advisable that you do this yourself, because a novice businessman is not only his own boss at first, but also the chief accountant, manager and PR man in one person.
When drafting a business plan, trycarefully calculate your expenses and assign to each individual item an amount greater than you represent it. In the process, unforeseen expenditure may appear, which it is better to include in advance into this figure.
Experts recommend to count all thetrifles. So if you are going to open your own office, in expenses you have to write down each pen and button. Similarly, write down the expected earnings, only try to be a pessimist, or at least a realistic one: take into account all the objective reasons for possible failures.
Where to get money
In most cases, if you decide to start your ownbusiness, you need money for this. Well, if you managed to save a decent amount from your salary, but not everyone can boast of such a stash. Some sell for this purpose property, or mortgage it to the bank. But still the most common option in our time are loans specifically designed for beginners.
Of course, you should immediately prepare for the fact thatthe bank will require a lot of different documents (including a business plan) and will check your solvency. In any case, this is how serious banks act in which you can receive money with adequate interest. Little-known organizations will give out loans much faster and more willingly, but you, as a rule, will have to pay them rabid amounts.
Thus, the best option isa loan in a solid and well-established bank. Surely you will also have to provide a surety who can cover your debt and interest in case you can not do it yourself. In some cases, you can work around this item if you have property that guarantees your solvency. By the way, read also our article How to start your business without money.
The inevitable question is howto register your business. Of course, if you want to start with a small business, it is better to register as an individual entrepreneur, at least initially. In this case, you do not need starting capital, as in the case of the Limited Liability Company (LLC). In addition, if you seek to independently manage income from business and make decisions regarding it, it is better to become an individual entrepreneur.
It does not take much effort. You should write an application, pay the state fee provided for the IP, and provide copies of the necessary documents. In addition, you will have to register in the tax, as well as in social, medical and pension insurance funds.
After all the necessary procedures, you do not have toonly the opening of one's own business, but also its development. Therefore, even if your business began to bring a good income from the very beginning, it would be wiser to invest the bulk of it in the promotion of the case. For the sphere of trade, this could be a new assortment or a larger volume of goods, in the field of services - a new office or repair in the old one, the invitation of professional employees, etc.
In our time, we can not underestimate the importance ofconducting advertising campaigns, which are often the main guarantee of business success. Therefore, you will have to spend a considerable amount of money so that your potential customers learn about your products or services. If you organize your business correctly, such spending will soon pay off, and increased incomes will be the impetus for further development. Success to your business!