Summary
This article talks about tips for launching a small business during the recession. It gives four good reasons for yes to starting one, and they are as follow:
1) There is less competition.
2) Costs can be lower because it's a buyer's market for real estate, equipment and labour right now.
3) It can be easier to recruit new employees because people who have been laid off are eager to find new jobs.
4) last but not least, There is less pressure on youto expand your buesinss. You don't have to worry about fighting with other companies for market shares.
But before all these, another 4 things that one has to take in consideration before starting a business is to:
1) Do your research, and that means figuring out who your competitions are, and offering something new and refreshing to attract customers.
2) Secure enough funds, and that means don't even think about starting a business undercapatalized! Talk to a bank teller, and ask them for advices on loan borrowing...
3) Get creative with your marketing. People are natually attracted to things that are different, interesting, and full of surprises. Eye-catchy ads are important, as finding cheap and efficient ways to do so as well. (ps. there are a lot of free advertising available online and cheap ones on the ever popular ones like Facebook.)
4) Be prepared for the goods and the bads. In simple words, WORK YOU ASS OFF, AND PREPARE FOR ANYTHING... and that is... anything POSSIBLE :)
Connection
This article is related to the overall of chppter 11 - 16 in the accounting textbook, by they how it talks about what businesses are and the processes and procedures that may be related to one.
There would be the need of accountants to keep the business's financial status updated and well regulated.That includes, payroll accounting - salaries and wages, tax deductions...etc. Analyzing financial statements - making appropriate comparable statements for the insiders and outsiders.
Last but not least, Banking:
- safekeeping of the business's $$$
- processing cheques and bank credit card vouchers, and electronic transfer of funds.
- lending money to businesses.
- and handling of foreign currencies.
Reflection
I know it is a scary move to make, to head out on your own and start your own small business. The comfort and security that working for someone else goes away. You become 100% responsible for 100% of everything involved in running your own business.
The big question is trying to figure out if your idea is one that will catch on
But hey, a recent report shows that small business shines in tough economy. One more thing, you must have faith in your self, and the determination to succeed, else there will be no point of starting anything.
