Starting a business can be an exciting new chapter in your life. However, it is also a complex and stressful task, which may bring you many sleepless nights. If you have decided to start a small business in Melbourne, you may suddenly feel overwhelmed with thoughts, ideas and worries about it. In order to help you collect your thoughts and start a successful small business, we made a checklist of everything you need to do before starting your business.
Research the market – the first step to take before starting a business is to a thorough market research. This will help you determine your target audience and potential customers and help you find the specific business direction. It will also help you determine how much competition you have.
Determine business structure – the nature of the business determines its structure. Depending on the type of the business you plan to start up, you will have to determine whether you run a partnership, a company or you are a sole trader. This will help you put your business in a favourable position when it comes to taxes and other legal issues.
Make plans – an essential component of every successful business is making detailed, written plans. Even though things do not always go as we planned, it does not mean that the plans should not exist – especially when it comes to business. Therefore, make detailed plans in writing – a business plan, an advertising plan and a risk management plan.
Estimate the costs – calculate the start up costs of your business in order to know exactly how much money you need to invest at the very beginning. Also, keep in mind that it takes time for the business to grow, so make sure to account for all the additional costs that may arise in the first year of business.
Financial tracking – every business needs to track their cash flow, profits, losses and other transactions. Figure out how you want your books to be kept. You can learn to keep your own books, or hire an accountant to do it for you.
Find the location – location is an aspect that can affect the success of your business. Depending on the type of your business, choose the location wisely and make sure you are not surrounded by businesses that operate in the same area like you.
Learn about registration and licences – no matter the type, structure and the size of your business, you will need to obtain proper registrations, permits and licences. You can find the information on the website of Australian Business and Licences Information Service, and you can also go to your local council for additional help and guidelines.
Register your business name – every business name needs to be registered with the Australian Business Register. In some cases, you can also protect your business name and use it as a trademark. Also, you can protect your business idea and gain an advantage over the competition.
Get the insurance – last but not least, you need to purchase proper insurance policies for your business. Keep in mind that businesses of different types and structures require different insurance policies.