What to Do After You Have Started a Business
You’re ready to leave behind the rat race and take the reins of your destiny. Whatever your business, the thing that will have the biggest impact on the viability of your startup isn’t a product, service, or advertising – it’s planning.
There’s a lot that goes into starting a new business, but having the right approach going in can make the difference between a (relatively) smooth takeoff and tripping at the starting line. Here are the things every prospective business owner needs to know when getting started.
Make a Business Plan
Your business plan will cover much of your starting structure. What your business is, how it operates, what you’re selling and who you’re selling it to, all can be found in your business plan. A solid business plan is essential for presenting to investors and applying for loans that will give you access to much-needed startup capital.
Select an Entity Type
An entity is about much more than a label. It will affect how your business operates, who can invest, who can profit from it, and what your tax and legal liabilities are. Many startups have launched under one entity only to discover their selected type is holding back their growth, taking them in a direction they did not intend to go, or forcing them to start over. Take the time to consult with a professional who can help you navigate entity types and choose the one that will help you achieve your long-term goals.
Get Your Paperwork in Order
Filing for licenses, permits, and other requirements can vary greatly depending on what state you’re living in and what business you’re going into. Failing to get it all squared away from the start can cost you a lot of time and money. Take the time to consult with a professional who can advise you and help you file for the things you need so that you know your business complies.
As the saying goes, you have to spend money to make money. Your business will need significant startup capital, and unless you have that in hand already, you’re going to need financial help. Whether you elect to take on investors, acquire a business loan, or find an entirely different revenue stream, you’ll need to understand your options and be proactive about pursuing your funding before you can get your business off the ground.
Work with People You Can Depend On
No business exists in a vacuum. Even the self-employed will need to build a network of people who can help their business succeed. Whether you’re employing others, bringing in a partner, working with an investor, or using outsourced professional services, you need to know that they have the skills and dedication to accomplish what you need.
Avoid giving a job, task, or skill to someone because of your personal relationship or simply because they ask; this approach can create unfair expectations on both sides, and often leads to extra stress on top of an already stressful endeavor. Take the time, do your research, and choose to work with people you know will help take your business forward.
Be Prepared to Persevere
Starting a business is no easy feat, and it’s rare that a new business gets everything right the first time. Understand going in that there will be setbacks, but that doesn’t mean your business is doomed to failure. With smart planning, you can help to minimize the impact of obstacles and give yourself the flexibility to get back on track.
With hard work and the right support, your startup can go from dream to reality. Siegerman & Company helps prospective business owners in South Florida to go from vision to launch and beyond. For experienced accounting and formation services, contact our office today.