If You Want to Start A Business While Working, Read This.

Starting your business while still having a full-time job is possible.

You’ve heard about successful stories of entrepreneurs who kept their day jobs as they started their business from scratch. These people know and understand the importance of having a stable source of income in order to have the courage to work on building one’s business.

If you are keen on starting your own business, these tips below could help you before you finally hand in that resignation letter:

1.    Throw away your business plan.

When thinking about starting a business, one of the essential things that will come to mind is to come up with a business plan. Yes, it is essential, but the reality of the startup world is that business plans are obsolete only moments after you write them. The extensive market research doesn’t really help you come up with a great product that customers will love. Even a detailed financial plan will also turn out wrong as soon as you change the price point, or even your marketing channels, or the features.

It doesn’t mean that planning your business is wrong or has no value. It only means that your product’s value proposition and how you’re going to sell it is going to change significantly after you start building and getting real customer feedback. Hence, instead of a business plan, you can start by listing down your assumptions about the business. There are a number of templates out there to help you do this in an organized fashion.

You can write down your most important assumptions like the ones below:

  • What problems does your products solve?
  • What is your product?
  • Who are your target customers?
  • What is really unique about it?
  • How are you planning to distribute your product to customers?
  • Where will your revenue come from?
  • What are your major costs?

Listing down your assumptions is better than creating a business plan especially if you are working a regular day job since it takes a lot less time than an old style business plan.

2.    Don’t cross your current employer.

Before you take on the plunge, make sure that you are on solid legal ground so your employer can’t come after you when your startup becomes successful. To avoid any problems with your employer, make sure that the business you are planning is unrelated to the business of your employer. Check your employment contract and look through your non-disclosure and other employment agreements to see what your company’s policies are. Moreover, you need to ensure that you will work on it on your own time and with your own equipment.

3.    Check if you need to have a business partner.

There may be less pressure if you start your business alone, but it could be tough also. If you have a co-founder, it increases your chances of success and they can also add to your company’s skills. Moreover, your business partners can also share the workload and improve the company productivity.

When choosing a partner, look for someone you are compatible working with – preferably someone you have already worked with before. If it’s not possible, you can try an arrangement where you will first try to test the water. If it works between you and your business partner, then it’s good to go.

If ever you can’t find a co-founder, you still push through with your plan. Don’t delay starting your company because you can’t find a partner.

4.    See how your ideas go.

Not because you have a great business idea, it already means the market is going to agree to that. Check first if your idea is going to hit with your target audience. Testing your idea is the best way to reduce startup risks. It is quite taxing to do it while you are still working your full time job, that’s why you need to think and plan about it carefully.

You can start by doing customer interviews. You can ask random people and see how they would use your product or service.

Another step you can do is to have prototypes so you can deliver the bare minimum product that meets the highest pain point of your customer. Make sure that when you introduce a prototype, it is inexpensive because your goal here is to get user feedback so you can change the product if needed.

A survey is also a good way to get customer’s opinions on your business idea. You can use online tools like Survey Monkey, which makes it easier to run a survey and get an analysis of the results.

You can also use the interactivity and reach of the Internet by setting up a basic website and testing your concept inexpensively on real live prospects. You can use inexpensive products like LeadPages to set up a few descriptions and see which ones the customers will like. You can also use Google AdWords to see if people are using Google to search for answers related to your startup. This is a good sign because it means there are customers out there for you. You can test advertising on Google Ads or Facebook to see if you can get consumers to click. This can be a good proxy for how much it’s going to cost you to get new customers.

5.    Make it a real business.

If you want to turn your idea into a thriving business, you need to set goals for your startup and make yourself accountable to them. Treat it like you are actually starting your own empire. Plan you next steps with dates and specifics as best as you can.

6.    Don’t be a cheapskate.

If you want your business to flourish and you believe in it, don’t be a scrooge. Invest in your startup. Spend money on Google Adwords and start building an email list. You can also get some inventory on your new product. Make sure that you will also have your own business cards to give to people you will meet when you attend networking events. You will also need to hire a virtual administrator to help you with day-to-day tasks since you still have your full time job.

Small investments to get your business moving faster are good investments. These include generating more revenue, building your network, getting good legal counsel or patent protection, setting the stage for your business to be viable.

7.    Start generating revenue.

If you followed the previous tips, you will eventually find customers who will be willing to pay for your prototype or a variant of it. Once you have paying customers, you can ramp up marketing and sales by looking for more like them. You can also use customer reviews and testimonials so people will trust your product.

