what are the things to consider in opening a business?
Answers
Answer:
business is the responsibility so take hard work with your company and make trust
Answer:
Almost every individual dreams about starting his own business. Yet only 4% of the newly started businesses manage to reach the 10 year mark.
In fact over 50% of the small businesses don’t even make it to the fifth year. Most people have no idea about the various things to consider when starting a new business.
It is just a desire to be on top of things that motivates many to start businesses. They have no idea about the money that is required, the hard work that they have to put in, the knowledge and the experience that they have to gain, and the kind of patience they need to have, until their business reaches up to a certain level for them to break even or make profits.
‘Well begun is half done’
is what they say. So if you want to start your business, you have to get all the things needed to start a business.
Here is a checklist that will give you a list of factors to consider before starting a business:
A Business Idea
Knowledge or Expertise
Market or Demand
Start-up Costs
Capital and Finance
Competition
Location
Staff
Technology
A Business Idea
Every business starts with an idea – a super duper idea that actually works. If you want your business to stand out, you will need to offer something that no one else has offered till date
business ideas
Source: bizztor.com
That said not everyone can come up with a unique business idea. There might be hundreds of businesses just like the one you are going to start. Yet you can make it better by answering the following questions:
What do I need to do to make this better?
What is it that I can do better than what the other guys are doing?
Will I be able to grab some market share in this category?
You may have a great business idea; but unless it solves someone’s problem it is not going to work. So start by listening to frustrations – both of yours as well as others (your family members, your neighbors, your friends, and your associates). Once you have understood these, here is what you can do:
See what best you can do to address these frustrations.
Identify the skills in you that will help you offer the right solution.
Find out if you are actually passionate about offering that solution.
And Voila! You have your business idea.
Knowledge or Expertise
Once you know what business you want to start, you will have to start gaining the required knowledge and expertise to start that business.
This might take a lot of research and planning; but at the end all these efforts will ensure that you have everything in place to get your business idea off the ground.
knowledge is power
Source: tenor.com
Having a business plan can be highly advantageous at this stage. It will tell you whether your business has a place in the market and if the idea is worth or profitable enough to go ahead with.
If you have the knowledge you can construct one, all by yourself. If not, you can always hire a professional business consultant to do it for you.
Meanwhile you will have to continue with your research to keep your knowledge up-to-date.
Recommended: Never Compare Your Beginning To Someone Else’s Middle
Market or Demand
Once you are sure of starting your business, your next step would be to explore the market or the demand for your product or service.
Start by answering the question, who are your customers. If you are selling your product or service locally, you may have to assess the demand for it. In case you are taking up on an international level, you may have to understand the rules and regulations of dealing internationally.
A market survey should reveal all the details that you may need about the market for your product or service. Basically you are looking for:
The current size of the market (the approximate number of potential buyers)
Its growth potential (whether it is likely to grow in size or contract)
The market share that you can expect to take
The buying habits of the target audience (and how to exploit them)
The different segments of the market
The kind of margins that you can expect from the market
Thankfully social media has made it possible to reach out to target audience, anywhere in the world, without having to put in too much of efforts.
Start-up Costs
Estimating your start-up costs is one of the very important things to consider when starting a new business. You will have to assess the total cost that is required to set up and run your business successfully.
business costs
Source: morebusiness.com
If you are thinking of starting a manufacturing plant, your start-up costs could be very high. You may have to think about the cost of the land or building, setting up the plant, buying the equipment and machinery, investing in furniture and office equipment, and various other things.
In case of a retail business, you may still need to think of the cost of the store as well as the furniture required to decorate it. An office can be started with relatively lower cost since all you may have to invest would be in furniture and office equipment.