3 Important Steps to take Prior to Starting a Business
Have you ever wondered what steps you should take prior to starting a business?
As with all things in life, creating a good foundation at the beginning of any important endeavor is vitally important.
Here are 3 important steps I took when I started my first business.
Prepare your Personal Life and Finances
No surprise this is #1 on my list.
One of the biggest mistakes many entrepreneurs makes is that they neglect to prepare their personal lives before starting a business.
If this is not organized carefully, it will affect your business.
There is a lot of stress associated with being an entrepreneur, and if there are worries at home this will affect what is going on in your business.
Having buy-in from your family is important.
The long hours a business requires will take the support from those who are close to you.
Solidify those relationships so they are a strength to your business and not a worry.
Finances are also very important.
When managing money in a business, it is like personal finance on steroids.
If you are doing things correctly, you will be dealing with much larger amounts of money coming in and going out than with your personal money.
Your personal finances are a great place to start learning the necessary money disciples so you are ready when it is magnified in a business.
When this step isn’t taken, it is often the end of most businesses.
Prepare the needful areas of your lives to help ensure your business receives the attention it needs.
Develop an Important Skill or Product
For many individuals, their first business will likely be built around a skill or product they understand really well.
My first business was when I was as teenager.
I started working for a lawn care business, and once I learned the skills I needed, I started my own business with a friend doing the same thing.
This trend continued when I was an adult when I started doing financial consulting.
Learning and practicing personal finance for myself gave me the knowledge I needed to help others.
I also see this same trend with many business owners I work with.
Many started in the plumbing, HVAC, or electrical trades before working for themselves.
They first learned what they needed from an employer and then thy were ready to do it on their own.
Gaining knowledge or a skill is an important step when deciding what business you want to start.
You are more likely to succeed if you are working in an area you understand really well and have experience in.
Test your Business Before Quitting Your Job
For 99% of people I believe this should be a requirement.
I have talked with many people who quit their jobs before really establishing a business.
Many of them realized they weren’t as prepared as they should have been – often resulting in a failed business.
A wise first step is to start taking on customers to test your idea, skill, or trade.
It is also a good way to test your aptitude for starting a business.
Find out before you quit your job if you like working for yourself.
Better to find this out before quitting.
This also allows you to work out some of the inevitable kinks prior to going all in.
Having this momentum will help you feel confident in what you are doing.
Preparation when it comes to starting a business is vital.
These simple steps will help you increase your odds of success.
Being an entrepreneur isn’t for everyone, but for those who are able to succeed at it, it provides many benefits.
I believe everyone should at least explore this idea and see if it is something that will work for them.
The freedom of time and money that a business can afford is hard to find when working for someone else.
Thanks for reading,
Founder of 1911 Apparel