Starting a small business is an exciting venture, but it’s a one that comes with numerous challenges. Let’s take a look at how you can make this process simpler and more gratifying.
In Australia a small business is identified as a venture or a company that employs less than 19 people. Most small businesses are owner-operated, also known as sole trader-operated.
But before you plan a new business, you must find out if you're eligible to start one.The Australian Government bars certain people from owning a business. This includes people who have claimed bankruptcy or have been convicted for a crime.
- Once the concept for your business is in place you’ll need to register a name with the Australian Securities and Investments Commission (ASIC).
- As an entrepreneur you need to work out who are your potential customers and what sort of resources you need to develop the business.
- A small business loan is different to other loans, and interest rates are likely to be higher than what you can expect.
“The starting point is what's the vision for the business. Then once they’ve decided what they want to do there might be some legal or other requirements to set up a business in a certain way for certain people. Some businesses can be operated as a sole trader and there's very little requirements around what you're going to do to start setting up the business. Other businesses you need to set up a company or a trust or some other legal structure to be able to operate the business, " said Bruce Mcfarlane.