How to Start a Business: Getting a Cash Advance

The number of small businesses in the U.S. makes up 32.5 million. Small businesses play an immensely important role in any economy: they’re the backbone of the U.S economy. Starting a small business isn’t an easy task: you should be ready to spend lots of hours and a lot of effort to take your business off the ground and move to the next level. This may require you to obtain additional working capital such as a cash advance. What steps should you take when starting a business?

Small Businesses in the U.S. 

The U.S. is home to many successful startups in the world. These include SpaceX, Instagram, Airbnb, and not only. 

The U.S. Business Formation Statistics (BFS) reports that the number of new business applications made up 2.50 million in 2010. In 2020, that number became 4.38 million, which was by 75% more and by 24.54% more from 2019. 

As of September 2021, the number of new business applications accounted for 1,396,792. This was by 22% more as compared to September 2020.

Steps to Take When Starting a New Business

The guide to starting a new business includes several critical steps that you shouldn’t ignore. So, what should you do:

  • Choose your business idea
  • Build a well-thought business plan
  • Calculate your finances: do you need access to additional working capital?
  • Decide on your legal business structure
  • Register your business with the government and IRS (Internal Revenue Service)
  • Apply for an insurance policy
  • Gather your team
  • Pick your vendors
  • Choose a marketing strategy and advertise your product/service
  • Work on growing your business

So, what you need to mainly focus on is picking the right business form, which can be a sole proprietorship, partnership, or corporate entity. Also, you need to register the business with your state. Besides, you need to apply for business licenses and permits from your state. Some small businesses can start with only one person, and others need to launch with more employees. 

Choosing the right location for your business is another vitally important factor. If you’re going to operate offline, you need to perform demographics research to make sure you’re targeting the right customer base so your business can flourish. Another crucial step is to build a solid marketing plan that’ll guide you towards success. 

At the beginning of 2020, fewer people started new businesses in the US. However, Q2 of 2020 registered 906,876 new business applications, which was a 7.81% increase from Q1. Unfortunately, COVID-19 forced 23% of small businesses to shut their doors. 

When starting a new business or navigating challenges, you’re likely to need access to additional funds. This can’t be an issue if you work with an expert provider of business financing, including a cash advance. So, look for a reputable business funding provider such as an alternative online lender in your field that can help you with the quickest access to the most reliable and cheapest financing solutions. 

Steps to Take When Starting a New Business

Launching a new business requires a lot of effort. You need to choose the right location for your offline business and build a thoroughly-thought business plan. These are just two steps to take. Also, you need to work with a respected alternative online lender if you need additional working capital. 

Author Bio: Michael Hollis is a Detroit native who has helped hundreds of business owners with their cash advance solutions. He’s experimented with various occupations: computer programming, dog-training, accounting… But his favorite is the one he’s now doing — providing business funding for hard-working business owners across the country.