Question

Describe the phases and processes to start-up a new sustainable business and the risks that may be involved at each stage?

Answer 1

Phases to startup a new sustainable business

1. SEED AND DEVELOPMENT: This is the very first stage and in this you are supposed to take advices of you near ones in order to come to a conclusion that what kind of business you are going to start with .

Risk - Here if you do not consider the best advice or make the best decision , you will regret the entire life because it is the initial phase and the sdecision of the type of business is supposed to be taken here.

2. STARTUP : Once you are aware of the business you are going to start, it's time to make it official and launch it.

Risk : This is the riskiest step because here you are supposed to introduce to the market the startup you have chosen and you have no way of backing off.

3. GROWTH AND ESTABLISHMENT: At this stage , the company is in growing period, it is earning well and gaining profits as well. New customers are attracted towards the business and eventually the company is growing.

Risk : There is risk of losing customers at this stage as there are many competitors in the market, so it always fear the mind of the owner that he might not lose customer .

4. EXPANSION : Since the business is growing at a good scale, the next phase is expansion. The owner might feel to expand the business in order to make huge profits and enter a bigger market.

Risk : The risk here is that the business which the owner is planning to aquire might not work, nothing is certain , we cannot predict the results . The business may flourish but there is always a risk of getting into lose.

5.MATURITY AND POSSIBLE EXIT: At this stage , the business is too old now and it's time for it to be mature and take the exit.

Process to startup a sustainable business

1. Do your research : The very first thing you need to do is to do a wide research to make sure that the business you choose will definitely bring profit to you.

2. Make a plan : A good business plan has to be made so that the business idea you have in your mind may become true someday.

3. Plan your finances : The very important thing is to plan about the funds and finances without which the business can never start.

4. Choose a business structure : You need to choose if your business is a partnership, proprietorship, a corporation etc .

5. Pick and register your business name : You need to register and choose the name of your business as well. Without a name , a business is nothing.

6. Get licence an permit : After getting a name and getting it registered as well, you need to get a licence according to the organisation for start working.

7. Choose your accounting system: Accounting system will help to manage all the budgets and finances of the company. You can either handle it by yourself or hire an accountant for this.

8. Set up your business location: Now you need to choose a perfect area where you are sure that the business will definitely work. The location has a great impact on the business.

9. Get your team ready : After this , you need to hire the people for your business and get your team ready as you cannot perform the entire work alone, so employees are needed.

10. Promote your business : Now everythng is don, so the last tmstep is to promote your business in any way you can be it advertisements or any thing.