What Will YOU Do to Successfully Start a Business This Year?

If you’ve been hedging around the idea of starting a business, make 2014 the year you take the leap. I know, it’s scary to jump off into the unknown. You’ll have no safety net of guaranteed salary and healthcare benefits. You might not even turn a profit for months — or even years. But if starting a business is a dream of yours, you’ve got to stop making excuses and start making that dream come true.Don’t get intimidated by how much work goes into starting a business. Tackle one thing at a time.  Follow the 7 steps outlined below.  Then write in the comments and tell us about the business you're launching.

Successfully Start a Business This Year

Step 1: Map Out What Your Business Will Look LikeYou may have only an inkling of what you’d like to do. For example, you might be passionate about helping nonprofits and have some technology skills you’d like to put to good use. Now’s the time to actually sketch out the types of products or services you want to offer, as well as how your business will be structured.Step 2: Do Your HomeworkNow that you’ve got your idea built out a bit, make sure it’s viable. Research to find out who, if anyone, is already doing what you want to do. Also look at who else is offering an alternate solution. For example, if you want to start a hamburger restaurant, you won’t just be competing against other hamburger restaurants. Restaurants that sell sushi, steak, and Chinese food will also be your competitors. How can you stand out against them?Step 3: Figure Out Your Money SituationThis includes both where your startup financing will come from (personal savings? second mortgage? credit cards? loan?) as well as how you’ll make your money. What will you charge? How much will your overhead be? How soon til you start realizing profits? You may be shocked to see you might not earn enough to pay your personal expenses for several months; this reality check will help you be prepared for the lean months ahead.Step 4: Develop Your Marketing & Business PlansThings are starting to solidify by now. Create more structured documents that outline how your business will operate and how you’ll market it. Decide what type of business structure you’ll be. You don’t need to write a 100-page plan; even a few pages can help you get your ideas on paper and encourage you to execute.Step 5: Figure Out How to Exit from Your JobIf you’ve got the financing, you might be able to put your two-weeks’ notice in today. But if you don’t have the funds, you might consider continuing to work while you launch and grow the business. Then, when you’ve got enough revenue coming in, you can bid adieu to your old job.Step 6: Start NetworkingEveryone you meet has the potential to help you in some way. Some people might be your first customers, while others might provide great mentoring advice. Network before you even launch your business so you can get feedback on your idea and see if there’s a market for it. Build those relationships over time. After all, you never know how they may grow.Step 7: Make Sure You’ve Got a Solid Legal FoundationStart by making sure the name you want for your business is available. Then decide what business structure is the best fit for your company. Incorporating your business or turning it into an LLC will protect your personal assets and separate the business from your personal activities.You’ll also need to file several other types of legal documents, including:■      Employer Identification Number■      Business licenses■      Business permitsAll of these activities will help set you up correctly so that come tax time, it’s easy for your business to pay Uncle Sam!