Anyone can start a business in the City of Edmonton, Alberta, but not everyone chooses to. The truth is some people are prepared to take the risk; others aren’t.
The difference is those who are prepared to dream and put their faith in their skills, as opposed to those who simply want a regular paycheck.
The world needs both types of people. If you’re ready to take a risk and considering building a successful business in Edmonton, this article is for you.
Small businesses are the backbone of any economy. In Canada, it’s estimated that 8.2 million people are employed by small businesses, which is 67.7% of the private labor workforce.
In short, there are plenty of Edmonton businesses for sale, and it is worth considering purchasing one.
An existing business already has a customer base, cash flow, and a variety of other assets. In addition, teething problems should have already been resolved, and if you’re lucky, you will gain a good set of employees.
Don’t forget starting your own business means potentially waiting 12-18 months to see any return on your investment. Purchasing an established business should give you an instant return.
A business can be created as a sole proprietorship, partnership, Limited Liability Partnership (LLP), or as a corporation.
Creating a sole proprietorship is simple, but there is no distinction between you and the business. That means any debts owed by the business are also owed by you.
At the other end of the scale, the corporation is more complicated to establish and requires specific annual filings. However, it’s separate from you, and, therefore, you can’t be pursued for company debts.
It’s possible to change the legal structure of your business, which is why most people start with a sole proprietorship. However, you should think about the most appropriate structure carefully before you start trading.
If you’re starting from scratch, you need to be aware that it can take 18 months for the business to start making money.
Regardless of whether you’re starting or buying a business, you must be aware of additional costs. This can be things like setting up a remote working infrastructure, the cost of hiring staff, or even the costs associated with ongoing staff training. You may even find your machinery breaks down.
In short, you should factor in spare money to cover the unexpected. If you don’t, your business is likely to hit financial problems before you’ve even got off the ground.
As mentioned, a business can take 18 months to return a profit. During that time, you need to cover all the running costs of the business, including paying the staff, purchasing materials, and insuring everything and everyone correctly.
When you prepare your budget, make sure you include every possible expense. You can then use these figures to assess how much funds you have and how much you’re going to need to borrow.
You’ll then be able to talk to your local Edmonton bank, venture capitalists, and anyone else you can think of to help you secure the necessary funds.
A business can only be successful if it has customers. You need to stand out from the crowd to get customers in the modern business world.
It’s essential to develop your own marketing strategy. To do this, you’ll need to find out who your customers are and which type of social media they use. It’s then possible to develop campaigns that will appeal to these social media users when released at the right time.
Of course, you’ll also need to invest in more conventional marketing strategies.
An established business should have a team of employees who already know the business. You'll need to build a team if you’ve opted for a new business.
Focus on finding individuals with skillsets different from your own. You need the team to fill the gaps in your knowledge and be prepared to share their opinions and thoughts. All you have to do is listen, and you’ll be able to create a plan to drive the business forward.
Don’t forget that in the modern digital world, some team members can work remotely. You’ll need to determine which tools and apps can help remote work. It’s also worth considering how sales intelligence and automation can help your business.
Most importantly, to build a successful business, you need a plan. This should revolve around where you expect the business to be in five or ten years. To reach those goals you’ll need a selection of smaller goals. This keeps the goals achievable and relevant.
That’s something employees can get behind and help to make happen.
Building a successful business, whether from scratch or not, takes time. You need to prepare yourself and make the most of every opportunity. That, and your plan, will help you succeed.
Featured image source: Flickr / wherezjeff