As more and more people are contemplating a small home business startup, the question of financing the entrepreneurial lifestyle can leave you seriously out of pocket. But how much money do you really need to start a small home business? How can you estimate what the financial risk is, to your bank account or your pension?
Business planning can help future business owners to asses the cost, the risk and the financial upside of any planned business venture. There are three simple steps to follow:
1. Set your goal – what is it you want to achieve? Maybe you want to make £5,000 a month or £1 million per month. This will decide how you need to run your small business startup.
2. Plan your cash-flow – once you have decided on a business idea, you can find out if your business can give you the the financial return you were looking for. Whatever you want to do, manufacture or provide services, cash-flow planning will help you to work out how much turnover you can make in a month, take off the overheads and you know if you make enough money to full-fill your business goal.
3. Do a SWOT analysis – working out what your Strengths, Weaknesses, Opportunities and Threads are, will help you to focus on your your strengths and opportunities, increasing your chance of business success.
All the necessary tools to plan your small or home business start-up, are part of the business planning module inside WinWeb’s OnlineOffice. If you are not sure how to use them, just contact our 24/7 help-desk, we will be delighted to plan your business with you. You could even use our free One-To-One tuition to help you work out if your business idea can succeed.
Learn more about WinWeb’s OnlineOffice Business Planning.