Starting a business is exciting and frightening. It will be one of the largest investments you will make during their lifetime. Not only financially but emotionally as well. Getting it right means taking a lot of responsibilities and make lots of sacrifices. It also means working harder than ever before.
For these reasons, business ownership is not for everyone. If you do not have the skills, personality and commitment to operate a business, you will be in trouble before you make your first sale. So before you start planning your ecommerce business, you need to have a look at yourself, your family and your finances, and give honest answers to some very important questions.
WIH The following questions help you analyze your personal characteristics and beliefs against the realities of business ownership. Do not worry if you find that some of the questions reveal doubts or weaknesses. Nobody is a perfect complement to any profession. But if you find many of the questions, you may wish to reconsider its decision to enter the business.
1) Are you willing to accept the responsibility of operating your own business?
Forget the ordered set some of the responsibilities that come with a position in corporate life. When you have a business, you are responsible for everything from opening doors in the morning to clean at night. Then when you go home, you worry.
The hours are long, there is a high degree of stress, and there is always plenty to do and little time to do. You'll have to deal with your customers and employees. You will be responsible for the finances of the company and dealing with taxes. And you will need to fill lots of formS and sign a lot of checks.
Make sure you understand what you're getting into. As a business owner, you have more responsibilities than I had before, no matter what their previous work has been. If you understand this simple fact, you are ready to take their responsibilities.
2) Do you feel comfortable making difficult decisions?
As a business owner, you also have to make many decisions that affect the business, their livelihood and that of their employees. Thev/11 often be difficult to do, including the decision to lay off if your business falls on hard times. It will take strength, mental toughness and resolve. If you have problems when faced with difficult decisions, this could be a source of problems.
Do you think having your own business is how easy money?
Think again. Many people end up sacrificing income to open their businesses, at least at first. That's the price you are willing to pay for independence.
If you are thinking about giving up a promising career and a lucrative income to start your business, be realistic about what your financial needs and if the business is going to meet those needs. Remember, you are building a business.
It may take several years to reach the level of income you want or need. On the other hand, you may decide that you are willing to sacrifice some money for the reward of being your own boss. Many people have found it worth every penny.
3) Are you starting a business of N despair?
This is a very real concern, especially in light of the large number of experienced entrepreneurs and business owners who have been adrift in the labor market through a corporate restructuring in recent years. If you're one of those people and are thinking about starting a business, and I think it's your only option, be very careful. Yes, you can be the answer to the security of your future, but only if you're willing to make the necessary compromises and sacrifices. The world of business ownership is very different from the corporate world. Make sure you recognize the differences before making the change.
4) Is it well organized?
The operation of the day to day business will be required to assume many responsibilities. Let us consider a normal day. You may have to do payroll, talk with suppliers, pay some bills, work on a new advertising brochure, and prepare some tax formS. At the same time, you will meet orders and ensure they are sent on time. Then there's always the unexpected, bombs or air-conditioned computer stops working-out.
As a business owner, you have to keep many balls in the air at the same time. Its ability to handle all these responsibilities directly affect their success. If well organized, have a list of things to do, and methodically going to happen to him during the course of the day. If you are interrupted, you'll pick up where you left off after solving the problem. If you're still not through to the end of the day, you sit there and work until finished. Debtors do not do well in business. If you are late, you're sunk.
5) Are you creative?
It is an asset to any company. No matter how great your product, you will not be the only sale. Marketing and advertising are essential to get the attention of customers and encourage them to buy. If you have a creative streak, whether writing, graphic design, or even an offbeat sense of humor will be an invaluable asset to your business.
T his is doubly true in electronic commerce. Given that your customers can not see the items they are buying "in the flesh" so to speak, have to be attracted by the presentation and a written description of their promotional materials.
6) Are you flexible?
In business, if an idea or plan does not work, can not be left to waste time, energy and excitement to regret their failure. You have to come quickly with an alternative solution. Flexibility and adaptability is the key. You will need to stay focused to achieve your goal, but you may need to try different paths to get there.
