Guidance on Starting a New Organization, Business Planning, and Addressing Conflict of Interest

Hello all,

I am working for XXXXXXXX. I am planning to start an organization. Is it possible? I am not going to resign from my job for some time. I will continue working for the same company. Please let me know. I would like to work for XXXXXXX, and at the same time, I want to run the business.

I really appreciate your help.

Thanks,
Manny

Dear Manny,

You can start a new organization, but leave the job first. Don't do both together. If the new business you are going to do is concerned/connected with your present assignment, think twice before doing so. It may land you in trouble if your company finds out.

Regards,

Innovative HR Solution

Hello Manny,

You will need to first check and see whether there will be a conflict of interest between your current employment and your newer venture. You will need to read the fine print in your contract with the current employer to ensure you can carry your ideas forward.

Beyond this, you will need to look into the legalities of the new entity, including the type of corporation you are looking to start, etc. I would be happy to discuss this further with you.

Thank you,

Ramya Suresh
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Hi,

First of all, congratulations. As another member mentioned, it is necessary to check for conflicts of interest, as most organizations won't allow current employees to run their own businesses. You need to verify that.

Regards,
Shyam
Career Forum - Career Forum

[Link: jobslinked.in]

Dear Manny,

If you work for XXXXXXXXX, which is a global conglomerate in its might, they would have analyzed you in-depth about your background and profile. Only then would they have selected you for employment opportunity. The reason for your thought "that I want to work earn money and at the same start the business" itself is basically wrong. Starting a business is one's own decision in a business career, but it is a totally different matter to remain in the employment and at the same time parallelly engaging your time, effort, and benefits for the business. Will you allow -- if you are in business or an employer -- your staff to start the business while in your own employment?

As I have been repeatedly informing in this forum that many people, irrespective of their age and experience, openly ask for opinions/suggestions for something which is not ethical or for the common good of both organizations and employees. It may be harmful to you in your present career if you are in XXXXXXXXX. Furthermore, you have thoughtlessly mentioned the company name in the forum. Please refrain from doing this as it shows immaturity regardless of legalities. It is like many youngsters using a two-wheeler -- taking a shortcut to pass through the traffic and being unmindful of rules, ethics, and basic manners for the fellow road users to reach the spot or simply endangering innocent people on the road. This is simply to satisfy the urge to take shortcuts, whether you reach the destination or not.

I refuse to offer any suggestions for your idea. You may have a brilliant idea or otherwise just want to know what could be reactions from the people. In either case, you are on the wrong side.

All the best wishes.

V. Rangarajan.

I feel that whether it is ethical or not depends on the contract you have signed with your employer and the conflict of interest. If it is against the contract provisions and if there are conflicts of interest, then it becomes unethical to start an independent venture even when you are employed with your present employer. In that case, it would not be proper for the members of this forum to offer you any guidance. Please clarify this aspect first.

Dear Sir,

You can start your business on the side. When you realize that your own business requires more time to grow and is generating sufficient revenue to cover your day-to-day expenses, you can consider resigning from your current company. You can also begin your business while still employed, but ensure that this information is not disclosed to your employer.

Best of luck,
Rakesh

Dear Manny.guru,

Hope you are doing great! I have a couple of questions for you. Where are you based? What kind of business are you interested in? Actually, I have a friend who is looking for a business partner (equal). Maybe we should talk.

You can reach me at gupta87.shivani@gmail.com.

Thanks & Regards,
Shivani
09569469731

Hello Manny Guru,

A lot of discussions have happened already. You may not start your company as of now. However, let me tell you that 85% of businessmen fail in their business because they don't do any market research. Nothing stops you from doing market research while on the job. It can be an off-job activity.

First, you should take some courses on how to conduct market research. You need to research the following points:

a) Who will be my customers? What is their profile? Where are they located?

b) What do I need to do to attract my customers to my product or service? How can I take my products or services to them?

c) What is my product differentiation? What will be the brand pull?

d) Who are my competitors? Who is the strongest? Why are they strong? Against whom will you benchmark? Is there geographical variation among the competitors?

e) Has anyone entered this business before, and have any failed? Why did they fail?

f) Are there any verdicts from the Supreme Court, High Court, or any other court related to the delivery of products or services?

g) Will there be any distributors? What is the psychology of the distributors? What will be their educational background?

h) Do you know the product or service very well? Do you have a passion for producing that product or delivering that service?

i) Have you decided on the quality of the product or service? Is there a differentiation among "good," "very good," and "excellent" products or services?

j) What will be the measures of performance for the employees you will employ? When will their performance be considered "good," "very good," and "excellent"?

k) What will be your recruitment strategy to hire the "right" staff? What research have you conducted in the job market to find the "right" staff?

l) Will you involve your near and dear ones in running your business? What will be their level of involvement? What "immunity" will they enjoy because they are "near and dear" to you?

m) Are you completely aware of the statutory requirements to run this business? Have you met government officials to obtain information, or have you solely relied on your company secretary or chartered accountant?

You can gather information on the above points while on the job. Remember, information is key in today's world. Businessmen or businesswomen fail due to a lack of awareness.

About Making a Business Plan: By the way, you wanted to start your business. Have you prepared your business plan? If not, you may avail of my consulting services. I assist upcoming entrepreneurs in developing a business plan for their ventures.

All the best!

Dinesh Divekar
+91-9900155394

Dear Manny,

People have given you a lot of ideas as to why you should not or what to take into account before you start to ensure that what you are doing is ethical and legal. Mr. Divekar has given you advice on how to go about assessing if there is a gap in the market.

I take a slightly different perspective and ask you questions rather than answer your query.

Please let us know whether what you intend to do is in the same line of business as that of your employer?

Will your new company be using any of the ideas that you have developed while working with your present employer?

How much time, as a percentage of your daily activities, will you have to devote to your new venture?

Will time devoted to your new venture have any deleterious effect on your performance?

Will you be taking up any executive role in your new venture or just an advisory role?

Some companies, in fact, encourage their employees to be innovative and venture out. Does your company foot that bill?

I know a friend who works for an MNC and is venturing out to start a web-based service which in NO way competes with what he does. He will be listed only as an advisor of that firm with other executives being employed to look after the day-to-day activities.

I hope you can answer the questions raised to your satisfaction.

Best wishes,

Simhan Chief Advisor, Promentorconsulting.com

I am planning to start a consultancy firm. What all will I have to do? I have a good infrastructure. I am running a Computer Institute with 85 students. One big company is ready to sign an agreement with me for job placement. Please advise. Prashant 9899913777

You can meet me once you are in Mumbai. We can work something out for sure. You can note my number: Pulak Das, 9320364713.

Dear All,

Yesterday, I accidentally had a wonderful thought that I would like to share with all of you:

"The secret of success in work is to give, give more, and give maximum." - Dinesh Gupta

Regards,
Dinesh Gupta
SJCET

Dear All,

Everyone, please give a nice quote or message to Manny. I would like to share my opinion with you: "Too many hands spoil the food." So, concentrate on one perspective, whether it be business or your current job. This focus will help you progress further and achieve fruitful results.

Dear all,

I'm looking to start an 'International BPO/BPS'. I would be more than happy if anyone can help me out with the details of how to start from scratch, i.e., funds, lead generation, recruitment. The entire planning, organizing, and execution.