Steps 5 & 6

5) How much profit will you make?
You have to be realistic on how much money you will make. Is this business going to be worth opening, will you be able to make a profit? Having some idea of how much money you will make is an incentive as well as a hinder. When you do your research and you find you will make a profit in your industry, you need to make sure you will know how to handle your money properly and not get carried away with unnecessary purchases, because this will start to hinder your business and potentially cause it to go bankrupt. “On average over the last 13 years, there have been approximately 12 000 business bankruptcies per year in Canada”. (“Industry Canada,” 2011) Make sure you have room in your budget for customers not paying you back right away or at all and for shrinkage. You always want to overestimate your cost and underestimate your profit. You should do an industry analysis for your business you wanted get in when the business is striving so you have the best opportunity in order for your business to succeed.

6) Where can you get help?
When you have started your business, it can become overwhelming and you might need advice or help. Don’t try to figure it out yourself or wait until the last minute. This could be detrimental to your business. “Many new ventures place heavy demands on your time, your family relationships and your finances. As well, an overwhelming majority of small businesses fail within the first three years, and many require several years to return the entrepreneur's original investment”. (“Business Guide,” n.d.) Having some guidance might help open up doors you didn’t even know were there, it gives you a better look and suggestions that you might not have even thought about. Having input from somebody who knows the industry and knows about the business could be extremely beneficial for your business. Where do you find help? The government, banks, family & friends, books, Internet or people in your field can all be invaluable sources. “Various Canadian governments have set aside more than 20 billion dollars in funding programs grants and loans for financing small businesses like yours”. (“Small business,” 2010)