Opening a business is a gradual process. You’ll never finish learning all the secrets before you start.
You need to make smart decisions at the early stage if you’re going to stand a chance in the long run.
Use these ideas to establish some form of confidence and comfort in yourself before you embark on that business journey.
Never Make Excuses
Business is a risk. It is common for people to cite different examples of businesses that have failed as reasons for not starting theirs. Thinking about risk and failure is a fear you must be ready to kick out if you’re sure of what you saw when the business idea first flashed through your mind.
You must not entertain such fear if you dream of becoming an entrepreneur.
Yes, new business owners have little or no idea of their chances of success, but taking that as an excuse to not start will never help you discover that entrepreneurial part of you.
Note Down Everything
Friends, family, and experts around you will always have something to say. Some will speak encouragingly and others, discouragingly. Keep your mind open. To be a successful entrepreneur, you must be keen to learn something new; something that will spark up more creativity.
Write down ideas and useful comments as often as possible. They will help you develop a more detailed plan.
What did your friends and family say or how did they react when you told them about your startup? Check their body language. See what the majority are saying.
Do you think they like the idea? Or do you notice they’re just being nice and giving some nods when in reality they think you’re making a terrible move?
Try to get them to be honest with you. Remember that the opinion of the majority of your friends and family could be a reflection of how consumers will react.
Assuming you shared with them, for instance, that that carwash business you’re starting will not only be keeping a vehicle clean but will also be for fixing minor faults and recommending seasoned professionals to handle other complex issues, be sure to get critical comments in terms of what is obtainable from them.
Meet experts and veteran business owners too; especially those in your line of work. They know and will definitely share with you what works.
Intelligent entrepreneurs always learn from the mistakes other businesses have made.
Bring A Solution
Is your business idea one that is bringing a difference or is it like what every other person is doing?
You need to think first about a new thing that your business will be bringing to the table.
It will be a quicker and easier approach to grow a strong customer base if you’re able to provide an extra feature no matter how little that will fill a gap or solve a problem.
Taking the carwash business as an example, you brought up the idea of fixing minor faults. This is a form of a new solution since a carwash is ideally only expected to wash the car thoroughly and nothing more.
You won’t be paid for doing those extra services. But since that is what you would be wanting to use as a booster for your business, do it.
The minor faults could be uneven air pressure in the tyres or loosened bolts. When you fix those faults in the presence of the customer, it will seal his love for your carwash. He doesn’t have to take his car to the vulcanizer again, and you have saved him the extra cost, time, and effort.
In like manner, when you recommend a professional for a major fault like engine overheating or brake issues, you’re definitely making yourself a good name.
You need to keep conscious of what problems your target customers are currently facing and how you can use them as your edge.
Make Sure It’s Not Complex
As a new business, make spendings as minimal as possible. Limit the scope of the business as much as possible to something you can conveniently handle. Try to test your business idea.
You can still create or offer a simple but quality good or service.
To be successful in your business, you know you should fulfill your promises to your customers and even exceed their expectations. Do it.
Any unnecessary feature that can mostly add to your expenditure and give little or no returns must be forfeited.
Be Financially Able
As you work on your business idea, you must factor in every business expense that will be involved both before and after it has been launched. The cost of finding a suitable location, rent fees, cost of getting raw materials, and the cost of marketing must all be added up to give you a roughly perfect idea of how much you may have to spend.
But don’t stop there.
You may need to take that total cost and triple it. Yes, you have to prepare for three times that cost and have it handy for unforeseen circumstances that may require extra costs. Such cases are common in startups.
You’ll find that the actual cost of running a business often exceeds the initial budget.
It’s therefore advisable to be more over-prepared than to be short on funds during the course of the business.
Did you know that your personal living budget must be worked into the business cost?
You don’t think you will live like a robot because you want to run a business. Your own life continues alongside your business.
You must calculate your living costs including your rent, food, healthcare, water, electricity, and gas, and slot the rough total into your business costs.
Once you are done, you may find that the overall business budget now exceeds what you may be able to comfortably finance. At that juncture, consider getting a loan. You need to have an easy flow of capital during the course of the business.
It is never advisable to put all of your personal money into the business except there are no other options.
As your business starts to pick up, keep your passion and energy to remain afloat.