Article by Ceri Wheeldon
Are you ready to start your own business? More women over 50 are joining the band of ‘divapreneurs’ than ever before. When setting up a new business it is so important to ensure you prepare yourself for the commitment that lies ahead.
1. Get Your Life in Order
Think carefully about how many distractions you have and how many demands are placed on your time. Even if the children have left home, other family members may still have demands on your time- how will these impact you- especially in the start-up phase. Consider the impact starting your business may have on close relationships and friendships
2. Be realistic about how much money you need to live on.
Has your employer been paying into a pension scheme on your behalf?
3. If you are moving away from employee status, remember to factor in the cost of ‘benefits’ if you are used to having health and life insurance as part of your package and are now looking to fund these yourself. Has your employer been paying into a pension scheme on your behalf? Factor in contributions you will need to pay in to a personal scheme.
4. Evaluate your start up costs thoroughly – don’t forget to include incidental expenses such as travel/subsistence/trade subscriptions in your budget- all these incidental items quickly add up
Plan for when the ‘cash’ actually comes in
5. Plan for when the ‘cash’ actually comes in. There can often be delays in receiving funds from customers. Large companies can be slow to pay- especially if as a new customer they have to add you to their own internal systems as a ‘preferred supplier’ before payments to you can be authorised.
6. Think seriously about whether you can cope with not having a set, regular income.
7. Personal sacrifices are likely to be made in terms of both time and money.
8. Having considered all of the above make sure your new business is something you feel passionate about!