It’s exciting to start your own business. You have the chance to do things the way you want to and bring your vision to life!
Unfortunately, not all aspects of starting your own business are very glamorous, however. You have to cross all the practical items off your to-do list before you can start building your business and make money. You might have a great idea, but if you can’t pay attention to the details of running a business, you may find yourself in trouble down the road.
It can be tough to keep track of all the little things you have to take care of—and even some of the big things. Here are some of the details that new business owners often overlook so you can make sure you’re not missing anything.
Do Your Research on Business Loans
It can be costly to start your own business, even if you don’t have a storefront to worry about. There are lots of small costs like incorporation and business insurance that can really add up—and get overlooked. You should stop and think about how much money you’ll really need to start your business—and then add a bit more on top of that, just in case.
Many new business owners aren’t starting with a lot of their own startup capital. They often need to take out a business loan to get started.
Taking out a loan is always a risk. You’re betting that your business will do well enough to pay it back as soon as possible. However, some loans are much better than others. On top of having a solid business plan, choosing the right type of loan is the most important way to minimize your risks.
Do some research before you commit to a lender. Some lending structures exchange stock for capital. Others are more traditional loans with varying interest rates.
Depending on your situation, there might be some options that aren’t even available to you. Take some time to consider your options and the pros and cons of each. Take your loans very seriously!
Organization & Company Design Are Important to Scale
It might seem absurd to think about having 100 employees when you’re first starting your business, but long-term thinking will serve you well early on. Many business owners just make decisions as they go, which can work fine—at least for a while.
As you scale your business, however, you might find that those structures, which worked so well when you had only 3 employees, no longer serve your business. It’s better to start off with an eye toward the future and build systems you won’t need to rethink completely down the line.
Organizational design is something most startup owners don’t even consider. You’ll be ahead of the game if you plan ahead and create processes that will work now and in the future.
Compliance Is a Must for Any Startup
There are many regulations and best practices that apply to businesses, regardless of the industry. Many founders don’t realize that compliance is crucial for a successful, legal, and ethical business, especially one that has a global customer base. In today’s world, data compliance is key for any small business.
We live our lives online now. Even if you have a physical business, you should at least have a website, even if you don’t sell anything online. Personal data is extremely valuable for cybercriminals and virtual theft can ruin a small business.
Beyond this, going beyond basic compliance serves as an attractive marketing message for investors and customers alike. We all care about data safety and privacy.
You hear all the time about large medical insurers experiencing data breaches. These breaches cost them money and trust among customers, but they are ultimately large enough to survive. A small startup doesn’t have the resources or clout to overcome these types of security events.
Work Hard Now—Gain the Benefits Later
It can be tedious to research loans and cybersecurity or to spend hours working on an organizational structure that might never end up being needed. But if you set things up properly from the beginning, it will make your life much easier in the future.
So many small businesses ultimately fail. If you want to set yourself up for success, you have to pay attention to the details. Do the hard work now and you won’t have to worry about what happens when you hire that hundredth employee.
