- June 5, 2020
- Posted by: Asheesh Sinha
- Category: Business plans
Starting your own business may be the dream you’ve been wanting to achieve for quite some time. Unlike a fairytale, you’re not just granted success by the touch of a magic wand, it takes effort and thoughtful planning. There are certain steps you need to take in order to bring your business to life and make your hopes and wishes a reality.
Register Your Business
To start your business, your first step will be to choose a name and formalize your company’s existence. According to TRUiC, you can do this by forming an LLC, or you can simply register your business’s name as a DBA (“Doing Business As”). If yours is a sole proprietorship and you’re working under your own name, this part is unnecessary. Next, you’ll need to be assigned an Employer Identification Number (EIN), which is used to identify a business entity. This is something that all businesses need and will help with tax returns.
Being able to have the funds to run your business is one of the most important details you should focus on. Depending on the type of business you plan on starting, funding may be hard to get. When starting a franchise, you need to be prepared to put in some of your personal money as a down payment and confirmation that you’ll have the ability to make good on the debt. According to Franchise Gator, lenders will often ask for 20% of the value of the loan to secure it. Before starting this journey, you need to ensure you are in a financial situation to do so.
Think in the Long Term
Although it’s important to focus on what happens short term, you also need to keep your eye on the big picture and think long term as well. It may feel like you’re investing so much time, money, and effort into your business, but it doesn’t seem to pay off right away. A lot can go wrong when you’re first starting out, but you need to stay positive and confident, and keep your eye on the overall goal. Don’t let negative criticism drag you down, take it as an opportunity to grow, improve, and learn from your mistakes. Having this mindset early on will help push you forward and avoid making those same mistakes in the future.
Starting your own business is definitely not a walk in the park. There are so many details to pay attention to and so many lessons to learn. By taking small steps such as registering your business, getting the necessary funding, and thinking in the long term, you can be well on your way to make your business dream a reality.
Need help launching your own business? Contact us today and we’ll help you make a business plan!