Starting Your New Business Off Right Articles | Entrepreneur

By: Matthew Hick

At one time or another everyone has thought, “Hey I could’ve done that!” when they see a new businessman hit it big with a new trendy or very unique product or service. What’s the secret to taking those ideas, and turning them into a business reality that sells? Those who’ve made it insist that the road to success isn’t as difficult as one might think, if you follow a few simple rules:

Find A Way To Make Your Passion Fill A Need. Take what you love most, and find a way to use it to fill a need in the community. That’s exactly what Julie Aigner-Clark did when she first came up with the idea for the popular Baby Einstein Series. Just your average stay-at-home mom who loved music, art and science, she found a unique way to introduce her young toddler – and nearly every toddler in America – to the arts with her unique video series. Today, the company is worth millions of dollars!

Be Frugal. Be as cheap as possible when starting out. Forgo all frills until your new business is well established. Work out of your garage instead of an expensive office building. Run to the copy center instead of buying a copier Use your kids to stuff envelopes. Do whatever’s necessary to save your capital for the must-haves of running a business, instead of the wants.

Find A Good Source of Start-Up Cash. Banks aren’t likely to hand any new start-up the cash to get rolling unless the owners are willing risk a good chunk of their own money first. Most expect new start-ups to have at least $20,000 in capital before applying for a loan. Don’t have that kind of cash in your savings? Try friends, neighbors and family who may be willing to invest. Or see if a home equity loan or retirement fund loan is a possibility. Of course, there are also credit card options, although they aren’t a preferred method of raising funds by lenders.

Investment Capitalists are another option for large-scale business ventures. These investors are always on the lookout for new investment opportunities that will yield big profits in the future. To learn more about how investment capitalists work, contact your local Small Business Administrative or Service Corps of Retired Executives (SCORE), office. Their services are free.

Find A Good Support System. Almost every millionaire business person can tell you horror stories about friends worked for them in the early days, only to open their own knock-off businesses later, after learning the ropes from them. Find a support system that you can trust, both while you’re starting your new business, and later, after it’s become a success.

Starting a new business is never easy, but it is doable. The important thing is to know what you’re getting into before you begin this new life adventure.