Business refers to earning profit by doing something. According to literary language, business is a set of activities to achieve an established goal of earning profit by serving or selling products and services. When the agricultural revolution occurred, people used to do business by exchanging goods, and this system is called barter trade. For example, one individual is a farmer, and another is a fisherman; the rice preserver offers the fisherman fifty KG rice in exchange for fifty fishes. This process is how barter trade looks like. And of course, just like the scientific theory, business tools have not changed yet—the significant tools running from centuries after centuries are accounting, financing, marketing, and human resource.
Australia is well known for the establishment of business organisations because of the availability of experienced business individuals. More or less in every city and town we meet many individuals related to the business world. And, like the other locations, Surry Hills has immensely been popular for people to run their cafes, restaurants, bars, consulting firms and other professional services. When opening a business, the establishment must be well planned taking in several different factors such as the target market, location, competitors, finance and many more.
Yet today, our focus point is setting up a business in Australia. We need to keep several factors in mind to build a business in Australia.
- Target Market Research
The first factor to consider when opening a business in Australia is target market research. Generally, it means selecting the customer and consumer for the products that the business organisation intends to offer. Like, in Saudi Arabia, opening a wine business is not a wise decision indeed. Hence, before starting a business, it is important to know who you are selling your product or service to. You may choose to break your target market into smaller segments based on age, gender, location, income and lifestyle. Think about what would motivate this group to buy your product or service.
- Location Selecting
Location is another important factor when opening a business in Australia. Something to consider is whether or not your location is easily accessible to your target market. Is this location near their home, work or hobby? If you are selling physical goods, are your suppliers nearby? Is the cost of renting or leasing the store financially viable? Instead of having a physical store your customers can visit, you may choose to be an online only business if you sell retail goods or if you’re providing a professional service.
- Competitor Analysis
Before starting everything, an owner must research the competitors who are available in the market and the service they are providing. Customers tend to be loyal towards stores they frequently shop in, but better quality and additional service can attract customers. Think about what makes your product different to your competitors and why customers should purchase yours over theirs.
- Accounting
Accountants and Bookkeepers play a vital role in keeping accurate financial information for your business. Their main responsibilities are to record financial transactions, prepare financial statements, accounts receivable, payroll and accountants payable. In Australia if your business is registered for Goods and Services Tax (GST) then you must submit a Business Activity Statement (BAS) on a monthly, quarterly or annual basis. Consider hiring accountants in Surry Hills to ensure you are being compliant with the Australian Taxation Office (ATO) or else fines will apply. Hiring an accountant will enable you to focus on your main business activities and not worry about bookkeeping and financial statements. Without proper information and record keeping, you can’t track your progress.
- Planning
Planning does half of building a business. Before running into the way of business, one must design the whole process. A business plan will help you plan ahead and give your business direction. Make sure you do enough research on your business when doing your business plan to take into account marketing, finance, operations and human resources. Here in the business plan you should determine your goals for your business and what you are going to do to achieve it.
- Finance
Without proper financing, nothing is possible. Before opening a business, make sure you have adequate funds to open one up. You may also choose to apply for a business loan instead but you must make sure you take into account interest rates and hidden charges or terms. There are many institutions available who can provide funding to start the journey of a business. You can find more information on how to apply for a business loan from the Australian Government’s business website.
- Human Resources
Human resources (HR) is the group of people who manage employees in a business. HR involves recruiting, staffing, training, compensation and employee relations. When recruiting for staff, HR managers may choose to post the job listings online on websites like LinkedIn and Seek. In the recruitment process they will interview candidates, contact references and may perform background checks.
