Opening a business and becoming an entrepreneur is an exciting venture, though it’s not without its challenges and logistics. From the financial side to the mental preparation involved, there are numerous details involved in the process.
No matter where you are in Canada, local businesses are the backbone of the economy, which means it’s important that first-time owners have all of the information they need to create a sustainable business model.
Let’s break down the dos and don’ts of opening up a business here in Ontario.
Do: Secure company financing
Even though your brand or product may be exactly what the market needs, without capital, you’ll be unable to offer it to potential consumers. Securing your company’s finances is one of the essential steps of the process. Most entrepreneurs cannot build a business with their finances alone, so they look to investors or private lenders for assistance.
You’ll want to identify what you need the money for and where it will be allocated to create an acceptable business proposal. From angel financing to growth capital or accessing an online loan in Guelph or anywhere in Ontario, there are several details to confirm before accessing the money you need.
Don’t: Leave out unexpected finances
No matter how prepared you may be surrounding your current loans and payment plans, unexpected expenses are likely to occur — especially with a startup company. As you plan out your finances for the months ahead, you want to ensure you have a contingency in place should any unwelcomed emergencies arise.
If you’re able to set aside three to six months of expenses in a separate savings account, you’re putting yourself and your company in a better place to handle potential financial storms.
Do: Extra business insurance
Your business is your livelihood, and it deserves as much protection as possible. In addition to the legally required amount of insurance for Ontario companies, having an extra safety net could benefit you in the long-term.
You can often choose from several business insurance categories — it will likely depend on your brand’s specific needs. Your business insurance is designed to protect your company and its potential employees from potential damages or liabilities.
Don’t: Forget to utilize your employees
If you’re hiring a team, they will be an integral part of growing the business. You must be giving them your full attention and ensuring they have all the tools they need to flourish within your company. If they feel respected and their talents are genuinely being utilized, they’re more likely to act as brand ambassadors — providing you with priceless marketing.
Do: Embrace problem solving
Every business in Ontario, or anywhere in Canada, has gone through initial growth periods — it’s all part of the process. As a business owner, problem-solving will be one of your most important assets. Whether it’s internally — employee or technology issues — or externally, through customers or the product itself, you’ll need to be able to think on your feet and work to solve problems efficiently.
Don’t: Disregard negative feedback
No one likes to hear negative feedback about their product or services but think of it as an opportunity to develop an even better business model. Listen to criticism, constructive or otherwise, and use it as fuel to be and do better. In the end, your potential and current customers will notice your efforts and be more likely to recommend you to their networks. Use every moment as an entrepreneur as a teachable moment.