Running small business is no small feat, considering that one has to handle so many daunting tasks. From getting the business up and running, to planning, financing, marketing, managing employees and accounting, it adds up to a huge task. To top it all off, all of the responsibility falls on squarely on the lap of the small business owner.



Running a Small Business

Above all else, we need to answer two things: 1) Is running a small business for me and 2) why start my own business?

IS RUNNING A SMALL BUSINESS FOR ME?

Running a business is not for everybody, as it takes a special kind of character. Additionally, you can't totally risk-proof your business, but you can improve through sound planning. Start by asking yourself following questions:

1.Are you a self-starter or do you need someone push you into action? If you can't plan, organize and follow up by yourself you probably won't make a good small business owner.

2.Are you a good decision-maker? You will need to make a lot of critical decisions quickly. You can't depend on someone else in this area.

3.How good are your interpersonal skills? Since you probably can't afford the luxury of a specialist (at least in the beginning), you will need to do all the talking with your customers and vendors and you will have to get along with them. Remember that your prime concern is the well-being of your business and you have to be able to deal with multiple personality types with the patience of a diplomat. Can you realistically do this?

4.Can you justify your business plan? If you can't be pragmatic in assessing your plans and other business situations, you will be doing an injustice to your business. Being unbiased is crucial, even with yourself.

5.Can you handle extreme pressures? Pressures can potentially demotivate you to the point of quitting, if you don't have the personality to handle them well. Remember that you will probably need to work around the clock, especially at the peak times for your business. Can you do this without being frustrated?

WHY START MY OWN BUSINESS?

Perhaps the first answer is to become your own boss. Hard work eventually pays off and you alone will reap the benefit. Your earning potential is unlimited. For some people, a new venture is exciting as they get variety in their work and thrive on challenge.

Planning and Starting a Business

Good planning means to get a workable business idea (one that suits you and your skills) and organizing key events to get the business started and running. You should plan through brainstorming, collecting information and analyzing it. Your options are franchising, buying an existing a business or starting one from scratch (risky for a beginner, but doable). Decide on the type of ownership at this stage. Getting an appropriate name and licensing through the government are the final steps.

RUNNING THE BUSINESS

Funding your venture is the major task. You can look into financing it through loans from Small Business Administration. SBA has a lot of programs suitable for small business owners.

Getting work is the next big task. The SBA helps in getting government contracts subject to qualifying factors. You will need to do your own marketing. Keenly observing the behavior of customers and competitors is key to helping your business succeed. Good services and incentives will help you to retain and expand your customer base.

Important Points

You can't ignore the importance of legal aspects such as taxation, copyrights, employee relations, accounting principles and insurance among others. You may need to hire professionals for at least some of these. Of utmost importance are your financial obligations like monthly bills and loan repayments. At the very least, you will need the services of an account to handle your finances.

You can be successful in starting and running your own small business. It takes a lot of motivation and some risk tolerance. Running your own small business can be extremely gratifying. Knowing that you have what it takes to succeed is the first s