When calculating start-up costs, keep in mind that you will likely need a few months of funding to cover expenses before you even open for business. And once you do begin operating, it likely will take a significant amount of time until the business is self-sustaining. If you’re approaching banks and other lenders for money, try to include a substantial cushion for beginning operations to ensure you’ll have enough money to set up an office, take orders, hire employees if necessary, and cover other related costs
The volume of foot traffic Demand, or what percentage of passers-by who will purchase your productPrice sensitivity: what are people willing to pay for your product?Temperature: in the lemonade game, a hot day can make all the difference in your customer’s desire to pay a premium for your product.
Interestingly enough, some canny lemonade entrepreneurs are experimenting with “free” as a business model. We all want to make more money in our businesses. To do that, you need to look at the most common ways of increasing profits: increasing the amount you sell, raising prices, or cutting expenses. A family business is common – but fraught with peril. How do you encourage your kids to go into business without being oppressive? How do you fairly divide up labor between relatives who may have differing skillsets? And what kinds of sacrifices are unique among family businesses? So-called “growth hackers” look for “spreadable” or social experience when they are looking for a hook to grow a business. For example, the car service Uber quickly gained traction in its major markets because it was a much easier way to get around than hailing or even calling a taxi. And because the experience of taking an Uber to a party or a club is so social, it became a “spreadable experience.”
