Start up can make the world a better place, unlock human potential, disrupt existing industries and create something valuable. What factors account for the success of start ups. Is it a good idea? or a successful team or maybe a better business model. It can also be a high amount of funding or the right time for starting a business. If you are looking for starting a home based start up, then this “The Start Up Series: How To Make Money With Small Start Up Companies” will be very much suitable for you.
Why The Start Up Series?
Are you an entrepreneur? Do you want to be an entrepreneur? You want to be entrepreneurs, but running short of money to start one? There are many who wantto start a company or have an idea, but unable to get capital, or stop working 9-5 jobs and do something on your own. Even after the booming of startups, it is getting harder to get access funds and capital. So it is wise to spend very less money for small startups that can help you in your future to build that big dream of yours. This series only sharesideas of small companies that be started with very less capital, can be marketed easily, having less technical expertise, and provide you higher profits.
Do I have the right Idea?
For a new entrepreneur, it is confusing how to decide what resources to buy, what will give better outputs in less money, how to compare different products and make a smart decision, how to start production etc.
On top of all these confusions, the major question: Do I have the right Idea? What makes airbnb, instagram, uber, youtube and linkedin becomes successful and why people link, desktop factory, webvan, pets.com, flooz and friendster did not succeed. Timing is the crucial factor in winning start ups and not the right idea. Airbnb came out the time of recession so it helped people to get income. You have to check whether consumers are ready for this start up. So a business idea should be linked with the timing.
Here are tested methods of forming a business idea.
1. Understand how other companies in the same sector works 2. Find out what are the inputs, resources and capital and operation costs of existing companies 3. Learn how conversion of material to product happens and do a cost comparison 4. Evaluate import-export of the products and materials and whether it will make an impact in your idea. 5. Study Government schemes and programs forpromoting companies in your desired sector 6. Find out banking institutions that can provide you with loans without collateral, with collateral with lesser interest and subsidy 7. Understand how social, market changes can affect your product. Ex: How Freecharge, PayTM used demonetization as a good strategy. 8. Study on the availability of local resources and cost 9. Find out what kind of technologies are there that can lessen your operational and human resourcecosts 10. It is essential to make a business plan to compile all the information that you have acquired. A business plan will have details of market, budget, resources needed etc. 11. Last but not the least, evaluate yourself. Do you have any previous experience in starting a company? Have you worked in any start ups? Do you have any friends or relatives who is doing any business related to the desired area.
Market Survey To Know Whether You can Make Money With Small or Micro Start Up Companies
Market surveyis very important and to be done before making a decision on starting a company. A market surveyis essentiallyconsistof details on existing marketcondition, expected demand, responses of market, understanding market fluctuation, competition, quality standards and measurements etc. There is no need to spend huge money to domarket survey. You can do that by meeting with consumers, shop keepers, wholesale and retail dealers etc. If you are sure thatprofitgenerated by the company will be less than ten percentage, then it is better to drop the idea. Certain Skills are needed for an Entrepreneur such asPower of Letting Go: An Essential Skill For An Entrepreneur. An entrepreneur need patience and let go attitude.
Start Up Funding Help From Government
The City of San Antonio, Texas, United States have Small Business Office that helps citizens to start small online business and start ups. The small business office provide resource guides and help to get funding. Likewise there are many Government offices and incubators that provide funding to start ups.
Loudoun Tech Startups is a local group in Ashburn, Loudoun County, Virginia, United States that provides support to emerging start ups. The Zone: 43811 Central Station Dr #100, Ashburn, VA
In India, The government started Digital India and Make in India campaign and has created Micro Units Development & Refinance Agency Ltd.: Mudra to provide funding to start ups without any collateral.
Micro Enterprise, Small Enterpriseand Medium Enterprise in India
I am not sure how many of you in India have heard aboutMinistryof Micro, Small and Medium Enterprises,GOVERNMENT OF INDIA. The small business sector is governed byThe Micro, Small andMedimEnterprises Development Act, 2006and theThe Industries (Development and Regulation) Act, 1951.
The Industries (Development and Regulation) Act, 1951, as- 65 of 1951 states that as-
(i)amicro enterprise, where the investment in plant and machinery doesnot exceed twenty-five lakh rupees;
(ii)asmall enterprise, where the investment in plant and machinery is morethan twenty-five lakh rupees but does not exceed five crore rupees; or
(iii)amedium enterprise, where the investment in plant and machinery ismore than.fivecrore rupees but does not exceed ten crore rupees; (b)inthe case of the enterprises engaged in providing or rendering of services,
(i)amicro enterprise, where the investment in equipment does not exceedten lakh rupees; ·
(ii)asmall enterprise, where the investment in equipment is.morethanten lakh rupees but does not exceed two crore rupees; or
(iiz) a medium enterprise, where the investment in equipment is more thantwo crore rupees but does not exceed five crore rupees.
[ALakh Rupee – One Hundred Thousand Rupees and A Crore Rupee – Ten Million Rupees]
Aim of The Start Up Series
In this series of blog posts, we will be sharing step by step process of starting small companies including important steps in starting a small business, how making a decision on which small business to start from, how to find business resources etc.
I have even taken the liberty of listing out some of the non IIT, non IIM start ups to make to motivate. Read it here: Best Start Ups in India That You Must Not Miss. If they can, why can’t you at least try to do something, create a small company, a small start up that may get leveraged in future – WHO KNOWS.
I will be publishing series of blog posts on small start up ideas with information on production, marketing, resources needed, expected budget and expected profit. It would be ideal for you to make a business plan for others and get investments. After publishing each and every post, I will add the link here, so anyone can come and visit the page and get easy access whole series. I also welcome questions and comments or requests to add details on start up ideas that you have in mind.
5.8 Profitable Online Small Start up Business/Freelance Ideas-Specialized Retail Service Provider,Social Media Consultant,Web Creation / Design and Layout Optimization,Online Internet Researcher,Mobile app Developer / Assistance developer,Teacher / Tutor for Online Courses,E book marketing andAffiliate, Referral and Niche marketing.