Business Advice
New year, new you, new direction...
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Is 2014 the year for reinvention?
saturated market unless you have some exceptional ‘unique selling points’ which really set you apart from the rest. Alternatively, aim for a niche market where competition is less. •
Written by Katina Styles, a director at Axminster Tool Centre Ltd •
Though you may be reading this whilst still being festively challenged, chances are you are sat amongst the debris of Christmas wondering what’s up next on the agenda. Whatever; the New Year tends to sweep in with thoughts of starting anew and resolving to achieve what didn’t come to pass in the previous twelve months. So what better time to galvanise your ideas and strike out on your own by setting up a new business? Statistics indicate that each year in the UK more than 500,000 people start a business of their own, for varying reasons, and whilst this can provide a rewarding and life changing existence there are no guarantees for success. However, a vast number of new enterprises do survive and thrive and if you follow the key stages carefully you will give your ‘baby’ the best possible start in life. So, you’ve got an idea, now how do you transform that into a profitable business?
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Market research is key - are there customers for your product or services out there? Talk to people, test it out, listen to feedback, gauge how much they are prepared to pay and, most importantly, be prepared to make changes ‒ you can’t afford to be too precious at this stage. Take a look at the competition and evaluate their offering. You don’t want to enter an already over
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Write a business plan - this is the blueprint which will define your route and be your passport to success. A word of caution, don’t be too creative here, you need to be realistic as you have to make a living, maybe pay some employees and be able to convince suppliers and funding agencies to work with you. Get your team together and start developing relationships. Whether it is a partner with complementing skills to invest with you, or employees to undertake the dayto-day stuff you will need help, even a sole trader needs bankers, accountants, solicitors and suppliers. Taking it a step further decide what other assistance you may require e.g. IT experts, web designers and get them on board nice and early. Employees are worthy of a special mention as these will take you into the realms of employment law, a legal minefield which cannot be ignored. You will also need to register with HMRC to ensure you cover pay, tax and national insurance in the correct way. The goal posts can frequently change and some good advice is essential. If required, sort out your funding - lots of sources are available from bank loans to government backed schemes. Some carry more risk than others and may require some form of security so again it is imperative that you take advice and really understand anything you are signing up for.
That’s probably the major steps covered but there is a mountain of other stuff to consider from location and premises to the appropriate legal structure for your business right through to branding and marketing, and much more beyond. Most importantly, get all the help you can; masses of information is available free on the internet, just type in ‘starting
EAST DEVON
your own business’ and you will be amazed at what comes up! Business Link and Gov.UK are particularly useful, as are any national organisations relevant to your particular enterprise. Starting your own business is a 24/7 challenge which will undoubtedly take you out of your comfort zone and, whilst sat in the comfort of your
own home over the Festive season, that may seem appealing it is not a resolution for the faint hearted. That said the rewards and personal satisfaction of being in control of your own destiny are immeasurable and could well bring you a very Happy New Year. Katina
Peter Findlay
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