How to Start a Business: A Beginner’s Guide for Millennials
Have you always wanted to start your own business, but don’t know where to begin? Don’t worry, you are not alone. Your idea is worth investigating, and we are here to help.
Let’s start with the facts.
According to 2020 Small Business Trends, only 12% of small business owners are millennials.
Guys, what are we doing?
Millennials are known as passionate creators and innovators, but it can be difficult for us to get our arms around big ideas and completely dive in, especially amid a pandemic. But, now could be the best time for you to sit down and begin to pursue your ideas, given that the current environment will force you to be even more budget-conscious and prepared.
So, let’s be proud of our now famous avocado toast, move on from that achievement and show the world we are ready and capable of taking control of our own business dreams.
To start the process, you will want to evaluate your idea and do some research. In order to do the best research you can, there are four steps you will want to take.
Step One: Research local business guidelines by visiting your state’s website
Each state has different requirements that businesses need to follow, in addition to varying steps you need to take to register your new business. Score.org is a helpful online resource run by an affiliate of the Small Business Administration which provides access to resources and retired business executives who counsel and advise new business owners for free.
Step Two: Establish a relationship with an attorney
There are many different entity types under which you can register your business, such as a sole proprietor, an LLC (Limited Liability Corporation), a corporation, etc. You are not legally protected simply by adding LLC or Corp to your business’s name. So, be sure to get with an attorney and understand what each entity type entails, and what you will be responsible for.
Step Three: Establish a relationship with a financial institution
At Service Credit Union, getting in contact with a business services representative is easy. You can call us at 800.296.4644, email us at email@example.com or complete the form on our website. Establishing this relationship early on will also help you down the road when you want to expand your business.
Once you have completed your research, met with someone from your financial institution, and sought out legal advice, you will want to square away your finances by opening a business account.
A free business checking account with no fees and no minimum balance can help you get your business’ feet off of the ground. This account is also imperative when it comes to separating your personal funds from your business funds. Service CU’s team of business experts makes it their mission to customize and match each individual business owner’s needs to the best suite of products we have to offer.
Next, through your relationship with your business services representative, you can explore different lending options that can provide your business with the resources it needs to grow. For tips on applying for a business loan, check out this blog on the “Six Fundamentals You Need when Applying for a Business Loan.”
This all may seem daunting, but the good news is you don’t need to go in alone. In fact, many entrepreneurs recommend having a team of people to lean on. You will want to build a team of people you can rely on to keep your business growing and profitable. Pro tip: our Business Services experts recommend, “If you are going into business with family, you set clear boundaries and can work together.”
Don’t let your business fail because you and your Great Aunt Carol couldn’t see eye to eye on the color of the socks you wanted to sell. Your competition should exist outside of your business—not within your own family.
Speaking of competition, you will want to take a good hard look at what other organizations are doing within your market and really get to know your competitors. Once you understand what others around you are offering you can find the missing piece and set yourself apart.
Alright, I think that about covers it. My fellow millennial game-changers, you’ve now taken the most important step, the first one, by reading this blog. I know a lot of work is required to start your own business—by no means is it a small feat. But, above all, jump into your new dream with confidence and remember your team at Service CU is here to help you become a business owner.