Print friendly

Step 1: Determine the amount of income you want from the business.

Step 2: Using benchmarks determine the sales volume required to achieve the required net profit.
Assess is this achievable?

Step 3: Plan the Start up costs.

Step 4: Determine the sources of investment capital and funds.

Step 5: Choose the legal from of the business.

Step 6: Register your chosen business name through the Department of Fair Trading and/or register your company name through the Australian Securities & Investments Commission.

Step 7: Apply for your Australian Business Number and register for all relevant tax obligations. If you intend to employ staff, register as a group employer through the Australian Taxation Office (ATO). Set up a system to comply with the ATO requirements such as suitable filing and accounting systems, to maintain records for up to five years.

Step 8: Set up a business bank account (a certificate of Registration of a Business Name will be required for the bank account) and arrange with your bank to send monthly bank statements..

Step 9: Study sites will meet the business needs.

Step 10: Develop a sales and distribution plan.

Step 11: Consider customer and consumer behaviour patterns while preparing a layout plan for the operating space.

Step 12: Decide upon a workable Human resources policy.

Step 13: Examine how operations will be managed, and set goals while acting in a socially responsible manner.

Step 14: Establish adequate methods of control to ensure plans are implemented.

Step 15: Review the risks of operating the business, and determine how to handle them.

Step 16: Establish an adequate system of accounting records.

Step 17: Examine the laws and regulations affecting the business.

Start Up Information

Loan Proposal

The following questions are to be answered.

1. How much do you need?
2. What will you do with it?
3. When will you pay it back?
4. How will you pay it back?
5. What if something goes wrong?

Always remember that 90% of all businesses disappear. So bankers tend to be very cautious.

Rules

Capital: Don't look for 100% financing; you must have some equity in the business.

Collateral: What assets are available as a secondary source of repayment (just in case)

Capacity: You must understand the company's ability to absorb and repay debt.

Conditions: What are the general economic conditions and in what ways will they affect your industry and your company.