OK, so you’ve come up with a great idea for a business. Be it large or small there are some important things to consider before your dreams can become reality. The business world is littered with near misses and abject failures. Planning and preparation is key. Above all else the period leading up to the opening of a new business is the most important stage. As the old saying goes “failing to prepare is preparing to fail”.
Lay the foundations with good research
Do some research or get some advice with regards to writing a business plan. It does not matter how long or short your business plan is as long as it covers the points that are essential for your business to be a success. You obviously have a passion for the business you intend to start but that is not enough. You must cover key areas in your business plan such as a cash-flow analysis, a profit-loss analysis and a break-even analysis. At the start of your journey finances could become very tight. You must be able to show how you are going to be able to cope with a dramatic dip in the market or more encouragingly a massive upturn in business. Yes, this can be a problem too. For example, if your product is selling at an ever increasing rate you may have to buy more stock even before you have been paid for your previous sales. All of this needs to be taken into consideration.
Financing your business
Try and start the business by using your own money. If at all possible stay away from loans as the re-payments will be a drain on your profits or will add to your losses. It is sensible to use as much of your own money as possible even if it takes longer than you wanted to start the business. It is understandable that you are eager to get your business up and running but in the long run this will certainly be of benefit to you and your business.
Protect yourself and seek advice from an experienced business lawyer. There are many law firms that employ specialist business law lawyer in Bethlehem, Allentown and the surrounding areas. They will give you the expert advice and direction that you are looking for. business law can be very complicated and it is always best to consult an experienced professional before undertaking any sort of financial trading.
Finally, be prepared to work long hours. Businesses need time to grow. In the early stages it is quite possible to work long hours for very little profit. Don’t be deterred. If you have a good idea, have sought the right advice and are passionate about the business that you are running then you have an excellent chance of success. Enjoy the ride.
Sigmon and Sigmon, P.C, are experienced business law lawyers in Bethlehem, Pennsylvania.