With the economy booming – especially here in Western Australia – many are wanting to know the best way to start a business in Australia.
Anecdotally, things are looking even better recently. Here at LG Accounting Solutions we have noticed a big uptick in new businesses starting in the past two months. We have had as many enquiries as ever for people wanting to start new businesses.
But what is the best way to start a business in Australia?
Begin with the end in mind
It might sound counter intuitive, but when you start a business, figure out what your exit plan might be.
There’s a saying that ‘if you fail to plan, you plan to fail.’
This saying is especially true to business.
Ultimately, you should have your entire plan from the start of your business through to your exit from it planned out.
I have been working with business owners for over 30 years now.
I can tell you from three decades of experiences that business owners are often highly focused on the day-to-day running of their business, and it can be hard to take a step back and focus on a one year plan or a five year plan, let alone a full exit plan from the start of the business.
However, it is crucial that if you are starting a business you begin with the end in mind.
That’s because for many business owners, the sale of their business funds their retirement. That means a poorly coordinated and unplanned for exit can have disastrous consequences for the business owners.
Beginning with the end in mind also means you have a long term plan, which will already put you ahead of the competition.
Write out your business plan
Once you’ve established what your exit might look like, do a business plan.
Typically businesses start from people either having a business idea or wanting to employ their expertise in a certain field.
It’s very exciting to get started, but make sure your business plan channels your excitement into something real and actionable.
There are all sorts of templates for business plans available.
The key really is that you do one. And that when you do one, you actually write it out, instead of just thinking about it.
Once your business plan is done, set about putting all the structures in place for your business. This includes your legal structure, your Team, your policies and procedures, your cash flow model, etcetera.
With all that taken into account, the best way to start a business is to plan.
Please reach out to us if you’d like assistance with your plan.I’m interested in business help