{"id":9297,"date":"2017-03-28T11:40:05","date_gmt":"2017-03-28T15:40:05","guid":{"rendered":"https:\/\/www2.franchisegator.com\/articles\/?p=9297"},"modified":"2022-08-04T17:21:41","modified_gmt":"2022-08-04T21:21:41","slug":"how-to-start-your-own-business-12643","status":"publish","type":"post","link":"https:\/\/www.franchisegator.com\/articles\/how-to-start-your-own-business-12643\/","title":{"rendered":"How to Start Your Own Business"},"content":{"rendered":"

Starting your own business is a dream that many Americans hold dear. If you have longed to work for yourself, and not someone else, you understand this desire to take a risk and blaze your own trail. The entrepreneur starting out small and building their idea into a successful company appeals to our love of the underdog. We all root for small businesses to succeed. If owning your own small business appeals to you, how can you turn this dream into a reality?<\/p>\n

Small Business and the American Dream<\/h2>\n

For many Americans, small business represents the American dream, and small business owners are viewed as more honest and ethical than their corporate counterparts. A report commissioned by the Public Affairs Council<\/a> in 2012 explored the depth of Americans\u2019 love for small businesses. It found that almost nine out of 10 people surveyed had a favorable opinion of small business, with 68 percent saying they would be willing to pay more to work with a small business versus a larger company.<\/p>\n

Maybe this love of small business stems from the fact that more than 50 percent of the population works for a small business (a small business is defined as having fewer than 500 employees). The statistics show that the U.S. is home to 28 million small businesses, while another 22 million or more Americans are self-employed, without additional employees.<\/p>\n

Owning Your Own Small Business<\/h2>\n

What are some of the reasons people feel compelled to leave their positions working for someone else to start their own small business? Some of the common rationales include seeking more money, wanting greater flexibility or desiring the chance to focus on something they love. Whatever the reason, what do you need to consider to start on the path to starting your own small business?<\/p>\n

Start by writing a business plan. The Small Business Administration<\/a> is a great resource to help you work through this process. A solid business plan will serve as your map to success, helping you establish a solid framework to build your new business on. You also need to determine what legal structure your business falls under\u2014sole proprietorship, partnership, Limited Liability Company (LLC), corporation, S corporation, nonprofit or cooperative.<\/p>\n

Once you have a plan in place, it\u2019s time to consider a location. More than 50 percent of small businesses are home-based, but that doesn\u2019t work for every business or every individual. Be honest about what will be the best location to ensure your business thrives and has a future.<\/p>\n

Finding the funds for your business is the next hurdle. Depending on the type of business you want to start, you can self-finance, utilize government-backed loans, seek out venture capital or obtain research grants.<\/p>\n

Finally, there will be a fair amount of paperwork and legal issues you will have to consider when starting your own business. From registering your business\u2019s name to obtaining any necessary licenses and permits, make sure you understand all the hoops your particular state and line of business require. This will include registering for the appropriate state and local tax identification, as well as the legalities of hiring employees.<\/p>\n

Franchising as a Path to Business Ownership<\/h2>\n

Franchising can be an ideal way for someone to pursue their dream of owning their own business. But just because you have the backing of the franchise corporation\u2014putting you in business for yourself, but not by yourself\u2014that doesn\u2019t mean that being a franchise owner is easy.<\/p>\n

Some of the benefits entrepreneurs gain from being part of a franchise network include technology, branding and community. Having the backing of a larger organization comes with more advanced methods of ordering, marketing and more, things that small businesses simply may not have the capacity or the liquidity to handle. A franchise organization is there to help their owners with branding and promotion to ensure that you have customers walking through the door. Finally, there is the community aspect of a franchise system, knowing that there are others who have had the same experience you have and who can offer their advice and guidance.<\/p>\n

But franchising is a partnership, so if you are committed to the thought of answering to no one, it probably isn\u2019t the right path for you. And even if you do buy into a franchise system, you will still be required to work hard to make your dream a reality. There is no easy pathway to success.<\/p>\n

Are You Ready to Own Your Own Business?<\/h2>\n

Still interested in owning your own business? Then you need to take a moment to ask yourself these questions:<\/p>\n