When starting your business
SKILLS: ADVICE FOR BUDDING ENTREPRENEURS It is important to set goals and start by asking what you want to achieve by owning your business?
Starting your own business is not only a milestone achievement, but can also be one of the most thrilling experiences of your life. With it being your first shot at it, you may as well get it right the first time. Here’s advice for budding entrepreneurs.
Get legal status for your business
There are several ways available for you to ensure that your business is a legal entity.
Create a business and register your business via the Companies and Intellectual Property Commission (CIPC). Be intentional in deciding on your business name as this will sustain and drive you on the days you want to give up.
Conduct research regarding tax requirements or regulatory bodies, if applicable. Visit the Sars website to find out if you are exempt from paying tax, if not, it can offer assistance on registering.
Based on your offering, think about whether your product or services will need Intellectual Property protection.
Always register a web domain in the name of the business. As much as the costs of a website may not be the priority when starting a business, having a domain assists in setting up a business email which is the most common form of business communication.
Set up a business bank account in your registered business name. The CIPC provides for the type of business registrations.
Set up social media profiles in your business name.
Set business goals
It is important to set goals and you can start by asking what it is you want to achieve by owning your business?
A short-term business goal is usually something you want to achieve between six months or less. Remember to include financial goals, but they must form part of your overarching long-term goals.
Ensure these are realistic and build on the skills and opportunities you already have. If your goals are realistic, you should be able to outline a clear and specific path from one point to the next.
Long-term business and financial goals will establish the overall goals for what your marketing strategy aims to accomplish.
It is important to note that you work on your business goals all year long. You need to be setting goals at different quarters of the year, tracking the progress and refining your strategies to achieve your goal.
Determine your price
Work out the cost for your materials and charge for your time. It will require in depth research;
Consider your chosen industry and market and look at what your competitors are charging for the same product or material; You need to then consider what is cost effective for your business;
Knowing your target market and their affordability will also assist you in determining your price.
Tell your story
Go behind the scenes to show your customers what goes into the production of the product or the impact of your services. People buy into the value and the story more than the product at most.
Invest in a good accountant
This is key especially when you are not trained or well versed in this area. An accountant will assist with your business structure and advise on VAT thresholds.
Write and file everything
This helps in the event you may need to produce any documents or form of evidence in the future. It’s also great for determining what has worked, what didn’t work and also helps you to record your target market’s habits.
Aurelia Nxumalo is a qualified legal practitioner from the Professionista