A lot of work goes into starting a business — before you ever even begin to file formal paperwork, or sell your first product. To make sure you have all your ducks in a row before you start down the business start-up path, I recommend you answer these questions:

1. Who is my target market?
2. What do I want to sell (services, goods, information)?
3. What will I offer that is unique in my industry?

If you don’t know the answers to these questions, you’ll need to do some more research before you start your business.

Already know what you’re selling and who’s going to buy?

You’re well on your way to starting a successful business! There are a few things you may need to consider before you jump in head first.

Do you have support? You may be lucky and have a lot of supportive people in your life who want you to be a successful business owner. Or you may have friends and family who are doubtful — or flat out don’t think you can handle being a business owner.

And you may be a little uncertain yourself. If this is the case, take this interactive quiz at the Small Business Administration website to find out if you are ready to start a business”

http://www.sba.go...smenttool/index.html

Before you jump in head first, I recommend you pause for awhile and take stock of what you have on hand and what you’re interested in.

1. Take a look at what equipment you already have. If your household already has a computer and Internet access, you’re halfway there. If you’re going to create a product, you may need other items, and you may already have them on hand if you’re basing your business off of a hobby such as jewelry or candle making.

2. Talk to your family and friends, offline and online. Find out what kind of products or they need. One of my clients started a business after creating a baby sling to fit her needs. After dozens of people stopped her on the street or in the store to inquire about it, she hung her shingle online.

3. Create a business plan. This can be just one sheet of paper on which you write down your short-term and long-term goals for your business. Consider this your map, afterall, you’ll spend more trying to get where you’re going, if you don’t know where you’re headed.

4. Decide if you want to sell your own products, or someone else’s products.

5. If you’re manufacturing products based on an existing hobby with materials you already have, you can start making testers for your friends (make sure they will be honest with you and that they are truly part of your target market) and make adjustments according to their feedback.

6. If you decide to market other people’s products, look around for products that you already use, that you are passionate about and that offer an affiliate program, drop-shipping program or wholesale purchasing.

7. Research your business name locally. Unless you are doing business under your legal name, you will need to file paperwork to register a fictitious business name. The paperwork is often referred to as a Doing Business As report (DBA) or a Trade Name Report. You’ll want to make sure no one else in the state has registered a business under your name, in your industry. Before you file this report, you need to make sure that no one else has registered your business name in your state. You also need to make sure that no one has a trademark on the name, to avoid legal problems. If you live in the United States, you can do a name availability check at your Secretary of State website.

8. Research your business name for trademarks. If you live in the United States, you can do a name availability check at your Secretary of State website. You can also do a trademark search at the United States Patent and Trademark website. If you live outside the United States, you will need to visit the website of your country’s trademark office.

9. At the federal level in the United States, you will need to request a federal Employer Identification Number. This is also referred to as a federal Tax ID Number. You can find out more about the Federal Employer Identification Number from the IRS at www.irs.gov or call 800-829-4933. Yes, you need this number even if you don’t plan on hiring employees.

10. Depending on what type of business you’re starting, you may need to have a state license. For example, accountants in Oklahoma must be registered with the Accountancy Board. Beauty shops in Oklahoma must be registered with the Oklahoma State Board of Cosmetology.

11. If you are selling a physical product, you will need to register with your state’s tax commission. In some situations, if you are selling service, you don’t need to charge sales tax, but I recommend you contact your state tax commission to find out for sure if you need to or not. If you do, then you’ll need to file for a state tax identification number and find out how much your state tax percentage is. You’ll also need to check with your local government to find out if you need to charge taxes when people buy locally.

12. If you are setting up a business in a city or large county, you may need to check your local zoning laws. Some governments forbid businesses in residential areas — but there are some that allow businesses that don’t bring in extra traffic or that don’t have a lot of shipments coming and going. You will need to check with your local zoning commission to find out how the laws will affect your business.

13. Set up your product selling website, along with a blog. Make sure you start now blogging about the business you’re building, the awesome products you’ll be selling, etc. Add your products to the shopping cart on your site, and keep them up to date. Make sure your sales process is automated, that you have reasonable shipping fees and that you offer more than one method of payment.

14. Be sure to add a link to your blog in your forum signatures, your Facebook profile and everywhere else that you network on line.

15. If you’re selling other people’s products on your blog, start contributing to other blogging communities, making sure to include your blog address when you sign up. (Don’t include the address in your actual comment though. This is spam.)

These 15 tips will help you get started with your shoestring budget product selling business. And remember, if you have any questions, check out my coaching services. I’d love to help you find the right direction!

Michelle Waters has more than six years experience helping small businesses sell physical products online. She shares her ecommerce expertise and the stories of many online business veterans in her weekly podcast, Product Sellers Talk Radio.