The robust growth curve of the Indian economy, coupled with government impetus and foreign investment, has made it the ideal time to start small businesses. The Small and Medium Enterprises (SME) sector in India is already booming, with over 42.5 million registered enterprises currently operating in the country.
Small Business in Your City
Starting a new business, however, is no easy task. There are hundreds of variables at play, and many of them are not even in the control of the owner. So, it can become hectic and overwhelming, not to mention extremely complicated. Securing funds is a task in itself, and business loan in Delhi has proved to be beneficial for countless small businesses in the region.
There are no cheat-codes on how to be a successful small business owner, but here’s a guide on how to start a small business in your city.
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Do your own research
It’s highly likely that you have already thought of a business idea that you’d like to pursue. The next logical step in the process is to perform thorough market research and hope to solve the following questions-
- Does the product/service solve any problem?
- Is there enough demand for it?
- What is the competition like?
- Are the market conditions right to launch it?
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Make a detailed business plan
Consider it, if you will, as the blueprint for your business. The business plan acts as an anchor to guide you through the initial days of your operation. More importantly, no financial institution will take you seriously or lend you a business loan in Delhi if you do not have a sound business plan detailing how you intend to generate revenue and pay their credit back. Learn how to formulate a great business plan for procuring a business loan. If you do not require external financing, the plan can be less detailed and cover just the broad strokes.
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Plan your finances
No business in this world can start or survive without an adequate amount of capital. It doesn’t have to be much if you plan to start a small business, but you have to secure the funding nonetheless. There are several expenses that need to be taken care of- the cost of licenses and permits, inventory, equipment, staff, business premises, etc.
Most small businesses turn to NBFCs like Bajaj Finserv for a business loan in Delhi to finance such expenses. In fact, SMEs account for 16% of all retail lending in India. Business loans are the perfect way to fund a small business as they come with favourable terms for the borrower.
The interest rates are quite competitive, and repayment terms rather flexible. The documents required for business loan are also minimal, further easing the process for business owners. However, you have to ensure that you pay off your small business loan responsibly.
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Obtain permits and licenses
No matter what type of business you plan to start, you have to get relevant authorization from the concerned government bodies. It can be a time-consuming and tedious process, considering how the government machinery works. So, it’s advisable to get on with this step as soon as possible.
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Execute your business plan
Once you have the relevant authorizations and an adequate amount of funds, it’s time to start executing your business plans. Begin by setting up your business premises and hiring the right people in the right positions. Setting up inventory comes at the next stage. All in all, now you are ready to commence operations.
In a nutshell, these are the steps that you need to follow to begin your own small business. There are, of course, several details which have been glossed over. There is a separate set of tips to grow your business once it has commenced operations, but first, it’s necessary to start it right.