Starting a business alone can be an exhilarating experience, allowing you to realize your creative ideas and express yourself. However, it is also highly competitive, and most businesses fail within their first five years. According to Forbes, 8 out of 10 entrepreneurs who start businesses fail within the first 18 months. Of those that do survive beyond two years, only half will still be in operation after another five years.
It’s essential to recognize that success as an entrepreneur relies heavily on preparation and research. Before starting a business venture, you should become familiar with local regulations, taxes, insurance requirements, and industry competitors. You’ll also need to understand which essential legal documents you need to secure to operate a commercial enterprise. There are many helpful resources online that can guide these topics.
However, a few assets will be specifically essential to starting a business. Without them, the road can get significantly bumpier. Here is a list of the first items you should secure when starting a business.
Capital
Capital is one of the essential components for any startup to succeed. A business cannot survive in the competitive market without adequate financial resources. Entrepreneurs must consider different capital options and secure them before launching their venture.
One way entrepreneurs can acquire capital is through crowdfunding platforms such as Kickstarter or Indiegogo. This approach allows entrepreneurs to present their ideas and attract investments from individuals who believe in the concept. Depending on the platform, they may also be able to offer rewards such as free services or products in exchange for donations. Securing capital can be time-consuming and requires extensive networking skills to find suitable investors.
Angel investors or venture capitalists are another options many entrepreneurs use when searching for capital funding. Many wealthy individuals are willing to invest in promising startups as long as there is potential for high returns on their investment. However, it takes considerable effort to establish relationships with these investors, and you will need to provide detailed information about your business plan to secure funding from them.
A moneylender in Singapore can also be vital to funding your business. Officially licensed moneylenders offer various loan options, competitive interest rates, and flexible repayment plans. This financial resource can be critical for entrepreneurs when starting a business.
Premises
You can secure business premises in the area you are targeting. Depending on your business type, this could be an office, shop, warehouse, or factory space. It’s essential to secure these premises before you launch your venture, as they will need to follow local regulations and support your daily operations. An adequately sized building with the proper facilities can make all the difference between success and failure in many industries.
However, many startups are thriving online, eliminating the need for a physical location. An adequate internet connection is essential for success if you operate remotely. However, securing online infrastructure will require additional effort and investment. IT services will be necessary for building an accessible website. You’ll need to consider other online marketing strategies, such as search engine optimization (SEO), content marketing, email marketing, and social media advertising.
The Initial Team
A reliable and competent team is essential for the success of any enterprise. Finding the right people to join your startup can be daunting, but it’s worth taking the time to find the right fit. Depending on the size of your venture, you may need to hire full-time employees or outsource specific tasks.
You’ll also want to ensure that everyone involved has their paperwork in order. This includes identification, relevant licenses, and social security numbers for payment processing and tax purposes. You should also have contracts that clearly outline expectations for each party.
Finally, ensure adequate insurance coverage for yourself and your employees if applicable. In some cases, this could be mandated by local laws or industry regulations, and it’s essential to be compliant.
Business Insurance
Business insurance is an essential element of any successful business. It covers various risks and helps protect the company from potential losses due to unforeseen events. Having adequate coverage can also provide peace of mind for entrepreneurs navigating their ventures in the competitive market.
In Singapore, various types of business insurance are available depending on your needs, such as public liability insurance, professional indemnity insurance, employer’s liability insurance, product liability insurance, and property damage insurance. Additionally, you may consider securing cyber security or intellectual property protection services if appropriate for your industry.
Final Thoughts
These are the first items you should secure when starting a business alone. Adequate preparation and research are critical to success as an entrepreneur, so it’s essential to become familiar with relevant information and secure the necessary assets before launching your venture. You can turn your ideas into a successful business with dedication and hard work.
