“First, you work for the business, then the business works for you,” with that said, I would like to begin the topic of how to start a business. There is no doubt that having a business is much better than a job, but establishing it requires a lot of hard work and skills. There are some things that any new entrepreneur needs to keep in mind before starting any form of business. Let’s take a look at what these things are:
- Know what you are doing and your audience
One of the most important things when starting a business is to know what you are selling. It might even be a problem that you are trying to solve, but the point is knowing your thing. If you have an idea, try to make it as focused and straightforward as possible. For example, if you have an IT company and someone asks you what do you do? You should be able to name the exact services that you provide and to whom.
And while doing all that, it is also essential to know about your target audience. Knowing your demographic is very important to have a successful business. This is because, in this case, you know the tools and the marketing techniques you need to deploy to get the maximum reach. For example, if you target a younger audience, then content marketing is an excellent idea. But if your company focuses on older people, printing ads in newspapers and broadcasting on TV might be better.
- Name your business right
If your business is not named right, it’s difficult to say how it will perform. Business names should always focus on being attractive, unique, and comfortable to speak. Your company’s name should be such that it will stay in everyone’s mind, even if they read about it once. Several other things should also be kept in mind while naming a business, like focusing on your product or service, being creative, and being different from the competition.
But all these things aren’t easy at all. New businesses often need to hire freelancers or professionals to come up with the right name, which might get expensive. So, to help with that, many sites give business name ideas based on their products and industry. And the one we used and like is the brand name generator from Wix. It is easy to use and provides user’s hundreds of options to choose from.
- Make a business plan and do in-depth market research
Having a business plan is extremely important for new entrepreneurs. Being new to the industry, if someone hasn’t figured out how they are going to deal with things, they might get overwhelmed. Having a clear goal, with proper marketing and manufacturing ideas, and targeting the right demographics is necessary. Saying that you are all ready to start your new business when you don’t know how things work is a complete waste of your time and money.
And another important aspect of this is doing in-depth market research. Once you know your audience, it’s time to figure out what they want. Gathering information through polls on social media sites, communities and forums, and suggestion forms can be a great way to get started. People won’t care that their product is from a big or small company as long as it’s good and fulfills their needs.
- Choose Content Marketing over an ad
The idea of marketing has changed drastically over the past few years. People never liked ads, but now they despise them! This has resulted in companies resorting to other ways of marketing. And this is where blogs and collaborative videos with influencers on social platforms come in. Research data from the “Content Marketing Institute” says that 61% of people in the US make a purchase decision after reading about the product in a blog.
This form of marketing also helps in gaining more reach because of word of mouth. Someone who genuinely likes a product after reading about it on some platform is more likely to talk about it with his/her friends or family. This, in turn, results in generating more leads that can be potential customers for small businesses in the future.
- Answer to your consumers
Haven’t you ever thought that if you knew this exact thing about this particular product, you would buy it? The next thing anyone would do is search about it on the web. If the consumer can find an appropriate answer to their question, they would probably purchase the product. But if not, he/she would instead go for another similar item that quickly clears all their queries.
This is why answering your consumers is necessary. As a new company, it becomes crucial to work with bloggers and social media influencers to cover everything about their product in detail. That way, next time someone is interested in buying it, they can find every bit of information online.
- Analyze your finances and expenses
One of the most significant aspects of starting a business is to analyze the finances. There is always a minimum cost of running any business, so you should know how you bring in that money. Most startups take years before they start generating profit. For example, Paytm, one of the biggest e-wallets in India is still not making money. It is still in the phase of generating more revenue every year and reducing its losses.
I am trying to say that the minimum amount of money you need every year to keep your startup active is to be kept in mind. And more importantly, where will you bring that money from? Will it be a bank loan, your savings, income from other sources, investors, or something else? At the same time, it is essential to cut down on expenses as much as possible.
Spending only on stuff that is necessary for the workflow of your company is very important. Research shows that startups generally spend more than required on unnecessary things and then later regret it. Google, one of the biggest tech companies today, started with a single computer and a garage. So, if they could do it, you can too.
These are the most important things to be kept in mind when starting a small business. If you have anything else that you would like to add to the list, let us know in the comments below. And also like and share the article with all aspiring entrepreneurs out there.