It’s no secret that starting a startup business isn’t easy. There is a lot of planning that goes into creating and executing an effective business plan for your dream. However, if you have an idea and you’re passionate about making your dream of owning a startup come true, all of your hard work and dedication might just pay off!
To help you get your dream startup on the path to success, here is a list of do’s and dont’s to consider:
Do: Create a Plan for Your Startup’s Brand and Target Audience
One of the most fundamental aspects of starting a startup is understanding and building the framework of your brand and your target audience. It is said that 14 percent of startups fail due to not regarding customers’ needs. Start by creating a baseline understanding of your audience by building personas on your ideal customer and what their interests and passions are. It will also be helpful to think about how you want your brand to look and what makes you different from other brands. Having this baseline understanding of your brand and audience will help you feel more confident in your idea and guide you to make better branding decisions based on your ideal consumer. This simple step is an integral part of creating a business plan and setting goals for your dream startup.
Do: Start Researching Competitors and the Industry
You must begin researching your industry and the competitors in your market to help shape your brand. This will help you derive a better understanding of your goals, the industry you plan to be a part of and help you build an effective framework understanding. Consider what you like and don’t like about other brands, what you would do differently and how you can mimic what they do well. You can also use tools and resources like Facebook Ads to look at how your competitors are marketing themselves. Once you feel you have a good grip on the basics of your industry and the direction you want to take your brand, you can use this newfound information to write a successful business plan to show potential investors.
Do: Start Financial Planning
Financial planning for a startup can be a challenge. Start researching investment and loan opportunities that can help move your startup in the right direction. If your goal is to get funding, you can use your research and branding brainstorm to create assets for funding opportunities.
You may not see a profit for a while. If you plan on using your own money to fund your dreams, make sure you resolve any unwanted debts first. You can also consider looking into business loans to fund your dreams or finding a second source of funding. There are many opportunities that can help you achieve your dreams and start on the right track, you just have to find them.
According to Freshbooks, 66 percent of small businesses will outsource services to other small businesses. With that in mind, it’s important that once you make purchases or financial decisions for your business, you keep track of your expenses so you can better estimate your ROI at the end of the year. If you need a quick and easy way to search for employer ID numbers to perform EIN validation, try EINsearch. This online tool makes it easy to search for other employer ID numbers with no hassle.
Do: Start Building a Team
Finding the right employees can be one of the most challenging aspects of a startup. Since funding for startups is often limited, making the wrong hiring decision can cause a tragic misstep for your startup’s finances and future. During the interview process, try to see past their resume, think critically about your interviewing questions, and consider networking with colleagues to find the right employee for your business’s needs.
Don’t: Quit Your Day Job Yet
It may seem tempting to drop everything and start working on your dreams right away. However, a solid foundation is essential to the success of your future dreams and livelihood. Before you quit your day job, try working on the logistics of your startup after work or on the weekends.
Don’t: Set Unrealistic Expectations
It’s easy to get ahead of yourself when you get excited about your startup business. However, setting unattainable goals and unrealistic expectations can often lead to disappointment. Remember that thinking critically and logically about outcomes that majorly affect your business can help your business move and grow in the right direction. Use your business plan as a baseline for your mindset and make educated decisions based on what you already know. Consider reaching out to a business mentor or someone in your network to help set you up on the right path for success.
Don’t: Be Afraid of Changes
When you first start your new business, there will be several unanswered questions in your business plan- and that’s okay! Don’t be afraid of the changes and the pivoting that you may face as you work to build your startup business. For example, pivoting to fit your audience’s needs is an integral part of a successful startup. These changes and pivots are helping you get closer to your goals.
Remember: successful businesses don’t grow overnight. Taking the first step towards starting your startup is already doing more than most. When you finally take the first steps towards starting your startup business, be patient with yourself and get ready for the next big step towards the future of your dreams.