Is Now the Time to Open up a Small Business?
As the economy looks to gain steady traction, national unemployment hovers around 9.2 percent and the debt ceiling talks drag on in Washington, D.C., some potential small business entrepreneurs wonder if this is the time to open up their first venture.
While the economy may tell such individuals otherwise, many experts will state that the best time to start a small business is when the economy is struggling, given that individuals may turn to small businesses for their local or online purchases.
According to the U.S. Small Business Administration (SBA), small businesses are the largest employer in the country, representing 53% of the nation’s workers, and have generated 64 percent of net new jobs during the last 15 years.
Even if your own financial numbers are not quite what you want them to be, don’t just assume that your dream of starting a small business is on hold for several more years, especially given the statistics above. With the right planning and initiative, you can improve the chances of getting your small business dreams off the ground.
There are several steps to the process, including:
- Produce a Strong Business Plan – Given you make plans for important each important time in your life, the business plan is essential to getting off to a good start. Among the items to highlight will be how much money is necessary for both business and living expenses in the first month; how you will promote your news business; and an estimate of how much money your business could bring in during the first 30 days.
- Will I Have People on the Payroll? – Some individuals start their small businesses off with a few employees, while others try and go it alone initially or have family members/friends to volunteer. Whichever route you choose, keep in mind that hiring a certain number of employees will lead to other considerations like health benefits, workers’ comp etc. If you are looking to hold the line on expenses and have the energy to do it yourself initially, then do it.
- Having the Ability to Change on the Fly – Let’s face it; the best business plan in the world is going to need to be adjusted from time to time. Plan for some contingencies; don’t get down no matter how tough things may get. Being able to react quickly to any major issues is important so that your business is able to keep going and not come to a dead stop to deal with problems.
Why Your Own Small Business Makes Sense
While the troubled economy makes many potential entrepreneurs think twice about starting their own businesses, here are some things to chew on:
- Layoffs May be Imminent – As the economy continues to bounce around, some larger employers may be getting cold feet, therefore laying off people. Whether you’ve been somewhere 20 years or 20 months, everyone is expendable. With that being the case, having your own business leaves you 100 percent responsible for how things will play out.
- Local is Where the Heart Is – While some consumers will still decide to shop at the bigger-named stores both in person and online, more and more are trying to shop locally in hopes of saving some money and cutting down on transportation and other issues. That being the case, you have opportunities as a small business owner in your community to have a positive impact and do well for yourself.
- You’re on the Clock – As more and more corporate workers are finding out, despite the reliability of a regular paycheck, commuting to and from the office, working challenging hours, not getting along with co-workers etc. can wear on them over time. While your responsibility level goes up when you are calling the shots, you have much greater independence, leaving you the ability to determine how hard, how long and who you work with.
Working for oneself is not for everyone, but for many Americans who are able to successfully start and keep a small business running, they wouldn’t have it any other way.
About the Author: Dave Thomas is an expert writer on items like payroll servicesand is based in San Diego, California. He writes extensively for an online resource that provides expert advice on purchasing and outsourcing decisions for small business owners and entrepreneurs at Resource Nation.
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I have come to believe that that the most important part of starting a business is have a strong business plan. You’re more likely to succeed if you plan. Make a list of what you think the business needs and what you need to have to achieve success.
Do some market research to find out if there is a market for the products or services you intend to supply.
Once all these are in place ,find out what legal requirements you’d have for starting a business like that in your area.
A small business need a strong manpower n initial investment n also to make a strong platform of business plan. Start a business which may flourish in future to a high peach!!
Personally, I think anytime is the right time to start a new business. You can put it off and come up with many excuses, economy isn’t right, wife is having a child, kids are too young etc. Just do it!
Providing the local access may be a good strategy to make our small business success.
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Taking all things into consideration i think u’re right, it is a good time to start a small business. so let’s get to it
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A business in its incorporation stage requires well organized product selling decision and also the marketing, which need consumer satisfaction and a initial investment….