Starting a business is exciting, but before you jump headfirst into a new opportunity, you should ask yourself some crucial questions that will determine if this path is right for you. Building a small business isn’t for everyone, especially specific business ideas like in the food industry, and treating this decision lightly could lead you to a decision you might regret.
Ask Yourself the Following Questions
How Much Money Will I Need?
Every business comes with a start-up cost, which means you’ll need to save a few dollars before fully exploring your new opportunity. On Startfromzero.com, author Dane Maxwell discusses how there are plenty of businesses you can start for free, like blogging, freelance writing, and dog training, as long as you already have the skills necessary to start.
However, there are other businesses that need thousands of dollars in start-up-costs, especially if you require factory or office space. Create a budget and time frame by doing research ahead of time, so you don’t run into the unexpected. Plenty of companies will need a bank loan to purchase a building, so factor that into your cost as well as labor and renovations.
How Much Time Will it Take?
Creating a business takes a lot of time and energy. Most of us have full-time jobs, a family, or other responsibilities that take up a majority of our free time, plus there are plenty of reasons you will pull away from concentrating on building your new company. When drafting a business proposal, you need to understand how much time per week you can set aside.
Sometimes you won’t have enough time to set aside for your business, and it’s unproductive to set time aside when you only have an extra hour a week. It’s ideal to spend 10 or more hours a week researching and implementing strategies to ensure your business gets past the idea stage. You also have to ask yourself if that time will be spent wisely.
What are my Alternatives?
Starting a business isn’t for everyone. After researching how much time and money your idea will need, you may get discouraged – and that’s okay. It doesn’t mean that you can’t become more financially independent from your employer. There are plenty of other alternatives you can research that will offer you the benefits of entrepreneurship with less risk.
If you’re a graphic artist that wants to start their own company, you can freelance your skills part-time on websites like Fiverr. You won’t need to quit your job or establish your own brand or website; you just need to market your own account to find opportunities. Using another platform can protect you from financial risk if you fail.
Why am I Starting a Business?
This question is more important than you realize because plenty of people will go into business for themselves without truly understanding their own objectives. Maybe you admire your friend because their stay-at-home business gives them more freedom – but does it really? While working from home has its positives, there are negatives that professionals won’t discuss.
If you want to create your own business because it offers freedom, you also need to understand that entrepreneurs actually work more hours than the average salary worker. Owning your own business isn’t always full of positives. However, if you value the freedom to work when you want over the structure of a 9-5, you’re less likely to lose track of your business objective.
Be honest with yourself: is building a business right for me? Once you start building your business, it’s challenging to pivot away because you’ve already sunk time and money into your new endeavor. If you understand the risks involved and still want to pursue a new career path, you have a larger likelihood of success.