Easy Start in IT: From Employment to Your Own Business

Ekaterina Nikolaeva, city — Tashkent, co-owner of the AMEGA IT companies group

A brief guide on how to “easily” transition from employment to your own IT business:

1. Consider the diversity of IT solution classes. Write down the top 5 that interest you, in which you see prospects, and that resonate with your heart.
   
2. If you have chosen BI or ERP solutions, start by studying all vendors in this area. Analyze their differences and determine which manufacturer suits you best. Do not rush to develop your own software. First, gain experience in company management, sales, and projects. Only then will you be able to create your own software. If your goal is to quickly build a business and start earning, join a group of partners who sell and implement ready-made solutions. This will help you better understand the IT cycle and figure out what is effective in the market.
   
   Choose an established vendor and its software, become its partner or take a franchise. This will give you a ready-made product, service support, and clear tools for sales and implementation.
   
3. Develop a name for your company, brand, logo, corporate identity, create a presentation, sell your website — a full package of marketing tools.
   
4. Try to sell the product. Create a portrait of your target customer. Form a list of potential buyers. Write them letters, call them, visit them, and personally present your solution to them. Prepare a commercial proposal and guide the client to the decision: “Yes, I am ready to buy.”
   
5. Register the company. At this stage, you will need details for concluding contracts with clients and receiving payments. Many believe that you need to open a company first, but this is not so. It is important to find a client first. Creating a legal entity entails expenses for reporting, accounting, taxes, and other obligations. At the initial stage, these costs can be avoided, and you can register the company only when you have a “hot” client.
   
6. Turn to accounting and HR outsourcing. In the first years, you will not have such a large turnover to hire a separate employee.
   
7. Rent a server. This is more economical. Moreover, you may initially incorrectly assess the capacity you need. Do not buy computers for employees; most specialists can work remotely from their personal computers.
   
8. Register your legal entity in a virtual office. This service provides a legal address and accepts your correspondence, while you may not have a physical workspace or may get just one workspace measuring 1x1 meter. For the first few months of operation, a full-fledged office is not needed; you can use a co-working space. Sales can be made by visiting client offices, and employees will work remotely.
   
9. Register the company in a preferential IT zone, such as Astana Hub, IT Park Uzbekistan, or others. Get tax relief, and spend the saved money on business development.
   
10. Obtain official partnership with the vendor whose software product you are selling.
    
11. Hire employees under a simplified scheme with minimal obligations: conclude contracts with individual entrepreneurs or individuals. An employment contract imposes many obligations and may be more expensive due to taxation. If you choose an employment contract, set a probation period of three months to have the opportunity to part ways with an employee without paying compensation.
    
12. Purchase a consultation from an experienced accountant regarding the company's obligations under labor and tax codes. A two-hour consultation will save you three months of accounting courses and reading laws on important sections.
    
13. Form a working information environment. Choose software for managing sales, projects, and document flow. Currently, there are many open-source solutions that allow you to freely handle the accounting of actions and information in a single environment.
    
14. Prepare memos and checklists for employees, record short video clips as instructions and explanations for all business processes and steps. At this stage, there is no need to implement a full-fledged quality management system according to ISO 9001 standards, write various regulations and provisions — you will definitely do this later.
    
15. Complete the first project without earning money to gain experience.
    
16. Continue selling. If you fail to sell, return to point two and choose another product or manufacturer.
    
17. Quit your current job only when you are sure that your product is in demand in the market. Usually, when a second deal appears, it becomes easier for people to fully immerse themselves in the business.

During the period before quitting, you will have to spend four hours daily on your business, without days off. And if you need a day off, then on Saturday you will have to spend eight hours. This period can last from three to six months, totaling about 560 hours. Let's calculate, is that a lot? In a month, an employee accumulates 165 hours. In a year — 1980 hours. You can work in employment for many years, but in 99% of cases, nothing will change. Yes, qualifications and salary levels will rise, but against the background of inflation, you will not feel a big difference. If you want to break out of the vicious circle, start your transformation. Creating a business is an excellent motivator for changing yourself and your perception of the world. 

This journey will be difficult, but the most exciting in your life.