With what feels like never-ending newsbreaks of layoffs, you may notice your anxiety rising at work. Adding to an already-stressful situation is the fact that historical gains made by Black workers, in terms of salary and positions in the U.S., are at risk—while the job market is still incredibly competitive and not exactly inclusive. Instead of letting your anxiety take over, why not take control of your professional future? The company you work for can’t suddenly let you go if you work for yourself.
Running a business isn’t easy, but making the change from employee to successful entrepreneur is absolutely possible. It might be intimidating at first, but you can learn from Black founders and use them as models for your own triumph. Entrepreneurs and innovators like Sevetri Wilson, founder of Solid Ground Innovations and Resilia; Chris Bennet, founder of Wonderschool; and Zim Ugochukwu, founder of Travel Noire, can be part guide, part inspiration.
Leaving the general consistency of being an employee for the vague future of entrepreneurship is intense, but think like Zim Ugochukwu: “With no risk, there’s no reward, and you either get comfortable with uncertainty and not knowing where you’re going to end up, or you settle and you live this life that you don’t want to live.”
Thinking that becoming a business owner is your best bet? A major factor to take into consideration before handing in your resignation letter is cost. Starting your own business is no small financial investment.
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How much does it cost to start a small business?
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Every business is born different, so the answer mostly depends on what kind of business you want to run, but it won’t be cheap. The U.S. Small Business Administration found that most microbusinesses (fewer than ten employees) often cost around $3,000 to start, and most home-based franchises can cost anywhere from $2,000 to $5,000.
The things you need first to start your business fall into a few categories: entrepreneurial preparation, the place, operational essentials, and help. Depending on your experience as an entrepreneur, the cost of that first category could be zero, or it could be more. This is the stage where you do things like getting a business license, writing a business plan, and opening a company bank account.
Depending on how involved your business plan is, this might cost hundreds. If you need the entire business plan written from scratch and are starting a huge operation, the business plan might cost thousands. Then comes things like leasing an office, obtaining your FEIN Number, and checking if you need any permits or state licenses before you start working. All of those can add incremental costs, with even your business license costing up to $500.
That’s the big stuff. If you’re starting your own business, the little details fall on you, too. You may have to think of seeing how your initial buy-in measures up to your long-term budget, but you also have to keep track of things like utility payments on your brick-and-mortar or making sure you have someone actively posting to social media during prime hours. Depending on your location, your retail space may cost anywhere from $20 to $70 per square foot every month.
Are there any ways to cut business costs?
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All of these costs can add up, but ultimately, knowledge is power. You can gain a lot of insight from entrepreneurs who’ve been there, of course, but some more traditional training shouldn’t be overlooked. Enrolling in business school will run your total budget up to levels that could become an obstacle to getting your company off the ground. Spending wisely on business education could be the key to turning your vision into a prosperous reality.
With all there is to do before you launch, it would benefit you to check out the incredibly affordable Ultimate All-Access Business Bundle. It features courses from award-winning business school professor and renowned entrepreneur Chris Haroun. With these 150 hours of instruction (that you don’t need a student loan for), you can learn directly from a pro who knows what works and what doesn’t, which can help you cut down on costs as you build and manage your company.
The Entire MBA in 1 Course is a great place to start your online training. You’ll get familiar with business startup concepts, including how to launch a company from scratch, network for customers, and raise money quickly. Lessons cover how to make an effective team, delegate tasks, motivate your employees, boost your own productivity, speak in public, make presentations, and so much more. And with the Complete Business Plan in One Course, you may be able to write your own documentation and skip the expensive outsourcing. You can even dive into the complicated finances of your business, but don’t forget to check on what tax breaks are available to minority business owners.
Every business has a practical and a personal side. Supplement your study of the course material with stories of successful Black entrepreneurs like Miss Diddy, CEO of The Brand Group. When you need something to contextualize the budget and motivate you to work harder, you can think of your predecessors: “What I do is for the little Black and Brown girls and boys from the hood that wants to become something great in life.”
Starting your business might take a lot of work, but if you stay informed with the right resources, you’ll have the necessary tools to set you up for victory. Start by studying the Ultimate All-Access Business Bundle. Right now, you can enroll for just $34.99 (reg. $2388).
Prices subject to change.