Establishing a business is not a type of project that you can just begin without proper planning. Besides the important financial decisions that yo...
Establishing a business is not a type of project that you can just begin without proper planning. Besides the important financial decisions that you have to make, it has legal implications. The steps give below will help you to plan it very well.
Step1: Writing a business plan
You cannot start a business without developing a plan for the business. You are half way to success if you develop strong business plan. It serves as a guide to you. You plan should take into consideration the item you will sale, available capital, your consumers and locations.
Step 2: Getting help
Starting a business is not something that one person can do especially a person who has no experience in business or who has not done any business before. So, you can seek a professional help. There are free online training courses that you can use as a help.
Step 3: Choosing your business location
Where your business is located is an important factor that determines its success to a certain extent. You have to choose a location that is accessible. You should also consider your targeted audience or customers. If you are going to sell books for example, it will be better to locate such a business where there are students.
Step 4: sources for finance
Of course, you cannot think of beginning a business if you don't have any finance for it. It is the major obstacle on the way way of people looking to begin a business. There are different means of raising funds for your business. You can apply for loan from a financial institution or a bank. Check if there is any government sponsored program that provide financial supports to startups in your location. You can also request for financial help from family members and friends.
Step 5: Check the legal requirements obtainable in your location
As mentioned above, the doing of business involves some legal activities. There are government laws to abide by. Besides, you have to us work out the structure of your business with a lawyer. Is it a sole proprietorship, corporation, limited liability company, nonprofit or cooperative? This is a major question to ask.
Step 6: Register your business
The business registration process differs from place to place. You should find out what the process is in your location.
Step 7: Obtain business license and permits
In some places, one requires business license and permits before they can run any business. If it is the case in your location, it is important that you obtain a license and permits from a competent authority.
Step 8: Obtain a Tax Identification Number
It is our civic responsibility to pay our taxes. If you don't pay your taxes, you will have problem with the government and if you pay taxes without having a tax identification number, they don't count for you. So, it is important that you ask for it.
Step 9: Order for goods and start running your business
Now, you have done everything necessary. You have to start your business now. But if you look forward to hiring employees, you should take time to learn the responsibilities of an employer. You can source for information from the internet.