Starting a Business
Starting a business can be challenging, frustrating and overwhelming. Doing research and understanding the critical steps and risks can help minimize problems down the road. Careful planning can improve your chances for success and make starting a business much easier.
Questions to Ask Yourself Before Starting a Business
- Why do I want to start a business? Make a list of all the reasons why you want to start a business. Go through the reasons one by one. Make sure the reasons can withstand hardship.
- Can I persevere through tough times?
- Am I a motivated self-starter?
- Am I financially positioned to leave my current employment and have enough cash flow to cover me until the business gets up and running?
- Do I have support from family and friends?
- Am I willing to sacrifice and work longer hours beyond the forty-hour work week?
- Do I enjoy interacting and talking with people and do I have good interpersonal skills?
- Do I possess leadership abilities?
- Do I have the necessary skills and experience to run a business?
FREE Business Basics Class
If you haven't already taken the free Business Basics class provided by the Idaho State Tax Commission and the U.S. Small Business Administration, be sure to sign up for the next available class. If no classes are scheduled in your area, you can contact either agency to arrange for a presentation.
Once you have determined you have what it takes to be an entrepreneur and you have taken the free Business Basics class, you are ready to move onto The 10 Steps for Starting a Business below.
Ten Steps for Starting a Business
When starting a business, start with market research and analyzing the market.
Step 2 - Write Your Business Plan
Writing your business plan is what builds the foundation for your business.
Step 3 – Fund Your Business
Funding your business is one of the first, and most important, financial choices most business owners make.
Step 4 – Pick Your Business Location
Picking your business location depends in part on the location of your target market, business partners, and your personal preferences.
Step 5 - Choose Your Business Structure
Find a business structure that gives you the right balance of legal protections and benefits.
Step 6 – Choose Your Business Name
Choose a business name that reflects your brand identity and doesn’t clash with the types of goods and services you offer.
Step 7 – Register Your Business
Register your business to make it a distinct legal entity.
Step 8 – Get Federal & State Tax IDs
Get essential federal and state tax identification for your business.
Step 9 – Apply for Licenses and Permits
Most businesses will require a combination of permits at the local and state level.
Step 10 – Open a Business Bank Account
Open a business account when you're ready to start accepting or spending money as your business.