If your dream is to start a business, surely the same thing happens to you as other people, that is, knowing when is the “right” time. Creating your own company can be an incredible experience full of new adventures, not to mention the performance you can get from it if everything goes as well as you plan.
But how do you know you’re ready to take the plunge and start a business? Here are some signs that it might be time for you to get started.
14 signs that it’s time to start a business
These are not rules that always work, but if you say yes to most of the elements on this list, you are probably ready to go out into the world and start your own business.
- You are excited about the idea.
- You have a business plan.
- Your product or idea has a market.
- You know the competition.
- You can take financial risks.
- Funding capacity
- You know the risk of failure.
- You know the risk of success.
- You are prepared to roll up your sleeves.
- You are prepared to learn.
- You are able to manage your own time.
- You are able to see the potential of your business.
- You want to be your own boss.
- You have a gift for people.
Ready? Let’s go!
1. You are excited about the idea
It is clear that passion alone does not do the job, but if you do not like the idea of your business, you will be putting many obstacles to yourself without even realizing it.
When you have a small business many things seem unattainable, but this is not one of them.
2. You have a business plan
You have done your job, well. You have described how you will execute it. You already know all the numbers. You will not be able to manage a business without a solid business plan.
If you have not done it yet, it is important that you make an effort in it. You have to know the environment in which your business idea will develop.
3. Your product or idea has a market
This is part of your business plan, but if you already know in advance that there is a demand that you can satisfy, it is already a great step to know that it may be the right time to start your business.
Make sure you have done a thorough investigation and consulted with professionals who have knowledge and experience with the product or service you want to offer.
4. You know the competition
You have always wanted to have a coffee shop, the problem is that there are already three open where you live.
Once you start your business, how will you differentiate yourself? What do you have to offer that your competitors do not?
This will be important to keep in mind in your business plan.
5. You can take financial risks
Many small business owners started with nothing. Of course, it is much easier if you have some money saved to live until your company begins to bear fruit.
6. Funding capacity
A large part of managing a business in the long term is the ability to obtain financing when you need it.
What is your credit rating or rating? Do you have a lot of personal debts?
Consult with a financial advisor specialized in SMEs to make sure that your finances look good on paper.
7. You know the risk of failing
It is not something as bad horrible as you can get to think, but it happens. In fact, 80% of companies manage to overcome their first year of life and approximately half of them reach the fifth year.
But these data are still low. Only about 30% of companies reach their tenth year of life. Analyze well the industry in which you want to start your business and always have an alternative plan in case something goes wrong.
The risk of failure should never prevent someone with a good idea and a solid business plan from pursuing their dream.
8. You know the risk of success
What will your life be like if your business really takes off? It may seem strange to you, but many people do not take this into account. If your company is at its best and you do not have so much time for your family, are you really living the life you wanted?
Be honest with yourself about what your limits are and set expectations with your business partners and loved ones before starting your own business.
9. You are prepared to roll up your sleeves
Sometimes, starting a business can mean doing things that are “below your salary category”. Anyway, you are the CEO / Founder / Boss, right?
If this does not seem fun to you, starting your own company from scratch might not be the right direction.
10. You are prepared to learn
Prepare for everything you will learn through the process of setting up your own company.
No matter what degrees you may have or your work experience, starting your own business is always a challenge.
If you like the idea of learning something new every day, entrepreneurship is a good option for you.
11. You are able to manage your own time
Managing your own company is usually reduced to the same thing: the more time you can dedicate to it, the better. You will always be working under pressure, but if you know how to manage your time it will make everything easier.
12. You are able to see the potential of your business
Are you one of those who believe in the impossible? Who can detect a success story before it takes off? This is an essential skill to run a business. You must be able to see the big picture when sales have reached your goals.
13. You want to be your own boss
If you want to follow your own path, having business initiative is definitely a good option for you. If you are organized and can manage on your own, starting a business may be a good idea.
14. But … do you have a gift for people?
Being your own boss does not mean that you do not have to be a charismatic person. Managing a business is a social sport, you will have to work with your employees, suppliers, customers…
You are likely to be the face of your own business. Is that the type of image you want to convey?
