It all starts with a dream. When we look at the history of major corporate houses, we find that they all started with a small step in the right direction. Many young, educated citizens of our society are keen to be entrepreneurs. If the business idea takes off well, it can fulfill all of one’s business dreams.
Here is how you can start your own business step by step:
Choose a Business Idea: If you have a list of ideas on your hand, choose the one which practically suits your abilities and interest. Check the website of MSME and other Make in India projects to further explore the possibilities. There is more emphasis on ‘Make in India’ and the scope is quite wide under it. It includes agriculture, tourism, and even aerospace.
Get Equipped: Depending upon the type of business that you finalise, train or upgrade yourself if you are from a different background. The necessary skill or training will boost your confidence and enhance the chances of success. The latest technological and other advancements should be added to your knowledge.
Make a Project Report:Study all the businesses that fall under the category that you have chosen. Ask experts to make you understand all the aspects affecting your business.The probabilities of success in Indian and international markets must be thoroughly analysed. Mention all the details like, name, age and qualification of the owners or partners in the project report. Include the certified experience record which may help in furthering the business prospects. It is important to include the projected income and expenses for a short period.
Estimation of Funds and Finalising its Sources:Depending upon the scale of the business unit and its type, it will be required to make an estimate of the funds. They could range from a few thousands to lakhs of Rupees. And based on that it can be sourced right from friends and family to many other financing entities. It is advisable to make a perfect estimate to initiate the business and run it till the time it starts fetching sustainable returns. In case of a partnership firm, all the partners can contribute from their own funds. You can approach a bank to get start-up loans. Public can be called for by issuing shares to get funds. Venture capitalists too are another source to get money. Small businesses can approach Cooperative Credit Societies and community development funds. Study all the terms and conditions including rates of interest and collateral if needed.
Finalise the location: Any business requires registration with the local governing bodies. Various applicable laws and taxes will depend upon the location of your business. Special zones meant for development of business will offer a few relaxations from taxes etc. Check the list of businesses allowed in such zones. If your business falls within that category, you can start your business there if it is feasible.
Registration: Registering your business is a must. The process of registration may also need a few licenses and certificates in order to run the operations. Registration can be done online and it is possible to get it done very quickly due to the current friendlier set up. Taxation and other legal aspects also call for registration at local,state and central levels.Get a Permanent Account Number and Taxpayers Identification Number.
Establish an online identity: In today’s fast changing world, it is not sufficient to have a physical store. Customers prefer to check websites and other information too before buying a product. Online business adds to your success story. E-commerce is the new face of marketing your products as well as services. You can develop a website as per your budget and choice.
Create a brand name: Be it a small or a big business, normally all get a brand name and a logo. Take professional help to create one for you. Customers know you by your brand name and image. All the stationary, website and packaging will show the logo. Use it to make it your primary introduction which can ultimately take it to a long lasting impression.
Advertise: Starting from new paper ads to uploading pictures on various online public platforms will help to make people aware about your business and how you want to deliver your final product.
Hire workers/employees: Last but not the least,hire the workers and other staff in the best possible manner. They could be anyone right from your family members to skilled and semi skilled personnel. There are many sources from where the suitable workers/employees can be hired.
TO know about the ongoing funding schemes you can also take the MSME route. The ministry taking care of the same regulates it in 29 Indian states. As the COVID-19 phase has put the economy in trouble, SBI and IBA announced SME loan relief measures for individuals and MSMEs. The government declared an extension of its Rs. 3crore Emergency Credit Line Guarantee Scheme.
- The validity of ECLGS has been extended to September 30,2021.
- The disbursement under the scheme shall be permitted upto December 31,2021.
- Interest Rate is offered at 7.50.
- Public Sector Banks to offer restructuring loans to individuals, small businesses and MSMEs up to Rs. 25 crore.
- The Government to provide 100% guarantee cover to hospitals, nursing homes, etc for loans upto Rs.2 crore for setting up of on-site oxygen generation plants.
Smrutirekha Bhoi