There are approximately 30.2 million small businesses in the US, which comprise a whopping 99% of all United States businesses.
When you consider some of the top reasons for starting a business, including becoming your own boss, walking towards financial independence, and starting a career that has the possibility to grow with you, it makes sense why virtually everyone wants to venture into business.
However, not every business is positioned for success. In fact, 50% of small businesses fail within the first 5 years.
Our guide on how to launch a career as a local business owner will help to breathe life to your business idea. Plus you’ll also learn some bonus local business marketing tips that will help your business thrive. Without further ado, let’s get to the steps to starting a career as a business owner.
1. Research & Refine Your Idea
If you’re looking into starting a local business, you already have an idea of what you want to offer and what market you want to enter.
But is your idea viable enough to guarantee positive returns?
Well, that depends on how prepared you are. Conduct thorough market intelligence to determine whether there will be a market for your products. Learn what the competition is doing and figure out how you can do it better. This way, you’ll be more prepared to enter the market.
2. Write a Business Plan
You’ll need a business plan to turn your idea into reality.
A business plan serves as a blueprint or a roadmap that will see your business from the introductory phase to growth and maturity.
The good news; you don’t need to create a sophisticated business plan. You’ll only need that if you’re seeking financing from a financial institution. If you don’t need financing, a one-page business plan should suffice.
3. Determine Your Business Structure
You want to start a career as a local business owner. But do you know what type of business best suits your budget?
Your business structure affects everything from your business name to how you file returns to your liabilities should things go wrong etc. You can register a sole proprietorship, partnership, or a limited liability corporation (LLC).
Once you’ve settled on your preferred business entity, register your business and get all the required permits and licenses.
Note that before you open the business, you will need to get an employer identification number (EIN) from the IRS and file certain forms to fulfill your tax obligations. You’ll find these forms on the SBA website.
4. Set Your Business Location
Your business location is important for compliance reasons. You’ll also need to set up your business in a site/location where customers can easily find you.
5. Start Running and Promoting Your Business
Once you’ve completed all the tasks and processes, it’s time to get your business up and running. You may need to buy some operational equipment as well as hire a few staff. The next step is to promote your business. Here are some tips to help you spread the word:
- Create a business website
- Open several business social media accounts and post regularly
- Embrace paid advertisement such as PPC
- Build partnerships
- Nurture brand advocates
- Sponsor community events
- Network outside your industry
If marketing is done well, it can bring your company good returns. Successful companies allocate 10 – 30% of their revenue to marketing.
We hope this guide will help you launch a career as a local business owner. Feel free to comment and share.