We all want to be our own boss, those who have been in a full-time job for years feel the urge even more.
But then, just because you have a boss with whom you cannot get along well is not a good reason to quit. There are several advantages as well of having a job.
With so many frustrations, highs and lows, to deal with in any new business, you need to make sure you are in it for the right reasons, as it helps you carry through the hard times, and deal with the uncertainties.
Before You Start
You really need to have a long-term plan, and money alone should not be an incentive to starting a business.
As far as being the boss is concerned, it’s quite likely that you’ll end up working a lot more, at least till your business settles down, and processes are in place.
Basic Steps to Starting Up a Business
Here’s what you need to do basically (could vary a bit, depending on the country where you’re located):
- Get a Business Name, Select the appropriate type of business (Sole Proprietor, LLC, etc.)
- Get the license number (license to do business)
- Get a Business Address & Phone Number
- Get Business Bank Account & Insurances
- Get Business Cards, Setup website, Start Promoting, & Seek Help
Things to keep in mind:
- Start simple and make changes as & when required.
- You can change name and address as your business grows / evolves, so don’t spend a lot of time on the first step itself.
What Business to Start?
Want suggestions on deciding what type of business to start? Here are some useful ideas on what Business to Start?
You might already have some ideas on what you could probably do, but you also need to ensure that the market offers you sufficient opportunities to grow, and there are takers your your products/services.
Scope for Growth?
Even if you’re passionate about a certain thing, you may not be able to make enough money from it, if there’s NO market for it.
So, ask the following questions:
- Can a new product be introduced in the market?
- Can something, that already exists, be improved further?
- Is the market big enough for you to grow like crazy?
Having said that, its perfectly okay to be content with lesser money, if it offers you peace of mind.
You don’t have to necessarily build the next Facebook or Walmart.
So if you always wanted to start a yoga school, by all means go for it, rather than make something related to real-estate or Forex just because there’s more money to be made!
That’s your call altogether!
Franchise or Independent?
Buying a franchise of a successful company increases your chances of doing well. But it can be expensive (because its proven), and may not give you the control and freedom to do things your way.
An independent business, on the other hand, is something that you start and nurture on your own, as per your ideas. Starting it from home is a good way to keep costs low.
Does it Match your Lifestyle?
Are you an outdoor person, someone who loves to be out of home most of the time? Do you like to haggle? Are you good at bargaining? Do you enjoy meeting & talking to new people?
In that case, something such as a real estate business or Multi-level marketing will suit you well.
On the other hand, if you hate travelling and are happy being on your own, a home based business such as affiliate marketing, playschool, etc. will suit you well.
More Validating Signals
Another way to ascertain if you’ve a viable business idea is to check out some of the best businesses, and see what they have in common.
Usually, you’ll find these traits:
- Skill based
There’ll always be a demand for people who can do things really well. Be it the best tax accountant, car repairer, hair stylist, they’re always in demand.So whatever business you choose, play to your strengths and be the best at what you do.
- Service based
They all have a strong service component at their core (even the product companies). This can be a huge advantage for a small business like yours, over a large faceless corporation. - Low overhead
The best businesses in the world keep their overheads low, for long term success. You should try to leverage the several advantages that the internet offers, to keep the costs down.
You need an idea before you can start working on the detailed blueprint for your business. There are plenty of small businesses, including several home based ones, that you could begin. But its always best to find out if it offers you enough opportunities to grow, and also that the type of business is the right fit for you.
You Need to Make it Work
Setting up the infrastructure for your business is quite easy nowadays, but then your aim should be to make it work.
Here’s what you need to do…
- Shout & Connect
You need to let people know about you and your business. But then you also need to be in a good position to deliver quality products/services.Just promoting your business, without having anything substantial to deliver to your clients, is only going to make them look elsewhere.
On the other hand, having quality products/services, but not doing the right amount of promotion, is not going to help either. People won’t come to know about your products/services.
So you need to do it right!
Also, you also need to connect more with clients, colleagues and business partners to better understand/solve challenges.
- Be Prepared for the Long Haul
When things don’t go as planned, you’re bound to get frustrated and have self-doubts. This is why I said “you need to be in it for the right reasons”.You may have planned for 2-3 years, or even more, depending on what you’re aiming for, but always be prepared for uncertainties.
It’s quite likely that it will take twice as long and probably cost twice as much, as you had thought.
You may discuss your challenges with your mentor/experts for solutions and ideas, but finally it’s you who has to get up and start working on those ideas.Also, be confident but balance it with humility. It helps to talk to other people and get ideas. Remember, you may not always have answers to everything!
- Always See the Bigger Picture
It’s easy to get caught in your daily work related chores, but then you need to remember that though you might be busy, it may not be leading anywhere.So you need to often take a step back, take the time to breathe, and look at the bigger picture.
You not only have to be persistent, but you also need to be much more flexible with your business. It’s almost a given that your business may not grow as you had planned/ expected.
And that is why you need to be flexible with its functioning, but at the same time never lose focus of the bigger picture.
How to Ensure Your New Business Stands Out
Its easy to start a new business/firm, but much more difficult to make a name for your business.
When it comes to business, clients usually prefer to align themselves with those who have the experience, and that usually screams bad news for the new entrants. That’s a harsh reality that most new businesses have to face.
However, there’s a way to overcome this challenge. Here are some tips to stand out from the crowd.
- Start with a Niche/Specialisation
You should ideally attempt to become an expert in a particular industry/niche first. For example, if you live in the Silicon Valley, you can brand yourself as a Startup Lawyer that specializes in corporate legal services. If you’re a fitness trainer, you could focus on specific types of workouts, and so on. If you’re a photographer, you could focus on fashion or wedding or catalogs.As you continue to build your network and share your 30-second elevator pitch, you will slowly start getting more and more clients.
