Many of us indulge in owning business. Thousands of new businesses are lauched around the world each year. But over 50% of them close within five years. Scan the following factors to determine whether you have the desire, discipline and resources for running your own business:-
- That you alone will be able to decide and develop business & organize everything at the initial state.
- Will be mentally and financially prepared to meet overhead and operational expenses, before you get your profit margin.
- Have the skills or will you improve skills in Planning, Operating, Accounting & Marketing your business well.
- You will need to work a lot. Many successful sole proprietors and entrepreneurs are less likely to get "burned out" by carrying all the responsibilities of business on their shoulders.
- Decision-making is most important skill, a small business owner should always have. Develop decision-making skils even under pressure and independently. Find many good alternatives and select the best.
- Are you ready to go through difficult phase of first few years when you will need to balance your work, family demands and financial difficulties.
- Will you be prepared to run your business without any profit at the initial state which might be months or years?
- Project your sales and break-even point and your profit margins.
- If you still have doubts in forecasting sales, break-even point and profit margins, consult the successful sole proprietors/entrepreneurs who have recently started new business.