Things You'll Need:
- An Idea for Your Business
- Funding for Your Business
- A Lot of Hard Work
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Step 1
Develop a concept for your small business. If you are going to have a successful small business, you need to have an idea for a business that will be an enjoyable experience for you, while at the same time providing products or services that will be well received by consumers. Think of the things you typically spend your money on, and then consider which of those are careers you could see yourself spending your time and money on.
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Step 2
Write a business plan. It can never be said too many times, a successful business starts with a good plan. Don’t let yourself fall into the trap of opening a business before you have taken the time to write a complete business plan. This would be selling yourself short, when taking the time to write a plan will give you a distinct advantage, as well as helping you to keep your business on track. You can find an endless supply of free business plan templates available online. Download one and use it as a guide to write your own unique plan, and you’ll be on the path to success before your business ever opens its doors.
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Step 3
Determine the type of corporate structure your business requires. Most small businesses in Indiana are registered as a Sole Proprietor or as a General Partnership. This works best for most simple operations. If you are starting a larger business and require a more complex corporate structure, then you may need to consider setting your business up as a Limited Liability Partnership (LLP), Limited Liability Company (LLC) or as a C-Corporation.
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Step 4
Locate funding for your business. Most small businesses that are started in Indiana (75%) obtain their funding through F-F-A measures: Family, Friends and Assets. The remaining 25% of small businesses owners obtain funding through small loans issued by their local bank. A very small number may also find private investment through a venture capitalist, but these types of funding scenarios are usually found in large corporations rather than small business. Look at how much money it will cost you to get your business off the ground and carry it through the first 6 months of operations, and then think about what your options are for getting those funds together.
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Step 5
Register your company. Once you know what company structure your small business needs, along with having the financial backing to put it all together, you simply need to register your business. All small businesses in Indiana are registered through the Corporations Division of the Secretary of State. For simple registrations, all you need to do is fill out a form and submit it, along with the fee for filing the paperwork. More complex structures, such as LLP and LLC, will require more complex documents. Check with the Secretary of State to identify the items that will need to be submitted in your specific case.
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Step 6
Open a bank account for your small business. After you have received your business license from the Secretary of State, you will be able to open a business bank account under the name of your small business. You will need a business checking account, at the very least, preferably one that comes with a debit card. Call various banks in your local area to inquire about the fees associated with having a business bank account, and choose the bank that best serves your needs.
