Tom is thinking of starting a small business because he wants to be his own boss and take time off when he sees fit. Working in the same industry for 15 years, he has a pretty good idea of how his business is run, but like anyone else could some small business pointers. Tom believes in hard work and excellence in all things. However, he may not fully understand what it takes to start and run his own small business. That is why someone like Tom needs PayTech. In just a few short paragraphs, we will run through the essentials of starting a small business and what it entails.
Small Business Pointers for Startups
Before you throw yourself out there in the world of the business sharks, it is important to ask yourself some questions. If you answer these questions confidently, then you are more than likely ready to get started. However, if you don’t know the answer or are not confident in your answers, you may want to reconsider. Here are 10 questions to ask yourself before starting a small business:
- Am I prepared to spend the time and money needed to get my business started?
- Why am I starting a business?
- What differentiates my business idea and the products or services I will provide from others in the market?
- How many employees will I need?
- What types of suppliers do I need?
- How much money do I need to get started?
- How long do I have until I start making a profit?
- Who is my competition?
- Will I need to get a loan?
- How will I advertise my business?
After reading through these questions and acknowledging that you will have to answer them at some point, we’re ready to move on to the nitty gritty of starting a small business.
Small Business Pointers for Business Plans
Any small business that wants to succeed should start by writing a business plan. So what is a business plan? For most, a business plan is a living document that typically projects about three to five years ahead. It will also outline the path a business wants to take to grow earnings. Any decent business plan will include the following: company analysis, industry analysis, competitive analysis, customer analysis, marketing plan, management team, operations plan, and financial plan. Each of these items are crucial in how to write a business plan.
Choose A Business Structure
When starting a small business you will have to decide what business structure to take. Each structure will have different legal and tax implications. There are six different business structures. You have Sole Proprietorship, Limited Liability Company, Cooperative, Corporation, Partnership, and S Corporation. You will want to understand the different structures and decide which one best suits your small business.
Run Your Business Legally
In order to run your small business legally, you may have to obtain some licenses or permits. There are federal and state licenses and permits. Do some research and find out which ones impact your small business and how you can comply. As an example, businesses that sell alcohol or weapons will need to get the required permits before operating, so if you are thinking about opening a bar then you will definitely need to do your research.
Hiring and Retaining Employees
Now that we’ve set your business up for success, it’s time to gain some quality employees. There are plenty of hiring websites out there to help you do this but there are some items to consider before you hire anyone. You will want to learn about employment and labor laws and make sure you are in compliance with them. There are also elements such as background checks, employee benefits, and employee handbooks to consider. Luckily we know some people that might be able to come up with some small business solutions.
Let PayTech Help!
When Tom read through these steps, he realized that there was much more to starting a small business. Fortunately for Tom, he let PayTech help him get started. If you are starting a small business and are at a loss about where to find quality HR, Payroll, and Accounting services, you have come to the right place. We have some fantastic pricing and packages that will help you get your small business on its feet. Contact us today at 602.892.4796!