There are plenty of things to keep you busy setting up your own business, amongst them you need to carry out a feasibility study, have a business plan, work out how much money you will need, find a good location to work from, and make sure you have a good accountant to take care of all your tax returns and other financial matters.
By doing a feasibility study, this just means that you need to do some research into whether there is actually a market for your product or service and if it could work. The study helps to identify potential problems and will make it easier to realize if you should go ahead.
A business plan doesn’t have to be very complicated or wordy, if you have a small enterprise a basic plan will suffice. If you are only a one man band it might not seem important, however it’s a good idea to have one as it can help set out clearly who your competition is, what strategies to use to market your service, your plans and goals, and if the business will provide an adequate financial return. Now you need to find ways to raise the capital, you don’t have to use your own money for the venture, look into borrowing the funds from investors.
Starting up as a sole trader is the easiest way to form a business as you only have yourself to deal with, it also means however you are the only one liable for any debts that arise. If you are going into business with someone else then you should look at getting a partnership agreement.
A business that does well is often due to the location, think about how visible you will be to passing trade, if there are any competitive stores nearby, can customers park easily, and also how long your lease lasts. You don’t want to have to move premises just as business is starting to pick up and risk losing the majority of your customers.
Defining your marketing strategies at the beginning is the key to a successful business, and will give you an idea as to budget. Every business needs a marketing plan to ensure the advertising you do brings maximum exposure to the business. Do your research into the most effective strategy for your type of business, popular forms of advertising include brochures, radio, newspaper and public relations, trade shows, sales people, and of course having your own website.
Getting professional advice just makes sense; most businesses have some type of legal agreements which could include a lease, a finance agreement, a disclaimer, a confidentiality agreement, or a supply agreement. Insurance is another factor not to be forgotten, look into what you would need to cover for all eventualities including life assurance and general insurance.
It is so important to get yourself a good accountant. You will be liable for income tax amongst other taxes and this can be a particularly difficult area to understand. Look online for quality accounting firms in Sydney, to help you with setting up your business, tax planning and returns.