10 Things To Consider Before Starting A Small Business

10 Things To Consider Before Starting A Small Business

Provided by: Jabai Industries

Given that there are many mistakes that can be made when starting a business or already having one in operation, 10 considerations will be discussed that will help flesh out some possible mistakes business owners could make.

These are shared in order to help others be able to save time and money by not making the same mistakes, and thus be able to set a stronger foundation from which their business endeavors can take off from and maintain themselves on.

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#1 – Initial Registration & Considerations For Your Business

What type of business do you have? Will you have employees? Are you going to register as a sole proprietor or as an L.L.C.? Do you have a local or online business?

Your answer to those questions will undoubtedly tailor the best approach that you should take. Moreover, each answer has a distinct approach that is probably best for it, and/or best for you, so thoroughly researching the advantages to each question and consideration (such as to register as a sole proprietor or as an L.L.C.) will save you a lot of time or money.

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#2 – Conceptualizing Your Business Name

A common mistake that can be done by many new business owners is registering too many business names, websites, and so on. This is problematic not only because (1) you are spreading yourself too thin, but because (2) you could end up misallocating considerable time on multiple endeavors instead of sticking to one initially and securing that business model, (3) and you could end up spending considerable resources by registering too many business names, or websites, that could go to other portions of your business or even to self-growth as well.

Whatever business name you choose, make sure that you contemplate that at length so you don’t end up regretting it later by having made decisions that could have easily been avoided with some rumination and research.

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#3 – Consider The Overarching Implications Of Your Business Name
To simplify: does your business model only entail one area such as fitness, or is it something more broad? Is your business model simply arts and crafts, or does it include singing, acting, performance art and so forth? There is a distinct difference because whatever business name you choose to use will set the tone for what kind of customers and clients you get.

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#4 – Merchandising Your Business

Make sure you allocate your resources correctly.

For instance, a great mistake that is made by initial business owners is that many times merchandise is ordered in numbers much larger than it should have been ordered, or maybe that merchandise was ordered too early given that there’s no audience for that merchandise to reach.

It will always be easier for individuals to move merchandise with an audience already having been created or available, then it is to create an audience with your merchandise when your business is starting.

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#5 – Pondering The Range Of The Services For Your Business

While staring a small business is incredibly commendable and laudable, it could be easy for an individual to pigeonhole themselves into just one area business.

As an example, if you only offer a unique service or luxury items, those items and services can at any moment be no longer sought after by clients and customers depending on circumstances. This doesn’t mean one shouldn’t consider following suit with a business or an idea just because it’s a luxury item or because your business caters just to one demographic, not at all. It simply means deeper consideration of the fact that your business model might be dependent on not only a little bit of luck, but personal financially circumstances of clients and customers, and more importantly, regional, national, or global economic circumstances which affect everyone.

Not expanding onto other areas could be a mistake depending on what your future plans are, where you live, and what your business model is.

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#6 – Making Sure That You Have An Audience

Know your audience: is the consumer base that your business model needs already there, or do you need to work from the ground up in creating it? This is a crucial distinction.

If the prior is the case, then you don’t have that much of a problem. If the latter circumstance is the issue, then you might want to consider building an audience with social media such as Facebook, YouTube, Instagram, Twitter, and so on. This way, whenever you do advertise your services and merchandise, it already has a baseline of potential consumers for it to reach.

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#7 – Referrals & Affiliations

A great way to expand your business relationships and customer base is by creating or joining a network of like-minded business owners.

For instance, while you might only have a business in the realm of health, someone might require vehicle repair services. If you happen to already know someone that is a mechanic or owns a business, then you can refer that friend or client to that individual or business, thus strengthening that relationship given that you’ve not only promoted their business, but you’re showing yourself to be loyal to that person as you would others, which often can reap rewards of varying scales.

By remaining open minded, extending your network, and seeking to create referrals for others as well as strengthening the affiliations with other business owners, you stand to benefit by:
* Referring friends or clients to other business colleagues, and vice versa.
* Strengthening the individual relationships
* Strengthening the overarching network depending on how far reaching that referral extends to.
* Creating more contacts for yourself and/or others.
* Your business profiting and growing from the growth of the referrals and affiliations.

Simply stated, don’t ever underestimate the power of referrals. It has a lot more range than it is given credit for, it is simple, and it cost nothing but time and effort.

