With COVID-19 being declared a pandemic, the world has witnessed tremendous change in the business scenario. Many companies have shut down, and millions of people have lost their jobs at all levels & industries. You may not be interested in applying for another job because of the lack of security. The prevailing situation may prompt you to learn how to start your own business from scratch with less capital. This guide will provide you with valuable ideas that you can implement & start your dream project.
How to start a business: useful steps to follow
1. Determine business viability:
Find out if there is a demand for your products or services in your region. Identify your niche market and be honest about your findings.
2. Share your startup plan with your family:
Without cooperation & assistance from your family, you will not be able to tackle many challenges in business.
3. Business plan:
Developing one will offer financial projections and get to know the details. Revisit your plan & make a logical approach & changes as & when deemed necessary.
4. Money source for working capital:
You need working capital to operate your business for some time until you start making profits & surplus. Find out where to get this money. You can approach your friends, relatives, spouse, or financial institutions for loans.
5. Choose an appropriate name for your business:
The name chosen for your business should relate to your products and be remembered easily by your target audience. Check out with a professional if your desired name is already taken or available for your registration.
6. Legal structure:
You need to protect your personal assets. This will require incorporating your startup. Discuss with your attorney about the type of business structure that you desire to have.
7. EIN application:
This is the next step to follow on how to start a business. EIN stands for Employer Identification Number, where the business is differentiated from its owner. This is essential to open a current account in any bank in the country. this way, your social security number (SSN) is also safe from fraud.
8. Bank account:
You can visit any local bank to open a current account for your business.
9. Establish an accounting system:
On activating your business bank account, the next step is to select a viable accounting programme. It should be upgradable to allow future business expansions & growth.
10. Business license:
This will depend on your business location & industry chosen.
11. Rent office/retail space:
This step is essential to start your new business. The location to choose, the space required & other facilities will depend on your investment. Well-selected office space is sure to provide dividends in the long run & attract huge customer traffic.
12. Business website:
Once your business name is registered, the next step is to create a website. It should have all the information about your business, and the products or services you have on offer. The different web pages should be attractive, informative, relevant & easily understood.
13. Create social media profiles for your business:
Once all the documentation is completed, the next step is to promote your business among your niche audience. There are several popular social media channels where you can post your offers & details about your business happenings. It includes Twitter, LinkedIn, Facebook, etc. This will not only help your business reach its niche target but also make you aware of your presence. At the same time, it will also be beneficial to create a strong brand in the future.
14. Assign responsibilities:
If you have co-founders or hired staff, then you need to delegate their responsibilities. This should be done in writing to ensure the smooth functioning of your business.
Following the above steps will allow you to know how to start a business without any hassle.
