The short answer is “now”, but there are still some things to put in place first.
When it comes to starting a business, many people are very slow to make a decision. It’s not as if they do not want to start the business early but there are many factors that may stand in the way. There is an unyielding need for start-up capital, and there might be the fear of competition or doubts about the viability of the business model.
Instead of starting what they think they cannot complete or succeed at, most people prefer not to start the business even when they feel the urge to do so. This raises the question of how to strike a balance between starting as early as possible and when one is actually ready to start the business.
This post will seek to enlighten you on the need to start your business as soon as possible, but not to rule out the pre-requisite of preparing adequately for it. Sometimes, you might not achieve a hundred per cent readiness. Other times, you need to get really close.
Factors to consider before starting your business
Before starting your business, you need to put certain factors into consideration. These factors will ensure that you are physically and mentally prepared to begin your business venture.
- Are you passionate about that line of business? It is recommended to start with a business you are naturally passionate about.
- Is it something you can do based on your personal ideologies?
- Is the business within the scope of your skills and expertise?
- How lucrative is the business?
- What do you already know about the business?
These factors and many more unlisted are not foolproof indicators of one’s readiness to start a business or not. The business you want to start should be something you are passionate about. Passion is very important for every business start-up because it is what keeps you going when things don’t work as intended.
The lucrativeness of the business is also something you need to consider but this is not the most important factor. This is because every business is lucrative. It only depends on your level of success in it.
Your ideologies should agree well with the business, whether the business is ordinarily lucrative or not. For example, it will be improper to venture into the marijuana business simply because it seems lucrative when your beliefs and ideologies do not agree with it.
Things to put in place before starting your business
Nothing comes out easily without a commensurate measure of preparation. Starting a business is not an exemption.
Before you say that you are ready to start your business, you need to ensure that some of the basic requirements are in place, at least for the short term. From there, you can continually review your plans and upscale your targets.
Let’s see some of the most important things to put in place before starting your business.
1. A business plan
A business plan is formally a written document of your business idea, objectives, structure, market analysis, products or services, etcetera. It is the summary of everything about your business written for someone else to understand.
Even though a written business plan is not an absolute prerequisite for starting a business, it can help you secure funds from investors. What is more important as it pertains to when to start your business is that you should have a clear idea of what your business is all about.
Being crystal clear about your business plan is absolutely important before starting your business even when you don’t feel the need to write an official business plan/report. Think about what you want to achieve and write down some of your plans and ideas in a journal. Also, brainstorm some potential unforeseen problems and prefer a solution to them.
2. Start-up capital
You need money to make money, so they say, and this is largely true. Starting up your business requires you to have some startup capital. You should be clear on how you want to raise your startup capital.
Some people rely on investors, venture capitalists, or crowdfunding to raise funds. In this case, you need to write a good business plan and be ready to deliver convincing answers to any questions you might be asked concerning your business.
However, if you are still very fresh in the business, it might be difficult to show investors what you have already achieved in the business as you may not have achieved anything significant. In such cases, one might need other sources of capital like family, friends, personal savings, and so on.
Of note is the fact that you don’t need a very huge capital to start, especially when it is difficult to raise big capital. But if you have a very convincing business plan, you may succeed in winning the hearts of venture capitalists for a share in your business.
If you need to borrow money to start up, be sure your plans are well-thought-out and all major challenges have been addressed even before they surface. This is because there is a risk of losing your money if the business collapses at startup, and there might be interests and collaterals involved.
3. Others
This includes other important requirements for the normal running of your business based on the type of business you are starting up. They include siting and location, office, warehouse, tools and equipment, other accessories, social media, and other things related to your business.
Other business requirements can change depending on your business and business model. Also, they should ideally be reflected in your business plan.
Among these considerations, it’s imperative to establish a clear understanding of your business power requirements. Choosing reliable business power suppliers that align with your energy needs is pivotal.
Energy is the lifeblood of many businesses, and having a dependable and cost-effective power source is paramount.
What is the right time to start your business?
