Updated: Jun 23
According to one recent study conducted by the Small Business Administration, there are approximately 32.5 million organizations that classify as a small business in operation in the United States. Half of all American workers are either employed by a small business or own a small business and are significant drivers of not only the economy in this country but on a global scale as well.
Coming up with an idea for a new business, however, is one thing. Actually becoming a successful business owner is something else entirely. According to another study, only about 48% of small business organizations survive beyond their five-year anniversary. This is due to a large number of reasons including uncertainty in terms of economic development, changing consumer behaviors, cash flow problems, and more.
Because of that, if you're going to start a new business, you need to have more than just an idea. An excellent product or service can only get you so far if your business structure isn't where it needs to be. There are several critical steps that need to be taken that go beyond your initial business idea to help make sure that you end up as one of the approximately 52% of business owners that are still here five, 10, or even 20 years from now.
To be a successful entrepreneur, you need to think about factors like business financing. You need to guarantee that your legal structure is in order. You need to focus on market research so that you fully understand the customers you've dedicated yourself to serving. Business insurance, workforce development, your business entity type - all of these things must be considered before you "hit the ground running" and try to bring your initial vision to life.
Any seasoned business veteran will tell an aspiring entrepreneur that it takes a long time to become an "overnight success." A rock-solid foundation must first be laid so that you have something stable to build from moving forward.
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