There comes a point in your lives where you imagine working for yourself without a boss telling you what to do.
However, what keeps this from becoming real is the lack of capital to start your own business.
According to the most recent survey conducted by Federal Reserve, people under 35 who lead the household have a net worth of only $11,800. The meager finance condition that people are thrust into, in addition to the difficulty of gaining capital, has prevented them from setting up business soon.
Despite this, there are ways on how you can launch your startups without having to worry about spending beyond your limit. Follow the tips below to bring your business and startup ideas into fruition before it’s too late!
Some people think that starting big means bigger and faster returns. That isn’t always the case. Many a businessman ended up with losses rather than profits when the business didn’t pan out. Businesses take time before they can flourish and it will take months before you can break even. If focusing on the small things first, you’ll be able to manage your business better and make adjustments easily when needed. You’ll also be able to study the market–what works and what doesn’t–and implement changes that will improve your workflow and sales.
What to do: Refer to this resource post at U.S. Small Business Administration to figure out what needs to be done first with your small business before moving on to bigger and better things.
Pick the Right Name
Choosing a name for your company is important. The name along with its slogan should give an idea of what your business stands for. If you are one of those obsessive-compulsive individuals who can’t move on to the next step unless the perfect name has been found, you’re going to need help.
What to do: If creating brand names or taglines is not your forte, it’s time to ask someone who knows how. Hiring a copywriter might be expensive especially if you’re on a tight budget. The next best thing you can do is to place an order at pickydomains.com, a risk-free naming service that will cater to your very specific needs from the number of syllables to the number of letters and use of characters. It can also help you decide on a slogan and domain name at very reasonable prices.
Get Budget-Friendly Legal Help
Before your fledgling business can take flight, there are legal requirements that you need you follow. You need to draft out legal documents as well, pertaining to the ownership of the company, especially when you are planning on having a partnership. Rules need to be defined and laid down on paper in a memorandum of agreement that should be signed by both parties and notarized by an attorney.
What to do: You don’t have to worry about expensive law firms because there are prepaid legal plans available that will help drastically reduce common legal expenses yet still cover your basic needs.
Be Ready to Multitask
Since finances will be tight, you will have to cut on production costs to fit your budget. This means that you should hire only a handful of capable people to help you get started. Recruiting the right people for the job makes your business flow so much easier. You will have to wear different hats and act as president, accountant and sales agent, if not all hats at once! Multitasking lets you save on manpower costs until you feel the company is more stable and ready for expansion.
What to do: Multitasking works best if you formulate a sound strategy before you dive into your business. Here’s a post at Intuit about how to get multitasking to work for you, not against you.
Do Online Marketing
There is no doubt that internet marketing is becoming the “wave of the future.” Online ads are more flexible and can be made interactive. Social media is also becoming a powerful marketing tool that is gaining more momentum everyday. The best part about online marketing is that you can save more money than when you use traditional ways of marketing.
What to do: Utilize the different social media networking sites and use them as an advertising tool. Create a Twitter account and link it to your Facebook page so that whatever you tweet, your update will appear simultaneously on your business page. For a comprehensive guide on how to use these and other social media sites effectively, read “The Ultimate Guide to Social Media Success for Your Small Businesses.”
Set a Reasonable Budget
It’s not enough to set a budget – you have to stick to it too! Follow the five steps above to save on costs and find other ways to cut down on expenses using your own table. If you find yourself spending below your projected budget, then you’re on the track. Keep at it!
What to do: You can follow this sample table at Entrepreneur to get a better idea of creating a budget.
If you have ideas on how to save your money in running your startups, feel free to share them by commenting below!