I’ve written this not to scare or deter you from chasing your dreams but rather in an attempt to make this leap as successful as possible by sharing what I’ve learned over the years and having gone through it personally.
1. Begin by considering what it is in life that you’ve always wanted to do.
Now if your forty years old and always wanted to be an astronaut that’s not what I’m talking about. I’m asking you to consider what you truly enjoy doing such as helping people or providing a unique service, physically building something just what you believe would make you happy and that you are passionate about. Don’t think about the money yet brainstorming ideas about starting a business begins with passion first we will be determining the commerciality of your choice later.
Preliminary Checklist of Your Readiness to Start a Business
I am willing to accept the risks and initial instability that comes with starting a business
I am able to rely on myself 100% I can make decisions that make or break my new business.
I work effectively on my own motivating myself without supervision. I do not rely on others.
I am goal oriented and will work at completing my goals everyday without exception.
I can visualise opportunities and have the confidence to go after them.
I can handle the stress and pressures that are inherently apart of starting a new business. Even when things do not go as planned I believe I can overcome any problem.
I posses the drive, determination and willingness to work long hours to make my business a success.
2. Determine The Business Ownership That’s Right For You
The Three Main Ownership Options when Starting a Business are:
Buy a Business that already exists.
Traditionally buying a business will be more expensive but does have its advantages. Start up can be the most gruelling part and establishing a customer base is no easy task. This may interest those who want to hit the ground running and have the budget to do so. Do your due diligence with any business you consider buying. Why does the current owner want to sell? What is the market conditions like for the business? Will there be new competition just around the corner that the current owner failed to disclose. Make it you priority to research everything before jumping in.
Purchasing a franchise is a great way to lower the risk of business ownership but it has its pros & cons. A franchise is established providing a track record and the ability to review other stores profitability. You are buying a brand that already has customer awareness so there are fees for this. Start up fees and ongoing royalties are part of the deal when it comes to owning a franchise.
Start Your Own Business
This is for the true entrepreneur. Where you are the boss and your vision comes into reality. You will decide what’s right for the business how fast to grow it and what direction it will take. This is not always the cheapest option as is sometimes suggested. Sure there are thousands of cases where someone started with $500 and turned it into a thriving business but this is all dependent on the type business you decide to start what skills and resources you already have etc.
3. Zero in on the Business you want to start
Consider these three different options
Start a business in a high growth market or new up and coming trend,
This business plan takes a bit more guts but in many cases that’s where you get the glory. If you consider yourself good at spotting new trends this can be your ace in business. Setting up shop in front of an up and coming trend will help to position you as a leader and an authority within the space. This allows you to grow at an explosive rate if things really catch on. Choose it wrong though and you go down with the ship so do your research there may be a reason why other businesses are not in the space. Some say to focus on where the completion is already the reasoning behind it being that if others are making money there chances are you can to. Just be cautious and as always do you research thoroughly.