Starting a business can be an exacting venture offering many rewards. Enterprisers may purchase an existing business, by a franchise or start a business from scratch.  However, the small business owner must be prepared and understand the basics.  The first step is to analyze weather business ownership is right.  Begin by evaluating your strengths and weaknesses as a potential owner and manager of a small business by considering the following questions:

Are you a self-starter?
It will be entirely up to you to develop projects, organize your time and follow through on details.

How well do you get along with different personalities?
Business owners must develop working relationships with a variety of people including customers, vendors, staff, bankers, and professionals such as lawyers, accountants and consultants.

Can you deal with a demanding client, and unreliable vendor, or a cranky receptionist if your business interests demand it?
Running you own business means you work for many people.  It's rarely easier than working for a boss.

How good are you at making decisions?
Small business owners must constantly make decisions, often quickly, independently, and under pressure.  Are you willing to implement these decisions in spite of the risks involved?

How will the business affect your family?
The first few years of business operation can be hard on family life.  It's important for family members to know what to expect.  You will need their continued support during this time.  There may be financial difficulties until the business becomes profitable.  This could take months or years.  Your family may have to adjust to a lower standard of living, or put family assets at risk to grow the business.

Do you have the physical and emotional stamina and motivation to run a business?
Business ownership is a lot of work.  This can wear you down emotionally, particularly when there are monthly bills coming due.  Some business owners burn out quickly from the weight of responsibility resting solely on them.  Strong motivation will help you survive slowdowns and periods of burnout.
Can you face six or seven 12-hour work days week after week?

How well do you plan and organize?
Good planning leads to business success.  Organizations of finances, inventory, schedules, and production can help avoid many pitfalls.  As the owner, you must understand how well your company is doing financially.  Monthly cash flow examinations are more important than projection long-term profits for keeping the company operating.

After an honest assessment of the considerations, you believe business ownership is for you, it's time to put your ideas on paper.  This is the process of writing a business plan.

Next>>>.