Most of the businesses you see around sprung up from a simple idea. The owner took the idea, acted on it, and a business was born. It is a process, and to some, the process may seem cumbersome. Others, especially those with the right information on how to set up a local business, can speed through the process without breaking a sweat. Read on to learn the steps to set up a local business.
Decide on the business structure
We spoke to Jason who has successfully structured his start up cabinet refinishing business about how he went about it.
The first thing you need to do before embarking on the process of setting up a business is to determine what the structure of the business shall be. The business structure refers to how you’ll operate the business. There are four common forms of business structures, for example, sole proprietor, trust, partnership, and company.
A sole proprietor business structure is a business where the proprietor operates on his or her own. A partnership business is where there is an association of individuals or entities in the management and running of business. A partnership isn’t a company. A trust business is where there is an entity holding income or property on behalf of another entity or individual who is the beneficiary. Lastly, a company is where the business is a legal entity capable of suing and being sued and is a person in the law separate from the shareholders.
As the business grows, you can opt to change the business structure.
Decide the business name and find out if it is available
Your business will need a name under which it will operate. Give it a suitable name and check with the appropriate entity to find out if the name is available. If the name is in use by another business, conjure up another name for your business.
Once you find a name, register the name with the appropriate entity to secure it from being used by another business in the future. It is noteworthy, however, that the business name is simply an identification, and registering that name doesn’t give you all the rights over it. To get full rights over a name, so another entity doesn’t use it, consider trademarking it.
Come up with a one-page business plan
It is important to create a simple business plan detailing your business’ vision, mission, objectives, and basic strategies as well as a simple action plan. Many small startups often fall into the trap of drafting complex business plans, which isn’t really necessary, at least at the start; you’ll need that only when seeking financing and investment.
It is also important to test out an idea before injecting lots of money and precious time.
Get a Website
It doesn’t matter if your business is brick and mortar or it is online; you still need a website. It is a travesty not to have a website in this day and age with social media and the internet being such a big part of our lives. Clients, in most times, go online to search for businesses offering goods and services they are seeking before heading to the chosen business’ mortar and brick premise.
Follow the listed steps and you’ll quickly and without hassle have your business up and running.