Starting your own business is one of the best things you will ever do, but is also one of the hardest and requires you to be organised and dedicated right from the off. There are many things you need to think about before starting your own business and one of the main ones is cost.
It could be that you are starting up with your own money, or it might be that you have a business loan. No matter where you are receiving your funding, you need to be aware of all the different costs that are associated so you won’t find yourself cut short somewhere further down the line.
To help with this, we have put together some top costs to keep in mind when starting a business that you might not have considered.
Paying for marketing
Marketing can be a big cost for businesses and it’s important you don’t underestimate this. You will need to think about everything from how you will host your website, to sorting out an SEO strategy. If you have never done any SEO, it can be worth hiring an SEO agency that can do this for you.
There are many agencies out there that can support those that are starting out. You will also need to think of things such as a budget for social media ads, Google ads and if you plan on putting on any events.
The equipment you will need
When starting a business you might need more equipment than you initially considered. You will need all the basic technology items such as a phone (some people prefer to purchase a separate work phone) and a laptop as a minimum.
You may need a camera to take stock photos and good social media images, as well as a good place to work. You will also need to factor in things such as rising electricity and petrol costs when you are using this for work as well as leisure.
Storage and distribution
If you are planning on selling a product, it’s vital to remember that the costs involved with this are much more than just the initial manufacturing of this. You will also need to pay for somewhere to store the stock and also decide what you will do with stock that doesn’t sell as this needs to be paid to be kept somewhere too.
You will also need to factor in delivering the stock to your customers as well as how it will get to you should you be the one to pack it. Warehousing might be another cost you need to factor in further down the line.
These are just a few of the costs that are involved when starting a business that you might not have considered, or might just not have realised how much they were. It’s important to over-budget rather than under-budget so by being prepared before you start, you will know a more realistic figure of what you need to have put by.
What are some unexpected costs you found when starting up your own business? Let us know in the comments below.