When it comes to a job or pursuing a career, many people have a goal or a vision in their minds as to what exactly they want to achieve. For many of us, it’s a dream that keeps us going, one that is our driving factor to work harder and strive for glory, as unrealistic as what we’re aiming to might be. It is the reason for our pursuit of higher education and training courses, all so that we expose ourselves enough to the experiences that will give us the skills and knowledge that we need. While some people feel satisfied at a desk job, working for somebody else, others have the desire to branch out into the world on their own, setting up and establishing their own businesses that highlight their personal goals in life, and thereby, they are able to directly profit off their talents. Nowadays, with the growth in technology, there are many platforms for people to showcase their talents, especially on social media, and a new part of the entertainment industry is born. The internet is also a major hub for business, especially retail, and companies like Amazon, eBay and Alibaba have proven that this is, in fact, a profitable business venture if handled properly. In this sense, the costs of startup are very low, but in businesses that require physical elements, there’s a lot of effort and resources that need to put in.
Firstly, there are the fixed costs that have to be considered, and this involves the purchase or lease of fixed assets such as a building or office space, furniture, vehicles, machinery etc. Investment in such items is very high and would need to be recovered soon in order to turn a profit and prevent the business from running into losses.
The business would need to build a base on which to function, and designing and painting of a board or sign, quality label printing in case of retail and painting of the premises are additional but necessary investments.A business would, at its inception, need to make use of informative advertising in order to make their presence known in the market, and it is for this purpose that there is heavy expenditure on promotion.
This is yet another provision of money that would have to be made, especially if advertisements are to be made, brochures with custom stickers that provide affordable solutions bearing the brand name are to be printed etc.
Starting a business on your own involves severe start up expenditure, which may drain out the reserves made for the future. It is therefore advisable to start a business with another person for additional resources and knowledge.