Assets are defined as items you need to generate revenue and profits in a business, and every company requires specific assets. If you’re starting a new venture, think about the tools and equipment you need to get your business up and running. Once you have your list, you’ll need to raise capital to purchase the assets. Consider the assets needed for these two businesses and the type of planning you need for your own operation.
Residential construction
The housing market may present an attractive business opportunity because the industry is making a comeback after the housing crisis of 2007. To compete for business and succeed in this market, you need a variety of assets
Safety is the first priority in the construction business, and you need to prepare carefully to protect your workers from injury and the customer’s property from damage. Consider investing in these items:
- Protective gear: Your workers should be outfitted so that they’re protected from injury on the job. Companies can find durable Rx safety glasses online, as well as work gloves, hard hats, and other safety gear.
- Job site controls: You need to have a formal plan for entering and moving around a job site. Subcontractors and suppliers should understand your rules for trucks and other vehicles entering the job site. You should also insist that everyone on the job site, including non-employees, must wear a hard hat.
- Workers’ compensation insurance: Every state requires a business to carry worker’s compensation insurance coverage, which compensates workers who are injured on the job. The premiums you pay will increase, based on employee turnover, and the safety record of your business. If you can minimize the risk of worker injury, your insurance premiums will be lower.
You need to address safety as a high priority so that you reduce your risk of worker injury or property damage to the customer’s home.
Starting a construction business will also require an investment in vehicles, tools, and equipment. While you can hire subcontractors to perform some tasks, you may find it more profitable to invest in your own excavators, backhoes, and other equipment. You’ll also need trucks, trailers and other vehicles to move your equipment and tools to job sites.
With proper planning and research, you can create a business plan for a successful construction business.
Online business venture
You can take a very different business route and consider starting an online business that provides a product or service. Many people develop a business idea out of a hobby, or some other area of interest. If you collect antiques, for example, you may create a business that helps collectors photograph and sell their antique items through a website. Creative people, such as writers, musicians, and artists, often develop an audience and find paying customers online.
Assume, for example, that you start a resume writing business for job seekers. Your site has a blog that educates readers on how to write an effective resume. Your site includes testimonials from satisfied clients and the specific writing services you provide.
You’ll need a variety of tools to start your business. First, you’ll need to decide on a website publication tool, such as WordPress, and consider paying a consultant to set up your initial website. Every online business needs a reliable company that can host the website on third-party servers. You’ll pay fees to host your website and expenses for a domain name and an email service. To market your site, you may subscribe to software that allows you to create sales pages and opt-in buttons for your website.
Many online businesses eventually purchase ads on through Google or Facebook. As your business grows, you may need to hire a part-time staff person to manage your website and provide customer service.
Starting any business is challenging, and you must plan carefully to succeed. If you’re starting a new business, think carefully about the tools you need to get your company off the ground.
