by Ethel Smith

Created on: May 29, 2007

Many businesses require a great deal of out lay and forward planning, however there are still some small businesses which you can start on a shoestring. As always you will need some form or other of a business plan. It's no good just thinking 'Hey let's start marketing such and such' without any forward planning. So firstly have an idea of the what, where, when and how.

If you are looking to start a business on a shoestring look at something which:-

Does not require expensive premises.

Does not require a substantial initial outlay.

Does not jeopardize you current financial safety. In other words don't do something such as
borrow a massive amount against the value of your home. Maybe a little but you would probably be better seeing how things are going first.

Is something viable and will appeal to more than a very small minority .

Is something which will utilize your talents, either ones which you have acquired over the years or your natural ones.

Is possible and not just an unrealistic dream. Although you will need to have an element of that to want to take on such a project in the first place.

So what sort of small business would be possible on a shoestring?.

For my mind the best way is if you can successfully invent something or fill a big gap in the market. In England the 'Cat's Eyes', which light up every major road, were invented by an ordinary guy who, seeing a cat whilst driving home, had the vision(pardon the pun)to realize that what made a cat's eyes so bright in his headlights could be transferred to a road safety essential. His initial small investment went on to make him a multi-millionaire.

As for finding a niche to fill I recently read about a young entrepreneur who started an Internet business selling spectacles on-line. As long as you have the necessary detail from your optician's prescription you can order spectacles for about 15 pound which would normally cost at least 150 pound at your opticians. Now that fills a great need for customers, was started on next to nothing and has also made the young man into a successful millionaire.

Still you may never be a millionaire, or want to be. In that case you may find that if you have a talent for art and design that you can start a business from a small studio with very little outlay. This could make you a tidy sum and have the bonus of satisfying your creative needs.

Internet businesses can be good as there are no costly overheads. Once you have established yourself you have the potential to grow. The downfall here can be unreliable customers.

Even just starting a second-hand or vintage clothing store can be profitable without being expensive initially. You would need to pick your location well to get the customers and not be crippled with business rents and rates. Perhaps a market stall would be the best place to start trading from.

There are always opportunities to work from home. You could run an 'Ironing service' from your home or a dog sitting or walking one. The possibilities are endless, as they say.

However overall the best businesses to start on a shoestring are ones that:-
Are not too costly.
Have a chance of survival.
You enjoy and maybe have an interest in as this really helps to motivate you.
You know something about or have a talent for.

Along with all the things previously mentioned if you can start something which fulfills this criteria you will have a great chance of succeeding. After all you can always expand as and when your business takes off and begins to grow.

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