Starting a business

[Monk]

Morning all

Like many people I'd like to start a business at some point - I have a list of 10 - 20 viable ideas but I am struggling to get started. I already have a Ltd company in my name for the consulting work I do - but I want to branch out

For those of you who have started a business -

- what is the business

- what gave you the guts to leave the day job

- how did you fund it

- what's the worst thing that happened

- has it ever given you the freedom you expected it to?

- what is the number one piece of advice that you would give to someone starting out.

Thanks

[Darkzzz_]

Something I would love to do soon with my photography as I have been pretty much working a lot of weekends doing football tournaments, etc.

I haven't got a clue where to start really, I want to build my website first and get more kit before I start taking it more seriously, I would also like to take a business related course, I'm sure it would benefit me in the long run.

Would love to leave the day job at some point and focus on this, but for now it is a long way off.

[Monk]

Setting up a website is simple enough - there are plenty of sites that provide templates to sell photos online. Don't think you need to do a business course really - just buy and read a few good books on the subject.

I set up a website for my consultancy yesterday in a few hours (here). It's not 100% complete but it's out there anyhow.

Of the many ideas I currently have I am currently looking at what can be made through blogging (with affiliate marketing, ie you put a dell advert on your blog and you get commission if someone clicks it and buys a dell) and drop shipping via ebay (you can pay some suppliers to ship a product at wholesale price rather than buying in bulk).

Anyone tried any of these.

[Katy]

Setting up a website is simple enough - there are plenty of sites that provide templates to sell photos online. Don't think you need to do a business course really - just buy and read a few good books on the subject.

I set up a website for my consultancy yesterday in a few hours (here). It's not 100% complete but it's out there anyhow.

Of the many ideas I currently have I am currently looking at what can be made through blogging (with affiliate marketing, ie you put a dell advert on your blog and you get commission if someone clicks it and buys a dell) and drop shipping via ebay (you can pay some suppliers to ship a product at wholesale price rather than buying in bulk).

Anyone tried any of these.

Yeah, I had a website for my crafting business a couple of years ago. My advice is get as much advice as possible from banks, other businesses etc. Try and get as much free publicity as you can and drop your business cards anyway and everywhere. Make sure you go to the bank armed with a definite business plan, know your product inside out and back to front and be confident about it.

Good luck Martyn, it will be tough but very rewarding.

[Darkzzz_]

Cheers.

That website is quality, I like it. I am studying HTML/CSS at the moment and will be getting my website up and running very soon. I shall take your advice and buy some books on the subject.

I also dropped you a follow on twitter...

[welck12]

Not sure if this will help much at all but i was reading the paper at lunch and came across a bit about starting a new business it recommended this website for people looking at starting their own business. I have no idea if its anygood, but apparaently they are having a free workshop over the weekend, not sure where didnt read it properly

[Red Leicester]

- what is the number one piece of advice that you would give to someone starting out.

Get a good accountant and as large a base of confirmed work as possible before you kick-off.

[Fox92]

I tell you what, I have Richard Bransons book 'Business stripped bare' and it is awesome.

He tells you how to start a business and is obviousley 'stripping it bare' to make it easier to understand.

Tells you what to expect and what to do like the people and delivering to them etc.

Goes through his life as well how he made Virgin and how he now owns 3 airlines.

Personally, I have always liked him he is an idol of mine.

One of the richest on the planet, so take a leaf out of his book - literally!

[syston_fox]

Get a good accountant and as large a base of confirmed work as possible before you kick-off.

I can point you in the right direction there if needs be.

[lildave3]

When you start this business, employ me.

Guaranteed success.

[Thracian]

Morning all

Like many people I'd like to start a business at some point - I have a list of 10 - 20 viable ideas but I am struggling to get started. I already have a Ltd company in my name for the consulting work I do - but I want to branch out

For those of you who have started a business -

- what is the business

- what gave you the guts to leave the day job

- how did you fund it

- what's the worst thing that happened

- has it ever given you the freedom you expected it to?

- what is the number one piece of advice that you would give to someone starting out.

Thanks

I've had several businesses but right now my wife and I are full-time market traders.

Three previous businesses were basically run part-time and eventually full-time to enable me to be independent, self-sufficient and to allow me to enjoy my sporting life as I wanted to. To that end they worked well.