To E-Commerce, eg marketing approach may work for a while and then post. At that time you will have to come with something new. Remember that every business plan and enterprise
may benefit from a new look from time to time, even when things seem to go very well along.
7) Are you goal oriented?
This feature is obviously useful for all parts of life, but is especially useful in business. As a business owner, your goals will be defined in simple, concrete gross sales and net income.
A good business man comes each year with new goals and uses them as motivating forces throughout the year. Let's say gross sales during the first year of operation were $ 500. 000 and its net income was $ 100,000. For the next year, it is possible to aim for an increase of 20 percent, or $ 600,000 and $ 120,000. Meet or exceed those numbers is handled every day.
People also goal-oriented plans for the future. Over time, you may want to expand their product selection and your target market. You will have a long-term plan includes expanding time and that every aspect of your business will do to accommodate a larger volume.
Are you an optimist?
Having the right mental attitude is important for all aspects of life. When running on hard times, maintain an optimistic attitude and looking on the bright side of things is fundamental to weather the storm.
This is particularly true in business. By its nature, is a journey with peaks and valleys. For example, the most difficult time for any business is the first year or two. You can spend months getting things ready to go, careful selection of merchandise that will take, and get your overall advertising strategy. Then we will send your first e-mail and wait anxiously for the phone starts ringing and it's stuck emailbox with orders.
But nothing happens. Perhaps some filtering commands, or get some phone calls with questions about specific topics. This is not unusual, but even knowing that, you have to worry yet. If you are the type of person who gets off when things do not go as you wish, you may have problems with the roller coaster that any business can take. Maintain a positive mental attitude is key to weathering the bad times and working hard to make good come much earlier.
9) Do you have any experience that can be used in running the business?
If so, that will make learning much easier business. Experience in sales, accounting, business-related advertising, marketing, personnel management, taxes, or any other liability is an advantage for the potential business owner.
Experience with computers is required as electronic commerce, of course, computers are its lifeblood.
You have to have hands on experience with computers both hardware and software and do not be intimidated by experts and comouter geeeks but being able to work with these people often otten eccentric unique leadership skills.
10) Do people enjoy workling?
One of the painful realities of being in the retail trade is the fact that the customer is always right. Of course, running a distance of e-commerce business from your customers in the sense that they rarely face to face. But that does not mean they do not owe them the same service and courtesy you would if you were right in front of you.
As a seller of e-commerce, you will have the same problems with clients who experience retail store. You'll have complaints about their merchandise, their prices, their service, their policies and their employees. Believe me, no matter how well you think you have things organized, someone will find fault with them.
This is where tact, patience and understanding come in. When a customer is unhappy, you have to endure their behavior and try to correct the situation. The last thing your company needs is a bad reputation. If you allow a customer to leave satisfied, you can be sure that the person will tell all your friends how terrible they are. That, in turn, maintain a large number of potential customers become regular customers.
So there will be times when you have to bite the bullet and repair quickly and politely when you'd really like to tell the client to take a walk. Because you are dealing with someone that may be halfway around the country, is it possible that a personal telephone call, a Special Delivery overnight, or a refund with a handwritten note says he's sorry the purchase did not work , but look forward to assisting you in the future. Just be sure to leave the customer satisfied. . You also have to deal with people who work for you. As a business owner, his behavior will set the tone for the behavior of their employees. If you are negative and critical, will be negative and critical. But if you're happy and optimistic, which is also reflected in their behavior.
You will be hard at times. Managing people is not easy. If you are lucky, most employees will be nice, work hard and contribute positively to the company. They also have a few that turn out to be nasty, lazy, incompetent or even dishonest. Encouraging them to be a challenge. If you can not change your behavior, you should be able to fire.
11) Are you comfortable dealing with money?
Some people are terribly inept at finances. Others may do it, but he hates it. Like it or not, financial management is an unavoidable fact of business ownership. You deal with complex issues of monetary financing of the company to manage the collection of the day. You will be responsible for paying the bills, making bank deposits, to payroll and withholding and sending quarterly reports to the IRS and the state. It is possible to handle large amounts of cash, and there are certain risks inherent in that responsibility.
