By Amy Collett
If you're a veteran considering starting your own business, you have several important decisions to make. This article outlines some key steps you need to take to make the right choice for your unique situation. Read on for more information, courtesy of Put Veterans to Work.
1. Think About Your Skills and Experience
The most important thing to consider when choosing a business type is the skills and experience you'll bring to it. Think about what you're passionate about and the things you know best.
If you're creative, maybe you're a good candidate for owning a design business. If you have an analytical mind, perhaps you'd be good at starting a business that analyzes data.
Once you've determined your strengths, figure out what market demand exists for your skill set. Is there a high demand for online sales in your area? Is your target demographic generally interested in buying products from locally owned businesses? Once you know what's currently offered on the market, consider how much money and time you can realistically afford to invest in starting a business.
2. Learn How to Research Market Demand and Competition
Once you've determined what type of business you'd like to start, research the market demand for your product or service. When looking at market demand in your area, investigate the following:
• Number of competitors in the area
• Average price point of each competitor
• Amount of money being spent on the product or service in total in your area
Scrutinize these numbers to determine whether starting a business in your area is a viable option. If there are already a lot of competitors in the area, you'll have to invest more money and time into marketing your product or service. Additionally, if online sales serve a large portion of the market, you'll have to find a way to differentiate yourself from your competitors to succeed.
3. What Resources Do You Have?
Start-ups on a budget can save time and resources by using free or low-cost tools to help develop marketing materials. For example, you can create a Facebook ad using a free ads maker. This tool allows you to include your logo, branding, fonts, and colors in the ad itself. Putting ads on Facebook is an effective way to spread the word about your business.
4. Choose the Proper Business Structure
When deciding which business structure to choose for your new business, consider the benefits of forming an S Corp. This business structure offers limited liability and pass-through taxation. It makes it an attractive option for companies that want to establish credibility and protect themselves from hefty legal fees. States typically have rules governing S Corp formation, so research this option before moving ahead. When ready to proceed, minimize legal costs by handling the paperwork or utilizing a formation service.
Educating yourself is the fastest way to get your business off the ground. If you do your market research, define your skill set, and form the correct type of business, you'll be well on your way to being a success. To find employment-related services for veterans, visit Put Veterans to Work today.