Primary concern when first starting your business!

Mellorando

Banned
The primary concerns when first starting your business are; financing and planning.
A business plan for a new business does not need to include the names of the prospective lending companies, one of the drawbacks of using venture capital is that venture capital firms may ask for a high stake in your business.
For a market to exist there must be potential buyers who have a willingness and the resources to buy. Why do incubator facilities continue to remain very popular with start-up businesses?
By providing essential services to entrepreneurs, they have a very strong success rate. Why do experts agree that small-business management and large-business management are similar in practice? Similar to large businesses, small business have concerns about obtaining capital and good marketing and management practices.
Which of the following is a false statement about small business?
The first job for most Americans is unlikely to be in a small business.
Although the business plan has a great amount of detail and requires thoroughness, a well-explained business idea will come to life almost immediately in which part of this document?

Other things to consider include:
1 Target Customer
Having a service or product to sell is not gonna make you profitable if you do not have customers who will buy it.
If you plan to start a business and you know what to sell, before you begin, study if there is a market for it. Identify who your customers are. Remember the saying, a product or service for everybody is a product or service for nobody.

2. Location
In many business events I’ve attended, I always hear this advice “location is everything”. “Location, location, location”.
Make sure you identify or look for the best location for your business. Your business must be seen by your target customer or at least near them.

3. Formation
Once you’ve identified what to sell, who to sell it to and where to sell it, now think about how you’ll form the business. You can choose on sole proprietorship, partnership or corporation.
Single proprietorship – you’re the sole owner of the business.
Partnership – you can divide the business with another person(s) which you will call partners. You need at least two people to form partnership.
Corporation – you can register as One-Person Corporation (OPC) or divide the business with two (2) or more individual.

4. Capital
Capital is the amount or value you need to put in the business to get it started and operating. It can be cash or non-cash. To know how much capital you need, list down all the possible spending you need to make to start and operate, such as assets to purchase, renovation, lease payments, operating expenses etc.

5. Asset Requirements
When starting a business, plan the assets that you’ll need to operate. This may include the following example: computers, equipment, furniture, vehicle, etc. List down not only the item but also the quantity and price.

6. Lease, Renovation and Improvements
Next item to consider is if you will rent out a space. When renting, normally lessors require advance rent and security deposits which is equal to three (3) to six (months) of monthly rent. Also, rental space are usually bare and requires renovation and improvements. Consider these costs in your business plan.

7. Suppliers
Identity potential suppliers needed to produce the service or goods you will sell. Consider their price, location, reliability and operating hours.

8. Operating Expenses
Identify and list down all the expenses or spendings you need to operate the business such as salary, rent, office supplies, utilities, etc. Consider the monthly costs in your business plan. This step is also important in your capital requirement because normally you have to keep at least six (6) months to one (1) year of monthly spendings as capital.

9. Hire People or Outsource
In my experience, people management is one of the toughest job of business owners. This may be the reason why outsourcing is in demand. If you plan to start a business, include in your consideration if you will hire people or just outsource it. If you decide to hire, consider the salary and other government regulations you need to comply with such as DOLE, SSS, PHILHEALTH and Pag-ibig. If you consider to outsource, consider the expertise and reliability of the company you will outsource to.
 

Kingsley

Valued Contributor
When one is trying to conceive the thought of having a business venture there seems to be a lot of thoughts that will run through a person's mind. The planning process is challenging and the most difficult aspect is the implementation stage. There are somany things to put into consideration when planning to start a business which includes what type of business to start in the first place, another thing that runs through the mind is who will need the goods or services and where will the good or services will be needed, when all these has been concluded one will begin to worry about how much will be needed to run the business effectively, after which we will start looking at how and where to raise funds to start and manage the business.

This thought process takes alot of time in other to have the best of results. now when I have concluded all the plans i will start off the implantation process which will go by the blue print of the plan. But one of the toughest is utilising the funds that will be generated according to what is started in the original plan, this is because of the changes that occurs with prices of goods and services.
 

Jasz

VIP Contributor
The primary concern when starting any business is financial. The entrepreneur must have a solid idea of how much money is needed to start the company. If this is not done correctly, then investors will be reluctant to invest and the project may fail before it even begins. Potential investors are cautious due to the high risk involved in new companies.

As the founder, you need to make sure that there is a solid plan in place. If you want to make money and build a successful business, you should also consideration should be the customer. What are their needs? What do they want? That sounds simple, but it's ignored far too often. Customers are not usually aware of how indispensable their needs really are.

Starting a small business is an exciting and challenging experience. Fortunately, there are plenty of resources to help you make wise decisions, avoid rookie mistakes, and most importantly, realize your dream of becoming an entrepreneur.


Lastly, I would say, aside from money which a lot of persons have for a startup, one should think about how to get customers, I don't think anybody brought that from heaven. You must define strategy to entice and get your customers to patronize you.
 

Good luck

Verified member
The primary assignments of starting any form of business is finance. The financial part of it is very paramount.it makes you to do a very good visibility studies of such business and how large you will want to grow such business.You need a very good money depending on what you want to trade on.After the issue of finance have been sorted,you can now talk of what you want to sell and a very good location.people always patronize goods that are easily accessible so as not to have problems the long run.locatuon is very good and preferably around market where a lot of people reside.
 
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