10 Steps for Successful Business Alignment
| ONE | TO | TEN | STEPS |
How to Start a Business
“Accessing capital to start a business can be a daunting process, especially for entrepreneurs who start out with a great idea but have no real familiarity with the business world.” –Gavin Newsom, lieutenant governor of California
- Starting a Business Guide
Creating or Starting any business is a multi-tiered step process that will give you that overwhelming feeling, especially if starting out on your own, but, with good relevant research and guidance the process is less daunting even inspiring, trust me on that. Whether this moment you are involved in permits licenses or registration of the business,
Consideration in drafting a clear business plan is crucial, to begin with, The Biggest worry comes from deliberating how to go about securing funding.
Some or all items listed below will give you strong insight and advice on what’s needed, and what to look out for from the very beginning, so Let’s review them.
Personal Groundwork for Starting a Business
The first port of call is to Conduct a SWOT Test
SWOT simply stands for Strengths, Weaknesses, Opportunities, and Threats. its a measure of where you are and what to do to improve those results
Crucial Questions and Honest Answers
- What are the risks involved?
- Are the family together on this
- What funding resources if any
- Your strengths to utilize in the business
- Appreciate the Change from employed to self-employed status
- How to Building skills and your network
- Validating The idea and Planning {figuring out which ideas are worth spending your money time},
- Testing if your idea for a business is worth pursuing
1~Market Research and Knowing Your Potential customers
Planning, understanding, and execution will be your driving force, time and awareness of your particular business is essential, so take the time to jot down ideas and collaborate with your partner if possible 2 heads are better than one for new ideas and ways to move forward
- How Real is Your Business Idea:
Essentially the best time to test your clarity and idea is a short self Q &A perhaps a 1-minute brief talk think of it as a speech to convince others [your partner of its value and validity]
He or she can also do the same to reinforce views and goals
- What’s Your Solution to a Buyer’s Problem
Keep it Simplified [KISS] As a business your key is to solve a problem, It’s the only reason any customer will buy into your product or services.
- What need does a buyer have, that your company is able to fulfill effectively?
- Their problem needs a fix, what does your product or service provider as a solution
2~Who or What is Your Target Market?
Now you understand the problem your business is able to fix, you’re well-equipped and able to answer the question.
- Identifying Commonality in Target Market
When you consider customers coming to buy your products or services, what do they have in common?
- Is it Their income level?
- Their geographic location?
- Their particular type of need?
Realize this and you have found your niche/ target market.
With identifying your target market, what’s the present state of the economy that is affecting them.
- Do You Have an Estimated Plan
What level or reach to estimate customers your business could acquire online?
What’s the Estimated spending on average per annual buying your products or services?
- Market Research
Delve into some market research to better gauge, and understand if a sustainable or relevant market exists where people will pay for what you have to offer.
3~Your Competitors
What are they charging, value-added benefits, delivery work hours
Finding out potential customers’ thoughts on your solution?
Use family and friends first if not [Social media or Forums to get feedback on your product or service] their feedback is well worth the effort
Some short Q&A’s, on how often they buy items similar to yours, are they satisfied with those products are they getting value for their money?
This gives you good usable Intel to consider your target market and how much potential income they represent.
4~Sales Forecast
Create one to guide and educate you in this new arena, utilize your target markets research previously, Valuable data there will help to build a simple sales forecast.
Any open source or free spreadsheet program, even premium or discounted business planning software can make this process faster. Of course, keeping overheads to a minimum is essential at this stage.
- Some Simple Number Crunching
You’re learning and appreciating the fundamentals of financial cost and benefit, CBA, ( Cost-benefit analysis ) an insight picture of the business you are getting into.
Don’t be intimidated with this system just a Basic financial feasibility forecast for your business, it’s a straightforward enough process. Not certified Auditor level stuff at all,
- Start-up Costs Rough Estimation
Now, make a list of all the one-time expenses you’ll have in order to start this business. Will you need to buy or lease a physical location?
- Hire a website developer?
- Buy any special tools or equipment?
Start with a big brainstorming list, and then narrow that to what will be essential for your company’s first day of business.
Don’t forget additional costs like legal fees to set up your company’s business structure, professional licensing, or franchise fees.
- Simple Budget for Expense
Next, make a list of the ongoing expenses your business will incur. Will you make monthly payments?
- Utilities?
- Business insurance?
- Supplies?
Perhaps not staff at this early stage.
Advice: brainstorming with a partner, narrowing down the list to absolute essentials. Create rough estimates, based on your online research, and own experiences on item costs per month. (CPM)
It’s not an exact science but it goes a long way to bring clarity to your budgeting
In this Situation, by Putting you in Control you’re nearer now than ever to have a solid business plan
5~Why a Break-Even Analysis?