The right time to start your business is as soon as you have the basic things to start. Starting early helps you to grow faster and learn from your small mistakes.
Making adequate preparations is important. You need to make plans to obtain some of the basic requirements for your business as discussed above. However, you don’t necessarily have to be fully ready before you start. No one is ever fully ready at the start.
To make the process faster, you don’t have to pursue the basic requirements in isolation. While making your business plans, you can start raising your capital. At the same time, you are making plans for a suitable location for your business.
Start your business immediately if you feel you have the basic things you need to start. There is no exact right time to start and it’s never too early to start.
It is never too late to start your business but delay is dangerous. It can slow down your progress and how long it takes your business to become established. This is why you should always act as fast as possible whenever you have a great business idea.
If you are waiting for some signs that you are ready to start your business, you may never find any. It takes courage and faith to start a business.
Fear of failure is not something that should deter you from starting your business because even failure is part of the process to success. Careful planning and risk management will help you minimize the impact of failure and avoid mistakes that should best be avoided.
At what age should you start a business?
On the ideal age to start a business, experts at Founder Institute have stated that 28 and above is a decent age to start a firm, with 32 being the optimal age. Their argument is that 28 and 50-year-olds have some expertise in management, project completion, and company operations.
According to the Global Entrepreneurship Monitor (GEM) report, starting a business knows no age boundaries, with the age range of 25 to 34 being the most popular for beginning a business.
A study published by Inc.com showed that entrepreneurs in their 40s and 50s are more inclined to establish successful businesses compared to their younger counterparts.
It also showed that a 50-year-old start-up founder is three times more likely to establish a successful startup than a 30-year-old.[1]Science Reveals the Best Age to Start a Thriving Business (It’s Much Older Than You Might Think) These findings suggest that wisdom and experience are needed to start a successful business.
However, in support of popular opinion, starting your business in your early to mid 20’s seems like the way to go. You don’t have to delay too much before starting your business. This is because, while you might not have enough experience as an older person, you do not have as many obligations and family responsibilities compared to the latter.
From my own experience, I would encourage students to start up their businesses when they are still under the care of their parents. That way, and with the right knowledge, their family income will reduce the strain on their business finances.
Also, you have the opportunity to learn a lot of lessons from your failures and successes that will put you in a better position to achieve greater business success later in life.
15 Tips to Succeed in Your Startup Business
After knowing what you need to start up your business and the right time to do so, here are some tips to increase your chances of succeeding in your startup business.
According to research carried out by Shikhar Ghosh, a senior lecturer at Havard Business School, the majority (75%) of startups fail, and many do so within the first year. Only 25% succeed overall.[2]Why Companies Fail—and How Their Founders Can Bounce Back – HBS Working Knowledge
These tips will help you achieve success in your startup business and place you among the few 25% who actually succeed.
- Define/clarify your business plan and idea.
- Face your fears and start early. It is better to fail early and learn than fail later when time is shorter.
- Do what you love or love what you choose to do. Your passion is what sustains your motivation when things go wrong.
- Believe in yourself. If others can, you too can. If no one could, you can.
- Be open to learning new things. Be innovative.
- Surround yourself with supportive people. Avoid lazy minds and discourage people.
- Be customer-oriented, not self. Think about how best to satisfy your customers.
- Show empathy when rendering your product or service.
- Keep innovating, try new things, and keep improving.
- Leverage the internet (social media, software, applications and productivity tools).
- Build healthy relationships.
- Learn to balance the calculations; maximize profits, minimize losses, and be accountable to your business money.
- Allocate your income properly. Keep a part of your business.
- Take your business as an independent entity from yourself.
- Learn from your mistakes. Be determined. Failure is nothing until you refuse to stand up and try again.
To learn more about the above tips and more tips on how to succeed in your business, read this article here.
I hope this article inspired you to start your business without any unnecessary delays. Make your business plan, consolidate your business idea, gather the necessary tools and equipment, and start your business without wasting too much time thinking of when to start.
