Becoming a Small Business Owner in California
At last count, California is home to 3,320,977 small businesses. That’s roughly one for every 12 people. It’s a figure that indicates two things: there’s plenty of opportunities to become a small business owner in California, but a lot of competition too.
To achieve success with a California small business, you need to do your homework. The following represent the five things to consider on your way to becoming a small business owner in California:
Visit the Secretary of State’s website
The first stop on your way to starting a small business in California should be the Secretary of State’s website. There you’ll find a point-by-point guide for getting started. In addition to providing instruction on how to create a business plan and other basics, the site also explains the differences among various business structures and links for getting on the path to acquiring permits and licenses. The bottom line is that it’s an essential resource for anyone thinking about becoming a small business owner in California.
Consider buying an existing business
Before you go through with starting a business from the ground up, consider buying an existing one instead. Services like those available at OrangeCountyBusinessBroker.com help individuals buy and sell companies in various parts of the state. Doing so means skipping the hassles and headaches of starting a business from scratch. It also allows entrepreneurs to find a company with an established customer base and brand presence, reducing the risks associated with unproven startups. While the luster of creating your very own company is lost, the security and simplicity gained by buying an existing business are similarly alluring.
Get adequately insured
Proper business insurance is an essential aspect of starting a small business in any state. California is no exception. Furthermore, the insurance policies needed can vary from one company to another. For example, commercial fire insurance is far more critical for businesses in the northern parts of the state than those located in the southern sections.
Examine employment laws
The employment laws in California heavily favor the employee. Small business owners are under a lot of pressure to adhere to these laws by the letter; otherwise they risk hefty fines, loss of license, and being forced to shut down. While it might sound unfair and anti-business, these measures benefit everyone in the long run. For one thing, workers perform better when treated better. That means greater productivity, proactive customer service, and going the extra mile. Secondly, these regulations prevent your competition from undercutting you by merely slashing salaries and reducing hours.
Go mobile as much as possible
California is the birthplace of the mobile commerce revolution currently underway. Whether it’s rideshare, crowdsource, or any other digital transformations of traditional products and services, consumers in California are used to being provided tech-savvy options. With this in mind, it pays to be a small business owner who embraces the shared economy as much as possible. What’s more, you’ll want to utilize online marketing techniques to reach your digitally literate customers.
California has a reputation for being an especially difficult place to start a business. Yet when there’s a will, there’s a way. Furthermore, the challenges of becoming a small business owner in California can be met by planning ahead and doing your research. These are fundamental aspects of starting a business regardless of state.