[Question] Your best tip for starting a business

[Blurock]

There has been a lot of horsing around over the festive season, but let's now get back to business. This is aimed more at the successful, established guys, but everyone is welcome to give their views.

What is your best advice for someone wanting to start a new business today?

Here's my contribution:

Do the difficult things while they are easy and do the great things while they are small. A journey of a thousand miles must begin with a single step.
Lao Tzu

[Dave A]

Believe everyone. Wait for no-one.

(Don't know the origon, but it sure made a big difference for me).

[Perform Computers]

Seriously, you want advice? Hang around on this forum.

I have learned so much from reading posts here & asking questions.

[murdock]

rather take the step and fall...than sit around talking about it and never achieving anything in life....you can only fall so far then its up and away...i speak from experience...i spent many hours with people who have great ideas but never took the step...i decided to take the step 21 years ago and never looked back...i have fallen hard but...if i had the opitunity to do it again...the only thing i would do different is save a little money for a long time.

[Just Gone]

Do things right, from the beginning. Trust no-one. Put systems into place. Establish good working relationships with suppliers.

[roryf]

Do things right, from the beginning. Trust no-one. Put systems into place. Establish good working relationships with suppliers.

and DO stocktake often,making money on paper is great but only if the stock is right.Find the right staff and your life will be much easier. Don't be scared to fire staff if they are not doing their jobs right, CCMA works both ways.Cash flow management is also very important.And the list can go on ......

[Newretailer]

The best tip I have heard is that being successful in business means simply never giving up. This does not mean that you carry on doing something that is not working, but that you constantly reevaluate and adjust until it works.

Another tip is to try and start your business whilst you still have a regular income. Once you get an idea whether it will work or not, you can take the leap.

[nkawit]

Do things right from the start, make sure everything is filed on time with time to spare.

PAY YOUR TAX!!! DO NOT CHEAT SARS.

Plan your finances well and do not incur expenditure you do not need.

Trust no one, if someone has 50% share, make sure they contribute 50%. If not, seek legal advice as soon as possible to limit your risk.

[Petrichor]

Never give up, resist procrastination, tackle the issues head-on.

I have seen many people reccommend that you start your business while still earning a regular income, and it works. However, give yourself a deadline / goal for when you plan to take the leap. Something I have personally experienced was to make the mistake of falling into a comfort zone of dragging along with both my business and my 9-5 job, which meant that my business was not getting the attention it needed to grow into what I had originally aspired it to be.

Do NOT rely on too much credit from suppliers, pay bills as soon as possible, it gives you a much better feel for where you are and what your cashflow situation really is in the beginning. .

[wynn]

Just do it (thanks Nike)
The water is not that cold and the butterflies in your tummy are addictive.

[Justloadit]

Also, ensure you have sufficient capital to carry you for at least one year. My experience has been that the first year you do make sufficient income to support you and your family expenses.

If the spouse is working - even better, as this does relieve the stress of no money. Remember that over 90% of business fail in the first year or two, mainly due to financial issues.

My moto has also been that I do not take an order on whcih I can not afford. In other words, if I do not have the capital to finance the order, I try and avoid it. The reason, is that all you need is the debtor to default in his payment, whether it being late due to non performance, or just because they are a larger organization they can string you along, or even the debtor disappears, you need to now service the cost of that order

[Raymond Smit]

Realise that the only way to grow or get business is through marketing. Bottom line:

>Get off your but and start marketing consistently day in and day out

[Blurock]

My motto has also been that I do not take an order on whcih I can not afford. In other words, if I do not have the capital to finance the order, I try and avoid it. The reason, is that all you need is the debtor to default in his payment, whether it being late due to non performance, or just because they are a larger organization they can string you along, or even the debtor disappears, you need to now service the cost of that order

Very valid comment. Overtrading is a big risk. If you link this to credit risk you have a recipe for disaster. Many good businesses have gone down due to bad debt.

[CWS1]

1. Be prepared to change your idea. Be malleable.
2. Always consider the scalability of your idea. Where is the ceiling. Opening a restaurant and slogging it out as a hands-on owner is not as profitable as creating a potential chain of fried chicken restaurants.
3. Consider your "why". Why are you doing what you do? Why will people buy your product? Why are you different?
4. Get ready to fail. See step 1.
5. Know when to quite. See step 4, then step 1.

[adrianh]

General business tips.

1. Be calm, respond to questions in a civil manner.
2. Do not take offense to questions.
3. Do not attack possible customers.
4. Be careful of social media - the statements you make live forever!
5. Don't be insecure!