What Every Black Woman Needs to Know to Start a Business -- a 5-part series
grab your paper and pen for this
When we talk about business ownership, we’re talking about economic prosperity, generational wealth, breaking down barriers and forging our own purpose. To me, there is nothing more beautiful.
August is Black Business and for the entire month, I will be spilling the tea of what every Black woman needs to know to start her own business. Black women are starting business ventures at an increasingly high rate year over year and our hunger to build our own thang is not slowing down anytime soon. If you’re stuck in a toxic corporate job and dream about having your own business, stick around for my 5-part series on everything you need to know to start your own business. Let’s go!
Know Your Finances
We’re coming in hot with money stuff first because it is by far the biggest block that Black women founders have when it comes to growing their business let alone staying in business for the long haul. We know that when it comes to pay equity, access to capital, and overall wealth generation, Black women lag far behind. Yet, we can also be the savviest, most budget-conscious, stretch-a-dollar-around-the-block-twice group that I know. Whether convincing customers, clients, or investors to give us money, we must first believe in our idea and always bet on ourselves. Having a strong financial foundation for your business starts from the inside, out. Being in right relationship with money, rejecting scarcity thinking, and having good money habits.
Putting it into Practice:
Examine your monthly personal expenses (i.e. rent, utilities, health insurance, credit cards, etc) and business expenses (i.e. website, graphic designer, supplies, etc.). Look at upcoming big ticket expenses as well. This will help you to assess how much you will need to bring in to cover you.
Determine how much you want to earn in income. This number should be more than enough to cover your expenses and support your lifestyle, not just what you need to “get by”. What do you need to bring in to live well and be happy?
Set your prices for your product or service. Don’t just wing it! Use the numbers from your monthly expenses as your guide. Determine what it costs to build your product or service every month. Whatever you’re thinking you should charge, double it. Chances are whatever you think you should charge is actually way less than what you should actually be charging. Know your worth, then double it -- enough said!
The sooner you get on top of your numbers and the ways your business will make money, the better. Brave tip: If you rather stick your head in the sand then look at your numbers (and believe me, this happens to the best of us), my advice is to get some help in this area. Money is a sensitive area for a lot of us wrapped up in fear, self worth and insecurities. If you want the best chance at building generational wealth, your must first let go of living in survival mode when it comes to your finances and start investing in you. Feel me?
What’s one step you’re taking today to Know Your Numbers? Let us know in the comments!
Keep it locked right here for part two in the series of what every Black woman needs to know to start a business. See you next week!
PS: I'm hosting an intimate half day workshop in September for aspiring Black women entrepreneurs who need a little guidance getting their business off the ground. We'll be covering finances, how to set up your business, marketing, branding, how to get clients and even strategies to boost your confidence if you're a little nervous. To learn more and secure your spot, schedule a coffee chat with me.