How to start your own business
Anyone and everyone wants to start a business, “is it so easy to start a successful business” asked my friend. This thought kept bugging us for quite some time that How to start own business?. Having this affecting us all the time we finally decided to meet successful businessmen and his answers left us confused and this would be brief in his answer.
Yes, starting a business is easy, any business for that matter, but making it successful and running it successfully is difficult because running a business isn’t for the faint-hearted.
An idea alone will not make a business. An idea along with incessant hard work can make a business, but is it enough? Absolutely not running a business is something that cannot be confined to anything. If in general sky is the limit, then make yourself sure that the limit for business is definitely beyond that.
Anything can be business, from selling a paper clip to building spacecraft.
So what makes a business successful?
Any business can be successful if it is believed in, it should be filled with confident people with never give up attitude and readiness to take risks and sacrifice for it. The main point is not how to start own business; it is about how to start your own “successful business”. Just as great wars are won with great guidance it is very important to get the guidance at the right time from the right people in businesses. The route to run a good business also involves knowing the customer, valuing the customer requirements and feedback and communicating with the customer and one’s employees.
Legal aspects of starting any business:
How to start own business? The first legal aspect of starting a business will be choosing the business type like private limited or single proprietorship or any other for that matter as this helps identify the required set of laws as each branding has a different set of laws to be heeded to. Few of them are
Taxes: every company has to pay central, state and local taxes, these tax laws are very tricky as they are different in each sector.
SEBI: The Securities and Exchange Board of India have a separate set of laws for companies that are to be listed on the stock exchange and these laws are periodically changed.
Labour Laws: Any business requires people who work for it, be it freelancers, on roll employees or contractors, they come under labour laws. Following labour laws not only help you stay out of trouble with the government it also helps improve quality of your company.
Intellectual property laws: These laws are applicable to companies which develop something new like research. It is also critical in filing patents, trademark and claim copyrights.
Information technology laws: The new age is fully loaded with information technology, hence this law. This law includes digital signatures, e-contracts as using cloud computing and other services gives the business a lot of customer data from name to bank account details, all these are bound by the information technology law. A sound knowledge of this law is important or your dream company might end like “pirate bay”.
Common Registrations and licenses
A startup business has many regulations and registrations it has to adhere to, a few of them are
|1||Permanent Account Number (PAN)|
|2||Tax Deduction and Collection Account Number (TAN)|
|3||UdyogAadhaar Number under The Micro, Small and Medium Enterprises Development, 2006
|4||Registration of factories and establishments under The Employees’ State Insurance Act, 1948.|
|5||Registration under The Employees’ Provident Funds and Miscellaneous Provisions Act, 1952|
|6||Registration of vehicle
|7||Registration and Licensing of Food Business as per the Food Safety And Standards Act, 2006|
|8||NOC for Ground Water Withdrawal|
Successful Businesses and what made them successful
How to start own business? Apple, Microsoft, Amazon, Flipkart are all successful start-ups that one knows today. But many have not actually seen the reason behind the success.
Apple was developed with the mindset of being used by itself, unlike other companies who developed products for others, the company made sure that the product they developed was something they couldn’t live without themselves, so this provoked them to simplify things and make the products easy to use.
Apple has made sure that it makes a product only if it can make it better, it stayed away from making the stereotyped products hence creating a market for itself, Steve Jobs always believed that even if you create products that are easy to use the variety of uses complicates it so he believed in giving the best customer service experience which became another reason for the company to become successful.
Lesson learnt: Give the client something they would love to own!
When e-commerce was taking the baby steps in India, Flipkart took the challenge and set up Bangalore as its headquarters.
It took a giant leap and identified two major concerns faced by e-commerce companies worldwide and gave an extremely easy solution taking the mindset of the people into account.
When the usage of e-payment gateways was not so popular amongst the masses they introduced the cash on a delivery system which is now an option for all e-commerce giants nowadays. Also, they came with their own delivery boys system thus ensuring short and timely product delivery.
This kind of thinking made them stand apart from the rest, in a country that was very new to the concept of buying online.
Lesson learnt: Take up challenges!
The main theme behind these examples is that from every startup, there is something to learn. It is good to learn from start-ups before starting your own business.
Common reasons behind failed Businesses
We don’t want to pinpoint any business and degrade them. So we have collated few businesses that did not do well as expected. Some few common traits that have led to failure in start-ups are
- Building wrong products without knowing the clients.
- Using employees who have no interest to work for the company, which will not let them give their best.
- Not creating enough salary offers like incentives.
- An absence of full confidence in the product and lack of guidance.
- When one plan fails, not shifting to another plan.
- Inability to raise funds.
Few examples of such failed business are Cardback, Stayzilla, Taskbob.
These are the tips on how to start own business, ladies and gentlemen. Anyone can start a business but be running the business successfully is a whole other ball game, but an easily understandable ball game. Only a few factors like, good idea, hard work, readiness to change and accept change, anyone who is ready to treat himself has his own customer can definitely become the best businessman.