In the previous post, we took a look at some things that you have to consider when starting your own business in the midst of financial crises. We talked about having enough money to tide you over for at least 3 months (more would be better) in case you don’t have enough cash coming in. We also talked about how you have to stay away from certain markets during the recession. What other things can you consider when starting a business during the downturn?
Think about potential sources of money in case you need extra cash to run the business. The small business initiative by President Obama should be at the top of your list. But you should also look at other sources just in case. Relatives? Is that a good idea? Friends? I think that these two groups of people should be your last resort. Actually, if you do not have any other alternative, you might want to let your idea sit for a while till you find a better (and less complicated) source of money.
More than the money that you will be using for your business, consider how this endeavor will change your life – and that of your family’s. This is one thing that has been overlooked by some entrepreneurs. Even if your business plan is as solid as can be, if you do not anticipate the changes that it may wrought on your life, you might have a hard time dealing with circumstances. And remember, your family will be involved in those changes so they should know what they are getting into as well.
Photo courtesy of http://ccsmallbusiness.files.wordpress.com/2008/06/business-debt119.jpg
Originally posted on March 27, 2009 @ 8:50 am