What to Consider Before Starting a Business

It can be a very compelling and driving force – you’ve got a great idea, a unique service, a fantastic line of recipes, or a can’t-miss product.  But launching a business is not the next step…it’s the last step on the road to entrepreneurship.  Your time, money, and future are on the line, so take some time to get your ducks in a row and look at the business with a rational eye.

Make a Business Plan

A business depends on a lot more than great products and services to be successful.  Like a newborn child, it has its own life force that comes with certain needs and requirements in order for it to survive and thrive.  Plan out the structure and processes of your business first.  You will need a hierarchy of management, which may be very limited at first.  You will need to keep financial records and file taxes.  You will need to determine if you should form an “S” corporation, a “C” corporation, or a limited liability corporation (LLC), which could make a big difference in your profitability.
Of course you will also need to find a location, design the customer interface (whether it is a store, a website, or a mailing list), price out everything you will need to get set up, and determine the size and scope of your business.  You will need to define your demographic so that you can choose the right location and/or target your marketing properly. You will need to research city codes and know what licenses are required.
Making and serving your gourmet lasagna is a very small part of the whole operation, so before you get too far, make sure you are up for all of the other tasks involved and then get things in order.