7 Questions to Ask Yourself Before Starting a Business
Starting a business always sounds fun when you’re casually chatting with friends and family over drinks. You’re brainstorming and writing ideas down on napkins. There’s energy and excitement in the air.
If you wake up the next morning, still jazzed to start this new venture, ask yourself these seven questions before you make the leap and become an entrepreneur.
- Why are you starting the business?
For money or passion? Successful entrepreneurs are rarely motivated by money, but it’s an incentive that can keep fueling your passion.
If you have pride and believe in your work, your potential clients will sense it!
- Can you start it as a side hustle?
While working a full-time job, can you slowly start your own business? This path protects you from greater losses, but it also reduces the rate at which you can grow your business.
When you work full-time on your business, you’ll accomplish your goals faster. But moving slower allows you to make adjustments to your goals without major financial impacts.
- Do you want a partner?
Or should you go it alone? Having a partner is great—until it isn’t. You’ll need to be honest with yourself and do some soul-searching to see if you would make a great partner.
Do you really need a partner (someone to contribute their expertise, money, and skills), or do you just want someone to hold your hand on this scary new adventure?
- Is what you are offering needed?
Are you solving a pain point? Do your research to see if there are offerings like yours on the market. Are they successful?
If your business idea is truly unique, try sending surveys to potential clients to determine if they’d buy what you are offering and what they’d be willing to pay. Speaking of clients…
- Who are your potential clients?
What are the demographics? Who would you want as a client? Do they share your ideals? Where would you find these people—online, in person? Why would they want to work with you?
- How much money are you willing to invest?
Will you bootstrap it? Get investor support? Every business requires an initial investment, whether it’s buying furniture for an office or creating a digital presence. The Small Business Association offers loans for small businesses at every stage.
- Are you willing to work long hours for little money?
How about losing sleep over issues in your business? Are you ready to be exhausted and exhilarated at the same time? Owning a business isn’t for the faint of heart. It requires grit to pursue entrepreneurship and keep chasing it. And that requires passion and perseverance.
Things will go wrong (sometimes horribly), but they’ll also go really well. In those moments when it seems like all things are moving in the right direction, you’ll have a feeling like no other. When you experience this feeling, you’ll feel energized to continue on to your next goal.
If you’re thinking about starting a new business, First Steps Financial is here to help you. We can set up your QuickBooks Online file properly to help manage your finances and keep you updated on revenues and expenses. Contact us today!