The New Year Is A Good Time To Start A Business

Posted

By Barbara Zimmer, CPA
Starting your own business is the dream of many people; success in business is the achievement of a few. Some would say they are lucky. There is an old quote attributed to the Roman philosopher Seneca: “Luck is what happens when preparation meets opportunity.”
You may have dreamed of starting your own business but the question is: Are you prepared? If you are, then when the opportunity presents itself, you too can be “lucky.”

The tools you need to increase your chances of success are available. Why risk your dream by being unprepared to make it happen? If you wanted to be a singer, a doctor, teacher, mechanic you would have to prepare with the right education, experience and tools of the trade. Succeeding in business requires similar preparation, no matter what business you plan on starting.
“If you fail to plan, you are planning to fail,” said Benjamin Franklin.
Isn’t your dream worth the time it takes to set up a foundation to increase the chances of your dream coming true? Whether you plan on selling knick knacks, building decks or cleaning houses, you should spend some time looking into the basics.
For starters, answer questions like does the field you wish to get into require any special training, licenses or zoning? Will you need to rent a commercial or retail location, or can you work from home? Will you need financing to start this business? What will the lender require of you? Are there any Federal or State programs to help you? Do you qualify for any grants?
Your local Small Business Administration has many valuable tools to help you in this search for knowledge. When the opportunity comes you should know what you need from start to finish. You should have an idea of what type of entity you will form and why. Whether you choose to form a Sole Proprietorship, an LLC, Partnership, Corporation or S-corporation, you should know why you are choosing that entity. Many people will offer advice on this choice, but you have to live with the consequences and should not blindly follow any one person’s advice. Do some research, ask questions and do not wait until you are at the starting gate to decide what horse you will ride.
As Sir Francis Bacon said, “Knowledge is power.”
Business Plans are great tools to use in the process of evaluating your dream business. When you are done you should have a tool for enlisting the support of a bank or venture capitalist, or even enticing a partner into your proposed business. Business Plan templates are readily available over the internet and at local retailers that sell business software. These packages will guide you and help you as you gather the information you will need to successfully run a business. They help you look at the realities of Marketing, Financing, Operations and Administration of the new business you desire. Best of all they are documentation that you have done your homework and that you know what lies ahead - you are prepared.
“To be prepared is half the victory,” said Miquel de Cervantes Saavedra.

Comments

No comments on this item Please log in to comment by clicking here