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#8 – Waste Of Capital

There are a lot of ways that capital can be misspent in business venture. This can be as simple as purchasing too many business cards and business supplies that aren’t needed yet, to something like purchasing merchandise (i.e. apparel) without having an audience available that will sustain that sort of investment.

Another great example is moving to a brick and mortar store way too soon without having the capital to withhold the business expenses in hopes of having that capital to be built later.

Capital that is misspent once is a hard lesson earned, and something that we all go through whether in life or business, but it’s something that can often be avoided with some research and extended considerations.

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#9 – Changing Project Names Too Often

It is easy to fall into the idea that you have a business name that you love, and thus, go into creating a name, website, social media platforms and so on, when you get started. But many times, though the idea may be ironclad, the name might not be, and you might end up switching names to often.

If you chose name A for your business and created a website with name A for it, then if you change the name for that business, you will have to change the name of the website, so on and so forth. You can see how this one mistake can trickle down like a snowball creating an avalanche of complications later on depending on how far and wide the name was extended towards.

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#10 – Spreading Yourself To Thin

The issue of spreading yourself too thin in business can take place in:
* Multiple project simultaneously
* Changing business names often
* Having too many meetings
* Spending too much time on the phone
* Spending too much time on social media
* Expanding into too many services and products
* Running and expanding a blog (or blogs)

There are many more ways in which a business owner can spread themselves thin, so it is crucial to keep awareness of where time leaks might take place, because every hour that’s misspent in business is an hour that cannot be gained back, and is an hour that could have gone to growth in some other areas.

Final Thoughts

In life, like in business, it’s easy to make mistakes. The great thing is that both life and business almost always offer a second chance. That doesn’t mean business owners should be afraid of making mistakes, not at all. This simply means that careful consideration should be had given that many times the mistakes that are being made could have been avoided because hundreds if not thousands of business owners have made that mistake before, and some have probably talked about it.

This isn’t always the case, but you would be surprised how many success and failure stories there are out here with gems of wisdom on do’s and don’ts for businesses of all types.

Don’t be afraid to try something out simply because you might fail, but don’t be gun-ho about storming towards the horizon with a new idea simply because it seems fantastic without giving it much thought either. Make sure to be mindful, proactive, and do research, if not considerable research into whatever field you are in to make sure that you not only start out the correct way, but you also limit the mistakes you make, as well as saving time and money that will be better allocated elsewhere.

Do any of you have any other mistakes you made in business that you wish to share, ideas that you wish to impart or wish you might have taken part of, or thoughts you want others to consider? It would be great to hear your input below on these topics below.
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Content Provided By Jabai Industries

Article Written Zy Marquiez
Writer, Researcher, & Book Reviewer
Owner of Blocked Up

The Reality of Being An Entrepreneur

Entrepreneurship is a booming career path with the upcoming Millennial Generation. With this being said, I want you, the reader, to explore what the journey of entrepreneurship really entails, in efforts to create a dialogue of your thoughts and experiences in your specific industry.

 

Make Friends With Stress

stressCongratulations. You made the decision to stress over the growth and development of a newborn business that lives or dies based on every action you take. Being a business owner, especially as a small business start-up, requires a lot of construction of foundations of company systems and structures. Unless you have established funding and pre-established staff personnel, you are now responsible to raise this baby of a company on your own. Time to grow up, man up, and be the father (or mother). Get use to stressing about the progression of your child.

Eat Shit For Years

clean-863691_960_720Most of you made the decision to “be your own boss” because you got tired of listening to the commands of someone else, hated being on someone else’s schedule, dreaded working in your previous work environment, or some other random reason. Guess what, sometimes in life you have to deal with those issues to learn the skills necessary to form your own business, build a network through the audience of a current job, or become one step closer to being mentored by the right individual. You might hate shining shoes, fetching someone’s coffee, or cleaning up after someone.. But in the end, if that allows you to become one step closer toward building your business, then suck up your pride and be the best shoe shiner you can be!

Building Funds By Building Up Someone Else

money-2724241_960_720Unless you were given funds/grants to open a practice or business, more than likely you are or have had to save up funds in efforts to launching your business. It is going to take years of working for someone else, helping them fill their wallet, before you will have enough saved up to work on your own dreams. Give all you can to build up the other person, and you will realize just how much that person can actually help you in return.

