Many people dream of starting their own business, but deciding to become an entrepreneur is just the start of your journey. You know you want your own business and want control of your own fate, but you’re not sure exactly what it is you should do, sound familiar? By answering the following few questions, you can narrow down your choices and find your place in an entrepreneur world.
What are you interested in?
You don’t need to be an expert in the business you choose to start, it does help however help you get a good start if you have some interest in it already. If you have passion for it, all the better for you. What’s more if you are already part of your target audience for your business idea then you should already have a lot of the information you need to get started.
How much starting capital do you have?
No matter how much money you have to get started, it’s important that you know your net worth so that you can know which business ideas are out of bounds and which ones you can realistically undertake. This isn’t pie in the sky thinking, you need to be real and however much money you have, it’s never enough as everyone it seems over estimates their businesses income at the start, so make sure you start off with the correct figures and build in some contingency.
What skills do you have?
Even if you’re not sure yet what business is right for you and what you want to do? identify your skills, Do you enjoy spending time people? If so, what kind of people do you like the most and who would you like working with the most? Starting with your target audience in mind is the best way to choose a business. If you can narrow down your skill-set and the type of people you want to work with, you can make progress in choosing a business to start.
What skills can you buy?
When you start a business it’s important to realize that you cannot and should not, do everything. If your budget is super tight you might have to start with what you know instead of hiring in talent. However, knowing what you can buy will help you imagine the future as your business grows.
What skills should you learn?
If you’ve realized you have holes in your skill level, are they skills you can learn? If something has come to mind that needs qualifications, can you get them? How long will it take? What will it cost? How will you learn them; are they online or offline? Even if you don’t need to learn new skills, it’s really beneficial to continue to learn business related skills as these will give you the confidence to push your business forward.
What resources do you have?
Chances are you’ve already got some of the resources you need to start your business already, you might have might be a computer, internet access, and even your skills and people that you know. Make a list of any resource, be it a person, place or thing that can help you reach your business ownership goals.
What resources do you need?
As you have listed the resources you have, you likely came up with some resources you do not have but need. Don’t panic; just make the list and think about listing them in order of importance, highest priority to lowest.
What type of personality do you have?
Are you a loner? Do you enjoy spending long hours in front of your computer or would you like to do something that is more active? Do you like being with a certain type of person? Are you a morning person or a night person? When you identify how you work best and whom you work best with, it will help narrow down your choices.
What is your risk toleration level?
Everyone has a certain level of risk aversion. One way to look at it is to ask: how much can you stand to lose without destroying your marriage, losing your home, or giving up time with your children? If you have a low tolerance for risk, you may not want to become a day trader. From personal experience you need to also consider the level of risk your life partner will tolerate, if you are a high risk taker and they a low risk taker you need to work out a level you are both comfortable at, because you will need all the support and help, your family can give to you when starting a business.
How much time do you have to devote?
If you currently have a job that you have to go to, and want to start a business part time, it’s important to still identify how much time you can realistically devote to getting a business off the ground. Even if it’s just two hours a night after dinner, there is something you can do to start a business. But, the amount of time, along with the other information you’ve gathered will help narrow down your choices. And remember businesses take time to get off the ground so you will often work much harder when a business starts for very little rewards.
Answering these questions can help you determine the area you should enter into as an entrepreneur. Giving the next steps after your self-evaluation a lot of thought and consideration as you craft a plan of action that will help ensure your success today and in the future.