The Make in India program flagged by PM Narendra Modi has boosted and motivated people to come up with their small business in India. The efforts of the MSME has further encouraged entrepreneurship in India. However, starting your own business requires a lot of hard work on the part of the businessman. You have to work really hard, invest all your savings, and even work for extended hours to meet all the ends of the business and run it successfully.
Leaving the daily routine job and starting something that challenges you every second might be exciting. However, starting a small business in India is subject to a number of things and factors. Your own small business might give you the freedom to take risks and implement innovative ideas in your business. But as they say, with freedom comes to the responsibilities. You also need to be careful since a single wrong step can lead to business failure and huge loses.
Whatever you will do will directly impact your business – negatively or positively. So, the key point here is to consider a few aspects before starting a small business in India. Let’s take a look at a few considerations that you must make:
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Type of Small Business
also read: different types of business loan in India
The first consideration that you must make is the type of business you want to start. If you want to start a local business or something that has a worldwide presence. While a local business would mean competing local brands and competitors, a worldwide business would require you compete already established brands across the world. This very much will provide you with a plan that you need to adopt for a successful business.
Also, although a worldwide business would eventually bring you more profits as compared to a local business, it would require more investments as well. A worldwide business will require more funds for investment in marketing, advertisement, etc. as compared to a local small business. So, the requirement of funds would also vary accordingly.
also read: how digitization can help smes in India?
Apart from deciding on a local or worldwide business, you must also consider if your business require an online presence on not. Online business these days is in trend and most of the businesses are opting for an online presence.
Also, if you think of having a worldwide business, an online presence is most important or say a must for you. On the other hand, a local business might not need an online presence but it can be very beneficial in terms of having a strong presence in the market and reaching to geographically spread customers easily.
Finances are the foundation of a business. Now, that you know the type of business you are going to start and if you would be having an online presence or not, you must consider the various sources of funds available to you.
Nonetheless, before looking for sources of funds, you must know how much funds you would require. A concrete fund requirement plan is the need of hour at this moment. You can make a plan of the activities that would require funds, such as office premise, infrastructure, inventory, hiring staff, and their salaries and wages, etc. With a proper plan, you would know your fund requirements in advance. And with that, you can look for the number of sources of generating funds.
Marketing is an important aspect of running a successful business. As there is a saying, producing and manufacturing good quality goods and services is of no use if the world does not know about it. Marketing helps in telling the world that your products and services also exist in the market. It helps you encourage the customers to use your products and services and tells them about their USP. It helps in generating their need for the customers.
In today’s world, marketing has turned imperative for local and small business as well as a business operating worldwide. You can consider in advance the types of marketing strategies that you would be employing to run your business, such as an advertisement, email marketing, content marketing, social media marketing, etc. This will also affect your fund requirements.
These are the several factors to consider before you plan to start a small business of your own. These considerations can be your first step towards starting your business. If you know the list of does’ in advance, you would be going in one direction, i.e. towards growth.
In case you have a successfully running business and you are witnessing a growth opportunity. And cannot take its advantage due to lack of money, then a small business loan can be very beneficial for you. You can avail an SME loan to increase working capital, upgrade machinery, increase inventory, or to make investments for expansion.
As opposed to many people who think availing a small business loan is a long process that takes months, nowadays there are NBFCs and many online lenders who disburse small business loans within a few working days. Additionally, they offer business finance at minimal documentation and competitive interest rates. You can look forward to avail a loan from them.