Social Media Is Saturated, Be Unique

tree-200795_960_720Everyone wants to be the “next big thing” on social media. It’s time to realize how saturated everything has become on the web and find what truly sets you apart. You have to find your niche, understand the problem of the audience, solve the problem, then provide that solution. Even that being said, you have to promote your campaign strategically so it doesn’t come across as just another similar company within your industry.

Invest In Your Health

physiotherapy-595529_960_720Being a business owner takes a huge toll on you. I rarely acquire 8 hours of sleep, although I should. I rarely have a stress free weekend, although I know I should. I rarely have a weekend to do absolutely anything I want unrelated to work, although I know I should. There is a lot I know I need to invest into more. I don’t have any excuses. But I want to share my experiences, and recommend you set aside time for your health. Invest in proper rest, hydration, nutrition, physical activity, and stress relief activities. Invest in yourself.

Friends Come and Go

runners-635906_960_720The time it takes to sleep, work a “standard” job, workout (invest in your health), and then work on your business, leaves very little time to just run around. Sometimes individuals that don’t see eye to eye with us on our journey, only see the quick glimpse of a picture right in front of them. People can take your investment into your business as a personal insult on eliminating time spent with them. You can only hope that your friends understand how much time and energy it takes to develop a company, along with all the other internal and external stresses you might be facing.

If They Had Your Mindset, They Would Be In Your Shoes

brown-shoes-1150071_960_720As we begin to invest in mentoring, training, and hopefully hiring team members, more stress begins to pile up. Sometimes individuals that we seek to carry out tasks with the same ambition and drive as we have don’t hold up to your standard. This shouldn’t be seen as a flaw in their character or as an insult on your leadership skills. Understand that your dream to run a successful business might not be the goal of any of your employees. Most individuals are usually working to receive a paycheck to pay bills. You have to capitalize on the strengths of your staff, embrace the weaknesses, and encourage a positive and driven work ethic.

Play Nice, But Never Stupid

action-3435773_960_720People can take advantage of you if you enter any industry blind and naive.  You have to embark on this journey both strong and confident in your trade. With this being said, help build relations, grow your network, establish alliances, and be kind to everyone you encounter. The goal is to never burn bridges. Take the time to build others up. While you focus on your goals, also lend a hand to those that might need to be uplifted. Realize that not everyone in the industry is out to get you. But, also know that most of your competitors also love to see you slip and mess up. Understand when to lend a hand, and when to make a move.

Good Things Don’t Always Happen To Good People

filmmaker-2838945_960_720.jpgYou are gonna run around, bust your ass, and believe that something good is gonna have to come from all of your hard work. You are gonna want to hold on to the belief that good things ALWAYS happen to good people. But in the world of business, sometimes people just want to see your company burn. You have to play the game strategic, line up your network, establish referral funnels, grow your audience, and most importantly BE YOURSELF. Just because you are a good person, doesn’t mean good things will happen to you. On the flip side, being true to yourself makes your goals and success so much easier to achieve. In the end, fight for what you believe in, and nothing is impossible to achieve.

Sometimes Business and Family Doesn’t Mix

familyWhen growing your very own business, you might find it hard to resist bringing your family into the picture. Maybe you want to bring one of your family members into the company as an employee or to manage a specific department. It will become difficult to not mention small business achievements, team discussions, progression updates, or anything that has to do with the development of your company to your family. Understand that business shouldn’t consume your discussions with family, and from experience, it is best to completely separate the two. The last thing you want is for business to be the center of a family conflict. Make time for both family and your company. Invest in those that truly matter the most.

 

At the end of the day, being an entrepreneur isn’t always (but can be) a very difficult, lonely, and stressful journey full of obstacles. It is up to you and how you overcome those obstacles that shape you and define you as an individual. Not all aspects of entrepreneurship sound so cold, but we tend to glorify the “career path” as a golden route, when in reality the journey can be full of struggles. I hope you, as a viewer, read this and it begin a discussion with yourself on your decisions to start your own company, or you are able to relate with each point made.

 

Whether you have began this journey, or are debating to begin, feel free to reach out to us via comment and we can collaborate on our experiences.

Never feel like you are in this battle alone.

Let’s make it together.

#LeadByExample

 

 

Photo Dec 09, 8 29 32 AM

Content Provided By:

Hussien Jabai of Jabai Performance LLC