10 questions that will help you discover if you have what it takes to operate your own business.
Before starting a new business, make sure to have all the necessary tools and resources to develop it. These 10 questions will help you determine if you are ready to manage your own business.
Do you have a unique idea?
You may have developed an innovative product with commercial potential or maybe you are thinking of opening a beauty salon. In either case, it is important that you define the attributes that will set your business apart from its competitors. In the so-called “knowledge economy” towards which Puerto Rico is heading, ideas that promote the development of innovative products and services are more attractive to potential investors than those businesses already available in the market. You can visit the Instituto de Estadísticas de Puerto Rico website (estadisticas.gobierno.pr), to find information about businesses in your industry, similar to yours in size, among other considerations. This information will help you work on your market analysis to determine the demand of your products and services.
Are you passionate about the product or service you will be selling?
Experts say that a businessowner should also be a good salesperson. You will need to sell your idea to the bank, to potential investors or partners and, of course, to your customers. Your passion for your business is key for its development, and the more you know about your industry, product or service, the more successful it will be.
Are you a hard-worker?
Select a business in an industry you love because a business requires a lot of work.
If you are passionate about the industry you have chosen, your new business will be a source of joy, not an obstacle for the lifestyle you want to enjoy.
Do you have the money or good credit to start the business?
Plan well your finances. Things might move slowly at first in your new business and it might take some time before you start seeing profit. Nevertheless, if you plan for the unforeseen expenses that arise in the day-to-day operations, you will see your company flourish. This is when you will recognize that all the effort and planning was worth it.
You should also be aware of your credit history. The stronger it is, the better are your chances to receive approval for loans that will help you obtain the capital necessary to build your dream company.
“How to Find the Money You Need”
“Which Credit Product is Best for my business”
Are you willing to work a full time job in one industry and work part-time on your business?
If you have a job, but your goal is to become your own boss, starting your business on a part-time basis could be a viable alternative. Risks would be minimized and you would maintain a stable income while pursuing your dream.
Can you handle multiple tasks simultaneously?
When starting a business, you are responsible for duties in areas such as human resources and administration, among others. A successful business owner needs to wear many hats during a typical workday. We assure you that you will never get bored!
Are you willing to take risks?
Risk is part of the very nature of the business owner. Any investment is a bet that there is a market for that product, service or idea, and like in all gamble, you have to assume the risk of losing. Before starting your business, make sure you have what it takes to survive difficult times. Be aware of how much money you are willing to invest and if that amount will be enough for the successful operation of your company.
Do you count with the support of family and friends?
The encouragement and support provided by friends and family will be crucial to your well-being and to your developing business, especially because of the long hours you will put in at the start. Talk to your spouse or partner and discuss the sacrifices involved in order to avoid conflicts once the business is operating. Discuss your ideas with your closest friends and don’t hesitate to ask for help or advice that could be valuable for the growth and success of your venture.
Are you able to plan ahead and anticipate your company’s future?
The successful business owner has the ability to foresee industry trends and to adapt swiftly to change. When you own a business it is not enough to deal with the day-to-day happenings, which is a complex job in itself. You have to find the time and resources to define the course of the company, study the market and make the necessary adjustments along the way. You should seek new opportunities and plan ahead. This will be an asset as your business develops.
Are you a leader and do you enjoy teamwork?
Once your company is successful you will probably need to hire employees that will now look up to you as their leader and role model. Good employees are the foundation of a successful business. It is vital that you establish a good relationship with your co-workers and possess the leadership skills to bring the best efforts and commitment from your staff. Good people skills are also an asset when developing relationships with your business’ support network, clients and suppliers.
As you can see, these questions are just a guide that will help you determine if you are ready to become a business owner. Take them into consideration before embarking in this stage. Good Luck!