No-one said running a business was easy and the very idea of setting up your own small company may seem completely out of reach if you have never worked in the business sector before. Coming up with a business idea and making that small seed turn into a reality can seem completely out of reach in the early days, however, it’s all about taking that first leap of faith. There are so many aspects to consider when it comes to running a business, that we have put together this short guide to steer you in the right direction:
1. Start small
It’s very easy to get carried away in the early days of starting a business and spending more than you can realistically afford, however, this can be a detrimental decision to your business start-up. It’s vital to keep things low-key in the first few months and set a strict budget to adhere to so you don’t run into debt. Where possible, aim to keep your expenses as low as possible – this may mean setting up your workspace from home rather than renting an office and purchasing the cheapest equipment on the market that still allows you to get the job done. Being smart with your finances will certainly pay off in the future.
2. Consider your funding options
Getting the capital you require for your business isn’t always easy and without the cash, it’s hard to get started. In this case, you may need to consider different funding options. Here are some of the various options to keep in mind:
- Loans: If you need financial assistance, getting a loan through the bank would be a great starting point, however, it can be difficult to obtain as a start-up. You may have to undergo a credit check to prove you can pay the loan back and hand over a copy of your business plan.
- Grants: In some cases, you may be lucky enough to secure a grant, but these are often extremely competitive amongst other new entrepreneurs who are in the same boat as you.
- Investments: If you require a significant amount of cash for your start-up and simply isn’t achievable with savings, you could turn to an investor. One of downsides is that they will require a share of your business and may request to have a managing role in the company,
3. Choose vendors
Running a start-up can be extremely hard work, however, hiring a full time to give you support may not be an option if you haven’t got the funding, which is where you should turn to vendors to complete tasks as and when necessary. Companies in every industry can provide that helping hand when you need it in sectors such as marketing, administration or managing finances. When choosing vendors, you need to be vigilant as to who you partner with. These companies will have access to your confidential business data. Carry out research by asking them about their experience in the industry and ask for recommendations before making any decisions.