Leaving my full-time employment, first to go touring Europe as a professional squash coach and then because a job I had was boring me was easy both times.

The coaching opportunity was the chance of a lifetime and had to be taken. As for the second departure I've always believed that people should get out of any job they're not enjoying and my wife has never been nervous of backing me in doing that. Money has never been the driving motivation for me and therefore didn't come into it.

Funding? None of my businesses needed great funding. I still have a photograph of my first day's stock. It was a while ago admittedly but the whole lot cost just £37.

Worst thing that's happened? My wife having a brain tumour.

Happily she's fully recovered now but her illness wiped out our auctioneering and antiques businesses and left me totally demotivated and lacking in self-belief for the first and, hopefully, the only time in my life.

Her recovery felt like the aftermath of rain in the desert. Suddenly the world about me looked and felt vibrant, colourful and full of new life once more.

After much thought in various directions, we set up a new business as market traders. I'd always known that eventually, as my sporting legs wearied, I'd would become properly committed to business and, happily, this latest venture is one we are both enjoying to the full.

Already after little over a year the business is virtually dividing in two and avenues are opening in other but complimentary directions. Business is like that. It's a non-stop adventure.

Being your own boss does give you freedom. Our set commitment is only for two days a week although we usually do three at Leicester and five or six days a week all told. But it's our choice. We can take whatever time out we like within reason but working is something we do willingly because to be successful every business needs enthusiasm and unbegrudging commitment.

My main advice would be to analyse what you do and be ruthlessly self-critical. Businesses often fail because people don't recognise soon enough how well or how badly they are performing and why.

Your business has to suit your intended customers. They won't change to suit you. And when they look at what you have to offer they need to enjoy the experience and be attracted to something.

Hopefully it will be the stock or the product but winning custom isn't just about that. It is about them being made to feel welcome, important and as if they are being treated like someone special.

It is about remembering people's names, their quirks of personality, about letting them choose for themselves but being able to suggest something that particularly suits them if called on. In other words it is about the little things as well as the big ones. It is about attention to detail and nothing being too much trouble.

I remember my oldest son as a 26/27-year-old walking into a prestigious car dealership in Northamptonshire.

No-one greeted him or invited him to take his time looking round and to just nod if he needed help. No-one engaged him in conversation or made him feel at home in any way. They just ignored him.

Eventually he quietly walked out, bought a top of the range Audi at another dealership close by and has sworn by that company ever since.

The first dealership lost a potential lifetime customer purely out of ignorance and indifference. The mistake didn't just cost the value of one car.

It was the value of the others that followed on as replacements and, quite possibly, the cars of some of the many friends he told about the service from Audi both socially and through the in-house newsletter he sends out to his own business customers.

All things considered that one mistake could have cost the first dealership anything from £80,000 upwards.

[Finnegan]

How much start-up did it take to get into market trading, is it your family's only source of income, are you still paying off a mortgage and do you live comfortably?

[Monk]

Thanks all for your replies, especially Thracian's words of wisdom. I can see that whatever I choose to do will be a long difficult journey.

I guess the main thing is to plan correctly and somehow test the market before hand.

I have an accountant already so no problems there.

If anything comes of this.... IF..... then I will keep you posted.

Oh, and LilDave, yes you got the job, now get sweeping, bitch, I'm going to get my money's worth out of you!

[lildave3]

Oh, and LilDave, yes you got the job, now get sweeping, bitch, I'm going to get my money's worth out of you!

*Adopts Artful Dodger like accent*

Fantastic, i'll get straight on the rail and head down to London. You won't regret this and no mistake!

I'm clicking my heels just at the thought of it.

[Red Leicester]

*Adopts Artful Dodger like accent*

Fantastic, i'll get straight on the rail and head down to London. You won't regret this and no mistake!

I'm clicking my heels just at the thought of it.

You forgot to doff your hat.

You won't get anywhere in this life without doffing.

[DanTheFoxBhoy]

Those who employ labour should actively encourage collectivism and trade union membership. That is all.

[Monk]

Hear that Lildave? Dan wants to give you WORKERS RIGHTS. I say you keep scrubbing until the floors are so clean I can eat my dinner of them.

