Set Yourself up for Life
Description:
It's hard not to think of anything else but the potential success of your business when you are first establishing it, however, forgetting to consider some basic matters can set you up to fail!
Content:
Human nature can truly be both a wondrous and frustrating creature.
I met an acquaintance of mine recently over lunch and before I could open my mouth to complement her on her choice of venue, she immediately started regaling me (well, battering me really) with details of a new business she had just established.
My friend (let's call her Christabelle - hey, I like the name OK?) had just commenced business at home as a distributor of hair care products and was eager to tell me her business plan for the next year.
Given the numbers she was talking it sounded as if she was going to be the next Loreal.
"Where are you storing all the stuff?" I asked, "Have you rented premises somewhere?"
"No, that's the beauty of it. I'll save money by storing it in my spare bedroom" she replied.
"But what if something goes wrong and it all gets stolen or leaks or used as mouth wash or something?" I countered.
"Well, duhhh! Have you ever heard of home contents insurance?" she responded.
"Sure, but that won't cover you and what about any negligence claims?"
It was at this stage that Christabelle expressed her years of business wisdom with the immortal word, "What?".
As I explained to her that quite a few home contents insurance policies have exclusions for a business being conducted on the premises and that steps should be taken to protect her if any customer wanted to sue her for negligence if they somehow didn't use the product properly (like eating it or something), I could see her rapidly beginning to deflate.
Not wanting to stifle her entrepreneurial flair, I attempted to rectify the situation with the reassuring words "Well, don't worry. If anything did go wrong your business structure should protect you to some degree."
"What do you mean business structure?" she replied.
At this stage I felt it prudent to order a bottle Chardonnay to cushion her as I attempted to explain the benefits of setting-up a business in Australia correctly, to take advantage of taxation, protection and other business benefits.
I could see that my words were slowly starting to sink-in but I had a further meeting to attend (and the Chardonnay had run dry) so I told her not to worry and that we would discuss her position the next day.
To cut a long story short, Christabelle was eventually able to sit down with an accountant and insurance broker to look at her business and determine the best way for her to proceed, to allow Christabelle to concentrate on what she does best - selling!!
Is there a moral to this little tale?
Don't skimp the dollars when it comes to advice!! Actions taken to save money in professional fees at the outset usually result in twice as much being paid to rectify the problem down the track.
For example, if you are thinking of selling your business down the track, do you know if your current business structure will allow you to pay NO tax on any gain you make on its eventual sale? You didn't? Naughty-naughty!
Business regulations in Australia ARE complicated - that's why you should discuss them with experts!
Don't let a fantastic business idea get flushed down the s-bend simply because you wanted to save a few dollars. If you set-up business correctly at the beginning, you'll be set-up for life!
Author: Craig Wood
About Author:
Craig Wood has been advising home-based businesses with regards to growth strategies for 20 years. Home-based business operators are rushing to receive Craig's monthly tips and strategies by visiting HomeBusinessKnowledge.comRandom related phrase:
international institute of business analysis
Misspelled random related phrase:
iinternational institute of business analysis, nternational institute of business analysis, innternational institute of business analysis, iternational institute of business analysis, intternational institute of business analysis, inernational institute of business analysis, inteernational institute of business analysis, intrnational institute of business analysis, interrnational institute of business analysis, intenational institute of business analysis, internnational institute of business analysis, interational institute of business analysis, internaational institute of business analysis, interntional institute of business analysis, internattional institute of business analysis, internaional institute of business analysis, internatiional institute of business analysis, internatonal institute of business analysis, internatioonal institute of business analysis, internatinal institute of business analysis, internationnal institute of business analysis, internatioal institute of business analysis, internationaal institute of business analysis, internationl institute of business analysis, internationall institute of business analysis, internationa institute of business analysis, international institute of business analysis, internationalinstitute of business analysis, international iinstitute of business analysis, international nstitute of business analysis, international innstitute of business analysis, international istitute of business analysis, international insstitute of business analysis, international intitute of business analysis, international insttitute of business analysis, international insitute of business analysis, international instiitute of business analysis, international insttute of business analysis, international instittute of business analysis, international instiute of business analysis, international instituute of business analysis, international institte of business analysis, international institutte of business analysis, international institue of business analysis, international institutee of business analysis, international institut of business analysis, international institute of business analysis, international instituteof business analysis, international institute oof business analysis, international institute f business analysis, international institute off business analysis, international institute o business analysis, international institute of business analysis, international institute ofbusiness analysis, international institute of bbusiness analysis, international institute of usiness analysis, international institute of buusiness analysis, international institute of bsiness analysis, international institute of bussiness analysis, international institute of buiness analysis, international institute of busiiness analysis, international institute of busness analysis, international institute of businness analysis, international institute of busiess analysis, international institute of busineess analysis, international institute of businss analysis, international institute of businesss analysis, international institute of busines analysis, international institute of businesss analysis, international institute of busines analysis, international institute of business analysis, international institute of businessanalysis, international institute of business aanalysis, international institute of business nalysis, international institute of business annalysis, international institute of business aalysis, international institute of business anaalysis, international institute of business anlysis, international institute of business anallysis, international institute of business anaysis, international institute of business analyysis, international institute of business analsis, international institute of business analyssis, international institute of business analyis, international institute of business analysiis, international institute of business analyss, international institute of business analysiss, international institute of business analysi
No comments:
Post a Comment