Build a business

Business planning.

The secrets of starting a business aren’t that secret – it’s all down to careful planning, a whole lot of sacrifice, and grinding it out day by day – here’s how to get started

Know your target market.

It’s important to have a good understanding of your target market. Once you know who they are, you can cater to them and adapt your business accordingly:
 

• Are you selling business to business (B2B), or business to consumer (B2C)? Who are your customers? What are their needs, wants, income, and geographic location?
• Understand who your business is targeting and where your product or service fits into their lives.
• Staying ahead of your competitors is a must for a good business.

Know your competitors.

Research your market and learn who your competitors are, so you can harness your strengths to stay a step ahead:
 

• A competitor, in a business sense, is anyone competing for the same customers as you.
• Knowing their strengths and weaknesses is important for starting a business, so that you can leverage your own strengths and adapt.
• Staying ahead of your competitors is a must for a good business.

Funding your business.

So, you’ve got an awesome business idea, but might be wondering how you’re going to fund it. Capital (that’s ‘money’ in business speak) can be sourced in a variety of ways, including personal savings, business loans, finance leases, venture capital, government funding, and crowd funding. Choosing the right option can be extremely important, along with understanding the difference between debt (owing money) and equity (a portion of ownership in a business).

Funding it yourself:

• Gives you full control of the business because you keep 100% of the equity, and you’ll have no debt to worry about.
• Can be risky due to the fact sales and profits aren’t guaranteed and it’s your money that’s on the line, but if you’re successful it might just pay off.

Funding from investors or banks:

• Investors are often helpful, as they may give you access to skills, expertise and contacts which could greatly improve your business, however it means you don’t have 100% ownership of your business.
• Banks can be a lot more straightforward, as they loan you money with an indicated interest rate. They won’t be able to provide you the same advice investors can, but it’ll mean you’ll be keeping the control in your business.

Official info.

So you’ve got your idea, and you’ve got your money, now it’s time to deal with the official government stuff:
 

1. Choose a business structure. Will you create your business as a sole trader or a partnership with others?
2. Choose a killer business name and check it’s available.
3. Register your business name – you’ll need a tax file number and you’ll need to read up on whether you qualify for goods and service tax (GST).
4. You’ll also need to apply for an Australian Business Number (ABN).
5. If you don’t want anyone stealing your business concept, register your Intellectual Property (IP).
6. Consider registering a domain, preferably with the name of your business in the URL. Alternatively, set up a Facebook page and run things from there.
    

You can also check out the Australian Business Licence and Information Service (ABLIS) for info about all the licences, permits, approval, registrations and codes of practice you need to know about.

Raising funds.

Need some extra money to get your business going? Discover a few ways to make money on the side:

1. Freelancing

There are a bunch of different websites that provide freelance work opportunities, and many of them are on a one-off basis. Airtasker and Freelancer.com are a good start, because they give you notifications about specific jobs as they come up, then you can bid for the roles in real time.

2. Driving

If you’ve got a car, it could be worth offering your services providing lifts and helping people move stuff. If you’ve got a ute or a van you might be best suited to the moving business, whereas if you’ve got a car that’s less than 10 years old, you might want to get something more long term happening with Uber.

3. Mystery shopping

Mystery shoppers are employed by recruitment agencies to check up on a business’s performance on delivering good customer service. You get reimbursed for your purchases and you get a little bit of money for your trouble. Visit the Mystery shopper site to register.

How we can help.

Get your side hustle up and running with everything you need to know about starting a business, as well as great tips to get your invoices paid faster.