Comments on: Tips for Starting a Successful Small Business

By: Top Personal Finance Blog Posts From July 2014 | Cash Syndrome

Top Personal Finance Blog Posts From July 2014 | Cash Syndrome — Sun, 27 Jul 2014 03:31:49 +0000

[…] Tips for Starting a Successful Small Business from Money Ahoy […]

By: Derek Chamberlain

Derek Chamberlain — Sat, 26 Jul 2014 18:05:33 +0000

Sage advice Fred! I much prefer the “shoestring” type of startup as well.

By: Fred @ Stockerblog

Fred @ Stockerblog — Sat, 26 Jul 2014 05:07:25 +0000

The biggest mistake I’ve seen for new businesses is the expenditure of money before a sale is even made. I’ve seen individuals come up with an idea for a business, then order business cards, rent office space, hire an assistant, buy a new computer an printer, pay for an LLC setup, pay for advertising, etc., before one dollar of revenue has come in, and often, no or very few sales ever come in, with the company collapsing.
If you have a service business, don’t spend a dime on anything. Make a sale first, and even then, don’t go overboard on spending. With a product business, it is a little more difficult, but do you market research first online. Advertise on free sites like Craigslist, saying “New Product XYZ available shortly. Email us if you are interested. No upfront cost or obligation.”

By: Derek Chamberlain

Derek Chamberlain — Mon, 21 Jul 2014 11:19:58 +0000

Edwin,

Well put. It can take several years for some businesses to break even. A good business plan will point this out so that it isn’t a surprise when things may not go quite as planned with little analysis.

By: Derek Chamberlain

Derek Chamberlain — Mon, 21 Jul 2014 11:18:43 +0000

Dan,

I’d say that I agree with you. It can be a bit expensive to launch things into high gear when just getting started. Thankfully, we have the LLC. This form requires relatively little paperwork, and will protect your assets from liability. I think it’s a pretty good way to get started for ~$200 and give yourself 95% of the protection with about 5% of the headache compared to forming a corporation 🙂

By: Edwin @ Cash Syndrome

Edwin @ Cash Syndrome — Mon, 21 Jul 2014 01:10:58 +0000

It all starts with a solid business plan. When you start a business it can be exciting, but many fail to realize that it takes quite a while for a business to begin making a profit. Their business plan needs to take this into account.

By: Dan @ Our Big Fat Wallet

Dan @ Our Big Fat Wallet — Sun, 20 Jul 2014 13:59:33 +0000

In some cases it makes more sense to wait until the business really starts to take off before incorporating. Starting as a sole proprietor means the business can save the annual costs an incorporated business has to pay (ie. legal, accounting, filing etc) and use that money to grow the business. Then once it starts to grow it can incorporate as a separate entity. Too many times people are quick to incorporate when the business is too small

By: EL @ Moneywatch101

EL @ Moneywatch101 — Thu, 17 Jul 2014 14:19:09 +0000

Starting a business is a dream for many people. After doing all the research it takes having the right mindset first and foremost to help you begin the process. Good luck to anyone who can take the steps to start one.

By: Derek Chamberlain

Derek Chamberlain — Tue, 15 Jul 2014 11:10:56 +0000

Clarisse,

Exactly – a good plan is key, but it is best not to get too bogged down in planning that it prevents action.

By: Clarisse @ Make Money Your Way

Clarisse @ Make Money Your Way — Tue, 15 Jul 2014 05:01:42 +0000

Before you start a small business, be sure that you have a solid business plan and strategies. And also you can try to ask for help and suggestions for the successful business owner.