Startup culture is notoriously competitive, driving up-and-coming business owners to put their blood, sweat and tears into their companies by any means necessary.
And while this sort of “grind” mentality might be appealing to go-getters, it can also be quite toxic.
Think about it. Obsession over launch hype, all-nighters and attending conferences is no replacement for what really matters when it comes to your startup.
That is, getting down to business.
So much of the long-term success of a startup is based on its foundation. While there are plenty of “shiny new toys” in the startup space, it’s important to stay grounded and focus on the principles of any viable business before getting too obsessed with the grind.
That’s exactly why we’ve put together this list of must-do’s for startups in their infant stages. Ensuring that you have these boxes ticked will not only help you avoid the hype that sinks so many would-be success stories, but also makes it much easier to get your company off the ground.
1. Seek Legal Counsel ASAP.
From accounting questions and structuring to dealing with intellectual property, speaking to someone with serious legal expertise is a solid place to start before getting too ‘into the weeds” of doing business. After all, shaky legal advice can land you in major hot water, including potential suits and fines.
Worrying about legal what-if’s is likewise incredibly stressful. Rather than have second thoughts, seek advice ASAP so you can focus on your strengths and doing business. If you don’t have any referrals or are on a tight budget, consider how services such as LegalZoom can help you navigate the world of startup legalese.
2. Do Your Due Diligence
Doing your homework on your competition is essential to making any sort of significant marketing or positioning decisions. Some key questions you need to be able to answer include…
- Who are the closest competitors in your space (as well as the biggest players)
- What is your unique selling proposition
- How do you plan on pricing your services (and how does that pricing compare to your market at large)
To get the full scoop on all of the above, you may need to purchase some product demos or go through a trial to get a true 360-degree experience of your competitors and target customers alike.
Bear in mind that conducting comprehensive competitive analysis means being objective. In other words, you can’t knock or discount your competitor for petty reasons (think: a goofy slogan or marketing). If they’re moving products and have a significant following, you need to look at why by the numbers rather than remain cynical.
3. Figure Out Your Budget.
Unless you have some serious startup capital, chances are you’re going to want to bootstrap as much as you possibly can. Understand the bare minimum you need in order to do business based on the numbers before needlessly driving yourself into debt with expenses.
Creating a first-time business budget can be tough when you’re first starting out, but a ballpark figure is better than nothing.
4. Consider Your Team.
Ask yourself: what positions are absolutely necessary for your startup and what can be outsourced? If you’re working among friends and former colleagues, you have the luxury of paying yourself a reasonable salary and putting in the initial hours to get yourself off the ground. For external hires, you may not be so lucky.
That’s why it makes sense to outsource certain tasks to freelancers or remote workers that can do contract labor. Tasks such as marketing, freelancing, link-building and many others do not necessarily require full-time talent. Given the current gig economy, finding freelance talent is arguably easier than ever.
5. Map Out Your Marketing Plan.
On a related note about marketing, though, you should put together some sort of long-term goals in terms of content, advertising and social media. Building up an organic presence is a good start, as is publishing your own educational materials for the search of influence and SEO. There are likewise tons of CRM, social media, email and analytics tools if you’re strapped for cash.
6. Determine What You’re Going to Sell.
This might seem like a no-brainer, but you might be surprised at how many people go to market without a product that’s 100% ready-to-sell. In this case, it might make more sense to sell your services (think: consulting or labor) as opposed to a physical or digital product. If you go this route, you can always develop a product in due time once you’re profitable and have a client base.
Surviving as a startup isn’t just about looking the part, but rather going through the time-tested steps of setting up a viable business. If you’ve taken care of these pointers with a sense of confidence, chances are you’re golden.
