Guide To "setting Up Your Own Business" Dont rush into setting up shop without following these guidelines...

[Reddish 0]

Setting up your own business is well and good, but I'd have to suggest a few things here before you try to make your first million.

 

I'm currently in the process of setting up my own business, but I also have a full time job. My ideas come after my work, and doesn't stop me from having a social life.

Yes this makes the setup process for my business much longer, but I have something to fall back on if it fails. It may fail because I left something out or because of something totally out of my control.

I can only spend about two hours a day on furthering my setup of the company, but I have to pay bills, put dinner on the table and put something away for a rainy day or the dreaded emergency which may occur, AT ANY TIME.

 

I recommend if you are interested in setting up your own business, to take extra time in researching your product or service for two reasons:

 

1) Money is Money, so if you fail or need to restart again this is:

a) a waste of your time, which you could have spent working for someone else,

a hole in your pocket, which may lead to problems with stress or relationships difficulties (family or/and spouce).

 

2) Time is precious, If your going to take a risk, it better be wort it. Whats the point in running your own business, making just enough to get by, when you could be working a 40 hour week, with no risks, earning the same or even more money.

 

So, do the research to see if your product is unique and feasible. A good suggestion is to do a survey, online or offline. You can do this in online chat rooms or forums, or in your local town by approching people on the street. Ask them valid questions in relation to your idea. eg, If this service was available would you use it? What would you be willing to pay for this service? Do you know of any other companys that offer this service and why do you use them? etc, etc, etc...

 

Also, a good suggestion is to pick about three business men/women in your area, that you know are sucessful at their trade. Ask for their opinion on your ideas. If these entrepreneurs are good picks by you, ask them for some help on certain points your not sure of, or are stuck on. They were in your shoes at one stage and their opinions may be the difference in you failing or sucseeding. They may even support your idea by financialy investing in your start.

 

Your a business man, so think like a business man. Dont go with the first thing that comes to mind because you cant wait to get started. Look for gaps in markets, products or services that arn't available but will make peoples life easier if they use your product.

 

When your research is complete, and you have proof your service or product has a demand (from your surveys), draw up a Business Plan and include all valid research and information you sought in it. This is a type of Thesis of your business, so just as much time as you spent researching your ideas should be spent on it. Your going to be bringing this Business Plan to banks, suppliers, customers and others, so you want it to be as professional as possible. You want people to awh when they reead it.

 

And, most importantly, as I keep stressing, remember: "Your a Businessman, so act like a Businessman"

Dont put yourself in debt just because you were sick of your job, or bored from being a bum.

 

Think, Research, Elabourate, and Constructivly Progress.

 

Be clever and shrude, and you'll "become stronger by setting new goals each day"

 

Happy Millions...

[rpgsearcherz 5]

This is a pretty good list. Really when I started looking at the thread I was thinking it would be another one of those "doesn't everyone already know this?" threads but it's really not.The biggest point that hit me was the surveys. I have seen many(probably thousands) of surveys asking about services and how much people would pay. But I never really put two and two together to figure out how relevant it is. I mean you may have done 5000 people and all 5000 had the same ideas but were a small amount of the big picture.Overall, I do like this list. I have debated going into business myself but being that it is a risk, I would definitely be doing it more as a hobby than for a living. I have not decided exactly what to go into yet, or when, I am still working on that. And if it is successful, hey I win. If it fails, I learned from it anyways so it's still a win!

[Reddish 0]

Thanks for the reply and support rpgsearcherz.

 

You hit the nail on the head by saying you want to set up your own business "more as a hobby than for a living".

 

The main point here is that your going to enjoy what you work at because its a liked hobby of yours. Also that your not quitting your day job untill your business is generating a small income or at least a general interest.

 

Just on the point of the surveys. 5000 is alot of work. You dont need to put this much effort into it. If I needed feedback for certain aspects of the business, 100 serveys should be enough to find what Im looking for. With the information I receive from these 100, would be taken back to analyze. Then, if need be, I would draft another survey to be undertaken. Remember, this is to find information that is relevent to your business success, not just a figure that looks good on the business plan or reports.

 

Again, best of luck all...

Edited February 24, 2009 by Reddish (see edit history)

[QueenBea 0]

Thanks this really makes you thinkI am starting an on line business and the one thing I am missing at the moment is not having anyone to throw ideas at - like yourself I am still working and trying to do it all.I will also write a list of help full thoughts to consider as I go through my process of setting it up.

[inverse_bloom 0]

Another good thing to do is search the web for "Free feasibility study template/s" many people and businesses use these to assess if their ideas are feasible to take further action upon/ or to abandon. Chances are you will find some relevant templates for your associated industry (or at the very least extract general ideas for constructing surveys/other feasibility study guides). Conducting your own statistical analysis of competitors/competitors products is a good idea, especially if you can get it off the web. Mind you this is a very long process where you can't take any shortcuts, unless of course you pay an organization who has done it already. You may find free information archived by local governments, but i haven't tried this myself. (I've been told that it exists, probably at my local library somewhere within a group of massive folders)I just remembered use a competitor analysis template if going through the process i just mentioned.

Edited August 6, 2009 by inverse_bloom (see edit history)

[k_nitin_r 8]

Hi!@ReddishI'm surprised that you are able to run a business while still having a full-time job because I find one job strenuous enough. If you are looking for more time, you might be able to take some time off from work without quitting entirely so you still have a job to go back to if things do not turn out the way that you want them to be.An organization works within an environment that consists of competitors, suppliers, and customers, among other entities, so the environment poses both opportunities and threats. An organization is an open system, so you can hire away resources from other organizations and they can do the same with your employees, so you would have to consider the fact that if you do rely on an employee, you should be prepared to pay him or her a competitive sum to avoid having him or her poached away by other organizations. Apart from compensation packages, employees also have other needs, such as workplace challenges and the feeling of oneness with the company.I like the statement that you have made about making sure that the time is worth it. I have met a few people who run their own businesses for want of setting up a business rather than anything else - they may earn a little more than their counterparts with full-time jobs do, but they do not have the liberty to call in sick and take a day off, or go on a vacation for more than a few days.Although you may be running a startup, you do stand a chance among the bigger players though, due to the less organizational complexity. For example, Ford once had about three thousand suppliers to deal with and when they reduced that number to about five hundred, they were able to deal with problems much more easily. A larger staff count also means that there may be a longer hierarchy to go through for decision making and your startup would be able to respond much quicker to environmental changes than larger firms.