Starting a business in South Africa
From www.entrepreneurstoolkit.org
Contents |
Starting a business – overview
Business Partners Ltd offers Ten Simple rules for a successful start-up on their website [Business Partners Ltd - http://www.businesspartners.co.za] See also the SME Toolkit [1]
The steps to follow include:
- Choose a suitable business option
- Draw up a business plan
- Choose a specialist investor
- Employ the right people
- Market your business
- Put financial systems in place
- Manage your cash flow
- Supplement your own knowledge with specialist skills
- Enjoy yourself
Writing a business plan
See Business Partners Ltd and the SME Toolkit for more details [2] and [3]
Every business plan should comprise the following sections:
- Cover page
- Executive summary
- Business overview - business profile and the product or service
- Management - the entrepreneurs and the management structure
- The Market - industry analysis and market analysis
- Sales and Marketing strategy
- Financial statements and projections
- Legal and regulatory environment
- SWOT analysis and risk/reward assessment
- Appendices and supporting documentation
Viability
For more details see Business Partners Ltd and the SME Toolkit [4] and [5]
Your business is viable if it is able to exist over time. Viability is also important for your financing institution, as no-one would like to invest in a business that is not viable. There are different levels of viability that you could assess:
- Technical viability: the quality of the products or service that will be offered
- Financial viability: What investment amount is required and when will the business break even?
- Market viability: Will the product be successful on the market?
- Legal viability: Contracts and agreements such as leases buy and sell agreements, franchise agreements and statutory conformation such as registration for VAT, as employer, for income tax purposes and UIF.
Business insurances
From the American Express® OPEN Small Business Network [6]
It can be difficult to determine which kind of insurance you need for your small business. Different types of insurance have confusingly similar names; your state, town, or county may have its own insurance requirements; and many industries have coverage specific to them. Insurance is one of the most neglected small business responsibilities. Not having the appropriate insurance for your small business is a mistake because a disaster can shut down your company permanently, or at least wreak havoc on your assets. (…) Without insurance, you're unnecessarily putting your livelihood at risk. That's also why many landlords, suppliers, and other entities you work with will probably require you to have coverage. Below are some of the different types of insurance small businesses use.
Insurance for Your Business
- Business Owner's Policy
- General Liability Insurance
- Property Insurance
- Professional Liability (Errors & Omissions) Insurance
- Commercial Automobile Insurance
- Umbrella Insurance
- Business Income/Extra Expense Insurance
- Product Liability Insurance
- Extra Equipment Insurance
- Specialized Equipment Insurance
Insurance for You and Your Employees
- Health Insurance
- Disability Insurance
- Life Insurance
- Workers' Compensation Insurance
