It is a step that more and more people seem to be taking, but don’t be misguided into thinking that starting your own business is easy.
On the contrary, it’s never been more difficult. Sure, the power of the internet means that you could effectively start a business up from your bedroom in record speeds, but making this successful has, and always will be, almightily difficult.
The purpose of today’s article isn’t to replace Forbes or another specialist business publication, but instead to provide some hard and fast tips on what to look out for when you start your business. We won’t overload you with suggestions, but keep in mind the following four and you’ll do the chances of success the power of good.
Keep an eye on cashflow
The C-word is one of the most crucial elements of a business, but one that so many people forget and ultimately, fall victim to.
In short, you might be doing a grand job of drumming up custom, but if the money isn’t subsequently flowing in you are going to be in all sorts of trouble. Make sure your payment terms are strict and suppliers aren’t taking advantage.
Make sure you have the infrastructure to start with
We spoke about bedroom businesses in our introduction to today’s guide, but in reality you need to be more prepared for this. Sure, bedrooms might satisfy some types of businesses, but particularly if you are selling physical products or entertaining clients you will need some sort of infrastructure.
In relation to the former, this might be Safestore storage lockups for the stock that you are holding. Or, if you are more of a service-led business, perhaps you’ll need an office to receive clients. Regardless, infrastructure can be important, and without it your business might be on a hiding to nothing.
(This includes your own personal infrastructure)
When we talk about infrastructure, it can sometimes relate to your own conditions as well. Sure, having an office and storage space is essential, but you also need means to afford this.
This is why it is crucial to have the financial and emotional support before launching your business. In relation to finances, try and ensure that your own personal bank account has enough money in it so you don’t feel the pressure to build profits from day one. A lot of people suggest that you should build this emergency fund up to six months’ worth of expenses (although we would say the longer the better). Then, when it comes to the emotional factors, make sure your family are on board. This will be a testing time, and you’ll need their support for the longer hours if you are going to succeed.
Avoid the build it and they will come philosophy
Finally, a lot of people enter business and think that because they have taken this giant first step, a boatload of new customers are set to arrive.
As it turns out, without a proper marketing plan, this just isn’t going to happen. Even if you have a physical store, you’ll need to tell people that you have launched – they won’t just stumble upon it unless you have placed it in a ridiculously high footfall area.