This is a mistake almost every business owner makes at first. Never mix your personal finances with your business finances. Once you do, it’s very hard to separate the two.
Keep in mind that you and your business are two separate entities.
Businesses are very risky and unpredictable in nature. It’s never a good idea to start your business using debt, especially if you are new to the business field. You will have to pay back your creditors even if your business completely flops so be very careful.
Even loans with low interest rates such as home loans and personal loans should be taken after much consideration and the loan amount should be within manageable limits.
Pick a business name with an available trademark and domain name. If someone else owns the trademark for your business name, all your hard work and time would go to waste. Similarly, you will be very frustrated and disappointed to hear that the domain with your business name has been taken by someone else.
By the way, don’t assume you have complete ownership of your business name just because you couldn’t find a website under that particular name. Someone could have registered the trademark without creating a website.
You can check to see whether a particular trademark is available or not through the United States Patent and Trademark Office’s website.
Taking business decisions alone is never a good idea. You need an adviser or a mentor who can guide you in the correct path. Make sure the person you choose to be your mentor has a respectable track record in business and is not afraid to tell the truth regardless of your personal feelings.
You can’t run a business without money. It’s your job to make sure your money is being spent in a meaningful way.
Don’t waste your precious money designing business cards and buying expensive equipment because they won’t be of much use for your new business. Investing that money on legal advice and Quickbooks is much better.
If you really want to spend money on something, first look for cheaper alternatives. That’s how smart people save money. It’s all about your management skills.