How do I start a small business with small capital

How do I start a small business with small capital



Contents

  • 1 small projects
  • 2 How to start a small business with small capital
  • 3 ideas for small projects
  • 4 advantages of small projects
  • 5 References

Small Projects

Small projects are one of the foundations that support the economy of many countries in the world, because they help to provide many job opportunities, and contribute to the support of large industrial fields in industrial areas and various markets, and small projects are defined as a type of project that ranges The number of individuals who form it is between 5 - 15 individuals. Often the director or managers of these projects are the owners of these projects. Their activities are implemented and their goals are achieved within a local area. Small projects are distinguished by their limited activity and small size. [1]

How to start a small business with small capital

Many individuals have ideas for a variety of small projects , but because they do not have enough capital, this leads to their failure to implement the ideas of these projects. Therefore, the prevailing hypothesis is the inability to achieve these projects because of the lack of access to adequate funding for them, but it is possible to implement A group of small projects using small capital , by applying the following steps: [2]
  • Relying on personal experience in establishing a small business, this helps reduce the need to use external experts in order to obtain advice on how to use the small capital in establishing the project. [2]
  • Preparing a feasibility study for the small project ; it is considered one of the important steps for achieving success, and it is a method used to know the extent of the presence of sufficient components for the implementation of the project, marketing of its products, and knowledge of its ability to make a profit. The application of this study depends on the implementation of the following steps: [1]
    • Determine the services or goods that will be provided through the project by thinking about more than one idea, discussing it in an appropriate way and analyzing it, in order to make a decision about the appropriate project idea to do a feasibility study for it.
    • A study of the extent to which individuals can purchase legitimate services or commodities by caring for their needs, which includes the demands of potential customers, and studying the compatibility of the products planned to be sold with the market .
    • Make the appropriate decision about the nature of the work of the small project, and the methods used to operate it, by making sure to study the nature of the surrounding environment.
    • Calculating all costs incurred by the small project, and considering them in preparing the feasibility study. These costs are divided into variable and fixed costs.
    • Estimated projected income from a small project, which is the expectation of the quantity of products or services that can be sold during a specific period of time for the project.
    • Making a decision about the quality of the idea of ​​the project, which is the choice between continuing the project or stopping work on it by studying its idea at this stage and determining the amount of profits resulting from it; that is, was its idea appropriate to expectations or not?
  • Determining the needs of the small project, which is a set of specific components that must be provided for the success of the project, and depends on studying the factors affecting it, whether by failure or success, by knowing the operations, costs, and products related to it, and it includes the following: [1]
    • Project operations, which are:
      • The productive process: which determines the workers, the nature of their work, and the size of the production .
      • Financial follow-up: It is the determination of who will follow up on financial transactions, and who is responsible for buying and selling operations.
      • Management : It is the identification of specialists for following up and recording debts, sales and purchases.
    • Follow up the costs incurred by the project, whether variable or fixed.
    • Determining the selling price of a single unit by studying the selling prices of the market and competitors.

Ideas for small projects

Choosing a suitable idea for a small project is one of the things that need good and conscious thinking, especially with the availability of small capital that must be invested in a correct way. Here are ideas for small projects that can be applied in the business environment:
  • Search using the Internet : It is the benefit of daily browsing of the Internet by preparing research for individuals in exchange for obtaining specific financial fees. This type of small project requires a permanent and fast connection to the Internet and the use of a computer to carry out searches. [3]
  • Removing graffiti: It is a project that relies on communicating with real estate owners, whether they are homes or companies, with the aim of cleaning their properties, through the use of chemical cleaning materials, and a means of transportation to reach the agreed job site, and this project is one of the profitable projects. [4]
  • Providing virtual assistance services: relying on personal skills in organizing and managing time; in order to help a group of individuals (clients) to carry out their tasks in exchange for money, and these tasks include following up on individuals ’communications, and helping them to coordinate their travel trips, This project requires the use of a computer connected to a fast Internet, a printing machine, and a set of office software. [4]
  • Providing career counseling services: It is communication with individuals who are searching for new job opportunities, and then determining the extent of their suitability for them, and this project may be applied directly; by communicating with individuals individually, or by announcing courses that offer career consultations, and this project needs to Using computers and communication with the Internet, and a collection of educational books and videos on the idea of career planning . [5]
  • Providing child-rearing services : It is providing female nannies for families who need child-rearing services in return for certain fees that are imposed according to the time period for providing these services; that is, daily, weekly, or monthly, and this project needs to use advertising methods, and provide a stable office to follow up on clients ’requests. [6]

The advantages of small projects

Small projects are distinguished by several advantages that distinguish them from other projects, and the most important of these advantages are: [7]
  • Activating cooperation between a group of small projects, with the aim of achieving the best amount of profits.
  • Support workers in order to increase their productivity, by improving the relationship between them and the administration .
  • Dependence on flexibility in making decisions that are compatible with the nature of the market.
  • Contribute to providing job opportunities.

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