What Can I Do To Set Myself Up For Future Entrepreneurial Success?

Whether you’re in your teens planning for the future, or already have an established career but are looking for a change- the thought of setting up your own business is always an attractive prospect. While it’s possible to set up a business at the drop of a hat and learn as you go, by doing so you are putting yourself at serious risk of failure. Business is complicated, get one thing wrong and it could be the downfall of your entire venture. Instead of leaving things up to chance, here are some of the ways you can put some work in now, and get yourself in the best position to create a prosperous and successful business later on.
Get Educated
Studying for a formal business qualification such as a degree or diploma is extremely worthwhile if you want to establish your own company later on. You will learn about all of the different elements of business, and have a broad knowledge of the entire field which can help you to avoid pitfalls. If you are just starting out you could study full time at university, and even go on to do a masters afterwards if you wanted to. If you’re thinking of changing career but aren’t able to quit your job to study full time for years, there are lots of online courses these days. These could be studied in your free time around your current job, meaning that when you eventually do quit you already have the qualification that you need in place.
Gain Experience
Once you’ve got your qualification you might be eager to get started and set up your business right away, however it makes sense to first gain some experience. If you work in a business related job for a little while first it really gives you a chance to build your skills and put what you have learned into action. You get to really see how a successful business is run, and will also continue to gain knowledge. As a business graduate you will be able to apply for entry level jobs, this gives you a chance to earn money too which leads on to the next point.
Save Money
Chances are you will need to take out a loan to get your business established, there are a lot of upfront costs involved in most cases that many people simply can’t afford to cover themselves. However having some money saved can be incredibly useful. You could use this as a buffer to fall back on if things don’t take off as quickly as you hoped, or you could use it for upfront costs so you don’t have to borrow quite as much. Either way, having at least a few thousand squirrelled away could be the difference between success and failure of your business. If you know you will be setting up a company at a later date, start putting money away now is one of the best things you can do.
Improve Your Credit Score
As well as saving money, improving your credit score is also extremely important. When you do come to apply for that loan for your business you want to give yourself the best chance of getting accepted. A couple of years before you establish your company, take out a few different lines of credit such as a store card, credit card, loan and mobile phone contract. Be absolutely sure that these are paid on time every month, and you will get lots of nice green ticks against your name which help to improve your credit. Don’t carry large balances since these will generate interest, instead pay the full amount (or at least most) of what you have spent each time you make a payment. Don’t take any new credit out in the six months prior to applying for your loan, as these can temporarily lower your score. And don’t go crazy and open too many accounts since you can get too much of a good thing. If you have access to a lot of credit, lenders will see this as the potential to get over committed and it can put them off borrowing money to you. Keep the limits at a reasonable size (ask your creditors not to automatically increase your limits) and be sure that you are not carrying large balances when you come to apply as again you might look over committed- even if you can afford to pay them back. Not getting in debt is crucial, since a business will be seen as an asset if you get in personal debt, your creditors can take from your business. Even if the lending was nothing to do with your company.
Be Prepared to Relocate
If you are prepared to relocate and move anywhere in the world, you hugely increase your opportunities. Whether it’s a permanent move or just for a few months to a year, being able to jet off and work from a country where your services are in high demand puts you in a strong position. You could rent a condominium apartment close by to where your business premises will be set up, and enjoy a different style of life in a new place while/ growing your venture. You might not ever have to move, but keeping an open mind and being flexible means you’re more likely to take the opportunity if it arises.
Network
Attending business expos, speaking with other entrepreneurs on social media and keeping in contact with tutors and professors from university can all be really useful. If you have a strong network you have access to help and advice when you need it, plus it could be a quick way to build up your client base once you’re established. Other businesses often outsource departments to others or know others that want to, so keeping in contact and having a good professional network is something you can work on building in the time leading up to your launch.