4 Key Questions You Must Ask Yourself Before Starting Your Own Business
4 Key Questions You Must Ask Yourself before Starting Your Own Business -Millions of individuals reply “Yes” to these questions and many of them invest cash, time, energy and trust but end up with heartbreak every year. The Small Business Administration estimates that every year 580,900 fresh small business are opening up and that amount does not include the small one-person entrepreneurship that is popping up every day. Even though you are the sole employee of your business, there is still something to learn from the figures of the SBA.
Two-thirds of fresh companies survive at least two years, and 44% survive at least four years, according to the SBA. Two main factors in the company’s survival and capacity to flourish: the level of education of the owner and the reason for the owner to start the company in the first place.
How can you make sure that in this high-stakes match you’re among the winners rather than the losers? The answer is within you. To determine whether your own small business will survive and flourish, you have to ask yourself these four main questions.
4 Key Questions You Must Ask Yourself before Starting Your Own Business
- Are You Ready?
You’ve prepared yourself mentally to move from a worker (or student or whatever label you’re presently fitting) to a boss. You will be the one who now makes decisions about everything from office products to the product line. This complete control is one of the driving forces behind many individuals who take the plunge to start their own business, but it is also one of the components that drive new entrepreneurs insane. When you begin, there’s an infinite list of decisions that need to be taken and every day there are fresh issues that arise.
More importantly, you’ll need to remember that you’re going to wear a lot of hats in a small business. Even if you are able to begin with one or more staff, each of you will play more than one part of your new company. And if you’re running a one-man or one-woman show, you’re serving from file clerk to maintenance crew to vendor to CEO in every ability. Can you manage the transition from task to task and role to role with such a position? Are you willing to make those switches?
Likewise, in attitude, you have to prepare your family and friends for this change. Your life will change — probably quite drastically— and that alter can affect your family life and social relationships positively or negatively. It will make things much simpler if the process was supported by your friends and family.
2. Where is your niche located?
Did you still identify your niche? One of the factors that many companies fail to concentrate on is a target audience. Yes, if you’re a major discount chain, you can sell everything from peanuts to wallpaper, but this type of business requires vast resources that the small business can’t afford. But by finding a distinct strategy — a niche— small businesses dominate the marketplace (generating more than 50 percent of last year’s private gross national product).
Knowing your niche implies that you are better prepared to locate, target and retain your clients and provide that client base with the finest possible products and services. This focus is one of your greatest opportunities not only to survive but also to flourish in a competitive marketplace.
3. What’s your action plan?
Another main factor in your business ‘ survival and ultimate achievement is how much you plan before you open your physical or electronic doors. You need to decide whether your company is internet-based or whether more traditional models are included. Will you be working in your new business full-time or part-time? Will you recruit assistance or go alone? Have you written your company plan (or at least described it)? When situations are hectic and issues strike, dreaming, thinking and planning can save you a lot of trouble and waste later. Planning can also assist you to stay focused and balance your time and expenditure.
4. Who are you calling?
At some stage, you will need assistance no matter how experienced you are as a business person. You’re going to need assistance, guidance, instruments, or information — or all the above. One of the scariest and lovely elements of development is that it can lead you to locations you never imagined. Regardless of how much planning and experience you bring the unexpected will occur to your new role as CEO. How are you going to handle this? Recognizing that no company is an island is essential. Looking for assistance is not a failure. Failure is when you shut down your company because you failed to ask for the assistance you needed.
Working on your support scheme, while you are working on constructing your company is the best way to get prompt assistance. Thus, you will already have a ready list of accessible resources that you can rapidly access when an emergency strikes. There are many wonderful resources accessible to you in today’s globe regardless of what your business model might be. These include:
- Education and training (tutorials, classes, and seminars) such as ones here at the Lead Entrepreneur Academy can be the only instruments you might need to kick-start your company empire.
- Publications (newsletters, magazines, books)
- People (professional advisers, mentors, educators, consultants)
- Networks (organizations and forums in your niche as well as general buying).
After answering these four main questions, be prepared to ask yourself that one bigger question again — when do I start my own business? If you respond properly to these four issues, the last response should be… I start my own business today!
Congratulations, in your magnificent business adventure I wish you all the best.
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