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Are you an entrepreneur? Do you really want to start a business? If
your answers to these questions are yes, and your desire does not disappear as you go
forward researching your business opportunities, here are some "helpful hints"
that will enhance your success.
Commitment. Starting a business is not easy and the single most
important factor is your personal commitment. It typically takes up to five years for a new
business to reach profitable levels. Initially, this means that as the business owner there are
nominal returns for your efforts. You must be totally committed.
Need. Starting a business is an undertaking. First, you must
review the merit of your idea. Is there a market for your product or service? You need
to also analyze the potential for your market. What is the size; who are the
buyers; who are your competitors; etc.
Preparation. Starting a business is much like a real estate
development . . . instead of location, location, location . . . it is preparation,
preparation, preparation. This involves laying out a business plan,
developing financial projections, and preparing a balance sheet of income/expense statement for the
first 12 months, together with projected profit and loss statements for the
first five years.
Marketing. You need to know your business' competitive advantage when
creating your marketing plan. What will make you unique that will bring you
business? It may be low cost, service, locality, quality, or a combination
of factors. Then you must communicate your uniqueness and play it to your advantage.
Remember there is no such thing as ever being finished with Marketing.
Capital. It is important to also remember that the number one reason that a
new business fails is lack of capital. Be sure to have in place a good source of
financing; whether it is coming from your personal savings, family, financial
institutions, government programs, or off balance sheet financing, such as leasing.
Team. Your team needs to include having the best staff that you can.
By taking your time, you will be able to hire more and fire less. It is important to be
clear about what you expect from your staff and to provide them with the appropriate
tools, including educational training, computers, and mentoring. There is also a second
layer to your team and that is your advisors. Choose your accountant, attorney, banker,
and other consultants based on their understanding of your business' needs and
goals.
Your team is there to assist you in meeting the challenges of your new and growing
company to make a successful business.
Remember, starting your company takes commitment, need, preparation, marketing, capital,
and a good team! You will get a lot of advice along the way to starting your business. The
secret is to choose what you feel is right for you. My "advice" is to
seek out successful entrepreneurs; ask them what was the key to their business'
success.
Wishing you much success,
COMMUNITY BUSINESS BANK
Debra R. Lins
President & CEO
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