Launching Your Own Business? Consider These Steps First!

Job loss continues to climb, despite the best efforts of politicians to curb the problem. Some analysts expect that unemployment will top 10% by the end of the year, a rate not seen since the early 1980s.

Unlike previous downturns, this one is likely to have long legs to it, especially for mid and later career workers who are discovering that their original career path has come to a dead end. For these people, they’ll have to retrain whether that means formal schooling or learning a new business.

Birthed Out Of A Recession

Do you have a bright idea to launch a new business? With so many workers rethinking their career plans, carefully cultivating your business plans is a must.

I launched my writing business in November 2002, when the New York City area was going through a downturn. That recession was localized, a direct result of the terrorist attacks of September 2001. Recovery came the following year, but by then I was already immersed in my new venture.

Since then, I’ve tweaked and refined my business, shedding those tasks that were poor money makers (or I was disinterested in) while acquiring new skills and clients. I have to say that I’m happy with what I do, but the work isn’t easy. Good thing I like working sixty hours a week because I can’t imagine myself holding down a job I hate even if that means “only” working forty hours each week.

Different Strokes For Different Folks

People ask me how they should get started with a business, but I know that there isn’t any “one size fits all” plan. However, over the past seven years I’ve picked up enough ideas so that I can confidently share with you what works for me including the following:

Work Your Passion – Never, ever start a business that doesn’t interest you. Why would you want to run a flower shop if you’re more interested in selling model cars? Sure, one job may “pay the bills” but I believe in the long run your passion will pay you more. Besides, if you have to work hard, why not work hard at doing what you love?

Plan Carefully – “The best laid plans of mice and men often go awry.” John Steinbeck said that, I didn’t. But his statement is true. In any case, you still need to craft some sort of business plan outlining your ideas, listing your short term goals and what you need to do to help sustain your business for many years. While initial planning is an absolute necessity, tweaking your plans as you go along is essential.

Stick To A Budget – The “B” word or budget isn’t a favorite of many people, but it will help you survive for the long term. The percentage of business failures is quite high, but it could be much lower if small business operators stuck to a budget, regularly and carefully reviewing their income and expenses.

Smart Networking – Social networking is all the rage, a way to bring people together online. For internet based businesses this is a must, while brick and mortar shops would do better to concentrate on local networking first. Join the Chamber of Commerce, seek assistance from SCORE (Service Corps of Retired Executives), find a mentor, take a class, etc. After that, make sure that your online profile is known, joining LinkedIn, Facebook and Twitter to cultivate a wider network of contacts.

Ask For Help – When you’re immersed in a business, you can get overwhelmed by the many different responsibilities and problems that crop up. Your networking base can be tapped when you need advice or a friend consulted during those times when things seem like they are unraveling. There will be times when you need to give the business side of you a break, while you pursue activities that you enjoy (reading, exercise, lunch with a friend, travel, etc.). You may not be able to take a one or two week vacation just yet, but a few hours off here or there could be all of the refreshing that you need for the moment.

Managing Your Own Business

As I mentioned earlier, there is no “one size fits all” plan for running a small business, even if your business is operating the local franchise of an international food establishment. Guidelines can certainly help, but people, places and circumstances are frequently unique, requiring that you respond accordingly.

Years later I can attest that starting my business was the best step I’ve taken over the three decades that I’ve been working. I’m not likely to ever work full time for anyone ever again, but that is okay for me. I’ve tasted self employment and am perfectly happy to be my own boss — perhaps you would be too.

See Also — So, You Want To Be A Freelancer?