The thought of starting up a small business in today’s troubling economy could scare many people into submission.

According to the Small Business Administration (SBA), 7 out of 10 new employer firms survive at least 2 years, half at least 5 years, a third at least 10 years, and a quarter stay in business 15 years or more.

In the event you’re not afraid to take a gamble and want to purse your small business dreams, there are a number of steps that should be undertaken in order to give you the best chance for success.

What are My Best Chances for Succession?

In order to give you the best chance to succeed with a small business in 2011 and beyond, here are a few steps to undertake:

• Plan, plan, and plan – It is very important for small business owners to have a plan in writing and stick with it as much as possible. Among the items to be included in a small business plan are a description of the business, a mission statement, financial details, the necessary licensing, documents and taxes required on a local, state and federal level to operate a business;
• Selecting a locale – While this sounds like a no-brainer, it is important to determine where your small business will be located. Will you be in a low or high rent area? Will you be in an area where weather is a factor (flooding, etc.)? Will you be situated in a high crime area? Determine these issues before setting up shop;
• Determine the business financing needs – Another no-brainer, but how will you pay for your new venture? Will you employ individuals or run things yourself and/or with family members to start? If employing individuals, exactly how many employees will you have given this impacts need or not for health insurance, workers’ comp etc.? Also make sure you have the proper business insurance in place to avoid any potential losses;
• Products, supplies and more – Whether you’re selling items at your business or providing a service to consumers, you’re going to need supplies. Plan out ahead of time what you will need, how much it will cost and the delivery methods. There is nothing worse than losing a potential customer because you didn’t have a product in stock or service to provide them when they needed it’
• Advertising – Do you know how you will spread the word regarding your new small business? Along with traditional methods like signage, flyers and more, take advantage of all social media can offer to promote your company;

These are but a few of the many things to consider when firing up a new small business.

While it may sound like a lot of work, it can be very beneficial work if you know how to manage it properly.

Photo credit: businesstraining.com