It’s a big commitment to set up your own business and it is also a huge achievement.
You will be your own boss, you’ll be creating jobs that will help the Irish economy and you’ll be generating your own income.
Although it may take a lot of time, energy and hard work in the beginning, starting a business is a very exciting time in your life.
But do you have what it takes to get started? Let’s talk about four things you need to know before you start a business.
1) Is your business idea is a viable one?
Talk to your friends and family about your business idea. Your idea does not need to be unique, groundbreaking or new to your sector. Maybe you feel you can produce goods of better quality or cheaper price.
Perhaps you can provide a certain service better than anyone else in the marketplace. Maybe you can reach new markets by extending online or in new regions.
Talk to a professional who has experience in the industry you are trying to enter.
2) Do you have enough cash to support your business in the beginning?
Starting a business on your own means you will need cash to support the initial stages of business development.
You could use your own savings, borrow from friends or family or receive a loan from the bank. Start by budgeting everything you need to get your business started. This will help you map out how much money you need to support your business in the beginning.
Consider keeping your job in the beginning and working on your business on the side. This takes discipline, focus and passion for your business model. But, if you are asking can you be employed and self-employed at the same time in Ireland, the short answer is yer.
We have many clients that come to us while they’re still being employed full time. This is a perfectly good way to fund your business in the beginning but may not work long term. Set savings goals so you don’t lose sight of the bigger picture.
Government grants for new business - Local Enterprise Office
The Local Enterprise Office have business grants and supports for entrepreneurs who want to start a business in Ireland. Take advantage of these free resources as they’ll push your business in the right direction.
3) Do have what it takes to be your own boss?
Take a personality test
Personality tests are a great way to determine what kind of person, leader and boss you are.
Hubspot has a list of 14 free personality tests you can take online.
Take a few of these tests and determine the type of person you are – you may identify with a few different characteristics.
Join a network/community of likeminded people
Being your own boss means you’ll be held accountable for the actions of your business and the progress of your new business.
Consider what will happen to your work/life balance and if you have a good support network around you to keep you and your business on track.
Meetup is a great platform that will put you in touch with entrepreneurs who are on the same journey as you.
If you are really serious about setting up in Ireland, Scale Ireland is a great network to be apart of. They are an independent not-for-profit organisation that support, represent and advocate on behalf of Irish tech start-up companies.
4) Do you know what you need to do to start a business?
When you’re starting a business in Ireland, you need to decide what business structure to set up.
You can set up as a Sole Trader or Limited Company. Both have pros and cons and your answer lies within your business idea.
It’s easier and quicker to set up as a Sole Trader but a Limited Company offers you more protection against certain claims against the business. When you set up a Limited Company, you are setting up a separate legal entity that allows the company to enter into contracts and do business. You can be a director of a Limited Company and you’ll only risk what you put into the business. As a Sole Trader, your personal assets can be used as collateral for the business.
If you have any questions about starting a business in Ireland, we offer a free monthly Startup Webinar for entrepreneurs. We always host live webinars so you can ask one of our accountants any questions you have.
Larissa is a Fellow Chartered Accountant (FCA) and is the CEO of Accountant Online, which specialises in company formation, company secretarial, annual accounting services, bookkeeping, tax, and payroll services for micro and small companies in Ireland and the UK.