A lot of people wants to start a business of their own to be able to address their financial needs and passion in life. Some are coming from being employed for a couple of years while others are coming at it straight out of school. There are some who already has a business up and running who wants to venture to more business opportunities.
Those that are coming from being employed might have a lot of reasons but most of them wants to start a business to be their own boss. They might be fed up with taking orders from someone else and they feel that they are overworked yet underpaid. That is why they would rather use their time in a business venture rather than making someone else rich.
There are also some recent college graduates who are looking to start a business of their own. This might be due to the fact that they want to be able to pay off their student loans at the soonest possible time. WSJ.com reports that the class of 2015 is now the most indebted in terms of student loans having an average of $35,000 per borrower.
Some consumers and business-minded people wants to start a business again after maybe a success or a failure from their previous tries. Statisticbrain.com shares that in 2014, there were more businesses that were closing compared to those that were starting out. About 514,000 businesses were started in that year but sadly, about 548,000 closed which means those that started the year prior caved in after two years.
But there are still al lot of people who are trying out and starting business of their own. This is because the financial freedom they feel is different compared to being employed. There will be stark differences in the amount that a business in the incubation stage gets compared to a salary
Why some people seen to succeed in business
You might have heard about some myths about starting a business and they might be putting you off on your desire to start a business. The best thing to do is to look at how other people are able to do it and see if you can learn something that you can apply in your own business venture.
- They follow their passion. When you want to start a business, you shouldn’t like what you do. You should love what you are getting into to succeed in it. If you just want to start a business because everyone else that you know are doing it, then you are headed down a path that can simply ruin your finances. This is the opposite of what setting up a business are meant for. Before you even start, you have to understand your passion and what it is that you love to do until you get old. This can help you establish the industry and the type of business that you want to get involved in.
- They identify a niche in the market. There are some people who are able to identify a niche in the market and are able to cater to a unique customer base. The unique thing about a niche market is that they really do not exist at the beginning. Businessdictionary.com explains that business owners create this niche market by being able to identify the needs and to some extent, the wants of their target market. Take GoPro for example, cameras has long been in existence but it found a very specific market for sports enthusiasts and extreme athletes.
- They understand that it requires sacrifice. You need to understand that there is a big possibility that you will be working your hardest when you start working on your business. If you have been used to a 40-hour work week then prepare to put in a lot more for your business especially in the infancy stage. As you go along, you can get the hang of things and start getting control of your schedule. It is also possible that as you progress, you get to hire other people and you have less on your plate and more involved with strategy than actually being in the field.
- They are not afraid to fail. One Japanese proverb says that you need to stand up more times than when you fall. Another one is that proverb that comes from Thomas Edison not falling but finding a lot of ways how not to make a lightbulb. The idea is that you should not be afraid to fail because that is a natural and it will happen at one point or another. If you live your life being afraid of failure then you might be holding yourself back from your true potential. Do not be afraid to fall but you need to be smart about it and have a way out or at the very least a cushion especially with your finances.
- They innovate. People who goes into business have a specific set of products or services that they want to offer but as time goes by, they learn to innovate to adjust with the times. One thing constant in the world is change and if you fail to ride the waves so to speak, you might find yourself underwater. You need to constantly find ways to keep your business relevant and competitive.
Things you need at the start
No one is born a businessman or woman. It is something you discern later in life and you go ahead and plunge into it. There is a first time for everything and if do not know how to swim yet and you jump in the pool, you need to have the proper equipments to float. The same with business, here are a few things you might want to have with you a jump into that business idea.
- You need to research. You need to have a clear understanding of the product or service that you are offering as well as understanding what your target market is looking for. In short, you need to have a feasibility study when you want to start a business. This gives you an idea on how the market will react to your business and if your chances of succeeding are high.
- You will need a start-up capital. When it comes to money and business, the long and short of it is that you need it to set up a business. There are business types that would need a big capital investment in the beginning like a dealership or a franchise of a popular brand. But there are those that requires minimum money to start with such as an online store. You need to know your business loan options if you are short on cash.
- Get pieces of advice from mentors. One way to gather important pieces of advice for your business is to talk to people who you look up to or those who knows a lot about the industry you are coming into. Their expertise in the field can get you through especially the tough times.
- Get all your documents in order. Before you venture out and start with a business, you need to have all your papers in order like your Articles of Incorporation or Articles of Formation if it is a Limited Liability Company or LLC. You also need to check your Organisational Minutes and bylaws or Operating Agreement as well as tax documents when starting a business. You need to have all your documents ready and in place before you start opening shop.
It is great idea when you want to start a business of your own but you need to make sure that you are aware of the tools that you need to succeed. Apart from tips and pieces of advice from people you trust, your research will go a long way in preparing you for whatever business venture.