Starting a Kansas business is an ambitious move, and it takes a lot of dedication. Before you start making things official, you’ll want to ensure you are on the right path to making it happen. With proper planning you can decrease your risk and increase the chances that your new small business is successful.
Many of these tips apply to starting a business anywhere, not just Kansas.
Why Start a business in kansas?
There are many reasons to start a business in Kansas. The top reason is Kansas has a very low cost of living. Inflation and house prices continue to pressure test us nationally. But Kansas simply costs less than many other states.
According to Best Places To Live, the cost of living in Kansas is 83 relative to 100 nationally. This means Kansas costs 17% less than the national average. The housing cost of living is only 59.
Conducting market research is critical in determining if your target customers are in your area, how to reach them, and when your product will be in demand. There are several ways to do it, but first, you must define your ideal client. What problems do they face?
How is your product or service supposed to solve them? Next, consider the current trends in your industry and how they will affect your marketing strategy.
Costs to Consider
You’re not done with your research just yet. If you don’t know how much it’ll cost to start a business in your industry, you need to start looking into it. So first, consider equipment. Do you need any large machines to get the job done? Then look into recurring costs for supplies, rent, and utilities.
Next, think about the business insurance coverage you need in Kansas. Apart from the standard workers’ comp and general liability, what other risks will you face in your line of work?
You may need to speak with an agent or accountant to determine what you can afford and what you need insurance to cover. Then, once you have an estimate of how much everything should cost and the know-how to acquire it, you can move on to the next step.
Writing a Business Plan
A business plan creates a roadmap to success for your company. It’s also necessary to attract business partners and investors by showing them you have a solid plan to overcome any obstacles that could threaten your financial security.
To write it, you should have a good reason for wanting to start a business in the first place. Then, you can map out your goals, steps to reach them, and a time frame for each. Consider the market, management, employees, and your product’s role as you write.
Registering Your Business
It may not be necessary to register your business if you’re operating as a sole proprietor under your legal name. However, several benefits of registering include liability protection, tax benefits, and keeping your personal information private.
In Kansas, you can register online or by mail. It’s a simple process, but many find it overwhelming. Plus, there are legal sites that will do it all for you.
So once you’ve finished registering your business, you can get an EIN, apply for licenses and permits, and open a business bank account. From here, you should keep your personal transactions separate from business transactions. Otherwise, you’ll risk losing the legal benefits.
Choosing a Location
Deciding on a location for your business is more important than you may think. You need to consider things like visibility to your customers and the workforce in the area. For example, if other companies nearby struggle to find employees, you should consider a more populated location.
However, working from home could be a cost-effective solution if you primarily operate online.
Once you have everything planned, you can start finding the money to make it happen. Many people often apply for business loans through a bank, but this is not always ideal. You could try applying for a grant first and then a loan for the remaining expenses.
However, ensure you have enough time to pay the loan back so your monthly payment isn’t too high and you have a chance to get your business off the ground.
As you get everything set up within your shop and opening day approaches, you can start looking for employees. Finding the right workers for your company can be a trial and error process, but you should give qualified candidates a fair chance.
Once you have a team, properly train them before putting them on their own. Failure to prepare them can lead to costly mistakes that fall back on you and your wallet.
Making your business visible to your ideal customers is essential for attracting them to your door. If you’re on a low budget, consider simple things like social media posts, word of mouth, and paid advertising.
However, you’ll need an effective marketing strategy to make a more significant impact. So it may be wise to hire a marketing agency or freelancer to help you build a presence.
Running a business can be rewarding and overwhelming all at once. It takes determination and perseverance to make it through the first few years, but it can change your life if you put in the work.
So once you’ve planned your business, registered, and have a solid team to support you, it’s time to open your doors. So make it a celebration, and give your customers an experience that makes them want to spread the word.