let me clr it first that if u starting a buiz than follow it-Too frequently, a new entrepreneur will underestimate how much money it will take to start a business. The result is usually that the owner ends up in a cash flow pinch, and that s a tough time to have to go out and find financing. It s important to anticipate how much money you will need, and do some contingency planning around where you will be able to get it. How much you need depends on how you are defining your business -- that is, it depends on your Business Plan. I know, I know, some people who will tell you that you don t need a business plan. Don t believe them. As a minimum, outline:What will be the cost of any equipment you will need to buyWhat will be the cost of any inventory you will need to startWhat will be the cost of services you will need in Year 1 and Year 2. Include business services (phones, Internet, etc.) and professional services (accountant, attorney, etc.)How much will it cost you in Year 1 and Year 2 to rent or lease the space you will needHow much money will you need to live on during Year 1 and Year 2There are other factors, but you can use these to estimate how much working capital you will need. Consider this a minimum number.NextEstimate what your product or service will sell for. Make a conservative estimate of how many of those you expect to sell in Year 1 and Year 2.
I m not trying to be rude, but not all of these questions can be answered without more information. Each business is unique, but I ll do my best.1. No formal schooling is necessary to run a business, but common sense and business savvy is necessary.2. Really, the sky is the limit... Now, the amount that is realistic is dependent upon the business type, your location, etc.3. This also depends on what you re doing, the size of the store, the cost for your inventory, the amount of employees needed, etc.Start here...www.sba.gov (assuming you re in the US)If you re not in the US, try to find a local small business association. Many local organizations have free or low cost programs which include business planning, aid in getting financing, and answers to these types of questions.Good luck!
You should never start a business with, or hire family members/close friends. Personal feelings get too involved in the work place. It s never a good idea.1. Not sure.2. Depends on how much business you guys make.3. It takes A LOT of money to start a business.
