Choosing A Starting Point For Your Business
Every business has to start somewhere. Just how much should you commit to in the beginning though? There are three main options to consider as a Starting Point For Your Business: you can either begin it at a side hustle, opt for an all-in startup venture or plan to buy an existing business/franchise. This post explains the difference between the three to help you find the right option for you.
The side hustle
A ‘side hustle’ is a business that you conduct on the side to support a main job. It allows you to maintain a steady income through your main job so that anything you earn through your side hustle is a bonus.
Launching a business as a side hustle is ideal for those that don’t want to risk committing everything straight away. You can test the water to see if your business idea is actually viable – if it’s successful, you can then consider reducing hours at your main job and committing more hours to your business. You also don’t have to commit as many funds upfront when starting a side hustle. Instead, you can take things slowly at your own pace, gradually building your business. For example, you could start a retail business as a market stall or eBay account and slowly build enough funds to consider things like web design and store rental.
The all-in startup venture
Another option is to quit your job and commit everything straight away into launching your business. In order to commit everything, your business needs to start at a more established point – you’ll need a website, top quality equipment and possibly even a team of staff. Attracting a steady flow of customers from the start will require a heavy marketing campaign. You may even want to establish a launch date and throw a launch party or special deal to get people interested.
The all-in startup venture is a little more risky and you’ll need to spend more money upfront. This could mean taking out a large business loan or seeking help from investors, unless you’re lucky to have lots of savings. The advantage it has over a side hustle is that you don’t have to wait so long to build up your business.
The business/franchise takeover
You then have the option of buying an existing business or franchise. Like an all-in startup venture, this requires you to commit everything from the start, but it isn’t as risky – the business you buy will already have an established presence and customer base, so you won’t have to do as much marketing to attract customers to you. All the framework is also there and you’ll have all the equipment you need.
Buying a business/franchise is generally more expensive upfront than launching a startup. You also won’t be able to explore your creative vision as you’ll be adopting an existing business model. You can however still spend time looking for a business for sale that appeals to your interests. You can also make small changes when buying a business to get the company more in line with your vision (although not so much when buying a franchise).
Which is right for you?
- Have a creative idea, but don’t want to risk committing too much time and money straight away? Begin your business as a side hustle.
- Willing to risk a bit more in order to turn your creative vision into a fully-fledged business? Consider taking the all-in startup route.
- Want to run a company that already has a business model and steady stream of customers in place? Consider buying a business or a franchise.
Special thanks to the following source(s) for the image(s) used in this article:
DISCLAIMER: This is an affiliate article. We post affiliate articles with the intent of helping you grow. They are not written, researched, or necessarily endorsed by our team. They are simply content submitted to us by what appears to be respectable affiliate sources, people, and organizations, which upon initial review, seem solid and helpful to our community, so we post them. It is up to you to personally verify the facts, links, organizations mentioned, the validity of the information presented, and any/all claims made in the article(s). To report an issue with any of the information, links, or organizations mentioned in this, or any content posted on our website, or if you simply have a question or need something we can help you with, please contact us now.