Step 1: Determine what you would like to offer to the consumer.

First you want to think over these key questions:

•    What do you have that they want?
•    Why are you proficient at what you have to offer?
•    Do you have the proper knowledge and skills to be successful in this field? Or are you going to have to take some additional training?
•    Is this product in high demand and is something people are going to want to buy?
•    Can you sell your product only seasonally or can you sell it all year long?
•    How well can you sell this in time of economic trouble? If the economy is bad how well do you think you will do?
•    Do you think you will be motivated by doing what needs to be done in order to start you business properly? Is this something you will love to do or are you just doing what needs to be done to make some extra money?

You should “do what you love and love what you do” because it will be harder for you down the road. You will not feel like doing the work later on because you will not enjoy it.

If you love what you are doing with your business your customers will notice it, and it will be a lot easier to get more and more customers to come back but if you are not excited then that will also show and no one will want to come around your business if you do not love what you do.

Step 2: Know your trade and know your competition

When starting out with your new business it is important to know what you are getting into.  Like understanding the marketing aspect of starting a small business and the potential market for what you have to offer and knowing the value of your business is important. Here are some questions to ponder upon:

• Who o is going to want what you have to offer?
• Are you going to sell to companies or to regular buyers or are you going to sell to both?
• What characteristics do you think the consumer will have?
• What demand is there in the market for what you are trying to sell?
• Are your products unique enough to be able to beat those that are selling the same thing as you?
• How will you set yourself apart from the others?
• What is the advantage you have over other people? What is going to make consumers buy your product over someone else?

Step 3: Make sure you can do what needs to be done before starting your home or small business

Before starting a business, you need to carefully consider all the small tasks that need to be done daily. You need to make sure they are going to get done properly. Either by you or someone you have to help you.  If they do not get done properly it is not worth it to you to start your business, because people want a business to run properly or they won’t want to buy from you.

Consider this question as honestly as you can; Are you going to want to do everything required to do your job properly?

Some things to analyze are:

• Scheduling appointments
• Requesting supplies
• Keeping record of what comes in or goes out like supplies and money.
• File records
• Answer  the phone
• Look at and respond to email

If you have the money to pay someone to some of this for you then that is fantastic but most of the time small businesses are a one man show starting out with very little money. So you are going to have to do everything by yourself or not do it at all.

You are going to want to think long and hard about starting your own business because if you are going to get bored with the little things then you won’t have time to do the part of the project that you love to do. This is the part that is going to make you money.

Step 3: Make sure you can do what needs to be done before starting your home or small business

      Before starting a business, you need to carefully consider all the small tasks that need to be done daily. You need to make sure they are going to get done properly. Either by you or someone you have to help you.  If they do not get done properly it is not worth it to you to start your business, because people want a business to run properly or they won’t want to buy from you.

      Consider this question as honestly as you can; Are you going to want to do everything required to do your job properly?

      Some things to analyze are:

• Scheduling appointments
• Requesting supplies
• Keeping record of what comes in or goes out like supplies and money.
• File records
• Answer  the phone
• Look at and respond to email

   If you have the money to pay someone to some of this for you then that is fantastic but most of the time small businesses are a one man show starting out with very little money. So you are going to have to do everything by yourself or not do it at all.

      You are going to want to think long and hard about starting your own business because if you are going to get bored with the little things then you won’t have time to do the part of the project that you love to do. This is the part that is going to make you money.

Step 4: Make a list of what needs to be done and stick to it.

      With your business already mapped out in your mind, Can you do it the way your home is right now or are you going to have to change some things?

• Do you have adequate storage space for all you inventory and supplies?
• Do you have the space for your office or are you going to have to ask your spouse or someone else in the family for some more room?
• Do you need a special climate for all of your stock?
• Do you need to build an additional room?
• What will you need in the way of electrical power for your business?

As you think about what you need grab a pen and a sheet of paper and write it down you will need them later.

Step 5: Understanding the legal aspect of starting your business

      Check the laws surrounding the zone you are in before you start you business.

      If you live in a homeowner’s association or a community association make sure you check the regulations of starting a business before you invest any money at all into your business.

      Things that effect what you can and cannot do with your business are inviting clients into your home, working with machinery and making noise. Make sure you are able to do these things before you get started.

      Will you need a special license for the type of business you are planning to build? How difficult will it be to get said license? Is your business even legal?

      Is your business potentially copyrighted or is it under trademark?

Step 6:  Examine your insurance needs:

      When starting a new business you are subjecting yourself as well as your home and family to things unseen. It is a good idea to go over some insurance policies to see if you need any.

• First will you need health insurance? How much is it and where do you get it? If only one spouse is working it is a good idea to put both spouses on the policy.
• If you have supplies and equipment it is a good idea to insure them to protect them in case of fire, theft, flood or anything else that can happen.
• Do you need liability? Again how much will it cost you and where to get it?
• And if you are using your vehicle a lot you will need auto insurance.

   Homeowner’s insurance does not cover small business make sure you are looking for small business insurance. You should do your insurance shopping before anything else. This will save you time and hassle later, and you will be glad you did it.

   Record every estimate you get. Get yourself a notebook and write every bookkeeping aspect in it that way you are well organized.

Step 7: Learning the chances and gains of the legality of business operation will be beneficial to you.

   You want to review and learn all the legal forms before starting your business. There are many way to run your business. Will you run it as sole proprietor, a limited liability company or LLC, an S corporation; will you have a partner and be a partnership? Or will you be a C corporation? Take some time to think about this or if you already know than you don’t need any time and you are one step ahead of the game.

Step 8: Determine you startup costs.

      This is where that notebook of yours will again come in handy. This is where you determine exactly how much money you will need to get started. At this point anything you come up with will just be estimated guesses.

      Here are some questions that should help you.

• Will you need an attorney or an accountant?
• Do you need workspace furniture or equipment?
• You need to write down a list of supplies you will need for your first day.
• Are you purchasing a business of franchise?
• Do you have to do construction to your business? Approximately how much work needs to be done and how much will it cost you?
• What can you absolutely do with out to lower the cost of your budget?

This step will take some time. Be sure to get estimates and do some bargain hunting.

Step 9: Think about the point where you will break even.

      Here are yet some more questions you will need to consider in the process of making your business grow.

• How much money will you need for bills before the money from your business starts coming in?
• Will you continue at your present job or is there someone else who pays your bills and can help you till you get on your feet?
• What will you continually be spending for things like equipment and inventory? And if you have help how much will their salary be?
• How much product must you sell for how many hours until you break even?
• Where will you get your money? Will you have to take out a loan or borrow from the equity in your home?
• Will you need someone to help you with your work until you break even or begin to make a net income?
• Is there any possibility of getting a grant from the U.S. small business association?

Answering these questions will help you in the long run. Either you can start right away or wait until you save up enough money to the point where you can start.

Step 10: How much support are you getting from your family in your home business adventure?

      This step should be your first step but if it is not don’t worry about it.

      If you have family still at home you need to know how this will affect their lives, and it will. Are they going to have to make lifestyle changes to accommodate your business? Communication plays a big part in having your own business, especially with your family. Ask for their support, don’t demand it. They will more easily give it if you ask for it. Plus being caring to your family will help you avoid problems later.

      If you are starting a business with your significant other than you need to know in advance if it will work for them. You need to sit down and discuss who will do what. If the both of you can’t agree there is a good chance you won’t later either.