Have you developed an innovative idea for a product or service that meets a market need? Are you able to deliver that product or service at a price the market will bear and create a profit? If you can answer yes to these broad based questions, you may well be on the way to opening the doors to your own business. While it takes more than a great idea to establish a company, it’s the basis on which nearly every company is founded. Follow these recommendations from the business professionals to ensure your business is launched for success. In order to succeed at anything, there needs to be a master plan and defined steps that can be executed. Breaking these down and defining these steps is commonly known as the process of developing a business plan. Whether you’re seeking venture capital, a bank loan or self-funding, the exercise of a well laid out business plan will be your blueprint for success.
The first step is to define the process of developing and packaging your product or service. Identify the steps and the costs. Can this be scaled to a large enough level given your available resources to achieve profitability? What is the timeline you have allowed yourself to secure a customer or account base to begin a revenue stream that can support the operations, development and delivery of your product or service? These are hard questions to ask. Take advantage of the resources available at your local Chamber of Commerce or start-up venues to get the input of successful business owners and mentors. These services are generally free. One day you may be able to give back to a budding entrepreneur in the same capacity.
In order to keep track of your product costs, accounts payable and receivables, client data and sales orders, take advantage of the awesome deals offered by Groupon coupons and invest in a domain name for your company and leave the hosting up the professionals at GoDaddy. Cloud based data storage is often the most economical way for start-ups to maintain the integrity of their data. This is especially important for start-ups with limited cash flow. Seek the counsel of an experienced business advisor if you will be building inventory. It is very risking to tie up substantial amounts of capital in inventory without purchase orders to turn those items and bring cash in the door.
Finally, identify your needs for product delivery. Do you need a sales force and marketing team? Are you counting solely on a website to generate business and convert prospect into clients? How will the website be funded and have you calculated the cost of a sales force and commissions into the margins of your pricing in order to maintain profitability at different stages of volume? Answering these questions before opening your doors will give you a realistic basis on which to launch your company. Best of luck to you on growing your start-up into a huge profitable compamy!