New business budgets, and logistics
Starting up your own business can seem a bit daunting at first, but as long as you do your research and make sure that you get you budgets in place you will start on a solid foundation.
Firstly, think through the costs that are associated with a new business and start to make a list along with your estimated potential cost, it’s all about new business budgets.
Even companies starting on a shoestring with limited resources will come across costs that were not apparent in the beginning.
Think about the capital you have and think about whether it is sufficient, a surprising amount of new businesses fold as quickly as they open, the common factor is insufficient planning and poor business budgeting.
Get Help and advice
In the UK we are very fortunate (at the moment) to be able to tap into various government schemes to help our businesses grow, and the UKTI all available to guide you through and help you to be successful – visit starting up a business.
It’s surprising how many new businesses do not seek help from professionals before launching, remember nobody is expected to be an expert at everything no matter how much we would like to say we are!
You will know your product or service inside out otherwise you would not be starting up, but do you really understand the likes of Marketing, Accountancy, the legalities involved, are you organised enough to be able to control all your administration?
New business, new premises
Many new businesses start from home, and this is not without cost. Converting a room to an office space and computers all have a cost implication, along with using more electric can create higher utility bills. As you begin to expand and take on new staff it will soon become apparent as you are squeezing into the box room conversion that you will need to starting looking for alternatives.
Very few new businesses own their own business premises, in the main business premises are commercially leased.
Generally commercial premises are leased and operate quarterly and check if business rates are included, be sure to factor this in to your business budgets.
Serviced office leases are a great option as these can offer shorter agreements and you have more freedom to negotiate a lease better suited to you. If you decide on a serviced lease this will almost always include business rates, but still worth checking first.
Tools for the job
Depending on your business type, you will almost certainly need to either buy tools or stock, as a new business you will need to really work on business relationships. Suppliers need to know that they can trust you, be honest and explain where you are in your business, most will offer 30 days credit, but some may give you more – so make those calls and start building relationships.
Always shop around, but do remember the age old saying ‘if it’s too good to be true, then it probably is’ If you are getting an incredibly cheap deal compared to other suppliers, check them out. When first starting out you need to build a good reputation and if the products you are supplying are not good quality your customers will not return. With social media it only takes one negative posts about your business to go viral!
Make sure you cost everything into your business budget – no nasty surprise bills.
All the above is a great beginning but without customers and sales your business is nothing. Make sure that you put together a good marketing plan, this can be a large cost to a new business. Spending out on marketing in the beginning to help launch your business, making sure the customer has a good experience and that customers return is essential.
Too many new businesses under value marketing, and many when money becomes tight take from the marketing budget, be warned…. If the customers don’t know about you, they will not come to you!
The logistics, New business Van leasing
This again very much depends on the type of business you have; in some cases, you will have a courier company delivering your products. But with many new businesses this will be done in house whilst the business grows, and don’t forget business meetings with clients, and what if your business is offering a service? You and your tools will need to have transport.
Purchasing a new business vehicle can be a huge outlay, and if you do not have the funds to purchase new then buying an older vehicle can be a gamble. Unforeseen mechanical problems, expensive running costs all need to be considered into your business budget.
New Business Van Leasing, its all about the pro’s
Many new businesses are leasing vans and cars, there are many benefits to this, you get a vehicle that you could not afford to purchase outright, you do not have to worry about the expense of vehicle tax, and you know exactly what you are paying per month – remember business budgets!
The problem that many new businesses face is being accepted by mainstream leasing companies, as a new business you will not have a history and therefore you are unable to get over the first hurdle. Fortunately, CVS Ltd are one of a very few genuine companies that focus on new businesses and leasing a vehicle that not only meets the new businesses requirements but are able to help create a leasing agreement that suits the new businesses budget.
When you set up a new business first impressions, image portrayed and reliability are everything, you must be reliable and cannot risk unnecessary transport problems that will lead you to be late for appointments, or deliveries, when starting out you need to build trust.
New business car or van leasing still allows you to get your vehicle branded, so when you are out and about people will get a good impression of your business and will be able to see who you are, what you do and more importantly how to get hold of you.
We hope that this very basic check list was of help and please do get in touch with us at CVS Ltd to discuss your new business vehicle, we wish you well in your new venture.