Checklist For Starting a Business the Right Way

File this one under, "Don't make the same mistakes Iasking anyone to fund you.
made." If one person learns something from my- Set up a proper accounting system from the word
mistakes, it will have been worth writing this article."go." Quick Books might be good enough or it might
Starting a business is just like building a house in a lotnot. What do you plan on doing? The best bet is to set
of ways. You need to start with the right foundation. Ifup some sort of web-based system so that you can
the foundation is shaky, problems will arise. It might takeenter your debits and credits from anywhere. Keep
years, but there will be problems just as surely as theevery receipt. When you hand this over to your
sun will rise. In fact, no matter what you do in business,accountant, you will be glad you took the time to do it
you will encounter challenges. Why make theseright. I wish I had.
obstacles worse by building on a shaky foundation?To tell you the truth, I did not do any one of those four
Here is a checklist that I wish I had followed beforethings correctly when I started my business. It cost me
starting my business:a lot of time and money. So often we get caught up in
- Define your core business, but do not let it limit you. Ifthe day-to-day tasks that we forget that our
you can't explain in one short sentence what needenterprise is actually a system. Minding the health of
your business fills, you may be on the path to failure.the system is you job as an entrepreneur and boss.
At the same time, take note of all possible fallbackHere is one more thing that you need to do:
positions or ancillary products and services that youAsk yourself, "Do I really want to do this?" Make no
can offer.mistake -- once you start a business, you are all-in.
- Set up the right legal structure. Corporation,Make sure that what you are doing is something that
S-corporation, LLC, LLP, sole proprietorship? Talk to anyou can enjoy on some level. If it is not something you
attorney and find out which is right for you.can enjoy, ask yourself how long you will have to do it
- Obtain financing. No matter how frugal you may bebefore handing the management off to someone else
or what field you are entering, you will need money toand basking in the profit of your work. It's OK to start
get started. The best way to get money is to have aa dry cleaning business even when you hate doing
solid business plan and a little bit of savings that youlaundry -- just make sure that you will not be doing that
are willing to commit. Go to a bank or a venturefor the rest of your life. If you figure you can make a
capitalist with a good plan, and make sure you havemillion bucks in five years, it might be worth it. That's
enough cash to keep you going for at least sixyour call and nobody else's.
months, preferably a year. Be sure to check your ownMay you prosper!
credit rating and improve it if at all possible before