This is an encore presentation of a blog series written by one of our partners, Bernard Grobbelaar, published on the CPA Canada Financial Literacy blog.
You want to become an entrepreneur, but you don’t know if you have what it takes, let alone what it will take to get started. There are some questions you can ask yourself before you take the plunge:
- Do I have a skill others are willing to pay for?
- Can I buy or make a product at a price that allows me to sell it at a profit?
- Do I have an idea that, if developed, could turn into either of the two above?
If you can answer positively here, now you can move onto the next set of questions:
- Do I have potential customers/clients identified?
- Do I have the money or borrowing capacity to start?
- Am I willing to risk the money I have?
- Can I make the time commitment to build the business?
- Do I know professionals (lawyer, accountant, other) who can help with the setup?
Three main things you need to be aware of are:
- There is risk, failure is a possibility
- There will be cost, i.e. you will need to spend money to get going
- You’ll be exposed to greater regulation, e.g. business taxes