Oregon has more than 300,000 small businesses across the state. And that number is only growing. Starting a business is something that many people dream about. However, there are many details that individuals must consider before establishing a business.
1. There is no such thing as too much research
The people who dream of starting a business do not often dream of doing research. However, this is a critical step when starting any type of business.
New business owners should conduct extensive research about:
- Which permits and licenses they need
- Oregon’s legal requirements for all small businesses
- The current and future market trends
- What business formation meets their needs
- How competitors succeed in the market
- What kind of clientele the business will cater to
This large amount of research may seem overwhelming, but business owners do have the option to discuss all of these matters with an experienced business attorney.
2. Develop a strategy for failure
It is critical for new business owners not to get ahead of themselves—especially when it comes to finances. However, it is also essential to plan for the future. And that requires considering the possibility of failure.
No business owner, new or old, wants to think about their dream failing, but the business world involves a lot of risks. Establishing a strategy for failure can actually help individuals avoid failure in the long-term.
3. Create a comprehensive—but flexible—business plan
Every prospective business owner likely understands the importance of establishing a business plan. However, actually writing the plan can be a daunting process for new owners. Some guidelines to create effective business plans include:
- Write a concise but detailed summary of the business’ objectives
- Define the marketing strategies the business will follow
- Determine which business structure fits the business’ needs
- Incorporate a financial plan, from financing to spending
- Know exactly who the audience the plan is meant for, such as investors
It is also critical for owners to adhere to their business plan but remember that they can always adjust the plan as time passes and their business evolves.