Choosing a Business
Choosing what business you are going to start is the biggest decision when starting your own business. There is a certain type of people that I see at small business seminars, and I know they are headed towards failure.
Headed for Failure
The people headed towards failure used to work in some niche market, and the demand for their services dried up and they were laid off.
If you were laid off due to decreasing demand, do not open a business doing the exact same thing you were doing before. If you were laid off due to a decrease in demand, that means there is no demand anymore for that service.
Do research and evaluate fairly your alternatives to owning different businesses. Franchises have a great success rate (80%), but some franchises charge outrageous fees and maintain too much control over your business. Some franchises are notorious for abusing their franchisees almost to bankruptcy (and have been subject to lawsuits because of it).
Never rush into any decisions. Do not sell a nutritional product business or beauty product business after an inspiration one-hour presentation. Never buy anything immediately after a presentation. Always do independent research, and think about a business decision for at least a week.
Try on different businesses. Tell your friends and family you are planning to open a widget store, and ask them what they think about it. Pretend you have already made up your mind, and live in the idea for a while.
Run the ideas past your friends and families. Make it clear that no feelings are hurt by honest opinions. I have avoided serious problems by listening to my friends and family. Listen to your friends and family, and always respect their input. You will need them for a successful business.
You need friends and family for a successful business. Treat them well, they are apart of your business.
Businesses that cannot be outsourced and cater to the baby boomers have sunny outlooks. Research many different companies, and discover one that fits you the best.
If after reading this you are thinking; she was too vague, or I wanted to know what type of business to open. The truth is, that what business is right has to do with you, your finances, your support network, your local economy, and your skills. I would be lying to you if I told you you’d be a great real estate agent, bar owner, or Mary Kay salesperson.
Part 1 – Forming a Business (Sole Proprietorship, LLC, S Corporation)