With the increasing innovations and diversification of consumer needs, there has been a steady increase in entrepreneurial ventures.
For startups, it is important to work smart in the ever-changing economy. A well thought out business plan is always the first step towards establishing and growing any business.
According to FastCompany, 75% of venture-based startups never return cash to investors within their first year of inception, consequently failing.
In order for your startup to take off and thrive, these are some of the areas that one needs to put into consideration:
- Develop an idea
Developing a good startup idea is not an easy task as it requires an entrepreneurial mindset blended with creativity. The idea must revolve around solving customer problems. Getting this right will determine the success of any startup better than the best written business plan. The idea must be durable (a solution that lasts for long), feasible (a solution that is realistic), and sustainable (a solution that can be maintained for a long period)
- Study the market
Understanding the market and its modalities is another way to quickly establish a startup and maintain it. This involves studying the competition, demographics, customer needs, peak seasons, latest products and how they function etc.
- Make a business plan
According to Investopedia , A business plan is a written description of your business and its future. It lays out a written plan from a marketing, financial, and operational view point.
A proper business plan gives you an advantage for obtaining support and funding.
- Secure appropriate funding
You will need enough capital to get you started. The startup costs vary from business to business, so you will need to calculate what you require and document it in the business plan.
This could be from your own savings, or you may decide to acquire funding from a financial institution or a donor.
- Obtain a mentor
It is always advisable that startup owners ride on the shoulders of giants, i.e. people who have experience in the business. This should preferably be someone in your area of operation. A mentor can help guide you on the do’s and don’ts, consequently saving you time and money.
Obtaining a mentor who is as excited about your idea as you are also helps motivate you to keep focused on succeeding as you are accountable to them too, raising your chances of success.
- Determine the scalability of your startup
Do not only focus on getting your idea off the ground and financing it, but also have a plan for growth for your business. This plan should be put in writing with timelines and action steps so it is easy for you to get to the next level.
With the ever-changing innovations and markets, there is always room for improvement, expansion, and or change in products, customer needs, or competition among others. This has to be at the back of your mind to avoid being taken off-guard.
- Digitize your startup
It’s always the right time to brand and promote your products. And what better way to do this than make them available online. This is one of the leading marketing strategies that can help you grow your business real fast. Utilize platforms like social media, websites, adverts on popular sites. You can also apply e-commerce by selling, buying, and payments online.