It’s not easy to set up your own business and make it into a success. If you succeed, it can be great, but there are a whole host of factors to take into account before you can reach that stage. So if you are thinking about taking your passion and turning it into a business you can actually make a living from. Here are 8 vital factors you will need to take into account.
Create a clear plan of action
It’s easy to dream about starting your own business, but it’s another thing altogether to actually plan for it. Think about what sets your business idea apart from what is already out there, and who our customers are likely to be. Crucially, you should also consider whether you’re likely to actually make any money from it.
No matter how experienced you feel you are, it’s practically impossible to get a business started without help and advice. If you are lucky enough to know somebody who works in the industry you are interested in, be sure to pick their brains for tips you probably wouldn’t have thought of on your own.
Ask yourself the hard questions
This early stage is the right time to ask yourself the really important questions. Namely, are you passionate enough about your business idea to really dedicate your time and effort to it? A successful business requires a lot in terms of work, time and money, so are you committed enough?
Do your research
If you are going to find success in your industry, you first need to get to know the industry. Aim to clearly define your market and then identify other businesses who are in that market. Who is their target audience and what are they doing to connect with them?
Create a business plan
So you’ve spent quite a chunk of time gathering information, questioning your idea, and seeking advice, which means it’s time to create a business plan. Your business plan should ideally begin with an assessment of the funding you will need to get things started. This can even include the aspect of securing a bridge loan from one of the reputed hard money lenders. This is so that you cover startup costs until you can secure more permanent financing. The plan can be extended on to discuss your short-term and long-term business goals. While short-term goals can include launching an e-store, if you have only been operating in a physical location, long-term goals can be something like expanding the business overseas. Remember, this can be altered as your business evolves.
Get some feedback
Once you’ve created your business plan, get it checked over by your ‘inner circle’ – those people who know about your business ideas and support you but also aren’t afraid to share opinions that you trust. This doesn’t mean people who are just going to say yes to everything. Those people are great for our egos but not necessarily for our long-term success. Positive feedback is pleasant, but constructive criticism is what is actually going to improve your business plan. Furthermore, you can join a business community or successful mastermind group to assist you in networking and provide you with the necessary insight in business planning, administration, financing, etc.
Revise your plan
Use the feedback you collect to revise your business plan. This means reworking some sections, adding others, trimming the fat, moving things around and clarifying anything which isn’t 100% clear. It’s difficult to say when a business plan is truly done, but as long as you have a business plan that feels right to you, you’re doing well. Keep in mind that your plan will also need to factor in how you’re going to budget all the different factors involved in your business.
Find the right venue
If you’re serious about starting up your own business, then you’ll need to think about all the practical elements involved in it, including where you are going to work. This might just be your home to start with, but if you do find success then you’ll need to find a suitable workspace.
Taking on a commercial premises may require you to take on a commercial mortgage – something that has key differences to the residential mortgages you may be more familiar with. If you are doing work to a property or have a gap between the sale of one premises and the purchase of another, you may need to look into the likes of a bridging loan from a provider like Glenhawk. Most important of all, seek out the right advice and consider a number of options before putting steps in place.