These days, it’s easier than ever to launch a business. In fact, anyone with a smartphone and an Internet connection can become an entrepreneur practically overnight, causing many people to underestimate the work that goes into such a venture.
The process of building a startup is intricate and time-consuming, however, and those initial stages are arguably the most important. How you lay the foundations of your business now will affect its future success, so cutting corners will only create more problems down the line. To ensure you get it right first time, here are those vital first steps to take as a new entrepreneur.
Conception
The very first step toward building a startup, and probably one you’ve taken already, is coming up with your business concept. To create a killer elevator pitch, you need to ask yourself these three questions: “What will my business provide,” “What problem will my product or service solve,” and, “What makes my business different from others in the market?”
Market Research
Your next step is to scope out the competition. This is an extensive process, and it’s not something that should be overlooked. To increase your chances of success, you need to understand the market for what you’re selling (whether locally or online) and find out if there is a demand for your offering. Research failed startups in your niche as well as successful ones so you can learn from the mistakes of others.
Funding
If you’re going to start a business, chances are you will need some degree of funding. You may be using personal savings, applying for a bank loan, or you might be approaching a private lender or business partner; but whatever your plan, it needs to be solid. Before you write a business plan or even think about planning your pitch, you must know exactly how much capital you need and where it’s going to come from.
Business Plan
Next, you will write your business plan based on the information you have finalized above. This document is incredibly important, as it will be shown to investors, potential partners, and lenders when you’re trying to get your startup off the ground. Your business plan is a comprehensive document, but it’s not a finished one: you will continually update it as your business grows and adapts.
Insurance
Before you launch your business, you need to make sure it is properly protected. Imagine opening a coffee shop or art gallery, only for the premises to be hit by a natural disaster or fire that same day. Your new enterprise needs to be covered from the very first day of business, and the same goes for any vehicles and equipment you own. For specialist business insurance, visit the Bluedrop Services website.
Hired Help
However limited your funds, you will need to hire an accountant and an attorney to help you set up your business so you can make sure you’re following the law. An accountant will work in conjunction with your lawyer to figure out ownership, tax planning, bookkeeping, and contracts. You don’t necessarily need to have these figures on hand at all times, but they are essential when you’re just starting out.
