Launching a new business is one of life’s most exciting pursuits. The culmination of ideas and years of hard work are finally paying off. You’ve got a world-changing idea and a business plan in hand, ready to rock the planet. Most budding entrepreneurs want to jump straight into their new business. They’ll get started immediately and put themselves out there for all to see.
Just hold up there a second. Remember that many businesses fail within their first year. The reason for this is a complete lack of planning. A good business requires serious forethought. It involves problem solving before you even get started. We’ve compiled a list of questions to ask yourself before you jump into your new business.
When you can answer each of these with confidence, you’re ready to go.
Why am I doing this?
This question trips up many of the best entrepreneurs. It’s a simple question but the answer should sum up the mission statement of your business. A great startup will only survive with passion and dedication. Pure love, ambition and drive should be what gets you out of bed in the morning. It’s a belief that your new idea could change the world or alter the way people think. It should be the belief that your product will make a difference. That’s what will get you through the difficult early stages.
Is my business actually unique?
You don’t necessarily need that world-changing idea right at the start. In all possibility, it will take a while to develop. Most businesses take trial and error to find the true use of their product and services. However, you do need a unique selling point to break through the noise. You need a name, a story and a personality. Start by doing an ASIC company name search with InfoTrack. Make a list of your competitors and highlight where you fit in between them. What makes you different?
Who can I ask for advice and guidance?
Very few businesses survive at the command of one person alone. The best entrepreneurs know that they must surround themselves with the skills they lack. Do you have a finance genius you can turn to for budgets? Is there an expert in your field and a marketing guru? Do you have a personal confidante who will listen to your ideas and give honest feedback? Before you jump into your business, seek advice from professionals.
Where is the money coming from?
The bane of every entrepreneur’s life is the balance sheet. Particularly in the early days, money will be very tight and you’ll need a firm grasp on it. Before you launch, make sure you have a strong budget built into the business plan. How will you fund the initial product and marketing?
Once you’ve caught the eye of investors, they are looking for one thing: return. You need a firm plan for how your business will make profit in the future. Think about that before you even start.
If you’ve answered each of these questions with confidence, you’re ready to take on the world!
