Introduction to Build A Successful Startup
Since the COVID-19 pandemic outbreak, people need to readjust their career goals and learn how to work from home. Some people don’t have that option, though, and are unemployed and trying to figure out their next move. The best next move just might be starting a business.
Starting a new business requires ingenuity, creativity, and abstract thinking. If you have these qualities, your answer to financial survival might be starting a business.
However, what kind of business should you start? You cannot create something in which you do not know. Start by thinking about things you enjoy or have an interest in. If you start with this, you are less likely to get bored and give up. Having enthusiasm for a business is ¾ the way to it being successful.
Building a successful startup takes organization and planning. You can’t just decide to open a business without a plan. That plan starts with your idea, progresses into a formal, written business plan, and is then implemented using sales and marketing techniques, such as networking. So, here it is — your plan on how to build a successful startup.
Write a Business Plan
You have a business idea. Now, let’s make your idea grow into a business plan. A well-thought-out and organized plan will keep you on track when building your startup.
A business plan is your plan of action. It should be structured yet flexible. Anticipate the need for changes, as they will occur. It’s those unexpected, yet mind-blowing ideas that make the changes that will, in turn, build a successful startup.
In a business world where 90 per cent
of startups fail, writing a business plan is essential to growing your idea into a successful business.
Stay Protected with a Business Entity
You want to make sure everything is in writing — contracts, company registration, financial reports — anything about your business. By protecting your business with a business entity, you protect your assets. Without one, you are putting yourself at risk.
It is a simple process to establish a business entity. Try online with Your Company Formations Ltd. They can help with all of the paperwork necessary to start and run a successful business.
An added note: It is best to have a company complete your business’ paperwork. The legalization can be interpreted by them properly so that you do not get into something above your head.
Open Doors by Networking
To ensure a successful business venture, one key thing you should do is the network. Having the right people in your business and social circle is essential to achieving growth in your business. It is through networking that you will find your mentors and business partners.
Top 5 Places to Network
Networking can be just as hard as it is fun. You get to meet new people, learn new ideas, and meet the competition. Networking can give you an edge. Here are the top five places you should network:
- Chamber of Commerce Business After Hours
- A networking club or business organization
- A class
- A civic organization, i.e., Rotary, Kiwanis, Elks, Moose, Lions
- A charity event
Always be sure to have plenty of business cards on hand. Be your social best and you will find like-minded people who can help grow your business.
Keep One Step Ahead of Everyone Else
This is where you do your research. You need to know everything you can about digital marketing trends and information about your competitors. You want to know things before they happen.
To keep up with the latest marketing trends, a good place to start is by reading blogs, talking to trendsetters, and looking at statistics. Having the knowledge you need will give you the confidence you need to build a successful startup.
Be the Expert
If you’re going to run a business selling beauty products, you better know a lot about beauty. You simply cannot run a business without having the best knowledge of the product or service.
To become an expert, you can take a class, research, and even talk to your competitors. You can learn a lot from a simple conversation. Go with a business that you have an interest in or have knowledge. It is best to know what you are getting into before you do.
Be Patient with Fundraising
Fundraising can be the hardest challenge when it comes to growing a startup. It takes knowing who you can trust, knowledge of numbers, and patience. Not everyone is going to think your idea is great. You have to surround yourself with business partners who are like-minded and have the same enthusiasm in your business as you do.
Develop a Work/Life Balance
When starting a business, it is easy to be inundated with work. You need to take time for yourself and step away from your business. Stepping away will give you a new perspective and will help launch new ideas that will further the growth of your business.
Must read: other Business ideas
How to Prevent a Startup Failure
Many statistics are indicating that new businesses are highly subjected to failure, including:
- 75 per cent of venture-backed startups fail.
- Under 50 per cent of businesses last until their fifth year.
- 33 per cent of startups make it to 10 years.
- Only 40 per cent of startups make a profit.
- 82 per cent of failed businesses have cash flow problems.
- The information industry has the highest failure rate (63 per cent).
To prevent this from happening to your business, follow the top seven tips listed above. Your step-by-step plan of action will help start, run, and grow your business into a success. Here are some key things you should know to help avoid a failing business:
- Do your market research.
- Create a solid business plan.
- Manage your finances.
- Hire a good team.
- Develop a marketing plan.
- Manage your risks.
Starting your own business can be daunting. However, in today’s COVID-19 world, it is essential to develop a career or business that will sustain through this health crisis. Being creative and knowing which direction you want to go will be your step ahead of everyone else.