Starting a new business is not an easy. The birth of a new business is similar ti the birth of a human child. An entrepreneur has to play the role of a moher giving birth to baby and taking care of it for its upbringing. A business has to perform so many work befor starting his/her business which many be called as promotional activities. As a promoter, the businessman has to generate an idea of a new business. Promotional work beings with origin of an idea. If a business. Promotional work begins with the origin of of an ideas. If a business is rightly promototed, then it will get success in the future otherwise it won't . many business firm have been closed sooner or later due to its defective promotional activities .
a) Knowledge about the business and selection of business
Selesction of business is most important factor to be consists before starting new business. The business man should carefully consider whether the start and a industry or a trade or an auxiliary of trade or a service business est. so, the businessman should select the right business by the consider the flowing factor.
i. Personal interest, ability, and knowledge.
ii. Passivity of earning profit.
iii. Degree of risk.
iv. Availability for resource.
v. Possibility of growth and expansion.
vi. Level of competition, etc.
b) Detailed investigation:
Investigation of business should followed by detailed investigation. The potential investor should invention should investigate thoroughly about his/her selected business. The investigation should be base on market demand consume teats and habit , resource availability, gorvement rule and regulation, degree of risk and uncertainty etc. detailed invention can pinpoint whether the proposed business can yield sufficient profited or not to the new businessman.
c) Form of business organization
Another important consideration before starting the new business before is to determine the form business organization namely sole proprietorship, and join organization and join stock company. Each from of business organization has its ownmerits and demirets. The adoption of a particular form of business size of business, capital requiterment and risk element. Broadly speaks soal proprteorship is suitable for small business , part5nership for medium business and Joint Stock company is suitable for large scale business
d) Provision of capital
Capital is the life blood of business. No business can run and established without adequate capital. But the volum of capital depends on the nature size of business. So, befor starting business, the amount of capital reqired and the sources of capital must be properly determined. If the capital is less than reeerrequirement, it become difficult to conducted the urequirement,redfdfdf
Requirement it become difficult to conducted the business. Similarly, the situction of excess capital is also not good. Capital source may be cash in hand or debt/ credit capital
e) Location of business
Location is very important factor for the success of a business. Decision should be made carefully to selection the site or operating the business. It is very difficult to change the location once business has been set up. Selection of location totally depends on the nature of business. If a trading concern is to be eastiblish in such a place where consumer can gether easily would be the most suitable location. But for the industry, aviailability of raw material, labour and other phisiacal infrastructure are the important considerations.
f) Selection of staff
A business man cannot run the business only by themselves.
Staff is need to perform the various work of the business. Success of the business depends upon the efficiency of the personnel. So, a businessman should carefully determine the required number and type of staff and then select them to run the business effectively and efficiently. The businessman must select capable, experienced, skilled and honest staff. A business should not be started until snd unless the availability of adequate, skilled, motivated and dedicated staff.
g) Legal requirement and government policy
Befor starting a new business, its legal requirement must be studied. It may include the laws, rules regulation and government policies regarding the business. A business firm is ounded to follow them strictly. (in contex of Nepal)A promoter in Nepal should particularly consider private firms registration Act 2014, partnership act 2020 and the bcompany act 2053. These acts provide the policies realating to payment of taxes, amanagement of labour and other industrial and commercial policies formulated of government.
h) Office equipments
An office is a central place where all clerical and administrative works are done to coordinate and control the affairs of whole business. An office plays same roles as brain plays in the human body. An office needs several types of equipment such as calculator, computer, telephone, furniture, photocopy machine etc. office equipment enhance the prestige of the business they also make office works simple, easier and fastest. Therefor, the entrepreneur should carefully select all the necessary office equipments befor starting a new business.
