Small Business Philippines

Choosing the right business is the first step to entreprenuerial success and this goes beyond ones personality. This can be as crucial as selecting your course in college, or in a university. It’s not simply picking one that interests you, it’s choosing one that fits your best interests, personality and budget.

According to severeal studies made by the U.S. Small Business Administration, only 66 percent of small businesses survive its first two years, and survival rate lowers to 39.5 percent in at least 6 years. In 2000, it is estimated that small businesses closure is as high as 550,000 due to business failure.

As an entrepreneur, you therefore need to find a business that has the greatest chance at success as possible. Of course you won’t get a business that will run for a few months, do you?

Key ideas includes looking through your strengths and weaknesses. You need to determine what you are capable of, and those that you cannot. Doing so will help much in choosing the right business that is suited for you.

Research! You need to research on the potential market, how other similar businesses are doing, what are they missing and what works well with them. This will give you an insight of your future business plan, and how to mold it to make it stand out on the competition.

Below are few approaches that can help you in choosing the best type of business.

1. Stay on budget - The kind of business that you can start depends on the amount of capital you can raise and the resources you currently have at hand. So you need to focus on the available resources and stay on budget not to spoil your business during the startup process. There is a good thought i’ve read in start up strategies mentioning a phrase that says: “Spending more doesn’t necessarily help, but spending too little will hurt“.Startups with huge amount of capital tend to spend much on equipments and furnishing, hiring employees and launching the business in grand style with loads of inventory. However, having a small capital requires you the stretch what you have and start the business on much smaller scale.
2. Stay on trend. Another strategy for selecting a successful business is to start one that is currently hot and new.

In choosing your dream business, the key is to put up an enterprise that fills an unmet need of the market and to look for new niches and ways to dominate it.