8.    Network like crazy.

In this part, you can use your full-time job as an advantage to network like crazy. Since you have a job, you can interact regularly with other employees, customers, vendors, and even competitors.

Try to meet people who can be potential employees, customers, contractors, advisors, mentors, and even potential investors. These connections are all potentially valuable.

9.    The secret to why you don’t want investors.

While it is good to have investors, it is not the time yet for your startup business since you are still in the early stage and you still have full time job. Most investors almost always want to see you working full time on the business so they think you are maximizing their chance to get a return on their investment. Even if you could get investors interested, your lack of traction would put a very low value on your company at this point.

10. Make your nights and your weekends count.

It will be very busy and exhausting at first since you are doing double jobs, but if you are determined to push through with your startup business, you need to endure it. Your time is your most valuable resource right now so you better use it wisely. While starting, you may have to bid your other weekend routines goodbye like going out with your friends or your weekly soccer game.

Starting a business may be difficult at first and you will surely meet a lot of obstacles along the way. That’s why you need to have enough determination if you want to push through with it so you can see it through. A little sacrifice will definitely do you good in the long run. Achieving your dreams requires work. It will take time, energy, dedication, and courage.

FACTORS: WHEN STARTING YOUR BUSINESS!

1/  Analyse and Define your Business Idea

Firstly, do you have what you think is a good business idea? Ask yourself is it feasible? You may need to find out if there is a market out there for your product or service. If so you may need to carry out some market research to determine who your competition might be and what are their pricing structures. Also, you should look into ways you can differentiate your products or services from those already in the market place. In today’s busy competitive world you need to be able to stand out against what may be many competitors. This point of difference essential for your market push. Can your product or service be better, cheaper, faster or more efficient than the opposition? Then concentrate on those features  Create a list of strengths and weaknesses that may  apply to your proposed business  so you can determine what to promote and what to overcome 

If you would like to discuss your idea initially give us a call  0n 1300 828494  and we will see how one of our associates can help you starting your business.

FACTORS: WHEN STARTING YOUR BUSINESS!

2/ Market Research

Are there others already doing what you want to start doing? If not do you know the reason why. Have you determined that customers will actually pay for your product or service. You also need to know who will be your customers in your market. To help you make an informed decision source statistics and any other vital information you can locate. Also, determine exactly what your customer’s needs are This sort of information will help you enormously with future marketing. See if you can determine what the strengths and weaknesses of your competition are. If you are able to identify any weakness you can really emphasize your strengths in these areas. Moreover, Source Government publications,  trade journals, market reports and association publications for the relevant data.

See a specialist article in our blog section on www.startupyourbusiness.com.au

3/ Determine the Best Business Structure for You  – Registrations and Selecting a Business Name

Basically there are four major types of business structures in Australia. Sole Trader( Where a person is solely responsible for everything), a partnership ( an association of people or entities combining to run a business), a Company ( a legal entity separate from its shareholders) or a Trust ( an entity that holds property or income  for the benefit of others )

If you want a particular company name you can easily check if it is available by searching on the ASIC website. You may require registered names for parts of your business. These can be registered through ASIC as well.  Many people worry about choosing the perfect name. 

Don’t worry about this,  don’t put the cart before the horse You can start the company in one name and trade in another if that’s what you would like to do.

All Business Owners in Australia have to register before commencing any business activities. So  you will need to obtain an Australian Business Number (ABN0, register for GST, obtain a tax file number and register for pay as you go withholding tax,

You should always seek professional advice on determining which structure is best for you This is available in all of our packages. You will receive a 1-hour session with an accountant and a commercial lawyer.

Russell Evans, Asia Pacific Manager of Wolters Kluwer – a worldwide team of tax & accounting, finance, risk & compliance, and legal experts says “The majority of small businesses that do not seek professional advice do so at their peril”. 200  Specialist Small Business Accountants ranked bad business models as the main reason Small to Medium Businesses fail

ATO: https://www.ato.com.au ASIC: https://asic.com.au

4/ Know the laws that apply to  your industry, fair trading and contracts:

Depending on your industry there may be a need to obtain the proper permits and licenses that apply. You need to know which laws apply to your bin particular and generally. You can obtain this information from various branches of government- Local, State and Federal. You can also obtain these and background from a commercial lawyer. You should also have a broad understanding of contracts and fair trading laws that apply in your state. You may also need to know how the privacy act applies to your business, Australian consumer laws, unfair dismissal laws and laws applying to employ people. A one-hour session with a Commercial Lawyer is available in all of our packages. If you need more assistance you can arrange a further time directly with our dedicated solicitor to discuss how to start your business.

