How To Start A Small Business

Starting A Small Business In The Philippines

Dreaming of owning a money machine for a company is probably a common fantasy subject for everyone — earning enough money to buy the things that we want, putting up branches in every direction. This is especially enticing for those of you who plans to retire early and enjoy what life has to offer like travelling, tasting unlimited quantities of the most exotic foods, meeting new people, and rest without worrying about anything for the next day. Most of us believe that starting a business is the best chance to reach these dreams.

But successful companies do not happen overnight. In fact, the majority of the big names you see started small, and worked their way up to supremacy. Here are some tips that I can share for those of you wishing to start a small business:

Check your current inventory. The best way to start your small business is to make a list of what you have. This not only includes your personal bank account’s contents, but also your contacts who are able and willing to help you (friends, trusted family members, etc.) places you can use for storing inventory (garage, unused guest room, attic), time you can actually devote in your business, and most of all, skills that you have that can be used for your advantage in setting up the business. The list that you will be building will help you decide on the type of business you can readily put up without much effort. If you still are having a hard time on deciding, why not visit different stalls in Divisoria to get your creative juices running. You might even come across a good supplier where you can source your products! My wife once visited a customized box supplier; and after her one hour visit, she told me that the experience got her thinking of so much products she can sell, all by coming up with an answer to the question “what can I put in this box?”

Tap connections. Your strongest allies, or the most reliable suppliers might just be on your phonebook, so maybe it’s time for throwback Thursday and check out what your friends are currently doing. Who is selling what? Who is connected where? Being connected with someone who can help you with your business in any possible way will surely be a good strategy. Just make sure not to be too trusting. I’m not saying that you see everybody as a threat, but rather, to be cautious in revealing information, especially if your business has a very good potential.

Do your homework. Are you getting your money’s worth from your supplier? Or are there better suppliers out there? Are your prices set too high? Have you given much thought about how to get your business on the radar over the Internet? Business is not all creativity and simple logic. It takes strategies and a whole lot of research. Before you start your own business, you might want to conduct a study on its feasibility — will people actually buy those things? Will they be happy with your services? Check out whether it’s a fantasy waiting to be a reality, or a myth that you better just forget about.

Reinvest profits in your business first. A starting business is more fragile than thin glass, so you better make sure that it thickens up monthly. Who won’t be excited with the thought of spending the first profits to reward yourself for a good job? But should you? If you want to grow it well, better keep it for the company and use it for upgrades and additional inventory for the rest of the early stages of your company. Your first goal in your starting company is to be able to achieve a level of profit that is not only enough to cover for the expenses, but also for growth and expansion.

Starting a small business is a daunting yet very rewarding task if done properly. Remember to strengthen your company’s foundations during the early years, and keep researching for new ideas that you can use to improve your marketing and operations. Treat it like a child that needs constant nourishing until such time that it develops a strong immune system and the ability to take care of itself. Soon, you will be able to enjoy the fruits of your labor, and it will surely be worth the time and effort you have spent to earn it.

*Originally published by the Manila Bulletin. C-6, Sunday, October 18, 2015. Written by Ruben Anlacan, Jr. (President, BusinessCoach, Inc.) All rights reserved. May not be reproduced or copied without express written permission of the copyright holders.