Starting a new business is an exhilarating experience. It’s like going out on a first date. Your toes get all tingly, you try to dream of every mishap that could happen and you try your hardest to make it work. And like dating, it’s possible that it could have disastrous results.
In fact, according to the SBA, “two-thirds of new employer establishments survive at least two years, and 44 percent survive at least four years.” For a newbie in the business industry, it might cause you to rethink and falter but in reality, awareness and a definite action plan may just be the key for your venture to succeed.
- The first step is to assess yourself on whether you are ready to commit to the business. This should not be a lark or entered into on a whim. You might find yourself ushered into your business by friends or family but for it to flourish, you would have to give your heart, soul and time into developing, not just operating it. Take stock of your readiness to plunge head first into this pool of opportunity by evaluating your skills, characteristics and experience honestly. It is also important that whatever your reasons for starting a business are, you must do so with passion and determination.
- Never overlook or downplay the importance of planning. Being a small business owner is unlike a trip to Vegas or a summer fling. Planning would help you overcome hurdles that may come your way. If you find yourself in a sticky situation, action plans you have planned for would come in handy.
- Make a typical customer profile by researching about your target market and understand what the reason is behind a downfall/change in their preferences as it pertains to your business. Simply put, if you don’t know your clients well enough, you would just be surprised one morning and nobody even bought your products or there’s a sudden decline in its demand. Where does that leave you?
- Allocate sufficient funds to your venture. Whether you are going to bootstrap your business, use VCs or any other sort of funding, it is important that you would have the foresight to expect realistic revenue. This means, you would have to have enough money to cover your business expenses until your income would be able to pay for it.
- You should carefully choose the location of your business. It has to be in a prime location. Always remember that you are not playing hide-and-seek. Your place of business should be in a site that’s easily accessible to your target market. If you are maintaining a website, optimize it. Be visible and be heard.
- There are a lot of small business resources which could help you with your business. Try visiting their sites or you could even walk up to your nearest Small Business Development Centers for advice and educational services.
There are a lot of tools and opportunities available for the aspiring business owner. Success is a definite possibility and you do not necessarily have to be part of the small business failure statistics. In the end, it’s all up to you and what you can do to succeed.