Topic: What we have to prepare first if we want to start a new business? (Read 191 times)

1. Do your research.
You want to make sure you understand the industry you'll be involved in so you can dominate. No matter how unique you might think your business idea is, you should be aware of competitors, said Ian Wright, founder of British Business Energy.

"Just because you have a brilliant idea does not mean other people haven't also had the same idea," said Wright. "If you can't offer something better and/or cheaper than your competitors, you might want to rethink starting a business in that area."

You should also consider your target demographic, which will be the driving force in each decision you make. You can't earn a profit without your consumers, so make them your priority.

"It is crucial to make sure you are delivering what your customer wants, not what you want," said Sonia F. Lakhany, attorney at Lakhany Law. "This will give you insight into your customer's buying decision and save you lots of experimenting down the road."

2. Take care of the legal aspects.
One of the first steps you should take in starting your business is choosing its legal structure, said business attorney Mason Cole of Cole Sadkin LLC. According to Cole, the most common structure is a limited liability company (LLC) because of its flexibility and the protection it provides owners from personal liability.

"It will dictate the taxes, paperwork, liability of the owner(s) [and] other legal aspects, as well as whether or not the company can have employees," he said.

Additionally, you should acquire proper registration from the government to open your business.

"This means the entrepreneur will need to create the articles of incorporation, obtain an employer identification number and apply for necessary licenses, which will vary by state and industry," Cole added.

3. Map your finances.
Starting a business requires money that you likely won't have right away, which is why it's encouraged to seek capital.

"Most entrepreneurs start a business with a very limited amount of capital, which is a large hurdle to many," said Cole. "However, there are plenty of options available to a budding business owner. The first and most common place to seek capital is with friends and family. If that is not enough, expand the search to angel investors and venture capitalists. Should these options not provide the amount needed, then apply for business loans through banks and small business associations."

You don't want to start your business with poor credit. Make sure your score is as high as possible, considering it won't be once you open your company.

"You will probably get into a lot of debt starting out," said Marc Prosser, small business expert and co-founder of Fit Small Business. "So, you'll have to be able to finance [your personal life] through your own savings. If your credit score isn't so great, you'll [only] be able to borrow less money at higher interest rates. If you want to start a business, increase your credit score so you have a [greater] ability to borrow as much as you need."

Travis Sickle, certified financial planner of Sickle Hunter Financial Advisors, advised entrepreneurs to be organized with taxes and fees. There are multiple payments you'll need to make, and you don't want to file late for any.

"You have to figure out how much your payroll is going to be in order to make your tax payments timely," said Sickle. "The timing can vary depending on your payroll. You also have to figure out other business taxes, such as city, county and state."

4. Hire help.
Starting a business should not be an independent journey, no matter how tempting. Hiring help along your journey will set you up for success. Ben Walker, founder and CEO of Transcription Outsourcing, said that the No. 1 piece of advice he'd give business owners is to have a coach or mentor.

Another smart hire is an accountant. It's nearly impossible for one person to handle every aspect of a company, and above all, your finances should not be put at risk.

"I had a full-time job as I considered starting my own business in 2009, but I did a lot of groundwork before I started, and bringing on an accountant was an important step," said Sarah Burningham, president and founder of Little Bird Publicity. "It helped me understand what I needed to do to make this work from a profit standpoint, [as well as] the ins and outs of state, federal and local taxes."

It's important to have assistance on the legal side of the business especially, ensuring you are protected and going about the process the right way.

"We often make the assumption that legal counsel is for when we get ourselves into trouble, but preventative and proactive legal preparation can be the very best way to set your business on the path to long-term success," said Katy Blevins, co-founder and CEO of Modern Femme. "When you call on legal counsel after you've run into a problem, it's often too late or could critically impact your business in both the short and long term. Investing in their insight at the start of your business can pay a huge return later on by keeping you out of trouble before you even get into it."

Yes, the most important thing is the target audience or target market, because if there is no target, our business will be vulnerable to bankruptcy.

in my mind first of all we must have business skills and enough money.....

In my opinion the things that need to be prepared before starting a new business are: first, determine the type of business to be run, second, enough capital, third, prepare innovation in order to compete with other entrepreneurs, and the last one preparing  to work hard.

Suggestion,
before starting a new business, you have to find a buyer first .. if the buyer is already there, your business will be easy to grow..

We don't have to prepare anything

Money and experience, even failure.

We must prepare some social skills

we need some business skills.

Yeah right, before we open a business, then we must know the target first, whether there is or not, crowded or not. Do not get when we've tried hard to build the business, but ultimately the business does not run smoothly because of the absence of customers, who eventually will experience bankruptcy early.

You must prepare if your business will came into failure or bankrupt. Because in terms of business their are high and low. But you need to know about the business you entered. You need guts to have a business because you are so many competence in business industry.

If you want to start a new business just use the SWOT analysis which stands to Strength, Weaknesses, Opportunities, and Threat. After observing all of this then you must use it to start a business. With the weakness you have notice you must do an action in handling this. I hope this will help you to start your new business.

Be prepared with the needed capital plus extra in-case of worse case scenarios, feasibility study, and know the competition.

To start a new business is always very difficult. So most importantly what you need to be ready is the loss of their investments. It is impossible to foresee all the possible options so any business starts with a loss. But it is better to lose and start a new life than live to regret the missed chance.

Yes i agree on that we really need to prepare our self either we loose or we become successful on the business we need to prepare on that in order for us to handle a verry crutial situation about controlling our self emotion .becaus ein business we  really need to consider the fact that it was just like  gambling and  we really didnt even know the result unless we dont try it.However  if we failed i think we should chargecit to experience to become more prudent in our decision if we face the different situation someday.

I think we  need to prepare our self if we wanted to starta business because we cannot really assure that the business will be a sucessful business it is really depend on how we  work hard for it,another thing is the big capital because if we really didnt even have a big capital we cannot really also gain a big amount.

Be sure your overall life is stable enough to support the cost and the work load of an independent job

I think firstly we must ask ourselve that ưhy do we want to start a business? Is it money? or freedom or  flexibility or the way to solve a problem, or some other reason?

In my opinion, I think prior to starting a new business, we must think about our budget and target audience first. How's about you?