If you are planning to start a business, you need to know a few basic things. Here’s a list of 10 things you should focus on when you are planning to start a business.
1. Write a Business Plan
Create the road map that you will be using to achieve your business goals for 3-5 years. Your business plan is basically the route you intend to take to grow your business. The key points to consider here are: Executive summary, Company Description, Market Analysis, Organization Service or Product, Marketing & Sales
2. Get Business Assistance and Training
Proper training is necessary if you plan to be successful in your business. This may or may not be official certificate courses. Make sure you have all the basic skills required for doing your business. There are a lot of courses available online. You can opt for correspondence courses if you don’t have the time to attend a college. There are a lot of books out there that can provide you with the necessary knowledge to run your business
3. Choose a Business Location
Choosing your business location can be the deciding factor in the success or failure of a small business or a startup. So it requires a lot of careful planning and research. Factors like your budget, zoning laws, supply chain and locations of your competitors are important while choosing a location
4. Finance Your Business
You need to get proper funding to start your business and keep it running. Carefully scope out all potential funding sources. Government backed loans, Venture Capital and Research Grant are preferred sources here.
5. Determine the Legal Structure of Your Business
Choose the kind of ownership you want your company to be under: sole proprietorship, partnership, Limited Liability Company (LLC), corporation, S corporation, nonprofit or cooperative. Choosing the kind of ownership for your business is the key to avoiding legal or regulatory problems in the future.
6. Register a Business Name
Your brand name is your first marketing tool. So choose wisely and register your business with this name. You will be doing business with this name only. Your business will be recognized as per your registered name for all legal purposes.
7. Get a Tax Identification Number
The Tax-payer Identification Number (TIN) is a unique number that is allotted by Commercial tax department of respective State. The TIN is used to identify dealers registered under VAT. Generally, a business needs a TIN. You must check with your state to determine if you need a state number or charter.
8. Register for State and Local Taxes
You need to register with your state to obtain a tax identification number. In addition to business taxes required by the central government, you will have to pay some state and local taxes too. Each state and locality has its own tax codes and laws. So study them and register wherever it is needed.
9. Obtain Business Licenses and Permits
Research to know about all the licenses you will need to get your business operational legally. Apply for all applicable permits and licenses, required by both state and central laws.
10. Understand Employer Responsibility
There are a lot of legal responsibilities involved with hiring employees. There are Central regulations and then there are local requirements. You need to research all regulation and laws before you start employing.