Want to start a Small Business?

Many firms have been downsizing or at least cutting back employee hours over the last twelve months in many cases due to the uncertainly and instability caused by the Global Financial Crisis (GFC). As a result many mature aged workers have found themselves considering the possibility of starting their own business.

For many the lack of capital and confidence is the main hurdles to overcome.  An online business is the obvious answer for many with low overheads, the convenience of operating from home, the whole internet using world as your potential market and no limit to expansion possibilities.

So what need you look out for?

  1. Ensure you are well informed before starting your business.
    1. Talk with those that have already started their own online business
    2. Check with local laws regarding posting of certain goods, returns policies, tax requirements that may apply etc
    3. Create a business plan – this will give you guidance and will be required by the bank if you need to borrow money
    4. Talk with a business coach about start up costs, marketing, cash flow, supplier arrangements and HR issues if you intend hiring staff
  2. Look to become an expert in the field you are pursuing. Quality training and education will help set you apart from your competitors and provide peace of mind to potential customers that they are dealing with an expert.
  3.  You will need to prepare for a great deal of setbacks and long hours. Know that no business is mistake free and that there will be a massive learn curve from day one. The trick is to not get disheartened but to ensure you learn from any mistakes and create procedures to ensure they do not occur again. Becoming part of a franchise or hiring a business coach will help you avoid many of the potentially costly mistakes those new to business make.

Richard Kemp – Watts Price Accountants
E: richardk@wattsprice.com.au

The advice provided on this Article is general advice only. It has been prepared without taking into account your objectives, financial situation or needs.