Do you have an awesome idea that you think would be perfect for a business? If you do, then you’ve already taken the first step to start a small business. Once you have the concept in mind, you’ll need to start planning for the finances you need to get it off the ground.
Although statistics will tell you that around 40% of entrepreneurs were able to begin their startups with anywhere from $5,000 to $10,000, with a little cost cutting and smart thinking, you might be able to start a small business for around $1,000 to $1,500. Here are a few tips you can use.
Work out of Home or Shared Office Space to Save on Rent
Most entrepreneurs develop their ideas as an extension of their hobbies or some activity that they indulge in out of regular working hours. If this enterprise is something you’ve started on the side, consider working out of home. However, before you begin work, you might want to check the laws of your town for any regulations applicable to people looking to start a small business out of residential premises.
Depending on the nature of the enterprise you could also consider operating from shared office spaces. Co-working hubs are a smart option that allow you to avoid spending on high rent, utilities, and other office overheads like the cost of additional equipment including copiers, fax machines, and scanners to name a few.
Investing in a Good Computer is a Smart Idea
A good computer is a very handy piece of equipment that can help an entrepreneur in many different ways. In fact, you can use your computer as a compact office that allows you to perform all the necessary functions to start a small business. All you need to do is invest in a separate internet connection that may only cost you around $25 to $75 a month. And, here’s everything that it can help you do.
- Use it to create a workable business plan and research for all the information and data you need to start a small business.
- Draw up budgets and estimates of the costs you’ll need to incur.
- Keep records of the payments you’re making and receiving. These details can prove invaluable when you need to file your tax returns.
- Given that an internet presence is absolutely essential for any business, you need a website to showcase your products and services. Design landing pages by downloading free software from the internet. Registering your domain will only cost you $10 to $20 while a web host goes for $10 to $25 per month. You can invest in more advanced plug-ins and other essentials as and when your business grows and starts to generate a good income.
- Use your computer to create pages on social media sites like Facebook, Twitter, Pinterest, and Google +, and you can have free advertising for your company.
- You need not work with loads of paperwork that are cumbersome to manage and store. In fact, the computer will allow you to store all sensitive data on the cloud.
- Use the Skype calling and video conferencing facilities to interact with prospective business partners.
You Could Consider Investing in a Laptop Instead
When working out how to start a small business, if you feel you don’t have the space for a desktop device, you can always choose to invest in a laptop. An added advantage of having a portable device is that you can create business presentations and give on-site demonstrations to buyers and clients. While your enterprise is still in its startup stage, you need not invest in an expensive new device. Should you search the internet and scour the various online stores like Amazon, eBay, and ReUseTek, you can find many refurbished laptops that are available for less than $100.
You Could Start a Small Business on Consignment Basis
While you’re still finding your feet, you could strike deals with manufacturing companies. They may allow you to order the inventory and have it delivered directly to your customers without the need for stocking it yourself. You can always pay the vendors when you receive payments yourself. Taking bulk orders and filling them can help you lower your costs. If you’re offering services like for example, power washing homes and vehicles or photographing events, you can always hire the equipment you need and return it later.
Use Your Training and Skills to Start a Small Business
Entrepreneurs also start a small business by providing consultancy services in the particular field where they specialize. For instance, if you’re trained in human resources, you could offer career counseling services. Or, if you’re a teacher, you could help young kids with coaching and lessons. Trained accountants can provide assistance to people with their taxes while computer experts can offer assistance with hardware and software issues. Of course, if you already hold a steady job in the same sphere, you might want to check the policies of your company regarding activities on the side.
You also have the option of using your talents and hobbies to help people and start a small business. If you enjoy cooking, consider catering to small events over the weekend. Or, if you’re an avid gardener with a green thumb, take up landscaping services in your free time.
The Possibilities are Endless for a Dedicated Entrepreneur
You can become an entrepreneur and make money on the side without the need for large funding. Just look around for the right opportunities, invest in economical equipment, and you can soon begin a small startup that can give you rich returns. Eventually, you might be able to turn your full attention to the new enterprise.
Author Bio: Saroj Aggarwal is an entrepreneur with more than 4 years’ experience. She has started her own enterprise and is dedicated to helping people start small setups on their own. Saroj likes to offer practical advice that can help people avoid the typical pitfalls and make a success of their ventures.