It will also be developing business plans. These are detailed projections of revenues and expenses during a specified period of time, usually three months, six months or a year. In some ways, are very simple, you want to maximize revenue and minimize expenses. But be careful planning and budgeting. What are the costs will be minimal staff to operate the business? What will your overhead and profit to be? How much can you spend on advertising? When are taxes due? How will the price of their products? What do you charge for shipping?
Any financial experience you have had will help with this aspect of your business. And if you like this kind of activity will be to your advantage. But if it is a burden, you must be prepared to deal with it.
12) Are you financially prepared to open a business?
Starting any business takes money. The beauty of E-Commerce is that you can do so brief as you want, especially if you are starting a small operation that will operate in his spare time. Many people have started e-commerce companies for only a relatively small amount of capital.
But the bigger your dream, the more money you need. If you are planning a full e-commerce business with many products, the costs of implementation will be considerably higher. After a new lot of considerations come into play. Do you have the financial reserves to support you and your family for a period of time until the business take? Some business advisers say you should have enough on hand to survive for a year with no income. While that may be an unrealistic goal, it is necessary to consider what happens if the business fails completely. Do you have the resources to weather such a catastrophe?
Before you start planning your business, you need to take a careful look at your finances. How much of your available capital who are willing to risk? Are you willing to personally sign for a business loan? What you have to offer as collateral? How much money do you have in reserve for emergencies? If you do not have enough to start the business yourself, you're willing to have a partner or partners? Are you betting your entire financial future in the business?
Undercapitalization is the main cause of failure of small businesses in the United States. However, many people trapped in the entrepreneurial fever, continue to start businesses with little money, very ill-prepared to cope with bad times. If you can not start your business with a financial cushion comfortable beneath you, you may be taking a risk that can not afford.
13) Is your family prepared to make a commitment
If your family is actively involved in business or not, ownership of enterprises will have a huge effect on them. If you're the only one involved in its day to day operation, the rest of the family will not see much. If you're used to having you around in the evenings and weekends, this can cause problems.
Your spouse may be unhappy with less time to go out to dinner or to mov
IES. Their absence may also mean that he or she will have to take on more responsibilities at home, driver of the children here and there, helping with homework, shopping, cooking meals, cleaning house, paying bills, and all other odds and ends that are part of everyday life.
Your children may have to make some big adjustments, too. You may not be available in the sports team, dance recitals, school plays, and all other events of childhood.
There may also be some financial adjustments for your family. If you're like most budding business owners, who will be running a tight ship for some years. Your family will realize that money can not be for some of the luxuries that used to take for granted.
It is very important to think about potential family problems early in the process. Sit down together and tell them what you are thinking about. Make sure they know what it means for the daily routine of the family and how they feel about it. Your support will make life much easier. You will have enough tension to the management of the business. The last thing you need is a family crisis.
The other side of the coin is that family members working in the business with you. The dynamics of family businesses can be very volatile, and you want to make sure everyone gets along. An important question is: Who's the Boss? Lines of authority are clearly defined? Are you and your spouse will be the same in the ownership and operation of the company? If so, are able to work together with glad and consider the views of the other? If so, you probably have no problem running the business together. But you can not even agree on what kind of soap to use, you may have problems.
14) Can you handle stress?
Comes with the territory. Long hours, endless responsibility, dealing with customers, worry about money because they can have a huge emotional burden. Some people thrive on stress. Actually makes them work better. To keep calm in a crisis and can react quickly to changes. Others fall apart when things get too hectic. What kind of person are you?
15) Are you in good health?
Running a business can be physically as well. You may have to spend much time on their feet and do not sleep as much as you like. You may not have much time to eat right or exercise regularly. You can have business activities that require a lot of strength.Take a physical inventory of your physical health. Do you have a chronic problem that may prevent you from operating the business efficiently? Remember, when you are a business owner, you have to be there day after day. A long absence due to serious illness could spell disaster.
These questions can be heartbreaking and difficult to consider, but is essential if you consider if you are ready willing and able to run your own e-commerce business?
Topic: Are You Ready to Own Your Own E-Commerce Business ? (Read 1310 times)
