Starting a business can make you feel like you are taking a leap of faith with your livelihood, but doing your homework will reduce your risk and may even soothe some of your anxiety. The 8 most important things to consider before you start a business are:

1. Your Business Idea

Having a good business idea is important. Just because you think it is a good idea does not mean that it is. Ask yourself, are there a significant amount of people who will potentially buy my product or use my service? There should be enough people willing to buy from you in order to generate sustainable revenue.

2. Your Business Plan

Write a good business plan. Your business plan is your business road map. A well researched business plan will help you cover all your bases and will minimize your risk in the long-term.

3. Marketing

A wise lecturer once told me, “Running a business without marketing, is like blinking at a girl in the dark. Fairly pointless.” Make sure that you have a plan, a budget and a way to monitor and calculate your return on investment. Your marketing should always show a positive return, if it does not, re-evaluate and re-plan. During your strategic marketing planning don’t forget to complete a thorough competitor analysis and a customer relationship management strategy.

4. Finance

Consider whether you will use your own money, the bank money or if you will approach a private investor. An alternative option is government grants. Also consider what the interest and repayments will be and if you will be able to repay the monthly amount.

5. Suppliers

If you will be selling a product, be sure to secure a reliable suppliers. If possible also have an alternative or two available just in case.

6. Location

Finding a suitable location may be more difficult than it seems. When looking for a location you have to balance cost and accessibility. If you do not find the ideal location there is always the option to create an online store as well. Online income can contribute a substantial portion to your revenue, depending on the type of business you are planning to start.

7. Document Systems and Procedures

There are various electronic systems to choose from, evaluate and see which one will suit you best. You will have to consider things like: which accounting package you will use, what your ordering procedures will be, how you will manage your stock etc.

8. Training

It is always a good idea to complete a business start-up course before start business, especially if there are certain subjects like accounting or marketing that you are unsure of. Some business start-up courses will help you test the viability of your idea and will teach you how to write your business plan.