How many sales are required in order to support and cover the monthly costs? This important early analysis is the backbone to calibrating your forecast honestly. And offer you smarter views on
How much should be expected to ‘break-even”—to cover your expenses?
6~What Funding?
Now that you have a better picture of how much cash, you’ll need to get this business started, it’s time to start considering your funding options.
Start with your own available funds—do you have savings to readily put into this kitty, to invest, or cash you can liquidate soon?
Review and Learn about business lending requirements from your local banks. Check out small business venues or discussions in your vicinity. As a small business, you may even be eligible for support from banks, who may offer low or no Fees for the Loan or advance for a 2 or 3-year period, (UK) Also providing you with invaluable managed advice from a specialized team.
- Also, It is highly likely from the government?
Credit or Your Self Supporting Business?
In the majority of cases, many people are not in a position to resourcing their funds to starting up a business, if they did they more likely have a 6 month to 12-month reserve savings.
It is suggested from market research that business in the first 2 years of start-ups, don’t see a return profit in that period, so be prepared for this possibility, but returns are inevitable for your planning and efforts thereafter.
If you are to engage in loans from banks you should prepare a business plan, or it is unlikely you will be successful in acquiring a business loan. Everyone wants collateral of one kind or another.
If possible seek assistance from family or good friends until you establish and make money
7~UVP- Unique Value Proposition
- This is where your marketing efforts are rewarded, why?
- Your Research and groundwork identified:
- The Buyer’s problem,
- Your solution,
- Your target Business market.
Most importantly you are geared up and ready with information to put to good use.
Knowledge is power and your deliberations in your markets research is the confidence and know-how you needed.
- Summarizing
Your Summary of information is pretty much holistic now, so the correlation of your new-found knowledge can be transferred to a user-friendly statement describing:
- how your business differs from the competition,
- why it’s value and quality is the obvious choice for your target customers.
This way you introduce the product or service for a response to its worthiness and customer interests.
- Light at the End of the Tunnel
Your road is looking less bumpy and it gets easier from here
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8~A Presentable Business Name [official]
Remember UVP, Serious decisions are needed when naming the business, A crucial aspect is obvious but needs to be asked:
- Your Business name must communicate your unique value and passion?
Company house [UK] or similar Government Establishments in your country can validate what’s available and safe, you don’t want to be caught in litigation for copyright or infringement of Company name right?
- Create Your Unique Logo or Icon
This is the icing on the proverbial cake Don’t rush this process, if possible find a professional to create one for you in a jiffy.
This can be added as you develop the business, researching or asking on Social media for opinions may be a good way to connect with private designers at a lower fee.
Even give you some ideas on what exactly you may need. You would engage in conversation on your ideas and solicit ideas and opinions on what ”impression” you wish to imbue to potential customers via this piece of real estate.
Your Logo is a piece of REAL ESTATE representation of your Company and its mission statement, so you need to get it right the first time.
- What is MVP
Known as a ”Minim Viable Product” this acronym signifies a basic form of your working product or service that can be offered to sale
This Idea is specifically intended for start-up companies, entrepreneurs, and individual starters with a low budget intro into that market, keeping costs low, but delivering a working model edition to customers on a trial basis, create a simpler, an easier-to-launch version that demonstrates the product capability or value you bring to your target market.
9~Your Website ‘ONLINE’ Market Place Presence
Your website – your ”online” real-estate
Choose your provider from: / free offer choice, / full support/ Premium/ managed/ or simple Off the shelf Types
#A Complete Guide to Creating and Building your First Real ”Baby” Website (REVIEW LINK)
To set up a Website the following are a Must, some companies will offer packages for all others will do some aspects singularly and better, not all services are ”in-house” they may be via another party.
To keep things clean, easy, and simple I would suggest a single company that offers most if not all marketing aspects in supporting your new baby, you’re a new parent and you need all the help you can get from professionals who know the ropes, yet offer reasonable prices to achieve it.
- Domain and Name
- Hosting Company
- Emailing transponder
10~Branding:
Branding is Super- important so research this the most it’s going to make or break your company in many ways if not well-thought-out and decided on.
The essence of your ideals your values and your influence is all depicted in this choice you’re going to make.
An Official Listed Business
- You need a business license, and the required paperwork to establish your legal business entity. Is the Company a partnership, LLC, Sole trading?
- licenses or permits to conduct a business?
- A business tax ID number / EIN.
Set up Your Accounting Software
It may not seem important at this stage, but in the long run, it will remove headaches, So Let’s consider, Why keeping your books using accounting software rather than in Excel spreadsheets
- Firstly, reduce the amount of time spent doing data entry
- You will be able to scale upwards easier and be clearer, not messier
- Your mental awareness, attitude, and confidence increases as you develop in different aspects of your business
This article is designed to offer genuine tips and insight on how to start a business from scratch, honest prerequisites needed to succeed in your line of business start-up.
CHRISTOPHER