I’m sure you’ve heard it said many times “In business, there are no guarantees.” You’ve heard it so many times because it’s true. There is simply no way to eliminate all the risks associated with starting a small business – but you can improve your chances of success with good planning, preparation, and insight. Acquiring a good franchise is one of the most important steps you can take on the road to success. Start by evaluating your strengths and weaknesses as a potential owner and manager of a small business. Carefully consider each of the following questions:
1) Are you a self-starter? Can you organize your time, and follow through on details.
2) Do you get along with different personalities? Business owners need to develop working relationships with a variety of people including customers, vendors, staff, bankers, and professionals such as lawyers, accountants, or consultants. Can you deal with a demanding client, an unreliable vendor, or a cranky receptionist if your business interests demand it?
3) How good are you at making decisions? Even owners of the best franchises are required to make decisions constantly – often quickly, independently, and under pressure.
4) Do you have the physical and emotional stamina to run a business? Business ownership can be exciting, but it’s also a lot of work. Can you face six or seven 12-hour workdays every week?
5) How well do you plan and organize? Research indicates that poor planning is responsible for most business failures. Good organization of financials, inventory, schedules, and production can help you avoid many pitfalls. Your franchise will give you the tools you need, can you put them into use?
6) How bad do you want success? Is your drive strong enough? Running a business can wear you down emotionally. Some business owners burn out quickly from having to carry all the responsibility for the success of their business on their own shoulders. While a franchise will help you share some of that pressure, it’s still your business. Strong motivation will help you survive slowdowns and periods of burnout.
7) How will the business affect your family? The first few years of business startup can be hard on family life. It’s important for family members to know what to expect and for you to be able to trust that they will support you during this time. There also may be financial difficulties until the business becomes profitable, which could take months or years. You may have to adjust to a lower standard of living or put family assets at risk in the short-term.
Brad