Before we even get ready to set up your business, let’s work out if you have the right attitude and ability to be in business. The purpose of this section of the program is to highlight to you what you need to be prepared for, there are no right or wrong answers, just be honest with yourself and the you’ll know if you’re truly ready for business life.
It’s one thing being good at selling something you make or a service you provide, but running a business on something you’re good at is much more than just that.
Assess yourself and work out if you have what it takes to be a business owner.
Education and prior experience (in the business venture)
Understanding the many hat’s in business (ie Admin, Financial, Operational, Marketing and overall strategy)
What’s your Why? Why are you starting a business?
Time capacity
Financial capacity
You now understand that you’re the right fit for a life in business, let’s check to see if your business idea has legs. To analyse your business idea we consider the following questions:
Is there a need for your product or service?
Is there a desire for your product or service?
Who will buy the product or service? Ie who is your customer?
How hard will it be to develop your idea?
Is your idea financially viable?
How will you protect your idea?
Who are your competitors? Ie who is your direct competition?
Setting up your business can be exciting, it’s new, it’s fun and most importantly it’s yours. But setting up a business (especially a start up) will be hard work and the honey moon period won’t last forever, at some point reality is going to set in.
Understanding the failure rates of business and common reason’s business fails
Strategic Risk
Compliance Risk
Operational Risk
Financial Risk
Reputational Risk
Other external factors that should be considered
Dealing with natural disasters or pandemics
Not being able to run the business (for example due to health)
Technology and landscape disruption
Review the following structures:
Sole Trader
Partnership
Company
Trust
Register or consider registering for
ABN
ACN
GST
consider monthly, quarterly and annual reporting
Cash vs Accrual method
Payroll and PAYG withholding
FBT
PAYG tax instalments
Payroll Tax
Fuel tax credits
Domain
Workers compensation
ACCOUNTING SOFTWARE
Choosing the right accounting software
Choosing the right software apps to integrate with your accounting software
LICENSE AND GENERAL LEGAL COMPLIANCE
Industry based licenses and permits
Choosing a business premise, including lease guidance
The importance of engagement letters and/or customer contracts p. Shareholder
agreements and other legal documents
OTHER CONSIDERATIONS
Insurance
Human Resources – if employing
Applying the marketing rules against your name
What to consider when choosing a business name
Making your business name all yours, legally!
Developing a business plan
Writing a marketing plan
Vital research and understand your stakeholders
Cash flow system (introduction to next program)
https://business.gov.au/Guide/Starting
https://business.gov.au/planning/new-businesses/preparing-yourself-for-business