Starting a business is a potentially rewarding albeit daunting process. While technical proficiency can be enough to get you a job at your industry, a lot more is required if you plan on starting your own company. Fortunately, you don’t have to be in the dark when figuring out what you need to start a business. Use this article as a checklist to see whether or not you are ready:
Leadership Qualities
Leadership skills is equally important as technical skills when running a business. Without the former, you cannot lead your employees, negotiate favorable terms for your business, or whether the challenges that come your way. Some important leadership qualities to have include strong communication skills and the ability to take on great levels of risk. Moreover, being assertive and knowing exactly what you want to happen are some of the hallmarks of successful entrepreneurs.
Capital
Without enough capital to shoulder your expenses for the next few months, you’ll have a difficult if not impossible time growing your company. You’ll be forced to take part-time jobs or go for cheaper, subpar alternatives. Have enough money saved in addition to the amount you will be seeking from outside investors and lenders. Determine how much you need to start your business by factoring in every expense you can identify, from equipment and supplies to business permits and employee wages.
Point of Sale System
A point of sale system is as the name implies – it is the point or part of the business that handles/closes the deal with customers. The simplest point of sale system is a cash register wherein a retail transaction is finalized when the customer hands out his/her cash in exchange for products/services provided by the business. Without a point of sale system, your business will have no clear and systematic way of closing sales. A POS system also helps you be aware of change in your business finances.
Co-Founder
Co-founders are another integral piece of the startup puzzle. As Larry Page had Sergey Brin and Bill Gates had Paul Allen to build their respective behemoths of a company, you also have to find someone who can help you grow your business and fill your gaps and weaknesses. An ideal co-founder is someone who shares your vision about the business you plan on building as well as have the technical background to oversee operations.
Location
Keep in mind that you don’t have to have fully furnished, serviced offices in your first month of going in business. In fact, a lot of successful companies started off at home, from Harley Davidson to Microsoft. If you need retail space to market products/services, choose a location that is easily accessible by public transportation and is close to a metropolitan area. Avoid immediately going for prime locations at popular city hubs as the lease in these places are quite expensive.
These are only five of the many things you’ll need to start a business. Other things you’ll need to invest in include a professional website, equipment and machinery, and manufacturers. Depending on which stage of the business you are in, you may also need to draft a well-detailed business plan to present to investors.