15 Steps to Start a Business that Lasts

An infinite number of businesses continuously contribute billions of dollars to the global economy. However, not every business is positioned to be successful. Having a great idea or offering a unique service is the way forward. But how does one move an idea that solves a certain problem, from just being an idea to a lucrative business? Here are 5 main steps one must take to start a business and ensure the longevity of their ventures.

1. Do Your Research: The How-Tos and the What-Nots

It may seem daunting at first, but starting a business can be easily deciphered if you know what kind of waters you are dipping your toes into. The more you know, the better prepared you are. By doing your due diligence, you will not only be able to effectively plan your business strategy and source finances. This step will also enable you to forecast potential risks and losses. Devising contingencies in place if things do not go as initially planned, would be the way to go.

Expert Insight: Attend seminars, go online, and talk to friends with businesses. Ask business owners how they started their business and get their insight. The information from experienced individuals will help manage your expectations, provide valuable lessons learned and. Remember, there is no information that is not relevant.

2. How Actionable is Your Business Plan?

The next step is putting the information gathered into actionable business plans. This is where a business plan becomes handy. No matter how big or small the business is, having a business plan is important. 

According to Wikipedia, “a business plan is a formal written document containing business goals, the business methods on how these goals can be attained, and the time frame within which these goals need to be achieved.” In short, a business plan is a business’ road map. It provides directions on where the business should go and helps avoid any bumps in the roads. It is a blueprint that should guide the business from the beginning until, eventually, its growth. Think of it as a tool to manage the business’ growth and goals.

Expert Insight: A business plan should conform to the generally accepted guidelines.  However, it does not have to be a hefty document with substantial data. Instead, it can be a simple document outlining what your plans are for the business. Here are some basic questions to ask while making a business plan:

• What is your business concept?
• Who is your target market?
• What is your market strategy?
• What is your business goal?
• How will you finance your business?

Only a third of businesses worldwide survive for at least two years, and nearly only half survive for five!

3. Drawing Out A Financial Blueprint

Many startups fail because they run out of money even before they turn a profit. Whether you are planning to finance the venture itself or plan to seek outside financial help, it is vital to plan.

Expert Insight: It is not a bad idea to overestimate the amount of capital needed to start the business. Sometimes business takes a while before it can generate profit, so having that extra resource can keep the business afloat until it can finance itself. Performing a break-even analysis is also another good way to know when the business will be profitable. The breakeven analysis helps a business owner understands what minimum performance the business must reach to break even or to avoid losing money.

4. Making It Official: Commercial Registration and Trademark Registration

Once a business plan has been laid out, and the financing resources have been decided on, the next step to starting a business is registering it. In today’s market, “branding” is everything, and it all begins with the business's name. The business name will play a vital role in almost every aspect of the business, so choosing the right one is crucial.

Expert Insight: Selecting a suitable name for a business can pose a challenge, but an AI-powered business name generator proves to be a valuable asset in this endeavor. After deciding on a business name, make sure to check if it is already trademarked or in use. This will prevent any unnecessary headaches in the future. Paperwork is also a normal part of the process when starting a business, so be prepared. Know what documents are needed and have all the necessary documents on hand.

5. Build a Website and start promoting Your Business

A website is crucial for startups as it serves as an online platform to showcase products or services and reach a larger audience. It establishes credibility, provides valuable customer insights, and facilitates communication. In today's digital age, having a well-designed website is essential for the success of a startup. Few important points to be noted while building a website are:

• The domain name should be the same or similar to the brand name.
• User-friendly layout and navigation options throughout the website.
• Reliable web hosting service as it ensures that a website is always available and running smoothly, with minimal downtime. It also provides various security measures to protect the website from cyber threats.

Promotion is a crucial element in introducing the benefits of the business’ service or product to its potential market. There are various ways that a small startup business can promote their business without having to rely on a big marketing budget. With so much competition, small businesses must use the resources they have to promote their products or services most effectively without a big budget.

Expert Insight: In this era of digitization, going online is integral in helping a business reach a global market with minimal investment. A business that understands how critical it is to have a significant online presence will have a better chance of being successful. Branding is also key. Branding goes beyond just a good logo. A “brand” represents the people’s perception of the business, whether it be its customer service, reputation, or value.

