Everyone has that one big business idea. Whether it is to open a cat cafe or start a lifestyle blog, your dream business can be deeply personal to you. For this reason it can be hard to look at your idea with a critical eye, and judge whether there are other people out there that will be just as interested in matcha flavoured frosting as you are.
So, before taking that leap and invest all your saving, its always good to ask for advice. This advice can come from friends or family that you trust and value their opinion, from a business adviser, or from a government agency. You can also do some market research to see if there is anyone else doing the same thing in other regions, and taking note of how successful their business is, or you could conduct a survey to find out if there is a demand for your product/service.
Now, once you are satisfied that there is a need for your idea, there are other factors that you need to evaluate:
- How much money will you need and how will you get it?
- How will I cover my personal expenses in the early stages of trading?
- Do I have all the knowledge and skills to sustain my business?
- Will I need extra support, and do I hire an employee or outsource?
Writing a business plan is great way to evaluate all these factors and assess any risks that may be involved, and here is where that business adviser can come in handy again to give you some tips on how to navigate the next stage in your journey. Your bank manager, is also another person you can approach to give you some realistic financial advice.
Now, don’t get too disheartened if perhaps you are not quite in the right space to achieve your dream today, but maybe you could enroll in a business course, or increase your weekly savings amount, then re-elevate in 6 months or a year. Don’t give up the dream, just find new ways of achieving it!
Here are some useful links to pages on the business.govt.nz website:
For help writing your business plan and some fantastic templates:
Their viability action assessment tool:
And realistic financial evaluation advice: