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Local Business  » Are You Ready To Start Your Own Business? The 4 Key Questions

Are You Ready To Start Your Own Business? The 4 Key Questions

Article:

Every year millions of people answer "Yes" to that question and

every year that answer costs many of them money, time,

confidence, and heartbreak. The Small Business Administration

estimates there are 580,900 new small businesses opening each

year and that number does not include the small one-person

entrepreneurships that pop up every day. However even if you are

your business's sole employee then there is still something to

be learned from the SBA's numbers.

According to the SBA, two-thirds of new businesses survive at

least two years and 44 percent survive at least four years. Two

of the key factors in the businesses survival and ability to

thrive: the owner's education level and the owner's reason for

starting the firm in the first place.

How can you make sure that you are among the winners rather than

the losers in this high stakes game? The answer is inside of

you. You must ask yourself four key questions to determine

whether your own small business will survive and thrive.

1. Are You Ready

Have you mentally prepared yourself for the switch from employee

(or student or whatever label fits you currently) to boss. You

are going to be the one making decisions now about everything

from office products to product line. This total control is one

of the driving forces behind many people who take the plunge

into starting their ownbusiness but it is also one of the

elements that drives new entreprenurs crazy. When you start out

there is an endless list of decisions that need to be made and

new questions crop up every day.

Even more important you will need to remember that in a small

business you will wear many hats. Even if you manage to start

out with one or more employees you will each fulfill more than

one role in your new business. And if you are running a one-man

or one-woman show then you serve in every capacity from file

clerk to maintenance crew to salesman to CEO. Can you handle

switching from task to task and role to role like that? Are you

willing to make those switches?

Similarly, have you prepared your family and friends for this

switch in attitude. Your life is going to change -- probably

pretty drastically -- and that change can have a positive or

negative impact on your family life and social interactions. It

will make things much easier if your friends and family are

supportive going into the process.

2. Where Is Your Niche?

Have you identified your niche yet? One of the reasons many

businesses fail is that they fail to focus on a target audience.

Yes if you are a major discount chain then you can sell

everything from peanuts to wallpaper but this type of business

requires vast resources that just aren't available to the small

business. But small businesses dominate the marketplace

(creating more than 50 percent of the private gross domestic

product last year) by finding a different approach -- a niche.

Knowing your niche means you are better able to find, target,

and maintain your customers as well as provide the best possible

goods and services to that customer base. That focus is one of

your best chances to not only survive but to thrive in a very

competitive marketplace.

3. What Is Your Plan Of Action?

Another key factor in the survival and ultimate success of your

business is how much planning you do before you open your

electronic or physical doors. You need to decide if your

business will be based on the internet or include more

traditional models. Are you going to work full-time or part-time

at your new business? Are you going to hire help or go solo?

Have you written (or at least outlined) your business plan?

Dreaming, thinking and planning can save you much trouble and

waste later when things are hectic and problems strike. Planning

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can also help keep you focused and to balance your spending and

time.

4. Who Are You Going To Call?

At some point, no matter how experienced a business person you

are, you will need help. You will need support, advice, tools,

or information -- or all of the above. One of the beautiful, and

most frightening, aspects of growth is that it can lead you to

places you never imagined. No matter how much planning and

experience you bring to your new position as CEO the unexpected

will arise. How will you cope with this? It is important to

recognize that no business is an island. It is not failure to

seek help. Failure is when your business shuts down because you

didn't get the help you needed.

The best way to get timely help is to work on your support

system while you work on building your business. That way you

will already have a ready list of resources available that you

can quickly tap into when emergencies strike. In today's world

there are many marvelous resources available to you no matter

what your business model may be. These include:

~ Publications (newsletters, magazines, books)

~ People (professional advisors, mentors, teachers, consultants)

~ Networks (organizations and forums in your niche as well as

general business and marketing)

~ Education and training (tutorials, courses, and seminars)

After you have answered these four key questions you are now

ready to ask yourself that one big question again -- are you

ready to start your own business?

About the author:

Deanna Mascle is happy to offer advice about Starting Your Own Business as

well as other advice about Small

Business. Internet marketers can also subscribe to her

internet marketing newsletter Establish Your

Epresence for advice and tips about promoting and growing

their business.