6. Watch Your Market

The launch may be a tedious process, but it is just the beginning. Remember that maintaining a business, just like starting it, is a systematic process. To keep fanning the fuel you already got going, you must continuously review the market climate and adjust your business accordingly.

7. Keep Researching

“How can you adapt?” you might be asking. Well, constant research is the answer. There are bespoke solutions to every critical condition. Aside from that, it is essential to keep in mind that your actions should be informed by the kind of audience you have and the manner in which you have made yourself known to them.

8. Commit to Your Voice

Your relationship with your customers revolves around your communication process with them. And similar to any connection, it requires not only effectiveness but more importantly, consistency. This is not to say that you should blast messages all the time – this produces precisely the opposite effect of what you need to achieve. You can keep your communication short as long as the tone, content, and values of your messages stay consistent with your brand equity.

Expert Insight: Although brand voice seems to mean spoken and perhaps written communication, the visual presentation of your message is also part of your brand identity. Brand recognition actually increases by 80% solely by using correct and consistent colors. This is why branding should always be informed not only by the content but also by the form in which the messages are presented. Studies indicate that brand consistency directly results in a 33% increase in revenue.

9. Scope the Competition

Of course, aside from keeping a close eye on the market and adjusting for your customer base, it is also crucial to always keep up with the competition. Part of the research process is the continued improvement based on several socioeconomic and sociocultural factors, as well as a creative response to your competitor’s strategy. The saying goes, “Keep your friends close, but keep your enemies closer.”

10. Create Lasting Business Relationships

Remember that your business does not exist in a vacuum with you, your competitors, and your shared audience base. More often than not, you would need to outsource some services or offer your specialty to other businesses. This is why you should invest in creating professional relationships. However, remember that these connections do not stray too far from personal ones. To nurture these, you must invest time, effort, and sincerity. And while quantity is good for the numbers, quality will always last longer.

11. Manage Your Time

This does not exclusively mean getting in the office or appointments on the dot – although that will create lasting impressions, too. Launching campaigns and responding to relevant events are time-sensitive actions and should be ready to roll out when the opportunity arises. Doing so lends credibility and personality to your brand.

Expert Insight: As a matter of fact, it only takes about 0.05 seconds for people to form an opinion about a brand online. Therefore, first impressions are as important as any other factor.

12. Mitigate the Risks

Speaking of advanced preparations, risks also call for a significant amount of foresight. Mitigation strategies vary from business to business and change across time and industry. This is why it is of absolute importance to identify the overarching risks within your physical, economic, online, and social spheres. Moreover, risks native to your industry, services, products, and even neighborhood should always remain filed in your crisis management strategies.

It is also advised to invest in identity theft protection services that will safeguard the company and its employees from any cybercrime activities.

13. Make your Business Relevant

The market is already saturated with repeating products and services. Jumping into the melting pot of generic commodities usually makes a company virtually unrecognizable from similar businesses. To stand out from the crowd of competitors, you should consider providing things that are definitely needed and that only you can provide. Furthermore, you can establish relevance by supporting social causes and related matters.

Expert Insight: According to studies, 64% of consumers base their buying decisions on a brand’s position on a social or political issue. Furthermore, 77% of people purchase from businesses that share the same value.

14. Employ Your Dream-Team

However, the riddle of adding such indispensable value to your business is not as easy as it seems. Arriving at an idea is challenging enough as it is. Even more, if you’re looking to sustain the idea. The great thing about businesses, on the brighter side, is that it’s always a collaborative project. To reach your vision, you need to put together a team of capable individuals, gear them toward your company goal, and provide them with breathable space in which they could grow with you in your venture.

15. Respect in Every Corner

After smoothing out external relationships and making sure your business is prepared for any potential challenges, you can expect to see the first glimmer of success. However, meaningful longevity cannot fully rely on these factors built upon the surface. Perhaps most importantly, you should introspect and look at the relationships existing within your company. Any service, product, or process that your associates render is in all regards directly connected with their person. And like anything originating from nurturing environments, your reputation will ultimately reflect, cliched as it may seem, the proverbial heart of your company.

Conclusion

Starting a business takes a lot of work. And while these steps may help start a business, it is essential to remember that every business is unique, and there is never a perfect plan. One must be prepared to adjust and adapt to changing situations. If you have any questions, feel free to drop us a line at connect@abounaja.com.