The vast number of start-ups fail and most do so because they make the same mistakes. Here are some tips to help you do well and succeed.
1. Make a plan for your business even if you probably will not completely follow it
The traditional business world highly recommends that you create a business plan. It is very important to write down your thoughts. However, it isn’t always necessary to have a business plan. The best thing that you can do is create a presentation with a maximum of 10 slides that clearly defines the problem, the solution, the competitive landscape, how you plan to go about it, and so on. The main reason why you don’t need to have a full-fledged business plan is that there is a good chance you won’t follow it. It is a lot less time-consuming to put a 10-slide presentation together and is always an iterative process where you adjust, tweak, and weave. You will discover that it is the exact same process when it comes to building a business.
2. Come up with your idea and then determine your distribution strategy
Before you move ahead with your business idea, first be sure to identify several different ways to expand on it. It can be a huge waste of time to come up with a great idea, build it into a service or product, but not have a good way of getting it in front of customers. If you are attempting to determine how to quickly grow your product, consider how to reach as many people as you can without a lot of effort. It is a good idea to find other businesses that you can partner with and leverage to reach their users. Consider forming partnerships with businesses that can distribute or sell your products to their customers. This works well for companies that add value for their business through the overall deal you create or through your products.
3. Work with a law firm that is willing to defer their fees until you have raised your investment capital
Certain legal services can be paid for on a one-time basis. However, if you are not careful, the fees can add up very quickly. It is a good idea to partner with a law firm that is willing to defer their fees until you have raised investment capital. However, usually, their fee deferral will be capped at £25,000, although this cap can be negotiable. Speak to the law firms that offer this type of startup program and choose the one that you feel the most comfortable with. This is a great way to stretch your budget when you are getting your company started on limited resources. These law firms want your business to succeed since in exchange for their fee deferral they will tend to take 1% equity of your business. The more your business succeeds, the bigger the payout they will get for partnering with your company early on.
4. Make sure to build something that your customers will want to use
It is critical to get feedback from customers. If no one will use a product then there is absolutely no point in trying to build it. There are various forms of customer feedback, including in writing, verbally, purchasing decisions, through feedback tools and surveys, or silent feedback via analytical behavior tracking tools. Whatever way you get it, be sure to get a system put into place that will allow you to obtain feedback that you need to build an outstanding, targeted product that customers will love.
5. Make it easy and convenient for customers to reach you
Startups have a tendency to be very inaccessible and impersonal to customers. That can be a big mistake. Your phone number should be prominently displayed on your website. During the early days of getting your company started, you should be grateful for any customers who want to call you and speak to you about your product. You can learn all about your customer’s needs and wants through these conversations.
6. Build a moat surrounding your business
It is a good idea to do something different than the competition that cannot be easily replicated. During ancient times moats were used to prevent enemies from accessing the village or castle. Figuratively, you need to do the exact same thing. It could be a special feature your business has patented, a large customer base, an exclusive distribution deal, or something else that will be hard for competitors to quickly replicate. No matter what it happens to be, you need to determine what kind of moat you will be building around your business to make you stand out from the competition.
7. Building a great business is all about having systems in place
Building a small business takes just as much time as it does a large business. The only real difference between the two is how you approach building your business. Systems are what it all comes down to. If you would like to build a large business, consider how you can replicate and scale your business while still providing the same outstanding service you would with a smaller business with fewer customers. You must consider how to provide a customer experience that is consistent and will exceed the expectations of your customers. In order to do that, you need to put systems in place to allow you to continue to grow. You will be forced to think about having a template for your business as if you were creating a franchise and legal documentation you will require. Visit Net Lawman to find all the documents you will need to ensure you have such a system. Whether that is having a formula for conducting sales calls for acquiring new customers or delivering customer service in a specific way, all of your systems need to be excellent, predictable, and consistent.