Expanding your Business
Starting a business typically involves going through the notions of planning, marketing, making fundamental financial decisions and completing any necessary legal activities. Many people have their own concepts about choosing the right route to go in starting a small business. However it is simply up to the business owner and depend on the type of business. It is said that the top five reasons why businesses fail are due to; “1. Insufficient start-up capital, 2. Lack of managerial experience, 3. Bad location, 4. Poor inventory control, 5.Lack of initial planning.” (Lopez, 2008). That is why, before starting a new business, it is important that one must analyze the necessary activities and key decisions that it will take to get the business up and running. When analyzing the key decisions of opening any type of center for children, one should first assess him/herself as a potential business owner. Are you a leader? Are you confident? Do you have the emotional strength and good health to handle the work load and daily schedule that owing your own business will require? What basic skills do you think you will need to succeed in business? Do you possess those skills? etc. If the assessment has more positive than negative traits then it is time to phase into the next step of determining the feasibility of your business idea. There are many different types of childcare centers so considering what makes this new center much more unique would determine how feasible the concept really is. It is good to take into consideration what products and services you will provide to your customers. Ask oneself why and who will pay for your services? How will your customer know you have services available? How much will your customers pay for your service? These questions should be answered realistically because if not your dreams could become another failure. Once one defines their business idea, and it still looks like a good
References: Greg Lopez. November 2008. “Five Creative Ways to Start a New Small Business in a Economy,” Small Business Administration, Office of Advocacy, p. 1. Small Business Administration. n.d. Borrowing Money for Your Business. Retrieved from: http://www.sba.gov/content/borrowing-money Berry, Tim. 2013. How to Get Your Business Funded. Retrieved from: articles.bplans.com/financing-a-business/how-to-get-your-business-funded/58 Scarborough, N. M. (2012). Effective Small Business Managment: An Entreprenuerial Approach. Upper Saddle River: Prentice Hall.