The Small Business Administration says more than half of all small businesses fail by their fifth year.
How many jobs could have been saved, if business owners were better prepared? If you're considering starting a business, do everything you can to get it right the first time.
The odds of being successful aren't in your favor, so how do you get the best shot at the brass ring? Deal with the toughest questions before you spend even your first dollar.
Why do you want to own your own business? Maybe to be your own boss, make lots of money, have creative freedoms, save the world, or make a living from a hobby.
Any one of these reasons is a good one, but be brutally honest with yourself.
Owning a business is hard work, expensive, and you do still have bosses, employees, clients, suppliers, etc.
You also must want to do this more than anything else in the world.
You need that passion and drive to be successful.
Are you emotionally ready to start your own business? As the boss, you'll wear many hats and have final responsibility for everything that happens.
Many of my clients have said, "I never knew how hard it would really be.
" Include your family in the planning, and believe in your idea, or you've set yourself up to fail.
Long hours are involved; and initially, maybe not much money.
My friend, Barry Moltz says, "your business really does eat at your table and sleep in your bed.
" What do you know about the business you're starting? If you have experience in the field, determine what you like to do best, and work with someone whose skills complement yours.
Entrepreneurs frequently admit, "Nobody taught me how to do all the things I have to do to run my business.
" If you have no experience in your chosen business, work in the business or a similar one, before you commit to ownership.
Where will you get your start-up money? Calculating the cost of a new venture may be tough, but locating the money can be even tougher.
Funds come from savings, home equity and/or family and friends.
If you need more money, maybe a banker or an investor can help.
When you ask someone to believe in you and your business, you better be investing your own money.
Who will buy your product or service? Without a steady stream of customers, the best business plan or the sharpest storefront isn't going to help you make money.
Ask yourself, "Who will be my first customers?" When you've sold your product to family and friends, ask "Who will be my next customers?" It's amazing how many businesses start without proper attention to these questions.
Don't be one of them.
How many jobs could have been saved, if business owners were better prepared? If you're considering starting a business, do everything you can to get it right the first time.
The odds of being successful aren't in your favor, so how do you get the best shot at the brass ring? Deal with the toughest questions before you spend even your first dollar.
Why do you want to own your own business? Maybe to be your own boss, make lots of money, have creative freedoms, save the world, or make a living from a hobby.
Any one of these reasons is a good one, but be brutally honest with yourself.
Owning a business is hard work, expensive, and you do still have bosses, employees, clients, suppliers, etc.
You also must want to do this more than anything else in the world.
You need that passion and drive to be successful.
Are you emotionally ready to start your own business? As the boss, you'll wear many hats and have final responsibility for everything that happens.
Many of my clients have said, "I never knew how hard it would really be.
" Include your family in the planning, and believe in your idea, or you've set yourself up to fail.
Long hours are involved; and initially, maybe not much money.
My friend, Barry Moltz says, "your business really does eat at your table and sleep in your bed.
" What do you know about the business you're starting? If you have experience in the field, determine what you like to do best, and work with someone whose skills complement yours.
Entrepreneurs frequently admit, "Nobody taught me how to do all the things I have to do to run my business.
" If you have no experience in your chosen business, work in the business or a similar one, before you commit to ownership.
Where will you get your start-up money? Calculating the cost of a new venture may be tough, but locating the money can be even tougher.
Funds come from savings, home equity and/or family and friends.
If you need more money, maybe a banker or an investor can help.
When you ask someone to believe in you and your business, you better be investing your own money.
Who will buy your product or service? Without a steady stream of customers, the best business plan or the sharpest storefront isn't going to help you make money.
Ask yourself, "Who will be my first customers?" When you've sold your product to family and friends, ask "Who will be my next customers?" It's amazing how many businesses start without proper attention to these questions.
Don't be one of them.