[lildave3]

Hear that Lildave? Dan wants to give you WORKERS RIGHTS. I say you keep scrubbing until the floors are so clean I can eat my dinner of them.

Is this with the same Brush I swept the Chimney with or a different one?

[Finnegan]

Is this with the same Brush I swept the Chimney with or a different one?

A different one.

[Smudge]

I employ 3 people, my wife does the books and that's it, how hard can it be?.

• Clients don't like paying on time and when they do they like to hold back on something they didn't quite understand. Some don't pay at all.
  
• You'll need an office or place of business with attendant overheads and a minimum lease, usuallya year.
  
• Advertising isn't cheap.
  
• Employees steal; either goods or moonlight on work that should come your way.
  
• Customers sue for unreasonable claims, therefore insurance gets expensive.
  
• It's hard to get a line of credit from vendors; in the interim you will have to purchase in advance.
  
• Vacations and weekends, forget about them. Even if you do manage to sneak a week in somewhere you'll be worrying. I know that applies to a job but the worry is more. What bills have to be paid when you are away, how will you fund payroll if that check doesn't arrive?
  
• My wife and I have to make a concerted effort not to talk about business when we are out just enjoying a pint, meal or a shag.
  It looks like you want to be in consultancy and maybe some of the foregoing doesn't apply
  

To me it seems to be the wrong time to be going into consultancy right now. If you have a job that is tolerable, I'd keep it. I wouldn't advise you to take any kind of risk in this economy. You can do that when people are "fully" employed and firms are looking to outsource their workload.

I'm sorry if this is all negative but it's how I see it at this time.

In any event, good luck with whatever you choose to do.

[Monk]

Thanks Smudge. To clarify - I am currently consulting through my own company in financial services sector. However I want to move away from this sector. Into what I am not quite sure yet but I have 10-20 good ideas currently, which I won't share on a public forum.

You made some good points.

Sounds like you should read this book: The Four Hour Work Week

Very inspirational

[Smudge]

Thanks Smudge. To clarify - I am currently consulting through my own company in financial services sector. However I want to move away from this sector. Into what I am not quite sure yet but I have 10-20 good ideas currently, which I won't share on a public forum.

You made some good points.

Sounds like you should read this book: The Four Hour Work Week

Very inspirational

Sorry I did misundestand, I thought that was a startup web page or a part-time business.

To answer your original questions: -

1. We own a business that retails and/or install's hi-end stereo and home theater electronics.
   
2. After years of corporate life, I was tired of cow-towing to people I didn't respect and wanted to somewhat semi-retire.
   
3. Used the house as security.
   
4. Finding out that people you trusted were stealing.
   
5. I think I answered the freedom part.
   
6. Number one advice: A). Don't get into a partnership. B); Manage for cash.
   

[Thracian]

How much start-up did it take to get into market trading, is it your family's only source of income, are you still paying off a mortgage and do you live comfortably?

Market trading doesn't need great start-up costs. You do need membership of the National Market Traders Federation who can provide the ridiculous amount of public liability insurance required. You need transport and the cost of your stock depends entirely on what you are going to specialise in.

I don't want to discuss our personal circumstances but if you were asking can market trading earn a worthwhile living (however you'd define that) then it depends entirely on what you buy, whether you can sell enough for a profit and how much effort you are prepared to put in to those ends.

At Leicester you can stand market 6 days a week (I stand three) and there are other opportunities to make it seven days if needs be. Some high street "names" have started their businesses on a market and we've got a trader alongside us who, I am sure, will have a significant presence in Leicester before long.

We're not driven by the need to have our name in lights. But if we need a bit more we work a bit harder and, as I say, market trading can evolve to encompass more than just standing at a stall.

One dealer I know spends most of his day on the market loading up "for sale" items onto EBay whereas we don't do EBay at all because we feel that we can't give ther best service possible to my market customers if we do and don't want to do it at home later because we both want a life as well.

But there's no reason you couldn't do both and probably double your turnover or even better in a very short time. A second alternative would be to pay someone commission to do it for you although you have to weigh that up against the tax implications in this age when initiative and commitment are penalised by the class warfare warriors.

Anyone determined to make a million can do so with the right ideas, the right work ethic, the nerve to put ideas into action and the persistence or willingness to change needed in the face of setbacks.