All the beginnings are difficult if you are a small business owner or an emprenetour. The same principle is also applicable to the opening of a business. Today I want to show you some of the smart ways to build a good credit.
First, the most bureaucratic issues: the paperwork, the business plan, the market analysis or the necessary material to start operating. Then comes the location, the price of the product or service, its promotion, accessibility … and so many other issues to consider. Everything counts when starting a business and looking for its success and growth.
That’s why, no matter how hard you try to control the situation, the first few days were uncertain. Would you have guessed right? Would it be a resounding failure?
Entrepreneurship is not a race that is won by coming first, it is a resistance race that is won in the long term. Therefore, even if you don’t have much budget, don’t use it as an excuse, there are entrepreneurs who start their business with a really tight budget.
Advice Number 1
One of the best advices I’ve ever had was to avoid the mistake of opening up too many credit cards too soon. The more credit you have, the more you’ll end up using and the harder it will be to keep up with your balances and payments.
Advice Number 2
Always multiply your revenue forecasts by 0.5 and your spending expectations by 1.5. Following this advice, even if you are quite optimistic you’ll do just fine, remember that the results could take longer than you’ve anticipated.
Advice Number 3
Have always a back-up plan.
Even the smallest discretionary spending can destroy your budget. A same day loan could help in an emergency.
Advice Number 4
Follow the 50/20/30 simple rule.
50% for your most basic expenses, 20% for savings and 30% for your personal expenses.
Advice Number 5
Information is power. Read carefully all the information of the main public or private institutions that help you create your company or business. It’ll be very useful for a start-up.
I hope that this simple guide will help you to decide, remember not to hurry, to start a new business is difficult and there is no key to success, but if you decide to do it and you are constant, it can be one of your best adventures.