How to Launch, Build, and Sell a Business
If we have a great idea for a product or service, we may consider starting our own business. We can run a business as our primary source of income or as a side hustle for a little pocket money. In addition, our business may be open all year or only during certain seasons. If we want to be successful business owners, we must consider how we will start our business, how we will grow our business and what we will do when our business is finished. While running a business can be difficult, if we plan and think it through, we can put ourselves in a good position to succeed.
Starting a Business
As new business owners we tend to feed off our initial excitement but can become frustrated when that motivation fades. The best way to achieve any business or personal goal is to write down every step that must be taken. Some steps may take only a few minutes, while others may take hours, days, or even weeks. The point is we need to be always moving forward with our business.
Next, we must consider what sets us apart from our competitors. We can perform a SWOT analysis to see how our product or idea would fare in the market. Next, we should develop a business plan that will serve as a road map for launching our new venture. We need a scalable business model so that we can accommodate more customers.
When starting a business, there are several legal issues to consider, such as selecting a business name and obtaining licenses and permits. There are also fictitious business names known as “Doing Business As,” or DBA. Finally, all businesses are required to have a federal employer ID.
Growing a Business
To be successful in business, we must be organized and keep detailed records. In addition, we must not be afraid to study and learn from our competitors. “What’s the downside?” is a good question to ask ourselves. If we can answer this question, we can determine the worst-case scenario. Knowing the risks and rewards helps us make sound decisions about when to launch our company.
Just because we start a business, doesn’t mean we’ll start making money right away. In some cases, we may discover that we need a loan from a lender like Western Shamrock to cover short-term expenses or to buy necessary equipment. All businesses face periods where they need financial assistance. Taking out a loan can make all the difference and allow us to take our business to the next level.
It is critical to note that if our company continues to lose money after a long period of time, we should investigate whether there are any issues with our product or service. For those of us who are dedicated to making our business succeed, the adage that there are no weekends or vacations may ring true. The best startups also have a scalable product or service.
Selling a Business
It is critical to understand how to best position our company if we want to sell it. Some businesses have a high value for prospective buyers, while others do not. Being honest with ourselves about what our business is worth makes sure we get the best possible deal. This also means understanding how valuable our employees are to us. When we have invested a significant amount of time and effort into growing our company, the last thing we want to happen is to be taken advantage of. Another option is to give our business to a trusted friend or family member instead of selling it.
What might happen once we have sold our company? One option is to consider buying another business. If we go that route, we want to devote as much time and research as possible to purchasing a business. We don’t want to rush into such an important decision. Buying the wrong business at the wrong price can cause us problems in the long run. The Internet can be a valuable resource as we investigate what is available. In other cases, we will want to enjoy our retirement and take a much-deserved break from the hustle and bustle of running a business.