Read the lists of the richest people in any country and a common theme is that their wealth is built on a creating a successful business.

Whether it be shopping centres (Frank Lowy), iron ore mines (Gina Rinehart), media, property, retailing or online ideas, the big money is made from turning a little idea in to a big business.

Surveys indicate that 95 per cent of people want to stop earning money for someone else, and start making it for themselves. And why not?

The wealth of this country doesn’t walk up and down George or Collins Streets in a pin stripe suit. The big money in this country is in the hands of private business owners who are the real wealth creators.

But business success doesn't always come easily. Whether you are starting your own business or buying an existing one, there are a few basic rules that need to be followed.

First up, make sure you’re going to start a business and not simply buying a job.

Believe it or not emotion is the key factor driving most people’s desire to own their own business. Emotion can also be the biggest pitfall. Logic needs to be applied to all of your aspirations… you need to safeguard you and your family's financial security.

For starters, a few reality checks you need to take before deciding to put the "owning a business wheels" in motion:

. Personal; are you going into business for the right reasons? Is there sufficient evidence your business can work, or are you just jack of working for someone else and want to take the first opportunity that comes along? The most important action is to base all decisions on the merit of the business. Your business idea needs to survive out there in the market, not just inside your own head.

. Lifestyle; owning your own business and making it work is also likely to change your lifestyle. Much like raising a child, a new business will need nurturing and an infinite amount of attention. Before launching into business ownership, evaluate your current life-style, and ask yourself if you’re ready for that to change.

. Financial; are you in a sound enough financial situation to own a business? Ideally you don't want to borrow more than 20 per cent of the business capital and at the very least own 50 per cent of the business. Talk to an accountant to gain an independent assessment of your position.

Once you've made the decision to test the water, a few sound business principles need to be followed. You may have a great business idea, but remember good ideas don't necessarily translate into a good business.

The role of research can't be overstated. Start off with the telephone. They're a great source of information on the market you're interested in. A few phone calls will help you build an industry profile - you'll be surprised how much businesses are willing to disclose about themselves. The small business department in each State can provide relevant figures and even subsidise appointments with consultants, while the Bureau of Statistics has general industry specific information. Debt collection agencies can source business specific figures, while industry publications can keep you in the know and help identify industry experts.

Once you've done enough research to realise that you want to take the plunge, a business plan needs to be set up to provide tangible steps to follow.

First of all, define the business. This is a detailed preface of your proposed venture. It should set out exactly what is to be sold, to whom it will be sold and why the business has advantages over the competition. Detail the nature of the business, the function of the business and its purpose.

Examine the industry you're entering and look at relationships within it. Review how goods or services appear to be priced and the distribution channels employed.

Marketing is vital. Ask yourself the critical question, “who will be interested in my product?” before writing this part of the plan. It is concerned with positioning through price, product, place and promotion.

Research the market, and your place in it, and try to forecast your growth potential.

Identify customers who your product or service suits. These will become your target market. Look at the target's size, depth, growth potential and current structure. Look at how would-be competitors are performing. Position your product so that it can penetrate the market most effectively.

How your product is priced directly affects its success. The key here is to find a price which allows you to enter the market without upsetting the big guys, but still allowing your concept to stay alive, and hopefully earn a good return.

When setting the price, make sure that not only the costs of material and equipment are factored in, but also your time and salary. So many small business owners forget to include their own hard work into what customers have to pay for the product or service.

The bottom line is think it through. Make the most of the opportunity by approaching it professionally.