You are unlikely to get independently wealthy working for someone else, it's not in their interests!
Kinds of business:-
- Sole trader - simplest giving you complete control and responsibility.
- Partnership - shares the workload but problematic if partners disagree.
- Limited Company - expensive to set up but may provide more financial security (although loans may require personal guarantees).
Taking on employees is becoming increasingly a nightmare for small companies due to the legal responsibilities that come with it. You can get a very useful and FREE DTI 'No-Nonsense Guide' at Business Link.
Getting other people to work for you as independent sub-contractors may be better although you may not have as much control over the end results.
If you are in employment but want to start your own business then:
Don't burn your bridges - keep the security of paid employment while you get your new venture off the ground.
-
You are not alone, there are many organizations to help. Talk to your Bank and the local Chamber of Commerce for a start. Have a look at Zopa.
There are many tax benefits but you will probably need an accountant at some stage, at the very least keep receipts of anything related to your start-up and remember that not having an accountant will probably cost more than having one
Choose your trading name carefully, it needs to be memorable, give an idea of what your business is and not be easily confused with another business. Remember it may be expensive to change the name later.
Be aware of any legislation related to your new venture.
If you already have a business then some of the above may still apply but in addition:
Effective advertising will make a big difference, you will already know about local advertisers and notice-boards but consider having your own web-site, it doesn't have to be expensive and can give you as much visibility on the Web as your largest competitor.
Leverage - multiply your efforts.
Range of opportunities:
Traditional:
There are many traditional types of business based on a combination of design and manufacture.
With increasing globalization you may be competing with companies employing people for less than £100 per month and/or getting government subsidies.
You may also be competing against businesses with much less red tape to worry about.
So unless your business will remain local, you need to consider carefully what kind of business you are going to have.
Niche:
Many successful businesses have been started using a unique combination of the skills and interests of the owner but many have failed because of the lack of market research. Make sure that there is sufficient demand for your product.
Franchises:
These can be very expensive to start up but can give you a well known product and save you advertising costs. You still need to worry about location and local demand.
Internet Based:
The internet has opened up a wide range of opportunities for the entrepreneur. A well designed web-site created by an individual can look more professional and have more impact than a site provided by a multi-national corporation!
If you want to create a web site but need help then look here first or learn Dreamweaver. Alternatively there are organizations that provide the training you need to do it yourself (for example ICS).
The Internet creates a level playing field. However you will still need to get people to look at your site and there are ways of doing that:-
Look here for some ideas
The internet can be used to market all kinds of products from healthcare products that are then mailed to the customer to software, media or training packages that are simply downloaded. Another way of earning money is from referrals or affiliate programs.
There are some large companies that market by using networks of agents. These agents are provided with products, advertising tools, support, commissions and usually their own personalized web-site in exchange for selling products, customer care and finding new agents.
These are very much like a franchise but much cheaper to set up.
There is also a growing number of people that make money simply buying and selling through eBay.co.uk
, or enabling others that don't have internet access to do so.
Look at the links from this page for examples of what is available. Even if none of these is quite what you are looking for, they may provide ideas. You might choose several with a similar theme that work well together.
