Are you considering starting a small business but are not too sure which form of business to register?
Generally, raising a business from the scratch requires a great deal of thinking and a combination of many different things. You need to at least have clear answers to these 3 key questions to create a basic roadmap:
What do I want to achieve?
Where do I start from?
How do I start?
Answers to the question "What do I want to achieve? " helps to create a lucid, long-term picture of your business. This is typically known as a vision statement.
Answers to the questions "Where do I start from? " and "How do I start?" instigates the creation of roadmaps and action points to achieving the set vision.
Among the answers to the question "How do I start?" is the form of business to register for. Here are some guidelines on choosing which form of business to register and operate under;
The three common forms of small business ownership are:
Sole Proprietorship (One-man business)
Partnership
Limited Liability Company (LLC)
Teased out in the table below are a number of meaningful questions and corresponding answers under each business form. This is to enable you to make the right choice from the word “go!”
Many entrepreneurs and potential business owners do not really reflect on these questions. However, these questions are very critical in assessing your capital requirements, business costs, risks, staffing, profit sharing and the complexity of regulations surrounding your business, especially within the Ghanaian jurisdiction.
If you need any help and advice on choosing a suitable business form, kindly contact us today for assistance.
