How To Get Your Business Up and Running in 5 Steps

Opening your own business is a dream for many people because it means being your own boss, taking your ideas public and building a nest egg. To get from the desire to the actual company can seem like an overwhelming task, but if you focus on these five steps, you can get there more quickly and easily.

Inspiration and a Plan

Like any good adventure, opening your own business starts with inspiration and a plan. You are not going to get very far with just one or the other. You can be inspired to make and sell specialty items, consult for other companies or even to head out for door to door sales. You may even have a list of ideas ready to go and find inspiration through availability of funds or locations.

Once that inspiration hits, sit down and write a business plan. This means researching the market and trends, knowing which certifications and permissions you need and including a budget proposal for the first year. Be prepared to adapt and change your plan to fit things you learn later as well as include contingencies. For example, if your plan is to run your company out of your home, be prepared with an alternative location and budget in case you need more room.

Finances and Value

Setting an initial and an ongoing budget for your company is important. This will give you an idea of how much financing you will need to get up and running as well as how much profit will keep you going. You can look at comparable businesses in your area, network with peers for information and find worksheets online to help with this.

You will need to have your company valued in order to attract investors and apply for financing. You can do this by hiring an expert, by looking at comparables or by talking to investors. It is important to remember that the value you attach to your business will not necessarily be the same as what investors see, because they will be looking at different criteria.

Location and Customers

When determining a location for your company, it is important to keep your potential customers in mind. If you are opening a brick-and-mortar location, then it will need to be affordable and easy to find as well as have the space you need for inventory, employees and customers to move around in. Online or door-to-door only companies will need less space and can be more hidden, but you will still need room for inventory and workspace.

Legalities and Insurance

Legitimizing your company as a business entity is important for many legal and insurance reasons. This can help reduce the liability you face, make partnerships more formal and ease the task of filing taxes. By checking out local, state and federal regulations applicable to your company, you can also avoid legal repercussions such as practicing business without a license or violating zoning laws. It is a good idea to take your paperwork and ideas to an attorney to help with this step as well as to an insurance agent.

Employees and Training

Though you can start a business and get it running by yourself, there will soon come a time when you will need to hire and train employees. This can help you keep up with sales, better manage paperwork and inventory, and even extend your operating hours. Researching the market averages and requirements can help you see what kinds of salaries to offer, what kinds of talent you need and even what information should be included in the training guide.

Getting a business up and running is hard work and it can be confusing on where to start or what steps to take. There are five basic steps that you will need to do to survive the startup and first few years such as having a solid plan, knowing the value of your company and securing a location. You can work with industry peers and experts to get everything legitimized and working.