Since Covid-19 came knocking on our doors, the world of work is a really different place. Now that people are working from home, the workplace looks very different. People work at home in the comfort of their pajamas between school hours. Frontline workers are finally getting the respect they deserve for keeping the world moving, and plenty of people are realizing that they’re capable of doing so much more. It is this group of individuals that are changing the rules around business. But before you join them in running your own business, what should you consider before joining them?
What type of business?
This question is much simpler to answer than you might think because it is about going digital or having a physical location. The most popular place tend to be costlier in terms of paying taxes and costs for your physical location. This can put some people off with regards to starting a business. However, if you know the profit margin is worth it then getting yourself a place to call might be worth it. If you are convinced that a physical location is not for you, you can consider a digital business and do everything online. Or obviously, it is feasible to have a hybrid model with location and online business as well.
What are you selling?
Selling things is far more complicated than simply selling products these days. Times have changed and there is a big demand for digital products that people can access immediately. This can be anything from a book in Kindle format, digital music to download or stream, or a PDF craft worksheet for your latest project. Some of the biggest sellers on Etsy are PDF files for cross-stitch patterns after everybody cross-stitched during lockdown. The rules around products are changing. Or obviously, you can still sell physical products from the comfort of your website. You do not even must physically handle it yourself as you can take control of the dropshipping shop. Selling something can even be a service, not a product.
Do you have finances?
Launching your business requires some sort financial input but the amount will vary. If you are launching an online business, the start-up costs will be very small. If you are launching a new designer boutique, your overhead costs will be much higher. This is to allow paying for buildings, buying stock, hiring staff, buying equipment, etc. There’s a lot that goes into a physical location business. A digital business can be started with a laptop you already own and a few spare change you find on the back of the sofa. When it comes to finances, it helps to have some reserves. You can put your savings into your business or get a business loan. There are many grants available for new businesses. Check with your local government or council to see if they’ve startup grants to help you.
What’s the plan?
One of the toughest questions people must answer is “what are your plans?” Most people do not know the answers at the start of their business unless they’ve written a business plan. No matter how big or small you plan your business, you need a plan to keep you on the straight and narrow. If you are not sure what the plan is, now is the time to work it out. Not only that it can help you manage your expectations of what your business can do. You may not expect much from your business, and therefore think that a business plan is unnecessary, and that is okay. However, there may be times when you need to depend on your business to keep a roof over your head so it is vital to have a backup plan and a real plan to invite investors in.
Long term goals
You may have started your business on a whim when you were bored otherwise you may have been thinking a lot about what was going on. It does not matter how it started, you need to ask yourself how it will end. First, is this a job or business that you can do for the rest of your life? Do you need staff to help lighten the load? And when you ready to retire, what will occur to your business? These are the kinds of questions you need to consider long term. The future may seem far away, but it helps to consider this stuff now. Maybe you have kids who you could work with when they were older or could keep the business afloat. Or maybe you can sell it a few years down the line and bounce back. You may not want to consider being in your 60s or 70s but it helps you to know that you can still run your business then.
Impact on the world
This may sound strange but hear us out. How does your business impact the world around you? First of all, how much pollution do you emit? How much money do you contribute to the local economy? How do you impact the lives of others with your work? Being in business is so much more than simply earning money these days. There are many surveys that show the impact of business on the world is part of the buying process. So if your business generates toxic waste and avoids taxes, people will avoid doing business with you. Make sure that you have the right steps forward and make a positive impact on the world. Choose to be environmentally friendly, give money to charity as part of your plan for your benefit. Make sure the legacy you leave is a good one.
