Starting your own business can be an exhilarating and fulfilling journey, though it often comes with its share of challenges. It can feel as daunting as climbing Mount Everest or base jumping into the Grand Canyon. However, if you're ready to put in the effort, the rewards for you and your family can be substantial.
Launching a business is a significant endeavor, yet with determination and hard work, you can turn your dream of owning a business into reality.
If you're considering embarking on this entrepreneurial adventure but are unsure where to begin, this guide is here to help. It offers the essential information and resources you need to start off on the right path.
Before starting your business, establishing a personal financial plan is essential. You'll need to cover many initial expenses directly, including typical startup fees and unexpected costs. If you already run a business and aim to grow, you might need to finance these costs yourself, especially if your business carries excessive debt or you cannot secure outside financing. A personal financial plan will help you assess your economic readiness to start a business and organize your finances to obtain external funding. It will also ensure you can support yourself and your family while building your business. Your business needs you, and you need your business. If either is out of sync, it can jeopardize the entire operation.
A financial advisor can help you gain a clear understanding of your personal finances to determine if you are financially ready to start a business. Since launching a business often requires substantial out-of-pocket expenses, a financial advisor can assess whether you have sufficient funds to maintain your current lifestyle while investing in your business. Given that your business may not be profitable for some time, having a solid financial plan in place is crucial.
The initial phase of negative returns, often referred to as the "Valley of Death," is a term coined by Bill Joy, venture capitalist and co-founder of Sun Microsystems. During this critical period, many startups fail. A financial advisor can help you navigate these challenging times by providing the tools needed to make informed decisions. They can also assist in developing a comprehensive business plan that outlines your goals and strategies for operating your business.
Fill out the form at the bottom of this page, and we'll send you our "Carpenters' Entrepreneur Guide to Starting a Business" brochure. This brochure covers a variety of essential topics to consider before launching your business, including:
- Choosing the right business structure
- Obtaining an employer identification number
- Opening a business bank account
- Obtaining the necessary licenses and permits
- Establishing credit for your business
We wish you every success and encourage you to build a strong team. Your employees and partners will be your most important assets. Ensure you have a team of talented and dedicated individuals who share your vision for the business.
