Wouldn’t it be great to be able to quit your job,be your own boss and earn a paycheck from the comfort of your own home?The good news is that with a little planning and some startup money,it is possible!There are a number of issues you need to consider.Different supports and regulations apply,depending on your particular situation.
Do you have what it takes? – Not everyone is cut out for the challenge of starting their own business.There are several personality traits that are common among successful entrepreneurs, including discipline,confidence,good communication skills,humility,honesty,record-keeping skills,motivation,good health,optimism,etc.
Develop A Work Space – If you are considering a home-based business,remember that your home’s primary function is to serve as a dwelling for you and your family,not as a warehouse or meeting place for your clients.If you’re considering a computer-based business,make sure you have the technology necessary.
Legal structures – You can set up a business as a sole trader,as partnership or as limited company.The type of structure you choose depends on the kind of business you are running,with whom you will be doing business and your attitude to risk.It is advisable to get the advice of a solicitor or accountant when considering the structure for your business.
Business plan and funding – Your business plan will serve as a guide and communicate with your bank and/or investors what you’re doing and why they should invest in you.It should include mission statement,executive summary,product or service offerings,target market,marketing plan,industry and competitive analysis,pro-forma financials,resumes for the company’s principals,your offering and an appendix with any other pertinent information.
Most businesses require startup finance.This investment will help you break even after a year, but remeber that even successful businesses can remain in debt for the first few years.Potential sources of funding include a small-business loan from your local bank,tapping into your savings,money from other investments,borrowing from family/friends and as a last resort,credit cards.
Plan your budget – Without a budget,a business runs the risk of spending more money than it is taking in or not spending enough money to grow the business and compete.Plan your budget by researching industry standards,giving yourself a cushion,reviewing the budget periodically and shopping around for services and suppliers.
Employment rights and employers’ obligations – If you are starting up a business and decide to recruit staff you must register for PAYE and PRSI with the Revenue Commissioners.You need to know your obligations and duties as an employer and what are the rights of employees.There is a guide for employers who are starting a new business with paid employee.
