Start a Small Business in 10 Steps
Turn Your Side Hustle Into a Small Business
If you have an idea for a small business, turn that dream into a reality. You'll need to get a business license, come up with a formal plan and get your finances in order. While this may seem intimidating, our checklist for starting a small business will help you get on the right track!
10 Easy Steps to Start a Small Business
Follow these steps to launching your new business:
1. Research
Research the industry in which you want to work and write a small business plan. In this step, you will need to identify your competitors and come up with a strategy for outperforming them.
2. Educational Training
Get formal business training, if you don't already have a background in a related field. You need to understand at least the basics of accounting, financing, managing a supply chain and dealing with human resources.
3. Find a Location
Identify a location for your small business. Location, location, location -- it's considered extremely important for a good reason.
4. Financials
Explore financing options. These may include your own capital as well as small business loans from banks or credit unions as well as small business grants from local, state/provincial or federal governments.
5. Registration
Incorporate, register your business name and get a federal tax ID number from the government.
6. Business Permits
Apply for and obtain all necessary permits for running a business, from zoning requirements to any industry-specific licenses you may need. For example, if you want to open a liquor store, you will need a special license from the government that permits you to sell alcohol.
7. Obtain Equipment
Purchase or lease any necessary equipment that you will need to get your new business up and running. If you are going to operate a retail business, research various suppliers of merchandise and order the stock you'll need to get started.
8. Human Resources
Understand your legal requirements and obligations in terms of hiring employees, and get your staff in place.
9. Marketing
Promote your new business. It is a common technique for small businesses to have a "grand opening" event, during which you will offer discounted prices on merchandise or introductory offers designed to lure customers into returning later.
10. Plan a Grand Opening
Open your doors! It's an exciting and momentous occasion to start a new business, and you deserve congratulations for all the hard work you've put into getting started.
