Start ups and small businesses are a growing trend nowadays but they can be rather risky when you’re stepping into the market for the first time. Although there are many entrepreneurs emerging all over the world, making a successful business is difficult.
Nonetheless, the success stories of most businesses has many people clamoring to their work table to work out kinks in their ideas and get a smart business going, Everyone loves to be their own boss. On the other hand, for someone just entering the business, there’s plenty of room to slip up somewhere and if you’re not careful, it can be a large fall down hill.
Although there are many businesses that are successful, what you don’t hear is how many businesses that have to sell out or throw in the towel completely. However, many entrepreneurs have nailed it down to an art and if you’re looking to start a small business, here are a few tips regarding what you should not do when starting out:
Don’t Start Without A Good Amount of Capital
It’s very tempting to just start a small business and just jump right in. However, don’t expect to be rolling around in money any time soon. A new business can actually require a lot of capital to be invested in it before it can be start earning enough revenue to to keep itself afloat. Self-sustaining businesses are the ones that can eventually grow but if you’re always near the red line, you can’t grow and your business has a rather stunted growth. Make sure you have enough capital stashed away that you can safely use to boost the business’s growth in one way or another.
Don’t Avoid Testing Out the Market
You can’t be sure that your business’s products will be meeting the audience you targeted. Most business’s aim at meeting a need and you can’t be sure there’s a demand for your product. So one of the easiest ways to do this is to test the market. Give away a few freebies or set up a stall in a farmer’s market etc. While many businesses do not see the point of this, this is actually a marketing trip that not only helps you establish your presence but also helps you to see how people are responding to the products you will eventually be catering on a larger scale.
Don’t Start Out Without Making a Polished Online Presence
This is really a bit of a no-brainer. Since people are turning to the internet more and more nowadays, having an online presence can make a huge difference in a business’s sales and reputation. Not having an online presence can be considered rather old fashioned too so it’s not a good thing. Plus with online stores and internet shopping becoming so popular, you can generate a good amount of revenue which can go towards your capital. Furthermore, when you’re starting out, lack of resources can be a real problem when it comes to marketing and having an online presence can really meet your needs. Additionally, you can also purchase a website or hire a designer at really affordable prices nowadays.
Don’t Shirk on Your Duties
Many people start an online business because they would love to be their own bosses. They’re also pretty tired of the 9-5 routine and having a personal business could also mean that they get to work at their own pace. However, don’t get disillusioned by that. Running a business means that a large portion of the responsibilities rest on your shoulders. Your business is only as good as the amount of time you invest in it. Apart from having ready capital, you also need to have ready time to make it work.
Furthermore, the more time you put into the business the more it’ll flourish. That’s why, you’ll see that you might actually be putting in longer hours during your initial stages then your employees. It’s all very well and nice to dream of working four days a week but unless your business’s growth and your work force are at par with each other, you won’t be able to get to enjoy that dream anytime soon.
About the Author
Ben is corporate business consultant at Fairmont company in Cyprus which is currently specialized on off-shore and on-shore company formation & relevant fiduciary services