5 Tips to Know Before Starting a Business

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Title: 5 Tips to Know Before Starting a Business

Gabriella Haines

Photo by Tyler Franta on Unsplash

Starting a business is hard work that takes time, dedication, and focus. Longtime business owners know that planning ahead is essential to the success of their business. Growing a business takes a while, and it’s smart to outline a plan for its success. Overall, it’s important to devise a game plan in the beginning to ensure that your business won’t immediately fail. Finally, here are five tips to consider before starting a business.

1. Own Your Company Name

When you create your company name, do a trademark search on the United States Patent and Trademark Office’s website. Obtaining the trademark and Internet domain name of your company’s name is a necessary first step to take. If your business is operating under a trademark already in use, it could spell trouble for you and your business’s success. As for the Internet domain name, offering a place online for your customers to seek information about your business is essential in this day and age.

2. Create a Business Plan

Writing a formal business plan can help you establish the goals you want to achieve for your business. If you don’t have any funding yet, having a detailed business plan can interest potential investors, and show that you’re serious about your business. When writing a business plan, address what need your business will serve, and target your market. This will help you create a marketing strategy and add more essential details to your business plan. An essential portion of any business plan is your brand! Establishing your brand, including logos, colors and messaging is critical to creating a business that your customers know and trust. Read more about building a brand, here. Writing a business plan helps you figure out how you plan on achieving your goals, and addresses the specifics of your business.

3. Understand the Law

When it comes to starting a business, understanding the regulations you need to follow is imperative to its success. Identify what licenses you need for your business to operate within the law, and research what taxes you’ll need to pay for. Besides relying on your own research, consult with a lawyer and accountant to ensure that you understand what regulations, licenses, and taxes your business will need to follow and pay for. Overall, keeping your business within the law is one thing you want to be prepared for.  

4. Don’t Plan on Hiring Friends

Hiring friends is not something you want to consider as a business owner, as it can lead to difficult situations later. It can be hard to let them go if you’re the one that hired them, even if they’re detrimental to your business. Ultimately, friends can let you down, and having to discipline your friend can lead to bad blood between both parties. So, make it a rule to keep friends out of your business, unless you’re looking for eventual conflict.      

5. Evaluate Your Personal Life

Before starting your business, you’ll need to take your personal life into account. Evaluate your cost of living, and discover what you can cut out. Removing unnecessary costs means that you have more money to put into your business endeavor. However, be sure to save extra money to account for unexpected or emergency situations. Lastly, speaking with a financial advisor can also help you budget your expenses appropriately.  

Conclusion

While starting a business can be daunting, creating a well thought out plan can ease the nerves that come with it.  Securing a trademark and domain name for your business is an important first step for developing your business further. Next, establish a reliable understanding of your business by solidifying your ideas with a business plan, and studying business laws in your area. Lastly, when you reexamine your personal life and budget, you’re on track to starting your business on the right foot. By taking all of these tips into consideration, you can begin to outline your own business plan, and eventually take the first step to starting your business.

 

Sources:

https://www.americanexpress.com/en-us/business/trends-and-insights/articles/6-things-to-know-before-starting-a-business/

 

https://www.forbes.com/sites/yec/2013/06/11/five-things-you-should-know-before-starting-a-business/#2a237200210b