Getting Started You should start a business that, based on the product/service, has a
realistic chance to succeed in the marketplace. One way to evaluate a business
venture is to develop a formal business plan which establishes the
product/service, the market, production, pricing and financial projections. It
is also important to have basic knowledge in accounting, marketing, advertising,
legal and personnel areas. Even if you have to trust someone else for expertise
in these areas, you need be knowledgeable enough to keep them honest.
Buying a Business Any business opportunity should be investigated thoroughly for legitimacy.
Research should include: disclosure about financial conditions, a list of people
using the product/service, state of incorporation or legal business address, and
contact the Better Business Bureau to see if any complaints have been filed
against the business in question. Remember, if it sounds too good to be true, it
probably is!
Developing a Business Plan Every business should create a business plan which outlines and describes the
business idea, management, anticipated results and route to be taken to
accomplish the goals. It also helps you develop a structure and guidelines to
stay on track with the original concept of the business. Your business plan
should include the following segments: business history, management
responsibilities, description of products and services, in-depth description of
the market and customer base, production description and procedural methods and
financial information about profit projections and cost data.
Buying a Franchise Buying a franchise is often less risky than starting a business from the
ground up since it is already established, but if you don't have the expertise
required, your chances of success may still be low. If you consider buying a
franchise, obtain a disclosure agreement listing financial conditions,
requirements of the agreement, other franchisees, and other information that
will allow you to investigate and evaluate the franchise before making any
contractual agreement. Make sure you understand every aspect of the agreement
and what the franchiser expects of you and what you can expect of the franchise.