How to Get Started Opening Your Own Business
There are any number of businesses people can start. The key is finding a business with a large enough target audience or customer base. Having a substantial customer base will help make your business profitable. Another consideration is experience: You are better off starting a business in which you have basic knowledge. Turning a hobby into a business is an option because you already have knowledge about your product or service. Also, make sure the business is something you will enjoy, as you will be spending many hours trying to make it successful.
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Things You'll Need
- Product supplier
- Business plan
- DBA (doing business as)
- Seller's permit
- Store location
- Website
Instructions
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Choose the type of business you want to start. Select a service business if you identify a particular business problem you can solve or if you have expertise in a field in which you can offer consulting services. Sell products that are high in demand such as electronics or computer software and games. Start a franchise business if you have a substantial amount of money to invest.
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Find a wholesale or manufacturer supplier for the products you plan to sell. Search for wholesalers in trade publications related to your industry. Look in "Dog Fancy," for example, if you plan to sell dog products online. Go to Thomasnet.com or Macraesbluebook.com and search for manufacturers that supply your products, suggests Businessknowhow.com. Look for franchise businesses at franchisedirect.com or franchisegator.com.
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Select the wholesale or manufacturer supplier that best meets your required shipping times and offers you the lowest per-unit cost on products. Choose the franchise company that sells the products you want to sell at an investment level you can afford. Obtain proper training through the franchise company before opening your business.
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Write a business plan that includes a detailed analysis of the markets you will enter, the strength of competitors, who you will hire and how you will finance your business. Make sure you are not entering markets with an overabundance of competition, especially if you are opening a store location. Estimate your first-year's sales and profits, because banks or lenders will often require this information for financing.
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Obtain the necessary licenses for your business, such as a DBA or "doing business as," if you are using a name other than your own for your business, and a seller's permit if you are selling products. Contact your local county or city administration office for business license applications.
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Set an office up in a spare room in your house, as you may be able to deduct it for tax purposes, according to the Internal Revenue Service. Find a location for your store or business. Select a location in an area that draws the types of customers or business clients you desire and offers the best rent prices. Create a website if you are selling products online or hire a web designer to create one for you.
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Distribute fliers on people's windshields, in mailboxes and at high-traffic locations like apartment laundry rooms or grocery stores. Advertise your business in industry trade publications. Promote your local business in coupon magazines that contain offers from businesses. Advertise in the print and online version of your local telephone book. List your business with major search engines such as Google, Yahoo, Alta Vista and Lycos.
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Increase you advertising expenditures to grow your business. Stay with the advertising media that is most effective in drawing customers to your business or website.
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Tips & Warnings
Build a loyal customer base for your business. The best way to add loyal customers is to offer products and services at fair prices. Conduct market research surveys periodically to determine how satisfied customers are with your products or services. Add features to products, for example, if your customers request them. Also, strive to offer the best customer service in your area or industry.
References
- Entrepreneur; Four Simple Ways to Find Customers; Brad Sugars; May 2011
- SBA.gov: Register Your Fictitious or "Doing Business As" (DBA) Name
- SBA.gov: Essential Elements of a Good Business Plan
- Business Know-How; Find Suppliers for Your Business; Janet Attard
- BusinessNameUSA.com: Seller's Permit
- IRS.gov: Work From Home? Consider the Home Office Deduction; March 2011
