How To Start A Business

Guide To Getting Your Business Off The Ground

It takes a huge commitment and a lot of determination to start your own business. Many entrepreneurs fail before they even officially launch their companies – mostly because they have not thought out the steps necessary to get from the initial concept to realized business, and beyond to success.

Some will say you have to fail in order to succeed, but it is best to be as fully prepared as you can be when taking on the task of launching a new business. That is why we have created this resource to help educate entrepreneurs interested in starting a business and providing them with insights on some of the strategies needed to be successful.

How Do You Start A Business?

Regardless of industry, starting a business follows a fairly universal procedure. It begins with a concept, which is expanded upon in the form of an official business plan. From there, entrepreneurs must register their company names and get a federal tax identification number. After that, business owners must find sources of financing to successfully launch and sustain their operations.

Is There A Need Or Desire For what You Are Offering?

Every year, people start businesses all over the country, only to have them fold shortly after launching. One of the main reasons for this is the lack of market research. For a business to succeed, there has to be a viable need or want for the products or services offered by a company. Entrepreneurs must look outside of their great ideas and research what products and services are currently available, and if they line up with your business idea. Additionally, it helps to do market research to see if people are interested in what the business is going to offer. Some entrepreneurs put together focus groups or online surveys to hone in on potential customer responsiveness and price points.

What Sets Your Business Apart From The Competition?

Some people will start a business geared toward a specific niche in a larger industry. The reason for this is to not only reduce the amount of competition but to also stand out to the target client base. For example, there was a time when bookstores did not have much that differentiates them from one another. They all sold new releases, and the competition to offer the best prices to customers did not leave much of a profit margin. Suddenly, there was a push to one-up the competition by offering “more than just books.” Almost overnight, bookstores started to incorporate cafes, music, movies, and other items to differentiate themselves. Unfortunately, almost every bookstore had the same strategy, and it did not take long until they were all on the same page once again. In the meantime, smaller bookstores realized that by specializing in different areas, such are antique books, rare editions, local history and the like, appealed to people more than the larger book vendors, who found themselves losing out major online stores and the consumer switch to e-books. Instead of trying to keep up with the competition, figure out what sets your products and services apart from other companies, and start a business with a unique offering that allows you to carve out a niche in your industry.

How Big Do You Want To Be?

Starting a business requires entrepreneurs to have a vision. How big you want to be, needs to be thought about on two levels. First, how large of an operation are you comfortable with? Does your business require a sizable workforce, or is it designed for an agile and lean team of experts? Second, how big of an impact do you want to have in your industry, and how much territory do you want to cover? All emerging entrepreneurs should have growth goals in mind before launching. This does not mean that businesses need to adhere to the road map to meet those goals. However, it is wise to have a general plan for growth. Real world situations can delay business growth, or it can propel entrepreneurs into growing pains well ahead of schedule. This brings us to the next important step in starting a business.