| How to start a small business and its myths |
 To start a business is a big risk. You need to invest money, time and effort in order to make it work. If you have thought of doing so and then just decided not to, perhaps you had some doubts. One concern for sure is money. How much do you really need? Or you say, I don’t have any talent whatsoever so I am sure my business will fail. Before you get really scared of the things you have thought of, let us review some of the myths successful entrepreneurs refused to believe. I want to venture in a small business but i am sure it takes a large sum of money for the capitalScott Shane, a Professor of Entrepreneurial Studies at the Weatherhood School of Management at Case Western University in Ohio, said that this is a myth. It does not take a lot of money to set a small business up and running.If you have $25,000, you will be able to do so. There are ways to save some money from your expenditures list so the $25,000 will be good enough. Most small business owners rent office spaces instead of owning one. Moreover, if you rent a smaller space, you can have more savings. What is the use of an office space good enough for 50 employee they don’t even exist yet? In addition, if you have some office stuff that you can just borrow, do so. There is no need to pay for things when you can get them for free anyways. Another example given was that of doing a commission scheme. Pay your employees based on commission and not on a regular salary. This is even hitting 2birds with one stone. If you employ salespeople, this commission scheme will further motivate them to achieve more than the quota given to them.Â
This means that if you invest in a business in a computer industry, its probability to grow is 840 times higher than when you invest in a business in the food/beverage or hotel/motel industry. As mentioned, although your entrepreneurial skills are a big factor in your success as a business, the kind of industry you are playing in greatly affects the growth of your small business. Now, if we talk about growth, dreaming of becoming an owner of a Fortune 500 business cannot be avoided. As they say, it doesn’t cost anything to make goals so why not aim for the stars? However, this leads us to another myth that All the money, time and hardwork invested will only be worth it if your business will grow into a multi-million dollar businessIt is better to start small, especially when you are just starting. A small business means smaller risks. Give yourself some time to learn all there is to know about the market. Apply the natural skills and talent that you have. Eventually, the experience you have gained will prepare you for the next step.Although it is good to be optimistic, it is safer to have realistic goals. In actuality, most small businesses remain small. The growth you might have will not guarantee you millions. It might just even give you enough profit to live a comfortable life. Do not expect immediate return of your investments. It takes time, a lot of hard work and a very good business plan to have a stable business venture especially in a competitive market. While waiting for the success, enjoy the lessons you have learned along the way. It sounds frustrating but this is reality. Wait till the first milestone in your business is achieved. Then, you can start expanding.
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