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Discussion in 'New Member Introductions' started by DuaneGrey, Oct 9, 2012.
My name is Duane i'm a newbie and i am new business owner seeking advice on how to run a company!
Welcome to the forum, Duane. Business advice is the name of the game here (as well as the name of the forum).
Hi Duane, thanks for joining and posting on Business Advice Forum. Welcome to our community.
Thank you Fergal! I've been looking for an advice forum for a while.I've recently decided to start up my own thing with three other family members of mine. The work that we do is more or less in the construction industry. We've been running for about two years now and i'm worried because there has been no progress since,but the work is plenty!
Thanx! I need the advice trust me!
Hi Duane - welcome to the forum - I hope you find it useful and fun. I find the MAIR model to be a great general model for thinking about, starting and running a business - I've posted an article below... M.
The following four basic elements are required for a business as described by the MAIR model:
• Motivation and determination
• Ability and experience
• Idea with market
• Resources needed and their availability
The MAIR model can be depicted as a rice house with each pillar representing a particular business aspect
If any of the pillars were to break, the house would fall. Likewise, all the four aspects described above have to be carefully explored and understood before an idea can take shape into a business.
The MAIR model can be used by the entrepreneur to assess a business before starting it or at any stage thereafter, using the questions given below:
Motivation and determination
• What is the primary motivation for the entrepreneur group to start a business?
• Did the group make any effort to start a business before this?
• Do the group members have family support to start this business?
Ability and experience
• Does any member of the group have previous experience of running a small business?
• Does any member of the group have experience in the business they want to start?
• Does any member have experience in managing a similar business? Can a person able to manage the business be hired locally?
Idea with market
• What is the product or service that the group will sell?
• Who are the customers?
• What customer need does it meet?
• Is the product developed, tested if necessary, and does it meet the specified standards? Is it ready for the customers?
• What quantity of the product will be produced and sold?
• Is it known if the customers will buy it? Has a market survey been conducted, even if informal?
• Why will customers prefer this product/service to that supplied by competitors?
Resources needed and their availability
• What is the minimum scale of production for starting the business?
• Will that production level ensure enough income for group members?
• What resources are needed for this? For example, spell out the need for:
- Stock of raw material
- Employees that the group may need
• Does the group have any other special training needs and resources to pay for additional training on packaging or for design development?
• What are the cash needs for the first year?
• The profit and balance sheet projections?
• What will be the unit cost and how has it been calculated?
• What targets/standards are built into the proposal?
• Utilization of resources?
• Quality maintenance factors
The MAIR model
Courage Prior experience
Knowledge of business management
I(dea with market) R(esources)
Product is good
Demand for product Money
Duane, please start a thread with any questions you have, in our relevant forum section. Our members would be delighted to help you any way they can.
thanx i'll do that!