Are you passionate for business? Do you have an idea that you think can be a big hit? Are you planning to follow this ambition in Canada? Good for you! Canada is one of the largest economies in the world and welcomes various small businesses. However, starting and running a business efficiently is not everyone’s cup of tea. There are just too many things to do, and if you miss out on any one of them, then your business might go down even before it actually starts. So, below are some tips to get you started on a small business in Canada.
- Make a proper business plan
Let’s assume that you already have a good business idea which you have thoroughly researched about. So, when you mull over various things while starting up your business, try to convert it into a written plan. In the plan, describe your business objectives and strategies, financial requirements and goals, and the market of your business. In this plan, mention your operational requirements from money and permits, to equipment and employees. Try to be as realistic as possible and determine timelines to achieve each goal in your plan.
- Choose a good business name and location
A proper business name and a suitable location are essential as everything that you try to achieve through your business starts with its name and where it is located. Without a proper name, you might not be able to advertise your business aspirations, products or services properly. Similarly, without a good location, you might not have the desired flow of customers. For the business name, try to make it short and unique that fits your business model and describes your professionalism. For the location, try to pick the place that enables you to market your business properly. Think about your competitors, customers, zoning restrictions and legal requirements.
- Choose the best legal structure
Your business will move forward depending on your legal structure. Choosing the best legal structure for even a small business can bring various advantages. There are three basic legal structures that you can choose: sole proprietorships, partnerships, and corporation. Consult with your lawyer or accountant to find the best legal structure for your small business.
- Registering your business
Business name registration is a legal requirement for almost all businesses in Canada. So, before starting your business, find out vitals of registration and how to do it properly. Learn about every detail doing it. Depending on your business, you might be required to fill out various forms of registration with federal, provincial or municipal bodies. To know all about this, you can check the Canada Business Service Center’s website (http://www.canadabusiness.ca/eng/).
- Financing a small business
Money is the foremost requirement for starting any business and some might find it difficult to manage. While thinking about financing your small business, calculate your startup costs and include every detail from your business plans such as taxation, operation costs, and others. You will also need to create cash flow projections & needs, and proper financial statements. If you don’t have enough capital then you can consider taking a loan from bank but make sure you go through every detail before doing so. Furthermore, always manage your money efficiently and try to avoid a cash shortfall.
These are the few things that you need to carry out before beginning a small business in Canada. While there are many others too, if you perform above-mentioned tasks properly then you are off to a good start.