The dream of working for yourself and being your own boss is not an impossibility. Perhaps you are looking to bring your innovative ideas to life through a business startup or maybe you would like to jumpstart your career in the fast-paced corporate world.
Every business starts with an idea, a need somewhere in the market. Transitioning that idea into reality requires a lot of time, dedication, and patience. A 2014 study by the national bookkeeping franchise, First Class Accountants, found more than a third of Australians who wanted to change careers sought to start their own business. Here are our 7-steps to becoming your own boss!
STEP 1: Determine your product or service,purpose, vision, strategy: While obvious, numerous questions need to be answered. Are you providing a product or a service? What will that be and is it in demand? Who will be your customer? What steps will you take to start your business? Creating a business plan is vital in this process. A business plan can include an executive summary, company description and structure, market analysis, description of the product/service, marketing and sales strategies and financial projections.
STEP 2: Do not quit your day job (just yet!): The excitement of starting your own business can be enough to make you live out your fantasy of storming into your boss’s office and dramatically quitting. Be patient and DO NOT DO THIS! If you do, the reality may soon set in that you have no income and you will soon be begging your boss to let you return. When you leave your day job, make sure:
1. You have enough savings to pay expenses while building your business, OR
2. You are making enough money with your start-up business on the side to quit your job and devote your time 100% to your company.
STEP 3: Get training: If you do not already have a business background, it is a good idea to get some education in the area. Learning how to identify and evaluate marketing opportunities, managing budget and financial plans, managing operational plans and people performance are valuable skills to run a successful business. Furthermore, business training and qualifications may ease the minds of banks and investors knowing you have the knowledge of how to operate a business. You can get some more info here:
Leadership and Marketing or MBA
STEP 4: Test your assumptions by starting small: While your dreams may be big, it is essential to start small. Test your product or service on your ideal customer and discover the best form of media/marketing to reach them. Gather feedback from your customers and adjust your product or service as necessary.
STEP 5: Determine funding: ahhh money. Starting your own business requires it and you need to determine where it will come from. You have a few options, you can choose to fund the business yourself, utilise government assistance (if available), obtain a commercial loan, or reach out to investors. Just to reiterate step-2, don’t leave your day job until this step is finalised.
STEP 6: Seek expert advice: There are numerous important items on your checklist that need to be handled as soon as possible in order to operate a company. Consult with specialists/professionals (friends?) on how to handle the accounting, tax, and legal aspects of your business.
STEP 7: Launch and grow your business: Hopefully the sales start coming in and you are starting to see some profit from all your hard work and efforts. Make connections and get your brand to your customers as much as possible. Set future goals for your business, such as what direction you want the company to head, sales and profit goals, or company culture. These goals will set you up with the proper tools and information so that you can be on your way to entrepreneurship in no time.