This article is brought to you by guest writer Derek Goodman of Inbizability.
If you’re holding off on business plans because of COVID-19, you might be putting yourself at a disadvantage. We’re approaching the end of the high-risk stage of the pandemic, and businesses that start now have the advantage of growing within the new normal. Here are a few questions you can ask yourself to see if this could be the right time to get your dreams started:
Do You Have a Plan?
Starting a business right now is perfectly possible, but it is important to have a solid plan in order to make the most of this moment. We are still in a relatively unstable time, economically speaking. Get all your ducks in a row before you dive in all the way.
For example, you should know some of the basic choices you’ll need to make, such as whether or not you should form an LLC for your business. This structure is a great fit for many, as it offers some legal protections and tax advantages. That said, the simplicity of being a sole proprietor may be a better fit for those who aren’t taking on much legal risk and who are seeking a less expensive way to set up a business. Research your options to figure out which business structure is right for you.
How Sturdy Is Your Safety Net?
Even if you were to set the pandemic aside entirely, starting a business is risky. Many businesses fail, and even those that succeed often don’t turn a profit for up to three years. It’s important to have a safety net that can carry you through this period and keep you solvent until your business takes off.
If you have substantial savings built up, this might be enough to do the trick. For many business owners, however, the best bet is to pair your entrepreneurial dreams with full- or part-time employment. That said, this comes with drawbacks in terms of time and energy levels. If you’re interested in giving this a shot, run your business as a no-pressure side gig for a few months. This can help you develop the time and energy management skills you’ll need to gradually shift into running your business full-time.
Are You Ready to Seize the Moment?
When it comes to figuring out when to start a business, many hopeful entrepreneurs get caught up in trying to analyze the situation perfectly in order to hone in on the exact right moment to start. Although this analysis is useful and can help you avoid the totally wrong moment, remember: There is no “right” time to start business.
If you have the funds, the idea, and a basic game plan, the real question to ask yourself is: Are you ready to start? It’s okay if the answer is no; you’re allowed to bide your time. But if you’re burnt out by your current career and excited to take your future by the reins, then seize your chance.
If you dream of your creative pursuits into a self-sustaining career, don’t let the pandemic be what’s holding you back. Evaluate your situation and take an honest look at what you want. You might just discover that this is your opportunity to soar.
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