Perhaps you are now planning on giving up the rate race and launching your own business but wonder how do I get started from the ground up. If that is the case, here I am bringing a complete guide for you.
Starting a business isn’t all about making yourself economically strong but also generating employment opportunities for others. In other words, you build a legacy and contribute to your society at large.
Here I have outlined a comprehensive guide that intends to help beginners like you start a successful startup right from the scratch:
1. Find a business idea
Every business venture originates from a good idea, a thought or bunch of thoughts with potential to solve a particular problem prevailing in a community. In fact, a good idea is one that will make a difference and can actually be done.
The best way that can help you generate good business ideas is that you should listen, keenly observe and learn the situations that matter to you and to the people in those situations. Learn as much as you can about the situations and the people in them.
2. Evaluate your business idea
Once you have generated a good idea, it is time to screen it. What I mean by screening here is that you should conduct a feasibility study, analyze your business idea for strengths, weaknesses, opportunities & threats and consider your market environment, resources required, etc. Evaluation step will give you an early indication of the possibility of its future success.
3. Capture your business idea
By capturing your chosen business idea means that you should try to find answers to the following list of questions:
- What are your potential customers buying?
- Who is going to buy your product or service?
- How many potential customers?
- Who are your competitors?
- In the next 3, 6, 12 months, what are the milestones to accomplish?
- What will your business look like after 1, 2 years?
- What is the cost to make your product or delivery service?
- How much will you charge to earn a reasonable profit?
4. Write a business plan
A business plan is an essential tool that will enable you to fully think through your mission, objectives, goals, strategy, expenses, hence creating a well thought out long term vision for your business. You should tap into the advice of existing entrepreneurs, consultants, mentors, lawyers, etc. However, you must create a business plan personally.
A business plan provides you a blueprint and manual on translating your idea into a profitable product or service. It also serves as a powerful diagnostic tool in case things go wrong and can be presented to potential investors and banks for funding.
5. Develop a team
Find and develop a team with the right skills and competencies to implement your business idea. When you are done with the hiring of required and right employees, do as following:
- Clarify your business vision and proposed product or service to them.
- Discuss roles, responsibilities, and benefits with each team member.
- Build and ensure trust amongst team members
- Write and offer team contracts that should include employment period, salary, working hours, leave, etc.
6. Register your business
While you act on the step of business registration, make sure you will:
- Choose a good and catchy name for your business
- Pick a form of organizational structure such as sole proprietorship, partnership, private limited company, co-operative, etc.
- Create your business identity such as logo, business card, letterhead, baseline, stationery, etc
- Consider legal aspects like as accounting records, tax, advisers, copyrights, trademarks, patents, website design, and other online contracts.
7. Find a location
Picking a good location for your startup business matters a lot. The place where you will locate and make your business operational is called a business location. While choosing a location, you must make sure that it is:
- Suitable for your type of business
- Accessible to potential customers
- Meets your layout requirements
- Well connected to the transport network
- Availability of basic amenities
- Parking space
- Meets government regulations
- Support future growth
8. Access to finance
Estimate the total amount of capital ( fixed and working capital ) required and then proceed further to identify the source of funding.
Decide on what source of funding you will use whether bootstrapping ( personal funds ), angel investor, bank credit such as loan, overdraft, etc