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					Title:
Tips on Starting A Small Business

Word Count:
456

Summary:
Small business have many challenges to stay afloat. Many budding
entrepreneurs think that all they need is an idea or product and a bit of
work and the money will come rolling in. If you have ever run a small
business - even a home based business - you will know there's much more
to it than that! Here I outline some of the preparations that need to be
taken before a new business can be successful.


Keywords:
small business


Article Body:
Small businesses have many challenges to stay afloat. Many budding
entrepreneurs think that all they need is an idea or product, a name for
their small business, and a bit of work and the product will sell itself
and money will come rolling in. If you have ever run a small business -
even a home based business - you will know there's much more to it than
that!

The first thing you, as a potential small business owner must always do,
is research your market. Then research your competition, then the
available supply for your product or service, and find your unique
selling position. This alone can take weeks often months.

Once you are satisfied that there is a market for your product or service
then you need to sort out your business plan and cash flow projections.

Small businesses may appear low cost but many suck up substantial capital
before they turn a profit so now, unless you are very fortunate, you must
sort out how to finance your small business. Do you remortgage your
house? look for investment partners? borrow from friends or family? or
approach the bank? Whichever you choose you need to convince others that
your small business will be profitable and they will get a return on
their money.

Once finances are in place the hard work starts. You may have premises to
arrange, suppliers to sort out, staff to recruit and mangage, accounts to
keep, products to design or source, lawyers to consult, accountants to
hire and we must not forget in all of this market and get the all
important customers to look at and purchase your products.

To do that you have to advertise your small business, but where and at
what cost? Don't forget you have to provide customer support and accept
returns. Then there's waste disposal ... and on and on.
Who's paying for all of this - in simple terms you, and your friends,
investors and/or your bank are paying, until you are selling sufficient
product or service to cover the costs - usually many months or even years
away.

New small businesses rarely return a profit in the first year and
frequently not for two or three years. Make sure you can finance it
properly.

Is it worth doing it? That's your decision but every year tens of
thousands of people do start their own business and many are succesful
and reap the rewards of all that hard work. But many also fail, and all
too often it's due to lack of preparation

If you're about to set off on your new business venture prepare well and
Good Luck. With good planning, persistence and a lot of hard work you too
can build a profitable small business.

				
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posted:3/24/2011
language:English
pages:2