Tanya wants to start a manufacturing company. What factors she should keep in mind before starting a business?
Before starting a business Tanya should focus on following factors
(i) Size of the Firm Based on the amount of funds available and demand for the product in the
market size of the firm i.e., small / medium / large scale to be decided.
(ii) Choice of form of Ownership Based on the amount of capital required, legal formalities to he filled in, liability of the owner, etc the form of ownership is to be decided.
(iii) Location of the Business Enterprise Based on the availability of raw material and infrastructure facilities, location of the business is to be selected.
(iv) Financing the Proposition Requirement of capital and its sources must be decided.
(v) Physical Facilities Availability of physical facilities including machines and equipment, building and supportive services to be considered before starting a business.
(vi) Competent and Committed Worked Force Every business needs work force. So, careful planning should be about selection, training and motivation of employees.
After satisfying with all the above stated formalities an entrepreneur can launch the business.