Show Your Customers You Care
Its important to make a name for your business and provide excellent customer service. That type of service where if you were talking over the phone, your client can almost hear you smiling ear-to-ear through the phone.
They key is to keep it consistent. That means, whether they are a potential client or an existing client, they receive the same level of professionalism and service.
It’s one thing to talk up your firm’s customer service, but it’s on a different level if it comes from a completely neutral party. When people talk about your business, it’s sincere, it’s free marketing, and it gives you the chance to attract the highest converting leads there is – referrals.
- Hire a Marketing Firm
As soon as it is possible, hire a marketing firm that will free up your time so you can focus on what you do best – and that is building your business.Build your company on the right foundation. There’s no sense attempting to create your own website, learning new programming languages, attempting to meddle with inbound marketing techniques, and the list goes on. Qualified marketing firms will ensure all of your marketing basis are covered so you can build your company and sustain future growth.
Your marketing firm is your business partner. They will expand your top line sales by widening the client leads funnel. The will predict potential issues you may encounter through the ever-changing Google landscape and tell you how to maneuver around them before it’s too late. They will ensure your website is up-to-date with the latest technologies while providing business strategy on how to further stand out amongst your competitors.
- Always Pursue Excellence
Be the best at what you do and your business will thrive. It’s clear (and proven) that those who pursue excellence will stand out above the competition. In today’s internet age, middle ground doesn’t cut it. Information moves at the speed of light and those who have the information no longer sit at a high advantage. Everything is accessible.
What you have left is a solid work ethic and a pursuance of excellence for you to stand out as a business. So go out there and focus on building your business.
Make your clients happy. Make your colleagues proud. And have your business will stand out in a sea of mediocrity.
3 Tips to Prepare Your Small Business for the Unexpected
Many small businesses operate in a reactive, rather than proactive, mode. Business owners spend so much time putting out fires that setting aside resources to prepare for future fires is usually not an option, but a necessity if you want to be able to refocus your business and achieve greater success. Here are three tips that will help prepare your small business for the unexpected.
Unfortunately, when a business owner is always in “firefighter” mode, it’s impossible to work hard on winning new clients or tackling more lucrative projects. By working with your team to put an infrastructure in place to deal with future issues, you’ll have help in dealing with the issues that emerge each day. Once your team is able to respond to problems without escalating it to you, you’ll be able to gradually shift your focus to building your company. Here are three tips on how you can make that happen.
- Document Processes
As your business’s owner, you likely have a great deal of knowledge that you haven’t shared with your team. They turn to you to resolve various issues, then resume their daily tasks while you work things out. Each new emergency needs immediate attention, so there’s no time to train someone else on how to handle it.On a sheet of paper, scribble down the different fires you’re asked to put out during the day. As time frees up later, quickly document the process you underwent to resolve each of them. Once you have your documentation in place, meet with your team to assign different team members to handle various issues the next time they arise. Promise to be available if they need you, but step away and trust your team members to take care of things.
- Choose an Apprentice
Another option for busy professionals is to choose a trusted team member to serve as an apprentice. Ask that team member to stay close by and note how you handle various issues throughout the day. Gradually you can turn tasks over to that apprentice. You may even designate different employees to learn different tasks and ask them to observe with the intention of eventually taking them over. - Delegate Selectively
Freeing up time for yourself doesn’t mean you have to delegate everything to team members. Choose those items you enjoy doing and delegate the rest. If an employee possesses talents you don’t, train that employee to take over something you feel he might do a better job at than you.
It’s also important to look around and make sure your lack of delegation isn’t an issue of being surrounded by inadequate team members. Poor hiring decisions can haunt a business owner for years, forcing him to continue to bear the brunt of the work while ill-fitting employees sit idly by, collecting a paycheck.
On a regular basis, evaluate your infrastructure and take a close look at the workload. If your team is already overloaded, consider outsourcing some of the more mundane tasks to free up in-house workers to deal with pressing issues on a daily basis. An employee who exists solely to do data entry could be moved into a more challenging position while data entry is outsourced. In-house employees can often be trusted to handle such sensitive issues as client relations and late payments.
Regarding Money
Here are some golden tips:
- Force yourself to think lean and mean from the start!
- Start cultivating financing relationships much before you need the money.
It’s usually observed that whenever there’s a shortage of cash, one starts thinking of innovative ways to save & spend cash; the intelligence around using money starts becoming better.
So don’t wait for that moment when you have little money left , start using your cash judiciously right from the beginning.
Also, its best to start cultivating financing relationships even before you need money. This is because “Bankers only want to lend you money when you don’t need it.”
Recruit the Right People
Depending on your business, you may need to employ people with different skills.
However, when starting out, it’s best to remember this golden advice:
- Hire people who can generate sales for your business
- Hire people those who can free up your time and for others to go out and generate more sales
Don’t Give Up
Most of the time the only reason why people fail with their businesses is because they Quit!
This quote by President Calvin Coolidge sums it up best:
“Nothing in this world can take the place of persistence.
Talent will not; nothing is more common than unsuccessful people with talent.
Genius will not; unrewarded genius is almost a proverb.
Education will not; the world is full of educated failures.
Persistence and determination alone are omnipotent.”
To Conclude
As you can see, setting up the business is the easy part; you need to do a few formalities and in a few weeks your business should be up and running. It’s the “making-it-work” part which can take a very long time!
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