10 Things To Know Before You Start A Business

10 Things To Know Before You Start A Business

Starting your business in a crisis may seem counter-intuitive. While economic uncertainty is never a desirable situation, just like what we are now experiencing with COVID-19. However, some of the world’s greatest businesses have started during a crisis, downturn or recession.

If you’ve got the tenacity and motivation to make it happen, a downturn is a great time to shed the corporate lackey life and go to work for yourself.

Here are a few things you need to know before diving in.

#1. Find Your Niche.

There are times when no matter how much you try; things just don’t work out because market conditions are not in your favour. Occasionally the difference between success and failure can be just choosing the right business for you. For example, the airline industry in most countries has a profit margin of less than 2% and many airlines even though they are run by competent people don’t make profits.

2. Do Something You Know

If you want to start a profitable business but have no experience in the field you are entering into; then you have a steep learning curve to climb. Although this can be done, people with knowledge will most likely succeed more than you. If you need the specific knowledge then acquire it via training or get someone who has the experience to help you with it.

3. Do Something You Enjoy

As it’s of no use to start running a business you hate.

4. Get A Business Plan Sorted

Many believe these are a waste of time; even if you have run successful businesses.

Having a simple spreadsheet can show how the business will grow in terms of sales and all your expenses coming in will show the cold light of reality. It will also show how much money you will need to fund the initial start-up phase.

5. Research Your Market

This means customers. It’s those people who are going to invest in your products and services. Just imagine your typical customer, where they are based, their income and also their age. Why on earth will they buy from you and not one of your main competitors?.

 

6. Focus On People And Their Needs

Business is all about people. You can’t do everything all by yourself. Focus on people, invest in their training, understand their needs and compensate them adequately. They may or may not stay with you, but it’s essential to continually train them.

 

7. Set It Up And They Will Not Come

Many people believe just because they develop a business then customers will be falling over themselves to buy their products but if no one knows about you then you’ll have none.

If you are good at marketing then you’ll have no problems but most people don’t have these skills so get professional advice if you can or ask others how to get customers to your business.

 

8. Have An End Goal In Mind

Whatever that may be to you. Is it simply to succeed with your dream or goal so your business is in effect a hobby. Will it eventually provide for you and your family?. Whatever the goal keep that in mind and strive towards it.

 

9. How Many Customers Do You Need?

To meet all your profit projections? Once you have your business plan ready; break it down so you know just how many sales you need. Sales per day to meet your weekly, monthly or even your yearly profit projections. You’ll then know instantly if you are ahead or behind.

You can easily put a spreadsheet together to calculate sales and costs. You can do this on a weekly basis then you can make adjustments if things are not quite going according to plan.

 

10. Find A Good Mentor

Having a good mentor is just like parental guidance. You want someone to hold you accountable for your needs and to provide guidance through your entire journey.

But choose your own mentor wisely. It should preferably be someone who has a strong track record of success in business. That also includes someone who believes in your idea and is willing to give you honest feedback without the worry of protecting your feelings.

Find a mentor on www.BiiZBoX.com

Conclusion

Starting a business can be really exciting, but it’s important to do your homework. Take measured and meticulous steps. Start small and take incremental steps one day at a time to help achieve your goals.