As I’m sure you all can guess, staring a business requires the owner to address dozens of issues. Luckily, having a to-do list can omit a ton of issues. If you don’t know where to start, consider the tips below.
These tips will help you launch your business successfully!
Make Sure You’re Solving A Problem
On a basic level, you need to think carefully about your product or service. What problem does your product or service solve for the customer? Do clients believe that the problem requires an urgent solution? How much is the customer willing to pay for your solution?
Say, for example, that you manufacture sporting goods. Runners tell you that they need a sturdy, waterproof device to carry a mobile phone while they run. They’d like to strap the device to their forearm, so the phone doesn’t bounce around in a pocket.
You survey your customer base and find that many runners want a solution for this problem. You can design a product to solve the problem and find out how much your clients are willing to pay.
Find Tech Tools to Save Time
New technology makes operating your business much easier. You can use tech tools to save time and operate efficiently. Here are some examples:
· E-signature apps: CudaSign.com explains that you can send documents and can get signatures electronically using software tools. Once the individual signs the document, the completed form can be sent to everyone who needs it by email. This eliminates the need to fax or mail documents. You also sharply reduce the amount of paperwork you need to file.
· Online publishing for websites: Your website is a critical tool to successfully market your business. Fortunately, your can find online publishing tools to build your site. WordPress allows you to choose from hundreds of templates for your website. You can pick a template and add images and text without any programming knowledge.
· Accounting tools: As your grow your business, the number of transactions you process will increase. Every sale, for example, will require an accounting entry. QuickBooks is a great accounting tool to manage your transactions. You can quickly learn how to post accounting activity. QuickBooks also lets you print dozens of useful financial reports.
Using technology can help you manage your business growth and keep your expenses under control.
A Business Plan
Once you’ve identified the problem that your product solves, you can use that knowledge to write a business plan. This plan helps you think through all of the issues you may face in your business. Here are some key components for your business plan:
· Market research: You’ve determined that your running customers are interested in the new product. Do research to determine how many runners in the U.S. might buy your product. Assume that, nationwide, 5 million serious runners might consider buying. Of that 5 million, what percentage do you think you could attract?
· Revenue estimate: After you do your research, you can start to pin down an estimate of your sales (revenue). If you believe you can attract 10% of the serious runners, for example, you would have 500,000 customers. If your device sold for $10, your revenue would be $5,000,000.
· Income statement, cash flow: Now that you’ve estimated revenue, calculate the cost of producing and marketing 500,000 units of your product. You use the revenue and your costs to create an income statement. This statement documents your revenue, expenses and profit. You should also project your cash inflows and outflows for the business.
A new business owner has a number of issues to address. If you need some direction, start by answering these questions. These answers can help your business get off the ground.