FACTORS: WHEN STARTING YOUR BUSINESS!

5/ Be Careful to choose the Right Suppliers/ Associates at the time of starting your business:

Choosing experienced, honest and reliable associates can be as important as selecting the right product or service to sell. It is important that you select the correct Commercial Lawyer, Book Keeper, Accountant, Business Coach, and Insurance Broker. From experience, it is also difficult to know if suppliers such as Web Designers, SEO/Google Ad Words contractors, IT experts, Freight Forwarders and Logo Designers are honest and reliable and provide fair prices for the work they perform. Startup your business has actually dealt with all the providers that we use as part of the packages we have in place. 

We recommend them to provide first-class results. It will save you time and money because we have arranged special rates for our clients due to the volume of business we provide for them. If you are looking for a Website Designer, for example, you don’t know if you are receiving fair value and if the site will be finished as you envisage it. Because we have actually used our preferred suppliers we know that you will receive exactly what you expect while starting your business. 

6/ Insurance and Business Protection

Insurance may be something that you will get around to doing after you get started. However, purchasing the right insurance for your business is an important step that you need to cover prior to the official launch of your business. Dealing with incidents such as property damage,  theft, customer injuries that may occur on your premises, product liability and professional liability are some of the things that need to be covered before you start your business. You will need public liability insurance covering you for third party death or injury., product liability which covers you for legal action taken out as a result of injury, damage or death caused by a failure of one of your products. Professional Indemnity may be needed if you provide professional advice. Management Liability also may be something you need to cover. Another important item to cover may be Intellectual Property rights to your products or new IP. If you intend to export products you need to  ensure that your goods will not infringe the IP of other businesses

The Insurance Council of Australia estimates that 70 % of small businesses are uninsured or uninsured It is essential that the cover provided is adequate for your business

Our insurance specialist as part of all packages will provide you with the best offers for the best coverage

7/ Assessing your Finances, Resources  to help fund businesses and Government Grants

You need to determine how you are going to cover the costs of establishing your business. Do you have funds set aside or will you need to borrow monies? Experts generally agree that startup businesses often fail because they run out of money too quickly. It may be prudent to overestimate what you will need. There are many sources of funding available in Australia to assist with the creation of a new business. Among these are small business loans, crowdfunding, and, trade equity, Initially you can approach your existing bank for funding. They may require mortgage Security to advance funds. In addition to the established banks, you may like to approach one or more of the new internet banks such as ING, Volt, Xinja or ME Bank and Other sources of monies lend.com.au and Ebroker.com.au

At no cost to you, we have a very experienced Business Finance Broker who can provide you with professional assistance to source your funding. This facility is available as part of all of our packages.

Government Grants for small businesses are generally provided by State or Federal Governments while starting your business. Some of the grants available are Innovation Grants, Tourism Grants, Small Business Entrepreneur Grants, Export and Digital Grants., These are funding sources you should definitely target.

Government Grants: https://www.grants.com.au/

8/ Marketing : 

Marketing is a fundamental part of all businesses and every business needs to understand the true worth of marketing. The bottom line of any business is to make money and marketing is the essential channel to do this. It can increase sales, grow businesses and engage customers..6 Key Reasons why marketing is important. 

  • It informs your prospect what your product is and how it can benefit them
  • It allows smaller businesses to compete with larger operators
  • Marketing sustains a company by developing  relationships with there customers
  • Customer engagement is essential to any business. You need to develop relationships for ongoing business
  • Marketing helps sell products and services 
  • It helps to grow and starting your business

FACTORS: WHEN STARTING YOUR BUSINESS!

 Having a website is akin to having a phone number in the pre –www age If you don’t have a website you are not in business. It is vital to the success of a business. We have experts in developing websites, creating SEO and developing Ad Words campaigns and Online strategists and these services are available in our packages. Lastly, Marketing Assistance is available as part of all our packages and it will help to settle and start your business profoundly.

                                                                    

“ When I started my business, I was completely inexperienced. I had never been in Business. I realized that I needed to draw on the expertise of others. When  I did that my business became a lot easier “  Helen Manano-Green Door Co