Starting a business is more complicated than setting up a store front and offering a product or service. Most startups fail withing the first year or two. Those that fail, often fail for very basic reasons. Many of the startups that fail could have succeeded had the owners looked beyond the dream to the reality of not just starting a business, but also knowing how to run a business on a daily basis. Here are four way
s to help businesses not only start, but also succeed.
While having a dream is positive, a potential owner must go beyond an idea. The potential business owner needs to research the idea to see if it has viable market potential. Potential owners need to ask and find the answers to the following questions:
* Is there a large enough market need for my product or services to work?
* Who is the customer base?
* Who else offers this service or product?
* How fierce is the competition?
* How is my approach different or unique?The answer to these questions may mean the idea needs fine-tuning or discarded in favor of another idea. It may mean going ahead full steam or changing the focus. Good research provides a solid foundation on which to start a business.
Create a Business Plan
A business has no orientation without a plan or goals. Startups most likely to succeed create a business plan that incorporates all aspects of the business. This includes business type, finances, marketing and legal issues. A business plan lays down the goals and a practical way to achieve those goals in a reasonable amount of time.
Finances and Marketing
Starting a business means knowing what needs to be done and doing it.
Use all possible resources for funds–personal accounts or home equity, friends, family, banks and more.
Gather enough to run the business for at least a year.
Have a timetable for showing a profit.
Know what your customer base is and how best to reach this base.
Decide if you require the services of an outside marketing service, such as a tech PR firm to make sure the potential base is adequately reached.
Marketing includes word-of-mouth from family and friends, press releases, ads, social media and more.
Make it Legal
Starting a business has legal ramifications that include contracts, taxes and following federal, state and local laws. It also may include certain licenses or certifications. Successful startups cover their basis legally.