Tips For Starting Your Own Business After Divorce

Being newly divorced signals the start of a new life as a single person. Many newly divorced individuals are left worse off financially after divorce. But wealth is also about quality of life, freedom, choices, and healthy relationships. So don’t think about having a million in the bank, think about what the money would allow you to do. Divorce isn’t the end of the road, but an opportunity to dust up and show the world you can survive and thrive!

The idea behind starting a business after divorce is to secure an excellent monthly income. Below are few tips for building a solid foundation of a fledgling enterprise.

Off to independence: The Fun and fear upon start-up

The thought and initial action of starting your business can be all fun and easy. With only a few hundreds of dollars, you can register a company, obtain a website name, and set up phone and e-mail.

But after start-up comes the burden of running the business. Running a business is a hard nut that must be cracked by building a solid foundation. This also means that you have to deal with authorities, offices, laws, and finances. That sounds like significant challenges, but it’s a role that you will grow into quickly. Much can be done with little experience and research. For anything beyond that, seek professional help (such as the trusted tax consultant or, if appropriate, a mentor). The following things should be considered in the starting phase:

First, think, and then act:

Business ideas need to mature and take time. You should start a business not just for the sake of recovering from divorce. Do not rush and take enough time to find and develop a suitable business idea.

Business plan

It is advisable for all budding entrepreneurs to establish successfully. Here you hold everything and plan your business meticulously. A proper business plan is essential for you as well as for investors, authorities, and offices.

Secondary or full-time acquisition

If you have the opportunity, you should first run your business as a sideline. That gives you specific security and offers itself as a test phase. However, if the planned company requires a great deal of effort and you are sure of your idea, full-time self-employment is the better way.

Permits

Different businesses have different approval requirements. Inform yourself sufficiently, which specific requirements result from your company foundation and look up the appropriate offices and authorities.

Insurance

Health insurance may be required. In the first three months after founding, you can decide whether to choose a private or public health insurance.

Name, brand, and domain

A complicated topic is property rights. Inform yourself extensively, whether your company and product name is already occupied. If you have found suitable, unoccupied names, have them protected where possible. You should also secure the corresponding domains.

Registration

It is also necessary to register your company, irrespective of the company form. Depending on the type of the company, reporting obligations exist, among others, at the tax office, at the IHK, at the trade office or the commercial register.

Finances

The necessary capital for the foundation of your company should be available. Bank loans are not the only option here. Possible alternatives: grants and subsidies, such as the start-up grant from the Employment Agency or crowdfunding. Another important aspect is the opening of a company account. For freelancers and sole traders, a simple checking account is usually sufficient; this is often much cheaper than a business account. Besides, you cannot avoid taxes. If you do not have extensive tax expertise yourself, you should always seek a competent tax advisor.

After the bureaucracy, it goes to the core business

Tasks related to bureaucracy must be mastered. However, the effort is worthwhile, and with the proper motivation for what follows, these obstacles are easily overcome.

Do not listen to Naysayers: There’s some random statistic that people like to toss around that goes “90% of all businesses fail in the first five years.” But 10% of them succeed. Let me put that into context. 

Pay less attention to getting rich quick: Much like those who think we entrepreneurs sit around and watch TV all day stuffing our faces with snacks, the same people also believe that owning a personal business is an automatic ticket to wealth.

The hard truth is that there are substantial scary tasks to do to become a millionaire. 

Design your company and give it a face: The creation of corporate identity with the appropriate visual design of logo, business cards, business documents, the website, vehicle labels, etc. should give you pleasure.

Acquire your first customers: It’s not easy if you do not have any references yet. Therefore, target specific people from your network and initially invest more in marketing and advertising. Inbound Marketing, in particular, means that your desired customers will find you and they will get in touch with you by themselves. The initial high acquisition effort will decrease with time because satisfied customers will come back and recommend you.

Don’t get scared; get to work

Going through a divorce have a way of making one strong, so if you are there, then believe you are much stronger than you think, hence you can survive anything. So equated to the emotional tumult you have endured, starting and nurturing your business is a lot easier

Don’t get freaked out after reading all the above and think you can’t start your own business. 

If you have any additional questions or if you would like to discuss your matter with us further, feel free to call us at 905-366-0202 to arrange a free consultation. Alternatively, you can reach us via our website here

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