by Yoonsoo Kim

Created on: February 18, 2009

To start your own business, you have to chose what you are really interested into. When you start your own business, you have to realize you are going to stick with being a manager for a long time and you have a chance to go broke. Lots of businesses go through bankruptcy. Not all businesses are successful. If you've never clocked a day of work in your life, you might consider taking a job before striking out on your own - even if the thought of doing time in a cubicle makes you shudder. Work experience in the field you want to break into may be the most productive use of your energy. Think of it as a paid research position. In a couple of years, you can give your business a go. By then, you'll have learned the ins and outs of the real world and reduced the risk of total inexperience.

You need to have a people to help you. Bring on people who complement your skills and fill in the gaps. Mary Beth Metrey studied Spanish literature at Georgetown University, and had always dreamed of opening a boutique. But her short stint in retail didn't provide all of the details of running a shop. Heather White, her hometown friend from Wyckoff, N.J., had studied fashion design and merchandizing. Naturally, Metrey asked White to be her business partner when she opened a shop in Washington, D.C.

You got to write a business plan. One of the biggest mistakes a young entrepreneur can make is simply failing to write a business plan. There is no other single process that can be more useful in beginning business problem-solving than addressing the risks and thoughtfully forecasting by writing the plan. Don't fall into the excuse that you have the business plan in your head. Not only is it a good planning tool, but a solid business plan is also your key to raising capital - the money you need to get your show on the road. Although you may not have had a time to build a long credit history to show that you are financially responsible, you can demonstrate your penchant for using sound judgment by crafting a document that sells your business and lures financers on board. It's your greatest opportunity to fill the credibility gap. A business plan will showcase your product or service, how you plan to make a profit and the exceptional team who can bring the business to success. It should include market data and tests to show the service or product will sell, the essential skills that will drive profits, estimates for startup costs, projections for sales and profits, a break-even analysis and long-term goals for the company.

You got to have money to start your own business. Your business plan should overestimate how much money is going to have to be spent on your business. You need to start raising money before hand and get loans to start your business. Without money, you can not go anywhere close to being a successful entrepuerner.

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