If you have a fantastic business idea and you wish to take it one step further, you have come to the right place, as we guide you through what we feel is the best process to setting up a small business here in Australia.
Crunch the numbers
So, let’s say you have done some research and there is a market for your product/service; now you need to crunch the numbers and discover what the mark up is and whether the business is viable. Not much point in proceeding if the profit is insufficient; this might take a while but it is an important step that demands an investigation. You should be able to come up with a net daily revenue amount that you need to break even and this can be a guideline.
Write a comprehensive business plan
Every organization need a business plan; a document that gives an overview of the business, with goals and mission statements. You need to show clearly how you intend to find customers with a detailed marketing plan, plus list all startup and running costs; add an organization flowchart that shows who has what position and there should be profit/loss forecast for the first 5 years, if not longer. In short, your business plan should answer any questions a potential investor might have; when you feel it is complete, hand it to an experienced business coach and see what they have to say.
Bookkeeping & accountancy
Every organization needs to keep detailed records of all transactions and this should be set up at the very outset. Store your business data on the cloud and outsource bookkeeping and accounting to a local provider, which is a cost-effective way to keep your accounts up to date. Outsourcing this makes total sense and when the time comes to file your tax returns, your books will be ready for scrutinization. Finding an affordable tax accountant in Sydney is a breeze when you use Google; their team can be given access to your cloud, saving both time and money.
Registering the business with the Australian government
Gone are the days of trading illegally; the good news is that registering a small business can be completed via the web; we advise you to seek out the advice of an experienced business lawyer, a legal professional who can enlighten you to the pros and cons of the various business registration options.
Minimize risk
Taking out specific insurance policies minimizes the risks to the business; what would you do if an unhappy customer files a lawsuit? Click here for cash-flow solutions. Do you have access to emergency funds you can fall back on if need be? The number one reason for a small business failure is lack of funding, so make sure you have funds set aside for a rainy day. Click here for detailed information on setting up a business in Australia.
