What to prepare when first becoming a business owner?

1. Clearly define your business model and target market

Clearly define your product/service and target customers , research your competitors to find a competitive advantage, then start a small business to test the market before expanding.

For example, if you choose the consumer goods sector, then establishing a stationery company is a fairly simple model, with low investment capital and easy to operate - very suitable for beginners to become business owners.

What-to-prepare-when-being-a-business-owner-3.jpgIt is necessary to clearly define the product and target market when being a business owner.

It is necessary to clearly define the product and target market when owning a business.

2. Legal preparation – indispensable in the first steps of starting a business

Choosing the right type of business is a key factor affecting operations and taxes. You need to carefully consider between a sole proprietorship, LLC, or joint stock company depending on your development goals. When registering a business, you must choose the correct industry code, prepare all necessary documents, and follow the correct procedures to avoid legal problems. For conditional industries, you need to prepare professional documents, facilities, and related licenses early so as not to delay the startup process. To save time and resources, you can consider using a full-package company establishment service. at Apolo Accounting.

3. Build a clear financial roadmap and spending plan

Accurately estimating startup costs is vital in the early stages. Items to consider include legal fees, rent, equipment, marketing, and operating expenses. Creating a 3–6 month cash flow statement will help you stay on top of your finances and prepare for any shortfalls. It’s important to have enough cash on hand before you have a steady stream of revenue, as most businesses need 6–12 months to cover their expenses. Lack of cash on hand is the number one reason startups fail.

Prepare-what-to-do-when-being-a-business-owner-1.jpgEstimate clearly the start-up costs to have a clear spending plan

Estimate startup costs clearly to have a clear spending plan

4. Recruitment and operations: should be simple and flexible

In the early stages of a startup, it is advisable to minimize staff to save costs and increase flexibility. The founder should take on multiple roles to understand the business operations. When expanding, prioritize collaborators, freelancers or part-timers instead of full-time employees. At the same time, build simple, repeatable operating processes for easy implementation and adjustment later when the business is stable.

To save costs, minimize staff in the early stages of starting a business.

5. Marketing & sales: prepare from day one

Even with a limited budget, small businesses still need a basic brand identity including a logo, fanpage and a simple but professional website. Take advantage of free platforms such as Google My Business, Zalo OA, Facebook Business and local groups to attract the first customers. During the startup phase, prioritize spending on revenue-generating activities, instead of investing in unnecessary forms.

Starting a business is a continuous learning journey, mistakes are inevitable. The important thing is to learn from experience and adjust in time. To increase the chance of success, prepare your business model carefully, complete legal procedures, plan your cash flow and stay flexible. Starting properly, legally and controlling costs well will help your business stay stable in the first 6 months - a key stage for every startup. Success comes from good preparation, not from avoiding risks completely.

You want to start a business but are stuck with legal procedures? Contact Apolo Accounting for free consultation from A to Z: choosing the type of business, preparing documents, making a financial plan. With experience supporting thousands of businesses, we will accompany you to realize your business idea right from the first steps.