Many individuals prefer to start their own businesses after gaining practical industry exposure. Such exposure can help an individual in understanding different aspects of a business. Further, such exposure can help in improving communication, negotiation and people management skills of the individual.
An individual planning to start a new business may require all these skills to manage day to day affairs of the company. However, it is important for the individual to gain significant expertise in the field in which the business is proposed to be carried on. For Instance, a sales manager working in a manufacturing company may decide to open a software development firm.
Even though this individual may have sufficient experience in dealing with customers and making sales, it may not be possible for him/her to supervise the entire software development process. Further, customers may not show immediate interest in the software products developed by his/her firm. All these factors can affect the growth and survival of the firm.
How To Move From Expert To Entrepreneur
An individual may enjoy constant remuneration in case of a job. There is no such guarantee in case of business. It may take years before adequate returns are obtained from the business. Further, business environment is affected by various regulatory, political and economic issues. Such factors are generally beyond the control of business owner. For instance, decline in demand for cars as a result of increase in price of petrol can impact the overall sales revenue of any car manufacturing firm.
Increase in price of petrol is outside the control of car manufacturing companies. In such cases, these companies may have to resort to other measures such as additional discount on purchase of cars, extended warranty period and so on to increase sales. A business owner is required to prepare himself/herself for such situations. Self motivation and ability to deal with difficult situations are two important traits required for success in business.
Money is one of the most essential requirements of starting a new business. An individual should try to save some part of his/her salary in order to finance initial capital requirements.
This step can help in reducing the need for raising funds from other sources such as venture capitalists, banks and so on.
Market Your Expertise
It may be difficult for any business owner to attract clients initially. It is important for the individual to market his/her expertise in the proposed business. For instance, individual can develop a website containing a separate section on his/her previous work experience, educational and professional qualifications.
Focus on Activities
While working as a professional in a company, an individual may have gained exposure to different activities within a process. This exposure can be used to implement essential activities in the new business. For Instance, an individual working in the human resource department of an organization may plan to start a recruitment consultancy firm.
This individual may decide to offer manpower recruitment, employee background verification and payroll services to the clients. Implementation of processes like preparation and verification of appointment letters and non disclosure agreements, salary structure design and so on can help the individual in providing various additional services to the client.